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[LETTERHEAD FOR KPMG]
Independent Auditors' Report
To the Board of Trustees of
Core Trust (Delaware) and:
We have examined management's assertion, included in the accompanying Management
Statement Regarding Compliance with Certain Provisions of the Investment Company
Act of 1940, that Prime Money Market Portfolio, Money Market Portfolio, Stable
Income Portfolio, Managed Fixed Income Portfolio, Positive Return Bond
Portfolio, Strategic Value Bond Portfolio, Index Portfolio, Income Equity
Portfolio, Large Company Growth Portfolio, Disciplined Growth Portfolio, Small
Company Growth Portfolio, Small Company Value Portfolio, Small Cap Value
Portfolio, Small Cap Index Portfolio, International Portfolio and International
Equity Portfolio, portfolios of Core Trust (Delaware)(the "Funds") complied with
the requirements of subsections (b) and (c) of Rule 17f-2 under the Investment
Company Act of 1940 as of September 30, 1999. Management is responsible for the
Funds' compliance with those requirements. Our responsibility is to express an
opinion on management's assertion about the Funds' compliance based on our
examination.
Our examination was made in accordance with standards established by the
American Institute of Certified Public Accountants and, accordingly, included
examining, on a test basis, evidence about the Funds' compliance with those
requirements and performing such other procedures as we considered necessary in
the circumstances. Included among our procedures were the following tests
performed as of September 30, 1999, and with respect to agreement of security
purchases and sales, for the period from May 31, 1999 (dated of our last
examination) through September 30, 1999:
(1) Inspection of documentation of all securities located in the vault, if any,
of Norwest Bank Minneapolis, N.A., the Custodian;
(2) Inspection of documentation of securities held in book entry form by
Participant Trust Company, Bankers Trust Company, Bank of New York, Morgan
Stanley Trust Company, Depository Trust Company, and the Federal Reserve
Bank and examination of selected security position reconciliations;
(3) Inspection of documentation of other securities held in safekeeping by the
Custodian but not included in (1) or (2) above and examination of selected
security position reconciliations;
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[LOGO OF KPMG]
(4) Confirmation or inspection of documentation of all securities purchased but
not received, hypothecated, pledged, placed in escrow, or out for transfer
with brokers, pledges and/or transfer agents;
(5) Reconciliation of all such securities to the books and records of the Funds
and the Custodian; and
(6) Tests of selected security transactions since the date of our last report.
We believe that our examination provides a reasonable basis for our opinion.
Our examination does not provide a legal determination on the Funds' compliance
with the specified requirements.
In our opinion, management's assertion that Core Trust (Delaware) complied with
the requirements of subsections (b) and (c) of Rule 17f-2 of the Investment
Company Act of 1940 as of September 30, 1999, with respect to securities
reflected in the investment account of Core Trust (Delaware), is fairly stated,
in all material respects.
This report is intended solely for the information and use of management and the
Board of Trustees of Core Trust (Delaware) and the Securities and Exchange
Commission and is not intended to be and should not be used by anyone other than
these specified parties.
KPMG LLP
Boston, Massachusetts
December 22, 1999
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[LOGO OF WELLS FARGO FUNDS]
December 22, 1999
KPMG LLP
99 High Street
Boston, MA 02110-2371
RE: Management Statement Regarding Compliance with Certain Provisions of the
Investment Company Act of 1940
Ladies and Gentlemen:
We, as members of management of Prime Money Market Portfolio, Money Market
Portfolio, Stable Income Portfolio, Managed Fixed Income Portfolio, Positive
Return Bond Portfolio, Strategic Value Bond Portfolio, Index Portfolio, Income
Equity Portfolio, Large Company Growth Portfolio, Disciplined Growth Portfolio,
Small Company Growth Portfolio, Small Company Value Portfolio, Small Cap Value
Portfolio, Small Cap Index Portfolio, International Portfolio and International
Equity Portfolio, portfolios of Core Trust (Delaware)(the "Funds") are
responsible for complying with the requirements of subsections (b) and (c) of
Rule 17f-2, "Custody of Investments by Registered Management Investment
Companies," of the Investment Company Act of 1940. We are also responsible for
establishing and maintaining effective internal controls over compliance with
those requirements. We have performed an evaluation of the Funds' compliance
with the requirements of subsections (b) and (c) of Rule 17f-2 as of September
30, 1999 and for the period from May 31, 1999 (date of your last examination) to
September 30, 1999.
Based on this evaluation, we assert that the Funds were in compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment Company
Act of 1940 as of September 30, 1999 and for the period from May 31, 1999 (date
of your last examination) to September 30, 1999 with respect to securities
reflected in the investment accounts of the Core Trust (Delaware).
Sincerely,
/s/ Karla Rabusch
Karla Rabusch
Vice President and
Chief Financial Officer
Wells Fargo Mutual Funds Group
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FOR ________________________
OMB Number: 3315-0360
Certificate of Accounting of Security and Similar Expires: July 31, 1991
Investments in the Custody of Estimated average burden
Management Investment Companies hours per response..0.09
________________________
Pursuant to Rule 17f-2(17 CFR 270-17f-2)
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1. Investment Company Act File Number: Date examination completed:
811- 8858 9/30/99
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2. State identification Number:
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AL AK A2 AR CA CO
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CT DE DC FL GA MI
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ID IL IN IA KS KY
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LA ME MD MA MI MN
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MS MO MT NE NV NH
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NJ NM NY NC ND OH
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OK OR PA RI SC SD
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TN TX UT VT VA WA
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WV WI WY PUERTO RICO
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Other (specify):
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3. Exact name of investment company as specified in registration statement:
Core Trust (Delaware)
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4. Name under which business is conducted, if different from above:
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5. Address of principal place of business (number, street, city, state, zip
code):
2 Portland Square, Portland, Maine 04101
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INSTRUCTIONS
This Form must be completed by the investment companies that have custody of
securities or similar investments.
Investment Company
1. All items must be completed by the investment company.
2. Give this Form to the independent public accountant who, in compliance with
Rule 17f-2 under the Act and applicable state law, examines securities and
similar investments in the custody of the investment company.
Accountant
3. Submit this Form to the Securities and Exchange Commission and appropriate
state securities administrators when filing the certificate of accounting
required by Rule 17f-2 under the Act applicable and state law. File the original
and one copy with the Securities and Exchange Commission's principal office in
Washington, D.C., one copy with the regional office for the region in which the
investment company's principal business operations are conducted, and one copy
with the appropriate state administrator(s), if applicable.
THIS FORM MUST BE GIVEN TO YOUR INDEPENDENT PUBLIC ACCOUNTANT
Note: This estimated average burden hours are made solely for purposes of the
Paperwork Reduction Act, and are not derived from a comprehensive or even a
representative survey or study of the costs of SEC rules and forms.
Direct any comments concerning the accuracy of the estimated average burden
hours for compliance with SEC rules and forms to Kenneth A. Fogash, Deputy
Executive Director, U.S. Securities and Exchange Commission, 450 Fifth Street,
N.W., Washington, D.C. 20549 and Gary W. Waxman, Clearance Officer, Office of
Management and Budget, Room 3208 New Executive Office Building, Washington,
D.C. 20503.
