<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
PORTFOLIO OF INVESTMENTS
CORPORATE BONDS & NOTES -- 0.2%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
- -----------------------------------------------------------------------------
Financial Services -- 0.2%
- -----------------------------------------------------------------------------
$ 360 Associates Corp. of North America,
5.96%, 5/15/00 $ 359,896
- -----------------------------------------------------------------------------
$ 359,896
- -----------------------------------------------------------------------------
Total Corporate Bonds & Notes
(identified cost $359,896) $ 359,896
- -----------------------------------------------------------------------------
COMMERCIAL PAPER -- 47.6%
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
- -----------------------------------------------------------------------------
Automotive -- 1.5%
- -----------------------------------------------------------------------------
$ 1,800 Ford Motor Credit Co., 5.75%, 1/7/00 $ 1,798,275
1,700 General Motors Acceptance Corp.,
5.87%, 1/19/00 1,695,010
- -----------------------------------------------------------------------------
$ 3,493,285
- -----------------------------------------------------------------------------
Banking and Finance -- 11.0%
- -----------------------------------------------------------------------------
$ 3,115 American Express Credit Corp.,
5.82%, 1/20/00 $ 3,105,432
5,085 Asset Securitization Coop. Corp.,
5.90%, 2/28/00(1) 5,036,664
3,848 CIESCO, 5.90%, 2/14/00 3,820,251
1,105 CIESCO, 5.97%, 1/21/00 1,101,335
2,620 CIT Group Holdings, Inc., 5.80%, 1/6/00 2,617,889
3,000 Corporate Asset Funding Co., Inc.,
5.97%, 2/7/00(1) 2,981,592
3,500 Corporate Receivables Corp.,
5.97%, 1/19/00(1) 3,489,553
3,500 Delaware Funding Corp.,
6.05%, 1/18/00(1) 3,490,000
- -----------------------------------------------------------------------------
$ 25,642,716
- -----------------------------------------------------------------------------
Chemicals -- 1.6%
- -----------------------------------------------------------------------------
$ 3,634 E.I. duPont de Nemours & Co.,
5.82%, 1/18/00 $ 3,624,013
- -----------------------------------------------------------------------------
$ 3,624,013
- -----------------------------------------------------------------------------
Credit Unions -- 2.1%
- -----------------------------------------------------------------------------
$ 5,000 Mid-States Corp. Federal Credit Union,
6.15%, 1/27/00 $ 4,977,792
- -----------------------------------------------------------------------------
$ 4,977,792
- -----------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
- -----------------------------------------------------------------------------
Electric Utilities -- 3.3%
- -----------------------------------------------------------------------------
$ 1,000 National Rural Utilities Coop. Finance
Corp., 5.86%, 3/9/00 $ 988,931
1,440 National Rural Utilities Coop. Finance
Corp., 5.90%, 3/21/00 1,421,120
1,500 National Rural Utilities Coop. Finance
Corp., 6.02%, 3/23/00 1,479,432
3,800 TECO Finance, Inc., 6.05%, 1/11/00(1) 3,793,614
- -----------------------------------------------------------------------------
$ 7,683,097
- -----------------------------------------------------------------------------
Electrical and Electronic Equipment -- 5.1%
- -----------------------------------------------------------------------------
$ 1,350 General Electric Capital Corp.,
5.97%, 1/18/00 $ 1,346,195
2,000 General Electric Capital Corp.,
5.98%, 1/19/00 1,994,020
2,800 General Electric Capital Corp.,
6.00%, 1/24/00 2,789,267
1,270 General Electric Capital Corp.,
6.00%, 1/25/00 1,264,920
1,500 General Electric Capital Corp.,
6.09%, 3/13/00 1,481,730
3,000 Panasonic Finance America,
5.88%, 2/8/00(1) 2,981,380
- -----------------------------------------------------------------------------
$ 11,857,512
- -----------------------------------------------------------------------------
Financial Services -- 2.2%
- -----------------------------------------------------------------------------
$ 3,500 John Hancock Capital Corp.,
5.90%, 1/14/00(1) $ 3,492,543
1,700 Norwest Financial, Inc., 5.82%, 2/1/00 1,691,480
- -----------------------------------------------------------------------------
$ 5,184,023
- -----------------------------------------------------------------------------
Food and Beverages -- 2.9%
- -----------------------------------------------------------------------------
$ 2,145 Coca-Cola Co., 5.77%, 1/18/00 $ 2,139,156
2,000 H.J. Heinz Co., 6.10%, 1/19/00 1,993,900
2,605 Kellogg Co., 5.90%, 2/22/00 2,582,800
- -----------------------------------------------------------------------------
$ 6,715,856
- -----------------------------------------------------------------------------
Insurance -- 7.3%
- -----------------------------------------------------------------------------
$ 5,000 A.I. Credit Corp., 5.82%, 1/28/00 $ 4,978,175
2,000 American General Corp., 5.96%, 2/10/00 1,986,756
1,500 American General Finance Corp.,
5.98%, 1/26/00 1,493,771
3,565 MetLife Funding, Inc., 5.85%, 1/25/00 3,551,096
5,000 USAA Capital Corp., 6.05%, 2/7/00 4,968,910
- -----------------------------------------------------------------------------
$ 16,978,708
- -----------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
14
<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
PORTFOLIO OF INVESTMENTS CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
- -----------------------------------------------------------------------------
Oil -- 3.8%
- -----------------------------------------------------------------------------
$ 2,500 Chevron USA, Inc., 5.77%, 1/10/00 $ 2,496,394
2,500 Chevron USA, Inc., 5.77%, 1/11/00 2,495,993
4,000 Chevron USA, Inc., 5.90%, 2/18/00 3,968,533
- -----------------------------------------------------------------------------
$ 8,960,920
- -----------------------------------------------------------------------------
Pharmaceutical -- 1.9%
- -----------------------------------------------------------------------------
$ 2,000 Pfizer, Inc., 5.73%, 2/15/00(1) $ 1,985,675
2,500 Pfizer, Inc., 5.77%, 2/2/00(1) 2,487,177
- -----------------------------------------------------------------------------
$ 4,472,852
- -----------------------------------------------------------------------------
Telecommunications -- 4.9%
- -----------------------------------------------------------------------------
$ 3,400 AT&T Corp., 5.95%, 1/24/00 $ 3,387,075
5,000 BellSouth Telecommunications, Inc.,
5.75%, 2/25/00 4,956,076
3,000 SBC Communications, Inc.,
5.75%, 2/15/00(1) 2,978,438
- -----------------------------------------------------------------------------
$ 11,321,589
- -----------------------------------------------------------------------------
Total Commercial Paper
(identified cost $110,912,363) $110,912,363
- -----------------------------------------------------------------------------
U.S. GOVERNMENT OBLIGATIONS -- 52.2%
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
- -----------------------------------------------------------------------------
$ 3,450 FHLB Discount Notes, 5.18%, 1/5/00 $ 3,448,015
6,420 FHLB Discount Notes, 5.49%, 2/11/00 6,379,859
2,335 FHLB Discount Notes, 5.65%, 3/9/00 2,310,080
8,158 FHLB Discount Notes, 5.65%, 3/10/00 8,069,656
3,000 FHLMC Discount Notes, 5.58%, 1/12/00 2,994,885
3,000 FHLMC Discount Notes, 5.55%, 1/13/00 2,994,450
1,900 FHLMC Discount Notes, 5.53%, 1/31/00 1,891,244
30,000 FHLMC Discount Notes, 5.75%, 2/2/00 29,846,667
2,170 FHLMC Discount Notes, 5.48%, 2/4/00 2,158,769
3,105 FHLMC Discount Notes, 5.525%, 2/9/00 3,086,415
4,035 FHLMC Discount Notes, 5.75%, 2/15/00 4,005,998
2,765 FHLMC Discount Notes, 5.57%, 2/23/00 2,742,326
1,225 FNMA Discount Notes, 5.57%, 1/20/00 1,221,398
3,000 FNMA Discount Notes, 5.58%, 1/21/00 2,990,700
4,490 FNMA Discount Notes, 5.52%, 1/26/00 4,472,789
2,500 FNMA Discount Notes, 5.52%, 1/27/00 2,490,034
2,000 FNMA Discount Notes, 5.53%, 1/28/00 1,991,705
3,350 FNMA Discount Notes, 5.55%, 2/2/00 3,333,473
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
- -----------------------------------------------------------------------------
$ 5,799 FNMA Discount Notes, 5.545%, 2/3/00 $ 5,769,524
4,970 FNMA Discount Notes, 5.55%, 2/3/00 4,944,715
3,000 FNMA Discount Notes, 5.54%, 2/4/00 2,984,304
2,500 FNMA Discount Notes, 5.48%, 2/8/00 2,485,539
5,875 FNMA Discount Notes, 5.55%, 2/17/00 5,832,431
2,505 FNMA Discount Notes, 5.60%, 2/24/00 2,483,958
5,000 FNMA Discount Notes, 5.64%, 3/2/00 4,952,217
3,665 FNMA Discount Notes, 5.635%, 3/7/00 3,627,137
2,145 FNMA Discount Notes, 5.84%, 3/16/00 2,118,903
- -----------------------------------------------------------------------------
Total U.S. Government Obligations
(identified cost, $121,627,191) $121,627,191
- -----------------------------------------------------------------------------
Total Investments -- 100.0%
(identified cost $232,899,450) $232,899,450(2)
- -----------------------------------------------------------------------------
Other Assets, Less Liabilities -- 0.0% $ 58,419
- -----------------------------------------------------------------------------
Net Assets -- 100.0% $232,957,869
- -----------------------------------------------------------------------------
</TABLE>
FHLMC - Federal Home Loan Mortgage Corporation (Freddie Mac)
FHLB - Federal Home Loan Bank
FNMA - Federal National Mortgage Association (Fannie Mae)
(1) A security which has been issued under section 4(2) of the Securities Act
of 1933 and is generally regarded as restricted and illiquid. This
security may be resold in transactions exempt from registration or to the
public if the security is registered. All such securities held have been
deemed by the Portfolio's Trustees to be liquid and were purchased with
the expectation that resale would not be necessary.
(2) Cost for federal income tax purposes is the same.
SEE NOTES TO FINANCIAL STATEMENTS
15
<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
AS OF DECEMBER 31, 1999
<S> <C>
Assets
- ------------------------------------------------------
Investments, at value $232,899,450
Cash 110,197
Interest receivable 2,779
- ------------------------------------------------------
TOTAL ASSETS $233,012,426
- ------------------------------------------------------
Liabilities
- ------------------------------------------------------
Payable to affiliate for Trustees' fees $ 2,216
Accrued expenses 52,341
- ------------------------------------------------------
TOTAL LIABILITIES $ 54,557
- ------------------------------------------------------
NET ASSETS APPLICABLE TO INVESTORS'
INTEREST IN PORTFOLIO $232,957,869
- ------------------------------------------------------
Sources of Net Assets
- ------------------------------------------------------
Net proceeds from capital contributions
and withdrawals $232,957,869
- ------------------------------------------------------
TOTAL $232,957,869
- ------------------------------------------------------
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
FOR THE YEAR ENDED
DECEMBER 31, 1999
<S> <C>
Investment Income
- ----------------------------------------------------
Interest $8,370,938
- ----------------------------------------------------
TOTAL INVESTMENT INCOME $8,370,938
- ----------------------------------------------------
Expenses
- ----------------------------------------------------
Investment adviser fee $ 803,098
Trustees' fees and expenses 14,514
Custodian fee 105,849
Legal and accounting services 31,884
Amortization of organization expenses 907
Miscellaneous 2,972
- ----------------------------------------------------
TOTAL EXPENSES $ 959,224
- ----------------------------------------------------
NET INVESTMENT INCOME $7,411,714
- ----------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
16
<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
FINANCIAL STATEMENTS CONT'D
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Increase (Decrease) YEAR ENDED YEAR ENDED
IN NET ASSETS DECEMBER 31, 1999 DECEMBER 31, 1998
<S> <C> <C>
- ------------------------------------------------------------------------------
From operations --
Net investment income $ 7,411,714 $ 6,761,310
- ------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS
FROM OPERATIONS $ 7,411,714 $ 6,761,310
- ------------------------------------------------------------------------------
Capital transactions --
Contributions $ 678,102,808 $ 610,798,591
Withdrawals (592,899,074) (660,957,683)
- ------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM CAPITAL TRANSACTIONS $ 85,203,734 $ (50,159,092)
- ------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS $ 92,615,448 $ (43,397,782)
- ------------------------------------------------------------------------------
Net Assets
- ------------------------------------------------------------------------------
At beginning of year $ 140,342,421 $ 183,740,203
- ------------------------------------------------------------------------------
AT END OF YEAR $ 232,957,869 $ 140,342,421
- ------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
17
<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
FINANCIAL STATEMENTS CONT'D
SUPPLEMENTARY DATA
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
--------------------------------------
1999 1998 1997 1996 1995
<S> <C> <C> <C> <C> <C>
- ----------------------------------------------------------------------
Ratios to average daily net assets
- ----------------------------------------------------------------------
Expenses 0.60% 0.61% 0.59% 0.59% 0.60%
Net investment income 4.60% 4.90% 4.96% 4.83% 5.36%
- ----------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
18
<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
NOTES TO FINANCIAL STATEMENTS
1 Significant Accounting Policies
- -------------------------------------------
Cash Management Portfolio (the Portfolio) is registered under the Investment
Company Act of 1940 as a diversified, open-end management investment company
which was organized as a trust under the laws of the State of New York on May
1, 1992. The Declaration of Trust permits the Trustees to issue interests in
the Portfolio. The following is a summary of significant accounting policies
of the Portfolio. The policies are in conformity with generally accepted
accounting principles.
A Security Valuation -- The Portfolio values investment securities utilizing
the amortized cost valuation technique permitted by Rule 2a-7 of the
Investment Company Act of 1940, pursuant to which the Portfolio must comply
with certain conditions. This technique involves initially valuing a
portfolio security at its cost and thereafter assuming a constant
amortization to maturity of any discount or premium.
B Income -- Interest income is determined on the basis of interest accrued,
adjusted for amortization of premium or accretion of discount.
C Income Taxes -- The Portfolio has elected to be treated as a partnership for
federal tax purposes. No provision is made by the Portfolio for federal or
state taxes on any taxable income of the Portfolio because each investor in
the Portfolio is ultimately responsible for the payment of any taxes. Since
some of the Portfolio's investors are regulated investment companies that
invest all or substantially all of their assets in the Portfolio, the
Portfolio normally must satisfy the applicable source of income and
diversification requirements (under the Internal Revenue Code) in order for
its investors to satisfy them. The Portfolio will allocate at least annually
among its investors each investor's distributive share of the Portfolio's net
investment income, net realized capital gains, and any other items of income,
gain, loss, deduction or credit.
D Deferred Organization Expenses -- Costs incurred by the Portfolio in
connection with its organization were amortized on the straight-line basis
over five years and are fully amortized at December 31, 1999.
E Expense Reduction -- Investors Bank & Trust Company (IBT) serves as custodian
to the Portfolio. Pursuant to the respective custodian agreements, IBT
receives a fee reduced by credits which are determined based on the average
daily cash balances the Portfolio maintains with IBT. All significant credit
balances used to reduce the Portfolio's custodian fees are reported as a
reduction of expenses on the Statement of Operations. For the year ended
December 31, 1999, $1,846 credit balances were used to reduce the Portfolio's
custodian fee.
F Use of Estimates -- The preparation of the financial statements in conformity
with generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities at the date of the financial statements and the reported amounts
of income and expense during the reporting period. Actual results could
differ from those estimates.
G Other -- Investment transactions are accounted for on a trade-date basis.
2 Investment Adviser Fee and Other Transactions with Affiliates
- -------------------------------------------
The investment adviser fee is earned by Boston Management and Research (BMR),
a wholly-owned subsidiary of Eaton Vance Management (EVM), as compensation
for management and investment advisory services rendered to the Portfolio.
The fee is computed at the rate of 1/2 of 1% per annum of the Portfolio's
average daily net assets and amounted to $803,098 for the year ended
December 31, 1999. Except as to Trustees of the Portfolio who are not members
of EVM's or BMR's organization, officers and Trustees receive remuneration
for their services to the Portfolio out of such investment adviser fee.
Certain officers and Trustees of the Portfolio are officers of the above
organizations.
3 Line of Credit
- -------------------------------------------
The Portfolio participates with other portfolios and funds managed by BMR or
EVM and its affiliates in a $150 million unsecured line of credit agreement
with a group of banks. The Portfolio may temporarily borrow from the line of
credit to satisfy redemption requests or settle investment transactions.
Interest is charged to each participating portfolio or fund based on its
borrowings at an amount above the Eurodollar rate or federal funds rate. In
addition, a fee computed at an annual rate of 0.10% on the daily unused
portion of the line of credit is allocated among the participating portfolios
and funds at the end of each quarter. The Portfolio did not have any
significant borrowings or allocated fees during the period.
4 Investments
- -------------------------------------------
Purchases and sales (including maturities) of investments, during the year
ended December 31, 1999, exclusive of U.S. Government securities, aggregated
$804,751,934 and $791,198,404, respectively. Purchases and sales (including
maturities) of U.S. Government Agency securities aggregated $658,127,431 and
$587,419,966, respectively.
19
<PAGE>
CASH MANAGEMENT PORTFOLIO AS OF DECEMBER 31, 1999
INDEPENDENT ACCOUNTANTS' REPORT
TO THE TRUSTEES AND INVESTORS
OF CASH MANAGEMENT PORTFOLIO
- ---------------------------------------------
In our opinion, the accompanying statement of assets and liabilities, including
the portfolio of investments, and the related statements of operations and of
changes in net assets and supplementary data present fairly, in all material
respects, the financial position of Cash Management Portfolio (the "Portfolio")
at December 31, 1999, and the results of its operations, the changes in its net
assets and the supplementary data for the periods indicated, in conformity with
accounting principles generally accepted in the United States. These financial
statements and supplementary data (hereafter referred to as "financial
statements") are the responsibility of the Portfolio's management; our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with auditing standards generally accepted in the United States which require
that we plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall financial
statement presentation. We believe that our audits, which included confirmation
of securities at December 31, 1999 by correspondence with the custodian, provide
a reasonable basis for the opinion expressed above.
PricewaterhouseCoopers LLP
Boston, Massachusetts
January 31, 2000
20
<PAGE>
EATON VANCE MONEY MARKET FUNDS AS OF DECEMBER 31, 1999
INVESTMENT MANAGEMENT
CASH MANAGEMENT PORTFOLIO
Officers
James B. Hawkes
President and Trustee
Michael B. Terry
Vice President and
Portfolio Manager
James L. O'Connor
Treasurer
Alan R. Dynner
Secretary
Trustees
Jessica M. Bibliowicz
President and Chief Executive Officer,
National Financial Partners
Donald R. Dwight
President, Dwight Partners, Inc.
Samuel L. Hayes, III
Jacob H. Schiff Professor of Investment
Banking Emeritus, Harvard University
Graduate School of Business Administration
Norton H. Reamer
Chairman and Chief Executive Officer,
United Asset Management Corporation
Lynn A. Stout
Professor of Law,
Georgetown University Law Center
Jack L. Treynor
Investment Adviser and Consultant
21
