VINTAGE MUTUAL FUNDS
SEMI-ANNUAL REPORT TO SHAREHOLDERS
SEPTEMBER 30, 1998
<PAGE>
MESSAGE FROM THE PRESIDENT
Dear Shareholders:
The six months ended September 30, 1998, was a challenging period for equity
investors. History tells us to expect volatility in the stock market, and with
stocks just completing their worst quarter in eight years, we were reminded of
that lesson again. By the end of the period, investors were focused on a number
of risks to the U.S. stock market: economic turbulence in Asia, the possibility
of a financial meltdown in Russia, a slowdown in Latin America, and fears of a
recession in the United States. As a result, the S&P 500 declined 6.97% during
the period.
Bond investors, on the other hand, enjoyed strong performance. Uncertainty in
the stock market led investors to shift money into the bond market. This "flight
to quality", combined with growing expectations for rate cuts from the Federal
Reserve, led to generally lower interest rates. And indeed, the period was
capped off with a 0.25% Federal Reserve rate cut on September 29, 1998. During
the period, the yield on the 30 year U.S. government bond fell from 5.93% to
4.98%, resulting in a total return of 6.66% for the bond market (as measured by
the Lehman Aggregate Bond Index).
Looking forward, the primary investment concern continues to be slower economic
growth leading to slowing or possibly even declining earnings. While we remain
mindful of the possibility of recession, we believe that there is still great
strength in the U.S. economy. Housing starts are higher this year than for any
period since 1987. The economy is still growing, albeit at a slower rate. Signs
of inflation are virtually nonexistent. And, as of the time of this writing, the
Federal Reserve has acted to reduce short-term interest rates another 0.25%.
Still, these last few weeks should serve to remind us all of the need to assess
our investment time horizon and tolerance for risk. No one can predict what the
markets will do in the future. And if this most recent dose of reality made you
uncomfortable with your investments, perhaps some changes in your asset
allocation strategy are appropriate. None of this is to suggest that you attempt
to time the market. If you have a long time horizon, and are comfortable with
the short-term swings of the market, then by all means, stay the course!
Historically, patient investors have been rewarded.
The reports that follow provide a detailed discussion of the performance of each
of the Vintage Mutual Funds during the six months ended September 30, 1998. I
urge you to read them carefully. They explain not only how your investment in
the Funds performed over the period; they also offer insight into why they
performed as they did.
Thank you for your continued confidence in our Investors Management Group team
of investment professionals. We look forward to providing you with the highest
quality investment management far into the future. As always, if you would like
a prospectus, have any questions or require assistance, please don't hesitate to
call us at 1-800-438-6375.
Sincerely,
David W. Miles
President
- --------------------------------------------------------------------------------
THE VINTAGE MUTUAL FUNDS ARE DISTRIBUTED BY BISYS FUND SERVICES LIMITED
PARTNERSHIP.
SHARES OF THE VINTAGE MUTUAL FUNDS ARE NOT INSURED BY THE FDIC AND ARE NOT
DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED BY, AMCORE FINANCIAL INC.,
ANY OF ITS SUBSIDIARIES OR AMCORE CAPITAL MANAGEMENT, INC. , OR INVESTORS
MANAGEMENT GROUP. INVESTMENT PRODUCTS INVOLVE INVESTMENT RISK, INCLUDING THE
POSSIBLE LOSS OF PRINCIPAL.
FOR MORE COMPLETE INFORMATION ON ANY OF THE VINTAGE MUTUAL FUNDS, INCLUDING
FEES, EXPENSES AND SALES CHARGES, PLEASE CALL 1-800-438-6375 FOR A FREE
PROSPECTUS. PLEASE READ IT CAREFULLY BEFORE INVESTING OR SENDING MONEY.
<PAGE>
MESSAGE FROM THE INVESTMENT ADVISOR
A powerful deflationary force has been in place worldwide since the early
1980's.
The globe has been in the grip of disinflation--and in the case of emerging
countries, deflation and depression--for many years. Starting in 1997, market
direction has been ruled by international turmoil. During the third quarter,
market behavior indicated investors were anticipating a recession. While
additional shocks cannot be ruled out, great strides have been achieved in
recent weeks and a recession will most likely be avoided.
The latest incarnation of the disinflation trend has been the collapse of
certain Asian economies last year, the Russian devaluation last summer and most
recently the near default of a prominent hedge fund. The U.S. stock
market--which had advanced into mid-year based on near perfect
conditions--slumped severely during the third quarter as the bad global news
mounted. It was the worst quarter for stocks in eight years. On the other hand,
government bonds rallied sharply during this period as investors flocked to the
safe haven of U.S. Government debt, while bond credit spreads widened sharply.
Speculative positions have generated the extreme volatility prevailing in the
investment arena today. It is now clear that the market excesses of recent
months have been amplified by the tremendous bets being placed by several now
infamous "hedge funds". (The reader will notice the irony in using the term
"bet" and "hedge" together when referring to these funds.) These excesses have
entailed positions that over-strengthened the dollar against the Yen (they use a
technique called the yen carry trade). As "hedges" are being unwound the markets
moved to temporary extremes.
But the recent correction in stocks, the simultaneous sharp drop in government
bond interest rates, and the drop in the value of the dollar, especially against
the Yen, were inter-related and can be viewed as constructive. Credit and
speculative froth have never been good for healthy markets. Further, the
strength of the yen, while problematical for Japan, gives some relief to worries
that China may seek another devaluation as a protective measure against a weak
yen.
The big news is the recent easing engineered by the Federal Reserve following
significant strides in dealing with international finance. The Fed has firmly
signaled it will act to forestall any U.S. credit tightening precipitated by
global conditions. This Fed move, following a series of speeches indicating the
monetary authorities were being especially vigilant, was well timed and executed
to maximum effect. A credit crunch should be avoided.
On the international front, a series of strides toward improvement preceded the
Fed move. They included enactment of a Japanese recovery plan. An International
Monetary Fund $18 billion U.S. contribution was crafted. And a process has been
initiated by the industrialized nations that will require greater disclosure and
regulatory oversight in lesser-developed nations.
The dollar recently registered its biggest loss against the yen since going off
the gold standard in 1973. This dollar weakness (or yen strength) may be
overdone to some degree, but nonetheless the yen's price relative to the dollar
was much too weak considering prevailing conditions. The recent yen strength is
particularly important because it eases pressure on other Asian countries to
begin another round of devaluations, the most notable being China.
One level of comfort is that the U.S. economy is very sound at this point and
signs of recession are scant. Labor remains tight. The fiscal house of the
Federal Government is finally in order. Consumption remains healthy and may get
a further boost with a new round of refi activity. Housing is strong (mortgage
applications were at record levels last month) and autos are selling. Some
weakness can be detected in employment growth and consumer confidence--which has
dropped in the last several months, but remains near 30-year highs. These
strengths form the basis for solid markets and should enable the bull run begun
in 1982 to resume.
We believe that the U.S. economy will weaken somewhat due to the loss in exports
brought on by global slowing, but a recession should be avoided. Growth in
domestic corporate earnings, while slowing from the last several years, should
continue to climb. Finally, the markets should return to a more rational
out-look as excesses unwind. While anticipated market conditions never offer
guarantees, we feel that the Funds are well positioned to capture greater
returns as more rational market conditions prevail.
Jay H. Evans
Chief Investment Officer
Investors Management Group
<PAGE>
THE VINTAGE MONEY MARKET FUNDS
The U.S. economy remained strong for the second and third quarters of 1998.
Shorter-term rates were impacted much more dramatically by international than
domestic events. While domestic inflation rates remained fairly constant, rates
on short-term fixed income securities declined as investors pursued relatively
more secure investment alternatives. U.S. Treasury securities benefited most
from this "flight to quality", with lower credit securities of similar length
also experiencing less dramatic yield declines.
By September 30, the short-term rate structure had inverted, presenting a
particularly challenging yield environment for money market fund managers. As
existing portfolio securities mature within the respective funds, replacing the
yield of the maturing security becomes relatively more difficult.
THE GOVERNMENT ASSETS FUND
Yields on U.S. Treasury obligations declined throughout the period as investors
from around the world sought the credit safety of those securities. As a result,
the U.S. agency discount market continued to add relative value over the
Treasury market. The Government Assets Fund emphasized agency securities and
repurchase agreements in its portfolio, taking advantage of their relatively
greater yields. The average days to maturity remained in the thirty to
forty-five day range for most of the period, declining to less than twenty days
as the likelihood of an easing by the Federal Reserve Board created more value
in shorter agency discount notes and repurchase agreements. Yield on the Fund
will likely decrease somewhat going forward as new security purchases reflect
the Federal Reserve Board action of September 29.
THE LIQUID ASSETS FUND
The Liquid Assets Fund continued to invest in a variety of short-term,
government guaranteed securities during the second and third quarters. The
inverted yield curve for money market term securities offered little yield
incentive to extend the average life of the portfolio. The portfolio ended the
quarter with an average weighted maturity of fourteen days, less than the
industry average. Throughout the quarter, we added positions in appropriate
agency, corporate and commercial paper securities to enhance Fund yield. We
expect to maintain a somewhat shorter portfolio structure going forward based
upon our current portfolio allocation. We anticipate that rates on the fund will
decline somewhat going forward.
THE MUNICIPAL ASSETS FUND
The Municipal Assets Fund continued diversifying its holdings throughout the
period as the Fund extended its average days to maturity and number of portfolio
holdings. Its average maturity is now near the industry average. Short-term
municipals did not participate fully in the short-term rate decline experienced
by U.S. Treasuries, leaving them fairly valued relative to comparable length
taxable securities. We continue to be focused on purchasing appropriate
municipal notes, continuing our shift from overnight securities to longer
tax-exempt securities.
- --------------------------------------------------------------------------------
Although the Vintage Money Market Funds seek to maintain a stable net asset
value of $1.00, there is no assurance that they will be able to do so. The
Vintage Money Market Funds are neither insured nor guaranteed by the U.S.
government.
<PAGE>
THE VINTAGE FIXED INCOME FUNDS
The greatest factor to impact fixed income markets over the past two quarters
was the dramatic decline in longer-term rates, particularly in the U.S. Treasury
market. The rally drove long-term Treasury bond yields to their lowest recorded
levels as renewed turmoil overseas prompted investors to place safety of
invested principal above all other investment objectives. This flight to quality
produced an unusual Treasury yield curve, with three-month bills to thirty-year
bonds yielding less than overnight investments.
This decline in rates stimulated the U.S. economy, led by housing starts at
their highest levels since March of 1987. Commercial construction activity and
spending on infrastructure by state and local governments also accelerated,
compliments of lower borrowing costs.
However, the impact of global economic uncertainty cannot be overlooked. Lower
exports have slowed manufacturing activity and resulted in the largest trade
deficit since the late 1980's. As the Asian contagion reaches out to Latin
America and Canada, it creeps ever close to our shores, prompting renewed focus
on the possibility of additional easing of short-term rates by the Federal
Reserve.
As we go forward from here, we will continue to identify market inefficiencies
that offer portfolios appropriate yield enhancement opportunities. Most sectors
have not rallied as aggressively as the Treasury market at this time. We will
continue to take advantage of buying opportunities presented by perceived
imbalances.
THE LIMITED TERM BOND FUND
Prior to August, the bond market was relatively stable. Yields were basically
unchanged and the yield curve was quite flat. Beginning in early August,
significant realignments began to occur. Renewed fear of international financial
crises spurred a flight to quality that moved Treasury yields significantly
lower. Most other sectors experienced little change in yield causing agency,
corporate and mortgage spreads to widen significantly to Treasuries. The
corporate sector widened as equity markets experienced increased volatility over
corporate earnings concerns. Mortgage backed securities also widened as
decreasing rates prompted fears of increased prepayments.
For the six-month period ended September 30, 1998, the Fund provided a total
return of 4.26 percent*, due to an overweighting in corporate and mortgage
securities relative to the industry benchmark. The Fund performance slightly
lagged the benchmark. The average maturity of the Fund was relatively constant
throughout the period at 3.4 years, while portfolio holdings increased from
thirty-five to forty-one. Assets in the Fund increased by roughly six percent to
$53.8 million.
As of September 30, 1998, approximately thirty-five percent of Fund assets were
invested in Treasury and agency securities, thirty percent in corporate bonds,
thirty two percent in mortgage-related securities, two percent in taxable
municipals and three percent in cash and cash equivalents. The average credit
quality of the portfolio as of September 30, 1998 was AAA. The composition of
the Fund's portfolio is subject to change.
THE BOND FUND
The U.S. Treasury bond market rallied sharply over the past six months. Renewed
turmoil overseas triggered a flight to quality that drove long-term government
bond yields below five percent, the lowest level since the 1960's. The resulting
Treasury yield curve was extremely flat, with all Treasury yields falling below
the overnight rate, even after the Federal Reserve Board's 0.25 percent rate
reduction. Corporate bond yields were little changed from the beginning of the
year, with yield spreads on investment-grade, intermediate-term corporate bonds
at the widest levels this decade. Yield spreads on mortgage-backed securities
are also at their widest levels in five years as refinancing activity is on the
rise again. For the six-month period ended September 30, 1998, the Bond Fund
posted a total return of 5.31 percent*. For the past twelve months, the Fund's
total return was 9.93 percent*.
In response to this yield environment, we have selectively increased the Fund's
exposure to corporate bonds and mortgage-backed securities. The duration of the
Fund is somewhat shorter than the benchmark. Underweighting the Treasury sector
and a shorter duration negatively affected performance during the period,
particularly during September. The current portfolio structure, however, is
positioned to benefit substantially if the flight to quality dissipates.
As of September 30, 1998, approximately forty percent of the Fund's assets were
invested in mortgage-related securities, thirty-two percent in corporate bonds,
ten percent in taxable municipals, fifteen percent in Treasury and agency
securities and three percent in cash and cash equivalents. The average maturity
of the portfolio was 5.77 years. The average credit quality was AA1. The Fund's
composition of portfolio is subject to change.
THE INCOME FUND
The flight to quality in the Treasury market also affected returns in the Income
Fund as investors sought a safe haven for invested funds. This environment could
persist if concerns regarding the Asian economies continue. Most non-Treasury
securities widened in comparison as the prices on these securities did not rise
as quickly as Treasuries. For the six-month period ended September 30, 1998, the
Fund posted a total return of 5.46 percent*. For the past twelve months, the
fund's total return was 9.23 percent*. For the period, we were focused on
purchasing strong credit quality corporate bonds and mortgage-backed securities
as callable bonds fell out of favor and their relative yields became more
attractive.
Looking forward, we continue to actively pursue increasing investment income for
Fund shareholders. We will continue to take advantage of yield disparities as
they develop and would anticipate maintaining an average Fund portfolio maturity
near the benchmark.
As of September 30, 1998, approximately forty-six percent of the Fund's assets
were invested in mortgage-related securities, twenty-nine percent in corporate
bonds, thirteen percent in treasuries and agencies and eight percent in taxable
municipal obligations, with the remainder in cash and cash equivalents. The
average maturity of the Fund's holdings was 6.56 years and the average credit
quality was AAA. The composition of the Fund's portfolio is subject to change.
THE MUNICIPAL BOND FUND
The municipal market remained relatively unchanged during the period as
municipal yields failed to follow Treasury yields lower. The large supply of
municipal issuance subsided from extremely high levels earlier in the year in
reaction to the more stable rate environment. The Municipal Fund provided a
total return of 3.58 percent* for the six-month period ended September 30, 1998
and 6.35 percent* for the past year. The Fund was positioned slightly longer
than its index, with securities in the ten to twenty year maturity sector
accounting for most of the overweight.
Going forward, we believe that municipal securities are positioned to perform
well, with some tax-exempt maturities providing yields equal to taxable Treasury
securities. Demand for tax-exempt securities appears firm at this point while
the future supply of new issuances is relatively limited. The Fund's slightly
longer duration should perform relatively well in this anticipated environment.
As of September 30, 1998, the portfolio remains well diversified with
seventy-two securities. As of the same date, the average maturity of the
portfolio was eight years with an average credit quality of AA1. The Fund's
portfolio composition is subject to change over time.
THE VINTAGE BALANCED FUND
The Vintage Balanced Fund performance lagged an unmanaged index of fifty percent
S&P 500 Stock Index and fifty percent Lehman Brothers Intermediate
Government/Corporate Bond Index slightly for the period. The Fund portfolio
currently invests roughly sixty-two percent of assets in stocks and the balance
in fixed income securities and a small cash position. As equity markets
corrected significantly during the period, Fund performance was negatively
impacted by the relatively greater allocation to stocks. For the six-month
period ended September 30, 1998, the Balanced Fund provided a total return of
- -4.89 percent* and 5.32 percent* for the past twelve months.
During the period, financial and retail stocks were particularly hard hit as
investors respectively faced concerns regarding a possibly slowing domestic
economy (potentially leading to lower loan growth and related earnings) and a
potentially negative impact on retail store performance. The flight to quality
experienced by the Treasury market caused most other fixed income securities to
widen in yield spreads against Treasuries. The Fund's relatively low allocation
to Treasury securities similarly impacted Fund performance.
Going forward, the portfolio is positioned to perform well if the domestic
consumer continues to be encouraged by low unemployment and the positive
personal cash flows generated by continued refinancing activity. We anticipate
that our allocation between stocks and bonds will remain roughly constant, with
the fixed income portion of the Fund continuing to maintain an average maturity
near the index and the equity component remaining fully invested.
As of September 30, 1998, approximately sixty-two percent of the portfolio's
assets were invested in stocks, with the balance invested in fixed income
securities. The top five equity holdings in the portfolio were: General Electric
Company (1.78% of the portfolio's assets), Pfizer, Inc. (1.54 %), Cisco Systems
(1.51%), Compaq Computer (1.50%), and Staples (1.47%). The fixed income portion
of the portfolio was invested in a variety of mortgage-backed securities (13.0%
of portfolio assets), corporate bonds (13%), Treasury and agency securities
(8%), and taxable municipals (2%). The average credit quality of the fixed
income portfolio was AAA. The Fund's portfolio composition is subject to change
over time.
THE VINTAGE EQUITY FUND
This past period included some of the most difficult equity market performance
periods in many years. In fact, the third calendar quarter produced the worst
equity results in general in the past eight years! Even typically defensive
stocks (Colgate, Gillette, Procter & Gamble) were swept away in wholesale market
sell-offs in late summer. The turmoil in Asia spread to other continents faster
than anyone anticipated, incubating fears of uncertainty as the market's most
difficult emotion to overcome. Stocks with foreign exposure were punished
mercilessly. For the six-month period ended September 30, 1998, the Fund
produced a total return of -12.98 percent* (after expenses) for S Class Shares.
Total return for S Class shares for the Fund for the past twelve months was
- -0.63 percent*.
Going forward, we continue to believe strongly in the strength of the economy.
Portfolio holdings are uniformly large capitalization companies in the growth
areas of the economy. We are positioning the portfolio to be diversified and to
take advantage of an expanding economy. Our pharmaceutical companies are
positioned to provide medications and products to an aging population. Our
telecommunications and technology holdings are similarly positioned to provide
essential services and products to an ever-demanding world marketplace. We
remain fully invested and expect to be so as a part of our fundamental
investment philosophy.
As of September 30, 1998, the portfolio was widely diversified with positions in
sixty-nine different companies. As of that date, the top five equity positions
in the Fund were : Warner Lambert Company (2.93 % of fund assets), Eli Lilly and
Co. (2.66%), Pfizer Inc. (2.57%), Lucent Technologies (2.51%) and General
Electric Company (2.41%). The Fund's portfolio composition is subject to change
over time.
THE VINTAGE AGGRESSIVE GROWTH FUND
The period ended September 30, 1998, included many of the most volatile trading
days in equity trading history. News of Russian devaluation, the operating
difficulties of a number of hedge funds and concern over domestic corporate
profits all conspired to test investor confidence. September was a particularly
difficult month for the markets and the Aggressive Growth Fund as consumer
cyclical stocks declined amid fears of a domestic economic slowdown prompted by
global woes and telecommunication equipment providers Northern Telecom and
Lucent fell over concerns of curtailed spending plans. For the six-month period
ended September 30, 1998, the total return for the Fund was -12.89 percent*. For
the past twelve months, the Fund's total return was -4.58 percent*.
Adherence to our investment discipline prompted the trimming of several of the
Fund's core holdings. The market's sell-off provided the opportunity to add a
number of new names to the portfolio at relatively attractive prices (Worldcom,
Elan, IBM, Mattel and Cardinal Health).
As of September 30, 1998, the top five holdings in the Fund's portfolio were:
Cisco Systems (2.70% of the portfolio's assets), Staples, Inc. (2.56%), Eli
Lilly & Co. (2.48%), Microsoft Corporation (2.33%) and Kansas City Southern
(2.22%). The portfolio composition is subject to change over time.
- --------------------------------------------------------------------------------
* Past performance is not predictive or future results. The value of shares in
the Vintage Mutual Funds will fluctuate so that the shares, when redeemed, may
be worth more or less than their original value.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
GOVERNMENT ASSETS FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. GOVERNMENT AGENCY (56.41%):
Federal Home Loan Bank:
$5,000,000 5.45%*, 10/30/98............................. $4,978,250
Federal Home Loan Mortgage Assoc.:
5,000,000 5.57%*, 10/02/98............................. 4,999,250
10,000,000 5.47%*, 10/02/98............................. 9,998,489
10,000,000 5.55%*, 10/02/98............................. 9,998,486
10,000,000 5.49%*, 10/08/98............................. 9,989,403
10,000,000 5.47%*, 10/16/98............................. 9,977,375
10,000,000 5.47%*, 11/05/98............................. 9,947,403
10,000,000 5.45%*, 11/13/98............................. 9,935,500
10,000,000 5.22%*, 11/30/98............................. 9,915,000
Federal National Mortgage Assoc.:
10,000,000 5.18%*, 12/15/98............................. 9,894,791
-----------------
Total U.S. Government Agency................. 89,633,947
-----------------
REPURCHASE AGREEMENTS (44.01%):
Bear Stearns:
30,730,550 5.25%, 10/01/98
(Purchased on 9/30/98, proceeds
at maturity $30,735,032;
Collateralized by $43,400,000
Govt. Agencies, 11/15/98--2/15/27,
market value $31,916,120).................... 30,730,550
Dean Witter:
39,198,956 5.20%, 10/01/98
(Purchased on 9/30/98, proceeds
at maturity $39,204,618;
Collateralized by $40,333,000
Govt. Agencies, 5/15/99--11/15/00,
market value $39,983,076).................... 39,198,956
-----------------
Total Repurchase Agreements.................. 69,929,506
-----------------
Total Investments in Securities (100.42%)
(Cost--$159,563,453)......................... $159,563,453
Other Assets & Liabilities (-0.42%).......... (657,704)
-----------------
NET ASSETS (100.00%)......................... $158,905,749
=================
- ----------------
* Effective yield at date of purchase.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
LIQUID ASSETS FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. GOVERNMENT AGENCY (16.41%):
Federal Farm Credit Bank:
$500,000 6.13%, 11/09/98.............................. $500,254
325,000 7.03%, 12/31/98.............................. 326,037
Federal Home Loan Bank:
1,000,000 5.79%, 10/23/98.............................. 999,972
2,000,000 5.66%, 11/09/98.............................. 1,999,859
2,385,000 9.25%, 11/25/98.............................. 2,397,386
530,000 9.25%, 11/25/98.............................. 532,753
Federal Home Loan Mortgage Assoc.:
200,000 5.00%, 12/15/98.............................. 199,658
2,000,000 5.60%, 04/21/99.............................. 1,999,779
Federal National Mortgage Assoc.:
2,185,000 4.82%, 10/21/98.............................. 2,183,924
1,000,000 4.75%, 10/26/98.............................. 999,456
1,000,000 5.55%**, 11/03/98............................ 995,050
1,000,000 5.30%, 12/10/98.............................. 999,990
3,000,000 5.58%**, 01/25/99............................ 2,948,283
Student Loan Marketing Assoc.:
5,000,000 5.60%**, 10/06/98............................ 4,996,195
-----------------
Total U.S. Government Agency................. 22,078,596
-----------------
LOAN CERTIFICATES--FMHA GUARANTEED LOAN CERTIFICATES (13.26%):
17,834,570 5.85% to 6.25%*, 10/15/98 to 12/19/34........ 17,834,570
-----------------
TRUST CERTIFICATES- -U.S. GOVT. GUARANTEED STUDENT LOANS (27.13%):
36,500,000 5.29%***, 11/03/98 to 09/01*/99.............. 36,500,000
-----------------
COMMERCIAL PAPER (14.06%):
Co-op Tractor:
1,860,000 5.63%**, 10/01/98............................ 1,860,000
1,500,000 5.59%**, 10/09/98............................ 1,498,143
Eagle Funding:
3,021,000 5.57%**, 10/05/98............................ 3,019,137
Merrill Lynch:
1,108,000 5.56%**, 10/07/98............................ 1,106,977
Three Rivers Funding:
1,347,000 5.67%**, 10/13/98............................ 1,344,463
Triple A1 Funding:
3,088,000 5.58%**, 10/02/98............................ 3,087,524
3,000,000 5.58%**, 10/05/98............................ 2,998,150
Wood Street Funding:
4,000,000 5.77%**, 10/01/98............................ 4,000,000
-----------------
Total Commercial Paper....................... 18,914,394
-----------------
* Interest rate fluctuates with prime rate. Put option subject to no longer
than 7-day settlement.
** Effective yield at date of purchase.
*** Interest rate fluctuates with 3-month U.S. Treasury bill rate. Put option
subject to no longer than 7-day settlement.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
LIQUID ASSETS FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
REPURCHASE AGREEMENTS (28.78%):
J P Morgan:
$5,762,297 5.25%, 10/01/98
(Purchased on 9/30/98, proceeds
at maturity $5,763,137;
Collateralized by $3,609,000
UST Bond, 8/15/15,
market value $5,878,163)..................... $5,762,297
Warburg Dillon:
32,957,489 5.30%, 10/01/98
(Purchased on 9/30/98, proceeds
at maturity $32,962,341;
Collateralized by $33,988,900
Govt. Agencies, 5/01/13--9/01/28,
market value $33,785,400).................... 32,957,489
-----------------
Total Repurchase Agreements........... 38,719,786
-----------------
Total Investments in Securities (99.64%)
(Cost--$134,047,346).................. $134,047,346
Other Assets & Liabilities (0.36%).... 473,020
-----------------
NET ASSETS (100.00%).................. $134,520,366
=================
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL ASSETS FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
INDUSTRIAL DEVELOPMENT BONDS (3.93%):
Iowa (3.93%)
$24,574 Iowa HFA (Gayman Project), 4.83%**, 08/15/99............ $24,574
189,987 Iowa HFA (Starr-Terry Project), 5.33%**, 05/15/05....... 189,987
944,599 Sioux City, IA (Handy Partnership), 4.83%**, 09/15/04... 944,599
301,889 Vinton, IA (Twin City Concrete), 5.22%**, 06/15/02...... 301,889
-------------
Total Industrial Development Bonds 1,461,049
-------------
VARIABLE RATE DEMAND OBLIGATIONS (56.49%):
Alabama (0.81%)
300,000 North Alabama PCR DTN, 4.10%*, 12/01/00................. 300,000
-------------
Arizona (5.92%)
1,500,000 Apache Co., AZ IDA 7-Day, 3.55%**, 12/15/18............. 1,500,000
700,000 Phoenix, AZ IDR 7-Day, 4.00%**, 10/15/06................ 700,000
-------------
2,200,000
-------------
Delaware (4.04%)
1,500,000 Delaware St Econ Dev 7-Day, 3.65%**, 10/01/28........... 1,500,000
-------------
Florida (5.65%)
800,000 Dade Co., FL IDR 7-Day, 3.50%**, 01/01/16............... 800,000
1,300,000 Martin Co., FL PCR DTN, 3.80%*, 09/01/24................ 1,300,000
-------------
2,100,000
-------------
Georgia (2.34%)
870,000 Burke Co., GA Dev Auth DTN, 4.05%*, 07/01/24............ 870,000
-------------
Illinois (3.50%)
1,300,000 Illinois HFA Rev 7-Day, 3.55%**, 12/01/14............... 1,300,000
-------------
Indiana (1.35%)
500,000 Indianapolis, IN Rev 7-Day, 3.55%**, 12/01/15........... 500,000
-------------
Kentucky (2.96%)
1,100,000 Kentucky Dev Finance 7-Day, 3.90%**, 12/01/15........... 1,100,000
-------------
Michigan (4.04%)
200,000 Grand Rapids, MI Water 7-Day, 3.50%**, 01/01/20......... 200,000
1,300,000 Michigan HFA Rev. 7-Day, 3.50%**, 07/01/17.............. 1,300,000
-------------
1,500,000
-------------
Missouri (0.81%)
300,000 Missouri Higher Ed Ln Fac. 7-Day, 3.65%, 06/01/17....... 300,000
-------------
- ----------------
* Variable rate, put option subject to next business day settlement.
** Variable rate, put option subject to no longer than 7-day settlement.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL ASSETS FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
VARIABLE RATE DEMAND OBLIGATIONS (CONTINUED):
North Carolina (1.88%)
$700,000 No Carolina Med Care 7-Day, 3.90%**, 10/01/23........... $700,000
-------------
North Dakota (1.35%)
500,000 Grand Forks, ND Hospital DTN, 4.10*, 12/01/16........... 500,000
-------------
South Carolina (1.35%)
500,000 South Carolina, Econ Dev DTN, 4.10%*, 07/01/22.......... 500,000
-------------
Tennessee (5.11%)
1,600,000 Metro Nashville Airport, TN DTN, 4.10%*, 10/01/12....... 1,600,000
300,000 Metro Govt Nashville, TN 7-Day, 3.50%**, 06/01/15....... 300,000
-------------
1,900,000
-------------
Texas (8.07%)
500,000 Grapevine, TX IDR Ser B2 DTN, 4.10%*, 12/01/24.......... 500,000
900,000 Harris Co., TX Ser 88A 7-Day, 3.63%**, 06/01/05......... 900,000
1,000,000 Hunt Co., TX Industrial Dev 7-Day, 3.80%**, 10/01/02.... 1,000,000
100,000 Lone Star, TX Airport Ser A2 DTN, 4.10%*, 12/01/14...... 100,000
500,000 Lone Star, TX Airport Ser A5 DTN, 4.10%*, 12/01/14...... 500,000
-------------
3,000,000
-------------
Utah (1.61%)
600,000 Salt Lake City, UT Rev 7-Day, 3.50%**, 01/01/20......... 600,000
-------------
Virginia (3.23%)
1,200,000 Peninsula Ports, VA Ser 87C DTN, 4.10%*, 07/01/16....... 1,200,000
-------------
Washington (1.61%)
400,000 Port of Vancouver, WA, Ser 84A 7-Day, 3.70%**, 12/01/09. 400,000
200,000 Port of Vancouver, WA, Ser 84B 7-Day, 3.70%**, 12/01/09. 200,000
-------------
600,000
-------------
Wisconsin (0.86%)
320,000 Wisconsin St HFA Rev 7-Day, 3.50%*, 01/01/16............ 320,000
-------------
Total Variable Rate Demand Obligations............ 20,990,000
-------------
MUNICIPAL BONDS (38.76%):
Alabama (1.35%)
500,000 University of South Alabama, 4.00%, 11/15/98............ 500,109
-------------
- ----------------
* Variable rate, put option subject to next business day settlement.
** Variable rate, put option subject to no longer than 7-day settlement.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL ASSETS FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUNICIPAL BONDS (CONTINUED):
Arizona (1.10%)
$200,000 Maricopa Co., AZ School Dist 6.50%, 07/01/99............ $204,153
100,000 Phoenix, AZ Water System Rev, 4.40%, 07/01/99........... 100,581
100,000 Tempe, AZ, 8.00%, 07/01/99.............................. 103,218
-------------
407,952
-------------
District of Columbia (1.40%)
500,000 District of Columbia Series A, 7.50%, 06/01/99.......... 521,371
-------------
Florida (0.52%)
250,000 Dunedin, FL Hospital Rev., 4.00%*, 10/01/98............. 193,578
-------------
Georgia (1.11%)
400,000 Georgia State, Gas Series B, 8.00%, 07/01/99............ 412,720
-------------
Illinois (3.48%)
500,000 DuPage Co., IL Forest Preserve, 7.40%, 11/01/98......... 501,571
185,000 Homewood Flossmoor, IL Park Dist, 4.60%, 12/01/98....... 185,165
100,000 Illinois State Sales Tax Rev, 6.20%, 06/15/99........... 101,642
130,000 Kane Co., IL Public Bldg Comm., 4.20%, 12/01/98......... 130,031
100,000 Sangamon Co., IL CUSD#5, 7.35%, 12/01/98................ 100,575
100,000 Schaumburg, IL Park District, 6.70%, 12/01/98........... 100,456
175,000 University of Illinois, Auxiliary Fac, 4.00%, 10/01/98.. 175,000
-------------
1,294,440
-------------
Indiana (0.27%)
100,000 Purdue University, IN, 4.65%, 07/01/99.................. 100,690
-------------
Kansas (0.81%)
200,000 Kansas City, KS New Pub Hsg, 5.50%, 02/01/99............ 201,141
100,000 Wichita, KS Water & Sewer, 4.80%, 10/01/98.............. 100,000
-------------
301,141
-------------
Kentucky (0.14%)
50,000 Jefferson Co., KY School Dist, 6.70%, 02/01/99.......... 50,440
-------------
Louisiana (0.27%)
100,000 Louisiana State Gas Tax Rev, 7.00%, 11/15/98............ 100,395
-------------
Maine (0.48%)
175,000 Maine Municipal Bond Bank, 7.45%, 11/01/98.............. 178,563
-------------
- ----------------
* Effective yield at date of purchase.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL ASSETS FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUNICIPAL BONDS (CONTINUED):
Michigan (2.72%)
$300,000 Kent Hospital Finance Auth, MI, 7.00%, 07/01/99......... $312,822
150,000 Michigan State Trunk Line, 6.00%, 08/15/99.............. 152,730
175,000 No. Huron, MI Public Schools, 4.50%, 05/01/99........... 175,539
370,000 Ottawa Co., MI Water Supply, 3.70%, 08/01/99............ 369,692
-------------
1,010,783
-------------
Minnesota (2.98%)
250,000 Minneapolis, MN Health Fac, 4.00%, 05/01/99............. 250,000
750,000 Rockford, MN ISD #883, 7.20%, 12/15/98.................. 755,169
100,000 So. Washington Co., MN ISD #833, 6.50%, 06/01/99........ 101,610
-------------
1,106,779
-------------
Missouri (0.67%)
250,000 O'Fallon, MO Public Facility Auth, 3.60%, 09/01/99...... 250,000
-------------
Nebraska (0.27%)
100,000 Omaha Public Power Dist., NE, 4.25%, 02/01/99........... 100,145
-------------
Nevada (1.28%)
475,000 Nevada State, Municipal Proj R-5, 4.10%, 11/01/98....... 475,080
-------------
New Hampshire (1.35%)
500,000 Concord, NH, 7.75%, 10/15/98............................ 500,752
-------------
New Jersey (1.92%)
205,000 Essex Co., NJ, 3.60%*, 12/15/98......................... 181,053
430,000 Greenwich Twp School Dist, NJ, 4.70%, 01/15/99.......... 431,169
100,000 New Jersey State Transportation, 5.00%, 12/15/98........ 100,249
-------------
712,471
-------------
New York (0.68%)
100,000 New York, NY Mun Water Fin Auth, 7.20%, 06/15/99........ 102,256
150,000 Onondaga Co., NY Series A, 8.50%, 10/01/98.............. 150,000
-------------
252,256
-------------
North Carolina (0.55%)
205,000 Durham, NC Public Impr, 4.70%, 02/01/99................. 205,786
-------------
Ohio (1.82%)
290,000 Anna, OH Local School Dist, 3.65%, 12/01/98............. 290,000
245,000 Hudson City, OH, Real Estate, 4.50%, 12/01/98........... 245,317
140,000 Hudson City, OH, Water System, 4.50%, 12/01/98.......... 140,181
-------------
675,498
-------------
- ----------------
* Effective yield at date of purchase.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL ASSETS FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUNICIPAL BONDS (CONTINUED):
Pennsylvania (1.90%)
$100,000 Pennsylvania State 2nd Series, 5.30%, 07/01/99.......... $101,164
200,000 Pennsylvania State, Series A, 6.70%, 10/15/98........... 200,223
200,000 Pennsylvania State, Series A, 7.20%, 10/15/98........... 203,258
200,000 SE Pennsylvania Trans Auth, 4.35%, 03/01/99............. 200,399
-------------
705,044
-------------
South Carolina (0.32%)
115,000 Grand Strand Water & Sewer, SC, 7.00%, 06/01/99......... 117,544
-------------
Tennessee (0.41%)
150,000 Shelby Co., TN Series A, 6.30%, 03/01/99................ 152,987
-------------
Texas (1.93%)
150,000 Comal, TX Ind. School Dist., 10.00%, 02/01/99........... 152,976
150,000 Mesquite, TX Ctfs, 4.25%, 02/15/99...................... 150,242
210,000 Nueces Co., TX Ctfs, 3.90%, 02/01/99.................... 210,102
200,000 Ysleta, TX Ind. School Dist, 7.00%, 08/15/99............ 205,593
-------------
718,913
-------------
Washington (6.29%)
100,000 King & Snohomish Cos., WA Schools, 5.60%, 12/01/98...... 100,299
145,000 Kitsap Co., WA Public Trans., 4.88%, 12/01/98........... 145,194
500,000 Lynnwood, WA Water & Sewer, 7.45%, 12/01/98............. 507,953
100,000 Washington State Pub Pwr, 7.20%, 07/01/99............... 102,558
500,000 Washington State Pub Pwr, 7.25%, 07/01/99............... 522,849
325,000 Washington State Pub Pwr, 7.25%, 07/01/99............... 340,001
250,000 Washington State Pub Pwr, 7.50%, 07/01/99............... 261,787
200,000 Washington State Refunding, 6.00%, 09/01/99............. 204,094
150,000 Washington State, 7.40%, 12/01/98....................... 150,856
-------------
2,335,591
-------------
West Virginia (0.74%)
130,000 West Virginia State Bd of Regents, 7.25%, 04/01/99...... 132,393
135,000 West Virginia State Parkways, 7.13%, 07/01/99........... 141,108
-------------
273,501
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL ASSETS FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUNICIPAL BONDS (CONTINUED):
Wisconsin (2.00%)
$135,000 Iowa-Grant School Dist., WI, 4.40%, 03/01/99............ $135,269
200,000 Menomonee Falls, WI, 4.20%, 09/01/99.................... 200,979
135,000 Vilas Co., WI, Promissory Notes, 4.70%, 12/01/98........ 135,142
100,000 Waupun, WI Nursing Home Rev, 9.25%, 10/01/98............ 102,000
170,000 Wisconsin State Health & Ed, 5.00%, 12/01/98............ 170,379
-------------
743,769
-------------
Total Municipal Bonds............................. 14,398,298
-------------
Total Investments in Securities (99.18%)
(Cost--$36,849,347)............................... $36,849,347
Other Assets & Liabilities (0.82%)................ 306,049
-------------
NET ASSETS (100.00%).............................. $37,155,396
=============
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
LIMITED TERM BOND FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. TREASURY NOTES (20.35%):
$2,000,000 6.75%, 04/30/00........................................ $2,068,440
3,000,000 6.50%, 05/31/01........................................ 3,157,980
2,000,000 6.38%, 07/15/99........................................ 2,026,240
1,000,000 6.38%, 01/15/00........................................ 1,022,340
2,500,000 6.63%, 04/30/02........................................ 2,685,150
-------------
Total U.S. Treasury Notes 10,960,150
-------------
U.S. GOVERNMENT AGENCIES (14.92%):
1,000,000 Federal Home Loan Bank, 5.50%, 01/21/03................ 1,025,313
1,000,000 Federal National Mrtge. Assoc., Step Up,
8.63%*, 11/10/04....................................... 948,800
1,000,000 Federal National Mrtge. Assoc., 6.38% 10/13/00......... 1,001,870
1,000,000 Federal National Mrtge. Assoc., 7.28% 05/23/07......... 1,081,870
1,000,000 Federal National Mrtge. Assoc., 6.25%,12/13/02......... 1,016,090
2,000,000 Federal Home Loan Mrtge. Corp., Disc Note,
5.54%*, 10/02/98....................................... 1,999,697
1,000,000 Federal National Mrtge. Assoc., Strip P/O**,
7.91%, 8/10/04......................................... 959,370
-------------
Total U.S. Government Agencies 8,033,010
-------------
MORTGAGE-BACKED SECURITIES (31.51%):
Collateralized Mortgage Oblig (20.50%)
2,000,000 Federal Home Loan Mrtge. Corp. 1465 E,
6.50%, 09/15/06....................................... 2,040,000
2,000,000 Federal Home Loan Mrtge. Corp. 1515 E,
6.50%, 03/15/07........................................ 2,064,360
1,000,000 Federal National Mrtge. Assoc. 1993-72G,
6.50%, 05/25/08........................................ 1,059,060
2,000,000 Federal Home Loan Bank 3Y-03A, 6.06%, 05/27/03......... 2,013,200
1,000,000 Federal Home Loan Mrtge. Corp. T-11 A3,
6.50%, 03/25/11........................................ 1,023,050
952,066 Federal National Mrtge. Assoc. Ser G 93-8,
6.50%, 07/25/18........................................ 953,846
841,783 Federal National Mrtge. Assoc. 97-72 VA,
7.00%, 10/18/02........................................ 868,611
1,000,000 Fingerhut 98-1A, 6.07%, 02/15/05....................... 1,017,110
-------------
11,039,237
-------------
Federal Home Loan Mrtge. Corp. Mortgage-Backed Pools (2.07%)
1,091,216 #E61274, 7.00%, 08/01/09............................... 1,118,857
-------------
Federal National Mrtge. Assoc. Mortgage-Backed Pools (2.21%)
1,175,180 1993-14A, 6.00%, 02/25/08.............................. 1,187,660
-------------
Asset Backed (6.73%)
1,000,000 Ford 98-C A4, 5.81%, 03/15/02.......................... 1,011,410
696,059 Nations Credit Grantor Trust 97-1, 6.75%, 08/15/13..... 714,518
1,893,147 Bear Asset Trust Securities Series 97-1A,
6.69%, 06/15/03........................................ 1,895,740
-------------
3,621,668
-------------
Total Mortgage-Backed Securities....................... 16,967,422
-------------
* Effective yield at date of purchase
** Principal only represents securities that entitle holders to receive only
principal payments on the underlying mortgages. The yield to maturity of
principal only is sensitive to the rate of principal payments on the
underlying mortgages. A slow (rapid) rate of principal repayments may have
an adverse (positive) effect on yield to maturity. Interest rate disclosed
represents current yield at date of purchase.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
LIMITED TERM BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. TAXABLE MUNICIPAL BONDS (1.95%):
$1,000,000 State of TX Veterans Hsg. Fund, 6.73%, 06/01/21........ $1,049,600
-------------
CORPORATE BONDS (29.64%):
Banking (1.92%)
1,000,000 BankAmerica, 6.25% 05/30/01............................ 1,031,870
-------------
Banking And Financial Service (1.85%)
1,000,000 Bankers Trust, 5.85% 05/11/00.......................... 994,640
-------------
Financial Services (5.75%)
1,000,000 Salomon Smith Barney, 6.63%, 11/15/03.................. 1,036,080
1,000,000 Merrill Lynch, 6.88%, 03/01/03......................... 1,051,830
1,000,000 Associates, 5.85%, 01/15/01............................ 1,013,920
-------------
3,101,830
-------------
Finance Companies (3.81%)
1,000,000 Beneficial Corp., 6.27%, 12/06/01...................... 1,030,200
1,000,000 Bear Stearns, 7.34%, 12/19/06.......................... 1,020,920
-------------
2,051,120
-------------
Home Furnishings (1.92%)
1,000,000 American Home Products, 7.70%, 02/15/00................ 1,034,430
-------------
Industrial Goods And Services (8.59%)
1,000,000 Reynolds & Reynolds, 6.12%, 03/02/01................... 1,020,700
1,000,000 McKesson Corp., 6.30%, 03/01/05........................ 1,057,500
1,000,000 Loyola University, 6.03%, 06/15/00..................... 1,016,300
500,000 Cummins Engine, 6.75% 02/15/27......................... 510,630
1,000,000 Comdisco, 6.13%, 08/01/01.............................. 1,020,270
-------------
4,625,400
-------------
Railroads (2.00%)
1,000,000 Norfolk Southern Railway Equip. Trust, 7.75%, 08/15/02. 1,077,350
-------------
Telecommunications (3.80%)
1,000,000 Worldcom, Inc., 6.13%, 08/15/01........................ 1,023,070
1,000,000 Bell South 6.00% 6/15/02............................... 1,021,820
-------------
2,044,890
-------------
Total Corporate Bonds.................................. 15,961,530
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
LIMITED TERM BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
Cash Equivalents (2.88%):
Mutual Funds
$364,053 Invest Cash Mgmt Fund, 4.90%*.......................... $364,053
1,186,400 Government Assets Fund T Shares, 5.29%*................ 1,186,400
-------------
1,550,453
-------------
Total Investments in Securities (101.25%)
(Cost $53,348,272) (a)............................ $54,522,165
-------------
Other Assets & Liabilities (-1.25%).................... (674,470)
-------------
NET ASSETS (100.0%).................................... $53,847,695
=============
- ----------------
(a) At September 30, 1998, cost for federal income tax purposes differs from
market value by net unrealized appreciation of securities as follows.
Unrealized Appreciation...........$1,177,683
Unrealized Depreciation..............($3,790)
----------
Net Unrealized Appreciation.......$1,173,893
==========
* Rates shown for money markets are as of September 30, 1998.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BOND FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. GOVERNMENT SECURITIES (14.89%):
Government Agencies (5.28%)
$1,000,000 SLMA, 5.96%, 12/10/99.................................. $1,002,030
-------------
U.S. Treasury Bonds (6.16%)
275,000 7.25%, 05/15/16........................................ 341,344
650,000 7.50%, 11/15/16........................................ 827,430
-------------
1,168,774
-------------
U.S. Treasury Notes (3.45%)
250,000 6.50%, 05/15/05........................................ 280,118
350,000 6.63%, 03/31/02........................................ 375,266
-------------
655,384
-------------
Total U.S. Government Securities 2,826,188
-------------
CORPORATE BONDS (31.06%):
Finance (3.34%)
130,000 Hubco, Inc., 7.75%, 01/15/04........................... 142,025
250,000 GMAC, 8.88%, 06/01/10.................................. 320,530
165,000 Lehman Brothers MTN., 8.05%, 01/15/19.................. 172,194
-------------
634,749
-------------
International (3.48%)
185,000 Nova Scotia, 8.25%, 11/15/19........................... 229,900
400,000 Naples, City of Italy, 7.52%, 07/15/06................. 429,500
-------------
659,400
-------------
Industrial (19.55%)
140,000 Dayton Hudson, 10.00%, 12/01/00........................ 153,675
250,000 WMX Technologies, 6.65%, 05/15/05...................... 253,498
250,000 Boise Cascade Co., 9.88%, 02/15/01..................... 251,858
500,000 Tupperware, 7.25%, 10/01/06............................ 537,300
68,000 Sears Roebuck, 9.50%, 06/01/99......................... 69,894
415,000 Fletcher, 6.75%, 03/24/05.............................. 406,957
500,000 Millipore Corp. 7.20%, 04/01/02........................ 512,475
250,000 K-Mart Corp., 7.17%, 07/24/00.......................... 250,145
750,000 Ikon Office, 6.75%, 11/01/04........................... 745,238
500,000 Geon Comp. 6.88%, 12/15/05............................. 530,720
-------------
3,711,760
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
CORPORATE BONDS (CONTINUED):
Utilities (4.69%)
$75,000 Citizens Utilities, 6.80%, 08/15/26.................... $79,341
500,000 Boise Cascade, 7.05%, 05/15/05......................... 479,615
200,000 Texas East Trans., 8.25%, 10/15/04..................... 229,810
100,536 Salton Sea, 7.02%, 05/30/00............................ 101,556
-------------
890,322
-------------
Total Corporate Bonds.................................. 5,896,231
-------------
U.S. TAXABLE MUNICIPAL BONDS (10.04%):
230,000 Berry Creek Met Dist, CO, 7.05%, 12/01/03.............. 245,477
125,000 Fulton MO, Import Taxable Sinking Fund,
7.60%, 07/01/11........................................ 145,388
85,000 Manteca, CA, Financial Auth., 6.63%, 09/15/99.......... 84,839
313,022 Mille Lacs Band Of Ojibwe Indians, (Grand Casino)
Rev. Notes, 8.00%, 06/01/04............................ 324,454
155,000 New Orleans, LA, Housing Dev., Taxable,
8.00%, 12/01/03........................................ 160,844
121,142 Oregon Dept. of Trans., 9.00%, 06/15/00............... 124,417
175,000 Portland, OR, MFH, 7.63%, 12/01/01..................... 183,050
90,000 Prairie Du Chien, WI, Redevelopment Auth.,
7.60%, 04/01/05........................................ 99,544
100,000 Prairie Du Chien, WI, Redevelopment Auth.,
7.63%, 04/01/06........................................ 112,231
150,000 St. Paul, MN, Port Auth., 6.65%, 09/01/99.............. 151,544
80,000 Texas St. G.O. Taxable, 8.70%, 12/01/09................ 93,732
165,000 Washington St, HSA., 7.65%, 01/01/04................... 180,738
-------------
Total U.S. Taxable Municipal Bonds..................... 1,906,258
-------------
MORTGAGE-BACKED SECURITIES (40.22%):
Collateralized Mortgage Obligations (11.90%)
32,989 Federal National Mrtge. Assoc., 92-212C,
5.50% 11/25/99......................................... 32,907
430,000 Block 1997-1 A2, 6.85%, 10/25/11....................... 448,043
10,745 Chase Mortgage Finance Corp., 93-F1,
5.75%, 04/25/09........................................ 10,885
100,000 Federal Home Loan Mrtge. Corp., 1504B,
7.00%, 12/15/22........................................ 101,968
477,303 FHR 1652 K, 7.00%, 06/15/23............................ 481,031
86,446 FHR 1686, 5.00%, 09/15/20.............................. 86,257
10,359 Federal Home Loan Mrtge. Corp., L5, 7.90%, 05/01/01.... 10,851
36,186 Federal National Mrtge. Assoc. '91-174K,
7.00%, 04/25/06........................................ 36,525
103,492 Federal National Mrtge. Assoc. 1992-60C,
7.50%, 04/25/99........................................ 103,976
50,837 General Electric Capital Mrgte. Serv., 94-1A1,
5.70%, 01/25/24........................................ 50,742
140,000 General Electric Capital Mrtge. Serv. 97-HE3A3,
6.52%, 08/25/13........................................ 142,121
125,000 Green Tree, 1996-2 A2, 6.45%, 04/15/27................. 126,523
400,000 Green Tree, 1196-10 A3, 6.16%, 11/15/28................ 400,872
5,950 Residential Funding Mtge. SEC, I 93-S7A6,
7.15%, 02/25/08........................................ 5,948
294,450 Salomon Mortgage Sec. VII, 1995-1, P/O,
10.54*, 02/25/25....................................... 220,330
-------------
2,258,979
-------------
* Principal only represents securities that entitle holders to receive only
principal payments on the underlying mortgages. The yield to maturity of
principal only is sensitive to the rate of principal payments on the
underlying mortgages. A slow (rapid) rate of principal repayments may have
an adverse (positive) effect on yield to maturity. Interest rate disclosed
represents current yield at date of purchase.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MORTGAGE-BACKED SECURITIES (CONTINUED):
Federal Home Loan Mrtge. Corp. Mortgage-Backed Pools (3.02%)
$74,253 #C00126, 8.50%, 06/01/22............................... $77,602
244,556 #E00548, 6.50%, 05/01/13............................... 249,939
240,205 #00538, 6.50%, 03/01/13................................ 245,491
-------------
573,032
-------------
Federal National Mrtge. Assoc. Mortgage-Backed Pools (11.45%)
413,200 #251286, 7.00%, 10/01/27............................... 424,806
224,548 #313873, 7.00%, 12/01/27............................... 230,856
484,438 #408827, 6.50%, 02/01/28............................... 492,703
997,257 #430093, 7.00%, 06/01/28............................... 1,025,270
-------------
2,173,635
-------------
Government National Mrtge. Assoc. Mortgage-Backed Pools (13.85%)
40,212 #354189, 7.50% 05/01/23................................ 41,729
76,646 #359600, 7.50%, 07/15/23............................... 79,534
204,584 #376218, 7.50%, 08/15/25............................... 212,165
135,568 #385300, 8.00%, 10/15/24............................... 141,310
132,957 #410049, 8.00%, 07/15/25............................... 138,547
434,927 #412334, 7.00%, 10/15/27............................... 449,140
208,437 #412645, 8.00%, 08/15/26............................... 217,200
220,140 #440404, 7.50%, 04/15/27............................... 228,299
245,075 #454375, 7.00%, 03/15/28............................... 253,084
24,033 #315929, 9.00%, 06/15/22............................... 25,783
38,037 #341681, 8.50%, 01/15/23............................... 40,207
340,403 #780213, 7.50%, 08/15/25............................... 353,229
435,632 #780619, 7.00%, 08/15/12............................... 449,211
-------------
2,629,438
-------------
Total Mortgage Related Securities...................... 7,635,084
-------------
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
CASH EQUIVALENTS (2.62%):
Mutual Funds
$496,902 Government Assets Fund T Shares, 5.29%*................ $496,902
-------------
Total Investments in Securities (98.83%)
(Cost $18,154,765) (a)............................ $18,760,663
Other Assets & Liabilities (1.17%)..................... 222,641
-------------
Net Assets (100.0%).................................... $18,983,304
=============
- ---------------
(a) Cost for federal income tax purposes differs from market value by net
unrealized appreciation of securities as follows:
Unrealized Appreciation............$666,327
Unrealized Depreciation............($60,429)
--------
Net Unrealized Appreciation........$605,898
========
* Rate shown for money market is as of September 30, 1998.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
INCOME FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. TREASURY NOTES (8.01%):
$500,000 6.50%, 05/15/05........................................ $560,235
1,050,000 6.13%, 09/30/00........................................ 1,084,619
1,000,000 6.38%, 01/15/00........................................ 1,022,340
2,000,000 6.25%, 02/15/03........................................ 2,150,620
1,500,000 6.25%, 05/31/00........................................ 1,542,660
1,000,000 5.88%, 11/15/05........................................ 1,089,840
200,000 6.63%, 04/30/02....................................... 214,812
-------------
Total U.S. Treasury Notes.............................. 7,665,126
-------------
U.S. TREASURY BONDS (4.67%):
2,250,000 7.25%, 08/15/22........................................ 2,875,432
1,250,000 7.50% 11/15/16......................................... 1,591,213
-------------
Total U.S. Treasury Bonds.............................. 4,466,645
-------------
MORTGAGE-BACKED SECURITIES (46.13%):
Collateralized Mortgage Obligations (11.09%)
1,434,150 Ryland Mortgage Securities Corp. 1993-4 A5,
7.50%, 08/25/24........................................ 1,466,419
2,465,015 Federal Home Loan Mortgage Corp., 7.59%, 01/25/02...... 2,617,254
2,000,000 Federal Home Loan Mortgage Corp., 7.00%, 04/15/09...... 2,065,126
668,373 Federal National Mortgage Assoc. Remic 1992-141 G,
7.00%, 08/25/06........................................ 668,995
1,000,000 Bear Stearns CBO, 1998-1 Class A-2A (144A),
6.72%, 06/15/10........................................ 1,047,810
2,691,274 Prudential Home Mortgage Securities, 7.15%, 03/25/24... 2,737,510
-------------
10,603,114
-------------
Federal Home Loan Mrtge. Corp. Mortgage-Backed Pools (2.46%)
2,291,721 #C00592, 7.00%, Due 03/01/28........................... 2,352,795
-------------
Federal National Mrtge. Assoc. Mortgage-Backed Pools (7.57%)
2,287,397 #251614, 7.00%, 04/01/28............................... 2,351,650
2,363,777 #251697, 6.50%, 05/01/28............................... 2,404,103
995,474 #430203, 7.00%, 06/01/28............................... 1,023,437
1,410,435 #303971, 7.50%, 07/01/16............................... 1,463,101
-------------
7,242,291
-------------
Government National Mrtge. Assoc. Mortgage-Backed Pools (14.16%)
2,246,223 7.50%, 09/15/27........................................ 2,329,469
2,163,816 7.50%, 10/15/27........................................ 2,244,007
2,366,271 #462556, 6.50%, 02/15/28............................... 2,419,560
998,344 #486467, 7.00%, 08/15/28............................... 1,030,970
733,347 #780075, 8.00%, 03/15/25............................... 766,238
2,176,954 #780584, 7.00%, 06/15/27............................... 2,248,794
2,431,019 7.00%, 02/15/28........................................ 2,510,463
-------------
13,549,501
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
INCOME FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MORTGAGE-BACKED SECURITIES (CONTINUED):
Asset Backed (10.85%)
$1,893,147 Bear Asset Trust Securities Series 1997-1 A,
6.69%, 06/15/03........................................ $1,895,741
793,332 Green Tree Recreational Equipment, 6.55%, 07/15/28..... 819,115
2,000,000 Greentree 96-F A4, 7.30%, 01/15/28.................... 2,123,858
2,000,000 Imc Home Equity Loan 1996-4 A4, 7.11%, 08/25/14........ 2,056,300
1,392,117 Nations Credit Grantor Trust 97-1, 6.75%, 08/15/13..... 1,429,036
2,000,000 Olympic Auto 96-D A5, 6.25%, 11/15/04.................. 2,055,561
-------------
10,379,611
-------------
Total Mortgage-Backed Securities....................... 44,127,312
-------------
U.S. TAXABLE MUNICIPAL BONDS (8.00%):
1,000,000 Detroit Michigan Building Authority, 6.60%, 07/01/03... 1,065,540
1,000,000 Las Vegas NV, 7.20%, 07/01/15.......................... 1,074,140
567,353 Mille Lacs Band Of Ojibwe Indians, (Grand Casino)
Rev. Notes, 8.00%, 06/01/04............................ 588,072
3,640,000 State Of Texas Veterans Housing Fund II-Series B-1,
6.73%, 06/01/21........................................ 3,820,544
995,000 Wisconsin Housing, 7.98%, 03/01/21..................... 1,105,445
-------------
Total U.S. Taxable Municipal Bonds..................... 7,653,741
-------------
CORPORATE BONDS (29.12%):
Banking (2.92%)
500,000 Northern Trust Co., 6.50%, 05/01/03.................... 526,655
1,000,000 NationsBank Corp., 8.50% Due 01/15/07................. 1,180,760
1,000,000 First Union Corp., 7.05%, 08/01/05..................... 1,083,420
-------------
2,790,835
-------------
Electric Utility (2.13%)
1,000,000 Philadelphia El, 7.38%, 12/15/01....................... 1,010,330
1,000,000 Florida Power & Light, 6.88%, 04/01/04................. 1,024,220
-------------
2,034,550
-------------
Financial Services (6.67%)
1,000,000 Travelers Property Casualty, 6.75%, 04/15/01........... 1,039,000
1,000,000 Salomon Smith Barney, 6.88%, 06/15/05.................. 1,055,560
1,000,000 Norwest Financial, Inc., 7.50%, 04/15/05............... 1,113,630
500,000 Ford Motor Credit Corp., 7.50%, 01/27/03............... 536,015
1,000,000 John Deere Cap, 5.85%, 01/15/10........................ 1,013,560
500,000 John Deere, 8.63%, 08/01/19............................ 577,605
1,000,000 Commercial Credit, 6.88%, 05/01/02..................... 1,049,420
-------------
6,384,790
-------------
Finance Companies (1.08%)
1,000,000 Bear Stearns Co, 6.20%, 03/30/03....................... 1,028,750
-------------
Government Agency (0.78%)
700,000 Quebec Province, 6.19%, 03/10/26....................... 747,810
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
INCOME FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
CORPORATE BONDS (CONTINUED):
Industrial Goods and Services (6.49%)
$1,100,000 Pennzoil Co, 10.63%, 06/01/01.......................... $1,129,953
950,000 K Mart Corp, 7.17%, 07/24/00........................... 950,551
1,000,000 Ikon Office, 6.75%, 11/01/04........................... 993,650
2,000,000 Fletcher Challng Cap Can, 7.75%, 06/20/06.............. 2,050,360
1,000,000 Dayton Hudson, 9.84%, 09/15/00......................... 1,087,440
-------------
6,211,954
-------------
Leasing (1.09%)
1,000,000 Denver Arena Trust, 6.94%, 11/15/19.................... 1,044,190
-------------
Restaurants (0.23%)
197,222 Secured Restaurant Trust, 10.25%, 11/15/00............. 217,329
-------------
Retail Stores (4.04%)
3,000,000 Penney J.C. & Co., 7.38%, 08/15/08..................... 3,359,430
500,000 Sears Roebuck & Co., 8.02%, 12/28/98................... 502,880
-------------
3,862,310
-------------
Telecommunications (3.69%)
250,000 AT&T Corp., 8.20%, 02/15/05............................ 256,550
1,000,000 United Telephone Co. of Florida, 7.25%, 12/15/04....... 1,105,550
1,000,000 MCI Communications Corp., 8.25%, 01/20/23.............. 1,104,760
1,000,000 GTE Florida, Inc., 6.25%, 11/15/05..................... 1,063,890
-------------
3,530,750
-------------
Total Corporate Bonds.................................. 27,853,268
-------------
MEDIUM TERM NOTES (1.08%):
1,000,000 Newell Co., 6.40%, 06/10/02............................ 1,037,850
-------------
CASH & EQUIVALENTS (2.26%):
Commercial Paper (1.04%)
1,000,000 USASMS Commercial Paper (SLMA Loc), Due 10/6/98........ 999,239
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
INCOME FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
CASH & EQUIVALENTS (CONTINUED):
Mutual Funds (1.22%)
$1,167,335 Government Assets Fund T Shares, 5.29%*................ $1,167,335
-------------
Total Cash & Equivalents............................... 2,166,574
-------------
Total Investments in Securities (99.27%)
(Cost $91,418,941) (a)............................ $94,970,516
Other Assets & Liabilities (0.73%)..................... 694,538
-------------
NET ASSETS (100.0%).................................... $95,665,054
=============
- ----------------
(a) At September 30, 1998, cost for federal income tax purposes differs from
market value by net unrealized appreciation of securities as follows.
Unrealized Appreciation.............$3,629,175
Unrealized Depreciation...............($77,600)
----------
Net Unrealized Appreciation.........$3,551,575
==========
* Variable rate security, interest rate is as of September 30, 1998
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL BOND FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
Municipal Bonds (86.55%):
Arizona (2.02%)
$1,000,000 Phoenix, AZ G.O., 5.00%, 07/01/12...................... $1,049,150
-------------
Delaware (0.99%)
500,000 Sussex County, DE,4.90%, 10/15/01...................... 513,705
-------------
Florida (6.09%)
500,000 Martin County, FL, General Obligation, 4.25%, 02/01/01. 506,525
500,000 Jacksonville, FL Elec. Auth. Rev., Ref. St. Johns
River Issue 2 Series 8, 5.13%, 10/01/07................ 523,560
500,000 State Of Florida Board Of Education, 5.13%, 06/01/05... 536,245
500,000 Florida School Boards Assoc., Inc. Lease Revenue,
6.75%, 07/01/04........................................ 526,920
1,000,000 Dade County, FL, 7.65%, 04/01/10....................... 1,074,160
-------------
3,167,410
-------------
Georgia (2.05%)
1,000,000 Atlanta, GA Public Improvement-Series B,
5.00%, 12/01/07........................................ 1,067,610
-------------
Idaho (1.01%)
500,000 Meridian Joint School District. #2 Idaho,
5.00%, 07/30/03........................................ 527,370
-------------
Illinois (17.79%)
500,000 Rockford Schl. Dist. #205, Winnebago & Boone Co.,
IL Schl Bonds, Ser 1992C, 5.25%, 02/01/01.............. 517,165
250,000 Winnebago County, IL School District 122,
5.75%, 06/01/01........................................ 263,160
400,000 Sangamon County, IL Certificate Participation,
6.40%, 12/01/00........................................ 421,272
300,000 Metropolitan Pier & Exposition Authority Illinois,
5.20%, 06/15/99........................................ 303,756
1,000,000 Macon County And Decatur Illinois Ctf Partn,
6.50%, 01/01/04........................................ 1,120,330
1,000,000 Kendall & Kane Counties, IL CSD #115 Yorkville,
5.65%, 01/01/08........................................ 1,097,250
500,000 Kane County, IL Motor Fuel Transport Revenue,
5.40%, 03/01/06........................................ 526,925
1,000,000 Joliet Illinois, 6.25% 01/01/11........................ 1,067,600
1,000,000 Illinois State Sales Tax Revenue, 5.00%, 06/15/09...... 1,063,920
465,000 Illinois Housing Dev. Auth., Single Family Mrtge.,
Rev., 6.50%, 02/01/09 ................................. 508,710
1,000,000 Illinois Health Facility-Northwestern, 6.75%, 08/15/11. 1,090,770
500,000 Chicago, IL Metropolitan Water, 5.25%, 12/01/04........ 536,950
500,000 Chicago, IL Metropolitan Water, Capital Improvement,
5.00%, 12/01/02........................................ 523,300
200,000 Cherry Valley General Obligations, 6.60%, 01/01/01..... 212,278
-------------
9,253,386
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUNICIPAL BONDS (CONTINUED):
Indiana (14.88%)
$1,000,000 Vinton-Tecumseh School Bldg Indiana, 4.25%, 07/05/03... $1,009,400
750,000 Marion County, IN, 6.60%, 06/01/03..................... 814,748
1,000,000 Kokomo-Center, IN School Building Corp.,
6.75%, 07/15/04........................................ 1,141,390
1,000,000 Indianapolis, IN, Utilities District, Reference
Series B, 4.00%, 06/01/12.............................. 956,210
1,000,000 Indianapolis, IN, Public Transportation,
6.00%, 07/01/10........................................ 1,098,620
1,000,000 Indiana University Higher Ed, 6.80%, 08/01/04.......... 1,087,940
500,000 Indiana Bond Bank (Elkhart Water/Sewer Refunding,
Bonds), 5.55%, 11/01/10................................ 541,695
1,000,000 Evansville, IN, Building Authority, 5.30%, 08/01/08.... 1,088,590
-------------
7,738,593
-------------
Iowa (1.06%)
500,000 Iowa State Certificate Participation, 6.50%, 07/01/06.. 552,480
-------------
Massachusetts (1.04%)
500,000 Massachusetts Bay Transportation Authority,
5.30%, 03/01/08........................................ 540,400
-------------
Minnesota (2.05%)
1,000,000 Minneapolis, MN, Reference Series A, 5.10%, 12/01/08... 1,063,950
-------------
Nevada (0.98%)
500,000 State Of Nevada, 4.40%, 11/01/01....................... 510,440
-------------
New Jersey (1.02%)
500,000 New Jersey Wastewater Treatment Trust Series A,
4.80%, 09/01/06........................................ 529,690
-------------
New York (1.94%)
1,000,000 Long Island, NY, Power, 4.10%, 12/01/00................ 1,008,260
-------------
Rhode Island (1.50%)
500,000 Rhode Island State, 4.90%, 06/15/04.................... 525,600
250,000 Rhode Island State Construction Capital,
Development Loan, Series B, 6.00%, 05/15/99............ 254,055
-------------
779,655
-------------
Tennessee (2.11%)
1,000,000 Metropolitan Gov't. Nashville & Davidson County,
TN, 5.50%, 07/01/08.................................... 1,098,710
-------------
Texas (7.30%)
1,000,000 San Antonio, TX, 6.00%, 08/01/08....................... 1,155,090
900,000 Sam Rayburn Texas Municipal, 6.00%, 09/01/10........... 1,047,897
1,000,000 Pharr-San Juan-Alamo, TX Independant School
District, 5.25%, 02/01/08.............................. 1,076,060
500,000 Dallas, TX Water & Sewer, 4.90%, 04/01/04.............. 519,835
-------------
3,798,882
-------------
Utah (1.05%)
500,000 Salt Lake County, UT, 5.50%, 12/15/04.................. 546,585
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUNICIPAL BONDS (CONTINUED):
Virginia (2.51%)
$195,000 Virginia Educational Loan Authority Series E,
5.50%, 03/01/01........................................ $202,556
1,000,000 Virginia Beach, VA, 5.40%, 09/01/09.................... 1,103,280
-------------
1,305,836
-------------
Washington (8.82%)
500,000 Washington State Government Obligation,
5.35%, 09/01/06........................................ 541,060
500,000 Washington State, 6.80%, 10/01/02...................... 515,895
1,000,000 Thurston County, WA #111, 5.00%, 12/01/10.............. 1,046,330
500,000 Seattle, WA Water System Revenue, 4.70%, 12/01/00...... 510,760
800,000 Grant County, WA Public Utilities Hydro-Electric,
5.60%, 01/01/10........................................ 878,008
1,000,000 Benton County, WA Public Utility, 5.45%, 11/01/08...... 1,096,740
-------------
4,588,793
-------------
Wisconsin (9.82%)
1,000,000 Wisconsin State Series A, 5.00%, 05/01/09.............. 1,051,480
500,000 Wisconsin Housing & Economic Development Revenue,
5.20%, 11/01/06........................................ 519,545
500,000 Sturgeon Bay, WI Combined Utility, 4.90%, 01/01/06..... 520,620
500,000 Milwaukee, WI, 5.15%, 11/15/08......................... 526,365
500,000 Madison, WI, 5.00%, 04/01/05........................... 530,145
400,000 Kenosha, WI Series A, 4.90%, 04/01/99.................. 403,144
500,000 Green Bay, WI Area Public Schools, 4.40%, 04/01/02..... 509,750
500,000 Franklin, WI Public School District, 4.75%, 04/01/04... 519,860
500,000 City Of Beloit, WI Sewer System Revenue Bond,
4.80%, 07/01/05........................................ 524,645
-------------
5,105,554
-------------
Wyoming (0.52%)
250,000 Cheyenne, WY General Obligations Unlimited,
5.45%, 12/01/01........................................ 262,805
-------------
Total Municipal Bonds.................................. 45,009,264
-------------
ALTERNATIVE MINIMUM TAX PAPER (9.28%):
190,000 Student Loan Funding Corp., Series C, 5.50%,
12/01/01............................................... 196,791
500,000 South Dakota Student Loan, 5.85%, 08/01/00............. 518,235
50,000 New Mexico Educational Assistance, 5.75%, 08/01/07..... 52,978
500,000 Massachusetts Education Loan Authority, 5.60%,
07/01/06............................................... 538,745
1,000,000 Iowa Student Loan Liquidity Corp. Series C, 5.10%,
06/01/09............................................... 1,058,160
500,000 Iowa Student Loan, 5.75%, 12/01/06..................... 525,615
300,000 Illinois Student Assistance Commission, Student Loan
Revenue, Ser M, 6.30%, 03/01/03........................ 323,577
500,000 Austin, TX Airport Revenue, 5.50%, 11/15/06............ 545,045
1,000,000 Alaska Student Loan, 5.63%, 07/01/07................... 1,070,820
-------------
Total Alternative Minimum Tax Paper.................... 4,829,966
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
MUNICIPAL BOND FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
CASH EQUIVALENTS (3.14%):
Mutual Funds (3.14%)
$1,631,843 Bankers Trust Tax Free Money Fund, 2.88%*.............. $1,631,843
-------------
Total Investments in Securities (98.97%)
(Cost $49,285,330) (a)............................ $51,471,073
-------------
Other Assets & Liabilities (1.03%)..................... 534,543
-------------
NET ASSETS (100.0%).................................... $52,005,616
=============
- ----------------
(a) At September 30, 1998, cost for federal income tax purposes differs from
market value by net unrealized appreciation of securities as follows.
Unrealized Appreciation.............$2,188,490
Unrealized Depreciation................($2,747)
----------
Net Unrealized Appreciation.........$2,185,743
==========
* Variable rate security, interest rate is as of September 30, 1998
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
BALANCED FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
U.S. TREASURY NOTES (4.35%):
$1,000,000 6.38%, 01/15/00........................................ $1,022,340
1,000,000 6.25%, 05/31/00........................................ 1,028,440
500,000 6.13%, 08/15/07........................................ 559,685
-------------
Total U.S. Treasury Notes 2,610,465
-------------
US TREASURY BONDS (3.61%):
1,300,000 7.50%, 11/15/16........................................ 1,654,861
400,000 7.25%, 08/15/22........................................ 511,188
-------------
Total U.S. Treasury Bonds 2,166,049
-------------
U.S. GOVERNMENT AGENCY ( 0.22%):
130,000 Federal National Mrtge. Assoc., 4.88%, 10/15/98........ 130,000
-------------
MORTGAGE-BACKED SECURITIES (12.96%):
Collateralized Mortgage Obligations (0.85%)
17,908 Chase Mortgage Finance Corp., 1993-F1, Class 1A2,
5.75%, 04/25/09........................................ 18,142
175,000 Collateralized Mtge. Securities Corp., 1991-6 Class,
P1, 7.00%, 09/20/21.................................... 175,219
175,000 Federal National Mrtge. Assoc., 1992-34 Class E,
7.00%, 07/25/20........................................ 79,981
79,067 Government National Mrtge. Assoc., 1994-6 Class G,
7.99%, 12/16/19........................................ 91,575
11,901 Residential Funding Mortgage, 1993-S7, Class A6,
7.15%, 02/25/08........................................ 11,897
179,544 Salomon Brothers Mortgage Securities, 1995-1,
VII P/O, 10.54%*, 02/25/25............................. 134,348
-------------
511,162
-------------
Federal Home Loan Mrtge. Corp. Mortgage-Backed Pools (1.02%)
572,930 #C00592, 7.00%, 03/01/28............................... 588,199
23,611 #A00851, 8.50%, 12/01/19............................... 24,754
-------------
612,953
-------------
Federal National Mrtge. Assoc. Mortgage-Backed Pools (2.95%)
137,733 #251286, 7.00%, 11/1/27................................ 141,602
571,849 #251614, 7.00%, 04/01/28............................... 587,913
590,944 #251697, 6.50%, 05/01/28............................... 601,026
424,669 #430203, 7.00%, 06/01/28............................... 436,598
-------------
1,767,139
-------------
Government National Mrtge. Assoc. Mortgage-Backed Pools (5.93%)
73,909 #359600, 7.50%, 07/15/23............................... 76,694
200,723 #376218, 7.50%, 08/15/25............................... 208,162
84,730 #385300, 8.00%, 10/15/24............................... 88,319
65,122 #410049, 8.00%, 07/15/25............................... 67,860
144,976 #412334, 7.00%, 10/15/27............................... 149,713
353,093 #780075, 8.00%, 03/15/25............................... 368,929
499,172 #486467, 7.00%, 08/15/28............................... 515,485
* Principal only represents securities that entitle holders to receive only
principal payments on the underlying mortgages. The yield to maturity of
principal only is sensitive to the rate of principal payments on the
underlying mortgages. A slow (rapid) rate of principal repayments may have
an adverse (positive) effect on yield to maturity. Interest rate disclosed
represents current yield at date of purchase.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
BALANCED FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
Government National Mrtge. Assoc. Mortgage-Backed Pools (Continued):
$540,954 7.50%, 10/15/27........................................ $561,002
591,568 #462556, 6.50%, 02/15/28............................... 604,890
87,331 #305975, 9.00%, 07/15/21............................... 93,908
35,458 #318184, 8.50%, 11/15/21............................... 37,591
544,239 #780584, 7.00%, 06/15/27............................... 562,198
217,816 #780619, 7.00%, 08/15/12............................... 224,606
-------------
3,559,357
-------------
Asset-Backed Securities (2.21%)
946,573 Bear Asset Trust Securities Series 1997-1 A,
6.69%, 06/15/03........................................ 947,870
363,611 Green Tree Recreational Equip., 6.55%, 07/15/28........ 375,428
-------------
1,323,298
-------------
Total Mortgage-Backed Securities....................... 7,773,909
-------------
U.S. TAXABLE MUNICIPAL BONDS (2.31%)
205,000 Berry Creek, CO, 6.65%, 12/01/01....................... 214,295
195,000 Fulton, MO, 7.60%, 07/01/11............................ 226,804
195,639 Millie Lacs Bankd of Ojibwe Indians (Grand Casino),
Rev. Notes, 8.00%, 06/01/04............................ 202,784
200,000 New Orleans, LA, Hsg. Dev., 8.00%, 12/01/03........... 207,540
110,000 Northwest Nazarene College, ID, 6.75%, 11/01/99........ 111,584
76,839 Oregon D.O.T., 9.00%, 06/15/00......................... 78,916
250,000 Portland, OR, Multifamily Hsg. 7.63%, 12/01/01........ 261,500
65,000 Texas State G.O., 8.70%, 12/01/09...................... 76,157
-------------
Total U.S. Taxable Municipal Bonds..................... 1,379,580
-------------
CORPORATE BONDS (13.15%):
Banking (1.57%)
800,000 NationsBank Corp., 8.50%, 01/15/07..................... 944,608
-------------
Electric Utility (0.87%)
500,000 Washington Water & Power, 6.24%, 10/02/00.............. 511,700
-------------
Financial Services (5.52%)
500,000 Bear Stearns, 6.25%, 07/15/05.......................... 507,000
250,000 General Motors Acceptance Corp., 6.50%, 12/05/05....... 265,865
500,000 General Motors Acceptance Corp., 7.50%, 04/11/00....... 517,955
210,000 HUBCO, INC., 7.75%, 01/15/04........................... 229,425
1,000,000 John Deere, 5.85%, 01/15/01........................... 1,013,560
250,000 Lehman Brothers, MTN, 8.05%, 01/15/19.................. 260,900
500,000 Salomon Smith Barney, 6.63%, 11/15/03.................. 518,040
-------------
3,312,745
-------------
Government Agency (0.53%)
300,000 Quebec Province, 6.19%, 03/10/26....................... 320,490
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BALANCED FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
CORPORATE BONDS (CONTINUED):
Industrial Goods and Services (3.72%)
$500,000 Cummins Engine, 6.75%, 02/15/27........................ $510,630
500,000 Fletcher Challenge, 7.75%, 06/20/06.................... 512,590
500,000 Ikon Office, 6.75%, 11/01/04........................... 496,825
300,000 K Mart Corp., 7.17%, 07/24/00.......................... 300,174
400,000 Pennzoil, Co., 10.63%, 06/01/01........................ 410,892
-------------
2,231,111
-------------
Sovereign (0.31%)
150,000 Nova Scotia, 8.25%, 11/15/19........................... 186,405
-------------
Transportation & Shipping (0.17%)
100,000 ATCH Top & SF, 7.09%, 02/15/01......................... 103,685
-------------
Telecommunications (0.46%)
250,000 AT&T Corp., 7.00%, 05/15/05............................ 274,710
-------------
Total Corporate Bonds.................................. 7,885,454
-------------
COMMON STOCKS (61.58%):
Aerospace & Military Technology (0.66%)
8,500 Sundstrand Corp........................................ 394,188
-------------
Automotive Parts & Equipment (0.96%)
5,000 Federal Mogul Corp..................................... 233,750
7,500 Lear Corp.............................................. 328,125
-------------
561,875
-------------
Banking (4.48%)
20,000 Bank Of New York Co., Inc.............................. 547,500
9,000 BankAmerica Corp. ..................................... 541,125
12,000 First Union Corp....................................... 614,250
5,000 NationsBank Corp....................................... 267,500
20,000 Norwest Corp........................................... 716,250
-------------
2,686,625
-------------
Beverages - Soft Drinks (0.94%)
19,100 Pepsico, Inc........................................... 562,256
-------------
Biotech (1.02%)
8,500 Elan Corp. ADS......................................... 612,531
-------------
Business Services (0.44%)
5,000 DST Systems, Inc....................................... 263,750
-------------
Chemicals (1.91%)
11,000 Air Products & Chemicals............................... 327,250
14,500 Monsanto Co............................................ 817,438
-------------
1,144,688
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BALANCED FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUED):
Computer Hardware (3.65%)
14,625 Cisco Systems, Inc..................................... $904,008
28,400 Compaq Computer Corp................................... 898,150
3,000 IBM.................................................... 384,000
-------------
2,186,158
-------------
Computer-Software and Peripheral (1.17%)
6,400 Microsoft Corporation.................................. 704,400
-------------
Consumer Goods & Services (3.14%)
17,000 Dial Corp.............................................. 350,625
13,000 Gillette Co............................................ 497,250
6,000 Procter & Gamble Co.................................... 425,625
10,000 Unilever N.V........................................... 612,500
-------------
1,886,000
-------------
Containers & Packaging (0.64%)
8,800 Avery Dennison Corp.................................... 384,450
-------------
Diversified (2.06%)
8,000 FDX Corporation........................................ 361,000
25,000 Kansas City Southern Inds.............................. 875,000
-------------
1,236,000
-------------
Electrical & Electronic (3.28%)
6,400 Emerson Electric Company............................... 398,400
13,400 General Electric Co.................................... 1,066,138
10,500 Solectron Corp......................................... 504,000
-------------
1,968,538
-------------
Entertainment (0.71%)
11,400 Walt Disney Co......................................... 288,563
5,000 Mattel................................................. 140,000
-------------
428,563
-------------
Financial Services (3.07%)
9,000 Assoc. First Capital "A"............................... 587,250
10,000 Fannie Mae............................................. 642,500
5,000 Morgan Stanley Dean Witter & Co........................ 215,313
10,500 Travelers Group, Inc................................... 393,750
-------------
1,838,813
-------------
Food Retail (0.77%)
10,000 Safeway, Inc........................................... 463,750
-------------
Health Care (0.71%)
11,000 Lincare Holdings, Inc.................................. 426,250
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BALANCED FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUED):
Health Care Products and Services (2.06%)
5,500 Baxter International, Inc.............................. $327,250
10,200 HCR Manor Care......................................... 298,988
23,200 Healthsouth Corp....................................... 245,050
20,000 Health Management Assoc. "A"........................... 365,000
-------------
1,236,288
-------------
Home Furnishings (1.41%)
18,400 Newell Company......................................... 847,550
-------------
Industrial Goods & Services (0.90%)
7,100 United Technologies Corp............................... 542,706
-------------
Insurance (2.74%)
13,200 Allstate Corp.......................................... 550,275
6,413 American International Group, Inc...................... 493,763
12,000 Marsh & McLennan Co.................................... 597,000
-------------
1,641,038
-------------
Medical Equipment & Supplies (0.74%)
6,000 Guidant Corp........................................... 445,500
-------------
Newspaper & Publishing (1.19%)
9,600 Gannett, Inc........................................... 514,200
4,000 Tribune Co............................................. 201,250
-------------
715,450
-------------
Office Equipment & Services (0.71%)
5,000 Xerox Corp............................................. 423,750
-------------
Oil & Gas Exploration Products & Services (2.38%)
12,600 Ensco International, Inc............................... 136,238
7,200 Halliburton Co......................................... 205,650
5,000 Mobil Corp............................................. 379,688
7,800 Schlumberger, Ltd...................................... 392,437
11,000 Williams Co............................................ 316,250
-------------
1,430,263
-------------
Pharmaceuticals (7.15%)
15,000 Abbott Laboratories.................................... 651,562
5,800 Bristol-Myers Squibb Co................................ 602,475
11,100 Eli Lilly & Co......................................... 869,269
8,700 Pfizer, Inc............................................ 921,656
5,000 Schering-Plough Corp................................... 517,813
13,300 Smithkline Beecham..................................... 728,175
-------------
4,290,950
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BALANCED FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUED):
Retail - General Merchandise (1.64%)
10,000 Dayton Hudson Corp..................................... $357,500
16,000 Kohl's Corp............................................ 624,000
-------------
981,500
-------------
Retail - Specialty Stores (5.41%)
20,000 CVS Corp............................................... 876,250
23,000 Lowe's Cos............................................. 731,688
30,000 Staples, Inc........................................... 881,250
17,200 Walgreen Company....................................... 757,875
-------------
3,247,063
-------------
Technology (1.09%)
12,000 Computer Sciences Corp................................. 654,000
-------------
Telecom Services & Equipment (0.69%)
13,000 Northern Telecom Limited............................... 416,000
-------------
Telecommunications (1.73%)
8,800 Ameritech Corp......................................... 416,900
14,000 SBC Communications, Inc................................ 622,125
-------------
1,039,025
-------------
Telecommunications-Services A (1.27%)
11,000 Lucent Technologies.................................... 759,684
-------------
Wholesale Distribution - Pharmaceuticals (0.86%)
5,000 Cardinal Health, Inc................................... 516,250
-------------
Total Common Stocks.................................... 36,935,852
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
BALANCED FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUTUAL FUNDS (1.74%)
1,044,279 Government Assets Fund T Shares, 5.29%*................ $1,044,279
-------------
Total Investments in Securities (99.92%)
(Cost $52,603,997) (a)............................ $59,925,588
-------------
Other Assets & Liabilities (0.08%)..................... 50,765
-------------
Net Assets (100.0%).................................... $59,976,353
=============
- ----------------
(a) At September 30, 1998, cost for federal income tax purposes differs from
market value by net unrealized appreciation of securities as follows.
Unrealized Appreciation..............$9,690,945
Unrealized Depreciation.............($2,369,355)
----------
Net Unrealized Appreciation..........$7,321,590
==========
* Variable rate security, interest rate is as of September 30, 1998
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
EQUITY FUND
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (99.58%):
Aerospace & Military Technology (1.58%)
140,000 Sundstrand Corp........................................ $6,492,500
-------------
Automotive Parts & Equipment (1.29%)
140,000 Dana Corp.............................................. 5,223,750
-------------
Banking (7.35%)
100,000 BankAmerica Corp....................................... 6,012,500
220,000 Bank Of New York Co., Inc.............................. 6,022,500
100,000 First Union Corp....................................... 5,118,750
50,000 NationsBank Corp....................................... 2,675,000
170,000 Norwest Corp........................................... 6,088,125
120,000 Regions Financial...................................... 4,350,000
-------------
30,266,875
-------------
Biotech (0.33%)
40,000 Agouron Pharmaceuticals, Inc........................... 1,377,500
-------------
Business Services (1.70%)
90,000 American Express....................................... 6,986,250
-------------
Chemicals (4.12%)
150,000 Avery Dennison Corp.................................... 6,553,125
80,000 Imperial Chemical, Sponsored ADR....................... 2,540,000
140,000 Monsanto Co............................................ 7,892,500
-------------
16,985,625
-------------
Computer Hardware (5.10%)
250,000 Compaq Computer Corp................................... 7,906,250
150,000 Cisco Systems, Inc..................................... 9,271,875
30,000 IBM.................................................... 3,840,000
-------------
21,018,125
-------------
Computer-Software and Peripheral (1.53%)
57,400 Microsoft Corporation.................................. 6,317,588
-------------
Consumer Goods & Services (6.99%)
200,000 Conagra, Inc........................................... 5,387,500
100,000 Colgate Palmolive Co................................... 6,850,000
140,000 Gillette Co............................................ 5,355,000
80,000 Procter & Gamble Co.................................... 5,675,000
90,000 Unilever N.V........................................... 5,512,500
-------------
28,780,000
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
EQUITY FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUE):
Diversified (4.35%)
120,000 FDX Corporation........................................ $5,415,000
150,000 Kansas City Southern .................................. 5,250,000
120,000 Textron, Inc........................................... 7,275,000
-------------
17,940,000
-------------
Electrical & Electronic (2.41%)
125,000 General Electric Co.................................... 9,945,313
-------------
Electronic Components/ Instruments (0.78%)
60,000 Philips Electronics.................................... 3,202,500
-------------
Entertainment (1.66%)
270,000 Walt Disney Co........................................ 6,834,375
-------------
Financial Services (8.59%)
120,000 H & R Block............................................ 4,965,000
90,000 Assoc. First Capital "A"............................... 5,872,500
180,000 Federal Home Loan Mortgage Corp........................ 8,898,750
120,000 Fannie Mae............................................. 7,710,000
80,000 Morgan Stanley Dean Witter & Co........................ 3,445,000
120,000 Travelers Group, Inc................................... 4,500,000
-------------
35,391,250
-------------
Health Care Products & Services (2.06%)
130,000 Abbott Laboratories.................................... 5,646,875
270,000 Healthsouth Corp....................................... 2,851,875
-------------
8,498,750
-------------
Home Furnishings (2.01%)
180,000 Newell Company......................................... 8,291,250
-------------
Insurance (4.40%)
85,500 American International Group, Inc...................... 6,583,500
170,000 Allstate Corp.......................................... 7,086,875
90,000 Marsh & McLennan Co.................................... 4,477,500
-------------
18,147,875
-------------
Medical Equipment & Supplies (1.62%)
90,000 Guidant Corp........................................... 6,682,500
-------------
Newspaper & Publishing (2.15%)
90,000 Gannett, Inc........................................... 4,820,625
80,000 Tribune Co............................................. 4,025,000
-------------
8,845,625
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
EQUITY FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUE):
Office Equipment & Services (1.44%)
70,000 Xerox Corp............................................. $5,932,500
-------------
Oil & Gas Exploration Products & Services (4.95%)
100,000 Diamond Offshore Drilling.............................. 2,600,000
250,000 Global Marine, Inc..................................... 2,765,625
120,000 Halliburton Co......................................... 3,427,500
200,000 R&B Falcon Corporation................................. 2,400,000
80,000 Schlumberger, Ltd...................................... 4,025,000
180,000 Williams Co............................................ 5,175,000
-------------
20,393,125
-------------
Pharmaceuticals (12.76%)
140,000 American Home Products Corp............................ 7,332,500
140,000 Eli Lilly & Co......................................... 10,963,750
170,000 Mylan Laboratories..................................... 5,015,000
100,000 Pfizer, Inc............................................ 10,593,750
160,000 Warner Lambert Co...................................... 12,080,000
130,000 Watson Pharmaceutical Inc.............................. 6,597,500
-------------
52,582,500
-------------
Retail - General Merchandise (4.03%)
200,000 Dayton Hudson Corp..................................... 7,150,000
110,000 Kohl's Corp............................................ 4,290,000
100,000 May Department Stores Co............................... 5,150,000
-------------
16,590,000
-------------
Retail - Specialty Stores (6.35%)
180,000 CVS Corp............................................... 7,886,250
240,000 Home Depot, Inc........................................ 9,480,000
200,000 Walgreen Company....................................... 8,812,500
-------------
26,178,750
-------------
Semiconductors (2.48%)
50,000 Intel Corp............................................. 4,287,500
170,000 Xilinx, Inc............................................ 5,950,000
-------------
10,237,500
-------------
Technology (3.09%)
150,000 Motorola, Inc.......................................... 6,403,125
120,000 Texas Instruments...................................... 6,330,000
-------------
12,733,125
-------------
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
EQUITY FUND (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUE):
Telecommunications-Services and Equipment (4.46%)
190,000 Alcatel SA............................................. $3,230,000
150,000 Lucent Technologies.................................... 10,359,374
150,000 Northern Telecom Limited............................... 4,800,000
-------------
18,389,374
-------------
Total Common Stocks.................................... 410,264,525
-------------
MUTUAL FUNDS (0.51%):
2,095,462 Government Assets Fund T Shares, 5.29%*................ 2,095,462
-------------
Total Investments in Securities (100.09%)
(Cost $311,024,589) (a)........................... $412,359,987
-------------
Other Assets & Liabilities (-0.09%).................... (364,713)
-------------
NET ASSETS (100.0%).................................... $411,995,274
=============
- ----------------
(a) At September 30, 1998, cost for federal income tax purposes differs from
market value by net unrealized appreciation of securities as follows.
Unrealized Appreciation..............$139,389,624
Unrealized Depreciation..............($38,054,226)
------------
Net Unrealized Appreciation..........$101,335,398
============
* Variable rate security, interest rate is as of September 30, 1998
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
AGGRESSIVE GROWTH
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (97.31%):
Advertising (1.43%)
30,000 Omnicom Group.......................................... $1,350,000
-------------
Aerospace & Military Technologies (1.13%)
23,000 Sundstrand Corp........................................ 1,066,625
-------------
Automotive (0.80%)
13,000 Magna Int'l*........................................... 755,625
-------------
Automotive Parts & Equipment (2.15%)
20,000 Federal Mogul Corp..................................... 935,000
25,000 Lear Corp*............................................. 1,093,750
-------------
2,028,750
-------------
Banking (6.65%)
70,000 Bank Of New York Co., Inc.............................. 1,916,250
30,000 First Union Corp....................................... 1,535,625
19,000 Mellon Bank Corp....................................... 1,046,188
50,000 Norwest Corp........................................... 1,790,625
-------------
6,288,688
-------------
Beverages - Soft Drinks (1.46%)
47,000 Pepsico, Inc........................................... 1,383,563
-------------
Business Services (2.26%)
10,000 DST Systems, Inc.*..................................... 527,500
31,250 Paychex, Inc........................................... 1,611,328
-------------
2,138,828
-------------
Chemicals (3.09%)
32,000 Air Products & Chemicals............................... 952,000
35,000 Monsanto Co............................................ 1,973,125
-------------
2,925,125
-------------
Computer Hardware (7.22%)
61,000 Compaq Computer Corp................................... 1,929,125
41,250 Cisco Systems, Inc*.................................... 2,549,765
7,000 IBM.................................................... 896,000
21,000 Lexmark International Group*........................... 1,455,563
-------------
6,830,453
-------------
Computer-Software And Peripheral (4.01%)
13,000 Keane, Inc.*........................................... 456,625
20,000 Microsoft Corporation*................................. 2,201,250
22,500 Network Associates Inc. *.............................. 798,750
10,000 Synopsys*.............................................. 333,125
-------------
3,789,750
--------------
*Represents non-income producing securities.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
AGGRESSIVE GROWTH (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUED):
Consumer Goods & Services (1.72%)
20,000 Dial Corp.............................................. $412,500
17,000 Gillette Co............................................ 650,250
8,000 Procter & Gamble Co.................................... 567,500
-------------
1,630,250
-------------
Containers & Packaging (1.28%)
27,800 Avery Dennison Corp.................................... 1,214,513
-------------
Diversified (3.13%)
19,000 FDX Corporation*....................................... 857,375
60,000 Kansas City Southern .................................. 2,100,000
-------------
2,957,375
-------------
Electrical & Electronic (2.45%)
8,000 General Electric Co.................................... 636,500
35,000 Solectron Corp*........................................ 1,680,000
-------------
2,316,500
-------------
Entertainment (0.59%)
20,000 Mattel................................................. 560,000
-------------
Financial Services (5.15%)
23,000 Assoc. First Capital "A"............................... 1,500,750
16,000 Federal Home Loan Mortgage Corp........................ 791,000
16,000 Fannie Mae............................................. 1,028,000
39,150 MBNA Corp.............................................. 1,120,669
10,000 Morgan Stanley Dean Witter & Co........................ 430,625
-------------
4,871,044
-------------
Food Retail (1.72%)
35,000 Safeway, Inc.*......................................... 1,623,125
-------------
Food - Wholesale Distributor (1.61%)
36,500 U.S. Foodservice *..................................... 1,519,313
-------------
Health Care (1.39%)
34,000 Lincare Holdings, Inc.*................................ 1,317,500
-------------
Health Care Products and Services (4.67%)
12,000 Baxter International, Inc.............................. 714,000
30,000 HCR Manor Care *....................................... 879,375
75,000 Healthsouth Corp*...................................... 792,188
64,125 Health Management Assoc. "A"*.......................... 1,170,281
25,000 Sunrise Assisted Living, Inc.*......................... 857,812
-------------
4,413,656
-------------
*Represents non-income producing securities.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
AGGRESSIVE GROWTH (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUED):
Home Furnishings (1.95%)
40,000 Newell Company......................................... $1,842,500
-------------
Industrial Goods & Services (1.74%)
20,000 Fastenal Co............................................ 500,000
15,000 United Technologies Corp............................... 1,146,563
-------------
1,646,563
-------------
Insurance (2.09%)
34,000 Allstate Corp.......................................... 1,417,375
15,000 Travelers Group, Inc................................... 562,500
-------------
1,979,875
-------------
Medical Equipment & Supplies (2.69%)
20,000 Guidant Corp........................................... 1,485,000
30,000 Omnicare, Inc.......................................... 1,057,500
-------------
2,542,500
-------------
Newspaper & Publishing (1.31%)
45,000 New York Times Co...................................... 1,237,500
-------------
Oil & Gas Exploration Products & Services (3.25%)
20,000 Ensco International, Inc............................... 216,250
10,000 Halliburton Co......................................... 285,625
26,000 Marine Drilling Co., Inc.*............................. 299,000
21,000 R&B Falcon Corporation*................................ 252,000
7,000 Schlumberger, Ltd...................................... 352,188
17,000 Weatherford International*............................. 367,625
45,300 Williams Co............................................ 1,302,375
-------------
3,075,063
-------------
Pharmaceuticals (8.52%)
8,000 Bristol-Myers Squibb Co................................ 831,000
17,000 Dura Pharmaceuticals, Inc*............................. 185,938
30,000 Eli Lilly & Co......................................... 2,349,375
16,000 Pfizer, Inc............................................ 1,695,000
12,000 Schering-Plough Corp................................... 1,242,750
32,000 SmithKline Beecham..................................... 1,752,000
-------------
8,056,063
-------------
Medical Instruments (1.56%)
20,500 Elan Corp. ADS*........................................ 1,477,281
-------------
Printing & Publishing (1.42%)
25,000 Gannett, Inc........................................... 1,339,063
-------------
*Represents non-income producing securities.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
AGGRESSIVE GROWTH (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
COMMON STOCKS (CONTINUED):
Research And Development (1.22%)
8,000 Centocor*.............................................. $317,000
40,000 Gartner Group, Inc.*................................... 835,000
-------------
1,152,000
-------------
Resorts And Entertainment (1.19%)
35,500 Carnival Cruise Lines.................................. 1,129,344
-------------
Retail Stores/Catalog (1.10%)
60,400 Men's Wearhouse, Inc.*................................. 1,041,900
-------------
Retail - General Merchandise (1.65%)
40,000 Kohl's Corp.*.......................................... 1,560,000
-------------
Retail - Specialty Stores (6.26%)
42,000 CVS Corp............................................... 1,840,125
52,000 Lowe's Cos............................................. 1,654,250
82,500 Staples, Inc.*......................................... 2,423,438
-------------
5,917,813
-------------
Technology (2.59%)
27,700 Computer Sciences Corp.*............................... 1,509,650
25,000 American Power Conversion*............................. 942,188
-------------
2,451,838
-------------
Telecom Services & Equipment (1.05%)
31,000 Northern Telecom Limited............................... 992,000
-------------
Telecommunications (0.52%)
10,000 MCI Worldcom, Inc.*.................................... 488,750
-------------
Telecommunications-Services and Equipment (1.93%)
20,648 Lucent Technologies.................................... 1,426,003
10,000 Tellabs, Inc.*......................................... 398,125
-------------
1,824,128
-------------
Wholesale Distribution (0.24%)
30,000 Brightpoint, Inc.*..................................... 230,620
-------------
Wholesale Distribution - Pharmaceuticals (1.09%)
10,000 Cardinal Health, Inc................................... 1,032,500
-------------
Total Common Stocks 91,997,984
-------------
*Represents non-income producing securities.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
AGGRESSIVE GROWTH (CONTINUED)
SCHEDULE OF PORTFOLIO INVESTMENTS
SEPTEMBER 30, 1998
(UNAUDITED)
SHARES OR
PRINCIPAL SECURITY AMORTIZED
AMOUNT DESCRIPTION COST
------ ----------- ----
MUTUAL FUNDS (2.74%):
2,587,174 Government Assets Fund T Shares, 5.29%*................ $2,587,174
-------------
Total Investments in Securities (100.04%)
(Cost $84,398,167) (a)............................ $94,585,158
-------------
Other Assets & Liabilities (0.04%)..................... (39,849)
-------------
NET ASSETS (100.0%).................................... $94,545,309
=============
- ----------------
(a) At September 30, 1998, cost for federal income tax purposes differs from
market value by net unrealized appreciation of securities as follows.
Unrealized Appreciation...............$19,882,506
Unrealized Depreciation................($9,695,515)
Net Unrealized Appreciation..........$10,186,991
* Variable rate security, interest rate is as of September 30, 1998
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
STATEMENTS OF ASSETS AND LIABILITIES
SEPTEMBER 30, 1998
(UNAUDITED)
<TABLE>
<CAPTION>
GOVERNMENT LIQUID MUNICIPAL LIMITED
ASSETS ASSETS ASSETS TERM BOND BOND
FUND FUND FUND FUND FUND
-------------- -------------- -------------- -------------- --------------
ASSETS:
<S> <C> <C> <C> <C> <C>
Investments, at value................................ $89,633,947 $95,327,560 $36,849,347 $54,522,165 $18,760,663
Repurchase agreements................................ 69,929,506 38,719,786 ----- ----- -----
-------------- -------------- -------------- -------------- --------------
Total Investments (Cost $159,563,453;
$134,047,346; $36,849,347; $53,348,272; $18,154,765) 159,563,453 134,047,346 36,849,347 54,522,165 18,760,663
Cash................................................. ----- ----- 82,471 ----- -----
Interest and dividends receivable.................... 10,145 1,155,946 323,033 624,568 266,601
Receivable for capital shares issued................. ----- ------- ------- 18,033 53,442
Prepaid expenses and other assets.................... ----- 23,190 22,903 16,753 1,972
-------------- -------------- -------------- -------------- --------------
Total Assets..................................... 159,573,598 135,226,482 37,277,754 55,181,519 19,082,678
-------------- -------------- -------------- -------------- --------------
LIABILITIES:
Dividends payable.................................... 581,512 494,804 93,977 221,354 84,240
Payable to brokers for investments purchased......... ------- ----- ----- 1,049,190 -----
Accrued expenses and other payables:
Investment advisory fees......................... 42,402 38,852 11,684 26,409 8,548
Administration fees.............................. 25,442 23,312 3,672 11,444 4,041
Accounting fees.................................. 3,634 3,330 1,004 1,320 907
Distribution fees................................ ----- 83,213 1,860 ----- -----
Servicing fees................................... ----- 62,605 10,161 ----- -----
Other............................................ 14,859 ----- ----- 24,107 1,638
-------------- -------------- -------------- -------------- --------------
Total Liabilities........................... 667,849 706,116 122,358 1,333,824 99,374
-------------- -------------- -------------- -------------- --------------
Net Assets.................................. $158,905,749 $134,520,366 $37,155,396 $53,847,695 $18,983,304
============== ============== ============== ============== ==============
</TABLE>
VINTAGE MUTUAL FUNDS, INC.
STATEMENTS OF ASSETS AND LIABILITIES (CONTINUED)
SEPTEMBER 30, 1998
(UNAUDITED)
<TABLE>
<CAPTION>
GOVERNMENT LIQUID MUNICIPAL LIMITED
ASSETS ASSETS ASSETS TERM BOND BOND
FUND FUND FUND FUND FUND
-------------- -------------- -------------- -------------- --------------
NET ASSETS:
<S> <C> <C> <C> <C> <C>
Paid-in capital...................................... $158,906,670 $134,520,366 $37,155,396 $53,030,109 $18,338,444
Undistributed (distributions in excess of)
net investment income.............................. 15,446 ----- ----- (156,105) 1,537
Net unrealized appreciation on investments........... ----- ----- ----- 1,173,893 605,898
Accumulated net realized gains (losses)
on investment transactions......................... (16,367) ----- ----- (200,202) 37,425
-------------- -------------- -------------- -------------- --------------
Net Assets....................................... $158,905,749 $134,520,366 $37,155,396 $53,847,695 $18,983,304
============== ============== ============== ============== ==============
Outstanding units of beneficial interest (shares).... 5,294,043 1,875,361
============== ==============
Net asset value--offering and redemption price per share $10.17 $10.12
============== ==============
S Shares
Net assets applicable to S Shares outstanding........ $80,030,859 $7,155,923
============== ==============
Shares outstanding, $.001 par value*................. 80,030,859 7,155,923
============== ==============
Net asset value--offering and redemption price per share $1.00 $1.00
============== ==============
S2 Shares
Net assets applicable to S2 Shares outstanding....... $10,603,198
==============
Shares outstanding, $.001 par value*................. 10,603,198
==============
Net asset value--offering and redemption price per share $1.00
==============
T Shares
Net assets applicable to T Shares outstanding........ $158,905,749 $29,457,478 $13,382,638
============== ============== ==============
Shares outstanding, $.001 par value*................. 158,922,240 29,457,478 13,382,638
============== ============== ==============
Net asset value--offering and redemption price per share $1.00 $1.00 $1.00
============== ============== ==============
I Shares
Net assets applicable to I Shares outstanding........ $14,428,830 $16,616,835
============== ==============
Shares outstanding, $.001 par value*................. 14,428,830 16,616,836
============== ==============
Net asset value--offering and redemption price per share $1.00 $1.00
============== ==============
</TABLE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF ASSETS AND LIABILITIES (CONTINUED)
SEPTEMBER 30, 1998
(UNAUDITED)
<TABLE>
<CAPTION>
MUNICIPAL AGGRESSIVE
INCOME BOND BALANCED EQUITY GROWTH
FUND FUND FUND FUND FUND
-------------- -------------- -------------- -------------- --------------
ASSETS:
<S> <C> <C> <C> <C> <C>
Investments, at value................................ $94,970,516 $51,471,073 $59,925,588 $412,359,987 $94,585,158
-------------- -------------- -------------- -------------- --------------
Total Investments (Cost $91,418,940; $49,285,330;
$52,603,997; $311,024,589; $84,398,167).......... 94,970,516 51,471,073 59,925,588 412,359,987 94,585,158
Interest and dividends receivable.................... 1,205,311 718,687 326,278 341,537 52,435
Receivable from brokers for investments sold......... ----- ----- ----- 1,130,012 -----
Receivable for capital shares issued................. ----- 29,768 89,291 200,411 38,938
Prepaid expenses and other assets.................... ----- ----- ----- 6,210 -----
-------------- -------------- -------------- -------------- --------------
Total Assets..................................... 96,175,827 52,219,528 60,341,157 414,038,157 94,676,531
-------------- -------------- -------------- -------------- --------------
LIABILITIES:
Dividends payable.................................... 431,694 155,925 280,056 ----- -----
Payable to brokers for investments purchased......... ----- ----- ----- 1,545,432 -----
Payable for capital shares redeemed.................. ----- ----- 5,000 5,000 -----
Accrued expenses and other payables:
Investment advisory fees......................... 46,949 25,141 37,540 260,374 74,880
Administration fees.............................. 20,344 10,894 13,014 90,264 20,493
Accounting fees.................................. 2,347 1,257 1,502 10,415 2,365
Servicing fees................................... ----- ----- ----- 37,981 -----
Other............................................ 9,439 20,695 27,692 93,417 33,484
-------------- -------------- -------------- -------------- --------------
Total Liabilities........................... 510,773 213,912 364,804 2,042,883 131,220
-------------- -------------- -------------- -------------- --------------
Net Assets.................................. $95,665,054 $52,005,616 $59,976,353 $411,995,274 $94,545,309
============== ============== ============== ============== ==============
</TABLE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF ASSETS AND LIABILITIES (CONTINUED)
SEPTEMBER 30, 1998
(UNAUDITED)
<TABLE>
<CAPTION>
MUNICIPAL AGGRESSIVE
INCOME BOND BALANCED EQUITY GROWTH
FUND FUND FUND FUND FUND
-------------- -------------- -------------- -------------- --------------
NET ASSETS:
<S> <C> <C> <C> <C> <C>
Paid-in capital...................................... $94,468,108 $49,749,591 $49,487,463 $267,243,826 $78,972,000
Undistributed (distributions in excess of)
net investment income.............................. (254,826) 8 319 (164,654) (361,473)
Net unrealized appreciation on investments........... 3,551,575 2,185,743 7,321,590 101,335,398 10,186,990
Accumulated net realized gains (losses)
on investment transactions......................... (2,099,803) 70,274 3,166,981 43,580,704 5,747,792
============== ============== ============== ============== =============
Net Assets....................................... $95,665,054 $52,005,616 $59,976,353 $411,995,274 $94,545,309
============== ============== ============== ============== =============
Outstanding units of beneficial interest (shares).... 9,283,573 4,823,553 4,226,225 6,389,361
============== ============== ============== =============
Net asset value--offering and redemption price per share $10.30 $10.78 $14.19 $14.80
============== ============== ============== =============
S Shares
Net assets applicable to S Shares outstanding.................... $180,279,096
==============
Shares outstanding, $.001 par value*................................ 9,844,059
==============
Net asset value--offering and redemption price per share $18.31
==============
T Shares
Net assets applicable to T Shares outstanding...................... $231,716,178
==============
Shares outstanding, $.001 par value*.................................. 12,629,266
==============
Net asset value--offering and redemption price per share $18.35
==============
</TABLE>
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED SEPTEMBER 30, 1998
(UNAUDITED)
<TABLE>
<CAPTION>
GOVERNMENT LIQUID MUNICIPAL LIMITED BOND
ASSETS ASSETS ASSETS TERM BOND FUND
FUND FUND FUND FUND
---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest income.......................................... $3,739,333 $3,357,387 $720,290 $1,514,273 $508,309
Dividend income.......................................... ----- ----- ----- ----- -----
---------- ---------- ---------- ---------- ----------
Total Income 3,739,333 3,357,387 720,290 1,514,273 508,309
---------- ---------- ---------- ---------- ----------
EXPENSES: (Note 4)
Investment advisory fees................................. 270,346 206,646 67,094 151,131 44,311
Administration fees...................................... 141,932 70,260 22,310 65,490 20,947
Distribution and adminstrative service fees.............. ----- ----- ----- 125,980 40,291
Distribution and adminstrative service fees S Shares..... ----- 283,799 16,895 ----- -----
Distribution and adminstrative service fees S2 Shares.... ----- 19,509 ----- ----- -----
Distribution and adminstrative service fees T Shares..... 336,096 28,214 14,638 ----- -----
Custody fees............................................. 6,448 41,004 18,467 2,801 5,061
Accounting fees.......................................... 20,276 17,713 5,751 6,709 2,417
Legal fees............................................... 2,021 3,614 784 917 202
Audit fees............................................... 13,408 10,609 4,901 4,863 774
Director's fees.......................................... 5,924 3,857 1,626 2,438 468
Transfer Agent fees...................................... 37,324 21,003 11,124 19,356 3,924
Registration and filing fees............................. 7,437 4,766 2,513 9,299 2,088
Printing fees............................................ 6,499 3,530 1,577 2,539 221
Other fees............................................... 6,231 5,253 3,809 6,324 2,413
---------- ---------- ---------- ---------- ----------
Total Expenses 853,942 719,777 171,489 397,847 123,117
Less: Expenses voluntarily reduced/waived............... (348,013) (53,027) (16,440) (125,980) (40,291)
---------- ---------- ---------- ---------- ----------
Net Expenses............................................. 505,929 666,750 155,049 271,867 82,826
---------- ---------- ---------- ---------- ----------
Net Investment Income (Loss)............................. 3,233,404 2,690,637 565,241 1,242,406 425,483
---------- ---------- ---------- ---------- ----------
REALIZED/UNREALIZED GAINS (LOSSES) FROM
INVESTMENTS:
Net realized gains (losses) from
investment transactions................................ ----- ----- ----- 9,532 5,875
Net change in unrealized appreciation
(depreciation) from investments........................ ----- ----- ----- 898,950 430,737
---------- ---------- ---------- ---------- ----------
Net realized and unrealized gains
(losses) from investments.............................. ----- ----- ----- 908,482 436,612
---------- ---------- ---------- ---------- ----------
Change in net assets resulting from operations........... $3,233,404 $2,690,637 $565,241 $2,150,888 $862,095
========== ========== ========== ========== ==========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF OPERATIONS (CONTINUED)
FOR THE SIX MONTHS ENDED SEPTEMBER 30, 1998
(UNAUDITED)
<TABLE>
<CAPTION>
Income Municipal Aggressive
Fund Bond Balanced Equity Growth
Fund Fund Fund Fund
---------- ---------- ----------- ------------ ------------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest income.......................................... $3,016,508 $1,197,778 $761,879 $91,663 $56,057
Dividend income.......................................... ----- ----- 181,975 2,521,343 323,985
---------- ---------- ----------- ------------ ------------
Total Income 3,016,508 1,197,778 943,854 2,613,006 380,042
---------- ---------- ----------- ------------ ------------
EXPENSES: (Note 4)
Investment advisory fees................................. 276,919 150,826 234,777 1,772,385 492,718
Administration fees...................................... 120,535 65,358 82,057 614,429 134,849
Distribution and adminstrative service fees.............. 231,827 125,695 157,801 590,795 259,320
Distribution and adminstrative service fees S Shares..... ----- ----- ----- 254,926 -----
Distribution and adminstrative service fees T Shares..... ----- ----- ----- 339,541 -----
Custody fees............................................. 3,542 2,493 4,521 15,220 4,748
Accounting fees.......................................... 13,907 6,437 8,509 70,387 14,620
Legal fees............................................... 1,406 907 1,276 8,055 2,026
Audit fees............................................... 8,880 5,260 7,574 47,189 11,740
Director's fees.......................................... 3,951 2,479 3,463 21,693 5,436
Transfer Agent fees...................................... 15,384 16,024 40,166 111,792 50,120
Registration and filing fees............................. 7,954 8,400 10,388 21,664 10,519
Printing fees............................................ 4,452 2,673 3,422 22,747 5,593
Other fees............................................... 10,213 6,686 8,918 29,383 9,146
---------- ---------- ----------- ------------ ------------
Total Expenses 698,970 393,238 562,872 3,920,206 1,000,835
Less: Expenses voluntarily reduced/waived............... (231,827) (125,695) (157,801) (930,336) (259,320)
---------- ---------- ---------- ------------ ------------
Net Expenses............................................. 467,143 267,543 405,071 2,989,870 741,515
---------- ---------- ----------- ------------ ------------
Net Investment Income (Loss)............................. 2,549,365 930,235 538,783 (376,864) (361,473)
---------- ---------- ----------- ------------ ------------
REALIZED/UNREALIZED GAINS (LOSSES) FROM
INVESTMENTS:
Net realized gains (losses) from
investment transactions............................... 332,436 70,274 1,575,944 32,875,324 4,203,070
Net change in unrealized appreciation (depreciation)
from investments...................................... 2,161,319 780,639 (5,353,106) (92,617,113) (17,586,455)
---------- ---------- ----------- ------------ ------------
Net realized and unrealized gains
(losses) from investments............................. 2,493,755 850,913 (3,777,162) (59,741,789) (13,383,385)
---------- ---------- ----------- ------------ ------------
Change in net assets resulting from operations........... $5,043,120 $1,781,148 ($3,238,379) ($60,118,653) ($13,744,858)
========== ========== =========== ============ ============
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
GOVERNMENT ASSETS FUND LIQUID ASSETS FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income.................... $3,233,404 $7,354,496 $2,690,637 $3,193,749
Net realized gains from investment
transactions.......................... ------ ------ ------ ------
Net change in unrealized appreciation
from investments...................... ------ ------ ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets resulting from
operations............................ 3,233,404 7,354,496 2,690,637 3,193,749
-------------------- ----------------- -------------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
S Shares.............................. ------ ------ (1,658,092) (2,109,726)
S2 Shares............................. ------ ------ (180,385) (87,386)
T Shares.............................. (3,230,361) (7,258,184) (549,606) (800,589)
I Shares.............................. ------ ------ (302,554) (196,048)
-------------------- ----------------- -------------------- -----------------
Change in net assets from shareholder
distributions......................... (3,230,361) (7,258,184) (2,690,637) (3,193,749)
-------------------- ----------------- -------------------- -----------------
CAPITAL SHARE TRANSACTIONS:
ISSUED:
S Shares.............................. ------ ------ 253,687,472 385,529,798
S2 Shares............................. ------ ------ 72,613,135 20,606,810
T Shares.............................. 270,290,381 556,870,585 84,054,990 159,478,295
I Shares.............................. ------ ------ 26,850,441 22,152,126
REINVESTMENTS:
S Shares.............................. ------ ------ 12,339 436
S2 Shares............................. ------ ------ ----- -----
T Shares.............................. 783,248 1,626,697 68,276 2,153
I Shares.............................. ------ ------ 48,330 10,464
REDEMPTIONS:
S Shares.............................. ------ ------ (243,183,328) (376,678,219)
S2 Shares............................. ------ ------ (67,463,354) (16,926,224)
T Shares.............................. (267,300,432) (562,162,290) (70,813,204) (161,192,225)
I Shares.............................. ------ ------ (26,198,799) (10,790,034)
-------------------- ----------------- -------------------- -----------------
Change in net assets from
capital transactions 3,773,197 (3,665,008) 29,676,298 22,193,380
-------------------- ----------------- -------------------- -----------------
Change in net assets..................... 3,776,240 (3,568,696) 29,676,298 22,193,380
NET ASSETS:
Beginning of period................... 155,129,509 158,698,205 104,844,068 82,650,688
-------------------- ----------------- -------------------- -----------------
End of period......................... $158,905,749 $155,129,509 $134,520,366 $104,844,068
==================== ================= ================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
GOVERNMENT ASSETS FUND LIQUID ASSETS FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
SHARE TRANSACTIONS:
ISSUED:
S Shares.............................. ------ ------ 253,687,472 385,529,798
S2 Shares............................. ------ ------ 72,613,135 20,606,810
T Shares.............................. 270,290,381 556,870,585 84,054,990 159,478,295
I Shares.............................. ------ ------ 26,850,441 22,152,126
REINVESTMENTS:
S Shares.............................. ------ ------ 12,339 436
S2 Shares............................. ------ ------ ----- -----
T Shares.............................. 783,248 1,626,697 68,276 2,153
I Shares.............................. ------ ------ 48,330 10,464
REDEMPTIONS:
S Shares.............................. ------ ------ (243,183,328) (376,678,219)
S2 Shares............................. ------ ------ (67,463,354) (16,926,224)
T Shares.............................. (267,300,432) (562,162,290) (70,813,204) (161,192,225)
I Shares.............................. ------ ------ (26,198,799) (10,790,034)
-------------------- ----------------- -------------------- -----------------
Change in shares 3,773,197 (3,665,008) 29,676,298 22,193,380
==================== ================= ================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
MUNICIPAL ASSETS FUND LIMITED TERM BOND FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income.................... $565,241 $755,733 $1,242,406 $1,858,371
Net realized gains from investment
transactions.......................... ------ ------ 9,532 366,075
Net change in unrealized appreciation
(depreciation) from investments....... ------ ------ 898,950 1,062,800
-------------------- ----------------- -------------------- -----------------
Change in net assets resulting from
operations............................ 565,241 755,733 2,150,888 3,287,246
-------------------- ----------------- -------------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Capital Shares........................ ------ ------ (1,236,705) (2,051,808)*
S Shares.............................. (89,958) (121,938) ------ ------
T Shares.............................. (170,516) (547,759) ------ ------
I Shares.............................. (304,767) (86,036) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets from shareholder
Distributions......................... (565,241) (755,733) (1,236,705) (2,051,808)
-------------------- ----------------- -------------------- -----------------
CAPITAL SHARE TRANSACTIONS:
ISSUED:
Capital Shares........................ ------ ------ 22,182,222 9,490,890
S Shares.............................. 20,291,402 21,891,470 ------ ------
T Shares.............................. 24,993,784 70,995,535 ------ ------
I Shares.............................. 26,429,588 26,681,323 ------ ------
REINVESTMENTS:
Capital Shares........................ ------ ------ 1,060,933 1,509,814
S Shares.............................. ------ ------ ------ ------
T Shares.............................. 818 13 ------ ------
I Shares.............................. 5,018 1,122 ------ ------
REDEMPTIONS:
Capital Shares........................ ------ ------ (8,086,292) (13,294,302)
S Shares.............................. (20,237,069) (19,453,574) ------ ------
T Shares.............................. (23,616,537) (84,027,361) ------ ------
I Shares.............................. (29,828,022) (6,679,405) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets from
capital transactions.................. (1,961,018) 9,409,123 15,156,863 (2,293,598)
-------------------- ----------------- -------------------- -----------------
Change in net assets..................... (1,961,018) 9,409,123 16,071,046 (1,058,160)
NET ASSETS:
Beginning of period................... 39,116,414 29,707,291 37,776,649 38,834,809
-------------------- ----------------- -------------------- -----------------
End of period......................... $37,155,396 $39,116,414 $53,847,695 $37,776,649
==================== ================= ==================== =================
</TABLE>
* INCLUDES $161,806 OF DISTRIBUTIONS IN EXCESS OF NET INVESTMENT INCOME FOR THE
LIMITED TERM BOND FUND FOR THE YEAR ENDED MARCH 31, 1998.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
Statements of Changes in Net Assets (Continued)
<TABLE>
<CAPTION>
MUNICIPAL ASSETS FUND LIMITED TERM BOND FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
SHARE TRANSACTIONS:
ISSUED:
Capital Shares........................ ------ ------ 2,210,147 1,000,073
S Shares.............................. 20,291,402 21,891,470 ------ ------
T Shares.............................. 24,993,784 70,995,535 ------ ------
I Shares.............................. 26,429,588 26,681,323 ------ ------
REINVESTMENTS:
Capital Shares........................ ------ ------ 105,898 104,463
S Shares.............................. ------ ------ ------ ------
T Shares.............................. 818 13 ------ ------
I Shares.............................. 5,018 1,122 ------ ------
REDEMPTIONS:
Capital Shares........................ ------ ------ (804,367) (1,331,742)
S Shares.............................. (20,237,069) (19,453,574) ------ ------
T Shares.............................. (23,616,537) (84,027,361) ------ ------
I Shares.............................. (29,828,022) (6,679,405) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in shares (1,961,018) 9,409,123 1,511,678 (227,206)
==================== ================= ==================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
BOND FUND INCOME FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income.................... $425,483 $451,712 $2,549,365 $5,015,283
Net realized gains from investment
transactions.......................... 5,875 121,574 332,436 302,739
Net change in unrealized appreciation
(depreciation) from investments....... 430,737 114,558 2,161,319 3,443,587
-------------------- ----------------- -------------------- -----------------
Change in net assets resulting from
operations............................ 862,095 687,844 5,043,120 8,761,609
-------------------- ----------------- -------------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Capital Shares........................ (431,441) (122,963) (2,548,140) (5,457,783)*
Select................................ ------ (187,461) ------ ------
Institutional......................... ------ (201,889) ------ ------
From net realized gains
Capital Shares........................ ------ ------ ------ ------
Select................................ ------ (50,069) ------ ------
Institutional......................... ------ (38,735) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets from shareholder
Distributions......................... (431,441) (601,117) (2,548,140) (5,457,783)
-------------------- ----------------- -------------------- -----------------
CAPITAL SHARE TRANSACTIONS:
ISSUED:
Capital Shares........................ 12,972,645 ------ 12,209,655 30,479,946
Select................................ ------ 652,405 ------ ------
Institutional......................... ------ 429,371 ------ ------
FUND REORGANIZATIONS:
Capital Shares........................ ------ 15,517,298 ------ ------
Select................................ ------ (3,115,585) ------ ------
Institutional......................... ------ (1,970,210) ------ ------
REINVESTMENTS:
Capital Shares........................ 301,106 ------ 356,703 635,925
Select................................ ------ 217,433 ------ ------
Institutional......................... ------ 223,835 ------ ------
REDEMPTIONS:
Capital Shares........................ (1,934,297) ------ (24,000,378) (21,846,804)
Select................................ ------ (9,246,996) ------ ------
Institutional......................... ------ (3,141,350) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets from
capital transactions.................. 11,339,454 (433,799) (11,434,020) 9,269,067
-------------------- ----------------- -------------------- -----------------
Change in net assets..................... 11,770,108 (347,072) (8,939,040) 12,572,893
NET ASSETS:
Beginning of period...................... 7,213,196 7,560,268 104,604,094 92,031,201
-------------------- ----------------- -------------------- -----------------
End of period............................ $18,983,304 $7,213,196 $95,665,054 $104,604,094
==================== ================= ==================== =================
</TABLE>
* Includes $256,051 of distributions in excess of net investment income for the
Income Fund for the year ended March 31, 1998.
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
BOND FUND INCOME FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
SHARE TRANSACTIONS:
ISSUED:
Capital Shares........................ 1,307,215 ------ 1,206,963 3,066,800
Select................................ ------ 63,707 ------
Institutional......................... ------ 42,851 ------
FUND REORGANIZATIONS:
Capital Shares........................ ------ 1,548,820 ------
Select................................ ------ (310,918) ------
Institutional......................... ------ (196,834) ------
REINVESTMENTS:
Capital Shares........................ 30,357 ------ 35,418 58,323
Select................................ ------ 21,694 ------
Institutional......................... ------ 22,330 ------
REDEMPTIONS:
Capital Shares........................ (193,854) ------ (2,381,005) (2,192,247)
Select................................ ------ (917,504) ------
Institutional......................... ------ (312,140) ------
-------------------- ----------------- -------------------- -----------------
Change in shares......................... 1,143,718 (37,994) (1,138,624) 932,876
==================== ================= ==================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
MUNICIPAL BOND FUND BALANCED FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income.................... $930,235 $1,762,250 $538,783 $712,919
Net realized gains from investment
transactions.......................... 70,274 207,244 1,575,944 2,643,723
Net change in unrealized appreciation
(depreciation) from investments....... 780,639 1,583,747 (5,353,106) 9,189,161
Change in net assets resulting from
operations............................ 1,781,148 3,553,241 (3,238,379) 12,545,803
-------------------- ----------------- -------------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income............... (929,963) (1,789,100) (532,868) (712,919)
From net realized gains.................. ------ (62,080) (1,216,595)
-------------------- ----------------- -------------------- -----------------
Change in net assets from shareholder
Distributions......................... (929,963) (1,851,180) (532,868) (1,929,514)
-------------------- ----------------- -------------------- -----------------
CAPITAL SHARE TRANSACTIONS:
ISSUED: 6,891,011 10,850,108 11,971,528 27,268,652
FUND REORGANIZATIONS: ------ ------ ------ 12,170,101
REINVESTMENTS: 140,377 259,480 433,502 1,617,767
REDEMPTIONS: (4,158,621) (9,693,892) (12,060,269) (20,282,085)
-------------------- ----------------- -------------------- -----------------
Change in net assets from
capital transactions 2,872,767 1,415,696 344,761 20,774,435
-------------------- ----------------- -------------------- -----------------
Change in net assets..................... 3,723,952 3,117,757 (3,426,486) 31,390,724
NET ASSETS:
Beginning of period...................... 48,281,664 45,163,907 63,402,839 32,012,115
-------------------- ----------------- -------------------- -----------------
End of period............................ $52,005,616 $48,281,664 $59,976,353 $63,402,839
==================== ================= ==================== =================
SHARE TRANSACTIONS:
ISSUED: 648,746 1,036,577 789,763 1,997,554
FUND REORGANIZATIONS: ------ ------ ------ 838,161
REINVESTMENTS: 11,993 24,716 28,462 73,494
REDEMPTIONS: (390,445) (927,518) (803,506) (1,428,642)
-------------------- ----------------- -------------------- -----------------
Change in shares......................... 270,294 133,775 14,719 1,480,567
==================== ================= ==================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
EQUITY FUND AGGRESSIVE GROWTH FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income (loss)............. ($376,864) $9,451 ($361,473) ($562,852)
Net realized gains from investment
transactions.......................... 32,875,324 50,328,151 4,203,070 3,108,596
Net change in unrealized appreciation
(depreciation) from investments....... (92,617,113) 94,425,784 (17,586,455) 24,936,662
-------------------- ----------------- -------------------- -----------------
Change in net assets resulting from
operations............................. (60,118,653) 144,763,386 (13,744,858) 27,482,406
-------------------- ----------------- -------------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income
Capital Shares........................ ------ ------ ------ (19)
S Shares.............................. ------ (219,004) ------ ------
T Shares.............................. ------ ------ ------ ------
From net realized gains
Capital Shares........................ ------ ------ ------ (2,433,893)
S Shares.............................. ------ (52,295,174) ------ ------
T Shares.............................. ------ ------ ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets from shareholder
Distributions.......................... 0 (52,514,178) 0 (2,433,912)
-------------------- ----------------- -------------------- -----------------
CAPITAL SHARE TRANSACTIONS:
ISSUED:
Capital Shares........................ ------ 347,358,499 16,748,811 45,786,945
S Shares.............................. 37,590,140 13,371,077 ------ ------
T Shares.............................. 26,380,898 7,570,830 ------ ------
FUND REORGANIZATIONS:
Capital Shares........................ ------ (413,656,502) ------ ------
S Shares.............................. ------ 187,465,229 ------ ------
T Shares.............................. ------ 257,760,576 ------ ------
REINVESTMENTS:
Capital Shares........................ ------ 31,756,386 ------ 1,133,752
S Shares.............................. ------ ------ ------ ------
T Shares.............................. ------ ------ ------ ------
REDEMPTIONS:
Capital Shares........................ ------ (338,861,274) (9,835,906) (20,005,297)
S Shares.............................. (27,034,796) (13,034,174) ------ ------
T Shares.............................. (36,839,981) (9,631,207) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in net assets from
capital transactions 96,261 70,099,440 6,912,905 26,915,400
-------------------- ----------------- -------------------- -----------------
Change in net assets..................... (60,022,392) 162,348,648 (6,831,953) 51,963,894
NET ASSETS:
Beginning of period...................... 472,017,666 309,669,018 101,377,262 49,413,368
-------------------- ----------------- -------------------- -----------------
End of period............................ $411,995,274 $472,017,666 $94,545,309 $101,377,262
==================== ================= ==================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, INC.
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
EQUITY FUND AGGRESSIVE GROWTH FUND
--------------------------------------- ---------------------------------------
SIX MONTHS YEAR SIX MONTHS PERIOD
ENDED ENDED ENDED ENDED
SEPTEMBER 30, 1998 MARCH 31, 1998 SEPTEMBER 30, 1998 MARCH 31, 1998
-------------------- ----------------- -------------------- -----------------
<S> <C> <C> <C> <C>
SHARE TRANSACTIONS:
ISSUED:
Capital Shares........................ ------ 17,757,680 1,011,340 3,076,295
S Shares.............................. 1,817,449 367,993 ------ ------
T Shares.............................. 1,316,963 285,915 ------ ------
FUND REORGANIZATIONS:
Capital Shares........................ ------ (20,966,465) ------ ------
S Shares.............................. ------ 9,484,771 ------ ------
T Shares.............................. ------ 13,078,523 ------ ------
REINVESTMENTS:
Capital Shares........................ ------ 1,696,325 ------ 72,986
S Shares.............................. ------ ------ ------ ------
T Shares.............................. ------ ------ ------ ------
REDEMPTIONS:
Capital Shares........................ ------ (17,162,795) (590,046) (1,334,457)
S Shares.............................. (1,325,119) (505,224) ------ ------
T Shares.............................. (1,762,032) (290,103) ------ ------
-------------------- ----------------- -------------------- -----------------
Change in shares......................... 47,261 3,746,620 421,294 1,814,824
==================== ================= ==================== =================
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1998
1. ORGANIZATION:
- ----------------
IMG Mutual Funds, Inc. was incorporated on November 16, 1994 and capitalized on
May 1, 1995. IMG Mutual Funds, Inc. was renamed Vintage Mutual Funds, Inc., (the
"Fund"), in February 1998. The Fund is registered under the Investment Company
Act of 1940 (the "1940 Act"), as amended, as a diversified open-end management
investment company issuing its shares in ten series, each series representing a
diversified portfolio with distinct investment objectives and policies. The
Government Assets Fund's investment objective is to seek current income
consistent with maintaining liquidity and stability of principal by investing
exclusively in short-term U.S. Treasury bills, notes and other short-term
obligations issued or guaranteed by the U.S. Government or its agencies or
instrumentalities, and repurchase agreements with respect thereto. The
investment objective of the Liquid Assets Fund is maximum current income
consistent with safety of principal and maintenance of liquidity. The investment
objective of the Municipal Assets Fund is maximum current income exempt from
federal income tax, consistent with safety of principal and maintenance of
liquidity. The investment objective of the Vintage Limited Term Bond Fund is to
seek total return from a portfolio of limited term fixed income securities. The
Vintage Limited Term Bond Fund invests primarily in a diversified portfolio of
fixed income securities including certain types of fixed income securities that
may exhibit greater volatility. The Vintage Bond Fund's investment objective is
to obtain income by investing in a portfolio of fixed income securities and,
secondarily, to seek capital appreciation consistent with the preservation of
capital and prudent investment risk. The Vintage Bond Fund will invest at least
65 percent of its total assets in High-Quality Fixed Income Securities at all
times. The investment objective of the Vintage Income Fund is to seek current
income, consistent with the preservation of capital. The Vintage Income Fund
invests primarily in fixed income securities. The investment objective of the
Vintage Municipal Bond Fund is to seek current income, consistent with the
preservation of capital, that is exempt from federal income taxes. The Vintage
Municipal Bond Fund invests primarily in a diversified portfolio of tax-exempt
fixed income securities. The investment objective of the Vintage Balanced Fund
is to seek long-term growth of capital and income. The Vintage Balanced Fund
invests primarily in a diversified portfolio of equity securities and fixed
income securities. The investment objective of the Vintage Equity Fund is
long-term capital appreciation. The Vintage Equity Fund invests primarily in a
diversified portfolio of equity securities of mainly large capitalization
companies with strong earnings potential. The investment objective of the
Vintage Aggressive Growth Fund is long-term capital growth. The Vintage
Aggressive Growth Fund invests primarily in common stocks and other equity-type
securities of small, medium and large capitalized companies that exhibit a
strong potential for price appreciation relative to other equity securities.
At the close of business on February 13, 1998, the Vintage Mutual Funds, Inc.,
acquired the assets and assumed the identifiable liabilities of the Liquid
Assets Fund, the Municipal Assets Fund and the AMCORE Vintage Mutual Funds,
consisting of seven portfolios. Each of these nine portfolios are considered
surviving entities for financial reporting purposes. The net assets and number
of shares outstanding for the acquired Funds at the close of business on
February 13, 1998, were as follows:
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1998
ACQUIRED FUND NET ASSETS NUMBER OF SHARES
- ------------- ---------- ----------------
Liquid Assets Fund $ 100,990,658 100,990,658
Municipal Assets Fund $ 35,574,100 35,574,100
AMCORE Vintage Mutual Funds
U.S. Government Obligations Fund $ 154,473,179 154,473,179
Fixed Total Return Fund $ 39,280,349 3,923,783
Fixed Income Fund $ 103,375,637 10,204,762
Intermediate Tax-Free Fund $ 48,201,354 4,505,968
Balanced Fund $ 54,403,937 3,746,341
Equity Fund $ 414,473,997 20,966,465
Aggressive Growth Fund $ 92,960,320 5,840,557
In exchange for the acquired Funds, the Vintage Mutual Funds, Inc., issued the
following capital stock:
VINTAGE MUTUAL FUNDS, INC. NET ASSETS NUMBER OF SHARES
- -------------------------- ---------- ----------------
Liquid Assets fund $ 100,990,658 100,990,658
Municipal Assets Fund $ 35,574,100 35,574,100
Government Assets Fund $ 154,473,179 154,473,179
Limited Term Bond Fund $ 39,280,349 3,923,783
Income Fund $ 103,375,637 10,204,762
Municipal Bond Fund $ 48,201,354 4,505,968
Balanced Fund $ 54,403,937 3,746,341
Equity Fund $ 414,473,997 20,966,465
Aggressive Growth Fund $ 92,960,320 5,840,557
At the close of business on February 18, 1998, the Vintage Mutual Funds, Inc.,
acquired the assets and assumed the identifiable liabilities of the Capital
Value Funds, Inc., and the IMG Core Stock Fund. The net assets, including the
following amounts of capital stock and unrealized appreciation that was combined
with the Vintage Mutual Funds, Inc., for the acquired Fund at the close of
business on February 18, 1998, were as follows:
UREALIZED
ACQUIRED FUND NET ASSETS APPRECIATION
- ------------- ---------- ------------
Capital Value Funds, Inc.
Equity Portfolio $ 19,047,810 4,139,358
Total Return Portfolio $ 12,170,101 1,571,382
Fixed Income Portfolio $ 10,431,503 152,525
IMG Core Stock Fund $ 12,521,493 2,180,745
In exchange for the acquired Funds, the Vintage Mutual Funds, Inc., issued the
following capital stock:
VINTAGE MUTUAL FUNDS, INC. NUMBER OF SHARES NAV PER SHARE
- -------------------------- ---------------- -------------
Equity Fund 1,596,829 $19.77
Balanced Fund 838,161 $14.52
Bond Fund 1,041,068 $10.02
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1998
The Government Assets Fund offers two classes of shares. T Shares are normally
offered through trust organizations or others providing shareholder services
such as establishing and maintaining records and accounts for their customers
who invest in T Shares, assisting customers in processing purchase, exchange and
redemption requests, and responding to customers' inquiries regarding their
accounts. S Shares are offered directly or through other broker-dealers. S
Shares accrue daily dividends in the same manner as T Shares except that S
Shares bear distribution and/or shareholder administrative servicing fees which
T Shares do not. Differences in class level expenses may affect performance.
Liquid Assets Fund and Municipal Assets Fund offer multiple classes of shares. S
Shares are offered to customers of banks. S Shares are normally offered through
financial institutions providing automatic "sweep" investment programs to their
own customers. T Shares may be purchased only by financial institutions acting
on their own behalf or on behalf of certain customers' accounts. I Shares may be
purchased by individual and institutional investors directly from the Fund's
Distributor. T Shares and I Shares accrue daily dividends in the same manner as
S Shares except that each class bears separate distribution and/or shareholder
servicing fees. Liquid Assets Fund also offers S2 Shares which are offered
through financial institutions providing automatic "sweep" investment programs
to their own customers.
The Vintage Equity Fund offers two classes of shares. T Shares of the Vintage
Equity Fund are offered soley to fiduciary accounts of AMCORE Investment Group
N.A., over which AMCORE Investment Group, N.A. exercises investment discretion.
The Vintage Equity Fund also offers S Shares which accrue dividends in the same
manner as T Shares except that each class bears separate distribution and/or
shareholder servicing fees.
Each class of shares has equal rights as to earnings, assets, and voting
privileges except that each class bears different distribution expenses. Each
class of shares has exclusive voting rights with respect to matters that affect
just that class. Income, expenses (other than expenses attributable to a
specific class), and realized and unrealized gains or losses on investments are
allocated to each class of shares based upon its relative net assets.
2. SIGNIFICANT ACCOUNTING POLICIES:
- -----------------------------------
The following is a summary of significant accounting policies followed by the
Fund in the preparation of the financial statements. The policies are in
conformity with generally accepted accounting principles. The preparation of
financial statements requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of increase and decrease in net assets from operations
during the period. Actual results could differ from those estimates.
SECURITIES VALUATION:
Investments of the Government Assets Fund, the Liquid Assets Fund and the
Municipal Assets Fund (the "money market funds") are valued at amortized cost,
which approximates market value. Under the amortized cost method of valuation,
discount or premium is amortized on a constant basis to the maturity of the
security. In addition, the money market funds may not (a) purchase any
instrument with a remaining maturity greater than 397 days unless such
investment is subject to a demand feature, or (b) maintain a
dollar-weighted-average portfolio maturity which exceeds 90 days.
Investments in common and preferred stocks, commercial paper, corporate bonds,
municipal bonds, U.S. Government securities and U.S. Government agency
securities of the Vintage Limited Term Bond Fund, the Vintage Bond Fund, the
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1998
Vintage Income Fund, the Vintage Municipal Bond Fund, the Vintage Balanced Fund,
the Vintage Equity Fund and the Vintage Aggressive Growth Fund (collectively the
"variable net asset funds") are valued at their market values determined on the
basis of the latest available bid quotation in the principal market (closing
sales prices if the principal market is an exchange) in which such securities
are normally traded. Fixed income securities held in the variable net asset
funds are valued on the basis of valuations furnished by a pricing service that
utilizes electronic data processing techniques to determine valuations for
normal institutional sized trading units of fixed income securities without
regard to sale or bid prices when such valuations are believed to more
accurately reflect the fair market value of such institutional securities.
Otherwise sale or bid prices are used. Fixed income securities having maturities
of 60 days of less are valued by the amortized cost method. Investments in
investment companies are valued at their respective net asset values as reported
by such companies. Securities, including restricted securities, for which market
quotations are not readily available, are valued at fair market value as
determined in good faith by the investment adviser under the supervision of the
Fund's Board of Directors. The difference between the cost and market values of
investments held by the variable net asset funds is reflected as either
unrealized appreciation or depreciation.
SECURITY TRANSACTIONS AND RELATED INCOME:
Security transactions are accounted for on the date the security is purchased or
sold ("trade date"). Interest income is recognized on the accrual basis.
Original issue discounts and premiums on securities purchased are amortized over
the expected life of the respective securities. Dividends are recorded on the
ex-dividend date. Gains or losses realized on sales of securities are determined
on the identified cost basis.
REPURCHASE AGREEMENTS:
The Fund may engage in repurchase agreements with financial institutions such as
banks, brokers, or dealers that the investment advisor, Investors Management
Group, ("IMG"), deems creditworthy under guidelines approved by the Fund's Board
of Directors, subject to the seller's agreement to repurchase such securities at
a mutually agreed-upon date and price. An independent custodian must receive
delivery of the underlying securities. The market value of these securities
(including accrued interest) on acquisition date is required to be an amount
equal to 102% of the resale price, and will not be less than 100% of the resale
price over the term of the agreement. The repurchase price generally equals the
price paid plus interest negotiated on the basis of current short-term rates,
which may be more or less than the rate on the underlying portfolio securities.
The seller, under an agreement to repurchase, is required to maintain, with the
Fund's custodian, the value of collateral held pursuant to the agreement at not
less than the repurchase price (including accrued interest). Securities subject
to repurchase agreements are held by the Fund's custodian, another qualified
custodian or in the Federal Reserve/Treasury book-entry system.
LOAN CERTIFICATES:
The Liquid Assets Fund may invest in FmHA Guaranteed Loan Certificates which
represent interests in the guaranteed portion of Farmer's Home Administration
("FmHA") loans issued by one or more guaranteed loan trusts subject to
repurchase on no more than 5 business days' written notice. The Loan
Certificates are diversified through limitations on certificates sold by any one
individual bank.
TRUST CERTIFICATES:
The Liquid Assets Fund may invest in U. S. Government Guaranteed Student Loans
(the Trust) which represent interests in student loans sold by certain Iowa
banks subject to repurchase, on no more than 7 days written notice. The Trust
and, accordingly, the Trust Certificates are diversified through a limitation on
certificates sold by any individual bank. Each individual bank may not sell more
than 5 percent of the outstanding Trust Certificates.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1998
SECURITIES PURCHASED ON A WHEN ISSUED OR DELAYED DELIVERY BASIS:
Each fund may purchase securities on a when-issued or delayed-delivery basis.
When-issued securities are securities purchased with delivery to occur at a
later date at a stated price and/or yield, thereby, involving the risk that the
price and/or yield obtained may be more or less than those available in the
market when delivery takes place. At the time a Fund makes commitment to
purchase a security on a when-issued basis, the Fund records the transaction and
reflects the value of the security in determining net asset value. A segregated
account is established and the Fund maintains cash and marketable securities at
least equal in value to commitments for when-issued securities. At September 30,
1998 the following purchase commitments were outstanding.
DIVIDENDS TO SHAREHOLDERS:
Dividends from net investment income are declared daily and paid monthly for the
Government Assets Fund, the Liquid Assets Fund and the Municipal Assets Fund.
Dividends from net investment income are declared and paid monthly for the
Vintage Limited Term Bond Fund, Vintage Bond Fund, Vintage Income Fund, and the
Vintage Municipal Bond Fund. Dividends from net investment income are declared
and paid quarterly for the Vintage Balanced Fund, the Vintage Equity Fund and
the Vintage Aggressive Growth Fund. Distributable net realized capital gains, if
any, are declared and distributed at least annually for each of the Funds.
FEDERAL TAXES:
The Fund's policy is to comply with the requirements of the Internal Revenue
Code applicable to regulated investment companies and to distribute taxable
income to shareholders in amounts that will avoid or minimize federal income or
excise taxes of the Fund. Net investment income and net realized gains (losses)
for the Funds may differ for financial statement and tax purposes. The character
of distributions made during the year from net investment income or net realized
gains may differ from their ultimate characterization for federal income tax
purposes. Also, due to the timing of dividend distributions, the fiscal year in
which amounts are distributed may differ from the year that the income or
realized gains (losses) were recorded by the Funds. It is unlikely the Board of
Directors will authorize a distribution of any net realized capital gains until
the available capital loss carryover has been offset or expires.
EXPENSES:
Expenses that are directly related to one of the Funds are charged directly to
that Fund. Expenses relating to the Funds collectively are prorated to the Funds
on the basis of each Fund's relative net assets.
3. PURCHASES AND SALES OF SECURITIES:
- -------------------------------------
Purchases and sales of securities (excluding short-term securities) for the
six-month period ended September 30, 1998 are as follows:
PURCHASES PROCEEDS FROM SALES
--------- -------------------
Limited Term Bond Fund................. 21,667,887 3,899,922
Bond Fund.............................. 13,048,276 2,937,848
Income Fund............................ 24,655,085 35,904,270
Municipal Bond Fund.................... 7,161,175 3,544,815
Balanced Fund.......................... 18,194,026 14,755,674
Equity Fund............................ 118,889,568 113,050,604
Aggressive Growth Fund................. 29,467,089 24,128,020
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1998
4. RELATED PARTY TRANSACTIONS:
- -------------------------------
Under the terms of its Investment Advisory Agreement, IMG is entitled to receive
fees computed daily based on a percentage of the average daily net assets of
each fund as follows:
Government Assets Fund 0.40 percent*
Liquid Assets Fund 0.35 percent
Municipal Assets Fund 0.35 percent
Vintage Limited Term Bond Fund 0.60 percent
Vintage Bond Fund 0.55 percent
Vintage Income Fund 0.60 percent
Vintage Municipal Bond Fund 0.60 percent
Vintage Balanced Fund 0.75 percent
Vintage Equity Fund 0.75 percent
Vintage Aggressive Growth Fund 0.95 percent
*As of July 29, 1998, IMG has voluntarily limited advisory fees for Government
Assets Fund to 0.35 percent.
The Funds have entered into a management and administration agreement with IMG
pursuant to which the Funds pay administrative fees at an annual rate of 0.21
percent of the average daily net assets for the Government Assets Fund, the
Liquid Assets Fund and Municipal Assets Fund and 0.26 percent of the average
daily net assets for all other Vintage Mutual Funds.
The Funds have adopted an Administrative Services Plan (the "Services Plan")
pursuant to which each Fund is authorized to pay compensation to banks and other
financial institutions (each a "Participating Organization"), which may include
AMCORE Financial, Inc., its correspondent and affiliated banks, which agree to
provide certain ministerial, recordkeeping and/or administrative support
services for their customers or account holders (collectively, "customers") who
are beneficial or record owner of Shares of that Fund. In consideration for such
services, a Participating Organization receives a fee from a Fund, computed
daily and paid monthly, at an annual rate of up to 0.25 percent of the average
daily net asset value of Shares of that Fund owned beneficially or of record by
such Participating Organization's customers for whom the Participating
Organization provides such services.
BISYS Fund Services Limited Partnership serves as distributor to the Fund
pursuant to a Distribution Agreement. The Distributor receives no compensation
under the Distribution Agrement with the Fund, but may receive compensation
under a Distribution and Shareholder Service Plan (the "Plan") adopted pursuant
to Rule 12b-1 under the 1940 Act under which the Funds are authorized to pay the
Distributor for payments it makes to Participating Organizations. As authorized
by the Plan, the Distributor will enter into Shareholder Agreements with
Participating Organizations, including AMCORE Financial, Inc., or its
affiliates, pursuant to which the Participating Organization agrees to provide
certain administrative and shareholder support services in connection with
Shares of a Fund purchased and held by Customers of the Participating
Organization. The Distributor will be compensated by a Fund up to the amount of
any payments it makes to Participating Organizations under the Rule 12b-1
Agreement. The maximum fee is 0.50 percent on S Shares of the Liquid Assets Fund
and 0.25 percent on all other Classes and Funds. Currently, such fees are
limited to 0.40 percent for S Shares of the Liquid Assets Fund, 0.15 percent for
S2 Shares of the Liquid Assets Fund, 0.15 percent for S Shares of the Municipal
Assets Fund and 0.00 percent for all other Classes and Funds. However, IMG as
Advisor and Administrator of the Fund may in its sole discretion make payments
to the Distributor to supplement shareholder fees paid by the Fund up to the
maximum fee approved by the Plan without further notice to shareholders and at
no cost to the Fund.
IMG also serves as the Fund's transfer agent to certain classes of the
Government Assets, Liquid Assets and Municipal Assets Funds, pursuant to a
Transfer Agency Agreement with the Funds and receives a fee for such services.
BISYS Fund Services, Inc., ("BISYS") serves as transfer agent to the other
classes and Funds pursuant to a Transfer Agency Agreement with the Funds and
receives a fee for such services. IMG also provides fund accounting services for
the Funds pursuant to a Fund Accounting Agreement and receives a fee for such
services.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INVESTMENT ACTIVITIES: DIVIDENDS & DISTRIBUTIONS:
-------------------------------------------------- ----------------------------------
From Net Total
NAV Net Net Realized/ Total from From Net Realized and Dividends
BEGINNING Investment Unrealized Investment Investment Unrealized and
OF PERIOD Income Gains/(Losses) Activities Income Gains Distributions
--------- ------ -------------- ---------- ------ ----- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
GOVERNMENT ASSETS FUND "T" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Year Ended March 31, 1998 $1.00 0.05 0.00 0.05 (0.05) 0.00 (0.05)
Year Ended March 31, 1997 $1.00 0.05 0.00 0.05 (0.05) 0.00 (0.05)
Year Ended March 31, 1996 $1.00 0.05 0.00 0.05 (0.05) 0.00 (0.05)
Year Ended March 31, 1995 $1.00 0.04 0.00 0.04 (0.04) 0.00 (0.04)
Year Ended March 31, 1994 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
LIQUID ASSETS FUND "S" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Nine Months Ended March 31, 1998 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
Year Ended June 30, 1997 $1.00 0.05 0.00 0.05 (0.05) 0.00 (0.05)
Year Ended June 30, 1996 $1.00 0.05 0.00 0.05 (0.05) 0.00 (0.05)
Year Ended June 30, 1995 $1.00 0.05 0.00 0.05 (0.05) 0.00 (0.05)
Year Ended June 30, 1994 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
Year Ended June 30, 1993 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
LIQUID ASSETS FUND "S2" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Nine Months Ended March 31, 1998 $1.00 0.04 0.00 0.04 (0.04) 0.00 (0.04)
February 27, 1997 to June 30, 1997* $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
LIQUID ASSETS FUND "T" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Nine Months Ended March 31, 1998 $1.00 0.04 0.00 0.04 (0.04) 0.00 (0.04)
January 2, 1997 to June 30, 1997* $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
LIQUID ASSETS FUND "I" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
Nine Months Ended March 31, 1998 $1.00 0.04 0.00 0.04 (0.04) 0.00 (0.04)
October 29, 1996 to June 30, 1997* $1.00 0.04 0.00 0.04 (0.04) 0.00 (0.04)
MUNICIPAL ASSETS FUND "S" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.01 0.00 0.01 (0.01) 0.00 (0.01)
Nine Months Ended March 31, 1998 $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Year Ended June 30, 1997 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
Year Ended June 30, 1996 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
Year Ended June 30, 1995 $1.00 0.03 0.00 0.03 (0.03) 0.00 (0.03)
Year Ended June 30, 1994 $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Year Ended June 30, 1993 $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
MUNICIPAL ASSETS FUND "T" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Nine Months Ended March 31, 1998 $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
January 2, 1997 to June 30, 1997* $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
MUNICIPAL ASSETS FUND "I" SHARES
Six Months Ended September 30, 1998 (unaudited) $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
Nine Months Ended March 31, 1998 $1.00 0.02 0.00 0.02 (0.02) 0.00 (0.02)
March 27, 1997 to June 30, 1997* $1.00 0.01 0.00 0.01 (0.01) 0.00 (0.01)
</TABLE>
- ----------------
* Period from commencement of operations
** During the period certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Not Annualized
(b) Annualized
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
<CAPTION>
TOTAL RETURN / RATIOS / SUPPLEMENTARY DATA:
--------------------------------------------------------------------------------------------------
Ratio of Ratio of Net Ratio of Ratio of Net
NAV Net Assets Expenses to Investment Expenses to Investment
END Total End of Period Average Income to Average Income to
OF PERIOD Return (000 omitted) Net Assets Average Net Assets Net Assets** Average Net Assets**
- --------- ------ ------------- ----------- ------------------ ------------ --------------------
<S> <C> <C> <C> <C> <C> <C>
$1.00 2.40% (a) $158,906 0.75% (b) 4.78% (b) 1.27% (b) 4.26% (b)
$1.00 4.72% $155,130 0.73% 4.79% 0.98% 4.54%
$1.00 4.62% $158,698 0.76% 4.53% 1.01% 4.28%
$1.00 5.24% $153,836 0.54% 5.08% 0.72% 4.90%
$1.00 4.32% $137,888 0.50% 4.26% 0.98% 3.78%
$1.00 2.73% $105,345 0.56% 2.70% 1.02% 2.23%
$1.00 2.19% (a) $80,031 1.31% (b) 4.38% (b) 1.41% (b) 4.28% (b)
$1.00 3.43% (a) $69,514 1.20% (b) 4.57% (b) ----- -----
$1.00 4.46% $60,663 1.20% 4.46% ----- -----
$1.00 4.68% $179,633 1.20% 4.68% ----- -----
$1.00 4.66% $167,085 1.20% 4.66% ----- -----
$1.00 2.66% $141,018 1.18% 2.66% ----- -----
$1.00 2.72% $123,949 1.16% 2.72% ----- -----
$1.00 2.31% (a) $10,603 1.06% (b) 4.63% (b) 1.16% (b) 4.53% (b)
$1.00 3.68% (a) $5,453 0.87% (b) 4.91% (b) ----- -----
$1.00 1.66% $1,773 0.85% (b) 4.79% (b) 0.95% 4.69%
$1.00 2.44% (a) $29,457 0.81% (b) 4.88% (b) 0.91% (b) 4.78% (b)
$1.00 3.81% (a) $16,147 0.70% (b) 5.07% (b) ----- -----
$1.00 2.51% (a) $17,859 0.70% (b) 4.96% (b) ----- -----
$1.00 5.03% (a) $14,429 0.66% (b) 5.03% (b) ----- -----
$1.00 3.98% (a) $13,729 0.47% (b) 5.31% (b) ----- -----
$1.00 3.51% (a) $2,356 0.45% (b) 5.19% (b) ----- -----
$1.00 1.33% (a) $7,156 1.09% (b) 2.67% (b) 1.19% (b) 2.57% (b)
$1.00 2.13% (a) $7,102 0.94% (b) 2.84% (b) ----- -----
$1.00 2.90% $4,664 0.93% 2.90% 1.15% 2.68%
$1.00 2.64% $10,146 1.48% 2.64% ----- -----
$1.00 2.53% $16,130 1.38% 2.53% ----- -----
$1.00 1.53% $21,355 1.35% 1.53% ----- -----
$1.00 1.69% $23,764 1.35% 1.69% ----- -----
$1.00 1.46% (a) $13,383 0.84% (b) 2.92% (b) 0.94% (b) 2.82% (b)
$1.00 2.31% (a) $12,005 0.69% (b) 3.09% (b) ----- -----
$1.00 1.61% (a) $25,036 0.66% (b) 3.17% (b) 0.90% 2.93%
$1.00 1.53% (a) $16,617 0.69% (b) 3.07% (b) ----- -----
$1.00 2.49% (a) $20,010 0.46% (b) 3.32% (b) ----- -----
$1.00 1.20% (a) $7 0.41% (b) 3.42% (b) 0.65% 3.18%
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INVESTMENT ACTIVITIES: DIVIDENDS & DISTRIBUTIONS:
-------------------------------------------------- ----------------------------------
From Net Total
NAV Net Net Realized/ Total from From Net Realized and Dividends
BEGINNING Investment Unrealized Investment Investment Unrealized and
OF PERIOD Income Gains/(Losses) Activities Income Gains Distributions
--------- ------ -------------- ---------- ------ ----- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
LIMITED TERM BOND FUND
Six Months Ended September 30, 1998 (unaudited) $9.99 0.25 0.17 0.42 (0.24) 0.00 (0.24)
Year Ended March 31, 1998 $9.69 0.46 0.35 0.81 (0.51)(c) 0.00 (0.51)
Year Ended March 31, 1997 $9.89 0.50 (0.20) 0.30 (0.50) 0.00 (0.50)
June 15, 1995 to March 31, 1996* $10.00 0.44 (0.11) 0.33 (0.43) (0.01) (0.44)
BOND FUND
Six Months Ended September 30, 1998 (unaudited) $9.86 0.25 0.27 0.52 (0.26) 0.00 (0.26)
Eleven Months Ended March 31, 1998 $9.82 0.66 0.33 0.99 (0.66) (0.29) (0.95)
Year Ended April 30, 1997 $9.78 0.62 0.05 0.67 (0.62) 0.00 (0.62)
July 7, 1995 to April 30, 1996* $10.00 0.49 (0.28) 0.21 (0.43) 0.00 (0.43)
BOND FUND - INSTITUTIONAL SHARES
May 1, 1997 to February 13, 1998 *** $9.82 0.52 0.47 0.99 (0.63) (0.17) (0.80)
Year Ended April 30, 1997 $9.79 0.64 0.04 0.68 (0.65) 0.00 (0.65)
July 7, 1995 to April 30, 1996* $10.00 0.49 (0.25) 0.24 (0.44) (0.01) (0.45)
INCOME FUND
Six Months Ended September 30, 1998 (unaudited) $10.04 0.27 0.27 0.54 (0.28) 0.00 (0.28)
Year Ended March 31, 1998 $9.70 0.50 0.38 0.88 (0.54)(c) 0.00 (0.54)
Year Ended March 31, 1997 $9.93 0.54 (0.24) 0.30 (0.53) 0.00 (0.53)
Year Ended March 31, 1996 $9.71 0.61 0.23 0.84 (0.62) 0.00 (0.62)
Year Ended March 31, 1995 $9.92 0.54 (0.22) 0.32 (0.53) 0.00 (0.53)
Year Ended March 31, 1994 $10.28 0.59 (0.33) 0.26 (0.59) (0.03) (0.62)
MUNICIPAL BOND FUND
Six Months Ended September 30, 1998 (unaudited) $10.60 0.20 0.18 0.38 (0.20) 0.00 (0.20)
Year Ended March 31, 1998 $10.22 0.40 0.40 0.80 (0.40) (0.02) (0.42)
Year Ended March 31, 1997 $10.27 0.38 (0.05) 0.33 (0.38) 0.00 (0.38)
Year Ended March 31, 1996 $9.97 0.43 0.30 0.73 (0.43) 0.00 (0.43)
Year Ended March 31, 1995 $9.91 0.43 0.07 0.50 (0.43) (0.01) (0.44)
Year Ended March 31, 1994 $10.05 0.42 (0.13) 0.29 (0.42) (0.01) (0.43)
- -------------------------------------
* Period from commencement of operations
** During the period certain fees were voluntarily reduced. If such voluntary fee reductions had not occurred, the ratios
would have been as indicated.
*** On February 14, 1998, The Bond Fund Institutional shares merged in to Select Shares to create a single class Bond Fund.
(a) Not Annualized
(b) Annualized
(C) Includes .04 per share and .02 per share of distributions in excess of net investment income for the Limited Term Bond Fund and
Income Fund respectively, for year ended March 31, 1998.
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
<CAPTION>
TOTAL RETURN / RATIOS / SUPPLEMENTARY DATA:
---------------------------------------------------------------------------------------------------------
Ratio of Ratio of Net Ratio of Ratio of Net
NAV Net Assets Expenses to Investment Expenses to Investment
END Total End of Period Average Income to Average Income to PORTFOLIO
OF PERIOD Return (000 omitted) Net Assets Average Net Assets Net Assets** Average Net Assets** TURNOVER
- --------- ------ ------------- ----------- ------------------ ------------ -------------------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
$10.17 4.26% (a) $53,848 1.08% (b) 4.92% (b) 1.58% (b) 4.42% (b) 9.14%
$9.99 8.51% (a) $37,777 1.35% 4.60% 1.60% 4.35% 80.26%
$9.69 3.13% $38,835 1.40% 5.18% 1.65% 4.93% 70.63%
$9.89 3.40% (a) $41,178 1.18% (b) 5.53% (b) 1.18% (b) 5.53% (b) 69.30%
$10.12 5.31% (a) $18,983 1.02% (b) 5.26% (b) 1.52% (b) 4.76% (b) 21.65%
$9.86 10.30% (a) $7,213 0.88% (b) 7.66% (b) ----- ----- 225.79%
$9.83 6.97% $3,201 0.83% 6.16% ----- ----- 42.22%
$9.78 2.10% (a) $3,642 0.80% (b) 6.24% (b) ----- ----- 60.43%
$10.01 10.11% $1,970 0.65% 6.76% ----- ----- 42.22%
$9.82 7.19% $4,360 0.63% 6.36% ----- ----- 42.22%
$9.79 2.27% (a) $4,363 0.60% (b) 6.40% (b) ----- ----- 60.43%
$10.30 5.46% (a) $95,655 1.01% (b) 5.50% (b) 1.51% (b) 5.00% (b) 26.95%
$10.04 9.31% $104,604 1.15% 5.04% 1.40% 4.79% 52.03%
$9.70 3.14% $92,031 1.20% 5.52% 1.45% 5.27% 59.70%
$9.93 8.74% $84,752 0.97% 5.77% 0.97% 5.77% 113.25%
$9.71 3.46% $81,673 0.94% 5.53% 1.22% 5.26% 32.38%
$9.92 2.43% $90,301 0.51% 5.74% 1.24% 5.01% 32.03%
$10.78 3.58% (a) $52,006 1.06% (b) 3.70% (b) 1.56% (b) 3.20% (b) 7.37%
$10.60 7.89% $48,282 1.21% 3.76% 1.46% 3.51% 36.60%
$10.22 3.22% $45,164 1.28% 3.68% 1.53% 3.43% 21.00%
$10.27 7.43% $42,436 0.75% 4.21% 1.02% 3.94% 14.21%
$9.97 5.29% $30,717 0.73% 4.42% 1.30% 3.84% 5.77%
$9.91 2.79% $32,983 0.57% 4.19% 1.38% 3.37% 13.26%
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
VINTAGE MUTUAL FUNDS, Inc.
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
INVESTMENT ACTIVITIES: DIVIDENDS & DISTRIBUTIONS:
-------------------------------------------------- ----------------------------------
From Net Total
NAV Net Net Realized/ Total from From Net Realized and Dividends
BEGINNING Investment Unrealized Investment Investment Unrealized and
OF PERIOD Income Gains/(Losses) Activities Income Gains Distributions
--------- ------ -------------- ---------- ------ ----- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Balanced Fund
Six Months Ended September 30, 1998 (unaudited) $15.05 0.13 (0.86) (0.73) (0.13) 0.00 (0.13)
Year Ended March 31, 1998 $11.72 0.21 3.67 3.88 (0.21) (0.34) (0.55)
Year Ended March 31, 1997 $11.08 0.18 1.05 1.23 (0.18) (0.41) (0.59)
June 1, 1995 to march 31, 1996* $10.00 0.24 1.08 1.32 (0.24) 0.00 (0.24)
Equity Fund S Shares
Six Months Ended September 30, 1998 (unaudited) $21.04 (0.03) (2.70) (2.73) 0.00 0.00 0.00
Year Ended March 31, 1998 $16.58 0.00 7.19 7.19 (0.01) (2.71) (2.72)
Year Ended March 31, 1997 $14.48 0.05 2.60 2.65 (0.05) (0.50) (0.55)
Year Ended March 31, 1996 $11.44 0.13 3.27 3.40 (0.13) (0.23) (0.36)
Year Ended March 31, 1995 $10.05 0.15 1.41 1.56 (0.15) (0.02) (0.17)
Year Ended March 31, 1994 $10.20 0.19 (0.14) 0.05 (0.20) 0.00 (0.20)
Equity Fund T Shares
Six Months Ended September 30, 1998 (unaudited) $21.05 (0.01) (2.69) (2.69) 0.00 0.00 0.00
February 14, 1998 to March 31, 1998*** $19.77 0.00 1.28 1.28 0.00 0.00 0.00
Aggressive Growth
Six Months Ended September 30, 1998 (unaudited) $16.99 (0.05) (2.14) (2.19) 0.00 0.00 0.00
Year Ended March 31, 1998 $11.90 (0.09) 5.61 5.52 0.00 (0.43) (0.43)
Year Ended March 31, 1997 $10.88 (0.06) 1.08 1.02 0.00 0.00 0.00
Sept. 29, 1995 to March 31, 1996* $10.00 0.00 0.90 0.90 0.00 (0.02) (0.02)
- -------------------------------------
* Period from commencement of operations.
** During the period certain fees were voluntarily reduced. If such voluntary fee reductions had not occurred,
the ratios would have been as indicated.
(a) Not Annualized
(b) Annualized
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
<TABLE>
<CAPTION>
TOTAL RETURN / RATIOS / SUPPLEMENTARY DATA:
---------------------------------------------------------------------------------------------------------
Ratio of Ratio of Net Ratio of Ratio of Net
NAV Net Assets Expenses to Investment Expenses to Investment
END Total End of Period Average Income to Average Income to Portfolio
OF PERIOD Return (000 omitted) Net Assets Average Net Assets Net Assets** Average Net Assets** Turnover
- --------- ------ ------------- ----------- ------------------ ------------ -------------------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
$14.19 -4.89% (a) $59,976 1.29% (b) 1.71% (b) 1.79% (b) 1.21% (b) 24.83%
$15.05 33.46% $63,403 1.38% 1.58% 1.63% 1.33% 101.32%
$11.72 11.05% $32,012 1.55% 1.58% 1.80% 1.33% 38.35%
$11.08 13.29% (a) $13,516 1.32% (b) 2.66% (b) 1.32% (b) 2.66% (b) 61.72%
$18.31 -12.98% (a) $180,279 1.41% (b) -0.30% (b) 1.66% (b) -0.55% (b) 24.85%
$21.05 45.54% $196,772 1.31% 0.08% 1.56% 0.33% 72.80%
$16.58 18.35% $309,669 1.33% 0.32% 1.58% 0.07% 37.08%
$14.48 29.96% $210,950 1.09% 0.96% 1.09% 0.96% 33.23%
$11.44 15.74% $149,233 1.07% 1.47% 1.35% 1.19% 20.54%
$10.05 0.45% $125,203 0.54% 1.97% 1.37% 1.15% 3.98%
$18.35 -12.83% (a) $231,716 1.16% (b) -0.05% (b) 1.66% (b) -0.55% (b) 24.85%
$21.05 6.40% (a) $275,245 1.19% (b) 0.63% (b) 1.44% (b) 0.38% (b) 72.80%
$14.80 -12.89% (a) $94,545 1.43% (b) -0.74% (b) 1.93% (b) -1.24% (b) 24.27%
$16.99 46.82% $101,377 1.56% -0.74% 1.81% -0.99% 86.36%
$11.90 9.39% $49,413 1.63% -0.64% 1.88% -0.89% 45.14%
$10.88 9.10% (a) $23,319 1.57% (b) 0.08% (b) 1.57% (b) 0.08% (b) 4.31%
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS.
<PAGE>
TABLE OF CONTENTS
PERFORMANCE REPORTS AND
SCHEDULES OF PORTFOLIO INVESTMENTS
PAGE 5
STATEMENTS OF ASSETS AND LIABILITIES
PAGE 37
STATEMENTS OF OPERATIONS
PAGE 41
STATEMENTS OF CHANGES IN NET ASSETS
PAGE 44
NOTES TO FINANCIAL STATEMENTS
PAGE 53
FINANCIAL HIGHLIGHTS
PAGE 64
REPORT OF INDEPENDENT AUDITORS
PAGE 70
<PAGE>
SERVICE PROVIDERS
INVESTMENT ADVISORY AND
ADMINISTRATOR
Investors Management Group
2203 Grand Avenue
Des Moines, Iowa 50312
DISTRIBUTOR
BISYS Fund Services Limited Partnership
3435 Stelzer Road
Columbus, Ohio 43219
LEGAL COUNSEL
Cline, Williams, Wright, Johnson
& Oldfather
1900 First Bank Building
Lincoln, Nebraska 68508
INDEPENDENT AUDITORS
McGladrey & Pullen, LLP
400 Locust Street, Suite 640
Des Moines, Iowa 50309-2372
