Semiannual Report
Summit
Municipal
Funds
April 30, 1999
T. Rowe Price
Report Highlights
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Summit Municipal Funds
o Interest rates rose during the past six months as the U.S. economy
strengthened and the global financial crisis waned.
o Six-month returns for the bond funds were modest as rising rates reduced the
prices of fixed income securities.
o Low expenses and longer-than-average maturities helped each fund outperform
its peer group average for the past 6- and 12-month periods.
o Municipal bonds remain attractive for investors in middle- to upper-income tax
brackets.
o We don't expect interest rates to rise much above current levels, as we still
anticipate a slowing of the U.S. economy later this year.
Fellow Shareholders
Interest rates rose over the past six months as last year's global financial
crisis eased. Since bond prices decline as interest rates rise, total returns on
the Summit Municipal Intermediate and Summit Municipal Income funds were modest.
However, rising rates benefited the Summit Municipal Money Market Fund. All
three funds performed well in relation to their peer groups.
MARKET ENVIRONMENT
Last fall, the Federal Reserve cut key short-term rates in rapid succession
in an effort to restore liquidity and prevent the global crisis from doing
serious damage to the U.S. economy and financial markets. As 1998 drew to a
close, those efforts proved successful, and the U.S. economy displayed
unexpected strength. Real GDP growth in the fourth quarter came in at a
robust 6%, and was followed by estimated growth of 4.5% in the first
quarter of 1999. By the end of your funds' first half, prominent observers
were proclaiming an end to the global financial crisis, and investors again
favored higher-yielding bonds that are typically more sensitive to the
economy than to interest rate trends. Investors' worries of deflation and
global recession were replaced by concerns about nascent inflation and
possible Fed rate hikes.
Just as municipal bond returns lagged during the steep drop in interest
rates that accompanied the flight-to-quality in the Treasury market last
year, they also held up better when rates began to rise as investor
confidence revived. As a result, the municipal market continued to be far
less volatile than other bond markets. An indication of the better relative
performance of municipals is the decline in the ratio of municipal yields
to Treasury yields. (The municipal yield ratio is the yield on tax-free
bonds divided by the current yield on Treasuries. An investor can use the
ratio to determine which investment would provide more after-tax income by
simply subtracting his own tax bracket from 100 and comparing the result to
the municipal yield ratio. Since an investor in the 28% tax bracket gets to
keep only 72% of any additional income he earns, he should consider
tax-free bonds or funds whenever the municipal to Treasury yield ratio is
72% or higher.) Because Treasury yields rose faster than municipal yields
over the past six months, the yield ratio on 10-year bonds fell from 89% to
82%, while the yield ratio on 30-year bonds fell from 97% to 91%.
Intermediate and longer-term tax-exempt bonds are still highly attractive
at those levels for most investors.
Municipal Bond and Note Yields
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30-Year AAA 5-Year AAA 1-Year Moody's
General Obligation General Obligation Investment Grade 1 Note
4/30/98 5.2 4.3 3.85
5.05 4.1 3.75
5.05 4.1 3.6
7/98 5.1 4.1 3.7
4.93 3.85 3.5
4.82 3.7 3.3
10/98 4.92 3.7 2.95
4.89 3.75 3.05
4.94 3.75 3.05
1/99 4.87 3.65 2.95
4.99 3.78 3
5.04 3.83 3.15
4/30/99 5.08 3.85 3.2
Short-term tax-exempt yields rose 25 to 35 basis points over the six-month
period (100 basis points equal one percentage point), which was good news
for money fund investors. However, these rates remained lower than they
were a year ago, as the market was influenced by the Fed's rate cuts and
strong demand for short-term tax-free securities. For example, assets in
tax-exempt money funds rose 13% over the past year. Intermediate and
longer-term municipal yields rose 15 to 20 basis points over the period,
resulting in weak returns for bond fund investors. Rates might have risen
more if not for a slowdown in long-term issuance, a reverse of the
situation last year when supply rose almost 30%. The municipal yield curve
is steeper than it was a year ago, largely because of lower short-term
rates.
As in the taxable market, lower-quality municipal bonds turned in stronger
performance than higher-quality bonds during the period, after
underperforming most of last year when the market demanded higher yields
for credit risk. While lower-quality municipal bonds did not come under the
same pressure as corporate and emerging market bonds last fall, they did
enjoy some of the recovery as investors' perception of risk faded and the
economy remained strong.
SUMMIT MUNICIPAL MONEY MARKET FUND
The Summit Municipal Money Market Fund again outperformed its peers for
both the 6- and 12-month periods ended April 30, a result of our portfolio
management decisions and our lower-than-average expense ratio. The fund
continues to rank in the top 10% of money funds in its class, placing 11th
out of 129 tax-exempt money market funds for the year ended April 30,
according to Lipper, Inc.* The fund's seven-day compound yield rose from
2.93% six months ago to 3.22%, equivalent to a pretax yield of 5.33% for
investors in the top 39.6% federal income tax bracket.
Performance Comparison
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Periods Ended 4/30/99 6 Months 12 Months
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Municipal Money Market Fund 1.42% 3.06%
Lipper Tax-Exempt Money
Market Funds Average 1.25 2.75
Throughout the period, the fund continued to maintain a relatively long
weighted-average maturity compared with its competitors. At the end of the
period, the fund's weighted-average maturity was 59 days, 19 days longer
than that of the peer group. Our confidence that Federal Reserve policy
would remain stable over the period, and that demand would remain strong
and supply limited in the tax-exempt money market, led us to maintain this
more aggressive posture. Looking forward, the shortage of new supply
continues to support our stance, but in the near term we expect to lessen
the margin over our peers in order to take advantage of seasonal new
issuance.
SUMMIT MUNICIPAL INTERMEDIATE FUND
Performance Comparison
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Periods Ended 4/30/99 6 Months 12 Months
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Municipal Intermediate Fund 1.74% 6.56%
Lipper Intermediate Municipal
Debt Funds Average 1.29 5.83
The fund again outperformed its Lipper peer group average, returning 1.74%
and 6.56% over the past 6- and 12-month periods, respectively, as shown in
the table. Portfolio management and lower-than-average expenses enhanced
performance relative to our peers. Over the past six months, returns came
from coupon income as rising interest rates caused bond prices to fall. The
fund's share price also fell, from $10.70 on October 31 to $10.63. Income
per share remained steady at 24 cents over the past six months. The fund's
dividend yield declined modestly, from 4.52% six months ago to 4.47%,
equivalent to a pretax yield of 7.40% for an investor in the top 39.6%
federal income tax bracket.
* For the five-year period ended April 30, 1999, the fund ranked 11th out of 105
tax-exempt money market funds, according to Lipper.
As we mentioned in our last letter, we shortened the fund's duration last
year from 5.7 years to 5.3 years as of October 31. (Duration measures a
bond fund's sensitivity to interest rates. For example, a fund with a
duration of five years will rise about 5% in price in response to a
one-percentage-point decline in rates and fall 5% in response to a
one-percentage-point increase in rates.) We reduced the fund's interest
rate risk as long-term Treasury yields reached 30-year lows last fall. That
helped limit the fund's share price decline as interest rates rose. Since
then, for the most part, we have kept duration between 5.30 years and 5.55
years, which is at the shorter end of our target range. Within this range
we adjusted duration in anticipation of seasonal factors that historically
affect the municipal market. For instance, we extended duration in December
in anticipation of increasing demand for municipals in January, when
investors typically reinvest their interest payments. More recently we
reduced duration, since demand is usually weak in the spring as investors
focus on paying income tax bills.
The fund's average credit quality remained unchanged at A+. As fund assets
grew from $76 million to $93 million over the past six months, new cash was
invested in relatively high-quality sectors including local general
obligation, electric revenue, and dedicated tax revenue bonds. Lower-rated
bonds that had underperformed in the fall stabilized and improved. We made
some new investments in high-yield bonds, and we continue to look for
opportunities to increase the fund's yield with higher-yielding securities
from issuers whose credit outlook we expect to improve or remain stable.
SUMMIT MUNICIPAL INCOME FUND
Performance Comparison
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Periods Ended 4/30/99 6 Months 12 Months
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Municipal Income Fund 1.47% 6.71%
Lipper General Municipal
Debt Funds Average 1.19 5.78
Your fund again outperformed the average municipal bond fund over the past
6- and 12-month periods, posting returns of 1.47% and 6.71%, respectively,
as shown in the table. Portfolio management and lower-than-average expenses
aided performance. While returns over the past year were solid, six-month
returns were limited by rising interest rates. Bond prices declined over
the past six months, and as a result your fund's share price fell from
$10.79 to $10.65. The fund's dividend yield moved from 4.81% six months ago
to 4.70% as a result of our shorter duration. That equates to a pretax
yield of 7.78% for investors in the 39.6% income tax bracket. Shareholders'
income fell slightly over the past six months, from 26 cents a share on
October 31 to 25 cents.
As rates rose, we reduced the fund's duration from 8.4 years six months ago
to 8 years as of April 30. Though this duration is longer than our neutral
range, it is somewhat shorter than it has been over the past year. (See the
Summit Municipal Intermediate Fund section for a description of duration.)
We accomplished this shift to a more conservative posture by investing $16
million of new cash flow in shorter duration bonds maturing in 20 years or
less.
Quality Diversification
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Summit Municipal Income Fund
AAA AA A BBB BB B and Below
6 46 21 15 10 2
The fund's average credit-quality rating remained unchanged from six months
ago at A+, following our upgrade of the portfolio's quality in the third
quarter of 1998. During the most recent six months, however, in order to
capture a widening in credit spreads and improve the fund's yield, we
divided new purchases between higher-quality investments and those rated
BBB and lower. (The term "credit spread" refers to the difference in yield
between higher-quality and lower-quality investments. This difference
represents the premium that fixed income investors are demanding for taking
on higher risk.)
Going forward, we anticipate that we will continue to shorten duration,
positioning the fund closer to our neutral targets, and focus on increasing
the fund's overall yield.
OUTLOOK
On May 18, the Fed abandoned its neutral stance on interest rates and
adopted a bias toward raising rates. But it is not a foregone conclusion
that the central bank will actually increase the federal funds target rate
in the near future. The Fed is concerned about a potential rise in
inflation stemming from tight labor markets and rising commodity prices.
However, since it remains unclear whether global economic conditions will
continue to stabilize and improve, a premature hike in U.S. rates could
impede global recovery. While overall rates may rise a bit more, we feel
that most of this move has already occurred. Furthermore, the U.S. economy
is likely to finally slow from its strong pace of the last two quarters,
which should help contain inflationary pressures. While a move to higher
interest rates is never positive for bond prices, over time it provides the
opportunity to improve the income stream for our investors.
Municipal bonds have had good performance relative to other fixed income
investments in 1999 and are now settling back to more normal yield
relationships to taxable bonds. Supply has been manageable while demand has
remained steady. Despite some expected slowing in economic growth, the
health of municipal borrowers appears good. Going forward, we expect the
municipal market to continue to display limited volatility and attractive
yields for taxpayers.
Respectfully submitted,
Mary J. Miller Director,
Municipal Bond Department
May 21, 1999
T. Rowe Price Summit Municipal Funds
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Portfolio Highlights
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KEY STATISTICS
10/31/98 4/30/99
Summit Municipal Money Market Fund
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Price Per Share $ 1.00 $ 1.00
Dividends Per Share
For 6 months 0.016 0.014
For 12 months 0.032 0.030
Dividend Yield (7-Day Compound) * 2.93% 3.22%
Weighted Average Maturity (days) 65 59
Weighted Average Quality ** First Tier First Tier
Summit Municipal Intermediate Fund
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Price Per Share $ 10.70 $ 10.63
Dividends Per Share
For 6 months 0.24 0.24
For 12 months 0.48 0.48
Dividend Yield *
For 6 months 4.52% 4.47%
For 12 months 4.62 4.55
30-Day Standardized Yield 3.92 4.00
Weighted Average Effective
Maturity (years) 7.4 6.4
Weighted Average Effective
Duration (years) 5.3 5.2
Weighted Average Quality *** A+ A+
(continued on next page)
T. Rowe Price Summit Municipal Funds
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Portfolio Highlights
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KEY STATISTICS
10/31/98 4/30/99
Summit Municipal Income Fund
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Price Per Share $ 10.79 $ 10.65
Dividends Per Share
For 6 months 0.26 0.25
For 12 months 0.51 0.51
Dividend Yield *
For 6 months 4.81% 4.70%
For 12 months 4.95 4.83
30-Day Standardized Yield 4.41 4.48
Weighted Average Maturity (years) 18.18 16.61
Weighted Average Effective
Duration (years) 8.39 7.96
Weighted Average Quality *** A+ A+
* Dividends earned and reinvested for the periods indicated are annualized and
divided by the fund's net asset value per share at the end of the period.
** All securities purchased in the money fund are rated in the two highest
categories (tiers) as established by national rating agencies or, if
unrated, are deemed of comparable quality by T. Rowe Price.
*** Based on T. Rowe Price research.
T. Rowe Price Summit Municipal Funds
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Portfolio Highlights
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SECTOR DIVERSIFICATION
Percent of Percent of
Net Assets Net Assets
10/31/98 4/30/99
Summit Municipal Money Market Fund
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Air and Sea Transportation Revenue 28% 19%
Industrial and Pollution Control Revenue 13 17
Educational Revenue 15 15
General Obligation - State 8 15
General Obligation - Local 10 8
Housing Finance Revenue 1 7
Prerefunded Bonds 8 7
Electric Revenue 5 6
Nuclear Revenue 2 5
Escrowed to Maturity 1 3
Dedicated Tax Revenue 1 2
All Other 7 3
Other Assets Less Liabilities 1 -7
Total 100% 100%
(continued on next page)
T. Rowe Price Summit Municipal Funds
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PORTFOLIO HIGHLIGHTS
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Sector Diversification
Percent of Percent of
Net Assets Net Assets
10/31/98 4/30/99
Summit Municipal Intermediate Fund
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General Obligation - Local 10% 17%
Industrial and Pollution Control Revenue 13 12
Solid Waste Revenue 10 10
Electric Revenue 5 9
Hospital Revenue 11 9
Air and Sea Transportation Revenue 7 7
Dedicated Tax Revenue 3 6
Life Care/Nursing Home Revenue 6 5
Lease Revenue 6 5
Nuclear Revenue 6 4
Prerefunded Bonds 5 4
General Obligation - State 4 4
Miscellaneous 4 3
Housing Finance Revenue 4 2
Escrowed to Maturity 2 2
All Other 4 4
Other Assets Less Liabilities -- -3
Total 100% 100%
(continued on next page)
T. Rowe Price Summit Municipal Funds
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Portfolio Highlights
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SECTOR DIVERSIFICATION
Percent of Percent of
Net Assets Net Assets
10/31/98 4/30/99
Summit Municipal Income Fund
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Industrial and Pollution Control Revenue 11% 13%
Hospital Revenue 17 13
Lease Revenue 7 8
Dedicated Tax Revenue 9 8
Housing Finance Revenue 6 7
Nuclear Revenue 10 7
General Obligation - Local 5 6
Life Care/Nursing Home Revenue 5 6
Water and Sewer Revenue 5 5
Solid Waste Revenue 5 5
Air and Sea Transportation Revenue 2 4
General Obligation - State 3 4
Electric Revenue 6 4
Prerefunded Bonds 4 3
Educational Revenue 3 2
Ground Transportation Revenue 3 2
Escrowed to Maturity 2 2
All Other 2 2
Other Assets Less Liabilities -5 -1
Total 100% 100%
T. Rowe Price Summit Municipal Funds
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PERFORMANCE COMPARISON
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These charts show the value of a hypothetical $25,000 investment in each
fund over the past 10 fiscal year periods or since inception (for funds
lacking 10-year records). The result is compared with a broad-based average
or index. The index return does not reflect expenses, which have been
deducted from the fund's return.
SUMMIT MUNICIPAL MONEY MARKET FUND
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As of 4/30/99
Lipper Tax-Exempt Summit Municipal Summit Municipal
Money Market Money Market Fund Money Market
Funds Average Fund - Line Fund -Area
10/29/93 25.000 25.000 25.000
4/94 25.233 25.253 25.253
4/95 25.945 26.033 26.033
4/96 26.785 26.930 26.930
4/97 27.573 27.798 27.798
4/98 28.430 28.743 28.743
4/99 29.218 29.625 29.625
SUMMIT MUNICIPAL INTERMEDIATE FUND
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As of 4/30/99
Lipper
Intermediate Summit Summit
Lehman 7-Year Municipal Municipal Municipal
Municipal Bond Debt Funds Intermediat Intermediate
Index Average Fund - Line Fund - Area
10/29/93 25.000 25.000 25.000 25.000
4/94 24.460 24.404 24.828 24.828
4/95 25.892 25.755 26.319 26.319
4/96 27.855 27.487 28.285 28.285
4/97 29.344 28.960 29.963 29.963
4/98 31.644 31.115 32.345 32.345
4/99 33.793 32.975 34.466 34.466
T. Rowe Price Summit Municipal Funds
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Performance Comparison
SUMMIT MUNICIPAL INCOME FUND
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As of 4/30/99
Lehman Lipper Summit Summit
Municipal General Municipal Municipal
Bond Municipal Debt Income Income
Index Funds Average Fund - Line Fund - Area
10/29/93 25.000 25.000 25.000 25.000
4/94 24.117 23.848 24.120 24.120
4/95 25.721 25.248 25.735 25.735
4/96 27.765 26.970 27.798 27.798
4/97 29.360 28.688 30.130 30.130
4/98 32.360 31.318 33.450 33.450
4/99 34.608 33.158 35.693 35.693
Average Annual Compound Total Return
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This table shows how each fund would have performed each year if its actual
(or cumulative) returns for the periods shown had been earned at a constant
rate.
Periods Ended Since Inception
4/30/99 1 Year 3 Years 5 Years Inception Date
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Summit Municipal
Money Market
Fund 3.06% 3.23% 3.24% 3.13% 10/29/93
Summit Municipal
Intermediate
Fund 6.56 6.81 6.78 6.01 10/29/93
Summit Municipal
Income Fund 6.71 8.69 8.15 6.69 10/29/93
Investment return represents past performance and will vary. Shares of the bond
funds may be worth more or less at redemption than at original purchase.
Investments in the Money Fund are not insured or guaranteed by the FDIC 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.
T. Rowe Price Summit Municipal Money Market Fund
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Unaudited
Financial Highlights For a share outstanding throughout each period
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6 Months Year 10/29/93
Ended Ended Through
4/30/99 10/31/98 10/31/97 10/31/96 10/31/95 10/31/94
NET ASSET VALUE
Beginning
of period $1.000 $1.000 $1.000 $1.000 $1.000 $1.000
Investment activities
Net investment
income 0.014 0.032 0.033 0.032 0.035 0.023
Distributions
Net investment
income (0.014) (0.032) (0.033) (0.032) (0.035) (0.023)
NET ASSET VALUE
End of period $1.000 $1.000 $1.000 $1.000 $1.000 $1.000
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Ratios/Supplemental Data
Total return(*) 1.42% 3.27% 3.37% 3.28% 3.53% 2.35%
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Ratio of total
expenses to
average net
assets 0.45%! 0.45% 0.45% 0.45% 0.45% 0.45%!
Ratio of net
investment
income to average
net assets 2.82%! 3.23% 3.31% 3.23% 3.48% 2.56%!
Net assets, end
of period
(in thousands) $173,293 $170,924 $140,557 $96,264 $77,958 $42,592
(*) Total return reflects the rate that an investor would have earned on an
investment in the fund during each period, assuming reinvestment of all
distributions.
! Annualized
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Intermediate Fund
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Unaudited
Financial Highlights For a share outstanding throughout each period
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6 Months Year 10/29/93
Ended Ended Through
4/30/99 10/31/98 10/31/97 10/31/96 10/31/95 10/31/94
NET ASSET VALUE
Beginning of
period $10.70 $10.51 $10.22 $10.17 $9.59 $10.00
Investment activities
Net investment
income 0.24 0.48 0.49 0.48 0.48 0.43
Net realized
and unrealized
gain (loss) (0.05) 0.23 0.29 0.05 0.58 (0.41)
Total from
investment
activities 0.19 0.71 0.78 0.53 1.06 0.02
Distributions
Net investment
income (0.24) (0.48) (0.49) (0.48) (0.48) (0.43)
Net realized
gain (0.02) (0.04) - - - -
Total
distributions (0.26) (0.52) (0.49) (0.48) (0.48) (0.43)
NET ASSET VALUE
End of period $10.63 $10.70 $10.51 $10.22 $10.17 $9.59
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Ratios/Supplemental Data
Total return(*) 1.74% 6.89% 7.78% 5.39% 11.39% 0.18%
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Ratio of total
expenses to
average net
assets 0.50%! 0.50% 0.50% 0.50% 0.50% 0.50%!
Ratio of net
investment
income to
average
net assets 4.41%! 4.51% 4.67% 4.77% 4.93% 4.50%!
Portfolio
turnover rate 16.3%! 22.2% 53.8% 72.9% 86.1% 157.5%!
Net assets, end
of period
(in thousands) $93,057 $75,928 $46,906 $29,175 $22,145 $13,309
(*) Total return reflects the rate that an investor would have earned on an
investment in the fund during each period, assuming reinvestment of all
distributions.
! Annualized
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Income Fund
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Unaudited
Financial Highlights For a share outstanding throughout each period
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6 Months Year 10/29/93
Ended Ended Through
4/30/99 10/31/98 10/31/97 10/31/96 10/31/95 10/31/94
NET ASSET VALUE
Beginning of
period $10.79 $10.44 $9.97 $9.84 $9.08 $10.00
Investment activities
Net investment
income 0.25 0.51 0.55 0.54 0.54 0.50
Net realized
and unrealized
gain (loss) (0.09) 0.35 0.47 0.13 0.76 (0.92)
Total from
investment
activities 0.16 0.86 1.02 0.67 1.30 (0.42)
Distributions
Net investment
income (0.25) (0.51) (0.55) (0.54) (0.54) (0.50)
Net realized
gain (0.05) - - - - -
Total
distributions (0.30) (0.51) (0.55) (0.54) (0.54) (0.50)
NET ASSET VALUE
End of period $10.65 $10.79 $10.44 $9.97 $9.84 $9.08
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Ratios/Supplemental Data
Total return(*) 1.47% 8.44% 10.54% 7.04% 14.68% (4.38)%
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Ratio of total
expenses to
average net
assets 0.50%! 0.50% 0.50% 0.50% 0.50% 0.50%!
Ratio of net
investment
income to average
net assets 4.62%! 4.82% 5.38% 5.51% 5.68% 5.23%!
Portfolio turnover
rat 43.5%! 48.1% 35.7% 56.7% 73.7% 161.1%!
Net assets,
end of period
(in thousands) $83,332 $65,958 $29,102 $15,909 $11,108 $6,453
(*) Total return reflects the rate that an investor would have earned on an
investment in the fund during each period, assuming reinvestment of all
distributions.
! Annualized
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Money Market Fund
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Unaudited April 30, 1999
Statement of Net Assets Par Value
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In thousands
ARKANSAS 0.1%
Arkansas, GO, 3.85%, 6/1/99 $ 120 $ 120
Total Arkansas (Cost $120) 120
COLORADO 1.2%
Colorado, TRAN, 4.00%, 6/25/99 1,500 1,501
Colorado Health Fac. Auth.
Porter Memorial Hosp. Project
7.40%, 2/1/16 (Prerefunded 2/1/00!) 500 515
Colorado Springs, 6 85%, 9/1/04 (Prerefunded 9/1/99!) 100 101
Total Colorado (Cost $2,117) 2,117
CONNECTICUT 0.1%
Connecticut Special Tax Obligation
Transportation Infrastructure
5.90%, 10/1/99 (Escrowed to Maturity) 250 253
Total Connecticut (Cost $253) 253
DELAWARE 1.3%
Delaware, GO
4.50%, 2/1/00 200 202
5.00%, 5/1/00 2,000 2,036
Total Delaware (Cost $2,238) 2,238
FLORIDA 6.7%
Florida Board of Ed.
4.40%, 6/1/99 300 301
Capital Outlay
6.00%, 6/1/99 105 105
7.00%, 6/1/19 (Prerefunded 6/1/99!) 90 92
Florida DOT
7.50%, 7/1/99 (MBIA Insured) 310 318
7.60%, 7/1/99 (MBIA Insured) 320 329
Greater Orlando Aviation Auth.,
TECP, 3.45%, 5/20/99 * 8,000 8,000
Jacksonville Electric Auth., St. Johns River
6.50%, 10/1/14 (Prerefunded 10/1/99!) $ 50 $ 51
Lee County HFA, Single Family, 3.15%, 11/15/99 * 2,375 2,375
Total Florida (Cost $11,571) 11,571
GEORGIA 3.3%
Georgia, GO, 6.25%, 4/1/00 630 647
Georgia Tollway Auth., 3.60%, 7/1/99 750 751
Savannah Economic Dev. Auth., Home Depot
VRDN (Currently 4.10%) * 4,400 4,400
Total Georgia (Cost $5,798) 5,798
HAWAII 0.1%
Hawaii, GO, 5.70%, 11/1/99 200 202
Total Hawaii (Cost $202) 202
IDAHO 1.2%
Idaho, GO, TAN, 4.50%, 6/30/99 2,000 2,003
Total Idaho (Cost $2,003) 2,003
ILLINOIS 5.7%
Chicago Metropolitan Water Reclamation Dist.
Capital Improvement
4.70%, 12/1/99 300 302
5.60%, 12/1/99 75 76
Cook County, GO, 4.375%, 11/15/99 250 252
Illinois, GO
5.60%, 10/1/99 350 354
Sales Tax
7.00%, 6/15/19 (Prerefunded 6/15/99!) 500 512
7.10%, 6/15/07 (Prerefunded 6/1/99!) 150 154
7.25%, 6/15/14 (Prerefunded 6/15/99!) 500 512
Illinois HFA, Northwestern Memorial
6.50%, 8/15/04 (Prerefunded 8/15/99!) 270 277
Illinois Student Assistance Commission,
Student Loan
VRDN (Currently 4.00%) * $ 700 $ 700
Lake County, PCR, W.W. Grainger, VRDN
(Currently 4.25%) * 1,500 1,500
Madison County Environmental Improvement
Shell Oil, Wood River, VRDN (Currently 4.30%) * 2,500 2,500
Southwestern Dev. Auth. Environmental Improvement
Shell Oil, VRDN (Currently 4.30%) * 1,300 1,300
Southwestern Dev. Auth. Solid Waste Disposal
Shell Oil, Wood River, VRDN (Currently 4.30%) * 1,400 1,400
Total Illinois (Cost $9,839) 9,839
INDIANA 3.8%
Petersburg Solid Waste Disposal
Indianapolis Power and Light
VRDN (Currently 4.05%) * 300 300
VRDN (Currently 4.15%) * 6,300 6,300
Total Indiana (Cost $6,600) 6,600
KENTUCKY 2.0%
Carroll County, Solid Waste Disposal Fac.
VRDN (Currently 4.30%) * 1,600 1,600
Kentucky Property and Buildings Commission
7.10%, 6/1/99 (Escrowed to Maturity) 500 501
7.35%, 12/1/04 (Prerefunded 12/1/99!) 100 104
Kentucky Turnpike Auth., Economic Dev.
7.00%, 5/15/99 (Escrowed to Maturity) 600 601
Louisville and Jefferson County Regional Airport
VRDN (Currently 4.30%) * 400 400
Univ. of Kentucky, 7.20%, 5/1/08 (Prerefunded 5/1/99! 250 255
Total Kentucky (Cost $3,461) 3,461
LOUISIANA 5.8%
Jefferson Parish Home Mortgage Auth., 3.625%, 9/1/99 1,120 1,120
Lake Charles Harbor and Terminal Dist., PCR, Conoco
VRDN (Currently 4.30%) * 400 400
Louisiana, GO
4.75%, 8/1/99 $ 400 $ 402
6.00%, 5/15/99 (MBIA Insured) 950 951
Louisiana Public Fac. Auth.
Sisters of Mercy Health System
7.375%, 6/1/09 (Prerefunded 6/1/99!) 140 143
New Orleans Aviation Board
VRDN (Currently 4.10%) (MBIA Insured) * 5,395 5,395
Plaquemines Parish, British Petroleum
VRDN (Currently 4.30%) * 200 200
Saint Charles Parish, PCR, Shell Oil, VRDN
(Currently 4.30%) * 1,500 1,500
Total Louisiana (Cost $10,111) 10,111
MAINE 4.6%
Maine Educational Marketing, Student Loan
VRDN (Currently 3.95%) (AMBAC Insured) * 8,000 8,000
Total Maine (Cost $8,000) 8,000
MARYLAND 4.2%
Anne Arundel County, GO, Water and Sewer, 4.00%, 3/15 1,235 1,242
Baltimore County, Consolidated Public Improvement
6.60%, 7/1/01 (Prerefunded 7/1/99!) 100 102
Carroll County, GO, County Commissioners, 6.50%, 11/1 100 102
Howard County, GO, Consolidated Public Improvement
6.90%, 5/15/07 (Prerefunded 5/15/00!) 300 310
Maryland, GO
5.30%, 5/15/99 110 110
6.50%, 5/15/99 2,000 2,000
6.70%, 3/1/05 (Prerefunded 3/1/00!) 400 420
State and Local Fac , 4.00%, 2/15/00 500 503
Maryland DOT
4.25%, 12/15/99 50 50
6.375%, 8/15/99 50 51
6.50%, 11/1/99 500 508
Maryland National Capital Park and Planning Commission
Montgomery County, 6.80%, 7/1/99 25 25
Montgomery County, GO
6.80%, 11/1/06 (Prerefunded 11/1/99!) $ 250 $ 259
6.875%, 10/1/99 150 152
Consolidated Public Improvement
5.10%, 7/1/99 525 527
5.20%, 10/1/99 150 151
6.80%, 11/1/07 (Prerefunded 11/1/99!) 100 104
6.80%, 11/1/09 (Prerefunded 11/1/99!) 20 21
8.60%, 5/1/00 125 131
Univ. of Maryland, 5.30%, 12/1/99 25 25
Washington Suburban Sanitary Dist., GO
6.70%, 7/1/99 30 31
Sewage Disposal, 3.90%, 6/1/99 250 250
Water Supply, 6.75%, 6/1/99 150 150
Total Maryland (Cost $7,224) 7,224
MASSACHUSETTS 2.0%
Massachusetts, GO
5.20%, 5/1/99 500 500
6.10%, 8/1/99 475 478
7.00%, 6/1/09 (Prerefunded 6/1/99!) 700 716
7.00%, 7/1/99 (AMBAC Insured) 175 176
7.00%, 10/1/99 250 259
Massachusetts Industrial Fin. Agency
Morton Hosp. and Medical Center
8.75%, 7/1/11 (Prerefunded 7/1/99!) 555 570
Massachusetts Turnpike Auth., BAN
5.00%, 6/1/99 (Escrowed to Maturity) 750 751
Total Massachusetts (Cost $3,450) 3,450
MICHIGAN 3.9%
Detroit City School Dist., School Aid, RAN,
4.50%, 7/1/99 1,000 1,002
Michigan State Trunk Line
7.00%, 8/15/17 (Prerefunded 8/15/99!) 200 206
Wayne/Charter County Airport
Detroit Metropolitan Airport
VRDN (Currently 3.95%) * $ 5,500 $ 5,500
Total Michigan (Cost $6,708) 6,708
MINNESOTA 1.3%
Minneapolis, GO, 4.375%, 12/1/99 750 755
Minnesota, GO
VRDN (Currently 4.08%) 700 700
5.60%, 10/1/99 (Escrowed to Maturity) 260 262
6.70%, 8/1/99 100 101
Minnesota Public Fac. Auth., Water Pollution,
4.08%, 3/1/15 500 500
Total Minnesota (Cost $2,318) 2,318
MISSISSIPPI 1.2%
Mississippi, GO, 5.00%, 6/1/99 2,000 2,002
Total Mississippi (Cost $2,002) 2,002
NEBRASKA 1.2%
Omaha Public Power Dist., Electric, 3.15%, 11/14/99 2,000 2,000
Total Nebraska (Cost $2,000) 2,000
NEVADA 0.6%
Clark County Airport
VRDN (Currently 4.00%) * 300 300
5.30%, 7/1/99 (AMBAC Insured)
(Escrowed to Maturity) 185 186
Clark County School Dist., 5.50%, 6/15/99 500 501
Total Nevada (Cost $987) 987
NEW JERSEY 0.4%
New Jersey, GO, 5.10%, 2/15/00 15 15
New Jersey Transportation Auth.
Transportation Systems
4.40%, 6/15/99 (Escrowed to Maturity) 275 276
5.90%, 6/15/99 (Escrowed to Maturity) 350 351
Ocean County, GO, General Improvement, 6.90%, 8/15/99$ 100 $ 101
Total New Jersey (Cost $743) 743
NEW MEXICO 0.6%
New Mexico, GO, TAN, 4.25%, 6/30/99 1,000 1,001
Total New Mexico (Cost $1,001) 1,001
NEW YORK 1.1%
New York, GO, 7.50%, 8/1/03 (Prerefunded 8/1/99!) 25 26
New York City, GO
VRDN (Currently 4.01%) (MBIA Insured) 1,795 1,795
7.00%, 8/1/99 25 25
Total New York (Cost $1,846) 1,846
NORTH CAROLINA 4.1%
Charlotte, GO, 5.00%, 2/1/00 500 507
Charlotte Airport, VRDN (Currently 3.95%) * 5,145 5,145
Durham County, COP, 4.05%, 5/1/99 1,000 1,000
North Carolina, GO
Clean Water
4.25%, 6/1/99 150 150
5.20%, 6/1/99 140 140
Winston Salem, GO, 5.50%, 6/1/99 240 240
Total North Carolina (Cost $7,182) 7,182
OHIO 1.2%
Cleveland, GO, 6.75%, 7/1/04 (MBIA Insured)
(Prerefunded 7/1/99!) 100 103
Ohio, GO
4.90%, 8/1/99 50 50
5.00%, 5/15/99 190 190
5.40%, 8/1/99 400 403
Ohio Public Facs. Commission
Higher Ed.
4.50%, 11/1/99 100 101
5.00%, 11/1/99 715 721
Ohio Public Facs. Commission
Higher Ed.
5.20%, 5/1/99 (AMBAC Insured) $ 100 $ 100
Ohio Water Dev. Auth., 7.90%, 9/1/99
(Escrowed to Maturity) 210 213
Univ. of Cincinnati
7.00%, 6/1/99 20 20
7.10%, 6/1/10 (Prerefunded 6/1/99!) 255 261
Total Ohio (Cost $2,162) 2,162
OKLAHOMA 0.9%
Comanche Hosp. Auth , 8.05%, 7/1/16
(Prerefunded 7/1/99!) 1,575 1,618
Total Oklahoma (Cost $1,618) 1,618
PENNSYLVANIA 5.2%
Geisinger Auth. Health Systems, Penn State
Geisinger Health
4.50%, 8/15/99 1,000 1,002
Montgomery County HHEFA
Bryn Mawr Hospital
6.80%, 12/1/99 (Escrowed to Maturity) 100 102
Pennsylvania, GO
4.00%, 7/1/99 100 100
4.50%, 9/1/99 500 502
6.00%, 9/15/99 50 50
6.00%, 11/1/99 (MBIA Insured) 50 51
6.60%, 6/1/19 (Prerefunded 6/1/99!) 500 509
6.875%, 11/1/99 15 15
Pennsylvania Higher Ed. Fac. Auth., Student Loan
VRDN (Currently 4.05%) * 4,400 4,400
Pennsylvania Turnpike Commission
7.15%, 12/1/09 (Prerefunded 12/1/99!) 100 104
7.50%, 12/1/09 (Prerefunded 12/1/99!) 100 105
7.55%, 12/1/17 (Prerefunded 12/1/99!) 135 141
Philadelphia, GO, TRAN, 4.25%, 6/30/99 2,000 2,002
Total Pennsylvania (Cost $9,083) 9,083
SOUTH CAROLINA 0.3%
Berkeley County, Amoco Chemical,
VRDN (Currently 4.30%) * $ 500 $ 500
South Carolina, GO, 6.00%, 5/1/99 50 50
Total South Carolina (Cost $550) 550
SOUTH DAKOTA 3.1%
South Dakota HDA
VRDN (Currently 4.20%) * 285 285
Homeownership Mortgage
3.20%, 12/2/99 * 3,000 3,000
3.20%, 4/7/00 * 2,000 2,000
Total South Dakota (Cost $5,285) 5,285
TENNESSEE 1.0%
Memphis, GO
5.00%, 7/1/99 500 502
5.50%, 7/1/99 * 1,045 1,049
Nashville & Davidson County, 5.00%, 5/15/99 150 150
Total Tennessee (Cost $1,701) 1,701
TEXAS 11.9%
Austin Utility Systems
11.30%, 11/15/14 (Prerefunded 11/15/99!) 60 62
Electric Light and Power
5.25%, 10/1/99 (Escrowed to Maturity) 100 101
Calhoun County IDA, British Petroleum
TECP, 2.80 - 3.15%, 5/3 - 5/19/99 * 4,000 4,000
Gulf Coast IDA, Marine Terminal, Amoco Oil
VRDN (Currently 4.30%) * 500 500
Gulf Coast Waste Disposal Auth.
Environmental Fac., Amoco Oil
VRDN (Currently 4.30%) * 1,500 1,500
PCR, Amoco Oil Project
VRDN (Currently 4.30%) * 1,000 1,000
Harris County, GO, 4.15%, 10/1/99 50 50
Harris County Health Facs. Dev.
Memorial Hosp. Systems
7.00%, 6/1/02 (Prerefunded 6/1/99!) $ 35 $ 36
Houston, GO
Public Improvement
3.50%, 3/1/00 325 325
5.60%, 3/1/00 150 153
Panhandle-Plains Higher Education Auth.
VRDN (Currently 3.95%) * 7,500 7,500
San Antonio Water System, 5.80%, 5/15/99
(FGIC Insured) 985 986
Texas, GO
VRDN (Currently 4.00%) * 4,000 4,000
4.90%, 8/1/99 100 100
5.125%, 10/1/99 100 101
Texas PFA, 4.40%, 10/1/99 50 50
Univ. of Texas, 6.10%, 7/1/99 100 101
Total Texas (Cost $20,565) 20,565
UTAH 8.9%
Intermountain Power Agency
5.25%, 7/1/99 (MBIA Insured) 500 501
5.50%, 7/1/99 (MBIA Insured) 1,550 1,555
7.20%, 7/1/11 (Prerefunded 7/1/99!) 250 256
Salt Lake City, Airport, VRDN (Currently 4.05%) * 4,000 4,000
Salt Lake County, Kennecott/RTZ
Solid Waste Disposal VRDN (Currently 4.20%) * 3,400 3,400
Utah State Board of Regents, VRDN (Currently 4.10%) 5,700 5,700
Total Utah (Cost $15,412) 15,412
VIRGINIA 6.8%
Capital Region Airport Commission,
Richmond Int'l. Airport
VRDN (Currently 4.05%) (AMBAC Insured) * 1,000 1,000
Chesapeake, 7.00%, 7/1/05 (Prerefunded 7/1/99!) 500 513
Chesterfield County, GO, 4.20%, 11/1/99 200 201
Fairfax County, GO
4.90%, 10/1/99 $ 100 $ 101
Public Improvement, 5.50%, 6/1/99 250 250
Hampton Roads Sanitation Dist., Sewer
7.10%, 7/1/01 (Prerefunded 7/1/99!) 300 308
Henrico County IDA, White Oak Semiconductor
VRDN (Currently 4.05%) * 3,844 3,844
Metropolitan Washington Airports Auth.
Virginia General Airport, 6.90%, 10/1/99 * 250 254
Norfolk Capital Improvement, GO
5.25%, 6/1/99 (FGIC Insured) 1,000 1,001
Peninsula Ports Auth., Riverside Health Systems,
5.80%, 7/1/99 500 502
Southeastern Public Service Auth.
6.90%, 7/1/02 (Prerefunded 7/1/99!) 500 513
Waste Systems, 6.90%, 7/1/01 (Prerefunded 7/1/99!) 550 564
Virginia Beach, GO, 4.40%, 7/15/99 200 200
Virginia College Building Auth.,
Higher Ed. Fin., 3.95%, 9/1/99 275 276
Virginia Ed. Loan Auth., Student Loan
5.25%, 3/1/00 (Escrowed to Maturity) 195 198
Virginia HDA, Commonwealth, 5.75%, 7/1/99 * 500 502
Virginia Higher Ed., GO, 5.00%, 6/1/99 135 135
Virginia Public Building Auth., 3.70%, 8/1/99 150 150
Virginia Transportation Board
4.50%, 5/15/99 250 250
6.50%, 5/15/99 1,000 1,001
Total Virginia (Cost $11,763) 11,763
WASHINGTON 10.1%
Port of Seattle, GO
4.80%, 5/1/99 * 1,000 1,000
4.80%, 11/1/99 (AMBAC Insured) 200 202
5.00%, 9/1/99 (FGIC Insured) * 1,700 1,710
5.90%, 11/1/99 * 1,500 1,520
Seattle Water Systems, 4.60%, 12/1/99 85 86
Washington, GO
4.40%, 8/1/99 200 201
4.50%, 9/1/99 200 201
Washington, GO
5.00%, 9/1/99 $ 150 $ 151
5.30%, 9/1/99 400 402
5.50%, 7/1/99 1,000 1,003
6.00%, 9/1/99 600 605
Washington Housing Fin. Commission,
VRDN (Currently 3.00%) * 3,790 3,790
Washington Public Power Supply Systems
4.06%, 7/1/17 4,000 4,000
5.00%, 7/1/99 100 100
5.00%, 7/1/99 (FSA Insured) 1,230 1,233
7.25%, 7/1/99 200 201
Nuclear Project
4.75%, 7/1/99 (FSA Insured) 145 145
7.20%, 7/1/99 1,000 1,006
Total Washington (Cost $17,556) 17,556
WISCONSIN 0.8%
Wisconsin, GO
4.10%, 11/1/99 500 502
4.80%, 11/1/99 100 101
5.90%, 5/1/99 200 200
Wisconsin HEFA, St. Lukes Medical Center
7.40%, 8/15/19 (MBIA Insured)
(Prerefunded 8/15/99!) 500 516
Total Wisconsin (Cost $1,319) 1,319
WYOMING 0.5%
Lincoln County, PCR
Exxon
VRDN (Currently 4.15%) 400 400
VRDN (Currently 4.30%) * 500 500
Total Wyoming (Cost $900) 900
Total Investments in Securities
107.2% of Net Assets (Cost $185,688) $ 185,688
Other Assets Less Liabilities (12,395)
NET ASSETS $ 173,293
--------------
Net Assets Consist of:
Accumulated net realized gain/loss - net of distributions $ 5
Paid-in-capital applicable to 173,287,665 shares of
$0.0001 par value capital stock outstanding; 2,000,000,000
shares of the Corporation authorized 173,288
NET ASSETS $ 173,293
--------------
NET ASSET VALUE PER SHARE $ 1.00
--------------
* Interest subject to alternative minimum tax
! Used in determining portfolio maturity
AMBAC AMBAC Indemnity Corp.
BAN Bond Anticipation Note
COP Certificates of Participation
DOT Department of Transportation
FGIC Financial Guaranty Insurance Company
FSA Financial Security Assurance Corp.
GO General Obligation
HDA Housing Development Authority
HEFA Health & Educational Facility Authority
HFA Health Facility Authority
HHEFA Health & Higher Educational Facility Authority
IDA Industrial Development Authority
MBIA Municipal Bond Investors Assurance Corp.
PCR Pollution Control Revenue
PFA Public Facility Authority
RAN Revenue Anticipation Note
TAN Tax Anticipation Note
TECP Tax-Exempt Commercial Paper
TRAN Tax Revenue Anticipation Note
VRDN Variable Rate Demand Note
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Intermediate Fund
- --------------------------------------------------------------------------------
Unaudited April 30, 1999
Statement of Net Assets Par Value
- --------------------------------------------------------------------------------
In thousands
ALABAMA 0.6%
Birmingham Airport Auth., 7.35%, 7/1/04
(AMBAC Insured) * $ 500 $ 522
Total Alabama (Cost $514) 522
ALASKA 0.9%
Valdez Marine, VRDN (Currently 4.25%) 800 800
Total Alaska (Cost $800) 800
CALIFORNIA 3.8%
California Pollution Control Fin. Auth., PCR
USA Waste Services 5.00%, 6/1/18 1,000 1,008
California Public Works Board, Dept. of Corrections
6.00%, 11/1/05 (MBIA Insured) 250 279
Foothill / Eastern Transportation Corridor
Agency, Toll Road
Zero Coupon, 1/1/05 350 275
San Francisco Bay Area Rapid Transit, Dist. Sales Tax
5.25%, 7/1/18 1,250 1,283
Southern California Public Power Auth.
6.92%, 7/1/17 (FGIC Insured)
(Escrowed to Maturity) 600 669
Total California (Cost $3,388) 3,514
COLORADO 0.8%
Denver City and County Airport
6.75%, 11/15/22 (MBIA Insured)
(Prerefunded 11/15/02!) * 105 117
6.75%, 11/15/22 (MBIA Insured) * 395 435
E-470 Public Highway Auth.
Zero Coupon, 8/31/26 (Prerefunded 8/31/05!) 1,000 160
Total Colorado (Cost $665) 712
CONNECTICUT 0.9%
Connecticut Dev. Auth., Mystic Marinelife Aquarium
6.875%, 12/1/17 150 158
Mashantucket Western Pequot Tribe
5.60%, 9/1/09 $ 200 $ 207
5.70%, 9/1/12 500 516
Total Connecticut (Cost $851) 881
DISTRICT OF COLUMBIA 0.6%
Washington D.C. Metropolitan Airport Auth.
6.625%, 10/1/12 (MBIA Insured) * 500 548
Total District of Columbia (Cost $532) 548
FLORIDA 6.2%
Dade County, Resource Recovery Fac.
6.00%, 10/1/06 (AMBAC Insured) * 500 553
Dade County School Board, COP
5.75%, 5/1/08 (MBIA Insured) 365 399
Dade County School Dist., GO
6.00%, 7/15/04 (MBIA Insured) 1,700 1,866
Escambia County, PCR, Champion Int'l.
6.90%, 8/1/22 * 1,250 1,379
Florida Division of Bond Fin.
Dept. of Environmental Preservation
6.00%, 7/1/06 (MBIA Insured) 500 556
Indian Trace Community Dev. Dist., Water Management
5.50%, 5/1/07 (MBIA Insured) 500 541
Leesburg Hosp., Regional Medical Center, 5.20%, 7/1/02 500 519
Total Florida (Cost $5,557) 5,813
GEORGIA 0.5%
Coweta County Residential Care Fac.
for the Elderly Auth.
Wesley Woods of Newnan-Peachtree City
7.625%, 10/1/06 400 443
Total Georgia (Cost $400) 443
HAWAII 6.9%
Hawaii, Airport, 6.70%, 7/1/05 (MBIA Insured) * $ 500 $ 537
Hawaii Dept. of Budget and Finance
Hawaiian Electric, 4.95%, 4/1/12 (MBIA Insured) 3,000 3,084
Wilcox Memorial Hosp., 5.50%, 7/1/09 1,690 1,770
Honolulu City & County, GO, 5.125%, 7/1/14 1,000 1,021
Total Hawaii (Cost $6,321) 6,412
ILLINOIS 5.4%
Chicago, GO, 5.75%, 1/1/05 (AMBAC Insured) 660 713
Chicago Board of Ed., GO
Zero Coupon, 12/1/12 (FGIC Insured) 2,000 1,025
Chicago-O'Hare Int'l. Airport
Int'l. Terminal
7.50%, 1/1/05 (Prerefunded 1/1/00!) * 160 167
7.50%, 1/1/05 (MBIA Insured)
(Prerefunded 1/1/00!) * 250 261
Illinois HFA
Edward Obligated Group
5.00%, 2/15/09 (AMBAC Insured) 500 517
Glen Oaks Medical Center
9.50%, 11/15/15 (Escrowed to Maturity) 70 78
Hinsdale Hosp.
7.00%, 11/15/19 (Escrowed to Maturity) 260 298
Illinois Toll Highway Auth., 5.50%, 1/1/14
(FSA Insured) 1,000 1,077
Madison County Environmental Improvement
VRDN (Currently 4.30%) * 100 100
Southwestern Dev. Auth.
Environmental Improvement, Shell Oil
VRDN (Currently 4.30%) * 275 275
Solid Waste Disposal, Shell Oil, Wood River
VRDN (Currently 4.30%) * 500 500
Total Illinois (Cost $4,939) 5,011
INDIANA 1.4%
Goshen, Greencroft Obligation Group, 5.20%, 8/15/06 750 747
St. Joseph County Economic Dev.
Madison Center
5.10%, 2/15/05 $ 260 $ 264
5.25%, 2/15/07 295 301
Total Indiana (Cost $1,300) 1,312
IOWA 0.3%
Iowa HFA, Wesley Retirement, 6.25%, 2/1/12 250 254
Total Iowa (Cost $250) 254
KENTUCKY 2.8%
Kenton County Airport Board, Delta Airlines,
7.50%, 2/1/12 * 2,000 2,172
Kentucky Property and Buildings Commission,
6.40%, 11/1/01 390 415
Total Kentucky (Cost $2,578) 2,587
LOUISIANA 1.5%
Calcasieu Parish IDA, Entergy Gulf States,
5.45%, 7/1/10 400 400
Louisiana, GO, 5.00%, 4/15/03 1,000 1,042
Total Louisiana (Cost $1,427) 1,442
MARYLAND 10.4%
Baltimore County, GO, Pension Funding, 5.125%, 8/1/12 800 840
Maryland Energy Fin. Administration
Wheelabrator Technologies
5.85%, 12/1/05 * 1,510 1,635
6.30%, 12/1/10 * 250 275
Maryland HHEFA, Good Samaritan Hosp., 5.50%, 7/1/05 700 755
Montgomery County
Consolidated Public Improvement
5.00%, 5/1/06 2,000 2,112
5.10%, 4/1/05 2,000 2,119
Northeast Maryland Waste Disposal Auth.
Montgomery County Resources
6.20%, 7/1/10 * 750 805
6.30%, 7/1/16 (MBIA Insured) * 500 546
7.10%, 1/1/03 (MBIA Insured) 550 609
Total Maryland (Cost $9,463) 9,696
MASSACHUSETTS 0.4%
Massachusetts, GO, 6.30%, 11/1/05 (FGIC Insured) $ 250 $ 279
Massachusetts Port Auth., 7.375%,
7/1/10 (FGIC Insured) * 135 143
Total Massachusetts (Cost $390) 422
MICHIGAN 6.3%
Garden City HFA, Garden City Hosp., 5.375%, 9/1/03 1,465 1,475
Greater Detroit Resource Recovery Auth.
6.25%, 12/13/05 (AMBAC Insured) 1,000 1,118
Michigan HFA, Mercy Health, 5.00%, 8/15/12 1,395 1,402
Michigan Strategic Fund, Holland Home,
5.00%, 11/15/03 830 820
Wayne County Airport
5.25%, 12/1/12 (MBIA Insured) * 1,000 1,031
Total Michigan (Cost $5,706) 5,846
MISSISSIPPI 1.3%
Jackson County, Chevron USA, VRDN (Currently 4.25%) 800 800
Mississippi Business Fin., Solid Waste Disposal
VRDN (Currently 4.35%) * 400 400
Total Mississippi (Cost $1,200) 1,200
MISSOURI 0.5%
Good Shepherd Nursing Home Dist.
Nursing Home Fac., 5.45%, 8/15/08 475 471
Total Missouri (Cost $475) 471
NEW HAMPSHIRE 0.5%
New Hampshire Housing Fin. Auth.
Single Family
5.90%, 1/1/01 * 115 118
5.90%, 7/1/01 * 115 118
6.00%, 7/1/02 * 125 129
6.10%, 1/1/03 * 130 135
Total New Hampshire (Cost $485) 500
NEW JERSEY 1.1%
New Jersey Educational Fac. Auth.
Georgian Court College
5.00%, 7/1/04 $ 475 $ 487
5.00%, 7/1/05 500 512
Total New Jersey (Cost $996) 999
NEW YORK 14.9%
Dormitory Auth. of the State of New York
City Univ.
5.50%, 7/1/03 1,000 1,055
6.875%, 7/1/14 (MBIA Insured) 350 405
Mental Health Services Fac., 6.00%, 2/15/06 1,500 1,642
Nyack Hosp., 6.00%, 7/1/06 250 271
State Univ. Ed. Fac , 7.40%, 5/15/01 150 158
Long Island Power Auth., 5.00%, 4/1/05 500 524
Municipal Assistance for New York City, 6.25%, 7/1/06 3,000 3,373
Nassau County IDA, Hofstra Univ., 6.70%, 1/1/09 250 287
New York City, GO
5.00%, 11/15/08 1,500 1,560
5.25%, 8/1/03 1,500 1,576
7.00%, 8/1/04 1,000 1,133
New York State Environmental Fac., PCR
Water Revolving Fund
6.875%, 6/15/10 50 54
6.875%, 6/15/10 (Prerefunded 6/15/01!) 450 489
New York State Housing Fin. Agency
Service Contract Obligation
5.85%, 9/15/09 300 325
New York State Mortgage Agency, Homeowner Mortgage
5.80%, 10/1/06 * 500 532
Port Auth. of New York and New Jersey, 6.50%, 10/1/01* 500 523
Total New York (Cost $13,451) 13,907
OHIO 0.2%
Fairfield Economic Dev. Auth.,
Beverly Enterprises
8.50%, 1/1/03 $ 175 $ 186
Total Ohio (Cost $183) 186
PENNSYLVANIA 2.7%
Pennsylvania, GO, 5 375%, 11/15/03 (FGIC Insured) 500 533
Pennsylvania Intergovernmental Cooperative Auth.
Special Tax 7.00%, 6/15/04 (FGIC Insured)
(Escrowed to Maturity) 400 457
Philadelphia Auth. for Industrial Dev. Health
Pauls Run Care Fac., 5.85%, 5/15/13 500 500
Philadelphia HHEFA, Childrens Hosp., 5.25%, 2/15/06 1,000 1,049
Total Pennsylvania (Cost $2,455) 2,539
SOUTH CAROLINA 6.4%
Berkeley County, Amoco Chemical, VRDN (Currently 4.30)* 200 200
Charleston County Resource Recovery, Foster Wheeler
5.10%, 1/1/08 (AMBAC Insured) * 1,700 1,779
Connector 2000 Assoc., Greenville Toll Road
Zero Coupon, 1/1/12 550 239
South Carolina Public Service Auth.
6.25%, 1/1/05 (MBIA Insured) 1,350 1,498
Santee Cooper
5.75%, 1/1/22 (MBIA Insured) 1,600 1,704
6.50%, 7/1/24 (AMBAC Insured)
(Prerefunded 7/1/02!) 495 546
Total South Carolina (Cost $5,729) 5,966
TENNESSEE 1.4%
Memphis-Shelby County Airport Auth.
6.25%, 2/15/11 (MBIA Insured) * 200 227
Tennessee Housing Dev. Agency
4.95%, 7/1/10 * 420 423
5.05%, 7/1/11 * 620 625
Total Tennessee (Cost $1,246) 1,275
TEXAS 7.7%
Abilene Health Fac. Dev., Sears Methodist
Retirement System
5.40%, 11/15/09 $ 700 $ 698
Alliance Airport Auth., Federal Express,
6.375%, 4/1/21 * 2,000 2,154
Austin Airport, 5.75%, 11/15/08
(MBIA Insured) * 500 543
Brazos Higher Ed. Auth., Student Loan,
5.95%, 6/1/02 * 475 498
Gulf Coast Waste Disposal Auth., PCR, Amoco Oil
VRDN (Currently 4.30%) * 200 200
Harris County, Toll Road
6.50%, 8/15/17 (AMBAC Insured)
(Prerefunded 8/15/02!) 750 829
Houston, Water and Sewer, 7.00%, 12/1/03
(AMBAC Insured) 270 304
Houston Airport System, 5.25%, 7/1/14
(FGIC Insured) * 1,410 1,442
Tarrant County Health Fac. Dev.,
Texas Health Resources
5.75%, 2/15/10 (MBIA Insured) 500 545
Total Texas (Cost $7,036) 7,213
VIRGINIA 6.7%
Alexandria IDA, Ogden Martin, VRDN
(Currently 4.30%) * 1,400 1,400
Bedford County IDA, Georgia-Pacific, 4.60%, 8/1/04 600 605
Leesburg Utilities System
6.10%, 7/1/07 (MBIA Insured)
(Prerefunded 7/1/02!) 500 545
Newport News, GO, 5 00%, 7/1/04 1,700 1,789
Southeastern Public Service Auth.,
Solid Waste Systems
5.875%, 7/1/08 * 500 522
Virginia HDA, 6.50%, 7/1/03 * 250 260
Virginia Transportation Board
Northern Virginia Transportation Dist.
5.80%, 5/15/04 500 543
Washington D.C. Metropolitan Airport Auth.
6.25%, 10/1/21 (MBIA Insured) * 500 541
Total Virginia (Cost $6,095) 6,205
WASHINGTON 1.2%
Washington Health Care Fac. Auth.
Virginia Mason Medical Center
6.00%, 8/15/08 (MBIA Insured) $ 500 $ 557
Washington Public Power Supply System,
Nuclear Project
6.30%, 7/1/01 (FSA Insured) 500 527
Total Washington (Cost $1,051) 1,084
WEST VIRGINIA 6.5%
Putnam County, PCR, Appalachian Power, 6.60%, 7/1/19 3,950 4,245
West Virginia Building Commission, GO, Lottery
5.00%, 7/1/04 (MBIA Insured) 1,735 1,818
Total West Virginia (Cost $5,988) 6,063
WISCONSIN 2.0%
Nekoosa, Nekoosa Papers, 5.35%, 7/1/15 200 199
Wisconsin, GO, 6.00%, 5/1/05 1,500 1,652
Total Wisconsin (Cost $1,849) 1,851
WYOMING 0.1%
Lincoln County, PCR, Exxon, VRDN (Currently 4.30%) * 100 100
Total Wyoming (Cost $100) 100
Total Investments in Securities
102.9% of Net Assets (Cost $93,420) $ 95,774
Other Assets Less Liabilities (2,717)
-----------
NET ASSETS $ 93,057
-----------
Net Assets Consist of:
Accumulated net investment income - net of distributions $ 1
Accumulated net realized gain/loss - net of distributions (9)
Net unrealized gain (loss) 2,354
Paid-in-capital applicable to 8,750,142 shares of $ 0.0001
par value capital stock outstanding; 2,000,000,000 shares
of the Corporation authorized 90,711
-----------
NET ASSETS $ 93,057
-----------
NET ASSET VALUE PER SHARE $ 10.63
-----------
* Interest subject to alternative minimum tax
! Used in determining portfolio maturity
AMBAC AMBAC Indemnity Corp.
COP Certificates of Participation
FGIC Financial Guaranty Insurance Company
FSA Financial Security Assurance Corp.
GO General Obligation
HDA Housing Development Authority
HFA Health Facility Authority
HHEFA Health & Higher Educational Facility Authority
IDA Industrial Development Authority
MBIA Municipal Bond Investors Assurance Corp.
PCR Pollution Control Revenue
VRDN Variable Rate Demand Note
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Income Fund
- --------------------------------------------------------------------------------
Unaudited April 30, 1999
Statement of Net Assets Par Value
- --------------------------------------------------------------------------------
In thousands
ALABAMA 0.6%
Baldwin County Eastern Shore Health Care Auth.
Thomas Hosp., 6.75%, 4/1/21 $ 200 $ 215
Jefferson County, Sewer, 5.625%, 2/1/22
(FGIC Insured) 250 263
Total Alabama (Cost $442) 478
ALASKA 0.3%
Alaska Housing Fin., General Mortgage
Zero Coupon, 12/1/17 (MBIA Insured) 750 257
Total Alaska (Cost $243) 257
CALIFORNIA 9.9%
Alameda Corridor Transportation Auth.
5.00%, 10/1/09 (MBIA Insured) 1,250 1,322
Antioch Public Fin Auth., 5.85%, 9/2/15 530 527
California Pollution Control Fin. Auth., PCR
USA Waste Services, 5.00%, 6/1/18 600 605
California Statewide Community Dev. Auth.
The Internext Group, 5.375%, 4/1/17 1,500 1,479
Chula Vista, Sub-Gateway Town Center,
7.50%, 1/1/32 * 500 499
Foothill / Eastern Transportation Corridor Agency
Toll Road
Zero Coupon, 1/1/07 1,000 808
Zero Coupon, 1/1/26 500 119
Los Angeles Regional Airports, LAX Airport Improvement
5.65%, 8/1/17 * 1,000 1,003
Orange County PFA, Management Systems
5.25%, 12/1/13 (AMBAC Insured) * 500 521
Placentia PFA, Special Tax, 6.60%, 9/1/15 100 104
Pomona Unified School Dist., GO
6.15%, 8/1/15 (MBIA Insured) 145 166
Poway Community Fac Dist., 6.75%, 8/15/15 225 246
Santa Ana Housing Auth., Villa Del Sol Apartments
5.65%, 11/1/21 * 300 318
Torrance Redev. Agency, 5.50%, 9/1/28 (MBIA Insured) 500 515
Total California (Cost $8,125) 8,232
COLORADO 1.7%
Denver City and County School Dist., GO
5.50%, 12/1/13 (FGIC Insured) $ 1,000 $ 1,064
E-470 Public Highway Auth.
Zero Coupon, 8/31/26 (Prerefunded 8/31/05!) 2,000 321
Total Colorado (Cost $1,361) 1,385
CONNECTICUT 0.6%
Connecticut Dev. Auth., Mystic Marinelife Aquarium
7.00%, 12/1/27 200 211
Mashantucket, 5.75%, 9/1/27 300 308
Total Connecticut (Cost $491) 519
DELAWARE 0.4%
Delaware Economic Dev. Auth.
Peninsula United Methodist Homes, 6.30%, 5/1/22 300 315
Total Delaware (Cost $295) 315
FLORIDA 5.1%
Jacksonville, IDR, Beverly Enterprises,
9.75%, 10/1/11 480 502
Jacksonville Electric Auth., St. John River,
5.375%, 10/1/13 1,000 1,045
Lee County IDA, Shell Point Village
Health Care Fac.
5.75%, 11/15/11 500 524
Palm Beach County Health Fac., Hosp. Improvement
5.00%, 12/1/07 1,105 1,150
Tampa Solid Waste Systems, McKay Bay Refuse to Energy
5.25%, 10/1/12 * 1,000 1,042
Total Florida (Cost $4,244) 4,263
GEORGIA 3.9%
Athens-Clarke Residential Care Fac.
for the Elderly Auth.
Wesley Woods of Athens, 6.375%, 10/1/27 200 203
Atlanta Water and Wastewater, 5.50%, 11/1/13 500 543
Coweta County Residential Care Fac.
for the Elderly Auth.
Wesley Woods of Newnan-Peachtree City
8.20%, 10/1/16 215 246
Fulco Hosp. Auth., Catholic Health East
5.25%, 11/15/13 (MBIA Insured) $ 1,000 $ 1,039
Georgia Housing Fin. Auth., Single Family,
6.45%, 12/1/27 * 210 224
Municipal Electric Auth. of Georgia
Zero Coupon, 1/1/09 1,000 598
5.70%, 1/1/19 (MBIA Insured) 170 184
Rockdale County Dev. Auth., Solid Waste Disposal
Visy Paper, 7.50%, 1/1/26 * 225 238
Total Georgia (Cost $3,166) 3,275
HAWAII 2.5%
Hawaii, GO, 5.25%, 4/1/13 (MBIA Insured) 1,000 1,042
Honolulu City & County, GO, 5.125%, 7/1/13 1,000 1,027
Total Hawaii (Cost $2,080) 2,069
IDAHO 0.1%
Idaho Housing Agency, Single Family
6.60%, 7/1/27 (FHA Guaranteed) * 95 101
Total Idaho (Cost $95) 101
ILLINOIS 9.0%
Chicago, GO, 5.50%, 1/1/18 (AMBAC Insured) 250 266
Chicago - O'Hare Int'l. Airport, Int'l. Terminal
7.50%, 1/1/17 (MBIA Insured) * 85 89
Chicago Board of Ed., GO
School Reform Board
Zero Coupon, 12/1/15 (AMBAC Insured) 1,000 429
5.25%, 12/1/17 1,000 1,040
5.75%, 12/1/20 (AMBAC Insured) 300 321
Cook County, 5.125%, 11/15/12 1,000 1,029
DuPage County, Windsor Park Manor, 7.20%, 12/1/14 200 215
Illinois EFA, Northwest Univ., 5.25%, 11/1/32 800 835
Illinois HFA
Community Hosp. of Ottawa, 6.85%, 8/15/24 200 217
Illinois HFA
Glen Oaks Medical Center
7.00%, 11/15/19 (Escrowed to Maturity) $ 145 $ 166
9.50%, 11/15/15 (Escrowed to Maturity) 75 84
Highland Park Hosp., 5.75%, 10/1/17 (MBIA Insured) 140 149
Holy Cross Hosp., 6 70%, 3/1/14 300 326
Loyola Univ. Health Systems
6.00%, 7/1/12 (MBIA Insured) 225 250
Riverside Health Systems, 6.00%, 11/15/18 750 791
Madison County Environmental Improvement,
Shell Wood River
VRDN (Currently 4.30%) * 1,300 1,300
Total Illinois (Cost $7,298) 7,507
INDIANA 2.0%
Indiana HFFA, Deaconess Hosp., 5.75%, 3/1/19 1,000 1,022
Indiana State Office Building Commission,
Correctional Fac.
5.50%, 7/1/20 (AMBAC Insured) 500 514
St. Joseph County Economic Dev., Madison Center
5.50%, 2/15/21 150 148
Total Indiana (Cost $1,642) 1,684
IOWA 0.8%
Iowa Finance Auth., Mercy Health Systems
5.25%, 8/15/27 (FSA Insured) 500 499
Iowa HFA, Wesley Retirement, 6.25%, 2/1/12 160 163
Total Iowa (Cost $663) 662
KENTUCKY 0.1%
Kenton County Airport Board, Delta Airlines,
7.50%, 2/1/20 * 100 109
Total Kentucky (Cost $100) 109
LOUISIANA 1.1%
Jefferson Sales Tax Dist.
Capital Appreciation
Zero Coupon, 12/1/09 (FSA Insured) 1,000 619
Plaquemines Parish, The British
Petroleum Company
VRDN (Currently 4.30%) * $ 300 $ 300
Total Louisiana (Cost $905) 919
MARYLAND 2.0%
Maryland CDA, Single Family, 7.25%, 4/1/19 * 140 149
Maryland Economic Dev., 5.50%, 7/15/09 445 451
Maryland Energy Fin. Administration
Wheelabrator Technologies, 6.45%, 12/1/16 * 500 545
Northeast Maryland Waste Disposal Auth.
Montgomery County Resources, 6.20%, 7/1/10 * 500 537
Total Maryland (Cost $1,648) 1,682
MASSACHUSETTS 4.9%
Massachusetts, GO, 5.25%, 8/1/18 2,000 2,089
Massachusetts HEFA, Melrose Wakefield Healthcare
5.375%, 7/1/05 350 375
Massachusetts Port Auth., 5.00%, 7/1/28 1,000 964
Massachusetts Water Resources Auth.
4.75%, 8/1/17 (FSA Insured) 700 680
Total Massachusetts (Cost $4,083) 4,108
MICHIGAN 3.3%
Dickinson County Economic Dev., Champion Int'l.
5.85%, 10/1/18 200 205
Michigan Building Auth., 5.25%, 10/15/10 1,000 1,057
Michigan Strategic Fund
Holland Home
5.00%, 11/15/03 200 197
5.75%, 11/15/18 250 245
WMX Technologies, 6 00%, 12/1/13 * 1,000 1,055
Total Michigan (Cost $2,763) 2,759
MINNESOTA 0.9%
Minneapolis, GO, Parking Ramp, 4.75%, 12/1/26 500 481
Minneapolis, GO, Walker Methodist, 5.875%, 11/15/18 250 250
Total Minnesota (Cost $728) 731
MISSISSIPPI 0.9%
Claiborne County, PCR, Systems Energy Resources
7.30%, 5/1/25 $ 150 $ 156
Mississippi Business Fin., Systems Energy Resources
5.875%, 4/1/22 500 502
Warren County, PCR, Mississippi Power and Light
7.00%, 4/1/22 100 110
Total Mississippi (Cost $746) 768
NEBRASKA 0.4%
City of Kearney, Great Platte River Road,
6.75%, 1/1/23 300 289
Total Nebraska (Cost $293) 289
NEVADA 0.6%
Clark County Airport Fac., McCarren Int'l Airport,
Passenger Fac.
6.00%, 7/1/17 (MBIA Insured) * 250 268
Clark County, IDR, Southwest Gas, 6.50%, 12/1/33 * 200 214
Total Nevada (Cost $430) 482
NEW HAMPSHIRE 0.9%
New Hampshire HHEFA, Wentworth Douglass Hosp.
5.375%, 1/1/15 (MBIA Insured) 500 533
New Hampshire Housing Fin. Auth., Single Family
6.85%, 7/1/14 * 200 214
Total New Hampshire (Cost $698) 747
NEW JERSEY 2.5%
New Jersey Economic Dev. Auth., The Evergreens
6.00%, 10/1/17 130 135
New Jersey EFA, Seton Hall Univ.
5.00%, 7/1/18 (AMBAC Insured) 250 247
New Jersey HFFA
Irvington General Hosp.
5.875%, 8/1/06 (FHA Guaranteed) 170 188
New Jersey Housing and Mortgage Fin. Agency
6.35%, 10/1/27 (MBIA Insured) * $ 250 $ 267
New Jersey Sports and Exposition Auth.,
Monmouth Park
8.00%, 1/1/25 100 121
New Jersey Turnpike Auth.
10.375%, 1/1/03 (Escrowed to Maturity) 560 637
New Jersey Wastewater Treatment Trust, 6.375%, 4/1/11 200 225
Rutgers, The State Univ., 6.35%, 5/1/06 250 272
Total New Jersey (Cost $1,966) 2,092
NEW MEXICO 0.3%
Farmington, PCR, 6.30%, 12/1/16 200 211
Total New Mexico (Cost $200) 211
NEW YORK 10.1%
Dormitory Auth. of the State of New York
Court Fac. Westchester County, 5.00%, 8/1/09 1,515 1,589
Interfaith Medical Center, 5.30%, 2/15/19 1,000 993
North Shore Univ. Hosp.
5.50%, 11/1/14 (MBIA Insured) 500 541
Nyack Hosp., 6.00%, 7/1/06 250 271
Metropolitan Transportation Auth.
Commuter Fac., 5.00%, 7/1/05 275 286
Transit Fac., 4.75%, 7/1/26 (FGIC Insured) 500 470
Nassau County IDA, Hofstra Univ., 6.80%, 1/1/11 290 334
New York City, GO, 6.25%, 8/1/09 350 392
New York City Municipal Water Fin. Auth.
Water and Sewer
5.75%, 6/15/26 (AMBAC Insured) 500 536
6.00%, 6/15/09 200 224
New York City Transitional Fin. Auth., Future Tax
4.75%, 5/1/23 500 471
New York State Energy Research and Dev. Auth., PCR
New York Electric and Gas
6.15%, 7/1/26 (MBIA Insured) * 200 217
New York State Environmental Fac., PCR
State Water Revolving Fund, 6.90%, 11/15/15 200 230
New York State Mortgage Agency
Homeowner Mortgage
6.45%, 10/1/17 $ 100 $ 107
6.625%, 4/1/25 * 100 108
7.50%, 4/1/26 * 250 272
New York State Urban Dev., State Fac., 5.60%, 4/1/15 150 161
New York Thruway Auth., Local Highway and Bridge
5.375%, 4/1/16 (MBIA Insured) 1,000 1,042
Port Auth. of New York and New Jersey,
6.50%, 10/1/01 * 200 209
Total New York (Cost $8,171) 8,453
NORTH CAROLINA 1.7%
North Carolina Medical Care Hosp.
Firsthealth of the Carolinas, 4.75%, 10/1/26 1,490 1,368
Total North Carolina (Cost $1,373) 1,368
OHIO 2.7%
Akron, Municipal Baseball Stadium, COP,
STEP 0-6.90%, 12/1/16 300 295
Fairfield Economic Dev. Auth., Beverly Enterprises
8.50%, 1/1/03 70 74
Franklin County Health Care Fac., Ohio Presbyterian
5.35%, 7/1/09 500 518
Montgomery County, Grandview Hosp. and Medical Center
5.40%, 12/1/09 200 191
Ohio Air Quality Dev. Auth., PCR, Cleveland Electric
6.00%, 8/1/20 500 513
Ohio HFA, Residential Mortgage, 5.75%, 9/1/28 * 490 506
Ohio Water Dev. Auth., PCR, Toledo Edison,
8.00%, 10/1/23 * 100 113
Total Ohio (Cost $2,110) 2,210
OKLAHOMA 0.2%
Tulsa Municipal Airport, American Airlines,
7.375%, 12/1/20 * 150 160
Total Oklahoma (Cost $148) 160
OREGON 1.8%
Portland, GO, Int'l. Airport, 5.25%,
7/1/17 (FGIC Insured) * 1,500 1,517
Total Oregon (Cost $1,516) 1,517
PENNSYLVANIA 2.8%
Beaver County IDA, PCR, Cleveland Electric,
7.625%, 5/1/25 $ 100 $ 113
Erie County IDA, Beverly Enterprises,
6.625%, 5/1/02 70 71
Pennsylvania Economic Dev. Fin. Auth.,
National Gypsum
6.25%, 11/1/27 * 500 505
Philadelphia Airport Auth., 6.10%, 6/15/25
(AMBAC Insured) * 75 81
Southeastern Transportation Auth., 5.25%, 3/1/15 1,500 1,555
Total Pennsylvania (Cost $2,319) 2,325
PUERTO RICO 0.3%
Puerto Rico Highway and Transportation Auth.,
5.50%, 7/1/15 250 268
Total Puerto Rico (Cost $236) 268
SOUTH CAROLINA 2.1%
Connector 2000 Assoc., Greenville Toll Road
Zero Coupon, 1/1/12 1,000 481
South Carolina Public Service Auth.
5.875%, 1/1/23 (FGIC Insured) 1,000 1,075
Santee Cooper, 6.25%, 1/1/22 (AMBAC Insured) 200 222
Total South Carolina (Cost $1,752) 1,778
SOUTH DAKOTA 1.0%
South Dakota Ed. Loans, Student Loan, 5.60%, 6/1/20 * 600 604
South Dakota HDA, Homeownership, 6.65%, 5/1/14 185 199
Total South Dakota (Cost $785) 803
TENNESSEE 0.6%
Memphis-Shelby County Airport Auth.
6.25%, 2/15/11 (MBIA Insured) * 100 114
Metropolitan Gov't. of Nashville
and Davidson Counties
Mur-Ci Homes, 7.75%, 12/1/26 200 207
Tennessee Housing Dev. Agency, Homeownership
Zero Coupon, 7/1/17 * 445 160
Total Tennessee (Cost $454) 481
TEXAS 6.2%
Alliance Airport Auth., American Airlines,
7.50%, 12/1/29 * $ 1,000 $ 1,066
Amarillo Health Fac. Dev.,
Sears Panhandle Retirement
7.75%, 8/15/26 200 247
Austin Utility System, Zero Coupon,
5/15/14 (MBIA Insured) 2,000 949
Gulf Coast Waste Disposal Auth., PCR
Amoco Oil, VRDN (Currently 4.30%) * 500 500
Harris County, Toll Road
6.375%, 8/15/24 (MBIA Insured)
(Prerefunded 8/15/04!) 250 283
Irving Independent School Dist., GO,
Capital Appreciation
Zero Coupon, 2/15/16 500 214
Rockwal Independent School Dist., GO,
Capital Appreciation
Zero Coupon, 8/15/16 500 202
San Antonio Electric and Gas, 4.50%, 2/1/21 250 230
Texas, GO, Veterans Housing Assistance,
6.25%, 12/1/15 60 62
Texas Water Dev. Board, 4.75%, 7/15/20 1,000 945
Tyler Health Fac. Dev., Mother Frances Hosp.,
5.625%, 7/1/13 500 502
Total Texas (Cost $5,130) 5,200
UTAH 3.3%
Carbon County, Solid Waste Disposal,
Laidlaw Environmental
7.45%, 7/1/17 (MBIA Insured) 200 218
Intermountain Power Agency
5.25%, 7/1/15 (MBIA Insured) 1,000 1,025
Power Supply, 5.75%, 7/1/16 (MBIA Insured) 500 537
Salt Lake County, Kennecott/RTZ,
Solid Waste Disposal
VRDN (Currently 4.20%) * 1,000 1,000
Total Utah (Cost $2,709) 2,780
VIRGINIA 2.2%
Harrisonburg Redev and Housing Auth., 4.20%, 3/1/04 500 499
Newport News Redev. and Housing Auth.,
5.85%, 12/20/30 100 105
Peninsula Port Auth., Riverside Health,
6.625%, 7/1/18 200 221
Pocahontas Parkway Assoc., Toll Road,
Zero Coupon, 8/15/15 1,500 615
Prince William County Service Auth.,
Water & Sewer Systems
6.00%, 7/1/29 (FGIC Insured) 85 89
Virginia Ed. Loan Auth., Student Loan
5.55%, 9/1/10 (Prerefunded 3/1/06!) * $ 55 $ 59
Virginia HDA
6.50%, 5/1/13 * 100 107
6.60%, 7/1/20 * 160 167
Total Virginia (Cost $1,817) 1,862
WASHINGTON 2.4%
Chelan County Public Utility Dist. No. 1
Columbia River-Rock Hydroelectric
Zero Coupon, 6/1/18 (MBIA Insured) 585 216
Tacoma, Solid Waste Utilities
5.50%, 12/1/17 (AMBAC Insured) 800 835
Washington Health Care Fac. Auth.
Virginia Mason Medical Center
6.00%, 8/15/08 (MBIA Insured) 400 446
Washington Public Power Supply System,
Nuclear Project
5.50%, 7/1/17 500 501
Total Washington (Cost $1,916) 1,998
WEST VIRGINIA 2.5%
Pleasants County PCR, W. Penn Power, 5.50%, 4/1/29 * 500 502
West Virginia Building Commission
5.375%, 7/1/18 (AMBAC Insured) 500 525
Regional Jail, 5.375%, 7/1/21 (AMBAC Insured) 1,000 1,044
Total West Virginia (Cost $2,076) 2,071
WISCONSIN 4.2%
Nekoosa PCR, Nekoosa Papers, 5.35%, 7/1/15 1,000 997
Oconto Falls CDA, Oconto Falls Tissue,
7.75%, 12/1/22 * 200 212
Wisconsin HEFA
Auroro Health Care, 5.60%, 2/15/29 500 493
Childrens Hosp., 5.625%, 2/15/15 (AMBAC Insured) 500 536
National Regency of New Berlin, 8.00%, 8/15/25 200 223
Sinai Samaritan Medical Center
5.875%, 8/15/26 (MBIA Insured) 200 212
Wisconsin HEFA
Waukesha Memorial Hosp.
5.25%, 8/15/19 (AMBAC Insured) $ 300 $ 301
Wisconsin Housing and Economic Dev. Auth.
Homeownership
6.20%, 3/1/27 * 200 211
6.45%, 9/1/27 * 250 268
Total Wisconsin (Cost $3,323) 3,453
WYOMING 1.7%
Lincoln County, PCR, Exxon,
VRDN (Currently 4.30%) * 1,240 1,240
Wyoming CDA, 5.85%, 6/1/28 * 195 201
Total Wyoming (Cost $1,435) 1,441
Total Investments in Securities
100.6% of Net Assets (Cost $81,975) $ 83,812
Other Assets Less Liabilities (480)
-----------
NET ASSETS $ 83,332
-----------
Net Assets Consist of:
Accumulated net investment income - net of distributions $ 1
Accumulated net realized gain/loss - net of distributions (41)
Net unrealized gain (loss) 1,837
Paid-in-capital applicable to 7,822,512 shares of $0.0001 par
value capital stock outstanding; 2,000,000,000 shares
of the Corporation authorized 81,535
-----------
NET ASSETS $ 83,332
-----------
NET ASSET VALUE PER SHARE $ 10.65
-----------
* Interest subject to alternative minimum tax
! Used in determining portfolio maturity
AMBAC AMBAC Indemnity Corp.
CDA Community Development Administration
COP Certificates of Participation
EFA Educational Facility Authority
FGIC Financial Guaranty Insurance Company
FHA Federal Housing Authority
FSA Financial Security Assurance Corp.
GO General Obligation
HDA Housing Development Authority
HEFA Health & Educational Facility Authority
HFA Health Facility Authority
HFFA Health Facility Financing Authority
HHEFA Health & Higher Educational Facility Authority
IDA Industrial Development Authority
IDR Industrial Development Revenue
MBIA Municipal Bond Investors Assurance Corp.
PCR Pollution Control Revenue
PFA Public Facility Authority
STEP Stepped Coupon Note for which the interest rate will adjust on
specified future date
VRDN Variable Rate Demand Note
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Funds
- --------------------------------------------------------------------------------
Unaudited
Statement of Operations
- --------------------------------------------------------------------------------
In thousands
Money Intermediate Income
Market Fund Fund
Fund
6 Months 6 Months 6 Months
Ended Ended Ended
4/30/99 4/30/99 4/30/99
Investment Income
Interest income $2,856 $2,043 $1,920
Expenses
Investment management
and administrative 393 208 188
Net investment income 2,463 1,835 1,732
Realized and Unrealized
Gain (Loss)
Net realized gain (loss)
Securities - 22 64
Futures - 43 9
Net realized gain (loss) - 65 73
Change in net unrealized
gain or loss
Securities - (470) (662)
Futures - (9) -
Change in net unrealized
gain or loss - (479) (662)
Net realized and unrealized
gain (loss) - (414) (589)
INCREASE (DECREASE) IN NET
ASSETS FROM OPERATIONS $2,463 $1,421 $1,143
----------------------------------------------
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Funds
- --------------------------------------------------------------------------------
Unaudited
Statement of Changes in Net Assets
- --------------------------------------------------------------------------------
In thousands
Money Market Fund Intermediate Fund Income Fund
6 Months Year 6 Months Year 6 Months Year
Ended Ended Ended Ended Ended Ended
4/30/99 10/31/98 4/30/99 10/31/98 4/30/99 10/31/98
Increase (Decrease)
in Net Assets
Operations
Net investment
income $ 2,463 $ 4,990 $ 1,835 $ 2,869 $ 1,732 $ 2,382
Net realized gain
(loss) -- 5 65 110 73 269
Change in net
unrealized
gain or loss -- -- (479) 1,259 (662) 1035
Increase (decrease)
in net assets from
operations 2,463 4,995 1,421 4,238 1,143 3,686
Distributions to
shareholders
Net investment
income (2,463) (4,990) (1,835) (2,869) (1,732) (2,382)
Net realized gain - - (146) (196) (325) -
Decrease in net
assets from
distributions (2,463) (4,990) (1,981) (3,065) (2,057) (2,382)
Capital share
transactions*
Shares sold 103,760 185,986 24,846 41,899 29,323 50,158
Distributions
reinvested 2,348 4,737 1,313 2,005 1,423 1,568
Shares redeemed (103,739) (160,361) (8,470) (16,055) (12,458) (16,174)
Increase (decrease)
in net assets from
capital share
transactions 2,369 30,362 17,689 27,849 18,288 35,552
Net Assets
Increase (decrease)
during period 2,369 30,367 17,129 29,022 17,374 36,856
Beginning of period 170,924 140,557 75,928 46,906 65,958 29,102
End of period $173,293 $170,924 $93,057 $75,928 $83,332 $65,958
-----------------------------------------------------------
*Share information
Shares sold 103,760 185,986 2,327 3,958 2,736 4,699
Distributions
reinvested 2,348 4,737 123 189 133 147
Shares redeemed (103,739) (160,361) (794) (1,517) (1,162) (1,517)
Increase (decrease)
in shares
outstanding 2,369 30,362 1,656 2,630 1,707 3,329
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Summit Municipal Funds
- --------------------------------------------------------------------------------
Unaudited April 30, 1999
Notes to Financial Statements
- --------------------------------------------------------------------------------
NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES
T. Rowe Price Summit Municipal Funds, Inc. (the corporation) is registered
under the Investment Company Act of 1940. The Summit Municipal Money Market
Fund (the Money Market Fund), the Summit Municipal Intermediate Fund (the
Intermediate Fund), and the Summit Municipal Income Fund (the Income Fund),
diversified, open-end management investment companies, are the three of the
portfolios established by the corporation and commenced operations on
October 29, 1993.
The accompanying financial statements are prepared in accordance with
generally accepted accounting principles for the investment company
industry; these principles may require the use of estimates by fund
management.
Valuation Debt securities are generally traded in the over-the-counter
market. Except for securities held by the Money Fund, investments in
securities with original maturities of one year or more are stated at fair
value as furnished by dealers who make markets in such securities or by an
independent pricing service, which considers yield or price of bonds of
comparable quality, coupon, maturity, and type, as well as prices quoted by
dealers who make markets in such securities. Securities with original
maturities of less than one year are stated at fair value, which is
determined by using a matrix system that establishes a value for each
security based on money market yields. Securities held by the Money Fund
are valued at amortized cost.
Assets and liabilities for which the above valuation procedures are
inappropriate or are deemed not to reflect fair value are stated at fair
value as determined in good faith by or under the supervision of the
officers of that fund, as authorized by the Board of Directors.
Premiums and Discounts Premiums and original issue discounts on municipal
securities are amortized for both financial reporting and tax purposes.
Market discounts are recognized upon disposition of the security as gain or
loss for financial reporting purposes and as ordinary income for tax
purposes.
Other Income and expenses are recorded on the accrual basis. Investment
transactions are accounted for on the trade date. Realized gains and losses
are reported on the identified cost basis. Distributions to shareholders
are recorded by each fund on the ex-dividend date. Income and capital gain
distributions are determined in accordance with federal income tax
regulations and may differ from those determined in accordance with
generally accepted accounting principles.
NOTE 2 - INVESTMENT TRANSACTIONS
Consistent with their investment objectives, the Intermediate and Income
Funds engage in the following practices to manage exposure to certain risks
or enhance performance. The investment objective, policies, program, and
risk factors of each fund are described more fully in each fund's
prospectus and Statement of Additional Information.
Noninvestment-Grade Debt Securities At April 30, 1999, the Income Fund
held investments in noninvestment-grade debt securities, commonly referred
to as "high-yield" or "junk" bonds. A real or perceived economic downturn
or higher interest rates could adversely affect the liquidity or value, or
both, of such securities because such events could lessen the ability of
issuers to make principal and interest payments.
Other Purchases and sales of portfolio securities, other than short-term
securities, for the six months ended April 30, 1999, were as follows:
---------------------------------------------------------------------------
Intermediate Income
Fund Fund
Purchases $24,672,000 $31,963,000
Sales 6,645,000 15,527,000
NOTE 3 - FEDERAL INCOME TAXES
No provision for federal income taxes is required since each fund intends
to continue to qualify as a regulated investment company and distribute all
of its income.
At April 30, 1999, the costs of investments for the Money Market,
Intermediate, and Income Funds for federal income tax purposes was
substantially the same as for financial reporting and totaled $185,688,000,
$93,420,000, and $81,975,000, respectively. For the Money Fund, amortized
cost is equivalent to value; and for the Intermediate and Income Funds, net
unrealized gain (loss) on investments was as follows:
- --------------------------------------------------------------------------------
Intermediate Income
Fund Fund
Appreciated investments $2,443,000 $2,040,000
Depreciated investments (89,000) (203,000)
Net unrealized gain (loss) $2,354,000 $1,837,000
----------------------------------
NOTE 4 - RELATED PARTY TRANSACTIONS
The investment management and administrative agreement between each fund
and T. Rowe Price Associates, Inc. (the manager) provides for an
all-inclusive annual fee, of which $48,000, $20,000, and $16,000 were
payable at April 30, 1999 by the Money Market, Intermediate, and Income
Funds, respectively. The fee, computed daily and paid monthly, is equal to
0.45% of average daily net assets for the Money Market Fund and 0.50% of
average daily net assets for the Intermediate and Income Funds. Pursuant to
the agreement, investment management, shareholder servicing, transfer
agency, accounting, and custody services are provided to each fund, and
interest, taxes, brokerage commissions, and extraordinary expenses are paid
directly by each fund.
T. Rowe Price Shareholder Services
- --------------------------------------------------------------------------------
Investment Services And Information
KNOWLEDGEABLE SERVICE REPRESENTATIVES
By Phone 1-800-225-5132 Available Monday through Friday from 8 a.m. to 10
p.m. ET and weekends from 8:30 a.m. to 5 p.m. ET.
In Person Available in T. Rowe Price Investor Centers.
ACCOUNT SERVICES
Checking Available on most fixed income funds ($500 minimum).
Automatic Investing From your bank account or paycheck.
Automatic Withdrawal Scheduled, automatic redemptions.
Distribution Options Reinvest all, some, or none of your distributions.
Automated 24-Hour Services Including Tele*Access(registered trademark) and
the T. Rowe Price Web site on the Internet. Address: www.troweprice.com
BROKERAGE SERVICES*
Individual Investments Stocks, bonds, options, precious metals, and other
securities at a savings over full-service commission rates.**
INVESTMENT INFORMATION
Combined Statement Overview of all your accounts with T. Rowe Price.
Shareholder Reports Fund managers' reviews of their strategies and results.
T. Rowe Price Report Quarterly investment newsletter discussing markets and
financial strategies.
Performance Update Quarterly review of all T. Rowe Price fund results.
Insights Educational reports on investment strategies and financial
markets.
Investment Guides Asset Mix Worksheet, College Planning Kit, Diversifying
Overseas: A Guide to International Investing, Personal Strategy Planner,
Retirees Financial Guide, and Retirement Planning Kit.
* T. Rowe Price Brokerage is a division of T. Rowe Price Investment
Services, Inc.,
Member NASD/SIPC.
** Based on a January 1999 survey for representative-assisted stock
trades. Services vary by firm, and commissions may vary depending
on size of order.
T. Rowe Price Mutual Funds
- --------------------------------------------------------------------------------
STOCK FUNDS
Domestic
Blue Chip Growth
Capital Appreciation
Capital Opportunity
Diversified Small-Cap Growth
Dividend Growth
Equity Income
Equity Index 500
Extended Equity Market Index
Financial Services
Growth & Income
Growth Stock
Health Sciences
Media & Telecommunications
Mid-Cap Growth
Mid-Cap Value
New America Growth
New Era
New Horizons*
Real Estate
Science & Technology
Small-Cap Stock
Small-Cap Value
Spectrum Growth
Total Equity Market Index
Value
International/Global
Emerging Markets Stock
European Stock
Global Stock
International Discovery
International Growth & Income
International Stock
Japan
Latin America
New Asia
Spectrum International
BOND FUNDS
Domestic Taxable
Corporate Income
GNMA
High Yield
New Income
Short-Term Bond
Short-Term U.S. Government
Spectrum Income
Summit GNMA
Summit Limited-Term Bond
U.S. Treasury Intermediate
U.S. Treasury Long-Term
Domestic Tax-Free
California Tax-Free Bond
Florida Intermediate Tax-Free**
Georgia Tax-Free Bond
Maryland Short-Term Tax-Free Bond
Maryland Tax-Free Bond
New Jersey Tax-Free Bond
New York Tax-Free Bond
Summit Municipal Income
Summit Municipal Intermediate
Tax-Free High Yield
Tax-Free Income
Tax-Free Intermediate Bond***
Tax-Free Short-Intermediate
Virginia Short-Term Tax-Free Bond
Virginia Tax-Free Bond
International/Global
Emerging Markets Bond
Global Bond
International Bond
MONEY MARKET FUNDS!
Taxable
Prime Reserve
Summit Cash Reserves
U.S. Treasury Money
Tax-Free
California Tax-Free Money
New York Tax-Free Money
Summit Municipal
Money Market
Tax-Exempt Money
BLENDED ASSET FUNDS
Balanced
Personal Strategy Balanced
Personal Strategy Growth
Personal Strategy Income
Tax-Efficient Balanced
T. ROWE PRICE NO-LOAD
VARIABLE ANNUITY
Equity Income Portfolio
International Stock Portfolio
Limited-Term Bond Portfolio
Mid-Cap Growth Portfolio
New America Growth Portfolio
Personal Strategy Balanced Portfolio
Prime Reserve Portfolio
* Closed to new investors. ** Formerly named Florida Insured Intermediate
Tax-Free. *** Formerly named Tax-Free Insured Intermediate Bond.
! Investments in the funds are not insured or guaranteed by the FDIC or any
other government agency. Although the funds seek to preserve the value of your
investment at $1.00 per share, it is possible to lose money by investing in the
funds.
Please call for a prospectus. Read it carefully before investing.
The T. Rowe Price No-Load Variable Annuity [#V6021] is issued by Security
Benefit Life Insurance Company. In New York, it [#FSB201(11-96)] is issued by
First Security Benefit Life Insurance Company of New York, White Plains, NY.
T. Rowe Price refers to the underlying portfolios' investment managers and the
distributors, T. Rowe Price Investment Services, Inc.; T. Rowe Price Insurance
Agency, Inc.; and T. Rowe Price Insurance Agency of Texas, Inc. The Security
Benefit Group of Companies and the T. Rowe Price companies are not affiliated.
The variable annuity may not be available in all states. The contract has
limitations. Call a representative for costs and complete details of the
coverage.
T. Rowe Price Retirement Plans and Resources
- --------------------------------------------------------------------------------
Retirement Plans and Resources
We recognize that saving for retirement is the number one investment goal
for most Americans. We can help you meet your retirement needs, whether you
are starting an IRA or designing a retirement program for your employees.
T. Rowe Price offers an assortment of retirement plans for individuals, the
self-employed, small businesses, corporations, and nonprofit organizations.
We provide recordkeeping, communications, and investment management
services, as well as a variety of educational materials, self-help planning
guides, and software tools to help you choose and implement a retirement
plan appropriate for you. For information or to request literature, call
us at 1-800-638-5660.
IRAs AND QUALIFIED PLANS
---------------------------------------------------------------------------
Traditional IRA
Roth IRA
Rollover IRA
SEP-IRA
SIMPLE IRA
Profit Sharing
Money Purchase Pension
"Paired" Plans (Money Purchase Pension and Profit Sharing Plans)
401(k)
403(b)
457 Deferred Compensation
RETIREMENT RESOURCES AT T. ROWE PRICE
---------------------------------------------------------------------------
Planning and Informational Guides
Minimum Required Distributions Guide
Retirement Planning Kit
Retirees Financial Guide
Tax Considerations for Investors
Investment Kits
The IRA Investing Kit
Roth IRA Conversion Kit
Rollover IRA Kit
The T. Rowe Price SIMPLE IRA Plan Kit
The T. Rowe Price SEP-IRA Plan
The Simplified Keogh Plan(registered trademark) From T. Rowe Price
The T. Rowe Price 401(k) Century Plan(registered trademark) (for small
businesses)
Money Purchase Pension/Profit Sharing Plan Kit
Investing for Retirement in Your 403(b) Account
The T. Rowe Price No-Load Variable Annuity Information Kit
Insights Reports
The Challenge of Preparing for Retirement Financial
Planning After Retirement
The Roth IRA: A Review
Software Packages
T. Rowe Price Retirement Planning AnalyzerTM CD-ROM or diskette $19.95. To
order, please call 1-800-541-5760. Also available on the Internet for
$9.95.
T. Rowe Price Variable Annuity AnalyzerTM CD-ROM or diskette, free. To
order, please call 1-800-469-5304.
Many of these resources are also available for viewing or ordering on the
Internet at www.troweprice.com.
T. Rowe Price Insights Reports
- --------------------------------------------------------------------------------
The Fundamentals of Investing
Whether you are unsure how to get started or are saving for a specific
goal, such as retirement or college, the T. Rowe Price Insights series can
help you make informed investment decisions. These reports, written in
plain English about fundamental investment topics, can be useful at every
stage of your investment journey. They cover a range of topics, from the
basic, such as getting started with mutual funds, to the more advanced,
such as managing risk through diversification or buying individual
securities through a broker. To request one or more Insights, call us at
1-800-638-5660.
INSIGHTS REPORTS
---------------------------------------------------------------------------
General Information
The ABCs of Giving
Back to Basics: The ABCs of Investing
The Challenge of Preparing for Retirement
Financial Planning After Retirement
Getting Started: Investing With Mutual Funds
The Roth IRA: A Review
Tax Information for Mutual Fund Investors
Investment Strategies
Conservative Stock Investing
Dollar Cost Averaging
Equity Index Investing
Growth Stock Investing
Investing for Higher Yield
Managing Risk Through Diversification
The Power of Compounding
Value Investing
Types of Securities
The Basics of International Stock Investing
The Basics of Tax-Free Investing
The Fundamentals of Fixed Income Investing
Global Bond Investing
Investing in Common Stocks
Investing in Emerging Growth Stocks
Investing in Financial Services Stocks
Investing in Health Care Stocks
Investing in High-Yield Municipal Bonds
Investing in Money Market Securities
Investing in Mortgage-Backed Securities
Investing in Natural Resource Stocks
Investing in Science and Technology Stocks
Investing in Small-Company Stocks
Understanding Derivatives
Understanding High-Yield "Junk" Bonds
Brokerage Insights
Combining Individual Securities With Mutual Funds
Getting Started: An Introduction to Individual Securities
What You Should Know About Bonds
What You Should Know About Margin and Short-Selling
What You Should Know About Options
What You Should Know About Stocks
T. Rowe Price Insights are also available for reading or downloading on the
Internet at www.troweprice.com.
For yield, price, last transaction,
current balance, or to conduct
transactions, 24 hours, 7 days
a week, call Tele*Access(registered trademark):
1-800-638-2587 toll free
For assistance
with your existing
fund account, call:
Shareholder Service Center
1-800-225-5132 toll free
410-625-6500 Baltimore area
To open a brokerage account
or obtain information, call:
1-800-638-5660 toll free
Internet address:
www.troweprice.com
T. Rowe Price Associates
100 East Pratt Street
Baltimore, Maryland 21202
This report is authorized for
distribution only to shareholders
and to others who have received
a copy of the prospectus appropriate
to the fund or funds covered in this
report.
Investor Centers:
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Baltimore, MD 21202
T. Rowe Price
Financial Center
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(opens mid-June)
Invest With Confidence(registered trademark)
T. Rowe Price Investment Services, Inc., Distributor. C10-051 4/30/99
