<PAGE> 1
PROVIDENT
- -------------------------------------------------------------------------------
INSTITUTIONAL 400 Bellevue Parkway, Wilmington, DE 19809
FUNDS Phone: 302-792-2555 Fax: 302-792-5876
G. Willing Pepper
Chairman TEMPORARY INVESTMENT FUND, INC.
May 2, 1996
Dear Shareholder:
We are pleased to present the Semi-Annual Report to Shareholders of
Temporary Investment Fund, Inc. for the period ended March 31, 1996.
The accompanying Investment Adviser's Report provides information on recent
activity in the money markets and on the performance of our funds. I urge you to
read the report.
Provident Institutional Funds are committed to quality service and
competitive returns, with liquidity and stability of principal a primary focus.
Credit quality is the premier ingredient in our investment strategy.
Provident Institutional Funds offer a broad range of high quality taxable
and tax-exempt Money Market Funds to meet the varied needs of our investors.
Please feel free to contact your Provident Distributors, Inc. account
representative or our Client Service Center at (800) 821-7432 to discuss your
investment options.
Thank you for your continued confidence in Provident Institutional Funds.
We welcome the opportunity to service your investment needs.
Sincerely,
/s/ G. Willing Pepper
---------------------------
G. Willing Pepper
Chairman
<PAGE> 2
TEMPORARY INVESTMENT FUND, INC.
Semi-Annual Investment Adviser's Report
Concerns about a recession re-emerged early this year, and the federal
budget negotiations, which had become very intense in late 1995, all but
disappeared as politics and state primaries took center stage. Weak economic
data, which prompted the Federal Reserve to ease monetary policy in December,
again encouraged them to move in late January, lowering the Federal Funds rate
another 25 basis points to 5.25%. These two quick moves by the Fed caused market
sentiment to discount additional easing moves and, as a result, the short-term
yield curve became even more steeply inverted. Overnight rates remained at
5.25%, while six-month and one-year Treasury bills rallied sharply to 4.87% and
4.78%, respectively.
By the middle of the first quarter, sentiment began to change as economic
reports showed scattered signs of strength. The short-term market surrendered
some of its recent gains but retained a stubbornly flat slope. It was February's
report on employment released in early March, however, that reversed the course
of the market. With the news of 705,000 new jobs, short-term and long-term
interest rates rose sharply, reflecting both renewed inflationary fears and the
expectation that the Federal Reserve would halt its string of accommodative
moves. As the quarter ended, the Fed did, in fact, leave monetary policy
unchanged at its March meeting. Six-month and one-year Treasury bills ended the
quarter at 5.18% and 5.38%, indicative of the first positively sloped yield
curve in over one year. Our current outlook is that short-term interest rates
will remain steady for at least several months. The Fed's current target of a
5.25% Federal Funds rate should hold as economic data and inflation worries keep
monetary policy unchanged.
At the end of the first quarter, TempFund had assets of $7.2 billion, up
from $5.4 billion six months ago, and TempCash had assets of $2.6 billion, up
from $1.8 billion last September. TempFund's 7-day yield on March 31 of 5.28%,
and TempCash's 7-day yield of 5.24% competed well with the Fed's 5.25% federal
funds target. Both portfolios extended their average weighted maturities during
the period, particularly in the first quarter when short-term yields moved
higher and the yield curve turned positive. The funds took advantage of this
opportunity and lengthened their maturities to the 60-day range. As always,
credit quality was an important factor in the investment decision process, with
both portfolios investing only in first tier securities.
PNC INSTITUTIONAL MANAGEMENT CORPORATION
May 1, 1996
2
<PAGE> 3
TEMPFUND PORTFOLIO
Temporary Investment Fund, Inc.
Statement of Net Assets
March 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
CERTIFICATES OF DEPOSIT--2.4%
DOMESTIC CERTIFICATES OF DEPOSIT
Bank of New York
5.50%............. 06/12/96 $ 75,000 $ 74,999,877
First Union National Bank of North Carolina
5.62%............. 03/18/97 50,000 50,000,000
LaSalle National Bank
5.39%............. 04/24/96 30,000 30,000,000
National City Bank of Cleveland
6.375%............ 05/10/96 25,000 25,011,414
--------------
Total Certificates of Deposit
(Cost $180,011,291)................. 180,011,291
--------------
COMMERCIAL PAPER--42.9%
BANKS--4.1%
Morgan (J.P.) & Co.
4.88%............. 08/20/96 100,000 98,088,667
NationsBank Corp.
5.37%............. 04/10/96 50,000 49,932,875
5.085%............ 05/06/96 150,000 149,258,438
--------------
297,279,980
--------------
BEVERAGES--0.7%
Pepsico, Inc.
5.20%............. 12/03/96 50,000 48,223,333
--------------
CIGARETTES--3.1%
American Brands, Inc.
5.25%............. 09/13/96 53,000 51,724,687
5.27%............. 10/11/96 50,000 48,587,347
5.27%............. 12/06/96 25,000 24,088,729
Phillip Morris Co.
5.45%............. 04/01/96 100,000 100,000,000
--------------
224,400,763
--------------
FINANCE LESSORS--3.8%
General Electric Capital Corp.
5.35%............. 05/01/96 100,000 99,554,167
5.32%............. 05/13/96 80,000 79,503,467
5.20%............. 07/19/96 50,000 49,212,778
5.23%............. 09/16/96 50,000 48,779,667
--------------
277,050,079
--------------
LIFE INSURANCE--1.4%
Prudential Funding Corp.
5.35%............. 04/30/96 100,000 99,569,028
--------------
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
COMMERCIAL PAPER (CONTINUED)
PERSONAL CREDIT INSTITUTIONS--6.2%
Associates Corp. of North America
5.60%............. 04/10/96 $100,000 $ 99,860,000
5.08%............. 05/14/96 50,000 49,696,611
5.28%............. 06/17/96 25,000 24,717,667
5.28%............. 06/19/96 50,000 49,420,667
5.26%............. 06/25/96 50,000 49,379,028
5.12%............. 06/26/96 75,000 74,082,667
Beneficial Corp.
5.35%............. 05/03/96 100,000 99,524,444
--------------
446,681,084
--------------
PHARMACEUTICAL PREPARATIONS--1.4%
Lilly (Eli) & Co.
5.50%............. 04/29/96 51,783 51,561,484
5.24%............. 09/23/96 50,000 48,726,389
--------------
100,287,873
--------------
PLASTIC SYNTHETIC RESIN/RUBBER--0.7%
Du Pont (E.I.) de Nemours & Co.
5.55%............. 07/18/96 50,000 49,167,500
--------------
RADIO & T.V. BROADCAST & COMMERCIAL
EQUIPMENT--1.2%
Motorola, Inc.
5.35%............. 04/25/96 90,000 89,679,000
--------------
SECURITY BROKERS & DEALERS--9.3%
CS First Boston
5.08%............. 06/14/96 50,000 49,477,889
5.10%............. 07/03/96 50,000 49,341,250
Merrill Lynch & Co.
5.25%............. 05/31/96 75,000 74,343,750
5.17%............. 06/21/96 75,000 74,127,562
5.25%............. 06/25/96 23,000 22,714,896
5.12%............. 06/28/96 100,000 98,748,444
5.12%............. 07/26/96 30,000 29,505,067
Morgan Stanley Group, Inc.
5.32%............. 04/29/96 40,000 39,834,489
5.12%............. 07/26/96 50,000 49,175,111
5.30%............. 10/15/96 75,000 72,824,792
5.29%............. 11/14/96 50,000 48,332,181
5.31%............. 12/13/96 70,000 67,356,800
--------------
675,782,231
--------------
SHORT-TERM BUSINESS CREDIT INSTITUTIONS--4.2%
American Express Credit Corp.
5.41%............. 05/01/96 25,000 24,887,292
5.47%............. 05/09/96 75,000 74,566,958
5.12%............. 07/19/96 50,000 49,224,889
4.88%............. 08/09/96 75,000 73,678,333
4.95%............. 08/19/96 50,000 49,037,500
Transamerica Finance Corp.
5.25%............. 08/12/96 37,975 37,238,443
--------------
308,633,415
--------------
</TABLE>
See accompanying notes to financial statements.
3
<PAGE> 4
TEMPFUND PORTFOLIO
Statement of Net Assets (Continued)
(Unaudited)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
COMMERCIAL PAPER (CONTINUED)
TELEPHONE COMMUNICATIONS--6.0%
American Telephone & Telegraph Co.
5.54%............. 04/12/96 $ 54,500 $ 54,407,744
5.47%............. 04/17/96 50,000 49,878,444
5.47%............. 04/19/96 55,000 54,849,575
5.53%............. 04/23/96 50,000 49,831,028
Ameritech Corp.
5.40%............. 04/04/96 10,000 9,995,500
AT&T Corp. Lucent Technology
5.32%............. 06/27/96 60,000 59,228,600
5.29%............. 08/01/96 100,000 98,207,278
MCI Communications Corp.
5.34%............. 05/10/96 26,055 25,904,272
5.31%............. 05/24/96 20,000 19,843,650
5.28%............. 06/07/96 10,000 9,901,733
--------------
432,047,824
--------------
TOBACCO--0.8%
UST, Inc.
5.46%............. 04/01/96 60,644 60,644,000
--------------
Total Commercial Paper
(Cost $3,109,446,110)............... 3,109,446,110
--------------
UNITED STATES GOVERNMENT AGENCY
OBLIGATIONS--5.4%
Federal Home Loan Bank Notes
5.695%............ 06/26/96 42,935 42,929,653
Federal National Mortgage Association
5.515%+........... 04/01/96 75,000 75,000,000
5.17%+............ 04/02/96 100,000 100,000,000
5.4375%+.......... 04/17/96 100,000 99,920,000
5.86%............. 10/07/96 70,000 69,964,049
--------------
Total U.S. Government Agency
Obligations
(Cost $387,813,702)................. 387,813,702
--------------
UNITED STATES TREASURY OBLIGATIONS--2.8%
U.S. Treasury Notes
7.50%............. 01/31/97 50,000 50,969,749
6.875%............ 02/28/97 150,000 152,386,003
--------------
Total U.S. Treasury Obligations
(Cost $203,355,752)................. 203,355,752
--------------
VARIABLE RATE OBLIGATIONS+--22.0%
BANKS--11.6%
Bank One Milwaukee
5.34%............. 04/01/96 159,000 158,862,788
First Bank System of Minneapolis, Minnesota
5.4062%........... 04/17/96 180,000 180,000,000
First Union National Bank of North Carolina
5.40%............. 04/01/96 100,000 100,000,000
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
VARIABLE RATE OBLIGATIONS (CONTINUED)
Morgan Guaranty Trust
5.33%............. 04/01/96 $275,000 $ 274,951,819
Norwest Corp.
5.41%............. 04/29/96 100,000 100,000,000
5.4875%........... 06/20/96 25,000 25,014,057
--------------
838,828,664
--------------
FINANCE LESSORS--0.7%
General Electric Capital Corp.
5.3476%........... 06/14/96 50,000 50,000,000
--------------
PERSONAL CREDIT INSTITUTIONS--1.4%
Ford Motor Credit Corp.
5.825%............ 04/05/96 45,600 45,679,419
5.8085%........... 04/19/96 60,200 60,246,937
--------------
105,926,356
--------------
SECURITY BROKERS & DEALERS--8.3%
Bear Stearns Companies, Inc.
5.3125%........... 05/06/96 125,000 125,000,000
5.30%............. 05/16/96 100,000 100,000,000
5.25%............. 05/21/96 100,000 100,000,000
CS First Boston Group, Inc.
5.48%............. 04/24/96 50,000 50,000,000
Goldman Sachs Group, L.P.
5.4375%........... 05/06/96 160,000 160,000,000
Morgan Stanley Group, Inc.
5.7547%........... 04/20/96 64,000 64,117,730
--------------
599,117,730
--------------
Total Variable Rate Obligations
(Cost $1,593,872,750)............... 1,593,872,750
--------------
MEDIUM TERM NOTES--4.0%
FINANCE LESSORS--1.2%
General Electric Capital Corp.
14.00%............ 07/01/96.. 20,000.. 20,377,176
14.00%............ 07/05/96.. 17,500.. 17,844,926
IBM Credit Corp.
5.66%............. 07/17/96.. 50,000.. 50,000,000
--------------
88,222,102
--------------
SECURITY BROKERS & DEALERS--2.8%
Goldman Sachs Group, L.P.
5.875%............ 04/15/96.. 50,000.. 50,000,000
5.4375%........... 10/07/96.. 100,000.. 100,000,000
Merrill Lynch & Co.
5.742%............ 07/19/96.. 50,000.. 50,000,000
--------------
200,000,000
--------------
Total Medium Term Notes
(Cost $288,222,102)................. 288,222,102
--------------
</TABLE>
See accompanying notes to financial statements.
4
<PAGE> 5
TEMPFUND PORTFOLIO
Statement of Net Assets (Continued)
(Unaudited)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
REPURCHASE AGREEMENTS--22.0%
Lehman Government Securities, Inc.
5.00%............. 04/01/96 $ 72,000 $ 72,000,000
(Agreement dated 03/29/96 to
be repurchased at
$72,030,000,
collateralized by
$65,623,000 U.S. Treasury
Notes 6.75% to 9.125% due
05/15/99 to 05/31/99.
Market value of collateral
is $73,396,583.)
5.10%............. 04/01/96 25,000 25,000,000
(Agreement dated 03/29/96 to
be repurchased at
$25,010,625,
collateralized by
$23,948,000 U.S. Treasury
Notes 6.00% to 7.125% due
09/30/99 to 10/15/99.
Market value of collateral
is $25,488,290.)
5.75%............. 04/01/96 74,300 74,300,000
(Agreement dated 03/29/96 to
be repurchased at
$74,335,602,
collateralized by
$74,042,000 U.S. Treasury
Notes 5.50% to 6.00% due
08/31/97 to 09/30/97.
Market value of collateral
is $75,749,002.)
Merrill Lynch & Co.
5.20%............. 04/01/96 100,000 100,000,000
(Agreement dated 03/29/96 to
be repurchased at
$100,043,333,
collateralized by
$150,789,300 Federal
National Mortgage
Association Notes 6.50% to
8.00% due 11/01/20 to
01/01/26. Market value of
collateral is
$102,000,190.)
Morgan Stanley & Co.
5.71%............. 04/01/96 75,000 75,000,000
(Agreement dated 03/29/96 to
be repurchased at
$75,035,687,
collateralized by
$135,914,000 U.S. Treasury
TINTS 6.00% to 9.00% due
08/15/96 to 05/15/24.
Market value of collateral
is $76,743,966.)
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
REPURCHASE AGREEMENTS (CONTINUED)
Morgan Stanley & Co. (continued)
5.79%............. 04/01/96 $750,000 $ 750,000,000
(Agreement dated 03/29/96 to
be repurchased at
750,361,875,
collateralized by
$837,549,000 U.S. Treasury
Obligations 4.75% to
12.00% due 04/25/96 to
02/01/05. Market value of
collateral is
$767,439,660.)
PaineWebber, Inc.
5.50%............. 04/01/96 150,000 150,000,000
(Agreement dated 03/29/96 to
be repurchased at
150,068,750,
collateralized by
$217,722,000 Federal
National Mortgage
Association Notes 6.00% to
9.00%. Market value of
collateral is
$154,502,787.)
5.55%............. 04/01/96 244,000 244,000,000
(Agreement dated 03/29/96 to
be repurchased at
$244,112,850,
collateralized by
$306,182,627 Federal
National Mortgage
Association Notes 5.05% to
11.50% due 04/01/96 to
01/15/30. Market value of
collateral is
$251,323,605.)
Swiss Bank Corp.
5.10%............. 04/01/96 100,000 100,000,000
(Agreement dated 03/29/96 to
be repurchased at
$100,042,500,
collateralized by
$98,409,000 U.S. Treasury
Obligations 7.50% due
06/13/96 to 11/15/01.
Market value of collateral
is $102,350,865.)
--------------
Total Repurchase Agreements
(Cost $1,590,300,000)............... 1,590,300,000
--------------
</TABLE>
See accompanying notes to financial statements.
5
<PAGE> 6
TEMPFUND PORTFOLIO
Statement of Net Assets (Continued)
(Unaudited)
<TABLE>
<CAPTION>
VALUE
--------------
<S> <C>
TOTAL INVESTMENTS IN SECURITIES
(Cost $7,353,021,707*)........ 101.5% $7,353,021,707
LIABILITIES IN EXCESS OF OTHER
ASSETS........................ (1.5%) (105,301,420)
-------- --------------
NET ASSETS (Equivalent to $1.00
per share based on
7,119,752,120 TempFund shares
and 127,899,642 TempFund
Dollar shares,
$.001 par value common stock
outstanding).................. 100.0% $7,247,720,287
===== ==============
NET ASSET VALUE, offering and redemption
price per share
($7,247,720,287 / 7,247,651,762)........ $1.00
=====
</TABLE>
- ---------------
* Cost for federal income tax purposes
+ Variable Rate Obligations--The rate shown is the rate as of March 31, 1996,
and the maturity date shown is the date the principal amount can be recovered
upon demand or put.
<TABLE>
<CAPTION>
TEMPFUND/TEMPFUND DOLLAR
Maturity Information
March 31, 1996
PERCENTAGE
MATURITY PAR OF
PERIOD (000) PORTFOLIO
------------- ---------- ----------
<S> <C> <C> <C>
1- 7 Days $2,515,544 34.1%
8- 14 Days 204,500 2.8
15- 30 Days 1,070,983 14.5
31- 60 Days 1,136,055 15.4
61- 90 Days 785,935 10.6
91-120 Days 417,500 5.6
121-150 Days 362,975 4.9
Over 150 Days 893,000 12.1
---------- -------
$7,386,492 100.0%
========== =======
Average Weighted Maturity--59 Days
- -------------------------------------------------------
</TABLE>
See accompanying notes to financial statements.
6
<PAGE> 7
TEMPCASH PORTFOLIO
Temporary Investment Fund, Inc.
Statement of Net Assets
March 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
CERTIFICATES OF DEPOSIT--7.1%
DOMESTIC CERTIFICATES OF DEPOSIT--3.2%
Chase Manhattan Bank USA N.A.
5.40%............. 06/13/96 $ 20,000 $ 20,000,000
Harris Trust & Savings Bank
5.50%............. 03/26/97 62,000 61,941,494
--------------
81,941,494
--------------
YANKEE CERTIFICATES OF DEPOSIT--3.9%
ABN-AMRO Bank N.A. Finance, Inc.
5.57%............. 06/05/96 25,000 24,989,170
Commerzbank
6.18%............. 05/09/96 15,000 15,004,936
6.03%............. 05/10/96 15,000 15,002,795
Royal Bank of Canada
5.34%............. 07/01/96 50,000 50,000,000
--------------
104,996,901
--------------
Total Certificates of Deposit
(Cost $186,938,395)................. 186,938,395
--------------
COMMERCIAL PAPER--31.3%
BANKS--5.4%
AB Spintab Swedmortgage
5.37%............. 07/16/96 45,910 45,184,086
Morgan (J.P.) & Co.
5.202%............ 07/10/96 50,000 49,277,500
Royal Bank of Canada
4.89%............. 11/15/96 50,000 48,451,500
--------------
142,913,086
--------------
CIGARETTES--1.9%
American Brands, Inc.
5.25%............. 09/12/96 25,000 24,402,083
5.27%............. 10/11/96 25,000 24,293,674
--------------
48,695,757
--------------
FINANCE SERVICES--3.2%
Countrywide Funding Corp.
5.14%............. 05/09/96 45,000 44,755,850
5.38%............. 05/13/96 40,000 39,748,933
--------------
84,504,783
--------------
GLASS, GLASSWARE, PRESSED OR BLOWN--1.0%
Newell Co.
5.50%............. 04/01/96 27,410 27,410,000
--------------
HOUSEHOLD APPLIANCES--0.7%
Whirlpool Corp.
5.31%............. 05/01/96 17,500 17,422,562
--------------
HOUSEHOLD AUDIO & VIDEO EQUIPMENT--1.5%
Sony Capital Corp.
5.20%............. 04/18/96 40,000 39,901,778
--------------
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
COMMERCIAL PAPER (CONTINUED)
PERSONAL CREDIT INSTITUTIONS--6.0%
Associates Corp. of North America
5.28%............. 06/17/96 $ 25,000 $ 24,717,667
5.28%............. 06/19/96 25,000 24,710,333
BMW U.S. Capital Corp.
5.40%............. 04/17/96 25,000 24,940,000
5.32%............. 06/14/96 33,000 32,639,127
General Motors Acceptance Corp.
5.36%............. 06/20/96 50,000 49,404,444
--------------
156,411,571
--------------
SECURITY BROKERS & DEALERS--6.6%
CS First Boston
5.10%............. 07/12/96 25,000 24,638,750
Lehman Brothers Holdings, Inc.
5.375%............ 04/08/96 60,000 59,937,292
Merrill Lynch & Co.
5.55%............. 07/30/96 40,000 39,260,000
Morgan Stanley Group, Inc.
5.30%............. 10/15/96 25,000 24,274,931
5.29%............. 11/14/96 25,000 24,166,090
--------------
172,277,063
--------------
SERVICES-AMUSEMENT--0.9%
Walt Disney Corp.
5.22%............. 03/12/97 25,000 23,749,375
--------------
SHORT-TERM BUSINESS CREDIT INSTITUTIONS--2.2%
American Express Credit Corp.
4.95%............. 08/19/96 50,000 49,037,500
McKena Triangle National Corp.
5.15%............. 05/03/96 10,000 9,954,222
--------------
58,991,722
--------------
TELEPHONE COMMUNICATIONS--1.9%
GTE Corp.
5.35%............. 04/09/96 50,000 49,940,556
--------------
Total Commercial Paper
(Cost $822,218,253)................. 822,218,253
--------------
TIME DEPOSITS--7.0%
Societe Generale
5.00%............. 04/01/96 185,000 185,000,000
--------------
Total Time Deposits
(Cost $185,000,000)................. 185,000,000
--------------
UNITED STATES GOVERNMENT AGENCY
OBLIGATIONS--16.1%
Federal Farm Credit Bank
5.36%+............ 04/03/96 50,000 49,978,929
--------------
</TABLE>
See accompanying notes to financial statements.
7
<PAGE> 8
TEMPCASH PORTFOLIO
Statement of Net Assets (Continued)
(Unaudited)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
UNITED STATES GOVERNMENT AGENCY OBLIGATIONS
(CONTINUED)
Federal National Mortgage Association
5.515%+........... 04/01/96 $ 45,000 $ 44,993,398
5.17%+............ 04/02/96 75,000 75,000,000
5.86%............. 10/07/96 25,000 24,987,160
--------------
144,980,558
--------------
Student Loan Marketing Association
Variable Rate Notes+
5.27%............. 04/02/96 51,750 51,747,659
5.29%............. 04/02/96 50,000 50,006,769
5.31%............. 04/02/96 6,000 6,001,277
5.33%............. 04/02/96 44,000 43,994,544
5.34%............. 04/02/96 5,300 5,300,225
5.47%............. 04/02/96 13,950 13,991,886
5.545%............ 04/02/96 56,000 56,110,571
--------------
227,152,931
--------------
Total U.S. Government Agency
Obligations
(Cost $422,112,418)................. 422,112,418
--------------
UNITED STATES TREASURY OBLIGATIONS--1.9%
U.S. Treasury Notes
6.875%............ 02/28/97 50,000 50,771,100
--------------
Total U.S. Treasury Obligations
(Cost $50,771,100).................. 50,771,100
--------------
VARIABLE RATE OBLIGATIONS+--27.9%
BANKS--5.7%
First Union National Bank of North Carolina
5.40%............. 04/01/96 100,000 100,000,000
Fleet National Bank N.A.
5.56%............. 04/01/96 50,000 50,000,000
--------------
150,000,000
--------------
FINANCE SERVICES--1.9%
AT&T Capital Corp.
5.56%............. 04/01/96 50,000 50,001,807
--------------
INSURANCE (LIFE)--1.9%
General American Life Insurance Company
5.51%............. 04/01/96 50,000 50,000,000
--------------
PERSONAL CREDIT INSTITUTIONS--3.3%
Ford Motor Credit Corp.
5.614%............ 06/17/96 20,000 20,021,772
General Motors Acceptance Corp.
5.5625%........... 05/06/96 42,000 42,008,295
5.5875%........... 06/24/96 25,000 25,011,755
--------------
87,041,822
--------------
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- -------- --------------
<S> <C>
VARIABLE RATE OBLIGATIONS (CONTINUED)
SECURITY BROKERS & DEALERS--13.1%
Bear Stearns Companies, Inc.
5.95%............. 04/01/96 $ 25,000 $ 25,000,000
5.3125%........... 05/06/96 50,000 50,000,000
CS First Boston Group, Inc.
5.48%............. 04/01/96 50,000 50,000,000
5.4057%........... 05/03/96 70,000 70,000,000
Lehman Brothers Holdings, Inc.
5.4125% 04/05/96 125,000 125,000,000
Merrill Lynch & Co.
5.46%............. 04/01/96 25,000 24,999,710
--------------
344,999,710
--------------
TRANSPORTATION SERVICES--1.9%
Peoples Security Life
5.50%............. 04/02/96 50,000 50,000,000
--------------
Total Variable Rate Obligations
(Cost $732,043,339)................. 732,043,339
--------------
MEDIUM TERM NOTES--1.9%
Goldman Sachs Group L.P.
5.875%............ 04/30/96 25,000 25,000,000
Merrill Lynch & Co.
5.335%............ 03/05/97 25,000 25,000,000
--------------
Total Medium Term Notes
(Cost $50,000,000).................. 50,000,000
--------------
REPURCHASE AGREEMENTS--6.7%
PaineWebber, Inc.
5.25%............. 04/01/96 100,000 100,000,000
(Agreement dated 03/29/96 to
be repurchased at
$100,043,750
collateralized by
$121,428,286 Federal Home
Loan Mortgage Corp. Notes
4.48% to 8.06% due
11/15/22 to 04/25/24.
Market value of collateral
is $103,004,954.)
5.55%............. 04/01/96 75,100 75,100,000
(Agreement dated 03/29/96 to
be repurchased at
$75,134,734,
collateralized by
$83,262,468 Federal
National Mortgage
Association Notes 5.30% to
9.55%. Market value of
collateral is
$77,353,291.)
--------------
Total Repurchase Agreements
(Cost $175,100,000)................. 175,100,000
--------------
</TABLE>
See accompanying notes to financial statements.
8
<PAGE> 9
TEMPCASH PORTFOLIO
Statement of Net Assets (Continued)
(Unaudited)
<TABLE>
<CAPTION>
VALUE
--------------
<S> <C> <C>
TOTAL INVESTMENTS IN SECURITIES
(Cost $2,624,183,505*)....... 99.9% $2,624,183,505
OTHER ASSETS IN EXCESS OF
LIABILITIES.................. 0.1% 1,326,088
-------- --------------
NET ASSETS (Equivalent to $1.00
per share based on
2,150,102,800 TempCash shares
and 475,911,328 TempCash
Dollar shares, $.001 par
value common stock stock
outstanding)................. 100.0% $2,625,509,593
===== ==============
NET ASSET VALUE, offering and
redemption price per share
($2,625,509,593 / 2,626,014,128)........ $1.00
=====
</TABLE>
- ---------------
* Cost for federal income tax purposes
+ Variable Rate Obligation--The rate shown is the rate as of March 31, 1996 and
the maturity date shown is the date the principal amount can be recovered upon
demand or put.
<TABLE>
<CAPTION>
TEMPCASH/TEMPCASH DOLLAR
Maturity Information
March 31, 1996
PERCENTAGE
MATURITY PAR OF
PERIOD (000) PORTFOLIO
------------- ---------- ----------
<S> <C> <C> <C>
1- 7 Days $1,309,510 49.7%
8- 14 Days 110,000 4.2
15- 30 Days 90,000 3.4
31- 60 Days 304,500 11.6
61- 90 Days 223,000 8.4
91-120 Days 170,910 6.5
121-150 Days 90,000 3.4
Over 150 Days 337,000 12.8
---------- -------
$2,634,920 100.0%
========== =====
</TABLE>
Average Weighted Maturity--58 Days
- -------------------------------------------------------
See accompanying notes to financial statements.
9
<PAGE> 10
TEMPORARY INVESTMENT FUND, INC.
Statements of Operations
Six Months Ended March 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
TEMPFUND TEMPCASH
PORTFOLIO PORTFOLIO
------------ -----------
<S> <C> <C>
Interest income................................................................ $198,299,583 $76,171,090
------------ -----------
Expenses:
Investment advisory fee.................................................... 4,032,950 2,037,593
Administration fee......................................................... 4,032,950 2,037,593
Directors' fees and officer's salary....................................... 38,634 15,486
Transfer agent fee......................................................... 207,961 72,541
Custodian fee.............................................................. 341,836 168,823
Shareholder computer access program........................................ 723 2,624
Legal and audit............................................................ 25,776 40,161
Registration fees and expenses............................................. 12,158 14,506
Other...................................................................... 51,436 50,841
------------ -----------
8,744,424 4,440,168
Less fees waived........................................................... (2,484,563) (2,032,993)
------------ -----------
6,259,861 2,407,175
Service Organization fees.................................................. 128,446 599,867
------------ -----------
Total expenses........................................................ 6,388,307 3,007,042
------------ -----------
Net investment income...................................................... 191,911,276 73,164,048
Net realized gain on investments............................................... 113,954 13,913
------------ -----------
Net increase in net assets resulting from operations....................... $192,025,230 $73,177,961
=========== ==========
</TABLE>
See accompanying notes to financial statements.
10
<PAGE> 11
TEMPORARY INVESTMENT FUND, INC.
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
TEMPFUND PORTFOLIO TEMPCASH PORTFOLIO
------------------------------------ ------------------------------------
SIX MONTHS ENDED YEAR ENDED SIX MONTHS ENDED YEAR ENDED
MARCH 31, SEPTEMBER 30, MARCH 31, SEPTEMBER 30,
1996 1995 1996 1995
---------------- -------------- ---------------- ----------------
(UNAUDITED) (UNAUDITED)
<S> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Net investment income............ $ 191,911,276 $ 309,727,790 $ 73,164,048 $ 219,607,584
Net realized gain (loss) on
investments.................... 113,954 (45,427) 13,913 13,766
---------------- ---------------- ---------------- ----------------
Net increase in net assets
resulting from operations.... 192,025,230 309,682,363 73,177,961 219,621,350
---------------- ---------------- ---------------- ----------------
Distributions to shareholders:
Dividends to shareholders from
net investment income:
TempFund shares................ (189,196,822) (305,489,546) -- --
TempFund Dollar shares......... (2,714,454) (4,238,244) -- --
TempCash shares................ -- -- (60,453,954) (195,367,688)
TempCash Dollar shares......... -- -- (12,710,094) (24,239,896)
Distributions to shareholders
from net realized gain:
TempFund shares................ -- (37,842) -- --
TempFund Dollar shares......... -- (673) -- --
TempCash shares................ -- -- -- --
TempCash Dollar shares......... -- -- -- --
---------------- ---------------- ---------------- ----------------
Total distributions to
shareholders............... (191,911,276) (309,766,305) (73,164,048) (219,607,584)
---------------- ---------------- ---------------- ----------------
Capital share transactions
(at $1 per share):
Sale of shares................... 59,233,613,468 86,630,484,234 22,333,944,131 73,114,313,267
Shares issued in reinvestment of
dividends...................... 38,944,339 47,211,646 29,533,872 69,643,235
Shares repurchased............... (57,458,125,581) (85,827,394,675) (21,508,304,547) (74,142,052,727)
---------------- ---------------- ---------------- ----------------
Increase (decrease) in net
assets derived
from capital share
transactions............... 1,814,432,226 850,301,205 855,173,456 (958,096,225)
---------------- ---------------- ---------------- ----------------
Total increase (decrease) in
net assets................. 1,814,546,180 850,217,263 855,187,369 (958,082,459)
Net assets:
Beginning of period.................. 5,433,174,107 4,582,956,844 1,770,322,224 2,728,404,683
---------------- ---------------- ---------------- ----------------
End of period........................ $ 7,247,720,287 $ 5,433,174,107 $ 2,625,509,593 $ 1,770,322,224
================ ================ ================ ================
</TABLE>
See accompanying notes to financial statements.
11
<PAGE> 12
TEMPORARY INVESTMENT FUND, INC.
Financial Highlights
(For a Share of the Fund Outstanding Throughout Each Period)
<TABLE>
<CAPTION>
TEMPFUND SHARES
------------------------------------------------------------------------------
SIX MONTHS YEAR ENDED SEPTEMBER 30,
ENDED --------------------------------------------------------------
MARCH 31, 1996 1995 1994 1993 1992 1991
-------------- ---------- ---------- ---------- ---------- ----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------ ------ ------ ------ ------
Income From Investment Operations
Net Investment Income....................... .0276 .0567 .0360 .0310 .0424 .0667
Net Realized Gains on Investments........... -- -- -- -- .0015 --
-------- ------ ------ ------ ------ ------
Total From Investment Operations............ .0276 .0567 .0360 .0310 .0439 .0667
-------- ------ ------ ------ ------ ------
Less Distributions
Dividends (from net investment income)...... (.0276) (.0567) (.0360) (.0310) (.0424) (.0667)
Distributions (from capital gains).......... -- -- -- -- (.0015) --
-------- ------ ------ ------ ------ ------
Total Distributions......................... (.0276) (.0567) (.0360) (.0310) (.0439) (.0667)
-------- ------ ------ ------ ------ ------
Net Asset Value, End of Period................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
====== ====== ====== ====== ====== ======
Total Return................................ 5.67%(2) 5.82% 3.66% 3.14% 4.48% 6.87%
Ratios/Supplemental Data
Net Assets, End of Period (000's)......... $7,119,798 $5,351,346 $4,480,851 $5,522,056 $9,227,572 $8,888,832
Ratio of Expenses to Average Daily Net
Assets.................................. .18%(1,2) .24%(1) .25%(1) .21% .21% .27%
Ratio of Net Investment Income to
Average Daily Net Assets................ 5.54%(2) 5.67% 3.60% 3.10% 4.13% 6.53%
</TABLE>
<TABLE>
<CAPTION>
TEMPFUND DOLLAR SHARES
------------------------------------------------------------------------------
SIX MONTHS YEAR ENDED SEPTEMBER 30,
ENDED --------------------------------------------------------------
MARCH 31, 1996 1995 1994 1993 1992 1991
-------------- ---------- ---------- ---------- ---------- ----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------ ------ ------ ------ ------
Income From Investment Operations
Net Investment Income....................... .0260 .0542 .0335 .0285 .0399 .0642
Net Realized Gains on Investments........... -- -- -- -- .0015 --
-------- ------ ------ ------ ------ ------
Total From Investment Operations............ .0260 .0542 .0335 .0285 .0414 .0642
-------- ------ ------ ------ ------ ------
Less Distributions
Dividends (from net investment income)...... (.0260) (.0542) (.0335) (.0285) (.0399) (.0642)
Distributions (from capital gains).......... -- -- -- -- (.0015) --
-------- ------ ------ ------ ------ ------
Total Distributions......................... (.0260) (.0542) (.0335) (.0285) (.0414) (.0642)
-------- ------ ------ ------ ------ ------
Net Asset Value, End of Period................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
====== ====== ====== ====== ====== ======
Total Return................................ 5.42%(2) 5.57% 3.41% 2.89% 4.23% 6.62%
Ratios/Supplemental Data
Net Assets, End of Period (000's)......... $127,922 $81,828 $102,105 $112,695 $217,230 $44,667
Ratio of Expenses to Average Daily Net
Assets.................................. 43%(1,2) .49%(1) .50%(1) .46% .46% .52%
Ratio of Net Investment Income to
Average Daily Net Assets................ 5.29%(2) 5.42% 3.35% 2.85% 3.88% 6.28%
</TABLE>
- ---------------
(1) Without the waiver of advisory and administration fees, the ratio of
expenses to average daily net assets for TempFund Shares would have been
.25% (annualized), for the six months ended March 31, 1996 and .27% for the
years ended September 30, 1995 and 1994, respectively. For TempFund Dollar
Shares the ratio of expenses to average daily net assets would have been
.50% (annualized) for the six months ended March 31, 1996 and .52% for the
years ended September 30, 1995 and 1994, respectively.
(2) Annualized.
See accompanying notes to financial statements.
12
<PAGE> 13
TEMPORARY INVESTMENT FUND, INC.
Financial Highlights
(For a Share of the Fund Outstanding Throughout Each Period)
<TABLE>
<CAPTION>
TEMPCASH SHARES
------------------------------------------------------------------------------
SIX MONTHS YEAR ENDED SEPTEMBER 30,
ENDED --------------------------------------------------------------
MARCH 31, 1996 1995 1994 1993 1992 1991
-------------- ---------- ---------- ---------- ---------- ----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------ ------ ------ ------ ------
Income From Investment Operations
Net Investment Income....................... .0279 .0575 .0370 .0310 .0424 .0676
Net Realized Gains on Investments........... -- -- -- -- .0008 --
-------- ------ ------ ------ ------ ------
Total From Investment Operations............ .0279 .0575 .0370 .0310 .0432 .0676
-------- ------ ------ ------ ------ ------
Less Distributions
Dividends (from net investment income)...... (.0279) (.0575) (.0370) (.0310) (.0424) (.0676)
Distributions (from capital gains).......... -- -- -- -- (.0008) --
-------- ------ ------ ------ ------ ------
Total Distributions......................... (.0279) .0575 (.0370) (.0310) (.0432) (.0676)
-------- ------ ------ ------ ------ ------
Net Asset Value, End of Period................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ====== ====== ====== ====== ======
Total Return................................ 5.70%(2) 5.90% 3.76% 3.14% 4.41% 6.97%
Ratios/Supplemental Data
Net Assets, End of Period (000's)......... $2,149,699 $1,316,166 $2,330,456 $1,479,035 $1,492,959 $1,528,637
Ratio of Expenses to Average Daily Net
Assets.................................. .18%(1,2) .16%(1) .16%(1) .19%(1) .20%(1) .20%(1)
Ratio of Net Investment Income to
Average Daily Net Assets................ 5.54%(2) 5.75% 3.70% 3.10% 4.14% 6.57%
</TABLE>
<TABLE>
<CAPTION>
TEMPCASH DOLLAR SHARES
------------------------------------------------------------------------------
SIX MONTHS YEAR ENDED SEPTEMBER 30,
ENDED --------------------------------------------------------------
MARCH 31, 1996 1995 1994 1993 1992 1991
-------------- ---------- ---------- ---------- ---------- ----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period.......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------ ------ ------ ------ ------
Income From Investment Operations
Net Investment Income....................... .0267 .0550 .0345 .0285 .0399 .0651
Net Realized Gains on Investments........... -- -- -- -- .0008 --
-------- ------ ------ ------ ------ ------
Total From Investment Operations............ .0267 .0550 .0345 .0285 .0407 .0651
-------- ------ ------ ------ ------ ------
Less Distributions
Dividends (from net investment income)...... (.0267) (.0550) (.0345) (.0285) (.0399) (.0651)
Distributions (from capital gains).......... -- -- -- -- (.0008) --
-------- ------ ------ ------ ------ ------
Total Distributions......................... (.0267) (.0550) (.0345) (.0285) (.0407) (.0651)
-------- ------ ------ ------ ------ ------
Net Asset Value, End of Period................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ====== ====== ====== ====== ======
Total Return................................ 5.45%(2) 5.65% 3.51% 2.89% 4.16% 6.72%
Ratios/Supplemental Data
Net Assets, End of Period (000's)......... $475,811 $454,156 $397,948 $307,239 $408,900 $438,721
Ratio of Expenses to Average Daily Net
Assets.................................. .43%(1,2) .41%(1) .41%(1) .44%(1) .45%(1) .45%(1)
Ratio of Net Investment Income to Average
Daily Net Assets........................ 5.29%(2) 5.50% 3.45% 2.85% 3.89% 6.32%
</TABLE>
- ---------------
(1) Without the waiver of advisory and administration fees, the ratios of
expenses to average daily net assets for TempCash Shares would have been
.33% (annualized) for the six months ended March 31, 1996, .30%, .33%,
.37%, .33% and .34% for the years ended September 30, 1995, 1994, 1993,
1992 and 1991, respectively. For TempCash Dollar Shares, the ratio of
expenses to average daily net assets would have been .58% (annualized) for
the six months ended March 31, 1996, .55%, .58%, .62%, 58% and .59% for the
years ended September 30, 1995, 1994, 1993, 1992 and 1991, respectively.
(2) Annualized.
See accompanying notes to financial statements.
13
<PAGE> 14
Notes to Financial Statements
(Unaudited)
A. Temporary Investment Fund, Inc. (the Company) is registered under the
Investment Company Act of 1940, as amended, as a diversified open-end management
company. The Company maintains two separate portfolios, TempFund and TempCash.
Interests in the TempFund portfolio are represented by Class B (TempFund shares)
and Class B--Special Series 1 (TempFund Dollar shares) common stock. Interests
in the TempCash portfolio are represented by Class C (TempCash Dollar shares)
and Class C--Special Series 1 (TempCash shares) common stock.
Dollar shares are substantially identical in all respects to other classes of
shares, except that Dollar shares are sold to institutions which provide support
services to their customers, who beneficially own such shares, in consideration
of the Company's payment of 0.25% (on an annualized basis) of the average daily
net asset value of the shares held by the institutions for the benefit of their
customers. The Service Organization fee is applicable only to the earnings of
the respective Dollar series of shares.
B. Significant accounting policies are as follows:
Security Valuation--Portfolio securities are valued under the amortized cost
method which approximates current market value. Under this method, securities
are valued at cost when purchased and thereafter a constant proportionate
amortization of any discount or premium is recorded until maturity of the
security. Regular review and monitoring of the market-based valuation is
performed in an attempt to avoid dilution or other unfair results to
shareholders. The Company seeks to maintain the net asset value per share of
each portfolio at $1.00.
Repurchase Agreements--The Company may purchase, for each portfolio, money
market instruments from financial institutions, such as banks and non-bank
dealers, subject to the seller's agreement to repurchase them at an agreed upon
date and price. Although the securities subject to repurchase agreements may
bear maturities exceeding thirteen months, the repurchase agreements themselves
will have a maximum maturity of one year or less. The seller will be required on
a daily basis to maintain the value of the securities subject to the agreement
at not less than the repurchase price.
Dividends to Shareholders--Dividends are declared daily and paid monthly.
Dividends payable are recorded on the dividend record date. Net income for
dividend purposes includes interest accrued and discount earned and realized
gains and losses on portfolio securities and is reduced by premium amortized and
expenses accrued.
Federal Taxes--No provision is made for federal taxes as it is the Company's
intention to have each portfolio continue to qualify as a regulated investment
company and to make the requisite distributions to its shareholders which will
be sufficient to relieve it from all or substantially all federal income and
excise taxes.
Other--Investment transactions are accounted for on the trade date and the
cost of investments sold is determined by use of the specific identification
method for both financial reporting and income tax purposes. Expenses not
directly attributable to a specific portfolio are allocated between the two
portfolios based on their relative net assets.
C. Under agreements among the Company, PNC Bank, National Association (PNC Bank)
and PNC Institutional Management Corporation (PIMC), an indirect wholly-owned
subsidiary of PNC Bank, PIMC manages the Company's portfolios and maintains
their financial accounts. PNC Bank is the Company's sub-adviser and custodian
and PFPC Inc. (PFPC) is the Company's transfer agent.
14
<PAGE> 15
Notes to Financial Statements (Continued)
(Unaudited)
Provident Distributors, Inc. (PDI) is the Company's Distributor. No
compensation is payable by the Company to PDI for its distribution services.
The Company has entered into a Co-Administration Agreement with PFPC and PDI
for certain administrative services.
In return for their advisory and administrative services, the Company pays
PIMC and the administrators each a fee, computed daily and payable monthly,
based upon an annualized percentage of the average daily net assets of each
portfolio as follows:
TempFund Portfolio:
.175% of the first $1 billion, plus .15% of the next $1 billion, .125% of the
next $1 billion, .10% of the next $1 billion, .095% of the next $1 billion, .09%
of the next $1 billion, .08% of the next $1 billion, .075% of the next $1
billion and .07% of net assets in excess of $8 billion.
TempCash Portfolio:
.175% of the first $1 billion, plus .15% of the next $1 billion, .125% of the
next $1 billion, .10% of the next $1 billion, .095% of the next $1 billion, .09%
of the next $1 billion, .085% of the next $1 billion and .08% of net assets in
excess of $7 billion.
If expenses borne by either portfolio in any fiscal year exceed the applicable
expense limitation imposed by state securities regulations, the administrators
and PIMC will each reimburse the portfolio for one-half of any excess expense up
to the amount of fees payable to it (except where such regulations require
reimbursement regardless of the fees payable to it).
The administrators and PIMC have also agreed to reduce their fees, on an equal
basis, to the extent necessary to ensure that the ordinary operating expenses
(excluding Service Organization fees) of the TempFund portfolio and the TempCash
portfolio do not exceed .18% of each portfolio's average daily net assets.
For the six months ended March 31, 1996, the administrators and PIMC waived,
on an equal basis, administration and advisory fees payable to them in the
amounts of $2,484,563 and $2,032,993 for the TempFund portfolio and the TempCash
portfolio, respectively.
Service Organization fees of $590,450 were paid to affiliates of PIMC for the
six months ended March 31, 1996.
D. At March 31, 1996, the Company was authorized to issue 60 billion shares of
common stock, par value $.001 per share, of which 40 billion were classified as
Class B shares, 5 billion shares as Class B--Special Series 1 shares, 5 billion
shares as Class C shares and 10 billion shares as Class C--Special Series 1
shares.
15
<PAGE> 16
Notes to Financial Statements (Concluded)
(Unaudited)
Transactions in shares of each portfolio are summarized as follows:
<TABLE>
<CAPTION>
TEMPFUND PORTFOLIO TEMPCASH PORTFOLIO
------------------------------------ ------------------------------------
YEAR ENDED YEAR ENDED
SIX MONTHS ENDED SEPTEMBER 30, SIX MONTHS ENDED SEPTEMBER 30,
MARCH 31, 1996 1995 MARCH 31, 1996 1995
---------------- ---------------- ---------------- ----------------
(UNAUDITED) (UNAUDITED)
Sale of shares
<S> <C> <C> <C> <C>
TempFund Class B........ $ 57,945,007,212 $ 81,711,616,890 -- --
TempFund Dollar......... 1,288,606,256 4,918,867,344 -- --
TempCash................ -- -- $ 21,369,290,479 $ 71,241,203,865
TempCash Dollar......... -- -- 964,653,652 1,873,109,402
Shares issued in
reinvestment of dividends
TempFund Class B........ 38,759,574 47,014,339 -- --
TempFund Dollar......... 184,765 197,307 -- --
TempCash................ -- -- 23,236,250 59,750,637
TempCash Dollar......... -- -- 6,297,622 9,892,598
Shares repurchased
TempFund Class B........ (56,215,427,359) (80,888,032,287) -- --
TempFund Dollar......... (1,242,698,222) (4,939,362,388) -- --
TempCash................ -- -- (20,559,007,159) (72,315,282,564)
TempCash Dollar......... -- -- (949,297,388) (1,826,770,163)
---------------- ---------------- ---------------- ----------------
Increase (decrease)
in net assets derived from
capital share
transactions.............. $ 1,814,432,226 $ 850,301,205 $ 855,173,456 $ (958,096,225)
================ ================ ================ ================
</TABLE>
E. At March 31, 1996, net assets consisted of the following: (Unaudited)
<TABLE>
<CAPTION>
TEMPFUND TEMPCASH
--------------- ---------------
<S> <C> <C>
Paid-in capital.............................................. $ 7,247,651,760 $ 2,626,014,129
Accumulated net realized gains (losses)...................... 68,527 (504,536)
--------------- ---------------
Total net assets............................................. $ 7,247,720,287 $ 2,625,509,593
============== ==============
</TABLE>
16
<PAGE> 17
Board of Directors
G. Willing Pepper
Chairman
G. Nicholas Beckwith, III
Philip E. Coldwell
Robert R. Fortune
Jerrold B. Harris
Rodney D. Johnson
Officers
G. Willing Pepper
President
Edward J. Roach
Vice President and
Treasurer
W. Bruce McConnel, III
Secretary
Investment Adviser
PNC Institutional Management
Corporation
400 Bellevue Parkway
Wilmington, DE 19809
Co-Administrators
PFPC Inc.
400 Bellevue Parkway
Wilmington, DE 19809
Provident Distributors, Inc.
259 Radnor-Chester Road
Suite 120
Radnor, PA 19087
Distributor
Provident Distributors, Inc.
259 Radnor-Chester Road
Suite 120
Radnor, PA 19087
Transfer Agent
PFPC Inc.
P.O. Box 8950
Wilmington, DE 19885-9628
This report is submitted for
the general information of the
shareholders of the Company.
It is not authorized for
distribution to prospective
investors unless accompanied
or preceded by effective
prospectuses for each
portfolio of the Company,
which contain information
concerning the investment
policies of the portfolios as
well as other pertinent
information.
PIF-T-001
TEMPFUND
TEMPCASH
Investment Portfolios
Offered by
Temporary Investment Fund, Inc.
[PROVIDENT INSTITUTIONAL FUNDS LOGO]
Semi-Annual Report
to Shareholders
March 31, 1996
