<PAGE> 1
[GRAPHIC: HIGHWAY CLOVERLEAF]
Nations Short-Term
Municipal Income Fund
Nations Intermediate
Municipal Bond Fund
Nations Municipal
Income Fund
Nations CA Municipal
Bond Fund
Nations FL Intermediate
Municipal Bond Fund
Nations FL Municipal
Bond Fund
Nations GA Intermediate
Municipal Bond Fund
Nations GA Municipal
Bond Fund
Nations MD Intermediate
Municipal Bond Fund
Nations MD Municipal
Bond Fund
Nations NC Intermediate
Municipal Bond Fund
Nations NC Municipal
Bond Fund
Nations SC Intermediate
Municipal Bond Fund
Nations SC Municipal
Bond Fund
Nations TN Intermediate
Municipal Bond Fund
Nations TN Municipal
Bond Fund
Nations TX Intermediate
Municipal Bond Fund
Nations TX Municipal
Bond Fund
MUNICIPAL
BOND FUNDS Nations VA Intermediate
Municipal Bond Fund
Semiannual report for the period Nations VA Municipal
ended September 30, 1999 Bond Fund
Nations Funds
<PAGE> 2
This Report is submitted for the general information of shareholders of Nations
Funds. This material must be preceded or accompanied by a current Nations Funds
prospectus.
Nations Funds distributor: Stephens Inc., which is not affiliated with Bank of
America N.A., is not a bank, and securities offered by it are not guaranteed by
any bank or insured by the FDIC. Stephens Inc., member NYSE, SIPC.
Nations Funds investment adviser: Banc of America Advisors, Inc.
NOT FDIC INSURED MAY LOSE VALUE NO BANK GUARANTEE
<PAGE> 3
PRESIDENTS'
MESSAGE
DEAR SHAREHOLDER:
We're rapidly approaching the end of the year, and
the end of the twentieth century. While we all look
forward to the beginning of the next century, let's
first take a look back at the last six months and
then we'll discuss how Nations Funds is positioned as
we head into the year 2000.
RIDING THE WAVES IN THE U.S.
The last six months offered a snapshot of what we
often refer to as market volatility. And when we say
market volatility, we mean the ups and downs of the
U.S. stock market. Basically, what went up in the
second quarter of the year fell right back down in
the third quarter. During the spring, we witnessed
another Dow Jones Industrial Average*
milestone -- crossing the 11,000 mark -- and we saw a
broadening in the stock market, as value stocks and
small-company stocks came back into favor. This was a
change from the past few years where rallies have
been led by a narrow group of large-company stocks.
However, strong economic growth -- combined with
continued low inflation and low
unemployment -- caused the Federal Reserve Board to
raise interest rates twice by a total of 0.50%. These
rate hikes (on June 30 and August 24) caused the
markets to resemble the rough surf of the Atlantic
during one of our many hurricanes this past summer.
(In fact, Hurricane Floyd actually shut down Wall
Street in mid-September with torrential rains and
high winds.) At any rate, the stock market, as
represented by the Standard & Poor's 500 Composite
Stock Price Index (S&P 500)**, finished the third
quarter at 5.36% (year-to-date through September 30,
1999), 10% off its August high, with the average
stock in the S&P 500 off 20% from its high.
A BRIGHTER PICTURE OVERSEAS
International stock markets performed well in the
second quarter and actually outperformed the U.S. for
the first time in a number of years. The Morgan
Stanley Capital International (MSCI) Europe,
Australasia and Far East (EAFE) Index gained 4.4% in
the third quarter. A resurgent Japanese economy
helped to push international equity markets higher.
This is yet another example of the importance of
diversification. Investors investing exclusively in
the U.S. could miss out on opportunities overseas.
One way to ensure that your portfolio is properly
diversified is to seek the professional advice of an
investment professional. An investment professional
can help explain the additional risks involved in
international investing, as well as educate you on
the potential rewards that have historically come
from a diversified portfolio including international
investments.
* The Dow Jones Industrial Average is a
price-weighted index of 30 of the largest, most
widely held stocks traded on the New York Stock
Exchange. It is unmanaged and unavailable for
investment.
** The Standard & Poor's 500 Composite Stock Price
Index is an unmanaged index of 500 widely held
common stocks. It is unavailable for investment.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.
<PAGE> 4
PRESIDENTS'
MESSAGE continued...
STAY THE COURSE
While the ride has been bumpy over the last six
months, we believe the best course of action for an
investor is to stay focused on your long-term goals
and remain invested. We understand that Y2K has been
on investors' minds for quite some time now. As most
Americans have come to realize, substantial efforts
have been made by companies in the U.S. and abroad to
try to ensure that the Y2K problem will be avoided.
Regardless, Y2K will come and go and those investors
that stick to their long-term goals, as history has
shown, stand a better chance of attaining them.
WHAT'S NEW AT NATIONS FUNDS
We've made some great strides during the past six
months and are poised to make Nations Funds a
stronger presence in the mutual fund industry in the
new year. We completed the largest merger in mutual
fund history on May 21 when we combined Pacific
Horizon Funds with Nations Funds. Combining these two
entities provides you with more investment choices
and a broader range of investment expertise. This is
part of our ongoing commitment to providing you with
the best products and services, and helping you
pursue a lifetime of financial goals.
In fact, our selection of mutual funds continued to
grow as we introduced Nations Strategic Equity Fund,
a large-company stock fund managed for tax
efficiency, on August 1. This fund is managed by Bank
of America Investment Management -- a Nations Funds
Manager of Distinction(SM).
We look forward to the opportunities ahead of us in
the new year and to making your investment experience
with Nations Funds a successful one. Should you have
any questions or comments on your semiannual report,
please contact your investment professional or call
us at 1.800.321.7854. You can also visit us online at
www.nations-funds.com.
Once again, thank you for being a part of the Nations
Funds family.
Sincerely,
<TABLE>
<S> <C>
/s/ A. Max Walker /s/ Robert H. Gordon
A. Max Walker Robert H. Gordon
President and Chairman of the Board President, Banc of America Advisors, Inc.
</TABLE>
September 30, 1999
<PAGE> 5
Table
of
contents
<TABLE>
<S> <C>
NATIONS FUNDS SPECTRUM
FINANCIAL STATEMENTS 2
Statements of net assets
- Nations Short-Term Municipal Income Fund 3
- Nations Intermediate Municipal Bond Fund 8
- Nations Municipal Income Fund 23
- Nations CA Municipal Bond Fund 38
- Nations FL Intermediate Municipal Bond Fund 44
- Nations FL Municipal Bond Fund 51
- Nations GA Intermediate Municipal Bond Fund 56
- Nations GA Municipal Bond Fund 62
- Nations MD Intermediate Municipal Bond Fund 65
- Nations MD Municipal Bond Fund 73
- Nations NC Intermediate Municipal Bond Fund 77
- Nations NC Municipal Bond Fund 84
- Nations SC Intermediate Municipal Bond Fund 87
- Nations SC Municipal Bond Fund 95
- Nations TN Intermediate Municipal Bond Fund 98
- Nations TN Municipal Bond Fund 102
- Nations TX Intermediate Municipal Bond Fund 105
- Nations TX Municipal Bond Fund 112
- Nations VA Intermediate Municipal Bond Fund 114
- Nations VA Municipal Bond Fund 122
Statements of operations 126
Statements of changes in net assets 130
Schedules of capital stock activity 138
Financial highlights 158
Notes to financial statements 198
</TABLE>
<TABLE>
<S> <C>
---------------------------------------------------------------------------------
NATIONS FUNDS [Dalbar Logo]
RECOGNIZED FOR
OUTSTANDING DALBAR, Inc., is a well-respected research firm
CUSTOMER SERVICE that measures customer service levels and
establishes benchmarks in the financial services
In recognition of our industry.
commitment to retail
shareholders through
consistently providing
superior customer service,
Nations Funds was awarded
DALBAR Key Honors in 1997
and 1998.
---------------------------------------------------------------------------------
</TABLE>
<PAGE> 6
THE NATIONS FUNDS FAMILY OF FUNDS
LOWER
RISK/
REWARD
POTENTIAL
MONEY
MARKET
FUNDS
Nations Prime Fund
Nations Government
Money Market Fund
Nations Treasury Fund
Nations Tax Exempt
Fund
FIXED
INCOME
FUNDS
INCOME FUNDS
Nations Diversified
Income Fund
Nations U.S. Government
Bond Fund
Nations Strategic
Fixed Income Fund
Nations Intermediate
Bond Fund
Nations Government
Securities Fund
Nations Short-
Intermediate
Government Fund
Nations Short-Term
Income Fund
TAX-EXEMPT
INCOME FUNDS
Nations Municipal
Income Fund
Nations State-Specific
Long-Term Municipal
Bond Funds (CA, FL, GA,
MD, NC, SC, TN, TX, VA)
Nations Intermediate
Municipal Bond Fund
Nations State-Specific
Intermediate Municipal
Bond Funds (FL, GA, MD,
NC, SC, TN, TX, VA)
Nations Short-Term
Municipal Income Fund
DOMESTIC
EQUITY
FUNDS
GROWTH FUNDS
Nations Small Company
Growth Fund
Nations Emerging
Growth Fund
Nations Marsico
Focused Equities Fund
Nations Disciplined
Equity Fund
Nations Capital
Growth Fund
Nations Strategic
Equity Fund
Nations Blue Chip Fund
GROWTH AND
INCOME FUNDS
Nations Marsico Growth
& Income Fund
Nations Equity
Income Fund
Nations Value Fund
Nations Asset
Allocation Fund
Nations Balanced
Assets Fund
Nations Capital
Income Fund
INTERNATIONAL
FUNDS
Nations Emerging
Markets Fund
Nations International
Growth Fund
Nations International
Equity Fund
Nations International
Value Fund
HIGHER
RISK/
REWARD
POTENTIAL
INDEX FUNDS
Nations Equity Index Fund
Nations Managed Index Fund
Nations Managed SmallCap Index Fund
Nations Managed SmallCap Value Index Fund
Nations Managed Value Index Fund
ASSET ALLOCATION PORTFOLIOS
Nations LifeGoal Balanced Growth Portfolio
Nations LifeGoal Growth Portfolio
Nations LifeGoal Income and Growth Portfolio
<PAGE> 7
NATIONS FUNDS
Nations Short-Term Municipal Income Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 99.6%
ALABAMA -- 1.0%
$ 1,175 Alabama, Special Care
Facilities Financing
Authority, Hospital
Revenue, (Charity
Obligation Group
Project) Series A,
3.750% 11/01/01...... Aa2 AA+ $ 1,155
--------
ALASKA -- 0.9%
1,000 Alaska, Student Loan
Corporation, Student
Loan Revenue,
Series 1995A, AMT,
(AMBAC Insured),
4.900% 07/01/00...... Aaa AAA 1,007
--------
ARIZONA -- 5.9%
2,125 Maricopa County,
Arizona, School
District Number 006,
GO, (Projects of
1996)
Series 1997B, (FGIC
Insured),
5.000% 07/01/00...... Aaa AAA 2,145
3,500 Phoenix, Arizona,
Industrial
Development
Authority,
Single-Family
Mortgage Revenue,
Series 1998D,
4.200% 06/01/02...... NR SP1+ 3,454
1,000 Tucson, Arizona, Water
Revenue Refunding,
Series 1991, (AMBAC
Insured),
6.500% 07/01/16...... A1 A+ 1,049
--------
6,648
--------
DISTRICT OF COLUMBIA -- 1.5%
1,750 District of Columbia,
GO Refunding,
Series 1993C,
(FSA Insured),
5.100% 12/01/99...... Aaa AAA 1,754
--------
GEORGIA -- 0.9%
1,000 Clarke County, Georgia,
School District,
Sales Tax GO
Refunding, Series
1997, (FSA Insured),
5.125% 09/01/00...... Aaa AAA 1,012
--------
GUAM -- 2.2%
500 Guam, Airport
Authority, Revenue,
Series 1993A,
5.400% 10/01/99...... NR BBB 500
2,000 Guam, Government GO,
Series 1995A,
5.375% 09/01/00...... NR BBB- 2,016
--------
2,516
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
ILLINOIS -- 4.7%
$ 1,020 Broadview, Illinois,
Tax Increment
Revenue, Series 1999,
4.300% 07/01/01...... NR NR $ 1,010
1,260 Broadview, Illinois,
Tax Increment
Revenue, Series 1999,
4.750% 07/01/05...... NR NR 1,225
1,000 Chicago, Illinois,
O'Hare International
Airport, General
Airport Revenue,
Second Lien, Series
1996A, AMT, (AMBAC
Insured), 5.000%
01/01/02............. Aaa AAA 1,011
2,000 Illinois, Health
Facilities Authority,
Revenue, (Ingalls
Memorial Hospital
Project)
Series 1989, (MBIA
Insured), Prerefunded
01/01/00 @ 102,
7.000% 01/01/19...... Aaa AAA 2,056
--------
5,302
--------
KENTUCKY -- 1.2%
1,325 Kentucky,
Asset/Liability
Commission,
University and
College Improvements
General Fund Revenue,
Series 1999-1,
3.500% 03/01/01...... Aa3 A+ 1,309
--------
LOUISIANA -- 0.9%
1,000 De Soto Parish,
Louisiana, PCR
Refunding,
(International Paper
Company Project)
Series 1993A,
5.050% 12/01/02...... A3 BBB+ 1,008
--------
MICHIGAN -- 2.7%
2,000 Detroit, Michigan,
Convention Facilities
Revenue Refunding,
(Cobo Hall Expansion
Project) Series 1993,
4.750% 09/30/00...... NR A 2,013
1,000 Detroit, Michigan, GO,
Series 1995A,
5.600% 05/01/01...... NR BBB+ 1,017
--------
3,030
--------
MINNESOTA -- 1.7%
1,875 Ramsey County,
Minnesota, GO,
Revenue Refunding,
Series 1992C,
5.500% 12/01/03...... Aaa AA+ 1,955
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
3
<PAGE> 8
NATIONS FUNDS
Nations Short-Term Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
MISSISSIPPI -- 7.1%
$ 3,000 Grenada County,
Mississippi, Revenue
Refunding, (Georgia-
Pacific Corporation
Project) Series 1998,
4.300% 09/01/00...... Baa2 NR $ 2,999
5,000 Lawrence County,
Mississippi, PCR,
(Georgia-Pacific
Corporation Project)
Series 1998,
4.300% 12/01/00...... Baa2 NR 5,004
--------
8,003
--------
MONTANA -- 1.8%
2,000 Forsyth, Montana, PCR
Refunding, (Portland
General Electric
Company Project)
Series 1998A,
Mandatory Put
05/01/03 @ 100,
4.600% 05/01/33...... A3 A- 1,992
--------
NEVADA -- 1.4%
1,530 Nevada, State, GO,
Series 1996A,
6.000% 05/15/04...... Aa2 AA 1,621
--------
NEW JERSEY -- 5.8%
2,000 New Jersey State
Housing and Mortgage
Finance Agency,
Revenue, (Home Buyer
Project), Series
1999, AMT,
5.000% 04/01/05...... Aaa AAA 1,996
4,085 New Jersey, Health Care
Facilities, Financing
Authority Revenue,
(Riverwood Center
Inc. Project) Series
1991A, (FSA Insured),
Prerefunded 07/01/01
@ 102,
9.900% 07/01/21...... Aaa AAA 4,548
--------
6,544
--------
NEW MEXICO -- 0.9%
1,000 Bernalillo County, New
Mexico, Gross
Receipts Tax
Improvement Revenue,
Series 1999,
4.875% 10/01/03...... Aa3 AA 1,016
--------
NEW YORK -- 11.2%
2,075 Chautauqua County, New
York, Certificates of
Participation, Series
1999A,
6.125% 02/01/01...... MIG1 NR 2,062
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
NEW YORK -- (CONTINUED)
$ 3,750 New York State,
Dormitory Authority,
Revenue, (Service
Contract - Community
Enhancement Project)
Series 1999A,
4.125% 04/01/01...... NR BBB+ $ 3,742
1,000 New York State, GO
Refunding, Series
1995B,
6.375% 08/15/00...... A2 A 1,022
4,000 New York State, Thruway
Authority, Service
Contract Revenue
Refunding, (Local
Highway and Bridges
Project) Series 1997,
5.000% 04/01/01...... Baa1 BBB+ 4,042
1,910 New York State, Urban
Development
Corporation Revenue,
(Correctional
Facilities Service
Contract Project)
Series 1998B,
5.000% 01/01/03...... Baa1 BBB+ 1,935
--------
12,803
--------
NORTH CAROLINA -- 4.5%
1,630 North Carolina, Medical
Care Commission,
Health Care
Facilities Revenue,
(Halifax Regional
Medical Center, Inc.
Project) Series 1998,
4.400% 08/15/04...... Baa1 A 1,560
1,120 North Carolina, Medical
Care Commission,
Health Care
Facilities Revenue,
(Halifax Regional
Medical Center, Inc.
Project) Series 1998,
4.150% 08/15/01...... Baa1 A 1,102
1,000 North Carolina, Medical
Care Commission,
Health Care
Facilities Revenue,
(Halifax Regional
Medical Center, Inc.
Project) Series 1998,
4.300% 08/15/02...... Baa1 A 978
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
4
<PAGE> 9
NATIONS FUNDS
Nations Short-Term Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$ 1,560 North Carolina, Medical
Care Commission,
Health Care
Facilities Revenue,
(Halifax Regional
Medical Center, Inc.
Project) Series 1998,
4.300% 08/15/03...... Baa1 A $ 1,506
--------
5,146
--------
OHIO -- 3.6%
4,015 Akron/Bath/Copley,
Ohio, Joint Township
Hospital District,
Revenue, (Summa
Health Systems
Project) Series
1993A,
5.750% 11/15/08...... Baa1 NR 4,035
--------
OKLAHOMA -- 1.3%
1,500 Oklahoma, Development
Finance Authority,
Revenue Refunding,
(Hillcrest Healthcare
Center Inc. Project)
Series 1999A,
4.700% 08/15/05...... Baa2 BBB+ 1,446
--------
PENNSYLVANIA -- 9.9%
5,425 Dauphin County,
Pennsylvania, General
Authority, Revenue,
(School District
Pooled Financing
Program II) Series
1997, (AMBAC
Insured), Mandatory
Put 09/01/01 @ 100,
4.450% 09/01/32...... Aaa NR 5,448
1,560 Greene County,
Pennsylvania,
Industrial
Development
Authority, Revenue,
(Monongahela Power
Company Project)
Series 1998B,
4.350% 02/01/02...... A2 A 1,551
2,200 Greene County,
Pennsylvania,
Industrial
Development
Authority, Revenue,
(Potomac Edison
Company Project)
Series 1998B,
4.350% 02/01/02...... A2 A 2,187
1,000 Monroeville,
Pennsylvania,
Hospital Authority,
Revenue Refunding,
(Forbes Health
Systems - Allegheny
University Medical
Centers Project)
Series 1995,
5.125% 10/01/00...... Ba3 B 990
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
PENNSYLVANIA -- (CONTINUED)
$ 1,000 Monroeville,
Pennsylvania,
Hospital Authority,
Revenue Refunding,
(Forbes Health
Systems - Allegheny
University Medical
Centers Project)
Series 1995,
5.000% 10/01/99...... Ba3 B $ 1,000
--------
11,176
--------
TENNESSEE -- 5.5%
1,775 Knox County, Tennessee,
Health Educational
and Housing
Facilities Board,
Revenue, (University
Health System Inc.)
Series 1999,
4.625% 04/01/03...... Baa1 NR 1,756
2,100 McMinn County,
Tennessee, Industrial
Development Board,
PCR Refunding,
(Bowater Inc.
Project) Series 1991,
6.850% 04/01/01...... Baa1 BBB 2,167
2,225 Memphis-Shelby County,
Tennessee, Airport
Authority, Special
Facilities and
Project Revenue
Refunding, (Federal
Express Corporation
Project) Series 1992,
AMT,
6.750% 09/01/12...... Baa2 BBB 2,354
--------
6,277
--------
TEXAS -- 13.0%
1,010 Addison, Texas, GO,
Series 1997, (FSA
Insured),
6.250% 02/15/01...... Aaa AAA 1,038
935 Brazos, Texas, Higher
Education Authority
Inc., Revenue
Refunding, Senior
Lien,
Series 1994A-2, AMT,
(GTD STD LNS),
5.850% 06/01/01...... Aaa NR 948
1,415 Brazos, Texas, Higher
Education Authority
Inc., Revenue
Refunding, Series
1992C-1, AMT, (GTD
STD LNS),
6.000% 11/01/99...... Aa NR 1,417
1,335 Central Texas, Higher
Education Authority
Inc., Revenue
Refunding, Series
1993A, AMT, (GTD STD
LNS),
5.100% 12/01/03...... Aaa NR 1,357
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
5
<PAGE> 10
NATIONS FUNDS
Nations Short-Term Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 1,080 Garland, Texas,
Independent School
District, GO,
Series 1992A,
(PSF-GTD),
Prerefunded
02/15/02 @ 100,
5.800% 02/15/06...... Aaa AAA $ 1,117
1,000 Gulf Coast, Texas,
Industrial
Development
Authority, Revenue
Refunding, (Champion
International
Corporation Project)
Series 1988,
7.000% 04/01/04...... Baa1 BBB 1,011
2,450 Houston, Texas, Water
and Sewer Systems
Revenue Refunding,
Prior Lien, Series
1992B,
5.250% 12/01/99...... A3 A+ 2,456
2,955 Panhandle-Plains,
Texas, Higher
Education Authority,
Revenue Refunding,
Series 1993E, AMT,
(GTD STD LNS),
5.550% 03/01/05...... A NR 3,017
1,425 Texas State, College
Student Loan
Authority, GO, Series
1997, AMT, (GTD STD
LNS),
5.000% 08/01/05...... Aa1 AA 1,440
1,000 Texas State, College
Student Loan
Authority, Revenue,
Series 1995, AMT,
5.100% 08/01/01...... Aa1 AA 1,015
--------
14,816
--------
VIRGINIA -- 4.6%
1,000 Ashland, Virginia,
Industrial
Development
Authority,
Educational
Facilities Revenue,
(Randolph-Macon
College Project)
Series 1996,
Mandatory Put
11/01/99 @ 100,
4.375% 11/01/11...... NR A 1,001
2,350 Greensville County,
Virginia, Industrial
Development
Authority, Revenue
Refunding,
(Georgia-Pacific
Corporation Project)
Series 1998,
4.100% 08/01/00...... Baa2 NR 2,349
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$ 1,825 Virginia, Education
Loan Authority,
Guaranteed Student
Loan Revenue, Series
1992G, AMT, (GTD STD
LNS),
6.625% 09/01/03...... Aaa NR $ 1,911
--------
5,261
--------
WASHINGTON -- 5.4%
1,000 Washington State, GO,
Series 1990B,
Prerefunded 08/01/00
@ 100,
6.600% 08/01/01...... Aa1 AA+ 1,023
1,000 Washington State,
Public Power Supply
Revenue Refunding,
Series 1990C,
7.300% 07/01/00...... Aa1 AA- 1,025
4,000 Washington State,
Public Power Supply
Revenue Refunding,
Series 1997A,
5.000% 07/01/00...... Aa1 AA- 4,033
--------
6,081
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $113,208)...................... 112,913
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- ---------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 0.2%
(Cost $203)
203 AIM Tax-Exempt Fund.................. 203
--------
TOTAL INVESTMENTS
(Cost $113,411*)............ 99.8% 113,116
--------
OTHER ASSETS AND LIABILITIES
(NET)....................... 0.2%
Cash................................. $ 1
Receivable for investment securities
sold............................... 1,016
Receivable for Fund shares sold...... 213
Interest receivable.................. 1,603
Prepaid expenses..................... 14
Payable for Fund shares redeemed..... (2,106)
Administration fee payable........... (19)
Shareholder servicing and
distribution fees payable.......... (18)
Distributions payable................ (379)
Payable for investment securities
purchased.......................... (38)
Accrued Trustees' fees and
expenses........................... (15)
Accrued expenses and other
liabilities........................ (46)
--------
TOTAL OTHER ASSETS AND LIABILITIES
(NET).............................. 226
--------
NET ASSETS.................... 100.0% $113,342
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
6
<PAGE> 11
NATIONS FUNDS
Nations Short-Term Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
(000)
- ------------------------------------------------------------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment
income............................. $ 38
Accumulated net realized gain on
investments sold................... 88
Net unrealized depreciation of
investments........................ (295)
Paid-in capital...................... 113,511
--------
NET ASSETS........................... $113,342
========
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($72,562,839 / 7,274,687 shares
outstanding)....................... $9.97
=====
INVESTOR A SHARES:
Net asset value and redemption price
per share ($30,155,552 / 3,022,772
shares outstanding)................ $9.98
=====
Maximum sales charge................. 1.00%
Maximum offering price per share..... $10.08
INVESTOR B SHARES:
Net asset value and offering price
per share** ($8,252,597 / 827,312
shares outstanding)................ $9.98
=====
INVESTOR C SHARES:
Net asset value and offering price
per share** ($2,371,267 / 237,745
shares outstanding)................ $9.97
=====
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized depreciation of investment
securities was comprised of gross appreciation of $232 and gross depreciation
of $527 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $113,411.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Short-Term Municipal Income Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Industrial Development Revenue/
Pollution Control Revenue 19.90%
Hospital Revenue 13.66%
SEE NOTES TO FINANCIAL STATEMENTS.
7
<PAGE> 12
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 97.6%
ALABAMA -- 3.0%
$ 3,265 Alabama, Special Care Facilities
Financing Authority, Hospital
Revenue, (Charity Obligation
Group Project) Series A, (MBIA
Insured), 4.625% 11/01/10........ Aa2 AA+ $ 2,999
2,500 Birmingham, Alabama, Industrial
Water Board, Industrial Water
Supply Revenue, Series 1978,
6.000% 07/01/07.................. NR AAA 2,695
2,500 Birmingham, Alabama, Revenue,
(Baptist Medical Center of
Birmingham Project) Series 1993A,
(MBIA Insured),
5.500% 08/15/05.................. Aaa AAA 2,580
8,140 Courtland, Alabama, Industrial
Development Board, Solid Waste
Disposal Revenue, (Champion
International Corporation
Project) Series 1992,
7.000% 06/01/22.................. Baa1 BBB 8,552
5,750 Courtland, Alabama, Industrial
Development Board, Solid Waste
Disposal Revenue, (Champion
International Corporation
Project) Series 1993A, AMT,
6.375% 03/01/29.................. Baa1 BBB 5,826
3,600 Jefferson County, Alabama, Sewer
Revenue Refunding, Series 1997A,
(FGIC Insured),
5.625% 02/01/18.................. Aaa AAA 3,554
--------
26,206
--------
ALASKA -- 1.6%
3,000 Alaska State, Housing Finance
Corporation, Revenue, Series
1995A, (MBIA Insured),
5.400% 06/01/08.................. Aaa AAA 3,019
3,345 Alaska, Industrial Development and
Export Authority, Revenue
Refunding, Series 1998A, AMT,
(MBIA Insured),
5.250% 04/01/12.................. Aaa AAA 3,229
3,280 Alaska, Student Loan Corporation,
Student Loan Revenue, Series
1995A, AMT, (AMBAC Insured),
5.250% 07/01/03.................. Aaa AAA 3,343
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
ALASKA -- (CONTINUED)
$ 1,500 Alaska, Student Loan Corporation,
Student Loan Revenue, Series
1997A, AMT, (AMBAC Insured),
5.150% 07/01/05.................. Aaa AAA $ 1,518
1,250 Alaska, Student Loan Corporation,
Student Loan Revenue, Series
1997A, AMT, (AMBAC Insured),
5.200% 07/01/06.................. Aaa AAA 1,262
2,000 Anchorage, Alaska, GO, Series
1996A, (AMBAC Insured),
5.100% 08/01/07.................. Aaa AAA 2,022
--------
14,393
--------
ARIZONA -- 1.4%
955 Arizona State, University Revenue
Refunding, Series 1992A,
6.500% 07/01/01.................. A1 AA 992
1,100 Glendale, Arizona, GO Refunding,
Series 1993, (FGIC Insured),
4.950% 07/01/01.................. Aaa AAA 1,115
7,000 Maricopa County, Arizona, School
District Number 4, GO, Series
1991D, (AMBAC-TCRS Insured),
6.900% 07/01/00.................. Aaa AAA 7,159
300 Maricopa County, Arizona, Unified
High School District Number 210,
GO, Series 1991D, Prerefunded
07/01/01 @ 101,
6.700% 07/01/03.................. Aa3 AA 316
400 Pima County, Arizona, Unified
School District Number 1, GO
Refunding, Series 1991, (MBIA
Insured), Prerefunded 07/01/01 @
101,
6.700% 07/01/04.................. Aaa AAA 421
2,125 Pima County, Arizona, Unified
School District, GO, Series
1995G, (MBIA Insured),
7.300% 07/01/05.................. Aaa AAA 2,399
400 Tempe, Arizona, GO, Series 1992,
5.600% 07/01/00.................. Aa1 AA+ 406
--------
12,808
--------
ARKANSAS -- 0.8%
7,000 Hot Springs, Arkansas, IDR
Refunding, (Willamette Industries
Project) Series 1991,
6.650% 12/01/02.................. NR A- 7,346
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
8
<PAGE> 13
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
COLORADO -- 1.6%
$ 1,500 Arapahoe County, Colorado, School
District Number 005, GO, Series
1990, Prerefunded 12/15/00 @ 101,
7.000% 12/15/04.................. Aa2 AA $ 1,569
3,445 Denver City and County, Colorado,
GO, Series 1992A, Prerefunded
08/01/00 @ 101,
5.700% 08/01/01.................. Aa2 AAA 3,534
7,000 Denver City and County, Colorado,
GO,
Series 1992C, Prerefunded
08/01/00 @ 101,
5.750% 08/01/06.................. Aa2 AAA 7,184
1,500 Northglenn, Colorado, Water and
Sewer GO Refunding, Series 1996,
(FSA Insured),
5.250% 12/01/04.................. Aaa AAA 1,552
--------
13,839
--------
CONNECTICUT -- 1.6%
300 Connecticut State, GO, Series
1991A, Prerefunded 03/01/01 @
102,
6.600% 03/01/04.................. Aaa AAA 316
1,000 Connecticut State, GO, Series
1993B,
4.800% 03/15/01.................. Aa3 AA 1,010
6,465 Connecticut State, Housing Finance
Authority, Revenue, (Housing
Mortgage Finance Program) Series
1997D-2, AMT,
5.600% 11/15/21.................. Aa2 AA 6,250
6,140 Connecticut State, Transportation
Infrastructure Special Tax GO
Refunding, Series 1993A,
(FGIC-TCRS Insured),
5.100% 09/01/04.................. Aaa AAA 6,303
--------
13,879
--------
DISTRICT OF COLUMBIA -- 0.5%
1,000 District of Columbia, Hospital
Revenue Refunding, (Medlantic
Healthcare Group Project) Series
1997A, (MBIA Insured),
6.000% 08/15/06.................. Aaa AAA 1,068
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
DISTRICT OF COLUMBIA -- (CONTINUED)
$ 1,350 District of Columbia, Hospital
Revenue Refunding, (Medlantic
Healthcare Group Project) Series
1997A, (MBIA Insured),
6.000% 08/15/07.................. Aaa AAA $ 1,448
1,500 Metropolitan Washington, District
of Columbia, Airport Revenue,
Series 1994A, AMT, (MBIA
Insured),
5.600% 10/01/06.................. Aaa AAA 1,570
--------
4,086
--------
FLORIDA -- 7.7%
1,000 Broward County, Florida, School
District, GO Refunding, Series
1993,
5.100% 02/15/02.................. A1 AA- 1,020
2,700 Duval County, Florida, Housing
Finance Authority, Multi-Family
Housing Revenue Refunding,
(United Dominion Realty Trust -
Greentree Place Project) Series
1995, Mandatory Put 04/01/09 @
100,
6.750% 04/01/25.................. NR BBB+ 2,851
4,675 Duval County, Florida, Housing
Finance Authority, Multi-Family
Mortgage Revenue Refunding, (The
Cove Project) Series 1992,
6.100% 10/01/02.................. NR AAA 4,810
4,850 Escambia County, Florida, Housing
Finance Authority, Single-Family
Mortgage, Revenue, Series 1999,
AMT, (FNMA/GNMA COLL),
4.500% 10/01/09.................. Aaa NR 4,632
3,035 Florida State, Board of Education,
Capital Outlay GO, Series 1995A,
5.400% 01/01/06.................. Aa2 AA+ 3,149
3,650 Florida State, Division of Bond
Financing, Department of General
Services Revenue, (Department of
Natural Resources - Preservation
2000 Project) Series 1991A,
(AMBAC Insured),
6.200% 07/01/00.................. Aaa AAA 3,716
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
9
<PAGE> 14
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 7,440 Florida, Housing Finance Agency,
Multi-Family Housing Revenue
Refunding, (Altamonte Project)
Series 1994C, Mandatory Put
12/01/03 @ 100,
7.000% 12/01/24.................. NR BBB+ $ 7,950
2,000 Florida, Housing Finance Agency,
Multi-Family Housing Revenue
Refunding, (United Dominion
Realty Trust - Andover Project)
Series 1996E, AMT, Mandatory Put
05/01/08 @ 100,
6.350% 05/01/26.................. NR BBB+ 2,084
1,500 Jacksonville, Florida, Electric
Authority, Revenue Refunding,
(St. John River Project) Issue 2,
Series 1993-10,
4.600% 10/01/00.................. Aa3 AA 1,512
5,900 Jacksonville, Florida, Electric
Authority, Revenue Refunding,
(St. John River Project) Issue 2,
Series 1993-10,
5.000% 10/01/04.................. Aa3 AA 6,024
300 Jacksonville, Florida, Electric
Systems Authority, Revenue
Refunding, (St. Johns River
Project) Series 1995-6C-2,
6.400% 10/01/00.................. Aa1 AA 308
2,080 Nassau County, Florida, PCR
Refunding, (ITT Rayonier, Inc.
Project) Series 1992,
5.700% 06/01/01.................. Baa2 BBB+ 2,115
1,000 Orlando, Florida, Utilities
Commission, Water and Electric
Revenue Refunding, Series 1992,
5.200% 10/01/00.................. Aa1 AA 1,014
4,000 Orlando, Florida, Utilities
Commission, Water and Electric
Revenue Refunding, Series 1992,
5.600% 10/01/03.................. Aa1 AA 4,182
7,685 Palm Beach County, Florida, Health
Facilities Authority Revenue,
(Good Samaritian Project) Series
1993, (MBIA-IBC Insured),
Prerefunded 10/01/03 @ 102,
6.300% 10/01/22.................. Aaa AAA $ 8,292
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$5,490 Pinellas County, Florida, Resource
Recovery Revenue Refunding,
Series 1990A, (MBIA Insured),
6.600% 10/01/00.................. Aaa AAA 5,640
5,000 Tampa, Florida, Health Systems
Revenue, (Catholic Health East
Project) Series 1998A-1, (MBIA
Insured),
5.500% 11/15/13.................. Aaa AAA 5,059
4,000 Tampa, Florida, Health Systems
Revenue, (Catholic Health East
Project) Series 1998A-1, (MBIA
Insured),
5.500% 11/15/14.................. Aaa AAA 4,020
--------
68,378
--------
GEORGIA -- 1.6%
3,000 Cartersville, Georgia, Development
Authority, Sewer Facilities
Revenue Refunding, (Anheuser-
Busch Companies, Inc. Project)
Series 1997, AMT,
5.625% 05/01/09.................. A1 A+ $ 3,068
5,000 Fulton and DeKalb Counties,
Georgia, Hospital Authority, GO
Refunding Certificates, (Grady
Memorial Hospital Project) Series
1993, (MBIA Insured),
5.250% 01/01/04.................. Aaa AAA 5,134
1,105 Fulton County, Georgia, Development
Authority, Revenue, (Clark
Atlanta University Project)
Series 1995, (CONNIE LEE
Insured),
5.100% 01/01/05.................. Baa3 AAA 1,121
300 Georgia State, GO, Series 1991D,
7.000% 11/01/00.................. Aaa AAA 310
300 Georgia, Municipal Electric
Authority, Power Revenue
Refunding, Series 1991U,
Prerefunded
01/01/01 @ 102,
6.800% 01/01/03.................. Aaa AAA 316
4,000 Gwinnett County, Georgia, School
District, GO Refunding, Series
1992B,
6.200% 02/01/03.................. Aa1 AA+ $ 4,222
--------
14,171
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
10
<PAGE> 15
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
HAWAII -- 1.4%
$ 1,000 Hawaii State, GO, Series 1991BU,
5.850% 11/01/01.................. A1 A+ $ 1,031
2,000 Hawaii State, GO, Series 1995CJ,
5.625% 01/01/02.................. A1 A+ 2,051
6,000 Hawaii State, GO, Series 1997CN,
(FGIC Insured),
6.250% 03/01/04.................. Aaa AAA 6,397
2,500 Honolulu City and County, Hawaii,
GO Refunding, Series 1990A,
7.350% 07/01/07.................. Aa3 AA- 2,870
--------
12,349
--------
ILLINOIS -- 7.5%
2,500 Chicago, Illinois, Gas Supply
Revenue, (Peoples Gas Light and
Coke Project) Series 1985A,
6.875% 03/01/15.................. Aa3 AA- 2,646
1,100 Chicago, Illinois, Metropolitan
Water Reclamation District,
Greater Chicago Capital
Improvement GO, Series 1993,
5.000% 12/01/02.................. Aa2 AA 1,122
2,165 Chicago, Illinois, Metropolitan
Water Reclamation, Greater
Chicago Capital Improvement GO,
Series 1995,
5.750% 12/01/01.................. Aa2 AA 2,236
2,000 Chicago, Illinois, O'Hare
International Airport Revenue,
(Passenger Facilities Charge
Project) Series 1996B, AMT,
(AMBAC Insured),
5.000% 01/01/02.................. Aaa AAA 2,021
10,200 Chicago, Illinois, Park District,
GO, Series 1995,
6.600% 11/15/14.................. Aa3 AA 11,195
2,000 Chicago, Illinois, School Finance
Authority, GO, Series 1994A,
(MBIA Insured),
4.800% 06/01/04.................. Aaa AAA 2,014
1,160 Chicago, Illinois, School Finance
Authority, GO, Series 1994A,
(MBIA Insured),
4.900% 06/01/05.................. Aaa AAA 1,167
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
ILLINOIS -- (CONTINUED)
$ 4,000 Chicago, Illinois, Water Revenue,
Series 1992, (AMBAC Insured),
5.400% 11/01/02.................. Aaa AAA $ 4,121
2,000 Cook County, Illinois, Community
College District Number 508,
Certificates of Participation,
Series 1990, (FGIC Insured),
8.750% 01/01/07.................. Aaa AAA 2,452
1,500 Cook County, Illinois, GO, Series
1996, (FGIC Insured),
5.100% 11/15/03.................. Aaa AAA 1,537
1,145 Du Page County, Illinois, School
District, GO, Series 1997, (FGIC
Insured),
6.750% 02/01/11.................. Aaa NR 1,287
1,100 Illinois State, GO, Series 1994,
5.500% 08/01/03.................. Aa2 AA 1,139
12,500 Illinois State, Sales Tax Revenue
Refunding, Series 1993S,
6.000% 06/15/03.................. Aa2 AAA 13,146
7,560 Illinois Student Assistance
Commission, Student Loan Revenue,
Series 1999RR, AMT, (GTD STD
LNS),
4.250% 09/01/06.................. Aaa NR 7,142
1,000 Illinois, Health Facilities
Authority, Revenue Refunding,
(Lutheran General Health Systems
Project) Series 1993C,
5.250% 04/01/02.................. A1 A+ 1,013
1,595 Lake County, Illinois, High School
District Number 125, GO, Series
1996,
5.000% 01/01/04.................. Aa1 NR 1,623
1,050 Lansing, Illinois, Sales Tax
Increment Revenue Refunding,
(Landings Redevelopment Project)
Series 1992,
6.500% 12/01/02.................. NR BBB 1,098
2,000 Metropolitan Pier and Exposition
Authority, Revenue Refunding,
Series 1996A, (AMBAC Insured),
6.000% 12/15/06.................. Aaa AAA 2,143
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
11
<PAGE> 16
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
ILLINOIS -- (CONTINUED)
$ 2,400 Metropolitan Pier and Exposition,
Revenue, Series 1992, (MBIA-IBC
Insured),
6.500% 06/01/05.................. Aaa AAA $ 2,606
1,000 Regional Transportation Authority
of Illinois, Revenue, Series
1991A, (FGIC Insured),
Prerefunded
11/01/01 @ 102,
6.350% 11/01/04.................. Aaa AAA 1,062
3,300 Regional Transportation Authority
of Illinois, Revenue, Series
1994A, (AMBAC Insured),
5.800% 06/01/05.................. Aaa AAA 3,477
--------
66,247
--------
INDIANA -- 1.1%
1,280 Indiana, Health Facilities
Financing Authority, Hospital
Revenue Refunding, (Methodist
Hospital of Indiana, Inc.
Project) Series 1992,
6.200% 09/15/00.................. A NR 1,306
1,040 Indiana, Health Facilities
Financing Authority, Hospital
Revenue Refunding, (Methodist
Hospital of Indiana, Inc.
Project) Series 1992,
6.500% 09/15/02.................. A NR 1,093
2,000 Indiana, Health Facilities
Financing Authority, Hospital
Revenue, (Clarian Health
Partners, Inc. Project) Series
1996A,
5.000% 02/15/04.................. Aa3 AA 2,015
2,880 Indiana, Health Facilities
Financing Authority, Hospital
Revenue, (Methodist Hospital of
Indiana, Inc. Project) Series
1992A,
5.750% 09/01/15.................. Aa AA- 2,944
2,000 Indiana, Secondary Market for
Education Loan Revenue, Series
1998F, AMT, (AMBAC Insured),
4.450% 12/01/05.................. Aaa NR 1,949
--------
9,307
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
IOWA -- 1.7%
$ 5,650 Iowa, Student Loan Liquidity
Corporation, Student Loan Revenue
Refunding, Series 1998J, AMT,
(AMBAC Insured),
4.800% 06/01/09.................. Aaa AAA $ 5,436
10,000 Iowa, Student Loan Liquidity
Corporation, Student Loan
Revenue, (Iowa College Student
Aid Project) Series 1997B, AMT,
4.900% 12/01/05.................. Aaa NR 10,008
--------
15,444
--------
KANSAS -- 2.0%
5,000 Kansas State, Department of
Transportation, Highway Revenue,
Series 1992,
7.250% 03/01/05.................. Aa2 AA+ 5,609
1,585 Kansas State, Development Finance
Authority, Revenue Refunding,
Series 1999, (FSA Insured),
4.750% 06/01/05.................. Aaa AAA 1,594
5,000 Kansas State, Development Finance
Authority, Revenue, (Board of
Regents - Rehabilitation Project)
Series 1997G-2, (AMBAC Insured),
5.500% 10/01/06.................. Aaa AAA 5,227
4,500 Kansas State, Development Finance
Authority, Revenue, Series 1998A,
4.800% 06/01/13.................. NR A- 4,082
2,175 Labette County, Kansas,
Single-Family Mortgage Revenue,
Zero Coupon Capital Accumulator
Bonds, Series 1982,
5.720%+ 12/01/14................. Aaa A- 925
--------
17,437
--------
MAINE -- 0.1%
1,000 Maine, Municipal Board, Revenue
Refunding, Series 1995E, (AMBAC
Insured),
5.250% 11/01/04.................. Aaa AAA 1,033
--------
MARYLAND -- 2.1%
2,000 Baltimore County, Maryland,
Consolidated Public Improvement
GO, Series 1990, Prerefunded
04/01/00 @ 102,
6.900% 04/01/03.................. Aaa AAA 2,071
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
12
<PAGE> 17
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,500 Baltimore, Maryland, Port
Facilities Revenue, (E.I. duPont
de Nemours Project) Series 1985,
6.500% 12/01/10.................. Aa3 AA- $ 1,607
1,500 Maryland State, GO Refunding,
Series 1990-3, Prerefunded
07/15/00 @ 101.5,
6.800% 07/15/04.................. Aaa AAA 1,558
4,890 Maryland State, GO Refunding,
Series 1991-3,
6.250% 07/15/02.................. Aaa AAA 5,061
290 Maryland State, Transportation
Authority, Special Obligation
Revenue, (Baltimore - Washington
D.C. International Airport
Project) Series 1994A, AMT, (FGIC
Insured),
6.400% 07/01/19.................. Aaa AAA 291
3,500 Prince Georges County, Maryland,
Solid Waste Management Systems
Authority, Revenue Refunding,
Series 1993, (FSA Insured),
5.200% 06/15/06.................. Aaa AAA 3,574
2,000 Washington County, Maryland,
Suburban Sanitation District
Authority, General Construction
GO Refunding, Series 1993,
5.000% 06/01/04.................. Aa1 AA 2,044
2,500 Washington County, Maryland,
Suburban Sanitation District
Authority, Water Supply GO
Refunding, Series 1993,
4.900% 12/01/05.................. Aa1 AA 2,540
--------
18,746
--------
MASSACHUSETTS -- 5.6%
400 Massachusetts State, Consolidated
Loan GO, Series 1991D,
6.375% 07/01/00.................. Aa3 AA- 408
1,000 Massachusetts State, GO Refunding,
Series 1993B,
5.000% 11/01/01.................. Aa3 AA- 1,017
5,000 Massachusetts State, GO Refunding,
Series 1993C,
5.000% 08/01/07.................. Aa3 AA- 5,035
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
MASSACHUSETTS -- (CONTINUED)
$12,840 Massachusetts State, GO Refunding,
Series 1993C, (AMBAC Insured),
4.950% 08/01/05.................. Aaa AAA $ 13,035
5,000 Massachusetts State, Water Reserve
Authority, Revenue Refunding,
Series 1997D, (MBIA Insured),
5.000% 08/01/24.................. Aaa AAA 4,417
6,000 Massachusetts State, Water
Resources Authority, General
Revenue Refunding, Series 1993B,
5.125% 03/01/04.................. A1 A+ 6,120
4,175 Massachusetts, Educational
Financing Authority, Educational
Loan Revenue Refunding, Series
1999A, AMT, (AMBAC Insured),
4.750% 07/01/11.................. Aaa AAA 3,913
3,745 Massachusetts, Educational
Financing Authority, Educational
Revenue, Series 1998C, AMT, (MBIA
Insured),
4.600% 12/01/08.................. Aaa AAA 3,585
3,325 Massachusetts, Educational
Financing Authority, Educational
Revenue, Series 1998C, AMT, (MBIA
Insured),
4.700% 12/01/09.................. Aaa AAA 3,177
5,000 Massachusetts, State, GO, Series
1999C,
5.000% 09/01/05.................. Aa3 AA- 5,087
2,000 New England Education Loan
Marketing Company of
Massachusetts, Student Loan
Revenue Refunding, Series 1993A,
AMT,
5.700% 07/01/05.................. A1 A- 2,059
2,000 University of Lowell Building
Authority of Massachusetts,
Revenue, Series 1995A, (AMBAC
Insured)
5.700% 11/01/09.................. Aaa AAA 2,087
--------
49,940
--------
MICHIGAN -- 1.2%
7,500 Detroit, Michigan, Convention
Facilities, Revenue Refunding,
(Cobo Hall Expansion Project)
Series 1993, (FSA Insured),
5.100% 09/30/04.................. Aaa AAA 7,656
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
13
<PAGE> 18
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
MICHIGAN -- (CONTINUED)
$ 1,000 Detroit, Michigan, GO Refunding,
Series 1995B,
6.750% 04/01/03.................. Baa1 A- $ 1,062
2,000 Detroit, Michigan, GO Refunding,
Series 1995B,
7.000% 04/01/04.................. Baa1 A- 2,165
--------
10,883
--------
MINNESOTA -- 1.3%
3,000 Minnesota State, GO, Refunding,
Series 1998,
4.000% 11/01/04.................. Aaa AAA 2,931
1,390 Rochester, Minnesota, Health Care
Facilities Revenue, (Mayo
Foundation - Mayo Medical Center
Project) Series 1988C,
7.100% 11/15/00.................. NR AA+ 1,439
2,150 Southern Minnesota Municipal Power
Agency, Power Supply Systems
Revenue, Refunded Balance, Series
1992B,
5.800% 01/01/07.................. Aaa AAA 2,265
3,850 Southern Minnesota Municipal Power
Agency, Power Supply Systems
Revenue, Unrefunded Balance,
Series 1992B,
5.800% 01/01/07.................. A2 A+ 3,976
900 St. Paul, Minnesota, Sewer Revenue
Refunding, Series 1993, (AMBAC
Insured),
5.100% 12/01/01.................. Aaa AAA 918
--------
11,529
--------
MISSISSIPPI -- 1.2%
8,000 Adams County, Mississippi, PCR,
(International Paper Company
Project) Series 1994A,
5.500% 12/01/05.................. A3 BBB+ 8,095
2,370 Mississippi, Higher Education
Authority Revenue, Series 1992C,
AMT, (GTD STD LNS),
6.400% 01/01/03.................. NR A 2,468
--------
10,563
--------
MISSOURI -- 1.3%
4,000 Kansas City, Missouri, Industrial
Development Authority, IDR,
(Owens-Illinois, Inc. - Georgia-
Pacific Corporation Project)
Series 1998,
4.900% 12/31/08.................. Baa2 NR 3,808
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
MISSOURI -- (CONTINUED)
$ 400 Metropolitan Saint Louis, Missouri,
Sewer District, GO Refunding,
Series 1991, (FGIC Insured),
6.300% 02/15/01.................. Aaa AAA $ 409
400 Missouri State, Board of Public
Buildings, Revenue Refunding,
Series 1991,
5.900% 12/01/01.................. Aa2 AA 415
1,000 Missouri State, Environmental
Improvement and Energy Resource
Authority, PCR Refunding,
(Associated Electrical
Cooperation - Thomas Hill
Project) Series 1996,
5.500% 12/01/05.................. A1 AA 1,037
300 Missouri State, GO Refunding,
(Third State Building Project)
Series 1991B,
5.500% 11/01/01.................. Aaa AAA 309
1,500 Missouri State, Health and
Educational Facilities Authority,
Revenue Refunding, (SSM Health
Care Project) Series 1992AA,
(MBIA Insured),
5.400% 06/01/00.................. Aaa AAA 1,515
600 Missouri State, Health and
Educational Facilities Revenue
Refunding, (Christian Health
Project) Series 1991A, (FGIC
Insured), Prerefunded 02/15/01 @
102,
6.600% 02/15/02.................. Aaa AAA 631
2,575 Missouri State, Health and
Educational Facilities Revenue,
(St. Louis University Project)
Series 1998,
5.250% 10/01/11.................. A1 AA- 2,573
300 Missouri State, Water Pollution
Control GO Refunding, Series
1991B, Prerefunded
11/01/01 @ 100,
5.800% 11/01/03.................. Aaa AAA 310
600 St. Louis County, Missouri,
Pattonville R-3 School District,
GO, Series 1992, (FGIC Insured),
5.700% 02/01/01.................. Aaa AAA 613
--------
11,620
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
14
<PAGE> 19
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
MONTANA -- 0.5%
$ 4,475 Lewis and Clark County, Montana,
Environmental Facilities Revenue,
(Asarco, Inc. Project) Series
1998, AMT,
5.850% 10/01/33.................. Baa3 BBB- $ 4,155
--------
NEBRASKA -- 0.1%
1,000 Nebraska Public Power District,
Power Supply Systems Revenue,
Series 1993,
5.300% 01/01/02.................. Aaa AAA 1,022
--------
NEVADA -- 0.7%
1,000 Nevada State, GO, Series 1991A,
5.800% 05/01/00.................. Aa2 AA 1,012
1,000 Nevada State, Municipal Board, GO,
(Bank Project Number 28-31)
Series 1989C,
7.000% 01/01/03.................. Aaa AAA 1,018
1,000 Nevada State, Municipal Board, GO,
(Bank Project Number 38-39)
Series 1992A,
6.000% 07/01/01.................. NR AA 1,031
2,910 Reno, Nevada, GO Refunding, Series
1993A, (FGIC Insured),
5.300% 04/01/05.................. Aaa AAA 2,991
--------
6,052
--------
NEW JERSEY -- 2.1%
1,100 Bergen County, New Jersey,
Utilities Authority, Water PCR,
Series 1992B, (FGIC Insured),
5.500% 12/15/02.................. Aaa AAA 1,140
3,230 Monmouth County, New Jersey,
Improvement Authority, Revenue
Refunding, (Recreational
Facilities Project) Series 1997,
5.000% 12/01/04.................. Aaa AAA 3,307
3,440 New Jersey State Housing and
Mortgage Finance Agency, Revenue,
(Home Buyer Project), Series
1999, AMT,
5.400% 04/01/09.................. Aaa AAA 3,453
3,340 New Jersey State Housing and
Mortgage Finance Agency, Revenue,
(Home Buyer Project), Series
1999, AMT,
5.300% 04/01/08.................. Aaa AAA 3,353
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
NEW JERSEY -- (CONTINUED)
$ 5,000 New Jersey State, GO Refunding,
Series 1992D,
5.500% 02/15/04.................. Aa1 AA+ $ 5,200
1,100 New Jersey State, Transportation
Trust Fund Authority,
Transportation Systems, Revenue
Refunding, Series 1994A, (AMBAC
Insured),
5.200% 12/15/00.................. Aaa AAA 1,118
1,000 University of Medicine and
Dentistry, New Jersey, Revenue,
Series 1989C,
7.000% 12/01/00.................. A3 AA- 1,025
--------
18,596
--------
NEW MEXICO -- 0.6%
2,000 New Mexico State, GO, Series 1995,
5.250% 09/01/03.................. Aa1 AA+ 2,015
2,160 New Mexico, Mortgage Finance
Authority, Single-Family Mortgage
Revenue, Series 1997E-2, AMT,
(GNMA/FNMA/FHLMC COLL),
5.600% 07/01/17.................. NR AAA 2,089
1,315 New Mexico, Mortgage Financial
Authority, Single-Family Mortgage
Revenue, Series 1997C-2, AMT,
(GNMA/FNMA/ FHLMC COLL),
5.950% 07/01/17.................. Aaa NR 1,334
--------
5,438
--------
NEW YORK -- 3.3%
3,235 Metropolitan Transit Authority of
New York, Commuter Facilities
Revenue, Series 1998A, (MBIA-IBC
Insured),
5.250% 07/01/08.................. Aaa AAA 3,298
3,000 New York City, New York, Municipal
Assistance Corporation, Revenue,
Series 1997J,
5.750% 07/01/03.................. Aa2 AA 3,137
5,000 New York State, Dormitory
Authority, Revenue, (City
University Project) Series 1993B,
5.250% 07/01/06.................. Baa1 BBB+ 5,062
7,000 New York State, Dormitory
Authority, State University
Educational Facilities Revenue,
Series 1993A,
5.400% 05/15/04.................. A3 A- 7,222
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
15
<PAGE> 20
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
NEW YORK -- (CONTINUED)
$ 5,950 New York State, GO Refunding,
Series 1998F,
5.000% 09/15/06.................. A2 A $ 6,030
2,260 New York, New York, GO, Series
1993E, (MBIA-IBC Insured),
Prerefunded 05/15/03 @ 101.5,
5.800% 05/15/05.................. Aaa AAA 2,397
2,305 New York, New York, GO, Unrefunded
Balance, Series 1993-E, (MBIA-
IBC Insured),
5.800% 05/15/05.................. Aaa AAA 2,418
--------
29,564
--------
NORTH CAROLINA -- 3.6%
2,500 Charlotte, North Carolina, Water
and Sewer System, Revenue, Series
1999,
5.250% 06/01/24.................. Aa2 AA+ 2,330
8,000 Mecklenburg County, North Carolina,
GO Refunding, Series 1992,
5.750% 03/01/03.................. Aaa AAA 8,294
3,000 Mecklenburg County, North Carolina,
Public Improvement GO, Series
1992, Prerefunded 01/01/02 @ 101,
6.200% 01/01/04.................. Aaa AAA 3,153
10,000 North Carolina State, Public School
Building, GO, Series 1999,
4.600% 04/01/15.................. Aaa AAA 8,942
4,000 North Carolina, Medical Care
Commission, Health Care
Facilities Revenue, (Carolina
Medicorp, Inc. Project) Series
1996,
5.125% 05/01/16.................. Aa3 AA 3,751
3,135 North Carolina, Medical Care
Commission, Health Care
Facilities Revenue, (Pitt County
Memorial Hospital Project) Series
1998A,
4.400% 12/01/08.................. Aa3 AA- 2,975
3,000 North Carolina, Medical Care
Commission, Hospital Revenue,
(Pitt County Memorial Hospital
Project), Series 1998 B,
5.000% 12/01/18.................. Aa3 AA- 2,689
--------
32,134
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
OHIO -- 0.2%
$ 1,735 Ohio, Housing Finance Agency,
Mortgage Revenue, (Residential
Project) Series 1998B-2, AMT,
(GNMA COLL)
4.800% 09/01/07.................. NR AAA $ 1,683
--------
OKLAHOMA -- 0.5%
5,000 Oklahoma, Development Finance
Authority, Revenue Refunding,
(Hillcrest Healthcare Center Inc.
Project) Series 1999A,
5.625% 08/15/19.................. Baa2 BBB+ 4,526
--------
OREGON -- 0.7%
3,000 Multnomah County, Oregon, School
District
Number 1J-Portland, GO, Series
1996,
5.500% 06/01/05.................. A1 A+ 3,132
1,300 Portland, Oregon, Sewer Systems
Revenue, Series 1994A,
5.450% 06/01/03.................. A1 A+ 1,345
1,300 Washington County, Oregon, Sewer
Revenue Refunding, Senior Lien,
Series 1992A, (AMBAC Insured),
5.300% 10/01/01.................. Aaa AAA 1,330
--------
5,807
--------
PENNSYLVANIA -- 2.7%
2,890 Erie, Pennsylvania, Water
Authority, Water Revenue, Series
1991, Prerefunded 12/01/01 @ 100,
7.125% 12/01/11.................. NR BBB 3,059
9,180 Pennsylvania, Housing Finance
Agency, Single-Family Mortgage
Revenue, Series 1997A-61, AMT,
5.450% 10/01/21.................. Aa2 AA+ 8,578
2,500 Philadelphia, Pennsylvania,
Industrial Development Authority,
IDR Refunding, (Ashland Oil Inc.
Project) Series 1993,
5.700% 06/01/05.................. Baa1 NR 2,538
9,000 Philadelphia, Pennsylvania, Water
and Wastewater Systems Revenue,
Series 1993, (FGIC Insured),
5.500% 06/15/03.................. Aaa AAA 9,309
--------
23,484
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
16
<PAGE> 21
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
RHODE ISLAND -- 0.4%
$ 800 Pawtucket, Rhode Island, GO, Series
1994, (FGIC Insured),
5.250% 04/15/01.................. Aaa AAA $ 813
3,000 Rhode Island State, Consolidated
Capital Development Loan GO,
Series 1992A,
5.400% 08/01/06.................. Aa3 AA- 3,089
--------
3,902
--------
SOUTH CAROLINA -- 3.5%
3,000 Darlington County, South Carolina,
IDR, (Sonoco Products Company
Project) Series 1995, AMT,
6.125% 06/01/25.................. A2 A 3,025
13,400 Georgetown County, South Carolina,
PCR Refunding, (International
Paper Company Project) Series
1999A,
5.125% 02/01/12.................. A3 BBB+ 12,504
3,210 Greenville Hospital Systems of
South Carolina, Hospital
Facilities Revenue, Series 1996B,
(GTY-AGMT),
5.500% 05/01/08.................. Aa3 AA 3,280
5,160 Piedmont Municipal Power Agency,
South Carolina, Electric Revenue,
Series 1996B, (FGIC Insured),
6.000% 01/01/07.................. Aaa AAA 5,448
2,580 Piedmont Municipal Power Agency,
South Carolina, Electric Revenue,
Unrefunded Balance, Series 1991A,
(FGIC Insured),
6.125% 01/01/03.................. Aaa AAA 2,697
3,665 Richland County, South Carolina,
Solid Waste Disposal Facilities
Revenue, (Union Camp Corporation
Project) Series 1992A, AMT,
6.750% 05/01/22.................. A1 BBB+ 3,888
--------
30,842
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH DAKOTA -- 1.2%
$11,000 Education Loans Inc., South Dakota,
Student Loan Revenue, Series
1998, AMT, (GTD STD LNS),
4.950% 06/01/10.................. Aaa NR $ 10,466
--------
TENNESSEE -- 4.7%
6,000 Knox County, Tennessee, Health
Educational and Housing
Facilities Board, Revenue,
(University Health Systems Inc.
Project) Series 1999,
5.750% 04/01/19.................. Baa1 NR 5,613
10,000 Knox County, Tennessee, Health,
Educational and Housing
Facilities Board, Revenue,
(University Health System Inc.
Project) Series 1999,
5.625% 04/01/29.................. Baa1 NR 9,038
6,270 McMinn County, Tennessee,
Industrial Development Board,
Recycling Facilities Revenue,
(Bowater Inc. Project) Series
1992, AMT,
7.400% 12/01/22.................. Baa1 BBB 6,707
1,000 Metropolitan Government, Nashville
and Davidson County, Tennessee,
Health and Educational Facilities
Board, Improvement Revenue
Refunding, (Meharry Medical
College Project) Series 1996,
(AMBAC Insured),
6.000% 12/01/08.................. Aaa AAA 1,073
8,000 Shelby County, Tennessee, Health
Educational and Housing
Facilities Board, Revenue, (St.
Jude's Childrens Research
Project) Series 1999,
5.375% 07/01/24.................. NR AA 7,446
4,000 Tennergy Corporation, Tennessee,
Gas Revenue, Series 1999, (MBIA
Insured),
5.000% 06/01/05.................. Aaa AAA 4,059
5,555 Tennessee State, GO, Series 1995A,
7.000% 03/01/05.................. Aaa AAA 6,185
1,190 Tennessee State, Housing
Development Agency, Revenue,
Series 1998, AMT,
4.950% 07/01/10.................. Aa2 AA 1,135
--------
41,256
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
17
<PAGE> 22
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- 12.6%
$ 2,175 Aldine, Texas, Independent School
District, GO Refunding, Series
1997, (PSFG Insured),
5.100%+ 02/15/07................. Aaa AAA $ 1,500
2,555 Austin, Texas, Utilities Systems
Revenue, Series 1977-2,
5.600% 10/01/03.................. Aaa AAA 2,660
5,000 Austin, Texas, Utilities Systems
Revenue, Series 1986A,
Prerefunded 05/15/01 @ 100,
8.000% 11/15/16.................. Aaa AAA 5,299
975 Brazos, Texas, Higher Education
Authority Inc., Revenue
Refunding, Senior Lien, Series
1994A-2, AMT, (GTD STD LNS),
6.050% 06/01/03.................. Aaa NR 1,013
6,285 Crowley, Texas, Independent School
District, GO, Series 1997, (PSFG
Insured),
5.125% 08/01/26.................. Aaa AAA 5,603
3,150 Guadalupe Blanco River Authority,
Texas, Sewer and Solid Waste
Disposal Facility, Revenue, (EI
du Pont de Nemours and Company
Project) Series 1999,
5.500% 05/01/29.................. Aa3 AA- 2,949
2,350 Harris County, Texas, Health
Facilities Development Authority,
Hospital Revenue Refunding,
(Texas Childrens Hospital
Project) Series 1995, (MBIA
Insured),
6.000% 10/01/05.................. Aaa AAA 2,511
5,000 Harris County, Texas, Health
Facilities Development Authority,
Revenue, Series 1999A,
5.375% 07/01/19.................. Aaa AAA 4,701
7,000 Houston, Texas, Airport System
Revenue, Sub-Lien, Series 1998B,
AMT, (FGIC Insured),
5.250% 07/01/12.................. Aaa AAA 6,797
1,245 Houston, Texas, GO, Series 1990,
Prerefunded 03/01/00 @ 100,
6.800% 03/01/01.................. Aa3 AA- 1,261
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 7,000 Houston, Texas, Water and Sewer
Systems Revenue Refunding, Junior
Lien, Series 1997D, (FGIC
Insured),
5.000% 12/01/25.................. Aaa AAA $ 6,131
2,500 Houston, Texas, Waterworks and
Sewer Systems Revenue, Junior
Lien, Series 1992A, (MBIA
Insured), Prerefunded 12/01/02 @
102,
5.800% 12/01/04.................. Aaa AAA 2,654
1,500 Irving, Texas, Independent School
District, GO Refunding, Series
1994, (PSFG Insured),
4.520%+ 02/15/02................. Aaa AAA 1,349
7,520 Lower Colorado River Authority,
Texas, Revenue Refunding, Junior
Lien, (Fifth-Supply Project)
Series 1993, (AMBAC Insured),
5.300% 01/01/06.................. Aaa AAA 7,858
5,000 North Central Texas, Health
Facilities Development
Corporation, Health Facilities
Revenue, (Presbyterian Healthcare
Residential Project) Series
1996B, (MBIA Insured),
5.500% 06/01/16.................. Aaa AAA 4,973
5,210 North Central, Texas, Health
Facilities Development
Corporation, Revenue Refunding,
(Baylor Health Care Systems
Project) Series 1995,
5.500% 05/15/13.................. Aa3 AA 5,170
410 San Antonio, Texas, Electric and
Gas Revenue, Prerefunded,
5.200% 02/01/01.................. Aa1 AA 416
690 San Antonio, Texas, Electric and
Gas Revenue, Unrefunded Balance,
Series 1994,
5.200% 02/01/01.................. Aa1 AA 699
415 San Antonio, Texas, Water Revenue
Refunding, Series 1992, (FGIC
Insured),
5.900% 05/15/00.................. Aaa AAA 421
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
18
<PAGE> 23
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 2,455 San Antonio, Texas, Water Revenue,
Unrefunded Balance, Series 1992,
(FGIC Insured),
5.900% 05/15/00.................. Aaa AAA $ 2,488
2,000 Southwest Higher Education
Authority, Inc., Higher Education
Revenue Refunding, (Southern
Methodist University Project)
Series 1995, (FSA Insured),
5.125% 10/01/16.................. Aaa AAA 1,872
4,805 Tarrant County, Texas, Health
Facilities Development
Corporation, Health Systems
Revenue, (Texas Health Resources
Systems Project) Series 1997A,
(MBIA Insured),
5.750% 02/15/10.................. Aaa AAA 4,972
5,000 Tarrant County, Texas, Health
Facilities Development
Corporation, Health Systems
Revenue, (Texas Health Resources
Systems Project) Series 1997A,
(MBIA Insured),
5.250% 02/15/17.................. Aaa AAA 4,639
3,200 Texas A&M University, Financing
Systems Revenue, Series 1995,
5.950% 05/15/05.................. Aa2 AA+ 3,402
6,260 Texas State, GO, Series 1999,
5.250% 08/01/20.................. Aa1 AA 5,861
4,000 Texas State, GO, Series 1999,
5.250% 08/01/21.................. Aa1 AA 3,729
5,500 Texas State, Public Finance
Authority, Building Revenue
Refunding, Series 1990, (MBIA
Insured),
6.600% 02/01/00.................. Aaa AAA 5,552
900 Texas State, Public Finance
Authority, GO, Series 1994B,
5.000% 10/01/01.................. Aa1 AA 915
1,100 Texas State, Superconducting GO
Refunding, Series 1992C,
5.350% 04/01/01.................. Aa1 AA 1,120
1,000 Texas State, Veterans Housing
Assistance GO, Series 1994B-4,
AMT,
6.100% 12/01/06.................. Aa1 AA $ 1,043
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
4,790 Texas, Municipal Power Agency,
Revenue, Refunded Balance, Series
1992, (MBIA Insured), Prerefunded
09/01/02 @ 100,
5.750% 09/01/12.................. Aaa AAA 4,979
7,210 Texas, Municipal Power Agency,
Revenue, Series 1992, (MBIA
Insured), Prerefunded 09/01/02 @
100,
5.750% 09/01/12.................. Aaa AAA 7,495
300 University of Texas, Permanent
University Fund, Revenue
Refunding, Series 1991,
Prerefunded 07/01/01 @ 102,
6.700% 07/01/05.................. Aaa AAA 318
--------
112,350
--------
UTAH -- 0.3%
2,145 Cache County, Utah, School
District, Utah School Board
Guaranty Program, GO Refunding,
Series 1997, (SCH BD GTY),
5.500% 06/15/07.................. NR AAA 2,234
300 Davis County, Utah, School
District, GO, Series 1991, (FGIC
Insured), Prerefunded
12/01/01 @ 100,
6.450% 06/01/02.................. Aaa AAA 314
--------
2,548
--------
VIRGINIA -- 5.8%
6,170 Chesapeake, Virginia, GO Refunding,
Series 1993,
5.000% 12/01/03.................. Aa3 AA 6,319
4,000 Chesterfield County, Virginia,
Improvement GO Refunding, Series
1991,
6.250% 07/15/05.................. Aaa AAA 4,211
6,000 Covington-Allegheny County,
Virginia, Industrial Development
Authority, PCR Refunding,
(Westvaco Corporation Project)
Series 1994,
5.900% 03/01/05.................. A1 A 6,370
5,790 Fairfax County, Virginia, GO
Refunding, Series 1993C, (State
Aid Withholding),
5.000% 05/01/05.................. Aaa AAA 5,911
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
19
<PAGE> 24
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$ 2,500 Newport News, Virginia, GO
Refunding, Series 1993B, (State
Aid Withholding),
5.400% 11/01/06.................. Aa2 AA $ 2,590
1,000 Norfolk, Virginia, GO, Series 1995,
5.250% 06/01/01.................. A1 AA 1,018
1,500 Norfolk, Virginia, Industrial
Development Authority, Hospital
Revenue, (Sentara Hospitals,
Norfolk Project) Series 1994A,
4.600% 11/01/04.................. Aa2 AA 1,499
3,000 Virginia Beach, Virginia, GO
Refunding, Series 1993,
5.100% 07/15/05.................. Aa2 AA 3,075
1,500 Virginia State, Public Facilities
GO, Series 1993A,
5.400% 06/01/05.................. Aaa AAA 1,565
1,100 Virginia State, Higher Educational
Institutions GO, Series 1992C,
5.900% 06/01/05.................. Aaa AAA 1,144
4,845 Virginia State, Housing Development
Authority, Multi-Family Housing
Revenue, Series 1999B, AMT,
5.200% 05/01/19.................. Aa1 AA+ 4,491
7,000 Virginia State, Public School
Authority, Revenue Refunding,
Series 1993B, (State Aid
Withholding),
5.250% 01/01/07.................. Aa1 AA 7,167
1,520 Virginia State, Public School
Authority, Revenue, Series 1991A,
6.000% 01/01/00.................. Aa1 AA 1,529
2,265 Virginia State, Public School
Authority, Revenue, Series 1992A,
(State Aid Withholding),
6.000% 01/01/00.................. Aa1 AA 2,278
2,600 Virginia, College Building
Authority, Educational Facilities
Revenue Refunding, (University of
Richmond Project) Series 1992,
5.625% 11/01/02.................. NR AA 2,661
--------
51,828
--------
WASHINGTON -- 5.2%
2,500 King County, Washington, GO
Refunding, Series 1993C,
5.625% 06/01/02.................. Aaa AA+ 2,582
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
WASHINGTON -- (CONTINUED)
$ 510 King County, Washington, GO,
Unrefunded Balance, Series 1993A,
5.250% 12/01/01.................. Aaa AA+ $ 521
1,195 King County, Washington, School
District Number 415, GO, Series
1996, (FSA Insured),
5.100% 06/01/04.................. Aaa AAA 1,222
3,000 Pierce County, Washington, School
District Number 003, GO
Refunding, Series 1996, (FGIC
Insured),
5.000% 12/01/03.................. Aaa AAA 3,061
1,500 Snohomish County, Washington,
School District No. 103, GO,
Series 1996, (FGIC Insured),
5.150% 06/01/05.................. Aaa AAA 1,534
2,500 Tacoma, Washington, Electric
Systems Revenue Refunding, Series
1992B, (AMBAC Insured),
5.900% 01/01/05.................. Aaa AAA 2,616
800 Tacoma, Washington, Electrical
Systems Revenue Refunding, Series
1994, (FGIC Insured),
5.500% 01/01/01.................. Aaa AAA 813
1,000 Tacoma, Washington, GO, Series
1992A,
5.750% 07/01/02.................. A1 A+ 1,034
3,500 Washington State, GO Refunding,
Series 1991R-92A,
6.400% 09/01/03.................. Aa1 AA+ 3,661
900 Washington State, GO Refunding,
Series 1992R-92C,
5.600% 09/01/01.................. Aa1 AA+ 924
10,000 Washington State, GO Refunding,
Series 1993R-93B,
5.125% 10/01/04.................. Aa1 AA+ 10,250
1,000 Washington State, GO, Series 1990B,
6.550% 08/01/00.................. Aa1 AA+ 1,022
500 Washington State, GO, Series 1991B,
Prerefunded 06/01/01 @ 100,
6.300% 06/01/02.................. Aa1 AA+ 517
900 Washington State, GO, Series
1992-93A,
5.250% 10/01/00.................. Aa1 AA+ 913
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
20
<PAGE> 25
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
WASHINGTON -- (CONTINUED)
$ 7,500 Washington State, Public Power
Supply Systems Revenue Refunding,
Series 1990C, (FGIC Insured),
7.000% 07/01/01.................. Aaa AAA $ 7,846
2,000 Washington State, Public Power
Supply Systems Revenue Refunding,
Series 1991A,
6.500% 07/01/03.................. Aa AA 2,103
1,150 Washington State, Public Power
Supply Systems Revenue Refunding,
Series 1993A,
5.800% 07/01/07.................. Aa1 AA- 1,208
3,000 Washington State, Public Power
Supply Systems Revenue Refunding,
Series 1993B, (FSA Insured),
5.400% 07/01/05.................. Aaa AAA 3,103
1,000 Washington State, Public Power
Supply Systems Revenue Refunding,
Series 1996A, (AMBAC Insured),
5.500% 07/01/04.................. Aaa AAA 1,039
--------
45,969
--------
WEST VIRGINIA -- 0.6%
2,000 West Virginia State, Building
Commission, Lease Revenue, (West
Virginia Regional Jail and
Correction Project) Series 1990A,
(MBIA Insured),
6.700% 07/01/02.................. Aaa AAA 2,083
5,340 West Virginia State, GO, Series
1999A, (FGIC Insured),
5.220%+ 11/01/09................. Aaa AAA 3,176
--------
5,259
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- --------------------------------------------------------------------------
<C> <S> <C> <C> <C>
WISCONSIN -- 2.0%
$ 5,000 Kaukauna, Wisconsin, PCR,
Refunding, (International Paper
Project), Series 1997A,
5.150% 07/01/06.................. A3 BBB+ $ 4,939
300 Milwaukee, Wisconsin, GO, Series
1991BZ, Prerefunded
06/15/01 @ 100,
6.375% 06/15/03.................. Aa1 AA+ 311
300 Milwaukee, Wisconsin, Metropolitan
Sewer District, GO, Series 1989
A,
7.000% 09/01/00.................. Aa1 AA+ 308
400 Milwaukee, Wisconsin, Metropolitan
Sewer District, GO, Series 1990
A,
6.700% 10/01/00.................. Aa1 NR 411
5,000 Milwaukee, Wisconsin, Metropolitan
Sewer District, GO, Series 1990
A,
6.700% 10/01/01.................. Aa1 NR 5,240
3,070 Sun Prairie, Wisconsin, Area School
District, GO, Promissory Notes,
Series 1996, (FGIC Insured),
5.500% 04/01/03.................. Aaa AAA 3,178
900 Wisconsin State, GO Refunding,
Series 1993-1,
5.100% 11/01/01.................. Aa2 AA 917
2,735 Wisconsin, Housing and Economic
Development Authority, Revenue,
Series 1997G,
5.350% 03/01/12.................. Aa3 AA 2,677
--------
17,981
--------
TOTAL MUNICIPAL BONDS AND NOTES
(Cost $858,597).................................. 865,066
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
21
<PAGE> 26
NATIONS FUNDS
Nations Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- -----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 0.6%
(Cost $5,121)
5,121 AIM Tax-Exempt Fund................... $ 5,121
--------
TOTAL INVESTMENTS
(Cost $863,718*)............. 98.2% 870,187
--------
OTHER ASSETS AND
LIABILITIES (NET)............ 1.8%
Cash.................................. $ 1
Receivable for investment securities
sold................................ 12,469
Receivable for Fund shares sold....... 595
Interest receivable................... 13,970
Payable for Fund shares redeemed...... (3,379)
Investment advisory fee payable....... (160)
Administration fee payable............ (146)
Shareholder servicing and distribution
fees payable........................ (12)
Distributions payable................. (3,466)
Payable for investment securities
purchased........................... (3,916)
Accrued Trustees' fees and expenses... (16)
Accrued expenses and other
liabilities......................... (177)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................... 15,763
--------
NET ASSETS..................... 100.0% $885,950
========
NET ASSETS CONSIST OF:
Undistributed net investment income... $ 752
Accumulated net realized loss on
investments sold.................... (1,207)
Net unrealized appreciation of
investments......................... 6,469
Paid-in capital....................... 879,936
--------
NET ASSETS............................ $885,950
========
</TABLE>
<TABLE>
<CAPTION>
VALUE
- -----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($860,900,314 / 86,976,337 shares
outstanding)........................ $9.90
=====
INVESTOR A SHARES:
Net asset value and redemption price
per share ($20,217,088 / 2,042,451
shares outstanding)................. $9.90
=====
Maximum sales charge.................. 3.25%
Maximum offering price per share...... $10.23
INVESTOR B SHARES:
Net asset value and offering price per
share** ($2,989,557 / 302,038 shares
outstanding)........................ $9.90
=====
INVESTOR C SHARES:
Net asset value and offering price per
share** ($1,843,002 / 186,161 shares
outstanding)........................ $9.90
=====
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $19,509 and gross
depreciation of $13,040 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$863,718.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Intermediate Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
MBIA 11.95%
Nations Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Industrial Development Revenue/
Pollution Control Revenue 10.17%
SEE NOTES TO FINANCIAL STATEMENTS.
22
<PAGE> 27
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 98.0%
ALABAMA -- 2.7%
$ 2,000 Birmingham, Alabama, GO
Refunding, Series
1992B,
6.250% 04/01/12....... Aa3 AA $ 2,112
3,000 Butler County, Alabama,
Industrial Development
Board, Solid Waste
Disposal Revenue,
(James River
Corporation of
Virginia Project)
Series 1994, AMT,
8.000% 09/01/28....... NR BBB 3,264
7,210 Courtland, Alabama,
Industrial Development
Board, Solid Waste
Disposal Revenue
Refunding, (Champion
International
Corporation Project)
Series 1997, AMT,
5.750% 11/01/27....... Baa1 NR 6,615
2,400 Daphne, Alabama, Special
Care Facilities
Financing Authority,
Revenue, (Presbyterian
Retirement Corporation
Project) Series 1988A,
Prerefunded 08/15/01 @
100,
7.300% 08/15/18....... NR NR 2,528
2,000 Jefferson County,
Alabama, Sewer Revenue
Refunding, Series
1997A, (FGIC Insured),
5.625% 02/01/22....... Aaa AAA 1,959
1,000 Morgan County-Decatur,
Alabama, Health Care
Authority, Hospital
Revenue Refunding,
(Decatur General
Hospital Project)
Series 1994, (CONNIE
LEE Insured),
6.250% 03/01/13....... NR AAA 1,051
--------
17,529
--------
ALASKA -- 2.3%
1,500 Alaska, Student Loan
Corporation, Student
Loan Revenue, Series
1997A, AMT, (AMBAC
Insured),
5.250% 07/01/07....... Aaa AAA 1,510
2,500 Alaska, Student Loan
Corporation, Student
Loan Revenue, Series
1999A, AMT, (AMBAC
Insured),
4.900% 07/01/08....... Aaa AAA 2,433
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
ALASKA -- (CONTINUED)
$ 1,000 Anchorage, Alaska,
Electric Utilities
Revenue Refunding,
Senior Lien, Series
1993, (MBIA Insured),
8.000% 12/01/09....... Aaa AAA $ 1,221
7,000 Anchorage, Alaska,
Electric Utilities
Revenue, Senior Lien,
Series 1996B, (MBIA
Insured),
5.500% 02/01/26....... Aaa AAA 6,619
2,250 Anchorage, Alaska,
Telephone Utilities
Revenue Refunding,
Series 1994A, (AMBAC
Insured),
4.500% 12/01/02....... Aaa AAA 2,263
1,000 North Slope Borough,
Alaska, Capital
Appreciation GO,
Series 1995A, (MBIA
Insured),
5.000%+ 06/30/06...... Aaa AAA 717
--------
14,763
--------
ARIZONA -- 2.0%
3,000 Maricopa County,
Arizona, School
District Number 006,
GO, (Projects of 1996)
Series 1998, (FGIC
Insured),
4.000% 07/01/10....... Aaa AAA 2,661
4,000 Maricopa County,
Arizona, Unified
School District Number
4, GO Refunding,
Series 1993, (FGIC
Insured),
4.460%+ 07/01/02...... Aaa AAA 3,543
1,000 Maricopa County,
Arizona, Unified
School District Number
48, GO Refunding,
Series 1991B,
6.300% 07/01/04....... Aa2 AA 1,075
1,300 Maricopa County,
Arizona, Unified
School District Number
48, GO Refunding,
Series 1993B,
4.600% 07/01/11....... Aa2 AA 1,226
2,000 Salt River Project,
Arizona, Agricultural
Improvement Revenue,
Series 1992C,
6.250% 01/01/19....... Aa2 AA 2,083
5,000 Tucson and Pima County,
Arizona, Industrial
Development Authority,
Single-Family Mortgage
Revenue, Series 1983A,
5.770%+ 12/01/14...... Aaa AAA 2,135
--------
12,723
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
23
<PAGE> 28
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
ARKANSAS -- 0.7%
$ 1,300 Arkansas State,
Development Finance
Authority, Revolving
Loan Fund, Wastewater
Systems Revenue,
Series 1996A,
5.700% 12/01/12....... NR AA $ 1,331
3,425 Blytheville, Arkansas,
Solid Waste Recycling
and Sewer Treatment
Revenue, (Nucor
Corporation Project)
Series 1993, AMT,
6.375% 01/01/23....... A1 AA- 3,488
--------
4,819
--------
CALIFORNIA -- 2.6%
2,900 California State,
Department of Water
Resources, Central
Water Systems Revenue,
(Central Valley
Project) Series 1995O,
5.000% 12/01/12....... Aa2 AA 2,861
1,000 California State, GO,
Series 1988,
7.100% 09/01/02....... Aa3 AA- 1,084
1,000 California State, GO,
Series 1990,
7.000% 08/01/04....... Aa3 AA- 1,117
1,000 Los Angeles, California,
Wastewater Systems
Revenue Refunding,
Series 1993C, (MBIA
Insured),
5.500% 06/01/14....... Aaa AAA 1,007
3,000 Metropolitan Water
District of Southern
California, Waterworks
Revenue, Series 1992,
5.500% 07/01/19....... Aa2 AA 2,968
2,000 Metropolitan Water
District of Southern
California, Waterworks
Revenue, Series 1995A,
(MBIA Insured),
5.750% 07/01/15....... Aaa AAA 2,042
2,595 San Francisco,
California, City and
County Airport
Commission,
International Airport
Revenue, Series
1995-2-9B, (FGIC
Insured),
5.250% 05/01/13....... Aaa AAA 2,595
3,500 Southern California,
Public Power
Authority, Revenue
Refunding, (Palo Verde
Project) Series 1993A,
5.000% 07/01/15....... A2 A+ 3,303
--------
16,977
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
COLORADO -- 0.7%
$ 1,500 Arapahoe County,
Colorado, Capital
Improvement
Transportation Federal
Highway Revenue,
Series 1986E-470,
Prerefunded 08/31/05 @
103,
6.900% 08/31/15....... Aaa NR $ 1,709
2,500 Douglas County,
Colorado, Sales and
Use Tax Revenue,
Series 1996, (MBIA
Insured),
5.500% 10/15/11....... Aaa AAA 2,545
--------
4,254
--------
CONNECTICUT -- 0.6%
1,000 Connecticut State, GO,
Series 1996A,
5.300% 05/15/10....... Aa3 AA 1,019
1,590 Connecticut State,
Housing Finance
Authority, Revenue,
(Housing Mortgage
Finance Program)
Series 1992B,
6.700% 11/15/12....... Aa2 AA 1,688
1,300 Connecticut State,
Housing Finance
Authority, Revenue,
(Housing Mortgage
Finance Program)
Series 1994A,
6.100% 05/15/13....... Aa2 AA 1,325
--------
4,032
--------
DISTRICT OF COLUMBIA -- 1.7%
7,000 District of Columbia,
Hospital Revenue
Refunding, (Medlantic
Healthcare Group
Project) Series 1997A,
(MBIA Insured),
Prerefunded
08/15/07 @ 102,
5.375% 08/15/15....... Aaa AAA 6,971
3,905 District of Columbia,
Revenue Refunding,
(Howard University
Project) Series 1996,
(MBIA Insured),
5.750% 10/01/12....... Aaa AAA 3,974
--------
10,945
--------
FLORIDA -- 5.0%
3,000 Florida State, Board of
Education, Capital
Outlay, GO, Series
1997A,
5.000% 01/01/17....... Aa2 AA+ 2,762
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
24
<PAGE> 29
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,735 Florida State, Board of
Education, Capital
Outlay, GO, Unrefunded
Balance, Series 1985,
9.125% 06/01/14....... Aa2 AA+ $ 2,762
1,000 Florida State, Board of
Education, Public
Education Capital
Outlay, GO Refunding,
Series 1995A,
5.500% 06/01/14....... Aa2 AA+ 1,003
2,000 Florida State, Division
of Financing,
Department of General
Services, Revenue
Refunding, (Florida
Facilities Pool
Project) Series 1995B,
(AMBAC Insured),
5.700% 09/01/20....... Aaa AAA 1,997
3,750 Jacksonville, Florida,
PCR, Refunding,
(Anheuser-Busch
Companies, Inc.
Project) Series 1996,
5.700% 08/01/31....... A1 A+ 3,679
3,900 Martin County, Florida,
Industrial Development
Authority, Revenue,
(Indiantown
Cogeneration Project)
Series 1994A, AMT,
7.875% 12/15/25....... Baa3 BBB- 4,038
1,000 Orlando and Orange
County, Florida,
Expressway Authority,
Revenue, Junior Lien,
Series 1990, (FGIC
Insured),
6.500% 07/01/10....... Aaa AAA 1,119
1,500 Orlando, Florida,
Utilities Commission
Water and Electric
Utilities Revenue
Refunding, Series
1994A,
5.000% 10/01/20....... Aa AA- 1,354
12,115 Polk County, Florida,
Industrial Development
Authority, Solid Waste
Disposal Facilities
Revenue, (Tampa
Electric Company
Project) Series 1996,
AMT,
5.850% 12/01/30....... Aa2 A1+ 12,010
2,000 South Broward, Florida,
Hospital District,
Revenue Refunding,
Series 1993, (FSA
Insured),
5.500% 05/01/28....... Aaa AAA 1,925
--------
32,210
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- 6.9%
$ 1,100 Atlanta, Georgia, GO,
Series 1993,
5.600% 12/01/11....... Aa3 AA $ 1,132
1,000 Cartersville, Georgia,
Development Authority,
Sewer Facilities
Revenue Refunding,
(Anheuser-Busch
Companies, Inc.
Project) Series 1997,
AMT,
6.125% 05/01/27....... A1 A+ 1,004
2,000 Coweta County, Georgia,
School System GO,
Series 1992,
Prerefunded 08/01/02 @
102,
6.300% 08/01/11....... A1 A 2,140
1,000 DeKalb County, Georgia,
School District, GO,
Series 1993A,
6.250% 07/01/09....... Aa2 AA 1,097
3,000 Effingham County,
Georgia, Development
Authority, Solid Waste
Disposal Revenue,
(Fort James
Corporation Project)
Series 1998, AMT,
5.625% 07/01/18....... Baa2 BBB- 2,853
4,750 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, (St.
Josephs Hospital
Project) Series 1994,
5.500% 10/01/18....... Aaa A 4,729
3,000 Georgia State, GO
Refunding, Series
1992A,
6.250% 03/01/06....... Aaa AAA 3,258
3,000 Georgia State, GO,
Series 1992B,
6.250% 03/01/11....... Aaa AAA 3,285
3,000 Georgia State, GO,
Series 1996B,
6.250% 04/01/07....... Aaa AAA 2,275
1,650 Gwinnett County,
Georgia, Water and
Sewer Certificates of
Participation, Series
1991,
8.600% 08/01/03....... Aaa AAA 1,889
2,080 Metropolitan Atlanta,
Rapid Transit
Authority of Georgia,
Revenue Refunding,
Series 1991M,
6.350% 07/01/04....... A1 AA- 2,184
1,000 Metropolitan Atlanta,
Rapid Transit
Authority of Georgia,
Revenue Refunding,
Series 1992P, (AMBAC
Insured),
6.000% 07/01/04....... Aaa AAA 1,063
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
25
<PAGE> 30
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$ 1,000 Metropolitan Atlanta,
Rapid Transit
Authority of Georgia,
Revenue Refunding,
Series 1992P, (AMBAC
Insured),
6.100% 07/01/05....... Aaa AAA $ 1,072
2,000 Metropolitan Atlanta,
Rapid Transit
Authority of Georgia,
Revenue Refunding,
Series 1992P, (AMBAC
Insured),
6.250% 07/01/20....... Aaa AAA 2,153
2,000 Monroe County, Georgia,
Development Authority,
PCR, (Oglethorpe Power
Corporation Project)
Series 1992A,
6.800% 01/01/11....... A3 A 2,224
3,000 Savannah, Georgia,
Hospital Authority,
Hospital Improvement
Revenue Refunding,
(Candler Hospital
Project) Series 1992,
Prerefunded 01/01/03 @
102,
7.000% 01/01/23....... Ba1 BB 3,272
2,000 Savannah, Georgia,
Hospital Authority,
Hospital Improvement
Revenue, (St. Joseph's
Hospital Project)
Series 1993,
Prerefunded
07/01/03 @ 102,
6.125% 07/01/12....... A3 NR 2,144
2,690 Union County, Georgia,
Housing Authority,
Multi-Family Housing
Revenue Refunding,
(Hidden Lake
Apartments Ltd.
Project) Series 1994A,
(FHA/FNMA COLL),
7.125% 12/01/25....... Aaa NR 2,854
3,000 White County, Georgia,
Industrial Development
Authority, Revenue
Refunding, (Springs
Industries, Inc.
Project) Series 1992,
6.850% 06/01/10....... NR BBB 3,099
--------
44,727
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
HAWAII -- 1.4%
$ 1,900 Hawaii State, Department
of Budget and Finance,
Special Purpose
Mortgage Revenue,
(Hawaiian Electric
Company and
Subsidiaries Project)
Series 1992, AMT,
(MBIA Insured),
6.550% 12/01/22....... Aaa AAA $ 2,018
3,000 Hawaii State, GO, Series
1997CN, (FGIC
Insured),
6.250% 03/01/04....... Aaa AAA 3,198
1,180 Honolulu City and
County, Hawaii, GO
Refunding, Series
1993B,
8.000% 10/01/10....... Aa3 AA- 1,451
2,100 Maui County, Hawaii, GO
Refunding, Series
1993, (FGIC Insured),
5.000% 09/01/03....... Aaa AAA 2,141
--------
8,808
--------
ILLINOIS -- 4.7%
3,385 Chicago, Illinois,
Metropolitan Water
Reclamation District,
Capital Improvement
GO, Series 1991,
6.900% 01/01/07....... Aa2 AA 3,791
3,000 Chicago, Illinois,
O'Hare International
Airport, Revenue
Refunding, Second
Lien, Series 1993C,
(MBIA Insured),
5.000% 01/01/18....... Aaa AAA 2,682
2,640 Chicago, Illinois,
O'Hare International
Airport, Revenue
Refunding, Senior
Lien, Series 1993A,
5.000% 01/01/16....... A2 A+ 2,401
1,500 Chicago, Illinois,
O'Hare International
Airport, Special
Facilities Revenue
Refunding, (American
Airlines Inc. Project)
Series 1994,
(GTY-AGMT),
8.200% 12/01/24....... Baa1 BBB- 1,700
2,000 Chicago, Illinois, Park
District, GO, Series
1996, (MBIA Insured),
5.500% 01/01/16....... Aaa AAA 1,947
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
26
<PAGE> 31
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
ILLINOIS -- (CONTINUED)
$ 1,000 Cook County, Illinois,
Forest Preserve
District, Zoo GO,
Series 1996, (MBIA
Insured),
5.800% 11/01/16....... Aaa AAA $ 1,004
2,000 Cook County, Illinois,
GO, Series 1996, (FGIC
Insured),
5.900% 11/15/16....... Aaa AAA 2,153
1,805 Glendale Heights,
Illinois, Hospital
Revenue Refunding,
(Glendale Heights
Project) Series 1985B,
7.100% 12/01/15....... Aaa AAA 2,046
2,000 Illinois State, GO,
Series 1995, (MBIA
Insured),
6.000% 02/01/16....... Aaa AAA 2,041
1,500 Illinois State, Sales
Tax Revenue, Series
1994V,
6.375% 06/15/17....... Aa2 AAA 1,599
4,000 Illinois, Development
Finance Authority, PCR
Refunding,
(Commonwealth Edison
Company Project)
Series 1991,
7.250% 06/01/11....... Baa2 BBB+ 4,200
1,000 Illinois, Development
Finance Authority, PCR
Refunding,
(Commonwealth Edison
Company Project)
Series 1994D, (AMBAC
Insured),
6.750% 03/01/15....... Aaa AAA 1,090
1,800 Illinois, Educational
Facilities Authority,
Revenue, (Northwestern
University Project)
Series 1993,
5.375% 12/01/21....... Aa1 AA+ 1,697
2,680 Southern Illinois,
Capital Appreciation
University Revenue,
(Housing and Auxiliary
Facilities Systems
Program) Series 1997,
(MBIA Insured),
5.080%+ 04/01/06...... Aaa AAA 1,934
--------
30,285
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
INDIANA -- 3.3%
$ 2,500 Franklin, Indiana,
Economic Development
Revenue Refunding,
(Hoover Universal,
Inc. Project) Series
1994,
(GTY-AGMT),
6.100% 12/01/04....... A2 A- $ 2,645
1,000 Hamilton/Southeastern
Indiana, North
Delaware School
Building Corporation,
First Mortgage
Revenue, Series 1996,
(AMBAC Insured, State
Aid Withholding),
5.000% 07/15/07....... Aaa AAA 1,008
1,000 Hamilton/Southeastern
Indiana, North
Delaware School
Building Corporation,
First Mortgage
Revenue, Series 1996,
(AMBAC Insured, State
Aid Withholding),
5.100% 07/15/09....... Aaa AAA 1,004
1,000 Hammond, Indiana, PCR,
(Stauffer Chemical
Project), Series 1982,
8.000% 11/01/12....... A1 NR 1,032
1,000 Indiana, Health
Facilities Financing
Authority, Hospital
Revenue, (Clarian
Health Partners, Inc.
Project) Series 1996A,
5.500% 02/15/16....... Aa3 AA 959
10,000 Indianapolis, Indiana,
Airport Authority,
Special Facilities
Revenue Refunding,
(Federal Express
Corporation Project)
Series 1998, AMT,
5.500% 05/01/29....... Baa2 BBB 8,884
2,000 Indianapolis, Indiana,
Airport Authority,
Special Facilities
Revenue, (Federal
Express Corporation
Project) Series 1994,
AMT,
7.100% 01/15/17....... Baa2 BBB 2,160
2,000 St. Joseph County,
Indiana, Educational
Facilities Revenue,
(University of Notre
Dame-Du Lac Project)
Series 1996,
5.500% 03/01/26....... Aaa NR 1,922
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
27
<PAGE> 32
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
INDIANA -- (CONTINUED)
$ 2,000 St. Joseph County,
Indiana, Educational
Facilities Revenue,
(University of Notre
Dam-Du Lac Project)
Series 1997,
5.250% 03/01/21....... Aaa NR $ 1,859
--------
21,473
--------
KANSAS -- 0.7%
2,000 Kansas City, Kansas,
Utility System
Improvement Revenue
Refunding, Series
1994, (FGIC Insured),
6.250% 09/01/14....... Aaa AAA 2,130
2,000 Kansas State, Department
of Transportation,
Highway Revenue,
Series 1992A,
Prerefunded 09/01/02 @
102,
6.000% 09/01/07....... Aa2 AA+ 2,127
--------
4,257
--------
KENTUCKY -- 0.2%
1,000 Kentucky State, Turnpike
Authority, Economic
Development Revenue
Refunding,
(Revitalization
Project) Series 1993,
(AMBAC Insured),
5.500% 07/01/08....... Aaa AAA 1,039
--------
MAINE -- 0.2%
1,000 Maine, Health and Higher
Educational Facilities
Authority, Revenue,
Series 1996B, State
Aid Withholding,
(AMBAC Insured),
5.500% 07/01/16....... Aaa AAA 969
--------
MARYLAND -- 0.4%
3,000 Maryland State, Economic
Development
Corporation, Student
Housing Revenue,
(Salisbury Collegiate
Housing Project)
Series 1999A,
6.000% 06/01/30....... Baa3 NR 2,863
--------
MASSACHUSETTS -- 3.4%
2,885 Massachusetts Bay,
Transportation
Authority, Revenue,
(General
Transportation Systems
Project) Series 1995A,
Prerefunded
03/01/05 @ 102,
5.750% 03/01/18....... Aa3 AA- 3,079
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MASSACHUSETTS -- (CONTINUED)
$ 2,500 Massachusetts State,
Consolidated Loan GO,
Series 1995A, (MBIA
Insured), Prerefunded
02/01/05 @ 101,
5.750% 02/01/13....... Aaa AAA $ 2,653
2,000 Massachusetts State,
Consolidated Loan GO,
Series 1996B, (FGIC
Insured),
5.500% 06/01/10....... Aaa AAA 2,054
3,750 Massachusetts State, GO
Refunding, Series
1996A, (AMBAC
Insured),
5.200% 11/01/12....... Aaa AAA 3,715
3,000 Massachusetts State,
Water Resources
Authority, Revenue
Refunding, Series
1992B,
6.250% 11/01/10....... A1 A+ 3,180
7,400 Massachusetts, State
Port Authority,
Special Facilities
Revenue, (Bosfuel
Corporation Project)
Series 1997, AMT,
(MBIA Insured),
5.750% 07/01/39....... Aaa AAA 7,047
--------
21,728
--------
MICHIGAN -- 3.1%
1,670 Byron Center, Michigan,
Public Schools GO,
Series 1995, (MBIA
Insured), Prerefunded
05/01/05 @ 101,
5.970% 05/01/15....... Aaa AAA 1,792
1,000 Detroit, Michigan, GO
Refunding, Series
1995B,
6.375% 04/01/07....... Baa1 A- 1,066
1,250 Kalamazoo, Michigan,
City School District,
GO Refunding, Series
1996, (FGIC Insured),
5.650% 05/01/14....... Aaa AAA 1,324
1,000 Lakeshore, Michigan,
Public Schools, GO,
Series 1995, (MBIA
Insured),
5.750% 05/01/15....... Aaa AAA 1,011
3,000 Michigan State,
Comprehensive
Transportation Revenue
Refunding, Series
1996A, (MBIA Insured),
5.250% 08/01/13....... Aaa AAA 2,951
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
28
<PAGE> 33
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MICHIGAN -- (CONTINUED)
$ 1,000 Michigan State,
Environmental
Protection Program GO,
Series 1992,
6.250% 11/01/12....... Aa1 AA+ $ 1,087
7,880 Michigan State, Hospital
Finance Authority
Revenue, (Henry Ford
Health Systems
Project) Series 1999A,
6.000% 11/15/19....... A1 AA- 7,736
2,000 Michigan State, Hospital
Finance Authority,
Hospital Revenue,
(Holland Community
Hospital Project)
Series 1996, (AMBAC
Insured),
5.625% 01/01/28....... Aaa AAA 1,927
1,000 Michigan State, Trunk
Line Revenue, Series
1994A, (FGIC-TCRS
Insured), Prerefunded
11/15/04 @ 102,
5.625% 11/15/14....... Aaa AAA 1,001
--------
19,895
--------
MISSISSIPPI -- 1.6%
5,000 Adams County,
Mississippi, PCR,
(International Paper
Company Project)
Series 1994A,
5.500% 12/01/05....... A3 BBB+ 5,060
3,000 Lowndes County,
Mississippi, Solid
Waste Disposal PCR
Refunding,
(Weyerhaeuser Company
Project) Series 1992A,
6.800% 04/01/22....... A2 A 3,275
2,200 Mississippi, Hospital
Equipment and
Facilities Improvement
Authority, Revenue
Refunding, (North
Mississippi Health
Services Project)
Series 1993-1, (AMBAC
Insured),
5.400% 05/15/04....... Aaa AAA 2,266
--------
10,601
--------
MISSOURI -- 2.2%
1,000 Independence, Missouri,
School District, GO,
Series 1991,
6.250% 03/01/11....... A3 NR 1,090
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MISSOURI -- (CONTINUED)
$ 1,000 Missouri State,
Environmental
Improvement and Energy
Resource Authority,
State Revolving Fund,
Water PCR, (Kansas
City Project) Series
1996A,
5.750% 01/01/16....... Aa1 NR $ 999
4,000 Missouri State, Health
and Educational
Facilities Authority,
Revenue, (BJC Health
System Project)
Series 1998,
5.000% 05/15/38....... Aa2 AA 3,380
1,445 Missouri State, Housing
Development
Commission, Single-
Family Mortgage
Revenue, (Homeowner
Loan Project) Series
1995A, AMT,
(GNMA/FHA/VA COLL),
6.100% 09/01/14....... NR AAA 1,468
1,625 Missouri State, Water
Pollution Control GO,
Series 1995A,
5.600% 04/01/15....... Aaa AAA 1,647
3,500 Sikeston, Missouri,
Electrical Revenue
Refunding, Series
1992, (MBIA Insured),
6.100% 06/01/07....... Aaa AAA 3,778
2,000 University of Missouri,
Health Facilities
Revenue, (University
of Missouri Health
Systems Project)
Series 1996A, (AMBAC
Insured),
5.500% 11/01/16....... Aaa AAA 1,940
--------
14,302
--------
MONTANA -- 3.1%
8,000 Forsyth, Montana, PCR
Refunding, (Portland
General Electric
Company Project)
Series 1998A,
Mandatory Put
05/01/03 @ 100,
4.600% 05/01/33....... A3 A- 7,967
8,000 Lewis and Clark County,
Montana, Environmental
Facilities Revenue,
(Asarco, Inc. Project)
Series 1998, AMT,
5.850% 10/01/33....... Baa3 BBB- 7,429
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
29
<PAGE> 34
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MONTANA -- (CONTINUED)
$ 5,000 Montana State, Housing
Board Authority,
Single-Family Revenue,
Series 1999A-2, AMT,
5.750% 06/01/30....... Aa2 AA+ $ 4,798
--------
20,194
--------
NEVADA -- 0.7%
1,400 Clark County, Nevada,
Transportation
Improvement GO
Refunding, Series
1994A, (MBIA Insured),
Prerefunded
06/01/04 @ 101,
6.000% 06/01/12....... Aaa AAA 1,498
1,000 Las Vegas and Clark
County, Nevada,
Library District, GO,
Series 1993, (FGIC
Insured),
6.000% 02/01/12....... Aaa AAA 1,040
2,000 Nevada State, Municipal
Board, GO, (Bank
Project Number 40-41)
Series 1993A,
6.375% 12/01/17....... NR AAA 2,138
--------
4,676
--------
NEW HAMPSHIRE -- 0.4%
2,350 New Hampshire State,
Higher Education and
Health Facilities
Authority, Revenue,
(University Systems of
New Hampshire Project)
Series 1992, (MBIA
Insured),
5.750% 07/01/24....... Aaa AAA 2,316
--------
NEW JERSEY -- 1.2%
1,080 New Jersey State,
Highway Authority,
Garden State Parkway
Generated Revenue,
Series 1971,
6.500% 01/01/11....... Aaa AAA 1,163
3,000 New Jersey State,
Transportation Trust
Fund Authority,
Revenue Refunding,
(Transportation
Systems Project)
Series 1995B, (MBIA
Insured),
5.000% 06/15/04....... Aaa AAA 3,059
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
NEW JERSEY -- (CONTINUED)
$ 2,940 New Jersey, Health Care
Facilities, Financing
Authority Revenue,
(Riverwood Center Inc.
Project) Series 1991A,
(FSA Insured),
Prerefunded
07/01/01 @ 102,
9.900% 07/01/21....... Aaa AAA $ 3,274
--------
7,496
--------
NEW MEXICO -- 0.5%
1,950 New Mexico, Mortgage
Finance Authority,
Single-Family Mortgage
Revenue, Series
1997C-2, AMT,
(GNMA/FNMA/ FHLMC
COLL),
6.050% 07/01/28....... Aaa NR 1,964
1,000 Santa Fe, New Mexico,
Gross Receipts Tax
Improvement Revenue
Refunding, Series
1997A, (AMBAC
Insured),
5.000% 06/01/07....... Aaa AAA 1,008
--------
2,972
--------
NEW YORK -- 2.9%
2,000 Municipal Assistance
Corporation for New
York City, New York,
Revenue, Series 1996E,
5.200% 07/01/08....... Aa2 AA 2,030
5,000 Municipal Assistance
Corporation for New
York City, New York,
Revenue, Series 1997J,
5.500% 07/01/02....... Aa2 AA 5,156
2,000 New York City, New York,
Municipal Water
Finance Authority,
Water and Sewer
Systems Revenue,
Series 1997B,
5.750% 06/15/29....... A1 A 1,953
1,000 New York State,
Dormitory Authority,
Revenue, (Canisius
College Project)
Series 1995, (MBIA
Insured),
5.300% 07/01/08....... Aaa AAA 1,021
2,000 New York State, Energy
Research and
Development Authority,
Facilities Revenue
Refunding,
(Consolidated Edison
Company Project)
Series 1995A,
6.100% 08/15/20....... A1 A 2,036
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
30
<PAGE> 35
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
NEW YORK -- (CONTINUED)
$ 3,000 New York State, Local
Government Assistance
Corporation, Revenue,
Series 1991D,
Prerefunded
04/01/02 @ 102,
6.750% 04/01/21....... Aaa AAA $ 3,231
3,000 New York State, Local
Government Assistance
Corporation, Revenue,
Series 1995A,
6.000% 04/01/16....... A3 A+ 3,063
--------
18,490
--------
NORTH CAROLINA -- 2.8%
9,675 North Carolina State,
Highway GO, Series
1997A,
4.500% 05/01/07....... Aaa AAA 9,509
1,950 North Carolina, Housing
Finance Agency, Multi-
Family Housing Revenue
Refunding, Series
1992B, (FHA COLL),
6.900% 07/01/24....... Aa2 AA 2,053
2,500 North Carolina, Medical
Care Commission,
Health Care Facilities
Revenue, (Carolina
Medicorp, Inc.
Project) Series 1996,
5.250% 05/01/26....... Aa3 AA 2,240
2,000 University of North
Carolina, Chapel Hill,
University Revenue
Refunding, Series
1996,
5.000% 02/15/29....... Aa3 AA 1,728
2,400 Wake County, North
Carolina, GO
Refunding, Series
1996,
4.500% 03/01/08....... Aaa AAA 2,338
--------
17,868
--------
OHIO -- 2.1%
4,000 Akron/Bath/Copley, Ohio,
Joint Township
Hospital District,
Revenue, (Summa
Hospital) Series
1998A,
5.375% 11/15/18....... Baa1 NR 3,567
1,000 Dayton, Ohio, Special
Facilities Revenue
Refunding, (Air
Freight Corporation
Project) Series 1993F,
6.050% 10/01/09....... NR BBB 1,017
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
OHIO -- (CONTINUED)
$ 1,000 Lucas County, Ohio,
Hospital Revenue,
(Flower Hospital
Project) Series 1993,
Prerefunded 12/01/04 @
101,
6.125% 12/01/13....... NR NR $ 1,076
4,000 Ohio State, Highway
Capital Improvements
GO, Series 1997B,
5.000% 05/01/07....... Aa1 AAA 4,050
4,000 Ohio State, Solid Waste
Disposal, Revenue,
(USG Corporation
Project) Series 1997,
AMT,
5.600% 08/01/32....... P1 BBB 3,603
--------
13,313
--------
OKLAHOMA -- 1.0%
3,770 Oklahoma State,
Industrial Authority,
Hospital Revenue,
(Deaconess Health Care
Project) Series 1997A,
5.750% 10/01/17....... Baa2 BBB 3,488
3,000 Oklahoma, Development
Finance Authority,
Revenue Refunding,
(Hillcrest Healthcare
Center Inc. Project)
Series 1999A,
5.000% 08/15/08....... Baa2 BBB+ 2,867
--------
6,355
--------
OREGON -- 0.8%
2,000 Chemeketa, Oregon,
Community College
District, GO, Series
1996, (FGIC Insured),
Prerefunded
06/01/06 @ 100,
5.800% 06/01/12....... Aaa AAA 2,121
2,900 Portland, Oregon, Sewer
Systems Revenue,
Series 1994A,
Prerefunded
06/01/04 @ 101,
6.250% 06/01/15....... A1 A+ 3,125
--------
5,246
--------
PENNSYLVANIA -- 2.7%
3,000 Beaver County,
Pennsylvania,
Industrial Development
Authority, PCR
Refunding,
(Pennsylvania Power
and Light
Company - Beaver
Valley Project) Series
1995, (AMBAC Insured),
6.000% 09/01/28....... Aaa AAA 3,038
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
31
<PAGE> 36
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
PENNSYLVANIA -- (CONTINUED)
$ 3,480 Butler, Pennsylvania,
Area School District,
State Aid Withholding
GO, Series 1997, (FGIC
Insured), Prerefunded
11/15/07 @ 44.73,
5.550%+ 11/15/21...... Aaa NR $ 1,036
2,000 Lehigh County,
Pennsylvania,
Industrial Development
Authority, PCR
Refunding,
(Pennsylvania Power
and Light Company
Project) Series 1992A,
(MBIA Insured),
6.400% 11/01/21....... Aaa AAA 2,110
1,000 Monroeville,
Pennsylvania, Hospital
Authority, Hospital
Revenue Refunding,
(Forbes Health
Systems - Allegheny
University Medical
Centers Project)
Series 1995,
5.750% 10/01/05....... Ba3 B 975
1,725 Philadelphia,
Pennsylvania, Hospital
and Higher Education
Facilities Authority,
Hospital Revenue,
(Frankford Hospital
Project) Series 1993A,
6.000% 06/01/14....... A3 NR 1,814
3,125 Philadelphia,
Pennsylvania, Hospital
and Higher Education
Facilities Authority,
Hospital Revenue,
(Frankford Hospital
Project) Series 1993A,
6.000% 06/01/23....... A3 NR 3,246
4,800 Philadelphia,
Pennsylvania,
Industrial Development
Authority, IDR
Refunding, (Ashland
Oil Inc. Project)
Series 1993,
5.700% 06/01/05....... Baa1 NR 4,874
15 Pittsburgh,
Pennsylvania, Urban
Redevelopment
Authority, Revenue,
(Home Improvement Loan
Project) Series 1994A,
5.650% 08/01/15....... A A 14
--------
17,107
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
RHODE ISLAND -- 0.5%
$ 2,845 Rhode Island State,
Consolidated Capital
Development Loan GO,
Series 1996A, (MBIA
Insured),
5.600% 08/01/10....... Aaa AAA $ 2,937
--------
SOUTH CAROLINA -- 2.3%
4,000 Georgetown County, South
Carolina, PCR
Refunding,
(International Paper
Company Project)
Series 1999A,
5.125% 02/01/12....... A3 BBB+ 3,733
1,500 Greenville, South
Carolina, Water
Utility Improvement
Waterworks Revenue,
Series 1997,
5.500% 02/01/22....... Aa1 AA 1,433
2,000 South Carolina, State
Housing Finance and
Development Authority,
Revenue,
(Homeownership
Mortgage Purchase
Project) Series 1994A,
6.375% 07/01/16....... Aa AA 2,058
2,000 Spartanburg County,
South Carolina, Solid
Waste Disposal
Facilities Revenue,
(BMW U.S. Capital
Corporation Project)
Series 1994, AMT,
(GTY-AGMT),
7.550% 11/01/24....... NR NR 2,191
6,035 York County, South
Carolina, Exempt
Facilities IDR,
(Hoechst Celanese
Corporation Project)
Series 1994, AMT,
5.700% 01/01/24....... A2 A+ 5,705
--------
15,120
--------
TENNESSEE -- 3.1%
6,000 Knox County, Tennessee,
Health Educational and
Housing Facilities
Board, Revenue,
(University Health
Systems Inc. Project)
Series 1999,
5.750% 04/01/19....... Baa1 NR 5,613
3,000 Maury County, Tennessee,
Industrial Development
Board, Multi-Modal PCR
Refunding, (General
Motors Corporation -
Saturn Corporation
Project) Series 1994,
6.500% 09/01/24....... A2 A 3,134
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
32
<PAGE> 37
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$ 2,750 McMinn County,
Tennessee, Industrial
Development Board,
Recycling Facilities
Revenue, (Bowater Inc.
Project) Series 1992,
AMT,
7.400% 12/01/22....... Baa1 BBB $ 2,942
1,000 Memphis, Tennessee, GO
Refunding, Series
1996,
5.200% 11/01/10....... Aa2 AA 1,004
2,735 Memphis-Shelby County,
Tennessee, Airport
Authority, Special
Facilities and Project
Revenue Refunding,
(Federal Express
Corporation Project)
Series 1992, AMT,
6.750% 09/01/12....... Baa2 BBB 2,893
2,500 Metropolitan Government,
Nashville and Davidson
County, Tennessee,
Water and Sewer
Revenue Refunding,
Series 1993, (FGIC
Insured),
5.200% 01/01/13....... Aaa AAA 2,462
2,000 Metropolitan Government,
Nashville and Davidson
County, Tennessee,
Water and Sewer
Systems Revenue
Refunding, Series
1996, (MBIA Insured),
5.500% 01/01/14....... Aaa AAA 2,000
--------
20,048
--------
TEXAS -- 10.2%
4,000 Alliance Airport
Authority Inc., Texas,
Special Facilities
Revenue, (American
Corporation - American
Airlines Inc. Project)
Series 1991, AMT,
7.000% 12/01/11....... Baa2 BBB- 4,409
2,000 Arlington, Texas,
Independent School
District, GO, Series
1991, (PSFG Insured),
6.500% 08/15/03....... Aaa NR 2,145
2,470 Beaumont, Texas,
Independent School
District, GO, Series
1996, (PSFG Insured),
5.000% 02/15/17....... Aaa AAA 2,255
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 1,540 Bexar, Texas,
Metropolitan Water
District, Waterworks
Revenue, Series 1995,
(MBIA Insured),
Prerefunded 05/01/05 @
102,
6.000% 05/01/15....... Aaa AAA $ 1,667
2,070 Bexar, Texas,
Metropolitan Water
District, Waterworks
Revenue, Unrefunded
Balance, Series 1995,
(MBIA Insured),
6.000% 05/01/15....... Aaa AAA 2,133
1,000 Brazos River Authority,
Texas, Revenue
Refunding, (Houston
Light and Power
Company Project)
Series 1992B, (MBIA
Insured),
6.375% 04/01/12....... Aaa AAA 1,064
2,575 Carrollton, Texas,
Farmers Branch
Independent School
District, GO, Series
1996, (PSFG Insured),
5.700% 02/15/17....... Aaa AAA 2,571
1,275 Cypress-Fairbanks,
Texas, Independent
School District, GO,
Series 1995, (PSFG
Insured), Prerefunded
02/15/05 @ 100,
5.750% 02/15/16....... Aaa AAA 1,342
4,805 Cypress-Fairbanks,
Texas, Independent
School District, GO,
Unrefunded Balance,
Series 1993A, (PSFG
Insured),
5.500% 02/15/11....... Aaa AAA 4,892
1,750 Dallas County, Texas,
GO, Series 1996,
5.250% 08/15/16....... Aaa AAA 1,685
1,075 Denton, Texas, Utility
Systems Revenue
Refunding, Series
1996A, (MBIA Insured),
5.700% 12/01/10....... Aaa AAA 1,109
2,000 Guadalupe Blanco River
Authority, Texas,
Revenue Refunding,
(Standard Oil Company
Project) Series 1983,
6.550% 05/01/13....... Aa3 AA+ 2,107
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
33
<PAGE> 38
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 3,290 Harris County, Texas, GO
Revenue Refunding,
(Toll Road Project)
Sub Lien, Series 1991,
6.750% 08/01/14....... Aa2 AA $ 3,469
3,335 Harris County, Texas,
Health Facilities
Development Authority,
Hospital Revenue,
(Memorial Herman
Hospital Systems
Project) Series 1998,
(FSA Insured),
5.500% 06/01/11....... Aaa AAA 3,369
4,000 Harris County, Texas,
Health Facilities
Development Authority,
Hospital Revenue,
(Memorial Hospital
Systems Project)
Series 1997A, (MBIA
Insured),
4.875% 06/01/05....... Aaa AAA 4,006
5,000 Houston, Texas, Airport
Systems Revenue,
Series 1998B, AMT,
(FGIC Insured),
5.000% 07/01/16....... Aaa AAA 4,505
4,000 Lower Neches Valley
Authority, Texas,
Industrial Development
Corporation, Revenue
Refunding, (Mobil Oil
Refining Corporation
Project) Series 1997,
5.800% 05/01/22....... Aa2 AA 3,985
1,500 Lubbock, Texas, Health
Facilities Development
Corporation, Revenue,
(St. Joseph Health
Systems Project)
Series 1993,
5.500% 07/01/14....... Aa AA 1,478
5,000 Lubbock, Texas, Health
Facilities Development
Revenue, (St. Joseph
Health Systems
Project) Series 1998,
5.000% 07/01/07....... Aa3 AA 5,005
2,000 North Central Texas,
Health Facilities
Development
Corporation, Hospital
Revenue, (Presbyterian
Healthcare Project)
Series 1991A,
6.625% 06/01/11....... Aaa NR 2,228
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 4,000 Red River Authority,
Texas, PCR Refunding,
Series 1991, (AMBAC
Insured),
5.200% 07/01/11....... Aaa AAA $ 3,928
2,000 Texas City, Texas, IDR,
Refunding, (Atlantic
Richfield Company
Project) Series 1990,
7.375% 10/01/20....... A2 A 2,385
5,000 Texas State, Department
of Housing and
Community Affairs,
Single-Family Mortgage
Revenue, Series
1997A-3, AMT,
(GNMA/FNMA COLL, MBIA
Insured),
5.800% 09/01/29....... Aaa AAA 4,881
--------
66,618
--------
UTAH -- 2.7%
2,000 Emery County, Utah, PCR
Refunding, (Pacificorp
Project) Series 1993A,
(AMBAC Insured),
5.650% 11/01/23....... Aaa AAA 1,929
8,300 Murray City, Utah,
Hospital Revenue
Refunding, (IHC Health
Services, Inc.
Project) Series 1996,
(MBIA Insured),
5.000% 05/15/22....... Aaa AAA 7,270
2,000 Provo, Utah, Electric
Revenue, Series 1980,
10.125% 04/01/15...... Aaa AAA 2,697
1,300 Salt Lake City, Utah,
Water and Sewer
Revenue, Series 1994,
(AMBAC Insured),
Prerefunded 02/01/04 @
100,
6.100% 02/01/14....... Aaa AAA 1,381
4,000 Utah, Intermountain
Power Agency, Power
Supply Revenue, Series
1985-1, Prerefunded
07/01/00 @ 101,
3.550%+ 07/01/00...... Aaa AAA 3,924
--------
17,201
--------
VERMONT -- 2.2%
17,000 Vermont, Educational and
Health Buildings,
Financing Agency
Revenue, (Middlebury
College Project)
Series 1999,
5.000% 11/01/38....... Aa3 AA 14,468
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
34
<PAGE> 39
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- 2.2%
$ 2,000 Covington-Allegheny
County, Virginia, IDR
Refunding, (Westvaco
Corporation Project)
Series 1994,
6.650% 09/01/18....... A1 A $ 2,124
2,830 Fairfax County,
Virginia, Water
Authority, Revenue,
Unrefunded Balance,
Series 1992,
6.000% 04/01/22....... Aa2 AA 2,902
1,670 Fairfax County,
Virginia, Water
Authority, Water
Revenue Refunding,
Series 1992,
Prerefunded 04/01/07 @
102,
6.000% 04/01/22....... Aaa AAA 1,822
1,000 Norfolk, Virginia,
Capital Improvement
GO, Series 1997, (FGIC
Insured),
5.375% 06/01/15....... Aaa AAA 988
1,750 University of Virginia,
University General
Revenue, Series 1993A,
5.200% 06/01/12....... Aa1 AA+ 1,740
3,000 Virginia State, GO
Refunding, Series
1996,
5.000% 06/01/10....... Aaa AAA 3,001
1,500 Virginia State, Public
School Authority,
Special Obligation
Revenue, Series 1993,
5.250% 07/15/09....... Aaa AAA 1,525
--------
14,102
--------
WASHINGTON -- 7.9%
5,000 Chelan County,
Washington,
Development
Corporation PCR
Refunding, (Alcoa,
Inc. Project) Series
1995,
5.850% 12/01/31....... A1 A+ 4,992
2,310 Chelan County,
Washington, Public
Utilities District
Division III, Revenue,
Series 1997A, AMT,
Mandatory Put 07/01/09
@ 100,
5.600% 07/01/32....... Aa3 AA 2,222
2,480 Clark County,
Washington, Sewer
Revenue, Series 1996,
(MBIA Insured),
5.800% 12/01/11....... Aaa AAA 2,578
1,035 King County, Washington,
Library Systems, GO,
Series 1992,
6.150% 12/01/10....... Aa AA- 1,100
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
WASHINGTON -- (CONTINUED)
$ 2,000 King County, Washington,
School District No.
415, GO, Series 1996,
(FSA Insured),
5.800% 06/01/13....... Aaa AAA $ 2,033
3,000 King County, Washington,
Sewer GO Refunding,
Series 1996C,
5.250% 01/01/17....... Aa1 AA+ 2,815
7,150 Pierce County,
Washington, Economic
Development Revenue,
(Occidental Petroleum
Corporation Project)
Series 1993, AMT,
5.800% 09/01/29....... Baa2 BBB 6,666
2,500 Port Camas/Washougal,
Washington, Public
Industrial
Corporation, PCR
Refunding, (James
River Corporation of
Virginia Project)
Series 1993,
6.700% 04/01/23 NR BBB 2,557
2,000 Seattle, Washington, GO,
Series 1996A,
5.625% 01/15/10....... Aa1 AA+ 2,049
2,000 Seattle, Washington,
Municipal Light and
Power Revenue, Series
1994, Prerefunded
07/01/04 @ 102,
6.625% 07/01/16....... Aa2 AA 2,207
1,400 Seattle, Washington,
Water Systems Revenue
Refunding, Series
1993,
5.500% 06/01/18....... Aa2 AA 1,356
3,500 Washington State, GO
Refunding,
Series 1991R-92A,
6.500% 09/01/04....... Aa1 AA+ 3,668
5,000 Washington State, GO,
Series 1990A,
6.750% 02/01/15....... Aa1 AA+ 5,652
3,000 Washington State, GO,
Series 1992-93A,
5.750% 10/01/12....... Aa1 AA+ 3,129
3,000 Washington State, Public
Power Supply Systems
Revenue Refunding,
Series 1993B, (FSA
Insured),
5.400% 07/01/05....... Aaa AAA 3,103
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
35
<PAGE> 40
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
WASHINGTON -- (CONTINUED)
$ 5,000 Washington State, Public
Power Supply Systems
Revenue Refunding,
Series 1996A, (MBIA
Insured),
5.750% 07/01/11....... Aaa AAA $ 5,144
--------
51,271
--------
WEST VIRGINIA -- 0.7%
1,450 Jefferson County, West
Virginia, Board of
Education, GO, Series
1989, (FGIC Insured),
6.850% 07/01/07....... Aaa AAA 1,633
1,560 Jefferson County, West
Virginia, Board of
Education, GO, Series
1989,(FGIC Insured),
6.850% 07/01/08....... Aaa AAA 1,766
1,000 West Virginia
University, State
University Systems
Revenue, (Marshall
University Library)
Series 1996, (AMBAC
Insured),
5.750% 04/01/16....... Aaa AAA 1,006
--------
4,405
--------
WISCONSIN -- 1.2%
4,000 Nekoosa, Wisconsin, PCR,
(Nekoosa Papers Inc.
Project) Series 1999B,
5.500% 07/01/15....... Baa2 NR 3,757
1,000 Wisconsin State, GO
Refunding, Series
1993-1,
5.800% 11/01/08....... Aa2 AA 1,061
3,000 Wisconsin State, Health
and Educational
Facilities Authority,
Revenue, (Aurora
Health Care Inc.)
Series 1999A,
5.600% 02/15/29....... NR A- 2,655
--------
7,473
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
WYOMING -- 0.4%
$ 2,300 Campbell County,
Wyoming, School
District Number 001
Gillette, GO, Series
1996, (SCH BD GTY),
5.550% 06/01/06....... Aaa AAA $ 2,387
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $618,615)....................... 631,262
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- -------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 2.1%
(Cost $13,802)
13,802 AIM Tax-Exempt Fund................. 13,802
--------
TOTAL INVESTMENTS
(Cost $632,417*)........... 100.1% 645,064
--------
OTHER ASSETS AND
LIABILITIES (NET).......... (0.1)%
Cash................................ $ 1
Receivable for investment securities
sold.............................. 74
Receivable for Fund shares sold..... 876
Interest receivable................. 10,328
Prepaid expenses.................... 3
Payable for Fund shares redeemed.... (1,062)
Investment advisory fee payable..... (165)
Administration fee payable.......... (106)
Shareholder servicing and
distribution fees payable......... (31)
Distributions payable............... (2,582)
Payable for investment securities
purchased......................... (7,726)
Accrued Trustees' fees and
expenses.......................... (15)
Accrued expenses and other
liabilities....................... (51)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................. (456)
--------
NET ASSETS................... 100.0% $644,608
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
36
<PAGE> 41
NATIONS FUNDS
Nations Municipal Income Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
(000)
- ----------------------------------------------------------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment
income............................ $ 598
Accumulated net realized loss on
investments sold.................. (213)
Net unrealized appreciation of
investments....................... 12,647
Paid-in capital..................... 631,576
--------
NET ASSETS.......................... $644,608
========
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($595,361,833 / 54,805,430 shares
outstanding)...................... $10.86
======
INVESTOR A SHARES:
Net asset value and redemption price
per share ($36,113,008 / 3,324,981
shares outstanding)............... $10.86
=====
Maximum sales charge................ 4.75%
Maximum offering price per share.... $11.40
INVESTOR B SHARES:
Net asset value and offering price
per share**
($11,361,066 / 1,046,005 shares
outstanding)...................... $10.86
======
INVESTOR C SHARES:
Net asset value and offering price
per share** ($1,772,185 / 163,130
shares outstanding)............... $10.86
======
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $22,192 and gross
depreciation of $9,545 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$632,417.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Municipal Income Fund had the following insurance concentration greater
than 10% at September 30, 1999 (as a percentage of net assets):
MBIA 14.02%
Nations Municipal Income Fund had the following industry concentration greater
than 10% at September 30, 1999 (as a percentage of net assets):
Industrial Development Revenue/
Pollution Control Revenue 24.32%
Hospital Revenue 10.03%
SEE NOTES TO FINANCIAL STATEMENTS.
37
<PAGE> 42
NATIONS FUNDS
Nations California Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 97.2%
CALIFORNIA -- 94.6%
$1,465 ABAG Finance Authority for
NonProfit Corporations,
California, Certificates
of Participation
Refunding, (Episcopal
Homes Foundation Project)
Series 1998,
4.625% 07/01/04.......... NR A- $ 1,468
1,000 ABAG Finance Corporation,
California, Certificates
of Participation, (ABAG
XXVI Project) Series
1992A,
6.250% 06/01/11.......... NR A 1,032
2,515 Alameda County Water
District, California,
Revenue Certificates of
Participation, (Water
Systems Project) Series
1995, (FGIC Insured),
Prerefunded 06/01/04 @
102,
6.000% 06/01/15.......... Aaa AAA 2,746
3,000 Alameda County, California,
Certificates of
Participation, Refunding,
(Santa Rita Jail Project)
Series 1993, (MBIA
Insured),
5.700% 12/01/14.......... Aaa AAA 3,049
5,000 Beverly Hills, California,
Public Financing
Authority, Lease Revenue,
(Capital Imports Project)
Series 1998A,
5.000% 06/01/23.......... Aa3 AA- 4,475
1,185 Bodega Bay, California,
Fire Protection District,
Certificates of
Participation, (Fire
Station Project) Series
1996,
6.450% 10/01/31.......... NR BBB- 1,216
1,000 California Health
Facilities Financing
Authority, Revenue
Refunding, (Adventist
Health Project) Series
1991A, (MBIA Insured),
7.000% 03/01/13.......... Aaa AAA 1,050
3,000 California Health
Facilities Financing
Authority, Revenue
Refunding, (Sutter Health
Project) Series 1997C,
(FSA Insured),
5.125% 08/15/22.......... Aaa AAA 2,749
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$1,000 California Health
Facilities Financing
Authority, Revenue,
(Adventist Health
Systems/Sunbelt West
Project) Series 1991B,
(MBIA Insured),
6.500% 03/01/07.......... Aaa AAA $ 1,051
2,500 California Health
Facilities Financing
Authority, Revenue,
(Kaiser Permanente
Project) Series 1998A,
(FSA Insured),
5.000% 06/01/07.......... Aaa AAA 2,546
2,000 California Housing Finance
Agency, Home Mortgage
Revenue, Series 1994F-3,
AMT, (MBIA/FHA/VA
Insured),
6.100% 08/01/15.......... Aaa AAA 2,030
2,750 California Housing Finance
Agency, Home Mortgage
Revenue, Series 1997I,
AMT, (MBIA Insured),
5.650% 08/01/17.......... Aaa AAA 2,707
3,000 California Housing Finance
Agency, Home Mortgage
Revenue, Series 1997I,
AMT, (MBIA Insured),
5.750% 02/01/29.......... Aaa AAA 2,921
2,050 California Housing Finance
Agency, Single-Family
Mortgage Revenue, Series
1997B-3, Class I, AMT,
(FHA Insured),
5.400% 08/01/28.......... Aaa AAA 1,906
1,000 California Pollution
Control Financing
Authority, PCR, (Pacific
Gas and Electric Company
Project) Series 1992A,
AMT,
6.625% 06/01/09.......... A1 AA- 1,069
1,000 California Pollution
Control Financing
Authority, PCR, (Southern
California Edison Company
Project) Series 1992B,
AMT,
6.400% 12/01/24.......... A1 A+ 1,044
4,500 California State,
Department of Water
Resources, Water Systems
Revenue, (Center Valley
Project) Series 1993L,
5.700% 12/01/16.......... Aa2 AA 4,519
2,000 California State,
Department of Water
Resources, Water Systems
Revenue, (Center Valley
Project) Series 1997S,
5.000% 12/01/17.......... Aa2 AA 1,871
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
38
<PAGE> 43
NATIONS FUNDS
Nations California Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$2,600 California State, GO,
Series 1995, (FGIC-TCRS
Insured),
5.250% 10/01/17.......... Aaa AAA $ 2,518
210 California State, GO,
Unrefunded Balance,
Series 1994, (AMBAC-TCRS
Insured),
6.000% 05/01/12.......... Aaa AAA 218
7,970 California State, Public
Works Board, Lease
Revenue, (Department of
Corrections State Prison
Project) Series 1993E,
5.500% 06/01/19.......... A1 A 7,745
1,000 California, Pollution
Control Financing
Authority, PCR Refunding,
(Shell Oil Company
Project) Series 1991A,
3.450% 10/01/09.......... Aa1 AAA 1,000
3,000 California, Statewide
Communities Development
Authority, Revenue
Certificates of
Participation, (John
Muir/Mount Diablo Health
Systems Project) Series
1997, (MBIA Insured),
5.125% 08/15/17.......... Aaa AAA 2,847
1,000 Capital Area Development
Authority, California,
Lease Revenue, Series
1992A, (MBIA Insured),
6.500% 04/01/12.......... Aaa AAA 1,063
1,615 Central Valley Financing
Authority, California,
Cogeneration Project
Revenue Refunding,
(Carson Ice-General
Project) Series 1998,
(MBIA Insured),
5.250% 07/01/12.......... Aaa AAA 1,612
3,000 Central Valley, California,
Financing Authority
Revenue, (Carson Ice
Project) Series 1993,
6.000% 07/01/09.......... NR BBB 3,076
1,280 Chino, California, Unified
School District,
Certificates of
Participation, (Land
Acquisition Project)
Series 1994A, (FSA
Insured),
5.250%+ 09/01/14......... Aaa AAA 1,390
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$1,250 Del Mar, California, Race
Track Authority, Revenue
Refunding, Series 1996,
6.000% 08/15/06.......... NR NR $ 1,297
1,200 Del Mar, California, Race
Track Authority, Revenue
Refunding, Series 1996,
6.000% 08/15/08.......... NR NR 1,238
1,000 Del Mar, California, Race
Track Authority, Revenue
Refunding, Series 1996,
6.200% 08/15/11.......... NR NR 1,042
3,000 East Bay Municipal
Utilities District,
California, Water Systems
Revenue Refunding, Series
1996, (FGIC Insured),
5.000% 06/01/16.......... Aaa AAA 2,847
1,000 Eastern Municipal Water
District, California,
Water and Sewer
Certificates of
Participation, Series
1991, (FGIC Insured),
6.750% 07/01/12.......... Aaa AAA 1,152
1,500 Elsinore Valley Municipal
Water District,
California, Certificates
of Participation
Refunding, Series 1992A,
(FGIC Insured),
6.000% 07/01/12.......... Aaa AAA 1,625
925 Emeryville, California,
Public Financing
Authority, Revenue,
Unrefunded Balance,
(Redevelopment Project)
Series 1993A,
6.500% 05/01/21.......... NR A- 961
1,500 Escondido JT Powers
Financing Authority,
California, Lease
Revenue, (California
Center for the Arts
Project) Series 1995,
(AMBAC Insured),
6.000% 09/01/18.......... Aaa AAA 1,526
1,000 Foothill/Eastern Corridor
Agency, California, Toll
Road Revenue Refunding,
Series 1999,
5.750% 01/15/40.......... Baa3 BBB- 950
2,000 Foothill/Eastern Corridor
Agency, California, Toll
Road Revenue Refunding,
Series 1999, (MBIA
Insured), 5.125%
01/15/15................. Aaa AAA 1,933
3,000 Foothill/Eastern Corridor
Agency, California, Toll
Road Revenue, Sr. Lien,
Series 1995A, Prerefunded
01/01/10 @ 100,
6.000% 01/01/16.......... Baa3 BBB- 3,268
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
39
<PAGE> 44
NATIONS FUNDS
Nations California Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$1,965 Fremont, California, Public
Financing Authority
Revenue, (Local
Improvement District 39R
Project) Series 1996,
6.000% 09/01/11.......... NR NR $ 1,995
5,000 Fresno, California, Sewer
Revenue, Series 1993A-1,
(AMBAC Insured),
6.250% 09/01/14.......... Aaa AAA 5,496
1,000 Industry California Urban
Development Agency, Tax
Allocation Refunding,
(Transportation
Distribution Project)
Series 1992-3,
6.900% 11/01/16.......... NR A- 1,058
2,000 Inland Empire, California,
Solid Waste Authority,
Revenue, (Landfill
Improvement Financing
Project) Series 1996B,
AMT, (FSA Insured),
6.250% 08/01/11.......... Aaa AAA 2,147
900 Irvine Ranch, California,
Water District Numbers
102, 103, 105, 106,
Revenue, GO, Series 1995,
3.500% 09/01/06.......... Aa3 AA- 900
2,000 Irvine Ranch, California,
Water District, Revenue,
Series 1985, (Landesbank
Hessen-Thrgnexp LOC),
3.500% 10/01/00.......... NR AAA 2,000
595 Irvine, California, Special
Assessment Improvement
Bond Act 1915,
(Assessment District No.
89 Project) Series
1990-10, (National
Westminster LOC),
3.500% 09/02/15.......... Aa2 AA 595
4,000 Long Beach, California,
Harbor Revenue, Series
1995, AMT, (MBIA
Insured),
5.375% 05/15/20.......... Aaa AAA 3,797
1,500 Los Angeles County,
California, Sanitation
Districts Financing
Authority, Revenue,
(Capital Projects) Series
1993A,
5.375% 10/01/13.......... Aa AA 1,507
2,500 Los Angeles County,
California,
Transportation
Commission, Sales Tax
Revenue, Refunding,
Series 1991B,
6.500% 07/01/13.......... A1 AA- 2,620
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$3,000 Los Angeles, California,
Convention and Exhibition
Center Authority, Lease
Revenue, Refunding,
Series 1993A, (MBIA-IBC
Insured),
6.000% 08/15/10.......... Aaa AAA $ 3,273
2,000 Los Angeles, California,
Department of Water and
Power, Waterworks Revenue
Refunding, Series 1993,
5.750% 04/15/12.......... Aa3 AA 2,047
2,000 Los Angeles, California,
GO, Series 1999B,
5.250% 09/01/14.......... Aa2 AA 1,973
2,000 Los Angeles, California,
Harbor Development
Revenue, Series 1995B,
AMT,
6.625% 08/01/25.......... Aa3 AA 2,130
3,750 Los Angeles, California,
Parking Revenue, Series
1999A, (AMBAC Insured),
5.250% 05/01/29.......... Aaa AAA 3,485
2,000 Manhattan Beach,
California, Unified
School District,
Certificates of
Participation, Series
1995B, (MBIA Insured),
.000%+ 08/01/20.......... Aaa AAA 2,040
3,000 Metropolitan Water District
of Southern California,
Waterworks Revenue
Refunding, Series 1993A,
5.750% 07/01/21.......... Aa2 AA 3,063
1,000 Natomas, California,
Unified School District,
GO, Series 1993A, (MBIA
Insured),
5.750% 09/01/17.......... Aaa AAA 1,013
2,000 Northern California,
Transmission Revenue,
(California-Oregon
Transmission Project)
Series 1992A, (MBIA
Insured),
6.250% 05/01/10.......... Aaa AAA 2,124
2,500 Northridge Water District,
California, Revenue
Certificates of
Participation, Series
1996, (AMBAC Insured),
5.250% 02/01/18.......... Aaa AAA 2,406
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
40
<PAGE> 45
NATIONS FUNDS
Nations California Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$1,000 Oakland, California, State
Building Authority, Lease
Revenue, (Elihu M. Harris
Project) Series 1998A,
(AMBAC Insured),
5.000% 04/01/17.......... Aaa AAA $ 935
2,500 Orange County, California,
Airport Revenue
Refunding, Series 1997,
AMT, (MBIA Insured),
5.500% 07/01/10.......... Aaa AAA 2,586
2,500 Pasadena, California,
Community Development
Commission, Multi-Family
Housing Revenue, (Civic
Center Project) Series
1991A, AMT, (FSA
Insured),
6.400% 12/01/12.......... Aaa AAA 2,586
5,000 Port Oakland, California,
Port Revenue Refunding,
Series 1997H, AMT, (MBIA
Insured),
5.500% 11/01/15.......... Aaa AAA 4,978
2,500 Poway, California,
Certificates of
Participation Refunding,
(Poinsettia Mobilehome
Park Project) Series
1992, (FSA Insured),
6.375% 06/01/18.......... Aaa AAA 2,628
1,000 Rancho, California, Water
District Financing
Authority, Revenue,
Series 1991, (AMBAC
Insured),
6.400% 08/15/04.......... Aaa AAA 1,054
2,000 Rancho, California, Water
District, Financing
Authority, Revenue
Refunding, Series 1995,
(FGIC Insured),
5.900% 11/01/15.......... Aaa AAA 2,064
2,900 Sacramento, California,
Power Authority Revenue,
(Cogeneration Project)
Series 1995,
5.875% 07/01/15.......... NR BBB- 2,892
2,000 San Diego, California,
Convention Center
Expansion Financing
Authority, Lease Revenue,
Series 1998A, (AMBAC
Insured),
4.750% 04/01/28.......... Aaa AAA 1,702
2,000 San Diego, California,
Special Tax, Community
Facilities District No.
1, Series 1995B,
Prerefunded 09/01/05 @
102,
7.000% 09/01/15.......... CON NR 2,300
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$ 280 San Francisco City and
County Airports
Commission, California,
International Airport
Revenue, Series 1993-2,
(MBIA Insured),
Prerefunded 05/01/03 @
102,
6.750% 05/01/13.......... Aaa AAA $ 309
1,450 San Francisco City and
County Airports
Commission, California,
International Airport
Revenue, Series 1993-2,
Unrefunded Balance, (MBIA
Insured),
6.750% 05/01/13.......... Aaa AAA 1,572
610 San Francisco, California,
Bay Area Rapid Transit
District, Sales Tax
Revenue, Unrefunded
Balance, Series 1995,
(FGIC Insured),
5.500% 07/01/20.......... Aaa AAA 598
3,000 San Francisco, California,
City and County Airport
Commission, International
Airport Revenue, Series
1996-2-10A, AMT, (MBIA
Insured),
5.700% 05/01/26.......... Aaa AAA 2,935
1,000 San Francisco, California,
State Building Authority,
Lease Revenue, (General
Services Department
Project) Series 1993A,
(MBIA-IBC Insured),
5.000% 10/01/08.......... Aaa AAA 1,021
1,750 San Joaquin County,
California, Certificates
of Participation,
(Capital Facilities
Project) Series 1993,
(MBIA Insured),
5.500% 11/15/13.......... Aaa AAA 1,798
3,000 San Joaquin Hills,
California,
Transportation Corridor
Agency, Toll Road
Revenue, Refunding,
Capital Appreciation,
Series 1997A,
2.850%+ 01/15/16......... Baa3 BBB- 1,892
3,670 San Jose Redevelopment
Agency, California, Tax
Allocation, (Merged Area
Redevelopment Project)
Series 1993, (MBIA
Insured),
6.000% 08/01/15.......... Aaa AAA 3,922
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
41
<PAGE> 46
NATIONS FUNDS
Nations California Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
$3,000 San Jose, California,
Financing Authority
Revenue, (Convention
Center Refunding Project)
Series 1993C,
6.400% 09/01/17.......... A1 A+ $ 3,133
2,000 San Mateo County,
California, JT Powers
Authority, Lease Revenue,
(Capital Project) Series
1997A, (FSA Insured),
5.125% 07/15/32.......... Aaa AAA 1,799
1,130 Santa Ana, California,
Financing Authority,
Lease Revenue, (Police
Administration and
Holding Facilities
Project) Series 1994A,
(MBIA Insured),
5.625% 07/01/09.......... Aaa AAA 1,182
1,295 Scotts Valley, California,
Unified School District,
Series 1997B, (FGIC
Insured),
5.375% 08/01/17.......... Aaa NR 1,275
1,000 Southern California Rapid
Transit District,
Certificates of
Participation, (Workers
Compensation Fund
Project) Series 1990,
(MBIA Insured),
6.000% 07/01/10.......... Aaa AAA 1,047
1,000 Southern California, Public
Power Authority, Power
Revenue, Series 1989,
6.750% 07/01/13.......... A A 1,129
1,370 Thousand Oaks Redevelopment
Agency, California, Tax
Allocation Refunding,
(Thousand Oaks Boulevard
Redevelopment Project)
Series 1995, (MBIA
Insured),
5.250% 12/01/08.......... Aaa AAA 1,420
$1,290 Thousand Oaks, California,
Redevelopment Agency, Tax
Allocation, Refunding,
(Thousand Oaks Boulevard
Redevelopment Project)
Series 1995, (MBIA
Insured),
5.400% 12/01/09.......... Aaa AAA $ 1,340
1,250 Union City, California,
Community Redevelopment
Agency, Tax Allocation,
(Community Redevelopment
Project) Series 1993,
(AMBAC Insured),
5.850% 10/01/23.......... Aaa AAA 1,259
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
CALIFORNIA -- (CONTINUED)
5,000 University of California,
Hospital Revenue,
(University of California
Medical Center Project)
Series 1996, (AMBAC
Insured),
5.750% 07/01/24.......... Aaa AAA 5,002
3,000 University of California,
Hospital Revenue,
(University of California
Medical Center Project)
Series 1996, (AMBAC
Insured),
6.000% 07/01/26.......... Aaa AAA 3,041
3,000 West Covina, California,
Redevelopment Agency,
Community Facilities
District Special Tax,
Refunding, (Fashion Plaza
Project) Series 1996,
6.000% 09/01/17.......... NR A 3,096
1,025 Westwood, California,
Unified School District,
GO, Series 1996,
6.500% 08/01/21.......... NR BBB 1,075
--------
187,996
--------
PUERTO RICO -- 2.6%
$5,000 Puerto Rico, Electric Power
Authority, Revenue,
6.000% 07/01/14.......... Baa1 BBB+ $ 5,139
--------
</TABLE>
<TABLE>
<C> <S> <C> <C>
TOTAL MUNICIPAL BONDS AND NOTES
(Cost $188,749).......................... 193,135
--------
TOTAL INVESTMENTS
(Cost $188,749*)............... 97.2% 193,135
--------
OTHER ASSETS AND
LIABILITIES (NET).............. 2.8%
Cash.................................... $ 298
Receivable for investment securities
sold.................................. 3,217
Receivable for Fund shares sold......... 503
Interest receivable..................... 2,827
Payable for Fund shares redeemed........ (289)
Investment advisory fee payable......... (43)
Administration fee payable.............. (33)
Shareholder servicing and distribution
fees payable.......................... (39)
Distributions payable................... (759)
Accrued Trustees' fees and expenses..... (5)
Accrued expenses and other
liabilities........................... (144)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)..................... 5,533
--------
NET ASSETS....................... 100.0% $198,668
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
42
<PAGE> 47
NATIONS FUNDS
Nations California Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
(000)
- ------------------------------------------------------------
<C> <S> <C>
NET ASSETS CONSIST OF:
Undistributed net investment income..... $ 292
Accumulated net realized gain on
investments sold...................... 1,072
Net unrealized appreciation of
investments........................... 4,386
Paid-in capital......................... 192,918
--------
NET ASSETS.............................. $198,668
========
PRIMARY A SHARES:
Net asset value, offering and redemption
price per share
($18,288,243 / 2,553,277 shares
outstanding).......................... $7.16
=====
INVESTOR A SHARES:
Net asset value and redemption price per
share ($176,889,670 / 24,664,309
shares outstanding)................... $7.17
=====
Maximum sales charge.................... 4.75%
Maximum offering price per share........ $7.53
INVESTOR B SHARES:
Net asset value and offering price per
share** ($3,244,913 / 452,393 shares
outstanding).......................... $7.17
=====
INVESTOR C SHARES:
Net asset value and offering price per
share** ($244,727 / 34,219 shares
outstanding).......................... $7.15
=====
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $6,189 and gross
depreciation of $1,803 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$188,749.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations California Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
MBIA 25.95%
AMBAC 13.15%
Nations California Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Water Revenue 16.38%
Transportation Revenue 11.46%
SEE NOTES TO FINANCIAL STATEMENTS.
43
<PAGE> 48
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 95.6%
FLORIDA -- 95.6%
$ 2,000 Alachua County, Florida,
Health Facilities
Authority, Revenue,
(Shands Hospital at the
University of Florida
Project) Series 1992,
(MBIA Insured),
6.100% 12/01/05......... Aaa AAA $ 2,094
3,375 Bay County, Florida, PCR
Refunding,
(International Paper
Company Project) Series
1998A,
5.100% 09/01/12......... A3 BBB+ 3,218
1,000 Bay Medical Center,
Florida, Hospital
Revenue Refunding, (Bay
Medical Center Project)
Series 1996, (AMBAC
Insured),
5.000% 10/01/05......... Aaa AAA 1,018
2,000 Bay Medical Center,
Florida, Hospital
Revenue Refunding, (Bay
Medical Center Project)
Series 1996, (AMBAC
Insured),
5.450% 10/01/12......... Aaa AAA 2,016
2,000 Boca Raton, Florida, Water
and Sewer Revenue
Refunding, Series 1992,
5.600% 10/01/04......... Aa2 AA- 2,081
1,000 Brevard County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Wuesthoff
Memorial Hospital
Project) Series 1996,
(MBIA Insured),
6.250% 04/01/06......... Aaa AAA 1,081
1,000 Broward County, Florida,
Gas Tax Revenue, Series
1991, Prerefunded
09/01/01 @ 101,
6.400% 09/01/03......... A1 AA- 1,051
2,000 Broward County, Florida,
GO Refunding, Series
1992C,
5.600% 01/01/01......... Aa2 AA 2,037
3,000 Broward County, Florida,
GO Refunding, Series
1992C,
6.200% 01/01/07......... Aa2 AA 3,165
2,000 Broward County, Florida,
School District, GO
Refunding, Series 1992,
6.000% 02/15/07......... A1 AA- 2,104
2,000 Broward County, Florida,
Solid Waste Systems
Revenue, Series 1993A,
(MBIA Insured),
5.500% 07/01/04......... Aaa AAA 2,086
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,000 Citrus County, Florida,
PCR Refunding, (Crystal
River Power
Plant - Florida Power
Corporation Project)
Series 1992B,
6.350% 02/01/22......... A1 A+ $ 1,050
2,275 Clearwater, Florida, Water
and Sewer Authority,
Revenue Refunding,
Series 1998, (FGIC
Insured),
5.520%+ 12/01/11........ Aaa AAA 1,173
1,000 Clearwater, Florida, Water
and Sewer Authority,
Revenue Refunding,
Series 1998, (FGIC
Insured),
5.730%+ 12/01/13........ Aaa AAA 449
3,000 Clearwater, Florida, Water
and Sewer Authority,
Revenue, Series 1993,
(AMBAC Insured),
5.000% 12/01/02......... Aaa AAA 3,069
1,000 Collier County, Florida,
Water and Sewer District
Revenue, Series 1992,
(FGIC Insured),
6.375% 07/01/10......... Aaa AAA 1,072
1,650 Dade County, Florida
School District, GO
Refunding, Series 1993,
(AMBAC Insured),
5.000% 07/15/01......... Aaa AAA 1,676
1,000 Dade County, Florida,
Aviation Facility
Revenue Refunding,
Series 1994B, AMT,
(AMBAC Insured),
6.300% 10/01/05......... Aaa AAA 1,086
3,650 Dade County, Florida,
Aviation Revenue, (Miami
International Airport
Project) Series 1997B,
AMT, (FSA Insured),
5.000% 10/01/06......... Aaa AAA 3,693
3,000 Dade County, Florida,
Water and Sewer Systems
Revenue Refunding,
Series 1993, (FGIC
Insured),
5.000% 10/01/00......... Aaa AAA 3,036
2,000 Delray Beach, Florida,
Water and Sewer Revenue
Refunding, Series 1993A,
(AMBAC Insured),
5.000% 10/01/02......... Aaa AAA 2,044
1,000 Delray Beach, Florida,
Water and Sewer Revenue
Refunding, Series 1993A,
(AMBAC Insured),
5.000% 10/01/03......... Aaa AAA 1,024
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
44
<PAGE> 49
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,565 Dunes, Florida, Community
Development District,
Revenue Refunding,
(Intracoastal Waterway
Bridge Project) Series
1993,
5.300% 10/01/03......... NR BBB $ 1,595
1,900 Dunes, Florida, Community
Development District,
Revenue Refunding,
(Intracoastal Waterway
Bridge Project) Series
1993,
5.400% 10/01/04......... NR BBB 1,942
1,880 Duval County, Florida,
Housing Finance
Authority, Multi-Family
Mortgage Revenue
Refunding, (The Cove
Project) Series 1992,
6.100% 10/01/02......... NR AAA 1,934
7,135 Escambia County, Florida,
Health Facilities
Revenue, (Charity
Obligation Group
Project) Series 1998C,
5.000% 11/01/18......... Aa2 AA+ 6,420
3,600 Escambia County, Florida,
PCR, (Champion
International
Corporation Project)
Series 1996, AMT,
6.400% 09/01/30......... Baa1 NR 3,652
1,700 Escambia County, Florida,
Utilities Authority
Systems Revenue, Series
1996, (FGIC Insured),
5.625% 01/01/21......... Aaa AAA 1,682
1,500 Florida State, Board of
Education, Capital
Outlay GO, Unrefunded
Balance, Series 1989A,
7.250% 06/01/23......... Aa2 AA+ 1,557
1,450 Florida State, Board of
Education, Public
Education Capital Outlay
GO Refunding, Series
1992,
5.500% 06/01/01......... Aa2 AA+ 1,483
1,000 Florida State, Board of
Education, Public
Education Capital Outlay
GO Refunding, Series
1993A,
5.000% 06/01/08......... Aa2 AA+ 1,007
1,000 Florida State, Board of
Education, Public
Education Capital Outlay
GO, Series 1992C,
Prerefunded 06/01/02 @
101,
6.500% 06/01/11......... Aaa AA+ 1,065
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 4,000 Florida State, Board of
Education, Public
Education Capital Outlay
GO, Series 1993D,
5.200% 06/01/11......... Aa2 AA+ $ 4,007
1,500 Florida State, Department
of Transportation, GO,
(Right of Way Bridge
Project) Series 1996,
5.375% 07/01/26......... Aa2 AA+ 1,429
3,000 Florida State, Division of
Bond Financing,
Department of General
Services, Revenue,
(Department of Natural
Resources - Preservation
2000 Project) Series
1991A, (AMBAC Insured),
6.250% 07/01/01......... Aaa AAA 3,106
2,000 Florida State, Division of
Bond Financing,
Department of General
Services, Revenue,
(Department of Natural
Resources - Preservation
2000 Project) Series
1992A, (AMBAC Insured),
5.800% 07/01/01......... Aaa AAA 2,056
1,000 Florida State, Division of
Bond Financing,
Department of General
Services, Revenue,
(Department of Natural
Resources - Preservation
2000 Project) Series
1992A, (AMBAC Insured),
Prerefunded 07/01/02 @
101,
6.250% 07/01/06......... Aaa AAA 1,060
1,000 Florida State, Division of
Bond Financing,
Department of General
Services, Revenue
Refunding, Florida
Facilities Pool, Series
1993, (AMBAC Insured),
4.800% 09/01/01......... Aaa AAA 1,013
1,805 Florida State,
Jacksonville
Transportation
Authority, GO Refunding,
Senior Lien, Series
1997,
6.000% 07/01/05......... Aa AA+ 1,932
2,000 Florida, Greater Orlando
Aviation Authority,
Revenue Refunding,
Series 1992B, (FGIC
Insured),
6.200% 10/01/03......... Aaa AAA 2,134
$ 3,200 Florida, Greater Orlando
Aviation Authority,
Revenue Refunding,
Series 1992D, (AMBAC
Insured),
5.450% 10/01/01......... Aaa AAA $ 3,281
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
45
<PAGE> 50
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 2,000 Florida, Greater Orlando
Aviation Authority,
Revenue Refunding,
Series 1992D, (AMBAC
Insured),
5.600% 10/01/02......... Aaa AAA $ 2,075
4,000 Florida, Housing Finance
Agency, Multi-Family
Housing Revenue
Refunding, (Altamonte
Project) Series 1994C,
Mandatory Put 12/01/03 @
100,
7.000% 12/01/24......... NR BBB+ 4,273
1,000 Florida, Housing Finance
Agency, Multi-Family
Housing Revenue
Refunding, (United
Dominion Realty Trust -
Andover Project) Series
1996E, AMT, Mandatory
Put 05/01/08 @ 100,
6.350% 05/01/26......... NR BBB+ 1,042
1,160 Florida, Housing Finance
Agency, Revenue
Refunding, (The
Vineyards Project)
Series 1995H,
5.875% 11/01/05......... NR BBB+ 1,188
1,000 Florida, Housing Finance
Agency, Revenue
Refunding, (The
Vineyards Project)
Series 1995H,
6.400% 11/01/15......... NR BBB+ 1,038
2,345 Florida, Housing Finance
Corporation, Revenue
(Homeowner Mortgage
Project) Series 1998-1,
(MBIA Insured),
4.950% 07/01/11......... Aaa AAA 2,229
3,000 Florida, Orlando and
Orange County Expressway
Authority, Revenue
Refunding, Senior Lien,
Series 1993, (AMBAC
Insured),
5.000% 07/01/03......... Aaa AAA 3,067
1,000 Florida, Ports Financing
Commission, Revenue,
(State Transportation
Trust Fund Project)
Series 1996, AMT, (MBIA
Insured),
5.375% 06/01/16......... Aaa AAA 960
1,000 Gainesville, Florida,
Utility Systems Revenue,
Series 1996A,
5.750% 10/01/07......... Aa3 AA 1,062
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,375 Hialeah, Florida, Capital
Improvement Revenue,
Series 1993,
5.500% 10/01/18......... Baa1 NR $ 1,268
3,170 Hillsborough County,
Florida, Aviation
Authority Revenue
Refunding, (Tampa
International Airport
Project) Series 1997A,
AMT, (AMBAC Insured),
5.750% 10/01/07......... Aaa AAA 3,344
1,000 Hillsborough County,
Florida, Capital
Improvement Revenue
Refunding, (County
Center Project) Series
1996B, (MBIA Insured),
5.000% 07/01/11......... Aaa AAA 985
2,640 Hillsborough County,
Florida, Environmentally
Sensitive Lands, Series
1992, (AMBAC Insured),
6.250% 07/01/06......... Aaa AAA 2,823
3,500 Hillsborough County,
Florida, IDR Refunding,
(Tampa Electric Company
Project) Series 1992,
8.000% 05/01/22......... Aa3 AA 3,855
1,500 Indian River County,
Florida, School
District, GO Refunding,
Series 1993, (FSA
Insured),
5.000% 04/01/03......... Aaa AAA 1,531
1,800 Indian River County,
Florida, School
District, GO Refunding,
Series 1993, (FSA
Insured),
5.000% 04/01/04......... Aaa AAA 1,839
1,750 Indian River County,
Florida, School
District, GO Refunding,
Series 1993, (FSA
Insured),
5.100% 04/01/05......... Aaa AAA 1,793
1,000 Indian River County,
Florida, Water and Sewer
Revenue Refunding,
Series 1993A, (FGIC
Insured),
5.200% 09/01/05......... Aaa AAA 1,030
1,000 Jacksonville Beach,
Florida, Utilities
Revenue, Series 1991,
(MBIA Insured),
Prerefunded 10/01/01 @
102,
6.500% 10/01/12......... Aaa AAA 1,064
2,000 Jacksonville, Florida,
Electric Systems
Authority, Revenue
Refunding, (St. Johns
River Project) Series
1995-6C-2,
6.400% 10/01/00......... Aa1 AA 2,051
$ 1,000 Jacksonville, Florida,
Electric Systems
Authority, Revenue,
Series 1993A,
5.200% 10/01/02......... Aa3 AA $ 1,026
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
46
<PAGE> 51
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,000 Jacksonville, Florida,
Excise Tax Revenue
Refunding, Series 1995A,
(FGIC Insured),
5.000% 10/01/09......... Aaa AAA $ 1,003
1,000 Jacksonville, Florida,
Health Facilities
Authority, Hospital
Revenue Refunding,
(Daughters of Charity
Project) Series 1993A,
5.000% 11/15/15......... Aa2 AA+ 920
1,375 Jacksonville, Florida,
Health Facilities
Authority, Hospital
Revenue Refunding, (St.
Lukes Hospital
Association Project)
Series 1991,
6.750% 11/15/02......... NR AA+ 1,465
4,200 Jacksonville, Florida,
Health Facilities
Authority, Hospital
Revenue, Series 1997B,
5.400% 08/15/18......... Aa2 AA+ 3,997
2,000 Lakeland, Florida,
Electricity and Water
Revenue Refunding,
Series 1992,
5.625% 10/01/04......... A1 AA- 2,103
1,000 Leon County, Florida,
School District, GO
Refunding, Series 1991,
6.200% 07/01/04......... A1 A+ 1,036
2,025 Marion County, Florida,
Hospital District,
Revenue Refunding,
Series 1999,
5.250% 10/01/11......... A2 NR 1,958
1,500 Miami Beach, Florida, GO
Refunding, Series 1993,
(FGIC Insured),
5.300% 09/01/03......... Aaa AAA 1,549
2,000 Miami, Florida, GO
Refunding, Series 1992,
(FGIC Insured),
5.600% 12/01/03......... Aaa AAA 2,091
3,500 Miami-Dade County,
Florida, Aviation
Revenue, AMT, Series
1998C, (MBIA Insured),
5.250% 10/01/15......... Aaa AAA 3,308
3,000 Miami-Dade County,
Florida, Aviation
Revenue, Series 1998C,
AMT, (MBIA Insured),
5.000% 10/01/23......... Aaa AAA 2,642
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 2,000 Miami-Dade County,
Florida, Aviation
Revenue, Series 1998C,
AMT, (MBIA Insured),
5.000% 10/01/28......... Aaa AAA $ 1,737
1,000 Naples, Florida, Water and
Sewer Revenue Refunding,
Series 1992, (FGIC
Insured),
6.400% 09/01/07......... Aaa AAA 1,070
3,000 North Broward, Florida,
Hospital District
Revenue Refunding,
Series 1992, (MBIA
Insured), Prerefunded
01/01/02 @ 102,
6.250% 01/01/06......... Aaa AAA 3,182
2,000 Orange County, Florida,
Health Facilities
Authority, Hospital
Revenue, (Orlando
Regional Healthcare
Project) Series 1993A,
(MBIA Insured),
5.400% 11/01/02......... Aaa AAA 2,063
2,000 Orange County, Florida,
Health Facilities
Authority, Hospital
Revenue, (Orlando
Regional Healthcare
Project) Series 1996A,
(MBIA Insured),
6.250% 10/01/16......... Aaa AAA 2,153
1,375 Orange County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Lakeside
Alternatives, Inc.
Project) Series 1995,
6.250% 07/01/05......... NR BBB 1,433
3,000 Orange County, Florida,
Health Facilities,
Authority, Hospital
Revenue, (Orlando
Regional Healthcare
Project) Series 1993B,
(MBIA Insured),
4.400% 10/01/02......... Aaa AAA 3,009
2,455 Orange County, Florida,
Housing Finance
Authority, Multi-Family
Mortgage Revenue, Series
1999L, AMT,
5.650% 12/01/17......... A3 NR 2,355
1,720 Orange County, Florida,
Housing Finance
Authority, Single-Family
Mortgage Revenue, Series
1997A, AMT, (GNMA/FNMA
COLL),
5.900% 09/01/19......... NR AAA 1,737
$ 2,000 Orlando and Orange County,
Florida, Expressway
Authority, Revenue,
Junior Lien, Series
1990, (FGIC Insured),
6.500% 07/01/10......... Aaa AAA $ 2,238
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
47
<PAGE> 52
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,000 Orlando, Florida, Greater
Orlando Aviation
Authority, Airport
Facilities Revenue
Refunding, Series 1997,
AMT, (FGIC Insured),
5.125% 10/01/12......... Aaa AAA $ 969
3,000 Orlando, Florida,
Utilities Commission,
Water and Electric
Revenue Refunding,
Series 1992,
5.600% 10/01/03......... Aa1 AA 3,136
2,000 Orlando, Florida,
Utilities Commission,
Water and Electric
Revenue Refunding,
Series 1993B,
5.400% 10/01/08......... Aa2 AA- 2,050
2,000 Palm Beach County,
Florida, GO Refunding,
Series 1998,
5.500% 12/01/11......... Aa2 AA 2,074
1,250 Palm Beach County,
Florida, GO, Series
1991, Prerefunded
10/01/01 @ 102,
6.600% 10/01/11......... NR NR 1,330
1,750 Palm Beach County,
Florida, GO, Series
1994,
6.875% 12/01/03......... Aa2 AA 1,913
1,300 Palm Beach County,
Florida, GO, Series
1994,
7.000% 12/01/04......... Aa2 AA 1,448
1,000 Palm Beach County,
Florida, Health
Facilities Authority,
Hospital Revenue, (Good
Samaritans Health System
Project) Series 1993,
6.100% 10/01/05......... Aaa A+ 1,072
4,400 Palm Beach County,
Florida, Housing Finance
Authority, Single-Family
Mortgage Revenue
Refunding, Series 1999A,
AMT, (GNMA/FNMA COLL),
4.850% 04/01/32......... Aaa NR 4,304
2,000 Palm Beach County,
Florida, School
District, GO Refunding,
Series 1992, (AMBAC
Insured),
6.000% 08/01/06......... Aaa AAA 2,097
2,000 Palm Beach County,
Florida, Stadium
Facilities Revenue,
Series 1996, (MBIA
Insured),
5.250% 12/01/16......... Aaa AAA 1,921
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,250 Pembroke Pines, Florida,
Consolidated Utilities
Systems Revenue, Series
1992, (FGIC Insured),
6.250% 09/01/07......... Aaa AAA $ 1,348
1,400 Pinellas County, Florida,
Health Facilities
Authority, Hospital
Revenue, (Morton Plant
Hospital Association
Project) Series 1993,
(MBIA Insured),
4.900% 11/15/02......... Aaa AAA 1,425
1,000 Pinellas County, Florida,
PCR Refunding, (Anclote
and Barton Power
Plants - Florida Power
Corporation Project)
Series 1991,
7.200% 12/01/14......... A1 A+ 1,058
2,000 Pinellas County, Florida,
Resource Recovery
Revenue Refunding,
Series 1990A, (MBIA
Insured),
6.600% 10/01/00......... Aaa AAA 2,055
2,500 Pinellas County, Florida,
Resource Recovery
Revenue Refunding,
Series 1990A, (MBIA
Insured),
6.800% 10/01/02......... Aaa AAA 2,617
1,690 Reedy Creek, Florida,
Improvement District,
Revenue, Unrefunded
Balance, Series 1991A,
6.400% 06/01/07......... A1 A+ 1,757
1,010 Reedy Creek, Florida,
Improvement District,
Series 1991A,
Prerefunded 06/01/01 @
101,
6.400% 06/01/07......... A1 A+ 1,056
1,200 Sarasota County, Florida,
GO Refunding, Series
1992, (FGIC Insured),
6.100% 10/01/02......... Aaa AAA 1,263
1,650 Sarasota County, Florida,
Public Hospital Board,
Revenue Refunding,
(Sarasota Memorial
Hospital Project) Series
1997B, (MBIA Insured),
5.000% 10/01/07......... Aaa NR 1,666
1,750 Sarasota County, Florida,
Public Hospital Board,
Revenue Refunding,
(Sarasota Memorial
Hospital Project) Series
1998B, (MBIA Insured),
5.250% 07/01/11......... Aaa AAA 1,754
$ 1,000 Sarasota, Florida, Water
and Sewer Utility
Revenue Refunding,
Series 1992, (FGIC
Insured),
6.000% 10/01/02......... Aaa AAA $ 1,050
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
48
<PAGE> 53
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 2,100 Seminole County, Florida,
School District, GO
Refunding, Series 1992,
(MBIA Insured),
5.900% 08/01/02......... Aaa AAA $ 2,194
850 St. Johns County, Florida,
Industrial Development
Authority, Revenue,
(Flagler Hospital, Inc.
Project) Series 1992,
5.700% 08/01/02......... A2 A- 873
945 St. Johns County, Florida,
Industrial Development
Authority, Revenue,
(Flagler Hospital, Inc.
Project) Series 1992,
6.000% 08/01/08......... A2 A- 972
2,000 St. Lucie County, Florida,
School District, GO
Refunding, Series 1992,
(AMBAC Insured),
6.000% 07/01/03......... Aaa AAA 2,113
1,000 St. Lucie County, Florida,
School District, GO,
Series 1997, (FGIC
Insured),
5.875% 02/01/07......... Aaa AAA 1,066
2,000 St. Petersburg, Florida,
Utility Tax Revenue
Refunding, Series 1992,
(AMBAC Insured),
6.000% 06/01/05......... Aaa AAA 2,111
1,000 Tallahassee, Florida,
Health Facilities
Revenue Refunding,
(Tallahassee Memorial
Medical Center Project)
Series 1992B, (MBIA
Insured),
5.750% 12/01/04......... Aaa AAA 1,054
1,000 Tallahassee, Florida,
Health Facilities
Revenue Refunding,
(Tallahassee Memorial
Regional Medical Center
Project) Series 1992A,
(MBIA Insured),
5.750% 12/01/04......... Aaa AAA 1,054
1,000 Tampa, Florida, Capital
Improvement Authority,
Hospital Revenue, (H.
Lee Moffitt Project)
Series 1999A,
4.875% 07/01/13......... A3 A 900
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 2,000 Tampa, Florida, Health
Systems Revenue,
(Catholic Health
Project) Series 1998A-1,
(MBIA Insured),
4.875% 11/15/15......... Aaa AAA $ 1,802
3,170 Tampa, Florida, Sports
Authority, Local
Optional Sales Tax
Revenue, (Stadium
Project) Series 1997,
(MBIA Insured),
6.000% 01/01/07......... Aaa AAA 3,402
1,000 Tampa, Florida, Water and
Sewer Revenue, Series
1993A, (FGIC Insured),
5.000% 10/01/02......... Aaa AAA 1,022
1,025 Venice, Florida, Health
Facilities Revenue,
(Venice Hospital Inc.
Project) Series 1994,
5.300% 12/01/02......... Aaa NR 1,054
1,000 Venice, Florida,
Stormwater and Drain
Revenue, Series 1996,
(AMBAC Insured),
5.600% 05/01/16......... Aaa AAA 1,001
--------
226,251
--------
TOTAL MUNICIPAL
BONDS AND NOTES (Cost $223,325)......... 226,251
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- ------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 1.8%
(Cost $4,342)
4,342 AIM Tax-Exempt Fund..................... 4,342
--------
TOTAL INVESTMENTS
(Cost $227,667*)............... 97.4% 230,593
--------
OTHER ASSETS AND
LIABILITIES (NET).............. 2.6%
Receivable for investment securities
sold.................................. $ 2,835
Interest receivable..................... 4,496
Prepaid expenses........................ 5
Payable for Fund shares redeemed........ (26)
Investment advisory fee payable......... (37)
Administration fee payable.............. (39)
Shareholder servicing and distribution
fees payable.......................... (19)
Distributions payable................... (933)
Accrued Trustees' fees and expenses..... (14)
Accrued expenses and other
liabilities........................... (68)
--------
TOTAL OTHER ASSETS AND LIABILITIES
(NET)................................. 6,200
--------
NET ASSETS....................... 100.0% $236,793
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
49
<PAGE> 54
NATIONS FUNDS
Nations Florida Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
- ------------------------------------------------------------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Accumulated net realized loss on
investments sold...................... $ (1,223)
Net unrealized appreciation of
investments........................... 2,926
Paid-in capital......................... 235,090
--------
NET ASSETS.............................. $236,793
========
PRIMARY A SHARES:
Net asset value, offering and redemption
price per share
($219,576,402 / 21,134,468 shares
outstanding).......................... $10.39
------
------
INVESTOR A SHARES:
Net asset value and redemption price per
share ($11,448,215 / 1,102,758 shares
outstanding).......................... $10.38
------
------
Maximum sales charge.................... 3.25%
Maximum offering price per share........ $10.73
INVESTOR B SHARES:
Net asset value and offering price per
share** ($4,624,550 / 445,102 shares
outstanding).......................... $10.39
------
------
INVESTOR C SHARES:
Net asset value and offering price per
share** ($1,143,872 / 110,069 shares
outstanding).......................... $10.39
------
------
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $6,030 and gross
depreciation of $3,104 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$227,667.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Florida Intermediate Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
MBIA 20.47%
AMBAC 17.34%
FGIC 10.66%
Nations Florida Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Hospital Revenue 17.76%
Transportation Revenue 13.80%
SEE NOTES TO FINANCIAL STATEMENTS.
50
<PAGE> 55
NATIONS FUNDS
Nations Florida Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 96.9%
FLORIDA -- 86.0%
$ 940 Alachua County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Santa Fe
Healthcare Facilities,
Inc. Project) Series
1993,
6.000% 11/15/09......... Baa1 AAA $ 986
1,000 Alachua County, Florida,
Health Facilities
Authority, Revenue,
(Shands Teaching
Hospital/Clinic Project)
Series 1996A, (MBIA
Insured),
5.000% 12/01/04......... Aaa AAA 1,022
1,000 Bay County, Florida, PCR
Refunding,
(International Paper
Company Project) Series
1998A,
5.100% 09/01/12......... A3 BBB+ 954
2,550 Brevard County, Florida,
Health Facilities
Authority, Revenue,
(Holmes Regional Medical
Center, Inc. Project)
Series 1996, (MBIA
Insured),
5.625% 10/01/14......... Aaa AAA 2,564
1,000 Canaveral, Florida, Port
Authority, Port
Improvement Revenue
Refunding, Series 1996B,
(FGIC Insured),
5.700% 06/01/13......... Aaa AAA 1,015
2,250 Charlotte County, Florida,
Utility Revenue
Refunding, Series 1996A,
(FGIC Insured),
5.625% 10/01/16......... Aaa AAA 2,257
1,000 Citrus County, Florida,
PCR Refunding, (Crystal
River Power
Plant - Florida Power
Corporation Project)
Series 1992B,
6.350% 02/01/22......... A1 A+ 1,050
700 Collier County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Moorings,
Inc. Project) Series
1994,
6.250% 12/01/07......... NR BBB+ 731
700 Collier County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Moorings,
Inc. Project) Series
1994,
6.375% 12/01/08......... NR BBB+ 735
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 5,175 Collier County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Moorings,
Inc. Project) Series
1994,
7.000% 12/01/19......... NR BBB+ $ 5,548
2,500 Dade County, Florida,
Aviation Revenue, Series
1996A, AMT, (MBIA
Insured),
5.750% 10/01/12......... Aaa AAA 2,556
1,000 Dade County, Florida,
School District, GO,
Series 1994A, (MBIA
Insured),
6.125% 06/01/14......... Aaa AAA 1,085
1,500 Dade County, Florida,
Water and Sewer System
Revenue Refunding,
Series 1993, (FGIC
Insured),
5.000% 10/01/13......... Aaa AAA 1,442
4,000 Escambia County, Florida,
Health Facilities
Revenue, (Charity
Obligation Group
Project) Series 1998C,
5.000% 11/01/28......... Aa2 AA+ 3,467
1,000 Escambia County, Florida,
PCR, (Champion
International
Corporation Project)
Series 1994, AMT,
6.900% 08/01/22......... Baa1 BBB 1,064
1,000 Escambia County, Florida,
PCR, (Champion
International
Corporation Project)
Series 1996, AMT, 6.400%
09/01/30................ Baa1 NR 1,015
1,000 Florida State, Board of
Education, Capital
Outlay GO, Unrefunded
Balance, Series 1989A,
7.250% 06/01/23......... Aa2 AA+ 1,038
1,000 Florida State, Board of
Education, Public
Education Capital Outlay
GO Refunding, Series
1993A,
5.000% 06/01/08......... Aa2 AA+ 1,007
2,500 Florida State, Board of
Education, Public
Education Capital Outlay
GO, Series 1996A,
5.250% 06/01/16......... Aa2 AA+ 2,403
3,000 Florida State, Board of
Education, Public
Education Capital Outlay
GO, Series 1996A,
5.000% 06/01/18......... Aa2 AA+ 2,738
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
51
<PAGE> 56
NATIONS FUNDS
Nations Florida Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,000 Florida State, Department
of Transportation, GO,
(Right of Way Bridge
Project) Series 1996,
5.375% 07/01/26......... Aa2 AA+ $ 953
1,000 Florida State,
Jacksonville
Transportation GO
Refunding, Senior Lien,
Series 1997,
5.000% 07/01/19......... Aa AA+ 908
1,500 Florida State, Municipal
Power Agency, Revenue
Refunding, (St. Lucie
Project) Series 1992,
(FGIC Insured),
5.250% 10/01/21......... Aaa AAA 1,405
1,000 Florida, Housing Finance
Agency, Multi-Family
Housing Revenue
Refunding, (Altamonte
Project) Series 1994C,
Mandatory Put 12/01/03 @
100,
7.000% 12/01/24......... NR BBB+ 1,069
500 Florida, Housing Finance
Agency, Revenue
Refunding, (The
Vineyards Project)
Series 1995H,
6.500% 11/01/25......... NR BBB+ 519
2,990 Florida, Housing Finance
Agency, Revenue,
(Homeowner Mortgage
Project) Series 1997-2,
AMT, (MBIA Insured),
5.750% 07/01/14......... Aaa AAA 2,999
715 Florida, Housing Finance
Agency, Single-Family
Mortgage Revenue, Series
1994B, AMT, (GNMA/FNMA
COLL),
6.550% 07/01/17......... Aaa AAA 735
1,705 Florida, Housing Finance
Corporation, Revenue
(Homeowner Mortgage
Project) Series 1998-1,
(MBIA Insured),
4.950% 01/01/11......... Aaa AAA 1,629
3,000 Gainesville, Florida,
Utility Systems Revenue,
Series 1992B,
6.500% 10/01/11......... Aa3 AA 3,365
2,000 Hillsborough County,
Florida, Aviation
Authority Revenue
Refunding, (Tampa
International Airport
Project) Series 1997B,
(AMBAC Insured),
5.125% 10/01/17......... Aaa AAA 1,861
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 1,000 Hillsborough County,
Florida, IDR Refunding,
(Tampa Electric Company
Project) Series 1992,
8.000% 05/01/22......... Aa3 AA $ 1,101
1,000 Hillsborough County,
Florida, Utilities
Revenue Refunding,
Series 1993, (MBIA
Insured),
5.500% 08/01/12......... Aaa AAA 1,007
1,500 Jacksonville, Florida,
Health Facilities
Authority, Hospital
Revenue Refunding,
(Daughters of Charity
Project) Series 1993A,
5.000% 11/15/15......... Aa2 AA+ 1,380
5,000 Jacksonville, Florida,
Sales Tax Revenue,
(River City Renaissance
Project) Series 1995,
(FGIC Insured),
5.650% 10/01/14......... Aaa AAA 5,062
5,000 Jacksonville, Florida,
Sales Tax Revenue,
(River City Renaissance
Project) Series 1995,
(FGIC Insured),
5.375% 10/01/18......... Aaa AAA 4,806
2,430 Leon County, Florida,
Capital Improvement
Revenue, Series 1997,
(AMBAC Insured),
5.250% 10/01/17......... Aaa AAA 2,305
3,000 Martin County, Florida,
Industrial Development
Authority, Revenue,
(Indiantown Cogeneration
Project) Series 1994A,
AMT,
7.875% 12/15/25......... Baa3 BBB- 3,106
2,300 Martin County, Florida,
Industrial Development
Authority, Revenue,
(Indiantown Cogeneration
Project) Series 1995B,
AMT,
8.050% 12/15/25......... Baa3 BBB- 2,393
2,620 Miami Beach, Florida,
Water and Sewer Revenue,
Series 1995, (FSA
Insured),
5.375% 09/01/15......... Aaa AAA 2,585
2,000 North Broward, Florida,
Hospital District,
Revenue Refunding,
Series 1997, (MBIA
Insured),
5.250% 01/15/17......... Aaa AAA 1,885
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
52
<PAGE> 57
NATIONS FUNDS
Nations Florida Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 5,000 Okaloosa County, Florida,
Gas Distribution Revenue
Refunding, Series 1994,
(MBIA Insured),
Prerefunded 10/01/04 @
102,
6.875% 10/01/19......... Aaa AAA $ 5,612
1,000 Orange County, Florida,
Health Facilities
Authority, Hospital
Revenue, (Orlando
Regional Healthcare
Project) Series 1993B,
(MBIA Insured),
5.000% 10/01/10......... Aaa AAA 983
4,520 Orange County, Florida,
Health Facilities
Authority, Hospital
Revenue, (Orlando
Regional Healthcare
Project) Series 1996A,
(MBIA Insured),
6.250% 10/01/16......... Aaa AAA 4,866
1,000 Orange County, Florida,
Sales Tax Revenue,
Series 1993B,
5.375% 01/01/24......... A1 A+ 939
1,000 Orange County, Florida,
Tourist Development Tax
Revenue, Series 1994B,
(MBIA Insured),
Prerefunded 10/01/04 @
102,
6.000% 10/01/14......... Aaa AAA 1,084
3,000 Orlando, Florida,
Utilities Commission,
Water and Electricity
Revenue Refunding,
Series 1989D,
6.750% 10/01/17......... Aa2 AA- 3,417
1,000 Osceola County, Florida,
Health Facilities
Authority, Revenue
Refunding, (Evangelical
Lutheran Good Samaritan
Society Project) Series
1994, (AMBAC Insured),
6.000% 05/01/10......... Aaa AAA 1,051
1,500 Palm Beach County,
Florida, Health
Facilities Authority,
Hospital Revenue, (Good
Samaritans Health System
Project) Series 1993,
Prerefunded 10/01/05 @
100,
6.200% 10/01/11......... Aaa A+ 1,613
$ 1,000 Palm Beach County,
Florida, Housing Finance
Authority, Single-Family
Mortgage Revenue
Refunding, Series 1999A,
AMT, (GNMA/FNMA COLL),
4.850% 04/01/32......... Aaa NR $ 978
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
665 Palm Beach County,
Florida, Housing Finance
Authority, Single-Family
Mortgage Revenue, Series
1995A, AMT, (GNMA/FNMA
COLL),
6.500% 10/01/21......... Aaa NR 685
935 Palm Beach County,
Florida, Solid Waste
Authority, Revenue
Refunding, Series 1997A,
(AMBAC Insured),
6.000% 10/01/10......... Aaa AAA 1,014
5,065 Palm Beach County,
Florida, Solid Waste
Authority, Revenue,
Unrefunded Balance,
Series 1997A, (AMBAC
Insured),
6.000% 10/01/10......... Aaa AAA 5,428
2,000 Pensacola, Florida,
Airport Revenue, Series
1997B, AMT, (MBIA
Insured),
5.625% 10/01/14......... Aaa AAA 2,002
1,000 Polk County, Florida,
Industrial Development
Authority, Solid Waste
Disposal Facilities
Revenue, (Tampa Electric
Company Project) Series
1996, AMT,
5.850% 12/01/30......... Aa2 A1+ 991
2,000 South Broward, Florida,
Hospital District,
Revenue Refunding,
Series 1993, (FSA
Insured),
5.500% 05/01/28......... Aaa AAA 1,925
4,000 South Miami, Florida,
Health Facilities
Authority, Hospital
Revenue Refunding,
(Baptist Health Systems
Obligation Group
Project) Series 1995,
(MBIA Insured),
5.375% 10/01/16......... Aaa AAA 3,834
2,500 Sunrise Lakes, Florida,
Phase 4 Recreational
District, GO, Series
1995A, Prerefunded
08/01/05 @ 102,
6.750% 08/01/24......... NR BBB- 2,798
$ 1,000 Tampa, Florida, Sports
Authority, Local
Optional Sales Tax
Revenue, (Stadium
Project) Series 1997,
(MBIA Insured),
5.125% 01/01/12......... Aaa AAA $ 989
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
53
<PAGE> 58
NATIONS FUNDS
Nations Florida Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
FLORIDA -- (CONTINUED)
$ 2,000 Tampa, Florida, Sports
Authority, Local
Optional Sales Tax
Revenue, (Stadium
Project) Series 1997,
(MBIA Insured),
5.250% 01/01/17......... Aaa AAA $ 1,906
2,500 Tampa, Florida, Sports
Authority, Sales Tax
Revenue, (Tampa Bay
Arena Project) Series
1995, (MBIA Insured),
5.750% 10/01/15......... Aaa AAA 2,590
2,380 Volusia County, Florida,
Educational Facilities
Authority, Educational
Facilities Revenue,
(Embry-Riddle
Aeronautical University
Project) Series 1999A,
5.750% 10/15/29......... Baa2 NR 2,238
1,000 Volusia County, Florida,
Educational Facilities
Authority, Educational
Facilities Revenue,
(Embry-Riddle
Aeronautical University
Project) Series 1996A,
6.125% 10/15/26......... Baa2 NR 994
--------
123,687
--------
GUAM -- 6.9%
3,820 Guam, Airport Authority,
Revenue, Series 1993A,
6.375% 10/01/10......... NR BBB 4,042
2,435 Guam, Airport Authority,
Revenue, Series 1993B,
AMT,
6.400% 10/01/05......... NR BBB 2,516
3,000 Guam, Power Authority,
Revenue, Series 1994A,
Prerefunded 10/01/04 @
102,
6.750% 10/01/24......... NR BBB 3,377
--------
9,935
--------
PUERTO RICO -- 4.0%
4,190 Puerto Rico Commonwealth,
GO, Series 1997, (MBIA
Insured),
6.500% 07/01/15......... Aaa AAA 4,675
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
PUERTO RICO -- (CONTINUED)
$ 1,000 Puerto Rico, Industrial
Tourist Educational
Medical and
Environmental Authority,
Control Facilities
Hospital Revenue,
(Hospital Auxilio Mutuo
Obligation Group
Project) Series 1995A,
(MBIA Insured),
6.250% 07/01/16......... Aaa AAA $ 1,050
--------
5,725
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $135,554).................. 139,347
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- ------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 1.5%
(Cost $2,152)
2,152 AIM Tax-Exempt Fund................... 2,152
--------
TOTAL INVESTMENTS (Cost
$137,706*)................... 98.4% 141,499
--------
OTHER ASSETS AND LIABILITIES
(NET)........................ 1.6%
Receivable for investment securities
sold................................ $ 12
Receivable for Fund shares sold....... 25
Interest receivable................... 3,236
Prepaid expenses...................... 6
Payable for Fund shares redeemed...... (162)
Investment advisory fee payable....... (29)
Administration fee payable............ (24)
Shareholder servicing and distribution
fees payable........................ (28)
Distributions payable................. (581)
Accrued Trustees' fees and expenses... (13)
Accrued expenses and other
liabilities......................... (112)
--------
TOTAL OTHER ASSETS AND LIABILITIES
(NET)............................... 2,330
--------
NET ASSETS..................... 100.0% $143,829
========
NET ASSETS CONSIST OF:
Undistributed net investment income... $ 100
Accumulated net realized loss on
investments sold.................... (222)
Net unrealized appreciation of
investments......................... 3,793
Paid-in capital....................... 140,158
--------
NET ASSETS............................ $143,829
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
54
<PAGE> 59
NATIONS FUNDS
Nations Florida Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
- ----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($73,990,912 / 7,797,314 shares
outstanding)........................ $9.49
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price
per share ($56,214,598 / 5,924,043
shares outstanding)................. $9.49
-----
-----
Maximum sales charge.................. 4.75%
Maximum offering price per share...... $9.96
INVESTOR B SHARES:
Net asset value and offering price per
share** ($13,601,186 / 1,433,362
shares outstanding)................. $9.49
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share** ($22,055 / 2,324 shares
outstanding)........................ $9.49
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $5,120 and gross
depreciation of $1,327 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$137,706.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Florida Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
MBIA 30.83%
FGIC 11.1%
Nations Florida Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Hospital Revenue 20.60%
Electric Revenue 11.98%
Special Tax 10.85%
Transportation Revenue 10.56%
SEE NOTES TO FINANCIAL STATEMENTS.
55
<PAGE> 60
NATIONS FUNDS
Nations Georgia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 95.5%
GEORGIA -- 95.5%
$2,000 Albany-Dougherty, Georgia,
Payroll Development
Authority, Solid Waste
Disposal Revenue,
(Procter and Gamble
Company - Procter and
Gamble Paper Products
Project) Series 1998,
AMT,
5.300% 05/15/26......... Aa2 AA $ 1,822
1,000 Alpharetta, Georgia, GO,
Series 1992,
6.000% 05/01/03......... Aa2 AA 1,053
1,000 Atlanta and Fulton County,
Georgia, Recreation
Authority, Revenue
Refunding, (Atlanta Zoo
Project) Series 1992,
5.850% 12/01/00......... Aa3 AA 1,023
1,000 Atlanta, Georgia, Airport
Facilities Revenue
Refunding, Series 1996,
(AMBAC Insured),
5.000% 01/01/03......... Aaa AAA 1,017
1,000 Atlanta, Georgia, Airport
Facilities Revenue
Refunding, Series 1996,
(AMBAC Insured),
6.000% 01/01/03......... Aaa AAA 1,047
1,000 Atlanta, Georgia, Downtown
Development Authority,
Revenue Refunding,
(Underground Atlanta
Project) Series 1992,
6.250% 10/01/12......... Aa3 AA 1,061
2,000 Atlanta, Georgia, Urban
Residential Financial
Authority, Multi-Family
Revenue Refunding,
(Housing City Plaza
Project) Series 1998,
AMT, (FNMA COLL),
Mandatory Put 12/01/08 @
100,
4.550% 12/01/28......... NR AAA 1,906
2,000 Atlanta, Georgia, Water
and Wastewater
Authority, Revenue,
Series 1999A, (FGIC
Insured),
5.000% 11/01/38......... Aaa AAA 1,702
3,000 Baldwin County, Georgia,
School District, GO,
Series 1997, (State Aid
Withholding),
4.500% 01/01/03......... NR AA- 3,011
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$2,000 Bibb County, Georgia,
Development Authority
Revenue, (First
Presbyterian Day School
Project) Series 1999,
(SunTrust Bank of
Georgia LOC),
3.800% 05/01/19......... P1 NR $ 2,000
2,750 Bibb County, Georgia, GO,
Series 1993,
5.500% 01/01/08......... A1 AA 2,819
1,000 Burke County, Georgia,
Development Authority,
PCR, (Oglethorpe Power
Corporation Project)
Series 1994B,
4.700% 01/01/04......... A3 A 993
2,500 Cartersville, Georgia,
Development Authority,
Sewer Facilities Revenue
Refunding, (Anheuser-
Busch Companies, Inc.
Project) Series 1997,
AMT,
5.625% 05/01/09......... A1 A+ 2,557
1,000 Chatham County, Georgia,
School District, GO,
Series 1992,
5.800% 08/01/04......... Aa3 AA 1,047
1,000 Cherokee County, Georgia,
School System Revenue,
GO, Series 1993, (AMBAC
Insured),
5.875% 02/01/09......... Aaa AAA 1,057
1,000 Cherokee County, Georgia,
School System, GO
Refunding, Series 1992,
5.900% 06/01/02......... A2 AA- 1,040
765 Cherokee County, Georgia,
Water and Sewer
Authority, Revenue
Refunding, Series 1993,
(MBIA Insured),
5.300% 08/01/09......... Aaa AAA 785
1,000 Clarke County, Georgia,
Hospital Authority,
Revenue, (Athens
Regional Medical Center
Project) Series 1993,
(MBIA Insured),
Prerefunded 01/01/03 @
102,
5.750% 01/01/08......... Aaa AAA 1,057
1,000 Clarke County, Georgia,
School District, GO
Refunding, Series 1993,
(FGIC Insured),
5.100% 07/01/04......... Aaa AAA 1,025
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
56
<PAGE> 61
NATIONS FUNDS
Nations Georgia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$3,190 Clayton County, Georgia,
Hospital Authority,
Revenue Anticipation
Certificates, (Southern
Regional Medical Center
Project) Series 1998A,
(MBIA Insured),
5.250% 08/01/09......... Aaa AAA $ 3,204
1,000 Clayton County, Georgia,
Hospital Authority,
Revenue, (Southern
Regional Medical Center
Project) Series 1991,
(MBIA Insured),
Prerefunded 08/01/01 @
102,
6.700% 08/01/02......... Aaa AAA 1,063
1,000 Clayton County, Georgia,
Water and Sewer
Authority, Revenue
Refunding, Series 1993,
(MBIA Insured),
5.400% 05/01/07......... Aaa AAA 1,027
2,000 Cobb County and Marietta,
Georgia, Water
Authority, Revenue
Refunding, Series 1993,
5.000% 11/01/03......... Aa1 AA 2,045
1,000 Cobb County, Georgia,
Detention Buildings and
Facilities GO, Series
1993,
5.300% 01/01/08......... Aaa AAA 1,020
1,200 Cobb County, Georgia,
Kennestone Hospital
Authority, Revenue,
Series 1992A,
5.600% 04/01/05......... Aa2 AA 1,246
1,000 Cobb County, Georgia,
Kennestone Hospital
Authority, Revenue,
Series 1992A,
5.700% 04/01/06......... Aa2 AA 1,036
2,000 Cobb County, Georgia,
School District GO,
Series 1991B,
6.150% 02/01/03......... Aa1 AA 2,108
2,000 Cobb County, Georgia,
School District, GO,
Series 1995,
4.800% 02/01/04......... Aa1 AA 2,026
1,000 Cobb County, Georgia,
Water and Sewer
Authority, Revenue
Refunding, Series 1993A,
5.400% 07/01/08......... Aa1 AA 1,023
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$2,250 Columbus, Georgia, Water
and Sewer Authority,
Revenue Refunding,
Series 1992, (FGIC
Insured),
6.000% 05/01/03......... Aaa AAA $ 2,368
1,000 Columbus, Georgia, Water
and Sewer Authority,
Revenue Refunding,
Series 1993,
5.100% 05/01/03......... A2 A+ 1,019
1,000 Dalton, Georgia, Building
Authority Revenue,
Series 1993,
5.000% 07/01/02......... A1 NR 1,018
2,000 Dalton, Georgia, Multiple
Utility Revenue
Refunding, Series 1997,
(MBIA Insured),
4.450% 01/01/03......... Aaa AAA 2,004
5,000 Dalton, Georgia, Multiple
Utility Revenue
Refunding, Series 1997,
(MBIA Insured),
6.000% 01/01/06......... Aaa AAA 5,343
1,000 DeKalb County, Georgia,
School District, GO
Refunding, Series 1993,
5.000% 07/01/03......... Aa2 AA 1,022
1,000 Downtown Savannah
Authority, Georgia,
Revenue Refunding,
(Chatham County Project)
Series 1993A,
5.000% 01/01/11......... Aa3 AA 977
6,440 Effingham County, Georgia,
Development Authority,
Solid Waste Disposal
Revenue, (Fort James
Corporation Project)
Series 1998, AMT,
5.625% 07/01/18......... Baa2 BBB- 6,124
1,000 Fayette County, Georgia,
School District, GO
Refunding, Series 1992,
(FGIC Insured),
6.100% 03/01/03......... Aaa AAA 1,054
3,800 Forsyth County, Georgia,
Water and Sewer
Authority, Revenue,
Series 1998,
5.000% 04/01/02......... Aa3 AA- 3,868
1,500 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, (Georgia
Baptist Health Care
Project) Series 1992A,
5.800% 09/01/01......... Baa1 NR 1,543
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
57
<PAGE> 62
NATIONS FUNDS
Nations Georgia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$1,000 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, (Georgia
Baptist Health Care
Project) Series 1992A,
Prerefunded 09/01/02 @
102,
6.000% 09/01/03......... Baa1 NR $ 1,061
2,000 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, (St.
Joseph Hospital Project)
Series 1994,
4.900% 10/01/03......... Aaa A 2,032
1,000 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, (St.
Joseph Hospital Project)
Series 1994,
5.500% 10/01/14......... Aaa A 1,002
2,000 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, Health
Systems Revenue,
(Catholic Health East
Project) Series 1998A,
(MBIA Insured),
4.600% 11/15/09......... Aaa AAA 1,909
1,000 Fulton and DeKalb
Counties, Georgia,
Hospital Authority, GO
Refunding Certificates,
(Grady Memorial Hospital
Project) Series 1993,
(MBIA Insured),
5.250% 01/01/04......... Aaa AAA 1,027
1,025 Fulton County, Georgia,
Building Authority
Revenue, (County
Government and Health
Facilities Project)
Series 1992A,
5.700% 01/01/04......... Aa3 AA 1,071
1,735 Fulton County, Georgia,
Development Authority,
Revenue (Georgia Tech
Foundation Facilities
Project) Series 1997A,
5.000% 09/01/17......... Aa1 AA+ 1,587
3,500 Fulton County, Georgia,
Development Authority,
Revenue, (Holy Innocents
Episcopal School
Project) Series 1998,
(SunTrust Bank LOC),
3.850% 02/01/18......... Aa3 NR 3,500
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$1,000 Fulton County, Georgia,
Hospital Authority,
Revenue Refunding
Anticipation
Certificates, (Northside
Project) Series 1992A,
(MBIA Insured),
6.000% 10/01/01......... Aaa AAA $ 1,035
1,500 Fulton County, Georgia,
School District, GO
Refunding, Series 1991,
6.250% 05/01/04......... Aa2 AA 1,608
1,000 Fulton County, Georgia,
School District, GO,
Series 1994,
7.500% 01/01/02......... Aa2 AA 1,068
1,500 Georgia State, GO
Refunding, Series 1992A,
6.250% 03/01/06......... Aaa AAA 1,629
1,200 Georgia State, GO, Series
1992B,
6.000% 03/01/04......... Aaa AAA 1,274
2,750 Georgia State, GO, Series
1993C,
6.500% 07/01/05......... Aaa AAA 3,013
975 Georgia State, Housing and
Finance Authority,
Revenue, (Home Ownership
Program) Series 1992B,
AMT,
6.600% 06/01/25......... Aa AAA 1,006
1,000 Georgia State, Tollway
Authority, Revenue
Refunding, (Georgia 400
Project) Series 1998,
5.000% 07/01/07......... Aaa AAA 1,015
2,000 Georgia State, Tollway
Authority, Revenue,
(Georgia 400 Project)
Series 1991, Prerefunded
07/01/01 @ 102,
6.375% 07/01/02......... Aaa AAA 2,113
1,000 Georgia State, Tollway
Authority, Revenue,
(Georgia 400 Project)
Series 1991, Prerefunded
07/01/01 @ 102,
6.400% 07/01/03......... Aaa AAA 1,057
1,500 Georgia, Municipal Gas
Authority, Gas Tax
Revenue, (Southern
Storage Gas Project)
Series 1994,
6.000% 07/01/04......... NR A- 1,585
1,000 Griffin-Spalding County,
Georgia, School System,
GO, Series 1996, (State
Aid Withholding, FSA
Insured),
5.250% 02/01/10......... Aaa AAA 1,004
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
58
<PAGE> 63
NATIONS FUNDS
Nations Georgia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$2,000 Griffin-Spalding County,
Georgia, School System,
GO, Series 1996, (State
Aid Withholding, FSA
Insured),
5.600% 02/01/21......... Aaa AAA $ 1,978
1,000 Gwinnett County, Georgia,
School District, GO
Refunding, Series 1992B,
6.000% 02/01/01......... Aa1 AA+ 1,024
1,000 Gwinnett County, Georgia,
School District, GO,
Series 1993,
5.250% 02/01/08......... Aa1 AA+ 1,011
1,000 Hall County, Georgia,
School District, GO
Refunding, Series 1992B,
6.300% 12/01/05......... A1 NR 1,086
2,000 Hall County, Georgia,
School District, GO,
Series 1994, (AMBAC
Insured), Prerefunded
12/01/04 @ 102,
6.700% 12/01/14......... Aaa AAA 2,232
1,000 Henry City and County,
Georgia, Water and Sewer
Authority, Improvement
Revenue Refunding,
Series 1993A,
5.000% 02/01/07......... A2 NR 1,003
2,000 Henry County, Georgia,
Hospital Authority,
Revenue, (Henry Medical
Center, Inc. Project)
Series 1997, (AMBAC
Insured),
5.250% 07/01/09......... Aaa AAA 2,024
1,000 Henry County, Georgia,
School District, GO
Refunding, Series 1992B,
5.600% 08/01/01......... A1 A+ 1,026
1,000 Henry County, Georgia,
School District, GO,
Series 1992A,
5.700% 08/01/02......... A1 A+ 1,037
2,000 Houston County, Georgia,
School District, GO,
Series 1996, (State Aid
Withholding, MBIA
Insured),
5.500% 03/01/16......... Aaa AAA 1,981
1,000 Macon, Georgia, Water
Authority, Water and
Sewer Revenue Refunding,
Series 1994A,
4.700% 10/01/04......... A1 AA- 1,008
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$1,000 Macon-Bibb County,
Georgia, Industrial
Authority, Industrial
Revenue, (Weyerhaeuser
Company Project) Series
1982,
9.000% 10/01/07......... NR A+ $ 1,267
1,000 Meriwether County,
Georgia, School
District, GO, Series
1996, (State Aid
Withholding, FSA
Insured),
5.500% 02/01/16......... Aaa AAA 984
1,000 Metropolitan Atlanta Rapid
Transit Authority,
Georgia, Revenue
Refunding, Series 1991M,
6.150% 07/01/02......... A1 AA- 1,045
3,000 Metropolitan Atlanta Rapid
Transit Authority,
Georgia, Revenue
Refunding, Series 1992P,
(AMBAC Insured),
5.900% 07/01/03......... Aaa AAA 3,153
540 Metropolitan Atlanta Rapid
Transit Authority,
Georgia, Revenue, Series
1983D,
7.000% 07/01/11......... Aaa AAA 627
1,000 Metropolitan Atlanta Rapid
Transit Authority,
Georgia, Revenue, Series
1998B, (MBIA Insured),
5.100% 07/01/15......... Aaa AAA 944
1,000 Monroe County, Georgia
Development Authority,
PCR, (Oglethorpe Power
Corporation Project)
Series 1992A,
6.800% 01/01/12......... A3 A 1,112
2,495 Municipal Electric
Authority, Georgia,
Revenue, Series 1997,
(MBIA Insured),
5.375% 01/01/19......... Aaa AAA 2,364
1,100 Paulding County, Georgia,
School District, GO,
Series 1992A,
6.400% 02/01/04......... A2 A 1,180
1,000 Private Colleges and
Universities Facilities
Authority, Georgia,
Revenue, (Agnes Scott
College Project) Series
1999, (MBIA Insured),
4.750% 06/01/15......... Aaa AAA 899
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
59
<PAGE> 64
NATIONS FUNDS
Nations Georgia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$1,000 Private Colleges and
Universities Facilities
Authority, Georgia,
Revenue, (Agnes Scott
College Project) Series
1999, (MBIA Insured),
4.800% 06/01/16......... Aaa AAA $ 894
1,400 Private Colleges and
Universities Facilities
Authority, Georgia,
Revenue, (Emory
University Project)
Series 1992C,
5.750% 10/01/02......... Aa1 AA 1,459
1,000 Richmond County, Georgia,
Board of Education, GO
Refunding, Series 1993,
(FGIC Insured),
4.700% 11/01/06......... Aaa AAA 998
1,500 Richmond County, Georgia,
Water and Sewer
Improvement Revenue
Refunding, Series 1996A,
(FGIC Insured),
5.250% 10/01/28......... Aaa AAA 1,391
2,000 Roswell, Georgia, GO,
Series 1995,
5.600% 02/01/10......... Aa2 AA 2,060
1,000 Savannah, Georgia,
Economic Development
Authority, Revenue
Refunding, (Union Camp
Corporation Project)
Series 1993,
5.150% 05/01/02......... A1 NR 1,016
1,250 Savannah, Georgia,
Hospital Authority,
Revenue Refunding,
(Candler Hospital
Project) Series 1992,
Prerefunded 01/01/03 @
102,
7.000% 01/01/11......... Ba1 BB 1,364
1,225 Savannah, Georgia,
Hospital Authority,
Revenue, (St.
Josephs - Candler Health
Systems Project) Series
1998A, (FSA Insured),
5.250% 07/01/11......... Aaa NR 1,219
1,310 Savannah, Georgia,
Hospital Authority,
Revenue, (St.
Josephs - Candler Health
Systems Project) Series
1998A, (FSA Insured),
5.250% 07/01/12......... Aaa NR 1,291
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$1,000 Savannah, Georgia,
Hospital Authority,
Revenue, (St. Josephs -
Candler Health Systems
Project) Series 1998B,
(FSA Insured),
5.250% 07/01/10......... Aaa NR $ 1,003
1,000 Savannah, Georgia,
Resource Recovery
Development Authority,
Revenue Refunding,
(Savannah Energy Systems
Company Project) Series
1992,
5.700% 12/01/00......... A1 A+ 1,019
1,500 Savannah, Georgia,
Resource Recovery
Development Authority,
Revenue Refunding,
(Savannah Energy Systems
Company Project) Series
1992,
5.850% 12/01/01......... A1 A+ 1,542
1,000 Savannah, Georgia, Water
and Sewer Improvement
Revenue Refunding,
Series 1993,
5.100% 12/01/09......... Aa3 AA- 1,004
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $144,218)......................... 146,001
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- ---------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 3.5%
(Cost $5,401)
5,401 AIM Tax-Exempt Fund................... 5,401
--------
TOTAL INVESTMENTS
(Cost $149,619*)............. 99.0% 151,402
--------
OTHER ASSETS AND
LIABILITIES (NET)............ 1.0%
Receivable for Fund shares sold....... $ 30
Interest receivable................... 2,227
Prepaid expenses...................... 6
Investment advisory fee payable....... (21)
Administration fee payable............ (25)
Shareholder servicing and distribution
fees payable........................ (16)
Due to custodian...................... (8)
Distributions payable................. (570)
Payable for investment securities
purchased........................... (30)
Accrued Trustees' fees and expenses... (14)
Accrued expenses and other
liabilities......................... (63)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................... 1,516
--------
NET ASSETS..................... 100.0% $152,918
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
60
<PAGE> 65
NATIONS FUNDS
Nations Georgia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
(000)
- -------------------------------------------------------------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment income... $ 12
Accumulated net realized gain
on investments sold................. 7
Net unrealized appreciation of
investments......................... 1,783
Paid-in capital....................... 151,116
--------
NET ASSETS............................ $152,918
========
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($128,179,800 / 12,161,156 shares
outstanding)........................ $10.54
======
INVESTOR A SHARES:
Net asset value and redemption price
per share ($16,149,918 / 1,532,177
shares outstanding)................. $10.54
======
Maximum sales charge.................. 3.25%
Maximum offering price per share...... $10.89
INVESTOR B SHARES:
Net asset value and offering price per
share** ($7,733,261 / 733,697 shares
outstanding)........................ $10.54
======
INVESTOR C SHARES:
Net asset value and offering price per
share** ($854,557 / 81,078 shares
outstanding)........................ $10.54
======
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $3,531 and gross
depreciation of $1,748 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$149,619.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Georgia Intermediate Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
MBIA 16.70%
Nations Georgia Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Water Revenue 12.05%
Industrial Development Revenue/
Pollution Control Revenue 10.69%
SEE NOTES TO FINANCIAL STATEMENTS.
61
<PAGE> 66
NATIONS FUNDS
Nations Georgia Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 94.9%
GEORGIA -- 94.9%
$ 500 Albany, Georgia, Sewer
System Revenue, Series
1997, (MBIA Insured),
4.900% 07/01/07......... Aaa AAA $ 503
500 Albany-Dougherty, Georgia,
Payroll Development
Authority, Solid Waste
Disposal Revenue,
(Procter and Gamble
Company - Procter and
Gamble Paper Products
Project) Series 1998,
AMT,
5.300% 05/15/26......... Aa2 AA 456
500 Atlanta and Fulton County,
Georgia, Recreation
Authority, Public
Improvement Revenue,
(Downtown Area Project)
Series 1996A, (MBIA
Insured),
5.375% 12/01/26......... Aaa AAA 476
500 Bartow County, Georgia,
School District, GO,
Series 1993, Prerefunded
05/01/03 @ 102,
5.300% 05/01/08......... A1 A 522
1,000 Brunswick and Glynn
County, Georgia,
Development Authority,
Revenue Refunding,
(Georgia-Pacific
Corporation Project)
Series 1998, AMT,
5.550% 03/01/26......... Baa2 NR 907
500 Burke County, Georgia,
Development Authority,
PCR, (Oglethorpe Power
Corporation Project)
Series 1994B,
4.700% 01/01/04......... A3 A 496
500 Clayton County, Georgia,
Housing Authority,
Multi-Family Housing
Revenue, (Clayton
Advantages of Atlanta
Apartments, Inc.
Project) Series 1995,
(FHLMC COLL),
5.700% 12/01/16......... NR AAA 499
500 Columbia County, Georgia,
School District, GO,
Series 1994A, (MBIA
Insured),
6.250% 04/01/13......... Aaa AAA 544
500 Columbus, Georgia, Water
and Sewer Authority,
Revenue Refunding,
Series 1993,
5.700% 05/01/20......... A2 A+ 495
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$ 470 Coweta County, Georgia,
Development Authority,
IDR, (Sivaco National
Wire Group Project)
Series 1994, AMT,
5.400% 02/01/09......... A1 NR $ 467
500 Dalton, Georgia, Multiple
Utility Revenue
Refunding, Series 1997,
(MBIA Insured),
4.450% 01/01/03......... Aaa AAA 501
1,000 DeKalb County, Georgia, GO
Refunding, Series 1993,
5.250% 01/01/20......... Aa1 AA+ 937
1,000 Effingham County, Georgia,
Development Authority,
Solid Waste Disposal
Revenue, (Fort James
Corporation Project)
Series 1998, AMT,
5.625% 07/01/18......... Baa2 BBB- 950
500 Fayette County, Georgia,
School District, GO,
Series 1994,
6.125% 03/01/15......... Aa A+ 540
500 Fayette County, Georgia,
Water Revenue, Series
1998, (FGIC Insured),
5.000% 10/01/23......... Aaa AAA 444
1,000 Fulco, Georgia, Hospital
Authority, Revenue
Anticipation
Certificates, (St.
Joseph Hospital Project)
Series 1994,
5.500% 10/01/14......... Aaa A 1,001
500 Fulton County, Georgia,
Development Authority,
Revenue, (Clark Atlanta
University Project)
Series 1995, (CONNIE LEE
Insured),
5.125% 01/01/10......... Baa3 AAA 493
1,480 Georgia State, Housing and
Finance Authority,
Single-Family Mortgage
Revenue, Series 1998B-3,
4.400% 06/01/17......... NR AAA 1,460
500 Georgia State, Tollway
Authority, Revenue
Refunding, (Georgia 400
Project) Series 1998,
4.500% 07/01/11......... Aaa AAA 467
500 Georgia, Municipal
Electric Authority,
Power Revenue, Series
1993CC,
4.500% 01/01/02......... A3 A 500
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
62
<PAGE> 67
NATIONS FUNDS
Nations Georgia Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$ 500 Gwinnett County, Georgia,
Water and Sewer
Authority, Revenue
Refunding, Series 1994,
4.900% 08/01/06......... Aaa AAA $ 507
500 Hall County, Georgia,
School District, GO
Refunding, Series 1997,
(State Aid Withholding),
4.500% 11/01/14......... Aa2 NR 440
500 Lawrenceville, Georgia,
Housing Authority,
Multi-Family Housing
Revenue, (Knollwood
Park, LP Project) Series
1997, AMT, (FNMA COLL),
Mandatory Put 06/01/15 @
100,
6.250% 12/01/29......... NR AAA 519
500 Metropolitan Atlanta Rapid
Transit Authority,
Georgia, Revenue, Series
1998B, (MBIA Insured),
5.100% 07/01/13......... Aaa AAA 483
500 Peach County, Georgia,
School District, GO,
Series 1994, (State Aid
Withholding, MBIA
Insured),
6.500% 02/01/08......... Aaa AAA 552
1,000 Private Colleges and
Universities Facilities
Authority, Georgia,
Revenue Refunding,
(Mercer University
Project) Series 1999A,
5.250% 10/01/20......... A3 NR 909
500 Private Colleges and
Universities Facilities
Authority, Georgia,
Revenue, (Emory
University Project)
Series 1997C,
5.125% 11/01/27......... Aa1 AA 449
500 Private Colleges and
Universities Facilities
Authority, Georgia,
Revenue, (Emory
University Project)
Series 1998B, AMT,
5.000% 11/01/33......... Aa1 AA 432
500 Richmond County, Georgia,
Water and Sewer
Improvement Revenue
Refunding, Series 1996A,
(FGIC Insured),
5.250% 10/01/28......... Aaa AAA 464
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
GEORGIA -- (CONTINUED)
$1,000 Roswell, Georgia, GO,
Series 1995,
5.600% 02/01/10......... Aa2 AA $ 1,030
500 Savannah, Georgia,
Hospital Authority,
Hospital Improvement
Revenue Refunding,
(Candler Hospital
Project) Series 1992,
Prerefunded
01/01/03 @ 102,
7.000% 01/01/23......... Ba1 BB 546
450 Savannah, Georgia,
Hospital Authority,
Hospital Improvement
Revenue, (St. Joseph's
Hospital Project) Series
1993, Prerefunded
07/01/03 @ 102,
6.125% 07/01/12......... A3 NR 482
500 Savannah, Georgia, Water
and Sewer Improvement
Revenue Refunding,
Series 1993,
5.100% 12/01/10......... Aa3 AA- 498
500 Union County, Georgia,
Housing Authority,
Multi-Family Housing
Revenue Refunding,
(Hidden Lake Apartments
Ltd. Project) Series
1994A, (FHA/FNMA COLL),
7.125% 12/01/25......... Aaa NR 531
500 Upper Oconee Basin,
Georgia, Water
Authority, Revenue,
Series 1997, (FGIC
Insured),
5.250% 07/01/27......... Aaa AAA 465
570 White County, Georgia,
Industrial Development
Authority, Revenue
Refunding, (Springs
Industries, Inc.
Project) Series 1992,
6.850% 06/01/10......... NR BBB+ 589
-------
TOTAL MUNICIPAL BONDS AND NOTES
(Cost $21,711).......................... 21,554
-------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
63
<PAGE> 68
NATIONS FUNDS
Nations Georgia Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- -----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 4.2%
(Cost $962)
962 AIM Tax-Exempt Fund.................. $ 962
-------
TOTAL INVESTMENTS
(Cost $22,673*)............. 99.1% 22,516
-------
OTHER ASSETS AND
LIABILITIES (NET)........... 0.9%
Cash................................. $ 1
Interest receivable.................. 358
Receivable from investment advisor... 1
Prepaid expenses..................... 7
Administration fee payable........... (4)
Shareholder servicing and
distribution fees payable.......... (22)
Distributions payable................ (78)
Accrued Trustees' fees and
expenses........................... (12)
Accrued expenses and other
liabilities........................ (49)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET).................. 202
-------
NET ASSETS.................... 100.0% $22,718
=======
NET ASSETS CONSIST OF:
Undistributed net investment
income............................. $ 9
Accumulated net realized loss on
investments sold................... (208)
Net unrealized depreciation of
investments........................ (157)
Paid-in capital...................... 23,074
-------
NET ASSETS........................... $22,718
=======
</TABLE>
<TABLE>
<CAPTION>
VALUE
- -----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($9,541,901 / 991,776 shares
outstanding)....................... $9.62
=====
INVESTOR A SHARES:
Net asset value and redemption price
per share ($2,201,639 / 228,837
shares outstanding)................ $9.62
=====
Maximum sales charge................. 4.75%
Maximum offering price per share..... $10.10
INVESTOR B SHARES:
Net asset value and offering price
per share**
($10,971,800 / 1,140,445 shares
outstanding)....................... $9.62
=====
INVESTOR C SHARES:
Net asset value and offering price
per share** ($2,787 / 290 shares
outstanding)....................... $9.62
=====
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized depreciation of investment
securities was comprised of gross appreciation of $481 and gross depreciation
of $638 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $22,673.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Georgia Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
MBIA 13.47%
Nations Georgia Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Industrial Development Revenue/
Pollution Control Revenue 17.16%
Housing Revenue 13.36%
Water Revenue 13.02%
SEE NOTES TO FINANCIAL STATEMENTS.
64
<PAGE> 69
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 97.2%
MARYLAND -- 89.2%
$ 1,000 Anne Arundel County,
Maryland, Consolidated
General Improvement
GO, Series 1991B,
6.200% 04/15/03....... Aa1 AA+ $ 1,049
1,000 Anne Arundel County,
Maryland, Consolidated
General Improvement
GO, Series 1993,
5.125% 07/15/08....... Aa2 AA+ 1,011
2,000 Anne Arundel County,
Maryland, Consolidated
Water and Sewer GO
Refunding, Series
1993,
4.800% 04/15/05....... Aa2 AA+ 2,019
1,000 Baltimore County,
Maryland, Consolidated
Public Improvement GO,
Series 1991,
6.100% 07/01/01....... Aaa AAA 1,034
1,375 Baltimore County,
Maryland, Metropolitan
District, Special
Assignment GO
Refunding, Series
1992,
5.750% 05/01/02....... Aaa AAA 1,426
1,000 Baltimore County,
Maryland, Metropolitan
District, Special
Assignment GO
Refunding, Series
1992,
5.800% 05/01/03....... Aaa AAA 1,047
1,000 Baltimore County,
Maryland, Pension
Funding GO Refunding,
Series 1995,
5.500% 08/01/05....... Aaa AAA 1,048
1,720 Baltimore, Maryland,
Consolidated Public
Improvement GO, Series
1991C, (FGIC Insured),
6.200% 10/15/02....... Aaa AAA 1,814
1,075 Baltimore, Maryland,
Consolidated Public
Improvement GO, Series
1991C, (FGIC Insured),
6.375% 10/15/07....... Aaa AAA 1,183
1,000 Baltimore, Maryland,
Consolidated Public
Improvement GO, Series
1993A, (AMBAC
Insured),
5.300% 10/15/06....... Aaa AAA 1,021
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,740 Baltimore, Maryland,
Consolidated Public
Improvement GO, Series
1997A, (FGIC Insured),
5.300% 10/15/16....... Aaa AAA $ 1,686
1,000 Baltimore, Maryland, GO,
Series 1989B, (MBIA
Insured),
7.000% 10/15/04....... Aaa AAA 1,109
1,000 Baltimore, Maryland, GO,
Series 1989B, (MBIA
Insured),
7.050% 10/15/07....... Aaa AAA 1,143
1,750 Baltimore, Maryland,
Port Facilities
Revenue, (E.I. duPont
de Nemours Project)
Series 1985,
6.500% 12/01/10....... Aa3 AA- 1,874
1,000 Baltimore, Maryland,
Revenue Refunding,
(Wastewater Projects)
Series 1993A, (MBIA
Insured),
5.100% 07/01/04....... Aaa AAA 1,027
500 Baltimore, Maryland,
Revenue Refunding,
(Wastewater Projects)
Series 1994A, (FGIC
Insured),
5.000% 07/01/22....... Aaa AAA 456
1,000 Baltimore, Maryland,
Revenue Refunding,
(Wastewater Projects)
Series 1994A, (FGIC
Insured),
5.000% 07/01/24....... Aaa AAA 905
1,000 Baltimore, Maryland,
Water Utilities
Revenue Refunding,
(Water Projects)
Series 1990A, (MBIA
Insured), Prerefunded
07/01/00 @ 102,
6.950% 07/01/02....... Aaa AAA 1,043
2,000 Calvert County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1993,
4.625% 07/15/05....... Aa3 AA- 2,001
500 Carroll County,
Maryland, Consolidated
Public Improvement GO,
Series 1990,
Prerefunded 10/01/00 @
102,
6.900% 10/01/02....... Aaa AA 525
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
65
<PAGE> 70
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,350 Carroll County,
Maryland, Consolidated
Public Improvement GO,
Series 1991,
6.000% 11/01/00....... Aa3 AA $ 1,382
1,000 Cecil County, Maryland,
Consolidated Public
Improvement GO
Refunding, Series
1993, (FGIC Insured),
5.300% 12/01/00....... Aaa AAA 1,017
2,000 Cecil County, Maryland,
Consolidated Public
Improvement GO
Refunding, Series
1993, (FGIC Insured),
4.800% 12/01/04....... Aaa AAA 2,028
1,810 Charles County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1992, (AMBAC Insured),
5.900% 01/15/03....... Aaa AAA 1,894
1,000 Charles County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1994,
4.400% 06/01/03....... Aa3 AA 1,002
750 Charles County,
Maryland, Consolidated
Public Improvement GO,
Series 1991,
Prerefunded 06/01/01 @
102,
6.450% 06/01/04....... Aaa AA 792
2,135 Frederick County,
Maryland, GO
Refunding, Series
1993,
5.350% 07/01/05....... Aa AA 2,204
1,000 Frederick County,
Maryland, GO, Series
1991B,
6.300% 07/01/06....... Aa2 AA 1,064
2,000 Frederick, Maryland,
Consolidated Public
Improvement GO
Refunding, Series
1992, (FGIC Insured),
5.750% 12/01/01....... Aaa AAA 2,068
2,240 Frederick, Maryland,
Consolidated Public
Improvement GO
Refunding, Series
1992, (FGIC Insured),
6.000% 12/01/05....... Aaa AAA 2,372
600 Harford County,
Maryland, GO, Series
1991, Prerefunded
12/01/00 @ 102,
6.100% 12/01/04....... Aaa AAA 627
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,920 Harford County,
Maryland, GO, Series
1997,
5.500% 12/01/07....... Aa2 AA $ 2,010
1,455 Harford County,
Maryland, Public
Improvement GO, Series
1992, 5.300%
09/01/03.............. Aa2 AA 1,504
1,545 Howard County, Maryland,
Consolidated Public
Improvement GO
Refunding, Series
1993A,
5.000% 08/15/03....... Aaa AAA 1,581
20 Howard County, Maryland,
Consolidated Public
Improvement GO,
Prerefunded, Series
1993A,
5.250% 08/15/06....... NR AAA 21
1,000 Howard County, Maryland,
Metropolitan District,
GO Refunding, Series
1991B,
6.000% 08/15/03....... Aaa AAA 1,059
1,980 Howard County, Maryland,
Public Improvement GO,
Unrefunded Balance,
Series 1993A,
5.250% 08/15/06....... Aaa AAA 2,038
605 Laurel, Maryland, GO
Refunding, Series
1991A, (MBIA Insured),
6.300% 07/01/00....... Aaa AAA 617
1,530 Laurel, Maryland, Public
Improvement GO
Refunding, 1996A,
(FGIC Insured),
5.000% 10/01/11....... Aaa AAA 1,508
815 Maryland State Economic
Development
Corporation, Student
Housing Revenue,
Series 1999A,
6.000% 06/01/19....... Baa3 NR 799
1,200 Maryland State,
Certificates of
Participation
Refunding, (State
Highway and Motor
Vehicle Administration
Project) Series 1992,
5.700% 06/01/01....... Aa3 AA- 1,228
1,200 Maryland State,
Certificates of
Participation
Refunding, (State
Highway and Motor
Vehicle Administration
Project) Series 1992,
5.800% 06/01/02....... Aa3 AA- 1,234
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
66
<PAGE> 71
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,410 Maryland State,
Certificates of
Participation,
Revenue, (Aviation
Administration
Facilities Project)
Series 1999, AMT,
4.750% 05/01/07....... Aa3 AA $ 1,400
4,000 Maryland State,
Community Development
Administration,
Department of Housing
and Community
Development, Revenue,
(Single-Family
Program) Series
1998-1, AMT,
5.150% 04/01/18....... Aa2 NR 3,661
4,000 Maryland State,
Community Development
Administration,
Department of Housing
and Community
Development, Revenue,
(Single-Family
Program) Series
1998-3, AMT,
4.500% 04/01/08....... Aa2 NR 3,820
1,000 Maryland State,
Community Development
Administration,
Department of Housing
and Community
Development, Revenue,
(Single-Family
Program), Series
1997-1, (MHF/FHA
Insured),
4.950% 04/01/07....... Aa2 NR 982
1,685 Maryland State,
Community Development
Administration,
Department of Housing
and Community
Development, Revenue,
(Single-Family
Program), Series
1998-3, AMT,
4.700% 04/01/10....... Aa2 NR 1,597
3,250 Maryland State,
Community Development
Administration,
Department of Housing
and Community
Development, Revenue,
Series 1999A, AMT,
5.350% 07/01/41....... Aa2 NR 2,918
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 3,900 Maryland State,
Community Development
Administration,
Development Revenue,
(Lexington Terrace
Senior Housing, LP
Project) Series 1998B,
AMT,
3.900% 10/01/02....... Aaa NR $ 3,830
3,000 Maryland State,
Community Development
Administration,
Development Revenue,
(Lexington Terrace
Townhomes, LP Project)
Series 1998A, AMT,
3.900% 10/01/02....... Aaa NR 2,946
3,235 Maryland State,
Department of
Transportation,
Consolidated
Transportation Revenue
Refunding, Series
1993-2,
4.375% 12/15/03....... Aa2 AA 3,232
1,250 Maryland State,
Department of
Transportation,
Consolidated
Transportation
Revenue, Series 1991,
Prerefunded 09/01/00 @
100.75,
6.100% 09/01/01....... Aaa AAA 1,286
950 Maryland State, Economic
Development
Corporation, Student
Housing Revenue,
Series 1999A,
5.600% 06/01/10....... Baa3 NR 936
1,100 Maryland State, GO
Refunding, Series
1990-3, Prerefunded
07/15/00 @ 101.5,
6.800% 07/15/04....... Aaa AAA 1,142
2,700 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue Refunding,
(Johns Hopkins
Hospital Project)
Series 1993,
5.250% 07/01/04....... Aa2 AA- 2,787
1,500 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue Refunding,
(Johns Hopkins
Hospital Project)
Series 1993,
5.400% 07/01/06....... Aa2 AA- 1,551
$ 3,050 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue Refunding,
(Johns Hopkins
Hospital Project)
Series 1993,
5.500% 07/01/07....... Aa2 AA- $ 3,153
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
67
<PAGE> 72
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,000 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue Refunding,
(University of
Maryland Medical
Systems Project)
Series 1993, (FGIC
Insured),
5.200% 07/01/04....... Aaa AAA $ 1,030
3,200 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (Hospital
Charity Obligation
Group) Series 1997D,
Mandatory Put 11/01/03
@ 100,
4.600% 11/01/26....... Aa2 A1+ 3,195
1,000 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (Howard
County General
Hospital
Acquisition - John
Hopkins Medicine
Project) Series 1998,
(MBIA Insured),
5.000% 07/01/19....... Aaa AAA 913
815 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (Howard
County General
Hospital Project)
Series 1993,
5.125% 07/01/03....... Aaa NR 827
1,000 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (Howard
County General
Hospital Project)
Series 1993,
5.500% 07/01/13....... Aaa NR 1,006
1,000 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (Howard
County General
Hospital Project)
Series 1993,
5.500% 07/01/21....... Aaa NR 990
1,000 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (John Hopkins
Hospital Redevelopment
Project) Series 1979,
5.750% 07/01/09....... Aaa AAA 1,064
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 500 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (Sinai
Hospital of Baltimore
Project) Series 1990,
(AMBAC Insured),
Prerefunded 07/01/00 @
102,
7.300% 07/01/05....... Aaa AAA $ 523
1,250 Maryland State, Health
and Higher Education
Facilities Authority,
Revenue, (The Johns
Hopkins Hospital
Project) Series 1990,
Prerefunded 07/01/00 @
102,
7.000% 07/01/01....... Aaa AAA 1,305
1,500 Maryland State, State
and Local Facilities
Loan GO, Series
1995-2,
5.000% 10/15/04....... Aaa AAA 1,539
3,000 Maryland State, State
and Local Facilities
Loan GO, Series
1996-3,
5.000% 10/15/06....... Aaa AAA 3,061
1,000 Maryland State, State
and Local Facilities
Loan GO, Series
1997-2,
5.000% 08/01/07....... Aaa AAA 1,015
500 Maryland State, State
and Local Facilities
Loan GO, Series
1997-2,
5.000% 08/01/08....... Aaa AAA 505
245 Maryland State,
Transportation
Authority, Special
Obligation Revenue,
(Baltimore -
Washington D.C.
International Airport
Project) Series 1994A,
AMT, (FGIC Insured),
6.400% 07/01/19....... Aaa AAA 246
1,170 Maryland State,
Transportation
Authority,
Transportation
Facilities Project
Revenue, Series 1978,
6.625% 07/01/03....... Aaa AAA 1,224
2,300 Maryland State,
Transportation
Authority,
Transportation
Revenue, Series 1991,
6.500% 07/01/04....... A1 A+ 2,423
4,000 Maryland State,
Transportation
Authority,
Transportation
Revenue, Series 1992,
5.700% 07/01/05....... A1 A+ 4,216
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
68
<PAGE> 73
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 2,800 Maryland State,
Transportation
Authority,
Transportation
Revenue, Series 1992,
5.800% 07/01/06....... A1 A+ $ 2,973
500 Maryland, National
Capital Park and
Planning Commission,
GO, Series 1990J-2,
Prerefunded 07/01/00 @
102,
6.900% 07/01/02....... Aa2 AA 521
1,000 Montgomery County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1992A,
5.750% 07/01/06....... Aaa AAA 1,062
500 Montgomery County,
Maryland, Consolidated
Public Improvement GO,
Series 1991A,
Prerefunded 04/01/01 @
102,
6.700% 04/01/06....... Aaa AAA 528
3,500 Montgomery County,
Maryland, Consolidated
Public Improvement GO,
Series 1993A,
4.900% 10/01/07....... Aaa AAA 3,524
1,000 Montgomery County,
Maryland, Consolidated
Public Improvement GO,
Series 1997A,
5.375% 05/01/08....... Aaa AAA 1,036
1,835 Montgomery County,
Maryland, Consolidated
Public Improvement GO,
Series 1998A,
4.875% 05/01/06....... Aaa AAA 1,857
3,000 Montgomery County,
Maryland, GO, Series
1991, Prerefunded
10/01/01 @ 102,
6.100% 10/01/05....... Aaa AAA 3,168
1,000 Montgomery County,
Maryland, GO, Series
1991, Prerefunded
10/01/01 @ 102,
6.125% 10/01/07....... Aaa AAA 1,057
885 Montgomery County,
Maryland, Housing
Opportunities
Commission, Single-
Family Mortgage
Revenue, Series 1997A,
5.400% 07/01/08....... Aa2 NR 897
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,500 Northeast Maryland,
Solid Waste Disposal
Authority Revenue,
(Montgomery County
Resource Recreation
Project) Series 1993A,
6.000% 07/01/07....... A2 NR $ 1,550
3,375 Northeast Maryland,
Solid Waste Disposal
Authority, Revenue,
(Ogden Martin
Systems - Montgomery
County Residential
Receivables Project)
Series 1993A, AMT,
(MBIA-IBC Insured),
5.800% 07/01/04....... Aaa AAA 3,542
1,535 Northeast Maryland,
Solid Waste Disposal
Authority, Southwest
Research Recovery
Facilities Revenue
Refunding,
(Wheelabrator
Technologies Project)
Series 1993, (MBIA
Insured),
7.000% 01/01/01....... Aaa AAA 1,587
630 Ocean City, Maryland, GO
Refunding, Series
1991, (MBIA Insured),
Prerefunded 11/01/01 @
102,
6.100% 11/01/04....... Aaa AAA 666
1,170 Ocean City, Maryland,
GO, Series 1997, (MBIA
Insured),
5.000% 12/01/14....... Aaa AAA 1,120
1,000 Prince Georges County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1992A, (MBIA Insured),
5.400% 03/01/02....... Aaa AAA 1,027
1,000 Prince Georges County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1991,
6.500% 07/01/02....... A1 AA- 1,056
1,000 Prince Georges County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1992A, (MBIA Insured),
5.300% 03/01/01....... Aaa AAA 1,017
1,000 Prince Georges County,
Maryland, Consolidated
Public Improvement GO,
Series 1992,
5.600% 01/15/03....... A1 AA- 1,037
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
69
<PAGE> 74
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,800 Prince Georges County,
Maryland, Consolidated
Public Improvement GO,
Series 1992,
5.900% 01/15/06....... A1 AA- $ 1,878
2,300 Prince Georges County,
Maryland, Consolidated
Public Improvement
Revenue, GO, Series
1999, (FSA Insured),
5.125% 10/01/16....... Aaa AAA 2,191
2,000 Prince Georges County,
Maryland, Solid Waste
Management Systems
Authority, Revenue
Refunding, Series
1993, (FSA Insured),
5.100% 06/15/05....... Aaa AAA 2,036
800 Prince Georges County,
Maryland, Solid Waste
Management Systems
Authority, Revenue,
Series 1990,
6.600% 06/30/00....... Aaa AAA 817
740 Prince Georges County,
Maryland, Solid Waste
Management Systems
Authority, Revenue,
Series 1990,
Prerefunded 06/30/00 @
102,
6.800% 06/30/04....... Aaa AAA 771
1,000 Rockville, Maryland, GO
Refunding, Series
1993, 4.750%
04/15/05.............. Aa1 AA+ 1,005
1,000 St. Mary's County,
Maryland, GO, Series
1995, (MBIA Insured),
5.700% 03/01/08....... Aaa AAA 1,049
2,000 University of Maryland,
Systems Auxiliary
Facilities and Tuition
Revenue Refunding,
Series 1993C,
4.900% 10/01/08....... Aa3 AA+ 1,997
2,000 University of Maryland,
Systems Auxiliary
Facilities and Tuition
Revenue, Series 1991A,
Prerefunded 04/01/00 @
102,
6.500% 04/01/06....... NR AAA 2,068
745 University of Maryland,
Systems Auxiliary
Facilities and Tuition
Revenue, Series 1992A,
6.000% 02/01/04....... Aa3 AA+ 775
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 1,000 University of Maryland,
Systems Auxiliary
Facilities and Tuition
Revenue, Series 1992A,
6.300% 02/01/08....... Aa3 AA+ $ 1,047
1,000 University of Maryland,
Systems Auxiliary
Facilities and Tuition
Revenue, Series 1992A,
6.300% 02/01/10....... Aa3 AA+ 1,047
2,000 Washington County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1993, (FGIC Insured),
4.900% 01/01/02....... Aaa AAA 2,029
1,000 Washington County,
Maryland, Consolidated
Public Improvement GO
Refunding, Series
1993, (FGIC Insured),
5.250% 01/01/06....... Aaa AAA 1,025
500 Washington County,
Maryland, GO, Series
1990,
6.400% 12/01/00....... A1 A+ 511
1,000 Washington County,
Maryland, Sanitation
District, GO
Refunding, Series
1993F, (FGIC Insured),
5.250% 01/01/06....... Aaa AAA 1,025
1,000 Washington County,
Maryland, Suburban
Sanitation District
Authority, General
Construction GO
Refunding, Series
1993,
5.000% 06/01/04....... Aa1 AA 1,022
1,000 Washington County,
Maryland, Suburban
Sanitation District
Authority, GO, Series
1996,
5.600% 06/01/15....... Aa1 AA 1,007
1,260 Washington Suburban
Sanitation District
Authority, Maryland,
General Construction
GO, Series 1991-1,
Prerefunded 06/01/01 @
102,
6.750% 06/01/05....... Aaa AAA 1,337
1,000 Washington Suburban
Sanitation District
Authority, Maryland,
General Construction
GO, Series 1997,
5.125% 06/01/21....... Aa1 AA 923
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
70
<PAGE> 75
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 3,440 Washington Suburban
Sanitation District
Authority, Maryland,
Water Supply GO
Refunding, Series
1993,
5.100% 12/01/07....... Aa1 AA $ 3,495
2,010 Washington Suburban
Sanitation District
Authority, Maryland,
Water Supply GO,
Series 1992,
Prerefunded 06/01/02 @
102,
5.800% 06/01/03....... Aa1 AA 2,121
1,000 Washington Suburban
Sanitation District
Authority, Maryland,
Water Supply GO,
Series 1993,
5.000% 06/01/03....... Aa1 AA 1,021
1,290 Wicomico County,
Maryland, Public
Improvement GO, Series
1997, (MBIA Insured),
4.800% 12/01/10....... Aaa AAA 1,257
1,355 Wicomico County,
Maryland, Public
Improvement GO, Series
1997, (MBIA Insured),
4.900% 12/01/11....... Aaa AAA 1,318
1,425 Wicomico County,
Maryland, Public
Improvement GO, Series
1997, (MBIA Insured),
5.000% 12/01/12....... Aaa AAA 1,389
--------
180,179
--------
COLORADO -- 0.6%
3,800 Public Highway Authority
of Colorado, Revenue,
Capital Appreciation,
Series 1997B, (MBIA
Insured),
5.920%+ 09/01/18...... Aaa AAA 1,260
--------
DISTRICT OF COLUMBIA -- 2.9%
1,305 District of Columbia,
Revenue, (The
Smithsonian Institute
Project) Series 1997,
5.000% 02/01/17....... Aaa AAA 1,188
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ---------------------------------------------------------------
<C> <S> <C> <C> <C>
DISTRICT OF COLUMBIA -- (CONTINUED)
$ 1,085 Metropolitan Washington,
District of Columbia,
Airport Authority,
Virginia General
Airport Revenue,
Series 1997B, AMT,
(FGIC Insured),
5.750% 10/01/03....... Aaa AAA $ 1,135
3,500 Washington, District of
Columbia, Metropolitan
Area Transportation
Authority, Revenue
Refunding, Series
1993, (FGIC Insured),
5.000% 07/01/06....... Aaa AAA 3,543
--------
5,866
--------
MAINE -- 1.0%
2,000 Baileyville, Maine, PCR,
(Georgia-Pacific
Corporation Project)
Series 1998,
4.750% 06/01/05....... Baa2 NR 1,951
--------
TEXAS -- 1.7%
2,250 Hurst-Euless-Bedford,
Texas, Independent
School District, GO
Refunding, Series
1998, (PSF-GTD),
4.750% 08/15/28....... Aaa AAA 1,856
1,750 Lamar, Texas,
Consolidated
Independent School
District, GO
Refunding, Series
1998, (PSF-GTD),
4.750% 02/15/20....... Aaa AAA 1,498
--------
3,354
--------
VIRGINIA -- 1.8%
4,000 Virginia State,
Transportation Board
Authority,
Transportation
Contract Revenue,
(Northern Virginia
Transportation
District Project)
Series 1996A,
5.125% 05/15/21....... Aa2 AA 3,651
--------
TOTAL MUNICIPAL BONDS AND NOTES
(Cost $194,842)....................... 196,261
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
71
<PAGE> 76
NATIONS FUNDS
Nations Maryland Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- ----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 1.6%
(Cost $3,137)
3,137 AIM Tax-Exempt Fund................. $ 3,137
--------
TOTAL INVESTMENTS
(Cost $197,979*)........... 98.8% 199,398
--------
OTHER ASSETS AND
LIABILITIES (NET).......... 1.2%
Interest receivable................. $ 3,379
Prepaid expenses.................... 6
Payable for Fund shares redeemed.... (2)
Investment advisory fee payable..... (29)
Administration fee payable.......... (33)
Shareholder servicing and
distribution fees payable......... (18)
Distributions payable............... (755)
Accrued Trustees' fees and
expenses.......................... (15)
Accrued expenses and other
liabilities....................... (72)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................. 2,461
--------
NET ASSETS................... 100.0% $201,859
========
NET ASSETS CONSIST OF:
Undistributed net investment
income............................ $ 2
Accumulated net realized loss on
investments sold.................. (44)
Net unrealized appreciation of
investments....................... 1,419
Paid-in capital..................... 200,482
--------
NET ASSETS.......................... $201,859
========
</TABLE>
<TABLE>
<CAPTION>
VALUE
- ----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($177,725,395 / 16,644,974 shares
outstanding)...................... $10.68
=====
INVESTOR A SHARES:
Net asset value and redemption price
per share ($17,464,918 / 1,635,731
shares outstanding)............... $10.68
=====
Maximum sales charge................ 3.25%
Maximum offering price per share.... $11.04
INVESTOR B SHARES:
Net asset value and offering price
per share** ($6,201,598 / 580,844
shares outstanding)............... $10.68
=====
INVESTOR C SHARES:
Net asset value and offering price
per share** ($467,391 / 43,777
shares outstanding)............... $10.68
=====
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $4,243 and gross
depreciation of $2,824 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$197,979.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Maryland Intermediate Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
FGIC 12.42%
Nations Maryland Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Transportation Revenue 11.37%
Housing Revenue 11.23%
SEE NOTES TO FINANCIAL STATEMENTS.
72
<PAGE> 77
NATIONS FUNDS
Nations Maryland Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 95.5%
MARYLAND -- 87.5%
$ 500 Anne Arundel County,
Maryland, Consolidated
General Improvement GO
Refunding, Series 1995,
5.300% 04/01/10........... Aa1 AA+ $ 507
500 Anne Arundel County,
Maryland, Consolidated
General Improvement GO,
Series 1993,
5.250% 07/15/11........... Aa2 AA+ 503
300 Baltimore County, Maryland,
Mortgage Revenue
Refunding, (Kingswood
Commons Project) Series
1994A, (FHA Insured),
5.750% 11/01/20........... NR AAA 296
1,000 Baltimore County, Maryland,
Pension Funding GO
Refunding, Series 1998,
5.000% 08/01/09........... Aaa AAA 1,005
150 Baltimore, Maryland,
Consolidated Public
Improvement GO, Series
1992B, AMT, (FGIC
Insured),
6.300% 10/15/08........... Aaa AAA 157
1,000 Baltimore, Maryland,
Consolidated Public
Improvement GO, Series
1998B, (FGIC Insured),
6.500% 10/15/08........... Aaa AAA 977
1,000 Baltimore, Maryland,
Convention Center Revenue
Refunding, Series 1998,
(MBIA Insured),
5.000% 09/01/06........... Aaa AAA 1,017
250 Baltimore, Maryland,
Convention Center Revenue,
Series 1994, (FGIC
Insured), Prerefunded
09/01/04 @ 100,
6.150% 09/01/19........... Aaa AAA 268
1,725 Baltimore, Maryland,
Exchanged Revenue, Series
1996A, (FGIC Insured),
5.900% 07/01/10........... Aaa AAA 1,841
250 Baltimore, Maryland, Port
Facilities Revenue, (E.I.
duPont de Nemours Project)
Series 1985,
6.500% 12/01/10........... Aa3 AA- 268
500 Baltimore, Maryland, Revenue
Refunding, (Wastewater
Projects) Series 1994A,
(FGIC Insured),
5.000% 07/01/22........... Aaa AAA 456
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 250 Cumberland, Maryland, GO
Refunding, Series 1994A,
(FGIC Insured),
5.250% 05/01/21........... Aaa AAA $ 235
400 Howard County, Maryland,
Special Facilities
Revenue, Series 1995A,
6.000% 02/15/21........... Aa AAA 407
1,000 Maryland State, Certificates
of Participation, Series
1999, AMT,
4.750% 05/01/06........... Aa3 AA 999
500 Maryland State, Community
Development
Administration, Department
of Housing and Community
Development, Multi-Family
Revenue, (Auburn Manor
Apartments, LP Project)
Series 1998A, AMT, (FNMA
COLL),
5.250% 10/01/19........... Aaa NR 473
545 Maryland State, Community
Development
Administration, Department
of Housing and Community
Development, Revenue,
(Residential Project)
Series 1998B, AMT,
4.500% 09/01/06........... Aa2 NR 527
500 Maryland State, Community
Development
Administration, Department
of Housing and Community
Development, Revenue,
(Residential Project)
Series 1998B, AMT,
4.950% 09/01/11........... Aa2 NR 470
500 Maryland State, Community
Development
Administration, Department
of Housing and Community
Development, Revenue,
Series 1999A, AMT,
5.350% 07/01/41........... Aa2 NR 449
500 Maryland State, Community
Development
Administration, Housing
Development Revenue,
Series 1998A, AMT,
5.500% 07/01/30........... Aa2 NR 467
500 Maryland State, Economic
Development Corporation,
Student Housing Revenue,
(Salisbury Collegiate
Housing Project) Series
1999A,
6.000% 06/01/30........... Baa3 NR 477
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
73
<PAGE> 78
NATIONS FUNDS
Nations Maryland Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 200 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue Refunding,
(Doctors Hospital Inc.
Project) Series 1993,
5.750% 07/01/13........... Baa1 BBB- $ 189
200 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue Refunding,
(Greater Baltimore Medical
Center Project) Series
1993, (FGIC Insured),
5.000% 07/01/13........... Aaa AAA 190
300 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue Refunding, (Johns
Hopkins Hospital Project)
Series 1993,
5.600% 07/01/09........... Aa2 AA- 309
290 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue Refunding,
(Memorial Hospital of
Cumberland Project) Series
1992, Prerefunded 07/01/04
@ 100,
6.500% 07/01/10........... A AA+ 314
200 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue Refunding,
(Peninsula Regional
Medical Center Project)
Series 1993,
5.000% 07/01/08........... A A 198
110 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue, (Anne Arundel
Medical Center Project)
Series 1993, (AMBAC
Insured),
5.250% 07/01/13........... Aaa AAA 108
510 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue, (College of Notre
Dame Project) Series 1998,
(MBIA Insured),
4.600% 10/01/14........... Aaa AAA 464
460 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue, (College of Notre
Dame Project) Series 1998,
(MBIA Insured),
5.300% 10/01/18........... Aaa AAA 445
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 100 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue, (Frederick
Memorial Hospital Project)
Series 1993, (FGIC
Insured),
5.250% 07/01/13........... Aaa AAA $ 99
1,720 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue, (Hospital Charity
Obligation Group) Series
1997D, Mandatory Put
11/01/03 @ 100,
4.600% 11/01/26........... Aa2 A1+ 1,717
1,000 Maryland State, Health and
Higher Education
Facilities Authority,
Revenue, (John Hopkins
Hospital Redevelopment
Project) Series 1979,
5.750% 07/01/09........... Aaa AAA 1,064
425 Maryland State, Industrial
Development Finance
Authority, Revenue,
(American Center for
Physics Project) Series
1992, (GTY-AGMT),
6.375% 01/01/12........... NR BBB 439
500 Maryland State, Stadium
Authority, Lease Revenue,
(Ocean City Convention
Center Project) Series
1995,
5.375% 12/15/13........... Aa AA 501
1,000 Maryland State, State and
Local Facilities Loan GO,
Series 1997-2,
5.000% 08/01/06........... Aaa AAA 1,020
500 Maryland State, State and
Local Facilities Loan GO,
Series 1997-2,
5.000% 08/01/08........... Aaa AAA 505
2,500 Maryland State, State and
Local Facilities Loan GO,
Series 1998-1,
4.750% 03/01/07........... Aaa AAA 2,501
500 Maryland State, State and
Local Facilities Loan GO,
Series 1998-1,
5.000% 03/01/11........... Aaa AAA 495
30 Maryland State,
Transportation Authority,
Special Obligation
Revenue, (Baltimore -
Washington D.C.
International Airport
Project) Series 1994A,
AMT, (FGIC Insured),
6.400% 07/01/19........... Aaa AAA 30
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
74
<PAGE> 79
NATIONS FUNDS
Nations Maryland Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 500 Maryland State,
Transportation Authority,
Transportation Facilities
Project Revenue, Series
1978,
6.800% 07/01/16........... Aaa AAA $ 568
300 Maryland State,
Transportation Authority,
Transportation Facilities
Project Revenue, Series
1992,
5.750% 07/01/15........... A1 A+ 302
200 Maryland, Water Quality
Financing Administration,
Revolving Loan Fund
Revenue, Series 1992A,
6.550% 09/01/14........... Aa2 AA 212
250 Maryland, Water Quality
Financing Administration,
Revolving Loan Fund
Revenue, Series 1993A,
5.400% 09/01/10........... Aa2 AA 252
500 Montgomery County, Maryland,
Consolidated Public
Improvement GO, Series
1998A,
4.875% 05/01/06........... Aaa AAA 506
250 Montgomery County, Maryland,
Housing Opportunities
Commission, Multi-Family
Mortgage Revenue, Series
1994A,
6.000% 07/01/14........... Aaa NR 256
300 Northeast Maryland, Solid
Waste Disposal Authority,
Revenue, (Ogden Martin
Systems - Montgomery
County Residential
Receivables Project)
Series 1993A, AMT,
6.300% 07/01/16........... A2 NR 309
1,000 Prince Georges County,
Maryland, Consolidated
Public Improvement
Revenue, GO, Series 1999,
(FSA Insured),
5.125% 10/01/16........... Aaa AAA 953
500 Prince Georges County,
Maryland, PCR Refunding,
(Potomac Electric Power
Project) Series 1995,
5.750% 03/15/10........... A1 A 526
500 Prince Georges County,
Maryland, Solid Waste
Management Systems
Authority, Revenue
Refunding, Series 1993,
(FSA Insured),
5.200% 06/15/06........... Aaa AAA 511
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
MARYLAND -- (CONTINUED)
$ 500 Prince Georges County,
Maryland, Stormwater
Management, GO, Series
1993,
5.500% 03/15/13........... Aa3 AA $ 502
1,000 University of Maryland,
Systems Auxiliary
Facilities and Tuition
Revenue, Series 1997A,
5.125% 04/01/13........... Aa3 AA+ 976
200 Washington County, Maryland,
Public Improvement GO,
Series 1995, (MBIA
Insured),
5.800% 01/01/15........... Aaa AAA 204
320 Washington County, Maryland,
Sanitation District, GO
Refunding, Series 1993F,
(FGIC Insured),
5.000% 01/01/04........... Aaa AAA 326
1,000 Washington County, Maryland,
Suburban Sanitation
District Authority,
General Construction GO
Refunding, Series 1993,
5.000% 06/01/04........... Aa1 AA 1,022
1,000 Washington Suburban
Sanitation District
Authority, Maryland, Sewer
Disposal GO, Series 1992,
Prerefunded 06/01/02 @
102,
5.800% 06/01/03........... Aa1 AA 1,056
-------
30,868
-------
DISTRICT OF COLUMBIA -- 1.6%
200 Washington, District of
Columbia, Metropolitan
Area Transportation
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
4.900% 01/01/05........... Aaa AAA 202
350 Washington, District of
Columbia, Metropolitan
Area Transportation
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
6.000% 07/01/10........... Aaa AAA 374
-------
576
-------
GUAM -- 1.7%
600 Guam, Government GO, Series
1993A,
5.200% 11/15/08........... NR BBB- 592
-------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
75
<PAGE> 80
NATIONS FUNDS
Nations Maryland Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ------------------------------------------------------------------
<C> <S> <C> <C> <C>
PUERTO RICO -- 2.5%
$ 500 Puerto Rico, Electric Power
Authority, Power Revenue
Refunding, Series 1995Y,
(MBIA Insured),
6.500% 07/01/06........... Aaa AAA $ 555
335 Puerto Rico, Housing Bank
and Finance Agency,
Single-Family Mortgage
Revenue, (Affordable
Housing
Mortgage - Portfolio I)
Series 1995, AMT, (GNMA/
FNMA/FHLMC COLL),
6.100% 10/01/15........... Aaa AAA 339
-------
894
-------
TENNESSEE -- 2.2%
730 McMinn County, Tennessee,
Industrial Development
Board, PCR, (Bowater,
Inc. - Calhoun Newsprint
Project) Series 1991, AMT,
7.625% 03/01/16........... Baa1 BBB 765
-------
TOTAL MUNICIPAL BONDS AND
NOTES
(Cost $33,973)............................ 33,695
-------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- ---------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 4.0%
(Cost $1,416)
1,416 AIM Tax-Exempt Fund........... $ 1,416
-------
TOTAL INVESTMENTS
(Cost $35,389*)............. 99.5% 35,111
-------
OTHER ASSETS AND LIABILITIES
(NET)....................... 0.5%
Cash................................... $ 1
Receivable for investment securities
sold................................. 61
Interest receivable.................... 481
Prepaid expenses....................... 7
Payable for Fund shares redeemed....... (147)
Investment advisory fee payable........ (2)
Administration fee payable............. (6)
Shareholder servicing and distribution
fees payable......................... (55)
Distributions payable.................. (111)
Accrued Trustees' fees and expenses.... (12)
Accrued expenses and other
liabilities.......................... (42)
-------
TOTAL OTHER ASSETS AND LIABILITIES
(NET)................................ 175
-------
NET ASSETS.................... 100.0% $35,286
=======
</TABLE>
<TABLE>
<CAPTION>
VALUE
(000)
- -------------------------------------------------------------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment income.... $ 8
Accumulated net realized loss on
investments sold..................... (82)
Net unrealized depreciation of
investments.......................... (278)
Paid-in capital........................ 35,638
-------
NET ASSETS............................. $35,286
=======
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($17,220,752 / 1,798,413 shares
outstanding)......................... $9.58
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price
per share ($1,728,351 / 180,479
shares outstanding).................. $9.58
-----
-----
Maximum sales charge................... 4.75%
Maximum offering price per share....... $10.06
INVESTOR B SHARES:
Net asset value and offering price per
share** ($16,136,165 / 1,685,145
shares outstanding).................. $9.58
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share** ($200,616 / 20,957 shares
outstanding)......................... $9.57
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized depreciation of investment
securities was comprised of gross appreciation of $496 and gross depreciation
of $774 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $35,389.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Maryland Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
FGIC 14.61%
Nations Maryland Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Housing Revenue 10.69%
SEE NOTES TO FINANCIAL STATEMENTS.
76
<PAGE> 81
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 95.9%
NORTH CAROLINA -- 90.7%
$1,000 Buncombe County, North
Carolina, GO Refunding,
Series 1993,
5.000% 03/01/03......... Aa2 AA $ 1,020
1,250 Buncombe County, North
Carolina, Metropolitan
Sewer District, Revenue
Refunding, Series 1991A,
Prerefunded 07/01/01 @
102,
6.750% 07/01/09......... Aaa NR 1,329
5 Buncombe County, North
Carolina, Metropolitan
Sewer District, Sewer
System Revenue,
Unrefunded Balance,
Series 1992B,
6.750% 07/01/16......... A NR 5
1,000 Charlotte, North Carolina,
GO Refunding, Series
1993,
4.500% 02/01/03......... Aaa AAA 1,006
3,055 Charlotte, North Carolina,
GO Refunding, Series
1995,
5.000% 06/01/05......... Aaa AAA 3,119
1,240 Charlotte, North Carolina,
Health Care Systems
Revenue, Unrefunded
Balance, (Mecklenburg
Hospital Authority
Project) Series 1992,
6.375% 01/01/09......... Aa3 AA 1,309
425 Charlotte, North Carolina,
Health Care Systems
Revenue, Unrefunded
Balance, (Mecklenburg
Hospital Authority
Project) Series 1992,
6.250% 01/01/20......... Aa3 AA 440
1,000 Charlotte, North Carolina,
Public Improvement GO,
Series 1990A,
Prerefunded 10/01/00 @
102,
6.900% 10/01/05......... Aaa AAA 1,050
1,800 Charlotte, North Carolina,
Public Improvement GO,
Series 1991, Prerefunded
02/01/01 @ 102,
6.500% 02/01/07......... Aaa AAA 1,890
1,000 Charlotte, North Carolina,
Water and Sewer GO,
Series 1994, Prerefunded
02/01/04 @ 102,
5.800% 02/01/16......... Aaa AAA 1,069
1,670 Charlotte, North Carolina,
Water and Sewer GO,
Series 1996,
5.500% 05/01/06......... Aaa AAA 1,746
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$2,000 Charlotte-Mecklenburg
Hospital Authority,
Revenue, (Carolinas
Healthcare System
Project) Series 1997A,
5.000% 01/15/17......... Aa3 AA $ 1,829
2,500 Charlotte-Mecklenburg
Hospital Authority,
Revenue, (Carolinas
Healthcare System
Project) Series 1997A,
5.125% 01/15/22......... Aa3 AA 2,267
760 Charlotte-Mecklenburg
Hospital Authority,
Revenue, Series 1992,
Prerefunded
01/01/02 @ 102,
6.375% 01/01/09......... Aa3 AA 808
705 Charlotte-Mecklenburg
Hospital Authority,
Revenue, Series 1992,
Prerefunded
01/01/02 @ 102,
6.250% 01/01/20......... Aa3 AA 748
2,500 Cleveland County, North
Carolina, GO Refunding,
Series 1993, (FGIC
Insured),
5.100% 06/01/01......... Aaa AAA 2,541
2,500 Cleveland County, North
Carolina, GO Refunding,
Series 1993, (FGIC
Insured),
5.100% 06/01/02......... Aaa AAA 2,554
1,000 Cleveland County, North
Carolina, GO Refunding,
Series 1993, (FGIC
Insured),
5.100% 06/01/05......... Aaa AAA 1,024
2,000 Coastal Regional Solid
Waste Management
Authority, North
Carolina, Solid Waste
Disposal System Revenue,
Series 1992,
6.300% 06/01/04......... A BBB+ 2,135
500 Concord, North Carolina,
GO Refunding, Series
1992,
6.200% 06/01/05......... Aa2 AA- 529
1,000 Concord, North Carolina,
Utilities System
Revenue, Series 1993,
(MBIA Insured),
5.200% 12/01/02......... Aaa AAA 1,028
1,720 Durham and Wake County,
North Carolina, Special
Apartment District, GO
Refunding, Series 1992,
5.750% 04/01/03......... Aaa AAA 1,785
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
77
<PAGE> 82
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$2,300 Durham and Wake County,
North Carolina, Special
Apartment District, GO
Refunding, Series 1993,
5.000% 04/01/03......... Aaa AAA $ 2,350
1,500 Durham County, North
Carolina, GO Refunding,
Series 1992,
5.200% 03/01/07......... Aaa AAA 1,540
2,000 Durham County, North
Carolina, GO, Series
1992,
5.750% 02/01/06......... Aaa AAA 2,092
1,000 Durham County, North
Carolina, GO, Series
1993,
4.500% 05/01/00......... Aaa AAA 1,005
1,000 Fayetteville, North
Carolina, Public Works
Commission, Revenue
Refunding, Series 1990,
(FGIC Insured),
Prerefunded 03/01/00 @
102,
6.750% 03/01/07......... Aaa AAA 1,032
2,000 Fayetteville, North
Carolina, Public Works
Commission, Revenue
Refunding, Series 1993,
(FGIC Insured),
4.500% 03/01/04......... Aaa AAA 2,001
1,150 Fayetteville, North
Carolina, Public Works
Commission, Revenue
Refunding, Series 1997,
(FSA Insured),
5.250% 03/01/07......... Aaa AAA 1,180
2,000 Forsyth County, North
Carolina, GO Refunding,
Series 1993A,
4.750% 03/01/06......... Aaa AAA 2,010
500 Gastonia, North Carolina,
Water Revenue and Street
Improvement GO, Series
1993, (FGIC Insured),
5.200% 04/01/02......... Aaa AAA 512
1,000 Greensboro, North
Carolina, Combined
Enterprise Systems
Revenue, Series 1998A,
5.000% 06/01/18......... A1 AA- 910
1,305 Greensboro, North
Carolina, Enterprise
Systems Revenue, Series
1998A,
5.500% 06/01/08......... A1 AA- 1,356
2,000 Greenville, North
Carolina, Combined
Enterprise Revenue,
Series 1994,
6.000% 09/01/10......... A2 A+ 2,105
1,000 Guilford County, North
Carolina, GO, Series
1993,
5.300% 04/01/04......... Aa1 AA+ 1,032
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$1,000 Haywood County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, Solid Waste
Disposal Revenue,
(Champion International
Corporation Project)
Series 1993, AMT,
5.500% 10/01/18......... Baa1 BBB 911
1,000 Henderson County, North
Carolina, School and
Community College GO,
Series 1991,
6.500% 06/01/05......... A1 A+ 1,056
500 Henderson County, North
Carolina, School and
Community College GO,
Series 1991,
6.500% 06/01/08......... A1 A+ 528
1,250 High Point, North
Carolina, GO, Series
1990, Prerefunded
06/01/00 @ 102,
6.900% 06/01/04......... Aa3 AA 1,300
1,095 Iredell County, North
Carolina, GO, Series
1997,
4.750% 02/01/16......... Aa3 A+ 978
1,160 Lee County, North
Carolina, GO, Series
1992,
6.000% 02/01/06......... A1 A+ 1,219
750 Lower Cape Fear, North
Carolina, Water and
Sewer Authority,
Revenue, Series 1993,
AMT,
5.200% 03/01/04......... A2 BBB 763
1,000 Mecklenburg County, North
Carolina, GO, Series
1991, Prerefunded
04/01/01 @ 102,
6.200% 04/01/06......... Aaa AAA 1,049
1,000 Mecklenburg County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, Revenue
Refunding, (Fluor
Corporation Project)
Series 1993,
5.250% 12/01/09......... NR A 1,003
1,195 Morganton, North Carolina,
Water and Sewer GO,
Series 1995, (FGIC
Insured),
5.700% 06/01/11......... Aaa AAA 1,245
2,220 New Hanover County, North
Carolina, GO, Series
1995,
5.500% 03/01/10......... Aa3 AA- 2,293
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
78
<PAGE> 83
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$2,000 North Carolina State, GO,
Series 1992A,
6.100% 03/01/01......... Aaa AAA $ 2,056
1,925 North Carolina State, GO,
Series 1994A,
4.700% 02/01/04......... Aaa AAA 1,945
1,800 North Carolina State, GO,
Series 1994A,
Prerefunded 02/01/01 @
102
4.700% 02/01/01......... Aaa AAA 1,815
1,500 North Carolina State, GO,
Series 1997,
5.100% 06/01/09......... Aaa AAA 1,517
4,000 North Carolina State, GO,
Series 1997A,
5.100% 03/01/06......... Aaa AAA 4,093
1,000 North Carolina State, GO,
Series 1997A,
5.100% 03/01/08......... Aaa AAA 1,016
2,150 North Carolina State, GO,
Series 1998A,
4.750% 04/01/13......... Aaa AAA 2,021
2,165 North Carolina, Eastern
Municipal Power
Authority, Revenue,
Series 1986A,
5.000% 01/01/17......... Aaa BBB 2,006
1,000 North Carolina,
Educational Facilities
Finance Agency, Revenue,
(Davidson College
Project) Series 1992,
5.100% 12/01/00......... NR AA 1,015
1,000 North Carolina,
Educational Facilities
Finance Agency, Revenue,
(Duke University
Project) Series 1991C,
6.625% 10/01/08......... Aa1 AA+ 1,060
1,950 North Carolina, Housing
Finance Agency, Multi-
Family Housing Revenue
Refunding, Series 1992B,
(FHA COLL),
6.900% 07/01/24......... Aa2 AA 2,053
3,000 North Carolina, Housing
Finance Agency, Revenue,
Series 1999A-3, AMT,
5.150% 01/01/19......... Aa2 AA 2,749
4,030 North Carolina, Housing
Finance Agency, Single-
Family Housing Revenue,
(Home Ownership Project)
Series 1998A-1, AMT,
5.350% 01/01/17......... Aa2 AA 3,817
635 North Carolina, Housing
Finance Agency, Single-
Family Housing Revenue,
Series 1991R, (FHA
COLL),
6.350% 03/01/03......... Aa AA 656
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$640 North Carolina, Housing
Finance Agency, Single-
Family Housing Revenue,
Series 1991R, (FHA
COLL),
6.350% 09/01/03......... Aa AA $664
925 North Carolina, Housing
Finance Agency, Single-
Family Housing Revenue,
Series 1994Y,
6.300% 09/01/15......... Aa AA 956
3,000 North Carolina, Housing
Financing Agency, Series
1999A-5, AMT,
5.550% 01/01/19......... Aa2 AA 2,890
2,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (North
Carolina Baptist
Hospital Project) Series
1992A,
5.250% 06/01/00......... Aa3 AA 2,020
3,845 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (Novant
Health, Inc. Project)
Series 1998A, (MBIA
Insured),
5.000% 10/01/07......... Aaa AAA 3,870
2,605 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (Novant
Health, Inc. Project)
Series 1998A, (MBIA
Insured),
5.000% 10/01/08......... Aaa AAA 2,607
1,830 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (Novant
Health, Inc. Project)
Series 1998A, (MBIA
Insured),
5.100% 10/01/10......... Aaa AAA 1,813
2,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (Presbyterian
Health Care Services
Project) Series 1993,
5.250% 10/01/04......... Aa AA 2,064
1,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (Presbyterian
Health Care Services
Project) Series 1993,
5.300% 10/01/05......... Aa AA 1,033
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
79
<PAGE> 84
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$3,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue
Refunding, (Presbyterian
Health Care Services
Project) Series 1993,
5.500% 10/01/14......... Aa AA $ 2,987
2,640 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Carolina Medicorp Inc.
Project) Series 1996,
5.100% 05/01/07......... Aa3 AA 2,678
2,450 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Carolina Medicorp Inc.
Project) Series 1996,
5.250% 05/01/09......... Aa3 AA 2,479
2,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Duke University
Hospital Project) Series
1996C,
5.250% 06/01/17......... Aa3 AA 1,892
2,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Gaston Memorial
Hospital Project) Series
1995, (AMBAC-TCRS
Insured),
5.000% 02/15/05......... Aaa AAA 2,036
4,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Grace Hospital,
Inc. - Morganton
Project) Series 1996,
(AMBAC Insured),
5.250% 10/01/16......... Aaa AAA 3,755
1,795 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Halifax Regional
Medical Center, Inc.
Project) Series 1998,
4.600% 08/15/07......... Baa1 A 1,664
1,500 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Moore Regal Hospital
Project) Series 1993,
5.200% 10/01/13......... Aa3 A+ 1,441
2,225 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Pitt County Memorial
Hospital Project) Series
1998B,
4.750% 12/01/28......... Aa3 AA- 1,813
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$1,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Presbyterian Healthcare
Services Project) Series
1992,
5.200% 10/01/00......... Aa3 AA $ 1,013
1,930 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Rex Hospital, Inc.
Project) Series 1993,
5.400% 06/01/02......... A1 A+ 1,974
1,620 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Rex Hospital, Inc.
Project) Series 1993,
5.600% 06/01/04......... Aaa A+ 1,712
3,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Rex Hospital, Inc.
Project) Series 1993,
Prerefunded 06/01/03 @
102,
6.250% 06/01/17......... Aaa A+ 3,234
1,000 North Carolina, Medical
Care Commission,
Hospital Revenue
Refunding, (Stanley
Memorial Hospital
Project) Series 1996,
(AMBAC Insured),
5.250% 10/01/06......... Aaa AAA 1,024
3,000 North Carolina, Municipal
Power Agency Number 1,
Revenue Refunding,
(Catawba Electric
Project) Series 1992,
(FGIC Insured),
5.200% 01/01/00......... Aaa AAA 3,010
1,000 North Carolina, Municipal
Power Agency Number 1,
Revenue Refunding,
(Catawba Electric
Project) Series 1992,
(FGIC Insured),
5.500% 01/01/01......... Aaa AAA 1,015
2,000 North Carolina, Municipal
Power Agency Number 1,
Revenue, Series 1992,
(MBIA-IBC Insured),
7.250% 01/01/07......... Aaa AAA 2,267
1,000 North Carolina, Municipal
Power Agency, Refunding
Number 1, Catawba
Electric Revenue, Series
1990, Prerefunded
01/01/00 @ 102,
7.000% 01/01/06......... Aaa BBB+ 1,028
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
80
<PAGE> 85
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$1,000 North Carolina, State
Education Assistance
Authority, Revenue,
Series 1995A, AMT, (GTD
STD LNS),
5.300% 07/01/03......... A NR $ 1,019
1,625 Orange County, North
Carolina, GO, Series
1994,
5.500% 02/01/12......... Aa1 AA+ 1,656
2,000 Piedmont Triad Airport
Authority, North
Carolina, Revenue
Refunding, Series 1990A,
(MBIA Insured),
6.800% 07/01/05......... Aaa AAA 2,082
1,240 Pitt County, North
Carolina, Revenue
Refunding, (Pitt County
Memorial Hospital
Project) Series 1995,
5.375% 12/01/10......... Aaa NR 1,264
1,000 Raleigh, North Carolina,
Combined Enterprise
System Revenue, Series
1996,
5.250% 03/01/07......... Aa1 AA+ 1,027
1,910 Raleigh, North Carolina,
GO, Series 1996,
5.300% 06/01/16......... Aaa AAA 1,865
2,000 Randolph County, North
Carolina, GO, Series
1992, Prerefunded
05/01/02 @ 102,
6.250% 05/01/08......... Aa3 A+ 2,134
1,000 Robeson County, North
Carolina, Industrial
Facilities, PCR
Refunding, (Campbell
Soup Company Project)
Series 1991,
6.400% 12/01/06......... NR AA- 1,093
1,090 Rocky Mount, North
Carolina, GO Refunding,
Series 1998, (MBIA
Insured),
5.000% 02/01/10......... Aaa AAA 1,086
750 Rutherford County, North
Carolina, GO, Series
1991, (MBIA Insured),
6.400% 06/01/01......... Aaa AAA 777
1,000 Union County, North
Carolina, School
District GO, Series
1991, Prerefunded
04/01/01 @ 101,
6.500% 04/01/03......... A1 AA- 1,043
500 Union County, North
Carolina, School
District GO, Series
1992,
5.800% 03/01/05......... A1 AA- 524
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$1,690 University of North
Carolina, Chapel Hill,
Hospital, Revenue
Refunding, Series 1999,
(AMBAC Insured),
5.250% 02/15/12......... Aaa AAA $ 1,676
1,000 University of North
Carolina, Chapel Hill,
University Revenue
Refunding, Series 1992,
5.400% 02/15/01......... Aa3 AA 1,016
1,000 University of North
Carolina, Chapel Hill,
University Revenue
Refunding, Series 1992,
5.500% 02/15/02......... Aa3 AA 1,027
2,500 University of North
Carolina, Chapel Hill,
University Revenue
Refunding, Series 1996,
5.000% 02/15/29......... Aa3 AA 2,160
1,000 University of North
Carolina, Charlotte,
Revenue Refunding,
(Housing and Dining
Systems Project) Series
1993M, (MBIA Insured),
4.800% 01/01/04......... Aaa AAA 1,011
3,500 University of North
Carolina, University
Utilities Systems
Revenue Refunding,
Series 1993,
5.200% 08/01/06......... Aa2 AA 3,573
1,000 University of North
Carolina, University
Utilities Systems
Revenue Refunding,
Series 1993,
5.000% 08/01/09......... Aa2 AA 1,001
1,600 University of North
Carolina, University
Utilities Systems
Revenue Refunding,
Series 1993,
5.000% 08/01/11......... Aa2 AA 1,579
1,000 Wake County, North
Carolina, GO Refunding,
Series 1993,
4.700% 04/01/05......... Aaa AAA 1,007
2,065 Wake County, North
Carolina, Hospital
Revenue, Series 1993,
(MBIA Insured),
5.125% 10/01/26......... Aaa AAA 1,933
1,000 Wake County, North
Carolina, Public
Improvement GO, Series
1994,
4.600% 02/01/06......... Aaa AAA 997
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
81
<PAGE> 86
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$1,200 Wayne County, North
Carolina, GO Refunding,
Series 1993, (MBIA
Insured),
4.900% 04/01/05......... Aaa AAA $ 1,217
1,370 Wilmington, North
Carolina, GO Refunding,
Series 1997B, (FGIC
Insured),
5.000% 04/01/08......... Aaa AAA 1,379
1,000 Wilmington, North
Carolina, Public
Improvement GO, Series
1997A, (FGIC Insured),
5.000% 04/01/11......... Aaa NR 988
1,000 Wilmington, North
Carolina, Public
Improvement GO, Series
1997A, (FGIC Insured),
5.000% 04/01/13......... Aaa NR 968
1,000 Winston-Salem, North
Carolina, Water and
Sewer Systems Revenue
Refunding, Series 1997,
5.500% 06/01/07......... Aa2 AA+ 1,043
--------
183,604
--------
ALABAMA -- 1.6%
3,000 Courtland, Alabama,
Industrial Development
Board, Solid Waste
Disposal Revenue,
(Champion International
Corporation Project)
Series 1992,
7.000% 06/01/22......... Baa1 BBB 3,152
--------
MISSOURI -- 0.7%
1,500 Kansas City, Missouri,
Industrial Development
Authority, IDR, (Owens-
Illinois,
Inc. - Georgia-Pacific
Corporation Project)
Series 1998,
4.900% 12/31/08......... Baa2 NR 1,428
--------
PUERTO RICO -- 0.6%
1,000 Puerto Rico, Electric
Power Authority, Power
Revenue Refunding,
Series 1995Y, (MBIA
Insured),
7.000% 07/01/07......... Aaa AAA 1,147
--------
TENNESSEE -- 0.8%
1,720 Metropolitan Government
Nashville and Davidson
County, Tennessee,
Hospital Revenue,
(Charity Obligation
Group Project) Series
1999A,
4.550% 11/01/10......... Aa2 AA+ 1,606
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- 0.9%
$1,865 Waxahachie, Texas,
Independent School
District, GO Refunding,
Series 1997, (PSFG
Insured),
5.250% 08/15/07......... Aaa NR $1,910
--------
WASHINGTON -- 0.6%
1,150 Washington State, Public
Power Supply Systems
Revenue Refunding,
Series 1993A, (MBIA-IBC
Insured),
5.800% 07/01/07......... Aaa AAA 1,215
--------
TOTAL MUNICIPAL BONDS AND NOTES
(Cost $191,790)......................... 194,062
--------
</TABLE>
<TABLE>
<C> <S> <C> <C> <C>
<CAPTION>
SHARES
(000)
- ---------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 3.0%
(Cost $5,988)
5,988 AIM Tax-Exempt Fund................ 5,988
--------
TOTAL INVESTMENTS
(Cost $197,778*).......... 98.9% 200,050
--------
OTHER ASSETS AND LIABILITIES
(NET)..................... 1.1%
Cash............................... $ 1
Receivable for Fund shares sold.... 110
Interest receivable................ 3,112
Prepaid expenses................... 6
Payable for Fund shares redeemed... (1)
Investment advisory fee payable.... (30)
Administration fee payable......... (33)
Shareholder servicing and
distribution fees payable........ (3)
Distributions payable.............. (772)
Payable for investment securities
purchased........................ (110)
Accrued Trustees' fees and
expenses......................... (13)
Accrued expenses and other
liabilities...................... (63)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................ 2,204
--------
NET ASSETS.................. 100.0% $202,254
========
NET ASSETS CONSIST OF:
Undistributed net investment
income........................... $ 81
Accumulated net realized loss on
investments sold................. (80)
Net unrealized appreciation of
investments...................... 2,272
Paid-in capital.................... 199,981
--------
NET ASSETS......................... $202,254
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
82
<PAGE> 87
NATIONS FUNDS
Nations North Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
- -----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($186,644,768 / 18,137,431 shares
outstanding)..................... $10.29
------
------
INVESTOR A SHARES:
Net asset value and redemption
price per share
($9,736,507 / 946,157 shares
outstanding)..................... $10.29
------
------
Maximum sales charge............... 3.25%
Maximum offering price per share... $10.64
INVESTOR B SHARES:
Net asset value and offering price
per share** ($5,779,670 / 561,670
shares outstanding).............. $10.29
------
------
INVESTOR C SHARES:
Net asset value and offering price
per share** ($92,989 / 9,036
shares outstanding).............. $10.29
------
------
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $5,131 and gross
depreciation of $2,859 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$197,778.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations North Carolina Intermediate Municipal Bond Fund had the following
insurance concentration greater than 10% at September 30, 1999 (as a percentage
of net assets):
MBIA 10.90%
Nations North Carolina Intermediate Municipal Bond Fund had the following
industry concentration greater than 10% at September 30, 1999 (as a percentage
of net assets):
Hospital Revenue 24.02%
SEE NOTES TO FINANCIAL STATEMENTS.
83
<PAGE> 88
NATIONS FUNDS
Nations North Carolina Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 96.5%
NORTH CAROLINA -- 94.1%
$ 1,050 Catawba County, North
Carolina, GO, Series
1997,
4.750% 06/01/13......... Aa2 AA- $ 983
525 Charlotte, North Carolina,
Health Care Systems
Revenue, Unrefunded
Balance, (Mecklenburg
Hospital Authority
Project) Series 1992,
6.250% 01/01/20......... Aa3 AA 544
1,600 Charlotte-Mecklenburg
Hospital Authority,
Revenue, (Carolinas
Healthcare System
Project) Series 1997A,
6.000% 01/15/09......... Aa3 AA 1,713
2,000 Charlotte-Mecklenburg
Hospital Authority,
Revenue, (Carolinas
Healthcare System
Project) Series 1997A,
5.125% 01/15/22......... Aa3 AA 1,815
975 Charlotte-Mecklenburg
Hospital Authority,
Revenue, Series 1992,
Prerefunded
01/01/02 @ 102,
6.250% 01/01/20......... Aa3 AA 1,034
1,000 Craven County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, PCR
Refunding, (Weyerhaeuser
Company Project) Series
1992,
6.350% 01/01/10......... NR A 1,045
1,340 Greensboro, North
Carolina, Special
Obligation Revenue,
Series 1997,
5.200% 06/01/11......... Aa3 AA- 1,345
1,000 Haywood County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, Solid Waste
Disposal Revenue,
(Champion International
Corporation Project)
Series 1993, AMT,
5.500% 10/01/18......... Baa1 BBB 911
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$ 2,000 Martin County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, Solid Waste
Disposal Revenue,
(Weyerhaeuser Company
Project) Series 1993,
AMT,
5.650% 12/01/23......... A2 A $ 1,878
1,000 Mecklenburg County, North
Carolina, GO Refunding,
Series 1993,
6.000% 04/01/11......... Aaa AAA 1,077
2,000 Mecklenburg County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, Revenue
Refunding, (Fluor
Corporation Project)
Series 1993,
5.250% 12/01/09......... NR A 2,004
1,000 Monroe, North Carolina,
Combined Enterprise
Systems, Revenue,
Series 1994, Prerefunded
03/01/04 @ 102,
6.000% 03/01/14......... A3 A 1,074
1,000 Morganton, North Carolina,
Water and Sewer GO,
Series 1995, (FGIC
Insured),
5.600% 06/01/10......... Aaa AAA 1,041
1,000 New Hanover County, North
Carolina, Industrial
Facilities and Pollution
Control Financing
Authority, Solid Waste
Disposal Revenue,
(Occidental Petroleum
Corporation Project)
Series 1994, AMT,
6.500% 08/01/14......... Baa2 BBB 1,030
1,000 North Carolina State, GO,
Series 1997,
5.100% 06/01/06......... Aaa AAA 1,024
1,000 North Carolina State, GO,
Series 1997,
5.100% 06/01/09......... Aaa AAA 1,012
1,000 North Carolina State, GO,
Series 1998A,
4.750% 04/01/13......... Aaa AAA 940
1,210 North Carolina, Housing
Finance Agency, Revenue,
(Home Ownership Project)
Series 1998A-2, AMT,
5.200% 01/01/20......... Aa2 AA 1,092
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
84
<PAGE> 89
NATIONS FUNDS
Nations North Carolina Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$ 1,000 North Carolina, Housing
Finance Agency, Revenue,
Series 1999A-3, AMT,
5.150% 01/01/19......... Aa2 AA $ 916
765 North Carolina, Housing
Finance Agency, Single-
Family Housing Revenue,
Series 1992U, (GNMA/FNMA
COLL),
6.700% 03/01/18......... Aa AA 796
895 North Carolina, Housing
Finance Agency, Single-
Family Housing Revenue,
Series 1994W,
6.200% 09/01/09......... Aa2 AA 924
1,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Carolina Medicorp Inc.
Project) Series 1996,
5.100% 05/01/07......... Aa3 AA 1,014
1,130 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Gaston Memorial
Hospital Project) Series
1995, (AMBAC-TCRS
Insured),
5.250% 02/15/07......... Aaa AAA 1,159
1,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Grace Hospital,
Inc.-Morganton Project)
Series 1996, (AMBAC
Insured),
5.250% 10/01/16......... Aaa AAA 939
860 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Halifax Regional
Medical Center, Inc.
Project) Series 1998,
4.600% 08/15/06......... Baa1 A 810
1,500 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Pitt County Memorial
Hospital Project) Series
1998B,
4.750% 12/01/28......... Aa3 AA- 1,222
1,000 North Carolina, Medical
Care Commission, Health
Care Facilities Revenue,
(Rex Hospital, Inc.
Project) Series 1993,
Prerefunded 06/01/03 @
102,
6.250% 06/01/17......... Aaa A+ 1,078
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
NORTH CAROLINA -- (CONTINUED)
$ 1,000 North Carolina, Medical
Care Commission,
Hospital Revenue, (Pitt
County Memorial Hospital
Project), Series 1998 B,
5.000% 12/01/18......... Aa3 AA- $ 896
1,000 North Carolina, Municipal
Power Agency Number 1,
Revenue Refunding,
(Catawba Electric
Project) Series 1992,
(FGIC Insured),
6.200% 01/01/18......... Aaa AAA 1,027
1,500 Onslow County, North
Carolina, Combined
Enterprise Systems,
Revenue, Series 1994,
(MBIA Insured),
5.875% 06/01/09......... Aaa AAA 1,572
1,000 Orange County, North
Carolina, GO, Series
1994,
5.500% 02/01/14......... Aa1 AA+ 1,004
1,000 Pitt County, North
Carolina, Hospital
Revenue, (Pitt County
Memorial Hospital
Project) Series 1995,
5.250% 12/01/21......... Aaa NR 937
1,950 Wake County, North
Carolina, Special
Obligation Revenue,
(Solid Waste Management
Projects) Series 1997,
5.000% 02/01/05......... Aa2 AA 1,985
1,000 Wilmington, North
Carolina, Water
Authority, GO, Series
1994,
5.700% 06/01/15......... A1 A+ 1,016
-------
38,857
-------
FLORIDA -- 2.4%
1,000 St. Johns County, Florida,
Industrial Development
Authority, Revenue,
(World Golf Foundation
Project) Series 1997A,
(MBIA Insured),
5.500% 03/01/17......... Aaa AAA 990
-------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $39,726).......................... 39,847
-------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
85
<PAGE> 90
NATIONS FUNDS
Nations North Carolina Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- -----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 2.6%
(Cost $1,083)
1,083 AIM Tax-Exempt Fund.................... $ 1,083
-------
TOTAL INVESTMENTS
(Cost $40,809*)............... 99.1% 40,930
-------
OTHER ASSETS AND
LIABILITIES (NET)............. 0.9%
Receivable for investment securities
sold................................. $ 15
Interest receivable.................... 617
Prepaid expenses....................... 7
Payable for Fund shares redeemed....... (34)
Investment advisory fee payable........ (3)
Administration fee payable............. (7)
Shareholder servicing and distribution
fees payable......................... (12)
Distributions payable.................. (142)
Accrued Trustees' fees and expenses.... (13)
Accrued expenses and other
liabilities.......................... (51)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET).................... 377
-------
NET ASSETS...................... 100.0% $41,307
=======
NET ASSETS CONSIST OF:
Undistributed net investment income.... $ 21
Accumulated net realized loss on
investments sold..................... (840)
Net unrealized appreciation of
investments.......................... 121
Paid-in capital........................ 42,005
-------
NET ASSETS............................. $41,307
=======
</TABLE>
<TABLE>
VALUE
- -----------------------------------------------------------
<CAPTION>
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($17,231,778 / 1,796,698 shares
outstanding)......................... $9.59
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price
per share ($1,039,859 / 108,418
shares outstanding).................. $9.59
-----
-----
Maximum sales charge................... 4.75%
Maximum offering price per share....... $10.07
INVESTOR B SHARES:
Net asset value and offering price per
share** ($23,032,206 / 2,401,435
shares outstanding).................. $9.59
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share** ($2,779 / 290 shares
outstanding)......................... $9.59
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $965 and gross depreciation
of $844 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $40,809.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations North Carolina Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
AMBAC 10.08%
Nations North Carolina Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Hospital Revenue 24.69%
Industrial Development Revenue/Pollution Control Revenue 16.77%
SEE NOTES TO FINANCIAL STATEMENTS.
86
<PAGE> 91
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 96.2%
SOUTH CAROLINA -- 96.2%
$ 1,100 Anderson County, South
Carolina, GO Revenue
Refunding, Series 1992,
6.400% 04/01/03........ A1 A+ $ 1,168
1,300 Anderson County, South
Carolina, GO Revenue
Refunding, Series 1992,
6.500% 04/01/04........ A1 A+ 1,380
1,240 Anderson County, South
Carolina, Sewer
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.200% 07/01/03........ Aaa AAA 1,273
1,000 Anderson County, South
Carolina, Sewer
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.500% 07/01/06........ Aaa AAA 1,038
1,500 Anderson County, South
Carolina, Sewer
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.600% 07/01/07........ Aaa AAA 1,557
1,000 Anderson County, South
Carolina, Sewer
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.600% 07/01/08........ Aaa AAA 1,033
1,000 Beaufort County, South
Carolina, GO, Series
1993, (MBIA Insured),
5.600% 12/01/08........ Aaa AAA 1,026
1,415 Beaufort County, South
Carolina, GO, Series
1993, (MBIA Insured),
5.650% 12/01/09........ Aaa AAA 1,453
2,000 Beaufort County, South
Carolina, School
District, GO, Series
1991, (AMBAC Insured,
SCSDE),
6.250% 02/01/01........ Aaa AAA 2,056
2,000 Beaufort County, South
Carolina, School
District, GO, Series
1991, (AMBAC Insured,
SCSDE),
6.300% 02/01/02........ Aaa AAA 2,057
1,000 Beaufort County, South
Carolina, School
District, GO, Series
1991, (AMBAC Insured,
SCSDE),
6.400% 02/01/03........ Aaa AAA 1,029
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 Berkeley County, South
Carolina, Refunding and
Improvement Authority,
GO, Series 1993, (FGIC
Insured),
5.300% 05/01/04........ Aaa AAA $ 1,032
1,000 Berkeley County, South
Carolina, Refunding and
Improvement Authority,
GO, Series 1993, (FGIC
Insured),
5.400% 05/01/05........ Aaa AAA 1,037
1,000 Berkeley County, South
Carolina, Refunding and
Improvement Authority,
GO, Series 1993, (FGIC
Insured),
5.500% 05/01/06........ Aaa AAA 1,037
1,000 Berkeley County, South
Carolina, Water and
Sewer Authority,
Revenue Refunding,
Series 1991, (MBIA
Insured), Prerefunded
06/01/01 @ 102,
7.000% 06/01/16........ Aaa AAA 1,065
1,000 Camden, South Carolina,
Combined Public
Utilities Revenue,
Refunding and
Improvement, Series
1997, (MBIA Insured),
5.500% 03/01/17........ Aaa AAA 978
2,370 Charleston County, South
Carolina, Hospital
Facilities Revenue,
(Care Alliance Health
Services Project)
Series 1999A, (FSA
Insured),
5.125% 08/15/15........ Aaa AAA 2,241
3,000 Charleston County, South
Carolina, Hospital
Facilities, Revenue
Refunding and
Improvement, (Bon
Secours Health Systems
Project) Series 1993,
(FSA Insured),
5.500% 08/15/10........ Aaa AAA 3,056
1,000 Charleston County, South
Carolina, Hospital
Facilities, Revenue
Refunding and
Improvement, (Medical
Society Health Project)
Series 1992, (MBIA
Insured), 6.000%
10/01/09............... Aaa AAA 1,053
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
87
<PAGE> 92
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 Charleston County, South
Carolina, Public
Improvement Authority,
GO, Series 1994, (State
Aid Withholding),
5.500% 06/01/14........ Aa3 AA $ 1,002
1,040 Charleston County, South
Carolina, Solid Waste
User Fee Revenue,
Series 1994, (MBIA
Insured),
5.800% 01/01/06........ Aaa AAA 1,097
5,105 Charleston, South
Carolina, Waterworks
and Sewer Capital
Improvement Revenue
Refunding, Series 1998,
5.250% 01/01/08........ A1 AA- 5,210
1,000 Charleston, South
Carolina, Waterworks
and Sewer Revenue
Refunding, Series 1991,
5.750% 01/01/04........ A1 AA- 1,044
1,645 Cherokee County, South
Carolina, School
District Number 1, GO,
Series 1997, (SCSDE),
5.000% 03/01/02........ Aa1 AA 1,673
1,500 Clemson University, South
Carolina, Stadium
Refunding Bonds,
Student and Faculty
Housing, Series 1991-M,
(MBIA Insured),
Prerefunded 06/01/01 @
100,
6.550% 06/01/07........ Aaa AAA 1,558
1,000 Columbia, South Carolina,
Parking Facilities
Revenue Refunding,
Series 1994, (AMBAC
Insured), 5.750%
12/01/09............... Aaa AAA 1,042
6,000 Columbia, South Carolina,
Waterworks and Sewer
Systems Revenue
Refunding, Series 1993,
5.500% 02/01/09........ Aa AA 6,207
2,700 Columbia, South Carolina,
Waterworks and Sewer
Systems Revenue, Series
1991,
4.610%+ 02/01/03....... Aa AA 2,318
1,285 Columbia, South Carolina,
Waterworks and Sewer
Systems Revenue,
Unrefunded Balance,
Series 1991,
6.500% 02/01/02........ Aa AA 1,346
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 Darlington County, South
Carolina, IDR, (Nucor
Corporation Project)
Series 1993A, AMT,
5.750% 08/01/23........ A1 AA- $ 986
3,020 Darlington County, South
Carolina, IDR, (Sonoco
Products Company
Project) Series 1995,
AMT,
6.125% 06/01/25........ A2 A 3,046
1,500 Darlington County, South
Carolina, PCR,
(Carolina Power &
Light - Annual Tender
Project) Series 1983,
6.600% 11/01/10........ A2 A1+ 1,616
1,000 Darlington County, South
Carolina, PCR,
(Carolina Power & Light
Project) Series 1983,
(MBIA-IBC Insured),
6.600% 11/01/10........ Aaa AAA 1,080
2,000 Florence County, South
Carolina, Hospital
Revenue, (McLeod
Regional Hospital
Center
Project) Series 1998A,
(MBIA Insured), 5.000%
11/01/18............... Aaa AAA 1,802
1,000 Florence, South Carolina,
Water and Sewer Revenue
Refunding, Series 1993,
(AMBAC Insured), 4.700%
03/01/01............... Aaa AAA 1,008
1,250 Florence, South Carolina,
Water and Sewer Revenue
Refunding, Series 1993,
(AMBAC Insured),
5.150% 03/01/06........ Aaa AAA 1,274
1,225 Georgetown County, South
Carolina, Environmental
Revenue, (International
Paper Company Project)
Series 1997A, AMT,
5.700% 10/01/21........ A3 BBB+ 1,162
2,000 Georgetown County, South
Carolina, PCR
Refunding,
(International Paper
Company Project) Series
1992,
6.250% 06/15/05........ A3 BBB+ 2,081
4,000 Georgetown County, South
Carolina, PCR
Refunding,
(International Paper
Company Project) Series
1999A,
5.125% 02/01/12........ A3 BBB+ 3,733
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
88
<PAGE> 93
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 Grand Strand, South
Carolina, Water and
Sewer Authority,
Revenue Refunding,
Series 1992, (MBIA
Insured),
5.900% 06/01/01........ Aaa AAA $ 1,028
1,000 Grand Strand, South
Carolina, Water and
Sewer Authority,
Revenue Refunding,
Series 1992, (MBIA
Insured),
6.000% 06/01/02........ Aaa AAA 1,042
1,950 Grand Strand, South
Carolina, Water and
Sewer Authority,
Revenue Refunding,
Series 1992, (MBIA
Insured),
6.300% 06/01/05........ Aaa AAA 2,072
1,000 Grand Strand, South
Carolina, Water and
Sewer Authority,
Revenue Refunding,
Series 1992, (MBIA
Insured),
6.400% 06/01/07........ Aaa AAA 1,065
1,000 Greenville County, South
Carolina, Industrial
Revenue Refunding,
(Monsanto Company
Project) Series 1990,
7.500% 10/01/07........ A1 NR 1,030
1,000 Greenville, South
Carolina, Hospital
Facilities Revenue
Refunding, Series
1993C,
5.300% 05/01/04........ NR AA 1,022
4,000 Greenville, South
Carolina, Hospital
Facilities Revenue
Refunding, Series
1993C,
5.400% 05/01/05........ NR AA 4,106
2,400 Greenville, South
Carolina, Hospital
Facilities Revenue
Refunding, Series
1993C,
5.500% 05/01/11........ NR AA 2,368
1,000 Greenville, South
Carolina, Hospital
Facilities Revenue
Refunding, Series
1996A, (GTY-AGMT),
5.400% 05/01/07........ Aa3 AA 1,020
4,000 Greenville, South
Carolina, Hospital
Facilities Revenue
Refunding, Series
1996B, (GTY-AGMT),
5.250% 05/01/17........ Aa3 AA 3,701
2,000 Greenville, South
Carolina, Waterworks
Revenue, Water Utility
Improvements, Series
1997,
6.000% 02/01/06........ Aa1 AA 2,138
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 Greenville, South
Carolina, Waterworks
Revenue, Water Utility
Improvements, Series
1997,
6.000% 02/01/08........ Aa1 AA $ 1,073
1,885 Greenwood, South
Carolina, Combined
Public Utilities,
Revenue Refunding and
Improvement, Series
1993, (AMBAC Insured),
5.500% 12/01/06........ Aaa AAA 1,961
2,000 Greenwood, South
Carolina, Combined
Public Utilities,
Revenue Refunding and
Improvement, Series
1993, (AMBAC Insured),
5.500% 12/01/07........ Aaa AAA 2,070
1,060 Greenwood, South
Carolina, Combined
Public Utilities,
Revenue Refunding and
Improvement, Series
1993, (AMBAC Insured),
5.500% 12/01/08........ Aaa AAA 1,091
1,100 Horry County, South
Carolina, Hospital
Facilities Revenue,
(Conway Hospital, Inc.
Project) Series 1998,
(AMBAC Insured),
4.750% 07/01/10........ Aaa AAA 1,044
1,200 Horry County, South
Carolina, Hospital
Facilities Revenue,
(Conway Hospital, Inc.
Project) Series 1998,
(AMBAC Insured),
4.875% 07/01/11........ Aaa AAA 1,135
1,220 Horry County, South
Carolina, School
District, GO, Series
1990, (SCSDE),
7.000% 01/01/04........ A2 AA 1,294
1,275 Horry County, South
Carolina, School
District, GO, Series
1995B, (MBIA Insured,
SCSDE),
5.700% 03/01/16........ Aaa AAA 1,278
1,000 Kershaw County, South
Carolina, School
District, GO, Series
1991, (SCSDE),
Prerefunded 07/01/01 @
102,
6.400% 07/01/06........ A3 AA 1,056
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
89
<PAGE> 94
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,725 Lancaster County, South
Carolina, School
District, GO, Series
1991, (MBIA Insured),
Prerefunded 07/01/02 @
102,
6.500% 07/01/07........ Aaa AAA $ 1,854
1,180 Lexington County, South
Carolina, Health
Service District,
Revenue Refunding,
(Health Service
District and Lexmed,
Inc. Project) Series
1997, (FSA Insured),
5.500% 11/01/06........ Aaa AAA 1,213
5,000 Lexington County, South
Carolina, Health
Services District,
Revenue Refunding,
Series 1997, (FSA
Insured),
5.125% 11/01/21........ Aaa AAA 4,497
2,000 Lexington, South
Carolina, Water and
Sewer Authority,
Revenue, Series 1997,
5.450% 04/01/19........ NR AA 1,874
2,000 Medical University of
South Carolina,
Hospital Facilities,
Revenue Refunding,
Series 1990A,
7.000% 07/01/01........ A3 A 2,075
4,500 Medical University of
South Carolina,
Hospital Facilities,
Revenue Refunding,
Series 1990A,
7.000% 07/01/02........ A3 A 4,684
3,725 Medical University of
South Carolina,
Hospital Facilities,
Revenue Refunding,
Series 1990A,
7.200% 07/01/05........ A3 A 3,881
2,500 Myrtle Beach, South
Carolina, Water and
Sewer Improvement
Revenue Refunding,
Series 1993, (MBIA
Insured),
5.000% 03/01/03........ Aaa AAA 2,546
1,750 North Charleston, South
Carolina, GO Refunding,
Series 1993,
5.600% 08/01/07........ A2 AA- 1,817
1,725 North Charleston, South
Carolina, GO Refunding,
Series 1993,
5.750% 08/01/08........ A2 AA- 1,796
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 North Charleston, South
Carolina, Sewer
District, Revenue
Refunding, Series
1992A, (MBIA Insured),
6.000% 07/01/02........ Aaa AAA $ 1,044
3,025 Oconee County, South
Carolina, PCR,
Refunding, (Duke Power
Company Project) Series
1993,
5.800% 04/01/14........ Aa2 AA- 3,050
1,000 Oconee County, South
Carolina, School
District, GO, Series
1994, (MBIA Insured),
5.100% 01/01/13........ Aaa AAA 967
1,850 Piedmont Municipal Power
Agency, South Carolina,
Electric Revenue
Refunding, Series 1991,
(FGIC Insured),
6.850% 01/01/07........ Aaa AAA 1,939
1,000 Piedmont Municipal Power
Agency, South Carolina,
Electric Revenue
Refunding, Series
1991A, (FGIC Insured),
6.250% 01/01/13........ Aaa AAA 1,051
1,600 Piedmont Municipal Power
Agency, South Carolina,
Electric Revenue
Refunding, Series 1992,
(MBIA Insured),
6.000% 01/01/05........ Aaa AAA 1,703
4,000 Piedmont Municipal Power
Agency, South Carolina,
Electric Revenue
Refunding, Series
1996B, (MBIA Insured),
5.250% 01/01/09........ Aaa AAA 4,000
1,715 Piedmont Municipal Power
Agency, South Carolina,
Electric Revenue,
Unrefunded Balance,
Series 1991A, (FGIC
Insured),
6.125% 01/01/03........ Aaa AAA 1,793
2,040 Richland County, South
Carolina, GO Refunding,
Series 1991,
5.900% 12/01/01........ Aa2 AA 2,115
2,020 Richland County, South
Carolina, GO Refunding,
Series 1994B, (State
Aid Withholding),
4.750% 03/01/03........ Aa2 AA 2,043
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
90
<PAGE> 95
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 2,120 Richland County, South
Carolina, GO Refunding,
Series 1994B, (State
Aid Withholding),
4.850% 03/01/04........ Aa2 AA $ 2,150
2,250 Richland County, South
Carolina, GO Refunding,
Series 1994B, (State
Aid Withholding),
4.950% 03/01/05........ Aa2 AA 2,285
1,000 Richland County, South
Carolina, PCR
Refunding, (Union Camp
Corporation Project)
Series 1992B,
6.625% 05/01/22........ A3 BBB+ 1,042
4,000 Richland County, South
Carolina, PCR
Refunding, (Union Camp
Corporation Project)
Series 1992C,
5.875% 11/01/02........ A3 BBB+ 4,115
1,000 Richland County, South
Carolina, PCR
Refunding, (Union Camp
Corporation Project)
Series 1992C,
6.350% 11/01/07........ A3 BBB+ 1,054
5,000 Richland County, South
Carolina, School
District Number 1, GO,
Series 1996, (SCSDE),
4.625% 03/01/22........ Aa3 AA 4,235
1,330 Richland County, South
Carolina, School
District Number 2, GO
Refunding, Series
1994A, (MBIA Insured,
SCSDE),
4.800% 03/01/03........ Aaa AAA 1,346
1,590 Richland County, South
Carolina, School
District Number 2, GO
Refunding, Series
1994A, (MBIA Insured,
SCSDE),
4.900% 03/01/04........ Aaa AAA 1,615
1,655 Richland County, South
Carolina, School
District Number 2, GO
Refunding, Series
1994A, (MBIA Insured,
SCSDE),
5.000% 03/01/05........ Aaa AAA 1,683
1,395 Richland County, South
Carolina, Solid Waste
Disposal Facilities
Revenue, (Union Camp
Corporation Project)
Series 1992A, AMT,
6.750% 05/01/22........ A1 BBB+ 1,480
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 Rock Hill, South
Carolina, Combined
Public Utility Systems
Revenue, Series 1991,
(FGIC Insured),
6.200% 01/01/03........ Aaa AAA $ 1,042
2,000 Rock Hill, South
Carolina, School
District Number 3, GO
Refunding, Series
1992B, (FGIC Insured,
SCSDE),
5.900% 02/01/02........ Aaa AAA 2,070
2,000 South Carolina State, GO
Capital Improvement,
Series 1994A,
4.250% 03/01/09........ Aaa AAA 1,885
6,135 South Carolina State, GO
Capital Improvement,
Series 1996A,
3.500% 07/01/06........ Aaa AAA 5,644
5,000 South Carolina State, GO
Refunding, Capital
Improvement, Series
1993,
4.500% 04/01/05........ Aaa AAA 4,989
1,750 South Carolina State, GO,
Series 1991W,
6.000% 05/01/01........ Aaa AAA 1,801
5,000 South Carolina State,
Housing Finance and
Development Authority,
Multi-Family Housing
Revenue, (United
Dominion Realty Trust
Project) Series 1994,
AMT, Mandatory Put
05/01/04 @ 100,
6.500% 05/01/24........ NR BBB 5,165
2,440 South Carolina State,
Housing Finance and
Development Authority,
Rental Housing Revenue,
(Windsor Shores
Project) Series 1993B,
(FHA Insured),
5.600% 07/01/16........ NR AA 2,385
3,375 South Carolina State,
Jobs Economic
Development Authority,
Hospital Facilities
Revenue, Series 1999,
(FSA Insured),
5.300% 02/01/14........ Aaa AAA 3,244
4,565 South Carolina State,
Port Authority,
Revenue, Series 1998,
AMT, (FSA Insured),
5.250% 07/01/13........ Aaa AAA 4,387
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
91
<PAGE> 96
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 South Carolina State,
Public Service
Authority, Revenue
Refunding, Series
1991B,
6.600% 07/01/01........ Aaa AAA $ 1,041
2,500 South Carolina State,
Public Service
Authority, Revenue
Refunding, Series
1993A,
5.000% 07/01/01........ Aa2 AA- 2,532
1,000 South Carolina State,
Public Service
Authority, Revenue,
Series 1991B,
6.700% 07/01/02........ Aa2 AA- 1,056
2,000 South Carolina State,
Public Service
Authority, Revenue,
Series 1999A, (MBIA
Insured),
5.625% 01/01/13........ Aaa AAA 2,026
4,000 South Carolina,
Educational Facilities
for Non-Profit
Institutions, Revenue,
(Furman University
Project) Series 1996A,
(MBIA Insured),
5.500% 10/01/26........ Aaa AAA 3,837
1,500 South Carolina, Jobs
Economic Development
Authority, Hospital
Facilities Revenue,
(Oconee Memorial
Hospital, Inc. Project)
Series 1995, (CONNIE
LEE Insured),
6.150% 03/01/15........ NR AAA 1,546
6,500 South Carolina, Jobs
Economic Development
Authority, Hospital
Facilities Revenue,
(South Carolina Baptist
Hospital Project)
Series 1993, (AMBAC
Insured),
5.450% 08/01/15........ Aaa AAA 6,312
165 South Carolina, State
Housing Authority,
Revenue, (Homeownership
Mortgage Purchase
Project) Series 1994A,
5.550% 07/01/15........ Aa AA 163
4,595 South Carolina, State
Housing Finance and
Development Authority,
Revenue Refunding,
Series 1992A, (FNMA/FHA
COLL),
6.800% 11/15/11........ Aaa NR 4,799
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 3,000 South Carolina, State
Public Service
Authority, Revenue
Refunding, Series
1992A,
6.200% 07/01/05........ Aa2 AA- $ 3,172
1,000 South Carolina, State
Public Service
Authority, Revenue
Refunding, Series
1992A,
6.375% 07/01/11........ Aa2 AA- 1,058
1,000 South Carolina, State
Public Service
Authority, Revenue
Refunding, Series
1993A,
5.200% 07/01/03........ Aa2 AA- 1,024
1,500 South Carolina, State
Public Service
Authority, Revenue
Refunding, Series
1993A, (MBIA Insured),
5.300% 07/01/05........ Aaa AAA 1,543
2,000 South Carolina, State
Public Service
Authority, Revenue
Refunding, Series
1993C, (AMBAC Insured),
5.100% 01/01/11........ Aaa AAA 1,974
5,000 South Carolina,
Transportation
Infrastructure Revenue,
Series 1998A, (MBIA
Insured),
5.000% 10/01/12........ Aaa AAA 4,841
1,025 Spartanburg County, South
Carolina, GO, Series
1992,
5.800% 02/01/05........ Aa2 AA- 1,079
1,005 Spartanburg County, South
Carolina, GO, Series
1992,
5.700% 02/01/06........ Aa2 AA- 1,050
1,000 Spartanburg County, South
Carolina, GO, Series
1992,
5.700% 02/01/09........ Aa2 AA- 1,036
1,000 Spartanburg County, South
Carolina, Health
Services District,
Hospital Revenue
Refunding, Series
1997B, (MBIA Insured),
5.125% 04/15/17........ Aaa AAA 914
3,445 Spartanburg, South
Carolina, Waterworks
and Sewer Systems
Authority, Revenue,
Unrefunded Balance,
Series 1992,
6.200% 06/01/09........ A1 AA- 3,617
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
92
<PAGE> 97
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 1,000 West Columbia, South
Carolina, Water and
Sewer Revenue
Refunding, Series 1992,
(MBIA Insured),
6.300% 10/01/07........ Aaa AAA $ 1,068
1,000 Western Carolina,
Regional Sewer Systems
Authority, Revenue
Refunding, Series 1992,
(AMBAC Insured),
5.800% 03/01/03........ Aaa AAA 1,041
1,000 Western Carolina,
Regional Sewer Systems
Authority, Revenue
Refunding, Series 1992,
(AMBAC Insured),
5.900% 03/01/04........ Aaa AAA 1,040
2,500 Western Carolina,
Regional Sewer Systems
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.000% 03/01/02........ Aaa AAA 2,541
1,000 Western Carolina,
Regional Sewer Systems
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.500% 03/01/10........ Aaa AAA 1,020
1,000 York County, South
Carolina, Exempt
Facilities IDR,
(Hoechst Celanese
Corporation Project)
Series 1994, AMT,
5.700% 01/01/24........ A2 A+ 945
4,000 York County, South
Carolina, PCR
Refunding, (Bowater
Inc. Project) Series
1991B,
6.850% 04/01/01........ Baa1 BBB 4,082
--------
255,364
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $249,662).......................... 255,364
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- -----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 3.5%
(Cost $9,295)
9,295 AIM Tax-Exempt Fund................ $ 9,295
--------
TOTAL INVESTMENTS
(Cost $258,957*).......... 99.7% 264,659
--------
OTHER ASSETS AND
LIABILITIES (NET)......... 0.3%
Receivable for Fund shares sold.... $ 65
Interest receivable................ 4,007
Prepaid expenses................... 5
Payable for Fund shares redeemed... (15)
Investment advisory fee payable.... (43)
Administration fee payable......... (44)
Shareholder servicing and
distribution fees payable........ (25)
Distributions payable.............. (1,047)
Payable for investment securities
purchased........................ (2,059)
Accrued Trustees' fees and
expenses......................... (15)
Accrued expenses and other
liabilities...................... (80)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................ 749
--------
NET ASSETS.................. 100.0% $265,408
========
NET ASSETS CONSIST OF:
Undistributed net investment
income........................... $ 26
Accumulated net realized gain on
investments sold................. 68
Net unrealized appreciation of
investments...................... 5,702
Paid-in capital.................... 259,612
--------
NET ASSETS......................... $265,408
========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
93
<PAGE> 98
NATIONS FUNDS
Nations South Carolina Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
- -----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($234,022,617 / 22,581,972 shares
outstanding)..................... $10.36
------
------
INVESTOR A SHARES:
Net asset value and redemption
price per share
($19,921,165 / 1,922,288 shares
outstanding)..................... $10.36
------
------
Maximum sales charge............... 3.25%
Maximum offering price per share... $10.71
INVESTOR B SHARES:
Net asset value and offering price
per share** ($8,436,860 / 814,115
shares outstanding).............. $10.36
------
------
INVESTOR C SHARES:
Net asset value and offering price
per share** ($3,027,842 / 292,147
shares outstanding).............. $10.36
------
------
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $8,558 and gross
depreciation of $2,856 for Federal income tax purposes. At September 30, 1999,
the aggregate cost of securities for Federal income tax purposes was $258,957.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations South Carolina Intermediate Municipal Bond Fund had the following
insurance concentration greater than 10% at September 30, 1999 (as a percentage
of net assets):
MBIA 18.31%
Nations South Carolina Intermediate Municipal Bond Fund had the following
industry concentration greater than 10% at September 30, 1999 (as a percentage
of net assets):
Hospital Revenue 19.24%
Water Revenue 17.95%
Industrial Development Revenue/
Pollution Control Revenue 11.52%
Electric Revenue 11.45%
SEE NOTES TO FINANCIAL STATEMENTS.
94
<PAGE> 99
NATIONS FUNDS
Nations South Carolina Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 92.8%
SOUTH CAROLINA -- 87.9%
$ 750 Berkeley County, South
Carolina, PCR, (South
Carolina Electric and Gas
Company Project) Series
1984, (GTY-AGMT, Scana
Corporation),
6.500% 10/01/14 A2 A $ 799
525 Camden, South Carolina,
Combined Public Utilities
Revenue, Refunding,
Series 1997, (MBIA
Insured),
4.900% 03/01/06.......... Aaa AAA 530
500 Charleston County, South
Carolina, Hospital
Facilities, Revenue
Refunding and
Improvement, (Bon Secours
Health Systems Project)
Series 1993, (FSA
Insured),
5.625% 08/15/25.......... Aaa AAA 499
500 Charleston, South Carolina,
GO, Series 1991,
Prerefunded 06/01/01 @
102,
6.500% 06/01/11.......... Aa NR 528
1,000 Chester County, South
Carolina, IDR, Refunding,
(Springs Industries Inc
Project) Series 1992,
7.350% 02/01/14.......... NR BBB+ 1,049
500 Clemson University, South
Carolina, Stadium
Refunding Bonds, Student
and Faculty Housing,
Series 1991-M, (MBIA
Insured), Prerefunded
06/01/01 @ 100,
6.600% 06/01/08.......... Aaa AAA 520
1,000 Columbia, South Carolina,
Waterworks and Sewer
Systems Revenue
Refunding, Series 1993,
5.500% 02/01/09.......... Aa AA 1,034
750 Darlington County, South
Carolina, IDR, (Nucor
Corporation Project)
Series 1993A, AMT,
5.750% 08/01/23.......... A1 AA- 740
500 Darlington County, South
Carolina, IDR, (Sonoco
Products Company Project)
Series 1995, AMT,
6.125% 06/01/25.......... A2 A 504
500 Darlington County, South
Carolina, PCR, (Carolina
Power & Light - Annual
Tender Project) Series
1983,
6.600% 11/01/10.......... A2 A1+ 539
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$ 500 Dorchester County, South
Carolina, School District
Number 2, GO Refunding,
Series 1995, (FGIC
Insured SCSDE),
4.800% 07/01/05.......... Aaa AAA $ 504
500 Dorchester County, South
Carolina, School District
Number 2, GO, Series
1996, (FGIC Insured
SCSDE),
5.125% 02/01/13.......... Aaa AAA 486
500 Georgetown County, South
Carolina, PCR Refunding,
(International Paper
Company Project) Series
1992,
6.250% 06/15/05.......... A3 BBB+ 520
735 Georgetown County, South
Carolina, PCR,
(International Paper
Company Project) Series
1997B, AMT,
5.600% 12/01/21.......... A3 BBB+ 688
575 Georgetown County, South
Carolina, School
District, GO, Series
1998, (MBIA Insured
SCSDE),
4.800% 03/01/11.......... Aaa AAA 553
710 Greer, South Carolina,
Combined Public
Utilities, Revenue
Refunding and
Improvement, Series 1997,
(AMBAC Insured),
5.000% 09/01/17.......... Aaa AAA 649
1,000 Lexington County, South
Carolina, Health Service
District, Revenue
Refunding, (Health
Service District and
Lexmed, Inc. Project)
Series 1997, (FSA
Insured),
5.500% 11/01/06.......... Aaa AAA 1,028
500 Lexington County, South
Carolina, Health Services
District, Revenue
Refunding, Series 1997,
(FSA Insured),
5.125% 11/01/26.......... Aaa AAA 442
500 Lexington, South Carolina,
Water and Sewer
Authority, Revenue,
Series 1997, (Asset
Guaranty),
5.500% 04/01/29.......... NR AA 462
1,000 Piedmont Municipal Power
Agency, South Carolina,
Electric Revenue
Refunding, Series 1996B,
(MBIA Insured),
5.250% 01/01/09.......... Aaa AAA 999
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
95
<PAGE> 100
NATIONS FUNDS
Nations South Carolina Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$1,000 Richland County, South
Carolina, School District
Number 1, GO, Series
1996, (SCSDE),
4.625% 03/01/22.......... Aa3 AA $ 847
525 Richland County, South
Carolina, Sewer Systems
Revenue, GO, Series
1994A, (State Aid
Withholding),
5.500% 03/01/17.......... Aa2 AA 516
500 Richland County, South
Carolina, Solid Waste
Disposal Facilities
Revenue, (Union Camp
Corporation Project)
Series 1992A, AMT,
6.750% 05/01/22.......... A1 BBB+ 530
500 South Carolina State, GO
Refunding, Capital
Improvement, Series 1993,
4.400% 04/01/04.......... Aaa AAA 499
1,125 South Carolina State, GO
Refunding, Capital
Improvement, Series 1993,
4.500% 04/01/05.......... Aaa AAA 1,123
1,000 South Carolina State, Jobs
Economic Development
Authority, Hospital
Facilities Revenue,
Series 1999, (FSA
Insured),
5.300% 02/01/14.......... Aaa AAA 961
500 South Carolina State, Port
Authority, Revenue Bonds,
Series 1998, AMT, (FSA
Insured),
5.300% 07/01/26.......... Aaa AAA 454
1,000 South Carolina, Educational
Facilities for Non-Profit
Institutions, Revenue,
(Furman University
Project) Series 1996A,
(MBIA Insured),
5.500% 10/01/26.......... Aaa AAA 959
500 South Carolina, Jobs
Economic Development
Authority, First Mortgage
Revenue, (Lowman Home,
Inc., Trinity Project)
Series 1995, Prerefunded
09/01/00 @ 103,
6.700% 09/01/20.......... NR AAA 528
1,000 South Carolina,
Transportation
Infrastructure Revenue,
Series 1998A, (MBIA
Insured),
4.500% 10/01/17.......... Aaa AAA 842
500 York County, South
Carolina, GO, Series
1993, (AMBAC Insured),
4.750% 06/01/07.......... Aaa AAA 497
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
SOUTH CAROLINA -- (CONTINUED)
$900 York County, South
Carolina, PCR Refunding,
(Bowater Inc. Project)
Series 1991B,
6.850% 04/01/01.......... Baa1 BBB $ 919
-------
21,748
-------
OHIO -- 2.1%
500 Dayton, Ohio, Special
Facilities Revenue
Refunding, (Air Freight
Corporation Project)
Series 1993F,
6.050% 10/01/09.......... NR BBB 509
-------
PUERTO RICO -- 2.8%
675 Puerto Rico, Housing Bank
and Finance Agency,
Single-Family Mortgage
Revenue, (Affordable
Housing
Mortgage - Portfolio I)
Series 1995, AMT,
(GNMA/FNMA/FHLMC COLL),
6.250% 04/01/29.......... Aaa AAA 685
-------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $22,979)........................... 22,942
-------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- -------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 6.2%
1,253 AIM Tax-Exempt Fund.................... 1,253
286 Nuveen Tax-Exempt Fund................. 286
-------
</TABLE>
<TABLE>
<C> <S> <C> <C>
TOTAL INVESTMENT COMPANIES
(Cost $1,539).................. 1,539
-------
TOTAL INVESTMENTS
(Cost $24,518*)................ 99.0% 24,481
-------
OTHER ASSETS AND
LIABILITIES (NET).............. 1.0%
Cash.................................... $ 1
Receivable for investment securities
sold.................................. 37
Interest receivable..................... 410
Receivable from investment advisor...... 1
Prepaid expenses........................ 7
Payable for Fund shares redeemed........ (37)
Administration fee payable.............. (4)
Shareholder servicing and distribution
fees payable.......................... (7)
Distributions payable................... (102)
Payable for investment securities
purchased............................. (1)
Accrued Trustees' fees and expenses..... (12)
Accrued expenses and other
liabilities........................... (39)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)..................... 254
-------
NET ASSETS....................... 100.0% $24,735
=======
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
96
<PAGE> 101
NATIONS FUNDS
Nations South Carolina Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
(000)
- ------------------------------------------------------------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment income..... $ 12
Accumulated net realized loss on
investments sold...................... (127)
Net unrealized depreciation of
investments........................... (37)
Paid-in capital......................... 24,887
-------
NET ASSETS.............................. $24,735
=======
PRIMARY A SHARES:
Net asset value, offering and redemption
price per share
($13,662,305 / 1,396,755 shares
outstanding).......................... $9.78
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price per
share ($1,171,412 / 119,754 shares
outstanding).......................... $9.78
-----
-----
Maximum sales charge.................... 4.75%
Maximum offering price per share........ $10.27
INVESTOR B SHARES:
Net asset value and offering price per
share**
($9,826,781 / 1,004,566 shares
outstanding)..........................
$9.78
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share** ($74,283 / 7,594 shares
outstanding).......................... $9.78
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized depreciation of investment
securities was comprised of gross appreciation of $461 and gross depreciation
of $498 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $24,518.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations South Carolina Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
MBIA 17.80%
Nations South Carolina Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Industrial Development Revenue/
Pollution Control Revenue 27.76%
Hospital Revenue 11.97%
SEE NOTES TO FINANCIAL STATEMENTS.
97
<PAGE> 102
NATIONS FUNDS
Nations Tennessee Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 97.0%
TENNESSEE -- 92.7%
$1,000 Anderson County, Tennessee,
Health and Educational
Facilities Board, Revenue
Refunding, (Methodist
Medical Center - Oak
Ridge Project) Series
1993,
5.40% 07/01/04........... A1 NR $ 1,014
1,300 Chattanooga, Tennessee,
Industrial Development
Board, Industrial
Revenue, (Southern
Foundry Supply Inc.
Project) Series 1996,
AMT, (SunTrust Bank
Nashville LOC),
3.90% 10/01/06........... Aa3 NR 1,300
1,700 Chattanooga-Hamilton
County, Tennessee,
Hospital Authority
Revenue Refunding,
(Erlanger Medical Center
Project) Series 1993,
(FSA Insured),
5.38% 10/01/04........... Aaa AAA 1,761
1,000 Chattanooga-Hamilton
County, Tennessee,
Hospital Authority,
Revenue Refunding,
(Erlanger Medical Center
Project) Series 1993,
(FSA Insured),
5.50% 10/01/07........... Aaa AAA 1,039
1,000 Dickson County, Tennessee,
GO, Series 1997, (FGIC
Insured),
5.00% 04/01/18........... Aaa NR 912
1,750 Hamilton County, Tennessee,
GO, Series 1994,
5.00% 07/01/01........... Aa2 NR 1,776
1,145 Harpeth Valley, Tennessee,
Utilities District,
Revenue Refunding, Series
1993,
5.00% 09/01/01........... A1 A 1,163
1,600 Knox County, Tennessee,
Health Educational and
Housing Facilities Board,
Hospital Facilities
Improvement Revenue
Refunding, (Baptist
Health System of East
Tennessee, Inc. Project)
Series 1996, (CONNIE LEE
Insured),
5.50% 04/15/11........... NR AAA 1,601
2,000 Knox County, Tennessee,
Health Educational and
Housing Facilities Board,
Revenue, (University
Health Systems Inc.
Project) Series 1999,
5.75% 04/01/19........... Baa1 NR 1,871
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$1,250 Knox County, Tennessee,
Public Improvement GO,
Series 1998,
4.75% 04/01/19........... Aa2 AA $ 1,091
500 Madison County, Tennessee,
GO, Series 1992A,
5.85% 08/01/03........... A1 NR 524
2,270 Maury County, Tennessee,
Industrial Development
Board, Multi-Modal PCR
Refunding, (General
Motors Corporation -
Saturn Corporation
Project) Series 1994,
6.50% 09/01/24........... A2 A 2,372
1,800 McMinn County, Tennessee,
Industrial Development
Board, PCR Refunding,
(Bowater Inc. Project)
Series 1991,
6.85% 04/01/01........... Baa1 BBB 1,857
1,000 McMinn County, Tennessee,
Industrial Development
Board, Recycling
Facilities Revenue,
(Bowater Inc. Project)
Series 1992, AMT,
7.40% 12/01/22........... Baa1 BBB 1,070
1,000 Memphis, Tennessee,
Electric System Revenue
Refunding, Series 1992,
6.00% 01/01/05........... Aa3 AA 1,062
1,500 Memphis, Tennessee, Water
Division, Revenue
Refunding, Series 1992,
5.90% 01/01/04........... Aa1 AA 1,579
1,000 Memphis-Shelby County,
Tennessee, Airport
Authority, Special
Facilities and Project
Revenue Refunding,
(Federal Express
Corporation Project)
Series 1992, AMT,
6.75% 09/01/12........... Baa2 BBB 1,058
1,000 Metropolitan Government,
Nashville and Davidson
County, Tennessee, Multi-
Family Housing Revenue,
(Enchantment, Inc. -
Welch Bend Apartments
Project) Series 1996A,
(FNMA COLL), Mandatory
Put 01/01/07 @ 100,
5.50% 01/01/27........... NR AAA 1,021
750.... Metropolitan Government,
Nashville and Davidson
County, Tennessee, GO
Refunding, Series 1993,
5.25% 05/15/07........... Aa2 AA 769
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
98
<PAGE> 103
NATIONS FUNDS
Nations Tennessee Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$ 505 Metropolitan Government,
Nashville and Davidson
County, Tennessee, Health
and Educational
Facilities Board,
Improvement Revenue
Refunding, (Meharry
Medical College Project)
Series 1996, (AMBAC
Insured),
6.00% 12/01/08........... Aaa AAA $ 542
295 Metropolitan Government,
Nashville and Davidson
County, Tennessee, Health
and Educational
Facilities Board,
Improvement Revenue
Refunding, (Meharry
Medical College Project)
Series 1996, (AMBAC
Insured),
6.00% 12/01/09........... Aaa AAA 316
600 Metropolitan Government,
Nashville and Davidson
County, Tennessee, Water
and Sewer Revenue
Refunding, Series 1993,
(FGIC Insured),
6.50% 01/01/10........... Aaa AAA 665
2,000 Metropolitan Nashville,
Tennessee, Airport
Authority, Special
Facilities Revenue,
(American Airlines, Inc.
Project) Series 1995B,
(Bayerische Landesbank
LOC),
2.70% 10/01/12**......... NR A1+ 2,000
1,645 Rutherford County,
Tennessee, Public
Improvement GO, Series
1996,
6.00% 04/01/06........... Aa2 AA 1,760
1,000 Shelby County, Tennessee,
GO Refunding, Series
1993A,
5.00% 03/01/03........... Aa3 AA+ 1,019
1,280 Shelby County, Tennessee,
GO Refunding, Series
1996B,
5.20% 12/01/09........... Aa3 AA+ 1,295
260 Shelby County, Tennessee,
GO, Unrefunded Balance,
Series 1992B,
6.00% 03/01/08........... Aa3 AA+ 270
500 Shelby County, Tennessee,
Health Educational and
Housing Facilities Board,
Revenue, (Methodist
Health Systems, Inc.
Project) Series 1995,
(MBIA Insured),
6.25% 08/01/09........... Aaa AAA 543
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$2,000 Shelby County, Tennessee,
Health Educational and
Housing Facilities Board,
Revenue, (St. Jude's
Childrens Research
Project) Series 1999,
5.38% 07/01/24........... NR AA $ 1,862
520 Shelby County, Tennessee,
Health Educational and
Revenue, (Lebonheur
Childrens Medical Center
Project) Series 1993D,
(MBIA Insured),
5.30% 08/15/04........... Aaa AAA 537
500 Shelby County, Tennessee,
Public Improvement GO,
Series 1996A,
5.63% 06/01/06........... Aa3 AA+ 525
1,000 Sumner County, Tennessee,
Resource Authority
Revenue, Series 1993,
(AMBAC Insured),
5.13% 08/01/03........... Aaa AAA 1,024
1,500 Tennergy Corporation,
Tennessee, Gas Revenue,
Series 1999, (MBIA
Insured),
5.00% 06/01/07........... Aaa AAA 1,508
2,500 Tennessee Housing
Development Agency,
Homeownership Revenue,
Series 1997-3A, AMT,
5.48%+ 01/01/08.......... Aa2 AA 1,609
990 Tennessee Housing
Development Agency,
Mortgage Finance Revenue,
Series 1993A, AMT,
5.10% 07/01/01........... A1 A+ 996
200 Tennessee Housing
Development Agency,
Mortgage Finance Revenue,
Series 1994A, AMT,
6.30% 01/01/08........... A1 A+ 203
1,000 Tennessee State, GO, Series
1994A,
5.20% 03/01/05........... Aaa AAA 1,041
1,000 Tennessee State, GO, Series
1995A,
7.00% 03/01/03........... Aaa AAA 1,082
500 Tennessee State, School
Board Authority, Higher
Education Facilities
Revenue, Series 1992A,
6.00% 05/01/05........... Aa2 AA+ 527
300 Tennessee, Housing
Development Agency,
Mortgage Finance Revenue,
Series 1994B, AMT,
6.55% 07/01/19........... A1 A+ 307
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
99
<PAGE> 104
NATIONS FUNDS
Nations Tennessee Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$ 495 Tennessee, Housing
Development Agency,
Revenue, (Home Ownership
Program) Series 1996,
AMT,
5.85% 07/01/17........... Aa2 AA $ 493
1,120 Tennessee, Housing
Development Agency,
Revenue, (Home Ownership
Program) Series 1997,
AMT,
4.93%+ 07/01/03.......... Aa2 AA 933
1,215 Tennessee, Housing
Development Agency,
Revenue, (Home Ownership
Program) Series 1997,
AMT,
5.03%+ 07/01/04.......... Aa2 AA 959
1,085 Tennessee, Housing
Development Agency,
Revenue, (Home Ownership
Program) Series 1998,
AMT,
4.75% 07/01/08........... Aa2 AA 1,042
1,135 Tennessee, Housing
Development Agency,
Revenue, (Home Ownership
Program) Series 1998,
AMT,
4.85% 07/01/09........... Aa2 AA 1,086
-------
48,984
-------
MISSOURI -- 2.3%
1,275 West Plains, Missouri,
Industrial Development
Authority, Hospital
Revenue, (Ozarks Medical
Center Project) Series
1997,
5.25% 11/15/07........... NR BB+ 1,234
-------
PUERTO RICO -- 2.0%
600 Puerto Rico, Electric Power
Authority, Power Revenue,
Series 1991P,
6.75% 07/01/03........... Baa1 BBB+ 634
390 Puerto Rico, Housing Bank
and Finance Agency,
Single-Family Mortgage
Revenue, (Affordable
Housing
Mortgage-Portfolio I)
Series 1995, AMT,
(GNMA/FNMA/FHLMC COLL),
5.45% 04/01/05........... Aaa AAA 397
-------
1,031
-------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $50,909)........................... 51,249
-------
</TABLE>
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- -----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 5.1%
(Cost $2,682)
2,682 AIM Tax-Exempt Fund..................... $ 2,682
-------
TOTAL INVESTMENTS
(Cost $53,591*)................ 102.1% 53,931
-------
OTHER ASSETS AND
LIABILITIES (NET).............. (2.1)%
Receivable for Fund shares sold......... $ 4
Interest receivable..................... 751
Prepaid expenses........................ 7
Investment advisory fee payable......... (1)
Administration fee payable.............. (9)
Shareholder servicing and distribution
fees payable.......................... (4)
Distributions payable................... (193)
Payable for investment securities
purchased............................. (1,599)
Accrued Trustees' fees and expenses..... (12)
Accrued expenses and other
liabilities........................... (66)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)..................... (1,122)
-------
NET ASSETS....................... 100.0% $52,809
=======
NET ASSETS CONSIST OF:
Undistributed net investment income..... $ 4
Accumulated net realized loss on
investments sold...................... (265)
Net unrealized appreciation of
investments........................... 340
Paid-in capital......................... 52,730
-------
NET ASSETS.............................. $52,809
=======
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
100
<PAGE> 105
NATIONS FUNDS
Nations Tennessee Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
- -----------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and redemption
price per share
($41,075,586 / 4,084,026 shares
outstanding).......................... $10.06
------
------
INVESTOR A SHARES:
Net asset value and redemption price per
share ($8,801,410 / 875,138 shares
outstanding).......................... $10.06
------
------
Maximum sales charge.................... 3.25%
Maximum offering price per share........ $10.40
INVESTOR B SHARES:
Net asset value and offering price per
share** ($2,900,085 / 288,347 shares
outstanding).......................... $10.06
------
------
INVESTOR C SHARES:
Net asset value and offering price per
share** ($31,747 / 3,158 shares
outstanding).......................... $10.05
------
------
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $873 and gross depreciation
of $533 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $53,591.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Tennessee Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Hospital Revenue 20.25%
Housing Revenue 16.79%
Industrial Development Revenue/
Pollution Control Revenue 15.49%
SEE NOTES TO FINANCIAL STATEMENTS.
101
<PAGE> 106
NATIONS FUNDS
Nations Tennessee Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 92.5%
TENNESSEE -- 89.6%
$ 500 Blount County, Tennessee,
Public Building
Authority, Public
Facility Revenue, Series
1998, (FGIC Insured),
5.00% 04/01/19.......... Aaa NR $ 448
250 Chattanooga-Hamilton
County, Tennessee,
Hospital Authority,
Revenue Refunding,
(Erlanger Medical Center
Project) Series 1993,
(FSA Insured),
5.50% 10/01/07.......... Aaa AAA 260
740 Hamilton County,
Tennessee, Refunding,
GO, Series 1998B,
5.10% 08/01/24.......... Aa2 NR 676
575 Humphreys County,
Tennessee, Industrial
Development Board, Solid
Waste Disposal, (E.I.
duPont de Nemours and
Company Project) Series
1994, AMT,
6.70% 05/01/24.......... Aa3 AA- 613
400 Knox County, Tennessee,
Health Educational and
Housing Facilities
Board, Hospital
Facilities Improvement
Revenue Refunding,
(Baptist Health System
of East Tennessee, Inc.
Project) Series 1996,
(CONNIE LEE Insured),
5.50% 04/15/11.......... NR AAA 400
300 Knox County, Tennessee,
Health Educational and
Housing Facilities
Board, Revenue
Refunding, (Fort Sanders
Alliance Project) Series
1993, (MBIA Insured),
7.25% 01/01/09.......... Aaa AAA 347
500 Knox County, Tennessee,
Health Educational and
Housing Facilities
Board, Revenue,
(University Health
Systems Inc. Project)
Series 1999,
5.75% 04/01/19.......... Baa1 NR 468
200 Loudon County, Tennessee,
Industrial Development
Board, Solid Waste
Disposal Revenue,
(Kimberly-Clark
Corporation Project)
Series 1993, AMT,
6.20% 02/01/23.......... Aa2 AA 203
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$ 500 Maury County, Tennessee,
Industrial Development
Board, Multi-Modal PCR
Refunding, (General
Motors
Corporation - Saturn
Corporation Project)
Series 1994,
6.50% 09/01/24.......... A2 A $ 522
250 McMinn County, Tennessee,
Industrial Development
Board, Recycling
Facilities Revenue,
(Bowater Inc. Project)
Series 1992, AMT,
7.40% 12/01/22.......... Baa1 BBB 267
300 Memphis, Tennessee,
Electric System Revenue
Refunding, Series 1993,
4.90% 01/01/11.......... Aa3 AA 291
250 Memphis-Shelby County,
Tennessee, Airport
Authority, Special
Facilities and Project
Revenue Refunding,
(Federal Express
Corporation Project)
Series 1992, AMT,
6.75% 09/01/12.......... Baa2 BBB 264
100 Memphis-Shelby County,
Tennessee, Airport
Authority, Special
Facilities and Project
Revenue Refunding,
(Federal Express
Corporation Project)
Series 1993, AMT,
6.20% 07/01/14.......... Baa2 BBB 101
700 Memphis-Shelby County,
Tennessee, Airport
Authority, Special
Facilities and Project
Revenue Refunding,
(Federal Express
Corporation Project)
Series 1997,
5.35% 09/01/12.......... Baa2 BBB 683
250 Metropolitan Government,
Nashville and Davidson
County, Revenue,
(Meharry Medical College
Project) Series 1994,
(AMBAC Insured),
Prerefunded 12/01/04 @
102,
7.00% 12/01/11.......... Aaa AAA 282
350 Metropolitan Government,
Nashville and Davidson
County, Tennessee,
Electric Revenue, Series
1996A,
5.63% 05/15/14.......... Aa3 AA 353
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
102
<PAGE> 107
NATIONS FUNDS
Nations Tennessee Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$ 250 Metropolitan Government,
Nashville and Davidson
County, Tennessee, GO
Refunding, Series 1993,
5.25% 05/15/07.......... Aa2 AA $ 256
500 Metropolitan Government,
Nashville and Davidson
County, Tennessee,
Health and Educational
Facilities Board,
Improvement Revenue
Refunding, (Meharry
Medical College Project)
Series 1996, (AMBAC
Insured),
6.00% 12/01/16.......... Aaa AAA 525
300 Metropolitan Government,
Nashville and Davidson
County, Tennessee,
Health and Educational
Facilities Board,
Improvement Revenue
Refunding, (Meharry
Medical College Project)
Series 1996, (AMBAC
Insured),
6.00% 12/01/09.......... Aaa AAA 322
300 Metropolitan Government,
Nashville and Davidson
County, Tennessee, Water
and Sewer Revenue
Refunding, Series 1993,
(FGIC Insured),
6.50% 01/01/10.......... Aaa AAA 333
300 Metropolitan Government,
Nashville and Davidson
County, Tennessee, Water
and Sewer Revenue
Refunding, Series 1993,
(FGIC Insured),
5.20% 01/01/13.......... Aaa AAA 295
400 Shelby County, Tennessee,
Public Improvement GO
Refunding, Series 1999A,
4.75% 05/01/21.......... Aa3 AA+ 345
250 Sumner County, Tennessee,
Health Educational and
Housing Facilities
Board, Revenue
Refunding, (Sumner
Regional Health Systems,
Inc. Project) Series
1994,
7.00% 11/01/03.......... NR A- 266
250 Tennessee State, Local
Development Authority,
Revenue Refunding,
(State Loan Program)
Series 1993A,
5.75% 03/01/11.......... A2 AA 254
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- (CONTINUED)
$ 185 Tennessee, Housing
Development Agency,
Revenue, (Home Ownership
Program) Series 1996,
AMT,
5.85% 07/01/17.......... Aa2 AA $ 184
-------
8,958
-------
PUERTO RICO -- 2.9%
300 Puerto Rico, Public
Buildings Authority,
Guaranteed Public
Education and Health
Facilities Revenue
Refunding, Series 1993M,
5.50% 07/01/21.......... Baa1 A 289
-------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $9,188)........................... 9,247
-------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- -------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 6.5%
508 AIM Tax-Exempt Fund.................... 508
137 Nuveen Tax-Exempt Fund................. 137
-------
TOTAL INVESTMENT COMPANIES
(Cost $645)................... 645
-------
TOTAL INVESTMENTS
(Cost $9,833*)................ 99.0% 9,892
-------
OTHER ASSETS AND
LIABILITIES (NET)............. 1.0%
Cash................................... $ 1
Receivable for investment securities
sold................................. 137
Interest receivable.................... 157
Receivable from investment advisor..... 5
Prepaid expenses....................... 7
Administration fee payable............. (2)
Distributions payable.................. (38)
Payable for investment securities
purchased............................ (137)
Accrued Trustees' fees and expenses.... (12)
Accrued expenses and other
liabilities.......................... (16)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET).................... 102
-------
NET ASSETS...................... 100.0% $ 9,994
=======
NET ASSETS CONSIST OF:
Undistributed net investment income.... $ 24
Accumulated net realized loss on
investments sold..................... (90)
Net unrealized appreciation of
investments.......................... 59
Paid-in capital........................ 10,001
-------
NET ASSETS............................. $ 9,994
=======
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
103
<PAGE> 108
NATIONS FUNDS
Nations Tennessee Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
VALUE
- ------------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and redemption
price per share ($5,033,716 / 516,571
shares outstanding)................... $9.74
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price per
share ($667,264 / 68,471 shares
outstanding).......................... $9.75
-----
-----
Maximum sales charge.................... 4.75%
Maximum offering price per share........ $10.24
INVESTOR B SHARES:
Net asset value and offering price per
share** ($4,227,665 / 433,846 shares
outstanding).......................... $9.74
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share** ($64,883 / 6,659 shares
outstanding).......................... $9.74
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $239 and gross depreciation
of $180 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $9,833.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Tennessee Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
AMBAC 11.30%
FGIC 10.77%
Nations Tennessee Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Industrial Development Revenue/
Pollution Control Revenue 26.83%
Hospital Revenue 17.60%
SEE NOTES TO FINANCIAL STATEMENTS.
104
<PAGE> 109
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 99.2%
TEXAS -- 86.7%
$ 1,450 Alliance Airport
Authority Inc., Texas,
Special Facilities
Revenue, (American
Corporation-American
Airlines Inc. Project)
Series 1991, AMT,
7.00% 12/01/11......... Baa2 BBB- $ 1,598
750 Amarillo, Texas, Junior
College District, GO,
Series 1995, (FGIC
Insured),
7.60% 02/15/06......... Aaa AAA 847
1,375 Arlington, Texas,
Independent School
District, GO, Series
1991A, (PSFG Insured),
6.38% 08/15/01......... Aaa NR 1,430
1,500 Arlington, Texas,
Independent School
District, GO, Series
1992, (PSFG Insured),
Prerefunded 02/15/02 @
100,
6.10% 02/15/05......... Aaa NR 1,560
1,060 Arlington, Texas,
Independent School
District, GO,
Unrefunded Balance,
Series 1992, (PSFG
Insured),
5.80% 02/15/02......... Aaa NR 1,096
1,775 Arlington, Texas,
Independent School
District, GO,
Unrefunded Balance,
Series 1992, (PSFG
Insured),
6.10% 02/15/05......... Aaa NR 1,837
500 Arlington, Texas,
Independent School
District, Prerefunded,
GO, Series 1990,
6.75% 08/15/00......... Aa3 NR 513
500 Arlington, Texas,
Independent School
District, Unrefunded
Balance, GO, Series
1990,
6.75% 08/15/00......... Aa3 NR 513
1,000 Arlington, Texas,
Waterworks and Sewer
Improvement Revenue
Refunding, Series 1992,
(FGIC Insured),
6.10% 06/01/02......... Aaa AAA 1,045
2,100 Athens, Texas,
Independent School
District, GO, Series
1999, (PSFG Insured),
5.25% 08/15/20......... NR AAA 1,949
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 5,750 Austin, Texas, GO
Refunding, Series 1993,
5.50% 09/01/04......... Aa2 AA $ 5,994
965 Austin, Texas, GO,
Unrefunded Balance,
Series 1991A,
8.88% 09/01/00......... Aa2 AA 1,008
2,000 Austin, Texas, Public
Improvement GO, Series
1992, (AMBAC Insured),
Prerefunded 09/01/02 @
100,
5.90% 09/01/05......... Aaa AAA 2,087
4,275 Austin, Texas, Utility
System Revenue
Refunding, Series 1992,
(AMBAC Insured),
6.25% 11/15/03......... Aaa AAA 4,557
3,000 Austin, Texas, Utility
System Revenue
Refunding, Series 1992,
(AMBAC Insured),
6.25% 11/15/05......... Aaa AAA 3,202
965 Brazos, Texas, Higher
Education Authority
Inc., Revenue
Refunding, Senior Lien,
Series 1994A-2, AMT,
(GTD STD LNS),
6.05% 06/01/03......... Aaa NR 1,003
4,365 Cass County, Texas,
Industrial Development
Corporation,
Environmental Revenue,
(International Paper
Corporation Project)
Series 1997A, AMT,
(GTY-AGMT),
6.25% 04/01/21......... A3 BBB+ 4,420
3,525 Clear Creek, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
5.38% 02/01/06......... Aaa AAA 3,620
1,500 Dallas, Texas, Civic
Center Convention
Revenue, Senior Lien,
Series 1991, (AMBAC
Insured), Prerefunded
01/01/01 @ 100,
6.38% 01/01/02......... Aaa AAA 1,541
3,000 Dallas, Texas, GO
Refunding, Series 1992,
5.60% 02/15/01......... Aaa AAA 3,059
2,860 Dallas, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
5.60% 08/15/05......... Aaa AAA 2,956
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
105
<PAGE> 110
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 2,940 Dallas, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
5.70% 08/15/06......... Aaa AAA $ 3,039
1,565 Dallas, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
Prerefunded 08/15/03 @
100,
5.60% 08/15/05......... Aaa AAA 1,630
1,575 Dallas, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
Prerefunded 08/15/03 @
100,
5.60% 08/15/05......... Aaa AAA 1,641
1,550 Dallas, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
Prerefunded 08/15/03 @
100,
5.70% 08/15/06......... Aaa AAA 1,620
1,510 Dallas, Texas,
Independent School
District, GO, Series
1993, (PSFG Insured),
Prerefunded 08/15/03 @
100,
5.70% 08/15/06......... Aaa AAA 1,578
5,000 Dallas-Fort Worth, Texas,
Regional Airport
Revenue Refunding,
(Dallas-Fort Worth
Airport Project) Series
1994A,
(MBIA Insured),
5.40% 11/01/03......... Aaa AAA 5,180
500 Denton, Texas, Health
Facilities Development
Revenue Refunding,
(Evangelical Lutheran
Good Samaritan Society
Project) Series 1994,
(AMBAC Insured),
6.00% 05/01/05......... Aaa AAA 529
1,395 El Paso, Texas, GO
Refunding, Series
1992C, (FGIC Insured),
5.70% 08/15/03......... Aaa AAA 1,442
3,500 Fort Worth, Texas, GO
Refunding, Series
1992A,
5.30% 03/01/01......... Aa2 AA 3,557
3,500 Fort Worth, Texas, Higher
Education Finance
Corporation, Higher
Education Revenue,
(Texas Christian
University Project)
Series 1997,
5.00% 03/15/20......... Aa3 AA- 3,125
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 2,000 Garland, Texas, Utility
Systems Revenue
Refunding, Series 1992,
(AMBAC Insured),
5.90% 03/01/02......... Aaa AAA $ 2,071
5,000 Gulf Coast Waste Disposal
Authority, Texas,
Revenue, (Champion
International
Corporation Project)
Series 1992A, AMT,
6.88% 12/01/28......... Baa1 BBB 5,287
3,000 Harris County, Texas,
Flood Control District
GO Refunding, Series
1991,
6.25% 10/01/04......... Aa1 AA 3,107
1,115 Harris County, Texas,
Flood Control District,
GO, Series 1992A,
5.80% 10/01/03......... Aa2 AA 1,158
1,000 Harris County, Texas,
Health Facilities
Development Authority,
Revenue, (Memorial
Hospital Systems
Project)
Series 1992,
6.70% 06/01/00......... A3 NR 1,019
2,655 Harris County, Texas,
Health Facilities
Development Authority,
Revenue, (Memorial
Hospital Systems
Project) Series 1997A,
(MBIA Insured),
6.00% 06/01/10......... Aaa AAA 2,827
2,000 Harris County, Texas,
Health Facilities
Development Authority,
Revenue, Series 1999A,
5.50% 07/01/09......... Aaa AAA 2,051
2,000 Harris County, Texas,
Health Facilities
Development
Corporation, Revenue,
(Christus Health
Project) Series 1999A,
(MBIA Insured),
5.50% 07/01/10......... Aaa AAA 2,039
7,185 Harris County, Texas,
Toll Road Revenue
Refunding, Senior Lien,
Series 1994, (FGIC
Insured),
5.00% 08/15/16......... Aaa AAA 6,585
3,380 Harris County, Texas,
Toll Road Revenue
Refunding, Senior Lien,
Series 1994, (FGIC
Insured),
5.38% 08/15/20......... Aaa AAA 3,207
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
106
<PAGE> 111
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 3,305 Houston, Texas, Airport
Systems Revenue,
Subordinate Lien,
Series 1998A, AMT,
(FGIC Insured),
6.00% 07/01/07......... Aaa AAA $ 3,482
5,500 Houston, Texas, Airport
Systems Revenue,
Subordinate Lien,
Series 1998C, (FGIC
Insured),
5.00% 07/01/25......... Aaa AAA 4,783
1,305 Houston, Texas, GO
Refunding, Series
1992C, Prerefunded
03/01/02 @ 100,
6.00% 03/01/05......... Aa3 AA- 1,355
3,085 Houston, Texas, GO,
Unrefunded Balance,
Series 1992C,
6.00% 03/01/05......... Aa3 AA- 3,187
5,000 Houston, Texas,
Independent School
District, GO Refunding,
Series 1993, (PSFG
Insured),
5.40% 08/15/07......... Aaa AAA 5,092
1,025 Houston, Texas, Public
Improvement GO, Series
1991A, Prerefunded
04/01/01 @ 100,
6.60% 04/01/05......... Aa3 AA- 1,061
1,305 Houston, Texas, Public
Improvement GO, Series
1991A, Prerefunded
04/01/01 @ 100,
6.60% 04/01/06......... Aa3 AA- 1,351
3,000 Houston, Texas, Water and
Sewer Systems Revenue
Refunding, Junior Lien,
Series 1997D, (FGIC
Insured),
5.00% 12/01/25......... Aaa AAA 2,628
6,145 Houston, Texas, Water and
Sewer Systems Revenue,
Unrefunded Balance,
Prior Lien, Series
1992B, 5.90%
12/01/03............... A3 A+ 6,447
2,000 Lewisville, Texas,
Independent School
District, GO Refunding,
Series 1992, (PSFG
Insured),
6.00% 08/15/00......... Aaa NR 2,038
2,000 Lewisville, Texas,
Independent School
District, GO Refunding,
Series 1992, (PSFG
Insured),
6.10% 08/15/02......... Aaa NR 2,094
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 1,085 Lewisville, Texas,
Independent School
District, GO Refunding,
Series 1992, (PSFG
Insured), Prerefunded
08/15/02 @ 100,
6.25% 08/15/05......... Aaa NR $ 1,142
3,815 Lewisville, Texas,
Independent School
District, GO,
Unrefunded Balance,
Series 1992, (PSFG
Insured),
6.25% 08/15/05......... Aaa NR 3,990
12,000 Lower Colorado River
Authority, Texas,
Revenue Refunding,
Junior Lien,
(Fifth-Supply Project)
Series 1993, (AMBAC
Insured),
5.30% 01/01/06......... Aaa AAA 12,539
1,000 Lubbock, Texas,
Independent School
District, GO, Series
1991A, (PSFG Insured),
Prerefunded 08/15/00 @
100,
6.30% 08/15/04......... NR AAA 1,022
620 Mesquite, Texas,
Independent School
District 1, GO
Refunding, Series 1992,
(PSFG Insured),
Prerefunded 02/15/02 @
100,
5.75% 08/15/03......... Aaa AAA 640
5,000 Mesquite, Texas,
Independent School
District 1, GO
Refunding, Series 1993,
(PSFG Insured),
5.30% 08/15/06......... Aaa AAA 5,114
1,380 Mesquite, Texas,
Independent School
District 1, GO,
Unrefunded Balance,
Series 1992, (PSFG
Insured),
5.75% 08/15/03......... Aaa AAA 1,421
5,000 North Central Texas,
Health Facilities
Development
Corporation, Health
Facilities Revenue,
(Presbyterian
Healthcare Residential
Project) Series 1996B,
(MBIA Insured),
5.50% 06/01/16......... Aaa AAA 4,973
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
107
<PAGE> 112
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 7,000 North Central, Texas,
Health Facilities
Development
Corporation, Revenue
Refunding, (Baylor
Health Care Systems
Project) Series 1995,
5.50% 05/15/13......... Aa3 AA $ 6,946
2,375 North East, Texas,
Independent School
District, GO, Series
1997, (PSFG Insured),
6.50% 02/01/07......... Aaa AAA 2,607
1,355 North Texas, Dallas
Highway Authority,
North Texas Highway
Systems Revenue, Series
1998, (FGIC Insured),
4.75% 01/01/17......... Aaa AAA 1,188
1,320 Pearland, Texas,
Independent School
District, GO Refunding,
Series 1998, (PSFG
Insured),
5.20%+ 02/15/08........ Aaa AAA 859
5,000 Plano, Texas, Independent
School District GO
Refunding, Series 1994,
(PSFG Insured),
4.75% 02/15/07......... Aaa AAA 4,964
1,835 Plano, Texas, Independent
School District, GO,
Series 1995, (PSFG
Insured),
7.00% 02/15/05......... Aaa AAA 2,031
1,000 Port of Houston Authority
of Harris County,
Texas, Revenue
Refunding, Series 1992,
(MBIA Insured),
6.30% 05/01/04......... Aaa AAA 1,041
4,000 Red River Authority,
Texas, PCR Refunding,
Series 1991, (AMBAC
Insured),
5.20% 07/01/11......... Aaa AAA 3,928
3,615 Richardson, Texas, GO
Refunding, Series 1998,
5.50% 02/15/09......... Aa2 AA 3,725
5,625 Sabine River Authority,
Texas, Water Supply
Facilities Revenue
Refunding, (Lake Fork
Project) Series 1991,
6.50% 12/01/00......... NR AA 5,792
465 San Antonio, Texas,
Refunding GO, Series
1992, Prerefunded
08/01/02 @ 100,
5.50% 08/01/05......... Aa2 AA+ 479
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 4,185 San Antonio, Texas,
Unrefunded GO, Series
1992,
5.50% 08/01/05......... Aa2 AA+ $ 4,277
3,500 Tarrant County, Texas,
Health Facilities
Development
Corporation, Health
Systems Revenue, (Texas
Health Resources
Systems Project) Series
1997A, (MBIA Insured),
5.75% 02/15/11......... Aaa AAA 3,593
3,300 Tarrant County, Texas,
Health Facilities
Development
Corporation, Health
Systems Revenue, (Texas
Health Resources
Systems Project) Series
1997A, (MBIA Insured),
5.75% 02/15/08......... Aaa AAA 3,442
2,200 Tarrant County, Texas,
Water Control and
Improvement District
Number 1, Water Revenue
Refunding, Series 1992,
5.70% 03/01/01......... A1 AA 2,247
5,000 Tarrant County, Texas,
Water Control and
Improvement District
Number 1, Water Revenue
Refunding, Series 1992,
Prerefunded 03/01/01 @
100,
5.90% 03/01/03......... Aaa AA 5,121
500 Texas State, College
Student Loan Authority,
GO, Series 1994, AMT,
5.75% 08/01/11......... Aa1 AA 501
1,000 Texas State, College
Student Loan Authority,
GO, Series 1996, AMT,
5.00% 08/01/12......... Aa1 AA 953
6,835 Texas State, College
Student Loan Authority,
GO, Series 1997, (GTD
STD LNS),
5.25% 08/01/07......... Aa1 AA 6,953
2,640 Texas State, College
Student Loan Authority,
GO, Series 1999, AMT,
5.00% 08/01/05......... Aa1 AA 6,953
3,565 Texas State, College
Student Loan Authority,
GO, Series 1999, AMT,
5.00% 08/01/07......... Aa1 AA 3,569
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
108
<PAGE> 113
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 5,515 Texas State, Department
of Housing and
Community Affairs,
Single-Family Revenue,
Series 1997A-1, AMT,
(GNMA/FNMA COLL), (MBIA
Insured),
5.25% 09/01/13......... Aaa AAA $ 5,396
5,000 Texas State, GO
Refunding, Series
1992A,
5.80% 10/01/04......... Aa1 AA 5,286
5,000 Texas State, Public
Finance Authority,
Building Revenue
Refunding, Series
1992B, (AMBAC Insured),
6.10% 02/01/04......... Aaa AAA 5,307
1,200 Texas State, Public
Finance Authority, GO
Refunding, Series
1996C,
6.00% 10/01/06......... Aa AA 1,288
10,000 Texas State, Turnpike
Authority of Dallas,
North Tollway Revenue,
(President George Bush
Turnpike Project)
Series 1995, (FGIC
Insured),
5.25% 01/01/23......... Aaa AAA 9,217
3,250 Texas State, Turnpike
Authority of Dallas,
North Tollway Revenue,
(Zero Coupon President
George Bush Turnpike
Project) Series 1996,
(AMBAC Insured),
5.27%+ 01/01/09........ Aaa AAA 2,008
170 Texas State, Veterans
Housing Assistance GO,
Series 1994B-4, AMT,
6.20% 12/01/14......... Aa1 AA 171
1,850 Texas State, Water
Development GO, Series
1997,
5.50% 08/01/07......... Aa1 AA 1,927
5,000 Texas State, Water
Development GO, Series
1997,
5.25% 08/01/28......... Aa1 AA 4,571
1,000 Texas State, Water
Development GO, Series
1997D,
5.00% 08/01/19......... Aa1 AA 905
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 6,000 Texas, Municipal Power
Agency, Revenue
Refunding, Series 1992,
(MBIA Insured),
Prerefunded 09/01/02 @
102,
5.90% 09/01/04......... Aaa AAA $ 6,368
15,000 Texas, Municipal Power
Agency, Revenue
Refunding, Series 1993,
(MBIA Insured),
5.25% 09/01/05......... Aaa AAA 15,378
2,525 Texas, Water Development
Board, State Revolving
Fund Revenue, Senior
Lien, Series 1998A,
5.25% 07/15/11......... Aa1 AAA 2,530
4,000 Travis County, Texas,
Limited Tax GO
Refunding, Series
1991A, (MBIA Insured),
6.00% 03/01/00......... Aaa AAA 4,038
3,250 Travis County, Texas,
Limited Tax GO
Refunding, Series
1992A, (MBIA Insured),
5.50% 03/01/03......... Aaa AAA 3,360
3,500 Travis County, Texas,
Limited Tax GO
Refunding, Series
1992A, (MBIA Insured),
5.60% 03/01/04......... Aaa AAA 3,617
1,500 Travis County, Texas,
Limited Tax GO
Refunding, Series
1992A, (MBIA Insured),
5.75% 03/01/06......... Aaa AAA 1,546
2,750 Trinity River Authority,
Texas, Regional
Wastewater Systems
Revenue, Series 1989,
(AMBAC Insured),
7.00% 08/01/00......... Aaa AAA 2,822
3,885 Trinity River Authority,
Texas, Ten Mile
Revenue, Series 1992,
(AMBAC Insured),
5.70% 08/01/03......... Aaa AAA 4,015
7,000 University of Texas,
Permanent University
Fund, Revenue, Series
1997, (PUFG Insured),
5.25% 07/01/12......... Aaa AAA 6,979
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
109
<PAGE> 114
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 2,500 University of Texas,
University Finance
Systems Revenue, Series
1998B,
4.50% 08/15/13......... Aa1 AAA $ 2,233
3,890 University of Texas,
University Finance
Systems Revenue, Series
1998D,
5.00% 08/15/07......... Aa1 AAA 3,925
--------
322,658
--------
ALABAMA -- 0.8%
3,000 Courtland, Alabama,
Industrial Development
Board, Solid Waste
Disposal Revenue,
(Champion International
Corporation Project)
Series 1992,
7.00% 06/01/22......... Baa1 BBB 3,152
--------
ALASKA -- 0.9%
4,725 North Slope Borough,
Alaska, Capital
Appreciation GO, Series
1995A, (MBIA Insured),
5.00%+ 06/30/06........ Aaa AAA 3,386
--------
ARIZONA -- 0.6%
2,100 Coconino County, Arizona,
Unified School District
Number 1, GO Refunding,
Series 1992, (AMBAC
Insured),
5.80% 07/01/02......... Aaa AAA 2,144
--------
CONNECTICUT -- 1.4%
5,000 Connecticut State, GO,
Series 1995A,
5.63% 03/15/09......... Aa3 AA 5,165
--------
FLORIDA -- 0.3%
1,000 Florida, Housing Finance
Agency, Multi-Family
Housing Revenue
Refunding, (United
Dominion Realty Trust -
Andover Project) Series
1996E, AMT, Mandatory
Put 05/01/08 @ 100,
6.35% 05/01/26......... NR BBB+ 1,042
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
ILLINOIS -- 1.0%
$ 2,500 Illinois State, GO
Refunding, Series 1994,
4.40% 12/01/03......... Aa2 AA $ 2,494
1,100 Rosemont, Illinois, GO,
Series 1991B, (FGIC
Insured),
6.40% 02/01/03......... Aaa AAA 1,148
--------
3,642
--------
MAINE -- 0.6%
1,000 Bucksport, Maine, Solid
Waste Disposal Revenue,
(Champion International
Corporation Project)
Series 1985,
6.25% 05/01/10......... Baa1 BBB 1,036
1,000 Maine, Municipal Board
Bank, Revenue, Series
1990D,
7.10% 11/01/01......... Aa3 A+ 1,049
--------
2,085
--------
MICHIGAN -- 1.3%
4,600 Detroit, Michigan, GO
Refunding, Series
1995B,
6.50% 04/01/02......... Baa1 A- 4,799
--------
MISSOURI -- 0.3%
1,135 University of Missouri,
Health Facilities
Revenue, (University of
Missouri Health Systems
Project) Series 1997,
5.75% 11/01/07......... Aa2 AA 1,205
--------
NEVADA -- 0.5%
2,000 Nevada, Housing Division,
Single-Family Mortgage
Revenue, Series
1998A-1, AMT,
5.30% 04/01/18......... Aaa NR 1,860
--------
NEW JERSEY -- 1.5%
5,000 New Jersey State, GO
Refunding, Series
1996E,
6.00% 07/15/09......... Aa1 AA 5,391
--------
SOUTH CAROLINA -- 0.3%
1,000 Greenville Hospital
Systems, South
Carolina, Hospital
Facilities Revenue,
Series 1996B, (GTY-
AGMT),
5.25% 05/01/06......... Aa3 AA 1,016
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
110
<PAGE> 115
NATIONS FUNDS
Nations Texas Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TENNESSEE -- 0.9%
$ 3,135 Chattanooga-Hamilton
County, Tennessee,
Hospital Authority,
Revenue Refunding,
(Erlanger Medical
Center Project) Series
1993, (FSA Insured),
5.50% 10/01/07......... Aaa AAA $ 3,256
--------
WASHINGTON -- 2.1%
3,100 King County, Washington,
School District Number
414, GO, Series 1995,
5.30% 12/01/05......... Aa1 AA 3,193
2,000 Washington State, GO,
Series 1991B,
Prerefunded 06/01/01 @
100,
6.30% 06/01/02......... Aa1 AA 2,068
2,425 Washington State, GO,
Series 1995C,
5.45% 07/01/07......... Aa1 AA 2,492
--------
7,753
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $363,995).......................... 368,554
--------
</TABLE>
<TABLE>
<CAPTION>
SHARES
(000)
- ----------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 0.1%
(Cost $510)
510 AIM Tax-Exempt Fund.............. 510
--------
TOTAL INVESTMENTS
(Cost $364,505*)....... 99.3% 369,064
--------
OTHER ASSETS AND
LIABILITIES (NET)...... 0.7%
Receivable for investment
securities sold................ $ 225
Receivable for Fund shares
sold........................... 450
Dividends receivable............. 37
Interest receivable.............. 4,405
Prepaid expenses................. 3
Payable for Fund shares
redeemed....................... (675)
Investment advisory fee
payable........................ (63)
Administration fee payable....... (61)
Shareholder servicing and
distribution fees payable...... (1)
Distributions payable............ (1,488)
Accrued Trustees' fees and
expenses....................... (12)
Accrued expenses and other
liabilities.................... (92)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET).............. 2,728
--------
NET ASSETS............... 100.0% $371,792
========
</TABLE>
<TABLE>
<CAPTION>
VALUE
(000)
- ----------------------------------------------------------
- ----------
<C> <S> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment
income......................... $ 53
Accumulated net realized loss on
investments sold............... (816)
Net unrealized appreciation of
investments.................... 4,559
Paid-in capital.................. 367,996
--------
Net Assets....................... $371,792
========
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($363,045,896 / 35,970,523
shares outstanding)............ $10.09
------
------
INVESTOR A SHARES:
Net asset value and redemption
price per share
($6,639,372 / 657,851 shares
outstanding)................... $10.09
------
------
Maximum sales charge............. 3.25%
Maximum offering price per
share.......................... $10.43
INVESTOR B SHARES:
Net asset value and offering
price per share**
($2,104,179 / 208,489 shares
outstanding)................... $10.09
------
------
INVESTOR C SHARES:
Net asset value and offering
price per share** ($2,570 / 255
shares outstanding)............ $10.09
------
------
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $8,926 and gross
depreciation of $4,367 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$364,505.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Texas Intermediate Municipal Bond Fund had the following insurance
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
MBIA 17.80%
PSFG 17.20%
AMBAC 12.57%
Nations Texas Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Electric Revenue 11.29%
SEE NOTES TO FINANCIAL STATEMENTS.
111
<PAGE> 116
NATIONS FUNDS
Nations Texas Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 98.2%
TEXAS -- 90.9%
$ 400 Athens, Texas, Independent
School District, GO,
Series 1999,
(PSFG Insured),
5.25% 08/15/20.......... NR AAA $ 371
500 Austin, Texas, Public
Improvement, GO, Series
1999,
5.38% 09/01/18.......... Aa2 AA 480
500 Dallas County, Texas, GO,
Series 1995,
5.25% 08/15/14.......... Aaa AAA 488
750 Dallas-Fort Worth, Texas,
Regional Airport Revenue
Refunding, Series 1994A,
(MBIA Insured),
6.00% 11/01/09.......... Aaa AAA 793
500 Goose Creek, Texas,
Consolidated Independent
School District, GO
Refunding, Series 1998,
(PSFG Insured),
5.00% 02/15/10.......... Aaa AAA 495
500 Gulf Coast, Texas, Waste
Disposal Authority,
Revenue Refunding,
(Houston Light and Power
Company Project) Series
1992A, (MBIA Insured),
6.38% 04/01/12.......... Aaa AAA 532
500 Harris County, Texas,
Health Facilities
Development Authority,
Revenue, (Memorial
Hospital Systems
Project) Series 1997A,
(MBIA Insured),
6.00% 06/01/10.......... Aaa AAA 532
500 Irving, Texas, Waterworks
and Sewer Revenue,
Series 1998,
4.75% 06/15/18.......... Aa2 AA 432
500 Lower Neches Valley
Authority, Texas,
Industrial Development
Corporation, Revenue
Refunding, (Mobil Oil
Refining Corporation
Project) Series 1997,
5.80% 05/01/22.......... Aa2 AA 498
600 Northside, Texas,
Independent School
District, GO, Series
1999,
4.75% 08/15/18.......... Aaa AAA 518
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 600 Pflugerville, Texas,
Independent School
District, GO Refunding,
Series 1997,
(PSFG Insured),
5.75% 08/15/10.......... Aaa AAA $ 631
1,000 Red River Authority of
Texas, PCR, (Hoechst
Celanese Corporation
Project) Series 1992,
AMT,
6.88% 04/01/17.......... A2 A+ 1,057
1,180 Santa Fe, Texas,
Independent School
District, GO Refunding,
Series 1997, (PSFG
Insured),
5.10%+ 02/15/07......... Aaa NR 814
585 Sherman, Texas,
Independent School
District, GO, Series
1995, (PSFG Insured),
Prerefunded 02/15/05 @
100,
6.50% 02/15/20.......... Aaa AAA 636
1,000 Tarrant County, Texas,
Health Facilities
Development Corporation,
Health Systems Revenue,
(Harris Methodist Health
Systems Project) Series
1994, (MBIA-IBC
Insured),
6.00% 09/01/10.......... Aaa AAA 1,080
500 Texas State, College
Student Loan Authority,
GO, Series 1994, AMT,
5.75% 08/01/11.......... Aa1 AA 501
455 Texas State, GO, Series
1999,
5.25% 08/01/21.......... Aa1 AA 424
375 Texas State, Veterans
Housing Assistance GO
Refunding, Series 1994C,
6.40% 12/01/09.......... Aa1 AA 388
400 Texas, Water Development
Board, State Revolving
Fund Revenue, Senior
Lien, Series 1998A,
5.25% 07/15/11.......... Aa1 AAA 401
1,000 Trinity River Authority,
Texas, PCR, (Texas
Instruments Inc.
Project) Series 1996,
AMT,
6.20% 03/01/20.......... NR A 1,022
500 University of Texas,
University Finance
Systems Revenue, Series
1995A,
5.20% 08/15/17.......... Aa1 AAA 472
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
112
<PAGE> 117
NATIONS FUNDS
Nations Texas Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1998 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
TEXAS -- (CONTINUED)
$ 1,000 Waller, Texas,
Consolidated Independent
School District, GO,
Series 1996, (PSFG
Insured),
5.25% 02/15/21.......... Aaa AAA $ 928
-------
13,493
-------
OHIO -- 7.3%
1,000 Lucas County, Ohio,
Hospital Revenue,
(Flower Hospital
Project) Series 1993,
Prerefunded 12/01/04 @
101,
6.13% 12/01/13.......... NR NR 1,076
-------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $14,261)............................ 14,569
-------
SHARES
(000)
- --------
<C> <S> <C> <C> <C>
INVESTMENT COMPANIES -- 4.4%
(Cost $649)
649 AIM Tax-Exempt Fund....................... 649
-------
</TABLE>
<TABLE>
<S> <C> <C> <C>
TOTAL INVESTMENTS
(Cost $14,910*)................. 102.6% 15,218
-------
OTHER ASSETS AND LIABILITIES
(NET)........................... (2.6)%
Cash................................... $ 1
Interest receivable.................... 188
Receivable from investment advisor..... 4
Prepaid expenses....................... 7
Administration fee payable............. (2)
Distributions payable.................. (54)
Payable for investment securities
purchased.............................. (481)
Accrued Trustees' fees and expenses.... (12)
Accrued expenses and other
liabilities............................ (42)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)...................... (391)
-------
NET ASSETS...................... 100.0% $14,827
=======
</TABLE>
<TABLE>
- ----------------------------------------------------------
<CAPTION>
VALUE
(000)
<S> <C> <C> <C>
NET ASSETS CONSIST OF:
Undistributed net investment income.... $ 30
Accumulated net realized loss on
investments sold....................... (268)
Net unrealized appreciation of
investments............................ 308
Paid-in capital........................ 14,757
-------
NET ASSETS............................. $14,827
=======
PRIMARY A SHARES:
Net asset value, offering and
redemption
price per share ($8,041,337 / 836,889
shares outstanding)....................
$9.61
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price
per
share ($370,567 / 38,565 shares
outstanding)...........................
$9.61
-----
-----
Maximum sales charge................... 4.75%
Maximum offering price per share....... $10.09
INVESTOR B SHARES:
Net asset value and offering price per
share** ($6,333,812 / 659,152 shares
outstanding)........................... $9.61
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share** ($81,162 / 8,447 shares
outstanding)........................... $9.61
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $552 and gross depreciation
of $244 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $14,910.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Texas Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
PSFG 26.13%
MBIA 19.81%
Nations Texas Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Industrial Development Revenue/
Pollution Control Revenue 20.43%
SEE NOTES TO FINANCIAL STATEMENTS.
113
<PAGE> 118
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 95.7%
VIRGINIA -- 92.4%
$2,000 Alexandria, Virginia,
Redevelopment and
Housing Authority,
Multi-Family Housing
Mortgage Revenue,
(Buckingham Village
Apartments Project)
Series 1996A, AMT,
6.05% 07/01/16.......... NR A $ 2,024
1,000 Amherst, Virginia,
Industrial Development
Authority, Revenue
Refunding,
(Georgia-Pacific
Corporation Project)
Series 1998, AMT,
5.25% 02/01/11.......... Baa2 NR 961
2,900 Arlington County,
Virginia, GO, Series
1991, Prerefunded
12/01/01 @ 102,
5.90% 12/01/03.......... Aaa AAA 3,057
3,000 Arlington County,
Virginia, GO, Series
1993,
5.00% 07/15/03.......... Aaa AAA 3,073
2,345 Arlington County,
Virginia, GO, Series
1994,
5.40% 08/01/02.......... Aaa AAA 2,422
2,000 Arlington County,
Virginia, Industrial
Development Authority,
Facilities Revenue
Refunding, (Lee Gardens
Housing
Corporation - Housing
Mortgage - Woodbury Park
Apartments Project)
Series 1998A,
5.45% 01/01/29.......... NR A 1,862
1,000 Arlington County,
Virginia, Industrial
Development Authority,
Facilities Revenue, (The
Nature Conservancy
Project) Series 1997A,
5.45% 07/01/27.......... Aa1 NR 957
1,000 Arlington County,
Virginia, Industrial
Development Authority,
Hospital Facilities
Revenue, (Arlington
Hospital Project) Series
1991A, Prerefunded
09/01/01 @ 102,
6.65% 09/01/05.......... Aaa NR 1,064
2,000 Arlington County,
Virginia, Industrial
Development Authority,
IDR Refunding, (Ogden
Martin Systems Project)
Series 1998A, (FSA
Insured),
5.25% 01/01/05.......... Aaa AAA 2,044
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$3,515 Arlington County,
Virginia, Industrial
Development Authority,
Revenue, (Ogden Martin
Systems of Union -
Alexandria/Arlington
Project) Series 1998B,
AMT, (FSA Insured),
5.25% 01/01/09.......... Aaa AAA $ 3,494
2,535 Arlington County,
Virginia, Industrial
Development Authority,
Revenue, (Ogden Martin
Systems of Union -
Alexandria/Arlington
Project) Series 1998B,
AMT, (FSA Insured),
5.25% 01/01/10.......... Aaa AAA 2,499
3,455 Augusta County, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Augusta
Hospital Corporation
Project) Series 1991,
Prerefunded 09/01/01 @
102,
7.00% 09/01/21.......... A NR 3,692
2,000 Brunswick County,
Virginia, Industrial
Development Authority,
Correctional Facility
Lease Revenue, Series
1996, (MBIA Insured),
5.25% 07/01/04.......... Aaa AAA 2,062
1,000 Charlottesville-Albemarle,
Virginia, Airport
Authority, Revenue
Refunding, Series 1995,
AMT,
6.13% 12/01/09.......... NR BBB 1,009
6,195 Chesapeake, Virginia, GO
Refunding, Series 1993,
5.13% 12/01/05.......... Aa3 AA 6,369
1,000 Chesapeake, Virginia, GO,
Series 1992,
5.70% 08/01/01.......... Aa3 AA 1,028
1,000 Chesapeake, Virginia, GO,
Series 1998, (State Aid
Withholding),
4.65% 08/01/11.......... Aa3 AA 948
1,525 Chesapeake, Virginia,
Public Improvement GO,
Series 1996, (State Aid
Withholding),
5.00% 05/01/03.......... Aa3 AA 1,557
2,000 Chesapeake, Virginia,
Water and Sewer GO,
Series 1995A, (State Aid
Withholding),
7.00% 12/01/09.......... Aa3 AA 2,261
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
114
<PAGE> 119
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$2,000 Chesterfield County,
Virginia, GO Refunding,
Series 1991,
5.90% 07/15/02.......... Aaa AAA $ 2,090
1,000 Chesterfield County,
Virginia, GO, Series
1990A,
6.50% 01/15/01.......... Aaa AAA 1,028
1,000 Chesterfield County,
Virginia, GO, Series
1990B,
6.50% 01/01/02.......... Aaa AAA 1,047
2,120 Chesterfield County,
Virginia, GO, Series
1990B, Prerefunded
01/01/01 @ 102,
6.70% 01/01/11.......... NR AAA 2,227
1,000 Chesterfield County,
Virginia, Water and
Sewer Authority, Revenue
Refunding, Series 1992,
6.20% 11/01/05.......... Aa2 AA 1,066
2,000 Chesterfield County,
Virginia, Water and
Sewer Authority, Revenue
Refunding, Series 1992A,
5.50% 11/01/00.......... Aa2 AA 2,036
2,020 Chesterfield County,
Virginia, Water and
Sewer Authority, Revenue
Refunding, Series 1992A,
5.63% 11/01/01.......... Aa2 AA 2,082
1,320 Covington-Allegheny
County, Virginia,
Industrial Development
Authority, PCR
Refunding, (Westvaco
Corporation Project)
Series 1994,
5.90% 03/01/05.......... A1 A 1,401
1,560 Danville, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Danville
Regional Medical Center
Project) Series 1998,
(AMBAC Insured),
5.00% 10/01/07.......... Aaa AAA 1,561
1,695 Danville, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Danville
Regional Medical Center
Project) Series 1998,
(AMBAC Insured),
5.00% 10/01/09.......... Aaa AAA 1,671
1,810 Danville, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Danville
Regional Medical Center
Project) Series 1998,
(AMBAC Insured),
5.00% 10/01/10.......... Aaa AAA 1,777
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,100 Fairfax County, Virginia,
GO Refunding, Series
1993A, (State Aid
Withholding),
4.70% 06/01/00.......... Aaa AAA $ 1,107
1,000 Fairfax County, Virginia,
GO, Series 1998, (State
Aid Withholding),
4.80% 04/01/10.......... Aa1 AA+ 978
2,000 Fairfax County, Virginia,
Public Improvement GO,
Series 1997A,
6.00% 06/01/04.......... Aaa AAA 2,129
3,135 Fairfax County, Virginia,
Water and Sewer
Authority, Revenue
Refunding, Series 1993,
(AMBAC Insured),
5.10% 11/15/04.......... Aaa AAA 3,222
5,000 Goochland County,
Virginia, Industrial
Development Authority,
(Old Dominion Electric
Cooperative Project)
Series 1998, AMT,
4.25% 12/01/02.......... NR NR 4,897
1,330 Halifax County, Virginia,
Industrial Development
Authority, Exempt
Facilities Revenue, (Old
Dominion Electric
Cooperative Project)
Series 1992, AMT,
5.90% 12/01/02.......... NR A+ 1,369
1,200 Halifax County, Virginia,
Industrial Development
Authority, Hospital
Revenue Refunding,
(Halifax Regional
Hospital, Inc. Project)
Series 1998,
4.90% 09/01/10.......... NR A 1,113
2,500 Hampton Roads, Virginia,
Sanitation District,
Capital Improvement
Revenue Refunding,
Series 1993,
4.50% 10/01/02.......... Aa3 AA 2,519
1,000 Hampton, Virginia, Public
Improvement GO
Refunding, Series 1989,
6.50% 01/01/00.......... Aa3 AA 1,007
2,190 Hampton, Virginia, Public
Improvement GO
Refunding, Series 1993C,
4.75% 08/01/05.......... Aa3 AA 2,205
5,000 Hanover County, Virginia,
Industrial Development
Authority, Revenue,
(Memorial Regional
Medical Center Project)
Series 1995, (MBIA
Insured),
5.50% 08/15/25.......... Aaa AAA 4,768
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
115
<PAGE> 120
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$2,105 Henrico County, Virginia,
Industrial Development
Authority, Revenue,
Series 1994,
7.50% 08/01/02.......... Aa2 AA $ 2,271
3,500 Henrico County, Virginia,
Industrial Development
Authority, Solid Waste
Revenue,
(Browning-Ferris
Project) Series 1995,
AMT, (GTY-AGMT),
Mandatory Put
12/01/05 @ 100,
5.30% 12/01/11.......... B1 BB- 3,332
1,500 Henrico County, Virginia,
Water and Sewer
Authority, Revenue
Refunding, Series 1992,
6.20% 05/01/04.......... Aa2 AAA 1,562
1,915 James City and County,
Virginia, GO, Series
1995, (FGIC Insured,
State Aid Withholding),
5.00% 12/15/08.......... Aaa AAA 1,933
1,000 Leesburg, Virginia, GO
Refunding, Series 1993,
5.50% 08/01/06.......... A1 A+ 1,037
2,000 Loudoun County, Virginia,
Improvement GO
Refunding, Series 1993A,
(State Aid Withholding),
5.00% 10/01/02.......... Aa1 AA 2,044
1,500 Loudoun County, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Loudoun
Hospital Center Project)
Series 1995, (FSA
Insured),
5.50% 06/01/08.......... Aaa AAA 1,539
1,000 Loudoun County, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Loudoun
Hospital Center Project)
Series 1995, (FSA
Insured),
5.60% 06/01/09.......... Aaa AAA 1,026
5,000 Loudoun County, Virginia,
Industrial Development
Authority, Revenue, (Air
Force Retired Officers -
Falcons Landing Project)
Series 1994A,
Prerefunded 11/01/04 @
103,
8.75% 11/01/24.......... Aaa AAA 6,051
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,000 Loudoun County, Virginia,
Sanitation Authority,
Water and Sewer Revenue
Refunding, Series 1992,
(FGIC Insured),
5.80% 01/01/01.......... Aaa AAA $ 1,021
6,000 Louisa, Virginia,
Industrial Development
Authority, Solid Waste
and Sewer Disposal
Revenue, (Virginia
Electric and Power
Company Project) Series
1997A, AMT, Mandatory
Put
03/31/02 @ 100,
5.15% 04/01/22.......... VMIG1 A1 6,028
1,105 Lynchburg, Virginia,
Industrial Development
Authority, Health
Revenue Refunding,
(Centra Health Inc.
Project) Series 1998,
5.20% 01/01/28.......... A1 A+ 985
1,140 Lynchburg, Virginia,
Public Improvement GO,
Series 1997,
5.40% 05/01/17.......... Aa3 AA 1,111
1,965 Medical College of
Virginia, Hospital
Authority, General
Revenue, Series 1998,
(MBIA Insured),
5.00% 07/01/09.......... Aaa AAA 1,960
1,000 Medical College of
Virginia, Hospital
Authority, General
Revenue, Series 1998,
(MBIA Insured),
4.80% 07/01/11.......... Aaa AAA 955
5,000 Newport News, Virginia,
Public Improvement GO
Refunding, Series 1993B,
(State Aid Withholding),
5.20% 11/01/04.......... Aa2 AA 5,162
1,000 Newport News, Virginia,
Water and Sewer
Authority, GO Refunding,
Series 1993B, (State Aid
Withholding),
5.10% 11/01/03.......... Aa2 AA 1,027
1,020 Newport News, Virginia,
Water and Sewer
Authority, GO, Series
1992A,
5.50% 06/01/01.......... Aa2 AA 1,043
1,095 Newport News, Virginia,
Water and Sewer
Authority, GO, Series
1992A,
5.60% 06/01/02.......... Aa2 AA 1,132
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
116
<PAGE> 121
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,000 Norfolk, Virginia, Capital
Improvement GO
Refunding, Series 1992A,
Prerefunded
02/01/01 @ 102,
5.90% 02/01/06.......... A1 AAA $ 1,042
1,840 Norfolk, Virginia, Capital
Improvement GO, Series
1997, (FGIC Insured),
5.38% 06/01/05.......... Aaa AAA 1,910
2,250 Norfolk, Virginia,
Redevelopment and
Housing Authority,
Educational Facilities
Revenue, (Tidewater
Community College Campus
Project) Series 1995,
5.88% 11/01/15.......... Aa2 AA 2,280
2,000 Norfolk, Virginia, Water
Revenue, Series 1995,
(MBIA Insured),
5.70% 11/01/10.......... Aaa AAA 2,074
1,000 Portsmouth, Virginia, GO
Refunding, Series 1993,
5.00% 08/01/02.......... A3 AA- 1,018
1,000 Portsmouth, Virginia, GO
Refunding, Series 1993,
5.25% 08/01/04.......... A3 AA- 1,031
1,750 Portsmouth, Virginia,
Public Improvement, GO,
Series 1991, Prerefunded
08/01/00 @ 102,
6.70% 08/01/03.......... NR AA- 1,826
1,735 Portsmouth, Virginia,
Public Improvement, GO,
Series 1991, Prerefunded
08/01/00 @ 102,
6.80% 08/01/06.......... NR AA- 1,812
1,000 Portsmouth, Virginia,
Public Improvement, GO,
Series 1991, Prerefunded
08/01/00 @ 102,
6.80% 08/01/09.......... NR AA- 1,044
1,465 Prince William County,
Virginia, Improvement GO
Refunding, Series 1992A,
6.20% 12/01/10.......... Aa2 AA 1,532
1,775 Prince William County,
Virginia, Industrial
Development Authority,
Hospital Revenue
Refunding, (Potomac
Hospital Corporation
Project) Series 1995,
6.55% 10/01/05.......... Aaa NR 1,888
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$3,500 Prince William County,
Virginia, Industrial
Development Authority,
Hospital Revenue
Refunding, (Potomac
Hospital Corporation
Project) Series 1998,
(FSA Insured),
5.00% 10/01/18.......... Aaa NR $ 3,121
1,300 Prince William County,
Virginia, Industrial
Development Authority,
Hospital Revenue
Refunding, (Prince
William Hospital
Project) Series 1993,
5.63% 04/01/12.......... A2 NR 1,310
1,000 Prince William County,
Virginia, Park
Authority, Water and
Sewer Systems, Revenue
Refunding, Series 1994,
6.30% 10/15/07.......... NR A- 1,091
3,000 Prince William County,
Virginia, Service
Authority, Revenue
Refunding, Series 1993,
(FGIC Insured),
5.00% 07/01/21.......... Aaa AAA 2,698
1,000 Richmond, Virginia, GO
Refunding, Series 1995B,
(FGIC Insured, State Aid
Withholding),
5.00% 01/15/21.......... Aaa AAA 901
1,000 Richmond, Virginia,
Metropolitan Expressway
Authority, Revenue
Refunding, Series 1992A,
(FGIC Insured),
5.65% 07/15/00.......... Aaa AAA 1,015
2,300 Richmond, Virginia, Public
Improvement GO
Refunding, Series 1993A,
(State Aid Withholding),
6.50% 01/15/02.......... A1 AA 2,408
1,000 Richmond, Virginia, Public
Improvement GO, Series
1991A, Prerefunded
01/15/01 @ 102,
6.20% 01/15/03.......... Aaa AA 1,045
1,000 Richmond, Virginia, Public
Improvement GO, Series
1991A, Prerefunded
01/15/01 @ 102,
6.70% 01/15/11.......... Aaa AA 1,051
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
117
<PAGE> 122
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,430 Richmond, Virginia, Public
Improvement GO, Series
1993B, (State Aid
Withholding),
5.50% 07/15/09.......... A1 AA $ 1,480
1,115 Roanoke County, Virginia,
IDR, (Hollins College
Project) Series 1998,
5.20% 03/15/17.......... NR A 1,040
1,000 Roanoke, Virginia, Public
Improvement GO
Refunding, Series 1992B,
5.80% 08/01/00.......... Aa3 AA 1,017
3,295 Roanoke, Virginia, Public
Improvement GO
Refunding, Series 1992B,
Prerefunded
08/01/01 @ 100.5,
6.00% 08/01/03.......... Aa3 AA 3,416
1,100 Spotsylvania County,
Virginia, GO Refunding,
Series 1998, (FSA
Insured),
4.38% 07/15/05.......... Aaa AAA 1,089
1,900 Spotsylvania County,
Virginia, GO Refunding,
Series 1998, (FSA
Insured),
4.40% 07/15/06.......... Aaa AAA 1,870
2,000 Spotsylvania County,
Virginia, GO Refunding,
Series 1998, (FSA
Insured),
4.40% 07/15/07.......... Aaa AAA 1,950
1,580 Spotsylvania County,
Virginia, Public
Improvement GO, Series
1992,
5.20% 07/15/01.......... A1 A+ 1,609
2,320 Spotsylvania County,
Virginia, Public
Improvement GO, Series
1992, Prerefunded
07/15/02 @ 102,
5.88% 07/15/09.......... A1 A+ 2,454
2,535 Staunton, Virginia,
Industrial Development
Authority, Educational
Facilities Revenue,
(Mary Baldwin College
Project) Series 1996,
6.60% 11/01/14.......... NR NR 2,633
1,110 Suffolk, Virginia, GO
Refunding, Series 1993,
5.40% 08/01/04.......... Aa3 A+ 1,150
1,500 Suffolk, Virginia, GO
Refunding, Series 1993,
5.75% 08/01/08.......... Aa3 A+ 1,557
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$2,000 Upper Occoquan, Virginia,
Sewer Authority,
Regional Sewer Revenue,
Series 1991, (MBIA
Insured), Prerefunded
07/01/01 @ 102,
6.25% 07/01/05.......... Aaa AAA $ 2,108
1,700 Virginia State, Virginia
Commonwealth University,
Revenue Refunding,
Series 1994D,
4.35% 07/01/02.......... A1 AA- 1,690
1,000 Virginia Beach, Virginia,
GO Refunding, Series
1992,
5.55% 02/01/01.......... Aa2 AA 1,019
2,300 Virginia Beach, Virginia,
GO Refunding, Series
1993,
5.40% 07/15/08.......... Aa2 AA 2,383
1,000 Virginia Beach, Virginia,
GO, Series 1989A,
6.90% 10/01/00.......... Aa2 AA 1,022
1,000 Virginia Beach, Virginia,
GO, Series 1990A,
6.85% 06/01/01.......... Aa2 AA 1,037
1,000 Virginia Beach, Virginia,
GO, Series 1990A,
Prerefunded 06/01/00 @
102,
6.95% 06/01/06.......... NR NR 1,040
4,100 Virginia Commonwealth,
Transportation Board,
Transportation Revenue
Refunding, (U.S. Route
58 Corridor Program)
Series 1997C,
5.13% 05/15/19.......... Aa2 AA 3,788
1,210 Virginia Port Authority,
Port Facilities Revenue,
Series 1997, AMT, (MBIA
Insured),
6.00% 07/01/07.......... Aaa AAA 1,285
1,340 Virginia Port Authority,
Virginia, Commonwealth
Port Fund Revenue,
Series 1996, AMT,
5.75% 07/01/02.......... Aa2 AA 1,387
1,000 Virginia Port Authority,
Virginia, Commonwealth
Port Fund Revenue,
Series 1997, AMT, (MBIA
Insured),
5.65% 07/01/17.......... Aaa AAA 979
3,500 Virginia State, GO
Refunding, Series 1993B,
4.80% 06/01/07.......... Aaa AAA 3,513
1,175 Virginia State, Higher
Educational Institutions
GO, Series 1991A,
6.00% 06/01/01.......... Aaa AAA 1,200
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
118
<PAGE> 123
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,695 Virginia State, Housing
Development Authority,
Commonwealth Mortgage
Revenue, Series 1995D-3,
6.10% 01/01/15.......... Aa1 AA+ $ 1,729
1,770 Virginia State, Housing
Development Authority,
Commonwealth Mortgage
Revenue, Series 1998D-1,
AMT,
4.30% 01/01/02.......... Aa1 AA+ 1,758
1,000 Virginia State, Housing
Development Authority,
Multi-Family Housing
Revenue, Series 1998B,
AMT,
4.40% 11/01/03.......... Aa1 AA+ 987
2,000 Virginia State, Public
Building Authority,
Building Revenue
Refunding, (Correctional
Facilities Project)
Series 1992A,
5.80% 08/01/02.......... Aa AA 2,071
5,000 Virginia State, Public
Building Authority,
Public Revenue
Refunding, Series 1998A,
5.00% 08/01/07.......... Aa2 AA 5,048
3,000 Virginia State, Public
School Authority,
Revenue Refunding,
(School Financing
Project) Series 1997-1,
5.25% 08/01/10.......... Aa1 AA+ 3,042
1,480 Virginia State, Public
School Authority,
Revenue Refunding,
Series 1993B, (State Aid
Withholding),
5.10% 01/01/05.......... Aa1 AA 1,514
1,000 Virginia State, Public
School Authority,
Revenue, Series 1991A,
Prerefunded 08/01/01 @
102,
6.50% 08/01/08.......... Aa1 AA 1,060
2,195 Virginia State, Public
School Authority,
Revenue, Series 1993A,
(State Aid Withholding),
5.40% 01/01/08.......... Aa1 AA 2,246
2,970 Virginia State, Resource
Authority, Sewer Systems
Revenue Refunding,
(Harrisonburg-Rockingham
Project) Series 1998,
5.00% 05/01/18.......... NR AA 2,625
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,000 Virginia State, Resource
Authority, Sewer Systems
Revenue, (Hopewell
Regional Wastewater
Facilities Project)
Series 1995A, AMT,
6.00% 10/01/15.......... NR AA $ 1,020
2,470 Virginia State, Resource
Authority, Water and
Sewer Systems Revenue
Refunding, (Washington
County Service Project)
Series 1993,
5.15% 10/01/07.......... NR AA 2,513
1,020 Virginia State, Resource
Authority, Water and
Sewer Systems Revenue,
(Suffolk Project) Series
1996A,
5.50% 04/01/17.......... NR AA 999
1,000 Virginia State, Resource
Authority, Water and
Sewer Systems Revenue,
(Sussex Service
Authority Project)
Series 1998,
4.63% 10/01/18.......... NR AA 840
2,000 Virginia State, Resource
Authority, Water and
Sewer Systems Revenue,
(Sussex Service
Authority Project)
Series 1998,
4.75% 10/01/25.......... NR AA 1,684
4,345 Virginia State,
Transportation Board
Authority,
Transportation Contract
Revenue, (Northern
Virginia Transportation
District Project) Series
1996A,
5.13% 05/15/21.......... Aa2 AA 3,966
3,150 Virginia State,
Transportation Board
Authority,
Transportation Revenue
Refunding, (Route 28
Project) Series 1992,
6.00% 04/01/02.......... Aa AA 3,277
3,000 Virginia State,
Transportation Board
Authority,
Transportation Revenue
Refunding, (U.S. Route
58 Corridor Program)
Series 1993A,
4.90% 05/15/03.......... Aa2 AA 3,048
5,390 Virginia State,
Transportation Board
Authority,
Transportation Revenue
Refunding, (U.S. Route
58 Corridor Program)
Series 1993A,
5.50% 05/15/09.......... Aa2 AA 5,511
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
119
<PAGE> 124
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$2,105 Virginia State,
Transportation Board
Authority,
Transportation Revenue,
(U.S. Route 58 Corridor
Development Project)
Series 1993B,
5.10% 05/15/05.......... Aa2 AA $ 2,151
2,350 Virginia, Biotechnology
Research Park Authority,
Lease Revenue,
(Biotechnology Two
Project) Series 1996,
5.75% 09/01/05.......... Aa AA 2,487
2,000 Virginia, College Building
Authority, Educational
Facilities Revenue
Refunding, (University
of Richmond Project)
Series 1992,
5.63% 11/01/02.......... NR AA 2,047
1,570 Virginia, College Building
Authority, Educational
Facilities Revenue,
(Hampden - Sydney
College Project) Series
1992, Prerefunded
09/01/01 @ 102,
6.60% 09/01/16.......... Aa2 AAA 1,670
2,000 Virginia, College Building
Authority, Facilities
Revenue, (Equipment
Leasing Program) Series
1997,
5.00% 02/01/02.......... Aa2 AA 2,031
5,000 Virginia, Southeastern
Public Service
Authority, Revenue
Refunding, Series 1993A,
(MBIA Insured),
5.10% 07/01/08.......... Aaa AAA 5,032
775 Washington County,
Virginia, Industrial
Development Authority,
Hospital Facility
Revenue Refunding,
(Johnson Memorial
Hospital Project) Series
1995,
5.63% 07/01/02.......... A2 NR 790
1,000 Washington County,
Virginia, Industrial
Development Authority,
Hospital Facility
Revenue Refunding,
(Johnston Memorial
Hospital Project) Series
1995, Prerefunded
07/01/05 @ 102,
6.00% 07/01/14.......... A2 NR 1,079
--------
264,940
--------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- -----------------------------------------------------------------
<C> <S> <C> <C> <C>
ALASKA -- 1.7%
$1,000 Alaska, Student Loan
Corporation, Student
Loan Revenue, Series
1995A, AMT, (AMBAC
Insured),
5.25% 07/01/03.......... Aaa AAA $ 1,019
6,500 North Slope Borough,
Alaska, Capital
Appreciation GO, Series
1998A, (MBIA Insured),
5.27%+ 06/30/09......... Aaa AAA 3,915
--------
4,934
--------
DISTRICT OF COLUMBIA -- 0.7%
1,000 Metropolitan Washington,
District of Columbia,
Airport Authority,
Virginia General Airport
Revenue, Series 1994A,
AMT, (MBIA Insured),
5.20% 10/01/02.......... Aaa AAA 1,024
1,000 Metropolitan Washington,
District of Columbia,
Airport Authority,
Virginia General Airport
Revenue, Series 1997B,
AMT, (FGIC Insured),
5.75% 10/01/03.......... Aaa AAA 1,046
--------
2,070
--------
MAINE -- 0.9%
2,500 Baileyville, Maine, PCR,
(Georgia-Pacific
Corporation Project)
Series 1998,
4.75% 06/01/05.......... Baa2 NR 2,439
--------
TOTAL MUNICIPAL
BONDS AND NOTES
(Cost $272,142)........................... 274,383
--------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
120
<PAGE> 125
NATIONS FUNDS
Nations Virginia Intermediate Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- ------------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 2.3%
(Cost $6,526)
6,526 AIM Tax-Exempt Fund.................. $ 6,526
--------
TOTAL INVESTMENTS
(Cost $278,668*).......... 98.0% 280,909
--------
OTHER ASSETS AND
LIABILITIES (NET)......... 2.0%
Cash............................... $ 1
Receivable for investment
securities sold.................. 2,451
Receivable for Fund shares sold.... 328
Interest receivable................ 4,560
Prepaid expenses................... 5
Payable for Fund shares redeemed... (496)
Investment advisory fee payable.... (47)
Administration fee payable......... (47)
Shareholder servicing and
distribution fees payable........ (16)
Distributions payable.............. (1,043)
Accrued Trustees' fees and
expenses......................... (22)
Accrued expenses and other
liabilities...................... (78)
--------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)................ 5,596
--------
NET ASSETS.................. 100.0% $286,505
========
NET ASSETS CONSIST OF:
Undistributed net investment
income........................... $ 150
Accumulated net realized loss on
investments sold................. (216)
Net unrealized appreciation of
investments...................... 2,241
Paid-in capital.................... 284,330
--------
NET ASSETS......................... $286,505
========
</TABLE>
<TABLE>
<CAPTION>
VALUE
- ----------------------------------------------------------
<S> <C> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and
redemption price per share
($226,273,075 / 21,383,179 shares
outstanding)..................... $10.58
------
------
INVESTOR A SHARES:
Net asset value and redemption
price per share
($50,027,474 / 4,727,546 shares
outstanding)..................... $10.58
------
------
Maximum sales charge............... 3.25%
Maximum offering price per share... $10.94
INVESTOR B SHARES:
Net asset value and offering price
per share** ($9,405,233 / 888,863
shares outstanding).............. $10.58
------
------
INVESTOR C SHARES:
Net asset value and offering price
per share** ($799,580 / 75,567
shares outstanding).............. $10.58
------
------
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $6,504 and gross
depreciation of $4,263 for Federal income tax purposes. At September 30,
1999, the aggregate cost of securities for Federal income tax purposes was
$278,668.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
+ Zero coupon security. The rate shown reflects the yield to maturity.
Nations Virginia Intermediate Municipal Bond Fund had the following industry
concentration greater than 10% at September 30, 1999 (as a percentage of net
assets):
Water Revenue 10.76%
Transportation Revenue 10.50%
SEE NOTES TO FINANCIAL STATEMENTS.
121
<PAGE> 126
NATIONS FUNDS
Nations Virginia Municipal Bond Fund
STATEMENT OF NET ASSETS SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES -- 93.6%
VIRGINIA -- 91.7%
$1,000 Arlington County,
Virginia, Industrial
Development Authority,
Facilities Revenue
Refunding, (Lee Gardens
Housing Corporation -
Housing Mortgage -
Woodbury Park Apartments
Project) Series 1998A,
5.45% 01/01/29.......... NR A $ 931
1,000 Augusta County, Virginia,
Industrial Development
Authority, Hospital
Revenue Refunding,
(Augusta Hospital
Corporation Project)
Series 1993, (AMBAC
Insured),
5.50% 09/01/15.......... Aaa AAA 977
500 Covington-Allegheny
County, Virginia, IDR
Refunding, (Westvaco
Corporation Project)
Series 1994,
6.65% 09/01/18.......... A1 A 531
1,000 Danville, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Danville
Regional Medical Center
Project) Series 1998,
(AMBAC Insured),
5.25% 10/01/28.......... Aaa AAA 921
500 Fairfax County, Virginia,
Industrial Development
Authority, Health Care
Revenue Refunding,
(Inova Health Systems
Project) Series 1996,
5.50% 08/15/10.......... Aa2 AA 507
1,000 Fairfax County, Virginia,
Water and Sewer Revenue
Refunding, Series 1993,
(AMBAC Insured),
5.50% 11/15/13.......... Aaa AAA 1,004
500 Fairfax County, Virginia,
Water Authority, Revenue
Refunding, Series 1997,
5.00% 04/01/21.......... Aa2 AA 456
800 Giles County, Virginia,
Industrial Development
Authority, Exempt
Facilities Revenue,
(Hoechst Celanese
Corporation Project)
Series 1995, AMT,
5.95% 12/01/25.......... A2 A+ 783
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$ 400 Halifax County, Virginia,
Industrial Development
Authority, Hospital
Revenue Refunding,
(Halifax Regional
Hospital, Inc. Project)
Series 1998,
5.25% 09/01/17.......... NR A $ 360
500 Hanover County, Virginia,
Industrial Development
Authority, Revenue, (Bon
Secours Health Systems
Project) Series 1995,
(MBIA Insured),
5.50% 08/15/25.......... Aaa AAA 477
500 Henrico County, Virginia,
Industrial Development
Authority, Public
Facilities Lease
Revenue, Series 1994,
7.00% 08/01/13.......... Aa2 AA 558
500 Henry County, Virginia,
GO, Series 1994,
5.75% 07/15/07.......... A A 526
700 James City and County,
Virginia, GO, Series
1995, (FGIC Insured,
State Aid Withholding),
5.25% 12/15/14.......... Aaa AAA 690
765 Loudoun County, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Loudoun
Hospital Center Project)
Series 1995, (FSA
Insured),
5.60% 06/01/09.......... Aaa AAA 785
500 Loudoun County, Virginia,
Industrial Development
Authority, Hospital
Revenue, (Loudoun
Hospital Center Project)
Series 1995, (FSA
Insured),
5.80% 06/01/20.......... Aaa AAA 500
1,500 Louisa, Virginia,
Industrial Development
Authority, Solid Waste
and Sewer Disposal
Revenue, (Virginia
Electric and Power
Company Project) Series
1997A, AMT, Mandatory
Put 03/31/02 @ 100,
5.15% 04/01/22.......... VMIG1 A1 1,506
500 Peninsula Ports Authority,
Virginia, Health Care
Facilities Revenue
Refunding, (Riverside
Health System Project)
Series 1992A,
Prerefunded 07/01/02 @
102,
6.63% 07/01/18.......... Aa2 AA- 538
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
122
<PAGE> 127
NATIONS FUNDS
Nations Virginia Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$ 500 Pittsylvania County,
Virginia, Public
Improvement GO, Series
1994,
5.85% 07/01/08.......... A3 A $ 536
1,000 Prince William County,
Virginia, Industrial
Development Authority,
Lease Revenue, (ATCC
Project) Series 1996,
6.00% 02/01/14.......... A2 NR 1,005
500 Prince William County,
Virginia, Park Authority
Revenue, Series 1994,
6.88% 10/15/16.......... NR A- 558
500 Richmond, Virginia, GO
Refunding, Series 1995B,
(FGIC Insured, State Aid
Withholding),
5.00% 01/15/21.......... Aaa AAA 450
800 Richmond, Virginia,
Metropolitan Expressway
Authority, Revenue
Refunding, Series 1992B,
(FGIC Insured),
6.25% 07/15/22.......... Aaa AAA 823
1,390 Rivanna, Virginia, Water
and Sewer Authority,
Regional Water and Sewer
Systems, Revenue
Refunding, Series 1991,
6.45% 10/01/12.......... Aa3 A+ 1,460
500 Spotsylvania County,
Virginia, GO Refunding,
Series 1998, (FSA
Insured),
4.50% 07/15/08.......... Aaa AAA 487
1,000 Staunton, Virginia,
Industrial Development
Authority, Educational
Facilities Revenue,
(Mary Baldwin College
Project) Series 1996,
6.60% 11/01/14.......... NR NR 1,039
500 Upper Occoquan, Virginia,
Sewer Authority,
Regional Sewer Revenue,
Series 1995A, (MBIA
Insured),
5.00% 07/01/25.......... Aaa AAA 443
500 Virginia Beach, Virginia,
Public Improvement GO
Refunding, Series 1994,
(State Aid Withholding),
5.75% 11/01/08.......... Aa2 AA 525
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MOODY'S S&P VALUE
(000) RATINGS (000)
- ----------------------------------------------------------------
<C> <S> <C> <C> <C>
VIRGINIA -- (CONTINUED)
$1,000 Virginia Commonwealth,
Transportation Board,
Transportation Program
Revenue, (Oak Grove
Connector Project )
Series 1997A,
5.25% 05/15/22.......... Aa2 AA $ 928
555 Virginia Commonwealth,
Transportation Program,
Revenue Refunding,
(Northern Virginia
Transportation District
Program) Series 1997B,
5.00% 05/15/14.......... Aa2 AA 528
640 Virginia State, Public
School Authority,
Revenue, Series 1994A,
(State Aid Withholding),
6.13% 08/01/11.......... Aa1 AA 686
820 Virginia State, Resource
Authority, Sewer Systems
Revenue Refunding,
(Harrisonburg-Rockingham
Project) Series 1998,
4.70% 05/01/11.......... NR AA 781
750 Virginia State, Resource
Authority, Sewer Systems
Revenue, (Hopewell
Regional Wastewater
Facilities Project)
Series 1995A, AMT,
6.00% 10/01/15.......... NR AA 765
500 Virginia State, Resource
Authority, Water and
Sewer Systems Revenue,
(Fauquier County Water
and Sanitation Project)
Series 1994C,
6.13% 05/01/14.......... NR AA 521
800 West Point, Virginia,
Industrial Development
Authority, Solid Waste
Disposal Revenue,
(Chesapeake Corporation
Project) Series 1994A,
AMT,
6.38% 03/01/19.......... Baa3 BBB 809
-------
24,394
-------
OHIO -- 1.9%
500 Dayton, Ohio, Special
Facilities Revenue, (Air
Freight Corporation
Project) Series 1988D,
AMT,
6.20% 10/01/09.......... NR BBB 505
-------
TOTAL MUNICIPAL BONDS AND NOTES
(Cost $24,631).......................... 24,899
-------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
123
<PAGE> 128
NATIONS FUNDS
Nations Virginia Municipal Bond Fund
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<CAPTION>
SHARES VALUE
(000) (000)
- ----------------------------------------------------------
<C> <S> <C> <C>
INVESTMENT COMPANIES -- 1.8%
(Cost $489)
489 AIM Tax-Exempt Fund........................ $ 489
-------
TOTAL INVESTMENTS (Cost
$25,120*)...................... 95.4% 25,388
-------
OTHER ASSETS AND LIABILITIES
(NET).......................... 4.6%
Receivable for investment securities
sold................................... $ 973
Interest receivable...................... 467
Receivable from investment advisor....... 1
Prepaid expenses......................... 7
Payable for Fund shares redeemed......... (66)
Administration fee payable............... (4)
Shareholder servicing and distribution
fees payable........................... (3)
Distributions payable.................... (98)
Accrued Trustees' fees and expenses...... (12)
Accrued expenses and other liabilities... (41)
-------
TOTAL OTHER ASSETS AND
LIABILITIES (NET)...................... 1,224
-------
NET ASSETS....................... 100.0% $26,612
=======
NET ASSETS CONSIST OF:
Undistributed net investment income...... $ 7
Accumulated net realized loss on
investments sold....................... (561)
Net unrealized appreciation of
investments............................ 268
Paid-in capital.......................... 26,898
-------
NET ASSETS............................... $26,612
=======
</TABLE>
<TABLE>
<CAPTION>
VALUE
- ---------------------------------------------------------------
<C> <S> <C> <C>
PRIMARY A SHARES:
Net asset value, offering and redemption
price per share
($14,048,581 / 1,476,329 shares
outstanding)........................... $9.52
-----
-----
INVESTOR A SHARES:
Net asset value and redemption price per
share ($591,108 / 62,162 shares
outstanding)........................... $9.51
-----
-----
Maximum sales charge..................... 4.75%
Maximum offering price per share......... $9.98
INVESTOR B SHARES:
Net asset value and offering price per
share**
($11,969,026 / 1,257,793 shares
outstanding)...........................
$9.52
-----
-----
INVESTOR C SHARES:
Net asset value and offering price per
share**
($2,795 / 294 shares outstanding)......
$9.52
-----
-----
</TABLE>
- ---------------
* Federal Income Tax Information: Net unrealized appreciation of investment
securities was comprised of gross appreciation of $671 and gross depreciation
of $403 for Federal income tax purposes. At September 30, 1999, the aggregate
cost of securities for Federal income tax purposes was $25,120.
** The redemption price per share is equal to net asset value less any
applicable contingent deferred sales charge.
Nations Virginia Municipal Bond Fund had the following insurance concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
AMBAC 10.90%
Nations Virginia Municipal Bond Fund had the following industry concentration
greater than 10% at September 30, 1999 (as a percentage of net assets):
Water Revenue 21.39%
Hospital Revenue 17.83%
Industrial Development Revenue/
Pollution Control Revenue 16.29%
SEE NOTES TO FINANCIAL STATEMENTS.
124
<PAGE> 129
NATIONS FUNDS
STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 1999 (UNAUDITED)
<TABLE>
<S> <C>
ABBREVIATIONS:
AMBAC American Municipal Bond Assurance
Corporation
AMBAC-TCRS American Municipal Bond Assurance
Corporation -- Transferable Custodial
Receipts
AMT Alternative Minimum Tax
CONNIE LEE College Construction Loan Insurance
Association
FGIC Financial Guaranty Insurance Company
FGIC-TCRS Financial Guaranty Insurance Company -
Transferable Custodial Receipts
FHLMC COLL Federal Home Loan Mortgage Corporation
collateral
FHA Federal Housing Authority
FHA COLL Federal Housing Authority collateral
FNMA COLL Federal National Mortgage Association
collateral
FSA Financial Security Assurance
GO General Obligation
GNMA COLL Government National Mortgage
Association
collateral
GTY-AGMT Guarantee Agreement
GTD STD LNS Guaranteed Student Loans
IBC Insured Bond Certificate
IDR Industrial Development Revenue
LOC Letter of Credit
MBIA Municipal Bond Insurance Association
MBIA-IBC Municipal Bond Insurance Association -
Insured Bond Certificate
NR Not Rated
PCR Pollution Control Revenue
PSF-GTD Permanent School Fund Guaranteed
PUFG Permanent University Fund Guarantee
SCSDE South Carolina School District
Enhancement
SCH BD GTY School Bond Guarantee
VA COLL Veterans Administration collateral
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
125
<PAGE> 130
NATIONS FUNDS
STATEMENTS OF OPERATIONS (UNAUDITED)
For the six months ended September 30, 1999
<TABLE>
SHORT-TERM INTERMEDIATE
MUNICIPAL MUNICIPAL MUNICIPAL
INCOME BOND INCOME
------------------------------------------------
<S> <C> <C> <C>
(IN THOUSANDS)
INVESTMENT INCOME:
Interest.................................................... $ 2,585 $ 23,556 $ 18,011
-------------- -------------- --------------
EXPENSES:
Investment advisory fee..................................... 202 1,944 1,748
Administration fee.......................................... 111 887 647
Transfer agent fees......................................... 26 203 145
Custodian fees.............................................. 7 39 30
Legal and audit fees........................................ 39 53 48
Trustees' fees and expenses................................. 8 8 8
Interest expense............................................ 4 -- 2
Registration and filing fees................................ 21 21 30
Other....................................................... 26 63 55
-------------- -------------- --------------
Subtotal................................................ 444 3,218 2,713
Shareholder servicing and distribution fees:
Investor A Shares......................................... 42 24 44
Investor B Shares......................................... 55 14 65
Investor C Shares......................................... 13 10 11
-------------- -------------- --------------
Total expenses.......................................... 554 3,266 2,833
Fees waived and/or expenses reimbursed by investment
advisor, administrator, and/or distributor................ (256) (935) (728)
-------------- -------------- --------------
Net expenses............................................ 298 2,331 2,105
-------------- -------------- --------------
NET INVESTMENT INCOME....................................... 2,287 21,225 15,906
-------------- -------------- --------------
NET REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS:
Net realized gain/(loss) on investments..................... 231 (1,636) (359)
Net change in unrealized appreciation/(depreciation) of
investments............................................... (1,635) (34,021) (34,831)
-------------- -------------- --------------
Net realized and unrealized gain/(loss) on investments...... (1,404) (35,657) (35,190)
-------------- -------------- --------------
NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS................................................ $ 883 $ (14,432) $ (19,284)
============== ============== ==============
</TABLE>
- ---------------
* Amount represents less than $500.
(a) Represents financial information for the Pacific Horizon California
Municipal Bond Fund, which was reorganized into California Municipal Bond on
May 21, 1999.
SEE NOTES TO FINANCIAL STATEMENTS.
126
<PAGE> 131
NATIONS FUNDS
STATEMENTS OF OPERATIONS (CONTINUED) (UNAUDITED)
<TABLE>
CALIFORNIA MUNICIPAL BOND
-------------------------------
FOR THE PERIOD
MAY 15, 1999 FOR THE PERIOD FLORIDA GEORGIA MARYLAND
TO MARCH 1, 1999 INTERMEDIATE FLORIDA INTERMEDIATE GEORGIA INTERMEDIATE
SEPTEMBER 30, TO MAY 14, MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL
1999 1999(a) BOND BOND BOND BOND BOND
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$ 4,127 $ 2,368 $ 6,430 $ 4,187 $ 3,987 $ 607 $ 5,181
-------------- -------------- -------------- -------------- -------------- -------------- --------------
367 133 524 398 333 61 434
165 89 239 147 152 18 199
39 38 55 34 35 5 44
8 23 11 7 7 2 9
28 2 41 40 40 33 41
7 1 8 8 8 8 8
--* -- 1 --* -- -- --
-- 1 1 3 1 --* 7
58 30 34 32 31 27 33
-------------- -------------- -------------- -------------- -------------- -------------- --------------
672 317 914 669 607 154 775
162 110 16 76 23 3 21
15 5 25 74 40 56 31
--* -- 6 --* 4 --* 3
-------------- -------------- -------------- -------------- -------------- -------------- --------------
849 432 961 819 674 213 830
(235) (14) (303) (236) (226) (91) (272)
-------------- -------------- -------------- -------------- -------------- -------------- --------------
614 418 658 583 448 122 558
-------------- -------------- -------------- -------------- -------------- -------------- --------------
3,513 1,950 5,772 3,604 3,539 485 4,623
-------------- -------------- -------------- -------------- -------------- -------------- --------------
(375) 1,093 (703) 60 (186) (19) (131)
(8,595) (3,924) (8,614) (7,761) (5,625) (1,156) (7,292)
-------------- -------------- -------------- -------------- -------------- -------------- --------------
(8,970) (2,831) (9,317) (7,701) (5,811) (1,175) (7,423)
-------------- -------------- -------------- -------------- -------------- -------------- --------------
$ (5,457) $ (881) $ (3,545) $ (4,097) $ (2,272) $ (690) $ (2,800)
============== ============== ============== ============== ============== ============== ==============
MARYLAND
MUNICIPAL
BOND
- ----------------------------------
<S> <C>
$ 879
--------------
94
35
8
3
35
8
--
4
26
--------------
213
2
82
1
--------------
298
(116)
--------------
182
--------------
697
--------------
(102)
(1,424)
--------------
(1,526)
--------------
$ (829)
==============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
127
<PAGE> 132
NATIONS FUNDS
STATEMENTS OF OPERATIONS (CONTINUED) (UNAUDITED)
For the six months ended September 30, 1999
<TABLE>
NORTH CAROLINA SOUTH CAROLINA
INTERMEDIATE NORTH CAROLINA INTERMEDIATE
MUNICIPAL MUNICIPAL MUNICIPAL
BOND BOND BOND
-----------------------------------------------
<S> <C> <C> <C>
(IN THOUSANDS)
INVESTMENT INCOME:
Interest.................................................... $ 5,277 $ 1,102 $ 7,115
-------------- -------------- --------------
EXPENSES:
Investment advisory fee..................................... 440 111 571
Administration fee.......................................... 201 41 261
Transfer agent fees......................................... 46 10 59
Custodian fees.............................................. 9 3 12
Legal and audit fees........................................ 41 37 42
Trustees' fees and expenses................................. 8 8 8
Interest expense............................................ --* -- --
Registration and filing fees................................ 1 --* --*
Other....................................................... 33 26 36
-------------- -------------- --------------
Subtotal................................................ 779 236 989
Shareholder servicing and distribution fees:
Investor A Shares......................................... 12 1 25
Investor B Shares......................................... 32 121 43
Investor C Shares......................................... --* --* 16
-------------- -------------- --------------
Total expenses.......................................... 823 358 1,073
Fees waived and/or expenses reimbursed by investment
advisor, administrator, and/or distributor................ (268) (124) (327)
-------------- -------------- --------------
Net expenses............................................ 555 234 746
-------------- -------------- --------------
NET INVESTMENT INCOME....................................... 4,722 868 6,369
-------------- -------------- --------------
NET REALIZED AND UNREALIZED GAIN/(LOSS) ON INVESTMENTS:
Net realized gain/(loss) on investments..................... (145) 27 (8)
Net change in unrealized appreciation/(depreciation) of
investments............................................... (7,796) (2,130) (10,463)
-------------- -------------- --------------
Net realized and unrealized gain/(loss) on investments...... (7,941) (2,103) (10,471)
-------------- -------------- --------------
NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS................................................ $ (3,219) $ (1,235) $ (4,102)
============== ============== ==============
</TABLE>
- ---------------
* Amount represents less than $500.
SEE NOTES TO FINANCIAL STATEMENTS.
128
<PAGE> 133
NATIONS FUNDS
STATEMENTS OF OPERATIONS (CONTINUED) (UNAUDITED)
<TABLE>
TENNESSEE TEXAS VIRGINIA
SOUTH CAROLINA INTERMEDIATE TENNESSEE INTERMEDIATE TEXAS INTERMEDIATE VIRGINIA
MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL MUNICIPAL
BOND BOND BOND BOND BOND BOND BOND
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$ 646 $ 1,346 $ 287 $ 10,218 $ 427 $ 7,310 $ 739
-------------- -------------- -------------- -------------- -------------- -------------- --------------
64 115 28 829 42 612 72
24 52 10 378 15 280 27
6 13 3 88 4 62 7
2 3 1 17 2 12 2
33 38 31 44 32 42 34
8 8 8 8 8 8 8
1 --* -- 3 --* -- --
--* 3 3 1 --* 2 --*
25 27 25 37 25 37 26
-------------- -------------- -------------- -------------- -------------- -------------- --------------
163 259 109 1,405 128 1,055 176
1 11 1 9 --* 66 1
52 15 22 11 33 49 64
--* --* --* --* --* 5 --*
-------------- -------------- -------------- -------------- -------------- -------------- --------------
216 285 132 1,425 161 1,175 241
(96) (128) (79) (433) (84) (353) (100)
-------------- -------------- -------------- -------------- -------------- -------------- --------------
120 157 53 992 77 822 141
-------------- -------------- -------------- -------------- -------------- -------------- --------------
526 1,189 234 9,226 350 6,488 598
-------------- -------------- -------------- -------------- -------------- -------------- --------------
(112) (315) (64) (903) (44) (232) (83)
(1,150) (1,787) (532) (13,970) (761) (10,347) (1,258)
-------------- -------------- -------------- -------------- -------------- -------------- --------------
(1,262) (2,102) (596) (14,873) (805) (10,579) (1,341)
-------------- -------------- -------------- -------------- -------------- -------------- --------------
$ (736) $ (913) $ (362) $ (5,647) $ (455) $ (4,091) $ (743)
============== ============== ============== ============== ============== ============== ==============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
129
<PAGE> 134
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
SHORT-TERM INTERMEDIATE
MUNICIPAL INCOME MUNICIPAL BOND
------------------------------- ------------------------------
SIX MONTHS SIX MONTHS
ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
----------------------------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
Net investment income................................ $ 2,287 $ 4,730 $ 21,225 $ 41,590
Net realized gain/(loss) on investments.............. 231 278 (1,636) 5,314
Net change in unrealized appreciation/(depreciation)
of investments..................................... (1,635) 286 (34,021) 406
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets resulting from
operations......................................... 883 5,294 (14,432) 47,310
Distributions to shareholders from net investment
income:
Primary A Shares................................... (1,381) (2,942) (20,698) (40,911)
Investor A Shares.................................. (655) (1,154) (433) (525)
Investor B Shares.................................. (210) (509) (55) (86)
Investor C Shares.................................. (41) (125) (39) (67)
Distributions to shareholders from net realized gains
on investments:
Primary A Shares................................... -- -- (974) (5,775)
Investor A Shares.................................. -- -- (18) (69)
Investor B Shares.................................. -- -- (3) (15)
Investor C Shares.................................. -- -- (2) (10)
Net increase/(decrease) in net assets from Fund share
transactions....................................... (16,575) 21,296 (15,979) 61,477
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets................ (17,979) 21,860 (52,633) 61,329
NET ASSETS:
Beginning of period.................................. 131,321 109,461 938,583 877,254
-------------- -------------- -------------- --------------
End of period........................................ $ 113,342 $ 131,321 $ 885,950 $ 938,583
============== ============== ============== ==============
Undistributed net investment income/(distributions in
excess of net investment income) at end of
period............................................. $ 38 $ 39 $ 752 $ 752
============== ============== ============== ==============
</TABLE>
- ---------------
(a) Represents financial information for the Pacific Horizon California
Municipal Bond Fund, which was reorganized into California Municipal Bond on
May 21, 1999.
SEE NOTES TO FINANCIAL STATEMENTS.
130
<PAGE> 135
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
CALIFORNIA FLORIDA INTERMEDIATE
MUNICIPAL INCOME MUNICIPAL BOND MUNICIPAL BOND
------------------------------------------------ -------------------------------
---------------------------------
SIX MONTHS SIX MONTHS
ENDED PERIOD ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 PERIOD ENDED YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 5/14/99(a) 2/28/99(a) (UNAUDITED) 3/31/99
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$ 15,906 $ 29,528 $ 3,513 $ 1,950 $ 10,113 $ 5,772 $ 10,814
(359) 2,167 (375) 1,093 2,447 (703) 292
(34,831) 970 (8,595) (3,924) 1,310 (8,614) 29
-------------- -------------- -------------- -------------- -------------- -------------- --------------
(19,284) 32,665 (5,457) (881) 13,870 (3,545) 11,135
(14,780) (27,799) (430) -- -- (5,356) (10,023)
(830) (1,064) (3,038) (1,930) (10,081) (295) (578)
(257) (578) (43) (20) (32) (97) (167)
(42) (84) (2) -- -- (24) (46)
(602) (2,148) -- -- -- -- --
(22) (95) -- -- (4,299) -- --
(13) (61) -- -- (26) -- --
(2) (9) -- -- -- -- --
226 185,849 (1,019) (9,699) 7,770 (7,709) 38,788
-------------- -------------- -------------- -------------- -------------- -------------- --------------
(35,606) 186,676 (9,989) (12,530) 7,202 (17,026) 39,109
680,214 493,538 208,657 221,187 213,985 253,819 214,710
-------------- -------------- -------------- -------------- -------------- -------------- --------------
$ 644,608 $ 680,214 $ 198,668 $ 208,657 $ 221,187 $ 236,793 $ 253,819
============== ============== ============== ============== ============== ============== ==============
$ 598 $ 602 $ 291 $ 292 $ 292 $ -- $ --
============== ============== ============== ============== ============== ============== ==============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
131
<PAGE> 136
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
FLORIDA GEORGIA INTERMEDIATE
MUNICIPAL BOND MUNICIPAL BOND
------------------------------- ------------------------------
SIX MONTHS SIX MONTHS
ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
----------------------------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
Net investment income................................ $ 3,604 $ 6,878 $ 3,539 $ 6,921
Net realized gain/(loss) on investments.............. 60 891 (186) 667
Net change in unrealized appreciation/(depreciation)
of investments..................................... (7,761) (346) (5,625) 119
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets resulting from
operations......................................... (4,097) 7,423 (2,272) 7,707
Distributions to shareholders from net investment
income:
Primary A Shares................................... (1,858) (3,320) (2,966) (5,859)
Investor A Shares.................................. (1,447) (2,901) (407) (740)
Investor B Shares.................................. (299) (658) (150) (289)
Investor C Shares.................................. --* --* (15) (33)
Distributions to shareholders from net realized gains
on investments:
Primary A Shares................................... -- -- -- (496)
Investor A Shares.................................. -- -- -- (77)
Investor B Shares.................................. -- -- -- (30)
Investor C Shares.................................. -- -- -- (4)
Net increase/(decrease) in net assets from Fund share
transactions....................................... (6,498) 111,028 (2,158) 17,195
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets................ (14,199) 111,572 (7,968) 17,374
NET ASSETS:
Beginning of period.................................. 158,028 48,456 160,886 143,512
-------------- -------------- -------------- --------------
End of period........................................ $ 143,829 $ 158,028 $ 152,918 $ 160,886
============== ============== ============== ==============
Undistributed net investment income/(distributions in
excess of net investment income) at end of
period............................................. $ 100 $ 99 $ 12 $ 11
============== ============== ============== ==============
</TABLE>
- ---------------
* Amount represents less than $500.
SEE NOTES TO FINANCIAL STATEMENTS.
132
<PAGE> 137
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
GEORGIA MARYLAND INTERMEDIATE MARYLAND
MUNICIPAL BOND MUNICIPAL BOND MUNICIPAL BOND
------------------------------- ------------------------------- -------------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 485 $ 874 $ 4,623 $ 8,126 $ 697 $ 1,167
(19) 52 (131) 1,039 (102) 60
(1,156) 160 (7,292) (51) (1,424) 66
-------------- -------------- -------------- -------------- -------------- --------------
(690) 1,086 (2,800) 9,114 (829) 1,293
(222) (418) (4,130) (7,192) (378) (619)
(51) (64) (370) (703) (36) (77)
(211) (393) (114) (210) (280) (470)
--* --* (9) (22) (2) (1)
-- -- -- -- -- (2)
-- -- -- -- -- --*
-- -- -- -- -- (1)
-- -- -- -- -- --
211 4,770 2,210 100,167 1,900 12,763
-------------- -------------- -------------- -------------- -------------- --------------
(963) 4,981 (5,213) 101,154 375 12,886
23,681 18,700 207,072 105,918 34,911 22,025
-------------- -------------- -------------- -------------- -------------- --------------
$ 22,718 $ 23,681 $ 201,859 $ 207,072 $ 35,286 $ 34,911
============== ============== ============== ============== ============== ==============
$ 9 $ 7 $ 2 $ 1 $ 8 $ 7
============== ============== ============== ============== ============== ==============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
133
<PAGE> 138
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NORTH CAROLINA INTERMEDIATE NORTH CAROLINA
MUNICIPAL BOND MUNICIPAL BOND
--------------------------------- --------------------------------
SIX MONTHS SIX MONTHS
ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
---------------------------------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
Net investment income................................ $ 4,722 $ 9,107 $ 868 $ 1,501
Net realized gain/(loss) on investments.............. (145) 609 27 53
Net change in unrealized appreciation/(depreciation)
of investments..................................... (7,796) 84 (2,130) 149
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets resulting from
operations......................................... (3,219) 9,800 (1,235) 1,703
Distributions to shareholders from net investment
income:
Primary A Shares................................... (4,382) (8,419) (393) (497)
Investor A Shares.................................. (218) (423) (25) (63)
Investor B Shares.................................. (120) (259) (450) (944)
Investor C Shares.................................. (2) (6) --* --*
Distributions to shareholders from net realized gains
on investments:
Primary A Shares................................... (234) (474) -- --
Investor A Shares.................................. (12) (25) -- --
Investor B Shares.................................. (8) (18) -- --
Investor C Shares.................................. --* --* -- --
Net increase/(decrease) in net assets from Fund share
transactions....................................... 172 14,118 1,430 9,529
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets................ (8,023) 14,294 (673) 9,728
NET ASSETS:
Beginning of period.................................. 210,277 195,983 41,980 32,252
-------------- -------------- -------------- --------------
End of period........................................ $ 202,254 $ 210,277 $ 41,307 $ 41,980
============== ============== ============== ==============
Undistributed net investment income/(distributions in
excess of net investment income) at end of
period............................................. $ 81 $ 81 $ 21 $ 21
============== ============== ============== ==============
</TABLE>
- ---------------
* Amount represents less than $500.
SEE NOTES TO FINANCIAL STATEMENTS.
134
<PAGE> 139
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
SOUTH CAROLINA INTERMEDIATE SOUTH CAROLINA TENNESSEE INTERMEDIATE
MUNICIPAL BOND MUNICIPAL BOND MUNICIPAL BOND
------------------------------- ------------------------------- -------------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 6,369 $ 12,740 $ 526 $ 974 $ 1,189 $ 2,286
(8) 1,038 (112) 28 (315) 235
(10,463) (235) (1,150) 45 (1,787) 35
-------------- -------------- -------------- -------------- -------------- --------------
(4,102) 13,543 (736) 1,047 (913) 2,556
(5,685) (11,626) (301) (518) (943) (1,811)
(451) (755) (25) (49) (192) (371)
(172) (288) (198) (405) (54) (104)
(61) (72) (1) (2) (1) --
(266) (857) -- -- -- --
(21) (59) -- -- -- --
(10) (25) -- -- -- --
(4) (6) -- -- -- --
6,612 (6,838) 1,161 3,368 (196) 4,759
-------------- -------------- -------------- -------------- -------------- --------------
(4,160) (6,983) (100) 3,441 (2,299) 5,029
269,568 276,551 24,835 21,394 55,108 50,079
-------------- -------------- -------------- -------------- -------------- --------------
$ 265,408 $ 269,568 $ 24,735 $ 24,835 $ 52,809 $ 55,108
============== ============== ============== ============== ============== ==============
$ 26 $ 25 $ 12 $ 11 $ 4 $ 4
============== ============== ============== ============== ============== ==============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
135
<PAGE> 140
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
TENNESSEE TEXAS INTERMEDIATE
MUNICIPAL BOND MUNICIPAL BOND
--------------------------------- --------------------------------
SIX MONTHS SIX MONTHS
ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
---------------------------------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
Net investment income................................ $ 234 $ 459 $ 9,226 $ 18,330
Net realized gain/(loss) on investments.............. (64) 132 (903) 1,846
Net change in unrealized appreciation/(depreciation)
of investments..................................... (532) (50) (13,970) (900)
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets resulting from
operations......................................... (362) 541 (5,647) 19,276
Distributions to shareholders from net investment
income:
Primary A Shares................................... (133) (243) (9,027) (18,065)
Investor A Shares.................................. (13) (36) (157) (175)
Investor B Shares.................................. (86) (177) (42) (82)
Investor C Shares.................................. (1) (2) --* (7)
Distributions to shareholders from net realized gains
on investments:
Primary A Shares................................... -- -- -- (1,579)
Investor A Shares.................................. -- -- -- (16)
Investor B Shares.................................. -- -- -- (9)
Investor C Shares.................................. -- -- -- --*
Net increase/(decrease) in net assets from Fund share
transactions....................................... (443) (8) (13,815) 10,224
-------------- -------------- -------------- --------------
Net increase/(decrease) in net assets................ (1,038) 75 (28,688) 9,567
NET ASSETS:
Beginning of period.................................. 11,032 10,957 400,480 390,913
-------------- -------------- -------------- --------------
End of period........................................ $ 9,994 $ 11,032 $ 371,792 $ 400,480
============== ============== ============== ==============
Undistributed net investment income/(distributions in
excess of net investment income) at end of
period............................................. $ 24 $ 23 $ 53 $ 53
============== ============== ============== ==============
</TABLE>
- ---------------
* Amount represents less than $500.
SEE NOTES TO FINANCIAL STATEMENTS.
136
<PAGE> 141
NATIONS FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
TEXAS VIRGINIA INTERMEDIATE VIRGINIA
MUNICIPAL BOND MUNICIPAL BOND MUNICIPAL BOND
------------------------------- ------------------------------- -------------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED ENDED ENDED
9/30/99 YEAR ENDED 9/30/99 YEAR ENDED 9/30/99 YEAR ENDED
(UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99 (UNAUDITED) 3/31/99
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 350 $ 720 $ 6,488 $ 11,920 $ 598 $ 1,160
(44) 339 (232) 279 (83) 138
(761) (219) (10,347) 784 (1,258) (23)
-------------- -------------- -------------- -------------- -------------- --------------
(455) 840 (4,091) 12,983 (743) 1,275
(209) (402) (5,137) (9,050) (326) (599)
(9) (21) (1,144) (2,450) (22) (50)
(130) (294) (185) (377) (250) (511)
(2) (3) (17) (43) --* --*
-- -- -- -- -- --
-- -- -- -- -- --
-- -- -- -- -- --
-- -- -- -- -- --
(1,074) (333) 1,651 57,724 494 2,011
-------------- -------------- -------------- -------------- -------------- --------------
(1,879) (213) (8,923) 58,787 (847) 2,126
16,706 16,919 295,428 236,641 27,459 25,333
-------------- -------------- -------------- -------------- -------------- --------------
$ 14,827 $ 16,706 $ 286,505 $ 295,428 $ 26,612 $ 27,459
============== ============== ============== ============== ============== ==============
$ 30 $ 31 $ 150 $ 146 $ 7 $ 7
============== ============== ============== ============== ============== ==============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
137
<PAGE> 142
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY
<TABLE>
<CAPTION>
SHORT-TERM MUNICIPAL INCOME
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 2,376 $ 23,825 4,720 $ 47,562
Issued as reinvestment of dividends....................... 1 7 9 90
Redeemed.................................................. (2,924) (29,457) (3,946) (39,739)
------ -------- ------ --------
Net increase/(decrease)................................... (547) $ (5,625) 783 $ 7,913
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 1,715 $ 17,202 4,979 $ 50,187
Issued as reinvestment of dividends....................... 39 388 92 931
Redeemed.................................................. (2,276) (22,818) (3,872) (39,023)
------ -------- ------ --------
Net increase/(decrease)................................... (522) $ (5,228) 1,199 $ 12,095
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... -- $ -- 419 $ 4,222
Issued as reinvestment of dividends....................... 15 154 42 426
Redeemed.................................................. (567) (5,697) (451) (4,539)
------ -------- ------ --------
Net increase/(decrease)................................... (552) $ (5,543) 10 $ 109
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... 41 $ 411 511 $ 5,138
Issued as reinvestment of dividends....................... 3 34 11 115
Redeemed.................................................. (62) (624) (405) (4,074)
------ -------- ------ --------
Net increase/(decrease)................................... (18) $ (179) 117 $ 1,179
====== ======== ====== ========
Total net increase/(decrease)............................. (1,639) $(16,575) 2,109 $ 21,296
====== ======== ====== ========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
138
<PAGE> 143
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
-------------------- --------------------
SHARES DOLLARS SHARES DOLLARS
----------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 8,011 $ 80,870 18,458 $ 190,928
Issued as reinvestment of dividends....................... 46 465 121 1,162
Redeemed.................................................. (10,218) (103,138) (13,596) (140,738)
------- --------- ------- ---------
Net increase/(decrease)................................... (2,161) $ (21,803) 4,983 $ 51,352
======= ========= ======= =========
INVESTOR A SHARES:
Sold...................................................... 1,941 $ 19,575 1,515 $ 15,629
Issued as reinvestment of dividends....................... 17 169 32 338
Redeemed.................................................. (1,483) (14,882) (609) (6,296)
------- --------- ------- ---------
Net increase/(decrease)................................... 475 $ 4,862 938 $ 9,671
======= ========= ======= =========
INVESTOR B SHARES:
Sold...................................................... 60 $ 607 54 $ 560
Issued as reinvestment of dividends....................... 3 30 6 59
Redeemed.................................................. (9) (88) (8) (84)
------- --------- ------- ---------
Net increase/(decrease)................................... 54 $ 549 52 $ 535
======= ========= ======= =========
INVESTOR C SHARES:
Sold...................................................... 59 $ 601 68 $ 704
Issued as reinvestment of dividends....................... 3 34 7 71
Redeemed.................................................. (22) (222) (83) (856)
------- --------- ------- ---------
Net increase/(decrease)................................... 40 $ 413 (8) $ (81)
======= ========= ======= =========
Total net increase/(decrease)............................. (1,592) $ (15,979) 5,965 $ 61,477
======= ========= ======= =========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
139
<PAGE> 144
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
MUNICIPAL INCOME
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 4,513 $ 50,446 11,061 $127,340
Issued in exchange for assets of NationsBank Common Trust:
Municipal Bond Fund (Note 8)............................ -- -- 11,784 135,044
Issued as reinvestment of dividends....................... 18 205 43 488
Redeemed.................................................. (5,114) (57,276) (7,333) (84,501)
------ -------- ------ --------
Net increase/(decrease)................................... (583) $ (6,625) 15,555 $178,371
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 3,766 $ 41,184 4,937 $ 56,960
Issued in exchange for A Shares of Pacific Horizon:
National Bond Fund (Note 8)............................. 1,684 19,123 -- --
Issued as reinvestment of dividends....................... 42 471 48 556
Redeemed.................................................. (4,661) (51,947) (4,168) (48,138)
------ -------- ------ --------
Net increase/(decrease)................................... 831 $ 8,831 817 $ 9,378
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 50 $ 566 135 $ 1,553
Issued as reinvestment of dividends....................... 13 141 27 307
Redeemed.................................................. (221) (2,435) (301) (3,462)
------ -------- ------ --------
Net increase/(decrease)................................... (158) $ (1,728) (139) $ (1,602)
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... 37 $ 412 55 $ 637
Issued as reinvestment of dividends....................... 3 36 7 77
Redeemed.................................................. (64) (700) (88) (1,012)
------ -------- ------ --------
Net increase/(decrease)................................... (24) $ (252) (26) $ (298)
====== ======== ====== ========
Total net increase/(decrease)............................. 66 $ 226 16,207 $185,849
====== ======== ====== ========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
140
<PAGE> 145
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
CALIFORNIA MUNICIPAL BOND
PERIOD ENDED
SEPTEMBER 30, 1999 PERIOD ENDED YEAR ENDED
(UNAUDITED)** MAY 14, 1999(a) FEBRUARY 28, 1999(a)
-------------------- ------------------ --------------------
SHARES DOLLARS SHARES DOLLARS SHARES DOLLARS
----------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................... 2,705 $ 19,556 -- $ -- -- $ --
Issued as reinvestment of dividends....... 10 70 -- -- -- --
Redeemed.................................. (27,604) (206,892) -- -- -- --
------- --------- ------ -------- ------ --------
Net increase/(decrease)................... (24,889) $(187,266) -- $ -- -- $ --
======= ========= ====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................... 1,108 $ 5,996 904 $ 6,860 7,925 $ 60,153
Issued in exchange for A Shares of Pacific
Horizon:
California Municipal Bond Fund (Note
8).................................... 27,443 205,884 -- -- -- --
Issued as reinvestment of dividends....... 242 1,274 130 989 1,220 9,312
Redeemed.................................. (4,129) (30,542) (2,361) (17,923) (8,401) (64,141)
------- --------- ------ -------- ------ --------
Net increase/(decrease)................... 24,664 $ 182,612 (1,327) $(10,074) 744 $ 5,324
======= ========= ====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................... 166 $ 1,229 98 $ 744 358 $ 2,735
Issued in exchange for B Shares of Pacific
Horizon:
California Municipal Bond Fund (Note
8).................................... 369 2,773 -- -- -- --
Issued as reinvestment of dividends....... 4 20 2 12 6 47
Redeemed.................................. (456) (638) (50) (381) (44) (336)
------- --------- ------ -------- ------ --------
Net increase/(decrease)................... 83 $ 3,384 50 $ 375 320 $ 2,446
======= ========= ====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................... 34 $ 250 -- $ -- -- $ --
Issued as reinvestment of dividends....... --* 1 -- -- -- --
Redeemed.................................. -- -- -- -- -- --
------- --------- ------ -------- ------ --------
Net increase/(decrease)................... 34 $ 251 -- $ -- -- $ --
======= ========= ====== ======== ====== ========
Total net increase/(decrease)............. (108) $ (1,019) (1,277) $ (9,699) 1,064 $ 7,770
======= ========= ====== ======== ====== ========
</TABLE>
- ---------------
(a) Represents financial information for the Pacific Horizon California
Municipal Bond Fund, which was reorganized into California Municipal Bond on
May 21, 1999.
* Amount represents less than $500 or 500 shares, as applicable.
** California Municipal Bond Fund's Primary A and Investor C Shares commenced
operations on May 21, 1999.
SEE NOTES TO FINANCIAL STATEMENTS.
141
<PAGE> 146
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
FLORIDA INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 1,809 $ 19,131 5,968 $ 64,595
Issued as reinvestment of dividends....................... 3 35 9 96
Redeemed.................................................. (2,414) (25,554) (3,163) (34,173)
------ -------- ------ --------
Net increase/(decrease)................................... (602) $ (6,388) 2,814 $ 30,518
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 154 $ 1,654 1,475 $ 15,944
Issued as reinvestment of dividends....................... 18 184 36 384
Redeemed.................................................. (254) (2,662) (996) (10,763)
------ -------- ------ --------
Net increase/(decrease)................................... (82) $ (824) 515 $ 5,565
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 30 $ 322 205 $ 2,103
Issued as reinvestment of dividends....................... 5 57 9 102
Redeemed.................................................. (62) (654) (78) (727)
------ -------- ------ --------
Net increase/(decrease)................................... (27) $ (275) 136 $ 1,478
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... 9 $ 100 182 $ 1,969
Issued as reinvestment of dividends....................... 2 18 3 33
Redeemed.................................................. (32) (340) (71) (775)
------ -------- ------ --------
Net increase/(decrease)................................... (21) $ (222) 114 $ 1,227
====== ======== ====== ========
Total net increase/(decrease)............................. (732) $ (7,709) 3,579 $ 38,788
====== ======== ====== ========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
142
<PAGE> 147
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
FLORIDA MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 1,052 $10,233 2,451 $ 24,796
Issued in exchange for Emerald Shares of Emerald:
Florida Tax-Exempt Fund (Note 8)........................ -- -- 4,083 40,619
Issued as reinvestment of dividends....................... 7 65 16 149
Redeemed.................................................. (993) (9,665) (1,560) (15,848)
----- ------- ------ --------
Net increase/(decrease)................................... 66 $ 633 4,990 $ 49,716
===== ======= ====== ========
INVESTOR A SHARES:
Sold...................................................... 204 $ 2,000 447 $ 4,495
Issued in exchange for Class A Shares of Emerald:
Florida Tax-Exempt Fund (Note 8)........................ -- -- 7,877 78,347
Issued as reinvestment of dividends....................... 102 993 215 2,170
Redeemed.................................................. (929) (9,040) (2,195) (22,090)
----- ------- ------ --------
Net increase/(decrease)................................... (623) $(6,047) 6,344 $ 62,922
===== ======= ====== ========
INVESTOR B SHARES:
Sold...................................................... 112 $ 1,094 199 $ 1,997
Issued as reinvestment of dividends....................... 13 124 29 296
Redeemed.................................................. (237) (2,302) (389) (3,923)
----- ------- ------ --------
Net increase/(decrease)................................... (112) $(1,084) (161) $ (1,630)
===== ======= ====== ========
INVESTOR C SHARES:
Sold...................................................... -- $ -- 2 $ 20
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. -- -- --* --*
----- ------- ------ --------
Net increase/(decrease)................................... --* $ --* 2 $ 20
===== ======= ====== ========
Total net increase/(decrease)............................. (669) $(6,498) 11,175 $111,028
===== ======= ====== ========
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
143
<PAGE> 148
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
GEORGIA INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- -------------------
SHARES DOLLARS SHARES DOLLARS
---------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 1,196 $ 12,817 2,261 $ 24,758
Issued as reinvestment of dividends....................... 1 8 2 18
Redeemed.................................................. (1,104) (11,874) (1,701) (18,648)
------ -------- ------ --------
Net increase/(decrease)................................... 93 $ 951 562 $ 6,128
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 41 $ 434 1,823 $ 20,088
Issued as reinvestment of dividends....................... 28 297 57 624
Redeemed.................................................. (335) (3,562) (946) (10,421)
------ -------- ------ --------
Net increase/(decrease)................................... (266) $ (2,831) 934 $ 10,291
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 34 $ 365 119 $ 1,307
Issued as reinvestment of dividends....................... 5 52 14 154
Redeemed.................................................. (65) (695) (49) (536)
------ -------- ------ --------
Net increase/(decrease)................................... (26) $ (278) 84 $ 925
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... -- $ -- 10 $ 112
Issued as reinvestment of dividends....................... 1 11 3 31
Redeemed.................................................. (1) (11) (27) (292)
------ -------- ------ --------
Net increase/(decrease)................................... --* $ --* (14) $ (149)
====== ======== ====== ========
Total net increase/(decrease)............................. (199) $ (2,158) 1,566 $ 17,195
====== ======== ====== ========
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
144
<PAGE> 149
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
GEORGIA MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
-------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 116 $1,142 274 $ 2,753
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. (85) (827) (127) (1,275)
---- ------ ---- -------
Net increase/(decrease)................................... 31 $ 315 147 $ 1,478
==== ====== ==== =======
INVESTOR A SHARES:
Sold...................................................... --* $ 2 218 $ 2,211
Issued as reinvestment of dividends....................... 4 42 5 53
Redeemed.................................................. (34) (338) (13) (132)
---- ------ ---- -------
Net increase/(decrease)................................... (30) $ (294) 210 $ 2,132
==== ====== ==== =======
INVESTOR B SHARES:
Sold...................................................... 133 $1,311 251 $ 2,532
Issued as reinvestment of dividends....................... 11 109 21 211
Redeemed.................................................. (125) (1,230) (155) (1,559)
---- ------ ---- -------
Net increase/(decrease)................................... 19 $ 190 117 $ 1,184
==== ====== ==== =======
INVESTOR C SHARES:
Sold...................................................... -- $ -- -- $ --
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. -- -- (3) (24)
---- ------ ---- -------
Net increase/(decrease)................................... --* $ --* (3) $ (24)
==== ====== ==== =======
Total net increase/(decrease)............................. 20 $ 211 471 $ 4,770
==== ====== ==== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
145
<PAGE> 150
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
MARYLAND INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 1,997 $ 21,678 2,757 $ 30,674
Issued in exchange for assets of NationsBank Common Trust:
Intermediate Municipal Bond Fund (Note 8)............... -- -- 8,515 93,840
Issued as reinvestment of dividends....................... 5 49 8 97
Redeemed.................................................. (1,915) (20,792) (2,414) (26,843)
------ -------- ------ --------
Net increase/(decrease)................................... 87 $ 935 8,866 $ 97,768
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 152 $ 1,632 254 $ 2,836
Issued as reinvestment of dividends....................... 20 221 46 514
Redeemed.................................................. (87) (938) (162) (1,829)
------ -------- ------ --------
Net increase/(decrease)................................... 85 $ 915 138 $ 1,521
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 55 $ 602 175 $ 1,944
Issued as reinvestment of dividends....................... 7 77 14 150
Redeemed.................................................. (22) (244) (84) (935)
------ -------- ------ --------
Net increase/(decrease)................................... 40 $ 435 105 $ 1,159
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... --* $ 1 7 $ 77
Issued as reinvestment of dividends....................... 1 7 2 17
Redeemed.................................................. (8) (83) (35) (375)
------ -------- ------ --------
Net increase/(decrease)................................... (7) $ (75) (26) $ (281)
====== ======== ====== ========
Total net increase/(decrease)............................. 205 $ 2,210 9,083 $100,167
====== ======== ====== ========
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
146
<PAGE> 151
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
MARYLAND MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- -----------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 324 $ 3,199 1,214 $12,110
Issued as reinvestment of dividends....................... --* 2 --* 4
Redeemed.................................................. (231) (2,262) (420) (4,201)
---- ------- ----- -------
Net increase/(decrease)................................... 93 $ 939 794 $ 7,913
==== ======= ===== =======
INVESTOR A SHARES:
Sold...................................................... 18 $ 180 27 $ 268
Issued as reinvestment of dividends....................... 2 24 6 60
Redeemed.................................................. (15) (151) (49) (491)
---- ------- ----- -------
Net increase/(decrease)................................... 5 $ 53 (16) $ (163)
==== ======= ===== =======
INVESTOR B SHARES:
Sold...................................................... 200 $ 1,962 630 $ 6,403
Issued as reinvestment of dividends....................... 18 178 34 341
Redeemed.................................................. (147) (1,433) (164) (1,731)
---- ------- ----- -------
Net increase/(decrease)................................... 71 $ 707 500 $ 5,013
==== ======= ===== =======
INVESTOR C SHARES:
Sold...................................................... 21 $ 200 --* $ --*
Issued as reinvestment of dividends....................... --* 1 --* --*
Redeemed.................................................. -- -- --* --*
---- ------- ----- -------
Net increase/(decrease)................................... 21 $ 201 --* $ --*
==== ======= ===== =======
Total net increase/(decrease)............................. 190 $ 1,900 1,278 $12,763
==== ======= ===== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
147
<PAGE> 152
NATIONS FUNDS
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
NORTH CAROLINA INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 1,469 $ 15,474 3,786 $ 41,006
Issued as reinvestment of dividends....................... 17 185 21 236
Redeemed.................................................. (1,412) (14,870) (2,549) (27,730)
------ -------- ------ --------
Net increase/(decrease)................................... 74 $ 789 1,258 $ 13,512
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 68 $ 713 400 $ 4,296
Issued as reinvestment of dividends....................... 15 155 27 287
Redeemed.................................................. (79) (835) (285) (3,068)
------ -------- ------ --------
Net increase/(decrease)................................... 4 $ 33 142 $ 1,515
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 4 $ 39 48 $ 514
Issued as reinvestment of dividends....................... 8 82 18 193
Redeemed.................................................. (73) (759) (84) (903)
------ -------- ------ --------
Net increase/(decrease)................................... (61) $ (638) (18) $ (196)
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... -- $ -- --* $ --*
Issued as reinvestment of dividends....................... --* 2 1 6
Redeemed.................................................. (1) (14) (68) (719)
------ -------- ------ --------
Net increase/(decrease)................................... (1) $ (12) (67) $ (713)
====== ======== ====== ========
Total net increase/(decrease)............................. 16 $ 172 1,315 $ 14,118
====== ======== ====== ========
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
148
<PAGE> 153
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
NORTH CAROLINA MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- -----------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 453 $ 4,500 1,145 $11,553
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. (273) (2,704) (172) (1,735)
---- ------- ------ -------
Net increase/(decrease)................................... 180 $ 1,796 973 $ 9,818
==== ======= ====== =======
INVESTOR A SHARES:
Sold...................................................... 33 $ 327 162 $ 1,638
Issued as reinvestment of dividends....................... 1 14 2 21
Redeemed.................................................. (28) (275) (123) (1,251)
---- ------- ------ -------
Net increase/(decrease)................................... 6 $ 66 41 $ 408
==== ======= ====== =======
INVESTOR B SHARES:
Sold...................................................... 127 $ 1,256 281 $ 2,828
Issued as reinvestment of dividends....................... 29 283 63 640
Redeemed.................................................. (201) (1,971) (413) (4,165)
---- ------- ------ -------
Net increase/(decrease)................................... (45) $ (432) (69) $ (697)
==== ======= ====== =======
INVESTOR C SHARES:
Sold...................................................... -- $ -- --* $ --*
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. -- -- --* --*
---- ------- ------ -------
Net increase/(decrease)................................... --* $ --* -- $ --
==== ======= ====== =======
Total net increase/(decrease)............................. 141 $ 1,430 945 $ 9,529
==== ======= ====== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
149
<PAGE> 154
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
SOUTH CAROLINA INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- -------------------
SHARES DOLLARS SHARES DOLLARS
---------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 1,941 $ 20,486 2,584 $ 27,952
Issued as reinvestment of dividends....................... 6 69 15 164
Redeemed.................................................. (1,538) (16,233) (3,874) (41,931)
------ -------- ------ --------
Net increase/(decrease)................................... 409 $ 4,322 (1,275) $(13,815)
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 351 $ 3,741 602 $ 6,544
Issued as reinvestment of dividends....................... 17 179 34 364
Redeemed.................................................. (182) (1,930) (192) (2,081)
------ -------- ------ --------
Net increase/(decrease)................................... 186 $ 1,990 444 $ 4,827
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 82 $ 870 218 $ 2,370
Issued as reinvestment of dividends....................... 9 98 18 190
Redeemed.................................................. (69) (725) (76) (824)
------ -------- ------ --------
Net increase/(decrease)................................... 22 $ 243 160 $ 1,736
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... 57 $ 597 191 $ 2,068
Issued as reinvestment of dividends....................... 4 42 4 46
Redeemed.................................................. (56) (582) (157) (1,700)
------ -------- ------ --------
Net increase/(decrease)................................... 5 $ 57 38 $ 414
====== ======== ====== ========
Total net increase/(decrease)............................. 622 $ 6,612 (633) $ (6,838)
====== ======== ====== ========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
150
<PAGE> 155
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
SOUTH CAROLINA MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
-------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 400 $ 3,990 503 $ 5,191
Issued as reinvestment of dividends....................... -- -- -- --
Redeemed.................................................. (246) (2,455) (183) (1,887)
---- ------- ---- -------
Net increase/(decrease)................................... 154 $ 1,535 320 $ 3,304
==== ======= ==== =======
INVESTOR A SHARES:
Sold...................................................... 17 $ 171 6 $ 67
Issued as reinvestment of dividends....................... 2 19 4 42
Redeemed.................................................. (2) (21) (55) (568)
---- ------- ---- -------
Net increase/(decrease)................................... 17 $ 169 (45) $ (459)
==== ======= ==== =======
INVESTOR B SHARES:
Sold...................................................... 18 $ 165 98 $ 1,013
Issued as reinvestment of dividends....................... 11 115 23 234
Redeemed.................................................. (83) (824) (75) (774)
---- ------- ---- -------
Net increase/(decrease)................................... (54) $ (544) 46 $ 473
==== ======= ==== =======
INVESTOR C SHARES:
Sold...................................................... -- $ -- 5 $ 48
Issued as reinvestment of dividends....................... --* 1 --* 2
Redeemed.................................................. -- -- --* --*
---- ------- ---- -------
Net increase/(decrease)................................... --* $ 1 5 $ 50
==== ======= ==== =======
Total net increase/(decrease)............................. 117 $ 1,161 326 $ 3,368
==== ======= ==== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
151
<PAGE> 156
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
TENNESSEE INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
-------------------- --------------------
SHARES DOLLARS SHARES DOLLARS
-----------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 338 $ 3,444 769 $ 8,052
Issued as reinvestment of dividends....................... 4 42 7 75
Redeemed.................................................. (353) (3,601) (440) (4,608)
---- ------- ---- -------
Net increase/(decrease)................................... (11) $ (115) 336 $ 3,519
==== ======= ==== =======
INVESTOR A SHARES:
Sold...................................................... 47 $ 484 169 $ 1,771
Issued as reinvestment of dividends....................... 12 128 25 265
Redeemed.................................................. (68) (701) (86) (896)
---- ------- ---- -------
Net increase/(decrease)................................... (9) $ (89) 108 $ 1,140
==== ======= ==== =======
INVESTOR B SHARES:
Sold...................................................... 4 $ 38 30 $ 310
Issued as reinvestment of dividends....................... 3 37 7 77
Redeemed.................................................. (6) (67) (31) (317)
---- ------- ---- -------
Net increase/(decrease)................................... 1 $ 8 6 $ 70
==== ======= ==== =======
INVESTOR C SHARES:
Sold...................................................... --* $ --* 3 $ 30
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. --* --* --* --*
---- ------- ---- -------
Net increase/(decrease)................................... --* $ --* 3 $ 30
==== ======= ==== =======
Total net increase/(decrease)............................. 19 $ (196) 453 $ 4,759
==== ======= ==== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
152
<PAGE> 157
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
TENNESSEE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
-------------------- --------------------
SHARES DOLLARS SHARES DOLLARS
-----------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 55 $ 544 189 $ 1,946
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. (98) (960) (76) (777)
--- ------ ---- -------
Net increase/(decrease)................................... (43) $ (416) 113 $ 1,169
=== ====== ==== =======
INVESTOR A SHARES:
Sold...................................................... 20 $ 209 34 $ 349
Issued as reinvestment of dividends....................... 1 7 3 32
Redeemed.................................................. --* --* (131) (1,354)
--- ------ ---- -------
Net increase/(decrease)................................... 21 $ 216 (94) $ (973)
=== ====== ==== =======
INVESTOR B SHARES:
Sold...................................................... 6 $ 64 14 $ 145
Issued as reinvestment of dividends....................... 6 58 13 129
Redeemed.................................................. (36) (365) (49) (503)
--- ------ ---- -------
Net increase/(decrease)................................... (24) $ (243) (22) $ (229)
=== ====== ==== =======
INVESTOR C SHARES:
Sold...................................................... -- $ -- 2 $ 24
Issued as reinvestment of dividends....................... --* --* --* 1
Redeemed.................................................. -- -- --* --*
--- ------ ---- -------
Net increase/(decrease)................................... --* $ --* 2 $ 25
=== ====== ==== =======
Total net increase/(decrease)............................. (46) $ (443) (1) $ (8)
=== ====== ==== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
153
<PAGE> 158
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
TEXAS INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 2,189 $ 22,534 5,191 $ 54,659
Issued as reinvestment of dividends....................... --* 4 15 160
Redeemed.................................................. (3,555) (36,395) (4,612) (48,526)
------ -------- ------ --------
Net increase/(decrease)................................... (1,366) $(13,857) 594 $ 6,293
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 128 $ 1,306 1,057 $ 11,128
Issued as reinvestment of dividends....................... 3 34 9 94
Redeemed.................................................. (132) (1,346) (661) (6,956)
------ -------- ------ --------
Net increase/(decrease)................................... (1) $ (6) 405 $ 4,266
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 5 $ 49 10 $ 104
Issued as reinvestment of dividends....................... 3 25 5 58
Redeemed.................................................. (3) (26) (20) (206)
------ -------- ------ --------
Net increase/(decrease)................................... 5 $ 48 (5) $ (44)
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... -- $ -- --* $ --*
Issued as reinvestment of dividends....................... --* --* 1 6
Redeemed.................................................. -- -- (29) (297)
------ -------- ------ --------
Net increase/(decrease)................................... --* $ --* (28) $ (291)
====== ======== ====== ========
Total net increase/(decrease)............................. (1,362) $(13,815) 966 $ 10,224
====== ======== ====== ========
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
154
<PAGE> 159
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
TEXAS MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- -----------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 14 $ 142 280 $ 2,823
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. (107) (1,046) (109) (1,100)
---- ------- ---- -------
Net increase/(decrease)................................... (93) $ (904) 171 $ 1,723
==== ======= ==== =======
INVESTOR A SHARES:
Sold...................................................... 6 $ 60 58 $ 588
Issued as reinvestment of dividends....................... --* 2 1 7
Redeemed.................................................. (7) (73) (61) (617)
---- ------- ---- -------
Net increase/(decrease)................................... (1) $ (11) (2) $ (22)
==== ======= ==== =======
INVESTOR B SHARES:
Sold...................................................... 4 $ 37 8 $ 93
Issued as reinvestment of dividends....................... 7 68 17 168
Redeemed.................................................. (27) (265) (227) (2,298)
---- ------- ---- -------
Net increase/(decrease)................................... (16) $ (160) (202) $(2,037)
==== ======= ==== =======
INVESTOR C SHARES:
Sold...................................................... -- $ -- --* $ --*
Issued as reinvestment of dividends....................... --* 1 --* 3
Redeemed.................................................. -- -- --* --*
---- ------- ---- -------
Net increase/(decrease)................................... --* $ 1 --* $ 3
==== ======= ==== =======
Total net increase/(decrease)............................. (110) $(1,074) (33) $ (333)
==== ======= ==== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
155
<PAGE> 160
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
VIRGINIA INTERMEDIATE MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------ ------------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 2,853 $ 30,686 7,658 $ 84,298
Issued in exchange for assets of NationsBank Common Trust:
Virginia Municipal Bond Fund (Note 8)................... -- -- 437 4,781
Issued as reinvestment of dividends....................... 3 30 6 65
Redeemed.................................................. (2,175) (23,494) (3,052) (33,592)
------ -------- ------ --------
Net increase/(decrease)................................... 681 $ 7,222 5,049 $ 55,552
====== ======== ====== ========
INVESTOR A SHARES:
Sold...................................................... 71 $ 762 883 $ 9,763
Issued as reinvestment of dividends....................... 57 615 132 1,452
Redeemed.................................................. (568) (6,158) (799) (8,799)
------ -------- ------ --------
Net increase/(decrease)................................... (440) $ (4,781) 216 $ 2,416
====== ======== ====== ========
INVESTOR B SHARES:
Sold...................................................... 66 $ 701 115 $ 1,275
Issued as reinvestment of dividends....................... 11 114 22 246
Redeemed.................................................. (125) (1,341) (82) (910)
------ -------- ------ --------
Net increase/(decrease)................................... (48) $ (526) 55 $ 611
====== ======== ====== ========
INVESTOR C SHARES:
Sold...................................................... 6 $ 68 48 $ 531
Issued as reinvestment of dividends....................... 1 13 3 33
Redeemed.................................................. (32) (345) (130) (1,419)
------ -------- ------ --------
Net increase/(decrease)................................... (25) $ (264) (79) $ (855)
====== ======== ====== ========
Total net increase/(decrease)............................. 168 $ 1,651 5,241 $ 57,724
====== ======== ====== ========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
156
<PAGE> 161
NATIONS FUNDS
- --------------------------------------------------------------------------------
SCHEDULES OF CAPITAL STOCK ACTIVITY (CONTINUED)
<TABLE>
<CAPTION>
VIRGINIA MUNICIPAL BOND
SIX MONTHS ENDED
SEPTEMBER 30, 1999 YEAR ENDED
(UNAUDITED) MARCH 31, 1999
------------------- -----------------
SHARES DOLLARS SHARES DOLLARS
------------------------------------------
<S> <C> <C> <C> <C>
(IN THOUSANDS)
PRIMARY A SHARES:
Sold...................................................... 276 $ 2,697 431 $ 4,431
Issued as reinvestment of dividends....................... --* 2 1 13
Redeemed.................................................. (100) (970) (240) (2,532)
---- ------- ---- -------
Net increase/(decrease)................................... 176 $ 1,729 192 $ 1,912
==== ======= ==== =======
INVESTOR A SHARES:
Sold...................................................... 46 $ 437 48 $ 476
Issued as reinvestment of dividends....................... 1 11 3 33
Redeemed.................................................. (81) (778) (77) (777)
---- ------- ---- -------
Net increase/(decrease)................................... (34) $ (330) (26) $ (268)
==== ======= ==== =======
INVESTOR B SHARES:
Sold...................................................... 36 $ 350 120 $ 1,210
Issued as reinvestment of dividends....................... 14 145 31 314
Redeemed.................................................. (144) (1,400) (114) (1,157)
---- ------- ---- -------
Net increase/(decrease)................................... (94) $ (905) 37 $ 367
==== ======= ==== =======
INVESTOR C SHARES:
Sold...................................................... -- $ -- --* $ --*
Issued as reinvestment of dividends....................... --* --* --* --*
Redeemed.................................................. -- -- --* --*
---- ------- ---- -------
Net increase/(decrease)................................... --* $ --* --* $ --*
==== ======= ==== =======
Total net increase/(decrease)............................. 48 $ 494 203 $ 2,011
==== ======= ==== =======
</TABLE>
- ---------------
* Amount represents less than $500 or 500 shares, as applicable.
SEE NOTES TO FINANCIAL STATEMENTS.
157
<PAGE> 162
NATIONS FUNDS
FINANCIAL HIGHLIGHTS
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
SHORT-TERM MUNICIPAL INCOME
PRIMARY A SHARES
Six months ended 9/30/1999(c)
(unaudited)............................. $10.10 $0.20 $(0.13) $0.07 $(0.20) --
Year ended 3/31/1999(c)................... 10.05 0.41 0.05 0.46 (0.41) --
Year ended 3/31/1998...................... 9.95 0.42 0.10 0.52 (0.42) --
Year ended 3/31/1997...................... 9.98 0.44 (0.03) 0.41 (0.44) --
Period ended 3/31/1996(b)................. 10.03 0.15 (0.05) 0.10 (0.15) --
Year ended 11/30/1995..................... 9.69 0.44 0.34 0.78 (0.44) --
Year ended 11/30/1994..................... 9.96 0.38 (0.27) 0.11 (0.38) $(0.00)#
INVESTOR A SHARES
Six months ended 9/30/1999(c)
(unaudited)............................. $10.10 $0.20 $(0.12) $0.08 $(0.20) --
Year ended 3/31/1999(c)................... 10.05 0.39 0.05 0.44 (0.39) --
Year ended 3/31/1998...................... 9.95 0.40 0.10 0.50 (0.40) --
Year ended 3/31/1997...................... 9.98 0.42 (0.03) 0.39 (0.42) --
Period ended 3/31/1996(b)................. 10.03 0.14 (0.05) 0.09 (0.14) --
Year ended 11/30/1995..................... 9.69 0.42 0.34 0.76 (0.42) --
Year ended 11/30/1994..................... 9.96 0.36 (0.27) 0.09 (0.36) $(0.00)#
INVESTOR B SHARES
Six months ended 9/30/1999(c)
(unaudited)............................. $10.10 $0.19 $(0.12) $0.07 $(0.19) --
Year ended 3/31/1999(c)................... 10.05 0.38 0.05 0.43 (0.38) --
Year ended 3/31/1998...................... 9.95 0.39 0.10 0.49 (0.39) --
Year ended 3/31/1997...................... 9.98 0.40 (0.03) 0.37 (0.40) --
Period ended 3/31/1996(b)................. 10.03 0.13 (0.05) 0.08 (0.13) --
Year ended 11/30/1995..................... 9.69 0.40 0.34 0.74 (0.40) --
Year ended 11/30/1994..................... 9.96 0.34 (0.27) 0.07 (0.34) $(0.00)#
INVESTOR C SHARES
Six months ended 9/30/1999(c)
(unaudited)............................. $10.10 $0.16 $(0.13) $0.03 $(0.16) --
Year ended 3/31/1999(c)................... 10.05 0.40 0.02 0.42 (0.37) --
Year ended 3/31/1998...................... 9.95 0.39 0.10 0.49 (0.39) --
Year ended 3/31/1997...................... 9.98 0.40 (0.03) 0.37 (0.40) --
Period ended 3/31/1996(b)................. 10.03 0.14 (0.05) 0.09 (0.14) --
Year ended 11/30/1995..................... 9.69 0.42 0.34 0.76 (0.42) --
Period ended 11/30/1994*.................. 9.84 0.19 (0.15) 0.04 (0.19) $(0.00)#
</TABLE>
- ---------------
* Short-Term Municipal Income Investor C Shares commenced operations on May
19, 1994.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
158
<PAGE> 163
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS EXPENSE ASSETS RATE NET ASSETS
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
$(0.20) $ 9.97 1.32% $72,563 0.40%+ 0.41%+ 4.09%+ 36% 0.77%+
(0.41) 10.10 4.71 79,002 0.40 (a) 4.11 53 0.80
(0.42) 10.05 5.33 70,740 0.40 (a) 4.17 94 0.77
(0.44) 9.95 4.15 61,072 0.40 (a) 4.36 80 0.84
(0.15) 9.98 0.96 48,511 0.40+ (a) 4.37+ 16 0.86+
(0.44) 10.03 8.16 49,961 0.45 (a) 4.38 82 0.93
(0.38) 9.69 1.09 33,488 0.34 (a) 3.83 57 0.80
$(0.20) $ 9.98 1.22% $30,155 0.61%+ 0.62%+ 3.88%+ 36% 1.02%+
(0.39) 10.10 4.50 35,805 0.60 (a) 3.91 53 1.05
(0.40) 10.05 5.12 23,580 0.60 (a) 3.97 94 0.97
(0.42) 9.95 3.96 8,417 0.60 (a) 4.16 80 1.04
(0.14) 9.98 0.90 4,599 0.60+ (a) 4.17+ 16 1.06+
(0.42) 10.03 7.95 3,741 0.65 (a) 4.18 82 1.13
(0.36) 9.69 0.90 217 0.52 (a) 3.65 57 0.99
$(0.19) $ 9.98 1.14% $ 8,253 0.77%+ 0.78%+ 3.72%+ 36% 1.77%+
(0.38) 10.10 4.34 13,931 0.75 (a) 3.76 53 1.80
(0.39) 10.05 4.96 13,753 0.75 (a) 3.82 94 1.12
(0.40) 9.95 3.78 10,655 0.75 (a) 4.01 80 1.19
(0.13) 9.98 0.84 13,859 0.75+ (a) 4.02+ 16 1.21+
(0.40) 10.03 7.78 9,803 0.80 (a) 4.03 82 1.28
(0.34) 9.69 0.73 13,421 0.69 (a) 3.48 57 1.15
$(0.16) $ 9.97 0.81% $ 2,371 1.40%+ 1.41%+ 3.09%+ 36% 1.77%+
(0.37) 10.10 4.29 2,583 0.83 (a) 3.68 53 1.80
(0.39) 10.05 4.99 1,388 0.75 (a) 3.82 94 1.12
(0.40) 9.95 3.79 1,080 0.75 (a) 4.01 80 1.19
(0.14) 9.98 0.85 2,072 0.72+ (a) 4.05+ 16 1.18+
(0.42) 10.03 7.95 1,953 0.70 (a) 4.13 82 1.18
(0.19) 9.69 0.45 323 0.59+ (a) 3.58+ 57 1.05+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
159
<PAGE> 164
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.30 $0.23 $(0.39) $(0.16) $(0.23) $(0.01)
Year ended 3/31/1999.............. 10.30 0.47 0.07 0.54 (0.47) (0.07)
Year ended 3/31/1998.............. 10.01 0.48 0.33 0.81 (0.48) (0.04)
Year ended 3/31/1997.............. 10.03 0.48 (0.02) 0.46 (0.48) --
Period ended 3/31/1996(b)......... 10.17 0.16 (0.14) 0.02 (0.16) --
Year ended 11/30/1995............. 9.24 0.48 0.93 1.41 (0.48) --
Year ended 11/30/1994............. 10.11 0.45 (0.86) (0.41) (0.45)# (0.01)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.30 $0.22 $(0.39) $(0.17) $(0.22) $(0.01)
Year ended 3/31/1999.............. 10.30 0.45 0.07 0.52 (0.45) (0.07)
Year ended 3/31/1998.............. 10.01 0.46 0.33 0.79 (0.46) (0.04)
Year ended 3/31/1997.............. 10.03 0.46 (0.02) 0.44 (0.46) --
Period ended 3/31/1996(b)......... 10.17 0.15 (0.14) 0.01 (0.15) --
Year ended 11/30/1995............. 9.24 0.47 0.93 1.40 (0.47) --
Year ended 11/30/1994............. 10.11 0.42 (0.86) (0.44) (0.42)# (0.01)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.30 $0.19 $(0.39) $(0.20) $(0.19) $(0.01)
Year ended 3/31/1999.............. 10.30 0.39 0.07 0.46 (0.39) (0.07)
Year ended 3/31/1998.............. 10.01 0.41 0.33 0.74 (0.41) (0.04)
Year ended 3/31/1997.............. 10.03 0.43 (0.02) 0.41 (0.43) --
Period ended 3/31/1996(b)......... 10.17 0.14 (0.14) 0.00 (0.14) --
Year ended 11/30/1995............. 9.24 0.43 0.93 1.36 (0.43) --
Period ended 11/30/1994**......... 10.13 0.39 (0.88) (0.49) (0.39)# (0.01)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.30 $0.19 $(0.39) $(0.20) $(0.19) $(0.01)
Year ended 3/31/1999.............. 10.30 0.40 0.09 0.49 (0.42) (0.07)
Year ended 3/31/1998.............. 10.01 0.42 0.33 0.75 (0.42) (0.04)
Year ended 3/31/1997.............. 10.03 0.43 (0.02) 0.41 (0.43) --
Period ended 3/31/1996(b)......... 10.17 0.14 (0.14) 0.00 (0.14) --
Year ended 11/30/1995............. 9.24 0.43 0.93 1.36 (0.43) --
Period ended 11/30/1994**......... 9.35 0.03 (0.11) (0.08) (0.03) --
</TABLE>
- ---------------
** Intermediate Municipal Bond Investor B and Investor C Shares commenced
operations on December 2, 1993 and November 3, 1994, respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
SEE NOTES TO FINANCIAL STATEMENTS.
160
<PAGE> 165
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.24) $ 9.90 (1.51)% $860,900 0.50%+ 4.65%+ 17% 0.70%+
(0.54) 10.30 5.33 918,367 0.50(a) 4.55 40 0.68
(0.52) 10.30 8.20 867,154 0.50(a) 4.65 47 0.74
(0.48) 10.01 4.63 108,204 0.50(a) 4.74 21 0.81
(0.16) 10.03 0.20 77,423 0.50+(a) 4.75+ 4 0.83+
(0.48) 10.17 15.60 73,897 0.45(a) 4.91 31 0.84
(0.46) 9.24 (4.25) 38,055 0.35(a) 4.59 51 0.88
$(0.23) $ 9.90 (1.61)% $ 20,217 0.71%+ 4.44%+ 17% 0.95%+
(0.52) 10.30 5.12 16,149 0.70(a) 4.35 40 0.93
(0.50) 10.30 7.99 6,487 0.70(a) 4.45 47 0.94
(0.46) 10.01 4.42 2,067 0.70(a) 4.54 21 1.01
(0.15) 10.03 0.13 1,500 0.70+(a) 4.55+ 4 1.03+
(0.47) 10.17 15.38 1,249 0.65(a) 4.71 31 1.04
(0.43) 9.24 (4.48) 172 0.53(a) 4.41 51 1.06
$(0.20) $ 9.90 (1.92)% $ 2,990 1.33%+ 3.82%+ 17% 1.70%+
(0.46) 10.30 4.49 2,556 1.30(a) 3.75 40 1.68
(0.45) 10.30 7.50 2,023 1.20(a) 3.95 47 1.44
(0.43) 10.01 4.12 1,481 1.00(a) 4.24 21 1.31
(0.14) 10.03 0.03 1,623 1.00+(a) 4.25+ 4 1.33+
(0.43) 10.17 15.02 1,352 0.95(a) 4.41 31 1.34
(0.40) 9.24 (5.00) 943 0.85+(a) 4.09+ 51 1.38+
$(0.20) $ 9.90 (1.94)% $ 1,843 1.50%+ 3.65%+ 17% 1.70%+
(0.49) 10.30 4.80 1,511 1.21(a) 3.84 40 1.68
(0.46) 10.30 7.62 1,590 1.20(a) 3.95 47 1.44
(0.43) 10.01 4.11 756 1.00(a) 4.24 21 1.31
(0.14) 10.03 0.03 716 1.00+(a) 4.25+ 4 1.33+
(0.43) 10.17 14.96 359 0.95(a) 4.41 31 1.34
(0.03) 9.24 (0.52) 2 0.85+(a) 4.09+ 51 1.38+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
161
<PAGE> 166
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
MUNICIPAL INCOME
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.48 $0.27 $(0.61) $(0.34) $(0.27) $(0.01)
Year ended 3/31/1999.............. 11.46 0.54 0.07 0.61 (0.54) (0.05)
Year ended 3/31/1998.............. 10.89 0.57 0.62 1.19 (0.57) (0.05)
Year ended 3/31/1997.............. 10.84 0.59 0.05 0.64 (0.59) --
Period ended 3/31/1996(b)......... 11.08 0.20 (0.24) (0.04) (0.20) --
Year ended 11/30/1995............. 9.64 0.59 1.44 2.03 (0.59) --
Year ended 11/30/1994............. 11.33 0.57 (1.44) (0.87) (0.57)# (0.25)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.48 $0.26 $(0.61) $(0.35) $(0.26) $(0.01)
Year ended 3/31/1999.............. 11.46 0.52 0.07 0.59 (0.52) (0.05)
Year ended 3/31/1998.............. 10.89 0.54 0.62 1.16 (0.54) (0.05)
Year ended 3/31/1997.............. 10.84 0.57 0.05 0.62 (0.57) --
Period ended 3/31/1996(b)......... 11.08 0.19 (0.24) (0.05) (0.19) --
Year ended 11/30/1995............. 9.64 0.57 1.44 2.01 (0.57) --
Year ended 11/30/1994............. 11.33 0.55 (1.44) (0.89) (0.55)# (0.25)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.48 $0.22 $(0.61) $(0.39) $(0.22) $(0.01)
Year ended 3/31/1999.............. 11.46 0.44 0.08 0.52 (0.45) (0.05)
Year ended 3/31/1998.............. 10.89 0.48 0.62 1.10 (0.48) (0.05)
Year ended 3/31/1997.............. 10.84 0.51 0.05 0.56 (0.51) --
Period ended 3/31/1996(b)......... 11.08 0.17 (0.24) (0.07) (0.17) --
Year ended 11/30/1995............. 9.64 0.51 1.44 1.95 (0.51) --
Period ended 11/30/1994........... 11.33 0.49 (1.44) (0.95) (0.49)# (0.25)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.48 $0.22 $(0.61) $(0.39) $(0.22) $(0.01)
Year ended 3/31/1999.............. 11.46 0.46 0.07 0.53 (0.46) (0.05)
Year ended 3/31/1998.............. 10.89 0.49 0.62 1.11 (0.49) (0.05)
Year ended 3/31/1997.............. 10.84 0.53 0.05 0.58 (0.53) --
Period ended 3/31/1996(b)......... 11.08 0.18 (0.24) (0.06) (0.18) --
Year ended 11/30/1995............. 9.64 0.51 1.44 1.95 (0.51) --
Period ended 11/30/1994........... 11.33 0.49 (1.44) (0.95) (0.49)# (0.25)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
SEE NOTES TO FINANCIAL STATEMENTS.
162
<PAGE> 167
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS EXPENSE ASSETS RATE NET ASSETS
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
$(0.28) $10.86 (3.00)% $595,362 0.60%+ (a) 4.80%+ 13% 0.81%+
(0.59) 11.48 5.42 635,629 0.60 -- 4.71 11 0.80
(0.62) 11.46 11.12 456,485 0.60 (a) 4.97 38 0.84
(0.59) 10.89 6.03 77,260 0.60 (a) 5.41 25 0.91
(0.20) 10.84 (0.41) 68,022 0.60+ (a) 5.35+ 4 0.91+
(0.59) 11.08 21.55 68,836 0.60 (a) 5.63 49 0.88
(0.82) 9.64 (8.17) 59,279 0.61 0.62% 5.42 63 0.90
$(0.27) $10.86 (3.10)% $ 36,113 0.80%+ (a) 4.60%+ 13% 1.06%+
(0.57) 11.48 5.21 28,625 0.80 -- 4.51 11 1.05
(0.59) 11.46 10.89 19,226 0.80 (a) 4.77 38 1.04
(0.57) 10.89 5.82 15,075 0.80 (a) 5.21 25 1.11
(0.19) 10.84 (0.47) 26,085 0.80+ (a) 5.15+ 4 1.11+
(0.57) 11.08 21.31 27,963 0.80 (a) 5.43 49 1.08
(0.80) 9.64 (8.34) 23,754 0.79 0.80% 5.24 63 1.08
$(0.23) $10.86 (3.42)% $ 11,361 1.47%+ (a) 3.93%+ 13% 1.81%+
(0.50) 11.48 4.53 13,810 1.45 -- 3.86 11 1.80
(0.53) 11.46 10.23 15,383 1.42 (a) 4.15 38 1.66
(0.51) 10.89 5.24 14,615 1.35 (a) 4.66 25 1.66
(0.17) 10.84 (0.66) 16,870 1.35+ (a) 4.60+ 4 1.66+
(0.51) 11.08 20.65 18,165 1.35 (a) 4.88 49 1.63
(0.74) 9.64 (8.86) 17,101 1.36 1.37% 4.67 63 1.65
$(0.23) $10.86 (3.46)% $ 1,772 1.60%+ (a) 3.80%+ 13% 1.81%+
(0.51) 11.48 4.64 2,150 1.36 -- 3.95 11 1.80
(0.54) 11.46 10.37 2,444 1.33 (a) 4.24 38 1.57
(0.53) 10.89 5.50 1,713 1.10 (a) 4.91 25 1.41
(0.18) 10.84 (0.60) 2,173 1.16+ (a) 4.79+ 4 1.47+
(0.51) 11.08 20.65 2,268 1.35 (a) 4.88 49 1.63
(0.74) 9.64 (8.86) 3,064 1.36 1.37% 4.67 63 1.65
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
163
<PAGE> 168
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
CALIFORNIA MUNICIPAL BOND
PRIMARY A SHARES
Period ended 9/30/1999***
(unaudited)..................... $7.51 $0.13 $(0.35) $(0.22) $(0.13) --
INVESTOR A SHARES*
Period ended 9/30/1999
(unaudited)..................... $7.50 $0.15 $(0.33) $(0.18) $(0.15) --
Period ended 5/14/1999............ 7.60 0.07 (0.10) (0.03) (0.07) --
Year ended 2/28/1999.............. 7.64 0.34 0.10 0.44 (0.34) $(0.14)
Year ended 2/28/1998.............. 7.35 0.35 0.29 0.64 (0.35) --
Year ended 2/28/1997**............ 7.45 0.36 (0.05) 0.31 (0.36) (0.05)
Year ended 2/29/1996.............. 7.12 0.37 0.33 0.70 (0.37) --
Year ended 2/28/1995.............. 7.49 0.38 (0.37) 0.01 (0.38) --
INVESTOR B SHARES*
Period ended 9/30/1999
(unaudited)..................... $7.51 $0.14 $(0.34) $(0.20) $(0.14) --
Period ended 5/14/1999............ 7.61 0.06 (0.10) (0.04) (0.06) --
Period ended 2/28/1999***......... 7.61 0.16 0.14 0.30 (0.16) $(0.14)
INVESTOR C SHARES
Period ended 9/30/1999***
(unaudited)..................... $7.51 $0.05 $(0.36) $(0.31) $(0.05) --
</TABLE>
- ---------------
* The financial information for the fiscal periods through May 14, 1999
reflect the financial information for the Pacific Horizon California
Municipal Bond Fund's A Shares and B Shares, which were reorganized into the
Investor A Shares and Investor B Shares, respectively, as of May 21, 1999.
** As of July 22, 1996, the Fund designated the existing series of shares as
"A" Shares.
*** California Municipal Bond Primary A, Investor B and Investor C Shares
commenced operations on May 21, 1999, July 15, 1998 and July 29, 1999,
respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of the fees reduced by credits allowed by the custodian on the
operating expense ratio, with and without waivers and/or expense
reimbursements, was less than 0.01%.
(b) The effect of interest expense on the operating expense ratio was less than
0.01%.
SEE NOTES TO FINANCIAL STATEMENTS.
164
<PAGE> 169
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.13) $7.16 (2.99)% $ 18,288 0.61%+(b) 4.45%+ 32% 0.90%+
$(0.15) $7.17 (2.69)% $176,890 0.81%+(b) 4.25%+ 32% 1.15%+
(0.07) 7.50 (0.42) 206,000 0.93+ 4.40+ 1 0.96+
(0.48) 7.60 5.94 219,000 0.93(a) 4.42 42 0.93(a)
(0.35) 7.64 9.18 214,000 0.90(a) 4.74 28 1.06(a)
(0.41) 7.35 4.29 221,000 0.90(a) 4.88 34 1.10(a)
(0.37) 7.45 10.12 221,000 0.94(a) 5.11 57 1.14(a)
(0.38) 7.12 0.36 195,000 0.95 5.43 20 1.15
$(0.14) $7.17 (3.06)% $ 3,245 1.47%+(b) 3.59%+ 32% 1.90%+
(0.06) 7.51 (0.57) 3,000 1.66+ 3.63+ 1 1.69+
(0.30) 7.61 4.09 2,000 1.70+(a) 3.67+ 42 1.71+(a)
$(0.05) $7.15 (4.18)% $ 245 1.61%+(b) 3.45%+ 32% 1.90%+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
165
<PAGE> 170
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
FLORIDA INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.25 $(0.40) $(0.15) $(0.25) --
Year ended 3/31/1999.............. 10.77 0.50 0.02 0.52 (0.50) --
Year ended 3/31/1998.............. 10.40 0.50 0.37 0.87 (0.50) --
Year ended 3/31/1997.............. 10.46 0.49 (0.06) 0.43 (0.49) --
Period ended 3/31/1996(b)......... 10.63 0.17 (0.17) 0.00 (0.17) --
Year ended 11/30/1995............. 9.61 0.48 1.02 1.50 (0.48) --
Year ended 11/30/1994............. 10.50 0.45 (0.88) (0.43) (0.45)# $(0.01)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.24 $(0.41) $(0.17) $(0.24) --
Year ended 3/31/1999.............. 10.77 0.48 0.02 0.50 (0.48) --
Year ended 3/31/1998.............. 10.40 0.48 0.37 0.85 (0.48) --
Year ended 3/31/1997.............. 10.46 0.47 (0.06) 0.41 (0.47) --
Period ended 3/31/1996(b)......... 10.63 0.16 (0.17) (0.01) (0.16) --
Year ended 11/30/1995............. 9.61 0.46 1.02 1.48 (0.46) --
Year ended 11/30/1994............. 10.50 0.43 (0.88) (0.45) (0.43)# $(0.01)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.21 $(0.40) $(0.19) $(0.21) --
Year ended 3/31/1999.............. 10.77 0.42 0.02 0.44 (0.42) --
Year ended 3/31/1998.............. 10.40 0.43 0.37 0.80 (0.43) --
Year ended 3/31/1997.............. 10.46 0.44 (0.06) 0.38 (0.44) --
Period ended 3/31/1996(b)......... 10.63 0.15 (0.17) (0.02) (0.15) --
Year ended 11/30/1995............. 9.61 0.43 1.02 1.45 (0.43) --
Year ended 11/30/1994............. 10.50 0.40 (0.88) (0.48) (0.40)# $(0.01)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.20 $(0.40) $(0.20) $(0.20) --
Year ended 3/31/1999.............. 10.77 0.41 0.03 0.44 (0.42) --
Year ended 3/31/1998(c)........... 10.40 0.43 0.37 0.80 (0.43) --
Year ended 3/31/1997.............. 10.46 0.44 (0.06) 0.38 (0.44) --
Period ended 3/31/1996(b)......... 10.63 0.15 (0.17) (0.02) (0.15) --
Year ended 11/30/1995............. 9.61 0.43 1.02 1.45 (0.43) --
Year ended 11/30/1994............. 10.50 0.39 (0.88) (0.49) (0.39)# $(0.01)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
166
<PAGE> 171
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.25) $10.39 (1.40)% 219,576 0.50%+(a) 4.71%+ 4% 0.74%+
(0.50) 10.79 4.95 234,530 0.50 4.65 14 0.72
(0.50) 10.77 8.55 203,710 0.50(a) 4.74 13 0.76
(0.49) 10.40 4.22 51,748 0.50(a) 4.72 16 0.81
(0.17) 10.46 (0.06) 44,988 0.50+(a) 4.66+ 18 0.86+
(0.48) 10.63 15.92 44,038 0.55(a) 4.70 27 0.81
(0.46) 9.61 (4.26) 42,717 0.55(a) 4.44 34 0.76
$(0.24) $10.38 (1.60)% 11,448 0.71%+(a) 4.50%+ 4% 0.99%+
(0.48) 10.79 4.74 12,783 0.70 4.45 14 0.97
(0.48) 10.77 8.34 7,205 0.70(a) 4.54 13 0.96
(0.47) 10.40 4.01 2,142 0.70(a) 4.52 16 1.01
(0.16) 10.46 (0.13) 2,029 0.70+(a) 4.46+ 18 1.06+
(0.46) 10.63 15.68 2,292 0.75(a) 4.50 27 1.01
(0.44) 9.61 (4.43) 2,114 0.73(a) 4.26 34 0.94
$(0.21) $10.39 (1.81)% 4,625 1.33%+(a) 3.88%+ 4% 1.74%+
(0.42) 10.79 4.11 5,090 1.30 3.85 14 1.72
(0.43) 10.77 7.80 3,606 1.20(a) 4.04 13 1.46
(0.44) 10.40 3.70 3,488 1.00(a) 4.22 16 1.31
(0.15) 10.46 (0.23) 4,001 1.00+(a) 4.16+ 18 1.36+
(0.43) 10.63 15.34 4,775 1.05(a) 4.20 27 1.31
(0.41) 9.61 (4.73) 4,691 1.05(a) 3.94 34 1.26
$(0.20) $10.39 (1.89)% 1,144 1.50%+(a) 3.71%+ 4% 1.74%+
(0.42) 10.79 4.10 1,416 1.36 3.79 14 1.72
(0.43) 10.77 7.80 188 1.20(a) 4.04 13 1.46
(0.44) 10.40 3.71 272 1.00(a) 4.22 16 1.31
(0.15) 10.46 (0.23) 275 1.00+(a) 4.16+ 18 1.36+
(0.43) 10.63 15.34 277 1.05(a) 4.20 27 1.31
(0.40) 9.61 (4.81) 614 1.13(a) 3.86 34 1.34
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
167
<PAGE> 172
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
FLORIDA MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.24 $(0.50) $(0.26) $(0.24)
Year ended 3/31/1999............................... 9.99 0.48 0.00 0.48 (0.48)
Year ended 3/31/1998............................... 9.48 0.48 0.51 0.99 (0.48)
Year ended 3/31/1997............................... 9.47 0.48 0.01 0.49 (0.48)
Period ended 3/31/1996(b).......................... 9.76 0.16 (0.29) (0.13) (0.16)
Year ended 11/30/1995.............................. 8.40 0.51 1.36 1.87 (0.51)
Period ended 11/30/1994*........................... 9.93 0.49 (1.53) (1.04) (0.49)
INVESTOR A SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.23 $(0.50) $(0.27) $(0.23)
Year ended 3/31/1999............................... 9.99 0.46 0.00 0.46 (0.46)
Year ended 3/31/1998............................... 9.48 0.46 0.51 0.97 (0.46)
Year ended 3/31/1997............................... 9.47 0.46 0.01 0.47 (0.46)
Period ended 3/31/1996(b).......................... 9.76 0.15 (0.29) (0.14) (0.15)
Year ended 11/30/1995.............................. 8.40 0.49 1.36 1.85 (0.49)
Period ended 11/30/1994*........................... 9.98 0.47 (1.58) (1.11) (0.47)
INVESTOR B SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.20 $(0.50) $(0.30) $(0.20)
Year ended 3/31/1999............................... 9.99 0.40 0.00 0.40 (0.40)
Year ended 3/31/1998............................... 9.48 0.40 0.51 0.91 (0.40)
Year ended 3/31/1997............................... 9.47 0.41 0.01 0.42 (0.41)
Period ended 3/31/1996(b).......................... 9.76 0.14 (0.29) (0.15) (0.14)
Year ended 11/30/1995.............................. 8.40 0.44 1.36 1.80 (0.44)
Year ended 11/30/1994.............................. 9.73 0.45 (1.33) (0.88) (0.45)
INVESTOR C SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.19 $(0.50) $(0.31) $(0.19)
Year ended 3/31/1999(c)............................ 9.99 0.37 0.03 0.40 (0.40)
Year ended 3/31/1998(c)............................ 9.48 0.41 0.51 0.92 (0.41)
Year ended 3/31/1997............................... 9.47 0.44 0.01 0.45 (0.44)
Period ended 3/31/1996(b).......................... 9.76 0.14 (0.29) (0.15) (0.14)
Year ended 11/30/1995.............................. 8.40 0.44 1.36 1.80 (0.44)
Period ended 11/30/1994*........................... 8.47 0.03 (0.07) (0.04) (0.03)
</TABLE>
- ---------------
* Florida Municipal Bond Primary A, Investor A and Investor C Shares commenced
operations on December 13, 1993, December 10, 1993 and November 3, 1994,
respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
168
<PAGE> 173
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
NET ASSETS OPERATING NET INVESTMENT OPERATING
NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$9.49 (2.63)% $73,991 0.60%+(a) 4.92%+ 2% 0.88%+
9.99 4.90 77,197 0.60(a) 4.80 16 0.85
9.99 10.60 27,378 0.60(a) 4.85 19 0.90
9.48 5.29 16,702 0.60(a) 5.07 23 0.93
9.47 (1.33) 13,044 0.60+(a) 5.03+ 7 0.96+
9.76 22.69 11,219 0.39(a) 5.44 13 0.95
8.40 (10.70) 4,258 0.21+(a) 5.55+ 46 0.91+
$9.49 (2.73)% $56,215 0.81%+(a) 4.71%+ 2% 1.13%+
9.99 4.69 65,373 0.80(a) 4.60 16 1.10
9.99 10.38 2,027 0.80(a) 4.65 19 1.10
9.48 5.09 1,781 0.80(a) 4.87 23 1.13
9.47 (1.40) 1,836 0.80+(a) 4.83+ 7 1.16+
9.76 22.45 1,787 0.59 5.24 13 1.15
8.40 (11.35) 1,024 0.39+(a) 5.37+ 46 1.09+
$9.49 (3.05)% $13,601 1.48%+(a) 4.04%+ 2% 1.88%+
9.99 4.01 15,435 1.45(a) 3.95 16 1.85
9.99 9.71 17,048 1.42(a) 4.03 19 1.72
9.48 4.52 19,751 1.35(a) 4.32 23 1.68
9.47 (1.58) 23,947 1.35+(a) 4.28+ 7 1.71+
9.76 21.78 25,398 1.14(a) 4.69 13 1.70
8.40 (9.37) 19,868 0.96(a) 4.80 46 1.66
$9.49 (3.11)% $ 22 1.60%+(a) 3.92%+ 2% 1.88%+
9.99 4.01 23 1.53(a) 3.87 16 1.85
9.99 9.83 3 1.33(a) 4.12 19 1.63
9.48 4.78 40 1.10(a) 4.57 23 1.43
9.47 (1.52) 38 1.15+(a) 4.48+ 7 1.51+
9.76 21.80 38 1.14(a) 4.69 13 1.70
8.40 (0.43) 2 0.96+(a) 4.80+ 46 1.66+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
169
<PAGE> 174
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
GEORGIA INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.94 $0.25 $(0.40) $(0.15) $(0.25) --
Year ended 3/31/1999.............. 10.92 0.49 0.07 0.56 (0.50) $(0.04)
Year ended 3/31/1998.............. 10.58 0.49 0.38 0.87 (0.49) (0.04)
Year ended 3/31/1997.............. 10.63 0.50 (0.05) 0.45 (0.50) --
Period ended 3/31/1996(b)......... 10.81 0.17 (0.18) (0.01) (0.17) --
Year ended 11/30/1995............. 9.82 0.50 0.99 1.49 (0.50) --
Year ended 11/30/1994............. 10.82 0.49 (0.98) (0.49) (0.49)# (0.02)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.94 $0.24 $(0.40) $(0.16) $(0.24) --
Year ended 3/31/1999.............. 10.92 0.47 0.06 0.53 (0.47) $(0.04)
Year ended 3/31/1998.............. 10.58 0.47 0.38 0.85 (0.47) (0.04)
Year ended 3/31/1997.............. 10.63 0.48 (0.05) 0.43 (0.48) --
Period ended 3/31/1996(b)......... 10.81 0.16 (0.18) (0.02) (0.16) --
Year ended 11/30/1995............. 9.82 0.48 0.99 1.47 (0.48) --
Year ended 11/30/1994............. 10.82 0.47 (0.98) (0.51) (0.47)# (0.02)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.94 $0.20 $(0.40) $(0.20) $(0.20) --
Year ended 3/31/1999.............. 10.92 0.41 0.06 0.47 (0.41) $(0.04)
Year ended 3/31/1998.............. 10.58 0.42 0.38 0.80 (0.42) (0.04)
Year ended 3/31/1997.............. 10.63 0.45 (0.05) 0.40 (0.45) --
Period ended 3/31/1996(b)......... 10.81 0.15 (0.18) (0.03) (0.15) --
Year ended 11/30/1995............. 9.82 0.45 0.99 1.44 (0.45) --
Year ended 11/30/1994............. 10.82 0.44 (0.98) (0.54) (0.44)# (0.02)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.94 $0.19 $(0.40) $(0.21) $(0.19) --
Year ended 3/31/1999.............. 10.92 0.41 0.05 0.46 (0.40) $(0.04)
Year ended 3/31/1998(c)........... 10.58 0.42 0.38 0.80 (0.42) (0.04)
Year ended 3/31/1997.............. 10.63 0.45 (0.05) 0.40 (0.45) --
Period ended 3/31/1996(b)......... 10.81 0.15 (0.18) (0.03) (0.15) --
Year ended 11/30/1995............. 9.82 0.45 0.99 1.44 (0.45) --
Year ended 11/30/1994............. 10.82 0.43 (0.98) (0.55) (0.43)# (0.02)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
170
<PAGE> 175
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE TURNOVER AVERAGE NET
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS EXPENSE NET ASSETS RATE ASSETS
--------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$(0.25) $10.54 (1.39)% $128,180 0.50%+ (a) 4.58%+ 6% 0.78%+
(0.54) 10.94 5.20 132,016 0.50 (a) 4.51 14 0.73
(0.53) 10.92 8.45 125,654 0.50 (a) 4.54 25 0.75
(0.50) 10.58 4.33 43,470 0.50 (a) 4.72 9 0.80
(0.17) 10.63 (0.13) 38,222 0.50+ (a) 4.67+ 3 0.83+
(0.50) 10.81 15.42 40,383 0.55 (a) 4.76 17 0.80
(0.51) 9.82 (4.70) 33,111 0.54 0.55% 4.74 22 0.75
$(0.24) $10.54 (1.52)% $ 16,150 0.71%+ (a) 4.37%+ 6% 1.03%+
(0.51) 10.94 4.99 19,674 0.70 (a) 4.31 14 0.98
(0.51) 10.92 8.24 9,446 0.70 (a) 4.34 25 0.95
(0.48) 10.58 4.12 8,810 0.70 (a) 4.52 9 1.00
(0.16) 10.63 (0.19) 8,625 0.70+ (a) 4.47+ 3 1.03+
(0.48) 10.81 15.20 9,175 0.75 (a) 4.56 17 1.00
(0.49) 9.82 (4.87) 10,401 0.72 0.73% 4.56 22 0.93
$(0.20) $10.54 (1.83)% $ 7,733 1.33%+ (a) 3.75%+ 6% 1.78%+
(0.45) 10.94 4.37 8,310 1.30 (a) 3.71 14 1.73
(0.46) 10.92 7.70 7,378 1.20 (a) 3.84 25 1.45
(0.45) 10.58 3.81 7,601 1.00 (a) 4.22 9 1.30
(0.15) 10.63 (0.29) 8,098 1.00+ (a) 4.17+ 3 1.33+
(0.45) 10.81 14.85 8,160 1.05 (a) 4.26 17 1.30
(0.46) 9.82 (5.17) 7,269 1.04 1.05% 4.24 22 1.25
$(0.19) $10.54 (1.91)% $ 855 1.50%+ (a) 3.58%+ 6% 1.78%+
(0.44) 10.94 4.35 886 1.31 (a) 3.70 14 1.73
(0.46) 10.92 7.70 1,034 1.20 (a) 3.84 25 1.45
(0.45) 10.58 3.81 1,983 1.00 (a) 4.22 9 1.30
(0.15) 10.63 (0.29) 2,445 1.00+ (a) 4.17+ 3 1.33+
(0.45) 10.81 14.85 2,606 1.05 (a) 4.26 17 1.30
(0.45) 9.82 (5.25) 2,397 1.12 1.13% 4.16 22 1.33
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
171
<PAGE> 176
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
GEORGIA MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.12 $0.23 $(0.50) $(0.27) $(0.23)
Year ended 3/31/1999............................... 10.00 0.46 0.12 0.58 (0.46)
Year ended 3/31/1998............................... 9.50 0.47 0.50 0.97 (0.47)
Year ended 3/31/1997............................... 9.48 0.47 0.02 0.49 (0.47)
Period ended 3/31/1996(b).......................... 9.72 0.16 (0.24) (0.08) (0.16)
Year ended 11/30/1995.............................. 8.38 0.51 1.34 1.85 (0.51)
Period ended 11/30/1994*........................... 10.02 0.46 (1.64) (1.18) (0.46)
INVESTOR A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.12 $0.22 $(0.50) $(0.28) $(0.22)
Year ended 3/31/1999............................... 10.00 0.44 0.12 0.56 (0.44)
Year ended 3/31/1998............................... 9.50 0.45 0.50 0.95 (0.45)
Year ended 3/31/1997............................... 9.48 0.45 0.02 0.47 (0.45)
Period ended 3/31/1996(b).......................... 9.72 0.14 (0.24) (0.10) (0.14)
Year ended 11/30/1995.............................. 8.38 0.49 1.34 1.83 (0.49)
Period ended 11/30/1994*........................... 9.99 0.47 (1.61) (1.14) (0.47)
INVESTOR B SHARES
Six months ended 9/30/1999 (unaudited)............. $10.12 $0.18 $(0.50) $(0.32) $(0.18)
Year ended 3/31/1999............................... 10.00 0.37 0.12 0.49 (0.37)
Year ended 3/31/1998............................... 9.50 0.39 0.50 0.89 (0.39)
Year ended 3/31/1997............................... 9.48 0.40 0.02 0.42 (0.40)
Period ended 3/31/1996(b).......................... 9.72 0.14 (0.24) (0.10) (0.14)
Year ended 11/30/1995.............................. 8.38 0.44 1.34 1.78 (0.44)
Year ended 11/30/1994.............................. 9.81 0.45 (1.43) (0.98) (0.45)
INVESTOR C SHARES
Six months ended 9/30/1999 (unaudited)............. $10.12 $0.17 $(0.50) $(0.33) $(0.17)
Year ended 3/31/1999............................... 10.00 0.37 0.12 0.49 (0.37)
Year ended 3/31/1998(c)............................ 9.50 0.40 0.50 0.90 (0.40)
Year ended 3/31/1997............................... 9.48 0.42 0.02 0.44 (0.42)
Period ended 3/31/1996(b).......................... 9.72 0.14 (0.24) (0.10) (0.14)
Year ended 11/30/1995.............................. 8.38 0.44 1.34 1.78 (0.44)
Period ended 11/30/1994*........................... 8.45 0.03 (0.07) (0.04) (0.03)
</TABLE>
- ---------------
* Georgia Municipal Bond Primary A, Investor A and Investor C Shares commenced
operations on January 13, 1994, December 30, 1993 and November 3, 1994,
respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
172
<PAGE> 177
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
NET ASSETS OPERATING NET INVESTMENT OPERATING
NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 9.62 (2.73)% $ 9,542 0.60%+ 4.59%+ 5% 1.32%+
10.12 5.89 9,719 0.60 4.53 17 1.18
10.00 10.43 8,138 0.60(a) 4.82 30 1.02
9.50 5.29 5,550 0.60(a) 4.96 19 1.05
9.48 (0.84) 2,068 0.60+(a) 4.96+ 7 1.14+
9.72 22.48 2,628 0.40(a) 5.42 26 1.09
8.38 (12.07) 232 0.21+(a) 5.60+ 35 1.04+
$ 9.62 (2.83)% $ 2,201 0.81%+ 4.38%+ 5% 1.57%+
10.12 5.68 2,611 0.80 4.33 17 1.43
10.00 10.22 483 0.80(a) 4.62 30 1.22
9.50 5.05 208 0.80(a) 4.76 19 1.25
9.48 (1.08) 7 0.80+(a) 4.76+ 7 1.34+
9.72 22.25 7 0.60(a) 5.22 26 1.29
8.38 (11.71) 6 0.39+(a) 5.42+ 35 1.22+
$ 9.62 (3.15)% $10,972 1.48%+ 3.71%+ 5% 2.32%+
10.12 5.00 11,348 1.45 3.68 17 2.18
10.00 9.54 10,052 1.42(a) 4.00 30 1.84
9.50 4.50 10,182 1.35(a) 4.21 19 1.80
9.48 (1.09) 12,254 1.35+(a) 4.21+ 7 1.89+
9.72 21.58 13,017 1.15(a) 4.67 26 1.84
8.38 (10.28) 9,500 0.96(a) 4.85 35 1.79
$ 9.62 (3.25)% $ 3 1.60%+ 3.59%+ 5% 2.32%+
10.12 4.97 3 1.49 3.64 17 2.18
10.00 9.64 27 1.33(a) 4.09 30 1.75
9.50 4.77 72 1.10(a) 4.46 19 1.55
9.48 (1.03) 69 1.16+(a) 4.40+ 7 1.70+
9.72 21.59 69 1.15(a) 4.67 26 1.84
8.38 (0.44) 2 0.96+(a) 4.85+ 35 1.79+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
173
<PAGE> 178
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
MARYLAND INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.07 $0.25 $(0.39) $(0.14) $(0.25) --
Year ended 3/31/1999.............. 11.01 0.50 0.06 0.56 (0.50) --
Year ended 3/31/1998.............. 10.70 0.51 0.31 0.82 (0.51) --
Year ended 3/31/1997.............. 10.80 0.51 (0.10) 0.41 (0.51) --
Period ended 3/31/1996(b)......... 10.95 0.17 (0.15) 0.02 (0.17) --
Year ended 11/30/1995............. 10.00 0.51 0.98 1.49 (0.51) $(0.03)
Year ended 11/30/1994............. 11.09 0.50 (0.99) (0.49) (0.50) (0.10)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.07 $0.24 $(0.39) $(0.15) $(0.24) --
Year ended 3/31/1999.............. 11.01 0.48 0.06 0.54 (0.48) --
Year ended 3/31/1998.............. 10.70 0.49 0.31 0.80 (0.49) --
Year ended 3/31/1997.............. 10.80 0.48 (0.10) 0.38 (0.48) --
Period ended 3/31/1996(b)......... 10.95 0.16 (0.15) 0.01 (0.16) --
Year ended 11/30/1995............. 10.00 0.48 0.98 1.46 (0.48) $(0.03)
Year ended 11/30/1994............. 11.09 0.48 (0.99) (0.51) (0.48) (0.10)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.07 $0.20 $(0.39) $(0.19) $(0.20) --
Year ended 3/31/1999.............. 11.01 0.41 0.06 0.47 (0.41) --
Year ended 3/31/1998.............. 10.70 0.43 0.31 0.74 (0.43) --
Year ended 3/31/1997.............. 10.80 0.45 (0.10) 0.35 (0.45) --
Period ended 3/31/1996(b)......... 10.95 0.15 (0.15) 0.00 (0.15) --
Year ended 11/30/1995............. 10.00 0.45 0.98 1.43 (0.45) $(0.03)
Year ended 11/30/1994............. 11.09 0.45 (0.99) (0.54) (0.45) (0.10)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $11.07 $0.19 $(0.39) $(0.20) $(0.19) --
Year ended 3/31/1999.............. 11.01 0.41 0.06 0.47 (0.41) --
Year ended 3/31/1998.............. 10.70 0.43 0.31 0.74 (0.43) --
Year ended 3/31/1997.............. 10.80 0.45 (0.10) 0.35 (0.45) --
Period ended 3/31/1996(b)......... 10.95 0.15 (0.15) 0.00 (0.15) --
Year ended 11/30/1995............. 10.00 0.45 0.98 1.43 (0.45) $(0.03)
Year ended 11/30/1994............. 11.09 0.44 (0.99) (0.55) (0.44) (0.10)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount represents less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
SEE NOTES TO FINANCIAL STATEMENTS.
174
<PAGE> 179
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
DISTRIBUTIONS TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
IN EXCESS OF DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
NET REALIZED AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
CAPITAL GAINS DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
-- $(0.25) $10.68 (1.29)% $177,725 0.50%+ 4.56%+ 5% 0.76%+
-- (0.50) 11.07 5.17 183,356 0.50 4.51 22 0.74
-- (0.51) 11.01 7.83 84,715 0.50 4.63 12 0.80
-- (0.51) 10.70 3.83 63,549 0.50(a) 4.70 10 0.78
-- (0.17) 10.80 0.16 61,337 0.50+(a) 4.62+ 4 0.81+
-- (0.54) 10.95 15.16 62,460 0.55(a) 4.76 11 0.80
$(0.00)# (0.60) 10.00 (4.64) 61,349 0.53(a) 4.73 22 0.73
-- $(0.24) $10.68 (1.39)% $ 17,465 0.71%+ 4.35%+ 5% 1.01%+
-- (0.48) 11.07 4.96 17,166 0.70 4.31 22 0.99
-- (0.49) 11.01 7.61 15,558 0.70 4.43 12 1.00
-- (0.48) 10.70 3.62 14,988 0.70(a) 4.50 10 0.98
-- (0.16) 10.80 0.09 19,456 0.70+(a) 4.42+ 4 1.01+
-- (0.51) 10.95 14.94 21,208 0.75(a) 4.56 11 1.00
$(0.00)# (0.58) 10.00 (4.82) 22,145 0.71(a) 4.55 22 0.91
-- $(0.20) $10.68 (1.70)% $ 6,202 1.34%+ 3.72%+ 5% 1.76%+
-- (0.41) 11.07 4.33 5,989 1.30 3.71 22 1.74
-- (0.43) 11.01 7.07 4,804 1.20 3.93 12 1.50
-- (0.45) 10.70 3.31 4,299 1.00(a) 4.20 10 1.28
-- (0.15) 10.80 (0.01) 4,500 1.00+(a) 4.12+ 4 1.31+
-- (0.48) 10.95 14.59 4,485 1.05(a) 4.26 11 1.30
$(0.00)# (0.55) 10.00 (5.12) 4,368 1.03(a) 4.23 22 1.23
-- $(0.19) $10.68 (1.78)% $ 467 1.50%+ 3.56%+ 5% 1.76%+
-- (0.41) 11.07 4.31 561 1.32 3.69 22 1.74
-- (0.43) 11.01 7.07 840 1.20 3.93 12 1.50
-- (0.45) 10.70 3.31 2,017 1.00(a) 4.20 10 1.28
-- (0.15) 10.80 (0.01) 2,900 1.00+(a) 4.12+ 4 1.31+
-- (0.48) 10.95 14.59 2,808 1.05(a) 4.26 11 1.30
$(0.00)# (0.54) 10.00 (5.20) 2,570 1.11(a) 4.15 22 1.31
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
175
<PAGE> 180
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
MARYLAND MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $9.99 $0.21 $(0.41) $(0.20) $(0.21) --
Year ended 3/31/1999.............. 9.94 0.43 0.05 0.48 (0.43) $(0.00)#
Year ended 3/31/1998.............. 9.41 0.45 0.53 0.98 (0.45) --
Year ended 3/31/1997.............. 9.39 0.46 0.02 0.48 (0.46) --
Period ended 3/31/1996(b)......... 9.63 0.15 (0.24) (0.09) (0.15) --
Year ended 11/30/1995............. 8.37 0.48 1.26 1.74 (0.48) --
Period ended 11/30/1994*.......... 8.90 0.11 (0.53) (0.42) (0.11) --
INVESTOR A SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $9.99 $0.20 $(0.41) $(0.21) $(0.20) --
Year ended 3/31/1999.............. 9.94 0.41 0.05 0.46 (0.41) $(0.00)#
Year ended 3/31/1998.............. 9.41 0.43 0.53 0.96 (0.43) --
Year ended 3/31/1997.............. 9.39 0.44 0.02 0.46 (0.44) --
Period ended 3/31/1996(b)......... 9.63 0.14 (0.24) (0.10) (0.14) --
Year ended 11/30/1995............. 8.37 0.46 1.26 1.72 (0.46) --
Year ended 11/30/1994............. 9.77 0.49 (1.40) (0.91) (0.49) --
INVESTOR B SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $9.99 $0.17 $(0.41) $(0.24) $(0.17) --
Year ended 3/31/1999.............. 9.94 0.35 0.05 0.40 (0.35) $(0.00)#
Year ended 3/31/1998.............. 9.41 0.37 0.53 0.90 (0.37) --
Year ended 3/31/1997.............. 9.39 0.39 0.02 0.41 (0.39) --
Period ended 3/31/1996(b)......... 9.63 0.13 (0.24) (0.11) (0.13) --
Year ended 11/30/1995............. 8.37 0.41 1.26 1.67 (0.41) --
Year ended 11/30/1994............. 9.77 0.44 (1.40) (0.96) (0.44) --
INVESTOR C SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $9.99 $0.16 $(0.42) $(0.26) $(0.16) --
Year ended 3/31/1999.............. 9.94 0.34 0.05 0.39 (0.34) $(0.00)#
Year ended 3/31/1998.............. 9.41 0.39 0.53 0.92 (0.39) --
Year ended 3/31/1997.............. 9.39 0.42 0.02 0.44 (0.42) --
Period ended 3/31/1996(b)......... 9.63 0.13 (0.24) (0.11) (0.13) --
Year ended 11/30/1995............. 8.37 0.41 1.26 1.67 (0.41) --
Period ended 11/30/1994*.......... 8.44 0.03 (0.07) (0.04) (0.03) --
</TABLE>
- ---------------
* Maryland Municipal Bond Primary A and Investor C Shares commenced operations
on September 20, 1994 and November 3, 1994, respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount represents less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
176
<PAGE> 181
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.21) $9.58 (2.01)% $17,221 0.60%+ 4.30%+ 11% 1.19%+
(0.43) 9.99 4.92 17,033 0.60 4.29 22 1.07
(0.45) 9.94 10.62 9,049 0.60 4.61 17 1.07
(0.46) 9.41 5.20 4,596 0.60 4.88 18 1.12
(0.15) 9.39 (0.95) 2,788 0.60+ 4.72+ 7 1.23+
(0.48) 9.63 21.23 2,595 0.40 5.14 11 1.26
(0.11) 8.37 (4.89) 39 0.21+(a) 5.48+ 39 1.30+
$(0.20) $9.58 (2.12)% $ 1,728 0.81%+ 4.09%+ 11% 1.44%+
(0.41) 9.99 4.71 1,751 0.80 4.09 22 1.32
(0.43) 9.94 10.40 1,902 0.80 4.41 17 1.27
(0.44) 9.41 4.99 1,409 0.80 4.68 18 1.32
(0.14) 9.39 (1.01) 1,086 0.80+ 4.52+ 7 1.43+
(0.46) 9.63 20.99 1,031 0.60 4.94 11 1.46
(0.49) 8.37 (9.59) 9 0.39(a) 5.30 39 1.48
$(0.17) $9.58 (2.45)% $16,136 1.48%+ 3.42%+ 11% 2.19%+
(0.35) 9.99 4.03 16,124 1.45 3.44 22 2.07
(0.37) 9.94 9.72 11,071 1.42 3.79 17 1.89
(0.39) 9.41 4.42 8,099 1.35 4.13 18 1.87
(0.13) 9.39 (1.19) 9,662 1.35+ 3.97+ 7 1.98+
(0.41) 9.63 20.33 10,002 1.15 4.39 11 2.01
(0.44) 8.37 (10.11) 4,819 0.96(a) 4.73 39 2.05
$(0.16) $9.57 (2.59)% $ 201 1.47%+ 3.43%+ 11% 2.19%+
(0.34) 9.99 4.01 3 1.47 3.42 22 2.07
(0.39) 9.94 9.88 3 1.33 3.88 17 1.80
(0.42) 9.41 4.73 2 1.10 4.38 18 1.62
(0.13) 9.39 (1.13) 2 1.16+ 4.16+ 7 1.79+
(0.41) 9.63 20.29 2 1.15 4.39 11 2.01
(0.03) 8.37 (0.45) 2 0.96+(a) 4.73+ 39 2.05+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
177
<PAGE> 182
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NORTH CAROLINA INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.71 $0.24 $(0.41) $(0.17) $(0.24) $(0.01)
Year ended 3/31/1999.............. 10.70 0.49 0.04 0.53 (0.49) (0.03)
Year ended 3/31/1998.............. 10.34 0.49 0.36 0.85 (0.49) --
Year ended 3/31/1997.............. 10.36 0.47 (0.02) 0.45 (0.47) --
Period ended 3/31/1996(b)......... 10.51 0.16 (0.15) 0.01 (0.16) --
Year ended 11/30/1995............. 9.53 0.45 0.99 1.44 (0.45)# (0.01)
Year ended 11/30/1994............. 10.46 0.44 (0.88) (0.44) (0.44) (0.05)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.71 $0.23 $(0.41) $(0.18) $(0.23) $(0.01)
Year ended 3/31/1999.............. 10.70 0.47 0.04 0.51 (0.47) (0.03)
Year ended 3/31/1998.............. 10.34 0.47 (0.36) 0.83 (0.47) --
Year ended 3/31/1997.............. 10.36 0.45 (0.02) 0.43 (0.45) --
Period ended 3/31/1996(b)......... 10.51 0.15 (0.15) 0.00 (0.15) --
Year ended 11/30/1995............. 9.53 0.43 0.99 1.42 (0.43)# (0.01)
Year ended 11/30/1994............. 10.46 0.42 (0.88) (0.46) (0.42) (0.05)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.71 $0.20 $(0.41) $(0.21) $(0.20) $(0.01)
Year ended 3/31/1999.............. 10.70 0.40 0.04 0.44 (0.40) (0.03)
Year ended 3/31/1998.............. 10.34 0.42 0.36 0.78 (0.42) --
Year ended 3/31/1997.............. 10.36 0.42 (0.02) 0.40 (0.42) --
Period ended 3/31/1996(b)......... 10.51 0.14 (0.15) (0.01) (0.14) --
Year ended 11/30/1995............. 9.53 0.40 0.99 1.39 (0.40)# (0.01)
Year ended 11/30/1994............. 10.46 0.39 (0.88) (0.49) (0.39) (0.05)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.71 $0.19 $(0.41) $(0.22) $(0.19) $(0.01)
Year ended 3/31/1999.............. 10.70 0.42 0.02 0.44 (0.40) (0.03)
Year ended 3/31/1998.............. 10.34 0.42 0.36 0.78 (0.42) --
Year ended 3/31/1997.............. 10.36 0.42 (0.02) 0.40 (0.42) --
Period ended 3/31/1996(b)......... 10.51 0.14 (0.15) (0.01) (0.14) --
Year ended 11/30/1995............. 9.53 0.40 0.99 1.39 (0.40)# (0.01)
Year ended 11/30/1994............. 10.46 0.38 (0.88) (0.50) (0.38) (0.05)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
SEE NOTES TO FINANCIAL STATEMENTS.
178
<PAGE> 183
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.25) $10.29 (1.56)% $186,645 0.50%+(a) 4.60%+ 6% 0.75%+
(0.52) 10.71 5.03 193,398 0.50 4.57 16 0.71
(0.49) 10.70 8.39 179,729 0.50(a) 4.69 21 0.76
(0.47) 10.34 4.45 25,855 0.50(a) 4.57 26 0.82
(0.16) 10.36 0.05 21,161 0.50+ 4.47+ 3 0.87+
(0.46) 10.51 15.41 20,916 0.57(a) 4.47 57 0.84
(0.49) 9.53 (4.34) 14,148 0.55(a) 4.38 37 0.82
$(0.24) $10.29 (1.66)% $ 9,736 0.71%+(a) 4.39%+ 6% 1.00%+
(0.50) 10.71 4.82 10,099 0.70 4.37 16 0.96
(0.47) 10.70 8.17 8,572 0.70(a) 4.49 21 0.96
(0.45) 10.34 4.25 5,723 0.70(a) 4.37 26 1.02
(0.15) 10.36 (0.01) 7,672 0.70+ 4.27+ 3 1.07+
(0.44) 10.51 15.18 8,525 0.77(a) 4.27 57 1.04
(0.47) 9.53 (4.51) 8,896 0.73(a) 4.20 37 1.00
$(0.21) $10.29 (1.97)% $ 5,780 1.33%+(a) 3.77%+ 6% 1.75%+
(0.43) 10.71 4.20 6,671 1.30 3.77 16 1.71
(0.42) 10.70 7.64 6,859 1.20(a) 3.99 21 1.46
(0.42) 10.34 3.94 6,796 1.00(a) 4.07 26 1.32
(0.14) 10.36 (0.12) 8,102 1.00+ 3.97+ 3 1.37+
(0.41) 10.51 14.84 7,848 1.07(a) 3.97 57 1.34
(0.44) 9.53 (4.82) 5,706 1.05(a) 3.88 37 1.32
$(0.20) $10.29 (2.06)% $ 93 1.50%+(a) 3.60%+ 6% 1.75%+
(0.43) 10.71 4.18 109 1.31 3.76 16 1.71
(0.42) 10.70 7.64 822 1.20(a) 3.99 21 1.46
(0.42) 10.34 3.94 1,364 1.00(a) 4.07 26 1.32
(0.14) 10.36 (0.12) 1,379 1.00+ 3.97+ 3 1.37+
(0.41) 10.51 14.84 1,366 1.07(a) 3.97 57 1.34
(0.43) 9.53 (4.89) 1,486 1.13(a) 3.80 37 1.40
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
179
<PAGE> 184
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
NORTH CAROLINA MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.08 $0.23 $(0.49) $(0.26) $(0.23)
Year ended 3/31/1999............................... 10.01 0.45 0.08 0.53 (0.46)
Year ended 3/31/1998............................... 9.47 0.47 0.54 1.01 (0.47)
Year ended 3/31/1997............................... 9.49 0.47 (0.02) 0.45 (0.47)
Period ended 3/31/1996(b).......................... 9.73 0.16 (0.24) (0.08) (0.16)
Year ended 11/30/1995.............................. 8.36 0.50 1.37 1.87 (0.50)
Period ended 11/30/1994*........................... 10.06 0.45 (1.70) (1.25) (0.45)
INVESTOR A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.08 $0.22 $(0.49) $(0.27) $(0.22)
Year ended 3/31/1999............................... 10.01 0.43 0.08 0.51 (0.44)
Year ended 3/31/1998............................... 9.47 0.45 0.54 (0.99) (0.45)
Year ended 3/31/1997............................... 9.49 0.45 (0.02) 0.43 (0.45)
Period ended 3/31/1996(b).......................... 9.73 0.15 (0.24) (0.09) (0.15)
Year ended 11/30/1995.............................. 8.36 0.49 1.37 1.86 (0.49)
Year ended 11/30/1994.............................. 9.85 0.50 (1.49) (0.99) (0.50)
INVESTOR B SHARES
Six months ended 9/30/1999 (unaudited)............. $10.08 $0.18 $(0.49) $(0.31) $(0.18)
Year ended 3/31/1999............................... 10.01 0.38 0.07 0.45 (0.38)
Year ended 3/31/1998............................... 9.47 0.39 0.54 0.93 (0.39)
Year ended 3/31/1997............................... 9.49 0.40 (0.02) 0.38 (0.40)
Period ended 3/31/1996(b).......................... 9.73 0.13 (0.24) (0.11) (0.13)
Year ended 11/30/1995.............................. 8.36 0.43 1.37 1.80 (0.43)
Year ended 11/30/1994.............................. 9.85 0.45 (1.49) (1.04) (0.45)
INVESTOR C SHARES
Six months ended 9/30/1999 (unaudited)............. $10.08 $0.18 $(0.49) $(0.31) $(0.18)
Year ended 3/31/1999............................... 10.01 0.37 0.07 0.44 (0.37)
Year ended 3/31/1998(c)............................ 9.47 0.40 0.54 0.94 (0.40)
Year ended 3/31/1997............................... 9.49 0.42 (0.02) 0.40 (0.42)
Period ended 3/31/1996(b).......................... 9.73 0.14 (0.24) (0.10) (0.14)
Year ended 11/30/1995.............................. 8.36 0.43 1.37 1.80 (0.43)
Period ended 11/30/1994*........................... 8.45 0.03 (0.09) (0.06) (0.03)
</TABLE>
- ---------------
* North Carolina Municipal Bond Primary A and Investor C Shares commenced
operations on January 11, 1994 and November 3, 1994, respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
180
<PAGE> 185
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
NET ASSETS OPERATING NET INVESTMENT OPERATING
NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$9.59 (2.64)% $17,232 0.60%+ 4.60%+ 5% 1.12+
10.08 5.39 16,293 0.60(a) 4.57 11 1.00
10.01 10.86 6,452 0.60(a) 4.78 20 0.93
9.47 4.84 3,095 0.60(a) 4.95 28 0.94
9.49 (0.87) 1,593 0.60+ 4.86+ 22 0.99+
9.73 22.87 1,293 0.38(a) 5.43 40 0.96
8.36 (12.65) 531 0.21+(a) 5.53+ 29 0.92+
$9.59 (2.74)% $ 1,040 0.81%+ 4.39%+ 5% 1.37%+
10.08 5.20 1,028 0.80(a) 4.37 11 1.25
10.01 10.64 609 0.80(a) 4.58 20 1.13
9.47 4.62 594 0.80(a) 4.75 28 1.14
9.49 (0.94) 448 0.80+ 4.66+ 22 1.19+
9.73 22.63 347 0.58(a) 5.23 40 1.16
8.36 (10.41) 1,161 0.39(a) 5.35 29 1.10
$9.59 (3.06)% $23,032 1.48%+ 3.73%+ 5% 2.12%+
10.08 4.53 24,656 1.45(a) 3.72 11 2.00
10.01 9.96 25,187 1.42(a) 3.96 20 1.75
9.47 4.06 23,863 1.35(a) 4.20 28 1.69
9.49 (1.12) 28,298 1.35+ 4.11+ 22 1.74+
9.73 21.96 30,048 1.13(a) 4.68 40 1.71
8.36 (10.92) 23,659 0.96(a) 4.78 29 1.67
$9.59 (3.04)% $ 3 1.60%+ 3.60%+ 5% 2.12%+
10.08 4.50 3 1.47(a) 3.70 11 2.00
10.01 10.07 3 1.33(a) 4.05 20 1.66
9.47 4.32 18 1.10(a) 4.45 28 1.44
9.49 (1.04) 17 1.14+ 4.32+ 22 1.53+
9.73 21.93 2 1.13(a) 4.68 40 1.71
8.36 (0.67) 2 0.96+(a) 4.78+ 29 1.67+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
181
<PAGE> 186
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
SOUTH CAROLINA INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.25 $(0.42) $(0.17) $(0.25) $(0.01)
Year ended 3/31/1999.............. 10.79 0.51 0.04 0.55 (0.51) (0.04)
Year ended 3/31/1998.............. 10.50 0.52 0.29 0.81 (0.52) (0.00)(c)
Year ended 3/31/1997.............. 10.52 0.51 (0.02) 0.49 (0.51) --
Period ended 3/31/1996(b)......... 10.69 0.17 (0.17) 0.00 (0.17) --
Year ended 11/30/1995............. 9.76 0.51 0.93 1.44 (0.51) --
Year ended 11/30/1994............. 10.61 0.50 (0.84) (0.34) (0.50)# (0.01)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.24 $(0.42) $(0.18) $(0.24) $(0.01)
Year ended 3/31/1999.............. 10.79 0.49 0.04 0.53 (0.49) (0.04)
Year ended 3/31/1998.............. 10.50 0.50 0.29 0.79 (0.50) (0.00)(c)
Year ended 3/31/1997.............. 10.52 0.49 (0.02) 0.47 (0.49) --
Period ended 3/31/1996(b)......... 10.69 0.16 (0.17) (0.01) (0.16) --
Year ended 11/30/1995............. 9.76 0.49 0.93 1.42 (0.49) --
Year ended 11/30/1994............. 10.61 0.48 (0.84) (0.36) (0.48)# (0.01)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.21 $(0.42) $(0.21) $(0.21) $(0.01)
Year ended 3/31/1999.............. 10.79 0.43 0.04 0.47 (0.43) (0.04)
Year ended 3/31/1998.............. 10.50 0.44 0.29 0.73 (0.44) (0.00)(c)
Year ended 3/31/1997.............. 10.52 0.45 (0.02) 0.43 (0.45) --
Period ended 3/31/1996(b)......... 10.69 0.15 (0.17) (0.02) (0.15) --
Year ended 11/30/1995............. 9.76 0.46 0.93 1.39 (0.46) --
Year ended 11/30/1994............. 10.61 0.45 (0.84) (0.39) (0.45)# (0.01)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.79 $0.20 $(0.42) $(0.22) $(0.20) $(0.01)
Year ended 3/31/1999.............. 10.79 0.42 0.04 0.46 (0.42) (0.04)
Year ended 3/31/1998.............. 10.50 0.44 0.29 0.73 (0.44) (0.00)(c)
Year ended 3/31/1997.............. 10.52 0.45 (0.02) 0.43 (0.45) --
Period ended 3/31/1996(b)......... 10.69 0.15 (0.17) (0.02) (0.15) --
Year ended 11/30/1995............. 9.76 0.46 0.93 1.39 (0.46) --
Year ended 11/30/1994............. 10.61 0.44 (0.84) (0.40) (0.44)# (0.01)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
## Amount represents less than $0.01%.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Amount represents less than $0.01 per share.
SEE NOTES TO FINANCIAL STATEMENTS.
182
<PAGE> 187
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
$(0.26) $10.36 (1.54)% $234,022 0.50%+ 4.79%+ 6% 0.74%+
(0.55) 10.79 5.22 239,195 0.50(a) 4.75 9 0.69
(0.52) 10.79 7.88 253,090 0.50(a) 4.86 16 0.75
(0.51) 10.50 4.71 48,918 0.50(a) 4.80 13 0.79
(0.17) 10.52 0.00## 41,817 0.50+(a) 4.81+ 6 0.82+
(0.51) 10.69 15.02 45,255 0.55(a) 4.92 11 0.75
(0.51) 9.76 (3.37) 49,030 0.54(a) 4.82 30 0.75
$(0.25) $10.36 (1.64)% $ 19,921 0.71%+ 4.58%+ 6% 0.99%+
(0.53) 10.79 5.01 18,729 0.70(a) 4.55 9 0.94
(0.50) 10.79 7.67 13,945 0.70(a) 4.66 16 0.95
(0.49) 10.50 4.51 10,465 0.70(a) 4.60 13 0.99
(0.16) 10.52 (0.07) 14,288 0.70+(a) 4.61+ 6 1.02+
(0.49) 10.69 14.79 14,452 0.75(a) 4.72 11 0.95
(0.49) 9.76 (3.54) 16,378 0.72(a) 4.64 30 0.93
$(0.22) $10.36 (1.95)% $ 8,437 1.34%+ 3.95%+ 6% 1.74%+
(0.47) 10.79 4.39 8,542 1.30(a) 3.95 9 1.69
(0.44) 10.79 7.13 6,819 1.20(a) 4.16 16 1.45
(0.45) 10.50 4.19 5,738 1.00(a) 4.30 13 1.29
(0.15) 10.52 (0.17) 6,968 1.00+(a) 4.31+ 6 1.32+
(0.46) 10.69 14.45 6,457 1.05(a) 4.42 11 1.25
(0.46) 9.76 (3.85) 5,740 1.04(a) 4.32 30 1.25
$(0.21) $10.36 (2.03)% $ 3,028 1.50%+ 3.79%+ 6% 1.74%+
(0.46) 10.79 4.36 3,102 1.32(a) 3.93 9 1.69
(0.44) 10.79 7.13 2,698 1.20(a) 4.16 16 1.45
(0.45) 10.50 4.20 5,089 1.00(a) 4.30 13 1.29
(0.15) 10.52 (0.17) 5,409 1.00+(a) 4.31+ 6 1.32+
(0.46) 10.69 14.45 5,527 1.05(a) 4.42 11 1.25
(0.45) 9.76 (3.94) 6,167 1.12(a) 4.24 30 1.33
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
183
<PAGE> 188
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
--------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
SOUTH CAROLINA MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)........................ $10.30 $0.23 $(0.52) $(0.29) $(0.23) --
Year ended 3/31/1999................. 10.26 0.49 0.03 0.52 (0.48) --
Year ended 3/31/1998................. 9.79 0.49 0.47 0.96 (0.49) $(0.00)#
Year ended 3/31/1997................. 9.77 0.49 0.02 0.51 (0.49) --
Period ended 3/31/1996(b)............ 9.99 0.17 (0.22) (0.05) (0.17) --
Year ended 11/30/1995................ 8.65 0.52 1.34 1.86 (0.52) --
Period ended 11/30/1994*............. 10.02 0.48 (1.37) (0.89) (0.48) --
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)........................ $10.30 $0.22 $(0.52) $(0.30) $(0.22) --
Year ended 3/31/1999................. 10.26 0.44 0.06 0.50 (0.46) --
Year ended 3/31/1998................. 9.79 0.47 0.47 0.94 (0.47) $(0.00)#
Year ended 3/31/1997................. 9.77 0.47 0.02 0.49 (0.47) --
Period ended 3/31/1996(b)............ 9.99 0.16 (0.22) (0.06) (0.16) --
Year ended 11/30/1995................ 8.65 0.50 1.34 1.84 (0.50) --
Year ended 11/30/1994................ 9.86 0.50 (1.21) (0.71) (0.50) --
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)........................ $10.30 $0.19 $(0.52) $(0.33) $(0.19) --
Year ended 3/31/1999................. 10.26 0.39 0.04 0.43 (0.39) --
Year ended 3/31/1998................. 9.79 0.40 0.47 0.87 (0.40) $(0.00)#
Year ended 3/31/1997................. 9.77 0.42 0.02 0.44 (0.42) --
Period ended 3/31/1996(b)............ 9.99 0.14 (0.22) (0.08) (0.14) --
Year ended 11/30/1995................ 8.65 0.45 1.34 1.79 (0.45) --
Year ended 11/30/1994................ 9.86 0.45 (1.21) (0.76) (0.45) --
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)........................ $10.30 $0.19 $(0.52) $(0.33) $(0.19) --
Year ended 3/31/1999(c).............. 10.26 0.39 0.04 0.43 (0.39) --
Year ended 3/31/1998................. 9.79 0.42 0.47 0.89 (0.42) $(0.00)#
Year ended 3/31/1997................. 9.77 0.44 0.02 0.46 (0.44) --
Period ended 3/31/1996(b)............ 9.99 0.15 (0.22) (0.07) (0.15) --
Year ended 11/30/1995................ 8.65 0.45 1.34 1.79 (0.45) --
Period ended 11/30/1994*............. 8.73 0.03 (0.08) (0.05) (0.03) --
</TABLE>
- ---------------
* South Carolina Municipal Bond Primary A and Investor C Shares commenced
operations on December 27, 1993 and November 3, 1994, respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount represents less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
184
<PAGE> 189
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS EXPENSE ASSETS RATE NET ASSETS
--------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$(0.23) $ 9.78 (2.79)% $13,662 0.59%+ 0.60%+ 4.68%+ 7% 1.33%+
(0.48) 10.30 5.13 12,793 0.60 -- 4.62 3 1.18
(0.49) 10.26 10.04 9,455 0.60(a) (a) 4.79 9 0.99
(0.49) 9.79 5.32 5,113 0.60(a) (a) 4.99 30 1.00
(0.17) 9.77 (0.57) 2,058 0.60+(a) (a) 4.96+ 20 1.13+
(0.52) 9.99 21.99 1,782 0.40(a) (a) 5.44 13 1.08
(0.48) 8.65 (9.12) 400 0.21+(a) (a) 5.48+ 14 1.12+
$(0.22) $ 9.78 (2.89)% $ 1,172 0.80%+ 0.81%+ 4.47%+ 7% 1.58%+
(0.46) 10.30 4.92 1,060 0.80 -- 4.42 3 1.43
(0.47) 10.26 9.82 1,517 0.80(a) (a) 4.59 9 1.19
(0.47) 9.79 5.12 811 0.80(a) (a) 4.79 30 1.20
(0.16) 9.77 (0.64) 1,219 0.80+(a) (a) 4.76+ 20 1.33+
(0.50) 9.99 21.74 1,238 0.60(a) (a) 5.24 13 1.28
(0.50) 8.65 (7.45) 140 0.39(a) (a) 5.30 14 1.30
$(0.19) $ 9.78 (3.22)% $ 9,827 1.47%+ 1.48%+ 3.80%+ 7% 2.33%+
(0.39) 10.30 4.25 10,905 1.44 -- 3.78 3 2.18
(0.40) 10.26 9.15 10,394 1.42(a) (a) 3.97 9 1.81
(0.42) 9.79 4.54 12,104 1.35(a) (a) 4.24 30 1.75
(0.14) 9.77 (0.82) 12,991 1.35+(a) (a) 4.21+ 20 1.88+
(0.45) 9.99 21.08 12,670 1.15(a) (a) 4.69 13 1.83
(0.45) 8.65 (7.97) 8,263 0.96(a) (a) 4.73 14 1.87
$(0.19) $ 9.78 (3.28)% $ 74 1.59%+ 1.60%+ 3.68%+ 7% 2.33%+
(0.39) 10.30 4.23 77 1.44 -- 3.78 3 2.18
(0.42) 10.26 9.29 28 1.33(a) (a) 4.06 9 1.72
(0.44) 9.79 4.80 247 1.10(a) (a) 4.49 30 1.50
(0.15) 9.77 (0.76) 264 1.17+(a) (a) 4.39+ 20 1.70+
(0.45) 9.99 21.01 20 1.15(a) (a) 4.69 13 1.83
(0.03) 8.65 (0.52) 2 0.96+(a) (a) 4.73+ 14 1.87+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
185
<PAGE> 190
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
TENNESSEE INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.46 $0.23 $(0.40) $(0.17) $(0.23) --
Year ended 3/31/1999.............. 10.40 0.47 0.06 0.53 (0.47) --
Year ended 3/31/1998.............. 10.08 0.47 0.32 0.79 (0.47) --
Year ended 3/31/1997.............. 10.09 0.46 (0.01) 0.45 (0.46) --
Period ended 3/31/1996(b)......... 10.23 0.15 (0.14) 0.01 (0.15) --
Year ended 11/30/1995............. 9.30 0.46 0.93 1.39 (0.46) --
Year ended 11/30/1994............. 10.18 0.45 (0.87) (0.42) (0.45)# $(0.01)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.46 $0.22 $(0.40) $(0.18) $(0.22) --
Year ended 3/31/1999.............. 10.40 0.45 0.06 0.51 (0.45) --
Year ended 3/31/1998.............. 10.08 0.45 0.32 0.77 (0.45) --
Year ended 3/31/1997.............. 10.09 0.44 (0.01) 0.43 (0.44) --
Period ended 3/31/1996(b)......... 10.23 0.15 (0.14) 0.01 (0.15) --
Year ended 11/30/1995............. 9.30 0.44 0.93 1.37 (0.44) --
Year ended 11/30/1994............. 10.18 0.43 (0.87) (0.44) (0.43)# $(0.01)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.46 $0.19 $(0.40) $(0.21) $(0.19) --
Year ended 3/31/1999.............. 10.40 0.38 0.06 0.44 (0.38) --
Year ended 3/31/1998.............. 10.08 0.40 0.32 0.72 (0.40) --
Year ended 3/31/1997.............. 10.09 0.41 (0.01) 0.40 (0.41) --
Period ended 3/31/1996(b)......... 10.23 0.14 (0.14) 0.00 (0.14) --
Year ended 11/30/1995............. 9.30 0.41 0.93 1.34 (0.41) --
Year ended 11/30/1994............. 10.18 0.40 (0.87) (0.47) (0.40)# $(0.01)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.45 $0.18 $(0.40) $(0.22) $(0.18) --
Year ended 3/31/1999.............. 10.40 0.39 0.05 0.44 (0.39) --
Year ended 3/31/1998.............. 10.08 0.40 0.32 0.72 (0.40) --
Year ended 3/31/1997.............. 10.09 0.42 (0.01) 0.41 (0.42) --
Period ended 3/31/1996(b)......... 10.23 0.14 (0.14) 0.00 (0.14) --
Year ended 11/30/1995............. 9.30 0.41 0.93 1.34 (0.41) --
Period ended 11/30/1994**......... 9.38 0.03 (0.08) (0.05) (0.03) --
</TABLE>
- ---------------
** Tennessee Intermediate Municipal Bond Investor C Shares commenced operations
on November 3, 1994.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount includes distributions in excess of net investment income, which were
less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
SEE NOTES TO FINANCIAL STATEMENTS.
186
<PAGE> 191
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS EXPENSE ASSETS RATE NET ASSETS
--------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
$(0.23) $10.06 (1.64)% $41,076 0.50%+ (a) 4.48%+ 36% 0.96%+
(0.47) 10.46 5.18 42,826 0.50 -- 4.48 22 0.85
(0.47) 10.40 7.99 39,091 0.50 (a) 4.58 38 0.84
(0.46) 10.08 4.54 8,869 0.50 (a) 4.55 28 0.93
(0.15) 10.09 0.12 8,408 0.50+ -- 4.51+ 3 1.02+
(0.46) 10.23 15.22 7,160 0.57 (a) 4.65 34 0.92
(0.46) 9.30 (4.24) 4,116 0.52 0.53% 4.56 41 0.89
$(0.22) $10.06 (1.74)% $ 8,801 0.71%+ (a) 4.27%+ 36% 1.21%+
(0.45) 10.46 4.97 9,242 0.70 -- 4.28 22 1.10
(0.45) 10.40 7.77 8,061 0.70 (a) 4.38 38 1.04
(0.44) 10.08 4.33 6,840 0.70 (a) 4.35 28 1.13
(0.15) 10.09 0.06 7,439 0.70+ -- 4.31+ 3 1.22+
(0.44) 10.23 15.00 7,573 0.77 (a) 4.45 34 1.12
(0.44) 9.30 (4.41) 7,831 0.70 0.71% 4.38 41 1.07
$(0.19) $10.06 (2.05)% $ 2,900 1.33%+ (a) 3.65%+ 36% 1.96%+
(0.38) 10.46 4.34 3,007 1.30 -- 3.68 22 1.85
(0.40) 10.40 7.24 2,924 1.20 (a) 3.88 38 1.54
(0.41) 10.08 4.02 3,050 1.00 (a) 4.05 28 1.43
(0.14) 10.09 (0.04) 3,528 1.00+ -- 4.01+ 3 1.52+
(0.41) 10.23 14.65 3,573 1.07 (a) 4.15 34 1.42
(0.41) 9.30 (4.72) 3,368 1.02 1.03% 4.06 41 1.39
$(0.18) $10.05 (2.13)% $ 32 1.50%+ (a) 3.48%+ 36% 1.96%+
(0.39) 10.45 4.28 33 1.11 -- 3.87 22 1.85
(0.40) 10.40 7.29 3 1.20 (a) 3.88 38 1.54
(0.42) 10.08 4.08 2 1.00 (a) 4.05 28 1.43
(0.14) 10.09 (0.02) 2 1.00+ -- 4.01+ 3 1.52+
(0.41) 10.23 14.62 2 1.07 (a) 4.15 34 1.42
(0.03) 9.30 (0.53) 2 1.02+ 1.03%+ 4.06+ 41 1.39+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
187
<PAGE> 192
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
TENNESSEE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.30 $0.24 $(0.56) $(0.32) $(0.24)
Year ended 3/31/1999............................... 10.22 0.48 0.08 0.56 (0.48)
Year ended 3/31/1998............................... 9.70 0.48 0.52 1.00 (0.48)
Year ended 3/31/1997............................... 9.68 0.48 0.02 0.50 (0.48)
Period ended 3/31/1996(b).......................... 9.87 0.16 (0.19) (0.03) (0.16)
Year ended 11/30/1995.............................. 8.58 0.52 1.29 1.81 (0.52)
Period ended 11/30/1994*........................... 9.59 0.39 (1.01) (0.62) (0.39)
INVESTOR A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.30 $0.22 $(0.55) $(0.33) $(0.22)
Year ended 3/31/1999(c)............................ 10.22 0.43 0.11 0.54 (0.46)
Year ended 3/31/1998............................... 9.70 0.46 0.52 0.98 (0.46)
Year ended 3/31/1997............................... 9.68 0.46 0.02 0.48 (0.46)
Period ended 3/31/1996(b).......................... 9.87 0.15 (0.19) (0.04) (0.15)
Year ended 11/30/1995.............................. 8.58 0.50 1.29 1.79 (0.50)
Year ended 11/30/1994.............................. 9.80 0.50 (1.22) (0.72) (0.50)
INVESTOR B SHARES
Six months ended 9/30/1999 (unaudited)............. $10.30 $0.19 $(0.56) $(0.37) $(0.19)
Year ended 3/31/1999............................... 10.22 0.39 0.08 0.47 (0.39)
Year ended 3/31/1998............................... 9.70 0.40 0.52 0.92 (0.40)
Year ended 3/31/1997............................... 9.68 0.40 0.02 0.42 (0.40)
Period ended 3/31/1996(b).......................... 9.87 0.14 (0.19) (0.05) (0.14)
Year ended 11/30/1995.............................. 8.58 0.45 1.29 1.74 (0.45)
Year ended 11/30/1994.............................. 9.80 0.45 (1.22) (0.77) (0.45)
INVESTOR C SHARES
Six months ended 9/30/1999 (unaudited)............. $10.30 $0.19 $(0.56) $(0.37) $(0.19)
Year ended 3/31/1999(c)............................ 10.22 0.38 0.09 0.47 (0.39)
Year ended 3/31/1998(c)............................ 9.70 0.40 0.52 0.92 (0.40)
Year ended 3/31/1997............................... 9.68 0.43 0.02 0.45 (0.43)
Period ended 3/31/1996(b).......................... 9.87 0.14 (0.19) (0.05) (0.14)
Year ended 11/30/1995.............................. 8.58 0.45 1.29 1.74 (0.45)
Period ended 11/30/1994*........................... 8.62 0.03 (0.04) (0.01) (0.03)
</TABLE>
- ---------------
* Tennessee Municipal Bond Primary A and Investor C Shares commenced
operations on March 2, 1994 and November 3, 1994, respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
188
<PAGE> 193
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE NET TURNOVER AVERAGE
END OF PERIOD RETURN++ (000) ASSETS EXPENSE ASSETS RATE NET ASSETS
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$ 9.74 (3.17)% $5,034 0.60%+ -- 4.71%+ 25% 2.03%+
10.30 5.53 5,762 0.60 -- 4.61 40 1.55
10.22 10.45 4,559 0.60 (a) 4.74 19 1.20
9.70 5.23 2,594 0.60 (a) 4.91 31 1.24
9.68 (0.30) 975 0.60+ 0.61%+ 4.92+ 2 1.47+
9.87 21.52 768 0.40 (a) 5.49 45 1.27
8.58 (6.66) 311 0.21+ (a) 5.56+ 38 1.20+
$ 9.75 (3.18)% $ 667 0.81%+ -- 4.50%+ 25% 2.28%+
10.30 5.32 484 0.80 -- 4.41 40 1.80
10.22 10.23 1,440 0.80 (a) 4.54 19 1.40
9.70 5.02 1,018 0.80 (a) 4.71 31 1.44
9.68 (0.37) 973 0.80+ 0.81%+ 4.72+ 2 1.67+
9.87 21.28 203 0.60 (a) 5.29 45 1.47
8.58 (7.58) 43 0.39 (a) 5.38 38 1.38
$ 9.74 (3.60)% $4,228 1.48%+ -- 3.83%+ 25% 3.03%+
10.30 4.64 4,718 1.45 -- 3.76 40 2.55
10.22 9.56 4,915 1.42 (a) 3.92 19 2.02
9.70 4.45 5,319 1.35 (a) 4.16 31 1.99
9.68 (0.55) 6,761 1.35+ 1.36%+ 4.17+ 2 2.22+
9.87 20.63 6,619 1.15 (a) 4.74 45 2.02
8.58 (8.10) 5,504 0.96 (a) 4.81 38 1.95
$ 9.74 (3.66)% $ 65 1.60%+ -- 3.71%+ 25% 3.03%+
10.30 4.62 68 1.46 -- 3.75 40 2.55
10.22 9.65 42 1.33 (a) 4.01 19 1.93
9.70 4.71 38 1.10 (a) 4.41 31 1.74
9.68 (0.49) 37 1.18+ 1.18%+ 4.34+ 2 2.05+
9.87 20.62 64 1.15 (a) 4.74 45 2.02
8.58 (0.07) 2 0.96+ (a) 4.81+ 38 1.95+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
189
<PAGE> 194
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
TEXAS INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.48 $0.24 $(0.39) $(0.15) $(0.24) --
Year ended 3/31/1999.............. 10.50 0.49 0.02 0.51 (0.49) $(0.04)
Year ended 3/31/1998.............. 10.18 0.49 0.32 0.81 (0.49) --
Year ended 3/31/1997.............. 10.21 0.47 (0.03) 0.44 (0.47) --
Period ended 3/31/1996(b)......... 10.36 0.16 (0.15) 0.01 (0.16) --
Year ended 11/30/1995............. 9.53 0.46 0.83 1.29 (0.46) --
Year ended 11/30/1994............. 10.35 0.44 (0.79) (0.35) (0.44)# (0.03)
INVESTOR A SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.48 $0.23 $(0.39) $(0.16) $(0.23) --
Year ended 3/31/1999.............. 10.50 0.47 0.02 0.49 (0.47) $(0.04)
Year ended 3/31/1998.............. 10.18 0.47 0.32 0.79 (0.47) --
Year ended 3/31/1997.............. 10.21 0.45 (0.03) 0.42 (0.45) --
Period ended 3/31/1996(b)......... 10.36 0.15 (0.15) 0.00 (0.15) --
Year ended 11/30/1995............. 9.53 0.44 0.83 1.27 (0.44) --
Year ended 11/30/1994............. 10.35 0.42 (0.79) (0.37) (0.42)# (0.03)
INVESTOR B SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.48 $0.20 $(0.39) $(0.19) $(0.20) --
Year ended 3/31/1999.............. 10.50 0.41 0.02 0.43 (0.41) $(0.04)
Year ended 3/31/1998.............. 10.18 0.42 0.32 0.74 (0.42) --
Year ended 3/31/1997.............. 10.21 0.42 (0.03) 0.39 (0.42) --
Period ended 3/31/1996(b)......... 10.36 0.14 (0.15) (0.01) (0.14) --
Year ended 11/30/1995............. 9.53 0.41 0.83 1.24 (0.41) --
Year ended 11/30/1994............. 10.35 0.39 (0.79) (0.40) (0.39)# (0.03)
INVESTOR C SHARES
Six months ended 9/30/1999
(unaudited)..................... $10.48 $0.19 $(0.39) $(0.20) $(0.19) --
Period ended 3/31/1999(c)......... 10.50 0.40 0.02 0.42 (0.40) $(0.04)
Year ended 3/31/1998.............. 10.18 0.42 0.32 0.74 (0.42) --
Year ended 3/31/1997.............. 10.21 0.42 (0.03) 0.39 (0.42) --
Period ended 3/31/1996(b)......... 10.36 0.14 (0.15) (0.01) (0.14) --
Year ended 11/30/1995............. 9.53 0.41 0.83 1.24 (0.41) --
Period ended 11/30/1994**......... 9.55 0.03 (0.02) 0.01 (0.03)# --
</TABLE>
- ---------------
** Texas Intermediate Municipal Bond Investor C Shares commenced operations on
November 3, 1994.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
190
<PAGE> 195
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.24) $10.09 (1.41)% $363,046 0.50%+(a) 4.74%+ 15% 0.72%+
(0.53) 10.48 4.98 391,431 0.50 4.66 22 0.68
(0.49) 10.50 8.09 385,770 0.50 4.74 19 0.75
(0.47) 10.18 4.37 24,764 0.50 4.59 34 0.84
(0.16) 10.21 0.05 27,176 0.50+ 4.52+ 11 0.89+
(0.46) 10.36 13.83 26,382 0.57(a) 4.62 64 0.83
(0.47) 9.53 (3.48) 24,066 0.55(a) 4.40 61 0.78
$(0.23) $10.09 (1.51)% $ 6,639 0.71%+(a) 4.53%+ 15% 0.97%+
(0.51) 10.48 4.77 6,909 0.70 4.46 22 0.93
(0.47) 10.50 7.87 2,666 0.70 4.54 19 0.95
(0.45) 10.18 4.17 909 0.70 4.39 34 1.04
(0.15) 10.21 (0.02) 801 0.70+ 4.32+ 11 1.09+
(0.44) 10.36 13.60 806 0.77(a) 4.42 64 1.03
(0.45) 9.53 (3.66) 718 0.73(a) 4.22 61 0.96
$(0.20) $10.09 (1.82)% $ 2,104 1.34%+(a) 3.90%+ 15% 1.72%+
(0.45) 10.48 4.15 2,137 1.30 3.86 22 1.68
(0.42) 10.50 7.34 2,184 1.20 4.04 19 1.45
(0.42) 10.18 3.87 2,182 1.00 4.09 34 1.34
(0.14) 10.21 (0.12) 2,845 1.00+ 4.02+ 11 1.39+
(0.41) 10.36 13.27 3,136 1.07(a) 4.12 64 1.33
(0.42) 9.53 (3.96) 2,774 1.05(a) 3.90 61 1.28
$(0.19) $10.09 (1.92)% $ 3 1.50%+(a) 3.74%+ 15% 1.72%+
(0.44) 10.48 4.14 3 1.33 3.83 22 1.68
(0.42) 10.50 7.34 293 1.20 4.04 19 1.45
(0.42) 10.18 3.87 591 1.00 4.09 34 1.34
(0.14) 10.21 (0.12) 569 1.00+ 4.02+ 11 1.39+
(0.41) 10.36 13.27 570 1.07(a) 4.12 64 1.33
(0.03) 9.53 0.08 2 1.05+(a) 3.90+ 61 1.28+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
191
<PAGE> 196
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
TEXAS MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.11 $0.24 $(0.50) $(0.26) $(0.24)
Year ended 3/31/1999............................... 10.04 0.46 0.07 0.53 (0.46)
Year ended 3/31/1998(c)............................ 9.48 0.48 0.56 1.04 (0.48)
Year ended 3/31/1997............................... 9.49 0.48 (0.01) 0.47 (0.48)
Period ended 3/31/1996(b).......................... 9.70 0.16 (0.21) (0.05) (0.16)
Year ended 11/30/1995.............................. 8.39 0.50 1.31 1.81 (0.50)
Period ended 11/30/1994*........................... 10.01 0.42 (1.62) (1.20) (0.42)
INVESTOR A SHARES
Six months ended 9/30/1999 (unaudited)............. $10.11 $0.23 $(0.50) $(0.27) $(0.23)
Year ended 3/31/1999............................... 10.04 0.44 0.07 0.51 (0.44)
Year ended 3/31/1998(c)............................ 9.48 0.46 0.56 1.02 (0.46)
Year ended 3/31/1997............................... 9.49 0.46 (0.01) 0.45 (0.46)
Period ended 3/31/1996(b).......................... 9.70 0.15 (0.21) (0.06) (0.15)
Year ended 11/30/1995.............................. 8.39 0.49 1.31 1.80 (0.49)
Period ended 11/30/1994*........................... 9.92 0.47 (1.53) (1.06) (0.47)
INVESTOR B SHARES
Six months ended 9/30/1999 (unaudited)............. $10.11 $0.19 $(0.50) $(0.31) $(0.19)
Year ended 3/31/1999............................... 10.04 0.38 0.07 0.45 (0.38)
Year ended 3/31/1998(c)............................ 9.48 0.39 0.56 0.95 (0.39)
Year ended 3/31/1997............................... 9.49 0.40 (0.01) 0.39 (0.40)
Period ended 3/31/1996(b).......................... 9.70 0.13 (0.21) (0.08) (0.13)
Year ended 11/30/1995.............................. 8.39 0.43 1.31 1.74 (0.43)
Year ended 11/30/1994.............................. 9.78 0.44 (1.39) (0.95) (0.44)
INVESTOR C SHARES
Six months ended 9/30/1999 (unaudited)............. $10.11 $0.19 $(0.50) $(0.31) $(0.19)
Year ended 3/31/1999............................... 10.04 0.38 0.07 0.45 (0.38)
Year ended 3/31/1998(c)............................ 9.48 0.40 0.56 0.96 (0.40)
Year ended 3/31/1997............................... 9.49 0.43 (0.01) 0.42 (0.43)
Period ended 3/31/1996(b).......................... 9.70 0.14 (0.21) (0.07) (0.14)
Year ended 11/30/1995.............................. 8.39 0.43 1.31 1.74 (0.43)
Period ended 11/30/1994*........................... 8.46 0.03 (0.07) (0.04) (0.03)
</TABLE>
- ---------------
* Texas Municipal Bond Primary A, Investor A and Investor C Shares commenced
operations February 3, 1994, December 17, 1993 and November 3, 1994,
respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
192
<PAGE> 197
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
NET ASSETS OPERATING NET INVESTMENT OPERATING
NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 9.61 (2.63)% $ 8,041 0.60%+(a) 4.79%+ 12% 1.62%+
10.11 5.41 9,393 0.60 4.59 34 1.25
10.04 11.12 7,615 0.60(a) 4.83 33 1.07
9.48 5.00 5,675 0.60(a) 4.99 52 1.03
9.49 (0.55) 5,138 0.60+ 4.92+ 6 1.11+
9.70 22.09 4,613 0.39(a) 5.45 50 1.05
8.39 (12.21) 2,285 0.22+(a) 5.52+ 107 1.06+
$ 9.61 (2.73)% $ 371 0.81%+(a) 4.58%+ 12% 1.87%+
10.11 5.20 401 0.80 4.39 34 1.50
10.04 10.90 419 0.80(a) 4.63 33 1.27
9.48 4.78 371 0.80(a) 4.79 52 1.23
9.49 (0.62) 317 0.80+ 4.72+ 6 1.31+
9.70 21.85 351 0.59(a) 5.25 50 1.25
8.39 (10.98) 55 0.40+(a) 5.34+ 107 1.24+
$ 9.61 (3.05)% $ 6,334 1.48%+(a) 3.91%+ 12% 2.62%+
10.11 4.53 6,828 1.45 3.74 34 2.25
10.04 10.23 8,804 1.42(a) 4.01 33 1.89
9.48 4.21 10,090 1.35(a) 4.24 52 1.78
9.49 (0.80) 11,838 1.35+ 4.17+ 6 1.86+
9.70 21.19 12,587 1.14(a) 4.70 50 1.80
8.39 (9.98) 10,812 0.97(a) 4.77 107 1.81
$ 9.61 (3.12)% $ 81 1.60%+(a) 3.79%+ 12% 2.62%+
10.11 4.51 84 1.46 3.73 34 2.25
10.04 10.31 80 1.33(a) 4.10 33 1.80
9.48 4.47 73 1.10(a) 4.49 52 1.53
9.49 (0.74) 70 1.16+ 4.36+ 6 1.67+
9.70 21.15 70 1.14(a) 4.70 50 1.80
8.39 (0.43) 2 0.97+(a) 4.77+ 107 1.81+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
193
<PAGE> 198
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS DISTRIBUTIONS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT REALIZED
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME CAPITAL GAINS
-------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
VIRGINIA INTERMEDIATE MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $10.98 $0.25 $(0.40) $(0.15) $(0.25) --
Year ended 3/31/1999.............. 10.92 0.50 0.06 0.56 (0.50) --
Year ended 3/31/1998.............. 10.59 0.51 0.33 0.84 (0.51) --
Year ended 3/31/1997.............. 10.69 0.51 (0.10) 0.41 (0.51) --
Period ended 3/31/1996(b)......... 10.83 0.17 (0.14) 0.03 (0.17) --
Year ended 11/30/1995............. 9.94 0.51 0.89 1.40 (0.51) $(0.00)#
Year ended 11/30/1994............. 10.99 0.50 (0.96) (0.46) (0.50) (0.09)
INVESTOR A SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $10.98 $0.23 $(0.40) $(0.17) $(0.23) --
Year ended 3/31/1999(c)........... 10.92 0.47 0.07 0.54 (0.48) --
Year ended 3/31/1998.............. 10.59 0.49 0.33 0.82 (0.49) --
Year ended 3/31/1997.............. 10.69 0.49 (0.10) 0.39 (0.49) --
Period ended 3/31/1996(b)......... 10.83 0.16 (0.14) 0.02 (0.16) --
Year ended 11/30/1995............. 9.94 0.49 0.89 1.38 (0.49) $(0.00)#
Year ended 11/30/1994............. 10.99 0.48 (0.96) (0.48) (0.48) (0.09)
INVESTOR B SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $10.98 $0.20 $(0.40) $(0.20) $(0.20) --
Year ended 3/31/1999.............. 10.92 0.41 0.06 0.47 (0.41) --
Year ended 3/31/1998(c)........... 10.59 0.44 0.33 0.77 (0.44) --
Year ended 3/31/1997.............. 10.69 0.46 (0.10) 0.36 (0.46) --
Period ended 3/31/1996(b)......... 10.83 0.15 (0.14) 0.01 (0.15) --
Year ended 11/30/1995............. 9.94 0.46 0.89 1.35 (0.46) $(0.00)#
Year ended 11/30/1994............. 10.99 0.45 (0.96) (0.51) (0.45) (0.09)
INVESTOR C SHARES
Six months ended 9/30/1999(c)
(unaudited)..................... $10.98 $0.19 $(0.40) $(0.21) $(0.19) --
Year ended 3/31/1999(c)........... 10.92 0.39 0.08 0.47 (0.41) --
Year ended 3/31/1998(c)........... 10.59 0.44 0.33 0.77 (0.44) --
Year ended 3/31/1997.............. 10.69 0.46 (0.10) 0.36 (0.46) --
Period ended 3/31/1996(b)......... 10.83 0.15 (0.14) 0.01 (0.15) --
Year ended 11/30/1995............. 9.94 0.46 0.89 1.35 (0.46) $(0.00)#
Year ended 11/30/1994............. 10.99 0.44 (0.96) (0.52) (0.44) (0.09)
</TABLE>
- ---------------
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
# Amount represents less than $0.01 per share.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
194
<PAGE> 199
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
AND/OR EXPENSE
REIMBURSEMENTS
---------------
RATIO OF RATIO OF RATIO OF
TOTAL NET ASSETS OPERATING NET INVESTMENT OPERATING
DIVIDENDS NET ASSET END OF EXPENSES TO INCOME TO PORTFOLIO EXPENSES TO
AND VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET TURNOVER AVERAGE
DISTRIBUTIONS END OF PERIOD RETURN++ (000) ASSETS ASSETS RATE NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$(0.25) $10.58 (1.41)% $226,273 0.50%+ 4.57%+ 3% 0.73%+
(0.50) 10.98 5.21 227,299 0.50(a) 4.54 5 0.70
(0.51) 10.92 8.12 170,969 0.50(a) 4.77 21 0.74
(0.51) 10.59 3.92 148,701 0.50(a) 4.79 20 0.74
(0.17) 10.69 0.27 155,464 0.50+(a) 4.72+ 2 0.76+
(0.51) 10.83 14.39 157,252 0.56(a) 4.87 22 0.74
(0.59) 9.94 (4.35) 167,405 0.61(a) 4.76 14 0.73
$(0.23) $10.58 (1.51)% $ 50,027 0.71%+ 4.36%+ 3% 0.98%+
(0.48) 10.98 5.00 56,733 0.70(a) 4.34 5 0.95
(0.49) 10.92 7.91 54,080 0.70(a) 4.57 21 0.94
(0.49) 10.59 3.71 55,791 0.70(a) 4.59 20 0.94
(0.16) 10.69 0.20 68,003 0.70+(a) 4.52+ 2 0.96+
(0.49) 10.83 14.16 73,253 0.76(a) 4.67 22 0.94
(0.57) 9.94 (4.52) 79,412 0.79(a) 4.58 14 0.91
$(0.20) $10.58 (1.82)% $ 9,405 1.33%+ 3.74%+ 3% 1.73%+
(0.41) 10.98 4.38 10,296 1.30(a) 3.74 5 1.70
(0.44) 10.92 7.37 9,643 1.20(a) 4.07 21 1.44
(0.46) 10.59 3.40 10,516 1.00(a) 4.29 20 1.24
(0.15) 10.69 0.10 11,926 1.00+(a) 4.22+ 2 1.26+
(0.46) 10.83 13.82 12,163 1.06(a) 4.37 22 1.24
(0.54) 9.94 (4.82) 9,690 1.11(a) 4.26 14 1.23
$(0.19) $10.58 (1.90)% $ 800 1.50%+ 3.57%+ 3% 1.73%+
(0.41) 10.98 4.36 1,100 1.34(a) 3.70 5 1.70
(0.44) 10.92 7.37 1,949 1.20(a) 4.07 21 1.44
(0.46) 10.59 3.40 6,463 1.00(a) 4.29 20 1.24
(0.15) 10.69 0.10 6,909 1.00+(a) 4.22+ 2 1.26+
(0.46) 10.83 13.82 7,152 1.06(a) 4.37 22 1.24
(0.53) 9.94 (4.90) 8,372 1.19(a) 4.18 14 1.31
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
195
<PAGE> 200
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
NET ASSET NET REALIZED NET INCREASE/ DIVIDENDS
VALUE NET AND UNREALIZED (DECREASE) IN FROM NET
BEGINNING INVESTMENT GAIN/(LOSS) ON NET ASSET VALUE INVESTMENT
OF PERIOD INCOME INVESTMENTS FROM OPERATIONS INCOME
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
VIRGINIA MUNICIPAL BOND
PRIMARY A SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.23 $(0.47) $(0.24) $(0.23)
Year ended 3/31/1999............................... 9.95 0.47 0.04 0.51 (0.47)
Year ended 3/31/1998............................... 9.40 0.47 0.55 1.02 (0.47)
Year ended 3/31/1997............................... 9.38 0.48 0.02 0.50 (0.48)
Period ended 3/31/1996(b).......................... 9.62 0.16 (0.24) (0.08) (0.16)
Year ended 11/30/1995.............................. 8.29 0.51 1.33 1.84 (0.51)
Period ended 11/30/1994*........................... 10.00 0.45 (1.71) (1.26) (0.45)
INVESTOR A SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.22 $(0.48) $(0.26) $(0.22)
Year ended 3/31/1999(c)............................ 9.95 0.45 0.04 0.49 (0.45)
Year ended 3/31/1998(c)............................ 9.40 0.45 0.55 1.00 (0.45)
Year ended 3/31/1997............................... 9.38 0.46 0.02 0.48 (0.46)
Period ended 3/31/1996(b).......................... 9.62 0.16 (0.24) (0.08) (0.16)
Year ended 11/30/1995.............................. 8.29 0.49 1.33 1.82 (0.49)
Year ended 11/30/1994.............................. 9.77 0.49 (1.48) (0.99) (0.49)
INVESTOR B SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.19 $(0.47) $(0.28) $(0.19)
Year ended 3/31/1999............................... 9.95 0.38 0.04 0.42 (0.38)
Year ended 3/31/1998(c)............................ 9.40 0.39 0.55 0.94 (0.39)
Year ended 3/31/1997............................... 9.38 0.41 0.02 0.43 (0.41)
Period ended 3/31/1996(b).......................... 9.62 0.14 (0.24) (0.10) (0.14)
Year ended 11/30/1995.............................. 8.29 0.44 1.33 1.77 (0.44)
Year ended 11/30/1994.............................. 9.77 0.44 (1.48) (1.04) (0.44)
INVESTOR C SHARES
Six months ended 9/30/1999(c) (unaudited).......... $9.99 $0.19 $(0.47) $(0.28) $(0.19)
Year ended 3/31/1999............................... 9.95 0.37 0.04 0.41 (0.37)
Year ended 3/31/1998(c)............................ 9.40 0.40 0.55 0.95 (0.40)
Year ended 3/31/1997............................... 9.38 0.43 0.02 0.45 (0.43)
Period ended 3/31/1996(b).......................... 9.62 0.14 (0.24) (0.10) (0.14)
Year ended 11/30/1995.............................. 8.29 0.44 1.33 1.77 (0.44)
Period ended 11/30/1994*........................... 8.38 0.03 (0.09) (0.06) (0.03)
</TABLE>
- ---------------
* Virginia Municipal Bond Primary A and Investor C Shares commenced operations
on January 11, 1994 and November 3, 1994, respectively.
+ Annualized.
++ Total return represents aggregate total return for the period indicated,
assumes reinvestment of all distributions, and does not reflect the
deduction of any applicable sales charges.
(a) The effect of interest expense on the operating expense ratio was less than
0.01%.
(b) Fiscal year end changed to March 31. Prior to this, the fiscal year end was
November 30.
(c) Per share net investment income has been calculated using the monthly
average shares method.
SEE NOTES TO FINANCIAL STATEMENTS.
196
<PAGE> 201
NATIONS FUNDS
FINANCIAL HIGHLIGHTS (CONTINUED)
<TABLE>
<CAPTION>
WITHOUT WAIVERS
RATIO OF AND/OR EXPENSE
OPERATING REIMBURSEMENTS
EXPENSES TO ---------------
RATIO OF AVERAGE NET RATIO OF RATIO OF
NET ASSETS OPERATING ASSETS NET INVESTMENT OPERATING
NET ASSET END OF EXPENSES TO INCLUDING INCOME TO PORTFOLIO EXPENSES TO
VALUE TOTAL PERIOD AVERAGE NET INTEREST AVERAGE NET TURNOVER AVERAGE
END OF PERIOD RETURN++ (000) ASSETS EXPENSE ASSETS RATE NET ASSETS
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$9.52 (2.40)% $14,049 0.60%+ -- 4.75%+ 4% 1.28%+
9.99 5.18 12,992 0.60 (a) 4.66 11 1.11
9.95 11.11 11,026 0.59 (a) 4.86 9 0.96
9.40 5.44 5,726 0.60 (a) 5.10 37 0.98
9.38 (0.84) 3,296 0.60+ 0.61%+ 5.06+ 8 1.07+
9.62 22.63 3,527 0.39 (a) 5.51 16 1.04
8.29 (12.86) 432 0.21+ (a) 5.52+ 61 0.99+
$9.51 (2.61)% $ 591 0.81%+ -- 4.54%+ 4% 1.53%+
9.99 4.98 965 0.80 (a) 4.46 11 1.36
9.95 10.88 1,222 0.79 (a) 4.66 9 1.16
9.40 5.23 726 0.80 (a) 4.90 37 1.18
9.38 (0.91) 661 0.80+ 0.81%+ 4.86+ 8 1.27+
9.62 22.39 650 0.59 (a) 5.31 16 1.24
8.29 (10.44) 168 0.39 (a) 5.34 61 1.17
$9.52 (2.83)% $11,969 1.48%+ -- 3.87%+ 4% 2.28%+
9.99 4.30 13,499 1.45 (a) 3.81 11 2.11
9.95 10.21 13,082 1.41 (a) 4.04 9 1.78
9.40 4.65 13,972 1.35 (a) 4.35 37 1.73
9.38 (1.09) 15,938 1.35+ 1.36%+ 4.31+ 8 1.82+
9.62 21.72 16,489 1.14 (a) 4.76 16 1.79
8.29 (10.95) 12,738 0.96 (a) 4.77 61 1.74
$9.52 (2.84)% $ 3 1.60%+ -- 3.75%+ 4% 2.28%+
9.99 4.21 3 1.45 (a) 3.81 11 2.11
9.95 10.31 3 1.32 (a) 4.13 9 1.69
9.40 4.92 45 1.10 (a) 4.60 37 1.48
9.38 (1.03) 43 1.16+ 1.17%+ 4.50+ 8 1.63+
9.62 21.71 34 1.14 (a) 4.76 16 1.79
8.29 (0.67) 2 0.96+ (a) 4.77+ 61 1.74+
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
197
<PAGE> 202
NATIONS FUNDS
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Nations Fund Trust (the "Trust") and Nations Reserves ("Reserves") are each
registered under the Investment Company Act of 1940, as amended (the "1940
Act"), as an open-end investment company. At September 30, 1999, the Trust
offered thirty-six separate portfolios and Reserves offered sixteen separate
portfolios. These financial statements pertain only to the municipal bond
portfolios of the Trust and Reserves (each a "Fund" and collectively, the
"Funds"). Financial statements for the other portfolios of the Trust and
Reserves are presented under separate cover. The Funds currently offer four
classes of shares: Primary A Shares, Investor A Shares, Investor B Shares and
Investor C Shares. Shareholders of a Fund have equal voting rights on matters
affecting all shareholders of the Fund. In addition, each class of shares of a
Fund has exclusive voting rights on matters that relate solely to that class and
separate voting rights on matters in which the interests of one class differ
from the interests of any other class.
1. SIGNIFICANT ACCOUNTING POLICIES
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts and disclosures in the financial statements. Actual
results could differ from those estimates. The following is a summary of
significant accounting policies followed by the Funds in the preparation of
their financial statements.
Securities valuation: Securities are valued by an independent pricing service
approved by the Boards of Trustees. Valuations are based upon a matrix system
and/or appraisals provided by the pricing service which takes into consideration
such factors as yields, prices, maturities, redemption features and credit
ratings on comparable securities. Certain securities may be valued by one or
more principal market makers. Restricted securities, securities for which market
quotations are not readily available, and other assets are valued by the
investment advisor under the supervision of the Boards of Trustees. Short-term
investments that mature in 60 days or less are valued at amortized cost.
A Fund's municipal holdings may include obligations of issuers that rely in
whole or in part on payment of interest and principal on state specific
revenues, real property taxes, revenues from particular institutions, such as
healthcare institutions, or obligations secured by mortgages on real property.
Consequently, the impact of changes in state law or regulations or the economic
conditions in a particular state should be considered.
Securities transactions and investment income: Securities transactions are
accounted for on trade date. Realized gains and losses are computed based on the
specific identification of securities sold. Interest income, adjusted for
accretion of discounts and amortization of premiums, is earned from settlement
date and recorded on an accrual basis. Dividend income is recorded on
ex-dividend date. Each Fund's investment income and realized and unrealized
gains and losses are allocated among its classes based upon the relative net
assets of each class of shares.
Securities purchased or sold on a when-issued or delayed-delivery basis may be
settled a month or more after trade date; interest income is not accrued until
settlement date. At the time a Fund enters into such transactions, it instructs
its custodian to segregate assets with a current value at least equal to the
amount of its when-issued or delayed-delivery purchase commitments.
Dividends and distributions to shareholders: It is the policy of each Fund to
declare dividends from net investment income daily and to pay such dividends
monthly. Each Fund will distribute net realized capital gains (including net
short-term capital gains), at least annually after the fiscal year in which the
capital gains were earned, unless offset by any available capital loss
carryforward. Income distributions and capital gain distributions on a Fund
level are determined in accordance with federal income tax regulations which may
differ from generally accepted accounting principles.
Federal income tax: Each Fund intends to continue to qualify as a regulated
investment company by complying with the applicable requirements of the Internal
Revenue Code of 1986, as amended, and by distributing substantially all of its
earnings to shareholders. Therefore, no provision is made for Federal income or
excise taxes.
Expenses: General expenses of the Trust and Reserves are allocated to the Funds
based upon their relative net assets or other expense allocation methodologies
determined by the nature of the expense in accordance with generally accepted
accounting principles. Expenses directly attributable to a Fund or class of
shares are charged to such Fund or class.
2. INVESTMENT ADVISORY FEE, SUB-ADVISORY FEE, ADMINISTRATION FEE AND RELATED
PARTY TRANSACTIONS
The Trust and Reserves have each entered into an investment advisory agreement
(the "Investment Advisory Agreements") with Banc of America Advisors, Inc.
("BAAI") (formerly known as NationsBanc
198
<PAGE> 203
NATIONS FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED)
Advisors, Inc.), a wholly-owned subsidiary of Bank of America, N.A. ("Bank of
America") (formerly known as NationsBank, N.A.), which in turn is a wholly-owned
banking subsidiary of Bank of America Corporation, a bank holding company
organized as a Delaware corporation. Pursuant to the Investment Advisory
Agreements, BAAI provides investment advisory services to the Funds and is
entitled to receive an advisory fee, calculated daily on the Fund's average
daily net assets, and payable monthly. Effective May 14, 1999, the maximum
advisory fee payable by the Funds decreased by 0.10% of the Funds' average daily
net assets (except for Short-Term Municipal Income, which decreased by 0.20%).
The table below shows the change in the maximum annual rate and the rate
currently in effect:
<TABLE>
<CAPTION>
CURRENT RATE RATE IN EFFECT
EFFECTIVE THROUGH
MAY 14, 1999 MAY 13, 1999
-----------------------------
<S> <C> <C>
Short-Term Municipal
Income.................... 0.30% 0.50%
Intermediate Municipal Bond
and eight single-state
Intermediate Municipal Bond
Funds....................... 0.40% 0.50%
Municipal Income and nine
single-state Municipal
Bond Funds................ 0.50% 0.60%
</TABLE>
The Trust and Reserves have each entered into a sub-advisory agreement with BAAI
and TradeStreet Investment Associates, Inc. ("TradeStreet"), a wholly-owned
subsidiary of Bank of America, pursuant to which TradeStreet is entitled to
receive a sub-advisory fee from BAAI at the maximum annual rate of 0.07% of each
Fund's average daily net assets.
Stephens Inc. ("Stephens") and BAAI serve as co-administrators of the Trust and
Reserves. Under the co-administration agreements, Stephens and BAAI are entitled
to receive a combined fee, computed daily and paid monthly, at the annual rate
of 0.22% of each Fund's average daily net assets. Effective May 14, 1999, the
combined co-administration fee payable by the Funds to Stephens and BAAI
increased by 0.10% of the Fund's average daily net assets. Prior to that date,
the combined co-administration fee payable was 0.12% of each Fund's average
daily net assets. The Bank of New York ("BNY") serves as sub-administrator of
the Trust and Reserves pursuant to agreements with BAAI. For the six months
ended September 30, 1999, Stephens and BAAI earned $1,212,897 and $1,283,082,
respectively, from the Funds for their co-administration services.
BAAI and/or the sub-advisor and Stephens may, from time to time, reduce their
fees payable by each Fund. Effective August 1, 1999, BAAI and/or the sub-advisor
and Stephens agreed to reimburse expenses and/or waive their fees until July 31,
2000 to the extent that total expenses (excluding shareholder servicing and
distribution fees) as an annualized percentage of the respective Fund's average
daily net assets, exceeded the following percentages: 0.40% for the Short-Term
Municipal Income Fund, 0.50% for the Intermediate Municipal Bond Fund and the
eight single-state Intermediate Municipal Bond Funds and 0.60% for the Municipal
Income Fund and the nine single-state Municipal Bond Funds. Prior to that date,
BAAI and/or the sub-advisor and Stephens had voluntarily agreed to reimburse
expenses and/or waive their fees to maintain these total expense limits.
BNY also serves as the custodian of the Trust's and Reserves' assets. First Data
Investor Services Group, Inc., a wholly-owned subsidiary of First Data
Corporation, serves as the transfer agent for each Fund's shares. Bank of
America serves as the sub-transfer agent for the Primary A Shares of the Funds.
For the six months ended September 30, 1999, Bank of America earned
approximately $41,148 for providing such services.
Stephens also serves as distributor of the Funds' shares. For the six months
ended September 30, 1999, the Funds were informed that the distributor received
$10,423,443 in front-end sales charges for sales of Investor A Shares and
$228,944 in contingent deferred sales charges from the redemption of shares
which were subject to such charges. A substantial portion of these fees is paid
to affiliates of Bank of America
Effective July 1, 1999, the Board of Trustees of the Trust and Reserves, along
with the Boards of Trustees/ Directors of the other open-end registered
investment companies in the Nations Funds family, approved a new compensation
structure for the unaffiliated Trustees/ Directors. The new structure
compensates the unaffiliated Trustees/Directors for their services to the
open-end registered investment companies in the Nations Funds family as a whole,
rather than to particular registered investment companies, or series or
portfolios thereof. As of September 30, 1999, the open-end registered investment
companies in the Nations Funds family were the Trust, Nations Funds, Inc.,
Reserves, Nations Annuity Trust, Nations LifeGoal Funds, Inc. and Nations Master
Investment Trust. Under the new structure, each unaffiliated Trustee/Director
receives a base retainer fee in the amount of $65,000 per year, in addition to
$5,000 for each in-person meeting attended and $1,000 for each telephonic
meeting attended. Each unaffiliated Trustee/ Director will be compensated only
for a maximum of six
199
<PAGE> 204
NATIONS FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED)
in-person meetings per calendar year. The Chairman of the Boards receives an
additional fee of 20% of the base retainer fee and the Chairman of the Audit
Committee receives an additional fee of 10% of the base retainer fee. The
members of the Nominating Committee will receive additional compensation at the
rate of $1,000 per meeting attended. Each unaffiliated Trustee is also
reimbursed for expenses incurred in attending such meetings.
Prior to July 1, 1999, the Trust and Reserves each paid an unaffiliated Trustee
an annual fee of $1,000 ($3,000 for the Chairman of the Boards), plus $500 per
Fund and an additional $1,000 for each in-person board meeting, and $500 for
each telephonic board meeting attended. The Trust and Reserves also reimbursed
expenses incurred by each unaffiliated Trustee in attending such meetings.
The Trust's and Reserves' eligible Trustees may participate in non-qualified
deferred compensation and retirement plans which may be terminated at any time.
All benefits provided under these plans are unfunded and any payments to plan
participants are paid solely out of the Funds' assets. Income earned on each
plan participant's deferral account is tied to the rate of return of the
eligible mutual funds selected by the participants or, if no funds are selected,
to the rate of return of Nations Treasury Fund, a portfolio of Nations Fund,
Inc. The expense for the deferred compensation and retirement plans is included
in "Trustees' fees and expenses" in the Statements of operations.
A significant portion of each Fund's Primary A Shares represents investments by
fiduciary accounts over which Bank of America has either sole or joint
investment discretion.
3. SHAREHOLDER SERVICING AND DISTRIBUTION PLANS
The Trust and Reserves have each adopted shareholder servicing plans and
distribution plans for the Investor A, Investor B and Investor C Shares of each
Fund. The shareholder servicing plans permit the Funds to compensate or
reimburse servicing agents for shareholder services provided by the servicing
agents. The distribution plans, adopted pursuant to Rule 12b-1 under the 1940
Act, permit the Funds to compensate or reimburse the distributor (and for
Investor A Shares, the distributor and/or selling agents) for activities or
expenses primarily intended to result in the sale of the classes' shares.
Payments under the Investor A shareholder servicing and distribution plan are
limited to 0.25% of Investor A average daily net assets. Payments under the
shareholder servicing plan and distribution plan, respectively, for both
Investor B and Investor C Shares are limited to 0.25% and 0.75% of each
respective class's average daily net assets. Payments are made at an annual
rate, as a percentage of average daily net assets, set from time to time by the
Boards of Trustees, and are charged as expenses of each Fund directly to the
applicable class. A substantial portion of the expenses incurred pursuant to
these plans is paid to affiliates of Bank of America and BAAI.
At September 30, 1999, the rates in effect and plan limits, as a percentage of
average daily net assets, were as follows:
<TABLE>
<CAPTION>
CURRENT PLAN
RATE LIMIT
------------------
<S> <C> <C>
Investor A Combined Distribution
and Shareholder Servicing Plan... 0.25%* 0.25%
Municipal Income and California
Municipal Bond..................... 0.20% 0.25%
Investor B and Investor C
Shareholder Servicing Plans...... 0.25% 0.25%
Investor B Distribution Plan:
Short-Term Municipal Income...... 0.20%** 0.75%
Intermediate Municipal Bond and
the eight single-state
Intermediate Municipal Bond
Funds.......................... 0.75%*** 0.75%
Municipal Income and the nine
single-state Municipal Bond
Funds.......................... 0.75%*** 0.75%
California Municipal Bond........ 0.60% 0.75%
Investor C Distribution Plan....... 0.75% 0.75%
</TABLE>
- ---------------
* Reflects a rate change effective September 1, 1999 from 0.20%. In addition, a
separate shareholder servicing plan has been adopted for the Investor A
Shares of Short-Term Municipal Income and California Municipal Bond Fund. No
expenses were incurred by the Funds pursuant to this plan during the six
months ended September 30, 1999.
** Reflects a rate change effective September 1, 1999 from 0.10%.
*** Reflects rate changes effective September 1, 1999 from 0.55% for
Intermediate Municipal Bond Fund and the eight single-state Intermediate
Municipal Bond Funds and 0.60% for Municipal Income and the nine
single-state Municipal Bond Funds.
200
<PAGE> 205
NATIONS FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED)
4. PURCHASES AND SALES OF SECURITIES
The aggregate cost of purchases and proceeds from sales of securities, excluding
long-term U.S. government and short-term investments, for the six months ended
September 30, 1999 were as follows:
<TABLE>
<CAPTION>
PURCHASES SALES
(000) (000)
---------------------
<S> <C> <C>
Short-Term Municipal Income..... $ 31,812 $ 40,569
Intermediate Municipal Bond..... 144,957 163,025
Municipal Income................ 34,421 87,237
California Municipal Bond....... 51,124 53,092
Florida Intermediate Municipal
Bond.......................... 9,159 16,577
Florida Municipal Bond.......... 2,363 9,059
Georgia Intermediate Municipal
Bond.......................... 9,295 13,992
Georgia Municipal Bond.......... 1,225 1,032
Maryland Intermediate Municipal
Bond.......................... 9,936 8,830
Maryland Municipal Bond......... 4,513 3,655
North Carolina Intermediate
Municipal Bond................ 10,575 11,333
North Carolina Municipal Bond... 4,277 2,181
South Carolina Intermediate
Municipal Bond................ 14,423 13,895
South Carolina Municipal Bond... 2,122 1,705
Tennessee Intermediate Municipal
Bond.......................... 19,383 18,395
Tennessee Municipal Bond........ 2,517 2,673
Texas Intermediate Municipal
Bond.......................... 55,635 65,775
Texas Municipal Bond............ 1,803 2,734
Virginia Intermediate Municipal
Bond.......................... 10,037 7,941
Virginia Municipal Bond......... 1,508 906
</TABLE>
There were no purchases and sales of long-term U.S. government securities for
the six months ended September 30, 1999.
5. SHARES OF BENEFICIAL INTEREST
As of September 30, 1999, an unlimited number of shares of beneficial interest
without par value were authorized for each of the Trust and Reserves. The
Trust's and Reserves' Declarations of Trust authorize the Boards of Trustees to
classify or reclassify any authorized, but unissued shares into one or more
additional classes or series of shares. See Schedules of capital stock activity.
6. LINE OF CREDIT
The Trust and Reserves each participate in an uncommitted line of credit
provided by BNY under a line of credit agreement (the "Agreement"). Advances
under the Agreement are taken primarily for temporary or emergency purposes,
including the meeting of redemption requests that otherwise might require the
untimely disposition of securities. Interest on borrowings is payable at a
specified Federal Funds rate plus 0.50% on an annualized basis. Each
participating Fund maintains a ratio of no less than 4 to 1 of net assets (not
including amounts borrowed pursuant to the Agreement) to the aggregate amount of
indebtedness pursuant to the Agreement.
At September 30, 1999, there were no loans outstanding under this Agreement. For
the six months ended September 30, 1999, borrowings by the Funds under the
Agreement were as follows:
<TABLE>
<CAPTION>
AVERAGE
AMOUNT AVERAGE
OUTSTANDING INTEREST
FUND (000) RATE
- -----------------------------------------------------------
<S> <C> <C>
Short-Term Municipal Income....... $166 5.27%
Municipal Income.................. 32 5.12
California Municipal Bond......... 14 5.62
Florida Intermediate Municipal
Bond............................ 50 5.50
Florida Municipal Bond............ 10 5.47
Georgia Intermediate Municipal
Bond............................ 3 5.20
North Carolina Intermediate
Municipal Bond.................. 5 5.24
South Carolina Municipal Bond..... 45 5.38
Tennessee Intermediate Municipal
Bond............................ 10 5.44
Texas Intermediate Municipal
Bond............................ 78 5.48
Texas Municipal Bond.............. 6 5.41
</TABLE>
The average amount outstanding was calculated based on daily balances in the
period.
201
<PAGE> 206
NATIONS FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED)
7. CAPITAL LOSS CARRYFORWARD
At March 31, 1999, the following Funds had available for Federal income tax
purposes the following unused capital losses expiring March 31:
<TABLE>
<CAPTION>
2002 2003 2004 2005 2006
FUND (000) (000) (000) (000) (000)
- ---------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Short-Term Municipal Income................................. -- $144 -- -- --
Florida Intermediate Municipal Bond......................... -- 498 -- $ 22 --
Florida Municipal Bond...................................... -- 77 -- 133 $72
Georgia Municipal Bond...................................... -- 189 -- -- --
North Carolina Municipal Bond............................... $235 425 -- 207 --
South Carolina Municipal Bond............................... -- -- -- -- 15
Tennessee Municipal Bond.................................... -- 25 -- -- --
Texas Municipal Bond........................................ 92 132 -- -- --
Virginia Municipal Bond..................................... 326 77 $12 63 --
</TABLE>
8. REORGANIZATIONS
CONVERSION OF COMMON TRUST FUNDS
On June 19, 1998, certain Funds, as listed below (each an "Acquiring Fund"),
acquired the assets of certain common trust funds, managed by NationsBank, N.A.,
also listed below (each an "Acquired Fund"), in a tax-free exchange for shares
of the Acquiring Fund. The number and value of shares issued by the Acquiring
Fund are presented in the Schedules of capital stock activity. Net assets and
unrealized appreciation as of the conversion date were as follows:
<TABLE>
<CAPTION>
TOTAL NET ASSETS
TOTAL NET ASSETS TOTAL NET ASSETS OF ACQUIRING FUND ACQUIRED FUND
OF ACQUIRED FUND OF ACQUIRING FUND AFTER CONVERSION UNREALIZED APPRECIATION
ACQUIRING FUND ACQUIRED FUND (000) (000) (000) (000)
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Municipal NationsBank Common
Income Trust Municipal Bond
Fund $135,044 $516,163 $651,207 $10,717
Maryland Intermediate NationsBank Common
Municipal Bond Trust Intermediate
Municipal Bond Fund 93,840 107,066 200,906 4,791
</TABLE>
On June 19, 1998, the Virginia Intermediate Municipal Bond Fund (the "Acquiring
Fund"), acquired the assets of the NationsBank Common Trust Virginia Municipal
Bond Fund (the "Acquired Fund"), managed by NationsBank, N.A., in a taxable
exchange for shares of the Acquiring Fund. The number and value of shares issued
by the Acquiring Fund are presented in the Schedules of capital stock activity.
Net assets as of the conversion date of the Acquired Fund and the Acquiring Fund
prior to conversion, and the Acquiring Fund immediately after the conversion,
were $4,781,000, $247,135,000 and $251,916,000, respectively.
ACQUISITION OF THE EMERALD FUNDS
On May 15, 1998, the Florida Municipal Bond Fund (the "Acquiring Fund"),
acquired the assets and certain liabilities of The Emerald Florida Tax-Exempt
Fund (the "Acquired Fund"), in a tax-free reorganization in exchange for shares
of the Acquiring Fund pursuant to a plan of reorganization approved by the
Acquired Fund's shareholders. The number and value of shares issued by the
Acquiring Fund are presented in the Schedules of capital stock activity. Net
assets and unrealized appreciation as of the reorganization date were as
follows:
<TABLE>
<CAPTION>
TOTAL NET ASSETS
TOTAL NET ASSETS TOTAL NET ASSETS OF ACQUIRING FUND ACQUIRED FUND
OF ACQUIRED FUND OF ACQUIRING FUND AFTER ACQUISITION UNREALIZED APPRECIATION
(000) (000) (000) (000)
----------------------------------------------------------------------------------
<S> <C> <C> <C>
$118,966 $47,709 $166,675 $8,880
</TABLE>
202
<PAGE> 207
NATIONS FUNDS
NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED)
ACQUISITION OF THE PACIFIC HORIZON FUNDS
On May 14, 1999, the Municipal Income Fund (the "Acquiring Fund"), acquired the
assets and liabilities of the Pacific Horizon National Bond Fund (the "Acquired
Fund"), in a tax-free reorganization in exchange for shares of the Acquiring
Fund pursuant to a plan of reorganization approved by the Acquired Fund's
shareholders. The number and value of shares issued by the Acquiring Fund are
presented in the Schedules of capital stock activity. Net assets and unrealized
appreciation as of the reorganization date were as follows:
<TABLE>
<CAPTION>
TOTAL NET ASSETS
TOTAL NET ASSETS TOTAL NET ASSETS OF ACQUIRING FUND ACQUIRED FUND
OF ACQUIRED FUND OF ACQUIRING FUND AFTER ACQUISITION UNREALIZED APPRECIATION
(000) (000) (000) (000)
----------------------------------------------------------------------------------
<S> <C> <C> <C>
$19,123 $664,545 $683,668 $621
</TABLE>
On May 21, 1999, the California Municipal Bond Fund, a newly established
portfolio, acquired the assets and liabilities of the Pacific Horizon California
Municipal Bond Fund pursuant to a plan of reorganization approved by its
shareholders. The acquisition was accomplished by a tax-free exchange of shares
of California Municipal Bond Fund in an amount equal to the value of the
outstanding shares of the Pacific Horizon California Municipal Bond Fund. The
financial statements of the California Municipal Bond Fund reflect the
historical financial results of the Pacific Horizon California Municipal Bond
Fund prior to the reorganization.
<TABLE>
<CAPTION>
PACIFIC HORIZON FUND SHARE CLASS CORRESPONDING RESERVES SHARE CLASS
---------------------------------------------------------------------
<S> <C>
California Municipal Bond Nations California Municipal Bond
A Shares Investor A Shares
B Shares Investor B Shares
</TABLE>
203
<PAGE> 208
P.O. Box 34602
Charlotte, NC 28234-4602
Toll free 1.800.982.2271
Nations Funds
SAR2 991394 (9/99)
