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- --------------------------------------------------------------------------------
Dimensional Investment Group Inc.
DFA International Value Portfolio II
Semi-Annual
Report
Six Months Ended May 31, 1997
(Unaudited)
-------------------------------------
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DIMENSIONAL INVESTMENT GROUP INC.
DFA INTERNATIONAL VALUE PORTFOLIO II
SEMI-ANNUAL REPORT
(UNAUDITED)
TABLE OF CONTENTS
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PAGE
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DIMENSIONAL INVESTMENT GROUP INC.
Statement of Assets and Liabilities.............................................................................. 1
Statement of Operations.......................................................................................... 2
Statements of Changes in Net Assets.............................................................................. 3
Financial Highlights............................................................................................. 4
Notes to Financial Statements.................................................................................... 5-6
THE DFA INVESTMENT TRUST COMPANY -- THE DFA INTERNATIONAL VALUE SERIES
Statement of Net Assets.......................................................................................... 7
Statement of Operations.......................................................................................... 16
Statements of Changes in Net Assets.............................................................................. 17
Financial Highlights............................................................................................. 18
Notes to Financial Statements.................................................................................... 19-20
</TABLE>
This report is submitted for the information of the Fund's shareholders. It is
not authorized for distribution to prospective investors unless preceded or
accompanied by an effective prospectus.
i
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
DFA INTERNATIONAL VALUE PORTFOLIO II
STATEMENT OF ASSETS AND LIABILITIES
MAY 31, 1997
(UNAUDITED)
(AMOUNTS IN THOUSANDS, EXCEPT SHARE AMOUNTS)
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ASSETS:
Investment in The DFA International Value Series of The DFA Investment Trust
Company (3,241,378 Shares, Cost $35,133)++ at Value.............................. $ 38,606
Receivable for Fund Shares Sold.................................................... 201
Prepaid Expenses and Other Assets.................................................. 29
-----------
Total Assets................................................................. 38,836
-----------
LIABILITIES:
Payable for Investment Securities Purchased........................................ 201
Accrued Expenses................................................................... 33
-----------
Total Liabilities............................................................ 234
-----------
NET ASSETS........................................................................... $ 38,602
-----------
-----------
SHARES OUTSTANDING, $.01 PAR VALUE (Authorized 100,000,000).......................... 3,366,590
-----------
-----------
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE............................. $ 11.47
-----------
-----------
NET ASSETS CONSIST OF:
Paid-In Capital.................................................................. $ 35,078
Accumulated Net Investment Loss.................................................. (31)
Undistributed Net Realized Gain.................................................. 82
Unrealized Appreciation of Investment Securities................................. 3,473
-----------
Total Net Assets........................................................... $ 38,602
-----------
-----------
</TABLE>
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++ The cost for federal income tax purposes is $35,500.
See accompanying Notes to Financial Statements
1
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
DFA INTERNATIONAL VALUE PORTFOLIO II
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED MAY 31, 1997
(UNAUDITED)
(AMOUNTS IN THOUSANDS)
<TABLE>
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INVESTMENT INCOME
Income Distributions Received........................................................ $ 81
---------
EXPENSES
Administrative Services.............................................................. 2
Accounting & Transfer Agent Fees..................................................... 10
Shareholder Services................................................................. 17
Legal Fees........................................................................... 3
Audit Fees........................................................................... 1
Filing Fees.......................................................................... 9
Shareholders' Reports................................................................ 4
Directors' Fees and Expenses......................................................... 2
Organization Costs................................................................... 4
Other................................................................................ 20
---------
Total Expenses................................................................... 72
---------
NET INVESTMENT INCOME................................................................ 9
---------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Capital Gain Distributions Received...................................................... 618
Net Realized Loss on Investment Securities............................................... (211)
Change in Unrealized Appreciation (Depreciation) of Investment Securities................ 1,000
---------
NET GAIN ON INVESTMENT SECURITIES.................................................... 1,407
---------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS..................................... $ 1,416
---------
---------
</TABLE>
See accompanying Notes to Financial Statements
2
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
DFA INTERNATIONAL VALUE PORTFOLIO II
STATEMENTS OF CHANGES IN NET ASSETS
(AMOUNTS IN THOUSANDS)
<TABLE>
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SIX MONTHS YEAR
ENDED ENDED
MAY 31, NOV. 30,
1997 1996
----------- -----------
(UNAUDITED)
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INCREASE (DECREASE) IN NET ASSETS
Operations:
Net Investment Income.................................................. $ 9 $ 368
Capital Gain Distributions Received.................................... 618 116
Net Realized Loss on Investment Securities............................. (211) (46)
Change in Unrealized Appreciation (Depreciation) of Investment
Securities........................................................... 1,000 2,260
----------- -----------
Net Increase in Net Assets Resulting from Operations............... 1,416 2,698
----------- -----------
Distributions From:
Net Investment Income.................................................. (397) (12)
Net Realized Gains..................................................... (266) (3)
----------- -----------
Total Distributions................................................ (663) (15)
----------- -----------
Capital Share Transactions (1):
Shares Issued.......................................................... 11,969 19,398
Shares Issued in Lieu of Cash Distributions............................ 663 15
Shares Redeemed........................................................ (4,801) (6,401)
----------- -----------
Net Increase From Capital Share Transactions....................... 7,831 13,012
----------- -----------
Total Increase..................................................... 8,584 15,695
NET ASSETS
Beginning of Period.................................................... 30,018 14,323
----------- -----------
End of Period.......................................................... $ 38,602 $ 30,018
----------- -----------
----------- -----------
(1) SHARES ISSUED AND REDEEMED
Shares Issued.......................................................... 1,107 1,792
Shares Issued in Lieu of Cash Distributions............................ 61 2
Shares Redeemed........................................................ (444) (590)
----------- -----------
724 1,204
----------- -----------
----------- -----------
</TABLE>
See accompanying Notes to Financial Statements
3
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
DFA INTERNATIONAL VALUE PORTFOLIO II
FINANCIAL HIGHLIGHTS
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
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<CAPTION>
SIX MONTHS YEAR YEAR AUG. 3
ENDED ENDED ENDED TO
MAY 31, NOV. 30, NOV. 30, NOV. 30,
1997 1996 1995 1994
----------- -------- ---------- ----------
(UNAUDITED)
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of
Period........................... $ 11.36 $ 9.95 $ 9.48 $ 10.00
----------- -------- ---------- ----------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income............ -- 0.14 0.13 0.06
Net Gains (Losses) on Securities
(Realized and Unrealized)...... 0.36 1.28 0.49 (0.52)
----------- -------- ---------- ----------
Total from Investment
Operations..................... 0.36 1.42 0.62 (0.46)
----------- -------- ---------- ----------
LESS DISTRIBUTIONS
Net Investment Income............ (0.15) (0.01) (0.13) (0.06)
Net Realized Gains............... (0.10) -- (0.02) --
----------- -------- ---------- ----------
Total Distributions.............. (0.25) (0.01) (0.15) (0.06)
----------- -------- ---------- ----------
Net Asset Value, End of Period..... $ 11.47 $ 11.36 $ 9.95 $ 9.48
----------- -------- ---------- ----------
----------- -------- ---------- ----------
Total Return....................... 3.23%# 14.28% 6.52% (4.73)%#
Net Assets, End of Period
(thousands)...................... $38,602 $ 30,018 $14,323 $ 7,643
Ratio of Expenses to Average Net
Assets (1)....................... 0.75%* 0.86%(a) 0.96%(a) 0.96%*(a)
Ratio of Net Investment Income to
Average Net Assets............... 0.05%* 1.67%(a) 1.63%(a) 2.56%*(a)
Portfolio Turnover Rate............ N/A N/A N/A N/A
Average Commission Rate............ N/A N/A N/A N/A
</TABLE>
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* Annualized
# Non-Annualized
(1) Represents the combined ratio for the Portfolio and its respective pro-rata
share of its Master Fund Series.
(a) Had certain waivers and reimbursements not been in effect, the ratios of
expenses to average net assets for the periods ended November 30, 1996,
1995 and1994 would have been 0.96%, 1.48% and 12.07%, respectively and the
ratios of net investment income to average net assets, for the periods
ended November 30, 1996, 1995 and 1994 would have been 1.57%, 1.11% and
1.46%, respectively.
N/A Refer to the respective Master Fund Series.
See accompanying Notes to Financial Statements
4
<PAGE>
DIMENSIONAL INVESTMENT GROUP INC.
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED)
A. ORGANIZATION:
Dimensional Investment Group Inc. (The "Fund") is an open-end management
investment company registered under the Investment Company Act of 1940, whose
shares are offered to institutional investors, retirement plans and clients of
registered investment advisors. The Fund currently offers eleven portfolios, of
which The DFA International Value Portfolio II (the "Portfolio") is presented in
this report.
The Portfolio invests all of its assets in The DFA International Value
Series (the "Series") a corresponding series of The DFA Investment Trust
Company. At May 31, 1997, the Portfolio owned 3% of the outstanding shares of
The Series. The financial statements of the Series are included elsewhere in
this report and should be read in conjunction with the financial statements of
the Portfolio.
B. SIGNIFICANT ACCOUNTING POLICIES:
The following significant accounting policies are in conformity with
generally accepted accounting principles for investment companies. Such policies
are consistently followed by the Fund in preparation of its financial
statements. The preparation of financial statements in accordance with generally
accepted accounting principles may require management to make estimates and
assumptions that affect the reported amounts and disclosures in the financial
statements. Actual results could differ from those estimates.
1. SECURITY VALUATION: The shares of the Series held by the Portfolio are
valued at its respective daily net asset value.
2. FEDERAL INCOME TAXES: It is the Portfolio's intention to continue to
qualify as a regulated investment company and distribute all of its taxable
income. Accordingly, no provision for Federal income tax is required in the
financial statements.
3. OTHER: Security transactions are accounted for on the date the
securities are purchased or sold. Costs used in determining realized gains and
losses on the sale of investment securities are those of specific securities
sold. Dividend income and distributions to shareholders are recorded on the
ex-dividend date. Expenses directly attributable to the Portfolio or to the
Series are directly charged. Common expenses are allocated using methods
determined by the Board of Directors.
C. INVESTMENT ADVISOR:
Dimensional Fund Advisors Inc. ("DFA") (the "Advisor") provides
administrative services to the Portfolio, including supervision of services
provided by others, providing information to the shareholders and to the Board
of Directors, and other administrative services. The Advisor provides investment
advisory services to the Series. Effective July 1, 1996, the Portfolio's
administrative fees were computed daily and paid monthly to the Advisor based on
an effective annual rate of 0.01 of 1%. Prior to that date, this rate was 0.20
of 1%.
Certain officers of the Portfolio are also officers, directors and
shareholders of the Advisor.
Effective July 1, 1996, the Advisor has agreed to waive its fees and
reimburse the Portfolio to the extent necessary to keep the annual combined
expenses of the Portfolio and its respective Master Fund to not more than 0.75%
of average daily net assets. Prior to that date, the Advisor agreed to waive its
fees and reimburse the Portfolio to the extent necessary to keep the annual
combined expenses to not more than 0.96% of average daily net assets.
In additional, pursuant to an agreement with certain Shareholder Service
Agents, the Portfolio pays to such agents a fee at the effective annual rate of
.10% of its average daily net assets.
5
<PAGE>
D. INVESTMENTS:
At May 31, 1997, gross unrealized appreciation and depreciation for
financial reporting purposes of investment securities was as follows (amounts in
thousands):
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Gross Unrealized Appreciation............................ $ 3,473
Gross Unrealized Depreciation............................ --
---------
Net...................................................... $ 3,473
---------
---------
</TABLE>
E. LINE OF CREDIT
In July, 1996, the Fund entered into a $50 million unsecured line of credit
with its domestic custodian bank. Each portfolio is permitted to borrow, subject
to its investment limitations, up to a maximum of $50 million. Borrowings under
the line are charged interest at the current overnight federal funds rate plus a
variable rate determined at the date of borrowing. Each portfolio is
individually, and not jointly liable for its particular advances under the line.
There is no commitment fee on the unused portion of the line of credit. There
were no borrowings under the line of credit by the Portfolio during the six
months ended May 31, 1997.
6
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
STATEMENT OF NET ASSETS
MAY 31, 1997
(UNAUDITED)
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<CAPTION>
SHARES VALUE+
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JAPAN -- (31.4%)
COMMON STOCKS -- (31.4%)
Achilles Corp.................... 207,000 $ 577,964
Aica Kogyo Co., Ltd.............. 47,000 250,344
Aichi Bank, Ltd.................. 10,500 856,959
#Aichi Machine Industry Co.,
Ltd............................ 87,000 519,459
Aichi Steel Works, Ltd........... 194,000 793,333
Aida Engineering, Ltd............ 84,000 600,412
Aisin Seiki Co., Ltd............. 137,000 2,118,557
Alps Electric Co., Ltd........... 70,000 980,241
Amada Co., Ltd................... 304,000 2,572,509
Amada Metrecs Co., Ltd........... 71,000 713,660
Amada Sonoike Co., Ltd........... 81,000 361,160
Amano Corp....................... 63,000 671,134
Ando Corp........................ 6,000 17,062
*Aoki Corp....................... 361,000 434,192
Aoki International Co., Ltd...... 51,000 955,155
#Aomori Bank, Ltd................ 170,000 854,381
Aoyama Trading Co., Ltd.......... 41,100 1,292,320
Asahi Breweries, Ltd............. 324,000 4,425,773
Asahi Denka Kogyo KK............. 67,000 460,481
Asahi Organic Chemicals Industry
Co., Ltd....................... 96,000 498,969
Asanuma Corp..................... 59,000 155,103
Ashikaga Bank, Ltd............... 643,000 2,126,761
*Asics Corp...................... 197,000 406,186
Atsugi Nylon Industrial Co.,
Ltd............................ 279,000 932,397
Awa Bank, Ltd.................... 189,600 1,022,928
Bandai Co., Ltd.................. 47,000 1,041,753
#Bank of Ikeda, Ltd.............. 13,000 658,935
Bank of Iwate, Ltd............... 18,590 964,636
Bank of Kinki, Ltd............... 205,000 1,003,866
#Bank of Kyoto, Ltd.............. 347,400 1,805,644
Bank of Nagoya, Ltd.............. 185,000 1,192,010
Bank of Saga, Ltd................ 177,000 898,686
Bank of Yokohama, Ltd............ 190,000 943,471
Best Denki Co., Ltd.............. 3,000 29,897
Brother Industries, Ltd.......... 282,000 1,102,320
Bunka Shutter Co., Ltd........... 70,000 423,368
CMK Corp......................... 38,000 483,161
CSK Corp......................... 56,400 1,739,485
Calpis Food Industry Co., Ltd.... 70,000 420,361
Canon Sales Co., Inc............. 64,900 1,488,686
#Casio Computer Co., Ltd......... 264,000 2,077,526
*Central Glass Co., Ltd.......... 211,000 614,510
Chiba Bank, Ltd.................. 368,000 1,912,715
#Chiba Kogyo Bank, Ltd........... 21,000 593,557
Chichibu Onoda Cement Corp....... 355,000 1,421,220
Chiyoda Corp..................... 191,000 899,210
*Chiyoda Fire and Marine
Insurance Co., Ltd............. 360,150 1,454,214
Chudenko Corp.................... 66,000 1,757,732
Chuetsu Pulp and Paper Co.,
Ltd............................ 106,000 344,227
#Chugoku Bank, Ltd............... 199,000 3,026,031
Chukyo Coca-Cola Bottling Co.,
Ltd............................ 42,000 375,258
Chukyo Sogo Bank, Ltd............ 127,000 509,527
#Chuo Trust and Banking Co.,
Ltd............................ 235,000 1,344,588
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
Citizen Watch Co., Ltd........... 301,000 $ 2,283,359
Dai Tokyo Fire & Marine Insurance
Co., Ltd....................... 427,000 2,384,450
Dai-Dan Co., Ltd................. 42,000 425,773
Daicel Chemical Industries,
Ltd............................ 392,000 1,505,361
#Daido Hoxan, Inc................ 124,000 447,423
Daido Steel Co., Ltd............. 453,000 1,439,948
*Daiei OMC, Inc.................. 201,000 504,227
Daiichi Pharmaceutical Co.,
Ltd............................ 33,000 567,010
#Daikyo, Inc..................... 176,000 625,979
#Daio Paper Corp................. 113,750 952,803
Daisan Bank, Ltd................. 138,000 675,773
Daishi Bank, Ltd................. 324,000 1,550,412
Daito Trust Construction Co.,
Ltd............................ 161,384 1,788,534
#Daiwa Bank, Ltd................. 472,000 1,853,127
*#Daiwa Danchi Co., Ltd.......... 106,000 419,811
Daiwa House Industry Co., Ltd.... 320,000 3,766,323
Daiwa Securities Co., Ltd........ 325,000 2,392,826
*Daiwabo Co., Ltd................ 92,000 285,326
Deodeo Corp...................... 43,400 913,488
Descente, Ltd.................... 62,000 295,619
Dowa Fire & Marine Insurance Co.,
Ltd............................ 327,000 1,581,624
Ehime Bank, Ltd.................. 143,000 723,600
Eighteenth Bank, Ltd............. 183,000 1,194,845
Ezaki Glico Co., Ltd............. 138,600 1,155,000
Fuji Denki Reiki Co., Ltd........ 5,150 36,767
Fuji Fire & Marine Insurance Co.,
Ltd............................ 277,000 966,168
Fuji Oil Co., Ltd................ 86,000 576,289
Fuji Photo Film Co., Ltd......... 489,000 18,946,649
Fujisawa Pharmaceutical Co.,
Ltd............................ 314,000 2,967,354
Fujita Corp...................... 491,000 873,170
Fujitsu, Ltd..................... 354,000 4,318,557
Fukui Bank, Ltd.................. 287,000 1,102,139
Fukuoka City Bank, Ltd........... 240,532 1,012,549
*#Fukutoku Bank, Ltd............. 27,000 45,232
Fukuyama Transporting Co.,
Ltd............................ 11,000 74,184
#Furukawa Co., Ltd............... 88,000 322,818
Fuso Pharmaceutical Industries,
Ltd............................ 81,000 396,649
Futaba Corp...................... 16,000 690,034
#Futaba Industrial Co., Ltd...... 64,000 1,017,182
Gunze, Ltd....................... 250,000 1,138,316
*Hanshin Electric Railway Co.,
Ltd............................ 141,000 525,722
*Haseko Corp..................... 390,000 626,546
Heiwado Co., Ltd................. 57,000 788,402
Higo Bank, Ltd................... 270,000 1,670,103
Hiroshima Bank, Ltd.............. 542,000 2,421,306
Hiroshima-Sogo Bank, Ltd......... 136,000 753,608
Hitachi Cable, Ltd............... 69,000 542,397
Hitachi Koki Co., Ltd............ 118,000 843,436
#Hitachi Maxell, Ltd............. 96,000 2,226,804
Hitachi Plant Engineering &
Construction Co., Ltd.......... 22,000 100,172
#Hitachi Transport System,
Ltd............................ 113,000 980,498
Hitachi, Ltd..................... 2,839,000 30,243,643
Hokkai Can Co., Ltd., Tokyo...... 33,000 168,686
</TABLE>
7
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THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
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#Hokkaido Takus Bank............. 912,000 $ 1,167,423
#Hokuetsu Bank................... 218,500 865,365
#Hokuetsu Paper Mills, Ltd....... 138,000 757,577
Hokuriku Bank, Ltd............... 699,000 2,360,026
#House Foods Corp................ 115,000 1,946,306
Hyakugo Bank, Ltd. (105th
Bank).......................... 241,000 1,407,904
#Hyakujishi Bank, Ltd............ 306,000 1,877,010
Inax Corp........................ 252,000 1,755,773
Ines Corp........................ 30,000 458,763
#Intec, Inc...................... 36,000 457,732
Itochu Fuel Corp................. 109,000 655,498
Itoham Foods, Inc................ 233,000 1,315,129
Izumi Co., Ltd................... 63,000 882,216
Izumiya Co., Ltd................. 113,000 1,776,546
JGC Corp......................... 184,000 1,011,684
Japan Airport Terminal Co.,
Ltd............................ 4,000 51,546
Japan Pulp and Paper Co., Ltd.... 141,000 535,412
*Japan Steel Works, Ltd.......... 81,000 166,314
Japan Wool Textile Co., Ltd...... 42,000 309,948
Joyo Bank, Ltd................... 19,000 93,041
Juroku Bank, Ltd................. 349,000 1,604,081
Kagawa Bank, Ltd................. 72,650 536,137
Kagoshima Bank, Ltd.............. 219,000 1,337,706
Kajima Corp...................... 124,000 693,505
Kamagai Gumi Co., Ltd............ 713,000 1,163,832
Kamigumi Co., Ltd................ 288,000 1,719,588
*Kandenko Co., Ltd............... 215,000 1,699,313
Kaneka Corp...................... 344,000 1,994,845
*Kankaku Securities Co., Ltd..... 210,000 369,845
Kansai Paint Co., Ltd., Osaka.... 18,000 72,062
Kanto Auto Works, Ltd.,
Yokosuka....................... 59,000 354,811
Kanto Natural Gas Development
Co., Ltd....................... 17,000 97,122
Kasumi Co., Ltd.................. 44,000 309,966
Katokichi Co., Ltd............... 56,000 1,034,364
*Kawasho Corp.................... 90,000 278,351
Keiyo Bank, Ltd.................. 315,000 1,290,851
Keiyo Co., Ltd................... 44,000 374,605
Kikkoman Corp.................... 192,000 1,270,103
Kinden Corp...................... 67,000 892,182
Kinseki, Ltd..................... 22,000 298,625
Kitano Construction Corp......... 43,000 169,931
Kitz Corp........................ 129,000 502,036
Kiyo Bank, Ltd................... 296,000 892,577
Koa Fire & Marine Insurance Co.,
Ltd............................ 45,000 235,438
Koito Manufacturing Co., Ltd..... 146,000 1,125,103
Kokusai Denshin Denwa Co.,
Ltd............................ 27,600 1,778,351
Kokusai Securities Co., Ltd...... 266,000 2,228,093
Komatsu Forklift Co., Ltd........ 81,000 439,098
Komatsu, Ltd..................... 970,000 7,333,333
Komori Corp...................... 74,000 1,557,560
Konica Corp...................... 66,000 403,711
Koyo Seiko Co.................... 37,000 314,055
Kurabo Industries, Ltd........... 261,000 672,680
Kureha Chemical Industry Co.,
Ltd............................ 226,000 978,557
Kurimoto, Ltd.................... 143,000 1,068,814
Kyudenko Corp.................... 77,000 631,082
Lintec Corp...................... 33,000 552,835
#Long Term Credit Bank of Japan,
Ltd............................ 1,324,000 4,322,337
Maeda Corp....................... 199,000 1,102,706
<CAPTION>
SHARES VALUE+
------------ ------------
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Maeda Road Construction Co.,
Ltd............................ 103,000 $ 845,060
Makita Corp...................... 164,000 2,409,278
Marubeni Corp.................... 1,213,000 5,158,376
Marudai Food Co., Ltd............ 127,000 550,988
Maruetsu, Inc.................... 144,000 692,783
Maruichi Steel Tube, Ltd......... 96,000 1,657,732
Marusan Securities Co., Ltd...... 30,000 176,546
#Maruzen Showa Unyu Co., Ltd..... 81,000 327,758
Matsushita Electric Industrial
Co., Ltd....................... 1,688,000 31,758,763
Matsushita Electric Works,
Ltd............................ 286,000 3,169,588
Matsushita Refrigeration Co...... 177,000 1,050,747
#Matsushita Seiko Co., Ltd....... 133,000 868,385
*Mazda Motor Corp................ 794,000 2,380,636
Meija Seika Kaisha, Ltd. Tokyo... 148,000 776,873
Michimen Corp.................... 444,000 1,541,031
Michinoku Bank, Ltd.............. 158,000 977,320
Mitsubishi Gas Chemical Co.,
Inc............................ 483,000 1,788,428
Mitsubishi Oil Co., Ltd.......... 451,000 2,247,251
Mitsubishi Paper Mills, Ltd...... 342,000 1,404,433
*Mitsubishi Steel Manufacturing
Co., Ltd....................... 28,000 99,828
Mitsui Construction Co., Ltd..... 199,000 350,472
Mitsui Fudosan Co., Ltd.......... 120,000 1,515,464
#Mitsui Petrochemical Industries,
Ltd............................ 317,000 1,486,959
Mitsui Trust & Banking Co.,
Ltd............................ 148,000 1,113,814
Miyazaki Bank, Ltd............... 10,100 42,604
#Mizuno Corp..................... 130,000 813,058
Mori Seiki Co., Ltd.............. 92,000 1,375,258
Musashino Bank, Ltd.............. 26,000 1,183,849
NHK Spring Co., Ltd.............. 234,000 972,990
NOK Corp......................... 149,000 1,035,576
Nagase & Co., Ltd................ 154,000 1,043,866
Naigai Co., Ltd.................. 6,000 21,907
#Nakayama Steel Works, Ltd....... 117,000 492,526
Nanto Bank, Ltd.................. 282,000 1,778,247
*New Japan Securities Co.,
Ltd............................ 453,000 1,183,093
Nichicon Corp.................... 85,000 1,015,034
Nifco, Inc....................... 55,000 538,660
Nihon Cement Co., Ltd............ 346,000 1,700,275
Nihon Kohden Corp................ 17,000 104,716
Nihon Nohyaku Co., Ltd........... 7,000 33,196
Nihon Unisys, Ltd................ 18,000 162,371
Nikko Securities Co., Ltd........ 205,000 1,218,729
Nippon Beet Sugar Manufacturing
Co., Ltd....................... 147,000 536,727
Nippon Chemi-Con Corp............ 119,000 600,112
#Nippon Credit Bank, Ltd......... 1,683,000 3,542,397
Nippon Densetsu Kogyo Co.,
Ltd............................ 62,000 452,749
Nippon Flour Mills Co., Ltd...... 21,000 84,794
Nippon Hodo Co., Ltd............. 119,000 948,729
Nippon Koei Co., Ltd., Tokyo..... 40,000 173,540
Nippon Meat Packers, Inc.,
Osaka.......................... 232,000 2,830,241
Nippon Metal Industry Co.,
Ltd............................ 148,000 418,316
#Nippon Oil Co., Ltd............. 1,291,000 6,543,729
Nippon Paint Co., Ltd............ 270,000 872,165
Nippon Road Co., Ltd............. 90,000 351,804
#Nippon Sanso Corp............... 297,000 1,178,814
Nippon Sheet Glass Co., Ltd...... 461,000 1,706,967
Nippon Shinpan Co., Ltd.......... 325,000 1,122,423
Nippon Shinyaku Co., Ltd......... 62,000 532,646
</TABLE>
8
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
*Nippon Suisan Kaisha, Ltd....... 49,000 $ 140,601
Nishi-Nippon Bank, Ltd........... 23,540 121,340
Nishimatsu Construction Co.,
Ltd............................ 75,000 496,134
Nissan Shatai Co., Ltd........... 158,000 787,285
Nissei Sangyo Co., Ltd........... 89,050 1,055,747
#Nisshin Oil Mills, Ltd.......... 141,000 835,825
Nisshin Steel Co., Ltd........... 1,067,000 2,658,333
Nisshinbo Industries, Inc........ 248,000 2,111,409
Nissin Electric Co., Ltd......... 104,000 486,942
#Nitto Denko Corp................ 116,000 1,893,471
#Noritz Corp..................... 55,000 623,711
North Pacific Bank, Ltd.......... 133,000 651,289
Ogaki Kyoritsu Bank, Ltd......... 50,000 262,887
Oita Bank, Ltd................... 133,000 891,237
Okamura Corp..................... 44,000 289,175
*Okasan Securities Co., Ltd...... 20,000 52,062
Okumura Corp..................... 260,000 1,364,777
Okura Industrial Co., Ltd........ 6,000 22,783
Olympus Optical Co., Ltd......... 244,000 2,077,354
#Parco Co., Ltd.................. 49,000 391,495
Pioneer Electronic............... 182,000 4,503,093
Q.P. Corp........................ 146,000 1,248,024
#Rengo Co., Ltd.................. 192,000 1,078,763
*Renown, Inc..................... 271,000 623,952
*#Rhythm Watch Co., Ltd.......... 135,000 417,526
#Royal Co., Ltd.................. 41,000 803,093
#Ryosan Co., Ltd................. 42,000 923,711
Ryoyo Electro Corp............... 31,000 593,900
Sakai Chemical Industry Co.,
Ltd............................ 97,000 397,500
#San In Godo Bank, Ltd........... 186,000 1,385,412
Sanki Engineering Co., Ltd....... 81,000 800,258
Sankyo Aluminum Industry Co.,
Ltd............................ 244,000 848,969
*Sankyo Seiki Manufacturing Co.,
Ltd............................ 22,000 137,783
#Sanyo Electric.................. 2,042,000 8,613,591
Sanyo Shokai, Ltd................ 77,000 427,337
Sanyo Special Steel Co., Ltd..... 178,000 481,701
*#Seino Transportation Co.,
Ltd............................ 160,000 1,731,959
Seiyo Food Systems, Inc.......... 73,000 562,552
#Sekisui Jushi Co., Ltd.......... 44,000 408,247
Seksui House..................... 749,000 7,335,567
Senko Co., Ltd................... 107,000 437,560
Senshukai Co., Ltd............... 44,000 453,608
#Shiga Bank, Ltd................. 250,000 1,204,897
Shimizu Bank, Ltd................ 9,400 573,368
Shimizu Corp..................... 124,000 738,247
#Shinmaywa Industries, Ltd....... 112,000 790,928
Shinwa Bank, Ltd................. 157,000 741,838
Shionogi & Co., Ltd.............. 354,000 2,630,670
Shiseido Co., Ltd................ 220,000 3,213,058
Showa Electric Wire & Cable Co.,
Ltd., Kawasaki................. 141,000 525,722
Showa Sangyo Co., Ltd............ 185,000 619,845
Sintokogio, Ltd., Nagoya......... 56,000 404,124
Snow Brand Milk Products Co.,
Ltd............................ 340,000 1,688,316
#Stanley Electric Co., Ltd....... 197,000 1,047,620
Sumisho Computer Systems Corp.... 20,000 340,206
Sumitomo Corp.................... 918,000 8,123,196
Sumitomo Metal Industries, Ltd.
Osaka.......................... 177,000 451,624
Sumitomo Osaka Cement Co., Ltd... 352,000 1,061,443
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Sumitomo Realty & Development
Co., Ltd....................... 398,000 $ 3,128,608
Sumitomo Warehouse Co., Ltd...... 67,000 395,438
Sun Wave Corp.................... 46,000 454,467
#Suruga Bank, Ltd................ 256,000 1,539,519
*#TEC Corp....................... 273,000 1,261,804
#TOC Co., Ltd.................... 65,000 731,529
Tadano, Ltd...................... 22,000 152,526
Taiheiyo Securities Co., Ltd..... 62,000 133,162
Taikisha, Ltd.................... 36,000 569,072
#Taisei Corp..................... 622,000 2,666,478
Taisei Prefab Construction Co.,
Ltd............................ 56,000 135,189
Taiyo Toyo Sanso Co., Ltd........ 20,000 64,605
#Takara Standard Co., Ltd........ 130,000 1,116,838
Takiron Co., Ltd................. 54,000 250,515
Tanabe Seiyaku Co., Ltd.......... 220,000 1,846,564
Teijin, Ltd...................... 272,000 1,147,354
Teikoku Oil Co., Ltd............. 131,000 627,990
Tekken Corp...................... 93,000 367,526
Tochigi Bank, Ltd................ 69,000 557,216
Toda Corp........................ 216,000 1,391,753
Toho Bank, Ltd................... 236,000 1,297,594
#Tokai Rika Co., Ltd............. 67,000 502,500
Toko, Inc........................ 92,000 526,392
#Tokushu Paper Manufacturing Co.,
Ltd............................ 39,000 300,876
Tokuyama Corp.................... 48,000 253,608
Tokyo Broadcasting System,
Inc............................ 70,000 1,274,914
#Tokyo Sowa Bank................. 199,000 709,493
Tokyo Steel Manufacturing Co.,
Ltd............................ 163,100 2,017,732
Tokyo Style Co., Ltd............. 107,000 1,479,983
Tokyo Tatemono Co., Ltd.......... 223,000 1,174,390
*Tokyo Tekko Co., Ltd............ 9,000 25,438
#Tokyo Tomin Bank, Ltd........... 29,500 1,373,625
Tokyu Car Corp................... 104,000 358,282
Tokyu Department Store Co.,
Ltd............................ 289,000 1,119,751
#Tokyu Store Chain Corp.......... 63,000 506,057
Tomoku Co., Ltd.................. 81,000 318,711
Tonami Transportation Co.,
Ltd............................ 91,000 416,692
Toshiba Engineering &
Construction Co., Ltd.......... 67,000 302,766
Toshoku, Ltd..................... 195,000 698,582
Towa Bank, Ltd................... 102,000 560,825
Toyo Engineering Corp............ 172,000 768,385
Toyo Exterior Co., Ltd........... 18,000 247,423
Toyo Information System Co.,
Ltd............................ 32,000 415,120
Toyo Ink Manufacturing Co.,
Ltd............................ 297,000 1,135,438
Toyo Kanetsu K.K................. 128,000 333,196
Toyo Kohan Co., Ltd.............. 62,000 466,065
Toyo Seikan Kaisha, Ltd.......... 144,600 2,757,835
Toyo Suisan Kaisha, Ltd.......... 116,000 1,096,220
Toyo Tire & Rubber Co., Ltd...... 33,000 106,598
Toyo Trust & Banking Co., Ltd.... 715,000 5,079,940
#Toyoda Machine Works, Ltd....... 122,000 1,184,364
#Toyota Auto Body Co., Ltd....... 86,000 901,375
Toyota Tsusho Corp............... 258,000 1,505,000
Tsubaki Nakashima Co., Ltd....... 36,000 309,278
Uniden Corp...................... 12,000 144,330
*Unisia Jecs Corp................ 130,000 605,326
Victor Co. of Japan, Ltd......... 246,000 2,747,423
Wacoal Corp...................... 149,000 1,817,698
Yakult Honsha Co., Ltd........... 184,000 1,991,753
</TABLE>
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#Yamagata Bank, Ltd.............. 154,000 $ 793,814
Yamaguchi Bank................... 133,000 1,919,588
Yamaichi Securities Co., Ltd..... 1,269,000 3,597,680
Yamamura Glass Co., Ltd.......... 109,000 407,345
#Yamato Kogyo Co., Ltd........... 96,000 948,454
#Yasuda Trust & Banking Co.,
Ltd............................ 1,154,000 3,469,931
#Yodogawa Steel Works, Ltd....... 232,000 1,435,052
Yokogawa Bridge Corp............. 3,500 23,724
Yokogawa Electric Corp........... 261,000 2,163,789
Yokohama Reito Co., Ltd.......... 40,000 432,990
Yurtec Corp...................... 61,000 686,512
------------
TOTAL COMMON STOCKS
(Cost $546,063,454).............. 474,575,155
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Japanese Yen (Cost $47,502)..... 47,433
------------
TOTAL -- JAPAN
(Cost $546,110,956).............. 474,622,588
------------
UNITED KINGDOM -- (19.6%)
COMMON STOCKS -- (19.6%)
ASDA Group P.L.C................. 1,719,300 3,360,062
Abbey National P.L.C............. 680,600 9,780,059
Allied Domecq P.L.C.............. 140,000 1,016,736
Anglian Water P.L.C.............. 174,300 1,944,268
Antofagasta Holdings P.L.C....... 38,000 253,025
Arjo Wiggins Appleton P.L.C...... 534,500 1,456,748
Associated British Foods
P.L.C.......................... 593,200 5,493,981
Associated British Ports Holdings
P.L.C.......................... 244,400 1,035,044
BAA P.L.C........................ 685,160 5,954,314
BG P.L.C......................... 2,917,900 9,738,316
BICC P.L.C....................... 134,750 369,452
Bank of Scotland (Governor and
Company of the)................ 1,566 9,814
Barclays P.L.C................... 981,055 18,980,824
Barratt Developments P.L.C....... 150,000 603,432
Bass P.L.C....................... 583,700 7,554,105
Beazer Group P.L.C............... 140,257 391,418
Berkeley Group P.L.C............. 62,042 709,274
British Land Co. P.L.C........... 280,946 2,744,146
British Steel P.L.C.............. 1,344,200 3,345,445
British Telecommunications
P.L.C.......................... 3,087,096 22,293,772
British Vita P.L.C............... 134,000 447,217
Brixton Estate P.L.C............. 151,200 537,933
Bryant Group P.L.C............... 224,555 465,422
Burford Holdings P.L.C........... 171,000 394,887
Burton Group P.L.C............... 460,700 1,009,375
*Capital Shopping Centres
P.L.C.......................... 253,375 1,678,843
*Centrica P.L.C.................. 2,862,900 2,990,242
Chelsfield P.L.C................. 194,800 1,228,736
Christies International P.L.C.... 61,000 306,122
Coats Viyella P.L.C.............. 445,250 868,344
Commercial Union P.L.C........... 462,591 5,171,397
Delta P.L.C...................... 97,000 511,322
*Energy Group P.L.C.............. 18,200 162,918
English China Clays P.L.C........ 199,387 657,307
First Leisure Corp. P.L.C........ 80,900 426,453
General Accident P.L.C........... 317,900 4,692,662
*Grantchester Holdings P.L.C..... 12,930 37,456
Great Portland Estates P.L.C..... 197,275 740,491
Great Universal Stores P.L.C..... 663,500 7,005,923
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*Greenalls Group P.L.C........... 163,446 $ 1,255,030
Greene King P.L.C................ 59,000 622,502
Guardian Royal Exchange P.L.C.... 600,692 2,740,021
Guinness P.L.C................... 85,000 787,930
Hambros P.L.C.................... 107,954 399,931
Hanson P.L.C..................... 133,750 688,673
Hardy Oil & Gas P.L.C............ 74,000 366,531
Harrisons & Crosfield P.L.C...... 463,000 914,295
Highland Distilleries Co.
P.L.C.......................... 106,000 574,333
Hillsdown Holdings P.L.C......... 457,694 1,314,644
House of Fraser P.L.C............ 140,000 395,270
Hyder P.L.C...................... 91,950 1,216,256
Ibstock P.L.C.................... 150,000 171,360
Imperial Chemical Industries
P.L.C.......................... 559,900 7,424,274
Kwik Save Group P.L.C............ 100,551 449,632
LaPorte P.L.C.................... 35,000 375,278
Ladbroke Group P.L.C............. 773,872 2,904,806
Laird Group P.L.C................ 92,400 576,798
Lasmo P.L.C...................... 613,035 2,451,159
Lex Service P.L.C................ 84,933 487,216
London & Manchester Group
P.L.C.......................... 75,000 544,680
Lonrho P.L.C..................... 516,030 1,141,128
Marley P.L.C..................... 211,318 439,711
Mersey Docks & Harbour Co.
P.L.C.......................... 37,610 248,587
Meyer International P.L.C........ 78,658 534,660
Mirror Group P.L.C............... 273,000 980,179
National Power P.L.C............. 113,000 1,017,054
National Westminster Bank
P.L.C.......................... 1,144,442 13,886,568
Peel Holdings P.L.C.............. 32,500 295,168
Persimmon P.L.C.................. 162,000 622,624
Pilkington P.L.C................. 669,455 1,371,151
Powell Duffryn P.L.C............. 47,037 344,288
Powergen P.L.C................... 426,853 4,858,953
Premier Consolidated Oilfields
P.L.C.......................... 685,414 469,810
RJB Mining P.L.C................. 100,000 644,640
RMC Group P.L.C.................. 129,000 1,915,805
Racal Electronics P.L.C.......... 184,300 697,804
Redland P.L.C.................... 337,705 1,804,966
Rolls-Royce P.L.C................ 307,777 1,250,707
Royal & Sun Alliance Insurance
Group, Inc. P.L.C.............. 926,401 6,947,118
Rugby Group P.L.C................ 417,000 803,042
Safeway P.L.C.................... 716,577 4,204,186
Sainsbury (J.) P.L.C............. 919,692 5,245,776
*Salvesen (Christian) P.L.C...... 32,000 124,815
Scottish & Newcastle P.L.C....... 47,600 543,782
Scottish Hydro-Electric P.L.C.... 252,000 1,647,112
Sears P.L.C...................... 991,300 1,245,707
Severn Trent P.L.C............... 244,602 3,105,702
Shell Transport & Trading Co.,
P.L.C.......................... 1,919,015 37,707,263
*Slough Estates P.L.C............ 253,300 1,302,165
Smith (David S.) Holdings
P.L.C.......................... 208,000 756,987
South West Water P.L.C........... 83,253 973,501
Stakis P.L.C..................... 503,194 817,107
Storehouse P.L.C................. 177,000 631,168
T & N P.L.C...................... 345,397 707,428
*Tarmac P.L.C.................... 603,116 1,250,042
Tate & Lyle P.L.C................ 70,000 514,651
Taylor Woodrow P.L.C............. 254,719 858,423
*Telewest Communications
P.L.C.......................... 155,000 188,455
Tesco P.L.C...................... 1,385,221 8,488,856
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<TABLE>
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Thames Water P.L.C............... 260,611 $ 2,919,802
Transport Development Group
P.L.C.......................... 49,200 143,326
Unigate P.L.C.................... 154,000 1,236,534
Unilever P.L.C................... 529,500 14,141,717
United Biscuits Holdings
P.L.C.......................... 344,389 1,160,619
United Utilities P.L.C........... 348,907 3,983,067
Vaux Group P.L.C................. 85,917 388,400
Wessex Water P.L.C............... 142,021 935,225
Whitbread P.L.C.................. 321,600 4,159,446
Wilson (Connolly) Holdings
P.L.C.......................... 128,000 310,211
Wilson Bowden P.L.C.............. 84,200 699,439
Wimpey (George) P.L.C............ 236,750 515,812
Wolverhampton & Dudley Breweries
P.L.C.......................... 42,700 446,690
Yorkshire Water P.L.C............ 234,624 1,437,813
*Yorkshire Water P.L.C. Series
B.............................. 2 1
------------
TOTAL COMMON STOCKS
(Cost $225,187,798).............. 296,093,095
------------
INVESTMENT IN CURRENCY -- (0.0%)
*British Pound Sterling
(Cost $141,652)................ 142,577
------------
PREFERRED STOCKS -- (0.0%)
Hyder P.L.C. (Cost $111,389)..... 76,860 136,725
------------
TOTAL -- UNITED KINGDOM
(Cost $225,440,839).............. 296,372,397
------------
GERMANY -- (8.6%)
COMMON STOCKS -- (8.6%)
*AGIV AG fuer Industrie &
Verkehrswesen.................. 50,800 933,365
*Ava Allgemeine
Handelsgesellschaft der
Verbraucher AG, Bielefeld...... 2,600 798,713
#BASF AG......................... 475,500 17,528,672
#BHF Bank AG..................... 109,700 3,049,005
Badenwerk AG..................... 3,552 1,091,164
Bankgesellschaft Berlin AG....... 222,000 5,085,606
Bayer AG......................... 10,000 387,654
#Bayerische Hypotheken und
Wechselbank AG................. 296,200 9,402,487
#Bayerische Vereinsbank AG....... 270,450 11,125,006
Berliner Kraft & Licht Bewag
AG............................. 86,500 2,024,576
Bilfinger & Berger Bau AG,
Mannheim....................... 45,700 1,778,262
*#Commerzbank AG................. 338,150 9,932,785
#Continental AG.................. 83,100 1,888,106
DBV Holding AG................... 3,300 1,243,534
*Deutsche Babcock AG,
Oberhausen..................... 2,500 138,970
#Deutsche Bank AG................ 176,500 9,780,310
Deutsche Hypothekenbank Frankfurt
AG............................. 300 173,786
#Deutsche Lufthansa AG........... 254,700 4,055,229
Deutsche Pfandbrief und
Hypothekenbank AG, Depfa....... 45,700 2,687,449
#Dresdner Bank AG, Frankfurt..... 430,600 15,067,221
Dyckerhoff AG.................... 525 199,371
GEA AG........................... 800 327,677
Heidelberger Zement AG,
Heidelberg..................... 500 46,811
Hochtief AG...................... 57,400 2,525,734
*Holzmann (Philipp) AG........... 6,200 1,832,066
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KM Europa Metal AG............... 2,000 $ 201,287
#Karstadt AG..................... 8,350 2,946,197
Koelnische Rueckversicherungs-
Gesellschaft AG................ 500 427,150
Man AG, Muechen.................. 14,000 4,005,851
#Preussag AG..................... 4,150 1,092,744
*Ruetgerswerke AG................ 467 82,524
Siemens AG....................... 72,400 4,080,920
Thuega AG........................ 267 78,116
Thyssen Industrie AG Essen....... 6,700 1,099,678
Vereins & Westbank AG............ 4,776 1,034,008
Volkswagen AG.................... 17,000 10,981,861
WCM Beteiligungs und Grundbesitz
AG............................. 65,500 923,669
------------
TOTAL COMMON STOCKS
(Cost $102,690,998).............. 130,057,564
------------
INVESTMENT IN CURRENCY -- (0.0%)
*German Marks (Cost $144)........ 145
------------
TOTAL -- GERMANY
(Cost $102,691,142).............. 130,057,709
------------
SWITZERLAND -- (6.7%)
COMMON STOCKS -- (6.7%)
*Ascom Holding AG, Bern.......... 600 729,162
Baloise Holding, Basel........... 3,219 7,077,476
Banque Cantonale Vaudois......... 5,795 1,462,577
Bobst SA, Prilly................. 1,912 3,176,529
#Credit Suisse Holding, Zuerich
(Namen)........................ 152,128 19,116,827
Danzas Holding AG, Basel......... 1,452 1,440,195
EGL (Elektrizitaets-Gesellschaft
Laufenberg) AG, Laufenberg..... 3,173 731,282
Fischer (Georg) AG,
Schaffhausen................... 1,410 2,013,574
Fischer (Georg) AG, Schaffhausen
(Namen)........................ 1,017 273,213
Forbo Holding AG, Eglisau........ 6,081 2,536,437
Jelmoli Holding AG, Zuerich...... 500 307,529
Julius Baer Holding AG,
Zuerich........................ 2,386 3,280,855
*Oerlikon-Buehrle Holding AG,
Zuerich........................ 35,681 4,136,928
Pargesa Holding SA, Geneve....... 1,935 2,462,354
Pirelli SA, Basel................ 3,600 610,817
Rieter Holding AG, Winterthur.... 6,897 2,242,927
SBG (Schweizerische
Bankgesellschaft).............. 3,018 3,311,372
SBV (Schweizerischer Bankverein)
(Namen)........................ 82,332 19,877,256
SIG (Schweizerische Industrie
Gesellschaft Holding AG),
Neuhausen am Rheinfall
(Namen)........................ 1,233 1,804,390
SIG (Schweizerische Industrie
Gesellschaft Holding AG),
Neuhausen am Rheinfall......... 840 2,523,860
*Saurer AG, Arbon................ 6,027 3,536,522
Schindler Holding AG,
Hergiswil...................... 579 744,984
Schweizerische National
Versicherungs Gesellschaft,
Basel.......................... 981 2,122,206
Sulzer AG, Winterthur............ 10,099 7,953,543
*Swissair Schweizerische
Luftverkehr AG, Zuerich........ 6,438 6,563,164
</TABLE>
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UBS (Union Bank of
Switzerland)................... 4,275 $ 936,903
*Von Roll Holding AG,
Gerlafingen.................... 15,045 299,943
------------
TOTAL COMMON STOCKS
(Cost $81,446,193)............... 101,272,825
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Swiss Francs (Cost $0).......... 0
------------
TOTAL -- SWITZERLAND
(Cost $81,446,193)............... 101,272,825
------------
FRANCE -- (6.6%)
COMMON STOCKS -- (6.5%)
#AGF (Assurances Generales de
France SA)..................... 93,900 2,855,068
AXA-UAP.......................... 10,000 598,579
Accor SA......................... 5,592 775,052
Banque Nationale de Paris........ 104,400 4,286,694
Bongrain SA...................... 1,363 522,814
Bouygues......................... 12,764 1,105,240
#CPR (Cie Parisienne de
Reescompte).................... 8,300 640,043
Centrale d'Investissements....... 100 12,128
*Centrale du Groupe des
Assurances Nationales SA....... 39,400 882,609
Christian Dior SA................ 21,100 3,308,299
Ciments Vicat.................... 800 71,240
Club Mediterranee SA............. 9,400 662,006
Colas SA......................... 2,950 409,382
#Compagnie de Suez SA............ 112,857 5,713,239
Credit Commercial de France...... 13,391 562,134
*#Credit National................ 7,912 419,862
ECIA (Equipements et Composants
pour l'Industrie Automobile)... 2,800 424,948
Elf Aquitaine.................... 150,084 15,003,200
Eridania Beghin-Say SA........... 17,900 2,505,752
Esso SA.......................... 5,176 466,306
*#Euro Disney SCA................ 528,000 827,859
Financiere de Paribas SA Series
A.............................. 85,572 5,455,734
GTM Entrepose.................... 10,277 533,970
#Groupe Danone................... 33,700 5,073,683
LaFarge Coppee SA................ 65,057 4,159,049
Labinal SA....................... 3,200 695,773
#Pechiney International.......... 26,150 412,275
Pernod-Ricard.................... 6,000 286,383
Peugeot SA....................... 34,550 3,417,888
#Rallye SA....................... 14,220 541,996
Remy Cointreau SA................ 25,100 608,801
#Rhone-Poulenc SA Series A....... 173,080 5,607,408
Rue Imperiale de Lyon............ 350 354,730
*SGE (Societe Generale
d'Enterprise SA)............... 2,000 42,100
#Saint Louis (SLB)............... 5,200 1,199,099
Saint-Gobain..................... 54,448 7,480,468
#Societe Generale Paris.......... 62,907 6,887,946
#Sommer-Allibert SA.............. 13,500 430,353
Sophia SA........................ 7,700 294,820
*Thomson-CSF..................... 82,403 2,348,457
Total SA......................... 70,000 6,403,326
UAP SA........................... 202,797 4,929,387
------------
TOTAL COMMON STOCKS
(Cost $91,487,868)............... 99,216,100
------------
<CAPTION>
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<S> <C> <C>
INVESTMENT IN CURRENCY -- (0.1%)
*French Francs (Cost
$1,211,772).................... $ 1,225,838
------------
TOTAL -- FRANCE
(Cost $92,699,640)............... 100,441,938
------------
NETHERLANDS -- (5.0%)
COMMON STOCKS -- (5.0%)
ABN Amro Holding NV.............. 1,059,028 19,601,404
Bijenkorf Beheer KBB NV,
Amsterdam...................... 10,508 763,720
DSM NV........................... 31,453 3,123,981
Fortis Amev NV................... 138,270 5,687,958
Gist-Brocades NV................. 12,004 398,673
Hollandsche Beton Groep NV....... 2,952 680,284
Ing Groep NV..................... 605,849 26,817,821
KLM (Koninklijke Luchtvaart Mij
NV)............................ 75,607 2,187,794
Koninklijke Hoogovens NV......... 28,448 1,420,917
Koninklijke KNP BT............... 86,000 1,775,600
Nationale Investeringsbank NV
Series A....................... 8,218 762,671
Nedlloyd Groep NV, Rotterdam..... 17,100 419,922
Pakhoed NV....................... 27,537 933,214
Philips Electronics NV........... 149,900 8,214,020
Stad Rotterdam................... 39,663 1,778,424
Stork NV......................... 26,248 1,160,495
------------
TOTAL COMMON STOCKS
(Cost $44,737,820)............... 75,726,898
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Netherlands Guilder (Cost
$2,281)........................ 2,309
------------
RIGHTS/WARRANTS -- (0.0%)
*ABN Amro Holding NV Rights...... 264,757 0
*Gist Brocades NV Rights
06/30/97....................... 32 0
*Hollandsche Beton Groep NV
Rights......................... 2,952 0
*Ing Groep NV Rights 06/06/97.... 35 0
*Pakhoed NV Rights............... 31 0
*Stad Rotterdam Rights
06/27/97....................... 36 0
------------
TOTAL RIGHTS/WARRANTS
(Cost $0)........................ 0
------------
TOTAL -- NETHERLANDS
(Cost $44,740,101)............... 75,729,207
------------
HONG KONG -- (3.8%)
COMMON STOCKS -- (3.8%)
Allied Properties (Hong Kong),
Ltd............................ 1,278,000 224,384
Amoy Properties, Ltd............. 2,501,000 2,841,312
CDL Hotels International, Ltd.... 1,201,616 539,067
Century City International
Holdings, Ltd.................. 1,482,646 593,365
Chinese Estates Holdings, Ltd.... 1,923,653 1,949,481
*Evergo China Holdings, Ltd...... 285,280 40,881
#Great Eagle Holdings, Ltd....... 447,680 1,583,583
HKR International, Ltd........... 979,440 1,365,602
Hang Lung Development Co.,
Ltd............................ 1,348,000 2,584,276
#Hongkong & Shanghai Hotels,
Ltd............................ 1,171,124 1,814,290
#Hopewell Holdings, Ltd.......... 4,379,000 2,445,026
#Hysan Development Co., Ltd...... 1,028,000 3,430,648
Lai Sun Development Co., Ltd..... 826,800 1,014,020
Lai Sun Garment (International),
Ltd............................ 21,000 23,722
Miramar Hotel & Investment Co.,
Ltd............................ 565,000 1,075,878
</TABLE>
12
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
New World Development Co. Ltd.... 1,240,739 $ 7,880,759
#Paliburg Holdings, Ltd.......... 1,768,500 2,317,361
Realty Development Corp., Ltd.
Series A....................... 204,000 784,818
#Regal Hotels International
Holdings, Ltd.................. 3,771,816 1,192,996
#Shangri-la Asia, Ltd............ 256,000 323,883
Sino Hotels (Holdings), Ltd...... 543,653 259,684
#Sino Land Co., Ltd.............. 2,721,200 3,179,300
Stelux Holdings International,
Ltd............................ 451,552 85,110
Tai Cheung Holdings, Ltd......... 571,000 501,265
Tsim Sha Tsui Properties, Ltd.... 1,204,000 4,414,356
Wharf Holdings, Ltd.............. 2,142,000 9,595,585
Wheelock and Co., Ltd............ 2,019,000 4,939,330
------------
TOTAL COMMON STOCKS
(Cost $42,899,917)............... 56,999,982
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Hong Kong Dollars (Cost
$95,842)....................... 95,847
------------
RIGHTS/WARRANTS -- (0.0%)
*Hong Kong & Shanghai Hotels,
Ltd. Warrants 12/10/98......... 86,124 16,900
*Lai Sun Hotels International,
Ltd. Warrants 04/30/99......... 155,505 15,458
*Stelux Holdings International,
Ltd. Warrants 02/28/98......... 90,310 3,264
------------
TOTAL RIGHTS/WARRANTS
(Cost $0)........................ 35,622
------------
TOTAL -- HONG KONG
(Cost $42,995,759)............... 57,131,451
------------
ITALY -- (3.0%)
COMMON STOCKS -- (3.0%)
Banca Commerciale Italiana SpA... 3,372,000 6,638,893
*#Banca di Roma.................. 6,331,000 4,507,460
*Banca Toscana................... 497,000 887,552
Banco Ambrosiano Veneto SpA...... 349,000 860,190
*Banco di Napoli................. 335,000 115,616
*#CIR SpA (Cie Industriale
Riunite), Torino............... 885,000 559,035
#Cartiere Burgo SpA.............. 235,000 1,370,683
*Cia Assicuratrice Unipol SpA.... 106,036 281,068
Credito Italiano................. 3,030,000 4,507,704
#Fiat SpA........................ 2,724,000 8,933,125
Finmeccanica SpA................. 1,670,000 926,737
#Ifil Finanziaria Partecipazioni
SpA, Torino.................... 804,000 2,368,475
*Ing Olivetti & C SpA, Ivrea..... 5,994,414 1,744,640
#Istituto Bancario San Paolo
Torino SpA..................... 887,500 5,582,568
#Italcementi Fabbriche Riunite
Cemento SpA, Bergamo........... 318,000 1,850,103
#Italmobiliare SpA, Milano....... 14,330 210,648
#Magneti Marelli SpA............. 700,000 1,115,768
*Milano Assicurazioni SpA........ 49,520 108,459
*Montedison SpA.................. 1,390,000 849,312
Toro Assicurazioni Cia Anonima
d'Assicurazione di Torino
SpA............................ 118,500 1,297,701
------------
TOTAL COMMON STOCKS
(Cost $47,405,563)............... 44,715,737
------------
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
RIGHTS/WARRANTS -- (0.0%)
*Banco di Napoli SpA Rights...... 335,000 $ 297
*Unipol SpA Warrants............. 30,296 8,102
------------
TOTAL RIGHTS/WARRANTS
(Cost $44,553)................... 8,399
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Italian Lira (Cost $776)........ 765
------------
TOTAL -- ITALY
(Cost $47,450,892)............... 44,724,901
------------
AUSTRALIA -- (2.7%)
COMMON STOCKS -- (2.7%)
*Amcor, Ltd...................... 53,501 354,960
Australia & New Zealand Banking
Group, Ltd..................... 537,509 3,685,050
Australian National Industries,
Ltd............................ 381,934 451,459
#Boral, Ltd...................... 613,255 1,959,535
Burns, Philp & Co., Ltd.......... 254,643 374,789
*CRA, Ltd........................ 23,450 385,039
#CSR, Ltd........................ 508,054 1,867,475
#Commonwealth Bank of
Australia...................... 327,149 3,521,473
#Email, Ltd...................... 146,802 455,643
Energy Resources of Australia,
Ltd. Series A.................. 84,525 380,308
Fosters Brewing Group, Ltd....... 853,236 1,678,753
GIO Australia Holdings, Ltd...... 307,433 904,973
Goodman Fielder, Ltd............. 627,341 813,299
MIM Holdings..................... 822,779 1,229,808
National Australia Bank, Ltd..... 515,195 7,378,450
News Corp., Ltd.................. 1,014,261 4,509,374
PMP Communications, Ltd.......... 104,970 288,181
Pacific Dunlop, Ltd.............. 506,319 1,417,060
Pioneer International, Ltd....... 385,982 1,315,747
Publishing and Broadcasting,
Ltd............................ 176,912 940,347
#Santos, Ltd..................... 261,045 1,071,015
*Santos, Ltd. Issue 97........... 32,630 134,870
St. George Bank, Ltd............. 66,421 406,742
Stockland Trust Group Units...... 141,647 361,868
Weston (George) Foods, Ltd....... 42,444 265,417
#Westpac Banking Corp............ 939,489 5,108,333
------------
TOTAL COMMON STOCKS
(Cost $32,054,600)............... 41,259,968
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Australian Dollar
(Cost $158,593)................ 156,493
------------
TOTAL -- AUSTRALIA
(Cost $32,213,193)............... 41,416,461
------------
SWEDEN -- (2.6%)
COMMON STOCKS -- (2.6%)
Avesta Sheffield AB.............. 69,500 758,508
Celsius Industrier AB Series B... 24,200 468,841
*Diligentia AB................... 50,770 580,322
Electrolux AB Series B........... 8,900 531,069
Foereningsbanken AB Series A..... 187,200 1,003,397
*Graenges AB..................... 4,450 55,463
Gullspangs Kraft AB Series B..... 10,700 161,692
*Kinnevik Industrifoervaltnings
AB Series A.................... 3,200 85,140
</TABLE>
13
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
*Kinnevik Industrifoervaltnings
AB Series B.................... 11,500 $ 314,885
Marieberg Tidnings AB Series A... 24,000 604,456
Mo Och Domsjoe AB Series A....... 5,700 175,951
Mo Och Domsjoe AB Series B....... 64,200 1,990,055
NCC AB Series A.................. 45,400 486,690
#NCC AB Series B................. 73,600 798,502
Naeckebro AB..................... 21,630 287,748
SSAB Swedish Steel Series A...... 92,700 1,712,121
#SSAB Swedish Steel Series B..... 33,300 621,485
Skandinaviska Enskilda Banken
Series A....................... 496,200 5,127,026
Skandinaviska Enskilda Banken
Series C....................... 23,700 231,108
Stora Kopparbergs Bergslags AB
Series A....................... 259,100 3,831,702
Stora Kopparbergs Bergslags AB
Series B....................... 57,600 855,538
Svenska Cellulosa AB Series A.... 57,000 1,192,638
Svenska Cellulosa AB Series B.... 186,800 3,920,568
Svenska Handelsbanken Series A... 200,300 5,355,131
#Svenska Handelsbanken Series B.. 20,000 514,046
Svenska Kullagerfabriken AB
Series A....................... 14,600 320,568
Svenska Kullagerfabriken AB
Series B....................... 5,500 127,155
Sydkraft AB Series C............. 8,800 200,039
Trelleborg AB Series B........... 104,700 1,805,289
Trelleborg AB Series C........... 5,000 88,473
Volvo AB Series A................ 51,600 1,432,871
Volvo AB Series B................ 104,400 2,892,322
------------
TOTAL COMMON STOCKS
(Cost $27,008,003)............... 38,530,799
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Swedish Krona (Cost $142,356)... 140,518
------------
RIGHTS/WARRANTS -- (0.0%)
*Volvo AB Series A Rights
06/11/97
(Cost $0)...................... 156,000 41,707
------------
TOTAL -- SWEDEN
(Cost $27,150,359)............... 38,713,024
------------
SPAIN -- (2.4%)
COMMON STOCKS -- (2.4%)
#Autopistas del Mare Nostrum
SA............................. 65,000 937,241
Banco Central Hispanoamericano
SA............................. 207,500 6,694,243
#DRACONSA (Dragados y
Construcciones SA)............. 131,489 2,546,122
Ebro Agricolas Compania de
Alimentacion SA................ 38,300 733,686
#FESCA (Fuerzas Electricas de
Cataluna SA) Series A.......... 360,334 3,139,840
#Iberdrola SA.................... 816,000 9,903,734
Metrovacesa (Inmobiliaria
Metropolitana Vasco Central)... 40,800 1,585,726
#Sevillana de Electricidad SA.... 414,019 3,965,535
#Union Electrica Fenosa SA....... 460,900 4,079,889
Uralita SA....................... 24,500 237,206
Vallehermoso SA.................. 80,000 2,019,364
------------
TOTAL COMMON STOCKS
(Cost $28,095,100)............... 35,842,586
------------
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
INVESTMENT IN CURRENCY -- (0.0%)
*Spanish Peseta (Cost $14,345)... $ 14,257
------------
TOTAL -- SPAIN
(Cost $28,109,445)............... 35,856,843
------------
MALAYSIA -- (2.2%)
COMMON STOCKS -- (2.1%)
Affin Holdings Berhad............ 219,000 558,406
Amsteel Corp. Berhad............. 1,912,000 1,409,243
Batu Kawan Berhad................ 185,000 405,379
Berjaya Group Berhad............. 1,302,500 1,722,829
Berjaya Industrial Berhad........ 691,000 823,143
Berjaya Leisure Berhad........... 235,000 631,972
Boustead Holdings Berhad......... 253,000 569,502
Golden Hope Plantations Berhad... 758,000 1,292,526
Hap Seng Consolidated Berhad..... 120,000 296,414
Highlands & Lowlands Berhad...... 607,000 957,657
Hong Leong Industries Berhad..... 144,000 436,016
IOI Corp. Berhad................. 436,000 583,649
Kamunting Corp. Berhad........... 1,015,000 727,888
Kuala Lumpur Kepong Berhad....... 677,000 1,753,187
Land & General Berhad............ 208,000 261,865
Leader Universal Holdings
Berhad......................... 636,000 1,380,956
Lion Land Berhad................. 704,000 681,562
Malaysia Mining Corp. Berhad..... 1,220,000 1,360,956
Malaysian Airlines System........ 987,000 2,280,717
Malaysian Helicopter Services
Berhad......................... 1,033,000 946,574
Malaysian Industrial Development
Finance Berhad................. 964,000 1,397,992
Malaysian Plantations Berhad..... 258,000 349,482
Metroplex Berhad................. 1,210,000 1,320,877
Mulpha International Berhad...... 1,033,000 831,339
Perlis Plantations Berhad........ 380,000 1,105,179
Pernas International Holdings
Berhad......................... 601,000 562,689
Renong Berhad.................... 405,000 580,877
Southern Bank Berhad (Foreign)... 130,000 326,295
TA Enterprise Berhad............. 941,000 1,064,717
Tan Chong Motor Holdings Berhad.. 981,000 1,829,116
Tenaga Nasional Berhad........... 542,000 2,483,267
Time Engineering Berhad.......... 237,000 402,239
------------
TOTAL COMMON STOCKS
(Cost $34,906,643)............... 31,334,510
------------
INVESTMENT IN CURRENCY -- (0.1%)
*Malaysian Ringetts
(Cost $1,275,031).............. 1,269,804
------------
TOTAL -- MALAYSIA
(Cost $36,181,674)............... 32,604,314
------------
BELGIUM -- (1.3%)
COMMON STOCKS -- (1.3%)
Ackermans & Van Haaren SA........ 2,500 512,621
Banque Bruxelles Lambert......... 15,528 4,188,068
#Banque Bruxelles Lambert VVPR... 128 22
#Bekaert SA...................... 1,800 1,064,379
CMB (Cie Martime Belge).......... 7,500 514,748
Cofinimmo SA..................... 4,850 518,562
Electrafina SA................... 8,000 807,714
Generale de Banque SA............ 6,930 2,736,819
Generale de Banque SA VVPR....... 630 250
</TABLE>
14
<PAGE>
THE DFA INTERNATIONAL VALUE SERIES
CONTINUED
<TABLE>
<CAPTION>
SHARES VALUE+
------------ ------------
<S> <C> <C>
#Generale de Belgique SA......... 19,080 $ 1,758,650
Glaverbel SA..................... 7,022 941,976
Glaverbel SA VVPR................ 22 1
#Groupe Bruxelles Lambert SA,
Bruxelles...................... 6,300 1,004,141
Nationale a Portefeuille......... 4,700 342,570
Powerfin SA...................... 10,150 1,434,990
Sofina SA........................ 500 351,673
Solvay SA........................ 3,579 2,162,016
*Union Miniere SA................ 20,400 1,643,108
------------
TOTAL -- BELGIUM
(Cost $16,051,730)............... 19,982,308
------------
SINGAPORE -- (1.2%)
COMMON STOCKS -- (1.2%)
First Capital Corp., Ltd......... 499,000 1,376,311
Hotel Properties, Ltd............ 760,000 1,303,465
Industrial & Commercial Bank,
Ltd............................ 13,000 48,687
#Natsteel, Ltd................... 385,000 1,013,371
Neptune Orient Lines, Ltd........ 494,000 446,104
Shangri-la Hotel, Ltd............ 288,200 867,525
Singapore Airlines, Ltd.
(Foreign)...................... 40,000 341,617
Singapore Land, Ltd.............. 687,000 3,510,745
#Straits Steamship Land, Ltd..... 1,173,000 3,498,061
Straits Trading Co., Ltd......... 552,000 1,290,641
Tuan Sing Holdings, Ltd.......... 1,179,000 437,431
United Industrial Corp., Ltd..... 2,703,000 2,194,946
#United Overseas Land, Ltd....... 983,000 1,541,421
------------
TOTAL COMMON STOCKS
(Cost $19,021,876)............... 17,870,325
------------
INVESTMENT IN CURRENCY -- (0.0%)
*Singapore Dollars (Cost $126)... 127
------------
TOTAL -- SINGAPORE
(Cost $19,022,002)............... 17,870,452
------------
FACE
AMOUNT VALUE+
------------ ------------
(000)
TEMPORARY CASH INVESTMENTS --
(1.3%)
Repurchase Agreement, PNC Capital
Markets Inc. 5.25%, 06/02/97
(Collateralized by U.S.
Treasury Notes 5.50%, 11/15/98)
(Cost $18,931,000)............. $ 18,931 $ 18,931,000
------------
TOTAL INVESTMENTS -- (98.4%)
(Cost $1,361,234,925)++.......... 1,485,727,418
------------
OTHER ASSETS AND LIABILITIES --
(1.6%)
Other Assets..................... 33,518,489
Payable for Investment Securities
Purchased...................... (7,702,269)
Payable for Fund Shares
Redeemed....................... (688,689)
Other Liabilities................ (409,791)
------------
24,717,740
------------
NET ASSETS -- (100.0%) Applicable
to 126,817,658 Outstanding $.01
Par Value Shares (Unlimited
Number of Shares Authorized)..... $1,510,445,158
------------
------------
NET ASSET VALUE, OFFERING AND
REDEMPTION PRICE PER SHARE....... $ 11.91
------------
------------
- --------------------
+See Note B to Financial Statements.
*Non-Income Producing Securities
#Securities on Loan
++Approximates cost for federal income tax purposes.
</TABLE>
See accompanying Notes to Financial Statements.
15
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED MAY 31, 1997
(UNAUDITED)
(AMOUNTS IN THOUSANDS)
<TABLE>
<S> <C>
INVESTMENT INCOME
Dividends (Net of Foreign Taxes Withheld of $1,694)................................. $ 15,672
Interest............................................................................ 619
Income from Securities Lending...................................................... 625
---------
Total Investment Income......................................................... 16,916
---------
EXPENSES
Investment Advisory Services........................................................ 1,374
Accounting & Transfer Agent Fees.................................................... 381
Custodian's Fee..................................................................... 338
Legal Fees.......................................................................... 14
Audit Fees.......................................................................... 15
Shareholders' Reports............................................................... 18
Trustees' Fees and Expenses......................................................... 4
Other............................................................................... 40
---------
Total Expenses.................................................................. 2,184
---------
NET INVESTMENT INCOME............................................................... 14,732
---------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY
Net Realized Gain on Investment Securities.......................................... 16,961
Net Realized Loss on Foreign Currency Transactions.................................. (1,204)
Change in Unrealized Appreciation (Depreciation) of:
Investment Securities and Foreign Currency...................................... 22,791
Translation of Foreign Currency Denominated Amounts............................. (135)
---------
NET GAIN ON INVESTMENT SECURITIES AND FOREIGN CURRENCY.............................. 38,413
---------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.................................... $ 53,145
---------
---------
</TABLE>
See accompanying Notes to Financial Statements
16
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
STATEMENTS OF CHANGES IN NET ASSETS
(AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
SIX MONTHS YEAR
ENDED ENDED
MAY 31, NOV. 30,
1997 1996
----------- -----------
(UNAUDITED)
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
Operations:
Net Investment Income................................................ $ 14,732 $ 23,725
Net Realized Gain on Investment Securities........................... 16,961 27,321
Net Realized Loss on Foreign Currency Transactions................... (1,204) (82)
Change in Unrealized Appreciation (Depreciation) of:
Investment Securities and Foreign Currency....................... 22,791 80,434
Translation of Foreign Currency Denominated Amounts.............. (135) 9
----------- -----------
Net Increase in Net Assets Resulting from Operations............. 53,145 131,407
----------- -----------
Distributions From:
Net Investment Income................................................ (3,447) (23,445)
Net Realized Gains................................................... (27,255) (4,744)
----------- -----------
Total Distributions.............................................. (30,702) (28,189)
----------- -----------
Capital Share Transactions (1):
Shares Issued........................................................ 128,162 1,084,901
Shares Issued in Lieu of Cash Distributions.......................... 30,702 28,189
Shares Redeemed...................................................... (27,714) (468,842)
----------- -----------
Net Increase From Capital Share Transactions..................... 131,150 644,248
----------- -----------
Total Increase................................................... 153,593 744,466
NET ASSETS
Beginning of Period.................................................. 1,356,852 609,386
----------- -----------
End of Period........................................................ $ 1,510,445 $ 1,356,852
----------- -----------
----------- -----------
(1) SHARES ISSUED AND REDEEMED:
Shares Issued........................................................ 11,435 95,652
Shares Issued in Lieu of Cash Distributions.......................... 2,726 2,494
Shares Redeemed...................................................... (2,468) (40,798)
----------- -----------
11,693 57,348
----------- -----------
----------- -----------
</TABLE>
See accompanying Notes to Financial Statements
17
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
THE DFA INTERNATIONAL VALUE SERIES
FINANCIAL HIGHLIGHTS
(FOR A SHARE OUTSTANDING THROUGH EACH PERIOD)
<TABLE>
<CAPTION>
SIX MONTHS YEAR YEAR FEB. 15
ENDED ENDED ENDED TO
MAY 31, NOV. 30, NOV. 30, NOV. 30,
1997 1996 1995 1994
----------- ---------- ---------- ----------
(UNAUDITED)
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of
Period........................... $ 11.79 $ 10.55 $ 10.06 $ 10.00
----------- ---------- ---------- ----------
INCOME FROM INVESTMENT OPERATIONS
Net Investment Income............ 0.12 0.23 0.20 0.13
Net Gains (Losses) on Securities
(Realized and Unrealized)...... 0.27 1.32 0.52 0.07
----------- ---------- ---------- ----------
Total from Investment
Operations..................... 0.39 1.55 0.72 0.20
----------- ---------- ---------- ----------
LESS DISTRIBUTIONS
Net Investment Income............ (0.03) (0.23) (0.21) (0.13)
Net Realized Gains............... (0.24) (0.08) (0.02) (0.01)
----------- ---------- ---------- ----------
Total Distributions.............. (0.27) (0.31) (0.23) (0.14)
----------- ---------- ---------- ----------
Net Asset Value, End of Period..... $ 11.91 $ 11.79 $ 10.55 $ 10.06
----------- ---------- ---------- ----------
----------- ---------- ---------- ----------
Total Return....................... 3.39%# 14.85% 7.20% 1.99%#
Net Assets, End of Period
(thousands)...................... $ 1,510,445 $1,350,852 $609,386 $ 348,381
Ratio of Expenses to Average Net
Assets........................... 0.32%* 0.36% 0.42% 0.45%*(a)
Ratio of Net Investment Income to
Average Net Assets............... 2.15%* 2.23% 2.14% 1.84%*(a)
Portfolio Turnover Rate............ 18.48%* 12.23% 9.75% 1.90%*
Average Commission Rate (1)........ $ 0.0069 $ 0.0112 N/A N/A
</TABLE>
- --------------
* Annualized
# Non-Annualized
(a) Had certain waivers not been in effect the ratio of expenses to average net
assets for the period ended November 30, 1994 would have been .48%, and the
ratio of net investment income to average net assets for the period ended
November 30, 1994 would have been 1.81%.
(1) Computed by dividing the total amount of brokerage commissions paid by the
total shares of investment securities purchased and sold during the period
for which commissions were charged, as required by the SEC for fiscal years
beginning after September 1, 1995.
See accompanying Notes to Financial Statements
18
<PAGE>
THE DFA INVESTMENT TRUST COMPANY
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED)
A. ORGANIZATION:
The DFA Investment Trust Company (the "Trust") is an open-end management
investment company registered under the Investment Company Act of 1940. The
Trust currently offers sixteen portfolios, of which The DFA International Value
Series (the "Series") is presented in this report.
B. SIGNIFICANT ACCOUNTING POLICIES:
The following significant accounting policies are in conformity with
generally accepted accounting principles for investment companies. Such policies
are consistently followed by the Trust in preparation of its financial
statements. The preparation of financial statements in accordance with generally
accepted accounting principles may require management to make estimates and
assumptions that affect the reported amounts and disclosures in the financial
statements. Actual results could differ from those estimates.
1. SECURITY VALUATION: Securities held by the Series which are listed on a
securities exchange are valued at the last quoted sale price. Price information
on listed securities is taken from the exchange where the security is primarily
traded. Unlisted securities for which market quotations are readily available
are valued at the mean between the most recent bid and asked prices. Securities
for which quotations are not readily available are valued in good faith at fair
value using methods determined by the Board of Directors.
2. FOREIGN CURRENCY TRANSLATION: Securities, other assets and liabilities
of The DFA International Value Series whose values are initially expressed in
foreign currencies are translated to U.S. dollars at the bid price of such
currency against U.S. dollars last quoted by a major bank. Dividend and interest
income and certain expenses are translated to U.S. dollars at the rate of
exchange on their respective accrual dates. Receivables and payables denominated
in foreign currencies are marked to market daily based on daily exchange rates
and exchange gains or losses are realized upon ultimate receipt or disbursement.
3. FEDERAL INCOME TAXES: It is the Series' intention to continue to
qualify as a regulated investment company and distribute all of its taxable
income. Accordingly, no provision for Federal taxes is required in the financial
statements.
4. REPURCHASE AGREEMENTS: The Series may purchase money market instruments
subject to the seller's agreement to repurchase them at an agreed upon date and
price. The seller will be required on a daily basis to maintain the value of the
collateral subject to the agreement at not less than the repurchase price
(including accrued interest). The agreements are conditioned upon the collateral
being deposited under the Federal Reserve book-entry system or with the Trust's
custodian or a third party sub-custodian. All open repurchase agreements were
entered into on May 30, 1997.
5. FOREIGN MARKET RISKS: Investments in foreign markets may involve
certain considerations and risks not typically associated with investments in
the United States, including the possibility of future political and economic
developments and the level of foreign government supervision and regulation of
foreign securities markets. These markets are generally smaller, less liquid and
more volatile than the major securities markets in the United States.
Consequently, acquisition and disposition of securities by the Fund may be
inhibited.
6. OTHER: Security transactions are accounted for on the date the
securities are purchased or sold. Costs used in determining realized gains and
losses on the sale of investment securities are those of specific securities
sold. Dividend income and distributions to shareholders are recorded on the
ex-dividend date. Interest income is recorded on the accrual basis. Discount and
premium on securities purchased are amortized over the lives of the respective
securities. Expenses directly attributable to a Series are directly charged.
Common expenses are allocated using methods determined by the Board of
Directors.
19
<PAGE>
C. INVESTMENT ADVISOR:
Dimensional Fund Advisors Inc. ("DFA") (the "Advisor") provides investment
advisory services to the Series. For the six months ended May 31, 1997, the
Series' advisory fees were computed daily and paid monthly to the Advisor based
on an effective annual rate of 0.20 of 1%.
Certain officers of the Series are also officers, directors and shareholders
of the Advisor.
D. PURCHASES AND SALES OF SECURITIES:
For the six months ended May 31, 1997, the Series made the following
purchases and sales of investment securities other than U.S. Government
Securities (amounts in thousands):
<TABLE>
<S> <C>
Purchases.............................................. $ 213,077
Sales.................................................. 125,282
</TABLE>
E. INVESTMENT TRANSACTIONS:
At May 31, 1997, gross unrealized appreciation and depreciation for
financial reporting and federal income tax purposes of investment securities and
foreign currencies was as follows (amounts in thousands):
<TABLE>
<S> <C>
Gross Unrealized Appreciation......................... $ 240,798
Gross Unrealized Depreciation......................... (116,306)
----------
Net................................................... $ 124,492
----------
----------
</TABLE>
F. LINE OF CREDIT
In July, 1996, the Trust, together with other DFA-advised portfolios,
entered into a $50 million unsecured line of credit with its domestic custodian
bank. Each portfolio is permitted to borrow, subject to its investment
limitations, up to a maximum of $50 million. Borrowings under the line are
charged interest at the current overnight federal funds rate plus a variable
rate determined at the date of borrowing. Each portfolio is individually, and
not jointly liable for its particular advances under the line. There is no
commitment fee on the unused portion of the line of credit. There were no
borrowings under the line of credit by the Series during the six months ended
May 31, 1997.
G. COMPONENTS OF NET ASSETS:
At May 31, 1997, net assets consisted of (amounts in thousands):
<TABLE>
<S> <C>
Paid-In Capital...................................... $ 1,358,768
Undistributed Net Investment Income.................. 11,580
Undistributed Net Realized Gain...................... 16,917
Accumulated Net Realized Foreign Exchange Loss....... (1,204)
Unrealized Appreciation of Investment Securities and
Foreign Currency................................... 124,493
Unrealized Net Foreign Exchange Loss................. (109)
-----------
$ 1,510,445
-----------
-----------
</TABLE>
H. SECURITIES LENDING
Loans of international securities are required at all times to be secured by
collateral at least equal to 105% of the market value of the securities on loan.
However, in the event of default or bankruptcy by the other party to the
agreement, realization and/or retention of the collateral may be subject to
legal proceedings. In the event that the borrower fails to return loaned
securities, and cash collateral being maintained by the borrower is insufficient
to cover the value of loaned securities, and provided such collateral
insufficiency is not the result of investment losses, the lending agent has
agreed to pay the amount of the shortfall to the Series or, at the option of the
lending agent, replace the loaned securities. The market value of securities on
loan to brokers from the Series is $210,542,895 and the related collateral cash
received is $223,780,531 at May 31, 1997.
20
