[LOGO OF REGIONS FUNDS]
Family of Funds
Combined Annual Report
Dated November 30, 1999
[LOGO OF REGIONS FUNDS]
Funds
President's Message
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Dear Shareholders:
I am pleased to present the Annual Report for the Regions Funds. This report
covers activity in the funds over the 12-month reporting period from December 1,
1998 through November 30, 1999.
It begins with an investment review by each fund's portfolio manager (except the
Treasury Money Market Fund), which describes economic and market conditions and
their impact on fund strategy. Following the investment review are a complete
list of fund holdings and the financial statements.
The Regions Funds offer you a range of investment objectives to keep your money
working toward your financial goals-from daily income on your ready cash to
income on a regular basis to growth for longer-term goals like a child's college
education or your retirement. Whatever your goal, there's a Regions fund that
may be right for you.
Fund-by-fund highlights over the reporting period are as follows:
Regions Treasury Money Market Fund
This fund continues to give shareholders a convenient, highly conservative way
to pursue daily income on their ready cash, with easy access to their money.*
The fund's portfolio of U.S. Treasury money market securities paid dividends of
$0.04 per share for Trust Shares and Investment Shares during the 12-month
reporting period. The 7-day net yields for Trust Shares and Investment Shares
for the reporting period ended November 30, 1999, were 4.55% and 4.30%,
respectively.** This level of income resulted in a 12-month total return of
4.21% and 3.94%, for Trust Shares and Investment Shares, respectively.** The
fund's net assets totaled $613.2 million at the end of the reporting period.
Regions Limited Maturity Government Fund
This diversified portfolio of limited maturity U.S. Treasury Notes, U.S.
government agency securities and investment-grade corporate bonds gives
shareholders the opportunity to pursue income with limited principal volatility.
Over the 12-month reporting period, Trust Shares produced a total return of
2.64%, resulting from income totaling $0.46 per share and a $0.21 decrease in
net asset value.*** Investment Shares produced a total return of 2.39%, or
(0.55%) adjusted for the fund's contingent deferred sales charge, resulting from
an income stream totaling $0.44 per share and an $0.21 decrease in net asset
value.*** The fund's net assets reached $113.4 million at the end of the
reporting period.
Regions Fixed Income Fund
From a total return perspective, the rising interest rate environment resulted
in weak performance from bonds. For Trust Shares, the fund's portfolio of U.S.
government bonds and investment-grade corporate bonds produced a monthly income
stream totaling $0.53 per share over the 12-month reporting period, which helped
compensate for a $0.51 per share decrease in net asset value. As a result, Trust
Shares produced a flat total return of 0.24% over the 12-month reporting
period.*** Investment Shares, over the 12-month reporting period, produced a
flat total return of (0.01%), or
* An investment in the fund is neither insured nor guaranteed by the Federal
Deposit Insurance Corporation or any other government agency. Although the
fund seeks to preserve the value of your investment at $1.00 per share, it
is possible to lose money by investing in the fund.
** Past performance is no guarantee of future results. Yield will vary. Yields
quoted for money market funds most closely reflect the fund's current
earnings.
*** Past performance is no guarantee of future results. 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. A 3.00% maximum
contingent deferred sales charge is applicable to Investment Shares redeemed
within three years of their purchase.
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(2.87%) adjusted for the contingent deferred sales charge, through dividends
totaling $0.51 per share and a net asset value decrease of $0.51.* The fund's
net assets rose to $263.9 million at the end of the reporting period.
Regions Balanced Fund
The fund's combination of high-quality stocks and investment-grade corporate
bonds and U.S. government bonds produced a total return for Trust Shares of
10.14% for the reporting period.* Contributing to the total return was a $0.65
rise in net asset value, dividends totaling $0.36 per share and capital gains
totaling $0.49 per share. Investment Shares, over the reporting period, produced
a total return of 9.82%, or 6.82% adjusted for the contingent deferred sales
charge, through dividends totaling $0.32 per share, capital gains totaling $0.49
per share and a net asset value increase of $0.64.* The fund's net assets
reached $182.9 million at the end of the reporting period.
Regions Value Fund
The fund's Trust Shares delivered a total return of 5.76% for the reporting
period. Contributing to the total return were dividends totaling $0.17 per share
and capital gains totaling $2.09 per share.* Investment Shares, over the
reporting period, produced a total return of 5.51%, or 2.74% adjusted for the
contingent deferred sales charge, the result of dividends totaling $0.13 per
share and capital gains totaling $2.09 per share.* Both share classes
experienced a net asset value decrease of $1.35. The fund's net assets totaled
$282.5 million at the end of the reporting period.
Regions Growth Fund
The fund's diversified portfolio of high-quality growth stocks delivered a
strong total return for Trust Shares of 27.42% for the reporting period.
Contributing to this total return were a $3.47 rise in net asset value,
dividends totaling $0.01 per share and capital gains totaling $1.73 per share.*
Investment Shares, over the reporting period, produced a total return of 27.07%,
or 24.07% adjusted for the contingent deferred sales charge, through capital
gains totaling $1.73 per share and a net asset value increase of $3.41.* The
fund's net assets reached $697.9 million at the end of the reporting period.
Regions Aggressive Growth Fund
The newest addition to the Regions Funds family, Regions Aggressive Growth Fund,
gives investors the opportunity to pursue long-term capital appreciation through
a diversified portfolio of small** and mid-size American companies. The fund
produced a strong total return of 50.60% for the reporting period, or 47.42%
adjusted for the contingent deferred sales charge.* From March 15, 1999, the
date of the mutual fund's initial operation,*** to November 30, 1999, the fund
delivered a total return of 33.17%, or 30.17% adjusted for the 3.00% contingent
deferred sales charge,* through a significant rise in net asset value and
capital gains of $0.62 per share. The fund's net assets reached $96.0 million at
the end of the reporting period.
* Past performance is no guarantee of future results. 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. A 3.00% maximum
contingent deferred sales charge is applicable to Investment Shares and
shares of the Aggressive Growth Fund redeemed within three years of their
purchase.
** Small cap stocks have historically experienced greater volatility than
average.
*** The fund is the successor to the portfolio of a collective trust fund
managed by the Adviser since June 30, 1993. The quoted performance data
includes the performance of the collective trust fund for periods before the
fund's registration statement became effective. The collective trust fund
was not registered under the Investment Company Act of 1940 (the "1940
Act"), and therefore was not subject to certain investment restrictions that
are imposed by the 1940 Act. If the collective trust fund had been
registered under the 1940 Act, the performance may have been adversely
affected.
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Remember, adding to your account on a regular basis and reinvesting your
dividends in additional shares are convenient, painless ways to "pay yourself
first" and enjoy the benefit of compounding.*
Thank you for joining with other shareholders who are pursuing a wide range of
financial goals through the Regions Funds. As we begin the year 2000, we renew
our commitment to bring you the highest level of disciplined decision-making and
personal service.
Sincerely,
/s/ Edward C. Gonzales
Edward C. Gonzales
President
January 15, 2000
* Systematic investing does not ensure a profit or protect against loss in
declining markets.
LIMITED MATURITY GOVERNMENT FUND
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Management and Discussion and Analysis
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During the fiscal year ended November 30, 1999, the Limited Maturity
Government Fund's Trust Shares produced a total return of 2.64% based on net
asset value.* The fund's return is measured against the Merrill Lynch 1-3 year
Government/Corporate Index (ML1-3)** which returned 3.47%. We compare our
performance to this index because the fund will normally invest at least 65% of
the value of its total assets in U. S. government securities, which should
closely track the U. S. government allocation in the ML1-3. The balance of the
fund's assets may be comprised of corporate bonds, mortgage-backed securities,
asset-backed securities, bank instruments, repurchase agreements, and securities
of other investment companies. The fund's dollar-weighted average portfolio
maturity will normally fluctuate between 1.5-3.0 years.
During the year, the fund performed in a positive manner in the face of an
expected economic improvement coupled with a tight monetary policy by the
Federal Reserve Board. The federal funds rate was raised in three increments
within the year for a total of 75 basis points. While rates rose across sectors,
credit quality concerns diminished and spreads between treasuries and corporates
declined slightly enhancing performance of non-treasury investments.
Our strategy for 1999 has been to maintain the portfolio duration in line with
the ML1-3, increase the overall portfolio convexity, and maintain current yield
in the face of a positive yield curve. Our forecast is for the economy to slow
in 2000 with the fund performance influenced by the trend in interest rates.
* Past performance is no guarantee of future results. 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. As of November 30, 1999,
the total return for the fund's Investment Shares was 2.39%, or (0.55%)
adjusted for the maximum contingent deferred sales charge of 3.00%.
** The Merrill Lynch 1-3 Government/Corporate index is an unmanaged index
comprised of publicly placed, non-convertible, coupon-bearing domestic debt
with maturities between 1 and 2.99 years. The index is produced by Merrill
Lynch, Pierce, Fenner & Smith, Inc. Investments cannot be made in an index.
LIMITED MATURITY GOVERNMENT FUND-TRUST SHARES
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Growth of $25,000 Invested in Limited Maturity Government Fund-Trust Shares
The graph below illustrates the hypothetical investment of $25,000* in the
Limited Maturity Government Fund-Trust Shares (the "Fund") from May 20, 1998
(start of performance) to November 30, 1999, compared to the Merrill Lynch 1-3
Year Government/Corporate Index (ML1-3).+
[GRAPHIC] - See Appendix A1.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year.......................... 2.64%
Start of Performance (5/20/98).. 4.08%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* The Fund's performance assumes the reinvestment of all dividends and
distributions. The ML1-3 has been adjusted to reflect the reinvestment of
dividends on securities in the index.
+ The ML1-3 is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the
Fund's performance. This index is unmanaged.
LIMITED MATURITY GOVERNMENT FUND-INVESTMENT SHARES
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Growth of $10,000 Invested in Limited Maturity Government Fund-Investment
Shares
The graph below illustrates the hypothetical investment of $10,000* in the
Limited Maturity Government Fund-Investment Shares (the "Fund") from December
12, 1993 (start of performance) to November 30, 1999, compared to the Merrill
Lynch 1-3 Year Government/Corporate Index (ML1-3).**
[GRAPHIC] - See Appendix A2.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year........................... (0.55%)
5 Years.......................... 5.52%
Start of Performance (12/12/93).. 4.64%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* Represents a hypothetical investment of $10,000 in the Fund after deducting
the maximum sales charge of 2.00% at the Fund's inception ($10,000 investment
minus $200 sales charge = $9,800). The Fund's performance assumes the
reinvestment of all dividends and distributions. The ML1-3 has been adjusted
to reflect the reinvestment of dividends on securities in the index.
Effective June 1, 1997, the Fund eliminated the sales charge and replaced it
with a maximum contingent deferred sales charge of 3.00%.
** The ML1-3 is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the
Fund's performance. This index is unmanaged.
+ Total return quoted reflects the maximum 3.00% contingent deferred sales
charge imposed on any redemption less than one year from the purchase date.
FIXED INCOME FUND
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Management and Discussion and Analysis
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During the fiscal year ended November 30, 1999, the Fixed Income Fund's
Investment Shares returned (0.01%) based on net asset value.* This compares to
the performance of the Merrill Lynch 1-10 Year Government/Corporate Index of
1.13%.** Remember, the market indices bear no transaction costs, no operating
expenses and are not required to have cash on hand to meet redemptions. We
compare our performance to this index because we typically use a high proportion
of U.S. Treasury and agency securities in our portfolios with approximately 20%
- - 40% in high quality corporate bonds. We define ourselves as intermediate fixed
income managers, since we typically do not buy bonds with maturity in excess of
15 years, and maintain a weighted average life of less than 10 years for the
portfolio.
It is important to recognize that we utilize conservative accounting policies
which call for the amortization of premiums. Historically, in a declining
interest rate environment, many securities available to us for purchase have
been priced above par value or at a premium. We have chosen to amortize this
premium which reduces current yield for the fund. Investors who purchase a fund
primarily based on current yield should examine the quality and maturity of the
securities held and the accounting treatment for amortization of premium. The
effect of not amortizing premium is to increase the current yield by, in effect,
increasing current distributions to investors by returning a portion of their
investment or principal.
During the year, the fund experienced a fairly consistent decrease in net
asset value. The perceived and expected improvement in the economy served as a
strong impetus for the Federal Reserve Board (the "Fed") to raise interest
rates. As international economic improvement made headline after headline,
market participants expected the Fed to revise course and proceed with a "tight"
monetary policy. In fact, the Fed did raise the federal funds target rate 75
basis points in three movements in the year. By this time bond yields had risen
close to 150 basis points. While rates rose across the board, credit quality
concerns lessened, and spreads between corporates and treasuries declined
slightly enhancing relative performance of non-treasury investments for the
year. The fund's Investment Shares net asset value fell from $10.61 on November
30, 1998 to $10.10 on November 30, 1999.
Our strategic plan for the fund was to maintain a somewhat defensive posture
as we were negative on the markets throughout the year. During the year we have
maintained duration at around 100% of the benchmark. While we expect the economy
to slow in 2000, the performance of the fund will be influenced by the trend in
interest rates.
* Past performance is no guarantee of future results. 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. The total return for
Investment Shares as of November 30, 1999, taking into account the maximum
contingent deferred sales charge of 3.00%, was (2.87%). The total return for
Trust Shares as of November 30, 1999 was 0.24%.
** The Merrill Lynch 1-10 Year Government/Corporate Index is an unmanaged index
comprised of publicly placed, non-convertible, coupon-bearing domestic debt
with maturities between 1 and 9.99 years. The index is produced by Merrill
Lynch, Pierce, Fenner & Smith, Inc. Investments cannot be made in an index.
FIXED INCOME FUND-TRUST SHARES
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Growth of $25,000 Invested in Fixed Income Fund-Trust Shares
The graph below illustrates the hypothetical investment of $25,000* in the
Fixed Income Fund-Trust Shares (the "Fund") from May 20, 1998 (start of
performance) to November 30, 1999, compared to the Merrill Lynch 1-10 Year
Government/Corporate Index (ML1-10)+.
[GRAPHIC] - See Appendix A3.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year .......................... 0.24%
Start of Performance (5/20/98) .. 3.31%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* The Fund's performance assumes the reinvestment of all dividends and
distributions. The ML1-10 has been adjusted to reflect the reinvestment of
dividends on securities in the index.
+ The ML1-10 is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the
Fund's performance. This index is unmanaged.
FIXED INCOME FUND-INVESTMENT SHARES
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Growth of $10,000 Invested in Fixed Income Fund-Investment Shares
The graph below illustrates the hypothetical investment of $10,000* in the
Fixed Income Fund-Investment Shares (the "Fund") from April 20, 1992 (start of
performance) to November 30, 1999, compared to the Merrill Lynch 1-10 Year
Government/Corporate Index (ML1-10).**
[GRAPHIC] - See Appendix A4.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year.......................... (2.87%)+
5 Years......................... 6.81%
Start of Performance (4/20/92).. 6.02%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* Represents a hypothetical investment of $10,000 in the Fund after deducting
the maximum sales charge of 2.00% at the Fund's inception ($10,000 investment
minus $200 sales charge = $9,800). The Fund's performance assumes the
reinvestment of all dividends and distributions. The ML1-10 has been adjusted
to reflect the reinvestment of dividends on securities in the index.
Effective June 1, 1997, the Fund eliminated the sales charge and replaced it
with a maximum contingent deferred sales charge of 3.00%.
** The ML1-10 is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the
Fund's performance. This index is unmanaged.
+ Total return quoted reflects the maximum 3.00% contingent deferred sales
charge imposed on any redemption less than one year from the purchase date.
BALANCED FUND
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Management Discussion and Analysis
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During the fiscal year ended November 30, 1999, the Balanced Fund's Investment
Shares produced a total return of 9.82% based upon net asset value.* This
compares to an 9.80% return for the Standard & Poor's 500 Index (S&P 500)/Lehman
Brothers Government/Corporate Index (LBGCI) and a 9.75% return for the Lipper
Balanced Fund Index,** which is comprised of the returns of mutual funds with a
balanced objective.
During the previous 12 months stocks significantly outperformed bonds with the
S&P 500 returning 20.91% while the (LBGCI) returned (1.31%).*** Within the
equity market Technology was by far the best performing sector with Consumer
Cyclicals being a distant second. The worst performing sectors were Consumer
Staples, Capital Goods, and Finance.
During 2000 we again expect equities to outperform fixed income securities,
but not by as wide a margin as seen during the past few years. We will continue
to focus our efforts on large capitalization stocks and high quality
intermediate term bonds.
* Past performance is no guarantee of future results. 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. The total return for
Investment Shares, taking into account the maximum contingent deferred sales
charge of 3.00%, as of November 30, 1999 was 6.82%. The total return for
Trust Shares as of November 30, 1999 was 10.14%.
** The S&P 500/LBGCI is a weighted index that combines components of the S&P
500 and the LBGCI. Figures shown for the index assume a constant weighting
of 50% S&P 500 and 50% LBGCI throughout the period. Lipper indexes measure
the performance of the 30 largest mutual funds in each prospective fund
category. Indexes are unmanaged and investments cannot be made in an index.
*** The S&P 500 is a capitalization-weighted index of 500 stocks designed to
measure performance of the broad domestic economy through changes in the
aggregate market value of 500 stocks representing all major industries. The
LBGCI is comprised of approximately 5,000 issues which include:
non-convertible bonds publicly issued by the U.S. government or its
agencies; corporate bonds guaranteed of the U.S. government and
quasi-federal corporations; and publicly issued, fixed rate, non-convertible
domestic bonds of companies in industry, public utilities, and finance.
Tracked by Lehman Brothers, the index has an average maturity of nine years.
Indexes are unmanaged and investments cannot be made in an index.
BALANCED FUND-TRUST SHARES
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Growth of $25,000 Invested in Balanced Fund-Trust Shares
The graph below illustrates the hypothetical investment of $25,000* in the
Balanced Fund-Trust Shares (the "Fund") from May 20, 1998 (start of performance)
to November 30, 1999, compared to the Standard & Poor's 500 Index/Lehman
Brothers Government/Corporate Index (S&P 500/LBGCI), the Standard & Poor's 500
Index (S&P 500) and the Lehman Brothers Government/Corporate Index
(LBGCI).**
[GRAPHIC] - See Appendix A5.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year.......................... 10.14%
Start of Performance (5/20/98).. 11.22%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* The Fund's performance assumes the reinvestment of all dividends and
distributions. The S&P 500/LBGCI, S&P 500 and LBGCI have been adjusted to
reflect the reinvestment of dividends on securities in the indexes.
** The S&P 500/LBGCI is a weighted index that combines components of the S&P 500
and the LBGCI. Figures shown for the index assume a constant weighting of 50%
S&P 500 and 50% LBGCI throughout the period. Although the Fund's allocation
between equity and debt instruments will vary, the Fund's allocation on
November 30, 1999, as indicated in the Fund's financial statements, was 49.1%
in equities, 46.9% in debt instruments and the remainder in short-term liquid
investments. The S&P 500/LBGCI, S&P 500 and LBGCI are not adjusted to reflect
sales charges, expenses, or other fees that the Securities and Exchange
Commission requires to be reflected in the Fund's performance. Indexes are
unmanaged and investments cannot be made in an index.
BALANCED FUND-INVESTMENT SHARES
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Growth of $10,000 Invested in Balanced Fund-Investment Shares
The graph below illustrates the hypothetical investment of $10,000* in the
Balanced Fund-Investment Shares (the "Fund") from December 19, 1994 (start of
performance) to November 30, 1999, compared to the Standard & Poor's 500
Index/Lehman Brothers Government/Corporate Index (S&P 500/LBGCI), the Standard &
Poor's 500 Index (S&P 500) and the Lehman Brothers Government/ Corporate
Index (LBGCI).**
[GRAPHIC] - See Appendix A6.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year........................... 6.82%+
Start of Performance (12/19/94).. 15.62%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* Represents a hypothetical investment of $10,000 in the Fund after deducting
the maximum sales charge of 2.00% at the Fund's inception ($10,000 investment
minus $200 sales charge = $9,800). The Fund's performance assumes the
reinvestment of all dividends and distributions. The S&P 500/LBGCI, S&P 500
and LBGCI have been adjusted to reflect the reinvestment of dividends on
securities in the indexes. Effective June 1, 1997, the Fund eliminated the
sales charge and replaced it with a maximum contingent deferred sales charge
of 3.00%.
** The S&P 500/LBGCI is a weighted index that combines components of the S&P 500
and the LBGCI. Figures shown for the index assume a constant weighting of 50%
S&P 500 and 50% LBGCI throughout the period. Although the Fund's allocation
between equity and debt instruments will vary, the Fund's allocation on
November 30, 1999, as indicated in the Fund's financial statements, was 49.1%
in equities, 46.9% in debt instruments and the remainder in short-term liquid
investments. The S&P 500/LBGCI, S&P 500 and LBGCI are not adjusted to reflect
sales charges, expenses, or other fees that the Securities and Exchange
Commission requires to be reflected in the Fund's performance. Indexes are
unmanaged and investments cannot be made in an index.
+ Total return quoted reflects the maximum 3.00% contingent deferred sales
charge imposed on any redemption less than one year from the purchase date.
VALUE FUND
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Management Discussion and Analysis
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The Value Fund's Investment Shares had a total return of 5.51% for the fiscal
year ended November 30, 1999.* The S&P 500/Barra Value Index (S&P 500/BV)** had
a return of 12.09% for the same period. This index represents the lower half of
a price-to-book ranking of the Standard & Poor's 500 Index (the "S&P 500").**
The members of the S&P 500 are ranked from highest to lowest by price-to-book
ratio. The top one-half of this ranking (by market capitalization) becomes the
S&P 500/Barra Growth Index and the lower one-half becomes the S&P 500/BV. The
S&P 500/BV currently contains approximately 370 stocks.
The fund's holdings benefited from a strong stock market during this reporting
period. The S&P 500 returned 20.91%, including reinvested dividends, during this
period. Corporate earnings growth has been stronger than expected this year, but
it has been strong in certain industries and weaker in other industries. Many of
the industries with strong earnings growth have been the more traditional growth
industries, such as software, personal computers, pharmaceuticals, and
telecommunications. The stock market has continued to make record highs, but it
has been more volatile than ever before.
Value stocks did very well in April and May, when investors put money into
economically-sensitive industries such as paper, chemicals, and agricultural
equipment. However, this rally was short-lived, and the technology stocks
resumed their leadership of the market during the summer.
We plan to remain fully invested in the stock market. Although stocks have had
5 excellent years in a row, performance for the coming year may not be as good
as the last year. Interest rates have risen, and could go up a little more in
early 2000. We have seen fewer and fewer stocks do well, but the stocks that are
doing well have had large enough market capitalizations to drive the performance
of the market indices. We will continue to try to keep the fund's dividend above
that of the market as a whole.
* Past performance is no guarantee of future results. 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. The total return for
Investment Shares, taking into account the maximum contingent deferred sales
charge of 3.00%, as of November 30, 1999 was 2.74%. The total return for
Trust Shares as of November 30, 1999 was 5.76%.
** The S&P 500/BV is a sub-index of the S&P 500 representing 50% of the S&P 500
market capitalization and is comprised of those companies with lower
price-to-book ratios. The S&P 500 is a capitalization-weighted index of 500
stocks designed to measure performance of the broad domestic economy through
changes in the aggregate market value of 500 stocks representing all major
industries. Indexes are unmanaged and investments cannot be made in an index.
VALUE FUND-TRUST SHARES
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Growth of $25,000 Invested in Value Fund-Trust Shares
The graph below illustrates the hypothetical investment of $25,000* in the
Value Fund-Trust Shares (the "Fund") from May 20, 1998 (start of performance) to
November 30, 1999, compared to the Standard & Poor's 500/Barra Value Index (S&P
500/BV).**
[GRAPHIC] - See Appendix A7.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year.......................... 5.76%
Start of Performance (5/20/98).. 4.06%
Past performance is no guarantee future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* The Fund's performance assumes the reinvestment of all dividends and
distributions. The S&P 500/BV has been adjusted to reflect the reinvestment
of dividends on securities in the index.
** The S&P 500/BV is not adjusted to reflect sales charges, expenses, or other
fees that the Securities and Exchange Commission requires to be reflected in
the Fund's performance. This index is unmanaged.
VALUE FUND-INVESTMENT SHARES
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Growth of $10,000 Invested in Value Fund-Investment Shares
The graph below illustrates the hypothetical investment of $10,000* in the
Value Fund-Investment Shares (the "Fund") from December 19, 1994 (start of
performance) to November 30, 1999, compared to the Standard & Poor's 500/Barra
Value Index (S&P 500/BV).**
[GRAPHIC] - See Appendix A8.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year............................ 2.74%+
Start of Performance (12/19/94) .. 17.22%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* Represents a hypothetical investment of $10,000 in the Fund after deducting
the maximum sales charge of 2.00% at the Fund's inception ($10,000 investment
minus $200 sales charge = $9,800). The Fund's performance assumes the
reinvestment of all dividends and distributions. The S&P 500/BV has been
adjusted to reflect the reinvestment of dividends on securities in the index.
Effective June 1, 1997, the Fund eliminated the sales charge and replaced it
with a maximum contingent deferred sales charge of 3.00%.
** The S&P 500/BV is not adjusted to reflect sales charges, expenses, or other
fees that the Securities and Exchange Commission requires to be reflected in
the Fund's performance. This index is unmanaged.
+ Total return quoted reflects the maximum 3.00% contingent deferred sales
charge imposed on any redemption less than one year from the purchase date.
GROWTH FUND
- -------------------------------------------------------------------------------
Management Discussion and Analysis
- -------------------------------------------------------------------------------
During the fiscal year ended November 30, 1999 the Growth Fund's Investment
Shares returned 27.07% based upon net asset value,* which slightly lagged the
return of the Standard & Poor's 500/Barra Growth Index of 28.49% and exceeded
the Standard & Poor's 500 Index return of 20.91%.**
The stock market was influenced by two forces during the year which led to
periods of volatility; a worldwide rebound from the negative impact of the Asian
crisis and the Federal Reserve Board raising rates to slow down that recovery
domestically. The result was a year where Technology issues vastly outperformed
the market as a whole while most other sectors lagged the market.
During 2000 we expect the economy to continue to grow, but at a slower pace
than 1999; we expect inflation to remain tame but at a higher level than 1999
and we expect corporate profits to expand. We will continue to focus on large
capitalization growth companies in this portfolio.
* Past performance is no guarantee of future results. 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. The total return for
Investment Shares, taking into account the maximum contingent deferred sales
charge of 3.00%, as of November 30, 1999 was 24.07%. The total return for
Trust Shares as of November 30, 1999 was 27.42%.
** The Standard & Poor's 500/Barra Growth Index is a capitalization-weighted
index of all the stocks in the S&P 500 that have price-to-book ratios. The
Standard & Poor's 500 Index is a capitalization-weighted index of 500 stocks
designed to measure performance of the broad domestic economy through changes
in the aggregate market value of 500 stocks representing all major
industries. Indexes are unmanaged and investments cannot be made in an index.
GROWTH FUND-TRUST SHARES
- -------------------------------------------------------------------------------
Growth of $25,000 Invested in Growth Fund-Trust Shares
The graph below illustrates the hypothetical investment of $25,000* in the
Growth Fund-Trust Shares (the "Fund") from May 20, 1998 (start of performance)
to November 30, 1999, compared to the Standard & Poor's 500 Index (S&P 500).**
[GRAPHIC] - See Appendix A9.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year .......................... 27.42%
Start of Performance (5/20/98) .. 26.71%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* The Fund's performance assumes the reinvestment of all dividends and
distributions. The S&P 500 has been adjusted to reflect the reinvestment of
dividends on securities in the index.
** The S&P 500 is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the
Fund's performance. This index is unmanaged.
GROWTH FUND-INVESTMENT SHARES
- -------------------------------------------------------------------------------
Growth of $10,000 Invested in Growth Fund-Investment Shares
The graph below illustrates the hypothetical investment of $10,000* in the
Growth Fund Investment Shares (the "Fund") from April 20, 1992 (start of
performance) to November 30, 1999, compared to the Standard & Poor's 500 Index
(S&P 500).**
[GRAPHIC] - See Appendix A10.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year .......................... 24.07%+
5 Years.......................... 26.83%
Start of Performance (4/20/92) .. 18.58%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* Represents a hypothetical investment of $10,000 in the Fund after deducting
the maximum sales charge of 2.00% at the Fund's inception ($10,000 investment
minus $200 sales charge = $9,800). The Fund's performance assumes the
reinvestment of all dividends and distributions. The S&P 500 has been
adjusted to reflect the reinvestment of dividends on securities in the index.
Effective June 1, 1997, the Fund eliminated the sales charge and replaced it
with a maximum contingent deferred sales charge of 3.00%.
** The S&P 500 is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the
Fund's performance. This index is unmanaged.
+ Total return quoted reflects the maximum 3.00% contingent deferred sales
charge imposed on any redemption less than one year from the purchase date.
AGGRESSIVE GROWTH FUND
- -------------------------------------------------------------------------------
Management and Discussion and Analysis
- -------------------------------------------------------------------------------
The Aggressive Growth Fund was launched on Monday, March 15, 1999 (the date of
the mutual fund's initial operation) with a $10.00 net asset value per share.
The fund paid a short-term capital gain of $0.62 on September 30, 1999 and ended
the fiscal year with a $12.58 net asset value per share. This resulted in a
total return of 33.17%, or 30.17% adjusted for the 3.00% contingent deferred
sales charge, over this initial interim period.* Over this period, the Standard
& Poor's Midcap 400/Barra Growth Index returned 26.46% while the Standard &
Poor's 500 Index returned 8.23%.**
Investors' rush to invest in technology stocks greatly helped the fund's
performance. The fund was over-weighted in technology stocks relative to the
Barra Index. Some of the stocks that contributed to the fund's performance were
QUALCOMM, Comverse Technology, Citrix Systems, Electronic Arts, Human Genome
Sciences, IDEC Pharmaceuticals, Medimmune, and Valuevision.
During the year, the fund held an average cash position of about 10% and held
an average of about 85 stocks. The cash position combined with the large number
of stocks were tactics used to help reduce market volatility and to reduce
issue-specific risk. The stock market was priced at very high historical
valuation ratios, and we were concerned about potential market volatility and
valuation levels of individual stocks. By being slightly defensive with the
portfolio, we left a few percentage points of performance on the table with an
eye on avoiding any major problems.
We look forward to fiscal 2000. However, one concern we have is the market's
fascination with technology stocks. Yes, it's nice to have stocks that may
double in a very short time period, but this is historically not the norm. Money
flow is generally targeted for technology funds and mid-cap growth funds. This
single focus by investors is creating some severe market imbalances. At some
point, we believe the tide will turn from technology to other areas. One
potential new growth sector is biotechnology that had one of its best years in
history, both market-wise and fundamentally. Next to the technology sector,
biotech was the fund's second largest sector weight and performer. Biotech
offers slower lead times to get products to market, but patent protection
generally allows the companies to show years of earnings growth due the
successes of new drugs.
So, our challenge for 2000 will be like any other year: search out potentially
attractive stocks, and get aboard early for the ride.
* Past performance is no guarantee of future results. 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.
** The Standard & Poor's Midcap 400/Barra Growth Index is a
capitalization-weighted index of common stocks representing all major
industries in the mid-range of the U.S. stock market having the highest
price-to-book ratios. The Standard & Poor's 500 Index is a
capitalization-weighted index of 500 stocks designed to measure the
performance of the broad domestic economy through changes in the aggregate
market value of 500 stocks representing all major industries. Indexes are
unmanaged and investments cannot be made in an index.
AGGRESSIVE GROWTH FUND
- -------------------------------------------------------------------------------
Growth of $10,000 Invested in Aggressive Growth Fund
The graph below illustrates the hypothetical investment of $10,000* in the
Aggressive Growth Fund (the "Fund") from June 30, 1993** (start of performance)
to November 30, 1999, compared to the Standard and Poor's 500 Index (S&P 500)
and the Standard and Poor's Midcap 400/Barra Growth Index (S&P MC400/BG) and the
Lipper Midcap Growth Funds Index (LMGF).***
[GRAPHIC] - See Appendix A11.
AVERAGE ANNUAL TOTAL RETURN FOR THE PERIOD ENDED NOVEMBER 30, 1999
1 Year.......................... 47.42%++
5 Years......................... 25.20%
Start of Performance (6/30/93).. 17.84%
Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate so when shares are redeemed, they may be worth
more or less than their original cost. Mutual funds are not obligations of or
guaranteed by any bank and are not federally insured.
* Represents a hypothetical investment of $10,000 in the Fund. The ending
value of the Fund reflects a maximum 3.00% contingent deferred sales charge
on any redemption less than one year from the purchase date. The Fund's
performance assumes the reinvestment of all dividends and distributions. The
S&P 500, S&P MC400/BG and LMGF have been adjusted to reflect the
reinvestment of dividends on securities in the indexes.
** The Fund is the successor to a Collective Trust Fund. The quoted performance
data includes performance of the Collective Trust Fund for the period from
6/30/93 to 3/15/99 when the Fund first commenced operation, as adjusted to
reflect the Fund's anticipated expenses. The Collective Trust Fund was not
registered under the Investment Company Act of 1940 ("1940 Act") and
therefore was not subject to certain investment restrictions imposed by the
1940 Act. If the Collective Trust Fund had been registered under the 1940
Act, the performance may have been adversely affected.
*** The S&P 500, S&P MC400/BG and LMGF are not adjusted to reflect sales
charges, expenses, or other fees that the Securities and Exchange Commission
requires to be reflected in the Fund's performance. Lipper indexes measure
the performance of the 30 largest mutual funds in each prospective fund
category. These indexes are unmanaged.
+ For this illustration, the S&P MC400/BG began its performance on March 31,
1997. The index has been assigned a beginning value of $14,261, the value of
the Fund on March 31, 1997.
++ Total return quoted reflects the maximum 3.00% contingent deferred sales
charge imposed on any redemption less than one year from the purchase date.
Regions Treasury Money Market Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ------------- -------------------------- ------------
<S> <C> <C>
United States Treasury Obligations-96.4%
- ------------- --------------------------
U.S. Treasury Bills-70.5%
--------------------------
$435,000,000 12/9/1999-3/23/2000 $432,252,352
-------------------------- ------------
U.S. Treasury Notes-25.9%
--------------------------
55,000,000 5.375%-7.750%, 1/31/2000 55,192,958
--------------------------
45,000,000 5.875%, 2/15/2000 45,059,353
--------------------------
58,000,000 6.875%, 3/31/2000 58,280,669
-------------------------- ------------
Total 158,532,980
-------------------------- ------------
Total United States
Treasury Obligations
(at amortized cost) 590,785,332
-------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- ---------- ----------------------------- ------------
<S> <C> <C>
Mutual Fund Shares-3.5%
- ---------- -----------------------------
AIM Short-Term Investment Co.
1,542,595 Prime Portfolio $1,542,595
-----------------------------
Federated U.S. Treasury Cash
11,578,479 Reserves Fund 11,578,479
-----------------------------
Goldman Sachs Fund Square
8,560,222 Trust 8,560,222
----------------------------- ------------
Total Mutual Fund Shares
(at net asset value) 21,681,296
----------------------------- ------------
Total Investments
(at amortized cost
and value)(1) $612,466,628
----------------------------- ------------
</TABLE>
(1) Also represents cost for federal tax purposes.
Note: The categories of investments are shown as a percentage of net assets
($613,248,021) at November 30, 1999.
(See Notes which are an integral part of the Financial Statements)
Regions Limited Maturity Government Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- -------------------------------- ------------
<S> <C> <C>
Corporate Bonds-16.6%
- ---------- --------------------------------
Commercial Services-2.6%
--------------------------------
Dow Jones & Co., 5.750%,
$3,000,000 12/1/2000 $2,986,680
-------------------------------- ------------
Consumer Non-Durables-1.8%
--------------------------------
2,000,000 PepsiCo, Inc., 5.875%, 6/1/2000 1,999,940
-------------------------------- ------------
Consumer Services-5.3%
--------------------------------
Carnival Corp., 5.650%,
2,000,000 10/15/2000 1,984,940
--------------------------------
Disney (Walt) Co., 5.600%,
2,000,000 4/17/2000 1,997,860
--------------------------------
2,000,000 Tribune Co., 5.300%, 4/17/2000 1,994,060
-------------------------------- ------------
Total 5,976,860
-------------------------------- ------------
Finance-Automotive-1.8%
--------------------------------
Ford Motor Credit Corp., 6.375%,
2,000,000 10/6/2000 1,997,840
-------------------------------- ------------
Finance Companies-1.7%
--------------------------------
International Lease Finance
2,000,000 Corp., 5.400%, 1/22/2002 1,936,440
-------------------------------- ------------
Producer Manufacturing-1.7%
--------------------------------
Cooper Industries, Inc., 5.620%,
2,000,000 2/15/2001 1,971,440
-------------------------------- ------------
Utilities-1.7%
--------------------------------
Southern California Edison Co.,
2,000,000 5.875%, 1/15/2001 1,987,440
-------------------------------- ------------
Total Corporate Bonds
(identified cost $18,946,980) 18,856,640
-------------------------------- ------------
U.S. Government Agencies-54.0%
- ---------- --------------------------------
Federal Farm Credit Bank-3.5%
--------------------------------
1,000,000 5.000%, 12/24/2002 961,010
--------------------------------
1,000,000 5.250%, 5/1/2002 975,490
--------------------------------
2,000,000 6.750%, 9/29/2003 1,985,260
-------------------------------- ------------
Total 3,921,760
-------------------------------- ------------
Federal Home Loan Bank-31.6%
--------------------------------
2,000,000 4.630%, 10/9/2001 1,943,100
--------------------------------
4,000,000 4.910%, 11/19/2001 3,903,960
--------------------------------
3,300,000 5.005%, 12/4/2001 3,225,057
--------------------------------
1,000,000 5.125%, 2/26/2002 974,600
--------------------------------
3,325,000 5.345%, 2/16/2001 3,289,622
--------------------------------
1,800,000 5.400%, 1/15/2003 1,743,516
--------------------------------
3,000,000 5.410%, 3/26/2002 2,935,530
--------------------------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- -------------------------------- ------------
<S> <C> <C>
U.S. Government Agencies-Continued
- ---------- --------------------------------
Federal Home Loan Bank-Continued
--------------------------------
$1,000,000 5.460%, 3/29/2004 $958,060
--------------------------------
2,000,000 5.575%, 8/28/2001 1,977,100
--------------------------------
2,000,000 5.580%, 4/9/2001 1,983,500
--------------------------------
3,000,000 5.590%, 3/27/2000 2,998,530
--------------------------------
2,000,000 5.610%, 3/1/2001 1,984,260
--------------------------------
2,000,000 5.620%, 1/12/2001 1,987,280
--------------------------------
2,000,000 5.625%, 6/2/2000 1,995,120
--------------------------------
1,000,000 5.875%, 8/15/2001 993,810
--------------------------------
1,000,000 5.950%, 10/6/2000 997,820
--------------------------------
1,000,000 6.100%, 10/9/2002 991,680
--------------------------------
1,000,000 6.130%, 7/19/2002 993,010
-------------------------------- ------------
Total 35,875,555
-------------------------------- ------------
Federal Home Loan Mortgage
Corporation-4.4%
--------------------------------
1,000,000 5.960%, 10/20/2000 997,820
--------------------------------
2,000,000 7.000%, 11/7/2003 1,995,520
--------------------------------
2,000,000 7.000%, 4/21/2003 1,996,100
-------------------------------- ------------
Total 4,989,440
-------------------------------- ------------
Federal National Mortgage
Association-14.5%
--------------------------------
500,000 MTN, 4/8/2003 400,865
--------------------------------
2,000,000 4.625%, 10/15/2001 1,942,800
--------------------------------
1,000,000 5.250%, 1/15/2003 967,270
--------------------------------
1,000,000 5.600%, 2/2/2001 993,080
--------------------------------
4,000,000 5.860%, 11/7/2000 3,987,320
--------------------------------
2,000,000 6.200%, 6/19/2002 1,976,560
--------------------------------
5,200,000 6.500%, 9/5/2002 5,162,092
--------------------------------
1,000,000 6.750%, 10/30/2002 997,050
-------------------------------- ------------
Total 16,427,037
-------------------------------- ------------
Total U.S. Government
Agencies (identified cost
$61,962,371) 61,213,792
-------------------------------- ------------
U.S. Treasury Notes-26.6%
- ---------- --------------------------------
500,000 STRIP, IO, 5/15/2001 459,100
--------------------------------
1,500,000 5.250%, 1/31/2001 1,489,815
--------------------------------
3,000,000 5.250%, 5/31/2001 2,971,230
--------------------------------
3,000,000 5.250%, 8/15/2003 2,915,850
--------------------------------
4,000,000 5.375%, 6/30/2000 3,995,880
--------------------------------
</TABLE>
Regions Limited Maturity Government Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ------------------ ------------
<S> <C> <C>
U.S. Treasury Notes-Continued
- ---------- ------------------
$3,000,000 5.375%, 6/30/2003 $2,932,680
------------------
3,750,000 5.500%, 4/15/2000 3,750,338
------------------
500,000 5.500%, 12/31/2000 498,085
------------------
500,000 5.625%, 11/30/2000 499,160
------------------
1,500,000 5.625%, 2/28/2001 1,495,200
------------------
2,000,000 5.625%, 5/15/2001 1,991,640
------------------
2,450,000 5.625%, 12/31/2002 2,420,747
------------------
500,000 5.750%, 10/31/2000 499,805
------------------
1,200,000 5.750%, 11/30/2002 1,190,424
------------------
1,000,000 5.875%, 6/30/2000 1,001,780
------------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ------------------------------ ------------
<S> <C> <C>
U.S. Treasury Notes-Continued
- ---------- ------------------------------
$1,000,000 6.000%, 8/15/2004 $994,860
------------------------------
1,000,000 6.250%, 2/15/2003 1,004,400
------------------------------ ------------
Total U.S. Treasury Notes
(identified cost $30,331,707) 30,110,994
------------------------------ ------------
(1)Repurchase Agreement-1.8%
- ---------- ------------------------------
GX Clarke & Co., 5.550%, dated
11/30/1999, due 12/1/1999
2,093,669 (at amortized cost) 2,093,669
------------------------------ ------------
Total Investments (identified
cost $113,334,727)(2) $112,275,095
------------------------------ ------------
</TABLE>
(1) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(2) The cost of investments for federal tax purposes amounts to $113,334,727.
The net unrealized depreciation of investments on a federal tax basis
amounts to $1,059,632 which is comprised of $49,836 appreciation and
$1,109,468 depreciation at November 30, 1999.
Note: The categories of investments are shown as a percentage of net assets
($113,356,834) at November 30, 1999.
The following acronyms are used throughout this portfolio:
IO-Interest only
MTN-Medium Term Note
STRIP-Separate Trading of Registered Interest & Principal of Securities
(See Notes which are an integral part of the Financial Statements)
Regions Fixed Income Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- --------- ------------------------------ ------------
<S> <C> <C>
Corporate Bonds-22.4%
- --------- ------------------------------
Consumer Durables-0.4%
------------------------------
Motor Vehicles
------------------------------
Ford Motor Co., Note, 8.875%,
$880,000 4/1/2006 $951,650
------------------------------ ------------
Consumer Services-0.6%
------------------------------
Newspapers
------------------------------
Dow Jones & Co., Note, 5.75%,
1,650,000 12/1/2000 1,642,674
------------------------------ ------------
Consumer Non-Durables-4.2%
------------------------------
Packaged Foods
------------------------------
Campbell Soup Co., Bond,
2,500,000 6.15%, 12/1/2002 2,461,050
------------------------------
Sara Lee Corp., Note, 5.95%,
5,000,000 1/20/2005 4,731,200
------------------------------ ------------
Total 7,192,250
------------------------------ ------------
Personal Care
------------------------------
Avon Products, Inc., Sr. Note,
3,000,000 6.55%, 8/1/2007 2,847,240
------------------------------ ------------
Soft Drinks
------------------------------
PepsiCo, Inc., Note, 5.875%,
1,000,000 6/1/2000 999,970
------------------------------ ------------
Total Consumer Non-Durables 11,039,460
------------------------------ ------------
Finance-10.6%
------------------------------
Finance-Automotive
------------------------------
Ford Motor Credit Corp., Sr.
1,000,000 Note, 5.75%, 2/23/2004 954,590
------------------------------
General Motors Acceptance
Corp., Sr. Unsub., 5.875%,
5,000,000 1/22/2003 4,848,150
------------------------------ ------------
Total 5,802,740
------------------------------ ------------
Finance Companies
------------------------------
Associates Corp. of North
America, Sr. Note, 5.75%,
1,000,000 10/15/2003 961,710
------------------------------
Commercial Credit Co., Note,
2,000,000 5.90%, 9/1/2003 1,928,080
------------------------------
Commercial Credit Co., Note,
1,000,000 6.50%, 8/1/2004 973,770
------------------------------
International Lease Finance
1,000,000 Corp., Note, 5.40%, 1/22/2002 968,220
------------------------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- -------------------------------- ------------
<S> <C> <C>
Corporate Bonds-Continued
- ---------- --------------------------------
Finance-Continued
--------------------------------
Finance Companies-Continued
--------------------------------
National Rural Utilities
Cooperative Finance Corp.,
$5,000,000 Note, 6.046%, 4/15/2003 $4,875,800
--------------------------------
Sears Roebuck Acceptance
5,000,000 Corp., Bond, 6.00%, 3/20/2003 4,802,950
-------------------------------- ------------
Total 14,510,530
-------------------------------- ------------
Investment
Bankers/Brokers/Services
--------------------------------
Merrill Lynch & Co., Inc., Note,
5,000,000 6.00%, 2/12/2003 4,870,550
--------------------------------
Morgan Stanley, Dean Witter &
Co., Sr. Unsub., 5.625%,
2,000,000 1/20/2004 1,903,120
-------------------------------- ------------
Total 6,773,670
-------------------------------- ------------
Major Banks
--------------------------------
SouthTrust Bank of Alabama,
Birmingham, Sub. Note, 7.00%,
1,000,000 11/15/2008 977,020
-------------------------------- ------------
Total Finance 28,063,960
-------------------------------- ------------
Non-Energy Materials-3.5%
--------------------------------
Aluminum
--------------------------------
Alcoa, Inc., Note, 5.75%,
4,000,000 2/1/2001 3,958,920
-------------------------------- ------------
Chemicals
--------------------------------
Air Products & Chemicals, Inc.,
2,750,000 Note, 6.25%, 6/15/2003 2,647,480
-------------------------------- ------------
Chemicals-Specialty
--------------------------------
Lubrizol Corp., Sr. Note,
3,000,000 5.875%, 12/1/2008 2,695,560
-------------------------------- ------------
Total Non-Energy Materials 9,301,960
-------------------------------- ------------
Transportation-0.4%
--------------------------------
Railroads
--------------------------------
Burlington Northern Santa Fe,
Equip. Trust, Series 99-A,
1,000,000 5.85%, 5/1/2005 933,490
-------------------------------- ------------
Utilities-2.7%
--------------------------------
Electric Utilities: West
--------------------------------
Southern California Edison Co.,
3,000,000 Sr. Note, 5.875%, 1/15/2001 2,981,160
-------------------------------- ------------
</TABLE>
Regions Fixed Income Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ------------------------------ ------------
<S> <C> <C>
Corporate Bonds-Continued
- ---------- ------------------------------
Utilities-Continued
------------------------------
Major U.S.
Telecommunications
------------------------------
BellSouth Telecommunications,
$2,400,000 Inc., Note, 6.00%, 6/15/2002 $2,359,536
------------------------------
New York Telephone Co.,
2,000,000 Unsecd. Note, 5.875%, 9/1/2003 1,918,240
------------------------------ ------------
Total 4,277,776
------------------------------ ------------
Total Utilities 7,258,936
------------------------------ ------------
Total Corporate Bonds
(identified cost $61,074,951) 59,192,130
------------------------------ ------------
Corporate Notes-5.6%
- ---------- ------------------------------
Consumer Services-1.5%
------------------------------
Hotels/Resorts
------------------------------
Carnival Corp., Note, 5.65%,
4,000,000 10/15/2000 3,969,880
------------------------------ ------------
Finance-3.7%
------------------------------
Finance Companies
------------------------------
American General Finance
2,000,000 Corp., Note, 6.05%, 4/9/2003 1,944,940
------------------------------
Associates Corp. of North
America, Sr. Note, 6.50%,
2,000,000 7/15/2002 1,985,760
------------------------------
Associates Corp. of North
America, Sr. Note, 6.875%,
1,000,000 8/1/2003 998,620
------------------------------
Ford Motor Credit Corp., Sr.
5,000,000 Note, 6.00%, 1/14/2003 4,867,750
------------------------------ ------------
Total Finance 9,797,070
------------------------------ ------------
Health Technology-0.4%
------------------------------
Major Pharmaceuticals
------------------------------
Warner-Lambert Co., Note,
1,000,000 5.75%, 1/15/2003 969,340
------------------------------ ------------
Total Corporate Notes
(identified cost $14,987,528) 14,736,290
------------------------------ ------------
U.S. Government Agencies-57.6%
- ---------- ------------------------------
Federal Farm Credit Bank
------------------------------
2,000,000 5.00%, 12/24/2002 1,922,020
------------------------------
3,200,000 5.10%, 11/9/2005 2,965,824
------------------------------
3,000,000 5.25%, 12/28/2005 2,799,480
------------------------------
1,000,000 5.55%, 2/24/2006 937,610
------------------------------
2,000,000 5.70%, 4/28/2006 1,892,760
------------------------------
1,000,000 5.75%, 9/1/2005 959,350
------------------------------
5,500,000 5.79%, 3/15/2006 5,234,295
------------------------------
1,000,000 5.90%, 1/10/2005 969,640
------------------------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ---------------------------------- ------------
<S> <C> <C>
U.S. Government Agencies-Continued
- ---------- ----------------------------------
Federal Farm Credit Bank-Continued
----------------------------------
$1,000,000 5.92%, 12/18/2002 $986,300
----------------------------------
1,300,000 7.15%, 8/25/2005 1,289,691
---------------------------------- ------------
Total 19,956,970
---------------------------------- ------------
Federal Home Loan Bank
----------------------------------
7,300,000 5.005%, 12/4/2001 7,134,217
----------------------------------
1,000,000 5.005%, 10/1/2003 948,080
----------------------------------
2,200,000 5.08%, 10/14/2005 2,038,366
----------------------------------
5,000,000 5.10%, 2/5/2004 4,731,850
----------------------------------
1,750,000 5.125%, 2/26/2002 1,705,550
----------------------------------
3,000,000 5.125%, 9/15/2003 2,859,660
----------------------------------
2,000,000 5.135%, 9/23/2003 1,905,320
----------------------------------
1,000,000 5.19%, 9/23/2003 953,200
----------------------------------
2,000,000 5.345%, 2/16/2001 1,978,720
----------------------------------
1,000,000 5.41%, 3/26/2002 978,510
----------------------------------
2,000,000 5.46%, 3/29/2004 1,916,120
----------------------------------
3,000,000 5.62%, 1/12/2001 2,980,920
----------------------------------
1,000,000 5.625%, 6/2/2000 997,560
----------------------------------
4,000,000 5.69%, 6/19/2003 3,886,840
----------------------------------
4,000,000 5.70%, 3/25/2003 3,894,480
----------------------------------
2,000,000 5.717%, 8/25/2003 1,942,440
----------------------------------
1,000,000 5.72%, 3/6/2003 974,570
----------------------------------
4,000,000 5.80%, 3/30/2009 3,708,440
----------------------------------
2,000,000 5.805%, 8/24/2005 1,924,100
----------------------------------
5,850,000 (1)5.81%, 2/5/2000 5,733,293
----------------------------------
2,800,000 5.85%, 2/27/2008 2,615,004
----------------------------------
1,000,000 5.86%, 12/30/2002 984,490
----------------------------------
3,000,000 6.14%, 12/10/2004 2,942,127
----------------------------------
1,875,000 6.25%, 8/13/2004 1,849,387
----------------------------------
3,000,000 7.34%, 10/4/2006 2,980,500
----------------------------------
1,000,000 7.52%, 8/24/2004 1,004,160
----------------------------------
1,000,000 7.54%, 10/13/2009 989,080
----------------------------------
Series F5-2001, 5.52%,
3,000,000 1/22/2001 2,975,550
---------------------------------- ------------
Total 69,532,534
---------------------------------- ------------
Federal Home Loan Mortgage
Corporation
----------------------------------
2,000,000 6.625%, 11/28/2005 1,951,520
----------------------------------
950,000 7.00%, 11/7/2003 947,872
----------------------------------
2,000,000 7.51%, 10/27/2006 1,994,740
----------------------------------
</TABLE>
Regions Fixed Income Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ----------- -------------------------------- ------------
<S> <C> <C>
U.S. Government Agencies-Continued
- ----------- --------------------------------
Federal Home Loan Mortgage
Corporation-Continued
--------------------------------
$2,000,000 7.53%, 8/7/2006 $2,004,360
--------------------------------
(1)Series 1414, Class F, 6.495%,
314,132 12/15/1999 322,016
--------------------------------
Series 1475, Class O, 7.00%,
876,265 2/15/2008 863,279
-------------------------------- ------------
Total 8,083,787
-------------------------------- ------------
Federal National Mortgage
Association
--------------------------------
2,500,000 Discount Note, 10/8/2004 1,819,225
--------------------------------
3,500,000 Discount Note, 4/8/2003 2,806,055
--------------------------------
2,000,000 5.125%, 2/13/2004 1,894,760
--------------------------------
4,379,705 6.00%, 9/1/2013 4,193,568
--------------------------------
1,700,000 6.75%, 10/30/2002 1,694,985
--------------------------------
1,966,972 7.00%, 9/1/2014 1,957,747
--------------------------------
5,000,000 7.09%, 3/13/2007 4,947,700
--------------------------------
2,000,000 7.27%, 2/14/2007 1,979,480
--------------------------------
2,000,000 7.28%, 10/27/2004 1,999,280
--------------------------------
3,000,000 7.45%, 10/30/2006 2,993,490
--------------------------------
10,000,000 7.55%, 3/27/2007 9,952,000
--------------------------------
2,000,000 8.00%, 9/1/2009 2,001,700
--------------------------------
Series G93-32, Class J, 6.75%,
3,716,165 5/25/2009 3,561,721
--------------------------------
3,000,000 Series MTN, 7.11%, 3/20/2006 2,970,330
--------------------------------
Unsecd. Note, 7.65%,
3,000,000 11/6/2009 2,981,490
--------------------------------
Unsecd. Note, Series MTN,
2,000,000 7.07%, 10/24/2006 1,983,180
-------------------------------- ------------
Total 49,736,711
-------------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ----------- ----------------------------- ------------
<S> <C> <C>
U.S. Government Agencies-Continued
- ----------- -----------------------------
Government National
Mortgage Association
-----------------------------
$1,881,426 6.00%, 2/15/2014 $1,800,882
-----------------------------
1,229,983 6.00%, 2/15/2014 1,177,327
----------------------------- ------------
Total 2,978,209
----------------------------- ------------
Tennessee Valley Authority
-----------------------------
2,313,000 STRIPS, PO, 10/15/2003 1,787,995
----------------------------- ------------
Total U.S. Government
Agencies (identified cost
$156,230,012) 152,076,206
----------------------------- ------------
U.S. Treasury Obligations-12.3%
- ----------- -----------------------------
U.S. Treasury Bonds
-----------------------------
12,250,000 IO, 02/15/2006 8,287,983
-----------------------------
7,000,000 7.50%, 5/15/2002 7,232,680
----------------------------- ------------
Total 15,520,663
----------------------------- ------------
U.S. Treasury Notes
-----------------------------
5,000,000 5.25%, 8/15/2003 4,859,750
-----------------------------
3,300,000 5.50%, 1/31/2003 3,246,441
-----------------------------
3,000,000 5.625%, 2/15/2006 2,911,230
-----------------------------
3,000,000 5.875%, 11/15/2005 2,951,940
-----------------------------
3,000,000 6.50%, 10/15/2006 3,035,550
----------------------------- ------------
Total 17,004,911
----------------------------- ------------
Total U.S. Treasury
Obligations (identified cost
$32,412,553) 32,525,574
----------------------------- ------------
(2)Repurchase Agreement-1.2%
- ----------- -----------------------------
GX Clarke & Co., 5.55%, dated
11/30/1999, due 12/1/1999
$3,071,294 (at amortized cost) 3,071,294
----------------------------- ------------
Total Investments (identified
cost $267,776,338)(3) $261,601,494
----------------------------- ------------
</TABLE>
(1) Current rate and next reset date shown.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $267,776,338.
The net unrealized depreciation of investments on a federal tax basis
amounts to $6,174,844 which is comprised of $607,072 appreciation and
$6,781,916 depreciation at November 30, 1999.
Note: The categories of investments are shown as a percentage of net assets
($263,921,466) at November 30, 1999.
The following acronyms are used throughout this portfolio:
IO-Interest Only
MTN-Medium Term Note
PO-Principal Only
STRIPS-Separate Trading of Registered Interest & Principal of Securities
(See Notes which are an integral part of the Financial Statements)
Regions Balanced Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ---------- --------------------------- ------------
<S> <C> <C>
Common Stocks-49.1%
- ---------- ---------------------------
Consumer Durables-1.6%
---------------------------
Soft Drinks
---------------------------
27,500 Coca-Cola Co. $1,851,094
---------------------------
32,000 PepsiCo, Inc. 1,106,000
--------------------------- ------------
Total Consumer Durables 2,957,094
--------------------------- ------------
Consumer Non-Durables-3.7%
---------------------------
Packaged Goods/Cosmetics
---------------------------
22,000 Colgate-Palmolive Co. 1,207,250
---------------------------
16,000 Dial Corp. 449,000
---------------------------
13,700 Gillette Co. 550,569
---------------------------
16,000 Kimberly-Clark Corp. 1,022,000
---------------------------
14,400 Procter & Gamble Co. 1,555,200
--------------------------- ------------
Total 4,784,019
--------------------------- ------------
Packaged Foods
---------------------------
17,000 General Mills, Inc. 640,688
---------------------------
24,000 Sara Lee Corp. 582,000
--------------------------- ------------
Total 1,222,688
--------------------------- ------------
Paper Products
---------------------------
2,000 International Paper Co. 104,375
---------------------------
2,500 Mead Corp. 89,219
--------------------------- ------------
Total 193,594
--------------------------- ------------
Tobacco
---------------------------
19,000 Philip Morris Cos., Inc. 499,938
--------------------------- ------------
Total Consumer Non-Durables 6,700,239
--------------------------- ------------
Consumer Services-1.0%
---------------------------
Food Distributors
---------------------------
24,000 Sysco Corp. 913,500
--------------------------- ------------
Restaurants
---------------------------
22,000 McDonald's Corp. 990,000
--------------------------- ------------
Total Consumer Services 1,903,500
--------------------------- ------------
Energy Minerals-2.5%
---------------------------
Intergrated Oil Companies
---------------------------
8,800 Chevron Corp. 779,350
---------------------------
23,200 Exxon Corp. 1,840,050
---------------------------
9,800 Mobil Corp. 1,022,263
---------------------------
15,000 Texaco, Inc. 914,063
--------------------------- ------------
Total Energy Minerals 4,555,726
--------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- ---------- ------------------------------------ ------------
<S> <C> <C>
Common Stocks-Continued
- ---------- ------------------------------------
Electronic Technology-10.3%
------------------------------------
Computers-Communications
------------------------------------
33,650 (1)Cisco Systems, Inc. $3,001,159
------------------------------------ ------------
Electronic Data Processing
------------------------------------
20,000 (1)Dell Computer Corp. 860,000
------------------------------------
17,000 (1)Gateway, Inc. 1,298,375
------------------------------------
International Business Machines
20,900 Corp. 2,154,006
------------------------------------
12,000 (1)Sun Microsystems, Inc. 1,587,000
------------------------------------ ------------
Total 5,899,381
------------------------------------ ------------
Semiconductors
------------------------------------
35,500 Intel Corp. 2,722,406
------------------------------------ ------------
Telecommunication-Equipment
------------------------------------
46,000 Lucent Technologies, Inc. 3,360,875
------------------------------------
9,500 Motorola, Inc. 1,085,375
------------------------------------
16,200 Nortel Networks Corp. 1,198,800
------------------------------------
24,000 (1)Tellabs, Inc. 1,557,000
------------------------------------ ------------
Total 7,202,050
------------------------------------ ------------
Total Electronic Technology 18,824,996
------------------------------------ ------------
Finance-8.4%
------------------------------------
Consumer Finance
------------------------------------
13,500 MBNA Corp. 340,875
------------------------------------ ------------
Diversified Financial Services
------------------------------------
11,000 American Express Co. 1,664,437
------------------------------------
346 (1)Berkshire Hathaway, Inc., Class B 645,290
------------------------------------
38,000 Citigroup, Inc. 2,047,250
------------------------------------
Federal National Mortgage
17,000 Association 1,132,625
------------------------------------ ------------
Total 5,489,602
------------------------------------ ------------
Finance Companies
------------------------------------
S&P Depositary Receipts Trust,
19,500 ADR 2,715,984
------------------------------------ ------------
Life Insurance
------------------------------------
8,500 American General Corp. 623,156
------------------------------------
6,800 Jefferson-Pilot Corp. 461,550
------------------------------------ ------------
Total 1,084,706
------------------------------------ ------------
Major Banks
------------------------------------
19,000 Bank of America Corp 1,111,500
------------------------------------
16,800 Chase Manhattan Corp. 1,297,800
------------------------------------
27,000 Wells Fargo Co. 1,255,500
------------------------------------ ------------
Total 3,664,800
------------------------------------ ------------
</TABLE>
Regions Balanced Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ---------- ---------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- ---------- ----------------------------
Finance-Continued
----------------------------
Multi-Line Insurance
----------------------------
American International
19,750 Group, Inc. $2,039,187
---------------------------- ------------
Total Finance 15,335,154
---------------------------- ------------
Health Technology-5.4%
----------------------------
Major Pharmaceuticals
----------------------------
33,000 American Home Products Corp. 1,716,000
----------------------------
23,800 Bristol-Myers Squibb Co. 1,738,887
----------------------------
16,400 Johnson & Johnson 1,701,500
----------------------------
28,000 Merck & Co., Inc. 2,198,000
----------------------------
45,000 Pfizer, Inc. 1,628,438
----------------------------
18,000 Schering Plough Corp. 920,250
---------------------------- ------------
Total Health Technology 9,903,075
---------------------------- ------------
Industrial Services-0.9%
----------------------------
Oilfield Services/Equipment
----------------------------
21,000 Halliburton Co. 812,438
----------------------------
14,500 Schlumberger Ltd. 870,906
---------------------------- ------------
Total Industrial Services 1,683,344
---------------------------- ------------
Non-Energy Materials-0.5%
----------------------------
Biotechnology
----------------------------
8,900 (1)Amgen, Inc. 405,506
---------------------------- ------------
Specialty Chemicals
----------------------------
Du Pont (E.I.) de Nemours
8,800 & Co. 523,050
---------------------------- ------------
Total Non-Energy Materials 928,556
---------------------------- ------------
Process Industries-2.3%
----------------------------
Multi-Sector Companies
----------------------------
31,600 General Electric Co. 4,108,000
---------------------------- ------------
Producer Manufacturing-0.2%
----------------------------
Motor Vehicles
----------------------------
5,000 General Motors Corp. 360,000
---------------------------- ------------
Retail Trade-3.4%
----------------------------
Building Materials
----------------------------
8,500 Illinois Tool Works, Inc. 550,375
----------------------------
22,000 Tyco International Ltd. 881,375
---------------------------- ------------
Total 1,431,750
---------------------------- ------------
Building Materials Chains
----------------------------
17,000 Home Depot, Inc. 1,344,063
---------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- ---------- ----------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- ---------- -----------------------------
Retail Trade-Continued
-----------------------------
Discount Stores
-----------------------------
53,000 Wal-Mart Stores, Inc. $3,054,125
----------------------------- ------------
Drug Store Chains
-----------------------------
8,000 Walgreen Co. 233,000
----------------------------- ------------
Food Chains
-----------------------------
5,500 Albertsons, Inc. 175,656
----------------------------- ------------
Total Retail Trade 6,238,594
----------------------------- ------------
Technology Services-3.3%
-----------------------------
Computer Software
-----------------------------
11,000 (1)BMC Software, Inc. 800,937
-----------------------------
Computer Associates
9,000 International, Inc. 585,000
-----------------------------
50,600 (1)Microsoft Corp. 4,606,972
----------------------------- ------------
Total Technology Services 5,992,909
----------------------------- ------------
Utilities-5.6%
-----------------------------
Electric Utilities: South
-----------------------------
5,000 Duke Energy Corp. 253,437
-----------------------------
15,000 Florida Progress Corp. 641,250
-----------------------------
10,800 SCANA Corp. 292,950
-----------------------------
20,000 Southern Co. 467,500
----------------------------- ------------
Total 1,655,137
----------------------------- ------------
Major U.S.
Telecommunications
-----------------------------
26,200 AT&T Corp. 1,463,925
-----------------------------
16,500 Bell Atlantic Corp. 1,044,656
-----------------------------
26,000 BellSouth Corp. 1,200,875
-----------------------------
24,000 (1)MCI Worldcom, Inc. 1,984,500
-----------------------------
(1)Qwest Communications
12,000 International, Inc. 410,250
-----------------------------
45,477 SBC Communications, Inc. 2,361,961
----------------------------- ------------
Total 8,466,167
----------------------------- ------------
Oil/Gas Transmission
-----------------------------
5,500 Williams Cos., Inc. (The) 185,625
----------------------------- ------------
Total Utilities 10,306,929
----------------------------- ------------
Total Common Stocks
(identified cost $56,627,154) 89,798,116
----------------------------- ------------
</TABLE>
Regions Balanced Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- -------------------------------- ------------
<S> <C> <C>
Corporate Bonds-7.1%
- ---------- --------------------------------
Consumer Durables-1.1%
--------------------------------
Motor Vehicles
--------------------------------
Ford Motor Co., Note, 8.875%,
$120,000 4/1/2006 $129,770
--------------------------------
Ford Motor Credit Corp., Sr.
1,000,000 Note, 5.75%, 2/23/2004 954,590
-------------------------------- ------------
Total 1,084,360
-------------------------------- ------------
Railroads
--------------------------------
Burlington Northern Santa Fe,
Equip. Trust, Series 99-A,
1,000,000 5.85%, 5/1/2005 933,490
-------------------------------- ------------
Total Consumer Durables 2,017,850
-------------------------------- ------------
Consumer Services-0.5%
--------------------------------
Newspapers
--------------------------------
Dow Jones & Co., Note, 5.75%,
1,000,000 12/1/2000 995,560
-------------------------------- ------------
Consumer Staples-0.3%
--------------------------------
Personal Care
--------------------------------
Avon Products, Inc., Sr. Note,
500,000 6.55%, 8/1/2007 474,540
-------------------------------- ------------
Finance-3.7%
--------------------------------
Finance Companies
--------------------------------
Commercial Credit Co., Note,
2,000,000 5.90%, 9/1/2003 1,928,080
--------------------------------
Commercial Credit Co., Note,
1,000,000 6.50%, 8/1/2004 973,770
--------------------------------
Morgan Stanley, Dean Witter &
Co., Sr. Unsub., 5.625%,
1,000,000 1/20/2004 951,560
--------------------------------
National Rural Utilities
Cooperative Finance Corp.,
425,000 Note, 6.046%, 4/15/2003 414,443
--------------------------------
Sears Roebuck Acceptance
1,000,000 Corp., Bond, 6.00%, 3/20/2003 960,590
-------------------------------- ------------
Total 5,228,443
-------------------------------- ------------
Investment Bankers/Brokers/
Services
--------------------------------
Merrill Lynch & Co., Inc., Note,
500,000 6.00%, 1/15/2001 497,030
--------------------------------
Merrill Lynch & Co., Inc., Note,
1,000,000 6.00%, 2/12/2003 974,110
-------------------------------- ------------
Total 1,471,140
-------------------------------- ------------
Total Finance 6,699,583
-------------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ------------------------------- ------------
<S> <C> <C>
Corporate Bonds-Continued
- ---------- -------------------------------
Process Industries-1.0%
-------------------------------
Specialty Chemicals
-------------------------------
Air Products & Chemicals, Inc.,
$1,000,000 Note, 6.25%, 6/15/2003 $962,720
-------------------------------
Lubrizol Corp., 5.875%,
1,000,000 12/1/2008 898,520
------------------------------- ------------
Total Process Industries 1,861,240
------------------------------- ------------
Utilities-0.5%
-------------------------------
Electrical Utilities: West
-------------------------------
Pacific Gas & Electric Co., 1st
1,000,000 Ref. Mtg., 5.875%, 10/1/2005 939,140
------------------------------- ------------
Total Corporate Bonds
(identified cost $13,410,747) 12,987,913
------------------------------- ------------
Corporate Notes-3.4%
- ---------- -------------------------------
Finance Companies-2.7%
-------------------------------
American General Finance
1,000,000 Corp., Note, 6.05%, 4/9/2003 972,470
-------------------------------
Associates Corp. of North
America, Sr. Note, 6.50%,
600,000 7/15/2002 595,728
-------------------------------
Associates Corp. of North
America, Sr. Note, 6.875%,
500,000 8/1/2003 499,310
-------------------------------
NationsBank Corp., Sr. Note,
2,850,000 5.80%, 1/31/2001 2,826,516
------------------------------- ------------
Total Finance Companies 4,894,024
------------------------------- ------------
Hotels/Resorts-0.5%
-------------------------------
Carnival Corp., Note, 5.65%,
1,000,000 10/15/2000 992,470
------------------------------- ------------
Major Pharmaceuticals-0.2%
-------------------------------
Warner-Lambert Co., Note,
400,000 5.75%, 1/15/2003 387,736
------------------------------- ------------
Total Corporate Notes
(identified cost $6,326,600) 6,274,230
------------------------------- ------------
U.S. Government Agencies-26.4%
- ---------- -------------------------------
Federal Farm Credit Bank
-------------------------------
1,000,000 5.92%, 12/18/2002 986,300
-------------------------------
500,000 5.90%, 1/10/2005 484,820
-------------------------------
1,000,000 7.15%, 8/25/2005 992,070
-------------------------------
1,000,000 5.79%, 3/15/2006 951,690
-------------------------------
1,000,000 5.70%, 4/28/2006 946,380
-------------------------------
1,000,000 Unsecd. Note, 5.80%, 6/17/2005 962,930
-------------------------------
2,000,000 Unsecd. Note, 5.10%, 11/9/2005 1,853,640
------------------------------- ------------
Total 7,177,830
------------------------------- ------------
</TABLE>
Regions Balanced Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ----------------------------- ------------
<S> <C> <C>
U.S. Government Agencies-Continued
- ---------- -----------------------------
Federal Home Loan Bank
-----------------------------
$1,000,000 5.125%, 9/15/2003 $953,220
-----------------------------
1,000,000 5.70%, 3/25/2003 973,620
-----------------------------
1,000,000 4.63%, 10/9/2001 971,550
-----------------------------
1,000,000 5.005%, 10/1/2003 948,080
-----------------------------
2,000,000 5.08%, 10/14/2005 1,853,060
-----------------------------
2,000,000 5.19%, 9/23/2003 1,906,400
-----------------------------
500,000 5.41%, 3/26/2002 489,255
-----------------------------
1,000,000 5.46%, 3/29/2004 958,060
-----------------------------
1,000,000 5.717%, 8/25/2003 971,220
-----------------------------
2,000,000 5.805%, 8/24/2005 1,924,100
-----------------------------
1,000,000 6.10%, 10/9/2002 991,680
-----------------------------
1,000,000 6.13%, 7/19/2002 993,010
-----------------------------
1,000,000 6.25%, 8/13/2004 986,340
-----------------------------
2,000,000 7.34%, 10/4/2006 1,987,000
-----------------------------
1,000,000 7.52%, 8/24/2004 1,004,160
-----------------------------
720,000 7.54%, 10/13/2009 712,138
-----------------------------
1,000,000 Series 114, 5.125%, 2/26/2002 974,600
-----------------------------
3,000,000 Series BG08, 5.85%, 2/27/2008 2,801,790
-----------------------------
Series F5-2001, 5.52%,
1,550,000 1/22/2001 1,537,368
----------------------------- ------------
Total 23,936,651
----------------------------- ------------
Federal Home Loan Mortgage
Corporation
-----------------------------
2,000,000 Deb., 7.51%, 10/27/2006 1,994,740
----------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ------------------------------ ------------
<S> <C> <C>
U.S. Government Agencies-Continued
- ---------- ------------------------------
Federal National Mortgage
Association
------------------------------
Series G93-32, Class J, 6.75%,
$500,000 5/25/2009 $479,220
------------------------------
1,500,000 Discount Note, 10/8/2004 1,091,535
------------------------------
2,000,000 8.00%, 9/1/2009 2,001,700
------------------------------
1,000,000 6.70%, 12/12/2006 977,610
------------------------------
500,000 6.82%, 12/13/2006 498,260
------------------------------
1,966,972 7.00%, 9/1/2014 1,957,747
------------------------------
1,000,000 7.28%, 10/27/2004 999,640
------------------------------
2,000,000 7.45%, 10/30/2006 1,995,660
------------------------------
Unsecd. Note, 6.20%,
700,000 6/19/2002 691,796
------------------------------
Unsecd. Note, 7.65%,
2,000,000 11/6/2009 1,987,660
------------------------------ ------------
Total 12,680,828
------------------------------ ------------
Government National
Mortgage Association
------------------------------
940,713 6.00%, 2/15/2014 900,441
------------------------------
483,219 6.00%, 2/15/2014 462,533
------------------------------ ------------
Total 1,362,974
------------------------------ ------------
Tennessee Valley Authority
------------------------------
1,500,000 STRIPS, PO, 10/15/2003 1,159,530
------------------------------ ------------
Total U.S. Government
Agencies (identified cost
$49,625,013) 48,312,553
------------------------------ ------------
</TABLE>
Regions Balanced Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- --------------------- ------------
<S> <C> <C>
U.S. Treasury Obligations-10.0%
- ---------- ---------------------
U.S. Treasury Notes
---------------------
$2,000,000 STRIPS, IO, 2/15/2006 $1,353,140
---------------------
2,500,000 STRIPS, IO, 5/15/2001 2,295,500
---------------------
700,000 4.25%, 11/15/2003 655,480
---------------------
2,000,000 5.25%, 8/15/2003 1,943,900
---------------------
2,000,000 5.50%, 1/31/2003 1,967,540
---------------------
1,000,000 5.625%, 12/31/2002 988,060
---------------------
1,000,000 5.625%, 2/15/2006 970,410
---------------------
1,000,000 5.625%, 2/28/2001 996,800
---------------------
2,000,000 5.875%, 11/15/2005 1,967,960
---------------------
1,000,000 6.25%, 2/15/2003 1,004,400
---------------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
- ---------- ----------------------------- ------------
<S> <C> <C>
U.S. Treasury Obligations-Continued
- ---------- -----------------------------
U.S. Treasury Notes-Continued
-----------------------------
$3,000,000 6.50%, 10/15/2006 $3,035,550
-----------------------------
1,000,000 7.50%, 5/15/2002 1,033,240
----------------------------- ------------
Total U.S. Treasury
Obligations (identified cost
$18,293,797) 18,211,980
----------------------------- ------------
(2)Repurchase Agreement-3.3%
- ---------- -----------------------------
GX Clarke & Co., 5.55%, dated
11/30/1999, due 12/1/1999
6,041,884 (at amortized cost) 6,041,884
----------------------------- ------------
Total Investments (identified
cost $150,325,195)(3) $181,626,676
----------------------------- ------------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $150,325,195.
The net unrealized appreciation of investments on a federal tax basis
amounts to $31,301,481 which is comprised of $34,222,760 appreciation and
$2,921,279 depreciation at November 30, 1999.
Note: The categories of investments are shown as a percentage of net assets
($182,905,413) at November 30, 1999.
The following acronyms are used throughout this portfolio:
ADR-American Depositary Receipt
IO-Interest Only
PO-Principal Only
STRIPS-Separate Trading of Registered Interest & Principal of Securities
(See Notes which are an integral part of the Financial Statements)
Regions Value Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- --------- -------------------------------- ------------
<S> <C> <C>
Common Stocks-96.6%
- --------- --------------------------------
Commercial Services-2.1%
--------------------------------
Commercial Services/
Miscellaneous
--------------------------------
40,000 (1)Cendant Corp. $662,500
-------------------------------- ------------
Computer Services
--------------------------------
22,000 (1)Computer Sciences Corp. 1,435,500
--------------------------------
28,000 Electronic Data Systems Corp. 1,800,750
-------------------------------- ------------
Total 3,236,250
-------------------------------- ------------
Data Processing
--------------------------------
27,000 First Data Corp. 1,167,750
-------------------------------- ------------
Food Distributors
--------------------------------
30,000 ConAgra, Inc. 723,750
-------------------------------- ------------
Total Commercial Services 5,790,250
-------------------------------- ------------
Consumer Durables-4.0%
--------------------------------
Footwear
--------------------------------
17,000 Nike, Inc., Class B 782,000
-------------------------------- ------------
Motor Vehicles
--------------------------------
68,000 Ford Motor Co. 3,434,000
--------------------------------
36,000 General Motors Corp. 2,592,000
-------------------------------- ------------
Total 6,026,000
-------------------------------- ------------
Newspapers
--------------------------------
24,000 Gannett Co., Inc. 1,717,500
--------------------------------
20,000 Tribune Co. 961,250
-------------------------------- ------------
Total 2,678,750
-------------------------------- ------------
Photographic Products
--------------------------------
30,000 Eastman Kodak Co. 1,856,250
-------------------------------- ------------
Total Consumer Durables 11,343,000
-------------------------------- ------------
Consumer Non-Durables-1.2%
--------------------------------
Tobacco
--------------------------------
133,000 Philip Morris Cos., Inc. 3,499,563
-------------------------------- ------------
Consumer Services-6.2%
--------------------------------
Broadcasting
--------------------------------
39,000 CBS Corp. 2,028,000
--------------------------------
(1)Clear Channel Communications,
17,000 Inc. 1,366,370
--------------------------------
33,000 (1)MediaOne Group, Inc. 2,615,250
-------------------------------- ------------
Total 6,009,620
-------------------------------- ------------
Hotels/Resorts
--------------------------------
37,000 Carnival Corp., Class A 1,632,620
--------------------------------
Marriott International, Inc.,
12,000 Class A 390,750
-------------------------------- ------------
Total 2,023,370
-------------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- --------- ---------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- --------- ----------------------------
Consumer Services-Continued
----------------------------
Leisure Products
----------------------------
14,000 Mattel, Inc. $200,375
---------------------------- ------------
Media Conglomerates
----------------------------
110,000 Disney (Walt) Co. 3,066,250
----------------------------
23,000 Seagram Co. Ltd. 1,001,933
----------------------------
36,000 (1)Viacom, Inc., Class B 1,791,000
---------------------------- ------------
Total 5,859,183
---------------------------- ------------
Restaurants
----------------------------
78,000 McDonald's Corp. 3,510,000
---------------------------- ------------
Total Consumer Services 17,602,548
---------------------------- ------------
Electronic Technology-6.8%
----------------------------
Aerospace
----------------------------
57,000 Boeing Co. 2,326,313
----------------------------
7,000 General Dynamics Corp. 360,938
----------------------------
42,000 Lockheed Martin Corp. 834,750
---------------------------- ------------
Total 3,522,001
---------------------------- ------------
Computer Software
----------------------------
17,000 (1)Novell, Inc. 332,563
---------------------------- ------------
Electrical Equipment
----------------------------
24,000 Emerson Electric Co. 1,368,000
----------------------------
12,000 Honeywell, Inc. 1,343,250
----------------------------
8,000 Rockwell International Corp. 397,000
---------------------------- ------------
Total 3,108,250
---------------------------- ------------
Electronic Data Processing
----------------------------
90,000 Compaq Computer Corp. 2,199,375
----------------------------
58,000 Hewlett-Packard Co. 5,502,750
---------------------------- ------------
Total 7,702,125
---------------------------- ------------
Semiconductors
----------------------------
13,000 Micron Technology, Inc. 872,625
---------------------------- ------------
Telecommunications Equipment
----------------------------
33,000 Motorola, Inc. 3,770,250
---------------------------- ------------
Total Electronic Technology 19,307,814
---------------------------- ------------
Energy Minerals-12.0%
----------------------------
Intergrated Oil Companies
----------------------------
27,000 Atlantic Richfield Co. 2,602,125
----------------------------
25,000 Burlington Resources, Inc. 840,625
----------------------------
38,000 Chevron Corp. 3,365,375
----------------------------
</TABLE>
Regions Value Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- --------- ---------------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- --------- ----------------------------------
Energy Minerals-Continued
----------------------------------
Integrated Oil Companies-Continued
----------------------------------
35,000 Conoco, Inc., Class B $916,563
----------------------------------
136,000 Exxon Corp. 10,786,500
----------------------------------
46,000 Mobil Corp. 4,798,375
----------------------------------
24,000 Phillips Petroleum Co. 1,147,500
----------------------------------
Royal Dutch Petroleum Co.,
119,000 ADR 6,902,000
----------------------------------
30,000 Texaco, Inc. 1,828,125
----------------------------------
24,000 Unocal Corp. 796,500
---------------------------------- ------------
Total Energy Minerals 33,983,688
---------------------------------- ------------
Finance-27.6%
----------------------------------
Consumer Finance
----------------------------------
40,000 MBNA Corp. 1,010,000
---------------------------------- ------------
Diversified Financial Services
----------------------------------
187,500 Citigroup, Inc. 10,101,563
---------------------------------- ------------
Finance Companies
----------------------------------
23,000 American Express Co. 3,480,188
----------------------------------
Associates First Capital Corp.,
42,000 Class A 1,396,500
----------------------------------
Federal National Mortgage
56,000 Association 3,731,000
----------------------------------
Federal Home Loan Mortgage
35,000 Corporation 1,728,125
----------------------------------
26,000 Household International, Inc. 1,028,625
---------------------------------- ------------
Total 11,364,438
---------------------------------- ------------
Insurance/Miscellaneous
----------------------------------
10,500 AON Corp. 374,719
----------------------------------
12,000 Marsh & McLennan Co., Inc. 943,500
---------------------------------- ------------
Total 1,318,219
---------------------------------- ------------
Investment Bankers/Brokers/
Services
----------------------------------
8,000 J.P. Morgan & Co., Inc. 1,052,000
----------------------------------
16,000 Merrill Lynch & Co., Inc. 1,290,000
----------------------------------
Morgan Stanley, Dean Witter
31,000 & Co. 3,739,375
---------------------------------- ------------
Total 6,081,375
---------------------------------- ------------
Major Banks
----------------------------------
15,000 BB&T Corp. 481,875
----------------------------------
63,000 Bank One Corporation 2,220,750
----------------------------------
93,000 Bank of America Corp 5,440,500
----------------------------------
40,000 Bank of New York Co., Inc. 1,595,000
----------------------------------
46,000 Chase Manhattan Corp. 3,553,500
----------------------------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- --------- ----------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- --------- -----------------------------
Finance-Continued
-----------------------------
Major Banks-Continued
-----------------------------
7,000 Comerica, Inc. $371,000
-----------------------------
16,000 Fifth Third Bancorp 1,120,000
-----------------------------
50,000 Firstar Corp. 1,300,000
-----------------------------
54,000 First Union Corp. 2,089,125
-----------------------------
70,000 FleetBoston Financial Corp. 2,646,875
-----------------------------
20,000 KeyCorp 540,000
-----------------------------
27,000 Mellon Financial Corp. 983,813
-----------------------------
30,000 National City Corp. 748,125
-----------------------------
8,000 Northern Trust Corp. 774,500
-----------------------------
14,000 PNC Bank Corp. 780,500
-----------------------------
12,000 State Street Corp. 881,250
-----------------------------
25,000 SunTrust Banks, Inc. 1,746,875
-----------------------------
40,000 U.S. Bancorp, Inc. 1,367,500
-----------------------------
18,000 Wachovia Corp. 1,393,875
-----------------------------
92,000 Wells Fargo Co. 4,278,000
----------------------------- ------------
Total 34,313,063
----------------------------- ------------
Multi-line Insurance
-----------------------------
50,000 Allstate Corp. 1,309,375
-----------------------------
American International
84,000 Group, Inc. 8,673,000
-----------------------------
10,000 CIGNA Corp. 822,500
-----------------------------
Hartford Financial Services
11,000 Group, Inc. 513,563
----------------------------- ------------
Total 11,318,438
----------------------------- ------------
Property-Casualty Insurers
-----------------------------
24,000 Chubb Corp. 1,285,500
-----------------------------
3,500 Progressive Corp., OH 281,969
----------------------------- ------------
Total 1,567,469
----------------------------- ------------
Savings & Loan
-----------------------------
30,000 Washington Mutual, Inc. 870,000
----------------------------- ------------
Total Finance 77,944,565
----------------------------- ------------
Healthcare/Drug-1.4%
-----------------------------
Hospital Management
-----------------------------
56,000 Columbia/HCA Healthcare Corp. 1,526,000
----------------------------- ------------
Major Pharmaceuticals
-----------------------------
29,000 Pharmacia & Upjohn, Inc. 1,585,938
----------------------------- ------------
Managed Care
-----------------------------
7,000 Aetna, Inc. 382,375
-----------------------------
8,000 United Healthcare Corp. 415,500
----------------------------- ------------
Total 797,875
----------------------------- ------------
Total Healthcare/Drug 3,909,813
----------------------------- ------------
</TABLE>
Regions Value Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- --------- ------------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- --------- -------------------------------
Industrial Services-1.1%
-------------------------------
Oilfield Services/Equipment
-------------------------------
32,000 Halliburton Co. $1,238,000
-------------------------------
31,000 Schlumberger Ltd. 1,861,938
------------------------------- ------------
Total Industrial Services 3,099,938
------------------------------- ------------
Life Insurance-2.6%
-------------------------------
Life Insurance
-------------------------------
15,000 Aflac, Inc. 718,125
-------------------------------
23,000 American General Corp. 1,686,188
-------------------------------
85,000 Conseco, Inc. 1,721,250
-------------------------------
40,000 Jefferson-Pilot Corp. 2,715,000
-------------------------------
10,000 Lincoln National Corp. 416,875
------------------------------- ------------
Total Life Insurance 7,257,438
------------------------------- ------------
Non-Energy Minerals-1.5%
-------------------------------
Aluminum
-------------------------------
43,000 Alcoa, Inc. 2,816,500
------------------------------- ------------
Forest Products
-------------------------------
9,000 Weyerhaeuser Co. 551,250
------------------------------- ------------
Other Metals/Minerals
-------------------------------
16,000 Phelps Dodge Corp. 832,000
------------------------------- ------------
Total Non-Energy Minerals 4,199,750
------------------------------- ------------
Process Industries-5.6%
-------------------------------
Chemicals
-------------------------------
27,000 Air Products & Chemicals, Inc. 874,125
-------------------------------
15,000 Dow Chemical Co. 1,756,875
-------------------------------
57,000 Du Pont (E.I.) de Nemours & Co. 3,387,938
------------------------------- ------------
Total 6,018,938
------------------------------- ------------
Diversified Chemicals
-------------------------------
55,000 Monsanto Co. 2,320,313
-------------------------------
18,000 PPG Industries, Inc. 1,054,125
------------------------------- ------------
Total 3,374,438
------------------------------- ------------
Paper
-------------------------------
20,000 Georgia-Pacific Corp. 796,250
-------------------------------
35,000 International Paper Co. 1,826,563
-------------------------------
74,000 Mead Corp. 2,640,875
------------------------------- ------------
Total 5,263,688
------------------------------- ------------
Multi Sector Industries
-------------------------------
34,000 Raytheon Co., Class B 1,043,375
------------------------------- ------------
Total Process Industries 15,700,439
------------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- --------- ---------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- --------- ----------------------------
Producer Manufacturing-5.9%
----------------------------
Auto Parts: O.E.M.
----------------------------
10,000 Dana Corp. $277,500
----------------------------
25,161 Delphi Auto Systems Corp. 396,286
----------------------------
52,000 Genuine Parts Co. 1,339,000
----------------------------
10,000 Goodyear Tire & Rubber Co. 337,500
----------------------------
10,000 TRW, Inc. 521,875
---------------------------- ------------
Total 2,872,161
---------------------------- ------------
Building Materials
----------------------------
25,000 Masco Corp. 631,250
----------------------------
15,000 Vulcan Materials Co. 603,750
---------------------------- ------------
Total 1,235,000
---------------------------- ------------
Diversified Manufacture
----------------------------
43,000 Illinois Tool Works, Inc. 2,784,250
----------------------------
Minnesota Mining &
23,000 Manufacturing Co. 2,197,938
----------------------------
7,000 Textron, Inc. 497,438
----------------------------
26,000 United Technologies Corp. 1,469,000
---------------------------- ------------
Total 6,948,626
---------------------------- ------------
Foods
----------------------------
40,000 Coca Cola Enterprises, Inc. 847,500
----------------------------
50,000 Nabisco Group Holdings Corp. 578,125
---------------------------- ------------
Total 1,425,625
---------------------------- ------------
Industrial Machinery/
Components
----------------------------
17,000 Caterpillar, Inc. 788,375
----------------------------
10,000 Deere & Co. 429,375
----------------------------
47,000 Ingersoll-Rand Co. 2,276,563
---------------------------- ------------
Total 3,494,313
---------------------------- ------------
Oil & Gas-Drill & Equipment
----------------------------
24,000 Baker Hughes, Inc. 606,000
---------------------------- ------------
Total Producer Manufacturing 16,581,725
---------------------------- ------------
Retail Trade-3.9%
----------------------------
Apparel
----------------------------
11,000 Limited, Inc. 466,813
---------------------------- ------------
Building Supplies
----------------------------
23,000 Lowe's Co., Inc. 1,145,688
---------------------------- ------------
Computer Electronics
----------------------------
45,000 Circuit City Stores, Inc. 2,182,500
---------------------------- ------------
Drug Store Chains
----------------------------
25,000 Rite Aid Corp. 189,063
---------------------------- ------------
</TABLE>
Regions Value Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- --------- ---------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- --------- ----------------------------
Retail Trade-Continued
----------------------------
General Merchandise
----------------------------
13,000 Costco Wholesale Corp. $1,191,938
----------------------------
23,000 (1)K Mart Corp. 228,563
----------------------------
17,000 Sears, Roebuck & Co. 581,188
---------------------------- ------------
Total 2,001,689
---------------------------- ------------
Major Department Stores
----------------------------
53,550 Albertsons, Inc. 1,710,253
----------------------------
23,000 Dayton-Hudson Corp. 1,622,938
----------------------------
(1)Federated Department
10,000 Stores, Inc. 470,625
----------------------------
16,000 May Department Stores Co. 538,000
----------------------------
20,000 Nordstrom, Inc. 556,250
----------------------------
12,000 Penney (J.C.) Co., Inc. 267,750
---------------------------- ------------
Total 5,165,816
---------------------------- ------------
Total Retail Trade 11,151,569
---------------------------- ------------
Transportation-2.0%
----------------------------
Air Freight
----------------------------
14,000 (1)FDX Corp. 590,625
---------------------------- ------------
Airlines
----------------------------
9,000 (1)AMR Corp. 547,875
----------------------------
7,000 Delta Air Lines, Inc. 344,750
----------------------------
75,000 Southwest Airlines Co. 1,223,438
---------------------------- ------------
Total 2,116,063
---------------------------- ------------
Railroads
----------------------------
32,000 Burlington Northern Santa Fe 928,000
----------------------------
10,000 CSX Corp. 355,625
----------------------------
25,000 Norfolk Southern Corp. 534,375
----------------------------
22,000 Union Pacific Corp. 1,035,375
---------------------------- ------------
Total 2,853,375
---------------------------- ------------
Total Transportation 5,560,063
---------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares or
Principal
Amount Value
- ---------- ------------------------------ ------------
<S> <C> <C>
Common Stocks-Continued
- ---------- ------------------------------
Utilities-12.7%
------------------------------
Electric Companies
------------------------------
27,200 Dominion Resources, Inc. $1,234,200
------------------------------
49,000 Edison International 1,298,500
------------------------------
Public Service Enterprises
30,500 Group, Inc. 1,067,500
------------------------------
41,600 Reliant Energy, Inc. 1,032,200
------------------------------
32,400 Unicom Corp. 1,034,775
------------------------------ ------------
Total 5,667,175
------------------------------ ------------
Electric Utilities: South
------------------------------
15,900 (1)AES Corp. 921,206
------------------------------
30,500 Consolidated Edison Co. 1,052,250
------------------------------
34,165 Duke Energy Corp. 1,731,738
------------------------------
24,539 FPL Group, Inc. 1,073,581
------------------------------
47,500 P G & E Corp. 1,062,813
------------------------------
72,700 Southern Co. 1,699,363
------------------------------
35,000 Texas Utilities Co. 1,253,438
------------------------------ ------------
Total 8,794,389
------------------------------ ------------
Major U.S.
Telecommunications
------------------------------
18,000 Alltel Corp. 1,557,000
------------------------------
106,000 (1)MCI Worldcom, Inc. 8,764,875
------------------------------
74,000 Nortel Networks Corp. 5,476,000
------------------------------
50,000 Sprint Corp. 3,468,750
------------------------------
24,000 (1)Sprint PCS Group 2,202,000
------------------------------ ------------
Total 21,468,625
------------------------------ ------------
Total Utilities 35,930,189
------------------------------ ------------
Total Common Stocks
(identified cost $256,966,273) 272,862,352
------------------------------ ------------
(2)Repurchase Agreement-3.3%
- -----------------------------------------
GX Clarke & Co., 5.55%, dated
11/30/1999, due 12/1/1999
$9,323,171 (at amortized cost) 9,323,171
------------------------------ ------------
Total Investments (identified
cost $266,289,444)(3) $282,185,523
------------------------------ ------------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $267,079,309.
The net unrealized appreciation of investments on a federal tax basis
amounts to $15,106,214 which is comprised of $38,878,319 appreciation and
$23,772,105 depreciation at November 30, 1999.
Note: The categories of investments are shown as a percentage of net assets
($282,522,657) at November 30, 1999.
The following acronym is used throughout this portfolio:
ADR-American Depositary Receipt
(See Notes which are an integral part of the Financial Statements)
Regions Growth Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ----------- --------------------------- ------------
<S> <C> <C>
Common Stocks-96.8%
- ----------- ---------------------------
Banking-1.2%
---------------------------
181,000 Wells Fargo Co. $8,416,500
--------------------------- ------------
Biotechnology-1.0%
---------------------------
158,000 (1)Amgen, Inc. 7,198,875
--------------------------- ------------
Capital Goods-7.3%
---------------------------
Equipment-Machinery
---------------------------
377,000 General Electric Co. 49,010,000
---------------------------
44,000 Pitney Bowes, Inc. 2,109,250
--------------------------- ------------
Total Capital Goods 51,119,250
--------------------------- ------------
Commercial Cyclical-6.9%
---------------------------
Merchandise/Mass
Merchandising
---------------------------
507,000 Wal-Mart Stores, Inc. 29,215,875
--------------------------- ------------
Merchandise/Specialty
---------------------------
53,500 Gap (The), Inc. 2,166,750
---------------------------
175,000 Home Depot, Inc. 13,835,938
---------------------------
97,000 Walgreen Co. 2,825,125
--------------------------- ------------
Total 18,827,813
--------------------------- ------------
Total Commercial Cyclical 48,043,688
--------------------------- ------------
Commercial
Non-Cyclical-4.9%
---------------------------
Tobacco/Cosmetics/Household
---------------------------
34,000 Clorox Co. 1,515,125
---------------------------
95,000 Colgate-Palmolive Co. 5,213,125
---------------------------
139,000 Gillette Co. 5,586,062
---------------------------
67,000 Kimberly-Clark Corp. 4,279,625
---------------------------
164,000 Procter & Gamble Co. 17,712,000
--------------------------- ------------
Total Commercial
Non-Cyclical 34,305,937
--------------------------- ------------
Computers Services-0.9%
---------------------------
Automatic Data Processing,
93,500 Inc. 4,616,562
---------------------------
23,000 (1)Computer Sciences Corp. 1,500,750
--------------------------- ------------
Total Computer Services 6,117,312
--------------------------- ------------
Energy-0.2%
---------------------------
Oil Services
---------------------------
32,000 Halliburton Co. 1,238,000
--------------------------- ------------
Food & Beverage-5.4%
---------------------------
58,000 Anheuser-Busch Cos., Inc. 4,339,125
---------------------------
31,000 BestFoods 1,699,187
---------------------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- ----------- ---------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- ----------- ----------------------------
Food & Beverage-Continued
----------------------------
41,000 Campbell Soup Co. $1,829,625
----------------------------
275,000 Coca-Cola Co. 18,510,937
----------------------------
32,000 General Mills, Inc. 1,206,000
----------------------------
34,000 Heinz (H.J.) Co. 1,423,750
----------------------------
29,500 Kellogg Co. 999,313
----------------------------
147,000 PepsiCo, Inc. 5,080,688
----------------------------
96,000 Sara Lee Corp. 2,328,000
---------------------------- ------------
Total Food & Beverage 37,416,625
---------------------------- ------------
Healthcare/Drug-12.6%
----------------------------
American Home Products
161,000 Corp. 8,372,000
----------------------------
242,000 Bristol-Myers Squibb Co. 17,681,125
----------------------------
121,000 Lilly (Eli) & Co. 8,681,750
----------------------------
265,000 Merck & Co., Inc. 20,802,500
----------------------------
435,000 Pfizer, Inc. 15,741,564
----------------------------
177,000 Schering Plough Corp. 9,049,125
----------------------------
88,000 Warner-Lambert Co. 7,892,500
---------------------------- ------------
Total Healthcare/Drug 88,220,564
---------------------------- ------------
Hospital Supplies-4.2%
----------------------------
162,000 Abbott Laboratories 6,156,000
----------------------------
161,000 Johnson & Johnson 16,703,750
----------------------------
158,000 Medtronic, Inc. 6,142,250
---------------------------- ------------
Total Hospital Supplies 29,002,000
---------------------------- ------------
Insurance/Miscellaneous-3.7%
----------------------------
56,000 American Express Co. 8,473,500
----------------------------
American International
170,000 Group, Inc. 17,552,500
---------------------------- ------------
Total Insurance/
Miscellaneous 26,026,000
---------------------------- ------------
Technology-40.0%
----------------------------
248,000 (1)America Online, Inc. 18,026,500
----------------------------
31,000 (1)BMC Software, Inc. 2,257,187
----------------------------
382,000 (1)Cisco Systems, Inc. 34,069,624
----------------------------
Computer Associates
58,000 International, Inc. 3,770,000
----------------------------
55,000 (1)Compuware Corp. 1,859,687
----------------------------
41,000 Corning, Inc. 3,841,187
----------------------------
307,600 (1)Dell Computer Corp. 13,226,800
----------------------------
112,000 (1)EMC Corp. Mass 9,359,000
----------------------------
</TABLE>
Regions Growth Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ----------- ------------------------- ------------
<S> <C> <C>
Common Stocks-Continued
- ----------- -------------------------
Technology-Continued
-------------------------
44,000 (1)Gateway, Inc. $ 3,360,500
-------------------------
387,000 Intel Corp. 29,678,063
-------------------------
International Business
211,000 Machines Corp. 21,746,188
-------------------------
365,000 Lucent Technologies, Inc. 26,667,813
-------------------------
587,000 (1)Microsoft Corp. 53,444,516
-------------------------
150,000 Nortel Networks Corp. 11,100,000
-------------------------
174,000 (1)Oracle Corp. 11,799,375
-------------------------
95,000 (1)Sun Microsystems, Inc. 12,563,750
-------------------------
76,000 (1)Tellabs, Inc. 4,930,500
-------------------------
80,000 Texas Instruments, Inc. 7,685,000
-------------------------
236,000 Tyco International Ltd. 9,454,750
------------------------- ------------
Total Technology 278,840,440
------------------------- ------------
</TABLE>
<TABLE>
<CAPTION>
Shares or
Principal
Amount Value
- ----------- ------------------------------ ------------
<S> <C> <C>
Common Stocks-Continued
- ----------- ------------------------------
Utilities-8.5%
------------------------------
Communications
------------------------------
359,000 AT&T Corp. $ 20,059,125
------------------------------
212,000 (1)MCI Worldcom, Inc. 17,529,750
------------------------------
(1)Qwest Communications
30,000 International, Inc. 1,025,625
------------------------------
398,000 SBC Communications, Inc. 20,671,125
------------------------------ ------------
Total Utilities 59,285,625
------------------------------ ------------
Total Common Stocks
(identified cost $435,940,144) 675,230,816
------------------------------ ------------
(2)Repurchase Agreement-3.1%
- ----------- ------------------------------
GX Clarke & Co., 5.55%, dated
11/30/1999, due 12/1/1999
$21,981,990 (at amortized cost) 21,981,990
------------------------------ ------------
Total Investments (identified
cost $457,922,134)(3) $697,212,806
------------------------------ ------------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. Treasury
obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $458,031,465.
The net unrealized appreciation of investments on a federal tax basis
amounts to $239,181,341 which is comprised of $241,472,083 appreciation and
$2,290,742 depreciation at November 30, 1999.
Note: The categories of investments are shown as a percentage of net assets
($697,860,698) at November 30, 1999.
(See Notes which are an integral part of the Financial Statements)
Regions Aggressive Growth Fund
Portfolio of Investments
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ------ ----------------------------------- -----------
<S> <C> <C>
Common Stocks-85.4%
- ------ -----------------------------------
Capital Goods-4.0%
-----------------------------------
Aerospace/Defense
-----------------------------------
12,000 General Dynamics Corp. $618,750
----------------------------------- -----------
Electrical Equipment
-----------------------------------
16,000 (1)American Power Conversion Corp. 381,000
-----------------------------------
10,000 Molex, Inc. 505,000
-----------------------------------
14,000 (1)Sanmina Corp. 1,345,750
-----------------------------------
20,000 Symbol Technologies, Inc. 953,750
----------------------------------- -----------
Total 3,185,500
----------------------------------- -----------
Total Capital Goods 3,804,250
----------------------------------- -----------
Commercial Services-5.1%
-----------------------------------
Air Freight
-----------------------------------
10,000 Airborne Freight Corp. 231,875
-----------------------------------
12,000 (1)FDX Corp. 506,250
----------------------------------- -----------
Total 738,125
----------------------------------- -----------
Commercial & Construction
Services
-----------------------------------
30,000 (1)Convergys Corp. 819,375
-----------------------------------
24,000 Viad Corp. 631,500
----------------------------------- -----------
Total 1,450,875
----------------------------------- -----------
Computers Systems
-----------------------------------
36,000 Comdisco, Inc. 868,500
-----------------------------------
10,000 Investment Technology Group, Inc. 268,125
----------------------------------- -----------
Total 1,136,625
----------------------------------- -----------
Data Processing
-----------------------------------
50,000 (1)Concord EFS, Inc. 1,325,000
----------------------------------- -----------
Waste Management
-----------------------------------
30,000 (1)Allied Waste Industries, Inc. 243,750
----------------------------------- -----------
Total Commercial Services 4,894,375
----------------------------------- -----------
Consumer Cyclical-5.4%
-----------------------------------
Leisure Time
-----------------------------------
20,000 International Game Technology 360,000
----------------------------------- -----------
Merchandise/General
-----------------------------------
14,000 (1)BJ's Wholesale Club, Inc. 523,250
----------------------------------- -----------
Merchandise/Mass Merchandising
-----------------------------------
14,000 Ross Stores, Inc. 268,625
----------------------------------- -----------
Merchandise/Specialty
-----------------------------------
30,000 (1)Abercrombie & Fitch Co., Class A 971,250
-----------------------------------
2,000 (1)American Eagle Outfitters, Inc. 91,375
-----------------------------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- ------ ----------------------------------- -----------
<S> <C> <C>
Common Stocks-Continued
- ------ -----------------------------------
Consumer Cyclical-Continued
-----------------------------------
Merchandise/Specialty-Continued
-----------------------------------
10,000 Circuit City Stores, Inc. $485,000
-----------------------------------
10,000 (1)Dollar Tree Stores, Inc. 447,500
-----------------------------------
50,000 Family Dollar Stores, Inc. 896,875
-----------------------------------
6,000 (1)Jones Apparel Group, Inc. 160,125
-----------------------------------
6,000 Tiffany & Co. 465,000
-----------------------------------
10,000 (1)Zale Corp. 506,250
----------------------------------- -----------
Total 4,023,375
----------------------------------- -----------
Total Consumer Cyclicals 5,175,250
----------------------------------- -----------
Consumer Non-Cyclicals-1.7%
-----------------------------------
Household Products
-----------------------------------
50,000 Dial Corp. 1,403,125
----------------------------------- -----------
Tobacco
-----------------------------------
10,000 UST, Inc. 266,250
----------------------------------- -----------
Total Consumer Non-Cyclicals 1,669,375
----------------------------------- -----------
Consumer Services-4.3%
-----------------------------------
Broadcast Media
-----------------------------------
(1)Valuevision International, Inc.,
30,000 Class A 1,350,000
-----------------------------------
16,000 (1)Westwood One, Inc. 916,000
----------------------------------- -----------
Total 2,266,000
----------------------------------- -----------
Publishing-Newspapers
-----------------------------------
1,200 Washington Post Co., Class B 685,800
----------------------------------- -----------
Restaurants
-----------------------------------
24,000 (1)Outback Steakhouse, Inc. 565,500
-----------------------------------
24,000 (1)Starbucks Corp. 637,500
----------------------------------- -----------
Total 1,203,000
----------------------------------- -----------
Total Consumer Services 4,154,800
----------------------------------- -----------
Electronic Technology-24.5%
-----------------------------------
Computer Software/Services
-----------------------------------
24,000 (1)Cadence Design Systems, Inc. 426,000
-----------------------------------
24,000 (1)Citrix Systems, Inc. 2,277,000
-----------------------------------
8,000 (1)Electronic Arts, Inc. 839,000
-----------------------------------
24,000 (1)Informix Corp. 264,000
-----------------------------------
24,000 (1)Rational Software Corp. 1,227,000
-----------------------------------
30,000 (1)Siebel Systems, Inc. 2,103,750
-----------------------------------
20,000 (1)Synopsys, Inc. 1,447,500
-----------------------------------
48,000 (1)Veritas Software Corp. 4,395,000
-----------------------------------
12,000 (1)Wind River Systems, Inc. 414,000
----------------------------------- -----------
Total 13,393,250
----------------------------------- -----------
</TABLE>
Regions Aggressive Growth Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ------ ---------------------------------- -----------
<S> <C> <C>
Common Stocks-Continued
- ------ ----------------------------------
Electronic Technology-Continued
----------------------------------
Semiconductors
----------------------------------
40,000 (1)Altera Corp. $2,155,000
----------------------------------
30,000 Linear Technology Corp. 2,131,875
----------------------------------
24,000 (1)Maxim Integrated Products, Inc. 1,927,500
----------------------------------
18,000 (1)Microchip Technology, Inc. 1,140,750
----------------------------------
32,000 (1)Teradyne, Inc. 1,394,000
----------------------------------
30,000 (1)Vitesse Semiconductor Corp. 1,351,875
---------------------------------- -----------
Total 10,101,000
---------------------------------- -----------
Total Electronic Technology 23,494,250
---------------------------------- -----------
Energy-2.0%
----------------------------------
Oil & Gas-Drilling & Equipment
----------------------------------
16,000 (1)Cooper Cameron Corp. 686,000
----------------------------------
16,000 Diamond Offshore Drilling, Inc. 488,000
----------------------------------
24,000 (1)Global Marine, Inc. 367,500
----------------------------------
12,000 Weatherford International, Inc. 419,250
---------------------------------- -----------
Total Energy 1,960,750
---------------------------------- -----------
Finance-5.4%
----------------------------------
Investment Bankers/Brokerage
----------------------------------
36,000 (1)E*Trade Group, Inc. 1,082,250
----------------------------------
16,000 Legg Mason, Inc. 563,000
---------------------------------- -----------
Total 1,645,250
---------------------------------- -----------
Majors Banks
----------------------------------
24,000 First Tennessee National Corp. 789,000
----------------------------------
30,000 North Fork Bancorp, Inc. 603,750
----------------------------------
20,000 Old Kent Financial Corp. 811,250
----------------------------------
6,000 Wilmington Trust Corp. 302,250
----------------------------------
12,000 Zions Bancorp 774,750
---------------------------------- -----------
Total 3,281,000
---------------------------------- -----------
Savings & Loan
----------------------------------
24,000 Sovereign Bancorp, Inc. 213,000
---------------------------------- -----------
Total Finance 5,139,250
---------------------------------- -----------
Healthcare/Drug-24.0%
----------------------------------
Biotechnology
----------------------------------
48,000 (1)Amgen, Inc. 2,187,000
----------------------------------
30,000 (1)Biogen, Inc. 2,191,875
----------------------------------
40,000 (1)Chiron Corp. 1,312,500
----------------------------------
14,000 (1)Gilead Sciences, Inc. 672,000
----------------------------------
32,000 (1)Human Genome Sciences, Inc. 3,584,000
----------------------------------
46,000 (1)ICOS Corp. 1,463,375
----------------------------------
16,000 (1)IDEC Pharmaceuticals Corp. 2,028,000
----------------------------------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
- ------ ------------------------------------ -----------
<S> <C> <C>
Common Stocks-Continued
- ------ ------------------------------------
Healthcare/Drug-Continued
------------------------------------
Biotechnology-Continued
------------------------------------
14,000 (1)Medimmune, Inc. $1,682,625
------------------------------------
12,000 (1)Millennium Pharmaceuticals, Inc. 1,168,125
------------------------------------ -----------
Total 16,289,500
------------------------------------ -----------
Distribution (Food & Health)
------------------------------------
30,000 Bergen Brunswig Corp., Class A 247,500
------------------------------------ -----------
Hospital Management
------------------------------------
(1)Health Management Association,
20,000 Class A 246,250
------------------------------------ -----------
Major Pharmaceuticals
------------------------------------
18,000 (1)Forest Laboratories, Inc.,
Class A 921,375
------------------------------------
44,000 ICN Pharmaceuticals, Inc. 1,069,750
------------------------------------
20,000 Mylan Laboratories, Inc. 471,250
------------------------------------
20,000 (1)Sepracor, Inc. 1,942,500
------------------------------------ -----------
Total 4,404,875
------------------------------------ -----------
Medical Product & Supplies
------------------------------------
18,000 (1)VISX, Inc. 1,396,125
------------------------------------ -----------
Specialized Services
------------------------------------
20,000 (1)Quintiles Transnational Corp. 441,250
------------------------------------ -----------
Total Healthcare/Drug 23,025,500
------------------------------------ -----------
Life Insurance-0.8%
------------------------------------
Life Insurance
------------------------------------
10,000 Aflac, Inc. 478,750
------------------------------------
10,000 Torchmark Corp. 317,500
------------------------------------ -----------
Total Life Insurance 796,250
------------------------------------ -----------
Metals/Minerals-2.1%
------------------------------------
Gold Exploration/Production
------------------------------------
30,000 Barrick Gold Corp. 540,000
------------------------------------
60,000 Homestake Mining Co. 495,000
------------------------------------
40,000 Newmont Mining Corp. 947,500
------------------------------------ -----------
Total Metals/Minerals 1,982,500
------------------------------------ -----------
Producer Manufacturing-2.9%
------------------------------------
Auto Parts & Equipment
------------------------------------
20,000 Federal-Mogul Corp. 446,250
------------------------------------ -----------
Building Materials
------------------------------------
12,000 (1)American Standard Cos. 467,250
------------------------------------
12,000 Vulcan Materials Co. 483,000
------------------------------------ -----------
Total 950,250
------------------------------------ -----------
Manufacture-Diversified
------------------------------------
4,000 Hillenbrand Industries, Inc. 136,750
------------------------------------ -----------
</TABLE>
Regions Aggressive Growth Fund
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
- ------ -------------------------------- -----------
<S> <C> <C>
Common Stocks-Continued
- ------ --------------------------------
Producer Manufacturing-Continued
--------------------------------
Manufacture-Specialized
--------------------------------
20,000 (1)Jabil Circuit, Inc. $1,278,750
-------------------------------- -----------
Total Producer Manufacturing 2,812,000
-------------------------------- -----------
Utilities-3.2%
--------------------------------
Communications
--------------------------------
10,000 (1)ADC Telecommunications, Inc. 533,126
--------------------------------
8,000 AT&T Corp. 447,000
--------------------------------
28,000 BroadWing, Inc. 815,500
--------------------------------
(1)Qwest Communications
16,000 International, Inc. 547,000
-------------------------------- -----------
Total 2,342,626
-------------------------------- -----------
</TABLE>
<TABLE>
<CAPTION>
Shares or
Principal
Amount Value
- ----------- ----------------------------- -----------
<S> <C> <C>
Common Stocks-Continued
- ----------- -----------------------------
Utilities-Continued
-----------------------------
Electrical
-----------------------------
20,000 Ipalco Enterprises, Inc. $361,250
-----------------------------
16,000 LG&E Energy Corp. 320,000
----------------------------- -----------
Total 681,250
----------------------------- -----------
Total Utilities 3,023,876
----------------------------- -----------
Total Common Stocks
(identified cost $67,720,782) 81,932,426
----------------------------- -----------
(2)Repurchase Agreement-13.0%
- ----------- -----------------------------
GX Clarke & Co., 5.55%, dated
11/30/1999, due 12/1/1999
$12,506,295 (at amortized cost) 12,506,295
----------------------------- -----------
Total Investments (identified
cost $80,227,077)(3) $94,438,721
----------------------------- -----------
</TABLE>
(1) Non-income producing security.
(2) The repurchase agreement is fully collateralized by U.S. government and/or
agency obligations based on market prices at the date of the portfolio.
(3) The cost of investments for federal tax purposes amounts to $80,227,077. The
net unrealized appreciation of investments on a federal tax basis amounts to
$14,211,644 which is comprised of $17,812,941 appreciation and $3,601,297
depreciation at November 30, 1999.
Note: The categories of investments are shown as a percentage of net assets
($95,991,977) at November 30, 1999.
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statements of Assets and Liabilities
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Treasury Limited Maturity Fixed
Money Market Government Income Balanced
Fund Fund Fund Fund
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Assets:
Investments in securities, at value $612,466,628 $110,181,426 $258,530,200 $175,584,792
Investments in repurchase agreements - 2,093,669 3,071,294 6,041,884
- -----------------------------------------------------------------------------------------------------------
Total investments in securities 612,466,628 112,275,095 261,601,494 181,626,676
- -----------------------------------------------------------------------------------------------------------
Cash - - - 95,658
Income receivable 4,640,175 1,627,168 3,739,695 1,273,905
Receivable for investments sold - - - -
Receivable for shares sold 407 116,019 134,147 88,206
- -----------------------------------------------------------------------------------------------------------
Total assets 617,107,210 114,018,282 265,475,336 183,084,445
- -----------------------------------------------------------------------------------------------------------
Liabilities:
Payable for investments purchased - - - 3,275
Payable for shares redeemed 9,529 189,953 217,454 97,975
Income distribution payable 1,749,091 309,502 1,097,235 -
Payable to Bank 1,974,191 119,594 196,054 -
Accrued expenses 126,378 42,399 43,127 77,782
- -----------------------------------------------------------------------------------------------------------
Total liabilities 3,859,189 661,448 1,553,870 179,032
- -----------------------------------------------------------------------------------------------------------
Net Assets Consist of:
Paid-in capital $613,248,021 $114,483,382 $273,087,320 $145,933,369
Net unrealized appreciation (depreciation) of
investments - (1,059,632) (6,174,844) 31,301,481
Accumulated net realized gain (loss) on
investments - (148,621) (2,993,924) 5,237,223
Undistributed net investment income - 81,705 2,914 433,340
- -----------------------------------------------------------------------------------------------------------
Total Net Assets $613,248,021 $113,356,834 $263,921,466 $182,905,413
- -----------------------------------------------------------------------------------------------------------
Net Asset Value, Offering Price Per Share:(1) (net assets (divided by) shares
outstanding)
Trust Shares $1.00 $9.86 $10.10 $15.97
Investment Shares $1.00 $9.86 $10.10 $15.96
- -----------------------------------------------------------------------------------------------------------
Redemption Proceeds Per Share:(1)
Trust Shares $1.00 $9.86 $10.10 $15.97
Investment Shares $1.00 $9.56(2) $9.80(2) $15.48(2)
- -----------------------------------------------------------------------------------------------------------
Net Assets:
Trust Shares $493,349,723 $66,677,851 $215,280,680 $15,868,028
Investment Shares $119,898,298 $46,678,983 $48,640,786 $167,037,385
- -----------------------------------------------------------------------------------------------------------
Shares Outstanding:
Trust Shares 493,349,723 6,765,521 21,320,475 993,836
Investment Shares 119,898,298 4,736,112 4,817,150 10,467,785
- -----------------------------------------------------------------------------------------------------------
Investments, at identified cost $612,466,628 $113,334,727 $267,776,338 $150,325,195
- -----------------------------------------------------------------------------------------------------------
Investments, at tax cost $612,466,628 $113,334,727 $267,776,338 $150,325,195
- -----------------------------------------------------------------------------------------------------------
</TABLE>
(1) See "What Do Shares Cost?" in the Prospectus.
(2) Computation of Redemption Proceeds: 97/100 of net asset value.
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statements of Assets and Liabilities
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Aggressive
Value Growth Growth
Fund Fund Fund
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Assets:
Investments in securities, at value $272,862,352 $675,230,816 $81,932,426
Investments in repurchase agreements 9,323,171 21,981,990 12,506,295
- ----------------------------------------------------------------------------------------------
Total investments in securities 282,185,523 697,212,806 94,438,721
- ----------------------------------------------------------------------------------------------
Cash - 53,031 -
Income receivable 635,620 442,387 17,418
Receivable for investments sold - - 1,953,380
Receivable for shares sold 299,867 888,664 255,403
- ----------------------------------------------------------------------------------------------
Total assets 283,121,010 698,596,888 96,664,922
- ----------------------------------------------------------------------------------------------
Liabilities:
Payable for investments purchased - - 505,053
Payable for shares redeemed 258,071 555,546 48,894
Income distribution payable - - 1,045
Payable to Bank 286,167 - 58,923
Accrued expenses 54,115 180,644 59,030
- ----------------------------------------------------------------------------------------------
Total liabilities 598,353 736,190 672,945
- ----------------------------------------------------------------------------------------------
Net Assets Consist of:
Paid-in capital $257,384,810 $446,125,375 $79,208,599
Net unrealized appreciation of investments 15,896,079 239,290,672 14,211,644(2)
Accumulated net realized gain on investments 8,898,100 12,444,651 2,571,734
Undistributed net investment income 343,668 - -
- ----------------------------------------------------------------------------------------------
Total Net Assets $282,522,657 $697,860,698 $95,991,977
- ----------------------------------------------------------------------------------------------
Net Asset Value, Offering Price Per Share:(1)
(net assets (divided by) shares outstanding) $12.58
Trust Shares $15.93 $23.55 -
Investment Shares $15.92 $23.49 -
- ----------------------------------------------------------------------------------------------
Redemption Proceeds Per Share:(1) $12.20(3)
Trust Shares $15.93 $23.55 -
Investment Shares $15.44(3) $22.79(3) -
- ----------------------------------------------------------------------------------------------
Net Assets: $95,991,977
Trust Shares $205,197,680 $376,939,735 -
Investment Shares $77,324,977 $320,920,963 -
- ----------------------------------------------------------------------------------------------
Shares Outstanding: 7,628,896
Trust Shares 12,883,586 16,008,136 -
Investment Shares 4,858,460 13,659,223 -
- ----------------------------------------------------------------------------------------------
Investments, at identified cost $266,289,444 $457,922,134 $80,227,077
- ----------------------------------------------------------------------------------------------
Investments, at tax cost $267,079,309 $458,031,465 $80,227,077
- ----------------------------------------------------------------------------------------------
</TABLE>
(1) See "What Do Shares Cost?" in the Prospectus.
(2) Includes $5,305,623 of unrealized appreciation, at March 15, 1999 related to
the tax-free transfer of assets from the Collective Trust Fund.
(3) Computation of Redemption Proceeds: 97/100 of net asset value.
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statement of Operations
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Treasury Limited Maturity Fixed
Money Market Government Income Balanced
Fund Fund Fund Fund
- ---------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Investment Income:
Interest $27,523,194 $ 5,751,553 $ 15,055,032 $4,489,307
Dividends - - - 914,164
- ---------------------------------------------------------------------------------------------
Total income 27,523,194 5,751,553 15,055,032 5,403,471
- ---------------------------------------------------------------------------------------------
Expenses:
Investment adviser fee 3,017,941 729,204 1,911,791 1,248,069
Administrative personnel and
services fee 568,721 97,987 239,796 146,623
Custodian fees 77,679 23,334 50,736 33,702
Transfer and dividend disbursing
agent fees and expenses 211,709 73,854 76,665 116,285
Directors'/Trustees' fees 5,745 2,621 4,704 3,014
Auditing fees 16,928 16,612 18,372 15,693
Legal fees 5,434 6,448 4,726 5,010
Portfolio accounting fees 112,123 62,544 74,937 64,003
Distribution services fee-
Investment Shares 443,915 - - -
Shareholder services fees-
Investment Shares - 102,346 104,903 358,276
Share registration costs 118,370 29,921 37,831 43,651
Printing and postage 14,361 10,480 9,952 11,989
Insurance premiums - - 2,460 1,108
Miscellaneous 6,558 1,522 6,893 9,977
- ---------------------------------------------------------------------------------------------
Total expenses 4,599,484 1,156,873 2,543,766 2,057,400
Waivers:
Waiver of investment adviser fee (1,508,970) (193,164) (590,903) (72,753)
Waiver of distribution services fee-
Investment Shares (154,556) - - -
- ---------------------------------------------------------------------------------------------
Total waivers (1,663,526) (193,164) (590,903) (72,753)
- ---------------------------------------------------------------------------------------------
Net expenses 2,935,958 963,709 1,952,863 1,984,647
- ---------------------------------------------------------------------------------------------
Net investment income 24,587,236 4,787,844 13,102,169 3,418,824
- ---------------------------------------------------------------------------------------------
Realized and Unrealized Gain (Loss)
on Investments:
Net realized gain (loss) on
investments - (148,621) (680,278) 5,238,119
Net change in unrealized
appreciation of investments - (2,032,623) (12,256,197) 5,433,879
- ---------------------------------------------------------------------------------------------
Net realized and unrealized gain
(loss) on investments - (2,181,244) (12,936,475) 10,671,998
- ---------------------------------------------------------------------------------------------
Change in net assets
resulting from operations $24,587,236 $2,606,600 $165,694 $14,090,822
- ---------------------------------------------------------------------------------------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statements of Operations
November 30, 1999
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Aggressive
Value Growth Growth
Fund Fund Fund(1)
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Investment Income:
Interest $427,556 $855,316 $351,622
Dividends 4,609,808 4,597,029 163,377
- -------------------------------------------------------- ------------- ------------- ------------
Total income 5,037,364 5,452,345 514,999
- -------------------------------------------------------- ------------- ------------- ------------
Expenses:
Investment adviser fee 2,028,188 4,391,129 357,738
Administrative personnel and services fee 238,281 515,444 44,514
Custodian fees 50,526 74,919 11,318
Transfer and dividend disbursing agent fees and expenses 92,326 206,871 50,199
Directors'/Trustees' fees 4,729 4,926 341
Auditing fees 15,661 16,729 14,560
Legal fees 4,191 4,511 2,545
Portfolio accounting fees 74,346 110,771 28,399
Shareholder services fees-Investment Shares 163,865 598,370 -
Share registration costs 45,271 99,686 42,144
Printing and postage 11,769 10,006 9,396
Insurance premiums 1,413 4,223 2,264
Miscellaneous 8,135 5,956 4,805
- -------------------------------------------------------- ------------- ------------- ------------
Total expenses 2,738,701 6,043,541 568,223
Waivers:
Waiver of investment adviser fee (118,069) (257,614) -
- -------------------------------------------------------- ------------- ------------- ------------
Net expenses 2,620,632 5,785,927 568,223
- -------------------------------------------------------- ------------- ------------- ------------
Net investment income (Net operating loss) 2,416,732 (333,582) (53,224)
- -------------------------------------------------------- ------------- ------------- ------------
Realized and Unrealized Gain (Loss) on Investments:
Net realized gain on investments 23,397,798 22,659,850 6,525,726
Net change in unrealized appreciation of investments (15,524,648) 103,232,510 8,906,021
- -------------------------------------------------------- ------------- ------------- ------------
Net realized and unrealized gain on investments 7,873,150 125,892,360 15,431,747
- -------------------------------------------------------- ------------- ------------- ------------
Change in net assets resulting from operations $10,289,882 $125,558,778 $15,378,523
- -------------------------------------------------------- ------------- ------------- ------------
</TABLE>
(1) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to November 30, 1999.
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statements of Changes in Net Assets
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Limited Maturity
Treasury Money Market Fund Government Fund
--------------------------------- ----------------------------
Year Ended November 30, Year Ended November 30,
1999 1998 1999 1998
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Increase (Decrease) in Net Assets:
Operations-
Net investment income $24,587,236 $13,740,357 $4,787,844 $4,094,604
Net realized gain (loss) on investments - - (148,621) 422,729
Net change in unrealized
appreciation of investments - - (2,032,623) 666,940
- ------------------------------------------------------------------------------------------------------
Change in net assets
resulting from operations 24,587,236 13,740,357 2,606,600 5,184,273
- ------------------------------------------------------------------------------------------------------
Distributions to Shareholders-
Distributions from net
investment income:
Trust Shares (20,274,263) (11,324,148) (2,985,736) (1,381,758)
Investment Shares (4,312,973) (2,416,209) (1,761,333) (2,690,862)
Distributions from net realized
gain on investment transactions:
Trust Shares - - (52,723) -
Investment Shares - - (32,311) -
- ------------------------------------------------------------------------------------------------------
Change in net assets resulting
from distributions to
shareholders (24,587,236) (13,740,357) (4,832,103) (4,072,620)
- ------------------------------------------------------------------------------------------------------
Share Transactions-
Proceeds from sales of shares 1,197,387,609 1,114,417,737 52,403,368 93,303,815
Net asset value of shares issued
to shareholders in payment of
dividends declared 5,414,582 3,841,391 1,462,992 1,329,677
Cost of shares redeemed (1,203,819,146) (715,989,367) (27,367,885) (86,282,554)
- ------------------------------------------------------------------------------------------------------
Change in net assets resulting
from share transactions (1,016,955) 402,269,761 26,498,475 8,350,938
- ------------------------------------------------------------------------------------------------------
Change in net assets (1,016,955) 402,269,761 24,272,972 9,462,591
Net Assets:
Beginning of period 614,264,976 211,995,215 89,083,862 79,621,271
- ------------------------------------------------------------------------------------------------------
End of period $613,248,021 $614,264,976 $113,356,834 $89,083,862
- ------------------------------------------------------------------------------------------------------
Undistributed net investment income
included in net assets at end of
period - - $81,705 $40,930
- ------------------------------------------------------------------------------------------------------
Net gain (loss) as computed for federal
tax purposes - - $(148,621) $432,001
- ------------------------------------------------------------------------------------------------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statements of Changes in Net Assets
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Fixed Income Fund Balanced Fund
----------------------------- ---------------------------
Year Ended November 30, Year Ended November 30,
1999 1998 1999 1998
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Increase (Decrease) in Net Assets:
Operations-
Net investment income $13,102,169 $11,255,571 $3,418,824 $2,473,387
Net realized gain (loss) on investments (680,278) 1,376,624 5,238,119 3,927,012
Net change in unrealized appreciation of
investments (12,256,197) 3,374,177 5,433,879 9,769,350
- --------------------------------------------------------------------------------------------------
Change in net assets
resulting from operations 165,694 16,006,372 14,090,822 16,169,749
- --------------------------------------------------------------------------------------------------
Distributions to Shareholders-
Distributions from net
investment income:
Trust Shares (11,026,911) (5,320,193) (287,625) (121,848)
Investment Shares (2,074,189) (5,936,405) (2,960,226) (2,404,098)
Distributions from net realized
gain on investment transactions:
Trust Shares - - (338,863) -
Investment Shares - - (3,589,045) (2,449,878)
- --------------------------------------------------------------------------------------------------
Change in net assets resulting
from distributions to
shareholders (13,101,100) (11,256,598) (7,175,759) (4,975,824)
- --------------------------------------------------------------------------------------------------
Share Transactions-
Proceeds from sales of shares 129,573,113 310,752,824 69,430,482 47,945,804
Net asset value of shares issued
to shareholders in payment of
dividends declared 913,517 631,337 6,244,173 4,425,146
Cost of shares redeemed (70,972,925) (282,854,601) (22,353,499) (23,968,895)
- --------------------------------------------------------------------------------------------------
Change in net assets resulting
from share transactions 59,513,705 28,529,560 53,321,156 28,402,055
- --------------------------------------------------------------------------------------------------
Change in net assets 46,578,299 33,279,334 60,236,219 39,595,980
Net Assets:
Beginning of period 217,343,167 184,063,833 122,669,194 83,073,214
- --------------------------------------------------------------------------------------------------
End of period $263,921,466 $217,343,167 $182,905,413 $122,669,194
- --------------------------------------------------------------------------------------------------
Undistributed net investment
income included in net assets
at end of period $2,914 $2,757 $433,340 $261,774
- --------------------------------------------------------------------------------------------------
Net gain (loss) as computed for federal
tax purposes $(680,278) $1,376,624 $5,238,119 $3,927,012
- --------------------------------------------------------------------------------------------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
Regions Funds
Statements of Changes in Net Assets
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Aggressive
Growth
Value Fund Growth
Fund Fund
---------------------------- ----------------------------
- ----------------
Year Ended Year Ended
Period Ended
November 30, November 30,
November 30,
----------------------------
- ----------------------------
1999 1998 1999 1998
1999(1)
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
<C>
Increase (Decrease) in Net Assets:
Operations-
Net investment
income
(Net operating loss) $2,416,732 $2,321,448 $(333,582)
$543,522 $(53,224)
Net realized gain on investments 23,397,798 14,577,823 22,659,850
26,736,007 6,525,726
Net change in unrealized appreciation of investments (15,524,648) 1,792,241 103,232,510
68,542,924 8,906,021
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Change in net assets resulting from operations 10,289,882 18,691,512 125,558,778 95,822,453
15,378,523
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Distributions to Shareholders- Distributions from net investment income:
Trust Shares (1,853,308) (1,022,894) (14,958)
(217,639) -
Investment Shares (477,590) (1,340,616) -
(421,625) -
Distributions from net realized gain on
investment
transactions:
(3,900,768)
Trust Shares (21,743,491) - (22,293,041)
- - -
Investment Shares (7,334,030) (3,980,849) (14,565,540)
(29,158,060) -
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Change in net assets resulting
from
distributions to shareholders (31,408,419) (6,344,359) (36,873,539) (29,797,324)
(3,900,768)
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Share
Transactions-
Proceeds from sales of shares 139,219,690 236,035,007 307,504,952 328,001,520
50,570,676
Proceeds from shares issued in connection
with
the tax-free transfer of assets from
the
Collective Trust Fund - - - -
48,506,886(2)
Net asset value of shares issued to
shareholders
in payment of dividends declared 5,835,363 875,469 12,706,860
7,454,900 215,841
Cost of shares redeemed (47,218,310) (195,984,467) (98,570,999) (288,953,371)
(14,779,281)
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Change in net assets resulting from
share
transactions 97,836,743 40,926,009 221,640,813 46,503,049
84,514,122
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Change in net assets 76,718,206 53,273,162 310,326,052 112,528,178
95,991,877
Net
Assets:
Beginning of period 205,804,451 152,531,289 387,534,646
275,006,468 100
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
End of period $282,522,657 $205,804,451 $697,860,698 $387,534,646
$95,991,977
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Undistributed net investment income included in
net
assets at end of period $343,668 $257,429 -
$12,290 -
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
Net gain as computed for federal tax purposes $24,187,663 $14,577,823 $22,596,643 $26,815,920
$6,525,726
- ---------------------------------------------------- ------------- -------------- ------------- --------------
- ----------------
</TABLE>
(1) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to November 30, 1999.
(2) Includes $5,305,623 of unrealized appreciation, at March 15, 1999 related to
the tax-free transfer of assets from the Collective Trust Fund.
(See Notes which are an integral part of the Financial Statements)
Regions Funds-Financial Highlights
- -------------------------------------------------------------------------------
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
Net realized Distributions
and from net
Net Asset unrealized Distributions realized gain Distributions
Value, Net gain (loss) Total from from net on in excess of net
Year Ended beginning investment on investment investment investment investment
November 30, of period income investments operations income transactions income
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Treasury Money Market Fund-Trust Shares
1995 $1.00 0.05 - 0.05 (0.05) - -
1996 $1.00 0.05 - 0.05 (0.05) - -
1997 $1.00 0.05 - 0.05 (0.05) - -
1998 $1.00 0.05 - 0.05 (0.05) - -
1999 $1.00 0.04 - 0.04 (0.04) - -
Treasury Money Market Fund-Investment Shares
1995 $1.00 0.04 - 0.04 (0.04) - -
1996 $1.00 0.04 - 0.04 (0.04) - -
1997 $1.00 0.04 - 0.04 (0.04) - -
1998 $1.00 0.04 - 0.04 (0.04) - -
1999 $1.00 0.04 - 0.04 (0.04) - -
Limited Maturity Government Fund-Trust Shares
1998(1) $9.96 0.25 0.11 0.36 (0.25) - -
1999 $10.07 0.46 (0.20) 0.26 (0.46) (0.01) -
Limited Maturity Government Fund-Investment Shares
1995 $9.60 0.51 0.44 0.95 (0.51) - -
1996 $10.04 0.50 (0.08) 0.42 (0.50) - -
1997 $9.96 0.49 (0.02) 0.47 (0.49) - -
1998 $9.94 0.46 0.13 0.59 (0.46) - -
1999 $10.07 0.45 (0.21) 0.24 (0.44) (0.01) -
Fixed Income Fund-Trust Shares
1992(2) $9.90 0.38 0.37 0.75 (0.38) - -
1993 $10.27 0.51 0.50 1.01 (0.51) (0.10) -
1994 $10.67 0.54 (1.01) (0.47) (0.53) (0.20) (0.01)(4)
1995(3) $9.46 0.09 0.11 0.20 (0.09) - -
1998(1) $10.39 0.28 0.22 0.50 (0.28) - -
1999 $10.61 0.53 (0.51) 0.02 (0.53) - -
Fixed Income Fund-Investment Shares
1995 $9.46 0.52 0.90 1.42 (0.54) - -
1996 $10.34 0.54 0.02 0.56 (0.54) - -
1997 $10.36 0.58 0.02 0.60 (0.59) - -
1998 $10.37 0.53 0.24 0.77 (0.53) - -
1999 $10.61 0.51 (0.51) 0.00 (0.51) - -
</TABLE>
(1) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
(2) Reflects operations for the period from April 20, 1992 (date of initial
public investment) to November 30, 1992.
(3) Reflects operations for the two month period ended January 31, 1995. Prior
to February 1, 1995, the Fund offered two classes of shares: Investment
Shares and Trust Shares. On February 1, 1995, the Fund exchanged all
outstanding Trust Shares for Investment Shares and no longer offered Trust
Shares. The Fund resumed offering Trust Shares as of May 20, 1998.
(4) Distributions are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These
distributions did not represent a return of capital for federal income tax
purposes.
(See Notes which are an integral part of the Financial Statements)
<TABLE>
<CAPTION>
Ratios to average net assets
----------------------------------------
Net Asset Net Assets,
Value, Net Expense end of
Total end Total investment waiver/ period Portfolio
distributions of period return(5) Expenses income reimbursement(6) (000 omitted) turnover
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
(0.05) $1.00 5.48% 0.33% 5.35% 0.50% $109,368 -
(0.05) $1.00 4.83% 0.52% 4.71% 0.29% $101,786 -
(0.05) $1.00 4.81% 0.52% 4.71% 0.25% $166,035 -
(0.05) $1.00 4.71% 0.47% 4.57% 0.25% $524,592 -
(0.04) $1.00 4.21% 0.44% 4.12% 0.25% $493,350 -
(0.04) $1.00 5.06% 0.73% 4.98% 0.50% $28,930 -
(0.04) $1.00 4.41% 0.92% 4.31% 0.29% $40,619 -
(0.04) $1.00 4.39% 0.92% 4.31% 0.25% $45,960 -
(0.04) $1.00 4.30% 0.87% 4.17% 0.25% $89,673 -
(0.04) $1.00 3.94% 0.70% 3.89% 0.39% $119,898 -
(0.25) $10.07 3.59% 1.04%(7) 4.73%(7) - $55,627 69%
(0.47) $9.86 2.64% 0.82% 4.66% 0.19% $66,678 22%
(0.51) $10.04 10.12% 0.61% 5.26% 0.49% $63,078 26%
(0.50) $9.96 4.37% 1.01% 5.09% 0.08% $63,732 48%
(0.49) $9.94 4.81% 0.99% 4.91% - $79,621 40%
(0.46) $10.07 6.05% 1.12% 4.65% - $33,456 69%
(0.45) $9.86 2.39% 1.07% 4.41% 0.19% $46,679 22%
(0.38) $10.27 7.66% 0.77%(7) 6.02%(7) 0.29%(7) $96,354 44%
(0.61) $10.67 10.14% 0.84% 4.80% 0.25% $169,881 83%
(0.74) $9.46 (4.55%) 0.79% 5.44% 0.25% $153,289 24%
(0.09) $9.57 2.11% 0.82%(7) 5.79%(7) 0.25%(7) - -
(0.28) $10.61 4.87% 0.97%(7) 5.19%(7) - $193,351 64%
(0.53) $10.10 0.24% 0.73% 5.18% 0.23% $215,281 18%
(0.54) $10.34 15.37% 1.02% 5.25% - $160,286 45%
(0.54) $10.36 5.66% 1.02% 5.38% - $152,940 52%
(0.59) $10.37 5.99% 0.97% 5.73% - $184,064 37%
(0.53) $10.61 7.60% 0.99% 5.17% - $23,992 64%
(0.51) $10.10 (0.01%) 0.98% 4.95% 0.23% $48,641 18%
</TABLE>
(5) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(6) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(7) Computed on an annualized basis.
Regions Funds-Financial Highlights
- -------------------------------------------------------------------------------
For a share outstanding throughout each period.
<TABLE>
<CAPTION>
Net Net realized Distributions
investment and from net
Net Asset income unrealized Distributions realized gain Distributions
Value, (net gain (loss) Total from from net on in excess of net
Year Ended beginning operating on investment investment investment investment
November 30, of period loss) investments operations income transactions income
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Balanced Fund-Trust Shares
1998(1) $14.52 0.19 0.80 0.99 (0.19) - -
1999 $15.32 0.38 1.12 1.50 (0.36) (0.49) -
Balanced Fund-Investment Shares
1995(2) $10.00 0.44 1.38 1.82 (0.36) - -
1996 $11.46 0.41 1.27 1.68 (0.42) (0.21) -
1997 $12.51 0.36 1.60 1.96 (0.37) (0.31) -
1998 $13.79 0.35 1.96 2.31 (0.37) (0.41) -
1999 $15.32 0.33 1.12 1.45 (0.32) (0.49) -
Value Fund-Trust Shares
1998(1) $17.31 0.10 (0.02) 0.08 (0.11) - -
1999 $17.28 0.18 0.73 0.91 (0.17) (2.09) -
Value Fund-Investment Shares
1995(2) $10.00 0.40 1.98 2.38 (0.34) - -
1996 $12.04 0.27 2.22 2.49 (0.29) (0.35) -
1997 $13.89 0.22 2.94 3.16 (0.21) (0.66) -
1998 $16.18 0.22 1.50 1.72 (0.21) (0.42) -
1999 $17.27 0.09 0.78 0.87 (0.13) (2.09) -
Growth Fund-Trust Shares
1992(3) $9.86 0.14 0.77 0.91 (0.11) - -
1993 $10.66 0.18 (0.03) 0.15 (0.18) (0.12) -
1994 $10.51 0.25 (0.10) 0.15 (0.23) (0.07) -
1995(4) $10.36 0.08 0.02 0.10 (0.08) (0.33) -
1998(1) $17.81 0.02 2.27 2.29 (0.02) - -
1999 $20.08 0.03 5.18 5.21 (0.01) (1.73) -
Growth Fund-Investment Shares
1995 $10.36 0.18 2.10 2.28 (0.21) (0.33) -
1996 $12.10 0.12 3.12 3.24 (0.15) (0.55) -
1997 $14.64 0.07 3.01 3.08 (0.07) (0.76) -
1998 $16.89 0.02 5.00 5.02 (0.03) (1.80) -
1999 $20.08 (0.03) 5.17 5.14 - (1.73) -
Aggressive Growth Fund
1999(5) $10.00 - 3.20 3.20 - (0.62) -
</TABLE>
(1) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
(2) Reflects operations for the period from December 19, 1994 (date of initial
public investment) to November 30, 1995.
(3) Reflects operations for the period from April 20, 1992 (date of initial
public investment) to November 30, 1992.
(4) Reflects operations for the two month period ended January 31, 1995. Prior
to February 1, 1995, the Fund offered two classes of shares: Investment
Shares and Trust Shares. On February 1, 1995, the Fund exchanged all
outstanding Trust Shares for Investment Shares and no longer offered Trust
Shares. The Fund resumed offering Trust Shares as of May 20, 1998.
(5) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to November 30, 1999.
(See Notes which are an integral part of the Financial Statements)
<TABLE>
<CAPTION>
Ratios to average net assets
-------------------------------------------
Net
Net Asset investment Net Assets,
Value, income Expense end of
Total end Total (net operating waiver/ period Portfolio
distributions of period return(6) Expenses loss) reimbursement(7) (000 omitted) turnover
- -----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
(0.19) $15.32 6.89% 1.11%(8) 2.56%(8) - $10,409 31%
(0.85) $15.97 10.14% 1.04% 2.42% 0.05% $15,868 23%
(0.36) $11.46 18.50% 0.61%(8) 4.34%(8) 0.56%(8) $51,197 49%
(0.63) $12.51 15.35% 1.13% 3.60% 0.09% $59,321 41%
(0.68) $13.79 16.34% 1.11% 2.73% - $83,073 34%
(0.78) $15.32 17.49% 1.25% 2.42% - $112,260 31%
(0.81) $15.96 9.82% 1.29% 2.17% 0.05% $167,037 23%
(0.11) $17.28 0.50% 1.06%(8) 1.29%(8) - $157,990 63%
(2.26) $15.93 5.76% 0.97% 1.02% 0.05% $205,198 69%
(0.34) $12.04 24.14% 0.69%(8) 3.93%(8) 0.55%(8) $45,424 76%
(0.64) $13.89 21.72% 1.11% 2.29% 0.06% $83,572 58%
(0.87) $16.18 24.08% 1.04% 1.50% - $152,531 31%
(0.63) $17.27 11.00% 1.11% 1.24% - $47,815 63%
(2.22) $15.92 5.51% 1.22% 0.77% 0.05% $77,325 69%
(0.11) $10.66 9.28% 0.76%(8) 2.28%(8) 0.35%(8) $102,822 30%
(0.30) $10.51 1.43% 0.84% 1.85% 0.30% $154,185 74%
(0.30) $10.36 1.42% 0.79% 2.32% 0.30% $143,876 66%
(0.41) $10.05 1.00% 0.83%(8) 2.76%(8) 0.30%(8) - -
(0.02) $20.08 12.85% 1.00%(8) 0.22%(8) - $246,613 41%
(1.74) $23.55 27.42% 0.94% 0.05% 0.05% $376,940 20%
(0.54) $12.10 23.01% 1.03% 1.61% 0.05% $154,297 110%
(0.70) $14.64 28.22% 1.05% 0.98% 0.01% $175,521 56%
(0.83) $16.89 22.37% 1.01% 0.45% - $275,006 40%
(1.83) $20.08 33.81% 1.08% 0.12% - $140,922 41%
(1.73) $23.49 27.07% 1.19% (0.20%) 0.05% $320,921 20%
(0.62) $12.58 33.17% 1.19%(8) (0.11%)(8) - $95,992 64%
</TABLE>
(6) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(7) This voluntary expense decrease is reflected in both the expense and net
investment income (loss) ratios shown above.
(8) Computed on an annualized basis.
Regions Funds
Combined Notes to Financial Statements
November 30, 1999
- -------------------------------------------------------------------------------
(1) Organization
Regions Funds (the "Trust") is registered under the Investment Company Act of
1940, as amended (the "Act") as an open-end, management investment company. The
Trust consists of seven portfolios (individually referred to as the "Fund", or
collectively as the "Funds") at November 30, 1999, which are presented herein:
<TABLE>
<CAPTION>
Portfolio Name Investment Objective
- -------------------------------------------------------------------------------------------------
<S> <C>
Regions Treasury Money Market Fund Current income consistent with stability of
("Treasury Money Market Fund") principal and liquidity. The Fund pursues its
objective by investing primarily in a diversified
portfolio limited to short-term U.S. treasury
obligations.
- -------------------------------------------------------------------------------------------------
Regions Limited Maturity Government Fund Current income. The Fund pursues its objective
("Limited Maturity Government Fund") by investing in a diversified portfolio consisting
primarily of securities which are guaranteed as
to payment of principal and interest by the U.S.
government, its agencies or instrumentalities.
- -------------------------------------------------------------------------------------------------
Regions Fixed Income Fund Current income with a secondary objective of
("Fixed Income Fund") capital appreciation. The Fund pursues its
objective by investing only in high grade debt
securities.
- -------------------------------------------------------------------------------------------------
Regions Balanced Fund Total return through capital appreciation,
("Balanced Fund") dividends, and interest. The Fund pursues its
objective by investing primarily in
a diversified portfolio of common
and preferred stock, fixed-income
securities, and convertible
securities.
- -------------------------------------------------------------------------------------------------
Regions Value Fund Income and growth of capital. The Fund
("Value Fund") pursues its objective by investing primarily in a
diversified portfolio of
income-producing equity securities
such as common and preferred stock,
warrants, and securities (including
debt securities) convertible into
common stocks.
- -------------------------------------------------------------------------------------------------
Regions Growth Fund Growth of capital and income. The Fund
("Growth Fund") pursues its objective by investing principally in
a diversified portfolio of common stocks of
companies with market capitalizations of $5
billion or more.
- -------------------------------------------------------------------------------------------------
Regions Aggressive Growth Fund Long-term capital appreciation. The Fund
("Aggressive Growth Fund") pursues its objective by investing primarily in
equity securities of companies with
small to medium-sized market
capitalizations of $5 billion or
less.
- -------------------------------------------------------------------------------------------------
</TABLE>
Regions Funds
- -------------------------------------------------------------------------------
The Funds offer both Trust and Investment classes of shares (except, Aggressive
Growth Fund which offers only one class of shares). Investment Shares are
identical in all respects to Trust Shares, except the Investment Shares are sold
pursuant to a distribution plan adopted in accordance with Rule 12b-1 under the
Act and have a Shareholder Services Agreement (except, Treasury Money Market
Fund and Aggressive Growth Fund). The assets of each Fund of the Trust are
segregated and a shareholder's interest is limited to the portfolio in which
shares are held.
On March 15, 1999, Aggressive Growth Fund received a tax-free transfer of assets
from the Collective Trust Fund managed by the Adviser as follows:
<TABLE>
<CAPTION>
Collective Trust Fund Aggressive Growth Fund Collective Trust Fund Unrealized
Units Converted Shares Issued Net Assets Received Appreciation(1)
- --------------------------------------------------------------------------------------
<S> <C> <C> <C>
245,956 4,850,689 $48,506,886 $5,305,623
</TABLE>
(1) Unrealized appreciation is included in the Collective Trust Fund net assets
received above.
(2) Significant Accounting Policies
The following is a summary of significant accounting policies consistently
followed by the Funds in the preparation of their financial statements. These
policies are in conformity with generally accepted accounting principles.
Investment Valuations-U.S. government securities, listed corporate bonds, (other
fixed income and asset-backed securities), and unlisted securities and private
placement securities are generally valued at the mean of the latest bid and
asked price as furnished by an independent pricing service. Listed equity
securities are valued at the last sale price reported on a national securities
exchange. The Treasury Money Market Fund uses the amortized cost method to value
its portfolio securities in accordance with Rule 2a-7 under the Act. For
fluctuating net asset value Funds within the Trust, short-term securities are
valued at the prices provided by an independent pricing service. However,
short-term securities purchased with remaining maturities of 60 days or less may
be valued at amortized cost, which approximates fair market value. Investments
in other open-end regulated investment companies are valued at net asset value.
Repurchase Agreements-It is the policy of the Funds to require the custodian
bank to take possession, to have legally segregated in the Federal Reserve Book
Entry System, or to have segregated within the custodian bank's vault, all
securities held as collateral in support of repurchase agreement transactions.
Additionally, procedures have been established by the Funds to monitor, on a
daily basis, the market value of each repurchase agreement's collateral to
ensure that the value of collateral at least equals the repurchase price to be
paid under the repurchase agreement.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed by
the Funds' adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Board of Trustees (the "Trustees").
Risks may arise from the potential inability of counterparties to honor the
terms of the repurchase agreement. Accordingly, the Funds could receive less
than the repurchase price on the sale of collateral securities. The Funds, along
with other affiliated investment companies, may utilize a joint trading account
for the purpose of entering into one or more repurchase agreements.
Investment Income, Expenses and Distributions-Interest income and expenses are
accrued daily. Bond premium and discount, if applicable, are amortized as
required by the Internal Revenue Code, as amended (the "Code"). Dividend income
and distributions to shareholders are
Regions Funds
- -------------------------------------------------------------------------------
recorded on the ex-dividend date. Non-cash dividends included in dividend
income, if any, are recorded at fair value. The Funds offer multiple classes of
shares, which may differ in their respective distribution and service fees. All
shareholders bear the common expenses of the Funds based on average daily net
assets of each class, without distinction between share classes. Dividends are
declared separately for each class. No class has preferential dividend rights;
differences in per share dividend rates are generally due to differences in
separate class expenses.
Income and capital gain distributions are determined in accordance with income
tax regulations which may differ from generally accepted accounting principles.
These differences are primarily due to differing treatments for net operating
loss. The following reclassifications were made to the financial statements:
<TABLE>
<CAPTION>
Paid-In Undistributed Net Accumulated Net
Fund Capital Investment Income Realized Gain (Loss)
- ---------------------- ----------- ----------------- --------------------
<S> <C> <C> <C>
Fixed Income Fund $- $(912) $912
- ----------------------
Balanced Fund $(534) $593 $(59)
- ----------------------
Value Fund $- $405 $(405)
- ----------------------
Growth Fund $(333,584) $336,250 $(2,666)
- ----------------------
Aggressive Growth Fund $- $53,224 $(53,224)
- ----------------------
</TABLE>
Net investment income, net realized gains (losses), and net assets were not
affected by these reclassifications.
Federal Taxes-It is the Funds' policy to comply with the provisions of the Code
applicable to regulated investment companies and to distribute to shareholders
each year substantially all of their income. Accordingly, no provision for
federal tax is necessary.
At November 30, 1999, Limited Maturity Government Fund and Fixed Income Fund,
for federal tax purposes, had capital loss carryforwards of $148,621 and
$2,993,925, respectively, which will reduce the Funds' taxable income arising
from future net realized gain on investments, if any, to the extent permitted by
the Code, and thus will reduce the amount of the distributions to shareholders
which would otherwise be necessary to relieve the Funds of any liability for
federal tax.
Pursuant to the Code, such capital loss carryforwards will expire as follows:
<TABLE>
<CAPTION>
Expiring in Expiring in Expiring in Expiring in Expiring in
Fund 2003 2004 2005 2006 2007
- ----------------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Limited Maturity
Government Fund - - - - $148,621
- -----------------
Fixed Income Fund $2,216,582 $15,304 $81,761 - $680,278
- ----------------
</TABLE>
When-Issued and Delayed Delivery Transactions-The Funds may engage in when-
issued or delayed delivery transactions. The Funds record when-issued securities
on the trade date and maintain security positions such that sufficient liquid
assets will be available to make payment for the securities purchased.
Securities purchased on a when-issued or delayed delivery basis are marked to
market daily and begin earning interest on the settlement date. Losses may occur
on these transactions due to changes in market conditions or the failure of
counterparties to perform under the contract.
Regions Funds
- -------------------------------------------------------------------------------
Deferred Expenses-The costs incurred by each Fund with respect to registration
of its shares in its first fiscal year, excluding the initial expense of
registering its shares, have been deferred and are being amortized over a period
of up to five years from each Fund's commencement date.
Use of Estimates-The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the amounts of assets, liabilities, expenses and
revenues reported in the financial statements. Actual results could differ from
those estimated.
Other-Investment transactions are accounted for on a trade date basis.
(3) Shares of Beneficial Interest
The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value) for each
class of shares. Transactions in Fund Shares were as follows:
<TABLE>
<CAPTION>
Treasury Money Market Fund
- --------------------------------------------------------------------------------------
Year Ended Year Ended
Trust Shares November 30, 1999 November 30, 1998
- --------------------------------------------------------------------------------------
<S> <C> <C>
Shares sold 813,472,860 735,928,297
Shares issued to shareholders in payment of
distributions declared 1,969,546 1,531,724
Shares redeemed (846,684,535) (378,903,313)
----------------- -----------------
Net change resulting from Trust Share transactions (31,242,129) 358,556,708
----------------- -----------------
</TABLE>
<TABLE>
<CAPTION>
Treasury Money Market Fund
- -------------------------------------------------------------------------------------
Year Ended Year Ended
Investment Shares November 30, 1999 November 30, 1998
- -------------------------------------------------------------------------------------
<S> <C> <C>
Shares sold 383,914,749 378,489,440
Shares issued to shareholders in payment of
distributions declared 3,445,036 2,309,667
Shares redeemed (357,134,611) (337,086,054)
----------------- -----------------
Net change resulting from Investment Share
transactions 30,225,174 43,713,053
----------------- -----------------
Net change resulting from Fund Share transactions (1,016,955) 402,269,761
----------------- -----------------
</TABLE>
<TABLE>
<CAPTION>
Limited Maturity Government Fund
-----------------------------------------------------
Year Ended Period Ended
November 30, 1999 November 30, 1998(1)
- -------------------------------------------------------------------------------------------
Trust Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 2,895,955 $ 28,831,443 6,735,107 $ 67,149,621
Shares redeemed (1,654,876) (16,426,519) (1,210,665) (12,176,882)
------------ ------------- ------------ -------------
Net change resulting from Trust Share
transactions 1,241,079 $12,404,924 5,524,442 $54,972,739
------------ ------------- ------------ -------------
</TABLE>
(1) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
Regions Funds
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Limited Maturity Government Fund
------------------------------------------------------
Year Ended Year Ended
November 30, 1999 November 30, 1998
- -----------------------------------------------------------------------------------------------
Investment Shares Shares Dollars Shares Dollars
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 2,367,359 $ 23,571,925 2,615,874 $ 26,154,194
Shares issued to shareholders in payment
of distributions declared 147,222 1,462,992 132,888 1,329,677
Shares redeemed (1,101,106) (10,941,366) (7,438,036) (74,105,672)
------------ ------------- ------------ --------------
Net change resulting from Investment
Share Transactions 1,413,475 $14,093,551 (4,689,274) $(46,621,801)
------------ ------------- ------------ --------------
Net change resulting from Fund Share
transactions 2,654,554 $26,498,475 835,168 $8,350,938
------------ ------------- ------------ --------------
</TABLE>
<TABLE>
<CAPTION>
Fixed Income Fund
-----------------------------------------------------
Year Ended Period Ended
November 30, 1999 November 30, 1998(1)
- -------------------------------------------------------------------------------------
Trust Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 8,040,148 $ 83,535,984 23,040,304 $239,713,263
Shares redeemed (4,942,841) (50,867,842) (4,817,136) (50,660,238)
------------ ------------- ------------ -------------
Net change resulting from Trust
Share transactions 3,097,307 $32,668,142 18,223,168 $189,053,025
------------ ------------- ------------ -------------
</TABLE>
<TABLE>
<CAPTION>
Fixed Income Fund
--------------------------------------------------------
Year Ended Year Ended
November 30, 1999 November 30, 1998
- -------------------------------------------------------------------------------------------------
Investment Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 4,417,836 $ 46,037,129 6,793,437 $71,039,561
Shares issued to shareholders in payment
of distributions declared 88,846 913,517 60,137 631,337
Shares redeemed (1,950,716) (20,105,083) (22,342,465) (232,194,363)
------------ ------------- ------------- ---------------
Net change resulting from Investment
Share transactions 2,555,966 $26,845,563 (15,488,891) $(160,523,465)
------------ ------------- ------------- ---------------
Net change resulting from Fund
Share transactions 5,653,273 $59,513,705 2,734,277 $28,529,560
------------ ------------- ------------- ---------------
</TABLE>
<TABLE>
<CAPTION>
Balanced Fund
-----------------------------------------------
Year Ended Period Ended
November 30, 1999 November 30, 1998(1)
- -------------------------------------------------------------------------------
Trust Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 616,087 $ 9,603,236 856,181 $12,458,022
Shares redeemed (301,722) (4,681,028) (176,710) (2,601,037)
---------- ------------ ---------- ------------
Net change resulting from Trust
Share transactions 314,365 $4,922,208 679,471 $9,856,985
---------- ------------ ---------- ------------
</TABLE>
(1) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
Regions Funds
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Balanced Fund
-----------------------------------------------------
Year Ended Year Ended
November 30, 1999 November 30, 1998
- ----------------------------------------------------------------------------------------------
Investment Shares Shares Dollars Shares Dollars
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 3,867,047 $ 59,827,246 2,457,275 $ 35,487,782
Shares issued to shareholders in payment
of distributions declared 410,240 6,244,173 323,756 4,425,146
Shares redeemed (1,139,365) (17,672,471) (1,475,046) (21,367,858)
------------ ------------- ------------ -------------
Net change resulting from Investment
Share transactions 3,137,922 $48,398,948 1,305,985 $18,545,070
------------ ------------- ------------ -------------
Net change resulting from Fund Share
transactions 3,452,287 $53,321,156 1,985,456 $28,402,055
------------ ------------- ------------ -------------
</TABLE>
<TABLE>
<CAPTION>
Value Fund
--------------------------------------------------------
Year Ended Period Ended
November 30, 1999 November 30, 1998(1)
- -------------------------------------------------------------------------------------------------
Trust Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 5,389,980 $ 90,265,864 10,264,378 $176,521,417
Shares redeemed (1,651,732) (27,456,710) (1,119,040) (18,102,094)
------------ ------------- ------------- ---------------
Net change resulting from Trust
Share transactions 3,738,248 $62,809,154 9,145,338 $158,419,323
------------ ------------- ------------- ---------------
</TABLE>
<TABLE>
<CAPTION>
Value Fund
--------------------------------------------------------
Year Ended Year Ended
November 30, 1999 November 30, 1998
- -------------------------------------------------------------------------------------------------
Investment Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 2,885,275 $ 48,953,826 3,622,183 $59,513,590
Shares issued to shareholders in payment
of distributions declared 369,020 5,835,363 55,619 875,469
Shares redeemed (1,164,029) (19,761,600) (10,339,476) (177,882,373)
------------ ------------- ------------- ---------------
Net change resulting from Investment
Share transactions 2,090,266 $35,027,589 (6,661,674) $(117,493,314)
------------ ------------- ------------- ---------------
Net change resulting from Fund
Share transactions 5,828,514 $97,836,743 2,483,664 $40,926,009
------------ ------------- ------------- ---------------
</TABLE>
<TABLE>
<CAPTION>
Growth Fund
-----------------------------------------------------
Year Ended Period Ended
November 30, 1999 November 30, 1998(1)
- -------------------------------------------------------------------------------------
Trust Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 6,123,410 $131,122,355 13,907,936 $245,366,236
Shares redeemed (2,396,001) (51,186,442) (1,627,209) (29,392,290)
------------ ------------- ------------ -------------
Net change resulting from Trust
Share transactions 3,727,409 $79,935,913 12,280,727 $215,973,946
------------ ------------- ------------ -------------
</TABLE>
(1) Reflects operations for the period from May 20, 1998 (date of initial public
investment) to November 30, 1998.
Regions Funds
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Growth Fund
--------------------------------------------------------
Year Ended Year Ended
November 30, 1999 November 30, 1998
- -------------------------------------------------------------------------------------------------
Investment Shares Shares Dollars Shares Dollars
- -------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 8,204,849 $176,382,597 4,942,544 $82,635,284
Shares issued to shareholders in payment
of distributions declared 621,950 12,706,860 512,106 7,454,900
Shares redeemed (2,186,242) (47,384,557) (14,721,586) (259,561,081)
------------ ------------- ------------- ---------------
Net change resulting from Investment
Share Transactions 6,640,557 $141,704,900 (9,266,936) $(169,470,897)
------------ ------------- ------------- ---------------
Net change resulting from Fund
Share transactions 10,367,966 $221,640,813 3,013,791 $46,503,049
------------ ------------- ------------- ---------------
</TABLE>
<TABLE>
<CAPTION>
Aggressive Growth Fund
--------------------------
Period Ended
November 30, 1999(1)
- ----------------------------------------------------------------------------------------------------
Shares Dollars
- ----------------------------------------------------------------------------------------------------
<S> <C> <C>
Shares sold 4,086,443 $45,265,053
Shares issued in connection with the tax-free transfer of assets from the
Collective Trust Fund 4,850,689 48,506,886
Shares issued to shareholders in payment of distributions declared 20,229 215,841
Shares redeemed (1,328,475) (14,779,281)
------------ -------------
Net change resulting from Fund Share transactions 7,628,886 $79,208,499
------------ -------------
</TABLE>
(1) Reflects operations for the period from March 15, 1999 (date of initial
public investment) to November 30, 1999.
(4) Investment Adviser Fee and Other Transactions with Affiliates
Investment Adviser Fee-The Capital Management Group, a unit of the Trust
Division of Regions Bank, a wholly owned subsidiary of Regions Financial Corp.,
is the Trust's investment adviser (the "Adviser"), and receives for its services
an annual investment adviser fee based upon a percentage of each Fund's average
daily net assets (see below). The Adviser may voluntarily choose to waive any
portion of its fee. The Adviser can modify or terminate this voluntary waiver at
any time at its sole discretion.
<TABLE>
<CAPTION>
Investment Adviser
Fund Name Fee Percentage
- -------------------------------- ------------------
<S> <C>
Treasury Money Market Fund 0.50%
- --------------------------------
Limited Maturity Government Fund 0.70%
- --------------------------------
Fixed Income Fund 0.75%
- --------------------------------
Balanced Fund 0.80%
- --------------------------------
Value Fund 0.80%
- --------------------------------
Growth Fund 0.80%
- --------------------------------
Aggressive Growth Fund 0.75%
- --------------------------------
</TABLE>
Regions Funds
- -------------------------------------------------------------------------------
Administrative Fee-Federated Administrative Services ("FAS") provides the Trust
with certain administrative personnel and services. The fee paid to FAS is based
on a scale that ranges from 0.15% to 0.075% of the average aggregate net assets
of the Trust for the period.
Distribution Services Fee-The Trust has adopted a Distribution Plan (the "Plan")
pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Funds
will compensate Federated Securities Corp. ("FSC"), the principal distributor,
from the net assets of the Funds' Investment Shares to finance activities
intended to result in the sale of the Funds' Investment Shares. The Plan
provides that the Funds may incur distribution expenses according to the
following schedule annually, to compensate FSC.
<TABLE>
<CAPTION>
% of avg. daily net
assets of each Fund's
Fund Name Investment Shares
- -------------------------------- ---------------------
<S> <C>
Treasury Money Market Fund 0.40%
- --------------------------------
Limited Maturity Government Fund 0.25%
- --------------------------------
Fixed Income Fund 0.30%
- --------------------------------
Balanced Fund 0.30%
- --------------------------------
Value Fund 0.30%
- --------------------------------
Growth Fund 0.30%
- --------------------------------
Aggressive Growth Fund 0.30%
- --------------------------------
</TABLE>
For the year ended November 30, 1999 Limited Maturity Government Fund, Fixed
Income Fund, Balanced Fund, Value Fund, Growth Fund and Aggressive Growth Fund
did not incur a distribution services fee.
Shareholder Services Fee-Under the terms of a Shareholder Services Agreement
with Federated Shareholder Services Company ("FSSC"), the Funds, except Treasury
Money Market Fund and Aggressive Growth Fund, will pay FSSC based upon a
percentage of each Fund's Investment Shares average daily net assets for the
period (see below). The fee paid to FSSC is used to finance certain services for
shareholders and to maintain shareholder accounts.
<TABLE>
<CAPTION>
% of avg. daily net
assets of each Fund's
Fund Name Investment Shares
- -------------------------------- ---------------------
<S> <C>
Limited Maturity Government Fund 0.25%
- --------------------------------
Fixed Income Fund 0.25%
- --------------------------------
Balanced Fund 0.25%
- --------------------------------
Value Fund 0.25%
- --------------------------------
Growth Fund 0.25%
- --------------------------------
</TABLE>
Transfer Agent and Dividend Disbursing Agent Fees-Federated Services Company
("FServ"), through its subsidiary, FSSC serves as transfer and dividend
disbursing agent for the Funds. The fee paid to FSSC is based on the size, type,
and number of accounts and transactions made by shareholders.
Portfolio Accounting Fees-FServ maintains the Funds' accounting records for
which it receives a fee. The fee is based on the level of each Fund's average
daily net assets for the period, plus out-of-pocket expenses.
Regions Funds
- -------------------------------------------------------------------------------
Interfund Transactions-During the year ended November 30, 1999, Treasury Money
Market Fund and Aggressive Growth Fund engaged in purchase and sale transactions
with funds that have a common investment adviser (or affiliated investment
advisers), common Directors/Trustees, and/or common Officers. These purchase and
sale transactions complied with Rule 17a-7 under the Act and amounted to
$518,028,247 and $529,613,691, respectively.
Custodian Fees-Regions Bank is the Funds' custodian. The fee is based on the
level of each Fund's average daily net assets for the period, plus out-of-pocket
expenses.
Organizational Expenses-Organizational expenses were borne initially by FAS. The
Funds have agreed to reimburse FAS for the organizational expenses during the
five year period following the Funds' effective dates. For the year ended
November 30, 1999, the Funds paid FAS, pursuant to this agreement, as follows:
<TABLE>
<CAPTION>
Initial Organizational
Organizational Expenses
Fund Expenses Reimbursed
- -------------------------------- -------------- --------------
<S> <C> <C>
Limited Maturity Government Fund $26,082 $2,677
- --------------------------------
Balanced Fund $24,457 $5,018
- --------------------------------
Value Fund $18,322 $4,232
- --------------------------------
</TABLE>
General-Certain of the Officers and Trustees of the Trust are Officers and
Directors or Trustees of the above companies.
(5) Investment Transactions
Purchases and sales of investments, excluding short-term securities (and in-kind
contributions), for the year ended November 30, 1999, were as follows:
<TABLE>
<CAPTION>
Fund Purchases Sales
- -------------------------------- ------------ ------------
<S> <C> <C>
Limited Maturity Government Fund $48,529,895 $22,019,831
- --------------------------------
Fixed Income Fund $106,608,607 $45,423,160
- --------------------------------
Balanced Fund $81,471,586 $33,837,812
- --------------------------------
Value Fund $234,704,336 $167,852,380
- --------------------------------
Growth Fund $279,039,657 $107,170,298
- --------------------------------
Aggressive Growth Fund $100,003,831 $38,808,775
- --------------------------------
</TABLE>
Independent Auditors' Report
- -------------------------------------------------------------------------------
To the Board of Trustees and the Shareholders of REGIONS FUNDS:
We have audited the accompanying statements of assets and liabilities of Regions
Funds (the "Funds") (comprising the following portfolios: Regions Treasury Money
Market Fund, Regions Limited Maturity Government Fund, Regions Fixed Income
Fund, Regions Balanced Fund, Regions Value Fund, Regions Growth Fund and Regions
Aggressive Growth Fund), including the portfolios of investments, as of November
30, 1999, and the related statements of operations for the year and period then
ended, the statements of changes in net assets for the years and period ended
November 30, 1999 and 1998, and the financial highlights for each of the years
and period presented. These financial statements and financial highlights are
the responsibility of the Funds' 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 the securities owned as of
November 30, 1999, by correspondence with the custodian and brokers; where
replies were not received from brokers, we performed other auditing procedures.
An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Regions Funds as of November 30, 1999, the results of their operations, the
changes in their net assets; and their financial highlights for the respective
stated periods in conformity with generally accepted accounting principles.
DELOITTE & TOUCHE LLP
Pittsburgh, Pennsylvania
January 18, 2000
<TABLE>
<CAPTION>
Trustees Officers
- --------------------------------------------------------------------------------
<S> <C>
John F. Donahue John F. Donahue
Thomas G. Bigley Chairman
John T. Conroy, Jr. Edward C. Gonzales
Nicholas P. Constantakis President and Treasurer
John F. Cunningham J. Christopher Donahue
J. Christopher Donahue Executive Vice President
Lawrence D. Ellis, M.D. John W. McGonigle
Peter E. Madden Executive Vice President and Secretary
Charles F. Mansfield, Jr. Richard B. Fisher
John E. Murray, Jr., J.D., S.J.D. Vice President
Marjorie P. Smuts Charles L. Davis, Jr.
John S. Walsh Vice President and Assistant Treasurer
Gail Cagney
Assistant Secretary
</TABLE>
Mutual funds are not bank deposits or obligations, are not guaranteed by any
bank, and are not insured or guaranteed by the U.S. government, the Federal
Deposit Insurance Corporation, the Federal Reserve Board, or any other
government agency. Investment in mutual funds involves investment risk,
including possible loss of principal. Although money market funds seek to
maintain a stable net asset value of $1.00 per share, there is no assurance that
they will be able to do so.
This report is authorized for distribution to prospective investors only when
preceded or accompanied by the Fund's prospectus which contains facts concerning
their objectives and policies, management fees, expenses and other information.
<TABLE>
<S> <C>
Regions Aggressive Growth Fund RAGRX 75913Q845
Regions Balanced Fund Trust Shares FPALX 75913Q209
Regions Balanced Fund Investment Shares FPBLX 75913Q100
Regions Fixed Income Fund Trust Shares RFIFX 75913Q803
Regions Fixed Income Fund Investment Shares FPFTX 75913Q704
Regions Growth Fund Trust Shares RGRAX 75913Q407
Regions Growth Fund Investment Shares FPETX 75913Q308
Regions Limited Maturity Gov't Fund
Trust Shares RLMGX 75913Q852
Regions Limited Maturity Gov't Fund
Investment Shares FPLGX 75913Q860
Regions Treasury Money Market Fund
Trust Shares FITXX 75913Q878
Regions Treasury Money Market Fund
Investment Shares FPIXX 75913Q886
Regions Value Fund Trust Shares RVLAX 75913Q605
Regions Value Fund Investment Shares FPEIX 75913Q506
</TABLE>
Federated Securities Corp., Distributor
- -------------------------------------------------------------------------------
[LOGO OF REGIONS FUNDS]
Funds
007575 (1/00)
TRU166
APPENDIX
A1. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Trust
Shares of Limited Maturity Government Fund (the "Fund") are represented by a
solid line. The Merrill Lynch 1-3 Year Government/Corporate Index (the "Merrill
Lynch Index") is represented by a broken line. The line graph is a visual
representation of a comparison of change in value of a $25,000 hypothetical
investment in the Trust Shares of the Fund and the Merrill Lynch Index. The "x"
axis reflects computation periods from 5/20/98 to 11/30/99. The "y" axis
reflects the cost of the investment. The right margin reflects the ending value
of the hypothetical investment in the Fund's Trust Shares as compared to the
Merrill Lynch Index. The ending values were $26,581 and $26,889, respectively.
The legend in the bottom quadrant of the graphic presentation indicates the
Fund's Trust Shares Average Annual Total Returns for the one-year period ended
11/30/99 and from the start of performance of the Fund's Trust Shares (5/20/98)
to 11/30/99. The total returns were 2.64% and 4.08%, respectively.
A2. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Investment
Shares of Limited Maturity Government Fund (the "Fund") are represented by a
solid line. The Merrill Lynch 1-3 Year Government/Corporate Index (the "Merrill
Lynch Index") is represented by a broken line. The line graph is a visual
representation of a comparison of change in value of a $10,000 hypothetical
investment in the Investment Shares of the Fund and the Merrill Lynch Index. The
"x" axis reflects computation periods from 12/12/93 to 11/30/99. The "y" axis
reflects the cost of the investment. The right margin reflects the ending value
of the hypothetical investment in the Fund's Investment Shares as compared to
the Merrill Lynch Index. The ending values were $12,843 and
$13,873,respectively. The legend in the bottom quadrant of the graphic
presentation indicates the Fund's Investment Shares Average Annual Total Returns
for the one-year and five-year periods ended 11/30/99 and from the start of
performance of the Fund's Investment Shares (12/12/93) to 11/30/99. The total
returns were (0.55%), 5.52%, and 4.64%, respectively.
A3. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Trust
Shares of Fixed Income Fund (the "Fund") are represented by a solid line. The
Merrill Lynch 1-10 Year Government/Corporate Index (the "Merrill Lynch Index")is
represented by a broken line. The line graph is a visual representation of a
comparison of change in value of a $25,000 hypothetical investment in the Trust
Shares of the Fund and the Merrill Lynch Index. The "x" axis reflects
computation periods from 5/20/98 to 11/30/99. The "y" axis reflects the cost of
the investment. The right margin reflects the ending value of the hypothetical
investment in the Fund's Trust Shares as compared to the Merrill Lynch Index.
The ending values were $26,280 and $26,554, respectively. The legend in the
bottom quadrant of the graphic presentation indicates the Fund's Trust Shares
Average Annual Total Returns for the one-year period ended 11/30/99 and from the
start of performance of the Fund's Trust Shares (5/20/98)to 11/30/99. The total
returns were 0.25% and 3.31%, respectively.
A4. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Investment
Shares of Fixed Income Fund (the "Fund") are represented by a solid line. The
Merrill Lynch 1-10 Year Government/Corporate Index (the "Merrill Lynch Index")is
represented by a broken line. The line graph is a visual representation of a
comparison of change in value of a $10,000 hypothetical investment in the
Investment Shares of the Fund and the Merrill Lynch Index. The "x" axis reflects
computation periods from 4/20/92 to 11/30/99. The "y" axis reflects the cost of
the investment. The right margin reflects the ending value of the hypothetical
investment in the Fund's Investment Shares as compared to the Merrill Lynch
Index. The ending values were $15,301 and $16,256, respectively. The legend in
the bottom quadrant of the graphic presentation indicates the Fund's Investment
Shares Average Annual Total Returns for the one-year and five-year periods ended
11/30/99 and from the start of performance of the Fund's Investment Shares
(4/20/92) to 11/30/99. The total returns were (2.87%), 6.81% and 6.02%,
respectively.
A5. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Trust
Shares of Balanced Fund (the "Fund") are represented by a solid line. The
Standard & Poor's 500 Index/Lehman Brothers Government/Corporate Index (the
"S&P/Lehman Index") is represented by a broken line. The Standard & Poor's 500
Index (the "S&P 500") is represented by a line of dots and dashes. The Lehman
Brothers Government Corporate Index (the "LBGCI") is represented by a dashed
line. The line graph is a visual representation of a comparison of change in
value of a $25,000 hypothetical investment in the Trust Shares of the Fund, the
S&P/Lehman Index, the S&P 500 and the LBGCI. The "x" axis reflects computation
periods from 5/20/98 to 11/30/99. The "y" axis reflects the cost of the
investment. The right margin reflects the ending value of the hypothetical
investment in the Fund's Trust Shares as compared to the S&P/Lehman Index, S&P
500 and LBGCI. The ending values were $29,432, 29,075, 31,678 and $26,409,
respectively. The legend in the bottom quadrant of the graphic presentation
indicates the Fund's Trust Shares Average Annual Total Returns for the one-year
period ended 11/30/99 and from the start of performance of the Fund's Trust
Shares (5/20/98) to11/30/99. The total returns were 10.14% and 11.22%,
respectively.
A6. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Investment
Shares of Balanced Fund (the "Fund") are represented by a solid line. The
Standard & Poor's 500 Index/Lehman Brothers Government/Corporate Index (the
"S&P/Lehman Index") is represented by a broken line. The Standard & Poor's 500
Index (the "S&P 500") is represented by a line of dots and dashes. The Lehman
Brothers Government Corporate Index (the "LBGCI") is represented by a dashed
line. The line graph is a visual representation of a comparison of change in
value of a $10,000 hypothetical investment in the Investment Shares of the Fund,
the S&P/Lehman Index, the S&P 500 and the LBGCI. The "x" axis reflects
computation periods from 12/19/94 to 11/30/99. The "y" axis reflects the cost of
the investment. The right margin reflects the ending value of the hypothetical
investment in the Fund's Investment Shares as compared to the S&P/Lehman Index,
S&P 500, and LBGCI. The ending values were $20,108, $22,455, $33,302 and
$14,611, respectively. The legend in the bottom quadrant of the graphic
presentation indicates the Fund's Investment Shares Average Annual Total Returns
for the one-year period ended 11/30/99 and from the start of performance of the
Fund's Investment Shares(12/19/94) to 11/30/99. The total returns were 6.82% and
15.62%, respectively.
A7. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Trust
Shares of Value Fund (the "Fund") are represented by a solid line. The S&P
500/Barra Value Index (the "S&P/Barra Index") is represented by a broken line.
The line graph is a visual representation of a comparison of change in value of
a $25,000 hypothetical investment in the Trust Shares of the Fund and the
S&P/Barra Index. The "x" axis reflects computation periods from 5/20/98
to11/30/99. The "y" axis reflects the cost of the investment. The right margin
reflects the ending value of the hypothetical investment in the Fund's Trust
Shares as compared to the S&P/Barra Index. The ending values were $26,572 and
$27,627, respectively. The legend in the bottom quadrant of the graphic
presentation indicates the Fund's Trust Shares Average Annual Total Returns for
the one-year period ended 11/30/99 and from the start of performance of the
Fund's Trust Shares (5/20/98) to 11/30/99. The total returns were 5.76% and
4.06%, respectively.
A8. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Investment
Shares of Value Fund (the "Fund") are represented by a solid line. The
S&P500/Barra Value Index (the "S&P/Barra Index") is represented by a broken
line. The line graph is a visual representation of a comparison of change in
value of a $10,000 hypothetical investment in the Investment Shares of the Fund
and the S&P/Barra Index. The "x" axis reflects computation periods from 12/19/94
to11/30/99. The "y" axis reflects the cost of the investment. The right margin
reflects the ending value of the hypothetical investment in the Fund's
Investment Shares as compared to the S&P/Barra Index. The ending values
were$21,519 and $24,405, respectively. The legend in the bottom quadrant of the
graphic presentation indicates the Fund's Investment Shares Average Annual Total
Returns for the one-year period ended 11/30/99 and from the start of performance
of the Fund's Investment Shares (12/19/94) to 11/30/99. The total returns were
2.74% and 17.22%, respectively.
A9. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Trust
Shares of Growth Fund (the "Fund") are represented by a solid line. The Standard
& Poor's 500 Index (the "S&P 500") is represented by a broken line. The line
graph is a visual representation of a comparison of change in value of a $25,000
hypothetical investment in the Trust Shares of the Fund and the S&P 500. The "x"
axis reflects computation periods from 5/20/98 to 11/30/99.The "y" axis reflects
the cost of the investment. The right margin reflects the ending value of the
hypothetical investment in the Fund's Trust Shares as compared to the S&P 500.
The ending values were $35,948 and $31,678, respectively. The legend in the
bottom quadrant of the graphic presentation indicates the Fund's Trust Shares
Average Annual Total Returns for the one-year period ended 11/30/99 and from the
start of performance of the Fund's Trust Shares (5/20/98) to 11/30/99. The total
returns were 27.42% and 26.71%, respectively.
A10. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Investment
Shares of Growth Fund (the "Fund") are represented by a solid line. The Standard
& Poor's 500 Index (the "S&P 500") is represented by a broken line. The line
graph is a visual representation of a comparison of change in value of a $10,000
hypothetical investment in the Investment Shares of the Fund and the S&P 500.
The "x" axis reflects computation periods from 4/20/92 to11/30/99. The "y" axis
reflects the cost of the investment. The right margin reflects the ending value
of the hypothetical investment in the Fund's Investment Shares as compared to
the S&P 500. The ending values were $35,891 and $40,147, respectively. The
legend in the bottom quadrant of the graphic presentation indicates the Fund's
Investment Shares Average Annual Total Returns for the one-year and five-year
periods ended 11/30/99 and from the start of performance of the Fund's
Investment Shares (4/20/94) to 11/30/99. The total returns were 24.07%, 26.83%
and 18.58%, respectively.
A11. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed underneath. The Aggressive
Growth Fund (the "Fund") is represented by a solid line. The Standard & Poor's
500 Index (the "S&P 500") is represented by a dotted line. The Standard & Poor's
Midcap 400/Barra Growth Index (the "S&P MC400/BG") is represented by a line of
dots and dashes. The Lipper Midcap Growth Funds Index (the "LMGF") is
represented by a dashed line. The line graph is a visual representation of a
comparison of change in value of a $10,000 hypothetical investment in the Fund,
the S&P 500, the S&P MC400/BG and the LMGF. The "x" axis reflects computation
periods from 7/1/93 to 11/30/99. The "y" axis reflects the cost of the
investment. The right margin reflects the ending value of the hypothetical
investment in the Fund as compared to the S&P 500, S&P MC400/BG and LMGF. The
ending values were $28,379, $37,001, $23,076 and $35,450, respectively. The
legend in the bottom quadrant of the graphic presentation indicates the Fund's
Average Annual Total Returns for the one-year and five-year periods ended
11/30/99 and from the start of performance of the Fund (6/30/93) to 11/30/99.
The total returns were 47.42%, 25.20%, and 17.84%, respectively.
