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European Equity Fund
Pacific Basin Equity Fund
ANNUAL REPORT
October 31, 1998
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
PORTFOLIO OF INVESTMENTS
October 31, 1998
Shares Value
------ -----
COMMON STOCKS & WARRANTS (98.2%)
FINLAND (3.0%)
MULTI-INDUSTRY
50,550 Nokia AB ............................................. $ 4,600,471
------------
TOTAL FINLAND ........................................ 4,600,471
------------
FRANCE (13.9%)
BANKING
54,100 Banque National de Paris CI .......................... 3,426,590
------------
CAPITAL EQUIPMENT
44,700 Alcatel Alsthom SA ................................... 4,980,165
------------
ENERGY
28,900 Elf Aquitaine SA ..................................... 3,344,679
31,400 Total SA ............................................. 3,622,707
------------
6,967,386
------------
MEDIA
12,700 Canal Plus ........................................... 3,081,337
------------
SERVICES
14,700 Accor SA ............................................. 3,087,691
------------
TOTAL FRANCE ......................................... 21,543,169
------------
GERMANY (6.4%)
BANKING
41,890 Deutsche Pfandbrief-und
Hypothekenbank AG .................................. 3,363,338
------------
CAPITAL EQUIPMENT
55,000 SAP AG ADR ........................................... 2,320,313
------------
INSURANCE
12,594 Allianz AG Registered ................................ 4,322,179
------------
TOTAL GERMANY ........................................ 10,005,830
------------
IRELAND (3.9%)
BANKING
160,000 Allied Irish Banks, Plc .............................. 2,310,846
------------
CONSUMER NON-DURABLES
1,800,000 Waterford Wedgewood, Plc ............................. 1,622,701
------------
PHARMACEUTICALS
31,500 Elan Corp., Plc. ADR* ................................ 2,206,969
------------
TOTAL IRELAND ........................................ 6,140,516
------------
ITALY (11.6%)
ENERGY
648,000 Ente Nazionale Idrocarbun
SpA (ENI) .......................................... 3,861,006
------------
INSURANCE
140,000 Assicurazioni Generali ............................... 4,988,783
------------
TELECOMMUNICATIONS
778,200 Telecom Italia Mobile SpA ............................ 4,518,121
641,000 Telecom Italia SpA ................................... 4,631,323
------------
9,149,444
------------
TOTAL ITALY .......................................... 17,999,233
------------
NETHERLANDS (5.8%)
CONSUMER GOODS
57,062 Heineken NV .......................................... 3,038,705
------------
FINANCE
46,000 Fortis Amev NV ....................................... 2,986,326
------------
SERVICES
91,600 Ahold (Kon)NV ........................................ 3,044,427
------------
TOTAL NETHERLANDS .................................... 9,069,458
------------
SPAIN (11.8%)
ENERGY
76,440 Repsol SA ............................................ 3,836,652
------------
FINANCE
345,300 Banco Bilbao Vizcaya SA .............................. 4,657,603
258,929 Banco Santander SA ................................... 4,742,559
------------
9,400,162
------------
UTILITIES
114,447 Telefonica de Espana SA .............................. 5,167,421
------------
TOTAL SPAIN .......................................... 18,404,235
------------
SWEDEN (6.5%)
CAPITAL EQUIPMENT
101,900 Atlas Copco .......................................... 2,375,839
205,000 Ericsson (LM) Telephone Co.
Class 'B' .......................................... 4,622,086
------------
6,997,925
------------
CONSUMER DURABLES
203,000 Electrolux AB ........................................ 3,055,662
------------
TOTAL SWEDEN ......................................... 10,053,587
------------
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
PORTFOLIO OF INVESTMENTS
October 31, 1998 (continued)
Shares Value
------ -----
SWITZERLAND (9.3%)
BANKING
18,300 Union Bank of Switzerland AG ......................... $ 5,016,196
------------
CONSUMER NON-DURABLES
2,380 Nestle AG Registered ................................. 5,057,478
------------
PHARMACEUTICALS
2,430 Novartis AG Bearer ................................... 4,371,239
------------
TOTAL SWITZERLAND .................................... 14,444,913
------------
UNITED KINGDOM (26.0%)
BANKING
128,000 Barclays, Plc ........................................ 2,757,185
------------
CONSUMER GOODS
280,000 Smithkline Beecham, Plc .............................. 3,500,709
------------
ENERGY
320,000 British Petroleum Co., Plc ........................... 4,697,069
275,000 PowerGen, Plc ........................................ 3,889,258
------------
8,586,327
------------
FOOD & BEVERAGES
254,880 Diageo, Plc .......................................... 2,751,521
------------
PHARMACEUTICALS
115,000 Glaxo Wellcome, Plc .................................. 3,572,343
------------
REAL ESTATE
380,000 British Land Co., Plc. (The) ......................... 3,052,827
220,000 Land Securities, Plc ................................. 3,102,201
----------
6,155,028
------------
SERVICES
315,000 BAA, Plc ............................................. 3,545,522
210,000 Granada Group, Plc ................................... 3,165,048
135,000 Railtrack Group, Plc ................................. 3,626,487
------------
10,337,057
------------
TELECOMMUNICATIONS
220,000 British Telecom, Plc ................................. 2,842,610
------------
TOTAL UNITED KINGDOM ................................. 40,502,780
------------
TOTAL COMMON STOCKS
AND WARRANTS
(identified cost $122,208,740) ..................... 152,764,192
------------
TIME DEPOSIT (3.6%)
5,528,000 State Street Bank (Cayman)
4.75%, 11/2/98 (identified
cost $5,528,000) ................................... 5,528,000
------------
TOTAL INVESTMENTS (identified cost $127,736,740) (a) ..... 101.8% $158,292,192
CASH AND OTHER ASSETS LESS LIABILITIES ................... (1.8) (2,735,441)
----- ------------
NET ASSETS ............................................... 100.0% $155,556,751
===== ============
- ---------------
* Non-income producing security.
(a) The aggregate cost for federal income tax purposes is $129,332,208, the
aggregate gross unrealized appreciation is $32,642,708, and the aggregate
gross unrealized depreciation is $3,682,724, resulting in net unrealized
appreciation of $28,959,984.
See Note to Financial Statements.
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1998
ASSETS:
Investments in securities, at value (identified cost
$127,736,740) (Note 1) ................................ $158,292,192
Cash (including $110,618 in foreign currency) ............ 111,337
Receivables for:
Investments sold ....................................... 6,209,782
Foreign tax reclaim .................................... 308,994
Dividends .............................................. 184,057
Capital stock sold ..................................... 144,127
------------
Total Assets ...................................... $165,250,489
------------
LIABILITIES:
Payables for:
Investments purchased .................................. 9,231,560
Capital stock redeemed ................................. 257,953
Investment advisory fee (Note 2) ....................... 77,764
Shareholder servicing/eligible institution fees (Note 2) 29,909
Administrative fee (Note 2) ............................ 17,945
Accrued expenses and other liabilities ................. 78,607
------------
Total Liabilities ................................. 9,693,738
------------
NET ASSETS ..................................................... $155,556,751
============
Net Assets Consist of:
Paid-in capital .......................................... $106,472,251
Accumulated undistributed net investment income .......... 2,106,080
Accumulated net realized gain ............................ 16,401,088
Net unrealized appreciation .............................. 30,577,332
------------
Net Assets ..................................................... $155,556,751
============
NET ASSET VALUE AND OFFERING PRICE PER SHARE
($155,556,751 / 3,983,600 shares) ......................... $39.05
======
See Note to Financial Statements.
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
STATEMENT OF OPERATIONS
October 31, 1998
INVESTMENT INCOME:
Income:
Dividends (net of foreign withholding taxes
of $436,913) ....................................... $ 2,843,305
Interest ............................................. 15,720
------------
Total Income ..................................... 2,859,025
------------
Expenses:
Investment advisory fee (Note 2) ..................... 1,045,922
Shareholder servicing/eligible institution
fees (Note 2) ...................................... 402,278
Administrative fee (Note 2) .......................... 241,367
Custodian fee (Note 3) ............................... 226,516
Directors' fees and expenses (Note 2) ................ 10,406
Miscellaneous expenses ............................... 5,466
------------
Total Expenses ....................................... 1,931,955
Fees paid indirectly ............................. (34,828)
------------
Net Expenses ..................................... 1,897,127
------------
Net Investment Income ................................... 961,898
------------
NET REALIZED AND UNREALIZED GAIN (Notes 1 and 3):
Net realized gain on investments and foreign exchange
transactions .......................................... 18,182,740
Net change in unrealized appreciation on investments
and foreign exchange translations ..................... 8,405,926
------------
Net Realized and Unrealized Gain ................. 26,588,666
------------
Net Increase in Net Assets Resulting from Operations .... $ 27,550,564
============
See Note to Financial Statements.
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
For the years ended October 31,
-------------------------------
1998 1997
----------- ------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
Operations:
Net investment income .................................... $ 961,898 $ 1,587,020
Net realized gain on investments and foreign exchange
transactions .......................................... 18,182,740 18,918,927
Net change in unrealized appreciation on investments
and foreign currency translations ..................... 8,405,926 3,865,165
------------- -------------
Net increase in net assets resulting from operations .. 27,550,564 24,371,112
------------- -------------
Dividends and distributions declared (Note 1):
From net investment income ............................... (1,180,532) (1,711,429)
From net realized gains .................................. (19,684,595) (9,446,042)
------------- -------------
Total dividends and distributions declared ............ (20,865,127) (11,157,471)
------------- -------------
Capital stock transactions (Note 4):
Net proceeds from sales of capital stock ................. 150,544,385 25,594,329
Net asset value of capital stock issued to shareholders in
reinvestment of distributions ......................... 1,850,819 706,526
Net cost of capital stock redeemed ....................... (157,702,565) (31,685,844)
------------- -------------
Net decrease in net assets resulting from capital
stock transactions ................................. (5,307,361) (5,384,989)
------------- -------------
Total increase in net assets ....................... 1,378,076 7,828,652
NET ASSETS:
Beginning of year ........................................... 154,178,675 146,350,023
------------- -------------
End of year (including undistributed net investment income
of $324,813 and $543,447, respectively) .................. $ 155,556,751 $ 154,178,675
============= =============
</TABLE>
See Note to Financial Statements.
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for a share outstanding throughout each year
<TABLE>
<CAPTION>
For the years ended October 31,
------------------------------------------------------------
1998 1997 1996 1995 1994
----- ----- ------ ----- ------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year.......... $38.02 $35.02 $31.95 $31.82 $31.17
Income from investment operations:
Net investment income..................... 0.42 0.39 0.38(1) 0.45 0.39
Net realized and unrealized gain.......... 6.06 5.29 4.08 2.09 1.80
Less dividends and distributions (Note 1):
From net investment income................ (0.31) (0.41) -- -- (0.25)
From net realized gains................... (5.14) (2.27) (1.39) (2.41) (1.29)
------ ------ ------ ------ ------
Net asset value, end of year................ $39.05 $38.02 $35.02 $31.95 $31.82
====== ====== ====== ====== ======
Total Return................................ 19.34% 17.28% 14.63% 9.42% 7.35%
Ratios/Supplemental Data:
Net assets, end of year (000's omitted)... $155,557 $154,179 $146,350 $116,955 $110,632
Expenses as a percentage of average
net assets:
Expenses paid by Fund................... 1.18% 1.32% 1.23% 1.24% 1.37%
Expenses paid by commissions(2) .......... 0.01% 0.01% 0.01% 0.05% n/a
Expense offset arrangement.............. 0.02% 0.03% 0.09% 0.14% n/a
------ ------ ------ ------ ------
Total expenses...................... 1.21% 1.36% 1.33% 1.43% 1.37%
Ratio of net investment income to
average net assets...................... 0.60% 1.02% 1.16% 1.55% 1.30%
Portfolio turnover rate................... 56% 82% 42% 72% 124%
</TABLE>
- ----------------
(1) Calculated using average shares outstanding for the year.
(2) A portion of the Fund's securities transactions are directed to
certain unaffiliated brokers which in turn use a portion of the commissions they
receive from the Fund to pay other unaffiliated service providers on behalf of
the Fund for services provided for which the Fund would otherwise be obligated
to pay.
See Notes to Financial Statements.
<PAGE>
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
PORTFOLIO OF INVESTMENTS
October 31, 1998
Shares Value
------ -----
COMMON STOCKS & WARRANTS (107.6%)
AUSTRALIA (5.6%)
CONSUMER GOODS
495,000 Coca-Cola Amatil, Ltd. ............................... $ 1,828,794
-----------
TOTAL AUSTRALIA ...................................... 1,828,794
-----------
INDIA (2.2%)
CONSUMER DURABLES
11,700 Bajaj Auto, Ltd.* .................................... 152,894
-----------
FINANCE
361,050 Industrial Credit & Investment
Corp. of India, Ltd. ............................... 349,335
-----------
MATERIALS
189,000 Indo Gulf Fertilisers and
Chemicals Corp., Ltd. GDR .......................... 151,200
55,000 Indo Gulf Fertilisers and
Chemicals Corp., Ltd. GDR .......................... 44,000
7,200 Reliance Industries, Ltd. GDR ........................ 18,639
-----------
213,839
-----------
TOTAL INDIA .......................................... 716,068
-----------
JAPAN (84.5%)
CHEMICALS
63,000 Shin-Etsu Chemical Co. ............................... 1,253,731
170 Shin-Etsu Chemical Co.
(Warrants)* ........................................ 208,250
-----------
1,461,981
-----------
COMPUTER SOFTWARE
38,000 Meitec Corp. ......................................... 733,402
-----------
CONSUMER DURABLES
82,000 Makita Corp. ......................................... 866,564
-----------
CONSUMER ELECTRONICS
37,000 Canon, Inc. .......................................... 699,820
10,000 Sony Corp. ........................................... 634,757
-----------
1,334,577
-----------
CONSUMER GOODS
30,000 Honda Motor Co., Ltd. ................................ 900,669
109,000 Kirin Brewery Co., Ltd. .............................. 1,187,425
45,000 Shimano, Inc. ........................................ 995,883
112,000 Suzuki Motor Corp. ................................... 1,288,317
-----------
4,372,294
-----------
CONSUMER NON-DURABLES
23,000 Fuji Photo Film Co., Ltd. ............................ 842,426
14,900 Nintendo Co., Ltd. ................................... 1,260,199
-----------
2,102,625
-----------
ELECTRIC COMPONENTS
100,000 Minebea Co., Ltd. .................................... 939,269
10,000 Rohm Co., Ltd. ....................................... 883,513
14,000 TDK Corp. ............................................ 922,285
-----------
2,745,067
-----------
ELECTRONIC TECHNOLOGY
33,000 Tokyo Electron, Ltd. ................................. 1,072,825
-----------
FINANCE
150 Merrill Lynch & Co., Inc.
International (Warrants)* .......................... 123,750
19,700 Orix Corp. ........................................... 1,411,005
-----------
1,534,755
-----------
MATERIALS
46,000 Bridgestone Corp. .................................... 1,012,095
89,000 Kurita Water Industries, Ltd. ........................ 1,183,308
-----------
2,195,403
-----------
MULTI-INDUSTRY
399,636 Prospect Japan Fund* ................................. 1,318,799
-----------
PHARMACEUTICALS
82,000 Santen Pharmaceutical
Co., Ltd. .......................................... 1,406,056
26,000 Yamanouchi Pharmaceutical
Co., Ltd. .......................................... 744,896
140 Yamanouchi Pharmaceutical
Co., Ltd. (Warrants)* .............................. 206,500
-----------
2,357,452
-----------
REAL ESTATE
4,900 Oriental Land Co., Ltd. .............................. 195,855
-----------
RETAIL
15,000 Ito-Yokato Co., Ltd. ................................. 874,936
-----------
SERVICES
30,700 Benesse Corp. ........................................ 1,408,861
38,000 Credit Saison Co., Ltd. .............................. 894,750
200 Credit Saison Co., Ltd. ..............................
(Warrants)* ........................................ 280,000
164,000 Daikin Industries, Ltd. .............................. 1,295,625
-----------
3,879,236
-----------
<PAGE>
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
PORTFOLIO OF INVESTMENTS
October 31, 1998 (continued)
Shares Value
-------- -----------
JAPAN (continued)
TELECOMMUNICATIONS
15 NTT Mobile Communications
Network, Inc. ...................................... $ 541,688
-----------
TOTAL JAPAN .......................................... 27,587,459
-----------
PAKISTAN (0.0%)
MATERIALS
65 Crescent Textile Mills, Ltd.* ........................ 9
-----------
TOTAL PAKISTAN ....................................... 9
-----------
SINGAPORE (6.2%)
CONSUMER GOODS
630,000 Fraser & Neave........................................ 2,012,903
-----------
TOTAL SINGAPORE ...................................... 2,012,903
-----------
SOUTH KOREA (9.1%)
ELECTRIC COMPONENTS
39,467 Samsung Electronics Co. .............................. 1,615,171
-----------
MATERIALS
75,000 Pohang Iron & Steel Ltd., ADR ........................ 1,350,000
-----------
TOTAL SOUTH KOREA .................................... 2,965,171
-----------
TOTAL INVESTMENTS (identified cost $33,056,782) (a) ........ 07.6% $35,110,404
CASH AND OTHER ASSETS LESS LIABILITIES ..................... (7.6) (2,480,028)
----- -----------
NET ASSETS ................................................. 100.0% $32,630,376
===== ===========
- ----------------
* Non-income producing security.
Rule 144A security
(a) The aggregate cost for federal income tax purposes is $34,096,197, the
aggregate gross unrealized appreciation is $3,892,595, and the aggregate
gross unrealized depreciation is $2,878,388, resulting in net unrealized
appreciation of $1,014,207.
See Notes to Financial Statements.
<PAGE>
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1998
ASSETS:
Investments in securities, at value (identified cost
$33,056,782) (Note 1) ................................. $ 35,110,404
Receivables for:
Investments sold ....................................... 1,190,402
Dividends .............................................. 66,330
Capital stock sold ..................................... 650,042
------------
Total Assets ...................................... 37,017,178
------------
LIABILITIES:
Due to bank .............................................. 111,960
Payables for:
Investments purchased .................................. 349,605
Capital stock redeemed ................................. 221,922
Foreign exchange contracts sold (Note 5) ............... 3,633,430
Investment advisory fee (Note 2) ....................... 17,233
Foreign withholding taxes .............................. 9,893
Shareholder servicing/eligible institution fees (Note 2) 6,628
Administrative fee (Note 2) ............................ 3,977
Accrued expenses and other liabilities ................. 32,154
------------
Total Liabilities ................................. 4,386,802
------------
NET ASSETS ..................................................... $ 32,630,376
============
Net Assets Consist of:
Paid-in capital .......................................... $ 71,153,682
Distributions in excess of net investment income ......... (489,072)
Accumulated net realized loss ............................ (36,462,766)
Net unrealized depreciation .............................. (1,571,468)
------------
Net Assets ..................................................... $ 32,630,376
============
NET ASSET VALUE AND OFFERING PRICE PER SHARE
($32,630,376 / 1,606,882 shares) ........................... $20.31
======
See Notes to Financial Statements.
<PAGE>
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
STATEMENT OF OPERATIONS
October 31, 1998
INVESTMENT INCOME:
Income:
Dividends (net of foreign withholding tax
of $34,086) ......................................... $ 279,226
Interest .............................................. 28,642
------------
Total Income ...................................... 307,868
------------
Expenses:
Investment advisory fee (Note 2) ...................... 281,852
Shareholder servicing/eligible institution
fees (Note 2) ...................................... 108,405
Administrative fee (Note 2) ........................... 65,043
Custodian fee (Note 3) ................................ 119,078
Directors' fees and expenses (Note 2) ................. 13,360
Professional fees ..................................... 40,062
Miscellaneous expenses ................................ 74,500
------------
Total Expenses ........................................ 702,300
Fees paid indirectly .............................. (78,735)
------------
Net expenses ...................................... 623,565
------------
Net Investment Loss ...................................... (315,697)
------------
NET REALIZED AND UNREALIZED GAIN (LOSS) (Notes 1 and 3):
Net realized loss on investments and foreign
exchange transactions .................................. (20,849,302)
Net realized loss on futures transactions ................ (117,132)
Net change in unrealized depreciation on investments and
foreign exchange translations ......................... 15,355,772
------------
Net Realized and Unrealized Loss .................. (5,610,662)
------------
Net Decrease in Net Assets Resulting from Operations ..... $ (5,926,359)
============
See Notes to Financial Statements.
<PAGE>
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
For the years ended October 31,
-------------------------------
1998 1997
--------------- -------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
Operations:
Net investment income (loss) ............................... $ (315,697) $ 1,856
Net realized loss on investments, foreign exchange
and future transactions .................................. (20,966,434) (9,573,901)
Net change in unrealized appreciation (depreciation) on
investments and foreign currency translations ............ 15,355,772 (11,759,012)
------------- -------------
Net decrease in net assets resulting from
operations ............................................. (5,926,359) (21,331,057)
------------- -------------
Dividends and distributions declared (Note1):
From net investment income ................................. (1,028,455) (1,856)
In excess of net investment income ......................... (2,160,330) (1,232,885)
From net realized gains .................................... -- (1,393,227)
In excess of net realized gains ............................ -- (2,266,428)
------------- -------------
Total dividends and distributions declared ............... (3,188,785) (4,894,396)
------------- -------------
Capital stock transactions (Note 4):
Net proceeds from sales of capital stock ................... 57,199,326 35,999,815
Net asset value of capital stock issued to shareholders in
reinvestment of distributions ............................ 147,105 43,114
Net cost of capital stock redeemed ......................... (117,907,402) (58,195,932)
------------- -------------
Net decrease in net assets resulting from capital
stock transactions ..................................... (60,560,971) (22,153,003)
------------- -------------
Total decrease in net assets ............................ (69,676,115) (48,378,456)
------------- -------------
NET ASSETS:
Beginning of year ............................................. 102,306,491 150,684,947
------------- -------------
End of year (including distribution in excess of net investment
income of $489,072 and undistributed net investment income
of $1,344,152) ............................................. $ 32,630,376 $ 102,306,491
============= =============
</TABLE>
See Notes to Financial Statements.
<PAGE>
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for a share outstanding throughout each year
<TABLE>
<CAPTION>
For the years ended October 31,
------------------------------------------------------------
1998 1997 1996 1995 1994
------ ------ ------ ------ ------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period.......... $24.52 $30.19 $29.88 $39.85 $39.87
Income from investment operations:
Net investment income (loss)................ (0.20) 0.00(1),(2) 0.05(1) 0.11 0.14
Net realized and unrealized gain............ (2.39) (4.69) 1.62 (4.50) 1.26
Less dividends and distributions (Note 1):
From net investment income.................. (0.52) (0.00)(2) (0.86) (0.00)(2) (0.14)
In excess of net investment income.......... (1.10) (0.25) (0.50) -- --
From net realized gains..................... -- (0.28) -- (5.58) (1.28)
In excess of net realized gains............. -- (0.45) -- -- --
------ ------ ------ ------ ------
Net asset value, end of period................ $20.31 $24.52 $30.19 $29.88 $39.85
====== ====== ====== ====== ======
Total return.................................. (10.78)% (16.03)% 5.65% (10.62)% 3.48%
Ratios/Supplemental Data:
Net assets, end of period (000's omitted).. $32,630 $102,306 $150,685 $114,932 $120,469
Expenses as a percentage of average
net assets:
Expenses paid by Fund..................... 1.44% 1.19% 1.13% 1.24% 1.29%
Expenses paid by commissions(3) .......... -- 0.01% 0.01% 0.05% n/a
Expenses offset arrangement............... 0.18% 0.06% 0.16% 0.14% n/a
----- ----- ----- ------ ------
Total expenses.......................... 1.62% 1.26% 1.30% 1.43% 1.29%
Ratio of net investment income (loss) to
average net assets....................... (0.73)% 0.00%(2) 0.16% 0.53% 0.39%
Portfolio turnover rate..................... 91% 63% 58% 82% 86%
</TABLE>
- ------------------------
(1) Calculated using average shares outstanding for the year.
(2) Less than $0.01 per share.
(3) A portion of the Fund's securities transactions are directed to certain
unaffiliated brokers which in turn use a portion of the commissions they
receive from the Fund to pay other unaffiliated service providers on
behalf of the Fund for services provided for which the Fund would
otherwise be obligated to pay.
See Notes to Financial Statements.
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
NOTES TO FINANCIAL STATEMENTS
1. Organization and Significant Accounting Policies. The 59 Wall Street
European Equity Fund and The 59 Wall Street Pacific Basin Equity Fund
(individually the "Fund" or collectively the "Funds") are separate
non-diversified series of The 59 Wall Street Fund, Inc. (the "Corporation")
which is registered under the Investment Company Act of 1940, as amended. The
Corporation is an open-ended management investment company organized under the
laws of the State of Maryland on July 19, 1990. The Funds commenced operations
on November 1, 1990.
Each Fund's financial statements are prepared in accordance with generally
accepted accounting principles which require management to make certain
estimates and assumptions at the date of the financial statements and are based,
in part, on the following accounting policies. Actual results could differ from
those estimates.
A. Valuation of Investments. (1) The value of investments listed on
either a domestic or foreign securities exchange is based on the last
price on that exchange prior to the time when assets are valued, or in the
absence of recorded sales, at the average of readily available closing bid
and asked prices on such exchange; (2) unlisted securities are valued at
the average of the quoted bid and asked prices in the over-the-counter
market; (3) securities or other assets for which market quotations are not
readily available are valued at fair value in accordance with procedures
established by and under the general supervision and responsibility of the
Corporation's Board of Directors. Such procedures include the use of
independent pricing services, which use prices based upon yields or prices
of securities of comparable quality, coupon, maturity and type;
indications as to the value from dealers; and general market conditions;
(4) for purposes of calculating net asset value per share, all assets and
liabilities initially expressed in foreign currencies will be converted
into U.S. dollars at the prevailing rates of exchange available at the
time of valuation; and (5) trading in securities on most foreign exchanges
and over-the-counter markets is normally completed before the close of the
New York Stock Exchange and may also take place on days on which the New
York Stock Exchange is closed. If events materially affecting the value of
foreign securities occur between the time when the exchange on which they
are traded closes and the time when a Fund's net asset value is
calculated, such securities will be valued at fair value in accordance
with procedures established by and under the general supervision of the
Corporation's Board of Directors.
B. Foreign Currency Translations. The accounting records of the
Funds are maintained in U.S. dollars. Foreign currency amounts are
translated into U.S. dollars at the current rate of exchange of such
currency against the U.S. dollar to determine the value of investments,
assets and liabilities. Purchases and sales of securities, and income and
expenses are translated at the prevailing rate of exchange on the
respective dates of such transactions. Upon the purchase or sale of a
security denominated in foreign currency, each Fund may enter into forward
foreign currency exchange contracts for the purchase or sale, for a fixed
amount of U.S. dollars, of the amount of foreign currency involved in the
underlying security transactions. The Funds do not isolate that portion of
realized gain or loss on investments resulting from changes in foreign
exchange rates on investments from the fluctuations arising from the
changes in market prices of such investments. Such fluctuations are
included with the net realized and unrealized gain or loss from
investments. Reported net realized and unrealized gains and losses arise
from the sales of portfolio securities, sales of foreign currencies,
currency gains or losses realized between the trade and settlement dates
on securities transactions, and the difference between the amounts of
dividends, interest and foreign withholding taxes recorded on the Fund's
books and the U.S. dollar equivalents of the amounts actually
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
NOTES TO FINANCIAL STATEMENTS (continued)
received or paid. Net unrealized appreciation or depreciation on foreign
currency translations arise from changes in the value of the assets and
liabilities, excluding investments in securities, at fiscal year end,
arising from changes in the exchange rate.
C. Forward Foreign Currency Exchange Contracts. The Funds may enter
into forward foreign currency exchange contracts ("contracts") in
connection with planned purchases or sales of securities, to hedge the
U.S. dollar value of portfolio securities denominated in a particular
currency, or to increase or shift its exposure to a currency other than
U.S. dollars. The Funds have no specific limitation on the percentage of
assets which may be committed to these types of contracts. The Funds could
be exposed to risks if the counterparties to the contracts are unable to
meet the terms of their contracts or if the value of the foreign currency
changes unfavorably. The U.S. dollar values of foreign currency underlying
all contractual commitments held by the Funds are determined using forward
currency exchange rates supplied by a quotation service.
D. Accounting for Investments. Security transactions are accounted
for on the trade date. Realized gains and losses on security transactions
are determined on the identified cost method. Dividend income and other
distributions from the portfolio securities are recorded on the
ex-dividend date. Dividend income is recorded net of foreign taxes
withheld where recovery of such taxes is not assured. Interest income is
accrued daily.
E. Federal Income Taxes. It is the Corporation's policy to comply
with the requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute all of its taxable income to its
shareholders. Accordingly, no federal income tax provision is required.
Each Fund files a tax return annually using tax accounting methods
required under provisions of the Internal Revenue Code which may differ
from generally accepted accounting principles, the basis on which these
financial statements are prepared. Accordingly, the amounts of net
investment income and net realized gain reported on these financial
statements may differ from that reported on each Fund's tax return due to
certain book-to-tax differences such as losses deferred due to "wash sale"
transactions, utilization of capital loss carryforwards and the
recognition of unrealized gains or losses on open forward foreign currency
exchange contracts and passive foreign investment companies at year-end.
These differences may result in temporary over-distributions for financial
statement purposes and are classified as distributions in excess of
accumulated net realized gains or net investment income. Permanent
differences are reclassified on the statement of assets and liabilities
based upon their tax classification. As such, the character of
distributions to shareholders reported in the Financial Highlights table
may differ from that reported to shareholders on Form 1099-DIV. These
distributions do not constitute a return of capital.
F. Dividends and Distributions to Shareholders. Dividends and
distributions to shareholders are recorded on the ex-dividend date.
2. Transactions with Affiliates.
Investment Advisory Agreement. The Corporation has an investment advisory
agreement with Brown Brothers Harriman & Co. (the "Adviser") for which the
Adviser receives a fee from each Fund calculated daily and paid monthly at an
annual rate equivalent to 0.65% of each Fund's average daily net assets. For the
year ended October 31, 1998, the European Equity Fund and the Pacific Basin Fund
incurred $1,045,922 and $281,852, respectively, for advisory services.
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
NOTES TO FINANCIAL STATEMENTS (continued)
Administrative Fee. The Corporation has an administrative agreement with
Brown Brothers Harriman & Co. (the "Administrator") for which the Administrator
receives a fee from each Fund calculated daily and paid monthly at an annual
rate equivalent to 0.15% of each Fund's average daily net assets. The
Administrator has a sub administration services agreement with 59 Wall Street
Administrators, Inc. for which 59 Wall Street Administrators, Inc. receives such
compensation as is from time to time agreed upon, but not in excess of the
amount paid to the Administrator. For the year ended October 31, 1998, the
European Equity Fund and the Pacific Basin Equity Fund incurred $241,367 and
$65,043, respectively, for administrative services.
Shareholder Servicing/Eligible Institution Agreement. The Corporation has
a shareholder servicing agreement and an eligible institution agreement with
Brown Brothers Harriman & Co. for which Brown Brothers Harriman & Co. receives a
fee from each Fund calculated daily and paid monthly at an annual rate
equivalent to 0.25% if each Fund's average daily net assets. For the year ended
October 31, 1998, the European Equity Fund and the Pacific Basin Equity Fund
incurred $402,278 and $108,405, respectively, for such services.
Board of Directors' Fee. Each Director receives an annual fee as well as
reimbursement for reasonable out-of-pocket expenses from each Fund. For the year
ended October 31, 1998, the European Equity Fund and the Pacific Basin Equity
Fund incurred $10,406 and $13,360, respectively, for these fees.
3. Investment Transactions. For the year ended October 31, 1998, the cost
of purchases and the proceeds of sales of investment securities other than
short-term investments were as follows:
European Pacific Basin
Equity Fund Equity Fund
----------- -----------
Purchases....................... $ 88,384,476 $ 38,616,649
Sales........................... $113,976,449 $189,760,811
There were no purchases or sales of U.S. government obligations during the
year. Custody fees for the European Equity Fund were reduced by $10,652 as a
result of the Fund directing a portion of its portfolio transactions to certain
unaffiliated brokers. Additionally, custody fees for the European Equity Fund
and the Pacific Basin Equity Fund were further reduced by $24,176 and $78,735,
respectively, as a result of an expense offset arrangement with the Fund's
custodian.
4. Capital Stock. The Corporation is permitted to issue 2,500,000,000
shares of capital stock, par value $.001 per share, of which 25,000,000 shares
have been classified as shares of each of the Funds. Transactions in shares of
capital stock were as follows:
<TABLE>
<CAPTION>
For the years ended October 31,
------------------------------------------------------
European Equity Fund Pacific Basin Equity Fund
---------------------- -------------------------
1998 1997 1998 1997
------- ------ ------ -------
<S> <C> <C> <C> <C>
Capital stock sold................................ 3,734,540 727,395 2,679,150 1,257,815
Capital stock issued in connection with reinvestment
of dividends and distributions................. 55,002 21,179 7,079 1,499
Capital stock redeemed............................ (3,861,404) (872,257) (5,251,617) (2,077,900)
---------- -------- ---------- ----------
Net (decrease).................................... (71,862) (123,683) (2,565,388) (818,586)
========== ======== ========== ==========
</TABLE>
<PAGE>
THE 59 WALL STREET EUROPEAN EQUITY FUND
THE 59 WALL STREET PACIFIC BASIN EQUITY FUND
NOTES TO FINANCIAL STATEMENTS (continued)
5. Financial Instruments with Off-Balance Sheet Risk. At October 31, 1998,
the Pacific Basin Equity Fund had outstanding forward foreign currency exchange
contracts as a hedge to protect against possible changes in the foreign currency
exchange rates that would adversely affect a portfolio position or an
anticipated portfolio position. Forward contracts involve elements of market
risk in excess of the amount reflected in the Statements of Assets and
Liabilities. The Funds bear risk of an unfavorable change in the foreign
exchange rate underlying the forward contracts.
Forward foreign currency exchange contracts open at October 31, 1998:
Contracts In Exchange Deliver Unrealized
to deliver For Date Depreciation
---------- ----------- ------- ------------
Pacific Basin Equity
Fund JPY* 3,581,000,000 $27,302,531 12/17/98 $3,633,430
----------
* Japanese Yen
6. Federal Income Tax Status. At October 31, 1998, the Pacific Basin
Equity Fund, for federal income taxes purposes, had a capital loss carryforward
of $39,545,853 which may be applied against any net taxable realized gain of
each succeeding year until the earlier of it utilization or expiration on
October 31, 2006.
<PAGE>
INDEPENDENT AUDITORS' REPORT
Board of Directors and Shareholders
The 59 Wall Street Fund, Inc.:
We have audited the accompanying statements of assets and liabilities,
including the portfolios of investments, of The 59 Wall Street European Equity
Fund and The 59 Wall Street Pacific Basin Equity Fund (portfolios of The 59 Wall
Street Fund, Inc.) as of October 31, 1998, the related statements of operations
for the year then ended, the statements of changes in net assets for the years
ended October 31, 1998 and 1997, and the financial highlights for each of the
years in the five-year period ended October 31, 1998. These financial statements
and financial highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned at October
31, 1998 by correspondence with the custodian and brokers; where replies were
not received from brokers, we performed other auditing procedures. An audit also
includes assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, such financial statements and financial highlights present
fairly, in all material respects, the financial position of each of the
respective portfolios of The 59 Wall Street Fund, Inc. at October 31, 1998, the
results of their operations, the changes in their net assets, and their
financial highlights for the respective stated periods in conformity with
generally accepted accounting principles.
DELOITTE & TOUCHE LLP
Boston, Massachusetts
December 11, 1998
<PAGE>
Management's Discussion of fund performance
The following investment management strategies and techniques have
materially affected the Funds' performance for the fiscal year ended October 31,
1998.
European Equity Fund
Accelerating economic growth and record low levels of inflation helped to
propel most European equity markets to all time highs by July. Althought markets
corrected sharply in August and September in response to events in Russia and
concerns about global liquidity, European markets rallied again in October as
the U.S. Federal Reserve and other central banks started to lower short term
interest rates. Finland, Spain and Italy, markets in which the Fund was heavily
represented, were among the biggest winners during the period, rising 57%, 47%
and 40%, respectively.
The European Equity Fund achieved a dollar-adjusted return of 19.3% for
the period, and since its inception eight years ago, the Fund has provided its
investors with a compound annual return of 12.6%. The Fund's investment strategy
continues to focus on larger capitalization companies with visible earnings
growth and reasonable valuations within the context of a more transparently
competitive environment in Europe after the launch of European Monetary Union in
January 1999.
European Equity Fund Growth of $10,000
[The following information was depicted as a line graph in the printed material]
Total Return
------------------------------------------------------------
One Year Five Years Inception
Ended Ended to 10/31/98
10/31/98 10/31/98 (Annualized)
-------- -------- ------------
19.34% 13.50% 12.57%
DATE European Equity Fund* MSCI-Europe
---- --------------------- -----------
10/31/90 $10,000 $10,000
11/30/90 $9,924 $10,100
12/31/90 $9,784 $9,954
1/31/91 $9,964 $10,288
2/28/90 $10,460 $11,188
3/31/91 $9,880 $10,439
4/30/91 $10,004 $10,329
5/31/91 $10,144 $10,634
6/30/91 $9,500 $9,740
7/31/91 $9,996 $10,415
8/31/91 $10,108 $10,605
9/30/91 $10,368 $10,923
10/31/91 $10,160 $10,694
11/30/91 $9,904 $10,442
12/31/91 $10,689 $11,258
1/31/92 $10,746 $11,255
2/29/92 $10,790 $11,299
3/31/92 $10,435 $10,903
4/30/92 $11,073 $11,505
5/31/92 $11,549 $12,160
6/30/92 $11,452 $11,933
7/31/92 $10,972 $11,507
8/31/92 $11,032 $11,469
9/30/92 $10,895 $11,280
10/31/92 $10,960 $10,493
11/30/92 $11,218 $10,488
12/31/92 $11,494 $10,728
1/31/93 $11,340 $10,746
2/28/93 $11,419 $10,868
3/31/93 $11,762 $11,427
4/30/93 $12,082 $11,680
5/31/93 $12,223 $11,806
6/30/93 $11,836 $11,633
7/31/93 $11,871 $11,673
8/31/93 $12,885 $12,698
9/30/93 $12,929 $12,659
10/31/93 $13,680 $13,186
11/30/93 $13,606 $12,902
12/31/93 $14,611 $13,870
1/31/94 $15,322 $14,576
2/28/94 $14,524 $14,060
3/31/94 $13,730 $13,663
4/30/94 $14,071 $14,228
5/31/94 $13,448 $13,623
6/30/94 $13,453 $13,480
7/31/94 $14,094 $14,187
8/31/94 $14,667 $14,637
9/30/94 $14,094 $14,055
10/31/94 $14,685 $14,668
11/30/94 $13,960 $14,106
12/31/94 $14,036 $14,187
1/31/95 $13,906 $14,076
2/28/95 $14,222 $14,396
3/31/95 $14,896 $15,064
4/30/95 $15,409 $15,546
5/31/95 $15,505 $15,864
6/30/95 $15,470 $16,014
7/31/95 $15,998 $16,846
8/31/95 $16,450 $16,198
9/30/95 $16,400 $16,687
10/31/95 $16,068 $16,608
11/30/95 $15,842 $16,726
12/31/95 $16,352 $17,257
1/31/96 $16,404 $17,369
2/29/96 $16,678 $17,685
3/31/96 $17,219 $17,897
4/30/96 $17,630 $18,026
5/31/96 $17,966 $18,165
6/30/96 $17,924 $18,365
7/31/96 $17,445 $18,135
8/31/96 $17,971 $18,674
9/30/96 $18,165 $18,970
10/31/96 $18,418 $19,508
11/29/96 $19,192 $20,497
12/31/96 $19,499 $20,894
1/31/97 $19,317 $20,950
2/28/97 $19,289 $21,227
3/31/97 $19,874 $21,913
4/30/97 $19,465 $21,804
5/30/97 $20,391 $22,735
6/30/97 $21,499 $23,872
7/31/97 $22,237 $24,991
8/31/97 $20,811 $23,563
9/30/97 $22,783 $25,848
10/31/97 $21,601 $24,577
11/29/97 $21,931 $24,955
12/31/97 $22,478 $25,867
1/31/98 $23,429 $26,943
2/28/98 $25,191 $29,050
3/31/98 $27,172 $31,119
4/30/98 $27,839 $31,722
5/30/98 $28,169 $32,365
6/30/98 $28,439 $32,719
7/31/98 $29,060 $33,366
8/31/98 $24,815 $29,169
9/30/98 $24,016 $28,003
10/31/98 $25,779 $30,244
* net of fees and expenses
Past performance is not predictive of future performance.
<PAGE>
Pacific Basin Equity Fund
Economic contractions throughout Asia over the past year created a
difficult environment for equity investors in the region. As measured by the
MSCI-Pacific Index, equity markets in the region declined 13.9% in US dollars
during the year ending October 31, 1998. Worst hit by market declines and
political uncertainties were Indonesia and Malaysia, down 77% and 63%,
respectively. Australia was the only market in the region to post a positive
return for the year, rising a modest 1.4%.
The Pacific Basin Equity Fund continued to outperform the MSCI-Pacific
Index on a relative basis over the fiscal year, declining only 10.8%. The
outperformance was due, in part, to an absence of investment in markets such as
Malaysia and Indonesia. The market risks associated with the economic and
political uncertainties throughout Southeast Asia continue to justify this
strategy. The returns generated by the Fund's investments in Japan also
contributed to relative outperformance. The Fund's strategy of defensively
hedging its Yen exposure back to U.S. dollars remained in place throughout the
year.
Pacific Basin Equity Fund Growth of $10,000
[The following information was depicted as a line graph in the printed material]
Total Return
-------------------------------------------------------------
One Year Five Years Inception
Ended Ended to 10/31/98
10/31/98 10/31/98 (Annualized)
-------- -------- ------------
(10.78)% (6.04)% 2.68%
DATE Pacific Basin Fund* EMSCI-Pacific
---- ------------------- -------------
10/31/90 $10,000 $10,000
11/30/90 $9,368 $8,891
12/31/90 $9,580 $9,270
1/31/90 $9,940 $9,559
2/28/90 $10,820 $10,737
3/31/91 $10,912 $10,151
4/30/91 $11,312 $10,412
5/31/91 $11,308 $10,372
6/30/91 $11,008 $9,694
7/31/91 $11,296 $10,021
8/31/91 $10,656 $9,513
9/30/91 $10,936 $10,262
10/31/91 $11,068 $10,698
11/30/91 $10,612 $10,010
12/31/91 $10,886 $10,317
1/31/92 $11,095 $9,918
2/29/92 $10,927 $9,223
3/31/92 $10,457 $8,346
4/30/92 $10,776 $7,964
5/31/92 $11,487 $8,585
6/30/92 $11,013 $7,910
7/31/92 $10,326 $7,800
8/31/92 $11,140 $8,869
9/30/92 $10,760 $8,665
10/31/92 $11,254 $8,360
11/30/92 $11,393 $8,518
12/31/92 $11,556 $8,420
1/31/93 $11,437 $8,404
2/28/93 $11,899 $8,812
3/31/93 $12,377 $9,877
4/30/93 $13,288 $11,450
5/31/93 $13,915 $11,783
6/30/93 $13,470 $11,590
7/31/93 $13,584 $12,275
8/31/93 $14,469 $12,638
9/30/93 $14,787 $12,166
10/31/93 $16,883 $12,436
11/30/93 $16,744 $10,681
12/31/93 $20,211 $11,425
1/31/94 $19,470 $12,748
2/28/94 $18,493 $13,077
3/31/94 $16,892 $12,355
4/30/94 $17,103 $12,889
5/31/94 $17,239 $13,196
6/30/94 $16,656 $13,628
7/31/94 $17,261 $13,335
8/31/94 $17,831 $13,567
9/30/94 $17,524 $13,227
10/31/94 $17,471 $13,562
11/30/94 $16,086 $12,805
12/31/94 $15,866 $12,891
1/31/95 $14,293 $12,076
2/28/95 $14,576 $11,777
3/31/95 $15,124 $12,681
4/30/95 $15,067 $13,220
5/31/95 $15,704 $12,691
6/30/95 $15,464 $12,153
7/31/95 $16,201 $13,030
8/31/95 $15,893 $12,538
9/30/95 $15,992 $12,655
10/31/95 $15,616 $12,040
11/30/95 $15,574 $12,632
12/31/95 $16,421 $13,249
1/31/96 $17,197 $13,271
2/29/96 $16,924 $13,121
3/31/96 $17,399 $13,524
4/30/96 $18,317 $14,213
3/31/96 $17,956 $13,596
6/30/96 $17,885 $13,598
7/31/96 $17,000 $12,973
8/31/96 $16,530 $12,632
9/30/96 $16,978 $13,044
10/31/96 $16,497 $12,438
11/29/96 $16,760 $12,776
12/31/96 $16,304 $12,111
1/31/97 $15,440 $11,092
2/28/97 $15,672 $11,323
3/31/97 $15,033 $10,908
4/30/97 $15,191 $11,135
5/30/97 $16,762 $12,224
6/30/97 $17,576 $12,981
7/31/97 $17,547 $12,670
8/31/97 $15,220 $11,414
9/30/97 $15,287 $11,370
10/31/97 $13,853 $ 9,989
11/29/97 $13,468 $ 9,439
12/31/97 $13,023 $ 9,024
1/31/98 $13,364 $ 9,513
2/28/98 $13,406 $ 9,854
3/31/98 $13,102 $ 9,311
4/30/98 $13,053 $ 9,126
5/30/98 $13,138 $ 8,506
6/30/98 $13,017 $ 8,489
7/31/98 $13,991 $ 8,341
8/31/98 $12,834 $ 7,355
9/30/98 $12,456 $ 7,330
10/31/98 $12,359 $ 8,599
* net of fees and expenses
Past performance is not predictive of future performance.
<PAGE>
The 59 Wall Street Fund, Inc.
Investment Adviser and
Administrator
Brown Brothers Harriman & Co.
59 Wall Street
New York, New York 10005
Distributor
59 Wall Street Distributors, Inc.
21 Milk Street
Boston, Massachusetts 02109
Shareholder Servicing Agent
Brown Brothers Harriman & Co.
59 Wall Street
New York, New York 10005
(800) 625-5759
This report is submitted for the general information of
shareholders and is not authorized for distribution to
prospective investors unless preceded or accompanied by
an effective prospectus. Nothing herein contained is to
be considered an offer of sale or a solicitation of an
offer to buy shares of the Funds. Such offering is made
only by prospectus, which includes details as to
offering price and other material information.
