Great Plains
FUNDS
COMBINED SEMI-ANNUAL
REPORT FOR
Great Plains Equity Fund
Great Plains International Equity Fund
Great Plains Premier Fund
Great Plains Intermediate Bond Fund
Great Plains Tax-Free Bond Fund
Investment Adviser's Message
- -------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Semi-Annual Report to Shareholders for the Great
Plains Funds. This report covers the six-month period from September 1, 1998
through February 28, 1999. It gives you a complete picture of your fund,
beginning with an overview by the fund's portfolio manager, followed by a
complete listing of fund holdings and the financial statements.
A performance overview of each fund follows.
Great Plains Equity Fund
This Fund offers an "all around" approach to stock investing. It pursues total
return (current income and capital appreciation) over the long term by investing
in large and medium-capitalization U.S. and foreign stocks.*
Over the reporting period, the Fund delivered a total return of 14.70% (11.31%
adjusted for the sales charge).** The major contributor to the Fund's total
return was a $0.79 per share increase in net asset value, as the Fund's net
asset value rose from $9.84 on the first day of the reporting period to $10.63
on the last day. Shareholders also received dividend income totaling $0.03 per
share and capital gains totaling $0.62 per share. Fund assets totaled $183.2
million at the end of the reporting period.
Great Plains International Equity Fund
The newest addition to the Great Plains Funds, this Fund offers long-term
investors the opportunity to participate in the growth of dynamic
international stock markets. It can be a complement to U.S. stock holdings,
because U.S. and foreign stocks tend to perform in different cycles.*
Since the Fund began operation on September 8, 1998 through February 28, 1999,
it delivered a total return of 6.59% (3.39% adjusted for the sales charge).**
The Fund's net asset value increased from $10.00 at inception to $10.30 on the
last day of the reporting period. Shareholders also received capital gains
totaling $0.35 per share. Fund assets totaled $61.3 million at the end of the
reporting period.
Great Plains Premier Fund
Designed for the more aggressive stock investor, this Fund pursues total return
(current income and capital appreciation) by investing in small- capitalization
U.S. and foreign common stocks.*+ Over the reporting period, the Fund produced a
total return of 4.56% (1.46% adjusted for the sales charge).** The Fund paid a
capital gain of $0.77 per share, and dividends totaling $0.01 per share. The net
asset value declined from $8.83 to $8.47. Fund assets totaled $22.9 million at
the end of the reporting period.
* International investing involves additional risks including currency risk,
increased volatility of foreign securities and differences in auditing and
other financial standards.
** Performance quoted represents past performance and is not indicative of
future results. Investment return and principal value will fluctuate, so
that an investor's shares, when redeemed, may be worth more or less than
their original cost.
+ Small-cap stocks have historically experienced greater volatility than
average.
- -------------------------------------------------------------------------------
Great Plains Intermediate Bond Fund
This bond fund offers income and a less aggressive approach to total return than
stocks. It invests in a diverse range of intermediate-term bonds issued by U.S.
and international corporations and governments. Over the reporting period, this
portfolio produced a total return of 0.91% (-2.11% adjusted for the sales
charge)* through $0.29 per share in dividend income. Due to a decline in the
market value of some of the Fund's holdings, the Fund's net asset value declined
from $10.36 to $10.17 per share. Fund net assets totaled $134.4 million at the
end of the reporting period.
Great Plains Tax-Free Bond Fund
Designed for the tax-sensitive income investor, this Fund pursues current income
exempt from federal regular income tax and, secondarily, exempt from Nebraska
regular income tax.** It invests primarily in intermediate to long-term,
investment-grade bonds issued by municipalities in Nebraska and other states.
During the reporting period, the Fund achieved a total return of 2.05% (-0.98%
adjusted for the sales charge)* through dividend income totaling $0.21 per share
and a capital gain of $0.01 per share. Net asset value decreased a minimal
$0.01. The Fund's net assets totaled $68.9 million at the end of the reporting
period.
Thank you for joining other investors across the mid-west who are pursuing their
financial goals through the quality management of the Great Plains Funds. We
will continue to update you on the progress of your investments.
Sincerely,
/s/ James Stuart, III /s/ H. Cameron Hinds
- ------------------------------------- -------------------------------------
James Stuart, III H. Cameron Hinds
Chairman & Chief Executive Officer President & Chief Investment Officer
First Commerce Investors First Commerce Investors
Investment Adviser to Great Plains Investment Adviser to Great Plains
Funds Funds
April 15, 1999
* Performance quoted represents past performance and is not indicative of
future results. Investment return and principal value will fluctuate, so
that an investor's shares, when redeemed, may be worth more or less than
their original cost.
** Income may be subject to the federal alternative minimum tax.
Investment Review
- -------------------------------------------------------------------------------
Great Plains Equity Fund
The stock market environment continues to look very positive on the surface. The
Standard & Poor's 500 Index ("S&P 500")* has produced 20% or better returns four
calendar years in a row. This has never occurred before. As of the end of
February, the S&P 500 was up 19.7% on a total return basis for the year.
However, beyond the largest 100 stocks, stock performance is actually quite
disappointing. A broader measure of the stock market, the Value Line Arithmetic
Average** was down 6.3% for the year ended February 28, 1999. Most of the
largest 100 stocks appear to be over valued on a long-term basis. Despite the
development of a "two-tiered market", the basic fundamental background continues
to be positive. Inflation is low, interest rates remain reasonably low and the
U.S. economy is surprisingly strong.
Performance for the Great Plains Equity Fund continues to be good. For the
fiscal year ended February 28, 1999, the Fund had a total return,*** based on
net asset value, of 3.79%+ relative to 5.30% for the Lipper Growth and Income
Fund Index.++ For the three year period ended February 28, 1999, the Fund had an
annual average total return, based on net asset value, of 19.04% (17.83%
adjusted for the sales charge) relative to 18.02% for the Lipper Growth and
Income Fund Index. The Fund is currently 96.35% invested in equities. As always,
we continue to closely monitor the operating fundamentals of our stock holdings,
attempting to own high quality business franchises with excellent long-term
growth prospects. We are also continuously assessing the valuation prospects for
our companies, looking for opportunities to improve the long-term performance
for our shareholders.
Great Plains International Equity Fund
Many major stock markets around the world showed substantial resilience over the
past six-month period. Despite problems in emerging countries, as well as
continued weakness in Japan, most major stock market indices were up during this
time period. For example, the Brazilian market declined substantially in January
following the devaluation of the Real but has since surged upward, surpassing
levels reached in the fourth quarter of 1998 despite the severe recession that
is developing there. Even the Japanese market is staging a rebound. While the
economy in Japan remains very weak, plagued by overcapacity and poor consumer
sentiment, recent restructuring and merger news from corporations has helped to
propel the market upward. European markets also turned in, for the most
* The Standard & Poor's 500 Index is an unmanaged market capitalization-
weighted index of 500 stocks designed to measure performance of the broad
domestic economy through changes in the aggregate market value of 500 stocks
representing all major industries. This index is unmanaged and investments
cannot be made in an index.
** The Value Line Arithmetic Average is an equal weighted index of the Value
Line stock universe calculated on a principal only basis. This index is
unmanaged and investments cannot be made in an index.
*** The Equity Fund's total return for the year ended February 28, 1999, based
on offering price was 0.66%. The Equity Fund's total returns for the five
year period ended February 28, 1999, based on net asset value and offering
price, were 17.53% and 16.81%, respectively. The Equity Fund's total returns
for the ten year period ended February 28, 1999, based on net asset value
and offering price, were 13.76% and 13.41%, respectively. The quoted
performance data includes performance of a common trust fund advised by
First Commerce Investors, Inc., for the period before the date on which the
fund commenced operations (9/26/97), as adjusted to reflect the fund's
anticipated expenses as set forth in the "Expenses of the Fund" section of
the fund's initial prospectus. The common trust fund was not registered
under the Investment Company Act of 1940 (the "1940 Act"), and therefore was
not subject to certain investment restrictions that are imposed by the 1940
Act. If the common trust fund had been registered under the 1940 Act, the
performance may have been adversely affected.
+ Performance quoted represents past performance and is not indicative of
future results. Investment return and principal value will fluctuate, so
that an investor's shares, when redeemed, may be worth more or less than
their original cost.
++ Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling
into the respective categories indicated. These figures do not reflect sales
charges.
part, positive returns despite the slowing of many of the major European
economies. Global growth overall appears to be slowing somewhat now as U.S.
growth alone is not sufficient to offset weakness abroad.
Since inception, the Great Plains International Equity Fund has provided a total
return of 6.59% (3.39% adjusted for the sale charge). The Fund is currently 90%
invested in stocks while the balance is invested in cash equivalents. The Fund
owns shares in 18 companies, primarily in Western Europe. Our goal is to buy
high-quality companies that sell at a substantial discount to our estimate of
their true economic value. While the near-term global economic outlook remains
difficult to predict and fraught with pitfalls, stocks with long-term values
tend to appear in time of difficulty or uncertainty. We will continue to perform
thorough fundamental research on companies in an attempt to identify exceptional
long-term values in which to invest.
Great Plains Premier Fund
Small company mutual funds have continued to struggle relative to large company
funds over the past year. A large percentage of new assets are flowing into the
large cap index funds, while the average small-cap fund is experiencing fund
withdrawals. This has continued to drive down prices and valuations for many
small company stocks. While the average company in the Standard & Poor's 100
Composite Stock Index* sells at over 40x 1999 estimated earnings, it is not
uncommon to find small companies with solid balance sheets and better than
average growth prospects selling at under 10x 1999 estimated earnings. On a
longer term basis, we believe the return prospects for small cap stock funds,
including the Great Plains Premier Fund, are very good.
While we have been disappointed in the absolute performance of the Great Plains
Premier Fund, we have been pleased with the relative performance. For the fiscal
year ended February 28, 1999, the Fund had a total return, based on net asset
value, of negative 10.88%,** relative to a negative 13.19% for the Lipper Small
Cap Fund Index.*** For the three-year period ended February 28, 1999, the Fund
had an annual average total return, based on net asset value, of 12.17% (11.04%
adjusted for the sales charge) relative to 5.35% for the Lipper Small-Cap Fund
Index. The fund is currently 93.57% invested in equities. We have been
successful in continuing to identify high quality growing companies that trade
within our valuation parameters. We continue to define "small cap" holdings as
those firms with a market capitalization of less than $1 billion. The weighted
average market capitalization for the holdings in the Great Plains Premier Fund
was approximately $589 million as of February 28, 1999.
* The Standard & Poor's 100 Composite Stock Index is a composite index of
common stocks in industry, transportation, and financial and public utility
companies and can be used to compare the total returns of funds whose
portfolios are invested primarily in common stocks. This index is unmanaged
and investments cannot be made in an index.
** The Premier Fund's total return for the year ended February 28, 1999, based
on offering price was (13.55%). The Premier Fund's total returns for the
five year period ended February 28, 1999, based on net asset value and
offering price, were 12.78% and 12.10%, respectively. The Premier Fund's
total returns for the ten year period ended February 28, 1999, based on net
asset value and offering price, were 10.27% and 9.93%, respectively. The
quoted performance data includes performance of a common trust fund advised
by First Commerce Investors, Inc., for the period before the date on which
the fund commenced operations (9/26/97), as adjusted to reflect the fund's
anticipated expenses as set forth in the "Expenses of the Fund" section of
the fund's initial prospectus. The common trust fund was not registered
under the Investment Company Act of 1940 (the "1940 Act"), and therefore
was not subject to certain investment restrictions that are imposed by the
1940 Act. If the common trust fund had been registered under the 1940 Act,
the performance may have been adversely affected.
*** Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling
into the respective categories indicated. These figures do not reflect sales
charges.
Great Plains Intermediate Bond Fund
The taxable bond markets have been moving to higher interest rates since
reaching record low levels in early October 1997. Since then interest rates on
U.S. Treasury bonds have risen 0.5% to 1.0% depending upon the maturity, with
longer bonds rising less in yield. The Federal Reserve Bank has maintained its
monetary policy over the last several months, although the bond markets have
attempted to interpret everything any member of the Federal Reserve says as an
indication of whether the Federal Reserve will tighten its credit reins or
remain on hold. Domestic economic statistics have shown that the U.S. economy
remains robust, unlike most of our international trading partners. While the
U.S. economy continues to expand at a pace exceeding most economists'
expectations, inflation measures continue to show that inflation remains tame;
although inflation in 1999 may be slightly higher than in 1998. Most economists,
though, are still expecting the U.S. economy to fade later in the year, which
could be the impetus for interest rates to subside a bit from the current
levels.
Going into the time period when interest rates started to back up in yield, the
Great Plains Intermediate Bond Fund was structured to benefit from a continued
reduction in interest rates, but in recent months the Fund has been restructured
modestly so that it is affected less by rising interest rates. The Fund's
average maturity is now 8.2 years, which is 1.4 years shorter than it was before
rates started rising. The Fund's duration, is now 4.6 years versus 5.3 years
before rates rose. Even though the Fund's average maturity has been shortened
up, its performance has been almost flat on a total return basis for the last
six months at 0.91%, based on net asset value (-2.11% adjusted for the sale
charge). By way of comparison, the Lipper Intermediate Government Mutual Fund
Index* had a 0.89% total return for the same time period. Over the last 12
months, the Fund has had a total return of 5.79%,** based on net asset value,
versus 5.49% for the Lipper Intermediate Government Mutual Fund Index. Over the
last three years the Great Plains Intermediate Bond Fund has had an annualized
total return of 6.71%, based on net asset value (5.63% adjusted for the sales
charge), which compares to the same Lipper Index annualized return of 6.38% for
the same time period.
Great Plains Tax-Free Bond Fund
The municipal market has followed its own path over the last six months. After
Treasury bond yields reached record lows in October 1998 and began rising,
municipal yields have bounced around a little but have not risen like their
taxable counterparts. While the municipal bond market has continued to pay
attention to the ever changing economic environment, municipal yields were so
attractive last October and November versus alternative fixed income investments
that the municipal bond market has had a more modest yield correction. Besides
the relative attractiveness of municipal bond yields, the lack of supply and an
almost constant demand for tax-sheltered investments has helped keep municipal
bond yields from rising.
* Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling
into the respective categories indicated. These figures do not reflect sales
charges.
** The Intermediate Bond Fund's total return for the year ended February 28,
1999, based on offering price was 2.66%. The Intermediate Bond Fund's total
returns for the five year period ended February 28, 1999, based on net asset
value and offering price, were 4.79% and 4.15%, respectively. The
Intermediate Bond Fund's total returns for the ten year period ended February
28, 1999, based on net asset value and offering price, were 5.90% and 5.58%,
respectively. The quoted performance data includes performance of a common
trust fund advised by First Commerce Investors, Inc., for the period before
the date on which the fund commenced operations (9/26/97), as adjusted to
reflect the fund's anticipated expenses as set forth in the "Expenses of the
Fund" section of the fund's initial prospectus. The common trust fund was not
registered under the Investment Company Act of 1940 (the "1940 Act"), and
therefore was not subject to certain investment restrictions that are imposed
by the 1940 Act. If the common trust fund had been registered under the 1940
Act, the performance may have been adversely affected.
Over the last six months, the Fund has attempted to hold onto its higher
yielding securities as long as possible before they get called away or mature.
Through this process of holding older higher coupon bonds, the Fund is able to
provide a higher tax-sheltered income distribution to the shareholders, rather
than generating taxable gains in a restructuring of the Fund into lower coupon
bonds. Nevertheless when bonds mature, we have been redeploying the proceeds
into longer, higher yielding securities. But during the last six months the
average maturity of the Fund has not changed much and still remains slightly
over eight years while its duration is still 4.3 years. The Fund has also
maintained its Nebraska orientation when selecting new securities for the
portfolio and currently has about 57% of its assets in Nebraska exempt
securities. Over the last six months, the Fund's total return was 2.05%, based
on net asset value (-0.98% adjusted for the sales charge). This is slightly
below national benchmarks like the Lipper Intermediate Municipal Bond Mutual
Fund Index* at 2.25%. Over the last year, the Fund has had a total return of
4.64%**, based on net asset value, versus 5.29% for the Lipper Intermediate
Municipal Bond Mutual Fund Index. Over the last three years, the Great Plains
Tax-Free Bond Fund has had an annualized total return of 4.81%, based on net
asset value (3.75% adjusted for the sales charge), which compares to the same
Lipper Index annualized return of 5.70% for the same time period.
* Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling
into the respective categories indicated. These figures do not reflect sales
charges.
** The Tax-Free Bond Fund's total return for the year ended February 28, 1999,
based on offering price was 1.52%. The Tax-Free Bond Fund's total returns for
the five year period ended February 28, 1999, based on net asset value and
offering price, were 4.79% and 4.15%, respectively. The Tax-Free Bond Fund's
total returns for the ten year period ended February 28, 1999, based on net
asset value and offering price, were 5.90% and 5.58, respectively. The quoted
performance data includes performance of a common trust fund advised by First
Commerce Investors, Inc., for the period before the date on which the fund
commenced operations (9/26/97), as adjusted to reflect the fund's anticipated
expenses as set forth in the "Expenses of the Fund" section of the fund's
initial prospectus. The common trust fund was not registered under the
Investment Company Act of 1940 (the "1940 Act"), and therefore was not
subject to certain investment restrictions that are imposed by the 1940 Act.
If the common trust fund had been registered under the 1940 Act, the
performance may have been adversely affected.
Great Plains Equity Fund
Portfolio of Investments
February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
------- -------------------------------------------------------- ------------
<C> <S> <C>
Common Stocks (62.8%)
Automotive (2.0%)
209,600 (1) Keystone Automotive Industries, Inc................. $ 3,720,400
------------
Chemicals (2.2%)
120,470 Hanna (M.A.) Co......................................... 1,325,170
154,350 Lilly Industries, Inc., Class A......................... 2,633,597
------------
Total........................................................... 3,958,767
------------
Computer Services (3.4%)
276,000 Wallace Computer Services, Inc.......................... 6,244,500
------------
Consumer Services (7.2%)
171,850 Block (H&R), Inc........................................ 7,797,694
226,040 Manpower, Inc........................................... 5,410,833
------------
Total........................................................... 13,208,527
------------
Finance-Insurance (4.6%)
83,285 20th Century Industries................................. 1,592,826
95,674 Allstate Corp........................................... 3,587,775
90,530 Mercury General Corp.................................... 3,157,234
------------
Total........................................................... 8,337,835
------------
Finance-Investments (4.2%)
107 (1) Berkshire Hathaway, Inc., Class A................... 7,607,700
------------
Finance-Services (1.5%)
60,000 Fair Isaac & Co., Inc................................... 2,760,000
------------
Food & Tobacco (3.0%)
141,600 Philip Morris Cos., Inc................................. 5,540,100
------------
Government Agencies (7.6%)
79,135 Federal National Mortgage Association................... 5,539,450
143,500 Federal Home Loan Mortgage Corp......................... 8,448,562
------------
Total........................................................... 13,988,012
------------
Healthcare & Medical Supplies (1.6%)
40,800 Aetna, Inc.............................................. 3,021,750
------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount
or Shares Value
---------- ---------------------------------------------------- ------------
<C> <S> <C>
Common Stocks, continued
Leisure & Recreation (10.9%)
162,102 Carnival Corp., Class A............................. $ 7,213,539
59,800 Disney (Walt) Co.................................... 2,104,212
286,450 Hasbro, Inc......................................... 10,598,650
------------
Total.......................................................... 19,916,401
------------
Paper (0.3%)
30,000 Wausau-Mosinee Paper Corp........................... 476,250
------------
Steel (1.2%)
50,500 Nucor Corp.......................................... 2,250,406
------------
Technology (2.4%)
340,452 (1) Vishay Intertechnology, Inc. ................... 4,404,598
------------
Telecommunications (5.7%)
164,627 Alltel Corp......................................... 9,857,042
190,110 (1) SITEL Corp...................................... 558,448
------------
Total.......................................................... 10,415,490
------------
Trucking (3.2%)
327,687 Werner Enterprises, Inc............................. 5,857,405
------------
Utilities (1.8%)
119,400 (1) CalEnergy Co., Inc.............................. 3,350,662
------------
Total Common Stocks
(identified cost $83,702,022).................................. 115,058,803
------------
Mutual Fund Shares (36%)
4,677,803 Northern Institutional Diversified Assets Fund...... 4,677,803
5,952,217 Great Plains International
Equity Fund........................................ 61,307,831
------------
Total Mutual Fund Shares
(identified cost $47,387,829).................................. 65,985,634
------------
U.S. Treasury Bill (1.1%)
$2,000,000 5/6/1999
(identified cost $1,984,160)................................... 1,983,360
------------
Total Investments
(identified cost $133,074,011)................................. $183,027,797
------------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains International Equity Fund
Portfolio of Investments
February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
------- --------------------------------------------------------- -----------
<C> <S> <C>
Common Stocks (89.9%)
Automotive (9.4%)
152,517 Autoliv, Inc............................................. $ 5,795,646
-----------
Broadcasting (1.7%)
3,370 Canal Plus............................................... 1,054,437
-----------
Capital Equipment (3.1%)
165,000 ABB AB, Class A.......................................... 1,874,084
-----------
Chemicals (1.5%)
24,800 Morton International, Inc................................ 895,900
-----------
Consumer Products (6.7%)
306,710 Reckitt & Colman PLC..................................... 4,095,366
-----------
Finance-Insurance (15.3%)
115,300 20th Century Industries.................................. 2,205,113
133,260 Scor SA.................................................. 6,863,808
5,500 Scor SA, ADR............................................. 283,250
-----------
Total............................................................ 9,352,171
-----------
Healthcare & Medical Supplies (4.6%)
52,200 Pharmacia & Upjohn, Inc.................................. 2,844,900
-----------
International Oil (7.3%)
55,804 Royal Dutch Petroleum Co., ADR........................... 2,448,401
244,550 Saga Petroleum AS, Class A............................... 2,055,302
-----------
Total............................................................ 4,503,703
-----------
Machinery & Equipment (3.2%)
1,200 Schindler Holding AG..................................... 1,946,573
-----------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount
or Shares Value
---------- ------------------------------------------------------ -----------
<C> <S> <C>
Common Stocks, continued
Mining (3.6%)
130,000 De Beers Cons'D Mines, ADR............................ $ 2,226,250
-----------
Printing & Publishing (20.9%)
10,480 Edipresse SA.......................................... 2,546,393
292,800 NV Holdingmaatschappij De Telegraaf................... 7,355,514
133,700 Pearson............................................... 2,936,106
-----------
Total............................................................ 12,838,013
-----------
Technology (7.2%)
19,900 OY Nokia AB, Class A, ADR............................. 2,698,938
24,750 Philips Electronics N.V., ADR......................... 1,723,219
-----------
Total............................................................ 4,422,157
-----------
Telecommunications (5.4%)
312,378 Telecom Italia SPA.................................... 3,293,478
-----------
Total Common Stocks (identified cost $38,755,884)................ 55,142,678
-----------
Mutual Fund Shares (4.3%)
2,614,130 Northern Institutional Diversified Assets Fund
(at identified cost)............................................. 2,614,130
-----------
U.S. Treasury Bill (4.9%)
$3,000,000 4/1/1999
(identified cost $2,986,655)..................................... 2,988,570
-----------
Total Investments
(identified cost $44,356,669).................................... $60,745,378
-----------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Premier Fund
Portfolio of Investments
February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Value
------- --------------------------------------------------------- -----------
<C> <S> <C>
Common Stocks (93.6%)
Airlines (3.7%)
25,500 ASA Holdings, Inc........................................ $ 855,844
-----------
Automotive (14.4%)
90,000 (1) Keystone Automotive
Industries, Inc......................................... 1,597,500
135,450 (1) Motorcar Parts and
Accessories, Inc........................................ 1,693,125
-----------
Total............................................................ 3,290,625
-----------
Chemicals (5.7%)
28,300 Hanna (M.A.) Co.......................................... 311,300
58,000 Lilly Industries, Inc., Class A.......................... 989,625
-----------
Total............................................................ 1,300,925
-----------
Computer Services (3.5%)
35,000 Wallace Computer, Inc.................................... 791,875
-----------
Consumer Non-Durables (0.2%)
2,745 OshKosh B'Gosh, Inc., Class A............................ 52,155
-----------
Consumer Services (1.6%)
27,550 (1) Personnel Group of America, Inc...................... 363,315
-----------
Finance-Insurance (3.0%)
35,350 20th Century Industries.................................. 676,069
-----------
Finance-Services (18.0%)
42,550 Duff & Phelps Credit Rating.............................. 2,321,634
39,430 Fair Isaac & Co., Inc.................................... 1,813,780
-----------
Total............................................................ 4,135,414
-----------
Healthcare & Medical Supplies (2.1%)
13,740 (1) Corvel Corp.......................................... 487,770
-----------
International Oil (1.1%)
31,000 Saga Petroleum AS, Class A............................... 260,537
-----------
Paper (7.1%)
51,000 Schweitzer-Mauduit International, Inc.................... 599,250
65,600 Wausau-Mosinee Paper Corp................................ 1,041,400
-----------
Total............................................................ 1,640,650
-----------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount
or Shares Value
--------- ------------------------------------------------------- -----------
<C> <S> <C>
Common Stocks, continued
Printing & Publishing (9.0%)
3,800 Edipresse SA........................................... $ 923,311
45,500 NV Holdingmaatschappij De Telegraaf.................... 1,143,019
-----------
Total............................................................ 2,066,330
-----------
Technology (8.5%)
56,232 (1) New Horizons
Worldwide, Inc........................................ 1,230,075
55,932 (1)Vishay Intertechnology, Inc......................... 723,620
-----------
Total............................................................ 1,953,695
-----------
Telecommunications (5.6%)
99,490 (1) SITEL Corp......................................... 292,252
100,150 (1) West TeleServices Corp............................. 988,981
-----------
Total............................................................ 1,281,233
-----------
Transportation (4.0%)
51,825 Air Express International Corp......................... 910,177
-----------
Trucking (6.1%)
77,775 Werner Enterprises, Inc................................ 1,390,228
-----------
Total Common Stocks
(identified cost $22,055,404).................................... 21,456,842
-----------
Mutual Fund Shares (3.0%)
677,538 Northern Institutional Diversified Assets Fund
(at identified cost)............................................. 677,538
-----------
U.S. Treasury Bill (3.4%)
$800,000 5/6/1999
(identified cost $793,664)....................................... 793,344
-----------
Total Investments
(identified cost $23,526,606).................................... $22,927,724
-----------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Intermediate Bond Fund
Portfolio of Investments
February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
---------- --------------------------------------------------- -------------
<C> <S> <C>
Corporate Bonds (31.7%)
Finance (18.2%)
$2,000,000 ABN-AMRO Bank NV, Chicago, Sub. Note, 6.625%,
10/31/2001........................................ $ 2,028,160
1,000,000 AON Corp., Note, 6.30%, 1/15/2004.................. 1,005,300
1,000,000 Associates Corp. of North America, Sr. Note, 7.50%,
4/15/2002......................................... 1,045,720
2,000,000 Bayerische Landesbank-NY, Sub. Note, 6.375%,
10/15/2005........................................ 2,023,980
2,000,000 Bear Stearns Cos., Inc., Sr. Note, 7.00%, 3/1/2007. 2,001,200
1,000,000 First Data Corp., Medium Term Note, 6.375%,
12/15/2007........................................ 1,012,950
2,000,000 Ford Motor Credit Corp., Note, 6.625%, 6/30/2003... 2,043,740
1,000,000 Ford Motor Credit Corp., Note, 7.00%, 9/25/2001.... 1,027,650
1,000,000 Ford Motor Credit Corp., Note, 7.50%, 1/15/2003.... 1,049,920
2,000,000 General Motors Acceptance Corp., Note, 6.875%,
7/15/2001......................................... 2,046,720
1,000,000 IBM Credit Corp., Note, 6.20%, 8/28/2000........... 1,007,300
1,000,000 International Lease Finance Corp., Note, 6.625%,
8/15/2000......................................... 1,012,380
1,000,000 International Lease Finance Corp., Note, 6.875%,
5/1/2001.......................................... 1,020,420
2,000,000 Merrill Lynch & Co., Inc., Note, 6.25%, 1/15/2006.. 2,000,920
2,000,000 Northern Trust Corp., Sub. Note, 7.30%, 9/15/2006.. 2,079,580
2,000,000 Wells Fargo & Co., Sub. Note, 6.625%, 3/15/2003.... 2,042,700
-------------
Total......................................................... 24,448,640
-------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount Value
---------- ---------------------------------------------------- ------------
<C> <S> <C>
Corporate Bonds, continued
Industrials (10.1%)
$1,000,000 Anheuser-Busch Cos., Inc., Note, 7.00%, 9/1/2005.... $ 1,022,270
1,000,000 CPC International, Inc., Note, 6.15%, 1/15/2006..... 998,800
2,000,000 Disney (Walt) Co., Bond, 6.75%, 3/30/2006........... 2,091,180
1,500,000 General Motors Corp., Sr. Note, 6.375%, 5/1/2008.... 1,502,415
2,000,000 Philip Morris Cos., Inc., Note, 7.50%, 1/15/2002.... 2,053,940
1,500,000 Pitney Bowes, Inc., Note, 5.95%, 2/1/2005........... 1,505,820
1,500,000 Rockwell International Corp., Sr. Note, 6.15%,
1/15/2008.......................................... 1,490,775
1,000,000 Sony Corp., Bond, 6.125%, 3/4/2003.................. 1,007,210
1,000,000 Texaco Capital, Inc., Note, 5.50%, 1/15/2009........ 953,080
1,000,000 Texaco Capital, Inc., Note, 6.00%, 6/15/2005........ 1,002,480
------------
Total.......................................................... 13,627,970
------------
Utilities (3.4%)
1,000,000 GTE South, Inc., Deb., 6.00%, 2/15/2008............. 993,820
2,000,000 Lucent Technologies, Inc., Note, 6.90%, 7/15/2001... 2,059,380
1,500,000 Wisconsin Electric Power Co., Deb., 6.625%,
11/15/2006......................................... 1,560,705
------------
Total.......................................................... 4,613,905
------------
Total Corporate Bonds
(identified cost $43,076,478).................................. 42,690,515
------------
Government Agencies (24.9%)
Federal Home Loan Bank (7.9%)
1,000,000 5.50%, 8/13/2001.................................... 1,002,230
1,000,000 5.625%, 3/19/2001................................... 1,004,660
2,000,000 5.80%, 9/2/2008..................................... 1,992,780
1,000,000 7.01%, 6/14/2006.................................... 1,069,120
3,000,000 7.20%, 6/14/2011.................................... 3,301,170
2,000,000 7.70%, 9/20/2004.................................... 2,189,020
------------
Total.......................................................... 10,558,980
------------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Intermediate Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal
Amount Value
---------- ----------------------------------------------------- ------------
<C> <S> <C>
Government Agencies, continued
Federal Home Loan Mortgage Corporation (7.1%)
$1,000,000 5.75%, 7/15/2003..................................... $ 1,004,900
1,000,000 6.125%, 7/14/2003.................................... 1,000,830
2,000,000 6.48%, 12/5/2011..................................... 2,079,080
1,000,000 6.78%, 3/15/2004..................................... 1,000,520
4,000,000 7.93%, 1/20/2005..................................... 4,427,760
------------
Total........................................................... 9,513,090
------------
Federal National Mortgage Association (7.4%)
1,000,000 5.75%, 6/15/2005..................................... 1,004,080
1,000,000 5.91%, 8/25/2003..................................... 999,210
1,000,000 6.14%, 11/25/2005.................................... 1,020,850
1,000,000 6.22%, 3/13/2006..................................... 1,022,210
1,000,000 6.44%, 6/21/2005..................................... 1,035,720
1,000,000 7.93%, 2/14/2025..................................... 1,218,790
2,000,000 8.20%, 3/10/2016..................................... 2,433,700
1,000,000 8.43%, 11/18/2024.................................... 1,281,600
------------
Total........................................................... 10,016,160
------------
Student Loan Marketing Association (2.5%)
3,000,000 7.30%, 8/1/2012...................................... 3,346,890
------------
Total Government Agencies
(identified cost $30,752,336)................................... 33,435,120
------------
Mortgage Backed Securities (15.8%)
Federal Home Loan Mortgage Corporation (9.6%)
540,986 6.50%, 3/1/2003...................................... 548,425
1,082,283 6.50%, 4/1/2003...................................... 1,097,164
1,214,947 6.50%, 9/1/2010...................................... 1,224,825
1,558,579 6.50%, 2/1/2011...................................... 1,571,251
1,256,206 6.50%, 2/1/2011...................................... 1,266,419
1,500,504 6.50%, 1/1/2026...................................... 1,492,536
542,116 7.00%, 6/1/2003...................................... 553,468
849,398 7.00%, 3/1/2011...................................... 867,184
1,580,264 7.00%, 12/1/2011..................................... 1,613,355
861,539 7.00%, 8/1/2015...................................... 881,191
385,242 7.50%, 5/1/2000...................................... 392,947
969,348 7.50%, 5/1/2016...................................... 996,306
354,373 8.00%, 7/1/1999...................................... 356,254
------------
Total........................................................... 12,861,325
------------
Federal National Mortgage Association (3.3%)
874,370 7.00%, 8/1/2001...................................... 893,772
1,395,150 7.00%, 3/1/2004...................................... 1,426,108
1,410,604 7.00%, 5/1/2016...................................... 1,442,780
714,953 8.00%, 7/1/2014...................................... 751,373
------------
Total........................................................... 4,514,033
------------
</TABLE>
<TABLE>
<CAPTION>
Principal
Amount
or Shares Value
---------- ----------------------------------------------------- ------------
<C> <S> <C>
Mortgage Backed Securities, continued
Government National Mortgage Association (2.9%)
$2,425,748 6.50%, 2/20/2026..................................... $ 2,403,018
1,063,950 7.50%, 8/20/2025..................................... 1,090,549
61,824 8.50%, 8/15/2016..................................... 65,611
91,527 8.50%, 8/15/2016..................................... 97,133
34,400 9.00%, 1/15/2004..................................... 36,142
44,667 9.00%, 2/15/2017..................................... 47,710
26,483 9.00%, 9/15/2019..................................... 28,287
59,960 9.00%, 9/15/2019..................................... 64,045
9,158 10.00%, 4/15/2001.................................... 9,662
7,444 10.00%, 9/15/2003.................................... 7,853
------------
Total........................................................... 3,850,010
------------
Total Mortgage Backed Securities (identified cost $20,871,654).. 21,225,368
------------
U.S. Treasury Securities (21.1%)
3,000,000 5.875%, 2/15/2004.................................... 3,079,560
1,000,000 6.25%, 2/15/2003..................................... 1,033,880
2,000,000 6.25%, 2/15/2007..................................... 2,106,140
1,000,000 6.50%, 5/15/2005..................................... 1,059,420
1,000,000 7.00%, 7/15/2006..................................... 1,094,930
1,000,000 7.25%, 8/15/2004..................................... 1,089,420
3,250,000 7.50%, 11/15/2001.................................... 3,435,282
1,500,000 7.50%, 2/15/2005..................................... 1,661,100
2,700,000 7.875%, 11/15/2004................................... 3,028,374
600,000 8.00%, 5/15/2001..................................... 634,788
1,000,000 8.00%, 11/15/2021.................................... 1,269,640
550,000 8.25%, 5/15/2005..................................... 568,403
2,000,000 8.75%, 5/15/2020..................................... 2,702,280
2,500,000 8.75%, 8/15/2000..................................... 2,625,400
2,600,000 9.125%, 5/15/2009.................................... 3,018,834
------------
Total U.S. Treasury Securities
(identified cost $26,785,655)................................... 28,407,451
------------
Commercial Paper (1.5%)
2,000,000 General Electric Capital Corp.
(at identified cost)............................................ 1,992,471
------------
Mutual Fund Shares (4.1%)
5,000,907 Northern Institutional Diversified Fund
(at identified cost)............................................ 5,500,907
------------
Total Investments
(identified cost $128,979,501).................................. $133,251,832
------------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
Portfolio of Investments
February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals (96.6%)
Arizona (1.2%)
$ 500,000 Arizona State Transportation Board, Revenue
Bonds, 5.25%, 7/1/2007.................... AAA $ 535,595
300,000 Tempe, AZ, GO, 6.00%, 7/1/2005............. AA+ 322,992
-----------
Total................................................. 858,587
-----------
California (1.0%)
150,000 California Health Facilities Financing
Authority, Revenue Bonds, (CedarKnoll,
Inc.)/(California Mortgage Insurance INS),
7.20%, 8/1/2002........................... A+ 161,263
500,000 Los Angeles, CA, Department of Water &
Power, 6.75%, 5/15/1999................... A+ 504,185
-----------
Total................................................. 665,448
-----------
Florida (1.2%)
300,000 Daytona Beach, FL, Revenue Bonds, (AMBAC),
5.30%, 11/15/2001......................... AAA 314,871
450,000 Florida State Board of Education
Administration, GO, 5.40%, 6/1/2004....... AA+ 478,926
-----------
Total................................................. 793,797
-----------
</TABLE>
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Illinois (3.1%)
$ 500,000 Central Lake County, IL, Joint Action Water
Agency, Revenue Bonds, (FGIC), 5.40%,
5/1/2007.................................. AAA $ 541,325
400,000 Chicago, IL, Metropolitan Water Reclamation
District, GO, Bonds, 5.45%, 12/1/2001..... AA 420,732
500,000 Illinois State, GO, 5.40%, 4/1/2006........ AA 537,855
600,000 Palatine, IL, Revenue Bonds, (FNMA COL),
5.50%, 12/1/2026.......................... AAA 630,708
-----------
Total................................................. 2,130,620
-----------
Indiana (1.5%)
1,000,000 Indiana Municipal Power Agency, Revenue
Bonds, (MBIA), 5.30%, 1/1/2020............ AAA 1,005,650
-----------
Iowa (2.8%)
345,000 Cedar Rapids, IA, GO, 5.00%, 6/1/2008...... Aaa 353,898
500,000 Sioux City, IA, GO, 6.20%, 6/1/2004........ AA- 545,290
1,000,000 University of Iowa, University and College
Improvements Revenue Bonds, (Medical
Education and Biomed Facilities
Project)/(AMBAC), 5.10%, 6/1/2018......... AAA 1,008,000
-----------
Total................................................. 1,907,188
-----------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Maine (0.4%)
$ 250,000 Maine State, GO, 5.40%, 3/1/2000........... AA+ $ 255,692
-----------
Maryland (0.5%)
300,000 Baltimore, MD, Revenue Bonds, (FGIC),
5.80%, 7/1/2002........................... AAA 320,670
-----------
Massachusetts (1.6%)
1,000,000 Commonwealth of Massachusetts, 5.50%,
6/15/2014................................. Aa3 1,073,840
-----------
Michigan (0.9%)
400,000 Maruette & Baraga Counties, MI, Nice
Community School District, GO, (MBIA),
5.25%, 5/1/2008........................... AAA 421,904
200,000 Wayne Westland Community Schools, MI, GO
Bonds, (Q-SBLF), 5.00%, 5/1/2002.......... AA 202,444
-----------
Total................................................. 624,348
-----------
Minnesota (2.3%)
1,000,000 Minneapolis Special School District No. 1,
MN, GO, 5.00%, 2/1/2010................... AA+ 1,040,020
500,000 North St. Paul-Maplewood, MN, ISD 622,
(MBIA), 6.10%, 2/1/2004................... AAA 550,800
-----------
Total................................................. 1,590,820
-----------
Missouri (1.5%)
500,000 Missouri State, GO, 5.00%, 8/1/2003........ AAA 522,140
</TABLE>
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Missouri, continued
$ 500,000 St. Charles, MO, Public Facilities
Authority, (AMBAC), 5.00%, 2/1/2001....... AAA $ 514,605
-----------
Total................................................. 1,036,745
-----------
Nebraska (54.7%)
1,000,000 American Public Energy Agency, NE, Revenue
Bonds, (Nebraska Public Gas Agency)/
(AMBAC), 4.30%, 3/1/2011.................. AAA 969,220
1,000,000 Cass County, NE, School District No. 1, GO,
(AMBAC), 5.00%, 12/15/2014................ AAA 1,004,520
300,000 Cass County, NE, School District No. 1, GO,
(Plattsmouth Community Schools)/(FGIC),
6.25%, 12/1/2014.......................... AAA 308,130
300,000 Cornhusker, NE, Public Power District,
Revenue Bonds, 5.20%, 3/1/2003............ A+ 315,933
1,450,000 Douglas County, NE, Hospital Authority No.
2, (Immanuel Medical Center)/
(AMBAC), 5.125%, 9/1/2012................. AAA 1,504,926
500,000 Douglas County, NE, Hospital Authority No.
2, Revenue Bonds, (Catholic Health Corp.)/
(MBIA), 5.00%, 1/15/2000.................. AAA 513,505
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- -------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Nebraska, continued
$1,000,000 Douglas County, NE, School District No. 17,
GO Bonds, (FGIC), 5.00%, 11/15/2013........ AAA $ 1,016,180
750,000 Douglas County, NE, School District No. 17,
GO, 5.30%, 10/1/2007....................... A+ 776,115
500,000 Douglas County, NE, School District No. 17,
GO, (MBIA), 5.50%, 6/15/2004............... AAA 509,325
300,000 Douglas County, NE, GO, 4.95%, 7/1/2003..... AA+ 310,362
400,000 Douglas County, NE, Revenue Bonds, (Joslyn
Museum)/ (Norwest Bank LOC), 4.75%,
5/1/2000................................... AA 406,608
520,000 Gage County, NE, School District No. 15, GO,
(AMBAC), 5.50%, 12/15/2009................. AAA 545,033
500,000 Grand Island, NE, Revenue Bonds, 5.60%,
4/1/2006................................... A 538,145
500,000 Grand Island, NE, Revenue Bonds, 5.75%,
4/1/2007................................... A 539,255
200,000 Grand Island, NE, Revenue Bonds, (Refunded),
6.00%, 9/1/2000............................ A+ 205,038
500,000 Hall County, NE, School District No. 2, GO,
4.70%, 12/1/2003........................... A1 507,835
500,000 Hall County, NE, School District No. 2, GO,
4.70%, 12/1/2005........................... A1 507,755
</TABLE>
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- --------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Nebraska, continued
$ 400,000 Hall County, NE, School District No. 2, GO,
5.00%, 8/15/2008............................ A1 $ 407,756
500,000 Hastings, NE, Revenue Bonds, 4.65%, 1/1/2004. A 516,505
300,000 Hastings, NE, Revenue Bonds, 5.20%, 1/1/2000. A 304,974
1,000,000 Lancaster County, NE, Hospital Authority No.
1, Revenue Bonds, (Bryan Memorial Hospital
Project)/(MBIA), 5.10%, 6/1/2010............ AAA 1,044,220
250,000 Lancaster County, NE, Hospital Authority No.
1, Revenue Bonds, (MBIA), 5.90%, 6/1/2000... AAA 258,422
2,000,000 Lancaster County, NE, School District No. 1,
GO, (Lincoln Public Schools), 5.00%,
1/15/2009................................... AAA 2,092,660
600,000 Lancaster County, NE, School District No. 145
Waverly, GO, (AMBAC), 5.70%, 12/1/2016...... AAA 637,398
1,500,000 Lincoln, NE, Electric Systems, 5.30%,
9/1/2009.................................... AA 1,597,170
400,000 Lincoln, NE, Electric Systems, 5.40%,
9/1/2004.................................... AA+ 429,864
500,000 Lincoln, NE, Electric Systems, 5.40%,
9/1/2010.................................... AA 536,880
300,000 Lincoln, NE, Hospital, (FSA), 5.60%,
12/1/2003................................... AAA 325,563
400,000 Lincoln, NE, Waterworks, 4.80%, 8/15/2002.... AA+ 415,188
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- -------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Nebraska, continued
$ 500,000 Lincoln, NE, Waterworks, 5.30%, 8/15/2009... AA+ $ 528,115
1,000,000 Lincoln, NE, GO, 4.75%, 8/15/2019........... AAA 975,060
300,000 Lincoln, NE, GO, 4.50%, 9/1/1999............ AAA 300,387
200,000 Lincoln, NE, GO, 4.80% , 5/1/2003........... AAA 200,174
200,000 Lincoln, NE, GO, 5.30%, 12/15/2001.......... AAA 200,304
500,000 Lincoln-Lancaster County, NE, Public
Building Commission, 5.25%, 10/15/2008..... AA+ 540,610
250,000 Lincoln-Lancaster County, NE, Public
Building Commission, 5.80%, 10/15/2018..... AA+ 269,992
400,000 Madison County, NE, School District No. 2,
GO, (AMBAC), 5.10%, 6/1/2009............... AAA 407,040
400,000 Municipal Energy Agency of Nebraska,
(AMBAC), 5.40%, 4/1/2003................... AAA 423,200
500,000 Nebraska Educational Finance Authority,
College & University
Revenue Bonds, (Creighton University
Project)/(MBIA), 5.60%, 11/1/2003.......... AAA 506,080
200,000 Nebraska Investment Finance Authority,
5.40%, 9/1/2003............................ AAA 209,280
105,000 Nebraska Investment Finance Authority, (GNMA
COL), 6.80%, 3/15/1999..................... AAA 105,138
</TABLE>
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- --------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Nebraska, continued
$ 490,000 Nebraska Investment Finance Authority, (Great
Plains Regional Medical Center Project)/
(Asset Guaranty), 5.55%, 5/15/2003.......... AA $ 521,046
360,000 Nebraska Investment Finance Authority, 6.40%,
7/1/2005.................................... A+ 390,182
1,000,000 Nebraska Investment Finance Authority,
Revenue Bonds, (AMBAC), 5.00% 8/15/2011..... AAA 1,036,320
500,000 Nebraska Public Power District, 4.80%,
1/1/2003.................................... AAA 519,405
200,000 Nebraska Public Power District, 5.40%,
1/1/2000.................................... AAA 203,884
225,000 Nebraska Public Power District, 6.00%,
1/1/2006.................................... AAA 243,511
300,000 Norris Public Power District, 4.85%,
1/1/2003.................................... A 311,544
540,000 Omaha, NE, Airport Authority, (MBIA), 5.00%,
1/1/2008.................................... AAA 568,042
475,000 Omaha, NE, Parking Facilities Corp., 5.20%,
9/15/2009................................... AA+ 507,590
500,000 Omaha, NE, Parking Facilities Corp., 5.70%,
9/15/2015................................... AA+ 540,440
500,000 Omaha, NE, Public Power District, Revenue
Bonds, 5.35%, 2/1/2001...................... Aa2 518,265
500,000 Omaha, NE, Public Power District, Revenue
Bonds, 5.10%, 2/1/2003...................... AA 524,480
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- --------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Nebraska, continued
$ 405,000 Omaha, NE, Riverfront Development Corp.,
Revenue Bonds, (Douglas County, NE, GTD),
4.60%, 12/1/2004............................ AA+ $ 405,745
500,000 Omaha, NE, School District, GO Bonds, 4.85%,
6/15/2004................................... AAA 510,350
700,000 Omaha, NE, GO, 5.25%, 12/1/2012.............. AAA 744,765
500,000 Omaha, NE, GO, 6.10%, 9/1/2004............... AAA 541,640
510,000 Omaha, NE, Revenue Bonds, 5.20%, 1/15/2002... AA 531,915
400,000 Omaha-Douglas County, NE, Public Building
Commission, GO, 5.35%, 5/1/1999............. AA 401,712
500,000 Papillion La Vista, NE, School District No.
27, GO Bonds, 4.60%, 11/1/2003.............. A+ 507,120
500,000 University of Nebraska Facilities Corp.,
(University of Nebraska Medical Center
Project), 4.90%, 1/1/2003................... AA- 518,565
1,200,000 University of Nebraska Facilities Corp.,
4.95%, 11/1/2009............................ AA- 1,245,156
700,000 University of Nebraska Facilities Corp.,
(University of Nebraska Medical Center
Project), 5.45%, 7/1/2008................... AA- 727,993
370,000 University of Nebraska, 4.60%, 5/15/2003..... A+ 379,409
</TABLE>
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Nebraska, continued
$ 330,000 University of Nebraska, 4.90%, 7/1/2005.... A+ $ 340,765
210,000 University of Nebraska, 4.90%, 7/1/2006.... A 213,171
440,000 University of Nebraska, (Lincoln Parking
Project), 5.00%, 6/1/2007................. A- 457,178
275,000 University of Nebraska, 5.15%, 7/1/2009.... A 279,199
310,000 University of Nebraska, (Lincoln Parking
Project), 5.40%, 6/1/2013................. A- 320,735
-----------
Total................................................. 37,719,992
-----------
Nevada (3.3%)
500,000 Clark County, NV School District, GO,
(FGIC), 6.375%, 6/15/2005................. AAA 564,755
230,000 Nevada Housing Division, 5.60%, 10/1/2007.. Aaa 243,906
385,000 Nevada State, GO, 5.40%, 2/1/2008.......... AA 411,503
1,000,000 Nevada State, GO Bonds, 5.25%, 5/15/2016... AA 1,030,500
-----------
Total................................................. 2,250,664
-----------
New York (1.0%)
150,000 New York City, NY, GO, (FGIC), (Refunded),
7.25%, 10/1/2005.......................... AAA 155,953
250,000 New York State Environmental Facilities
Corp., 6.20%, 6/15/2001................... AA+ 265,415
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
New York, continued
$ 250,000 Triborough Bridge & Tunnel Authority, NY,
(FGIC), 5.55%, 1/1/2000................... AAA $ 255,273
-----------
Total................................................. 676,641
-----------
Ohio (3.0%)
200,000 Columbus, OH City School District, GO,
(AMBAC), (Refunded), 6.95%, 12/1/2002..... AAA 209,908
150,000 Columbus, OH, GO, (Refunded), 7.00%,
7/1/2000.................................. Aaa 152,106
500,000 Northeast OH Regional Sewer District,
(AMBAC), 5.10%, 11/15/2007................ AAA 531,820
400,000 Ohio State, GO, 4.70%, 2/1/2002............ AA+ 412,596
500,000 Ohio State, GO, 4.85%, 8/1/2007............ AA+ 525,860
250,000 Ohio State, GO, 5.80%, 8/1/2001............ AA+ 264,088
-----------
Total................................................. 2,096,378
-----------
Puerto Rico (2.3%)
500,000 Commonwealth of Puerto Rico, GO, (MBIA),
5.20%, 7/1/2006........................... AAA 539,330
1,000,000 Puerto Rico Highway and Transportation
Authority, Revenue Bonds, (AMBAC), 5.00%,
7/1/2008.................................. AAA 1,071,250
-----------
Total................................................. 1,610,580
-----------
Texas (3.5%)
500,000 Fort Bend, TX Independent School District,
GO, (PSFG), 5.50%, 2/15/2010.............. AAA 515,075
</TABLE>
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Texas, continued
$ 300,000 Georgetown, TX , Revenue Bonds, (MBIA),
6.30%, 8/15/2000.......................... AAA $ 313,254
300,000 Houston, TX Independent School District,
GO, (PSFG), 5.40%, 8/15/2001.............. AAA 313,695
300,000 Houston, TX, GO, Bonds, 5.90%, 3/1/2003.... AA- 318,069
35,000 San Antonio, TX Water Authority, (FGIC),
5.90%, 5/15/2000.......................... AAA 36,135
205,000 San Antonio, TX Water Authority, (FGIC),
5.90%, 5/15/2000.......................... AAA 211,494
300,000 San Antonio, TX, GO, 5.30%, 8/1/2003....... AA 314,583
380,000 Wylie, TX Independent School District, GO,
(PSFG), 6.20%, 8/15/2004.................. Aaa 423,164
-----------
Total................................................. 2,445,469
-----------
Utah (3.0%)
500,000 Salt Lake City, UT School District, GO,
4.80%, 3/1/2008........................... Aaa 519,445
1,000,000 Utah Associated Municipal Power Systems,
Revenue Bonds, (AMBAC), 5.00%, 6/1/2018... AAA 987,140
500,000 Utah State University, (MBIA), 5.55%,
12/1/2005................................. AAA 544,475
-----------
Total................................................. 2,051,060
-----------
</TABLE>
(See Notes to Portfolios of Investments)
Great Plains Tax-Free Bond Fund
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Credit
Amount Rating(2) Value
---------- ------------------------------------------- --------- -----------
<C> <S> <C> <C>
Long-Term Municipals, continued
Virginia (2.1%)
$ 400,000 Fairfax County, VA, GO (State Aid
Withholding), 5.00%, 6/1/2002............. AAA $ 413,040
1,000,000 Roanoke, VA, GO, 5.00%, 8/1/2009........... AA 1,057,350
-----------
Total................................................. 1,470,390
-----------
Washington (2.9%)
1,155,000 Seattle, WA Municipal Lighting & Power,
Revenue Bonds, 5.00%, 7/1/2008............ AA 1,220,731
250,000 Snohomish County, WA, GO, (MBIA), 6.30%,
12/1/1999................................. AAA 256,170
500,000 Washington State Health Care Facility
Authority, Revenue Bonds, (Sisters of
Providence)/(FGIC), 5.90%, 10/1/2003...... AAA 541,715
-----------
Total................................................. 2,018,616
-----------
Wisconsin (2.8%)
500,000 Appleton, WI, Revenue Bonds, 5.35%,
1/1/2005.................................. A1 516,265
350,000 Milwaukee, WI, GO, 5.90%, 6/15/2004........ AA+ 374,217
500,000 Neenah, WI Joint School District, GO,
5.20%, 3/1/2008........................... Aa3 525,105
500,000 Wisconsin State, GO, 5.00%, 5/1/2000....... AA 509,825
-----------
Total................................................. 1,925,412
-----------
Total Long-Term Municipals (identified cost
$63,706,172).......................................... 66,528,607
-----------
</TABLE>
<TABLE>
<CAPTION>
Shares Value
--------- -------------------------------------- -----------
<C> <S> <C>
Mutual Fund Shares--4.0%
2,778,676 Northern Institutional Tax-Exempt Fund
(at identified cost)............................ $ 2,778,676
-----------
Total Investments (identified cost $66,484,848). $69,307,283
-----------
</TABLE>
(See Notes to Portfolios of Investments)
Notes to Portfolios of Investments
- -------------------------------------------------------------------------------
(1) Non-income producing security.
(2) Please refer to the Appendix of the Prospectus for an explanation of the
credit ratings. Current ratings are unaudited.
The following acronyms are used throughout these portfolios:
ADR -- American Depositary Receipt AMBAC -- American Municipal Bond Assurance
Corporation Asset Guaranty -- Asset Guaranty Reinsurance Company COL --
Collateralized ESCW -- Escrowed by U.S. Government Securities FGIC -- Financial
Guaranty Insurance Company FNMA -- Federal National Mortgage Association FSA --
Financial Security Assurance GNMA -- Government National Mortgage Association GO
- -- General Obligation GTD -- Guaranty ISD -- Independent School District LOC --
Letter of Credit MBIA -- Municipal Bond Investors Assurance PSFG -- Permanent
School Fund Guarantee Refunded -- Secured by U.S. Government Securities Q-SBLF
- -- Qualified State Bond Loan Fund
<TABLE>
<CAPTION>
Cost of Net
Investments for Unrealized Gross Gross
Federal Tax Appreciation Unrealized Unrealized Total Net
Purposes (Depreciation) Appreciation Depreciation Assets*
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Great Plains Equity Fund $133,074,011 $49,953,786 $59,638,595 $9,684,809 $183,159,483
Great Plains
International Equity
Fund $ 44,356,669 $16,388,709 $18,109,951 $1,721,242 $ 61,298,793
Great Plains Premier
Fund $ 23,526,606 $ (598,882) $ 2,933,918 $3,532,800 $ 22,931,680
Great Plains
Intermediate Bond Fund $128,979,501 $ 4,272,331 $ 4,380,659 $ 108,328 $134,362,320
Great Plains Tax-Free
Bond Fund $ 66,484,848 $ 2,822,435 $ 2,855,943 $ 33,508 $ 68,914,672
</TABLE>
*The categories of investments are shown as a percentage of net assets at
February 28, 1999.
(See Notes which are an integral part of the Financial Statements)
Great Plains Funds
Statements of Assets and Liabilities
February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Equity International Premier Intermediate Tax-Free
Fund Equity Fund Fund Bond Fund Bond Fund
------------ ------------- ----------- ------------ -----------
<S> <C> <C> <C> <C> <C>
Assets:
- ------------------------
Total investments in
securities, at value $183,027,797 $60,745,378 $22,927,724 $133,251,832 $69,307,283
- ------------------------
Cash 14,298 114,953 36,088 -- 737
- ------------------------
Income receivable 243,886 74,153 29,356 1,781,076 841,776
- ------------------------
Receivable for
investments sold -- 547,061 -- -- --
- ------------------------
Receivable for shares
sold 217,567 -- -- -- --
- ------------------------
Deferred organizational
costs 5,145 -- 1,225 3,983 3,437
- ------------------------ ------------ ----------- ----------- ------------ -----------
Total assets 183,508,693 61,481,545 22,994,393 135,036,891 70,153,233
- ------------------------ ------------ ----------- ----------- ------------ -----------
Liabilities:
- ------------------------
Payable for investments
purchased -- -- -- -- 980,730
- ------------------------
Payable for shares
redeemed 103,013 107 -- -- --
- ------------------------
Income distribution
payable 1,567 -- -- 595,907 224,165
- ------------------------
Accrued expenses 244,630 182,645 62,713 78,664 33,666
- ------------------------ ------------ ----------- ----------- ------------ -----------
Total liabilities 349,210 182,752 62,713 674,571 1,238,561
- ------------------------ ------------ ----------- ----------- ------------ -----------
Net Assets Consist of:
- ------------------------
Paid in capital 128,784,328 41,190,167 24,347,483 129,158,164 66,081,835
- ------------------------
Net unrealized
appreciation
(depreciation) of
investments and
translation of assets
and liabilities in
foreign currency 49,953,786 16,385,828(1) (598,792) 4,272,331 2,822,435
- ------------------------
Accumulated net realized
gain (loss) on
investments and foreign
currency transactions 4,389,686 3,884,678 (772,558) 914,919 10,402
- ------------------------
Undistributed net
investment income
(Accumulated
net investment loss)/
(Distributions in excess
of net investment
income) 31,683 (161,880) (44,453) 16,906 --
- ------------------------ ------------ ----------- ----------- ------------ -----------
Total Net Assets $183,159,483 $61,298,793 $22,931,680 $134,362,320 $68,914,672
- ------------------------ ------------ ----------- ----------- ------------ -----------
Shares Outstanding 17,238,370 5,952,217 2,707,674 13,211,083 6,808,827
- ------------------------ ------------ ----------- ----------- ------------ -----------
Net Asset Value Per
Share $ 10.63 $ 10.30 $ 8.47 $ 10.17 $ 10.12
- ------------------------ ------------ ----------- ----------- ------------ -----------
Offering Price Per Share
(2) $ 10.96 $ 10.62 $ 8.73 $ 10.48 $ 10.43
- ------------------------ ------------ ----------- ----------- ------------ -----------
Redemption Proceeds Per
Share $ 10.63 $ 10.30 $ 8.47 $ 10.17 $ 10.12
- ------------------------ ------------ ----------- ----------- ------------ -----------
Investments, at
identified cost $133,074,011 $44,356,669 $23,526,606 $128,979,501 $66,484,848
- ------------------------ ------------ ----------- ----------- ------------ -----------
Investments, at tax cost $133,074,011 $44,356,669 $23,526,606 $128,979,501 $66,484,848
- ------------------------ ------------ ----------- ----------- ------------ -----------
</TABLE>
(1) Includes $18,221,408 of unrealized appreciation at September 8, 1998,
related to the acquisition of assets from the Great Plains Equity Fund.
(2) Computation of Offering Price: 100/97 of net asset value. See "What Shares
Cost" in the Prospectus.
(See Notes which are an integral part of the Financial Statements)
Great Plains Funds
Statements of Operations
Period Ended February 28, 1999 (unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Equity International Premier Intermediate Tax-Free
Fund Equity Fund(1) Fund Bond Fund Bond Fund
----------- -------------- ---------- ------------ ----------
<S> <C> <C> <C> <C> <C>
Investment Income:
- ------------------------
Dividends $ 1,059,122(2) $ 216,150(3) $ 82,604(4) $ -- $ --
- ------------------------
Interest 214,105 132,295 49,069 4,473,557 1,678,472
- ------------------------ ----------- ----------- ---------- ---------- ----------
Total income 1,273,227 348,445 131,673 4,473,557 1,678,472
- ------------------------ ----------- ----------- ---------- ---------- ----------
Expenses:
- ------------------------
Investment advisory fee 703,878 372,214 114,019 353,839 168,904
- ------------------------
Administrative personnel
and services fee 129,185 40,961 15,695 97,414 46,506
- ------------------------
Custodian fees 17,877 15,490 10,993 13,922 9,134
- ------------------------
Transfer and dividend
disbursing agent fees
and expenses 14,304 13,665 17,485 14,086 14,075
- ------------------------
Trustees' fees 4,609 3,732 2,167 4,433 3,914
- ------------------------
Auditing fees 7,398 7,996 6,165 7,398 7,398
- ------------------------
Legal fees 3,220 3,427 1,217 1,081 1,302
- ------------------------
Portfolio accounting
fees 25,072 18,106 8,705 24,213 23,891
- ------------------------
Share registration costs 7,092 24,659 5,430 7,078 6,301
- ------------------------
Printing and postage 5,484 7,996 4,966 3,729 4,235
- ------------------------
Insurance premiums 1,238 2,327 1,238 2,772 995
- ------------------------
Miscellaneous 3,451 3,419 1,608 1,752 2,137
- ------------------------ ----------- ----------- ---------- ---------- ----------
Total expenses 922,808 513,992 189,688 531,717 288,792
- ------------------------ ----------- ----------- ---------- ---------- ----------
Waivers--
- ------------------------
Waiver of investment
advisory fee (223,414) -- (22,804) -- --
- ------------------------
Waiver of transfer and
dividend disbursing
agent fees and expenses (2,447) (1,755) (2,234) -- (1,991)
- ------------------------
Waiver of portfolio
accounting fees (5,171) (1,912) (1,648) -- (5,125)
- ------------------------ ----------- ----------- ---------- ---------- ----------
Total waivers (231,032) (3,667) (26,686) -- (7,116)
- ------------------------ ----------- ----------- ---------- ---------- ----------
Net expenses 691,776 510,325 163,002 531,717 281,676
- ------------------------ ----------- ----------- ---------- ---------- ----------
Net investment income
(loss) 581,451 (161,880) (31,329) 3,941,840 1,396,796
- ------------------------ ----------- ----------- ---------- ---------- ----------
Realized and Unrealized
Gain (Loss) on
Investments and Foreign
Currency:
- ------------------------
Net realized gain (loss)
on investments and
foreign currency
transactions 5,267,116 6,053,899 (771,388) 925,471 10,384
- ------------------------
Net change in unrealized
appreciation
(depreciation)
of investments and
translation of assets
and liabilities
in foreign currency 20,280,116 16,385,828 1,843,966 (3,387,724) (31,316)
- ------------------------ ----------- ----------- ---------- ---------- ----------
Net realized and
unrealized gain (loss)
on investments and
foreign currency 25,547,232 22,439,727 1,072,578 (2,462,253) (20,932)
- ------------------------ ----------- ----------- ---------- ---------- ----------
Change in net assets
resulting from
operations $26,128,683 $22,277,847 $1,041,249 $1,479,587 $1,375,864
- ------------------------ ----------- ----------- ---------- ---------- ----------
</TABLE>
(1) For the period from September 8, 1998 (date of initial public investment)
to February 28, 1999.
(2) Net of foreign taxes withheld of $6,371.
(3) Net of foreign taxes withheld of $5,919.
(4) Net of foreign taxes withheld of $1,474.
(See Notes which are an integral part of the Financial Statements)
Great Plains Funds
Statements of Changes in Net Assets
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
International
Equity Fund Equity Fund Premier Fund
-------------------------- ------------- -------------------------
Six Months Period Six Months
Ended Period Ended Ended Period
February 28, Ended February 28, February 28, Ended
1999 August 31, 1999(2) 1999 August 31,
(unaudited) 1998(1) (unaudited) (unaudited) 1998(1)
------------ ------------ ------------- ------------- -----------
<S> <C> <C> <C> <C> <C>
Increase (Decrease) in
Net Assets
- ----------------------
Operations--
- ----------------------
Net investment income
(loss) $ 581,451 $ 1,427,215 $ (161,880) $ (31,329) $ 27,131
- ----------------------
Net realized gain
(loss) on investments
and foreign currency
transactions 5,267,116 9,755,137 6,053,899 (771,388) 1,928,920
- ----------------------
Net change in
unrealized
appreciation
(depreciation) on
investments and
translation of assets
and liabilities in
foreign currency 20,280,116 (12,306,017) 16,385,828 1,843,966 (4,790,709)
- ---------------------- ------------ ------------ ----------- ----------- -----------
Change in net assets
resulting from
operations 26,128,683 (1,123,665) 22,277,847 1,041,249 (2,834,658)
- ---------------------- ------------ ------------ ----------- ----------- -----------
Distributions to
Shareholders--
- ----------------------
Distributions from net
investment income (563,738) (1,369,274) -- (22,694) (2,798)
- ----------------------
Distributions from net
realized gain on
investments and
foreign currency
transactions (10,676,538) -- (2,169,221) (1,944,853) --
- ----------------------
Distributions in
excess of net realized
gain on investments -- -- -- -- --
- ---------------------- ------------ ------------ ----------- ----------- -----------
Change in net assets
from distributions to
shareholders (11,240,276) (1,369,274) (2,169,221) (1,967,547) (2,798)
- ---------------------- ------------ ------------ ----------- ----------- -----------
Share Transactions--
- ----------------------
Proceeds from sale of
shares 9,304,366 100,153,196 46,290,274 3,802,190 19,729,557
- ----------------------
Proceeds from shares issued in connection with the tax-free transfer of assets
from the Common Trust
Funds -- 104,843,021(3) -- -- 9,650,322(3)
- ----------------------
Net asset value of
shares issued to
shareholders in
payment of
distributions declared 5,304,795 644,458 -- 1,347,403 1,633
- ----------------------
Cost of shares
redeemed (26,211,234) (23,274,587) (5,100,107) (3,481,865) (4,353,806)
- ---------------------- ------------ ------------ ----------- ----------- -----------
Change in net assets
from share
transactions (11,602,073) 182,366,088 41,190,167 1,667,728 25,027,706
- ---------------------- ------------ ------------ ----------- ----------- -----------
Change in net assets 3,286,334 179,873,149 61,298,793 741,430 22,190,250
- ----------------------
Net Assets--
- ----------------------
Beginning of period $179,873,149 -- -- 22,190,250 --
- ---------------------- ------------ ------------ ----------- ----------- -----------
End of period $183,159,483 $179,873,149 $61,298,793 $22,931,680 $22,190,250
- ---------------------- ------------ ------------ ----------- ----------- -----------
Undistributed net
investment income
(Accumulated net
investment
loss)/(Distributions
in excess of net
investment income)
included in net assets
at end of period $ 31,683 $ 13,970 ($ 161,880) ($ 44,453) $ 9,570
- ---------------------- ------------ ------------ ----------- ----------- -----------
Net gain (loss) as
computed for federal
tax purposes $ 5,267,116 $ 9,799,108 $ 6,053,899 ($ 771,388) $ 1,944,887
- ---------------------- ------------ ------------ ----------- ----------- -----------
</TABLE>
(1) For the period from September 29, 1997 (date of initial public investment)
to August 31, 1998.
(2) For the period from September 8, 1998 (date of initial public investment) to
February 28, 1999.
(3) Includes $41,979,687 and $2,347,951, respectively, of unrealized
appreciation, at September 29, 1997 related to the tax-free transfer of
assets from the Common Trust Funds.
(See Notes which are an integral part of the Financial Statements)
Great Plains Funds
Statements of Changes in Net Assets (continued)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate Bond Fund Tax-Free Bond Fund
-------------------------- -------------------------
Six Months Six Months
Ended Period Ended Period
February 28, Ended February 28, Ended
1999 August 31, 1999 August 31,
(unaudited) 1998(1) (unaudited) 1998(1)
------------ ------------ ------------ -----------
<S> <C> <C> <C> <C>
Increase (Decrease) in
Net Assets
- ----------------------
Operations--
- ----------------------
Net investment income $ 3,941,840 $ 7,261,297 $ 1,396,796 $ 2,527,476
- ----------------------
Net realized gain
(loss) on investments
and foreign currency
transactions 925,471 (9,231) 10,384 74,698
- ----------------------
Net change in
unrealized
appreciation
(depreciation) on
investments and
translation of assets
and liabilities in
foreign currency (3,387,724) 5,099,566 (31,316) 805,556
- ---------------------- ------------ ------------ ----------- -----------
Change in net assets
resulting from
operations 1,479,587 12,351,632 1,375,864 3,407,730
- ---------------------- ------------ ------------ ----------- -----------
Distributions to
Shareholders--
- ----------------------
Distributions from net
investment income (3,941,840) (7,244,391) (1,396,796) (2,527,476)
- ----------------------
Distributions from net
realized gain on
investments and
foreign currency
transactions -- -- (64,317) (10,363)
- ----------------------
Distributions in
excess of net realized
gain on investments -- (1,321) -- --
- ---------------------- ------------ ------------ ----------- -----------
Change in net assets
from distributions to
shareholders (3,941,840) (7,245,712) (1,461,113) (2,537,839)
- ---------------------- ------------ ------------ ----------- -----------
Share Transactions--
- ----------------------
Proceeds from sale of
shares 12,462,679 82,612,475 2,672,559 10,196,112
- ----------------------
Proceeds from shares issued in connection with the tax-free transfer of assets
from the Common Trust
Funds -- 72,067,929(2) -- 63,166,768(2)
- ----------------------
Net asset value of
shares issued to
shareholders in
payment of
distributions declared 1,450,955 3,194,489 4,223 842
- ----------------------
Cost of shares
redeemed (23,806,757) (16,363,117) (1,048,473) (6,862,001)
- ---------------------- ------------ ------------ ----------- -----------
Change in net assets
from share
transactions (9,893,123) 141,511,776 1,628,309 66,501,721
- ---------------------- ------------ ------------ ----------- -----------
Change in net assets (12,355,376) 146,617,696 1,543,060 67,371,612
- ----------------------
Net Assets--
- ----------------------
Beginning of period 146,717,696 100,000 67,371,612 --
- ---------------------- ------------ ------------ ----------- -----------
End of period $134,362,320 $146,717,696 $68,914,672 $67,371,612
- ---------------------- ------------ ------------ ----------- -----------
Undistributed net
investment income
included in net assets
at end of period $ 16,906 $ 16,906 -- --
- ---------------------- ------------ ------------ ----------- -----------
Net gain as computed
for federal tax
purposes $ 925,471 $ 1,504 $ 10,384 $ 74,698
- ---------------------- ------------ ------------ ----------- ----------- ---
</TABLE>
(1) For the period from September 29, 1997 (date of initial public investment)
to August 31, 1998.
(2) Includes $2,560,489 and $2,048,195, respectively, of unrealized
appreciation, at September 29, 1997 related to the tax-free transfer of
assets from the Common Trust Funds.
(See Notes which are an integral part of the Financial Statements)
Great Plains Funds
Financial Highlights
- -------------------------------------------------------------------------------
(For a share outstanding thoughout the period)
<TABLE>
<CAPTION>
Net Realized
and Unrealized Distributions Distributions
Gain (Loss) on from Net in Excess
Net Asset Net Investments Distributions Realized Gain on of Net
Value, Investment and Foreign Total from from Net Investments and Realized
Period Ended Beginning Income Currency Investment Investment Foreign Currency Gain on
February 28, of Period (loss) Transactions Operations Income Transactions Investments
- ------------ ---------- ---------- -------------- ---------- ------------- ---------------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Equity Fund
1998(1) $10.00 0.07 (0.16) (0.09) (0.07) -- --
1999(2) $ 9.84 0.03 1.41 1.44 (0.03) (0.62) --
International
Equity Fund
1999(3) $10.00 (0.03) 0.68 0.65 -- (0.35) --
Premier Fund
1998(1) $10.00 0.01 (1.18) (1.17) (0.00)(6) -- --
1999(2) $ 8.83 (0.01) 0.43 0.42 (0.01) (0.77) --
Intermediate
Bond Fund
1998(1) $10.00 0.54 0.36 0.90 (0.54) -- (0.00)(6)
1999(2) $10.36 0.29 (0.19) 0.10 (0.29) -- --
Tax-Free
Bond Fund
1998(1) $10.00 0.39 0.13 0.52 (0.39) (0.00)(6) --
1999(2) $10.13 0.21 0.00 0.21 (0.21) (0.01) --
</TABLE>
* Computed on an annualized basis.
(1) For the period from September 29, 1997 (date of initial public investment)
to August 31, 1998.
(2) Six months ended February 28, 1999 (unaudited).
(3) For the period from September 8, 1998 (date of initial public investment) to
February 28, 1999.
(4) Based on net asset value, which does not reflect the sales charge or
contingent deferred sales charge, if applicable.
(5) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
(6) Distributions less than one cent per share.
(See Notes which are an integral part of the Financial Statements)
<TABLE>
<CAPTION>
Ratios to Average Net Assets
------------------------------
Net Asset Net
Value, Investment Net Assets, Portfolio
Total End Total Income Expense End of Period Turnover
Distributions of Period Return(4) Expenses (loss) Waiver(5) (000 omitted) Rate
- ------------- --------- --------- -------- ---------- --------- ------------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
(0.07) $ 9.84 (0.94%) 1.02%* 0.79%* 0.00%* $179,873 39%
(0.65) $10.63 14.70% 0.74%* 0.62%* 0.25%* $183,159 1%
(0.35) $10.30 6.59% 1.71%* (0.54%)* 0.01%* $ 61,299 18%
(0.00) $ 8.83 (11.69%) 1.44%* 0.12%* 0.40%* $ 22,190 68%
(0.78) $ 8.47 4.56% 1.43%* (0.27%)* 0.23%* $ 22,932 16%
(0.54) $10.36 9.23% 0.79%* 5.82%* 0.00%* $146,718 9%
(0.29) $10.17 0.91% 0.75%* 5.57%* 0.00%* $134,362 3%
(0.39) $10.13 5.29% 0.87%* 4.22%* 0.00%* $ 67,372 8%
(0.22) $10.12 2.05% 0.83%* 4.12%* 0.02%* $ 68,915 4%
</TABLE>
Great Plains Funds
Combined Notes to Financial Statements
February 28, 1999 (unaudited)
- -------------------------------------------------------------------------------
1. Organization
Great Plains Funds (the "Trust") is registered under the Investment Company Act
of 1940, as amended (the "Act"), as an open-end management investment company.
The Trust consists of five portfolios (individually referred to as the "Fund",
or collectively as the "Funds") which are presented herein:
<TABLE>
<CAPTION>
Portfolio Name Diversification Investment Objective
- ---------------------------------------------------------------------------------
<C> <C> <S>
Great Plains Equity Fund Non-diversified To seek total return
("Equity Fund") (consisting of current
income and capital
appreciation) over the
long-term.
- ---------------------------------------------------------------------------------
Great Plains International Equity Fund Non-diversified To seek total return
("International Equity Fund") (consisting of current
income and capital
appreciation) over the
long-term.
- ---------------------------------------------------------------------------------
Great Plains Premier Fund Non-diversified To seek total return
("Premier Fund") (consisting of current
income and capital
appreciation) over the
long-term.
- ---------------------------------------------------------------------------------
Great Plains Intermediate Bond Fund Diversified To seek total return
("Intermediate Bond Fund") (consisting of current
income and capital
appreciation).
- ---------------------------------------------------------------------------------
Great Plains Tax-Free Bond Fund Non-diversified To seek current income
("Tax-Free Bond Fund") that is exempt from
federal regular income
tax and secondarily to
seek current income
that is also exempt
from the regular income
taxes imposed by the
State of Nebraska.
</TABLE>
Great Plains Funds
- -------------------------------------------------------------------------------
On September 29, 1997, the Funds received a tax-free transfer of assets from the
Common Trust Funds managed by the Adviser as follows:
<TABLE>
<CAPTION>
Premier Intermediate Tax-Free
Equity Fund Fund Bond Fund Bond Fund
- ----------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Common Trust Fund Units
Converted 1,109,432 388,043 8,718,485 5,938,698
- ----------------------------------------------------------------------------
Great Plains Fund Shares
Issued 10,484,302 965,032 7,206,793 6,316,677
- ----------------------------------------------------------------------------
Common Trust Funds
Net Assets Received $104,843,021 $9,650,322 $72,067,929 $63,166,768
- ----------------------------------------------------------------------------
Unrealized Appreciation* $41,979,687 $2,347,951 $2,560,489 $2,048,195
</TABLE>
*Unrealized Appreciation is included in the Common Trust Funds Net Assets
Received above.
2. Significant Accounting Policies
The following is a summary of significant accounting policies consistently
followed by the Funds in the preparation of their financial statements. These
policies are in conformity with generally accepted accounting principles.
Investment Valuations--Municipal bonds are valued by an independent pricing
service, taking into consideration yield, liquidity, risk, credit quality,
coupon, maturity, type of issue, and any other factors or market data the
pricing service deems relevant. U.S. government securities, listed corporate
bonds, other fixed income and asset-backed securities, and unlisted securities
and private placement securities are generally valued at the mean of the
latest bid and asked price as furnished by an independent pricing service.
Listed equity securities are valued at the last sale price reported on a
national securities exchange. Short-term securities are valued at the prices
provided by an independent pricing service. However, short-term securities
with remaining maturities of 60 days or less at the time of purchase may be
valued at amortized cost, which approximates fair market value. Investments in
other regulated investment companies are valued at net asset value. With
respect to valuation of foreign securities, trading in foreign cities may be
completed at times which vary from the closing of the New York Stock Exchange.
Therefore, foreign securities are normally valued at the latest closing price
on the exchange on which they are traded prior to the closing of the New York
Stock Exchange. Foreign securities quoted in foreign currencies are translated
into U.S. dollars at the foreign exchange rate in effect at noon, eastern
time, on the day the value of the foreign security is determined.
Repurchase Agreements--It is the policy of the Funds to require the custodian
bank to take possession of, to have legally segregated in the Federal Reserve
Book Entry System, or to have segregated within the custodian bank's vault,
all securities held as collateral under repurchase agreement transactions.
Additionally, procedures have been established by the Funds to monitor, on a
daily basis, the market value of each repurchase agreement's collateral to
ensure that the value of collateral at least equals the repurchase price to be
paid under the repurchase agreement.
The Funds will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed by
the Funds' adviser to be creditworthy pursuant to the guidelines and/or
standards reviewed or established by the Board of Trustees (the "Trustees").
Investment Income, Expenses and Distributions--Interest income and expenses
are accrued daily. Bond premium and discount, if applicable, are amortized as
required by the Internal Revenue Code, as amended (the "Code"). Dividend
income and distributions to shareholders are recorded on the ex-dividend date.
Federal Taxes--It is the Funds' policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of their income. Accordingly, no
provisions for federal tax are necessary.
When-Issued and Delayed Delivery Transactions--The Funds may engage in
when-issued or delayed delivery transactions. The Funds record when-issued
securities on the trade date and maintain security positions such that
sufficient liquid assets will be available to make payment for the securities
purchased. Securities purchased on a when-issued or delayed delivery basis are
marked to market daily and begin earning interest on the settlement date.
Foreign Exchange Contracts--Equity Fund, International Equity Fund and Premier
Fund may enter into foreign currency exchange contracts as a way of managing
foreign exchange rate risk. The Funds may enter into these contracts for the
purchase or sale of a specific foreign currency at a fixed price on a future
date as a hedge or cross hedge against either specific transactions or
portfolio positions. The objective of the Funds' foreign currency hedging
transactions is to reduce the risk that the U.S. dollar value of the Funds'
foreign currency denominated securities will decline in value due to changes
in foreign currency exchange rates. All foreign currency exchange contracts
are "marked to market" daily at the applicable translation rates resulting in
unrealized gains or losses. Realized gains or losses are recorded at the time
the foreign currency exchange contract is offset by entering into a closing
transaction or by the delivery or receipt of the currency. Risk may arise upon
entering into these contracts from the potential inability of counterparties
to meet the terms of their contracts and from unanticipated movements in the
value of a foreign currency relative to the U.S. dollar.
As of February 28, 1999, Equity Fund, International Equity Fund and Premier
Fund had no outstanding foreign exchange contracts.
Foreign Currency Translation--The accounting records of Equity Fund,
International Equity Fund and Premier Fund are maintained in U.S. dollars. All
assets and liabilities denominated in foreign currencies ("FC") are translated
into U.S. dollars based on the rate of exchange of such currencies against
U.S. dollars on the date of valuation. Purchases and sales of securities,
income and expenses are translated at the rate of exchange quoted on the
respective date that such transactions are recorded. Differences between
income and expense amounts recorded and collected or paid are adjusted when
reported by the custodian bank. The Funds do not isolate that portion of the
results of operations resulting from changes in foreign exchange rates on
investments from the fluctuations arising from changes in market prices of
securities held. Such fluctuations are included with the net realized and
unrealized gain or loss from investments.
Reported net realized foreign exchange gains or losses arise from sales of
portfolio securities, sales and maturities of short-term securities, sales of
FCs, currency gains or losses realized between the trade and settlement dates
on securities transactions, the difference between the amounts of dividends,
interest, and foreign withholding taxes recorded on the Funds' books, and the
U.S. dollar equivalent of the amounts actually received or paid. Net
unrealized foreign exchange gains and losses arise from changes in the value
of assets and liabilities other than investments in securities at fiscal year
end, resulting from changes in the exchange rate.
Use of Estimates--The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the amounts of assets, liabilities, expenses and
revenues reported in the financial statements. Actual results could differ
from those estimated.
Other--Investment transactions are accounted for on the trade date.
3. Shares of Beneficial Interest
The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value) of each
Fund. Transactions in shares were as follows:
<TABLE>
<CAPTION>
Equity Fund
-----------------------
Six Months Period
Ended Ended
February 28, August 31,
1999 1998(1)
------------ ----------
Shares Shares
- ------------------------------------------------ ------------ ----------
<S> <C> <C>
Shares sold 864,098 9,898,164
- ------------------------------------------------
Shares issued in connection with the tax-free
transfer of assets from the Common Trust Fund -- 10,484,302
- ------------------------------------------------
Shares issued to shareholders on reinvestment of
distributions declared 503,773 58,239
- ------------------------------------------------
Shares redeemed (2,411,845) (2,158,361)
- ------------------------------------------------ ---------- ----------
Net change resulting from Equity Fund share
transactions (1,043,974) 18,282,344
- ------------------------------------------------ ---------- ----------
</TABLE>
Great Plains Funds
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
International
Equity Fund
-------------
Period Ended
February 28,
1999(2)
-------------
Shares
- ----------------------------------------------------------- -------------
<S> <C>
Shares sold 6,451,168
- -----------------------------------------------------------
Shares redeemed (498,951)
- ----------------------------------------------------------- ---------
Net change resulting from International Equity Fund share
transactions 5,952,217
- ----------------------------------------------------------- ---------
</TABLE>
<TABLE>
<CAPTION>
Premier Fund
-----------------------
Six Months Period
Ended Ended
February 28, August 31,
1999 1998(1)
------------ ----------
Shares Shares
- ------------------------------------------------------ ------------ ----------
<S> <C> <C>
Shares sold 430,823 1,959,320
- ------------------------------------------------------
Shares issued in connection with the tax-free transfer
of assets from the Common Trust Fund -- 965,032
- ------------------------------------------------------
Shares issued to shareholders on reinvestment of
distributions declared 155,380 168
- ------------------------------------------------------
Shares redeemed (392,992) (410,057)
- ------------------------------------------------------ -------- ---------
Net change resulting from Premier Fund share
transactions 193,211 2,514,463
- ------------------------------------------------------ -------- ---------
</TABLE>
Great Plains Funds
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate Bond Fund
-----------------------
Six Months Period
Ended Ended
February 28, August 31,
1999 1998(1)
------------ ----------
Shares Shares
- -------------------------------------------------- ------------ ----------
<S> <C> <C>
Shares sold 1,195,239 8,241,096
- --------------------------------------------------
Shares issued in connection with the tax-free
transfer of assets from the Common Trust Fund -- 7,206,793
- --------------------------------------------------
Shares issued to shareholders on reinvestment of
distributions declared 138,385 313,641
- --------------------------------------------------
Shares redeemed (2,282,678) (1,611,393)
- -------------------------------------------------- ---------- ----------
Net change resulting from Intermediate Bond Fund
share transactions (949,054) 14,150,137
- -------------------------------------------------- ---------- ----------
</TABLE>
<TABLE>
<CAPTION>
Tax-Free Bond Fund
-----------------------
Six Months Period
Ended Ended
February 28, August 31,
1999 1998(1)
------------ ----------
Shares Shares
- ------------------------------------------------------ ------------ ----------
<S> <C> <C>
Shares sold 262,774 1,015,073
- ------------------------------------------------------
Shares issued in connection with the tax-free transfer
of assets from the Common Trust Fund -- 6,316,677
- ------------------------------------------------------
Shares issued to shareholders on reinvestment of
distributions declared 415 84
- ------------------------------------------------------
Shares redeemed (103,257) (682,939)
- ------------------------------------------------------ -------- ---------
Net change resulting from Tax-Free Bond Fund share
transactions 159,932 6,684,895
- ------------------------------------------------------ -------- ---------
</TABLE>
(1) For the period from September 29, 1997 (date of initial public investment)
to August 31, 1998.
(2) For the period from September 8, 1998 (date of initial public investment) to
February 28, 1999.
Great Plains Funds
- -------------------------------------------------------------------------------
4. Investment Advisory Fee and Other Transactions with Affiliates
Investment Advisory Fee--First Commerce Investors, Inc., the Funds'
investment adviser (the "Adviser") receives for its services an annual
investment advisory fee based on a percentage of each Fund's average daily
net assets (see below).
<TABLE>
<CAPTION>
Fund Annual Rate
---- -----------
<S> <C>
Equity Fund 0.75%
International Equity Fund 1.25%
Premier Fund 1.00%
Intermediate Bond Fund 0.50%
Tax-Free Bond Fund 0.50%
</TABLE>
The Adviser may voluntarily choose to waive any portion of its fee. The
Adviser can modify or terminate this voluntary waiver at any time at its sole
discretion.
Administrative Fee--Federated Services Company ("FServ") provides the Funds
with certain administrative personnel and services. The fee paid to FServ is
based on the level of average aggregate daily net assets of the Trust for the
period.
Transfer and Dividend Disbursing Agent Fees and Expenses--FServ, through its
subsidiary, Federated Shareholder Services Company ("FSSC") serves as transfer
and dividend disbursing agent for the Funds. The fee paid to FSSC is based on
the size, type, and number of accounts and transactions made by shareholders.
Portfolio Accounting Fees--FServ maintains the Funds' accounting records for
which it receives a fee. The fee is based on the level of each Fund's average
daily net assets for the period, plus out-of-pocket expenses.
Custodian Fees--National Bank of Commerce is the Funds' custodian for which it
receives a fee. The fee is based on the level of each Fund's average daily net
assets for the period, plus out-of-pocket expenses.
Organizational Expenses--Organizational expenses were initially borne by
FServ. The Funds have reimbursed FServ for these expenses. These expenses have
been deferred and are being amortized over the five year period following each
Fund's effective date. For the six-month period ended February 28, 1999, the
Funds amortized organizational expenses as follows:
<TABLE>
<CAPTION>
Expenses of Organizational
Organizing Expenses
Fund the Funds Amortized
---- ----------- --------------
<S> <C> <C>
Equity Fund $7,350 $2,205
International Equity Fund -- --
Premier Fund $1,750 $ 525
Intermediate Bond Fund $5,690 $1,707
Tax-Free Fund $4,910 $1,473
</TABLE>
Great Plains Funds
- -------------------------------------------------------------------------------
General--Certain of the Officers and Trustees of the Trust are Officers and
Directors or Trustees of the above companies.
5. Investment Transactions
Purchases and sales of investments, excluding short-term securities, for the
six-month period ended February 28, 1999, were as follows:
<TABLE>
<CAPTION>
Fund Purchases Sales
---- ----------- -----------
<S> <C> <C>
Equity Fund $ 2,537,980 $36,286,800
International Equity Fund $11,176,158 $13,992,168
Premier Fund $ 3,665,325 $ 3,732,890
Intermediate Bond Fund $ 4,287,164 $14,409,366
Tax-Free Fund $ 3,969,850 $ 2,729,070
</TABLE>
6. Concentration of Credit Risk
Since Tax-Free Bond Fund invests a substantial portion of its assets in issuers
located in one state, it will be more susceptible to factors adversely affecting
issuers of that state than would be a comparable general tax-exempt mutual fund.
In order to reduce the credit risk associated with such factors, at February 28,
1999, 32.7% of the securities in the portfolio of investments were backed by
letters of credit or bond insurance of various financial institutions and
financial guaranty assurance agencies. The value of investments insured by or
supported (backed) by a letter of credit from any one institution or agency did
not exceed 14.7% of total investments.
7. Year 2000
Similar to other financial organizations, the Funds could be adversely affected
if the computer systems used by the Funds' service providers do not properly
process and calculate date-related information and data from and after January
1, 2000. The Funds' Adviser and administrator are taking measures that they
believe are reasonably designed to address the Year 2000 issue with respect to
computer systems that they use and to obtain reasonable assurances that
comparable steps are being taken by each of the Funds' other service providers.
At this time, however, there can be no assurance that these steps will be
sufficient to avoid any adverse impact to the Funds.