Teberg Funds N-CSR

SEMI-ANNUAL REPORT 

For the Six Months Ended 

September 30, 2003 

Dear Fellow Shareholder:

This is the third time we have prepared a formal report to our shareholders, but represents the first time we can talk about a positive cumulative return. After a very dark period in the market’s history, we have finally seen the rally that everyone hoped for.

From April 1, 2002 (The Teberg Fund’s start date) through the end of the September 30, 2003 quarter, we achieved a return of 8.69%. This is especially significant when compared with the -10.80% return posted by the S&P 500 during the same period. Bottom line is that we outperformed our Fund’s benchmark by 19.49%, which is not bad for a fledgling mutual fund from northern Minnesota.

We are also pleased to report that we made the top 3% of the 219 funds in Morningstar’s Conservative Allocation category for our 12-month return as of September 30, 2003. There’s no label we like better than conservative, and to rise to the top of this group is very gratifying.

As always, it isn’t the bragging rights that excite us but the fact that we have done well for our shareholders. It appears that some investors who are celebrating the market’s upturn are overlooking the real dollars they lost during the last eighteen months. As we all know, it’s much easier to crawl out of a hole when you’re closer to the surface.

It’s also easier to take advantage of a recovery when you’re still in the market, which is why long-term investors like the ones we value usually do better than fair weather ones.


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Whether this recovery will be short lived or sustained remains to be seen. There’s evidence that some investors have jumped back into the market after retreating near the bottom in the hope that they will never again experience these losses. Our strategy is not to react to every market trend but rather to stick with the conservative plan that has guided The Teberg Fund since inception.

It takes discipline and determination to run a long-distance race when the scenery is somewhat constant. This is the course our shareholders have embarked upon. Like the old fable about the tortoise and the hare, we hope you will end up a winner at the end of the race.

Sincerely,

Curtis A. Teberg

Portfolio Manager

Morningstar rankings are based on fund total returns for the period shown, taking into consideration changes in the net asset value, accumulation and reinvestment of dividends and the compounding factor over time. Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed may be worth more or less than the original cost. The returns shown reflect the reinvestment of dividends and capital gains, and a fee waiver in effect. Without such fee waiver, returns and ranking may be lower. Please see the attached Annual Report for more complete Fund performance information.

The S&P 500 Index is an unmanaged index commonly used to measure the performance of U.S. stocks. You cannot invest directly in an index.

This material must be preceded or accompanied by a prospectus. (11/03)


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THE TEBERG FUND

Comparison of the change in value of a hypothetical $10,000 investment in The Teberg Fund versus the S&P 500 Index

Total Return :

	One Year	Since Inception¹

The Teberg Fund	20.50%	5.72%
S&P 500 Index	24.40%	-7.35%

The Fund commenced operations on April 1, 2002. 

1 Average Annual Total Return represents the average change in account value over the period indicated. 

Past performance is no guarantee of future results. The performance data and graph do not reflect the deduction of taxes that a shareholder would pay on dividends, capital gain distributions, or redemption of Fund shares. Share value will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than the original investment. Indices do not incur expenses and are not available for investment. 

The S&P 500 Index is an unmanaged capitalization-weighted index of 500 stocks designed to represent the broad domestic economy. 


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The Teberg Fund

SCHEDULE OF INVESTMENTS at September 30, 2003 (Unaudited)

Shares			Market Value

	Domestic Equity Funds: 28.70%
14,356	AIM Constellation Fund - Institutional Class	$	297,021
1,873	AIM High Yield Fund - Class A		7,866
49,573	AIM Weingarten Fund - Class A		539,854
34,369	American AMCAP Fund - Class A		526,182
42,279	American Washington Mutual Investors Fund - Class A		1,091,655
21,542	Brandywine Fund, Inc.		458,851
2,366	FPA Capital Fund		78,234
2,629	Fidelity Advisor Equity Growth Fund - Institutional Class		110,140
9,495	Fidelity Advisor Growth Opportunities Fund - Institutional Class		246,309
10,731	Fidelity Growth & Income Portfolio		351,026
12,963	Franklin Flex Cap Growth Fund - Class A		379,701
11,067	Gabelli Asset Fund - Class AAA		356,897
99,296	INVESCO Growth Fund - Investor Class		179,725
23,245	Janus Fund		482,343
14,858	John Hancock Small Cap Equity Fund - Class A		214,111
5,146	Liberty Acorn Fund - Class Z		101,521
3,193	MFS Capital Opportunities Fund - Class A		34,389
14,946	MFS Mid Cap Growth Fund - Class A		105,670
49,548	Putnam OTC & Emerging Growth Fund - Class A		312,153
9,689	Putnam Vista Fund - Class A		70,730
5,225	Rydex Series Trust - Arktos Fund - Investor Class		150,522
13,724	Rydex Series Trust - Ursa Fund		150,137
8,912	SAFECO Growth Opportunities Fund - Investor Class		198,374
16,495	Seligman Communications and Information Fund - Class A		337,167
1,553	Weitz Series Fund, Inc. - Value Fund		50,018


	Total Domestic Equity Funds
	(Cost $6,256,710)		6,830,596


	Money Market Funds: 71.50%
1,508,406	Cash Trust Series II - Treasury Cash Series II		1,508,406
15,506,169	Institutional Fiduciary Trust - Money Market Portfolio		15,506,169


	Total Money Market Funds
	(Cost $17,014,575)		17,014,575


	Total Investments (Cost $23,271,285):100.20%		23,845,171
	Liabilities in Excess of Other Assets: (0.20%)		(48,154)

	Net Assets: 100.00%	$	23,797,017

See accompanying Notes to Financial Statements.


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The Teberg Fund

S T A T E M E N T O F A S S E T S A N D L I A B I L I T I E S 

at September 30, 2003 (Unaudited) 

ASSETS
Investments in securities, at value
(identified cost $23,271,285)	$	23,845,171
Receivables
Dividends and interest		9,573
Prepaid expenses		2,864

Total assets		23,857,608



LIABILITIES
Payables
Advisory fees		32,300
Administration fees		3,920
Accrued expenses		24,371

Total liabilities		60,591



NET ASSETS	$	23,797,017



Net asset value, offering and redemption price per share
[$23,797,017/2,207,147 shares outstanding;
unlimited number of shares (par value $0.01) authorized]	$	10.78



COMPONENTS OF NET ASSETS
Paid-in capital	$	21,784,874
Undistributed net investment income		280,250
Accumulated net realized gain on investments		1,158,007
Net unrealized appreciation on investments		573,886

NET ASSETS	$	23,797,017

See accompanying Notes to Financial Statements.


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The Teberg Fund

S T A T E M E N T O F O P E R A T I O N S

For the Six Months Ended September 30, 2003 (Unaudited)

INVESTMENT INCOME
Income
Dividends	$	455,215



Expenses
Advisory fees (Note 3)		161,072
Administration fees (Note 3)		21,476
Distribution fees (Note 4)		12,983
Fund accounting fees		12,656
Transfer agent fees		11,731
Audit fees		8,658
Legal fees		3,238
Trustee fees		3,219
Registration fees		3,009
Custody fees		2,887
Shareholder reporting		1,899
Other		1,683
Insurance fees		1,098

Total expenses		245,609
Add: expenses recouped by advisor (Note 3)		21,228

Net expenses		266,837

Net investment income		188,378


REALIZED AND UNREALIZED GAIN ON INVESTMENTS
Net realized gain from security transactions		1,346,243
Net change in unrealized appreciation on investments		408,930

Net realized and unrealized gain on investments		1,755,173

Net Increase in Net Assets Resulting from Operations	$	1,943,551

See accompanying Notes to Financial Statements.


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The Teberg Fund

S T A T E M E N T O F C H A N G E S I N N E T A S S E T S


	Six Months Ended September 30, 2003 (Unaudited)		Year Ended March 31, 2003 ⁽¹⁾



INCREASE IN NET ASSETS FROM:
OPERATIONS
Net investment income	$	188,378	$	213,444
Net realized gain/(loss) on security transactions		1,346,243		(188,236	)
Net change in unrealized appreciation on investments		408,930		164,956

Net increase in net assets resulting from operations		1,943,551		190,164



DISTRIBUTIONS TO SHAREHOLDERS:
From net investment income		-		(121,572	)



TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
Net increase in net assets derived from net change
in outstanding shares (a)		3,910,278		17,874,596

Total increase in net assets		5,853,829		17,943,188

NET ASSETS
Beginning of period		17,943,188		-

End of period	$	23,797,017	$	17,943,188

(a) A summary of share transactions is as follows:

	Six Months Ended						Year
	Ended September 30, 2003						Ended
	(Unaudited)						March 31, 2003 ⁽¹⁾

	Shares			Paid in Capital			Shares			Paid in Capital


Shares sold		364,898		$	3,923,163			1,842,899		$	17,867,357
Shares reinvested		-			-			12,637			121,572
Shares redeemed		(1,197	)		(12,885	)		(12,090	)		(114,333	)

Net increase		363,701		$	3,910,278			1,843,446		$	17,874,596

^⁽¹⁾Fund commenced operations on April 1, 2002.

See accompanying Notes to Financial Statements.


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The Teberg Fund

F I N A N C I A L H I G H L I G H T S

For a share outstanding throughout each period

	Six Months Ended September 30, 2003 (Unaudited)				Year Ended March 31, 2003*




Net asset value, beginning of period	$	9.73			$	10.00


Income from investment operations:
Net investment income		0.09				0.13
Net realized and unrealized gain/(loss) on investments		0.96				(0.32	)

Total from investment operations		1.05				(0.19	)


Less Distributions:
From net investment income		-				(0.08	)

Total distributions		-				(0.08	)


Net asset value, end of period	$	10.78			$	9.73


Total return		10.79	%	+		(1.90	%)

Ratios/supplemental data:
Net assets, end of period (thousands)	$	23,797			$	17,943
Ratio of expenses to average net assets:
Before expense reimbursement/recoupment		2.27	%	**		2.93	%
After expense reimbursement/recoupment		2.48	%	**		2.50	%
Ratio of net investment income to average net assets
After expense reimbursement/recoupment		1.75	%	**		1.95	%
Portfolio turnover rate		34.09	%			84.10	%

* The Fund commenced operations of April 1, 2002

+ Not Annualized.

** Annualized.

See accompanying Notes to Financial Statements


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NOTES TO FINANCIAL STATEMENTS at September 30, 2003 (Unaudited)

NOTE 1 - ORGANIZATION

The Teberg Fund (the “Fund”) is a non-diversified series of shares of beneficial interest of Advisors Series Trust (the “Trust”), which is registered under the Investment Company Act of 1940 as an open-end management investment company. The Fund began operations on April 1, 2002. The investment objective of the Fund is to maximize total return (capital appreciation plus income). 

NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund. These policies are in conformity with accounting principles generally accepted in the United States of America. 

A.   Security Valuation : The Fund’s investments are carried at fair value. Securities that are primarily traded on a national securities exchange shall be valued at the last sale price on the exchange on which they are primarily traded on the day of valuation or, if there has been no sale on such day, at the mean between the bid and asked prices. Securities primarily traded in the NASDAQ National Market System for which market quotations are readily available shall be valued using the NASDAQ Official Closing Price (“NOCP”). If the NOCP is not available, such securities shall be valued at the last sale price on the day of valuation, or if there has been no sale on such day, at the mean between the bid and asked prices. Over-the-counter (“OTC”) securities which are not traded in the NASDAQ National Market System shall be valued at the most recent trade price. Securities for which market quotations are not readily available, if any, are valued following procedures approved by the Board of Trustees. Short-term investments are valued at amortized cost, which approximates market value. 

B.   Federal Income Taxes : It is the Fund’s policy to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all of its taxable income to its shareholders. Therefore, no federal income tax provision is required. 

C.   Security Transactions, Dividends and Distributions : Security transactions are accounted for on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost. Dividend income and distributions to shareholders are recorded on the ex-dividend date. The amount of dividends and distributions to shareholders from net investment income and net realized capital gains is determined in accordance with Federal income tax regulations which differs from accounting principles generally accepted in the United States of America. To the extent these book/tax differences are permanent such amounts are reclassified with the capital accounts based on their Federal tax treatment.

D.   Use of Estimates : The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets during the reporting period. Actual results could differ from those estimates. 

NOTE 3 - INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES

For the six months ended September 30, 2003, First Associated Investment Advisors, Inc. (the “Advisor”) provided the Fund with investment management services under an Investment Advisory Agreement. The Advisor furnished all investment advice, office space, facilities, and provides most of the personnel needed by the Fund. As compensation for its services, the Advisor is entitled to a monthly fee at the annual rate of 1.50% based upon the average daily net assets of the Fund. For the six months ended September 30, 2003, the Fund incurred $161,072 in advisory fees. 

The Fund is responsible for its own operating expenses. The Advisor has agreed to reduce fees payable to it by the Fund and to pay Fund operating expenses to the extent necessary to limit the Fund’s aggregate annual operating expenses to 2.50% of average net assets (the “expense cap”). Any such reduction made by the Advisor in its fees or payment of expenses which are the Fund’s obligation are subject to reimbursement by the Fund to the 

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Advisor, if so requested by the Advisor, in subsequent fiscal years if the aggregate amount actually paid by the Fund toward the operating expenses for such fiscal year (taking into account the reimbursement) does not exceed the applicable limitation on Fund expenses. The Advisor is permitted to be reimbursed only for fee reductions and expense payments made in the previous three fiscal years, but is permitted to look back five years and four years, respectively, during the initial six years and seventh year of the Fund’s operations. Any such reimbursement is also contingent upon Board of Trustees review and approval at the time the reimbursement is made. Such reimbursement may not be paid prior to the Fund’s payment of current ordinary operating expenses. For the six months ended September 30, 2003, the Advisor recouped $22,844 of such expenses it previously reimbursed to the Fund. Cumulative expenses subject to recapture pursuant to the aforementioned conditions amounted to $22,701 at September 30, 2003, which expires in the year 2007. For the six months ended September 30, 2003 the Advisor waived $1,616 in 12b-1 fees received from underlying funds that were purchased through a broker affiliated with the Advisor. The 12b-1 fees received by the Fund were used to reduce the amount recouped by the advisor and are included in the advisory fee recoupment in the Statement of Operations. 

U.S. Bancorp Fund Services, LLC (the “Administrator”) acts as the Fund’s Administrator under an Administration Agreement. The Administrator prepares various federal and state regulatory filings, reports and returns for the Fund; prepares reports and materials to be supplied to the Trustees; monitors the activities of the Fund’s custodian, transfer agent and accountants; coordinates the preparation and payment of the Fund’s expenses and reviews the Fund’s expense accruals. For its services, the Administrator receives a monthly fee at the following annual rate: 

Fund asset level	Fee rate
Less than $15 million	$30,000
$15 million to less than $50 million	0.20% of average daily net assets
$50 million to less than $100 million	0.15% of average daily net assets
$100 million to less than $150 million	0.10% of average daily net assets
More than $150 million	0.05% of average daily net assets

Quasar Distributors, LLC (the “Distributor”) acts as the Fund’s principal underwriter in a continuous public offering of the Fund’s shares. The Distributor is an affiliate of the Administrator. 

Certain officers of the Fund are also officers of the Administrator and Distributor.

NOTE 4 – DISTRIBUTION COSTS

The Fund has adopted a Distribution Plan pursuant to Rule 12b-1 (the “Plan”). The Plan permits the Fund to pay for distribution and related expenses at an annual rate of to 0.25% of the Fund’s average daily net assets annually. The expenses covered by the Plan may include the cost of preparing and distributing prospectuses and other sales material, advertising and public relations expenses, payments to financial intermediaries and compensation of personnel involved in selling shares of the Fund. Payments made pursuant to the Plan will represent compensation for distribution and services activities, not reimbursements for specific expenses incurred. Pursuant to a distribution coordination agreement adopted under the Plan, distribution fees are paid to the Advisor as “Distribution Coordination”. For the six months ended September 30, 2003, the Fund paid the Distribution Coordinator $12,983. 

NOTE 5 – PURCHASES AND SALES OF SECURITIES

For the six months ended September 30, 2003, the cost of purchases and the proceeds from sales of securities, excluding short-term securities, were $5,561,296 and $17,864,008 respectively. 

NOTE 6 – DISTRIBUTIONS TO SHAREHOLDERS

Income and capital gain distributions are determined in accordance with Federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. 

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The tax character of distributions paid during the six months ended September 30, 2003 and the year ended March 31, 2003 were as follows: 

	9/30/2003	3/31/2003

Ordinary Income	$ 0	$121,572

As of March 31, 2003, Fund’s most recent fiscal year end, the components of the distributable earnings on a tax basis were as follows: 

Undistributed ordinary income		$91,872

Net realized losses differ for financial statements and tax purposes due to differing treatments for wash sale losses deferred, losses realized subsequent to October 31 on the sale of securities, and net operating losses. 

As of September 30, 2003, the components of net assets on a tax basis were as follows: 

Cost of investments for tax purposes	$23,271,583

Gross tax unrealized appreciation	671,702
Gross tax unrealized depreciation	(98,114)

Net tax unrealized appreciation	$573,588

The Fund had a capital loss carryforward of $180,302 at March 31, 2003 which expires in 2011. 

In addition, the Fund has elected to defer post-October capital losses of $7,636 and treat such losses as arising on April 1, 2003. 

NOTE 7 – CHANGE OF AUDITORS 

On June 13, 2003, PricewaterhouseCoopers LLP (“PwC”) resigned as the independent accountants for the Teberg Fund (the “Fund”), a series of Advisors Series Trust (the “Company”). On June 13, 2003, the Company retained Tait, Weller & Baker (“Tait”) as the independent accountants for the Fund. The retention of Tait as the independent accountants of the Fund has been approved by the Company’s Audit Committee and Board of Trustees. 

The reports of PwC on the financial statements of the Fund for the past fiscal year contained no adverse opinion or disclaimer of opinion, and were not qualified or modified as to uncertainty, audit scope or accounting principles. 

In connection with its audits for the most recent fiscal year and through June 13, 2003, there have been no disagreements with PwC on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of PwC would have caused them to make reference thereto in their report on the financial statements for such years. 


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Advisor

First Associated Investment Advisors

5161 Miller Trunk Highway

Duluth, MN 55811

Distributor

Quasar Distributors, LLC

615 East Michigan Street

Milwaukee, WI 53202

Transfer Agent

U.S. Bancorp Fund Services, LLC

615 East Michigan Street

Milwaukee, WI 53202

(866) 209-1964

Custodian

U.S. Bank, N.A.

425 Walnut Street

Cincinnati, OH 45202

Independent Accountants

Tait, Weller & Baker

1818 Market Street, Suite 2400

Philadelphia, PA 19103

Legal Counsel

Paul, Hastings, Janofsky & Walker, LLP

55 Second Street, 24 ^th Floor

San Francisco, CA 94105

This report is intended for shareholders of the Fund and may not be used as sales literature unless preceded
or accompanied by a current prospectus. For a current prospectus please call 1-866-209-1964.