<PAGE>
PAINEWEBBER PACE-SM-
------------------------------------------------------------
PACE
Money Market
Investments
SEMIANNUAL REPORT
JANUARY 31, 2000
<PAGE>
PACE MONEY MARKET INVESTMENTS SEMIANNUAL REPORT
PACE MONEY MARKET INVESTMENTS
- --------------------------------------------------------------------------------
Average Annual Total Returns, Periods Ended 1/31/00
<TABLE>
<CAPTION>
6 Months 1 Year 3 Years Since Inception 8/24/95
- ----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
With PACE program fee* 1.79% 3.33% 3.55% 3.56%
Without PACE program fee 2.55% 4.89% 5.12% 5.12%
90-Day U.S. T-Bill 2.51% 4.82% 4.94% 5.02%
Lipper Median 2.46% 4.66% 4.88% 4.92%
- ----------------------------------------------------------------------------------------
</TABLE>
* The maximum annual PACE program fee is 1.5% of the value of PACE assets.
Past performance does not predict future performance. The return and principal
value of an investment will fluctuate, so that an investor's shares, when
redeemed, may be worth more or less than their original cost. Performance
results assume reinvestment of all dividends and capital gains. Total returns
for periods less than one year are not annualized.
The table depicts the performance of PACE Money Market Investments versus the
benchmark 90-Day U.S. T-bill and the Lipper Money Market Funds Median. It is
important to note that PACE Money Market Investments is a professionally managed
portfolio while the benchmark is not available for investment and is unmanaged.
The comparison is shown for illustrative purposes only.
[SIDEBAR]
PACE MONEY MARKET INVESTMENTS
FUND PROFILE
ADVISER:
Mitchell Hutchins Asset Management Inc.
PORTFOLIO MANAGER:
Susan Ryan
OBJECTIVE:
Current income consistent with preservation of capital and liquidity
INVESTMENT PROCESS:
The Portfolio is a money market mutual fund and seeks to maintain a stable price
of $1.00 per share. The Portfolio invests in a diversified portfolio of
high-quality money market instruments of governmental and private issuers.
Security selection is based on the assessment of relative values and changes in
market and economic conditions.
ADVISER'S COMMENTS
Interest rates remained under pressure during the period, as the economy
continued to expand more briskly than anticipated. Economic activity showed no
signs of abating, and the Federal Reserve (the "Fed") twice raised the Fed Funds
rate by 25 basis points ("bps"; a basis point equals one one-hundredth of one
percent). Combined with a 25 bps increase earlier in 1999, the two rate
increases during the period completed the reversal of the 75 bps reduction
engineered in 1998 to combat the global financial crisis. By period-end, the
30-year Treasury bond's yield had increased to 6.49%, a two-year high. At the
same time, short-term rates rose significantly, with 90-day T-bills moving from
a yield equivalent of 4.78% at the beginning of the period to a yield of 5.69%
at its close.
With the Y2K issue well behind us we can focus on more than just the need
for liquidity. Going forward, we intend to structure the Portfolio to balance
its goals of current income and liquidity. We expect to keep the Portfolio's
average maturity at or slightly below its peer group in anticipation of higher
rates.
At its most recent Open Market Committee meeting in February the Fed again
raised rates by 25 bps, raising the Federal Funds rate to 5.75%. We expect an
active Fed and rising rates across the yield curve in the first half of 2000.
1
<PAGE>
SEMIANNUAL REPORT
We look for moderating economic growth in the second half of the year, and
believe interest rates will stabilize in response to current growth and the
absence of real inflationary pressure. As always, we intend to maintain the
Portfolio's emphasis on liquidity, high credit quality and portfolio diversity.
<TABLE>
<CAPTION>
Portfolio Composition*
- -------------------------------------------------
<S> <C>
Commercial Paper 70.2%
Bank Obligations 10.8
U.S. Treasurys/Agencies 9.4
Corporate & MTNs 6.9
Mutual Funds 2.7
- -------------------------------------------------
Total 100.0
</TABLE>
<TABLE>
Top 10 Commercial Paper Holdings* % Portfolio S&P Rating
- -------------------------------------------------------------------------
<S> <C> <C>
Household Finance Corp. 4.9% A1/P1
Woodstreet Funding Corp. 4.9 A1+/P1
Falcon Asset Securitization Corp. 4.9 A1/P1
United Parcel Service 4.7 A1/P1
J.P. Morgan & Co., Inc. 4.5 A1+/P1
Enterprise Funding Corp. 3.8 A1+/P1
Preferred Receivables Funding Corp. 3.6 A1+/P1
Southern Co. 3.6 A1+/P1
Emerson Electric Co. 3.3 A1+/P1
Block Financial Corp. 3.3 A1+/P1
- -------------------------------------------------------------------------
Total 41.2
<CAPTION>
Characteristics*
- -------------------------------------------------------------------------
<S> <C>
Net Assets ($mm) $59.1
# of Issuers (excl Govts and Money Market Funds) 35
Weighted Average Maturity 35 days
- -------------------------------------------------------------------------
</TABLE>
* Weightings represent percentages of portfolio assets as of January 31,
2000. The Portfolio is actively managed and all holdings are subject to
change.
2
<PAGE>
PACE MONEY MARKET INVESTMENTS JANUARY 31, 2000 (unaudited)
STATEMENT OF NET ASSETS
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MATURITY INTEREST
(000) DATES RATES VALUE
- ---------- -------------------- --------------- ----------
<S> <C> <C> <C>
U.S. GOVERNMENT AGENCY OBLIGATIONS -- 9.65%
$1,000 Federal Home Loan Bank .......................................... 02/01/00 6.059%* $ 999,912
4,700 Student Loan Marketing Association .............................. 02/01/00 to 02/25/00 5.560 to 6.199* 4,698,926
----------
Total U.S. Government Agency Obligations (cost -- $5,698,838).............. 5,698,838
----------
BANK NOTES -- 2.71%
DOMESTIC -- 2.71%
300 First National Bank of Chicago N. A. ............................ 03/15/00 5.180 299,980
700 First Tennessee Bank N. A. Memphis .............................. 02/01/00 6.069* 700,000
300 First Tennessee Bank N. A. Memphis .............................. 03/08/00 5.210 300,000
300 LaSalle National Bank ........................................... 07/14/00 5.690 300,013
----------
Total Domestic Bank Notes (cost -- $1,599,993)............................. 1,599,993
----------
CERTIFICATES OF DEPOSIT -- 8.46%
YANKEE -- 8.46%
300 Bayerische Hypotheken-und Wechsel-Bank .......................... 04/28/00 5.150 299,965
1,100 National Westminster Bank PLC ................................... 07/03/00 5.530 1,099,023
2,000 Societe Generale ................................................ 04/03/00 5.830 2,000,068
1,000 Svenska Handelsbanken ........................................... 02/22/00 to 05/22/00 5.100 to 5.280 999,935
600 Westpac Banking Corp. ........................................... 03/17/00 to 03/31/00 5.165 to 5.175 599,984
----------
Total Yankee Certificates of Deposit (cost -- $4,998,975).................. 4,998,975
----------
COMMERCIAL PAPER@ -- 72.44%
ASSET BACKED - BANKING -- 10.13%
1,000 Atlantis One Funding Corp. ..................................... 02/10/00 5.890 998,528
2,000 Centric Capital Corp. .......................................... 02/29/00 5.700 1,991,133
3,000 Woodstreet Funding Corp. ....................................... 02/14/00 to 02/15/00 5.700 to 5.870 2,993,601
----------
5,983,262
----------
ASSET BACKED - MISCELLANEOUS -- 18.66%
500 Asset Securitization Cooperative Corp. .......................... 02/14/00 5.831* 500,000
2,338 Enterprise Funding Corp. ........................................ 02/01/00 to 02/03/00 5.680 to 5.950 2,337,656
3,000 Falcon Asset Securitization Corp. ............................... 03/07/00 to 03/09/00 5.750 to 5.770 2,982,549
2,220 Preferred Receivables Funding Corp. ............................. 02/08/00 5.880 2,217,462
2,000 Quincy Capital Corp. ............................................ 03/08/00 5.750 1,988,500
1,000 Variable Funding Capital Corp. .................................. 03/02/00 5.750 995,208
----------
11,021,375
----------
AUTO & TRUCK -- 5.57%
1,448 Ford Motor Credit Corp. ......................................... 02/03/00 5.520 1,447,556
1,843 General Motors Acceptance Corp. ................................. 02/01/00 5.780 1,843,000
----------
3,290,556
----------
BANKING - DOMESTIC -- 6.28%
1,000 Fortis Funding LLC .............................................. 03/06/00 5.910 994,418
2,719 J.P. Morgan & Company, Inc. ..................................... 02/03/00 to 02/17/00 5.570 to 5.670 2,716,569
----------
3,710,987
----------
BANKING - FOREIGN -- 3.62%
1,046 Banque et Caisse d'Epargne de L'Etat ............................ 03/06/00 5.750 1,040,320
1,100 Nationwide Building Society ..................................... 02/07/00 5.700 1,098,955
----------
2,139,275
----------
</TABLE>
3
<PAGE>
PACE MONEY MARKET INVESTMENTS
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MATURITY INTEREST
(000) DATES RATES VALUE
- ---------- -------------------- --------------- -----------
<S> <C> <C> <C>
COMMERCIAL PAPER@ -- (CONCLUDED)
BUSINESS SERVICES -- 3.39%
$2,000 Block Financial Corp. ........................................... 02/01/00 5.880% $ 2,000,000
-----------
ELECTRONICS -- 3.38%
2,000 Emerson Electric Co. ............................................ 02/18/00 5.600 1,994,711
-----------
FINANCE - CONSUMER -- 5.08%
3,000 Household Finance Corp. ......................................... 02/01/00 5.800 3,000,000
-----------
FINANCE - SUBSIDIARY -- 2.73%
1,612 National Australia Funding (Delaware) Inc. ...................... 02/01/00 5.970 1,612,000
-----------
TELECOMMUNICATIONS -- 5.06%
2,000 American Telephone & Telegraph .................................. 03/02/00 5.720 1,990,467
1,000 Bellsouth Capital Funding Corp. ................................. 02/25/00 5.830 996,113
----------
2,986,580
-----------
TRANSPORTATION SERVICES -- 4.81%
2,840 United Parcel Service ........................................... 02/04/00 5.500 2,838,698
-----------
UTILITY - ELECTRIC -- 3.73%
2,203 Southern Co. .................................................... 02/10/00 5.900 2,199,751
-----------
Total Commercial Paper (cost -- $42,777,195) .............................. 42,777,195
-----------
SHORT-TERM CORPORATE OBLIGATIONS -- 7.08%
ASSET BACKED - FINANCE -- 3.39%
2,000 Beta Finance .................................................... 02/01/00 5.780* 2,000,000
-----------
AUTO & TRUCK -- 1.15%
675 Ford Motor Credit Corp. ......................................... 08/15/00 6.850 678,791
-----------
FINANCE - DIVERSIFIED -- 2.54%
1,500 Associates Corp. of North America ............................... 02/29/00 5.759* 1,499,632
-----------
Total Short-Term Corporate Obligations (cost -- $4,178,423) ............... 4,178,423
-----------
MONEY MARKET FUND -- 2.84%
1,675 Liquid Assets Portfolio (cost -- $1,675,330) ......................................................... 1,675,330
-----------
TOTAL INVESTMENTS (COST -- $60,928,754 WHICH APPROXIMATES COST FOR FEDERAL INCOME TAX PURPOSES)-- 103.18% ...... 60,928,754
Liabilities in excess of other assets -- (3.18)% ............................................................... (1,877,225)
-----------
Net Assets (applicable to 59,052,092 shares of beneficial interest outstanding at $1.00 per share) -- 100.00%... $59,051,529
-----------
-----------
</TABLE>
- --------------
* Variable rate security-maturity dates reflect earlier of reset dates or
maturity dates. The interest rates shown are current rates as of January
31, 2000 and reset periodically.
@ Interest rates shown are discount rates at date of purchase.
Weighted Average Maturity--35 days
See accompanying notes to financial statements.
4
<PAGE>
PACE MONEY MARKET INVESTMENTS
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
FOR THE SIX MONTHS
ENDED
JANUARY 31, 2000
(UNAUDITED)
------------------
<S> <C>
INVESTMENT INCOME:
Interest ............................................................................... $1,593,909
----------
EXPENSES:
Investment advisory and administration fees ............................................ 99,656
Transfer agency fees and expenses ...................................................... 86,907
Reports and notices to shareholders .................................................... 24,145
Legal and audit ........................................................................ 17,574
Trustees' fees and expenses ............................................................ 13,125
Federal and state registration fees .................................................... 11,819
Amortization of organizational expenses ................................................ 9,568
Custody and accounting ................................................................. 3,823
Other expenses ......................................................................... 2,363
----------
268,980
Less: Fee waivers and reimbursements from investment adviser ........................... (126,660)
----------
Net expenses ........................................................................... 142,320
----------
NET INVESTMENT INCOME .................................................................. 1,451,589
NET REALIZED GAINS FROM INVESTMENT TRANSACTIONS ........................................ 66
----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS ................................... $1,451,655
----------
----------
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
For the Six Months
Ended For the
January 31, 2000 Year Ended
(unaudited) July 31, 1999
------------------ -------------
<S> <C> <C>
FROM OPERATIONS:
Net investment income ............................................................ $ 1,451,589 $ 1,534,974
Net realized gains from investment transactions .................................. 66 165
------------ ------------
Net increase in net assets resulting from operations ............................. 1,451,655 1,535,139
------------ ------------
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income ............................................................ (1,451,589) (1,534,974)
------------ ------------
FROM BENEFICIAL INTEREST TRANSACTIONS:
Net increase in net assets from beneficial interest transactions ................. 11,877,836 21,680,081
------------ ------------
Net increase in net assets ....................................................... 11,877,902 21,680,246
NET ASSETS:
Beginning of period .............................................................. 47,173,627 25,493,381
------------ ------------
End of period .................................................................... $ 59,051,529 $ 47,173,627
------------ ------------
------------ ------------
</TABLE>
See accompanying notes to financial statements.
5
<PAGE>
NOTES TO FINANCIAL STATEMENTS (unaudited)
ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
PACE Money Market Investments (the "Portfolio") is a diversified portfolio
of PaineWebber PACE Select Advisors Trust ("the Trust"), which is organized as a
Delaware business trust under the laws of the State of Delaware by Certificate
of Trust dated September 9, 1994, as amended June 9, 1995, and is registered
with the Securities and Exchange Commission under the Investment Company Act of
1940, as amended, as an open-end management investment company. The trustees of
the Trust have authority to issue an unlimited number of shares of beneficial
interest, par value $0.001 per share.
The Trust currently offers twelve portfolios of shares available for
investment. Shares of the Portfolios currently are available only to
participants in the PaineWebber PACE-SM- Program.
The Trust accounts separately for the assets, liabilities and operations
for each Portfolio. Expenses directly attributable to each Portfolio are charged
to that Portfolio's operations; expenses which are applicable to all Portfolios
are allocated among them on a pro rata basis.
The Trust incurred costs of approximately $1,138,000 in connection with the
organization of the Trust and the registration of its shares. Such costs have
been deferred and are being amortized using the straight-line method over the
period of benefit, not to exceed five years, beginning with the commencement of
operations of the Trust.
The preparation of financial statements in accordance with generally
accepted accounting principles requires the Portfolio's management to make
estimates and assumptions that affect the reported amounts and disclosures in
the financial statements. Actual results could differ from those estimates. The
following is a summary of significant accounting policies:
VALUATION AND ACCOUNTING FOR INVESTMENTS AND INVESTMENT INCOME--Investments
are valued at amortized cost which approximates market value, unless the Trust's
Board of Trustees determines that this does not represent fair value. Investment
transactions are recorded on the trade date. Realized gains and losses from
investment transactions are calculated using the identified cost method.
Interest income is recorded on an accrual basis. Premiums are amortized and
discounts are accreted as adjustments to interest income and the identified cost
of investments.
REPURCHASE AGREEMENTS--The Portfolio's custodian takes possession of the
collateral pledged for investments in repurchase agreements. The underlying
collateral is valued daily on a mark-to-market basis to ensure that the value,
including accrued interest, is at least equal to the repurchase price. In the
event of default of the obligation to repurchase, the Portfolio has the right to
liquidate the collateral and apply the proceeds in satisfaction of the
obligation. Under certain circumstances, in the event of default or bankruptcy
by the other party to the agreement, realization and/or retention of the
collateral may be subject to legal proceedings. The Portfolio occasionally
participates in joint repurchase agreement transactions with other funds managed
by Mitchell Hutchins Asset Management Inc. ("Mitchell Hutchins"), a wholly-owned
asset management subsidiary of PaineWebber Incorporated ("PaineWebber") and
investment advisor and administrator of the Portfolio.
DIVIDENDS AND DISTRIBUTIONS--Dividends and distributions to shareholders
are recorded on the ex-dividend date. The amount of dividends and distributions
are determined in accordance with federal income tax regulations, which may
differ from generally accepted accounting principles. These "book/tax"
differences are either considered temporary or permanent in nature. To the
extent these differences are permanent in nature, such amounts are reclassified
within the capital accounts based on their federal tax-basis treatment;
temporary differences do not require reclassification.
CONCENTRATION OF RISK
The ability of the issuers of debt securities held by the Portfolio to meet
its obligations may be affected by economic developments particular to a
specific industry or region.
INVESTMENT ADVISER AND ADMINISTRATOR
The Trust has entered into an Investment Advisory and Administration
Contract ("Advisory Contract") with Mitchell Hutchins. In accordance with the
Advisory Contract, the Portfolio pays Mitchell Hutchins an investment advisory
and administration fee, which is accrued daily and paid monthly at an annual
rate of 0.35% of the Portfolio's average daily net assets. At January 31, 2000
the Portfolio did not owe Mitchell Hutchins for investment advisory or
administration fees.
For the six months ended January 31, 2000, Mitchell Hutchins agreed to
waive $99,656 of its investment advisory and administration fees and reimburse
the Portfolio $27,004 for certain operating expenses.
6
<PAGE>
NOTES TO FINANCIAL STATEMENTS (unaudited)
OTHER LIABILITIES
At January 31, 2000, the Portfolio had dividends payable aggregating
$117,711 and a payable for shares of beneficial interest repurchased of
$2,171,916.
FEDERAL TAX STATUS
The Portfolio intends to distribute substantially all of its taxable income
and to comply with the requirements of the Internal Revenue Code applicable to
regulated investment companies. Accordingly, no provision for federal income
taxes is required. In addition, by distributing during each calendar year
substantially all of its net investment income, capital gains and certain other
amounts, if any, the Portfolio intends not to be subject to a federal excise
tax.
MONEY MARKET FUND BOND
Effective September 30, 1999, the Portfolio obtained an insurance bond that
provides limited coverage for certain loss events involving certain money market
instruments held by the Portfolio. These loss events include non-payment of
principal or interest or a bankruptcy or insolvency of the issuer or credit
enhancement provider (if any). The insurance bond provides for coverage up to
$200 million for a number of funds with a deductible of 10 basis points (0.10%)
of the total assets of the Portfolio for First Tier Securities and 50 basis
points (0.50%) of the total assets of the Portfolio for Second Tier Securities,
in each case determined as of the close of business on the first business day
prior to the loss event. In the event of a loss covered under the bond, the
Portfolio would expect to retain the security in its portfolio, rather than
having to sell it at its current market value, until the date of payment of the
loss, which is generally no later than the maturity of the security. While the
policy is intended to provide some protection against credit risk and to help
the Portfolio maintain a constant price per share of $1.00, there is no
guarantee that the insurance will do so. For the period September 30, 1999
through January 31, 2000, the Portfolio did not use this insurance bond.
SHARES OF BENEFICIAL INTEREST
There are an unlimited amount of $0.001 par value shares of beneficial
interest authorized. Transactions in shares of beneficial interest, at $1.00 per
share, were as follows:
<TABLE>
<CAPTION>
FOR THE SIX MONTHS
ENDED FOR THE
JANUARY 31, 2000 YEAR ENDED
(UNAUDITED) JULY 31, 1999
------------------- ---------------
<S> <C> <C>
Shares sold ................................................................. 51,871,360 73,861,364
Shares redeemed ............................................................. (41,398,691) (53,636,534)
Dividends reinvested ........................................................ 1,405,167 1,455,251
----------- ----------
Net increase in shares outstanding .......................................... 11,877,836 21,680,081
----------- ----------
----------- ----------
</TABLE>
7
<PAGE>
PAINEWEBBER PACE MONEY MARKET INVESTMENTS
FINANCIAL HIGHLIGHTS
Selected data for a share of beneficial interest outstanding throughout each
period is presented below:
<TABLE>
<CAPTION>
FOR THE FOR THE YEARS ENDED
SIX MONTHS ENDED JULY 31, FOR THE PERIOD
JANUARY 31, 2000 ------------------------- ENDED
(UNAUDITED) 1999 1998 1997 JULY 31, 1996+
----------------- -------- -------- -------- ---------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period ........................... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- -------
Net investment income .......................................... 0.03 0.05 0.05 0.05 0.05
------- ------- ------- ------- -------
Dividends from net investment income ........................... (0.03) (0.05) (0.05) (0.05) (0.05)
------- ------- ------- ------- -------
Net asset value, end of period ................................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- -------
------- ------- ------- ------- -------
Total investment return (1) .................................... 2.55% 4.85% 5.32% 5.13% 4.75%
------- ------- ------- ------- -------
------- ------- ------- ------- -------
Ratios/Supplemental Data:
Net assets, end of period (000's) .............................. $59,052 $47,174 $25,493 $16,070 $10,221
Expenses to average net assets, net of fee
waivers and expense reimbursements .......................... 0.50%* 0.50% 0.50% 0.50% 0.50%*
Expenses to average net assets, before fee
waivers and expense reimbursements .......................... 0.95%* 1.07% 1.20% 1.89% 2.40%*
Net investment income to average net assets,
net of fee waivers and expense reimbursements ............... 5.10%* 4.70% 5.20% 5.04% 4.93%*
Net investment income to average net assets,
before fee waivers and expense reimbursements .............. 4.65%* 4.13% 4.50% 3.65% 3.03%*
</TABLE>
- ------------------------
+ For the period August 24, 1995 (commencement of operations) through July
31, 1996.
* Annualized.
(1) Total investment return is calculated assuming a $1,000 investment on the
first day of each period reported, reinvestment of all dividends at net
asset value on the payable dates, and a sale at net asset value on the last
day of each period reported. The figures do not include the PACE Program
fee; results would be lower if this fee was included. Total investment
return for periods of less than one year has not been annualized.
8
<PAGE>
- -------------------------------------------------------------------------------
TRUSTEES
E. Garrett Bewkes, Jr.
CHAIRMAN
Margo N. Alexander
David J. Beaubien
Bruce A. Bursey
William W. Hewitt, Jr.
Morton L. Janklow
J. Richard Sipes
William D. White
M. Cabell Woodward, Jr.
PRINCIPAL OFFICERS
Margo N. Alexander
PRESIDENT
Victoria E. Schonfeld
VICE PRESIDENT AND SECRETARY
Dianne E. O'Donnell
VICE PRESIDENT AND
ASSISTANT SECRETARY
Paul H. Schubert
VICE PRESIDENT AND TREASURER
Emil Polito
VICE PRESIDENT
INVESTMENT ADVISER,
ADMINISTRATOR AND DISTRIBUTOR
Mitchell Hutchins Asset Management Inc.
51 West 52nd Street
New York, New York 10019
THE FINANCIAL INFORMATION INCLUDED HEREIN IS TAKEN FROM THE RECORD OF THE
PORTFOLIO WITHOUT EXAMINATION BY INDEPENDENT AUDITORS WHO DO NOT EXPRESS AN
OPINION THEREON.
THIS REPORT IS NOT TO BE USED IN CONNECTION WITH THE OFFERING OF SHARES OF THE
PORTFOLIO UNLESS ACCOMPANIED OR PRECEDED BY AN EFFECTIVE PROSPECTUS.
<PAGE>
PAINEWEBBER
-C-2000 PAINEWEBBER INCORPORATED
All rights reserved
Member SIPC
