<PAGE> 1
[PHOTO APPEARS HERE]
AIM GLOBAL AGGRESSIVE
GROWTH FUND
[AIM LOGO APPEARS HERE] ANNUAL REPORT OCTOBER 31, 1996
<PAGE> 2
[PHOTO APPEARS HERE]
ABOUT FUND PERFORMANCE AND PORTFOLIO DATA THROUGHOUT THIS REPORT:
o AIM Global Aggressive Growth Fund's performance figures are historical and
reflect reinvestment of all distributions and changes in net asset value.
Unless otherwise indicated, the Fund's performance is computed without a
sales charge.
o When sales charges are included in performance figures, Class A share
performance reflects the maximum 4.75% sales charge, and Class B share
performance reflects the applicable contingent deferred sales charge (CDSC)
for the period involved. The CDSC on Class B shares declines from 5%
beginning at the time of purchase to 0% at the beginning of the seventh
year. The performance of the Fund's Class B shares will differ from that of
Class A shares due to differences in sales charge structure and Fund
expenses.
o During the year ended October 31, 1996, the Fund paid distributions on
both Class A and Class B shares of $0.046 per share.
o The Fund's investment return and principal value will fluctuate so that
an investor's shares, when redeemed, may be worth more or less than their
original cost.
o The Fund's portfolio composition is subject to change and there is no
assurance the Fund will continue to hold any particular security.
o Past performance cannot guarantee comparable future results.
o International investing presents certain risks not associated with
investing solely in the U.S. These include risks relating to fluctuations in
the value of the U.S. dollar relative to the value of other currencies, the
custody arrangements made for the Fund's foreign holdings, differences in
accounting, political risks, and the lesser degree of public information
required to be provided by non-U.S. companies.
ABOUT INDEXES AND OTHER PERFORMANCE BENCHMARKS CITED IN THIS
REPORT:
o Lipper Analytical Services, Inc. is an independent mutual fund performance
monitor. The unmanaged Lipper Global Small Company Fund Category represents
an average of the performance of global small company mutual funds tracked
by Lipper.
o The Morgan Stanley Capital International World Index is a group of
unmanaged global securities tracked by Morgan Stanley Capital International.
o An investment cannot be made in any index listed. Unless otherwise
indicated, index results include reinvested dividends and do not reflect
sales charges.
MUTUAL FUNDS, ANNUITIES, AND OTHER INVESTMENTS ARE NOT INSURED BY THE
FDIC OR ANY OTHER GOVERNMENT AGENCY; ARE NOT DEPOSITS OR OTHER
OBLIGATIONS OF, OR GUARANTEED BY, ANY BANK OR ANY AFFILIATE;
AND ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS
OF PRINCIPAL AMOUNT INVESTED.
AIM GLOBAL AGGRESSIVE
GROWTH FUND
For shareholders who seek long-
term growth of capital.
The Fund invests in a portfolio
of global equity securities
of small capitalization companies
with above-average
earnings momentum.
This report may be distributed only to current shareholders or to persons
who have received a current prospectus of the Fund.
<PAGE> 3
The Chairman's Letter
Dear Shareholder:
As you may have heard in the financial news, A I M
Management Group Inc. recently announced a significant
event in our company's history--an agreement to merge
with INVESCO PLC, one of the world's largest independent
[PHOTO of investment management groups.
Charles T. AIM has long been known for its strategic planning and
Bauer, forward thinking. In seeking this merger, AIM had specific
Chairman of goals in choosing a partner: to better AIM's position to
the Board of succeed in an increasingly competitive financial services
the Fund environment, both in the U.S. and globally; to ensure the
APPEARS HERE] continuation of AIM's independent culture, investment
philosophy, and dedication to our shareholders; and to
offer the broadest range of products and services to our
shareholders.
A "MERGER OF EQUALS" THAT PRESERVES INDEPENDENCE
When the merger is completed, AIM and INVESCO will be combined under a new
holding company to be named AMVESCO, to reflect the strongly complementary
strengths of our two companies which together create a "merger of equals."
AMVESCO will have combined assets under management in excess of $150 billion.
Most importantly, the agreement enables AIM to preserve its independent
culture--which has been so essential to our company's success. The locations,
management, structure, and brand names of AIM and INVESCO will not change.
With INVESCO, AIM achieves a strategic combination with a partner that
offers complementary rather than overlapping strengths. AIM has delivered
impressive performance over the years as a domestic retail fund manager.
INVESCO brings to AIM its primary strengths as an institutional money manager,
and as a successful international investment manager with significant
operations in North America, Europe, and the Pacific region.
NO CHANGES IN YOUR AIM FUND OR ITS MANAGEMENT
While AIM certainly will be enriched through these added strengths, it will
retain those qualities that have produced two decades of successful performance.
The reputation of AIM funds has been built by its seasoned team of portfolio
managers who adhere to AIM's disciplined and successful investment management
process. AIM's central goal is to keep the current investment team in place and
our time-tested investment philosophy intact. Also, the names of AIM funds will
not change.
Moreover, because the merger will not result in any changes in the way AIM
does business, this transaction will be seamless--without any disruption of
service to you.
YOUR VOTE IS IMPORTANT
The merger is expected to be completed on or about February 28. As a result of
the merger, it is necessary for shareholders of AIM funds to approve a new
investment advisory agreement.
Recently, we mailed an announcement for the shareholder meeting planned on
February 7, along with a proxy card that describes proposals that relate to the
management and policies of your Fund. We encourage you to review and return
your proxy as soon as possible. Your Fund's Board of Directors carefully
considered and unanimously approved the proposals and recommends that you vote
in favor of each one. Your vote is important to us. If you haven't yet mailed
your proxy card, please send it today.
The AIM/INVESCO merger marks a new and promising era for AIM, and we believe
it will yield exciting opportunities for AIM shareholders. We appreciate the
trust you have placed in us.
Sincerely,
/s/ CHARLES T. BAUER
Charles T. Bauer
Chairman
---------------------------
With INVESCO, AIM
achieves a strategic
combination with a
partner that offers comple-
mentary rather than
overlapping strengths.
---------------------------
<PAGE> 4
THE MANAGERS' OVERVIEW
GLOBAL STOCK INVESTORS
ARE TREATED TO A STRONG 1996
A roundtable discussion with the Fund management team for AIM Global Aggressive
Growth Fund for the fiscal year ended October 31, 1996.
- --------------------------------------------------------------------------------
Q. U.S. STOCKS HAD ANOTHER STRONG YEAR, AND WORLD EQUITY MARKETS HAVE
STRENGTHENED. HOW DID AIM GLOBAL AGGRESSIVE GROWTH FUND PERFORM DURING THE
REPORTING PERIOD?
A. It has been a good year for global stocks. As strong as the performance of
U.S. stocks has been during the reporting period, 13 world equity markets
ranked higher. The Morgan Stanley Capital International (MSCI) World Index
of global stocks gained 16.30% for the year ended October 31, 1996.
AIM Global Aggressive Growth Fund had a better year--total return as of
October 31, 1996, was 20.83% for Class A shares and 20.09% for Class B
shares. That performance also bested the 14.54% average total return for
similar funds over the same period, according to the Lipper Global Small
Company Fund Category of world equity markets.
Q. WHAT IGNITED THE PERFORMANCE OF WORLD EQUITY MARKETS?
A. In foreign markets, signs of improving economic performance, lower interest
rates, and a strong U.S. dollar encouraged investors to propel stocks to
enthusiastic levels during 1996, especially in Europe. On October 15, stock
markets in the United Kingdom, Denmark, Germany, Hungary, the Netherlands,
Norway, Spain, Sweden, and Switzerland set new highs. Many of these
countries were among the Fund's largest weightings.
Clearly, the drive to comply with European Monetary Unit standards has
been a significant influence behind the economic revival. Earlier in the
year, the club of countries likely to adopt a single currency in January
1999 seemed to include a select few. Now, many countries are cutting interest
rates and attacking budget deficits in a scramble to qualify for EMU
standards, and financial markets have roared their approval.
Q. WHAT WERE THE FORCES DRIVING THE ADVANCE IN DOMESTIC STOCKS?
A. Stocks in the U.S. delivered another record-breaking performance thanks to
continued healthy growth in the economy without rising inflation.
The charging advance was interrupted briefly in July when it seemed
interest rates might rise and company earnings might falter. Higher interest
rates increase borrowing and operating costs, and that can have a stronger
impact on corporate profits, particularly for smaller companies. In 1995,
small companies had posted stunning profits that seemed hard to meet a year
later.
Uncertainty creates volatile markets, and investors gravitated to stocks
in larger companies with more predictable earnings. As a result, large-
company stocks generally have outperformed smaller company stocks in the
U.S. in 1996. However, it has become apparent recently that small company
stocks have grown more appealing as earnings reports show surprisingly
strong growth.
Q. HOW ABOUT THE PACIFIC RIM?
A. Stock markets in Asia were thriving. Hong Kong, Malaysia, and
Indonesia--countries in which the Fund invests--were among the top-
performing countries in the Pacific basin, based on U.S. dollars. Improved
investor confidence has triggered a surge of funds into the region. In
China, companies on Hong Kong's Hang Seng stock market index raised
HK$22 billion ($2.8 billion) in the first eight months of 1996.
Japan's stock market continued to languish as that economy struggled to
emerge from recession. The Bank of Japan has lowered interest rates to near
===============================================================================
AIM GLOBAL AGGRESSIVE GROWTH FUND LIPPER RANKINGS (CLASS A SHARES)
HAS STRONG YEAR As of 10/31/96
- -------------------------------------------------------------------------------
10/31/95-10/31/96
Global Small Top
AIM FUND CLASS A 20.83% Period AIM Fund Company Funds %
AIM FUND CLASS B 20.09%
1 YEAR 6 24 25%
MSCI WORLD INDEX 16.30%
THE FUND'S CLASS B SHARES RANKED 7
LIPPER CATEGORY 14.54% OF 24 FUNDS, OR 30% FOR THE YEAR
ENDED 10/31/96.
FUND PERCENTAGE RANKINGS ARE VS. ALL
GLOBAL FUNDS TRACKED BY LIPPER,
EXCLUDING ALL SALES CHARGES, AND
INCLUDING FEES AND EXPENSES.
===============================================================================
-------------------------------
Signs of improving
economic performance,
lower interest rates, and
a strong U.S. dollar encouraged
investors to propel stocks
to enthusiastic levels in 1996.
-------------------------------
See important Fund & index disclosures inside front cover.
<PAGE> 5
================================================================================
PORTFOLIO COMPOSITION
as of October 31, 1996
- --------------------------------------------------------------------------------
Top 10 Foreign Equity Holdings Top 10 Domestic Equity Holdings
1. Cosco Pacific Ltd. 1. McAfee Associates, Inc.
2. Hang Seng Bank Ltd. 2. Sun Microsystems, Inc.
3. Sungei Way Holdings Berhad 3. Altera Corp.
4. PT Hanjaya Mandala Sampoerna 4. Intel Corp.
5. Malayan Banking Berhad 5. Clear Channel Communications, Inc.
6. Sun Hung Kai Properties Ltd. 6. Toys "R" Us, Inc.
7. YPF Sociedad Anonima-ADR 7. Ascend Communications, Inc.
8. P.T. Bank International Indonesia 8. ADC Telecommunications, Inc.
9. Perez Companc S.A. 9. Energy Ventures, Inc.
10. New World Infrastructure 10. 3Com Corp.
================================================================================
Please keep in mind that the Fund's portfolio is subject to change and there is
no assurance the Fund will continue to hold any particular security.
================================================================================
A GLOBAL VIEW
- --------------------------------------------------------------------------------
TOP 10 WORLD MARKETS
AVERAGE ANNUALIZED RETURN
IN U.S. DOLLARS
10/31/95-10/31/96
1. Taiwan 38.32%
2. Argentina 33.21
3. Brazil 33.03
4. Spain 31.11
5. Venezuela 30.93
6. Canada 29.94
7. Sweden 28.92
8. Portugal 28.06
9. Hong Kong 28.04
10. Ireland 27.05
Source: Morgan Stanley Capital International
================================================================================
zero in an effort to stimulate growth, and recent economic data has
suggested some gathering strength. Japanese exporters were strong
beneficiaries of the continued strength in the U.S. dollar. However,
consumer spending--the engine of domestic economic growth--continues to lag.
Q. HOW DID THE FUND TAKE ADVANTAGE OF THE GLOBAL INVESTMENT CLIMATE?
A. The Fund had a strong presence in the U.S--more than 38% of the portfolio as
of October 31, 1996. The primary concentrations were in stocks of technology,
retail, and health-care sectors. Among the larger holdings were Sun
Microsystems, Energy Ventures, Blyth Industries, and Patterson Dental Co.
The Fund's portfolio also included many of the top-performing European
markets like the United Kingdom, Spain, the Netherlands, and Sweden. The Fund
held significant positions in Autoliv, Oce-Van Der Grinten N.V.-V, Misys plc,
and Canadian Natural Resources.
Q. HOW WAS THE FUND INVESTED OUTSIDE EUROPE AND THE U.S.?
A. Hong Kong stocks again claimed many of the Fund's top 10 equity positions,
including the Fund's largest holding, Cosco Pacific Ltd., a leading
conglomerate, followed by the Hang Seng Bank Ltd.
In Japan, the Fund reduced its investment exposure to 5%, and continued to
emphasize those companies that benefit from the budding economic expansion
such as Aderans Co. Ltd and 77 Bank.
Q. HOW WAS THE FUND POSITIONED AT THE END OF THE FISCAL YEAR?
A. The Fund held a large number of stocks--569 as of October 31, 1996, spread
over 31 countries and 73 industry categories. The largest position weighting
in the Fund was 0.86%. More than 38% of the Fund's holdings was invested in
the U.S., followed by 23% in Europe, 7% in Hong Kong, and 5% in Japan. The
Fund's net assets at the end of the reporting period stood at $1.73 billion.
Q. WHAT IS YOUR OUTLOOK FOR THE MARKET IN 1997?
A. Conditions appear favorable for stocks in general, and even better for
smaller company stocks. Recent reports show that economic growth in the U.S.
slowed to a 2.0% annual rate in the third quarter from 4.7% in the second
quarter.
That is good news for world markets--the U.S. economy is growing at a
reasonable rate without rising inflation, which keeps the U.S. dollar strong
and reduces the likelihood that worldwide interest rates may increase over
the near term.
Most signs are positive for continued improvement in Europe. Privatization
and consolidation efforts have begun to bear fruit in corporate
profitability, and governments are making serious progress with budget
deficits.
Recent reports suggest that the United Kingdom's labor market has become
the envy of European growth enthusiasts. The 7.2% unemployment rate for
October was a nudge lower than the 7.4% of September and well below the 8.1%
of October 1995.
Analysts also are eyeing strong economic progress in Hong Kong and
Malaysia. Even Japan's recovery has begun to show signs of life.
---------------------------------
It is good news for world markets
that the U.S. economy is growing
at a reasonable rate
without rising inflation.
---------------------------------
See important Fund & index disclosures inside front cover.
3
<PAGE> 6
Long-Term Performance
AIM GLOBAL AGGRESSIVE GROWTH FUND VS. BENCHMARK INDEX
The chart below compares your Fund to a benchmark index. It is intended to give
you a general idea of how your Fund performed compared to the stock market over
the period 9/15/94 to 10/31/96. It is important to understand the difference
between your Fund and an index. Your Fund's total return is shown with a sales
charge and includes fund expenses and management fees. An index measures the
performance of a hypothetical portfolio, in this case the Morgan Stanley
Capital International World Index. Unlike your Fund, an index is not managed;
therefore, there are no sales charges, expenses, or fees. You cannot invest in
an index. But if you could buy all the securities that make up a particular
index, you would incur expenses that would affect the return on your investment.
================================================================================
AVERAGE ANNUAL TOTAL RETURN
As of 10/31/96. Including sales charges.
- --------------------------------------------------------------------------------
CLASS A SHARES
Inception (9/15/94) 21.24%
1 Year 15.09*
*20.83% excluding sales charge.
CLASS B SHARES
Inception (9/15/94) 22.26%
1 Year 15.09*
*20.09% excluding sales charge.
================================================================================
================================================================================
GROWTH OF A $10,000 INVESTMENT
Past performance is no guarantee of comparable future results.
<TABLE>
<CAPTION>
AIM GLOBAL AIM GLOBAL
AGGRESSIVE GROWTH AGGRESSIVE GROWTH
FUND, CLASS A FUND, CLASS B MSCI WORLD INDEX
(In thousands)
- --------------------------------------------------------------------------------
<S> <C> <C> <C>
9/15/94 $9,524 $10,000 $10,000
11/30/94 9,505 9,970 9,585
2/28/95 9,590 10,050 9,677
5/31/95 10,676 11,170 10,593
8/31/95 12,352 12,910 10,878
11/30/95 12,524 13,070 11,407
2/28/96 13,505 14,080 12,033
5/31/96 15,369 15,997 12,538
8/31/96 14,738 15,315 12,303
10/31/96 15,063 15,336 12,878
================================================================================
</TABLE>
(Data are for the month-ends shown)
Your Fund's total return includes sales charges, expenses, and management fees.
For Fund performance calculations and descriptions of indexes cited on this
page, please refer to the inside front cover.
4
<PAGE> 7
For Your Consideration
MARKETS LOOK TO INDICATORS TO SEE
WHICH WAY THE ECONOMIC WIND BLOWS
Every month, the government releases reports of key economic indicators--the
harbingers of the business cycle considered so vital to financial markets. Have
you ever wondered why economic indicators are so important? We asked Gary
Beauchamp, AIM's Economic Strategist, to discuss a few widely followed
indicators that may be of interest to investors.
GROSS DOMESTIC PRODUCT (GDP)
GDP measures the final output of goods and services produced in the United
States in one year, which makes it the broadest measure of economic
performance. Initial estimates are released about a month after the close of
each quarter.
Financial markets react strongly to the GDP number because it indicates the
pace of economic activity. For instance, if the GDP is growing at a faster rate
than in previous periods, it's an indication that the economy may be heating
up. Rapid growth strains the economy, and that drives up prices and interest
rates. The resulting inflation erodes corporate profits and the value of
financial securities. Conversely, growth that is too slow causes prices and
profits to fall, and that drives up unemployment and dries up demand.
EMPLOYMENT DATA
When the various economic indicators are mixed, many analysts consider
employment data to be the most important. An increase in employment, a decrease
in initial jobless claims, or a decrease in unemployment can bode well for the
economy. However, an unexpectedly large surge in employment, such as the
non-farm payroll figures reported last February and March, can signal the
potential for inflation.
INDUSTRIAL PRODUCTION AND CAPACITY UTILIZATION
Monthly industrial production and capacity utilization indicators report the
efficiency of economic productivity. The index of industrial production
measures changes in the output of the mining, manufacturing, and gas and
electric utilities sectors of the economy. Capacity utilization is the rate at
which industrial production sectors operate--it is an indicator of industry's
current physical limits.
Together, these indicators can reveal expansion or contraction in the
economy before the GDP. High levels are positive; but maximum levels of
industrial production and capacity utilization can indicate inordinate strain
on the economy, which can lead to inflation. Conversely, low levels of capacity
utilization often generate increased productivity efficiency, and that can
signal an upturn in the economy from recession.
HOUSING STARTS
Released monthly by the U.S. Department of Commerce, the housing starts figure
is an estimate of the number of new homes and apartments under construction
within a stated period. The housing starts figure is sensitive to changes in
interest rates and reported levels of new home sales--another indicator of
consumer confidence. When consumers feel secure about the direction of the
economy, they are more likely to make long-term financial commitments like home
mortgages. Conversely, housing starts tend to fall well before the onset of
recession. One of the most volatile indicators, housing start figures often
vary widely from month to month and are sometimes substantially revised.
INDEX OF LEADING ECONOMIC INDICATORS
The U.S. Commerce Department tracks the performance of the economy by measuring
changes in the business cycle--the alternating progression of the economy from
periods of expansion when business is growing to periods of contraction when
business activity slows and unemployment increases.
Every month, the Commerce Department compiles its composite index of leading
economic indicators. Leading indicators are those factors that have shown the
tendency to signal change before the economy makes a major turn. The index
measures changes in such factors as stock prices, new orders for durable goods,
contracts and orders for plant and equipment, and average weekly claims for
state unemployment compensation. Positive changes in the index signal
improvement in the economy. Negative changes are understood to be warnings that
the economy might contract.
"The composite index of leading economic indicators is not the square root of
the universe. There is no single index or formula that provides all the answers
to the problems of business forecasting."
Michael B. Lehman, The Business One Irwin Guide to Using The Wall Street Journal
<PAGE> 8
SCHEDULE OF INVESTMENTS
October 31, 1996
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
DOMESTIC COMMON STOCKS-38.11%
ADVERTISING/BROADCASTING-0.80%
Clear Channel Communications,
Inc.(a) 62,300 $ 4,547,900
- -----------------------------------------------------------------
Heftel Broadcasting Corp.(a) 100,000 3,625,000
- -----------------------------------------------------------------
Jacor Communications, Inc.(a) 100,000 2,800,000
- -----------------------------------------------------------------
Paxson Communications Corp.(a) 70,000 621,250
- -----------------------------------------------------------------
SFX Broadcasting, Inc.-Class A(a) 50,000 2,150,000
- -----------------------------------------------------------------
13,744,150
- -----------------------------------------------------------------
AEROSPACE/DEFENSE-0.17%
BE Aerospace, Inc.(a) 137,500 2,990,625
- -----------------------------------------------------------------
AIRLINES-0.06%
Reno Air, Inc.(a) 150,000 1,050,000
- -----------------------------------------------------------------
AUTOMOBILE/TRUCKS PARTS &
TIRES-0.04%
Borg-Warner Automotive, Inc. 8,000 307,000
- -----------------------------------------------------------------
Mark IV Industries, Inc. 15,750 340,594
- -----------------------------------------------------------------
647,594
- -----------------------------------------------------------------
BANKING-0.51%
Bank of Boston Corp. 45,000 2,880,000
- -----------------------------------------------------------------
Cole Taylor Financial Group, Inc. 100,000 3,006,250
- -----------------------------------------------------------------
Washington Mutual, Inc. 70,800 2,991,300
- -----------------------------------------------------------------
8,877,550
- -----------------------------------------------------------------
BIOTECHNOLOGY-0.11%
Guidant Corp. 40,900 1,886,512
- -----------------------------------------------------------------
BUSINESS SERVICES-1.34%
APAC Teleservices, Inc.(a) 40,000 1,845,000
- -----------------------------------------------------------------
Cambridge Technology Partners,
Inc.(a) 100,200 3,306,600
- -----------------------------------------------------------------
Career Horizons, Inc.(a) 80,300 3,262,188
- -----------------------------------------------------------------
Claremont Technology Group,
Inc.(a) 50,700 1,546,350
- -----------------------------------------------------------------
CUC International Inc.(a) 56,550 1,385,475
- -----------------------------------------------------------------
Data Processing Resources Corp.(a) 13,500 271,688
- -----------------------------------------------------------------
Equifax, Inc. 5,200 154,700
- -----------------------------------------------------------------
IntelliQuest Information Group,
Inc.(a) 70,000 1,540,000
- -----------------------------------------------------------------
Pharmaceutical Product
Development, Inc.(a) 100,810 1,927,991
- -----------------------------------------------------------------
RemedyTemp, Inc.-Class A(a) 38,000 760,000
- -----------------------------------------------------------------
Robert Half International, Inc.(a) 65,000 2,608,125
- -----------------------------------------------------------------
Romac International, Inc.(a) 50,000 1,437,500
- -----------------------------------------------------------------
Sterling Healthcare Group(a) 12,100 213,263
- -----------------------------------------------------------------
Superior Consultant Holdings
Corp.(a) 32,300 791,350
- -----------------------------------------------------------------
Vincam Group, Inc. (The)(a) 49,500 1,571,625
- -----------------------------------------------------------------
Whittman-Hart, Inc.(a) 10,800 513,000
- -----------------------------------------------------------------
23,134,855
- -----------------------------------------------------------------
CHEMICALS (SPECIALTY)-0.31%
Airgas, Inc.(a) 150,000 3,393,750
- -----------------------------------------------------------------
IMC Global, Inc. 50,000 1,875,000
- -----------------------------------------------------------------
5,268,750
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
COMPUTER MINI/PCS-0.65%
Dell Computer Corp.(a) 50,000 $ 4,068,750
- -----------------------------------------------------------------
Rational Software Corp.(a) 50,000 1,918,750
- -----------------------------------------------------------------
Sun Microsystems, Inc.(a) 86,100 5,252,100
- -----------------------------------------------------------------
11,239,600
- -----------------------------------------------------------------
COMPUTER NETWORKING-1.34%
ACT Networks, Inc.(a) 83,400 2,856,450
- -----------------------------------------------------------------
Ascend Communications, Inc.(a) 68,200 4,458,575
- -----------------------------------------------------------------
Auspex Systems, Inc.(a) 71,700 734,925
- -----------------------------------------------------------------
Cascade Communications Corp.(a) 53,100 3,856,388
- -----------------------------------------------------------------
Cisco Systems, Inc.(a) 33,600 2,079,000
- -----------------------------------------------------------------
Digital Systems International,
Inc.(a) 14,500 197,563
- -----------------------------------------------------------------
FORE Systems, Inc.(a) 66,600 2,647,350
- -----------------------------------------------------------------
Sync Research, Inc.(a) 40,900 541,925
- -----------------------------------------------------------------
3Com Corp.(a) 64,900 4,388,863
- -----------------------------------------------------------------
Xircom, Inc.(a) 69,100 1,399,275
- -----------------------------------------------------------------
23,160,314
- -----------------------------------------------------------------
COMPUTER PERIPHERALS-0.32%
American Power Conversion Corp.(a) 84,500 1,806,188
- -----------------------------------------------------------------
U.S. Robotics Corp.(a) 58,100 3,653,038
- -----------------------------------------------------------------
5,459,226
- -----------------------------------------------------------------
COMPUTER SOFTWARE/SERVICES-6.31%
Affiliated Computer Services,
Inc.(a) 64,200 3,531,000
- -----------------------------------------------------------------
Amisys Managed Care Systems(a) 64,800 988,200
- -----------------------------------------------------------------
ANSYS, Inc.(a) 105,300 1,289,925
- -----------------------------------------------------------------
Applied Microsystems Corp.(a) 60,000 652,500
- -----------------------------------------------------------------
Applix, Inc.(a) 74,500 1,806,625
- -----------------------------------------------------------------
Bell & Howell Co.(a) 68,800 1,840,400
- -----------------------------------------------------------------
BISYS Group, Inc. (The)(a) 81,900 3,050,775
- -----------------------------------------------------------------
Cellular Technical Services Co.(a) 180,000 2,902,500
- -----------------------------------------------------------------
Citrix Systems, Inc.(a) 50,000 2,762,500
- -----------------------------------------------------------------
Clarify, Inc.(a) 5,300 255,725
- -----------------------------------------------------------------
Computer Associates International,
Inc. 45,375 2,682,796
- -----------------------------------------------------------------
Computer Data Systems, Inc. 4,100 110,700
- -----------------------------------------------------------------
Computer Task Group, Inc. 53,700 2,027,175
- -----------------------------------------------------------------
CSG Systems International, Inc.(a) 85,000 1,423,750
- -----------------------------------------------------------------
Dendrite International, Inc.(a) 79,600 2,119,350
- -----------------------------------------------------------------
Documentum, Inc.(a) 40,000 1,490,000
- -----------------------------------------------------------------
DST Systems, Inc.(a) 34,200 1,051,650
- -----------------------------------------------------------------
Electronic Arts, Inc.(a) 77,200 2,895,000
- -----------------------------------------------------------------
Engineering Animation, Inc.(a) 126,800 3,106,600
- -----------------------------------------------------------------
Forte Software, Inc.(a) 32,000 1,208,000
- -----------------------------------------------------------------
GT Interactive Software Corp.(a) 60,900 1,164,712
- -----------------------------------------------------------------
HBO & Co.(a) 36,500 2,194,562
- -----------------------------------------------------------------
HPR, Inc.(a) 150,000 2,100,000
- -----------------------------------------------------------------
Indus Group, Inc.(a) 37,500 759,375
- -----------------------------------------------------------------
Integrated Systems, Inc.(a) 69,900 1,887,300
- -----------------------------------------------------------------
</TABLE>
6
<PAGE> 9
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
COMPUTER SOFTWARE/SERVICES-
(CONTINUED)
Intuit, Inc.(a) 20,000 $ 540,000
- -----------------------------------------------------------------
JDA Software Group, Inc.(a) 50,000 1,718,750
- -----------------------------------------------------------------
McAfee Associates, Inc.(a) 118,125 5,374,687
- -----------------------------------------------------------------
Mechanical Dynamics, Inc.(a) 70,000 1,006,250
- -----------------------------------------------------------------
Medic Computer Systems, Inc.(a) 62,000 1,751,500
- -----------------------------------------------------------------
Microsoft Corp.(a) 21,200 2,909,700
- -----------------------------------------------------------------
National Data Corp. 75,000 3,084,375
- -----------------------------------------------------------------
Network General Corp.(a) 75,800 1,828,675
- -----------------------------------------------------------------
OpenVision Technologies, Inc.(a) 200,000 2,150,000
- -----------------------------------------------------------------
Oracle Systems Corp.(a) 53,200 2,251,025
- -----------------------------------------------------------------
Parametric Technology Co.(a) 30,200 1,476,025
- -----------------------------------------------------------------
Physician Computer Network,
Inc.(a) 170,500 1,523,843
- -----------------------------------------------------------------
Pure Atria Corp.(a) 130,800 3,564,300
- -----------------------------------------------------------------
Renaissance Solutions, Inc.(a) 65,000 2,616,250
- -----------------------------------------------------------------
S3 Inc.(a) 200,000 3,775,000
- -----------------------------------------------------------------
Scopus Technology, Inc.(a) 18,800 723,800
- -----------------------------------------------------------------
Segue Software, Inc.(a) 50,000 668,750
- -----------------------------------------------------------------
Sterling Commerce, Inc.(a) 69,200 1,946,250
- -----------------------------------------------------------------
Structural Dynamics Research
Corp.(a) 60,000 1,065,000
- -----------------------------------------------------------------
Sungard Data Systems Inc.(a) 40,100 1,714,275
- -----------------------------------------------------------------
Sykes Enterprises, Inc.(a) 10,200 474,300
- -----------------------------------------------------------------
Synopsys, Inc.(a) 46,300 2,083,500
- -----------------------------------------------------------------
Systemsoft Corp.(a) 75,000 2,118,750
- -----------------------------------------------------------------
Transition Systems, Inc.(a) 14,700 139,650
- -----------------------------------------------------------------
Vanstar Corp.(a) 95,000 2,256,250
- -----------------------------------------------------------------
Veritas Software Corp.(a) 75,000 3,787,500
- -----------------------------------------------------------------
Viasoft, Inc.(a) 75,000 3,693,750
- -----------------------------------------------------------------
Visio Corp.(a) 53,000 2,444,625
- -----------------------------------------------------------------
Wind River Systems(a) 76,500 3,251,250
- -----------------------------------------------------------------
Xylan Corp.(a) 43,700 1,748,000
- -----------------------------------------------------------------
108,987,150
- -----------------------------------------------------------------
CONSUMER NON-DURABLES-0.24%
Central Garden and Pet Co.(a) 75,000 1,771,875
- -----------------------------------------------------------------
Herbalife International, Inc. 38,000 755,250
- -----------------------------------------------------------------
USA Detergents, Inc.(a) 50,000 1,650,000
- -----------------------------------------------------------------
4,177,125
- -----------------------------------------------------------------
COSMETICS & TOILETRIES-0.62%
Helen Of Troy Ltd.(a) 170,800 3,117,100
- -----------------------------------------------------------------
Nature's Sunshine Products, Inc. 150,000 3,318,750
- -----------------------------------------------------------------
NBTY, Inc.(a) 275,000 4,296,875
- -----------------------------------------------------------------
10,732,725
- -----------------------------------------------------------------
ELECTRONIC COMPONENTS/
MISCELLANEOUS-0.49%
Berg Electronics Corp.(a) 76,400 2,158,300
- -----------------------------------------------------------------
BMC Industries, Inc. 110,000 3,258,750
- -----------------------------------------------------------------
Checkpoint Systems, Inc.(a) 50,000 1,118,750
- -----------------------------------------------------------------
Harman International Industries,
Inc. 1,785 91,704
- -----------------------------------------------------------------
Sawtek Inc.(a) 20,500 620,125
- -----------------------------------------------------------------
Thermo Instrument Systems, Inc.(a) 20,000 605,000
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
ELECTRONIC COMPONENTS/
MISCELLANEOUS-(CONTINUED)
ThermoQuest Corp.(a) 45,000 $ 590,625
- -----------------------------------------------------------------
8,443,254
- -----------------------------------------------------------------
FINANCE (ASSET MANAGEMENT)-0.10%
Imperial Credit Industries,
Inc.(a) 100,000 1,812,500
- -----------------------------------------------------------------
FINANCE (CONSUMER CREDIT)-1.32%
AmeriCredit Corp.(a) 50,000 950,000
- -----------------------------------------------------------------
Amresco, Inc.(a) 70,000 1,478,750
- -----------------------------------------------------------------
Cityscape Financial Corp.(a) 18,400 473,800
- -----------------------------------------------------------------
CMAC Investment Corp. 12,200 843,325
- -----------------------------------------------------------------
Concord EFS, Inc.(a) 92,737 2,689,373
- -----------------------------------------------------------------
Credit Acceptance Corp.(a) 77,400 2,089,800
- -----------------------------------------------------------------
Green Tree Financial Corp. 38,500 1,525,563
- -----------------------------------------------------------------
Money Store, Inc. (The) 69,275 1,783,831
- -----------------------------------------------------------------
Olympic Financial Ltd.(a) 143,500 2,278,063
- -----------------------------------------------------------------
PMT Services, Inc.(a) 100,000 2,000,000
- -----------------------------------------------------------------
RAC Financial Group, Inc.(a) 34,000 2,040,000
- -----------------------------------------------------------------
Student Loan Marketing Association 25,000 2,068,750
- -----------------------------------------------------------------
SunAmerica, Inc. 70,000 2,625,000
- -----------------------------------------------------------------
22,846,255
- -----------------------------------------------------------------
FOOD/PROCESSING-0.20%
Richfood Holdings, Inc. 146,200 3,527,075
- -----------------------------------------------------------------
FUNERAL SERVICES-0.14%
Equity Corp. International(a) 105,000 2,415,000
- -----------------------------------------------------------------
FURNITURE-0.18%
Ethan Allen Interiors, Inc. 86,000 3,074,500
- -----------------------------------------------------------------
GAMING-0.34%
GTECH Holdings Corp.(a) 47,600 1,404,200
- -----------------------------------------------------------------
Primadonna Resorts, Inc.(a) 150,000 2,418,750
- -----------------------------------------------------------------
Trump Hotels & Casino Resorts,
Inc.(a) 132,800 2,108,200
- -----------------------------------------------------------------
5,931,150
- -----------------------------------------------------------------
HOMEBUILDING-0.24%
American Homestar Corp.(a) 50,000 1,062,500
- -----------------------------------------------------------------
Southern Energy Homes, Inc.(a) 202,500 3,012,188
- -----------------------------------------------------------------
4,074,688
- -----------------------------------------------------------------
HOTELS/MOTELS-0.16%
Prime Hospitality Corp.(a) 30,000 457,500
- -----------------------------------------------------------------
Suburban Lodges Of America,
Inc.(a) 20,000 417,500
- -----------------------------------------------------------------
Sun International Hotels Ltd.(a) 33,100 1,563,975
- -----------------------------------------------------------------
Wyndham Hotel Corp.(a) 16,700 317,300
- -----------------------------------------------------------------
2,756,275
- -----------------------------------------------------------------
INSURANCE (LIFE & HEALTH)-0.35%
Compdent Corp.(a) 60,000 2,062,500
- -----------------------------------------------------------------
CRA Managed Care, Inc.(a) 30,300 1,537,725
- -----------------------------------------------------------------
First Commonwealth, Inc.(a) 45,000 945,000
- -----------------------------------------------------------------
United Companies Financial Corp. 50,000 1,493,750
- -----------------------------------------------------------------
6,038,975
- -----------------------------------------------------------------
</TABLE>
7
<PAGE> 10
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
INSURANCE (MULTI-LINE
PROPERTY)-0.27%
CapMAC Holdings, Inc. 70,000 $ 2,336,250
- -----------------------------------------------------------------
HCC Insurance Holdings, Inc. 77,250 1,969,875
- -----------------------------------------------------------------
Vesta Insurance Group, Inc. 12,000 307,500
- -----------------------------------------------------------------
4,613,625
- -----------------------------------------------------------------
LEISURE & RECREATION-0.83%
Callaway Golf Co. 60,000 1,837,500
- -----------------------------------------------------------------
Cannondale Corp.(a) 100,000 1,925,000
- -----------------------------------------------------------------
Lewis Galoob Toys, Inc.(a) 50,000 1,343,750
- -----------------------------------------------------------------
Harley-Davidson, Inc. 34,100 1,538,763
- -----------------------------------------------------------------
Imax Corp.(a) 75,000 2,700,000
- -----------------------------------------------------------------
West Marine, Inc.(a) 70,600 2,488,650
- -----------------------------------------------------------------
WMS Industries, Inc.(a) 100,000 2,450,000
- -----------------------------------------------------------------
14,283,663
- -----------------------------------------------------------------
MACHINE TOOLS-0.14%
Precision Castparts Corp. 50,000 2,337,500
- -----------------------------------------------------------------
MEDICAL (DRUGS)-0.83%
Arbor Drugs, Inc. 110,900 2,509,113
- -----------------------------------------------------------------
Cardinal Health, Inc. 45,000 3,532,500
- -----------------------------------------------------------------
Curative Technologies, Inc.(a) 75,000 1,706,250
- -----------------------------------------------------------------
Dura Pharmaceuticals, Inc.(a) 50,000 1,725,000
- -----------------------------------------------------------------
Express Scripts, Inc.-Class A(a) 40,000 1,165,000
- -----------------------------------------------------------------
Medicis Pharmaceutical Corp.(a) 75,000 3,768,750
- -----------------------------------------------------------------
14,406,613
- -----------------------------------------------------------------
MEDICAL (PATIENT SERVICES)-3.03%
ABR Information Services, Inc.(a) 35,000 2,423,750
- -----------------------------------------------------------------
American HomePatient, Inc.(a) 100,000 2,375,000
- -----------------------------------------------------------------
American Medical Response, Inc.(a) 22,100 663,000
- -----------------------------------------------------------------
Apria Healthcare Group, Inc.(a) 78,019 1,492,113
- -----------------------------------------------------------------
Arbor Health Care Co.(a) 60,100 1,314,688
- -----------------------------------------------------------------
ClinTrials Research Inc.(a) 35,900 1,332,788
- -----------------------------------------------------------------
EmCare Holdings Inc.(a) 61,500 1,537,500
- -----------------------------------------------------------------
Enterprise Systems, Inc.(a) 50,000 806,250
- -----------------------------------------------------------------
Envoy Corp.(a) 50,000 1,837,500
- -----------------------------------------------------------------
FPA Medical Management, Inc.(a) 100,000 1,862,500
- -----------------------------------------------------------------
Genesis Health Ventures, Inc.(a) 50,900 1,164,337
- -----------------------------------------------------------------
Health Care and Retirement
Corp.(a) 115,000 2,831,875
- -----------------------------------------------------------------
HEALTHSOUTH Corp.(a) 69,000 2,587,500
- -----------------------------------------------------------------
Hologic, Inc.(a) 50,000 1,137,500
- -----------------------------------------------------------------
MedPartners, Inc.(a) 38,500 813,312
- -----------------------------------------------------------------
Multicare Co., Inc.(a) 34,350 618,300
- -----------------------------------------------------------------
Myriad Genetics, Inc.(a) 15,000 371,250
- -----------------------------------------------------------------
NCS HealthCare, Inc.-Class A(a) 60,000 1,822,500
- -----------------------------------------------------------------
OccuSystems, Inc.(a) 45,000 1,231,875
- -----------------------------------------------------------------
Orthodontic Centers of America,
Inc.(a) 123,000 1,768,125
- -----------------------------------------------------------------
Oxford Health Plans, Inc.(a) 20,000 910,000
- -----------------------------------------------------------------
Pediatrix Medical Group, Inc.(a) 15,200 598,500
- -----------------------------------------------------------------
PhyCor, Inc.(a) 49,950 1,548,450
- -----------------------------------------------------------------
Physicians Resource Group, Inc.(a) 75,000 2,025,000
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
MEDICAL (PATIENT SERVICES)-(CONTINUED)
Renal Care Group, Inc.(a) 90,400 $ 3,344,800
- -----------------------------------------------------------------
Renal Treatment Centers, Inc.(a) 50,000 1,337,500
- -----------------------------------------------------------------
Rotech Medical Corp.(a) 77,200 1,235,200
- -----------------------------------------------------------------
Sunrise Assisted Living, Inc.(a) 63,200 1,453,600
- -----------------------------------------------------------------
Tenet Healthcare Corp.(a) 80,000 1,670,000
- -----------------------------------------------------------------
Total Renal Care Holdings, Inc.(a) 37,600 1,466,400
- -----------------------------------------------------------------
Universal Health Services,
Inc.-Class B(a) 89,800 2,245,000
- -----------------------------------------------------------------
UroCor, Inc.(a) 57,200 672,100
- -----------------------------------------------------------------
Vencor, Inc.(a) 95,100 2,817,338
- -----------------------------------------------------------------
Veterinary Centers of America,
Inc.(a) 50,000 918,750
- -----------------------------------------------------------------
52,234,301
- -----------------------------------------------------------------
MEDICAL INSTRUMENTS/PRODUCTS-1.81%
Advanced Technology Laboratories,
Inc.(a) 25,000 762,500
- -----------------------------------------------------------------
Capstone Pharmacy Services,
Inc.(a) 150,000 1,753,125
- -----------------------------------------------------------------
Cardiovascular Dynamics, Inc.(a) 80,000 1,040,000
- -----------------------------------------------------------------
Dentsply International, Inc. 37,400 1,575,475
- -----------------------------------------------------------------
Gulf South Medical Supply, Inc.(a) 100,300 2,206,600
- -----------------------------------------------------------------
IDEXX Laboratories, Inc.(a) 29,300 1,150,025
- -----------------------------------------------------------------
IRIDEX Corp.(a) 70,100 560,800
- -----------------------------------------------------------------
Mentor Corp. 100,000 2,212,500
- -----------------------------------------------------------------
Meridian Diagnostics, Inc. 200,000 2,100,000
- -----------------------------------------------------------------
Omnicare, Inc. 61,400 1,673,150
- -----------------------------------------------------------------
Patterson Dental Co.(a) 146,000 4,088,000
- -----------------------------------------------------------------
Physician Sales & Services,
Inc.(a) 50,000 1,062,500
- -----------------------------------------------------------------
Quintiles Transnational Corp.(a) 35,000 2,301,250
- -----------------------------------------------------------------
ResMed, Inc.(a) 40,000 670,000
- -----------------------------------------------------------------
Spine-Tech, Inc.(a) 5,300 133,825
- -----------------------------------------------------------------
St. Jude Medical, Inc.(a) 63,300 2,500,350
- -----------------------------------------------------------------
Steris Corp.(a) 50,000 1,887,500
- -----------------------------------------------------------------
Suburban Ostomy Supply Co.,
Inc.(a) 92,800 1,131,000
- -----------------------------------------------------------------
Sybron International Corp.(a) 32,800 955,300
- -----------------------------------------------------------------
Target Therapeutics, Inc.(a) 40,000 1,480,000
- -----------------------------------------------------------------
31,243,900
- -----------------------------------------------------------------
METALS-0.17%
Oregon Metallurgical Corp.(a) 37,100 1,168,650
- -----------------------------------------------------------------
Rental Service Corp.(a) 41,400 952,200
- -----------------------------------------------------------------
Shaw Group, Inc.(a) 35,000 861,875
- -----------------------------------------------------------------
2,982,725
- -----------------------------------------------------------------
OFFICE PRODUCTS-0.21%
Daisytek International Corp.(a) 44,700 1,709,775
- -----------------------------------------------------------------
Reynolds & Reynolds Co. -- Class A 73,000 1,925,375
- -----------------------------------------------------------------
3,635,150
- -----------------------------------------------------------------
OIL & GAS (DRILLING)-0.22%
Reading & Bates Corp.(a) 90,000
- -----------------------------------------------------------------
Transocean Offshore Inc. 20,000 1,265,000
- -----------------------------------------------------------------
3,852,500
- -----------------------------------------------------------------
OIL & GAS (EXPLORATION & PRODUCTION)-0.22%
Benton Oil & Gas Co.(a) 150,000 3,675,000
- -----------------------------------------------------------------
</TABLE>
8
<PAGE> 11
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
OIL & GAS (SERVICES)-0.74%
Camco International, Inc. 80,000 $ 3,100,000
- -----------------------------------------------------------------
Energy Ventures, Inc.(a) 100,000 4,400,000
- -----------------------------------------------------------------
Global Marine, Inc.(a) 150,000 2,756,250
- -----------------------------------------------------------------
Veritas DGC, Inc.(a) 125,000 2,562,500
- -----------------------------------------------------------------
12,818,750
- -----------------------------------------------------------------
OIL EQUIPMENT & SUPPLIES-0.78%
Diamond Offshore Drilling, Inc.(a) 55,300 3,366,388
- -----------------------------------------------------------------
ENSCO International, Inc.(a) 70,000 3,027,500
- -----------------------------------------------------------------
Marine Drilling Co., Inc.(a) 66,700 925,462
- -----------------------------------------------------------------
Pride Petroleum Services, Inc.(a) 49,100 859,250
- -----------------------------------------------------------------
Rowan Companies, Inc.(a) 150,000 3,356,250
- -----------------------------------------------------------------
Varco International, Inc.(a) 100,000 1,975,000
- -----------------------------------------------------------------
13,509,850
- -----------------------------------------------------------------
POLLUTION CONTROL-0.43%
GTS Duratek, Inc.(a) 50,000 581,250
- -----------------------------------------------------------------
US Filter Corp.(a) 90,150 3,110,175
- -----------------------------------------------------------------
USA Waste Services, Inc.(a) 118,240 3,783,680
- -----------------------------------------------------------------
7,475,105
- -----------------------------------------------------------------
RESTAURANTS-0.84%
Apple South, Inc. 50,800 596,900
- -----------------------------------------------------------------
Brinker International, Inc.(a) 150,000 2,550,000
- -----------------------------------------------------------------
Foodmaker, Inc.(a) 250,000 2,437,500
- -----------------------------------------------------------------
Landry's Seafood Restaurants,
Inc.(a) 72,100 1,478,050
- -----------------------------------------------------------------
Lone Star Steakhouse & Saloon(a) 26,300 673,937
- -----------------------------------------------------------------
Outback Steakhouse, Inc.(a) 25,000 579,688
- -----------------------------------------------------------------
Papa John's International, Inc.(a) 15,000 746,250
- -----------------------------------------------------------------
Showbiz Pizza Time, Inc.(a) 96,600 1,787,100
- -----------------------------------------------------------------
Sonic Corp.(a) 75,500 1,717,625
- -----------------------------------------------------------------
Starbucks Corp.(a) 58,900 1,914,250
- -----------------------------------------------------------------
14,481,300
- -----------------------------------------------------------------
RETAIL (FOOD & DRUGS)-0.17%
Eckerd Corp. (The)(a) 10,400 288,600
- -----------------------------------------------------------------
Kroger Co.(a) 18,000 803,250
- -----------------------------------------------------------------
Quality Food Centers, Inc.(a) 50,000 1,825,000
- -----------------------------------------------------------------
2,916,850
- -----------------------------------------------------------------
RETAIL (STORES)-5.97%
AutoZone, Inc.(a) 34,400 881,500
- -----------------------------------------------------------------
Barnett, Inc.(a) 24,700 583,538
- -----------------------------------------------------------------
Bed Bath & Beyond, Inc.(a) 40,400 1,020,100
- -----------------------------------------------------------------
Blyth Industries, Inc.(a) 108,300 4,210,162
- -----------------------------------------------------------------
Boise Cascade Office Products
Corp.(a) 20,400 387,600
- -----------------------------------------------------------------
CDW Computer Centers, Inc.(a) 40,300 2,536,382
- -----------------------------------------------------------------
Claire's Stores, Inc. 100,350 1,705,950
- -----------------------------------------------------------------
Compucom Systems, Inc.(a) 200,000 1,950,000
- -----------------------------------------------------------------
CompUSA, Inc.(a) 61,200 2,830,500
- -----------------------------------------------------------------
Corporate Express, Inc.(a) 60,400 1,970,550
- -----------------------------------------------------------------
Dayton-Hudson Corp. 75,000 2,596,875
- -----------------------------------------------------------------
Dollar General Corp. 45,250 1,255,688
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
RETAIL (STORES)-(CONTINUED)
Duty Free International, Inc. 19,900 $ 318,400
- -----------------------------------------------------------------
Eagle Hardware & Garden, Inc.(a) 84,000 2,404,500
- -----------------------------------------------------------------
Gadzooks, Inc.(a) 50,050 1,451,450
- -----------------------------------------------------------------
Gap, Inc. (The) 58,400 1,693,600
- -----------------------------------------------------------------
Global DirectMail Corp.(a) 50,200 2,472,350
- -----------------------------------------------------------------
Gymboree Corp.(a) 94,800 2,962,500
- -----------------------------------------------------------------
Inacom Corp.(a) 50,000 1,581,250
- -----------------------------------------------------------------
Jones Apparel Group, Inc.(a) 90,000 2,812,500
- -----------------------------------------------------------------
Just for Feet, Inc.(a) 137,500 3,557,812
- -----------------------------------------------------------------
Loehmann's Holdings, Inc.(a) 159,500 4,286,563
- -----------------------------------------------------------------
Marks Bros. Jewelers, Inc.(a) 152,400 3,543,300
- -----------------------------------------------------------------
Men's Wearhouse, Inc. (The)(a) 19,500 402,187
- -----------------------------------------------------------------
Meyer (Fred), Inc.(a) 41,100 1,443,637
- -----------------------------------------------------------------
Micro Warehouse, Inc.(a) 104,700 2,408,100
- -----------------------------------------------------------------
MSC Industrial Direct Co.,
Inc.-Class A(a) 40,000 1,480,000
- -----------------------------------------------------------------
O'Reilly Automotive, Inc.(a) 86,600 3,063,475
- -----------------------------------------------------------------
Oakley, Inc.(a) 250,000 3,718,750
- -----------------------------------------------------------------
Performance Food Group Co.(a) 87,750 1,349,156
- -----------------------------------------------------------------
Petco Animal Supplies, Inc.(a) 57,000 1,339,500
- -----------------------------------------------------------------
PETsMART, Inc.(a) 92,200 2,489,400
- -----------------------------------------------------------------
Pier 1 Imports, Inc. 265,000 3,710,000
- -----------------------------------------------------------------
Rexall Sundown, Inc.(a) 60,500 1,641,063
- -----------------------------------------------------------------
Ross Stores, Inc. 40,600 1,684,900
- -----------------------------------------------------------------
Sports Authority, Inc. (The)(a) 110,400 2,677,200
- -----------------------------------------------------------------
Staples, Inc.(a) 200,000 3,725,000
- -----------------------------------------------------------------
Sunglass Hut International,
Inc.(a) 50,000 443,750
- -----------------------------------------------------------------
Tech Data Corp.(a) 85,700 2,206,775
- -----------------------------------------------------------------
Tiffany & Co. 42,500 1,572,500
- -----------------------------------------------------------------
TJX Companies, Inc. 64,600 2,584,000
- -----------------------------------------------------------------
Toys "R" Us, Inc.(a) 133,500 4,522,313
- -----------------------------------------------------------------
Viking Office Products, Inc.(a) 150,500 4,383,312
- -----------------------------------------------------------------
Wet Seal, Inc.-Class A(a) 55,000 1,732,500
- -----------------------------------------------------------------
Williams-Sonoma, Inc.(a) 75,000 2,062,500
- -----------------------------------------------------------------
Zale Corp.(a) 175,000 3,390,625
- -----------------------------------------------------------------
103,043,713
- -----------------------------------------------------------------
SCHOOLS-0.04%
Children's Comprehensive Services,
Inc.(a) 50,000 737,500
- -----------------------------------------------------------------
SCIENTIFIC INSTRUMENTS-0.17%
Dynatech Corp.(a) 35,700 1,764,918
- -----------------------------------------------------------------
Input/Output, Inc.(a) 40,000 1,190,000
- -----------------------------------------------------------------
2,954,918
- -----------------------------------------------------------------
SEMICONDUCTORS-1.74%
Actel Corp.(a) 83,300 1,488,987
- -----------------------------------------------------------------
Altera Corp.(a) 76,400 4,736,800
- -----------------------------------------------------------------
Chips & Technologies, Inc.(a) 175,000 3,478,125
- -----------------------------------------------------------------
Computer Products, Inc.(a) 200,000 3,950,000
- -----------------------------------------------------------------
HADCO Corp.(a) 76,700 2,329,762
- -----------------------------------------------------------------
Intel Corp. 43,000 4,724,625
- -----------------------------------------------------------------
Sanmina Corp.(a) 61,000 2,790,750
- -----------------------------------------------------------------
</TABLE>
9
<PAGE> 12
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
SEMICONDUCTORS-(CONTINUED)
Solectron Corp.(a) 25,500 $ 1,364,250
- -----------------------------------------------------------------
Vitesse Semiconductor Corp.(a) 25,000 796,875
- -----------------------------------------------------------------
VLSI Technology, Inc.(a) 250,000 4,312,500
- -----------------------------------------------------------------
29,972,674
- -----------------------------------------------------------------
SHOES & RELATED APPAREL-0.20%
Nine West Group, Inc.(a) 31,500 1,571,062
- -----------------------------------------------------------------
Vans, Inc.(a) 68,200 1,133,825
- -----------------------------------------------------------------
Wolverine World Wide, Inc. 29,250 723,937
- -----------------------------------------------------------------
3,428,824
- -----------------------------------------------------------------
TELECOMMUNICATIONS-1.61%
ACC Corp. 59,550 2,530,875
- -----------------------------------------------------------------
ADC Telecommunications, Inc.(a) 65,000 4,444,375
- -----------------------------------------------------------------
Allen Group, Inc. 41,200 654,050
- -----------------------------------------------------------------
Andrew Corp.(a) 63,550 3,098,062
- -----------------------------------------------------------------
Billing Information Concepts(a) 69,600 1,818,300
- -----------------------------------------------------------------
Brightpoint, Inc.(a) 37,000 925,000
- -----------------------------------------------------------------
Frontier Corp. 46,000 1,334,000
- -----------------------------------------------------------------
LCI International, Inc.(a) 54,400 1,734,000
- -----------------------------------------------------------------
P-COM, Inc.(a) 50,000 1,100,000
- -----------------------------------------------------------------
PairGain Technologies, Inc.(a) 47,600 3,278,450
- -----------------------------------------------------------------
Premiere Technologies, Inc.(a) 16,000 260,000
- -----------------------------------------------------------------
Premisys Communications, Inc.(a) 18,600 930,000
- -----------------------------------------------------------------
Proxim, Inc.(a) 70,000 1,592,500
- -----------------------------------------------------------------
Tellabs, Inc.(a) 7,400 629,925
- -----------------------------------------------------------------
Teltrend, Inc.(a) 65,000 2,145,000
- -----------------------------------------------------------------
TESSCO Technologies, Inc.(a) 19,900 786,050
- -----------------------------------------------------------------
U.S. Long Distance Corp.(a) 64,200 537,675
- -----------------------------------------------------------------
27,798,262
- -----------------------------------------------------------------
TEXTILES-1.08%
Designer Holdings Ltd.(a) 200,000 3,825,000
- -----------------------------------------------------------------
Liz Claiborne, Inc. 69,000 2,915,250
- -----------------------------------------------------------------
Mohawk Industries, Inc.(a) 75,000 1,818,750
- -----------------------------------------------------------------
Nautica Enterprises, Inc.(a) 95,000 2,921,250
- -----------------------------------------------------------------
Springs Industries Inc.-Class A 31,700 1,430,463
- -----------------------------------------------------------------
St. John Knits, Inc. 50,000 2,287,500
- -----------------------------------------------------------------
Tommy Hilfiger Corp.(a) 41,700 2,168,400
- -----------------------------------------------------------------
WestPoint Stevens, Inc.(a) 50,000 1,331,250
- -----------------------------------------------------------------
18,697,863
- -----------------------------------------------------------------
TRANSPORTATION-0.21%
Hub Group, Inc.(a) 100,000 2,225,000
- -----------------------------------------------------------------
Rural/Metro Corp.(a) 25,000 912,500
- -----------------------------------------------------------------
Trico Marine Services, Inc.(a) 11,700 412,425
- -----------------------------------------------------------------
3,549,925
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
TRUCKING-0.06%
USFreightways Corp. 50,000 $ 1,093,750
- -----------------------------------------------------------------
Total Domestic Common Stocks 658,020,109
- -----------------------------------------------------------------
FOREIGN STOCKS & OTHER EQUITY
INTERESTS-58.63%
ARGENTINA-1.62%
Banco de Galicia y Buenos Aires
S.A. de C.V.-ADR (Banking) 354,039 6,416,957
- -----------------------------------------------------------------
Perez Companc S.A.-Class B
(Oil & Gas-Services) 1,679,000 10,662,716
- -----------------------------------------------------------------
YPF Sociedad Anonima-ADR
(Oil & Gas-Services) 479,600 10,910,900
- -----------------------------------------------------------------
27,990,573
- -----------------------------------------------------------------
AUSTRALIA-0.41%
QBE Insurance Group, Ltd.
(Insurance-Multi-Line Property) 1,343,928 7,115,920
- -----------------------------------------------------------------
AUSTRIA-0.24%
VA Technologie A.G.
(Engineering & Construction) 30,000 4,195,410
- -----------------------------------------------------------------
BELGIUM-0.82%
Barco Industries(a)
(Electronic
Components/Miscellaneous) 41,000 6,743,508
- -----------------------------------------------------------------
Colruyt S.A. (Retail-Food & Drug) 8,800 3,794,806
- -----------------------------------------------------------------
UCB S.A. (Medical-Drugs) 1,650 3,636,983
- -----------------------------------------------------------------
14,175,297
- -----------------------------------------------------------------
BRAZIL-1.92%
Banco Bradesco S. A. (Banking) 925,000 7,886,899
- -----------------------------------------------------------------
Brasmotor S. A. (Furniture) 22,830 7,755,178
- -----------------------------------------------------------------
Companhia Brasileira a
Distribuicao Grupo Pao de Acucar
(Retail-Food & Drug) 218,300 4,260,186
- -----------------------------------------------------------------
Companhia Cervejaria Brahma
(Beverages-Alcoholic) 5,020 3,102,686
- -----------------------------------------------------------------
Telecomunicacoes Brasileiras
S/A-Telebras-ADR
(Telecommunications) 136,700 10,184,150
- -----------------------------------------------------------------
33,189,099
- -----------------------------------------------------------------
CANADA-2.50%
Agrium, Inc. (Chemicals) 138,800 1,856,450
- -----------------------------------------------------------------
Biovail Corp. International
(Medical-Drugs)(a) 45,000 1,316,250
- -----------------------------------------------------------------
Canadian Natural Resources Ltd.(a)
(Oil & Gas-Exploration &
Production) 345,000 8,572,228
- -----------------------------------------------------------------
CanWest Global Communications
Corp. (Electronic
Components/Miscellaneous) 355,998 3,918,050
- -----------------------------------------------------------------
Cognos, Inc. (Computer
Software/Services)(a) 300,000 9,412,500
- -----------------------------------------------------------------
Extendicare, Inc.-Class A(a)
(Insurance-Life & Health) 350,000 4,374,347
- -----------------------------------------------------------------
Intertape Polymer Group, Inc.
(Containers) 102,000 2,351,739
- -----------------------------------------------------------------
Leitch Technology Corp.(a)
(Electronic
Components/Miscellaneous) 131,400 2,647,217
- -----------------------------------------------------------------
Newbridge Networks Corp.(a)
(Computer Networking) 67,600 2,137,850
- -----------------------------------------------------------------
Potash Corp. of Saskatchewan Inc.
(Metals-Miscellaneous) 35,000 2,480,625
- -----------------------------------------------------------------
</TABLE>
10
<PAGE> 13
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
CANADA-(CONTINUED)
Suncor, Inc.
(Oil & Gas-Exploration &
Production) 105,000 $ 4,054,432
- -----------------------------------------------------------------
43,121,688
- -----------------------------------------------------------------
CHILE-0.78%
Cia. de Telecomunicaciones de
Chile S.A.-ADR (Telephone) 67,600 6,667,050
- -----------------------------------------------------------------
Santa Isabel S.A.-ADR
(Retail-Stores) 243,300 6,842,813
- -----------------------------------------------------------------
13,509,863
- -----------------------------------------------------------------
DENMARK-0.69%
Coloplast A/S-Class B
(Medical Instruments/Products) 25,000 2,860,313
- -----------------------------------------------------------------
Falck A/S (Security & Safety
Services) 20,000 5,402,336
- -----------------------------------------------------------------
Kobenhavns Lufthavne
(Transportation) 35,000 3,643,137
- -----------------------------------------------------------------
11,905,786
- -----------------------------------------------------------------
FINLAND-1.20%
Hartwall Oy A.B.
(Beverages-Alcoholic) 50,000 1,708,931
- -----------------------------------------------------------------
Huhtamaki Group (Conglomerates) 100,000 4,348,401
- -----------------------------------------------------------------
Orion-yhtymae Oy-Class B
(Medical-Drugs) 120,000 4,061,742
- -----------------------------------------------------------------
Raision Tehtaat Oy
(Food/Processing) 44,500 2,747,519
- -----------------------------------------------------------------
Tamro A.B. Oy (Medical-Drugs) 400,000 2,910,695
- -----------------------------------------------------------------
Tietotehdas Oy-Class B
(Computer Software/Services) 74,000 4,955,634
- -----------------------------------------------------------------
20,732,922
- -----------------------------------------------------------------
FRANCE-2.27%
BERTRAND FAURE
(Automobile/Trucks Parts &
Tires) 110,000 3,765,281
- -----------------------------------------------------------------
Christian Dalloz(a) (Textiles) 3,800 1,241,271
- -----------------------------------------------------------------
Cipe France S.A. (Security &
Safety Services) 16,000 1,962,249
- -----------------------------------------------------------------
Dassault Systemes S.A.-ADR(a)
(Computer Software/Services) 46,300 2,008,263
- -----------------------------------------------------------------
Grand Optical Photoservice
(Retail-Stores) 13,200 1,918,357
- -----------------------------------------------------------------
Guilbert S.A. (Office Products) 28,000 4,452,616
- -----------------------------------------------------------------
Mecatherm
(Machinery-Miscellaneous) 3,000 592,078
- -----------------------------------------------------------------
Pathe S.A.(a)
(Advertising/Broadcasting) 14,500 3,911,100
- -----------------------------------------------------------------
Penauille Polyservices
(Security & Safety Services) 5,300 953,741
- -----------------------------------------------------------------
Primagaz Cie (Gas Distribution) 17,765 1,834,703
- -----------------------------------------------------------------
Salomon S.A. (Leisure &
Recreation) 81,840 7,331,583
- -----------------------------------------------------------------
Scor S.A. (Insurance Multi-Line
Property) 130,000 4,996,577
- -----------------------------------------------------------------
Strafor Facom S.A. (Office
Products) 40,000 3,035,697
- -----------------------------------------------------------------
Sylea (Automobile/Trucks Parts &
Tires) 10,000 1,155,990
- -----------------------------------------------------------------
39,159,506
- -----------------------------------------------------------------
GERMANY-1.46%
Continental A.G.
(Automoblie/Trucks Parts &
Tires) 185,000 3,237,256
- -----------------------------------------------------------------
Fresenius A.G.-Preferred
(Medical Instruments/Products) 26,000 5,622,689
- -----------------------------------------------------------------
Hugo Boss A.G.-Preferred
(Textiles) 1,750 2,112,388
- -----------------------------------------------------------------
Porsche A.G.(a)
(Automobile/Trucks Parts &
Tires) 6,300 4,264,065
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
GERMANY-(CONTINUED)
Puma A.G. Rudolf Dassler Sport
Designs(a)
(Shoes & Related Apparel) 105,000 $ 3,102,714
- -----------------------------------------------------------------
SGL Carbon A.G. (Metals) 27,500 3,096,111
- -----------------------------------------------------------------
SKW Trostberg A.G. (Chemicals) 132,000 3,852,615
- -----------------------------------------------------------------
25,287,838
- -----------------------------------------------------------------
HONG KONG-6.58%
Asia Satellite Telecommunications
Holdings(a) Ltd.-ADR
(Telecommunications) 177,300 4,742,775
- -----------------------------------------------------------------
CDL Hotels International Ltd.
(Hotels/Motels) 6,559,000 3,393,083
- -----------------------------------------------------------------
China Hong Kong Photo Products
Holdings, Ltd. (Chemicals) 1,240,000 469,077
- -----------------------------------------------------------------
China Resource Enterprise Ltd.
(Real Estate) 7,664,000 8,623,264
- -----------------------------------------------------------------
Citic Pacific Ltd. (Banking) 1,648,000 8,013,864
- -----------------------------------------------------------------
Cosco Pacific Ltd.
(Transportation) 15,518,000 14,851,297
- -----------------------------------------------------------------
Esprit Asia Holdings Ltd.
(Retail-Stores) 7,220,000 3,128,088
- -----------------------------------------------------------------
First Pacific Co. Ltd.
(Conglomerates) 6,200,033 8,539,659
- -----------------------------------------------------------------
Goldlion Holdings Ltd.
(Retail-Stores) 3,738,000 3,045,627
- -----------------------------------------------------------------
Hang Seng Bank Ltd. (Banking) 1,213,400 14,398,160
- -----------------------------------------------------------------
Hong Kong & China Gas Company Ltd.
(Electric Power) 3,450,000 6,068,131
- -----------------------------------------------------------------
Hong Kong & China Gas Company
Ltd.,(a)
Expiring 1997-Warrants (Electric
Power) 211,000 77,772
- -----------------------------------------------------------------
JCG Holdings Ltd.
(Finance-Asset Management) 3,750,000 3,491,891
- -----------------------------------------------------------------
Manhattan Card Company Ltd.
(Finance-Asset Management) 6,330,000 3,131,353
- -----------------------------------------------------------------
National Mutual Asia Ltd.
(Insurance-Multi-Line Property) 2,644,000 2,222,653
- -----------------------------------------------------------------
New World Infrastructure(a)
(Building Materials) 4,281,000 10,657,930
- -----------------------------------------------------------------
Shanghai Industrial Holdings
Limited(a) (Conglomerates) 2,072,000 4,702,879
- -----------------------------------------------------------------
Sun Hung Kai Properties Ltd. (Real
Estate) 966,000 10,994,025
- -----------------------------------------------------------------
Varitronix International Ltd.
(Electronic
Components/Miscellaneous) 1,711,000 3,120,082
- -----------------------------------------------------------------
113,671,610
- -----------------------------------------------------------------
HUNGARY-0.16%
Gedeon Richter Rt (Medical-Drugs) 50,000 2,687,500
- -----------------------------------------------------------------
INDONESIA-1.62%
PT Bank International Indonesia
(Banking) 6,734,051 10,841,322
- -----------------------------------------------------------------
PT Hanjaya Mandala Sampoerna
(Tobacco) 1,290,000 11,990,083
- -----------------------------------------------------------------
PT Indosat (Telecommunications) 808,000 2,445,542
- -----------------------------------------------------------------
PT Indosat-ADR
(Telecommunications) 87,500 2,635,938
- -----------------------------------------------------------------
27,912,885
- -----------------------------------------------------------------
IRELAND-0.67%
CBT Group PLC-ADR(a)
(Computer Software/Services) 7,600 418,000
- -----------------------------------------------------------------
Elan Corp. PLC-ADR(a)
(Medical-Drugs) 200,000 5,550,000
- -----------------------------------------------------------------
Greencore Group PLC
(Food/Processing) 212,000 1,235,890
- -----------------------------------------------------------------
Saville Systems Ireland PLC-ADR(a)
(Computer Software/Services) 100,000 4,312,500
- -----------------------------------------------------------------
11,516,390
- -----------------------------------------------------------------
</TABLE>
11
<PAGE> 14
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
ISRAEL-1.46%
Blue Square-Israel Ltd.-ADR(a)
(Retail-Stores) 550,000 $ 8,662,500
- -----------------------------------------------------------------
Koor Industries Ltd.-ADR
(Telecommunications) 115,000 1,998,125
- -----------------------------------------------------------------
Tadiran Ltd.(a)
(Telecommunications) 130,000 2,990,000
- -----------------------------------------------------------------
Tadiran Ltd.-ADR
(Telecommunications) 106,000 2,782,500
- -----------------------------------------------------------------
Tecnomatix Technologies
Ltd.-ADR(a)
(Computer Software/Services) 27,500 477,813
- -----------------------------------------------------------------
Teva Pharmaceutical Industries
Ltd.-ADR (Medical-Drugs) 198,500 8,312,188
- -----------------------------------------------------------------
25,223,126
- -----------------------------------------------------------------
ITALY-1.15%
Bulgari S.p.A. (Retail-Stores) 263,000 4,582,303
- -----------------------------------------------------------------
Fila Holding S.p.A.-ADR
(Retail-Stores) 50,000 3,600,000
- -----------------------------------------------------------------
Parmalat Finanziaria S.p.A.
(Food/Processing) 4,550,000 6,505,570
- -----------------------------------------------------------------
Saipem S.p.A.(Oil &
Gas-Integrated) 1,000,000 5,091,628
- -----------------------------------------------------------------
19,779,501
- -----------------------------------------------------------------
JAPAN-4.95%
Aderans Co. Ltd. (Retail-Stores) 394,000 9,551,096
- -----------------------------------------------------------------
Capcom Co., Ltd.
(Computer Software/Services) 201,000 4,131,044
- -----------------------------------------------------------------
Circle K Japan Co., Ltd.
(Retail-Food & Drug) 127,000 5,298,406
- -----------------------------------------------------------------
CKD Corp. (Machinery-Heavy) 550,000 4,342,804
- -----------------------------------------------------------------
FCC Co., Ltd.
(Automobile/Trucks Parts &
Tires) 130,100 3,827,983
- -----------------------------------------------------------------
Fujitsu Denso (Electric Power) 230,000 7,575,425
- -----------------------------------------------------------------
Hokuto Corp.
(Advertising/Broadcasting) 142,500 6,207,896
- -----------------------------------------------------------------
Laox (Electronic
Components/Miscellaneous) 253,000 4,244,258
- -----------------------------------------------------------------
Nippon Thompson (Machine Tools) 710,000 5,063,634
- -----------------------------------------------------------------
Nomura Securities Co., Ltd.
(Finance-Asset Management) 501,000 8,272,627
- -----------------------------------------------------------------
Noritsu Koki Co. Ltd.
(Electronic
Components/Miscellaneous) 192,000 10,033,815
- -----------------------------------------------------------------
77 Bank (Banking) 770,000 7,236,397
- -----------------------------------------------------------------
Shohkoh Fund (Finance-Consumer
Credit) 20,600 4,324,272
- -----------------------------------------------------------------
Yamato Kogyo Co., Ltd. (Building
Materials) 537,000 5,329,674
- -----------------------------------------------------------------
85,439,331
- -----------------------------------------------------------------
MALAYSIA-3.68%
Arab Malaysian Finance Berhad
(Finance-Asset Management) 655,000 3,525,826
- -----------------------------------------------------------------
Commerce Asset Holdings Berhad
(Finance-Asset Management) 574,000 3,748,664
- -----------------------------------------------------------------
Gamuda Berhad (Engineering &
Construction) 980,000 8,029,290
- -----------------------------------------------------------------
Malayan Banking Berhad (Banking) 1,112,000 11,003,364
- -----------------------------------------------------------------
Sungei Way Holdings Berhad
(Building Materials) 2,269,000 12,932,357
- -----------------------------------------------------------------
Tan Chong Motor Holdings Berhad
(Automobile-Manufacturers) 4,840,000 8,237,483
- -----------------------------------------------------------------
UMW Holdings Berhad
(Finance-Asset Management) 2,125,000 9,756,580
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
MALAYSIA-(CONTINUED)
YTL Corp. Berhad
(Engineering & Construction) 1,180,000 $ 6,351,870
- -----------------------------------------------------------------
63,585,434
- -----------------------------------------------------------------
MEXICO-1.53%
Grupo Industrial Maseca S.A. de
CV-Class B (Food/Processing) 8,547,000 10,399,958
- -----------------------------------------------------------------
Grupo Televisa S.A.-GDR(a)
(Advertising/Broadcasting) 257,000 6,746,250
- -----------------------------------------------------------------
Panamerican Beverages, Inc.-ADR
(Beverages-Soft Drinks) 213,000 9,292,125
- -----------------------------------------------------------------
26,438,333
- -----------------------------------------------------------------
NETHERLANDS-3.46%
Aalberts Industries N.V.
(Metals-Miscellaneous) 23,000 2,697,589
- -----------------------------------------------------------------
Ahrend Groep N.V. (Furniture) 105,000 5,582,012
- -----------------------------------------------------------------
Baan Co. N.V.-ADR(a)
(Computer Software/Services) 100,000 3,700,000
- -----------------------------------------------------------------
Cap Gemini N.V.
(Computer Software/Services) 160,000 4,366,122
- -----------------------------------------------------------------
Ceteco Holding N.V. (Furniture) 15,000 850,474
- -----------------------------------------------------------------
CMG PLC (Computer
Software/Services) 340,000 4,188,130
- -----------------------------------------------------------------
Getronics N.V. (Computer
Software/Services) 300,000 7,373,136
- -----------------------------------------------------------------
IHC Caland N.V. (Trucking) 114,000 6,362,822
- -----------------------------------------------------------------
International-Muller N.V.
(Conglomerates) 288,000 6,942,418
- -----------------------------------------------------------------
Koninklijke Van Ommeren N.V.
(Transportation) 122,000 5,069,252
- -----------------------------------------------------------------
Oce-Van Der Grinten N.V.-V (Office
Automation) 67,000 7,147,404
- -----------------------------------------------------------------
Ordina Beheer N.V.(a)
(Computer Software/Services) 40,768 1,782,864
- -----------------------------------------------------------------
Randstad Holdings N.V. (Business
Services) 46,400 3,752,036
- -----------------------------------------------------------------
59,814,259
- -----------------------------------------------------------------
NORWAY-0.86%
Mercantildata ASA (Computer
Software/Services) 50,000 767,929
- -----------------------------------------------------------------
Smedvig A.S.-Class A (Oil & Gas
Services) 160,000 3,598,295
- -----------------------------------------------------------------
Smedvig A.S.-Class B(a) (Oil & Gas
Services) 40,000 865,095
- -----------------------------------------------------------------
Tandberg A.S.(a)
(Telecommunications) 110,000 2,758,275
- -----------------------------------------------------------------
Tomra Systems A.S.
(Machinery-Miscellaneous) 486,000 6,893,023
- -----------------------------------------------------------------
14,882,617
- -----------------------------------------------------------------
PANAMA-0.35%
Banco Latinoamericano de
Exportaciones, S.A. (Banking) 116,000 6,061,000
- -----------------------------------------------------------------
PERU-0.13%
CPT Telefonica del Peru S.A.-Class
B (Telephone) 1,026,000 2,170,882
- -----------------------------------------------------------------
PHILIPPINES-2.54%
C & P Homes, Inc. (Homebuilding) 10,831,500 4,945,890
- -----------------------------------------------------------------
DMCI Holdings Inc.(a)
(Engineering & Construction) 7,820,000 5,653,729
- -----------------------------------------------------------------
Filinvest Land Inc.(a) (Real
Estate) 21,498,175 7,280,584
- -----------------------------------------------------------------
</TABLE>
12
<PAGE> 15
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
PHILIPPINES-(CONTINUED)
Ionics Circuit Inc.(a) (Electronic
Components/Miscellaneous) 4,832,000 $ 3,125,723
- -----------------------------------------------------------------
Marsman & Co., Inc.-Class B(b)
(Medical-Drugs) 6,616,000 2,039,178
- -----------------------------------------------------------------
Metro Pacific Corp.
(Conglomerates) 27,254,000 6,637,199
- -----------------------------------------------------------------
Metropolitan Bank & Trust Co.
(Banking) 313,125 6,910,674
- -----------------------------------------------------------------
Republic Glass Holdings Corp.
(Automobile/Trucks Parts &
Tires) 10,186,100 1,976,755
- -----------------------------------------------------------------
Southeast Asia Cement Holdings,
Inc.(a)
(Building Materials) 26,948,380 2,563,583
- -----------------------------------------------------------------
SM Prime Holdings (Real Estate) 12,448,200 2,652,584
- -----------------------------------------------------------------
43,785,899
- -----------------------------------------------------------------
PORTUGAL-0.82%
Cimpor Cimentos de Portugal S.A.
(Building Materials) 102,000 2,143,966
- -----------------------------------------------------------------
Estabelecimentos Jeronimo Martins
& Filho (Retail-Stores) 56,000 5,107,873
- -----------------------------------------------------------------
Portugal Telecom S.A.
(Telecommunications) 265,000 6,891,212
- -----------------------------------------------------------------
14,143,051
- -----------------------------------------------------------------
SINGAPORE-1.91%
Cerebos Pacific Ltd.
(Food/Processing) 182,000 1,408,449
- -----------------------------------------------------------------
City Developments Ltd. (Real
Estate) 789,000 6,217,891
- -----------------------------------------------------------------
DBS Land Ltd. (Real Estate) 3,030,000 9,551,438
- -----------------------------------------------------------------
Overseas Union Bank Ltd. (Banking) 1,030,000 7,020,234
- -----------------------------------------------------------------
Wing Tai Holdings Ltd. (Real
Estate) 3,600,000 8,843,450
- -----------------------------------------------------------------
33,041,462
- -----------------------------------------------------------------
SOUTH AFRICA-0.65%
De Beers Centenary A.G.
(Gold & Silver Mining) 200,000 5,903,037
- -----------------------------------------------------------------
Sasol Limited
(Oil & Gas-Exploration &
Production) 438,850 5,354,110
- -----------------------------------------------------------------
11,257,147
- -----------------------------------------------------------------
SPAIN-0.52%
Mapfre Vida (Insurance-Life &
Health) 54,000 3,470,355
- -----------------------------------------------------------------
Prosegur, CIA de Seguridad S.A.(a)
(Business Services) 400,000 3,228,967
- -----------------------------------------------------------------
Vidrala S.A. (Containers) 40,000 2,288,491
- -----------------------------------------------------------------
8,987,813
- -----------------------------------------------------------------
SWEDEN-1.78%
Allgon A.B. (Electronic
Components/Miscellaneous) 134,000 2,720,471
- -----------------------------------------------------------------
Assa Abloy A.B.
(Machinery-Miscellaneous) 115,500 1,774,032
- -----------------------------------------------------------------
Autoliv A.B.
(Automobiles/Trucks Parts &
Tires) 219,000 9,291,939
- -----------------------------------------------------------------
BT Industries A.B.
(Machinery-Miscellaneous) 72,000 1,237,283
- -----------------------------------------------------------------
Esselte A.B.-B Shares (Office
Products) 200,000 4,471,007
- -----------------------------------------------------------------
Frontec A.B.-B Shares(a)
(Computer Software/Services) 120,000 1,715,406
- -----------------------------------------------------------------
Securitas A.B. (Security & Safety
Services) 126,300 3,265,204
- -----------------------------------------------------------------
Telefonaktiebolaget L.M.
Ericsson-ADR
(Telecommunications) 73,760 2,037,620
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
SWEDEN-(CONTINUED)
WM-Data A.B.-Class B
(Computer Software/Services) 60,000 $ 4,288,516
- -----------------------------------------------------------------
30,801,478
- -----------------------------------------------------------------
SWITZERLAND-0.99%
Danzas Holding A.G.
(Transportation) 1,500 1,691,060
- -----------------------------------------------------------------
Disetronic Holding A.G.(a)
(Medical-Drugs) 2,000 4,351,266
- -----------------------------------------------------------------
Kouni Reisen A.G. (Leisure &
Recreation) 1,600 3,601,266
- -----------------------------------------------------------------
Saurer A.G.(a)
(Machinery-Miscellaneous) 9,500 3,990,902
- -----------------------------------------------------------------
Stratec Holding A.G.(a)
(Medical Instruments/Products) 2,600 3,383,703
- -----------------------------------------------------------------
17,018,197
- -----------------------------------------------------------------
THAILAND-1.01%
Bank of Ayudhya Ltd. (Banking) 87,475 250,468
- -----------------------------------------------------------------
Hana Microelectronics Public Co.,
Ltd.
(Electronic
Components/Miscellaneous) 646,000 3,217,964
- -----------------------------------------------------------------
Krung Thai Bank PLC (Banking) 1,687,670 4,567,532
- -----------------------------------------------------------------
Siam Commercial Bank Public Co.
Ltd. (Banking) 377,100 3,431,543
- -----------------------------------------------------------------
Thai Theparos Food Product Public
Co. Ltd. (Food/Processing) 215,500 807,227
- -----------------------------------------------------------------
Total Access Communication Public
Co. Ltd. (Telecommunications) 736,000 5,078,400
- -----------------------------------------------------------------
17,353,134
- -----------------------------------------------------------------
UNITED KINGDOM-7.90%
Aegis Group PLC
(Advertising/Broadcasting) 6,000,000 6,127,930
- -----------------------------------------------------------------
Airtours PLC (Leisure &
Recreation) 815,000 8,648,763
- -----------------------------------------------------------------
Alexon Group PLC(a)
(Retail-Stores) 555,000 1,508,545
- -----------------------------------------------------------------
Astec BSR PLC
(Electronic
Components/Miscellaneous) 1,300,000 3,247,884
- -----------------------------------------------------------------
Body Shop International PLC
(Retail-Food & Drug) 700,000 2,255,859
- -----------------------------------------------------------------
British Vita PLC (Chemicals) 1,050,000 3,913,574
- -----------------------------------------------------------------
Capital Radio PLC
(Advertising/Broadcasting) 250,000 2,360,026
- -----------------------------------------------------------------
Caradon PLC (Building Materials) 1,000,000 3,930,664
- -----------------------------------------------------------------
Carpetright PLC (Retail-Stores) 302,000 3,072,103
- -----------------------------------------------------------------
Charles Baynes PLC
(Machinery-Heavy) 345,000 749,634
- -----------------------------------------------------------------
Compass Group PLC (Restaurants) 335,000 3,320,557
- -----------------------------------------------------------------
Corporate Services Group PLC
(Business Services) 500,000 1,432,292
- -----------------------------------------------------------------
Danka Business Systems PLC-ADR
(Office Automation) 99,700 3,950,613
- -----------------------------------------------------------------
Dewhirst Group PLC (Textiles) 404,000 1,236,198
- -----------------------------------------------------------------
D.F.S. Furniture Co. PLC
(Retail-Stores) 660,000 5,859,863
- -----------------------------------------------------------------
Eurotherm PLC (Electronic
Components/Miscellaneous) 150,000 1,484,375
- -----------------------------------------------------------------
FKI PLC (Conglomerates) 1,125,000 3,845,215
- -----------------------------------------------------------------
Games Workshop Group PLC
(Leisure & Recreation) 165,000 1,407,227
- -----------------------------------------------------------------
Goode Durrant PLC (Business
Services) 214,000 1,221,688
- -----------------------------------------------------------------
Hogg Robinson PLC (Conglomerates) 800,000 3,483,073
- -----------------------------------------------------------------
Holliday Chemical Holdings PLC
(Chemicals) 675,000 1,378,784
- -----------------------------------------------------------------
</TABLE>
13
<PAGE> 16
<TABLE>
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
UNITED KINGDOM-(CONTINUED)
JBA Holdings PLC
(Computer Software/Services) 150,000 $ 1,257,324
- -----------------------------------------------------------------
Laura Ashley Holdings PLC
(Retail-Stores) 721,000 2,335,270
- -----------------------------------------------------------------
Logica PLC (Computer
Software/Services) 300,000 3,906,250
- -----------------------------------------------------------------
London Forfaiting Co. PLC
(Finance-Asset Management) 340,000 1,596,517
- -----------------------------------------------------------------
London International Group PLC
(Cosmetics & Toiletries) 2,000,000 5,078,125
- -----------------------------------------------------------------
Medeva PLC (Medical-Drugs) 325,000 1,396,484
- -----------------------------------------------------------------
MFI Furniture Group PLC
(Retail-Stores) 1,320,000 4,296,875
- -----------------------------------------------------------------
Michael Page Group PLC
(Miscellaneous) 230,000 1,576,009
- -----------------------------------------------------------------
Misys PLC (Computer
Software/Services) 500,000 7,385,254
- -----------------------------------------------------------------
Oxford Instruments PLC (Electronic
Components/Miscellaneous) 108,000 861,328
- -----------------------------------------------------------------
P & P PLC (MINI/PCs) 471,000 1,096,240
- -----------------------------------------------------------------
Parity PLC (Computer
Software/Services) 350,000 1,891,276
- -----------------------------------------------------------------
PizzaExpress PLC (Restaurants) 200,000 1,669,922
- -----------------------------------------------------------------
Powerscreen International PLC
(Machinery-Heavy) 515,000 5,096,354
- -----------------------------------------------------------------
Provident Financial PLC
(Finance-Consumer Credit) 1,000,000 7,495,117
- -----------------------------------------------------------------
Psion PLC (Computer
Software/Services) 210,000 1,449,219
- -----------------------------------------------------------------
Sage Group PLC (The)
(Computer Software/Services) 300,000 2,338,867
- -----------------------------------------------------------------
Scholl PLC (Cosmetics &
Toiletries) 200,000 883,789
- -----------------------------------------------------------------
SEMA Group PLC
(Computer Software/Services) 500,000 7,250,977
- -----------------------------------------------------------------
Spirax Sarco Engineering PLC
(Machinery-Miscellaneous) 130,000 1,544,596
- -----------------------------------------------------------------
St. Ives Group PLC (Containers) 201,000 1,586,670
- -----------------------------------------------------------------
Stagecoach Holdings PLC
(Transportation) 390,000 3,605,469
- -----------------------------------------------------------------
Taylor Woodrow PLC
(Engineering & Construction) 1,450,000 3,658,040
- -----------------------------------------------------------------
<CAPTION>
MARKET
SHARES VALUE
<S> <C> <C>
UNITED KINGDOM-(CONTINUED)
TBI PLC (Real Estate) 500,000 $ 630,697
- -----------------------------------------------------------------
Wetherspoon (J.D.) PLC
(Restaurants) 105,000 2,026,855
- -----------------------------------------------------------------
136,348,391
- -----------------------------------------------------------------
Total Foreign Stocks & Other
Equity Interests 1,012,303,342
- -----------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
DOMESTIC CONVERTIBLE
CORPORATE BONDS-0.29%
Cityscape Financial Corp.,
Conv. Deb., 6.00%, 05/01/06
(Finance-Consumer Credit)
(Acquired 08/06/96; cost
$718,588)(c) $ 520,000 $ 549,095
- -----------------------------------------------------------------
Eagle Hardware & Garden, Inc.,
Conv. Deb., 6.25%, 03/15/01
(Building Materials) 335,000 542,700
- -----------------------------------------------------------------
RAC Financial Group, Inc.,
Conv. Deb., 7.25%, 08/15/03
(Finance-Consumer Credit)
(Acquired 09/06/96 - 09/30/96;
cost $2,643,049)(b) 2,154,000 3,834,120
- -----------------------------------------------------------------
Total Domestic Convertible
Corporate Bonds 4,925,915
- -----------------------------------------------------------------
REPURCHASE AGREEMENTS-3.16%(d)
Daiwa Securities America, Inc.,
5.53%, 11/01/96(e) 631,659 631,659
- -----------------------------------------------------------------
Dresdner Securities, Inc.,
5.54%, 11/01/96(f) 54,000,000 54,000,000
- -----------------------------------------------------------------
Total Repurchase Agreements 54,631,659
- -----------------------------------------------------------------
TOTAL INVESTMENTS-100.19% 1,729,881,025
- -----------------------------------------------------------------
OTHER ASSETS LESS
LIABILITIES-(0.19)% (3,347,049)
- -----------------------------------------------------------------
NET ASSETS-100.00% $ 1,726,533,976
=================================================================
</TABLE>
Abbreviations:
ADR - American Depository Receipts
Conv. - Convertible
Deb. - Debentures
GDR - Global Depositary Receipt
NOTES TO SCHEDULE OF INVESTMENTS:
(a) Non-income producing security.
(b) Affiliated issuers are those in which the Fund's holdings of an issuer
represent 5% or more of the outstanding voting securities of the issuer. The
Fund has never owned enough of the outstanding voting securities of any
issuer to have control (as defined in the Investment Company Act of 1940) of
that issuer. The market value of this security as of October 31, 1996 was
$2,039,178 which represented 0.12% of the Fund's net assets.
(c) Restricted security. May be resold to qualified institutional buyers in
accordance with the provisions of Rule 144A under the securities Act of
1933, as ammended. The valuation of these securities has been determined in
accordance with procedures established by the Board of Directors. The
aggregate market value of these securities at October 31, 1996 was
$4,383,215, which represented 0.25% of net assets.
(d) Collateral on repurchase agreements, including the Fund's pro-rata interest
in joint repurchase agreements, is taken into possession by the Fund upon
entering into the repurchase agreement. The collateral is marked to market
daily to ensure its market value as being 102% of the sales price of the
repurchase agreement. The investments in some repurchase agreements are
through participation in joint accounts with other mutual funds, private
accounts and certain non-registered investment companies managed by the
investment advisor or its affiliates.
(e) Joint repurchase agreement entered into 10/31/96 with a maturing value of
$750,115,208. Collaterized by $733,115,000 U.S. Treasury obligations, 0% to
10.375% due 11/15/96 to 08/15/23.
(f) Joint repurchase agreement entered into 10/31/96 with a maturing value of
$200,030,778. Collaterized by $198,651,000 U.S. Treasury obligations, 4.75%
to 9.25% due 11/30/97 to 06/30/99.
See Notes to Financial Statements.
14
<PAGE> 17
STATEMENT OF ASSETS AND LIABILITIES
October 31, 1996
<TABLE>
<S> <C>
ASSETS:
Investments, at market value (cost
$1,528,249,227) $1,729,881,025
- ---------------------------------------------------------
Foreign currencies, at market value
(cost $9,212,688) 9,270,386
- ---------------------------------------------------------
Receivables for:
Investments sold 5,519,599
- ---------------------------------------------------------
Capital stock sold 15,022,002
- ---------------------------------------------------------
Dividends and interest 1,180,039
- ---------------------------------------------------------
Investment for deferred compensation
plan 8,260
- ---------------------------------------------------------
Other assets 120,698
- ---------------------------------------------------------
Total assets 1,761,002,009
- ---------------------------------------------------------
LIABILITIES:
Payables for:
Investments purchased 27,020,437
- ---------------------------------------------------------
Capital stock reacquired 2,538,633
- ---------------------------------------------------------
Amount due to custodian bank 1,534,176
- ---------------------------------------------------------
Deferred compensation 8,260
- ---------------------------------------------------------
Accrued advisory fees 1,298,791
- ---------------------------------------------------------
Accrued administrative services fees 8,068
- ---------------------------------------------------------
Accrued directors' fees 1,041
- ---------------------------------------------------------
Accrued distribution fees 1,115,692
- ---------------------------------------------------------
Accrued transfer agent fees 425,715
- ---------------------------------------------------------
Accrued operating expenses 517,220
- ---------------------------------------------------------
Total liabilities 34,468,033
- ---------------------------------------------------------
Net assets applicable to shares
outstanding $1,726,533,976
=========================================================
NET ASSETS:
Class A $ 919,318,683
=========================================================
Class B $ 807,215,293
=========================================================
CAPITAL STOCK, $.001 PAR VALUE PER SHARE:
CLASS A:
Authorized 200,000,000
- ---------------------------------------------------------
Outstanding 58,347,321
=========================================================
CLASS B:
Authorized 200,000,000
- ---------------------------------------------------------
Outstanding 51,810,099
=========================================================
CLASS A:
Net asset value and redemption price
per share $ 15.76
=========================================================
Offering price per share:
(Net asset value divided by 95.25%) $ 16.55
=========================================================
CLASS B:
Net asset value and offering price per
share $ 15.58
=========================================================
</TABLE>
STATEMENT OF OPERATIONS
For the year ended October 31, 1996
<TABLE>
<S> <C>
INVESTMENT INCOME:
Dividends (net of $1,229,205 foreign
withholding tax) $ 8,040,717
- --------------------------------------------------------
Interest 3,459,264
- --------------------------------------------------------
Total investment income 11,499,981
- --------------------------------------------------------
EXPENSES:
Advisory fees 8,571,918
- --------------------------------------------------------
Administrative services fees 86,330
- --------------------------------------------------------
Directors' fees 10,321
- --------------------------------------------------------
Distribution fees-Class A 2,653,374
- --------------------------------------------------------
Distribution fees-Class B 4,217,606
- --------------------------------------------------------
Custodian fees 965,443
- --------------------------------------------------------
Transfer agent fees-Class A 1,433,553
- --------------------------------------------------------
Transfer agent fees-Class B 1,374,718
- --------------------------------------------------------
Other 422,711
- --------------------------------------------------------
Total expenses 19,735,974
- --------------------------------------------------------
Less: Expenses paid indirectly (14,962)
- --------------------------------------------------------
Net expenses 19,721,012
- --------------------------------------------------------
Net investment income (loss) (8,221,031)
- --------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENT SECURITIES AND FOREIGN
CURRENCIES:
Net realized gain (loss) on sales of:
Investment securities (32,146,548)
- --------------------------------------------------------
Foreign currencies (261,859)
- --------------------------------------------------------
(32,408,407)
- --------------------------------------------------------
Net unrealized appreciation of:
Investment securities 171,415,041
- --------------------------------------------------------
Foreign currencies 19,161
- --------------------------------------------------------
171,434,202
- --------------------------------------------------------
Net gain on investment securities and
foreign currencies 139,025,795
- --------------------------------------------------------
Net increase in net assets resulting from
operations $130,804,764
========================================================
</TABLE>
See Notes to Financial Statements.
15
<PAGE> 18
STATEMENT OF CHANGES IN NET ASSETS
For the years ended October 31, 1996 and 1995
<TABLE>
<CAPTION>
1996 1995
<S> <C> <C>
OPERATIONS:
Net investment income (loss) $ (8,221,031) $ (1,185,880)
- -------------------------------------------------------------------------------------------------------------------------------
Net realized gain (loss) on sales of investment securities and foreign currencies (32,408,407) 2,414,201
- -------------------------------------------------------------------------------------------------------------------------------
Net unrealized appreciation of investment securities and foreign currencies 171,434,202 29,786,715
- -------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations 130,804,764 31,015,036
- -------------------------------------------------------------------------------------------------------------------------------
Distributions to shareholders from net realized capital gains:
Class A (766,625) --
- -------------------------------------------------------------------------------------------------------------------------------
Class B (520,242) --
- -------------------------------------------------------------------------------------------------------------------------------
Share transactions-net:
Class A 657,118,189 146,731,096
- -------------------------------------------------------------------------------------------------------------------------------
Class B 635,669,948 101,870,873
- -------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets 1,422,306,034 279,617,005
- -------------------------------------------------------------------------------------------------------------------------------
NET ASSETS:
Beginning of period 304,227,942 24,610,937
- -------------------------------------------------------------------------------------------------------------------------------
End of period $1,726,533,976 $304,227,942
===============================================================================================================================
NET ASSETS CONSIST OF:
Capital (par value and additional paid-in) $1,557,038,579 $272,738,461
- -------------------------------------------------------------------------------------------------------------------------------
Undistributed net investment income (loss) (14,054) --
- -------------------------------------------------------------------------------------------------------------------------------
Undistributed net realized gain (loss) on sales of investment securities and
foreign currencies (32,181,471) 1,232,761
- -------------------------------------------------------------------------------------------------------------------------------
Unrealized appreciation of investment securities and foreign currencies 201,690,922 30,256,720
- -------------------------------------------------------------------------------------------------------------------------------
$1,726,533,976 $304,227,942
===============================================================================================================================
</TABLE>
See Notes to Financial Statements.
NOTES TO FINANCIAL STATEMENTS
October 31, 1996
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES
AIM Global Aggressive Growth Fund (the "Fund") is a series portfolio of AIM
International Funds, Inc. (the "Company"). The Company is a Maryland corporation
registered under the Investment Company Act of 1940, as amended (the "1940
Act"), as an open-end management investment company consisting of four separate
series portfolios: AIM Global Aggressive Growth Fund, AIM Global Growth Fund,
AIM Global Income Fund and AIM International Equity Fund. The Fund currently
offers two different classes of shares: Class A shares and Class B shares. Class
A shares are sold with a front-end sales charge. Class B shares are sold with a
contingent deferred sales charge. Matters affecting each portfolio or class are
voted on exclusively by the shareholders of such portfolio or class. The assets,
liabilities and operations of each portfolio are accounted for separately.
Information presented in these financial statements pertains only to the Fund.
The Fund's investment objective is to provide above-average long-term growth of
capital appreciation. The Fund seeks to achieve its objective by investing in a
portfolio of global equity securities including securities of selected companies
with relatively small market capitalization.
The following is a summary of significant accounting policies followed by the
Fund in the preparation of its financial statements. The preparation of
financial statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.
A. Security Valuations -- Except as provided in the next sentence, a security
listed or traded on an exchange is valued at the last sales price on the
exchange where the security is principally traded or, lacking any sales, at
the mean between the closing bid and asked prices on the day of valuation.
Exchange listed convertible bonds are valued at the mean between the closing
bid and asked prices obtained from a broker-dealer. If a mean is not
available, as is the case in some foreign markets, the closing bid will be
used absent a last sales price. Securities traded in the over-the-counter
market (but not including securities reported on the NASDAQ National Market
System) are valued at the mean between the closing bid and asked prices on
16
<PAGE> 19
valuation date. Securities reported on the NASDAQ National Market System are
valued at the last sales price on the valuation date or absent a last sales
price, at the mean of the closing bid and asked prices. Securities for which
market quotations are either not readily available or are questionable are
valued at fair value as determined in good faith by or under the supervision
of the Company's officers in a manner specifically authorized by the Board of
Directors. Investments with maturities of 60 days or less are valued on the
basis of amortized cost which approximates market value. Generally, trading
in foreign securities is substantially completed each day at various times
prior to the close of the New York Stock Exchange. The values of such
securities used in computing the net asset value of the Fund's shares are
determined as of such times. Foreign currency exchange rates are also
generally determined prior to the close of the New York Stock Exchange.
Occasionally, events affecting the values of such securities and such
exchange rates may occur between the times at which they are determined and
the close of the New York Stock Exchange which would not be reflected in the
computation of the Fund's net asset value. If events materially affecting the
value of such securities occur during such period, then these securities will
be valued at their fair value as determined in good faith by or under the
supervision of the Board of Directors.
B. Foreign Currency Translations -- Portfolio securities and other assets and
liabilities denominated in foreign currencies are translated into U.S. dollar
amounts at date of valuation. Purchases and sales of portfolio securities and
income items denominated in foreign currencies are translated into U.S.
dollar amounts on the respective dates of such transactions.
C. Foreign Currency Contracts -- A forward currency contract is an obligation to
purchase or sell a specific currency for an agreed-upon price at a future
date. The Fund may enter into a forward currency contract to attempt to
minimize the risk to the Fund from adverse changes in the relationship
between currencies. The Fund may also enter into a forward currency contract
for the purchase or sale of a security denominated in a foreign currency in
order to "lock in" the U.S. dollar price of that security. The Fund could be
exposed to risk if counterparties to the contracts are unable to meet the
terms of their contracts or if the value of the foreign currency changes
unfavorably.
D. Securities Transactions, Investment Income and Distributions -- Securities
transactions are accounted for on a trade date basis. Realized gains or
losses are computed on the basis of specific identification of the securities
sold. Interest income is recorded as earned from settlement date and is
recorded on an accrual basis. Dividend income and distributions to
shareholders are recorded on the ex-dividend date. On October 31, 1996,
undistributed net investment income was increased by $8,206,977, paid-in
capital reduced by $8,488,019 and undistributed net realized gains increased
by $281,042 in order to comply with the requirements of the American
Institute of Certified Public Accountants Statement of Position 93-2. Net
assets of the Fund were unaffected by the reclassifications discussed above.
E. Federal Income Taxes -- The Fund intends to comply with the requirements of
the Internal Revenue Code necessary to qualify as a regulated investment
company and, as such, will not be subject to federal income taxes on
otherwise taxable income (including net realized capital gains) which is
distributed to shareholders. Therefore, no provision for federal income taxes
is recorded in the financial statements. The Fund has a capital loss
carryforward of $32,147,412 (which may be carried forward to offset future
taxable capital gains, if any) which expires, if not previously utilized,
through the year 2004.
F. Expenses -- Operating expenses directly attributable to a class of shares are
charged to that class' operations. Expenses which are applicable to both
classes, e.g. advisory fees, are allocated between them.
NOTE 2-ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES
The Company has entered into a master investment advisory agreement with A I M
Advisors, Inc. ("AIM"). Under the terms of the master advisory agreement, the
Fund pays an advisory fee to AIM at the annual rate of 0.90% of the first $1
billion of the Fund's average daily net assets, plus 0.85% of the Fund's average
daily net assets in excess of $1 billion.
The Fund, pursuant to a master administrative services agreement with AIM, has
agreed to reimburse AIM for administrative costs incurred in providing
accounting services to the Fund. During the year ended October 31, 1996, AIM was
reimbursed $86,330 for such services.
The Fund, pursuant to a transfer agency and service agreement, has agreed to
pay A I M Fund Services, Inc. ("AFS") a fee for providing transfer agency
services to the Fund. During the year ended October 31, 1996, AFS was paid
$1,474,675 for such services.
The Fund received reductions in transfer agency fees of $13,093 from dividends
received on balances in cash management bank accounts. In addition, the Fund
incurred expenses of $1,869 for pricing services which are paid through directed
brokerage commissions. The effect of the above arrangements resulted in a
reduction in the Fund's total expenses of $14,962 during the year ended October
31, 1996.
The Company has entered into master distribution agreements with A I M
Distributors, Inc. ("AIM Distributors") to serve as the distributor for the
Class A shares and the Class B shares of the Fund. The Company has adopted
distribution Plans pursuant to Rule 12b-1 under the 1940 Act with respect to the
Fund's Class A shares (the "Class A Plan") and with respect to the Fund's Class
B shares (the "Class B Plan") (collectively, the "Plans"). The Fund, pursuant to
the Class A Plan, pays AIM Distributors an annual rate of 0.50% of the average
daily net assets attributable to the Class A shares. The Class A Plan is
designed to compensate AIM Distributors for certain promotional and other sales
related costs. Of the total compensation payable, the Fund pays a service fee of
0.25% to selected dealers and financial institutions who furnish continuing
personal shareholder services to their customers who purchase and own Class A
shares of the Fund. The Fund, pursuant to the Class B Plan, will pay AIM
Distributors an annual rate of 1.00% of the average daily net assets
attributable to the Class B
17
<PAGE> 20
shares. Of this amount, the Fund pays a service fee of 0.25% of the average
daily net assets of the Class B shares to selected dealers and financial
institutions who furnish continuing personal shareholder services to their
customers who purchase and own Class B shares of the Fund. Any amounts not paid
as a service fee under such Plans would constitute an asset-based sales charge.
The Plans also impose a cap on the total sales charges, including asset-based
sales charges, that may be paid by the respective classes. AIM Distributors may,
from time to time, assign, transfer or pledge to one or more designees, its
rights to all or a designated portion of (a) compensation received by AIM
Distributors from the Fund pursuant to the Class B Plan (but not AIM
Distributors' duties and obligations pursuant to the Class B Plan) and (b) any
contingent deferred sales charges received by AIM Distributors related to the
Class B shares. During the year ended October 31, 1996, the Class A shares and
the Class B shares paid AIM Distributors $2,653,374 and $4,217,606,
respectively, as compensation under the Plans.
AIM Distributors received commissions of $3,270,278 from the sales of the
Class A shares of the Fund during the year ended October 31, 1996. Such
commissions are not an expense of the Fund. They are deducted from, and are not
included in, the proceeds from sales of Class A shares. During the year ended
October 31, 1996, AIM Distributors received commissions of $84,130 in contingent
deferred sales charges imposed on redemptions of Fund shares. Certain officers
and directors of the Company are officers and directors of AIM, AFS and AIM
Distributors.
During the year ended October 31, 1996, the Fund incurred legal fees of $4,726
for services rendered by the law firm of Kramer, Levin, Naftalis & Frankel as
counsel to the Company's directors. A member of that firm is a director of the
Company.
NOTE 3-AFFILIATED COMPANY TRANSACTIONS
Affiliated issuers, as defined in the 1940 Act, are issuers in which the Fund
held 5% or more of the outstanding voting securities. A summary of transactions
for each issuer who is or was an affiliate at or during the year ended October
31, 1996, were as follows:
<TABLE>
<CAPTION>
SHARE SHARE MARKET
BALANCE BALANCE VALUE
OCTOBER 31, OCTOBER 31, OCTOBER 31,
NAME OF ISSUER: 1995 1996 1996
------------------------------------------
<S> <C> <C> <C>
Marsman & Co., Inc. -- 6,616,000 $2,039,178
------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
REALIZED
PURCHASES SALES GAIN DIVIDEND
COST COST LOSS INCOME
-----------------------------------------------------
<S> <C> <C> <C> <C>
Marsman & Co., Inc. $3,605,878 $ -- $ -- $15,243
-----------------------------------------------------
</TABLE>
NOTE 4-DIRECTORS' FEES
Directors' fees represent remuneration paid or accrued to each director who is
not an "interested person" of AIM. The Company may invest directors' fees, if so
elected by a director, in mutual fund shares in accordance with a deferred
compensation plan.
NOTE 5-BANK BORROWINGS
The Fund is a participant in a committed line of credit facility with a
syndicate administered by The Chase Manhattan Bank. The Fund may borrow up to
the lesser of (i) $325,000,000 or (ii) the limits set by its prospectus for
borrowings. The Fund and other funds advised by AIM which are parties to the
line of credit may borrow on a first come, first served basis. Interest on
borrowings under the line of credit is payable on maturity or prepayment date.
Prior to an amendment of the line of credit on July 19, 1996, the Fund was
limited to borrowing $1,900,000. During the year ended October 31, 1996, the
Fund did not borrow under the line of credit agreement. The funds which are
party to the line of credit are charged a commitment fee of 0.08% on the unused
balance of the committed line. The commitment fee is allocated among the funds
based on their respective average net assets for the period.
NOTE 6-INVESTMENT SECURITIES
The aggregate amount of investment securities (other than short-term securities)
purchased and sold by the Fund during the year ended October 31, 1996, on a tax
basis, was $1,650,395,817 and $388,356,218, respectively.
The amount of unrealized appreciation (depreciation) of investment securities
as of October 31, 1996, on a tax basis, is as follows.
<TABLE>
<S> <C>
Aggregate unrealized appreciation of
investment securities $264,209,277
- ----------------------------------------------------------
Aggregate unrealized (depreciation) of
investment securities (62,611,540)
- ----------------------------------------------------------
Net unrealized appreciation of investment
securities $201,597,737
- ----------------------------------------------------------
Cost of investments for tax purposes is $1,528,283,288.
</TABLE>
NOTE 7-CAPITAL STOCK
Changes in the Fund's capital stock outstanding during the years ended October
31, 1996 and 1995 were as follows:
<TABLE>
<CAPTION>
1996 1995
--------------------------- -----------------------
SHARES AMOUNT SHARES AMOUNT
---------- -------------- ----------- ----------
<S> <C> <C> <C> <C>
Sold:
Class A 50,205,954 $748,519,743 13,970,703 $165,030,476
- --------------- ---------- -------------- ---------- ------------
Class B 45,280,451 673,914,740 8,888,670 106,907,530
- --------------- ---------- -------------- ---------- ------------
Issued as
reinvestment
of dividends:
Class A 56,549 727,221 -- --
- --------------- ---------- -------------- ---------- ------------
Class B 38,442 491,285 -- --
- --------------- ---------- -------------- ---------- ------------
Reacquired:
Class A (6,124,044) (92,128,775) (1,563,927) (18,299,380)
- --------------- ---------- -------------- ---------- ------------
Class B (2,588,161) (38,736,077) (416,562) (5,036,657)
- --------------- ---------- -------------- ---------- ------------
86,869,191 $1,292,788,137 20,878,884 $248,601,969
========== ============== ========== ============
</TABLE>
18
<PAGE> 21
NOTE 8-SUBSEQUENT EVENT
On November 4, 1996, A I M Management Group Inc. ("AIM Management") and INVESCO
PLC announced the execution of an agreement and plan of merger pursuant to which
AIM Management will be merged with and into a direct wholly-owned subsidiary of
INVESCO PLC. AIM Management is the parent company of the Fund's Advisor. The
merger is conditional on, among other things, approval by the shareholders of
INVESCO PLC and AIM Management and the shareholders of the AIM Funds and the
mutual funds managed by INVESCO PLC, and is expected to take place during the
first quarter of 1997.
NOTE 9-FINANCIAL HIGHLIGHTS
Shown below are the financial highlights for a Class A share and Class B share
outstanding during each of the years in the two-year period ended October 31,
1996 and the period September 15, 1994 (date operations commenced) through
October 31, 1994.
<TABLE>
<CAPTION>
1996 1995 1994
-------- -------- --------
<S> <C> <C> <C>
CLASS A:
Net asset value, beginning of period $ 13.09 $ 10.22 $ 10.00
- ------------------------------------------------------------------------- -------- -------- --------
Income from investment operations:
Net investment income (loss) (0.09)(a) (0.09)(a) --
- ------------------------------------------------------------------------- -------- -------- --------
Net gains on securities (both realized and unrealized) 2.81 2.96 0.22
- ------------------------------------------------------------------------- -------- -------- --------
Total from investment operations 2.72 2.87 0.22
- ------------------------------------------------------------------------- -------- -------- --------
Less distributions:
Distributions from net realized capital gains (0.05) -- --
- ------------------------------------------------------------------------- -------- -------- --------
Net asset value, end of period $ 15.76 $ 13.09 $ 10.22
========================================================================= ======== ======== ========
Total return(b) 20.83% 28.08% 2.20%
========================================================================= ======== ======== ========
Ratios/supplemental data:
Net assets, end of period (000s omitted) $919,319 $186,029 $ 18,410
========================================================================= ======== ======== ========
Ratio of expenses to average net assets 1.83%(c)(d) 2.11% 2.02%(e)(f)
========================================================================= ======== ======== ========
Ratio of net investment income (loss) to average net assets (0.62)%(c) (0.68)% 0.27%(f)(g)
========================================================================= ======== ======== ========
Portfolio turnover rate 44% 64% 2%
========================================================================= ======== ======== ========
Average brokerage commission rate(h) $ 0.0155 N/A N/A
========================================================================= ======== ======== ========
</TABLE>
(a) Calculated using average shares outstanding.
(b) Does not deduct sales charges and for periods less than one year, total
returns are not annualized.
(c) Ratios are based on average net assets of $530,674,844.
(d) Ratio includes indirectly paid expenses. Excluding indirectly paid expenses,
the ratio of expenses to average net assets would have been the same.
(e) After fee waivers and expense reimbursements. Ratio of expenses to average
net assets before fee waivers and expense reimbursements is 4.03%
(annualized) for 1994.
(f) Annualized.
(g) After fee waivers and expense reimbursements. Ratio of net investment income
(loss) to average net assets before fee waivers and expense reimbursements
is (1.74)% (annualized) for 1994.
(h) Disclosure requirement beginning with the Fund's fiscal year ending October
31, 1996.
<TABLE>
<CAPTION>
1996 1995 1994
-------- -------- --------
<S> <C> <C> <C>
CLASS B:
Net asset value, beginning of period $ 13.02 $ 10.21 $ 10.00
- ------------------------------------------------------------------------- -------- -------- --------
Income from investment operations:
Net investment income (loss) (0.17)(a) (0.14)(a) --
- ------------------------------------------------------------------------- -------- -------- --------
Net gains on securities (both realized and unrealized) 2.78 2.95 0.21
- ------------------------------------------------------------------------- -------- -------- --------
Total from investment operations 2.61 2.81 0.21
- ------------------------------------------------------------------------- -------- -------- --------
Less distributions:
Distributions net realized capital gains (0.05) -- --
- ------------------------------------------------------------------------- -------- -------- --------
Net asset value, end of period $ 15.58 $ 13.02 $ 10.21
========================================================================= ======== ======== ========
Total return(b) 20.09% 27.52% 2.10%
========================================================================= ======== ======== ========
Ratios/supplemental data:
Net assets, end of period (000s omitted) $807,215 $118,199 $ 6,201
========================================================================= ======== ======== ========
Ratio of expenses to average net assets 2.37%(c)(d) 2.62% 2.54%(e)(f)
========================================================================= ======== ======== ========
Ratio of net investment income (loss) to average net assets (1.16)%(c) (1.19)% (0.25)%(f)(g)
========================================================================= ======== ======== ========
Portfolio turnover rate 44% 64% 2%
========================================================================= ======== ======== ========
Average brokerage commission rate(h) $ 0.0155 N/A N/A
========================================================================= ======== ======== ========
</TABLE>
(a) Calculated using average shares outstanding.
(b) Does not deduct sales charges and for periods less than one year, total
returns are not annualized.
(c) Ratios are based on average net assets of $421,760,605.
(d) Ratio includes indirectly paid expenses. Excluding indirectly paid expenses,
the ratio of expenses to average assets would have been the same.
(e) After fee waivers and expense reimbursements. Ratio of expenses to average
net assets before fee waivers and expense reimbursements is 4.43%
(annualized) for 1994.
(f) Annualized.
(g) After fee waivers and expense reimbursements. Ratio of net investment income
(loss) to average net assets before fee waivers and expense reimbursements
is (2.14)% (annualized) for 1994.
(h) Disclosure requirement beginning with the Fund's fiscal year ending October
31, 1996.
19
<PAGE> 22
INDEPENDENT AUDITORS' REPORT
The Board of Directors and Shareholders of
AIM International Funds, Inc.:
We have audited the accompanying statement of assets and
liabilities of the AIM Global Aggressive Growth Fund (a
portfolio of AIM International Funds, Inc.), including the
schedule of investments, as of October 31, 1996, and the
related statement of operations for the year then ended,
the statement of changes in net assets for each of the
years in the two-year period then ended and the financial
highlights for the two-year period then ended and the
period September 15, 1994 (date operations commenced)
through October 31, 1994. 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 as of October 31, 1996, by correspondence
with the custodian and brokers. 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, the financial statements and financial
highlights referred to above present fairly, in all
material respects, the financial position of AIM Global
Aggressive Growth Fund as of October 31, 1996, the results
of its operations for the year then ended, the changes in
its net assets for each of the years in the two year
period then ended and the financial highlights for the
two-year period then ended and the period September 15,
1994 (date operations commenced) through October 31, 1994,
in conformity with generally accepted accounting
principles.
KPMG Peat Marwick LLP
Houston, Texas
December 6, 1996
20
<PAGE> 23
DIRECTORS & OFFICERS
<TABLE>
<S> <C> <C>
BOARD OF DIRECTORS OFFICERS OFFICE OF THE FUND
Charles T. Bauer Charles T. Bauer 11 Greenway Plaza
Chairman and Chief Executive Officer Chairman Suite 1919
A I M Management Group Inc. Houston, TX 77046
Robert H. Graham
Bruce L. Crockett President INVESTMENT ADVISOR
Formerly Director, President, and
Chief Executive Officer John J. Arthur A I M Advisors, Inc.
COMSAT Corporation Senior Vice President and Treasurer 11 Greenway Plaza
Suite 1919
Owen Daly II Carol F. Relihan Houston, TX 77046
Director Senior Vice President
Cortland Trust Inc. and Secretary TRANSFER AGENT
Carl Frischling Gary T. Crum A I M Fund Services, Inc.
Partner Senior Vice President P.O. Box 4739
Kramer, Levin, Naftalis & Frankel Houston, TX 77210-4739
Scott G. Lucas
Robert H. Graham Senior Vice President CUSTODIAN
President and Chief Operating Officer
A I M Management Group Inc. Dana R. Sutton State Street Bank & Trust
Vice President and Assistant Treasurer 225 Franklin Street
John F. Kroeger Boston, MA 02110
Formerly Consultant Robert G. Alley
Wendell & Stockel Associates, Inc. Vice President COUNSEL TO THE FUND
Lewis F. Pennock Melville B. Cox Ballard Spahr
Attorney Vice President Andrews & Ingersoll
1735 Market Street
Ian W. Robinson Jonathan C. Schoolar Philadelphia, PA 19103
Consultant; Formerly Executive Vice President
Vice President and COUNSEL TO THE DIRECTORS
Chief Financial Officer P. Michelle Grace
Bell Atlantic Management Assistant Secretary Kramer, Levin, Naftalis & Frankel
Services, Inc. 919 Third Avenue
David L. Kite New York, NY 10022
Louis S. Sklar Assistant Secretary
Executive Vice President DISTRIBUTOR
Hines Interests Nancy L. Martin
Limited Partnership Assistant Secretary A I M Distributors, Inc.
11 Greenway Plaza
Ofelia M. Mayo Suite 1919
Assistant Secretary Houston, TX 77046
Kathleen J. Pflueger AUDITORS
Assistant Secretary
KPMG Peat Marwick LLP
Samuel D. Sirko 700 Louisiana
Assistant Secretary NationsBank Bldg.
Houston, TX 77002
Stephen I. Winer
Assistant Secretary
Mary J. Benson
Assistant Treasurer
</TABLE>
REQUIRED FEDERAL INCOME TAX INFORMATION
AIM Global Aggressive Growth Fund distributed long-term capital gains of $0.046
per share for Class A and Class B shares during its tax year ended October 31,
1996.
<PAGE> 24
THE AIM FAMILY OF FUNDS--REGISTERED TRADEMARK--
AGGRESSIVE GROWTH
AIM Aggressive Growth Fund*
AIM Capital Development Fund
AIM Constellation Fund
AIM Global Aggressive Growth Fund
GROWTH
[PHOTO OF AIM Blue Chip Fund
11 GREENWAY AIM Global Growth Fund
PLAZA APPEARS HERE] AIM Growth Fund
AIM International Equity Fund
AIM Value Fund
AIM Weingarten Fund
GROWTH AND INCOME
AIM Balanced Fund
AIM Charter Fund
INCOME AND GROWTH
AIM Global Utilities Fund
HIGH CURRENT INCOME
AIM High Yield Fund
CURRENT INCOME
AIM Global Income Fund
AIM Income Fund
CURRENT TAX-FREE INCOME
AIM Municipal Bond Fund
AIM Tax-Exempt Bond Fund of CT
AIM Tax-Free Intermediate Shares
CURRENT INCOME AND HIGH DEGREE OF SAFETY
A I M Management Group Inc. AIM Intermediate Government Fund
has provided leadership in
the mutual fund industry HIGH DEGREE OF SAFETY AND CURRENT INCOME
since 1976 and currently AIM Limited Maturity Treasury Shares
manages approximately $60
billion in assets for more STABILITY, LIQUIDITY, AND CURRENT INCOME
than 3.5 million share- AIM Money Market Fund
holders, including individual
investors, corporate clients, STABILITY, LIQUIDITY, AND CURRENT TAX-FREE INCOME
and financial institutions. AIM Tax-Exempt Cash Fund
The AIM Family of Funds
- --Registered Trademark--
is distributed nationwide, *AIM Aggressive Growth Fund was closed to new
and AIM today ranks among investors on July 18, 1995. For more complete
the nation's top 15 mutual information about any AIM Fund(s), including
fund companies in assets sales charges and expenses, ask your financial
under management, according consultant or securities dealer for a free
to Lipper Analytical prospectus(es). Please read the prospectus(es)
Services, Inc. carefully before you invest or send money.
[AIM LOGO APPEARS HERE]
---------------
BULK RATE
A I M Distributors, Inc. U.S. POSTAGE
11 Greenway Plaza, Suite 1919 PAID
Houston, TX 77046 HOUSTON, TX
Permit No. 1919
---------------
