-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Vx2vMpVgwsFyfvphdMt9W5kqRdLIrvOhSgBcT3K8k77FYOJ/EVSO8o6fEesFDiqz 4z7P8j7NS3yq01TXnm6ZSg== 0000950144-02-012568.txt : 20021209 0000950144-02-012568.hdr.sgml : 20021209 20021209121558 ACCESSION NUMBER: 0000950144-02-012568 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20020930 FILED AS OF DATE: 20021209 EFFECTIVENESS DATE: 20021209 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NATIONS INSTITUTIONAL RESERVES CENTRAL INDEX KEY: 0000859750 STATE OF INCORPORATION: MA FISCAL YEAR END: 0430 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-06030 FILM NUMBER: 02851874 BUSINESS ADDRESS: STREET 1: ONE NATIONSBANK PLZ CITY: CHARLOTTE STATE: NC ZIP: 28255 BUSINESS PHONE: 8003425734 MAIL ADDRESS: STREET 1: ONE NATIONSBANK PLAZA CITY: CHARLOTTE STATE: NC ZIP: 28255 FORMER COMPANY: FORMER CONFORMED NAME: SEI CAPITOL FUNDS DATE OF NAME CHANGE: 19900318 FORMER COMPANY: FORMER CONFORMED NAME: CAPITOL MUTUAL FUNDS DATE OF NAME CHANGE: 19920703 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NATIONS FUNDS TRUST CENTRAL INDEX KEY: 0001097519 IRS NUMBER: 000000000 STATE OF INCORPORATION: DE FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-09645 FILM NUMBER: 02851875 BUSINESS ADDRESS: STREET 1: ONE BANK OF AMERICA PLAZA CITY: CHARLOTTE STATE: NC ZIP: 28255 BUSINESS PHONE: 8003217854 MAIL ADDRESS: STREET 1: ONE BANKOF AMERICA PLAZA CITY: CHARLOTTE STATE: NC ZIP: 28255 N-30D 1 g78798nv30d.txt NATIONS INSTITUTIONAL RESERVES (RESERVES) Nations Cash Reserves Nations Money Market Reserves Nations Treasury Reserves Nations Government Reserves Nations Municipal Reserves Nations Tax-Exempt Reserves NATIONS MONEY MARKET FUNDS Nations California -------------------------------- Tax-Exempt Reserves Semiannual report for the period ended September 30, 2002 Nations New York Tax-Exempt Reserves [NATIONS FUNDS LOGO] This Report is submitted for the general information of shareholders of Nations Funds. This material must be preceded or accompanied by a current Nations Funds prospectus. Nations Funds distributor: Stephens Inc., which is not affiliated with Bank of America Corporation, is not a bank, and securities offered by it are not guaranteed by any bank or insured by the FDIC. Stephens Inc., member NYSE, SIPC. Nations Funds Investment Adviser: Banc of America Advisors, LLC. NOT FDIC INSURED MAY LOSE VALUE NO BANK GUARANTEE NATIONS FUNDS MONEY MARKET FUNDS Dear Shareholder: We are pleased to present the semiannual financial report for Nations Funds money market funds (the "Funds"). This report contains important financial information regarding your investment for the period ended September 30, 2002. We hope you will take a moment to review this information. THE ECONOMY The second quarter of 2002 began with a positive fiscal outlook. Economists speculated whether there was a recession at all, while others noted that a recovery was already underway. The healthy, but cautious, positive market sentiment shifted as more corporate scandals surfaced, the U.S. campaign for war against Iraq gained momentum, and investors realized the economic recovery may be much slower than originally anticipated. The Dow Jones Industrial Average hit a low of 7591.93 on September 30, 2002, bringing the average to levels lower than those recorded in the weeks following the terrorist attacks of September 11, 2001. The equity markets remain volatile as investors speculate on a possible Fed rate-cut in the fourth quarter of this year. Cash markets have currently priced in a 25 basis point easing of the Federal Funds rate ("Fed Funds") during the fourth quarter. This change in monetary policy could come as soon as the next Federal Open Market Committee meeting on November 6, 2002. A drop in durable goods orders in September (-5.9%) and a recent plunge in the Conference Board's consumer confidence index gives the Fed ample reason to cut Fed Funds. A large supply of new issue municipal debt issued by California entities has made investment in the municipal market considerably more attractive. PORTFOLIO OUTLOOK Due to the market volatility and unstable credit environment, we will continue to hold a high credit quality standard for our portfolio investments. Our proprietary Risk Budget Model reinforces our sell discipline, as deteriorating credit positions consume more of a funds risk budget. Portfolio managers must pair down or eliminate these positions to maintain the suitable risk budget. The weighted average maturity of the Funds are being lengthened in anticipation of the likely cut of the Federal Funds rate. We are reducing overnight liquidity in anticipation of the inflows expected as money market funds produce higher yields than other comparable, short-term investments. Furthermore, municipal securities are selectively being purchased for taxable Funds due to the absolute high level of rates currently offered in the marketplace. CREDIT CONCERNS Recently, yield spreads have been widening in the fixed income markets, which we believe suggest a growing concern around credit issues. Consumer finance companies are experiencing pricing pressure, driving the yield of their bonds higher due to worry over their long-term ability to fund themselves. In addition, some money center banks are again being scrutinized for exposure to the telecom and energy industries, as well as Latin American debt exposure. Even government sponsored enterprises Fannie Mae and Freddie Mac are being closely monitored as they manage their asset liability gap. Making investments in this unstable credit environment requires constant analysis to help mitigate the possibility of owning unwanted securities. We understand rigorous credit analysis is essential now, and during all economic cycles. Consequently, our Cash Investment platform has four dedicated credit analysts with a total of 53 years of credit experience. We believe that our platform is distinguished by having credit analysts dedicated to the short-end of the yield curve and not combined into the greater world of fixed income. Additionally, the Cash Investment credit staff frequently communicates with 34 internal credit analysts who focus on equity, municipal, and fixed-income securities. Our credit process emphasizes independent research, requiring analysts not to focus solely on the ratings of the rating agencies. Fundamental and quantitative analysis is used to derive internal ratings, as we hope to be one-step ahead of the rating agencies in recognizing values in the marketplace, as well as deteriorating credits. Our credit analysts, portfolio managers, traders and risk management associates sit together and interact constantly, seeking to create a seamless work environment that ultimately adds value to our clients. We appreciate your business and thank you for choosing Nations Reserves money market funds to help you with your short-term investment needs. Sincerely, /S/ A. MAX WALKER A. MAX WALKER PRESIDENT AND CHAIRMAN OF THE BOARD NATIONS RESERVES /S/ ROBERT H. GORDON ROBERT H. GORDON PRESIDENT BANC OF AMERICA ADVISORS, LLC September 30, 2002 AN INVESTMENT IN MONEY MARKET MUTUAL FUNDS IS NOT INSURED OR GUARANTEED BY BANK OF AMERICA, N.A., THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER GOVERNMENT AGENCY. ALTHOUGH MONEY MARKET MUTUAL FUNDS SEEK TO PRESERVE THE VALUE OF YOUR INVESTMENT AT $1.00 PER SHARE, IT IS POSSIBLE TO LOSE MONEY BY INVESTING IN MONEY MARKET MUTUAL FUNDS. Sources for economic and statistical data: Banc of America Capital Management, LLC [This page intentionally left blank] TABLE OF CONTENTS FINANCIAL STATEMENTS Statements of net assets Nations Cash Reserves 3 Nations Money Market Reserves 14 Nations Treasury Reserves 19 Nations Government Reserves 22 Nations Municipal Reserves 24 Nations Tax-Exempt Reserves 40 Nations California Tax-Exempt Reserves 53 Nations New York Tax-Exempt Reserves 63 Statements of operations 68 Statements of changes in net assets 70 Schedules of capital stock activity 74 Financial highlights 82 Notes to financial statements 98
NATIONS FUNDS [DALBAR LOGO] RECOGNIZED FOR OUTSTANDING DALBAR, Inc. is a well-respected SHAREHOLDER AND research firm that measures INTERMEDIARY SERVICE customer service levels and establishes benchmarks in the IN RECOGNITION OF ITS COMMITMENT financial services industry. TO PROVIDE SHAREHOLDERS AND INVESTMENT PROFESSIONALS WITH THE HIGHEST LEVEL OF SERVICE IN THE MUTUAL FUND INDUSTRY, NATIONS FUNDS RECEIVED THE DALBAR MUTUAL FUND SERVICE AWARD AND THE DALBAR KEY HONORS AWARD IN 2001.
[This page intentionally left blank.] NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ ASSET-BACKED SECURITIES -- 1.6% ASSET-BACKED -- AUTO LOANS -- 0.9% $ 2,058 Americredit Automobile Receivables Trust, Series 2002-A, Class A1, 1.920%& 10/06/02&&.......................................... $ 2,058 94,405 Americredit Automobile Receivables Trust, Series 2002-B, Class A1, 1.908%& l0/06/02&&.......................................... 94,406 105,000 Americredit Automobile Receivables Trust, Series 2002-C, Class A1, 1.713% 09/08/03............................................. 105,001 30,000 Americredit Automobile Receivables Trust, Series 2002-D, Class A1, 1.755% 10/06/03............................................. 30,000 62,800 Bay View Auto Trust, Series 2002-LJ1, Class A1, 1.845% 10/25/03............................................. 62,800 50,000 Capital One Auto Finance Trust, Series 2002-B, Class A1, 1.760% 09/15/03............................................. 50,000 15,049 Carmax Auto Owner Trust, Series 2002-1, Class A1, 1.890%& 10/16/02&&.......................................... 15,049 14,583 Chase Manhattan Auto Owner Trust, Series 2002-A, Class A1, 1.940%& 10/15/02&&.......................................... 14,583 52,468 Chase Manhattan Auto Owner Trust, Series 2002-B, Class A1, 1.929%& 10/16/02&&.......................................... 52,468 6,266 Daimler Chrysler Auto Trust, Series 2002-A, Class A1, 1.950%& 10/06/02&&.......................................... 6,266 40,033 Honda Auto Receivables Owner Trust, Series 2002-2, Class A1, 1.950%& 10/15/02&&.......................................... 40,033 3,499 MMCA Automobile Trust, Series 2002-1, Class A1, 2.010%& 10/15/02&&.......................................... 3,499 18,703 MMCA Automobile Trust, Series 2002-2, Class A1, 1.843%& 10/16/02&&.......................................... 18,703 28,063 National City Auto Receivables Trust, Series 2002-A, Class A1, 2.040%& 10/15/02&&.......................................... 28,063 9,520 Onyx Acceptance Auto Trust, Series 2002-B, Class A1, 1.990%& 10/15/02&&.......................................... 9,520 44,000 USAA Auto Owner Trust, Series 2002-1, Class A1, 1.789%& 10/15/02&&.......................................... 44,000 ----------- 576,449 ----------- ASSET-BACKED -- OTHER -- 0.7% 13,737 CIT Equipment Collateral, Series 2002-VT1, Class A1, 1.960%& 10/20/02&&.......................................... 13,737 75,697 G-Force CDO, Ltd., Series 2002-1A, Class A1MM, 1.864%& 10/25/02&&.......................................... 75,697
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ ASSET-BACKED -- OTHER -- (CONTINUED) $ 100,000 Permanent Financing plc, Series 1, Class 1A, 1.790%& 10/10/02&&.......................................... $ 100,000 245,000 Phoenix-Mistic CBO, Ltd., Series 2002-1A, Class A1A, 1.955%& 03/15/03............................................ 245,177 24,716 WFS Financial Owner Trust, Series 2002-2, Class A1, 1.938% 05/20/03............................................. 24,716 ----------- 459,327 ----------- TOTAL ASSET-BACKED SECURITIES (Cost $1,035,776)........................................... 1,035,776 ----------- BANK OBLIGATIONS -- 31.6% BANK NOTES -- 0.5% 100,000 American Express Centurion Bank 1.800%& 10/17/02&&.......................................... 100,000 135,000 Branch Banking & Trust 1.794%& 10/24/02&&.......................................... 135,000 23,000 Key Bank N.A. 1.923%& 10/16/02&&.......................................... 23,011 100,000 SouthTrust Bank N.A. 1.742%& 12/05/02&&.......................................... 99,959 ----------- 357,970 ----------- CERTIFICATES OF DEPOSIT -- DOMESTIC -- 0.3% 200,000 Citibank, N.A. 1.760% 12/12/02............................................. 200,000 ----------- CERTIFICATES OF DEPOSIT -- EURO -- 4.3% 180,000 Barclays Bank plc 2.100% 12/17/02............................................. 180,019 200,000 Bayerische Hypotheken und Vereinsbank AG 2.040% 10/29/02............................................. 200,002 200,000 Credit Agricole Indosuez 1.880% 12/23/02............................................. 200,036 200,000 Credit Suisse First Boston, (London) 2.010% 12/24/02............................................. 200,000 HBOS Treasury Services 200,000 1.820% 12/30/02............................................. 200,005 150,000 1.830% 12/30/02............................................. 150,007 300,000 ING Bank NV 2.030% 10/31/02............................................. 300,000 Landesbank Hessen-Thueringen Girozentrale 220,000 2.050% 10/22/02............................................. 220,001 300,000 2.025% 10/31/02............................................. 300,002 150,000 2.050% 12/23/02............................................. 150,000 200,000 2.080% 12/23/02............................................. 200,032 100,000 1.940% 12/31/02............................................. 100,001 125,000 1.945% 12/31/02............................................. 125,003
SEE NOTES TO FINANCIAL STATEMENTS. 3 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ CERTIFICATES OF DEPOSIT -- EURO -- (CONTINUED) $ 180,000 Lloyds TSB Bank plc 2.170% 12/31/02............................................. $ 180,004 150,000 Royal Bank of Canada 2.070% 12/31/02............................................. 150,000 ----------- 2,855,112 ----------- CERTIFICATES OF DEPOSIT -- YANKEE -- 21.4% 400,000 Abbey National plc 1.785%& 10/02/02&&.......................................... 399,880 Abbey National Treasury Services plc 350,000 2.550% 11/12/02............................................. 350,025 200,000 2.290% 12/31/02............................................. 199,990 ABN AMRO Bank NV, (Chicago) 100,000 2.090% 12/31/02............................................. 100,000 50,000 2.510% 06/06/03............................................. 49,993 100,000 Bank of Scotland, (New York) 2.500% 04/30/03............................................. 99,994 250,000 Banque National de Paris, (New York) 2.330% 12/17/02............................................. 249,995 Barclays Bank plc, (New York) 300,000 1.800%& 10/01/02&&.......................................... 299,942 150,000 1.800%& 10/01/02&&.......................................... 149,972 Bayerische Hypotheken und Vereinsbank AG, (New York) 150,000 1.735%& 10/06/02&&.......................................... 149,986 100,000 2.435% 11/25/02............................................. 100,001 175,000 2.510% 12/23/02............................................. 174,984 290,000 1.910% 09/15/03............................................. 290,000 Bayerische Landesbank Girozentrale, (New York) 185,000 1.735%& 10/01/02............................................ 185,000 200,000 1.710%& 10/07/02&&.......................................... 199,982 150,000 1.720%& 10/09/02&&.......................................... 149,961 44,000 1.780%& 10/20/02&&.......................................... 44,000 400,000 1.730%& 10/21/02&&.......................................... 399,906 300,000 1.724%& 10/28/02&&.......................................... 299,915 225,000 2.425% 11/25/02............................................. 225,000 150,000 BNP Paribas, (New York) 1.700% 08/11/03#............................................ 149,816 Canadian Imperial Bank of Commerce, (New York) 400,000 1.738%& 10/14/02&&.......................................... 399,971 50,000 1.875%& 10/15/02&&.......................................... 50,023 300,000 1.729%& 10/25/02&&.......................................... 299,942 95,000 2.060% 10/28/02............................................. 95,004 295,000 2.430% 11/25/02............................................. 295,000 250,000 2.160% 12/31/02............................................. 250,000 250,000 2.170% 12/31/02............................................. 250,006 150,000 1.838% 09/12/03............................................. 149,972 Credit Agricole Indosuez, (New York) 200,000 1.729%& 10/28/02&&.......................................... 199,943 175,000 2.400% 11/26/02............................................. 174,997 285,000 2.980% 04/16/03............................................. 284,970
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ CERTIFICATES OF DEPOSIT -- YANKEE -- (CONTINUED) $ 200,000 2.510% 06/06/03............................................. $ 199,973 300,000 1.729%& 10/25/02&&.......................................... 299,942 Credit Suisse First Boston, (New York) 300,000 1.740%& 10/05/02&&.......................................... 299,919 500,000 2.150% 12/31/02............................................. 500,001 140,000 1.910% 09/12/03............................................. 140,000 200,000 1.920% 09/19/03............................................. 200,000 Danske Bank, (New York) 100,000 2.190% 07/07/03............................................. 99,992 25,000 2.020% 07/25/03............................................. 25,000 75,000 1.960% 10/10/03............................................. 75,000 Deutsche Bank, (New York) 240,000 1.740%& 10/02/02&&.......................................... 240,000 300,000 2.400% 10/25/02............................................. 300,000 230,000 2.030% 12/31/02............................................. 230,000 400,000 1.960% 10/06/03............................................. 400,000 Dexia Bank, (New York) 300,000 1.720%& 10/06/02&&.......................................... 299,973 200,000 1.720%& 10/10/02&&.......................................... 199,981 25,000 2.505% 06/06/03............................................. 24,996 175,000 Dresdner Bank, (New York) 1.791%& 10/02/02............................................ 174,982 Landesbank Hessen-Thueringen Girozentrale, (New York) 190,000 1.711%& 10/26/02&&.......................................... 189,945 300,000 2.490% 04/30/03............................................. 299,974 Rabobank Nederland NV, (New York) 150,000 1.720%& 10/12/02&&.......................................... 149,960 200,000 2.500% 04/30/03............................................. 199,989 150,000 2.510% 06/06/03............................................. 149,980 200,000 1.900% 08/29/03............................................. 199,991 Societe Generale, (New York) 200,000 1.726%& 10/14/02&&.......................................... 199,980 300,000 1.734%& 10/25/02&&.......................................... 299,942 300,000 2.100% 12/16/02............................................. 300,000 100,000 2.140% 12/31/02............................................. 99,998 240,000 Svenska Handelsbanken, (New York) 1.970% 10/10/03............................................. 240,024 Toronto Dominion Bank, (New York) 300,000 1.714%& 10/28/02&&.......................................... 299,914 105,000 2.060% 12/31/02#............................................ 105,016 400,000 1.855% 08/20/03............................................. 399,947 200,000 1.860% 08/27/03............................................. 199,982 280,000 1.900% 09/15/03............................................. 279,973 185,000 United Bank of Switzerland AG, (Stamford Connecticut) 2.615% 06/17/03............................................. 184,981 ----------- 14,227,525 ----------- PROMISSORY NOTES -- 0.4% Goldman Sachs Group Inc. 100,000 1.910%& 10/01/02&&&&@@...................................... 100,000 80,000 1.864%& 10/19/02&&@@........................................ 80,000 100,000 2.070% 12/09/02@@........................................... 100,000 ----------- 280,000 -----------
SEE NOTES TO FINANCIAL STATEMENTS. 4 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ TIME DEPOSITS -- EURO -- 4.7% $ 800,000 ABN AMRO Inc. 1.906% 10/01/02............................................. $ 800,000 500,000 Credit Suisse First Boston, Inc. 1.875% 10/01/02............................................. 500,000 1,000,000 Societe Generale 1.875% 10/01/02............................................. 1,000,000 785,309 Societe Generale, (Grand Cayman) 2.000% 10/01/02............................................. 785,309 ----------- 3,085,309 ----------- TOTAL BANK OBLIGATIONS (Cost $21,005,916).......................................... 21,005,916 ----------- CORPORATE OBLIGATIONS -- 42.9% COMMERCIAL PAPER -- 36.2% Amstel Funding Corporation 78,000 1.800% 10/16/02#............................................ 77,942 200,000 Discount note 10/18/02#..................................... 199,806 315,000 Discount note 10/21/02#..................................... 314,668 137,921 Discount note 11/13/02#..................................... 137,628 273,827 1.790% 11/14/02#............................................ 273,228 150,000 Discount note 11/15/02#..................................... 149,670 255,508 Discount note 12/16/02#..................................... 254,526 74,136 Discount note 12/18/02#..................................... 73,844 130,000 Discount note 03/13/03#..................................... 128,946 Atlantis One Funding 61,992 Discount note 10/25/02#..................................... 61,910 130,000 Discount note 11/13/02#..................................... 129,725 150,000 Discount note 11/15/02#..................................... 149,668 126,154 Discount note 12/09/02#..................................... 125,716 395,657 Discount note 12/11/02#..................................... 394,203 346,722 Discount note 12/20/02#..................................... 345,327 5,000 CC (USA) Inc. Discount note 11/21/02#..................................... 4,986 Charta Corporation 130,200 Discount note 10/01/02#..................................... 130,200 100,000 Discount note 11/13/02#..................................... 99,797 100,000 Discount note 11/14/02#..................................... 99,792 Compass Securitization LLC 182,080 1.790% 10/21/02#............................................ 181,899 150,000 Discount note 10/22/02#..................................... 149,845 278,310 Discount note 12/16/02#..................................... 277,268 CXC LLC 441,000 Discount note 10/01/02#..................................... 440,999 150,000 1.750% 03/14/03#............................................ 148,804 100,173 Delaware Funding Corporation Discount note 10/29/02#..................................... 100,035 150,000 Diageo Capital plc Discount note 10/01/02#..................................... 150,000 Edison Asset Securitization LLC 150,000 Discount note 10/11/02#..................................... 149,922 200,000 Discount note 10/16/02#..................................... 199,834 150,000 1.760% 11/14/02#............................................ 149,677 100,000 Discount note 11/18/02#..................................... 99,765 150,000 Discount note 12/12/02#..................................... 149,472 50,000 Eiffel Funding LLC Discount note 10/28/02#..................................... 49,933
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ COMMERCIAL PAPER -- (CONTINUED) Fairway Finance Corporation $ 100,000 Discount note 10/24/02#..................................... $ 99,887 285,060 Discount note 12/16/02#..................................... 283,995 230,000 Falcon Asset Securitization Corporation Discount note 10/22/02#..................................... 229,763 Four Winds Funding LLC 150,000 2.000% 10/01/02#............................................ 150,000 90,000 Discount note 10/09/02#..................................... 89,964 100,000 1.790% 10/15/02#............................................ 99,930 125,000 Discount note 10/22/02#..................................... 124,852 100,000 Discount note 10/23/02#..................................... 99,891 300,000 Discount note 10/30/02#..................................... 299,565 Galaxy Funding Inc. 60,000 Discount note 10/11/02#..................................... 59,971 75,000 Discount note 10/16/02#..................................... 74,945 250,000 Discount note 11/13/02#..................................... 249,471 160,000 Discount note 11/14/02#..................................... 159,654 110,000 Discount note 11/18/02#..................................... 109,740 100,000 1.760% 12/16/02#............................................ 99,628 270,000 Discount note 12/17/02#..................................... 268,924 90,000 Discount note 03/17/03#..................................... 89,261 Gemini Securitization Corporation 25,196 1.770% 10/24/02#............................................ 25,168 244,898 1.770% 10/30/02#............................................ 244,549 100,000 Discount note 10/31/02#..................................... 99,853 General Electric Capital Corporation 250,000 Discount note 10/17/02...................................... 249,768 150,000 Discount note 10/24/02...................................... 149,832 150,000 Discount note 10/24/02...................................... 149,832 200,000 Discount note 11/07/02#..................................... 199,591 190,000 Discount note 12/13/02#..................................... 189,322 200,000 Discount note 12/16/02#..................................... 199,257 100,000 Discount note 12/16/02...................................... 99,628 300,000 Discount note 02/14/03...................................... 297,484 General Electric Capital International Funding 520,216 Discount note 10/01/02#..................................... 520,215 200,000 Discount note 10/07/02#..................................... 199,936 50,000 Discount note 10/22/02#..................................... 49,942 65,000 Discount note 11/12/02#..................................... 64,867 200,000 Discount note 11/13/02#..................................... 199,568 General Electric Capital Services 100,000 Discount note 10/10/02...................................... 99,957 150,000 Discount note 02/14/03...................................... 148,742 200,000 General Electric Company Discount note 10/07/02...................................... 199,943 GIRO Balanced Funding Corporation 100,204 Discount note 10/15/02#..................................... 100,134 75,306 1.780% 10/17/02#............................................ 75,246 82,260 1.780% 10/23/02#............................................ 82,171 45,208 Discount note 12/12/02#..................................... 45,048 120,000 1.770% 12/16/02#............................................ 119,552 100,691 1.770% 12/18/02#............................................ 100,305 GIRO Funding US Corporation 200,000 2.000% 10/01/02#............................................ 200,000 100,000 Discount note 10/21/02#..................................... 99,902 100,000 1.760% 11/12/02#............................................ 99,795
SEE NOTES TO FINANCIAL STATEMENTS. 5 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ COMMERCIAL PAPER -- (CONTINUED) $ 240,000 Greyhawk Funding LLC Discount note 11/15/02#..................................... $ 239,472 200,000 HBOS Treasury Services plc Discount note 10/30/02#..................................... 199,715 119,000 Ivory Funding Corporation Discount note 12/16/02#..................................... 118,755 Jupiter Securitization Corporation 150,000 1.770% 10/25/02#............................................ 149,823 150,000 1.770% 10/28/02#............................................ 149,801 Market Street Funding Corporation 329,303 Discount note 10/01/02#..................................... 329,303 229,902 1.780% 10/15/02#............................................ 229,743 100,000 1.780% 10/18/02#............................................ 99,916 127,176 Discount note 10/21/02#..................................... 127,050 210,183 1.770% 10/23/02#............................................ 209,954 61,877 Discount note 10/24/02#..................................... 61,806 99,051 Discount note 10/25/02#..................................... 98,933 95,201 Discount note 10/28/02#..................................... 95,072 199,474 Discount note 10/29/02#..................................... 199,198 155,364 1.770% 10/30/02#............................................ 155,142 MOAT Funding LLC 127,100 Discount note 10/01/02#..................................... 127,100 75,000 1.780% 11/15/02#............................................ 74,833 100,000 Discount note 12/11/02#..................................... 99,655 150,000 Discount note 02/26/03#..................................... 148,921 122,802 Mont Blanc Capital Corporation Discount note 10/29/02#..................................... 122,633 75,000 Montauk Funding Corporation Discount note 10/16/02#..................................... 74,945 Moriarty LLC 75,000 Discount note 10/21/02#..................................... 74,926 110,000 1.770% 12/16/02#............................................ 109,589 225,000 1.770% 03/17/03#............................................ 223,153 Ness LLC 204,134 Discount note 10/15/02#..................................... 203,993 59,713 Discount note 12/11/02#..................................... 59,480 50,000 Discount note 12/16/02#..................................... 49,812 North Coast Funding LLC 50,000 Discount note 10/01/02#..................................... 50,000 50,000 Discount note 10/18/02#..................................... 49,958 147,250 Discount note 12/13/02#..................................... 146,710 Paradigm Funding LLC 50,000 2.030% 10/01/02#............................................ 50,000 200,000 1.770% 10/08/02#............................................ 199,931 350,000 1.770% 10/16/02#............................................ 349,742 200,000 1.770% 11/13/02#............................................ 199,577 305,000 Discount note 11/15/02#..................................... 304,321 100,000 Park Avenue Receivables Corporation 1.770% 10/25/02#............................................ 99,882 Pennine Funding LLC 120,000 Discount note 10/22/02#..................................... 119,861 123,000 Discount note 10/28/02#..................................... 122,837 309,500 1.780% 10/29/02#............................................ 309,070 200,000 Discount note 11/14/02#..................................... 199,570 365,000 Discount note 11/15/02#..................................... 364,194 425,000 1.760% 12/16/02#............................................ 423,414 112,260 Preferred Receivables Funding Discount note 10/28/02#..................................... 112,111
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ COMMERCIAL PAPER -- (CONTINUED) $ 100,000 Province of Quebec Discount note 12/05/02...................................... $ 99,648 100,000 Public Square Funding LLC 2.000% 10/01/02#............................................ 100,000 145,044 Sheffield Receivables Corporation Discount note 10/08/02#..... 144,994 70,080 Siefunds Corporation, (Delaware) Discount note 10/10/02#..................................... 70,048 Sigma Finance Inc. 225,000 1.805%& 10/01/02&&#......................................... 224,984 120,000 1.805%& 10/01/02&&#......................................... 119,992 230,000 1.820%& 10/01/02&&#......................................... 230,000 150,000 1.820%& 10/01/02&&#......................................... 150,000 100,000 1.805%& 10/02/02&&#......................................... 99,993 Silver Tower US Funding 200,000 Discount note 10/09/02#..................................... 199,924 185,000 Discount note 10/28/02#..................................... 184,749 120,000 Discount note 11/15/02#..................................... 119,735 150,000 Discount note 12/10/02#..................................... 149,490 100,000 Discount note 12/11/02#..................................... 99,651 250,000 Discount note 12/16/02#..................................... 249,063 Surrey Funding Corporation 100,000 1.780% 10/15/02#............................................ 99,931 45,000 Discount note 10/28/02#..................................... 44,940 Thames Asset Global Securitization 207,915 1.780% 10/21/02#............................................ 207,709 249,471 Discount note 12/16/02#..................................... 248,536 Trident Capital Finance 150,000 Discount note 10/02/02#..................................... 149,993 150,000 1.780% 10/23/02#............................................ 149,837 420,600 1.790% 10/24/02#............................................ 420,123 213,000 Discount note 11/07/02#..................................... 212,608 Variable Funding Capital Corporation 100,000 1.943%& 10/19/02&&#......................................... 100,000 100,000 Discount note 04/07/03#..................................... 99,008 500,000 Verizon Global Funding 1.886%& 12/16/02&&#......................................... 499,999 300,000 Wyeth 1.870%& 10/20/02&&#......................................... 300,000 ----------- 24,006,939 ----------- CORPORATE BONDS AND NOTES -- 6.7% American Honda Finance Corporation 180,000 1.870%& 10/07/02............................................ 180,000 50,000 1.790%& 12/09/02............................................ 50,000 11,510 Arogas Inc. 1.890%& 10/03/02&&.......................................... 11,510 20,000 Bank One Corporation 2.024%& 10/30/02............................................ 20,004 98,000 Bear, Stearns and Company, Inc. 1.900%& 10/01/02&&.......................................... 98,000 Beta Finance Inc. 230,000 1.830%& 10/01/02&&.......................................... 230,000 175,000 2.580% 06/05/03#............................................ 175,000
SEE NOTES TO FINANCIAL STATEMENTS. 6 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ CORPORATE BONDS AND NOTES -- (CONTINUED) $ 100,000 Blue Heron Funding Ltd., Series 2001-A 1.870%& 10/18/02@@.......................................... $ 100,000 90,000 Caterpillar Finance Services Corporation 1.914%& 12/02/02&&.......................................... 90,000 8,500 Caterpillar Real Estate Holding LLC 2.010%& 10/03/02&&.......................................... 8,500 15,445 Conestoga Wood Specialty 1.840%& 10/03/02&&##........................................ 15,445 6,780 Cornell Iron Works Inc. 1.860%& 10/03/02&&.......................................... 6,780 100,000 Countrywide Home Loans, Inc. 1.960%& 10/08/02&&.......................................... 100,000 19,900 Credit Suisse First Boston, Inc. 1.911%& 12/11/02##.......................................... 19,906 14,545 Driftwood Landing Corporation 2.020%& 10/03/02&&.......................................... 14,545 7,875 Erni Components Inc. 1.860%& 10/03/02&&.......................................... 7,875 General Electric Capital Corporation 55,000 2.200%& 10/01/02&&.......................................... 55,064 15,000 6.700% 10/01/02#............................................ 15,000 350,000 1.770%& 12/19/02#........................................... 350,000 100,000 General Electric Capital Corporation, Series A 6.750% 09/11/03............................................. 104,518 3,765 Han Sung Industries 1.910%& 10/03/02&&.......................................... 3,765 9,000 Hospital Laundry Services 1.910%& 10/03/02&&.......................................... 9,000 Household Finance Corporation 230,000 1.893%& 10/16/02&&.......................................... 230,001 150,000 2.043%& 11/01/02&&.......................................... 150,024 4,335 Jackson Tube Service Inc. 1.910%& 10/03/02&&.......................................... 4,335 8,080 James A. Martin and Donna F. Martin 1.860%& 10/03/02&&.......................................... 8,080 5,660 Johnson Research and Development 1.860%& 10/03/02&&##........................................ 5,660 K2 (USA) LLC 150,000 1.800%& 10/08/02#........................................... 150,000 80,000 1.810%& 10/08/02&&#......................................... 80,000 30,000 Landwirtschaftliche Rentenbank 7.125% 01/27/03............................................. 30,459 Links Finance LLC 200,000 1.803%& 10/16/02&&.......................................... 200,000 100,000 1.790%& 10/20/02&&.......................................... 99,995 250,000 1.794%& 10/25/02&&.......................................... 250,000 105,000 Merck and Company, Inc. 4.540%& 02/23/03&&.......................................... 106,142 200,000 Merrill Lynch and Company 1.800%& 10/18/02&&.......................................... 200,000 400,000 Morgan Stanley Dean Witter and Company 1.923%& 10/15/02&&.......................................... 399,999
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ CORPORATE BONDS AND NOTES -- (CONTINUED) $ 203,000 Northern Rock plc 1.843%& 10/14/02&&.......................................... $ 203,000 23,005 Resources and Conservation 1.810%& 10/03/02&&.......................................... 23,005 10,000 RH Sheppard Company Inc. 1.810%& 10/03/02&&.......................................... 10,000 11,045 Robb and Stucky Ltd. 1.860%& 10/03/02&&.......................................... 11,045 14,955 Shader Road LLC 1.860%& 10/03/02&&.......................................... 14,955 Sigma Finance, Inc. 170,000 1.855%& 10/01/02&&#......................................... 170,000 75,000 1.819%& 10/25/02&&#......................................... 75,002 100,000 2.300% 06/26/03#............................................ 100,000 45,000 SMM Trust 1999-J 1.860%& 10/21/02............................................ 45,000 170,000 SMM Trust 2002-H 1.830%& 12/23/02&&.......................................... 170,000 20,070 Suncoast Beverage Sales 1.840%& 10/03/02&&.......................................... 20,070 10,265 Tack Capital Company 1.810%& 10/03/02&&.......................................... 10,265 50,000 USA Education Inc. 1.854%& 10/24/02&&.......................................... 50,000 ----------- 4,481,949 ----------- TOTAL CORPORATE OBLIGATIONS (Cost $28,488,888).......................................... 28,488,888 ----------- EXTENDABLE COMMERCIAL NOTES -- 3.0% Citibank Credit Card Master Trust I, 200,000 Discount note 10/24/02#..................................... 199,775 200,000 Discount note 10/25/02#..................................... 199,760 100,000 Discount note 10/29/02#..................................... 99,862 133,386 Discount note 11/12/02#..................................... 133,120 100,000 Discount note 11/14/02#..................................... 99,786 200,000 Discount note 11/18/02#..................................... 199,531 110,000 Discount note 12/12/02#..................................... 109,611 230,000 Discount note 12/16/02#..................................... 229,140 150,000 Discount note 12/16/02#..................................... 149,440 75,000 Discount note 12/16/02#..................................... 74,718 100,000 Discount note 12/17/02#..................................... 99,621 Discover Card Master Trust I, Series 2000-A, 122,675 Discount note 11/13/02#..................................... 122,416 100,000 Discount note 11/14/02#..................................... 99,784 48,000 Discount note 11/15/02#..................................... 47,894 25,000 Discount note 11/15/02#..................................... 24,944 135,000 Discount note 12/18/02#..................................... 134,482 ----------- TOTAL EXTENDABLE COMMERCIAL NOTES (Cost $2,023,884)........................................... 2,023,884 -----------
SEE NOTES TO FINANCIAL STATEMENTS. 7 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ FUNDING AGREEMENTS -- 1.5% $ 100,000 GE Life Annuity 1.870%& 11/24/02&&@@........................................ $ 100,000 50,000 Jackson National Life Insurance Company 1.920%& 12/14/02&&@@........................................ 50,000 300,000 Monumental Life 1.970%& 10/01/02&&@@........................................ 300,000 125,000 SunAmerica Life Insurance Company of America 1.950%& 10/01/02&& @@....................................... 125,000 Transamerica Occidental Life Insurance Company 117,000 2.060%& 10/01/02&&@@........................................ 117,000 125,000 2.070%& 10/01/02&&@@........................................ 125,000 20,000 1.950%& 11/01/02&&@@........................................ 20,000 132,000 Travelers Insurance 1.903%& 10/10/02&&@@........................................ 132,000 ----------- TOTAL FUNDING AGREEMENTS (Cost $969,000)............................................. 969,000 ----------- MORTGAGE-BACKED SECURITIES -- 0.1% (Cost $48,445) COMMERCIAL MORTGAGE-BACKED SECURITIES -- 0.1% 48,445 Residential Mortgage Securities, Series 2012A, Class A1, 1.843%& 10/11/02&&.......................................... 48,445 ----------- MUNICIPAL BONDS AND NOTES -- 0.7% CALIFORNIA -- 0.0%+ 9,740 California Housing Finance Agency Revenue, Series 2000D, 1.730%& 10/02/02&&.......................................... 9,740 ----------- CONNECTICUT -- 0.0%+ 10,765 Connecticut State Development Authority Industrial Development Revenue, (Latex Foam International Project) Series 2002, (Wachovia Bank N.A. LOC), 1.860%& 10/03/02&&.......................................... 10,765 ----------- FLORIDA -- 0.1% 16,700 Florida Housing Finance Agency, Revenue, Series 1993, (MBIA Insured, Westdeutsche Landesbank SBPA), 1.750%& 10/03/02&&.......................................... 16,700
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ FLORIDA -- (CONTINUED) $ 35,000 Florida Housing Financing Corporation, Revenue, Series 2002A, (AMBAC Insured, SBPA Dexia Credit Local), 1.800%& 10/03/02&&.......................................... $ 35,000 ----------- 51,700 ----------- GEORGIA -- 0.0%+ 9,845 McDuffie County, Georgia Development Authority IDR, (Advance Stores Project) Series 1997, (First Union National Bank LOC), 1.910%& 10/03/02&&.......................................... 9,845 14,715 Talbot County, Georgia Development Authority IDR, (Junction City Mining Company Project) Series 2000, (First Union National Bank LOC), 1.890%& 10/03/02&&.......................................... 14,715 ----------- 24,560 ----------- ILLINOIS -- 0.0%+ 28,800 Illinois Student Assistance Commission Revenue, Series 1990B, (GTD STD LNS, First National Bank of Chicago LOC), 1.810%& 10/02/02&&.......................................... 28,800 ----------- MISSISSIPPI -- 0.0%+ 15,000 Mississippi Business Financing Corporation IDR, (Telepex Inc. Project) Series 2000, (First Union National Bank LOC), 1.810%& 10/03/02&&.......................................... 15,000 8,800 Mississippi Business Financing Corporation Revenue, Series 1997B, (First Union National Bank LOC), 1.910%& 10/03/02&&.......................................... 8,800 ----------- 23,800 ----------- MISSOURI -- 0.0%+ 10,600 Missouri State Economic Development Export Revenue, (Biocraft Labs, Inc. Project) Series 1989, (PNC Bank LOC), 2.000%& 10/02/02&&.......................................... 10,600 ----------- NEW JERSEY -- 0.0%+ 7,850 New Jersey Economic Development Authority Revenue, Series 1997, (First Union National Bank LOC), 1.890%& 10/02/02&&.......................................... 7,850 -----------
SEE NOTES TO FINANCIAL STATEMENTS. 8 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ NEW YORK -- 0.2% $ 15,500 New York State Housing Finance Agency, Revenue, (Taxable-360 West 43 Street Project) Series 2002, (Bayerische Hypotheken und Vereinsbank LOC), 1.810%& 10/02/02&&.......................................... $ 15,500 34,598 New York, New York GO, Series 2001A-9, (FGIC Insured, FGIC SBPA), 1.750%& 10/02/02&&.......................................... 34,598 50,000 New York, New York Transitional Finance Authority Revenue, Bond Anticipation Notes, Series 2002-5, 3.000% 02/26/03............................................. 50,130 ----------- 100,228 ----------- TEXAS -- 0.1% 42,845 Harris County - Houston, Texas, Sports Authority Special Revenue, Jr. Lien, Series 2001D, (MBIA Insured, Morgan Guaranty Trust SBPA), 1.850%& 10/03/02&&.......................................... 42,845 ----------- VIRGINIA -- 0.3% 140,000 Virginia State Housing Development Authority Commonwealth Revenue, Series 1996E, 1.850%& 10/02/02&&.......................................... 140,000 ----------- TOTAL MUNICIPAL BONDS AND NOTES (Cost $450,888)............................................. 450,888 ----------- U.S. GOVERNMENT AND AGENCY OBLIGATIONS -- 7.8% FEDERAL HOME LOAN BANK (FHLB) -- 1.5% 200,000 1.740%& 10/01/02&&.......................................... 199,886 50,000 1.755%& 10/01/02&&.......................................... 49,978 75,000 1.770%& 10/01/02&&.......................................... 75,000 50,000 1.680%& 10/21/02&&.......................................... 49,988 170,000 Discount note 11/05/02...................................... 169,683 100,000 6.375% 11/15/02............................................. 100,479 285,000 2.060% 07/02/03............................................. 285,001 62,960 4.500% 07/07/03............................................. 64,245 19,000 3.060% 10/24/03............................................. 19,260 ----------- 1,013,520 ----------- FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) CERTIFICATES -- 2.2% 378,604 2.040% 01/02/03............................................. 376,609 114,402 4.750% 03/15/03............................................. 115,621 245,749 2.370% 04/24/03............................................. 242,432 53,626 7.375% 05/15/03............................................. 55,450 95,025 Discount note 06/30/03...................................... 93,675
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) CERTIFICATES -- (CONTINUED) $ 100,000 5.750% 07/15/03............................................. $ 103,068 440,026 Discount note 07/17/03...................................... 433,522 25,000 3.500% 09/15/03............................................. 25,416 ----------- 1,445,793 ----------- FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) CERTIFICATES -- 3.5% 400,000 1.770%& 10/01/02&&.......................................... 399,922 175,000 1.770%& 10/01/02&&.......................................... 174,932 175,000 1.920% 11/20/02............................................. 174,533 658,000 1.920% 12/27/02............................................. 654,947 450,000 Discount note 04/04/03...................................... 444,566 201,315 Discount note 06/27/03...................................... 198,654 155,200 4.000% 08/15/03............................................. 158,177 100,000 Discount note 09/11/03...................................... 98,289 ----------- 2,304,020 ----------- STUDENT LOAN MARKETING ASSOCIATION (SLMA) -- 0.6% 290,000 Discount note 01/27/03...................................... 287,985 130,000 2.250% 07/02/03............................................. 129,982 ----------- 417,967 ----------- TOTAL U.S. GOVERNMENT AND AGENCY OBLIGATIONS (Cost $5,181,300)........................................... 5,181,300 ----------- U.S. TREASURY OBLIGATIONS -- 1.1% U.S. TREASURY BILLS -- 0.0%+ 20,000 1.820% 12/05/02............................................. 19,934 ----------- U.S. TREASURY NOTES -- 1.1% 690,000 4.250% 05/31/03............................................. 698,852 ----------- TOTAL U.S. TREASURY OBLIGATIONS (Cost $718,786)............................................. 718,786 ----------- REPURCHASE AGREEMENTS -- 10.3% 500,000 Agreement with Bear Stearns and Company, Inc., 1.970% dated 09/30/02 to be repurchased at $500,027 on 10/01/02 collateralized by: $353,306 FHLMC, 3.500%-7.000% due 02/15/04-03/15/31; $113,587 FHLB, 3.250%-6.625% due 02/13/04-02/13/07; $29,757,118 FNMA, 6.000% due 05/15/08- 05/15/11; $18,220 FFCB, 5.750%-5.930% due 03/23/05-07/06/10; collateral valued at $514,870............................... 500,000
SEE NOTES TO FINANCIAL STATEMENTS. 9 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $ 600,000 Agreement with Countrywide Home Loans Inc., 1.970% dated 09/30/02 to be repurchased at $600,033 on 10/01/02 collateralized by: $503,278 FNMA, 4.663%-8.000% due 05/01/32-10/01/32; $96,722 FHLMC, 5.173%-5.365% due 03/01/32-06/01/32; collateral valued at $600,000............ $ 600,000 150,000 Agreement with Deutsche Bank Securities Inc., 1.900% dated 09/30/02 to be repurchased at $150,008 on 10/01/02 collateralized by: $102,847 U.S. Treasury Notes, 4.375% due 05/15/07; $16,385 U.S. Treasury Bonds, 12.500%-13.250% due 05/15/14-08/15/14; $10,960 U.S. Treasury Strips, Principal Only, 08/15/20-08/15/21; $10,457 Mellon Bank N.A. Bank Notes, 7.375% due 05/15/07; $9,350 U.S. Treasury Strips, Interest Only, 11/15/21; collateral valued at $150,000...... 150,000 875,451 Agreement with Dresdner Kleinwort Benson North America LLC, 1.810% dated 09/30/02 to be repurchased at $875,495 on 10/01/02 collateralized by: $505,039 U.S. Treasury Notes, 3.250%-5.750% due 07/31/03-01/15/11; $387,924 U.S. Treasury Bonds, 3.375%-8.125% due 08/15/19-04/15/32; collateral valued at $892,962.......................................... 875,451 250,000 Agreement with Dresdner Kleinwort Benson North America LLC, 1.850% dated 09/30/02 to be repurchased at $250,013 on 10/01/02 collateralized by: $253,794 RFCO Treasury Strips, Principal Only, 10/15/20-01/15/21; $1,206 U.S. Treasury Notes, 3.375% due 04/30/04; collateral valued at $255,000... 250,000 76,165 Agreement with Goldman Sachs and Company, 1.960% dated 09/30/02 to be repurchased at $76,169 on 10/01/02 collateralized by: $75,683 FHLMC, 6.000% due 05/01/32; $482 FNMA, 7.000% due 03/01/12; collateral valued at $76,165..... 76,165
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $1,150,000 Agreement with Goldman Sachs and Company, 2.000% dated 09/30/02 to be repurchased at $1,150,064 on 10/01/02 collateralized by: $674,659 Various Commercial Paper, 10/01/02-05/05/03; $159,940 Enterprise Funding Corporation Commercial Paper, due 10/15/02-10/30/02; $122,460 Tulip Funding Corporation Commercial Paper, due 10/15/02; $68,632 Kitty Hawk Funding Corporation Commercial Paper, due 12/02/02; $56,615 Amstel Funding Corporation Commercial Paper, 2.165% due 10/10/02; $51,494 CXC LLC Commercial Paper, due 11/01/02; $9,796,486 K2 (USA) LLC Commercial Paper, due 10/15/02; $6,405 Fountain Square Commercial Funding Corporation Commercial Paper, due 10/30/02; collateral valued at $1,150,001............................. $ 1,150,000 500,000 Agreement with J.P. Morgan Securities Inc., 2.000% dated 09/30/02 to be repurchased at $500,028 on 10/01/02 collateralized by: $214,009 Mica Funding LLC Commercial Paper, 1.830%-1.840% due 12/02/02-12/20/02; $99,900 Banque at Caisse Commercial Paper, 2.190% due 10/04/02; $75,056 Whistlejacket Capital Ltd. Commercial Paper, 1.790%-1.800% due 11/15/02-01/21/03; $42,095 Suez Finance LP Commercial Paper, 1.860%-1.910% due 10/25/02-11/22/02; $25,936 MBNA Credit Card Extendable Commercial Notes, 1.820% due 11/20/02; $21,498 Tribune Company Commercial Paper, 1.850%-1.860% due 10/24/02-10/31/02; $20,356 Wal-Mart Stores Inc. Commercial Paper, 1.790% due 10/04/02; $5,704 Omnicom Capital Inc. Commercial Paper, 2.100% due 10/24/02; $2,200 PB Finance Commercial Paper, 1.800% due 10/01/02; $2,101 Bristol-Myers Squibb Company Commercial Paper, 1.750% due 10/08/02; collateral valued at $510,003..................... 500,000
SEE NOTES TO FINANCIAL STATEMENTS. 10 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $ 282,781 Lehman Brothers Inc., 1.720% with a final maturity date of 10/30/02. Interest receivable at September 30, 2002 was $1,216, collateralized by: $128,302 FNMA, 4.375% due 09/15/12; $103,100 FHLMC, 5.000% due 05/15/04; $53,557 TVA, due 12/15/17; $3,424 RFCO Treasury Strips, due 01/15/10; collateral valued at $288,384@@++........................... $ 282,781 200,000 Agreement with Merrill Lynch Government Securities Inc., 1.980% dated 09/30/02 to be repurchased at $200,011 on 10/01/02 collateralized by: $85,632 Preferred Receivables Funding Commercial Paper, due 11/04/02-11/05/02; $42,025 Premier Cru Funding Corporation Commercial Paper, due 11/15/02; $32,881 Thames Asset Global Securitization Commercial Paper, 1.830% due 10/21/02; $31,757 Total Fina Elf SA Commercial Paper, due 10/28/02; $8,288 Loch Ness Ltd. Commercial Paper, due 10/31/02; $3,420 White Pine Finance LLC, due 10/28/02; collateral valued at $204,003............ 200,000 500,000 Agreement with Salomon Smith Barney Inc., 1.970% dated 09/30/02 to be repurchased at $500,027 on 10/01/02 collateralized by: $327,539 FNMA, 4.818%-10.000% due 07/01/06-08/01/37; $172,895 FHLMC, 5.500%-8.000% due 08/01/12-04/01/32; collateral valued at $500,435............ 500,000
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $ 300,000 Agreement with UBS Warburg, 1.900% dated 09/30/02 to be repurchased at $300,016 on 10/01/02 collateralized by: $289,907 FNMA, due 10/30/02-03/07/03; $16,095 SLMA, 2.180% due 07/01/03; collateral valued at $306,001................. $ 300,000 400,000 Agreement with UBS Warburg, 1.970% dated 09/30/02 to be repurchased at $400,022 on 10/01/02 collateralized by: $408,003 FNMA, due 01/10/03-07/25/03; collateral valued at $408,003.................................................... 400,000 600,000 Agreement with UBS Warburg, 1.980% dated 09/30/02 to be repurchased at $600,033 on 10/01/02 collateralized by: $486,019 FNMA, 5.000%-7.000% due 12/01/13-05/01/32; $125,983 FHLMC, 7.000% due 10/01/31-05/01/32; collateral valued at $612,002.................................................... 600,000 500,000 Agreement with UBS Warburg, 2.000% dated 09/30/02 to be repurchased at $500,028 on 10/01/02 collateralized by: $372,459 FNMA, 5.000%-7.000% due 09/01/17-06/01/32; $137,541 FHLMC, 6.000%-7.000% due 04/01/29-04/01/30; collateral valued at $510,001.......................................... 500,000 ----------- TOTAL REPURCHASE AGREEMENTS (Cost $6,884,397)........................................... 6,884,397 -----------
SEE NOTES TO FINANCIAL STATEMENTS. 11 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ TOTAL INVESTMENTS (Cost $66,807,280*)............................... 100.6% $66,807,280 ----------- REVERSE REPURCHASE AGREEMENT -- (0.4)% (Cost ($282,781)) $ (282,781) Agreement with Lehman Brothers Inc., 1.570% dated 09/30/02 to be repurchased at $283,163 on 10/30/02 collateralized by: $128,302 FNMA, 4.375% due 09/15/12; $103,100 FHLMC, 5.000% due 05/15/04; $53,557 TVA, due 12/15/17; $3,424 RFCO Treasury Strips, due 01/15/10; collateral valued at $288,384@@........................................ (0.4)% (282,781) ----------- OTHER ASSETS AND LIABILITIES (NET)................................. (0.2)% Receivable for Fund shares sold............................... $ 988 Interest receivable........................................... 151,621 Payable for Fund shares redeemed.............................. (1,044) Investment advisory fee payable............................... (6,925) Administration fee payable.................................... (3,839) Shareholder servicing and distribution fees payable........... (12,211) Due to custodian.............................................. (8) Distributions payable......................................... (82,098) Payable for investment securities purchased................... (184,982) Accrued Trustees' fees and expenses........................... (410) Accrued expenses and other liabilities........................ (6,111) ----------- TOTAL OTHER ASSETS AND LIABILITIES (NET)........................................... (145,019) ----------- NET ASSETS.......................................... 100.0% $66,379,480 =========== NET ASSETS CONSIST OF: Undistributed net investment income........................... $ 55 Accumulated net realized loss on investments sold............. (143) Paid-in capital............................................... 66,379,568 ----------- NET ASSETS.................................................... $66,379,480 ===========
VALUE - ------------------------------------------------------------------------------------------ - ------------------------------------------------------------------------------------------ NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($27,076,162,515 / 27,076,356,978 shares outstanding)......... $1.00 =========== TRUST CLASS SHARES: ($5,252,584,000 / 5,252,780,876 shares outstanding)........... $1.00 =========== INSTITUTIONAL SHARES: ($3,769,971,524 / 3,769,959,843 shares outstanding)........... $1.00 =========== LIQUIDITY CLASS SHARES: ($1,468,819,257 / 1,468,739,702 shares outstanding)........... $1.00 =========== ADVISER CLASS SHARES: ($6,819,849,234 / 6,820,281,921 shares outstanding)........... $1.00 =========== INVESTOR CLASS SHARES: ($4,491,949,553 / 4,492,537,888 shares outstanding)........... $1.00 =========== MARKET CLASS SHARES: ($3,719,762,882 / 3,719,594,624 shares outstanding)........... $1.00 =========== DAILY CLASS SHARES: ($12,320,108,747 / 12,320,286,420 shares outstanding)......... $1.00 =========== SERVICE CLASS SHARES: ($972,735,742 / 972,725,674 shares outstanding)............... $1.00 =========== INVESTOR A SHARES: ($410,876,430 / 410,946,931 shares outstanding)............... $1.00 ===========
SEE NOTES TO FINANCIAL STATEMENTS. 12 NATIONS MONEY MARKET FUNDS Nations Cash Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ------------------------------------------------------------------------------------------ INVESTOR B SHARES: ($51,728,421 / 51,726,906 shares outstanding)................. $1.00 =========== INVESTOR C SHARES: ($4,182,303 / 4,182,206 shares outstanding)................... $1.00 =========== MARSICO SHARES: ($20,749,315 / 20,747,356 shares outstanding)................. $1.00 ===========
- --------------- *Aggregate cost for federal tax purposes. &Floating rate security. The interest rate shown reflects the rate in effect at September 30, 2002. &&Reset date. Interest rates reset either daily, weekly, monthly, or quarterly. @@Restricted Security (see Note 5). #Security not registered under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. ##Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyer +Amount represents less than 0.1%. ++Security segregated as collateral for reverse repurchase agreement. SEE NOTES TO FINANCIAL STATEMENTS. 13 NATIONS MONEY MARKET FUNDS Nations Money Market Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- ASSET-BACKED SECURITIES -- 0.8% ASSET-BACKED -- OTHER -- 0.8% $ 50,000 Permanent Financing plc, Series 1, Class 1A, 1.790%& 10/10/02&&.......................................... $ 50,000 50,000 Phoenix-Mistic CBO, Ltd., Series 2002-1A, Class A1A, 1.955%& 03/15/03............................................ 50,036 ----------- TOTAL ASSET-BACKED SECURITIES (Cost $100,036)............................................. 100,036 ----------- BANK OBLIGATIONS -- 28.3% BANK NOTES -- 1.6% 100,000 American Express Centurion Bank 1.800%& 10/17/02&&.......................................... 100,000 50,000 Branch Banking & Trust 1.794%& 10/24/02&&.......................................... 50,000 47,000 Key Bank, N.A. 1.840%& 10/03/02&&.......................................... 47,002 ----------- 197,002 ----------- CERTIFICATES OF DEPOSIT -- EURO -- 2.0% 50,000 Credit Agricole Indosuez 1.880% 12/23/02............................................. 50,010 Landesbank Hessen-Thueringen Girozentrale 50,000 2.050% 10/22/02............................................. 50,000 50,000 2.050% 12/23/02............................................. 50,000 50,000 Lloyds TSB Bank plc 2.170% 12/31/02............................................. 50,001 50,000 Royal Bank of Canada 2.070% 12/31/02............................................. 50,000 ----------- 250,011 ----------- CERTIFICATES OF DEPOSIT -- YANKEE -- 19.7% 100,000 Abbey National plc 1.785%& 10/02/02&&.......................................... 99,970 50,000 Abbey National Treasury Services plc 2.550% 11/12/02............................................. 49,999 150,000 Barclays Bank plc, (New York) 1.800%& 10/01/02&&.......................................... 149,972 25,000 Bayerische Hypotheken und Vereinsbank AG, (New York) 2.510% 12/23/02............................................. 24,998 Bayerische Landesbank Girozentrale, (New York) 50,000 1.710%& 10/07/02&&.......................................... 49,995 50,000 1.720%& 10/09/02&&.......................................... 49,987 100,000 1.730%& 10/21/02&&.......................................... 99,977 75,000 2.425% 11/25/02............................................. 75,000 45,000 BNP Paribas, (New York) 1.700% 08/11/03#............................................ 44,945 Canadian Imperial Bank of Commerce, (New York) 100,000 1.738%& 10/14/02&&.......................................... 99,993 100,000 2.000% 11/01/02............................................. 100,000 50,000 2.160% 12/31/02............................................. 50,000 50,000 1.838% 09/12/03............................................. 49,991
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- CERTIFICATES OF DEPOSIT -- YANKEE -- (CONTINUED) Credit Agricole Indosuez, (New York) $100,000 3.640% 10/07/02............................................. $ 100,000 25,000 2.400% 11/26/02............................................. 25,000 15,000 2.980% 04/16/03............................................. 14,998 45,000 Credit Suisse First Boston, (New York) 1.910% 09/12/03............................................. 45,000 Danske Bank (New York) 75,000 2.370% 12/12/02............................................. 75,006 25,000 1.960% 10/10/03............................................. 25,000 Deutsche Bank, (New York) 50,000 2.030% 12/31/02............................................. 50,000 100,000 1.960% 10/06/03............................................. 100,000 25,000 Dexia Bank, (New York) 2.505% 06/06/03............................................. 24,996 75,000 Dresdner Bank, (New York) 1.791%& 10/02/02............................................ 74,992 100,000 Landesbank Hessen-Thueringen Girozentrale, (New York) 1.711%& 10/26/02&&.......................................... 99,971 Rabobank Nederland NV, (New York) 50,000 1.720%& 10/12/02&&.......................................... 49,987 100,000 2.500% 04/30/03............................................. 99,994 50,000 2.510% 06/06/03............................................. 49,993 100,000 Societe Generale, (New York) 1.726%& 10/14/02&&.......................................... 99,990 50,000 Svenska Handelsbanken, (New York) 1.970% 10/10/03............................................. 50,005 Toronto Dominion Bank, (New York) 75,000 2.060% 12/31/02#............................................ 75,011 75,000 2.300% 12/31/02............................................. 74,998 200,000 1.745% 08/12/03#............................................ 199,990 100,000 1.855% 08/20/03............................................. 99,987 90,000 1.860% 08/27/03............................................. 89,992 50,000 United Bank of Switzerland AG, (Stamford Connecticut) 2.615% 06/17/03............................................. 49,995 ----------- 2,519,732 ----------- PROMISSORY NOTES -- 0.9% Goldman Sachs Group Inc. 50,000 1.910%& 10/01/02&&@@........................................ 50,000 20,000 1.864%& 10/19/02&&@@........................................ 20,000 50,000 2.070% 12/09/02@@........................................... 50,000 ----------- 120,000 ----------- TIME DEPOSITS -- EURO -- 4.1% 200,000 ABN AMRO Inc., 1.906% 10/01/02............................................. 200,000 314,691 Societe Generale, 2.000% 10/01/02............................................. 314,691 ----------- 514,691 ----------- TOTAL BANK OBLIGATIONS (Cost $3,601,436)........................................... 3,601,436 -----------
SEE NOTES TO FINANCIAL STATEMENTS. 14 NATIONS MONEY MARKET FUNDS Nations Money Market Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- CORPORATE OBLIGATIONS -- 53.0% COMMERCIAL PAPER -- 43.7% Amstel Funding Corporation $100,000 Discount note 10/10/02#..................................... $ 99,947 25,000 1.800% 10/16/02#............................................ 24,981 75,000 Discount note 10/21/02#..................................... 74,919 25,000 Discount note 11/13/02#..................................... 24,947 25,000 1.790% 11/14/02#............................................ 24,945 50,000 Discount note 12/18/02#..................................... 49,803 110,000 Aspen Funding Corporation 1.770% 10/30/02#............................................ 109,843 Atlantis One Funding 60,137 1.770% 10/31/02#............................................ 60,048 51,836 Discount note 11/13/02#..................................... 51,726 100,000 Discount note 11/15/02#..................................... 99,779 50,000 Blue Ridge Asset Funding 1.760% 11/15/02#............................................ 49,890 Charta Corporation 85,000 1.760% 10/16/02#............................................ 84,938 75,000 1.700% 11/07/02#............................................ 74,869 Compass Securitization LLC 41,115 1.720% 10/09/02#............................................ 41,099 50,000 1.790% 10/21/02#............................................ 49,950 50,000 Discount note 10/22/02#..................................... 49,948 50,000 CXC LLC 1.750% 03/14/03#............................................ 49,601 63,935 Delaware Funding Corporation 1.770% 10/24/02#............................................ 63,863 Edison Asset Securitization LLC 50,000 Discount note 10/11/02#..................................... 49,974 35,000 1.760% 11/14/02#............................................ 34,925 35,000 Discount note 11/18/02#..................................... 34,918 50,000 Discount note 12/12/02#..................................... 49,824 75,000 Eiffel Funding LLC 2.000% 10/01/02#............................................ 75,000 56,626 Fairway Finance Corporation Discount note 10/24/02#..................................... 56,562 50,000 Falcon Asset Securitization Corporation Discount note 10/22/02#..................................... 49,948 Four Winds Funding LLC 50,000 2.000% 10/01/02#............................................ 50,000 30,000 1.790% 10/15/02#............................................ 29,979 100,000 1.800% 10/18/02#............................................ 99,915 75,000 Discount note 10/22/02#..................................... 74,911 Galaxy Funding Inc. 75,000 Discount note 10/16/02#..................................... 74,945 50,000 1.770% 11/15/02#............................................ 49,889 130,000 1.760% 12/16/02#............................................ 129,516 Gemini Securitization Corporation 50,146 1.720% 10/07/02#............................................ 50,132 50,000 1.770% 10/24/02#............................................ 49,943 30,000 Discount note 10/31/02#..................................... 29,956 General Electric Capital Corporation 50,000 Discount note 10/17/02...................................... 49,954 50,000 Discount note 10/24/02...................................... 49,944 50,000 Discount note 10/24/02...................................... 49,944 100,000 Discount note 12/16/02#..................................... 99,628 100,000 Discount note 12/16/02...................................... 99,628
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- COMMERCIAL PAPER -- (CONTINUED) General Electric Capital International Funding $100,000 1.720% 10/10/02#............................................ $ 99,957 50,000 Discount note 10/22/02#..................................... 49,942 50,000 1.810% 11/13/02#............................................ 49,892 80,000 General Electric Capital Services .000% 10/10/02.............................................. 79,966 GIRO Balanced Funding Corporation 25,000 1.780% 10/17/02#............................................ 24,980 30,000 1.780% 10/23/02#............................................ 29,967 46,522 1.770% 12/16/02#............................................ 46,348 50,000 1.770% 12/18/02#............................................ 49,808 56,602 1.750% 02/21/03#............................................ 56,209 GIRO Funding US Corporation 49,001 2.000% 10/01/02#............................................ 49,001 51,199 Discount note 10/21/02#..................................... 51,149 50,361 1.760% 11/12/02#............................................ 50,258 61,368 1.760% 12/10/02#............................................ 61,158 100,000 Greyhawk Funding LLC Discount note 11/15/02#..................................... 99,780 90,000 HBOS Treasury Services plc Discount note 10/30/02#..................................... 89,872 Jupiter Securitization Corporation 50,000 1.770% 10/25/02#............................................ 49,941 50,000 1.770% 10/28/02#............................................ 49,934 Market Street Funding Corporation 54,326 1.780% 10/15/02#............................................ 54,288 78,325 1.780% 10/18/02#............................................ 78,259 125,219 1.770% 10/23/02#............................................ 125,084 50,000 1.770% 10/30/02#............................................ 49,929 50,000 Merck & Company Inc. 1.771%& 10/25/02&&.......................................... 50,000 MOAT Funding LLC 100,000 Discount note 10/15/02#..................................... 99,917 25,000 1.780% 11/15/02#............................................ 24,944 45,000 Mont Blanc Capital Corporation 1.770% 10/24/02#............................................ 44,949 50,000 Montauk Funding Corporation Discount note 10/16/02#..................................... 49,963 Moriarty LLC 25,000 Discount note 10/21/02#..................................... 24,975 25,000 1.770% 03/17/03#............................................ 24,795 Paradigm Funding LLC 50,000 2.030% 10/01/02#............................................ 50,000 104,000 1.770% 10/08/02#............................................ 103,964 23,000 1.770% 10/16/02#............................................ 22,983 40,000 1.770% 11/13/02#............................................ 39,915 42,432 Park Avenue Receivables Corporation 1.770% 10/25/02#............................................ 42,382 Pennine Funding LLC 80,000 Discount note 10/22/02#..................................... 79,907 75,000 Discount note 10/23/02...................................... 74,919 50,000 1.780% 10/29/02#............................................ 49,931 50,000 Discount note 11/15/02#..................................... 49,890 43,000 1.750% 12/10/02#............................................ 42,854 25,000 1.760% 12/16/02#............................................ 24,907 50,000 Preferred Receivables Funding Discount note 10/28/02#..................................... 49,934
SEE NOTES TO FINANCIAL STATEMENTS. 15 NATIONS MONEY MARKET FUNDS Nations Money Market Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- COMMERCIAL PAPER -- (CONTINUED) $ 85,000 Public Square Funding LLC 2.000% 10/01/02#............................................ $ 85,000 Sigma Finance Inc. 25,000 1.805%& 10/01/02&&#......................................... 24,998 115,500 1.820%& 10/01/02&&#......................................... 115,500 25,000 1.805%& 05/30/03&&#......................................... 24,998 Silver Tower US Funding 50,000 Discount note 10/09/02#..................................... 49,981 50,000 Discount note 11/15/02#..................................... 49,889 100,000 Discount note 12/16/02#..................................... 99,626 Surrey Funding Corporation 73,109 1.710% 10/09/02#............................................ 73,081 30,000 1.780% 10/15/02#............................................ 29,979 100,000 Thames Asset Global Securitization 1.780% 10/21/02#............................................ 99,901 Trident Capital Finance 50,000 Discount note 10/02/02#..................................... 49,998 50,000 1.780% 10/23/02#............................................ 49,946 125,000 1.790% 10/24/02#............................................ 124,859 ----------- 5,549,138 ----------- CORPORATE BONDS AND NOTES -- 9.3% 7,895 Acton Assisted Living 1.930%& 10/02/02&&.......................................... 7,895 35,000 American Honda Finance Corporation 1.770%& 11/20/02##.......................................... 35,000 50,000 Beta Finance Inc. 1.830%& 10/01/02&&.......................................... 50,000 60,000 CC (USA) Inc. 2.350% 11/22/02#............................................ 60,007 General Electric Capital Corporation 20,000 2.200%& 10/01/02&&.......................................... 20,023 150,000 1.770%& 12/19/02#........................................... 150,000 32,000 6.267% 07/23/03............................................. 33,164 85,000 Heller Financial, Inc. 2.040%& 11/25/02&&#......................................... 85,044 25,000 K2 (USA) LLC 1.810%& 10/08/02&&#......................................... 25,000 Links Finance LLC 50,000 1.794%& 10/25/02&&.......................................... 50,000 100,000 2.400% 12/17/02............................................. 100,006 100,000 Morgan Stanley Dean Witter and Company 1.923%& 10/15/02&&.......................................... 100,000 50,000 Northern Rock plc 1.843%& 10/14/02&&.......................................... 50,000 7,700 Schlitz Park Associates II LP 1.850%& 10/01/02&&.......................................... 7,700 Sigma Finance, Inc. 30,000 1.855%& 10/01/02&&#......................................... 30,000 60,000 2.300% 06/26/03#............................................ 60,000 101,000 SMM Trust 2001-M 1.819%& 12/13/02............................................ 101,000 50,000 SMM Trust 2002-H 1.830%& 12/23/02&&.......................................... 50,000 100,000 Toyota Motor Credit Corporation 1.785%& 10/24/02&&.......................................... 99,998
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- CORPORATE BONDS AND NOTES -- (CONTINUED) $ 20,000 US Bank NA, (Minnesota) 1.970%& 12/18/02............................................ $ 20,008 50,000 USA Education, Inc. 1.866%& 12/16/02............................................ 49,999 ----------- 1,184,844 ----------- TOTAL CORPORATE OBLIGATIONS (Cost $6,733,982)........................................... 6,733,982 ----------- EXTENDABLE COMMERCIAL NOTES -- 3.7% 50,000 Citibank Credit Card Master Trust I, Discount note 11/12/02#..................................... 49,900 100,000 Citibank Credit Card Master Trust I, Discount note 11/18/02#..................................... 99,764 100,000 Citibank Credit Card Master Trust I, Discount note 12/12/02#..................................... 99,646 25,000 Citibank Credit Card Master Trust I, Discount note 12/16/02#..................................... 24,906 50,000 Citibank Credit Card Master Trust I, Discount note 12/17/02#..................................... 49,811 50,000 Discover Card Master Trust I, Series 2000-A, Discount note 11/13/02#..................................... 49,894 100,000 Discover Card Master Trust I, Series 2000-A, Discount note 12/06/02#..................................... 99,676 ----------- TOTAL EXTENDABLE COMMERCIAL NOTES (Cost $473,597)............................................. 473,597 ----------- MUNICIPAL BONDS AND NOTES -- 0.7% NEW YORK -- 0.7% 47,902 New York, New York GO, Series 2001A-9, (FGIC Insured, FGIC SBPA), 1.750%& 10/02/02&&.......................................... 47,902 40,000 New York, New York Transitional Finance Authority Revenue, BAN, Series 2002-5, 3.000% 02/26/03............................................. 40,082 ----------- TOTAL MUNICIPAL BONDS AND NOTES (Cost $87,984).............................................. 87,984 ----------- U.S. GOVERNMENT AND AGENCY OBLIGATIONS -- 8.5% FEDERAL FARM CREDIT BANK (FFCB) -- 0.3% 40,000 1.750% 09/03/03............................................. 39,993 ----------- FEDERAL HOME LOAN BANK (FHLB) -- 1.7% 100,000 1.740%& 10/01/02&&.......................................... 99,943 100,000 1.675%& 10/24/02&&.......................................... 99,976 14,115 6.875% 08/15/03............................................. 14,725 ----------- 214,644 -----------
SEE NOTES TO FINANCIAL STATEMENTS. 16 NATIONS MONEY MARKET FUNDS Nations Money Market Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) CERTIFICATES -- 0.9% $ 50,000 Discount note 06/30/03...................................... $ 49,290 65,700 5.750% 07/15/03............................................. 67,716 ----------- 117,006 ----------- FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) -- 0.1% 12,900 4.625% 05/15/03............................................. 13,121 ----------- FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) CERTIFICATES -- 4.1% 150,000 1.770%& 10/01/02&&.......................................... 149,941 100,000 1.770%& 10/01/02&&.......................................... 99,980 100,000 1.920% 12/27/02............................................. 99,536 129,122 Discount note 04/04/03...................................... 127,563 20,813 Discount note 06/27/03...................................... 20,521 17,500 4.000% 08/15/03............................................. 17,826 ----------- 515,367 ----------- STUDENT LOAN MARKETING ASSOCIATION (SLMA) -- 1.4% 100,000 1.730%& 10/01/02&&.......................................... 99,983 29,830 Discount note 01/27/03...................................... 29,623 50,000 2.250% 07/02/03............................................. 49,993 ----------- 179,599 ----------- TOTAL U.S. GOVERNMENT AND AGENCY OBLIGATIONS (Cost $1,079,730)........................................... 1,079,730 ----------- REPURCHASE AGREEMENTS -- 5.5% 100,000 Agreement with Bear Stearns and Company, Inc., 1.970% dated 09/30/02 to be purchased at $100,005 on 10/01/02 collateralized by: $102,988 FHLMC, 4.125% due 01/14/05; collateral valued at $102,988............................... 100,000
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- (CONTINUED) $200,000 Agreement with Goldman Sachs and Company, 2.000% to be repurchased at $200,011 on 10/01/02 collateralized by: $157,976 Various Commercial Paper, 0.000%-1.980% due 10/03/02-03/26/03; $14,100 Jupiter Securitization Corporation Commercial Paper, 1.810% due 10/25/02; $7,434 Abbey National LLC Commercial Paper, 1.760% due 10/17/02- 12/10/02; $7,418 Kitty Hawk Funding Corporation Commercial Paper, due 10/04/02-11/13/02; $4,479 Amstel Funding Corporation Commercial Paper, 1.850%-2.070% due 10/15/02-12/16/02; $3,144 Toyota Motor Credit Corporation Commercial Paper, 1.740%-1.770% due 10/18/02-10/21/02; $2,694 Barton Capital Corporation Commercial Paper, due 10/09/02-10/11/02; $2,400 Fountain Square Commercial Funding Corporation Commercial Paper, due 10/28/02-10/29/02; $354 Enterprise Funding Corporation Commercial Paper, due 11/20/02; collateral valued at $200,000..................... $ 200,000 100,000 Agreement with J.P. Morgan Securities Inc., 2.000% dated 09/30/02 to be repurchased at $100,006 on 10/01/02 collateralized by: $30,656 Bunge Asset Funding Corporation Commercial Paper, 1.880% due 11/05/02; $29,303 Bristol-Myers Squibb Company Commercial Paper, 1.750% due 10/08/02; $25,039 Black Forest Corporation Commercial Paper, 1.870% due 11/04/02; $17,004 Atlantic Asset Securitization Corporation Commercial Paper, 1.820% due 10/17/02; collateral valued at $102,003............................... 100,000 100,000 Agreement with Salomon Smith Barney Inc., 1.970% dated 09/30/02 to be repurchased at $100,005 on 10/01/02 collateralized by: $56,202 FNMA, 5.500%-6.500% due 01/01/14-06/01/32; $43,866 FHLMC, 6.000%-8.000% due 05/01/21-05/01/31; collateral valued at $100,068............ 100,000
SEE NOTES TO FINANCIAL STATEMENTS. 17 NATIONS MONEY MARKET FUNDS Nations Money Market Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ----------------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- (CONTINUED) $200,000 Agreement with UBS Warburg, 1.970% dated 09/30/02 to be repurchased at $200,011 on 10/01/02 collateralized by: $200,001 FNMA, due 01/10/03-03/07/03; collateral valued at $204,001............................... $ 200,000 ----------- TOTAL REPURCHASE AGREEMENTS (Cost $700,000)............................................. 700,000 ----------- TOTAL INVESTMENTS (Cost $12,776,765*)............................... 100.5% 12,776,765 ----------- OTHER ASSETS AND LIABILITIES (NET)................................. (0.5)% Interest receivable........................................... $ 28,220 Payable for Fund shares redeemed.............................. (1) Investment advisory fee payable............................... (1,340) Administration fee payable.................................... (715) Shareholder servicing and distribution fees payable........... (919) Distributions payable......................................... (17,517) Payable for investment securities purchased................... (74,992) Accrued Trustees' fees and expenses........................... (61) Accrued expenses and other liabilities........................ (1,439) ----------- TOTAL OTHER ASSETS AND LIABILITIES (NET)........................................... (68,764) ----------- NET ASSETS.......................................... 100.0% $12,708,001 =========== NET ASSETS CONSIST OF: Accumulated net realized loss on investments sold............. $ (149) Paid-in capital............................................... 12,708,150 ----------- NET ASSETS.................................................... $12,708,001 ===========
VALUE - ----------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------- NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($9,355,522,679 / 9,355,917,997 shares outstanding)........... $1.00 =========== TRUST CLASS SHARES: ($428,984,613 / 429,092,825 shares outstanding)............... $1.00 =========== INSTITUTIONAL SHARES: ($294,861,964 / 294,838,281 shares outstanding)............... $1.00 =========== LIQUIDITY CLASS SHARES: ($441,922,234 / 441,869,328 shares outstanding)............... $1.00 =========== ADVISER CLASS SHARES: ($675,805,771 / 675,752,105 shares outstanding)............... $1.00 =========== INVESTOR CLASS SHARES: ($45,148,433 / 45,129,990 shares outstanding)................. $1.00 =========== MARKET CLASS SHARES: ($1,314,631,508 / 1,314,500,010 shares outstanding)........... $1.00 =========== DAILY CLASS SHARES: ($4,966,905 / 4,965,390 shares outstanding)................... $1.00 =========== SERVICE CLASS SHARES: ($130,242,324 / 130,211,716 shares outstanding)............... $1.00 =========== INVESTOR B SHARES: ($14,180,102 / 14,179,609 shares outstanding)................. $1.00 =========== INVESTOR C SHARES: ($1,734,780 / 1,734,753 shares outstanding)................... $1.00 ===========
- --------------- *Aggregate cost for federal tax purposes. &Floating rate security. The interest rate shown reflects the rate in effect at September 30, 2002. &&Reset date. Interest rates reset either daily, weekly, monthly, or quarterly. @@Restricted Security (see Note 5). #Security not registered under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. ##Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. SEE NOTES TO FINANCIAL STATEMENTS. 18 NATIONS MONEY MARKET FUNDS Nations Treasury Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ U.S. TREASURY OBLIGATIONS -- 30.8% U.S. TREASURY BILLS -- 10.2% $ 400,000 Discount note 10/03/02...................................... $ 399,962 300,000 Discount note 10/24/02...................................... 299,701 30,000 Discount note 10/31/02...................................... 29,953 100,000 Discount note 11/07/02...................................... 99,809 200,000 Discount note 12/26/02...................................... 199,154 100,000 Discount note 01/16/03...................................... 99,490 ----------- 1,128,069 ----------- U.S. TREASURY NOTES -- 20.6% 140,000 5.750% 10/31/02............................................. 140,394 235,000 5.625% 11/30/02............................................. 236,367 170,000 4.750% 01/31/03............................................. 171,360 250,000 5.500% 01/31/03............................................. 252,672 100,000 5.500% 02/28/03............................................. 101,461 150,000 5.500% 03/31/03............................................. 152,416 200,000 4.000% 04/30/03............................................. 201,973 250,000 5.750% 04/30/03............................................. 255,056 35,000 4.250% 05/31/03............................................. 35,448 150,000 3.875% 06/30/03............................................. 151,882 25,000 5.375% 06/30/03............................................. 25,553 75,000 3.875% 07/31/03............................................. 76,154 125,000 5.250% 08/15/03............................................. 128,785 100,000 5.750% 08/15/03............................................. 103,434 250,000 2.750% 09/30/03............................................. 252,322 ----------- 2,285,277 ----------- TOTAL U.S. TREASURY OBLIGATIONS (Cost $3,413,346)........................................... 3,413,346 ----------- REPURCHASE AGREEMENTS -- 69.1% 420,000 Agreement with ABN AMRO Inc., 1.860% dated 09/30/02 to be repurchased at $420,022 on 10/01/02 collateralized by: $264,776 U.S. Treasury Strips, Principal Only, due 05/15/18-11/15/27; $94,935 U.S. Treasury Notes, 3.375%-3.875% due 01/15/07-01/15/11; $52,465 U.S. Treasury Strips, Interest Only, due 05/15/09-08/15/15; $7,825 U.S. Treasury Bonds, 3.625% due 04/15/28; collateral valued at $420,001.......................................... 420,000 400,000 Agreement with Banque Nationale De Paris, 1.900% dated 09/30/02 to be repurchased at $400,021 on 10/01/02 collateralized by: $352,364 U.S. Treasury Notes, 3.250%-7.500% due 12/31/03-05/15/08; $47,636 U.S. Treasury Bills, due 03/27/03; collateral valued at $400,000.......... 400,000
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $ 800,000 Agreement with Bear Stearns and Company, Inc., 1.900% dated 09/30/02 to be repurchased at $800,042 on 10/01/02 collateralized by: $443,409 U.S. Treasury Strips, Principal Only, 3.500%-12.000% due 02/15/03-08/15/29; $375,640 U.S. Treasury Strips, Interest Only, due 11/15/02-02/15/31; collateral valued at $819,049............................... $ 800,000 83,142 Agreement with Credit Suisse First Boston Corporation, 1.500% dated 09/30/02 to be repurchased at $83,145 on 10/01/02 collateralized by: $84,810 U.S. Treasury Notes, 2.875% due 06/30/04; collateral valued at $84,810...................... 83,142 300,000 Agreement with Credit Suisse First Boston Corporation, 1.930% dated 09/30/02 to be repurchased at $300,016 on 10/01/02 collateralized by: $284,922 GNMA II, 5.000%-8.000% due 05/15/03-07/15/42; $21,083 GNMA I, 5.500%-8.000% due 03/20/32-09/20/32; collateral valued at $603,005............ 300,000 100,000 Agreement with Dresdner Kleinworth, 1.650% dated 09/30/02 to be repurchased at $100,005 on 10/01/02 collateralized by: $102,002 U.S. Treasury Bonds, 7.500% due 11/15/16; collateral valued at $102,002............................... 100,000 400,000 Agreement with Dresdner Kleinworth, 1.700% dated 09/30/02 to be repurchased at $400,019 on 10/01/02 collateralized by: $2,525 U.S. Treasury Notes, 3.625% due 01/15/08; $797 U.S. Treasury Bonds, 7.500% due 11/15/16; collateral valued at $408,006.................................................... 400,000 200,000 Agreement with First Union Securities, Inc., 1.950% dated 09/30/02 to be repurchased at $200,011 on 10/01/02 collateralized by: $147,709 GNMA I, 5.000%-10.000% due 09/15/13-02/15/39; $52,291 GNMA II, 5.250%-7.500% due 04/20/26-09/20/32; collateral valued at $200,000............ 200,000
SEE NOTES TO FINANCIAL STATEMENTS. 19 NATIONS MONEY MARKET FUNDS Nations Treasury Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $ 500,000 Agreement with Goldman Sachs and Company, 1.8264% dated 09/30/02 to be repurchased at $500,025 on 10/01/02 collateralized by: $380,383 U.S. Treasury Bonds, 11.250% due 02/15/15; $119,619 U.S. Treasury Bills, due 12/05/02; collateral valued at $500,002............................... $ 500,000 400,000 Agreement with Greenwich Capital Markets Inc., 1.900% dated 09/30/02 to be repurchased at $400,021 on 10/01/02 collateralized by: $408,002 U.S. Treasury Bonds, 6.120%-7.500% due 11/15/16-08/15/29; collateral valued at $408,002.................................................... 400,000 450,000 Agreement with Morgan Stanley Dean Witter and Company, 1.7889% dated 09/30/02 to be repurchased at $450,022 on 10/01/02 collateralized by: $450,000 U.S. Treasury Strips, Interest Only, due 05/15/06-11/15/12; collateral valued at $450,000.................................................... 450,000 1,500,000 Agreement with Salomon Smith Barney Inc., 1.900% dated 09/30/02 to be repurchased at $1,500,079 on 10/01/02 collateralized by: $861,478 U.S. Treasury Notes, 3.625%-6.750% due 03/31/04-05/15/08; $639,825 U.S. Treasury Bonds, 8.125%-10.625% due 08/15/15-08/15/20; collateral valued at $1,501,303........................................ 1,500,000 1,000,000 Agreement with Salomon Smith Barney Inc., 1.930% dated 09/30/02 to be repurchased at $1,000,054 on 10/01/02 collateralized by: $599,122 GNMAI, 5.500%-8.000% due 12/15/05-09/15/32; $400,878 GNMA II, 4.500%-8.500% due 05/20/28-03/20/32; collateral valued at $1,000,000.......... 1,000,000 800,000 Agreement with UBS Warburg, 1.900% dated 09/30/02 to be repurchased at $800,042 on 10/01/02 collateralized by: $513,800 U.S. Treasury Notes, 2.875%-3.250% due 05/31/04- 06/30/04; $302,202 U.S. Treasury Bills, due 10/03/02-12/05/02; collateral valued at $816,002............ 800,000
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------------ REPURCHASE AGREEMENTS -- (CONTINUED) $ 300,000 Agreement with UBS Warburg, 1.950% dated 09/30/02 to be repurchased at $300,016 on 10/01/02 collateralized by: $245,814 GNMA II, 5.375%-8.500% due 04/20/23-09/20/32; $60,188 GNMA I, 7.500% due 03/15/28; collateral valued at $306,002.................................................... $ 300,000 ----------- TOTAL REPURCHASE AGREEMENTS (Cost $7,653,142)........................................... 7,653,142 ----------- TOTAL INVESTMENTS (Cost $11,066,488*)............................... 99.9% 11,066,488 ----------- OTHER ASSETS AND LIABILITIES (NET)................................. 0.1% Interest receivable........................................... $ 26,134 Investment advisory fee payable............................... (997) Administration fee payable.................................... (524) Shareholder servicing and distribution fees payable........... (2,405) Distributions payable......................................... (10,608) Accrued Trustees' fees and expenses........................... (282) Accrued expenses and other liabilities........................ (738) ----------- TOTAL OTHER ASSETS AND LIABILITIES (NET)........................................... 10,580 ----------- NET ASSETS.......................................... 100.0% $11,077,068 =========== NET ASSETS CONSIST OF: Undistributed net investment income........................... $ 70 Accumulated net realized loss on investments sold............. (49) Paid-in capital............................................... 11,077,047 ----------- NET ASSETS.................................................... $11,077,068 ===========
SEE NOTES TO FINANCIAL STATEMENTS. 20 NATIONS MONEY MARKET FUNDS Nations Treasury Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ------------------------------------------------------------------------------------------ NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($1,854,732,284 / 1,854,989,522 shares outstanding)........... $1.00 =========== TRUST CLASS SHARES: ($829,830,490 / 830,186,207 shares outstanding)............... $1.00 =========== INSTITUTIONAL SHARES: ($562,483,808 / 562,491,087 shares outstanding)............... $1.00 =========== LIQUIDITY CLASS SHARES: ($392,626,195 / 392,636,731 shares outstanding)............... $1.00 =========== ADVISER CLASS SHARES: ($2,965,785,141 / 2,966,263,824 shares outstanding)........... $1.00 =========== INVESTOR CLASS SHARES: ($782,960,800 / 783,245,817 shares outstanding)............... $1.00 =========== MARKET CLASS SHARES: ($1,410,463,343 / 1,410,500,010 shares outstanding)........... $1.00 =========== DAILY CLASS SHARES: ($1,119,175,054 / 1,119,348,925 shares outstanding)........... $1.00 =========== SERVICE CLASS SHARES: ($275,446,128 / 275,460,352 shares outstanding)............... $1.00 =========== INVESTOR A SHARES: ($883,012,821 / 883,584,537 shares outstanding)............... $1.00 =========== INVESTOR B SHARES: ($552,013 / 552,008 shares outstanding)....................... $1.00 =========== INVESTOR C SHARES: ($10 / 10 shares outstanding)................................. $1.00 ===========
- --------------- * Aggregate cost for federal tax purposes. SEE NOTES TO FINANCIAL STATEMENTS. 21 NATIONS MONEY MARKET FUNDS Nations Government Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- U.S. GOVERNMENT AND AGENCY OBLIGATIONS -- 99.9% FEDERAL FARM CREDIT BANK (FFCB) -- 21.3% $100,000 1.685%& 10/01/02&&.......................................... $ 99,970 60,000 1.750%& 10/01/02&&.......................................... 60,000 100,000 1.760%& 10/01/02&&.......................................... 99,976 200,000 1.765%& 10/01/02&&.......................................... 199,923 100,000 1.765%& 10/01/02&&.......................................... 99,961 75,000 2.200% 10/01/02............................................. 75,000 5,453 Discount note 10/04/02...................................... 5,452 50,000 1.710%& 10/10/02&&.......................................... 49,992 100,000 1.700%& 10/29/02&&.......................................... 99,972 35,000 1.700% 12/02/02............................................. 34,998 14,755 2.300% 12/03/02............................................. 14,749 15,000 1.730% 01/02/03............................................. 14,996 5,000 5.000% 02/03/03............................................. 5,039 100,000 1.720% 03/03/03............................................. 99,992 33,000 2.300% 03/03/03............................................. 33,020 10,000 2.950% 04/01/03............................................. 9,999 ---------- 1,003,039 ---------- FEDERAL HOME LOAN BANK (FHLB) -- 77.7% 100,000 1.720%& 10/01/02&&.......................................... 99,976 300,000 1.730%& 10/01/02&&.......................................... 299,942 100,000 1.740%& 10/01/02&&.......................................... 99,993 100,000 1.755%& 10/01/02&&.......................................... 99,957 5,000 Discount note 10/02/02...................................... 5,000 100,000 1.690%& 10/02/02&&.......................................... 99,972 1,000 5.550% 10/02/02............................................. 1,000 6,032 Discount note 10/04/02...................................... 6,031 180,902 Discount note 10/09/02...................................... 180,833 4,000 4.640% 10/09/02............................................. 4,002 243,671 1.740% 10/11/02............................................. 243,555 135,000 1.698%& 10/14/02&&.......................................... 134,964 5,575 Discount note 10/15/02...................................... 5,570 287,500 1.680%& 10/21/02&&.......................................... 287,433 200,000 1.690%& 10/21/02&&.......................................... 199,940 35,000 Discount note 10/22/02...................................... 34,966 24,925 Discount note 10/23/02...................................... 24,900 95,000 1.673%& 10/23/02&&.......................................... 94,991 163,545 Discount note 10/25/02...................................... 163,360 47,926 Discount note 10/30/02...................................... 47,862 50,000 1.650%& 10/30/02&&.......................................... 49,983 2,500 6.030% 11/06/02............................................. 2,509 50,000 1.590%& 11/14/02&&.......................................... 49,985 25,000 6.250% 11/15/02............................................. 25,127 35,000 6.375% 11/15/02............................................. 35,179 20,000 6.375% 11/15/02............................................. 20,101 100,000 1.608%& 11/19/02&&.......................................... 99,985 125,000 Discount note 11/20/02...................................... 124,710 2,230 5.380% 11/27/02............................................. 2,241 19,473 Discount note 11/29/02...................................... 19,420 97,000 1.639%& 12/04/02&&.......................................... 96,943 100,000 1.659%& 12/04/02&&.......................................... 99,984 100,000 Discount note 12/06/02...................................... 99,688 1,664 Discount note 12/27/02...................................... 1,657 150,000 1.633%& 12/28/02&&.......................................... 149,918 69,805 5.125% 01/13/03............................................. 70,355
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- FEDERAL HOME LOAN BANK (FHLB) -- (CONTINUED) $ 3,390 5.660% 01/13/03............................................. $ 3,425 16,800 2.125% 01/15/03............................................. 16,809 1,000 5.530% 01/15/03............................................. 1,009 2,000 5.485% 01/21/03............................................. 2,020 31,250 5.500% 01/21/03............................................. 31,571 3,950 5.650% 02/06/03............................................. 3,989 16,600 5.000% 02/14/03............................................. 16,791 62,500 5.000% 02/28/03............................................. 63,219 36,100 2.300% 03/07/03............................................. 36,161 20,000 2.600% 04/08/03............................................. 19,989 60,000 2.340% 04/21/03............................................. 59,212 35,735 4.500% 05/15/03............................................. 36,320 24,775 7.250% 05/15/03............................................. 25,599 50,000 2.660% 06/20/03............................................. 50,000 50,000 2.180% 07/01/03............................................. 50,052 34,000 2.060% 07/02/03............................................. 33,999 34,300 4.500% 07/07/03............................................. 35,004 10,000 4.125% 08/15/03............................................. 10,207 39,210 5.125% 09/15/03............................................. 40,419 14,000 1.750% 09/16/03............................................. 13,991 27,830 3.125% 10/01/03............................................. 28,206 10,000 3.060% 10/24/03............................................. 10,137 ---------- 3,670,161 ---------- STUDENT LOAN MARKETING ASSOCIATION (SLMA) -- 0.9% 16,208 2.210% 01/31/03............................................. 16,087 25,000 2.650% 06/13/03............................................. 24,998 ---------- 41,085 ---------- TOTAL U.S. GOVERNMENT AND AGENCY OBLIGATIONS (Cost $4,714,285)........................................... 4,714,285 ---------- TOTAL INVESTMENTS (Cost $4,714,285*)................................ 99.9% 4,714,285 ---------- OTHER ASSETS AND LIABILITIES (NET).................. 0.1% Cash.......................................................... $ 2 Interest receivable........................................... 13,149 Payable for Fund shares redeemed.............................. (2) Investment advisory fee payable............................... (467) Administration fee payable.................................... (233) Shareholder servicing and distribution fees payable........... (840) Distributions payable......................................... (5,401) Accrued Trustees' fees and expenses........................... (123) Accrued expenses and other liabilities........................ (498) ---------- TOTAL OTHER ASSETS AND LIABILITIES (NET)...................... 5,587 ---------- NET ASSETS.......................................... 100.0% $4,719,872 ========== NET ASSETS CONSIST OF: Accumulated net realized gain on investments sold............. $ 178 Paid-in capital............................................... 4,719,694 ---------- NET ASSETS.................................................... $4,719,872 ==========
SEE NOTES TO FINANCIAL STATEMENTS. 22 NATIONS MONEY MARKET FUNDS Nations Government Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ---------------------------------------------------------------------------------------- NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($1,523,904,384 / 1,523,795,442 shares outstanding)........... $1.00 ========== TRUST CLASS SHARES: ($406,688,958 / 406,617,351 shares outstanding)............... $1.00 ========== INSTITUTIONAL SHARES: ($90,142,937 / 90,115,305 shares outstanding)................. $1.00 ========== LIQUIDITY CLASS SHARES: ($233,177,809 / 233,124,630 shares outstanding)............... $1.00 ========== ADVISER CLASS SHARES: ($848,315,685 / 848,470,091 shares outstanding)............... $1.00 ========== INVESTOR CLASS SHARES: ($794,516,092 / 794,692,387 shares outstanding)............... $1.00 ========== MARKET CLASS SHARES: ($494,592,333 / 494,500,010 shares outstanding)............... $1.00 ========== DAILY CLASS SHARES: ($284,245,706 / 284,182,379 shares outstanding)............... $1.00 ========== SERVICE CLASS SHARES: ($36,005,737 / 36,000,010 shares outstanding)................. $1.00 ========== INVESTOR A SHARES: ($5,559,114 / 5,554,916 shares outstanding)................... $1.00 ========== INVESTOR B SHARES: ($1,738,560 / 1,738,286 shares outstanding)................... $1.00 ========== INVESTOR C SHARES: ($984,429 / 984,351 shares outstanding)....................... $1.00 ==========
- --------------- *Aggregate cost for federal tax purposes. &Floating rate security. The interest rate shown reflects the rate in effect at September 30, 2002. &&Reset date. Interest rates reset either daily, weekly, monthly, or quarterly. SEE NOTES TO FINANCIAL STATEMENTS. 23 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- MUNICIPAL BONDS AND NOTES -- 100.5% ALABAMA -- 1.2% $ 4,200 Birmingham, Alabama Medical Clinic Board Revenue, (Medical Advancement Foundation Project) Series 2000A, (Columbus Bank & Trust LOC), 2.220% 09/01/30**........................................... $ 4,200 7,015 Birmingham, Alabama Private Educational Building Authority Revenue, (The Altamont School Project) Series 1998, (AmSouth Bank of Alabama N.A. LOC), 1.780% 04/01/13**........................................... 7,015 19,220 Birmingham, East Alabama Medical Center East Special Care Facilities Financing Authority Revenue, Series 2001 PT-569, (MBIA Insured, Merrill Lynch SBPA), 1.760% 07/01/12**........................................... 19,220 ---------- 30,435 ---------- ALASKA -- 1.2% 12,300 Alaska Industrial Development and Export Authority Exempt Facilities Revenue, (AMAX Gold, Inc. Project) Series 1997, AMT, (Bank of Nova Scotia LOC), 1.750% 05/01/09**........................................... 12,300 7,000 Alaska State, Housing Finance Corporation Revenue, Series 2002A, AMT, (FSA GO of Corporation, Dexia Credit Local de France SBPA), 1.800% 12/01/36**........................................... 7,000 10,250 North Slope Borough, Alaska GO, Series 1992A, (MBIA Insured), 1.530%*** 06/30/03.......................................... 10,134 ---------- 29,434 ---------- ARIZONA -- 1.1% 5,200 Apache County, Arizona, IDR, (Tucson Electric Power Project) Series 1983C, (Societe Generale LOC), 1.700% 12/15/18**........................................... 5,200 17,650 Coconino County, Arizona Pollution Control Corporation Revenue, (Arizona Public Service Company - Navajo Project) Series 1994A, AMT, (KBC Bank LOC), 1.750% 10/01/29**........................................... 17,650
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ARIZONA -- (CONTINUED) $ 2,800 Goodyear, Arizona, IDR, (Walle Corporation Project) Series 1995, AMT, (Bank One Kentucky, N.A. LOC), 1.850% 05/01/15**#.......................................... $ 2,800 2,550 Scottsdale, Arizona Industrial Development Authority Revenue, (Notre Dame Prepatory School Project) Series 2001B, (Bank One Arizona, N.A. LOC), 1.750% 05/01/21**........................................... 2,550 ---------- 28,200 ---------- ARKANSAS -- 1.0% 15,800 Clark County, Arkansas, Solid Waste Disposal Revenue, (Reynolds Metals Company Project) Series 1992, AMT, (SunTrust Bank, Atlanta LOC), 1.750% 08/01/22**........................................... 15,800 6,300 Little Rock, Arkansas Metrocentre District Number 1 Improvement Revenue, (Little Rock Newspapers, Inc. Project) Series 1985, (Bank of New York LOC), 2.000% 12/01/25**........................................... 6,300 3,250 Lowell, Arkansas IDR, (Little Rock Newspapers, Inc. Project) Series 1996, AMT, (Bank of New York LOC), 1.800% 06/01/31**#.......................................... 3,250 ---------- 25,350 ---------- CALIFORNIA -- 3.0% 8,000 Brazos River Authority, 1.450% 10/01/02............................................. 8,000 10,000 California Higher Education Loan Authority Inc., Student Loan Revenue, Series 1987, AMT, (Student Loan Marketing Association LOC), Mandatory Put 06/01/03 @ 100, 1.800% 07/01/04**.................................................. 10,000 21,000 California State, RAN, Series 2002A, 1.800% 10/25/02............................................. 21,001 10,000 California State, RAN, Series 2002B, 2.500% 10/25/02............................................. 10,005 10,000 Los Angeles, California, TRAN, 3.000% 06/30/03............................................. 10,105 15,200 Los Angeles, California Unified School District TRAN, Series 2002A, 2.500% 07/01/03............................................. 15,292 ---------- 74,403 ----------
SEE NOTES TO FINANCIAL STATEMENTS. 24 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- COLORADO -- 2.8% $ 9,000 Colorado Educational and Cultural Facilities Authority Revenue, (Denver Museum Project) Series 2001, (Bank One Colorado N.A. LOC), 1.750% 11/01/21**........................................... $ 9,000 690 Colorado Health Facilities Authority Revenue, (Goodwill Industries, Inc. Project) Series 1994, (Bank One of Colorado, N.A. LOC), 1.950% 12/01/04**........................................... 690 5,000 Colorado Housing & Finance Authority, Single Family Mortgage Revenue, Series 2002, (FHLB SBPA), 1.800% 11/01/21**........................................... 5,000 35,000 Colorado State, TRAN, Series 2002A, 3.000% 06/27/03............................................. 35,381 3,400 Denver City and County, Colorado Airport Revenue, Series 1992F, AMT, (Dexia Public Finance Bank SA LOC), 1.850% 11/15/25**........................................... 3,400 4,825 Denver City and County, Colorado Airport Revenue, Series 1992G, AMT, (Dexia Public Finance Bank SA LOC), 1.850% 11/15/25**........................................... 4,825 2,185 Denver, Colorado City and County Airport Revenue, Series 1992B, AMT, Prerefunded 11/15/02 @ 102 7.250% 11/15/23............................................. 2,244 6,750 El Paso County, Colorado School District No. 11 Colorado Springs, TAN, Series 2002, 2.500% 06/30/03............................................. 6,803 765 Larimer County, Colorado IDR Refunding, (Ultimate Support Systems Project) Series 1995A, (Bank One of Colorado, N.A. LOC), 1.850% 06/01/10**#.......................................... 765 3,230 Thorton, Colorado Water Refunding GO, Series 2002, (FSA Insured), 3.000% 12/01/02............................................. 3,239 ---------- 71,347 ---------- DELAWARE -- 4.0% 35,000 Delaware State Economic Development Authority IDR, (Clean Power Project) Series 1997B, AMT, (Motiva Enterprises LLC Guarantee), 1.900% 08/01/29**........................................... 35,000 50,000 Delaware State Economic Development Authority IDR, (Clean Power Project) Series 1997D, AMT, (Motiva Enterprises LLC Guarantee), 1.850% 08/01/29**........................................... 50,000 7,400 Delaware State Economic Development Authority Revenue, (Hospital Billing and Collection Services, Inc. Project) Series 1985A, (AMBAC Insured, Morgan Stanley SBPA), 1.700% 12/01/15**........................................... 7,400
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- DELAWARE -- (CONTINUED) $ 2,400 Delaware State Economic Development Authority Revenue, (Hospital Billing and Collection Services, Inc. Project) Series 1985C, (AMBAC Insured, Morgan Stanley SBPA), 1.650% 12/01/15**........................................... $ 2,400 5,185 New Castle County, Delaware Airport Facilities Revenue, (Flightsafety International Inc. Project) Series 2002, (Berkshire Hathaway GTY-AGMT), 1.730% 12/01/32**........................................... 5,185 ---------- 99,985 ---------- DISTRICT OF COLUMBIA -- 0.3% 7,500 District of Columbia Enterprise Zone Revenue, (House on F Street Project) Series 2001, (Bank of New York LOC), 1.800% 05/01/15**........................................... 7,500 ---------- FLORIDA -- 7.1% 30,700 Broward County, Florida Port Facilities Revenue Refunding, (Port Everglades Project) Series 1998, (AMBAC Insured, Bank of Nova Scotia SBPA), 1.750% 09/01/27**........................................... 30,700 7,560 Capital Tracking Agency, Florida Multi-Family Housing Revenue, (Variable Rate Demand Revenue Bond 144A Project), Series 2000B, (Anchor National Life Insurance SPA, National United Fire Insurance GTY-AGMT), 1.980% 12/01/32**........................................... 7,560 10,200 Collier County, Florida Industrial Development Authority Health Care Facilities Revenue, (Community Health Care Project) Series 1999A, (First Union National Bank LOC), 1.750% 11/01/19**........................................... 10,200 5,890 Escambia County, Florida Housing Finance Authority Single Family Mortgage Revenue, Series 2001 1.800% 10/01/31**........................................... 5,890 7,545 Florida Housing Finance Agency Multi-Family Housing Revenue, (Lakes of Northdale Project) Series 1984D, (SouthTrust Bank of Alabama LOC), 1.730% 06/01/07**........................................... 7,545 1,565 Fort Walton Beach, Florida IDR, (Burton Golf, Inc. Project) Series 1996, AMT, (Columbus Bank and Trust LOC), 2.000% 10/01/11**........................................... 1,565 28,000 Greater Orlando Aviation Authority Florida, Airport Facility Revenue Refunding, (FSA Bayerische Hypotheken Und Vereinsbank SBPA), 1.750% 10/01/21**........................................... 28,000
SEE NOTES TO FINANCIAL STATEMENTS. 25 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- FLORIDA -- (CONTINUED) $10,000 Gulf Breeze, Florida Healthcare Facilities Revenue, (Heritage Healthcare Project) Series 1999, (Anchor National Life Insurance Company Guaranty Agreement SBPA), 1.830% 01/01/24**##......................................... $ 10,000 5,255 Jacksonville, Florida Sales Tax Revenue, Series 2001, 1.750% 10/01/14**........................................... 5,255 58,200 Miami-Dade County, Florida Individual Development Authority Revenue, (Airis Miami LLC Project) Series 1999A, AMT, (AMBAC Insured, Bayerische Landesbank SBPA), 1.700% 10/15/25**........................................... 58,200 30 Orange County, Florida Housing Financing Authority Multi-Family Revenue, (Falcon Trace Apartments Project) Series 1998D, AMT, (FNMA Collateral Agreement), 1.720% 10/01/32**........................................... 30 3,000 Palm Beach County, Florida Economic Development Revenue, (YMCA Boynton Beach Project) Series 1999, (SunTrust Bank of South Florida LOC), 1.700% 01/01/24**........................................... 3,000 5,000 Sunshine State Governmental Financing Commission, Florida Revenue, Series 1986, (AMBAC Insured, Dexia Public Finance Bank SA, SBPA), 1.700% 07/01/16**........................... 5,000 7,250 Sunshine State, Florida, 1.450% 10/11/02............................................. 7,250 ---------- 180,195 ---------- GEORGIA -- 5.5% 5,610 Atlanta, Georgia Water and Sewer Revenue, Series 2001, 1.750% 01/01/17**........................................... 5,610 5,000 Bartow County, Georgia Development Authority, Multi-Family Housing Revenue, (Somerset Cove Apartments Project) Series 2002, (PNC Bank N.A.), 1.850% 02/01/35**........................................... 5,000 2,990 Cobb County, Georgia Housing Authority, Multi-Family Housing Revenue, (Woodsong Apartments Project) Series 2002, AMT, (FNMA Liquidity Facility), 1.800% 02/15/35**........................................... 2,990 1,090 Cobb County, Georgia IDR, (Datagraphic Inc. Project) Series 1990, AMT, (SouthTrust Bank of Alabama LOC), 1.930% 05/01/05**........................................... 1,090
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- GEORGIA -- (CONTINUED) $ 1,600 Cobb County, Georgia Residential Care Facilities for the Elderly Authority Revenue Refunding, (Presbyterian Village Austell Project) Series 1998, (SunTrust Bank LOC), 1.700% 08/01/15**#.......................................... $ 1,600 9,215 Columbia County, Georgia Development Authority, Multi-Family Revenue, (Westwood Club Apartments Project) Series 2002, AMT, (Keybank, N.A. LOC), 1.800% 11/15/35**........................................... 9,215 10,000 Columbus, Georgia Hospital Authority Revenue, (St. Francis Hospital Inc., Project) Series 2000A, (Columbus Bank & Trust LOC), 1.830% 01/01/31**........................................... 10,000 7,500 DeKalb County, Georgia Development Authority IDR, (The Paideia School Inc. Project) Series 2000, (SunTrust Bank LOC), 1.700% 02/01/20**........................................... 7,500 3,000 DeKalb County, Georgia Development Authority Revenue, (Marist School, Inc. Project) Series 1999, (SunTrust Bank LOC), 1.700% 03/01/24**........................................... 3,000 2,050 DeKalb County, Georgia Housing Authority Multi-Family Housing Revenue Refunding, (Camden Brook Project) Series 1995, (FNMA Collateral Agreement), 1.700% 06/15/25**........................................... 2,050 7,475 DeKalb County, Georgia Housing Authority Multi-Family Housing Revenue, (Stone Mill Run Apartments Project) Series 1995A, AMT, (First Tennessee Bank, N.A. LOC), 1.850% 08/01/27**........................................... 7,475 3,000 Fulton County, Georgia Development Authority Revenue, (Lovett School Project) Series 1997, (SunTrust Bank LOC), 1.700% 04/01/17**#.......................................... 3,000 34,270 Fulton County, Georgia Development Authority, Airport Facilities Revenue (Flightsafety International Inc. Project) Series 1999B, AMT, 1.730% 12/01/18**........................................... 34,270 9,350 Fulton County, Georgia Development Authority, Airport Facilities Revenue, (Flightsafety International Inc. Project) Series 1999B, AMT, 1.730% 12/01/28**........................................... 9,350
SEE NOTES TO FINANCIAL STATEMENTS. 26 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- GEORGIA -- (CONTINUED) $11,700 Richmond County, Georgia Development Authority Solid Waste Disposal Revenue, (Evergreen Nylon Project) Series 1999, AMT, (BNP Paribas LOC), 1.800% 07/01/32**........................................... $ 11,700 9,215 Richmond County, Georgia Development Authority, (Stonegate Club Apartments Project) Series 2002, (J.P. Morgan Chase Bank LOC), 1.800% 11/15/35**........................................... 9,215 9,005 Richmond County, Georgia Hospital Authority Revenue Anticipation Certificates, (University Health Services, Inc. Project) Series 1999, (SunTrust Bank LOC), 1.700% 01/01/19**........................................... 9,005 4,000 Roswell, Georgia Housing Authority Multi-Family Housing Revenue, (Azalea Park Apartments Project) Series 1996, (FNMA Collateral Agreement), 1.650% 06/15/25**........................................... 4,000 1,675 Thomasville, Georgia Payroll Development Authority Industrial Revenue, (Scruggs Company Project) Series 2000, (First Union National Bank LOC), 1.850% 08/01/10**##......................................... 1,675 ---------- 137,745 ---------- IDAHO -- 1.6% 6,290 Idaho Housing and Finance Association Revenue, Series 2002A-38, AMT, (Wachovia Bank N.A. LOC), 1.800% 07/01/32**##......................................... 6,290 19,660 Idaho Housing and Finance Association, Series 1998 PT-173, AMT, (Commerzbank AG SBPA), 1.800% 07/01/29**##......................................... 19,660 13,500 Idaho Housing and Finance Association, Single Family Mortgage Revenue, Series 2002D, (Bayerische Landesbank SBPA), 1.800% 07/01/33**........................................... 13,500 ---------- 39,450 ---------- ILLINOIS -- 9.4% 2,100 Chicago, Illinois Airport Special Facilities Revenue, (Centerpoint O'Hare Project) Series 1997, AMT, (First National Bank of Chicago LOC), 1.800% 09/01/32**#.......................................... 2,100 2,200 Chicago, Illinois Multi-Family Housing Revenue, Series 2001B, (Harris Trust & Savings Bank LOC), 1.800% 04/01/09**........................................... 2,200
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ILLINOIS -- (CONTINUED) $20,000 Chicago, Illinois O'Hare International Airport Revenue, (General Airport Project) Second Lien, Series 1988A, AMT, (Bayerische Landesbank LOC), 1.720% 01/01/18**........................................... $ 20,000 5,580 Chicago, Illinois O'Hare International Airport Revenue, (General Airport Project) Second Lien, Series 1994C, (Societe Generale LOC), 1.650% 01/01/18**........................................... 5,580 10,000 Chicago, Illinois, GO Limited Notes, (Landesbank Hessen-Thueringen LOC), Mandatory Put 12/05/02 @ 100, 1.750% 01/08/04............................................. 10,000 13,895 Elmhurst, Illinois Hospital Revenue, (Joint Commission Accreditation Healthcare Project) Series 1988, (Dexia Public Finance Bank SA LOC), 1.700% 07/01/18**........................................... 13,895 2,270 Gurnee, Illinois IDR, (Kenall Manufactor Company Project) Series 1998, (Harris Trust and Saving Bank LOC), 1.800% 03/01/18**........................................... 2,270 2,570 Illinois Development Finance Authority IDR, (Flinn Scientific Incorporated Project) Series 1995, (Harris Trust and Savings Bank LOC), 1.800% 10/01/15**........................................... 2,570 5,655 Illinois Development Finance Authority IDR, (Mason Corporation Project) Series 2000A, (American National Bank & Trust LOC), 2.000% 11/01/20**........................................... 5,655 3,800 Illinois Development Finance Authority IDR, (Randolph Pickle Corporation Project) Series 1992, AMT, (American National Bank & Trust Company LOC), 1.900% 06/01/12**........................................... 3,800 2,800 Illinois Development Finance Authority IDR, (Unique Building Corporation Project) Series 1989, AMT, (American National Bank & Trust Company LOC), 1.900% 05/01/19**........................................... 2,800 5,100 Illinois Development Finance Authority IDR, (WM Plastics Project) Series 2001, AMT, (LaSalle Bank, N.A. LOC), 1.760% 08/01/26**........................................... 5,100 10,900 Illinois Development Finance Authority Revenue, (Lyric Opera of Chicago Project) Series 1994, (Northern Trust Company LOC, Bank One of Michigan LOC, Harris Trust & Savings Bank LOC), 1.650% 12/01/28**........................................... 10,900
SEE NOTES TO FINANCIAL STATEMENTS. 27 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ILLINOIS -- (CONTINUED) $ 1,700 Illinois Development Finance Authority Revenue, (Park Ridge Youth Campus Project) Series 1998, (Northern Trust Company LOC), 1.850% 09/01/18**#.......................................... $ 1,700 10,700 Illinois Development Finance Authority Revenue, (Residential Rental Project) Series 1994, (FNMA Collateral), 1.700% 04/01/24**........................................... 10,700 5,000 Illinois Development Finance Authority Revenue, (Solomon Schechter Day School Project) Series 2001, (LaSalle Bank, N.A. LOC), 1.680% 04/01/21**........................................... 5,000 4,500 Illinois Development Finance Authority, Multi-Family Revenue, Series 2001, 1.900% 12/01/13**........................................... 4,500 4,000 Illinois Educational Facilities Authority Revenue, (DePaul University Project) Series 1992CP-1, (Northern Trust Company LOC), 1.650% 04/01/26**........................................... 4,000 1,400 Illinois Educational Facilities Authority Revenue, (Northwestern University Project) Series 1985, (First National Bank of Chicago SBPA), 1.700% 12/01/25**........................................... 1,400 6,290 Illinois Educational Facilities Authority Revenue, (University Pooled Financing Project) Series 1985, (FGIC Insured, First National Bank of Chicago SBPA), 1.650% 12/01/05**........................................... 6,290 10,000 Illinois Health Facilities Authority Revenue, (Evanston Northwestern Healthcare Corporation Project) Series 1985B, 1.850% 08/15/15**........................................... 10,000 10,000 Illinois Health Facilities Revenue, 1.400% 01/23/03@@........................................... 10,000 23,000 Illinois Health Facilities Revenue, 1.380% 01/30/03............................................. 23,000 4,990 Illinois Sports Facilities Authority, Series 2000A-36, AMT, (MBIA Insured, First Union National Bank SBPA), 1.800% 06/15/04**#.......................................... 4,990 1,600 Illinois State Development Finance Authority Economic Development Revenue, (Addison 450 LP Project) Series 1989, AMT, (American National Bank & Trust Company LOC), 1.850% 12/01/09**........................................... 1,600
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ILLINOIS -- (CONTINUED) $ 3,620 Illinois State Development Finance Authority Revenue, (Chicago Academy of Sciences Project) Series 1997, (American National Bank & Trust Company LOC), 1.700% 01/01/31**........................................... $ 3,620 13,500 Illinois State, RAN, Series 2002, 3.000% 06/15/03............................................. 13,640 7,850 Illinois, Metropolitan Pier & Exposition Authority, Series 2002, (MBIA Insured, JP Morgan Chase Liquidity Facility), 1.830% 06/15/22**##......................................... 7,850 1,500 Lombard Village, Illinois Industrial Projects Revenue Refunding, (B&H Partnership Project) Series 1995, (LaSalle Bank, N.A. LOC), 2.050% 10/01/13**........................................... 1,500 9,200 Orland Park, Illinois IDR, (Panduit Corporation Project) Series 1996, AMT, (Wachovia Bank of Georgia LOC), 1.800% 04/01/31**#.......................................... 9,200 3,670 Palos Hills, Illinois Multi-Family Housing Revenue, (Green Oaks Project) Series 1998, AMT, (FNMA Collateral Agreement), 1.760% 08/01/29**#.......................................... 3,670 22,905 Will County, Illinois Multi-Family Housing Redevelopment Revenue Refunding, (Woodlands Crest Hill Project), Series 1999, 1.760% 02/15/31**........................................... 22,905 3,050 Will-Kankakee, Illinois Regional Development Authority IDR, (Unimast, Inc. Project) Series 2000, AMT, (Citibank, N.A. LOC), 1.850% 06/01/30**........................................... 3,050 5,000 Woodford County, Illinois Industrial Development Authority IDR, (Parsons Company, Inc. Project) Series 1998, AMT, (Bank One Illinois, N.A. LOC), 2.000% 03/01/13**#.......................................... 5,000 ---------- 240,485 ---------- INDIANA -- 3.3% 3,000 Allen County, Indiana Economic Development Revenue, (Debrand Inc. Project) Series 2002, (Bank One N.A. LOC), 1.970% 08/01/17**........................................... 3,000 1,800 Elkhart, Indiana Economic Development Revenue, (Vahala Foam Enterprises Project) Series 2002, (Bank One N.A.), 1.930% 09/01/17**........................................... 1,800 5,000 Gibson County, Indiana PCR, (Toyota Motor Manufacturing Project) Series 2001B, 1.750% 09/01/31**........................................... 5,000
SEE NOTES TO FINANCIAL STATEMENTS. 28 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- INDIANA -- (CONTINUED) $10,000 Gibson County, Indiana PCR, (Toyota Motor Manufacturing Project), Series 2000A, 1.750% 01/01/28**........................................... $ 10,000 6,000 Gibson County, Indiana PCR, (Toyota Motor Manufacturing Project), Series 200A, 1.750% 01/01/30**........................................... 6,000 2,400 Indiana Health Facilities Financing Authority Hospital Revenue, (Deaconess Hospital Inc. Project) Series 1992, (First National Bank of Chicago LOC), 1.750% 01/01/22**........................................... 2,400 1,200 Indiana Health Facilities Financing Authority Revenue Refunding, (Cardinal Center, Inc. Project) Series 1996A, (Key Bank, N.A. LOC), 1.800% 12/01/16**#.......................................... 1,200 14,000 Indiana Health Facilities Financing Authority Revenue, (Ascension Health Credit Group Project) Series 2001A-1, 1.830% 11/15/36**........................................... 14,000 20,000 Indiana Health Facilities Financing Authority, Revenue, Series 2001GP-A-3, Mandatory Put 03/04/03, 1.800% 11/15/36............................................. 20,000 10,500 Indiana, Secondary Market Educational Loans Inc., Student Loan Revenue, Series 1988B, AMT, (AMBAC Insured, SLMA SBPA), 1.700% 12/01/13**........................................... 10,500 2,700 Indianapolis, Indiana Economic Development Revenue, (Edgecomb Metals Company Project) Series 1983, (Wells Fargo Bank LOC), 1.650% 12/01/08**........................................... 2,700 6,185 Washington County, Indiana Industrial Economic Development Revenue, (Frank Miller Lumber Company Project) Series 2001, (National City Bank of Indiana LOC), 1.900% 08/01/16**........................................... 6,185 ---------- 82,785 ---------- IOWA -- 0.7% 6,090 Iowa Finance Authority Single Family Revenue, Series 2002A-46, (GNMA/FNMA College GO of Authority, Wachovia Bank N.A. Liquidity Facility), 1.800% 07/01/24**........................................... 6,090
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- IOWA -- (CONTINUED) $ 4,700 Iowa State Finance Authority IDR, (Sauer-Sundstrand Company Project) Series 1996, AMT, (Bayerische Hypotheken und Vereinsbank LOC), 1.750% 05/01/26**........................................... $ 4,700 6,500 Iowa State School Cash Anticipation Program, Series 2002B, (FSA State Aid Witholding), 2.250% 01/30/03............................................. 6,509 ---------- 17,299 ---------- KANSAS -- 1.2% 5,400 Fredonia, Kansas Revenue, (Systech Environmental Corporation Project) Series 1989, AMT, (Banque Nationale de Paris LOC), 1.750% 02/01/07**........................................... 5,400 4,000 Junction City, Kansas IDR, (Genmar Manufacturing Project) Series 1999, AMT, (Bank of New York LOC), 1.800% 04/01/19**#.......................................... 4,000 5,400 Kansas Industrial Development Finance Authority Revenue, (PQ Corporation Project) Series 1988, (Bank of New York LOC), 2.000% 08/01/15**........................................... 5,400 9,600 Kansas State Development Finance Authority Exempt Facilities Revenue, (Seaboard Project) Series 1995A, AMT, (Bank of New York LOC), 1.800% 12/01/25**#.......................................... 9,600 5,775 Sedgwick & Shawnee Counties, Kansas Single Family Revenue, Series 2002, 1.750% 12/01/27**@@......................................... 5,775 ---------- 30,175 ---------- KENTUCKY -- 1.8% 8,000 Campbellsville-Taylor County, Kentucky IDR, (Airguards Industrial Inc. Project), AMT, (Northern Trust Company LOC), 1.750% 05/01/31**........................................... 8,000 5,000 Carroll County, Kentucky IDR, (Kentucky Ladder Company Project) Series 1990, AMT, (Bankers Trust Company LOC), 2.050% 09/01/10**........................................... 5,000 4,875 Daviess County, Kentucky Health Care Revenue, (Wendell Fosters Campus for Development Project) Series 2001, (National City Bank, Kentucky LOC), 1.750% 05/01/21**........................................... 4,875
SEE NOTES TO FINANCIAL STATEMENTS. 29 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- KENTUCKY -- (CONTINUED) $ 400 Hopkinsville, Kentucky Industrial Building Revenue, (Brazeway, Inc. Project) Series 1994, AMT, (Bank One Michigan, N.A. LOC), 2.000% 06/01/04**#.......................................... $ 400 1,080 Jefferson County, Kentucky Industrial Building Revenue, (Seven Counties Services, Inc. Project) Series 1996, (Bank One of Kentucky, N.A. LOC), 1.850% 06/01/11**#.......................................... 1,080 600 Jeffersontown, Kentucky Industrial Building Revenue, (Rague Food Systems, Inc. Project) Series 1995, AMT, (PNC Bank, N.A. LOC), 1.850% 04/01/20**#.......................................... 600 3,415 Louisville and Jefferson County, Kentucky Convention Center GO, Series 1996PT-69, (FSA Insured, Merrill Lynch SBPA), 1.750% 07/01/24**##......................................... 3,415 10,635 Louisville and Jefferson County, Kentucky Regional Airport Authority Airport Systems Revenue Bond Anticipation Notes, Series 1997AA-1, AMT, (National City Bank of Kentucky LOC), 1.800% 06/30/05**........................................... 10,635 8,000 Warren County, Kentucky Hospital Facility Revenue, (Bowling Green-Warren County Project) Series 2001, (Bank One Kentucky, N.A. LOC), 1.750% 08/01/31**........................................... 8,000 4,250 Wickliffe, Kentucky PCR & Solid Waste Disposal Revenue, (Westvaci Corporation Project) Series 2001, (SunTrust Bank LOC), 1.700% 01/01/09**........................................... 4,250 ---------- 46,255 ---------- LOUISIANA -- 1.9% 2,900 Calcasieu Parish Inc., Louisiana Industrial Development Board Environmental Revenue, (CITGO Petroleum Corporation Project) Series 1994, AMT, (Banque Nationale de Paris LOC), 2.150% 12/01/24**........................................... 2,900 5,100 Calcasieu Parish Inc., Louisiana Industrial Development Board Revenue, (Hydroserve Westlake Project) Series 1999, AMT, (Bank One Chicago, N.A. LOC), 1.800% 12/01/24**........................................... 5,100 8,000 Calcasieu Parish, Louisiana Public Transportation Authority, Solid Waste Disposal Revenue, Series 1997, (Morgan Guaranty Trust LOC), 1.800% 12/01/27**........................................... 8,000
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- LOUISIANA -- (CONTINUED) $11,250 Lake Charles, Lousiana Harbor and Terminal District Revenue, (Port Improvement Project) Series 1994, AMT, (Credit Local de France LOC), 1.700% 01/01/19**........................................... $ 11,250 11,600 Lincoln Parish, Louisiana Exemption Facility Revenue, (Williamette Industrial Income Project) Series 1995, AMT, (Deutsche Bank A.G. LOC), 1.750% 09/01/25**........................................... 11,600 9,000 South Louisiana Port Commission Facilities Port Revenue, (Holnam, Inc. Project) Series 1997, AMT, (Wachovia Bank, N.A. LOC), 1.750% 01/01/27**........................................... 9,000 ---------- 47,850 ---------- MAINE -- 0.3% 6,600 Maine Public Utility Financing Bank Public Utility Revenue Refunding, (Maine Public Service Company Project) Series 1996, AMT, (Bank of New York LOC), 1.800% 04/01/21**........................................... 6,600 ---------- MARYLAND -- 0.4% 2,390 Baltimore County, Maryland Economic Development Revenue, (Notre Dame Preparatory School Inc. Project) Series 1998, (Crestar Bank LOC), 1.700% 06/01/24**........................................... 2,390 5,455 Maryland State Industrial Development Finance Authority Economic Development Revenue, (General Binding Corporation Project) Series 1996, AMT, (Harris Trust & Savings Bank LOC), 1.800% 03/01/26**........................................... 5,455 2,300 Maryland State Industrial Development Finance Authority Revenue, (Rock-Tenn Converting Company Project) Series 1994, AMT, (SunTrust Bank LOC), 1.800% 05/01/06**#.......................................... 2,300 ---------- 10,145 ---------- MICHIGAN -- 3.4% 35,000 Michigan Municipal Board Authority Revenue, Series 2002C-2, (JP Morgan Chase and Company LOC), 2.250% 08/22/03............................................. 35,246 25,250 Michigan State Building Authority Revenue, Multi-Modal Facility Program, Series 2002, (Westdeutsche Landesbank SBPA), 1.400% 10/15/36**........................................... 25,250
SEE NOTES TO FINANCIAL STATEMENTS. 30 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- MICHIGAN -- (CONTINUED) $21,000 Michigan State, Housing Development Authority, Rental Housing Revenue, Series 2002A, (MBIA Insured, Landesbank Hessen-Thueringen Liquidity Facility), 1.750% 04/01/37**........................................... $ 21,000 3,600 Wayne Charter County, Michigan Airport Revenue Refunding, (Detroit Metropolitan County Project) Series 1996, AMT, (Bayerische Landesbank LOC), 1.800% 12/01/16**........................................... 3,600 ---------- 85,096 ---------- MINNESOTA -- 0.6% 15,000 Minnesota State GO, Series 2002, 2.500% 08/01/03............................................. 15,117 ---------- MISSISSIPPI -- 0.1% 950 Mississippi Business Finance Corporation IDR, (Choctaw Maid Farms, Inc. Project) Series 1995, AMT, (Rabobank Nederland LOC), 1.800% 03/01/10**#.......................................... 950 900 Mississippi Business Finance Corporation, (Trilogy Communications Project) Series 1995, AMT, (First Union National Bank LOC), 1.750% 06/01/05**#.......................................... 900 ---------- 1,850 ---------- MISSOURI -- 2.7% 25,000 Curators University, Missouri, Series 2002-2003, 3.000% 06/30/03............................................. 25,259 2,100 Jefferson County, Missouri Industrial Development Authority Multi-Family Housing Revenue, (Sunset Pointe Project) Series 2000, AMT, (Lasalle Bank N.A. LOC), 1.760% 10/01/30**........................................... 2,100 34,900 Missouri State Development Finance Board Lease Revenue, (Missouri Association of Utilities Lease Pool Project) Series 1999, (TransAmerica Life and Annuity Guarantee), 1.780% 12/01/22**........................................... 34,900 5,900 Missouri State Health and Educational Facilities Authority, Health Facilities Revenue Refunding, (Sisters of Mercy Health Care System Project) Series 1992B, (ABN-AMRO N.V., Chicago SBPA, West Landesbank SBPA, Dexia Credit Local de France SBPA), 1.750% 06/01/14**........................................... 5,900 ---------- 68,159 ----------
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- NEBRASKA -- 1.3% $ 5,780 Lancaster County, Nebraska IDR, (Garner Industries, Inc. Project) Series 2000A, AMT, (Wells Fargo Bank, N.A. LOC), 1.880% 11/01/20**........................................... $ 5,780 6,275 Nebraska Help Inc. Student Loan Revenue, Series 1986A, AMT, (MBIA Insured), 1.800% 12/01/16**##......................................... 6,275 9,695 Nebraska Help Inc. Student Loan Revenue, Series 1986B, AMT, (MBIA Insured), 1.800% 12/01/16**........................................... 9,695 6,200 Nebraska Help Inc. Student Loan Revenue, Series 1986C, AMT, (MBIA Insured), 1.800% 12/01/16**#.......................................... 6,200 5,645 Nebraska Public Water District Revenue, Series 2001 PA-869R, (Merrill Lynch SBPA, Escrowed in US Treasuries), 1.750% 01/01/15**........................................... 5,645 ---------- 33,595 ---------- NEVADA -- 0.7% 7,500 Clark County, Nevada IDR, (Nevada Cogeneration Association I Project) Series 1991, AMT, (Canadian Imperial Bank of Commerce LOC), 2.200% 11/01/21**........................................... 7,500 5,500 Nevada Housing Division Multi-Unit Housing Revenue, (Studio 3 LP Project), Series 1999A, AMT, (US Bank, N.A. LOC), 1.750% 10/01/30**........................................... 5,500 3,800 Nevada Housing Division, Multi-Unit (Silver Pines Housing Project) Series 2002A, (Fannie Mae LOC), 1.700% 10/15/35**........................................... 3,800 ---------- 16,800 ---------- NEW JERSEY -- 2.0% 50,000 New Jersey State, TRAN, Series 2002, 3.000% 06/12/03............................................. 50,514 ---------- NEW MEXICO -- 0.2% 5,900 Dona Ana County, New Mexico IDR, (Foamex Products, Inc. Project) Series 1985, (Bank of Nova Scotia LOC), 1.700% 11/01/13**........................................... 5,900 ----------
SEE NOTES TO FINANCIAL STATEMENTS. 31 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- NEW YORK -- 2.7% $ 6,000 New York City, New York Transitional Finance Authority Revenue, (New York City Recovery Notes Project) Series 2001A, 3.250% 10/02/02............................................. $ 6,000 38,500 New York City, New York Transitional Finance Authority Revenue, Series 2002-4, 2.500% 02/26/03............................................. 38,626 6,500 New York State GO, Series 2000B, (Dexia Credit Local de France LOC), Mandatory Put 08/07/03 @ 100, 1.500% 03/15/30**........................................... 6,500 8,500 New York, New York City Housing Development Corporation, Multi-Family Rent Housing Revenue, Series 2001A, 1.750% 11/15/31**........................................... 8,500 7,110 New York, New York City Municipal Water Finance Authority, Water and Sewer System Revenue, Series 2002A, 3.000% 06/15/03............................................. 7,182 1,005 Suffolk County, New York GO, Series 2002A, (MBIA Insured), 3.000% 05/01/03............................................. 1,012 ---------- 67,820 ---------- NORTH CAROLINA -- 2.2% 4,410 Charlotte, North Carolina GO, Series 2002, 3.000% 07/01/03............................................. 4,461 10,000 Greensboro, North Carolina, BAN, GO, 2.000% 02/19/03............................................. 10,018 2,080 Iredell County, North Carolina Industrial Facilities and Pollution Control Financing Authority Revenue, (Sullivan Corporation Project) Series 1996, AMT, (Bank One Milwaukee, N.A. LOC), 2.000% 01/01/11**#.......................................... 2,080 1,600 Mecklenburg County, North Carolina Industrial Facilities and Pollution Control Financing Authority Revenue, (Sterigenics International Project) Series 1996, AMT, (American National Bank & Trust LOC), 1.750% 03/01/16**#.......................................... 1,600 4,660 North Carolina Medical Care Community Health Care Facilities Revenue, (Rutherford Hospital Inc. Project) Series 2001, (Branch Banking & Trust LOC), 1.650% 09/01/21**........................................... 4,660 2,900 North Carolina State Port Authority Exempt Facilities Revenue, (Wilmington Bulk LLC Project) Series 2001A, AMT, (Branch Banking & Trust LOC), 1.750% 09/01/22**........................................... 2,900
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- NORTH CAROLINA -- (CONTINUED) $ 5,100 North Carolina State Port Authority Exempt Facilities Revenue, (Wilmington Bulk LLC Project) Series 2001B, AMT, (Branch Banking & Trust LOC), 1.750% 09/01/22**........................................... $ 5,100 24,000 Raleigh Durham, North Carolina Airport Authority, Airport Revenue, Series 2002, AMT, (FGIC Insured, FGIC SBPA), 1.650% 11/01/17**........................................... 24,000 ---------- 54,819 ---------- OHIO -- 1.2% 880 Centerville, Ohio Health Care Revenue, (Bethany Lutheran Village Hospital Project) Series 1994, (PNC Bank of Ohio, N.A. LOC), 1.700% 11/01/13**#.......................................... 880 695 Greene County, Ohio IDR, (FC Ltd.-AFC Stamping Project) Series 1995, AMT, (Key Bank, N.A. LOC), 1.950% 09/01/16**#.......................................... 695 6,800 Lucas County, Ohio Facilities Improvement Revenue, (Toledo Zoological Society Project) Series 1997, (Key Bank, N.A. LOC), 1.700% 10/01/05**#.......................................... 6,800 1,450 Lucas County, Ohio IDR, (Dynamic Dies, Inc. Project) Series 1997, AMT, (National City Bank LOC), 1.900% 07/01/09**........................................... 1,450 2,179 Ohio Housing Finance Agency Multi-Family Housing Revenue, (Kenwood Congregation-Retirement Project) Series 1985, (Morgan Guaranty Trust LOC), 1.250% 12/01/15**........................................... 2,179 2,000 Ohio State Water Development Authority Solid Waste Disposal Revenue, (The Timken Company Project) Series 1997, AMT, (Wachovia Bank of North Carolina, N.A. LOC), 1.750% 07/01/32**........................................... 2,000 750 Summit County, Ohio IDR, (Oliver Printing Company, Inc. Project) Series 1997, AMT, (Bank One of Akron, N.A. LOC), 2.000% 02/01/07**#.......................................... 750 15,800 Toledo-Lucas County, Ohio Port Authority Airport Development Revenue, (Flightsafety International, Inc. Project) Series 1998-1, AMT, (Berkshire Hathaway Inc. Guarantee), 1.730% 01/01/18**#.......................................... 15,800 ---------- 30,554 ----------
SEE NOTES TO FINANCIAL STATEMENTS. 32 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- OKLAHOMA -- 2.7% $ 6,500 Creek County, Oklahoma Industrial Authority Revenue, (Henry Vogt Machine Company Project) Series 1990, AMT, (Fifth Third Bank, N.A. LOC), 1.800% 08/01/13**........................................... $ 6,500 5,700 Muskogee City and County, Oklahoma Port Authority IDR, (Metals USA, Inc. Project) Series 1998, AMT, (Bank One Texas, N.A. LOC), 2.000% 05/01/23**#.......................................... 5,700 15,000 Oklahoma County, Oklahoma Finance Authority Revenue, (Oklahoma County Housing Preservation Project) Series 2000, (Anchor National Life Insurance Company SBPA, American International Group GTY-AGMT), 1.830% 01/01/33**........................................... 15,000 10,000 Oklahoma Development Finance Authority Revenue, (Seabrook Farms Inc. Project) Series 1997, AMT, (Bank of New York LOC), 1.800% 03/01/27**#.......................................... 10,000 4,600 Oklahoma Housing Finance Agency Single Family Revenue, (Homeownership Loan Program) Series 2001PT-1288, AMT, (GNMA Collateral Agreement, Merrill Lynch SBPA), 1.750% 09/01/29**@@......................................... 4,600 3,530 Oklahoma Transportation Authority, Oklahoma Turnpike Systems Revenue, Series 2002A, (AMBAC Insured), 4.000% 01/01/03............................................. 3,550 21,910 Payne County, Oklahoma Economic Development Authority Revenue, (Collegiate Housing Foundation Project) Series 2000A, (First Union National Bank LOC), 1.800% 06/01/30**........................................... 21,910 ---------- 67,260 ---------- OREGON -- 0.8% 6,000 Port Portland, Oregon Special Obligation Revenue, (Portland Bulk Terminals Project) Series 1999, AMT, (Canadian Imperial Bank LOC), 1.750% 10/01/25**........................................... 6,000 10,000 Portland, Oregon TAN, Series 2002, 2.500% 06/26/03............................................. 10,067 4,400 Washington County, Oregon Housing Authority Multi-Family Housing Revenue, (Cedar Mill Project) Series 1995, AMT, (Bank of Nova Scotia LOC), 1.800% 09/01/25**#.......................................... 4,400 ---------- 20,467 ----------
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- PENNSYLVANIA -- 2.9% $ 3,000 Allegheny County, Pennsylvania Hospital Development Authority Revenue, (South Hills Healthcare Project) Series 2000A, (PNC Bank N.A. LOC), Mandatory Put 06/01/03 @ 100, 1.950% 06/01/30............................................. $ 3,000 9,400 Allegheny County, Pennsylvania Port Authority Revenue, Series 2002, (PNC Bank N.A. LOC), 3.000% 06/30/03............................................. 9,496 2,170 Elk County, Pennsylvania Industrial Development Authority Revenue, (Clarion Sintered Metals Project) Series 1998, AMT, (PNC Bank, N.A. LOC), 1.850% 03/01/09**#.......................................... 2,170 7,000 Elk County, Pennsylvania Industrial Development Authority, Solid Waste Disposal Revenue, (Williamette Industries Inc. Project) Series 1992, (Deustche Bank A.G. LOC), 1.750% 08/01/10**........................................... 7,000 6,120 Hatfield Township, Pennsylvania Industrial Development Authority Revenue, (H&N Packaging Project) Series 1999A, AMT, (Commerzbank AG LOC), 1.850% 04/01/19**#.......................................... 6,120 1,990 Mercer County, Pennsylvania Industrial Development Authority, Limited Obligation Revenue, (Moroco Family LP Project II) Series 2002, (Bank One N.A. LOC), 2.060% 08/01/17**##......................................... 1,990 900 Pennsylvania Economic Development Financing Authority Development Revenue, (Pennsylvania Bar Institute Project) Series 1996B, AMT, (PNC Bank, N.A. LOC), 1.750% 04/01/15**#.......................................... 900 3,500 Pennsylvania Economic Development Financing Authority Exempt Facilities Revenue, (Amtrak Project) Series 2001B, AMT, (Morgan Guaranty Trust LOC), 1.750% 11/01/41**........................................... 3,500 1,585 Pennsylvania Housing Financing Agency, Series 2001A-22, Merlot AMT, (First Union National Bank SBPA), 1.800% 10/01/16**........................................... 1,585 19,300 Pennsylvania State Higher Educational Assistance Agency Student Loan Revenue, Series 1988, AMT, (AMBAC Insured, GTD STD LNS, Westduetsche Landesbank SBPA), 1.700% 01/01/18**........................................... 19,300 6,000 Pennsylvania State, GO, Series 2002, (FSA Insured), 4.000% 05/01/03............................................. 6,077
SEE NOTES TO FINANCIAL STATEMENTS. 33 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- PENNSYLVANIA -- (CONTINUED) $ 200 Quakertown, Pennsylvania General Authority Revenue, (Pooled Financing Project) Series 1996A, (PNC Bank, N.A. LOC), 1.650% 07/01/26**........................................... $ 200 1,760 Schuylkill County, Pennsylvania Industrial Development Authority Revenue, (Bon-Ton Stores Project) Series 1992, AMT, (PNC Bank, N.A. LOC), 1.850% 02/01/12**#.......................................... 1,760 1,315 Schuylkill County, Pennsylvania Industrial Development Authority Revenue, (S. Grumbacher and Son Project) Series 1990, (PNC Bank, N.A. LOC), 1.750% 02/01/12**#.......................................... 1,315 3,835 Westmoreland County, Pennsylvania Industrial Development Authority Revenue, (Elizabeth Carbide Die Project) Series 1998A, AMT, (National City Bank LOC), 1.900% 02/01/18**#.......................................... 3,835 3,660 Westmoreland County, Pennsylvania Industrial Development Authority Revenue, (Rhodin Enterprises Project) Series 1997, AMT, (National City Bank, N.A. LOC), 1.850% 04/01/17**........................................... 3,660 ---------- 71,908 ---------- RHODE ISLAND -- 0.1% 3,330 Rhode Island State Industrial Facilities Corporation IDR, (Precision Turned Components Project) Series 2000, (Bank of New York LOC), 1.900% 05/01/11**........................................... 3,330 ---------- SOUTH CAROLINA -- 5.8% 4,000 Anderson County, South Carolina IDR, (Mikron Corporation Project) Series 1998, AMT, (ABN AMRO Bank N.V. LOC), 1.800% 11/01/12**#.......................................... 4,000 5,400 Charleston, South Carolina GO, Series 2002, 2.250% 03/14/03............................................. 5,416 1,000 Cherokee County, South Carolina Industrial Revenue Refunding, (Holmberg Electronic Corporation Project) Series 1989, (Wachovia Bank of North Carolina, N.A. LOC), 1.750% 11/01/04**#.......................................... 1,000 15,000 Florence County, South Carolina Hospital Revenue, (McLeod Regional Medical Center) Series 1985A, (FGIC Insured, First Union National Bank SBPA), 1.700% 11/01/15**........................................... 15,000
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- SOUTH CAROLINA -- (CONTINUED) $ 6,200 Greenville County, South Carolina Industrial Revenue, (Edgcomb Metals Company Project) Series 1984, (Wells Fargo Bank N.A. LOC), 1.700% 08/01/09**#.......................................... $ 6,200 5,600 Kershaw County, South Carolina IDR, (DeRoyal Textiles, Inc. Project) Series 1994, AMT, (SunTrust Bank of Nashville LOC), 1.800% 12/01/07**#.......................................... 5,600 5,500 Marlboro County, South Carolina Solid Waste Disposal Revenue, (Williamette Industrial Income Project) Series 1996, AMT, (Deutsche Bank A.G. LOC), 1.750% 06/01/23**........................................... 5,500 8,400 Piedmont Municipal Power Agency South Carolina Revenue Refunding, Series 1997C, (MBIA Insured, Credit Suisse First Boston SBPA), 1.700% 01/01/19**........................................... 8,400 13,325 South Carolina Housing and Development Authority, Mortgage Revenue Notes, Series 2002B, AMT, (AMBAC Insured), 1.570% 10/01/03............................................. 13,325 3,300 South Carolina Jobs Economic Development Authority Development Revenue, (Spartanburg YMCA Project) Series 1996, (First Union National Bank LOC), 1.750% 06/01/18**#.......................................... 3,300 4,500 South Carolina Jobs Economic Development Authority Economic Development Revenue, (Pine River Plastics Inc. Project) Series 2000, AMT, (Comerica Bank LOC), 1.800% 03/01/11**........................................... 4,500 6,300 South Carolina Jobs Economic Development Authority Economic Development Revenue, (Raynor USA Southeast Project) Series 2000, AMT, (LaSalle Bank, N.A. LOC), 1.760% 05/01/20**........................................... 6,300 24,995 South Carolina Jobs Economic Development Authority Economic Development Revenue, (St. Francis Bon Secours Hospital Project) Series 2000PT-503, (Merrill Lynch Guarantee SBPA), 1.900% 11/15/30**#.......................................... 24,995 7,435 South Carolina Jobs Economic Development Authority Economic Development Revenue, (Thompson Steel Company, Inc. Project) Series 2000, AMT, (Fleet National Bank, N.A. LOC), 1.800% 06/01/20**........................................... 7,435
SEE NOTES TO FINANCIAL STATEMENTS. 34 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- SOUTH CAROLINA -- (CONTINUED) $ 100 South Carolina Jobs Economic Development Authority Health Facilities Revenue, (Greenville Baptist Retirement Community Project) Series 1997, (Wachovia Bank of North Carolina, N.A. LOC), 1.650% 10/01/19**##......................................... $ 100 6,850 South Carolina Jobs Economic Development Authority IDR, (Abraham Industries LLC Project) Series 1999, AMT, (PNC Bank, N.A. LOC), 1.850% 05/01/14**#.......................................... 6,850 2,500 South Carolina Jobs Economic Development Authority IDR, (Banks Construction Company Project) Series 1999, AMT, (Wachovia Bank of North Carolina, N.A. LOC), 1.800% 05/01/09**........................................... 2,500 3,455 South Carolina Jobs Economic Development Authority IDR, (Kravet Fabrics, Inc. Project) Series 1997, AMT, (Bank of New York LOC), 1.800% 03/01/12**........................................... 3,455 6,025 South Carolina Jobs Economic Development Authority IDR, (Quoizel, Inc. Project) Series 1996, AMT, (Branch Banking & Trust LOC), 1.750% 05/01/16**........................................... 6,025 6,200 South Carolina Jobs Economic Development Authority Revenue, (Alco-Lite Industries LLC-TechnoSteel LLC Project) Series 1997, AMT, (Wachovia Bank of South Carolina, N.A. LOC), 1.750% 04/01/12**........................................... 6,200 6,400 South Carolina State Housing Finance and Development Authority Multi-Family Revenue Refunding, (Rental Bay Club Apartments) Series 2001, AMT, (General Electric Capital Corporation LOC), 1.760% 06/01/21**........................................... 6,400 4,700 University of South Carolina, Athletic Facilities Revenue, BAN, Series 2002, 2.250% 11/20/02............................................. 4,705 ---------- 147,206 ----------
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- SOUTH DAKOTA -- 0.5% $ 330 South Dakota Economic Development Financing Authority IDR Refunding, (Lomar Development Company Project) Series 1996B, AMT, (US Bank, N.A. LOC), 2.050% 08/01/08**#.......................................... $ 330 12,065 South Dakota State Housing Development Authority, Series 1998PT-168, AMT, (Banque Nationale de Paris SBPA), 1.800% 05/01/27**##......................................... 12,065 ---------- 12,395 ---------- TENNESSEE -- 4.5% 8,710 Clarksville, Tennessee Public Building Authority, Revenue, Series 1996, (SunTrust Bank LOC), 1.700% 07/01/11**........................................... 8,710 20,600 Collierville, Tennessee Industrial Development Board Revenue, (St. Georges High School Project) Series 2001, (AmSouth Bank of Alabama, N.A. LOC), 1.740% 08/01/31**........................................... 20,600 5,930 Franklin County, Tennessee Health and Educational Facilities Board Revenue, (University of the South Project) Series 1998B, (AmSouth Bank of Alabama, N.A. LOC), 1.780% 09/01/18**........................................... 5,930 5,000 Franklin, Tennessee Health and Educational Facilities Board Revenue, (Battle Ground Academy Project) Series 2002, (SunTrust Bank LOC), 1.700% 01/01/22**........................................... 5,000 13,685 Johnson City, Tennessee Health and Educational Facilities Board Hospital Revenue, (Mountain States Project) Series 2001PT-560, (Merrill Lynch Guarantee SBPA), 1.900% 07/01/26**........................................... 13,685 4,300 Metropolitan Government Nashville and Davidson County Tennessee Health and Education Facilities Board Revenue, (Danridge Tower II Project) Series 2002, (First Tennessee Bank LOC), 1.950% 09/01/32**........................................... 4,300 8,820 Metropolitan Government Nashville and Davidson County, Tennessee Health and Education Facilities Board Revenue, (Adventist/Sunbelt Retirement Project) Series 1996A, (SunTrust Bank of Central Florida LOC), 1.700% 11/15/26**........................................... 8,820
SEE NOTES TO FINANCIAL STATEMENTS. 35 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- TENNESSEE -- (CONTINUED) $ 6,500 Monroe County, Tennessee Industrial Development Board IDR, (American Transit Corporation Project) Series 1986, (Bank of Boston LOC), 1.800% 08/01/06**#.......................................... $ 6,500 11,000 Montgomery County, Tennessee Public Building Authority Revenue, Series 1995, (SunTrust Bank LOC), 1.700% 07/01/15**........................................... 11,000 3,145 Shelby County, Tennessee Health Educational and Housing Facilities Board Multi-Family Housing Revenue, (Flag Manor Project) Series 1995, AMT, (FHLB Guarantee), 1.780% 01/01/23**#.......................................... 3,145 1,300 Springfield, Tennessee Industrial Development Board Revenue, (All American Homes of Tennessee Project) Series 1994, AMT, (Bank One of Michigan, N.A. LOC), 2.000% 11/01/09**#.......................................... 1,300 5,000 Sullivan County, Tennessee Industrial Development Board Revenue, (Modern Forge Company Project) Series 1990, AMT, (Northern Trust Company LOC), 1.750% 07/01/10**#.......................................... 5,000 3,600 Tennessee Volunteer State Student Funding Corporation Student Loan Revenue, Series 1988A-1, (State Street Bank and Trust Company LOC), 1.700% 12/01/23**........................................... 3,600 15,400 Tennessee Volunteer State Student Funding Corporation Student Loan Revenue, Series 1998A-2, AMT, (State Street Bank and Trust Company LOC), 1.700% 12/01/23**........................................... 15,400 ---------- 112,990 ---------- TEXAS -- 10.0% 5,417 Austin, Texas, 1.300% 10/04/02............................................. 5,417 4,400 Brazos River Authority, Texas Pollution Control Revenue, (TXU Energy Company Project) Series 2002A, (JP Morgan Chase Bank LOC), 1.800% 05/01/37**........................................... 4,400 3,400 Calhoun County, Texas Navajo District, (Formosa Plastics Corporation Project) Series 2002, (JP Morgan Chase Bank LOC), 1.800% 09/01/32**........................................... 3,400 5,600 Chambers County, Texas Industrial Development Corporation Revenue, (Ecolochem, Inc. Project) Series 1999, AMT, (Wachovia Bank, N.A. LOC), 1.750% 03/01/14**........................................... 5,600
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- TEXAS -- (CONTINUED) $10,000 Coastal Bend, Texas Health Facilities Development Corporation Revenue, (Incarnate Word Health Services Project) Series 1998B, (AMBAC Insured, Bank One SBPA), 1.720% 08/15/28**........................................... $ 10,000 16,180 Dallas-Fort Worth, Texas International Airport Facility Revenue, (Flightsafety Project) Series 1999, AMT, (OBH, Inc. Guarantee), 1.730% 07/01/32**........................................... 16,180 8,185 El Paso, Texas Housing Finance Corporation Multi-Family Housing Revenue, (Viva Apartments Project-Oakland Executive Center LP) Series 1993, AMT, (GE Capital Corporation Guarantee), 1.800% 09/01/23**#.......................................... 8,185 680 Harris County, Texas Industrial Development Corporation IDR, (Forged Products, Inc. Project) Series 1996, AMT, (Bank One Texas, N.A. LOC), 2.000% 05/01/03**#.......................................... 680 1,815 Hillsboro, Texas Industrial Development Corporation Revenue, (Lamcraft LP Project) Series 1997, AMT, (First Commercial Bank LOC), 2.000% 07/01/13**........................................... 1,815 11,200 Midlothian, Texas Industrial Development Corporation Environmental Facilities Revenue, (Holnam Texas Loop Project) Series 1999, AMT, (Bank One, Michigan LOC), 1.750% 09/01/31**........................................... 11,200 1,200 Nueces County, Texas Health Facilities Development Corporation Revenue, (Driscoll Foundation Childrens Hospital Project) Series 1985, (Bank One of Texas, N.A. LOC), 1.850% 07/01/15**........................................... 1,200 7,495 Plano, Texas Independent School District, Series 2001-Putters Series 178, (Texas Permanent Fund Insured, Morgan Guaranty Trust SBPA), 2.000% 02/15/09**#.......................................... 7,495 17,000 Regents of the University of Texas, 1.400% 10/15/02............................................. 17,000 9,000 San Antonio, Texas Education Facility Corporation Revenue, (University of the Incarnate World Project) Series 2001, (Bank One Texas, N.A. LOC), 1.790% 12/01/21**........................................... 9,000 22,000 South Texas Higher Education Authority Revenue, Series 1997, AMT, (MBIA Insured, SLMA SBPA), 1.750% 12/01/27**........................................... 22,000
SEE NOTES TO FINANCIAL STATEMENTS. 36 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- TEXAS -- (CONTINUED) $ 6,800 Texas State Department Housing and Community Affairs Multi-Family Revenue, (High Point III Project) Series 1993, (FNMA Collateral Agreement), 1.650% 02/01/23**........................................... $ 6,800 27,500 Texas State GO, Series 2002, (Lehman Liquidity LLC SBPA), 1.800% 08/29/03**##......................................... 27,500 85,700 Texas State TRAN GO, Series 2002, 2.750% 08/29/03............................................. 86,679 10,000 Texas, Public, 1.300% 10/04/02............................................. 10,000 ---------- 254,551 ---------- UTAH -- 3.7% 7,500 Intermountain Power Agency, Utah Power Supply Revenue, Series 1985E, (Landesbank Hessen Thuringen), 1.350% 07/01/14**........................................... 7,498 2,385 Logan City, Utah Revenue, (Fixed Integrated System Income) Series 1999A, AMT, (First Union National Bank LOC), 1.850% 06/01/14**........................................... 2,385 1,500 Murray City, Utah IDR, (Zevex, Inc. Project) Series 1996, AMT, (Bank One Arizona, N.A. LOC), 2.000% 10/01/16**#.......................................... 1,500 3,200 Murray City, Utah Industrial Development Authority Revenue, (Hunter Douglas Real Property Project) Series 1994, AMT, (ABN-AMRO Bank N.V. LOC), 1.800% 09/01/14**........................................... 3,200 7,970 Provo City, Utah Housing Authority, (Multi-Family Branbury Park Project) Series 1987A, (Bank One of Arizona LOC), 1.780% 12/01/10**........................................... 7,970 12,000 Salt Lake City, Utah TRAN, Series 2002, 2.500% 06/30/03............................................. 12,088 10,315 Utah Housing Corporation, Single Family Mortgage Revenue, Series 2002A-1, AMT, (Westdeutsche Landesbank Girozentrale LOC), 1.800% 07/01/33**........................................... 10,315 15,500 Utah Housing Corporation, Single Family Mortgage Revenue, Series 2002B-1, AMT, (Westdeutsche Landesbank Girozentrale SBPA), 1.800% 07/01/33**........................................... 15,500 9,150 Utah Housing Corporation, Single Family Mortgage Revenue, Series 2002C-2, AMT, (Westdeutsche Landesbank Girozentrale SBPA), 1.800% 07/01/33**........................................... 9,150
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- UTAH -- (CONTINUED) $ 5,995 Utah State Housing Financing Agency Revenue, Series 1998PT-209, AMT, (FHA Insured, VA Mortgages, Bayerische Hypotheken und Vereinsbank SBPA), 1.800% 07/01/06**##......................................... $ 5,995 7,160 Utah State, GO, Series 2002, 3.000% 07/01/03............................................. 7,233 10,000 Utah State, Housing Finance Agency, Single Family Mortgage Revenue, Series 2000C-1, AMT, (Bayerische Landesbank SBPA), 1.800% 07/01/31**........................................... 10,000 ---------- 92,834 ---------- VERMONT -- 0.8% 10,785 Vermont Educational and Health Buildings Financing Agency Revenue, (Middlebury College Project) Series 1988A, 2.050% 11/01/27............................................. 10,785 10,000 Vermont Industrial Development Authority Revenue, (Ryegate Wood Energy Company Project) Series 1990, AMT, (ABN AMRO Bank, N.V. LOC), 1.800% 12/01/15**........................................... 10,000 ---------- 20,785 ---------- VIRGINIA -- 1.4% 4,500 Fredericksburg, Virginia Industrial Development Authority Multi-Family Housing Revenue, (Forest Village Apartments Project) Series 2001A-1, AMT, (SunTrust Bank LOC), 1.800% 01/01/33**........................................... 4,500 3,900 Greensville County, Virginia Industrial Development Authority Revenue, (Perdue Farms, Inc. Project) Series 1996, AMT, (SunTrust Bank LOC), 1.800% 10/01/06**#.......................................... 3,900 5,325 Madison County, Virginia Industrial Development Authority Revenue, (Madison Wood Preservers Project) Series 1998, AMT, (Wachovia Bank of North Carolina N.A. LOC), 1.750% 06/01/13**#.......................................... 5,325 13,000 Prince William County, Virginia IDR, (Dale Scott Corporation Project) Series 2001, AMT, (First Union National Bank LOC), 1.750% 12/01/21**........................................... 13,000
SEE NOTES TO FINANCIAL STATEMENTS. 37 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- VIRGINIA -- (CONTINUED) $ 6,500 Suffolk, Virginia Industrial Development Authority, (Wanchese Fish Company Inc. Project) Series 2001, AMT, (Wachovia Bank, N.A. LOC), 1.750% 04/01/26**........................................... $ 6,500 1,075 Winchester, Virginia Industrial Development Authority Revenue, (Midwesco Filter Resource, Inc. Project) Series 1995, (Harris Trust & Savings Bank LOC), 2.000% 08/01/07**........................................... 1,075 ---------- 34,300 ---------- WASHINGTON -- 0.2% 6,285 Washington State Housing Financing Commission Multi-Family Revenue, (Monticello Park Project) Series 2001A, AMT, (US Bank, N.A. LOC), 1.850% 08/01/26**........................................... 6,285 ---------- WEST VIRGINIA -- 1.2% 1,200 Marion County, West Virginia County Commission Solid Waste Disposal Facility Revenue, (Grantown Project) Series 1990C, AMT, (National Westminster LOC), 1.750% 10/01/17**........................................... 1,200 10,000 Pleasants County, West Virginia County Commission IDR, (Simex, Inc. Building Project) Series 1999, AMT, (PNC Bank, N.A. LOC), 1.850% 12/01/19**........................................... 10,000 18,015 West Virginia Public Energy Authority Revenue, (Morgantown Energy Project) Series 1998, (FSA Insured, BNP Paribas SBPA), 1.850% 01/01/03**##......................................... 18,015 ---------- 29,215 ---------- WISCONSIN -- 1.0% 3,390 Menomonee Falls, Wisconsin Industrial Development Authority IDR, (Jema, LLC Project) Series 1994, AMT, (Bank One Milwaukee, N.A. LOC), 2.000% 09/01/14**........................................... 3,390 3,550 Pleasant Prairie, Wisconsin IDR, (Nucon Corporation Project) Series 1995, AMT, (American National Bank & Trust Company LOC), 1.800% 02/01/22**........................................... 3,550 2,500 Racine, Wisconsin Solid Waste Disposal Revenue, (Republic Services Inc. Project) Series 2002, (Bank One N.A. LOC), 1.850% 08/01/37**........................................... 2,500
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- WISCONSIN -- (CONTINUED) $ 4,000 Sheboygan, Wisconsin IDR, (Subco Foods of Wisconsin) Series 2002, (American National Bank and Trust LOC), 1.980% 08/01/12**........................................... $ 4,000 7,500 West Allis, Wisconsin Revenue (State Fair Park Exposition Center Project) Series 2001, (First Star Bank, N.A. LOC), 1.740% 08/01/28**........................................... 7,500 3,945 Wisconsin Housing and Economic Development Authority, Housing Revenue, Series 2000A, AMT, (MBIA Insured, Federal Home Loan Bank LOC), 1.850% 05/01/32**........................................... 3,945 ---------- 24,885 ---------- TOTAL MUNICIPAL BONDS AND NOTES (Cost $2,534,273)........................................... 2,534,273 ---------- TOTAL INVESTMENTS (Cost $2,534,273*)................................ 100.5% 2,534,273 ---------- OTHER ASSETS AND LIABILITIES (NET).................. (0.5)% Cash.......................................................... $ 62 Interest receivable........................................... 7,806 Investment advisory fee payable............................... (240) Administration fee payable.................................... (107) Shareholder servicing and distribution fees payable........... (466) Distributions payable......................................... (2,479) Payable for investment securities purchased................... (16,564) Accrued Trustees' fees and expenses........................... (61) Accrued expenses and other liabilities........................ (345) ---------- TOTAL OTHER ASSETS AND LIABILITIES (NET)...................... (12,394) ---------- NET ASSETS.......................................... 100.0% $2,521,879 ========== NET ASSETS CONSIST OF: Undistributed net investment income........................... $ 100 Accumulated net realized gain on investments sold............. 140 Paid-in capital............................................... 2,521,639 ---------- NET ASSETS.................................................... $2,521,879 ==========
SEE NOTES TO FINANCIAL STATEMENTS. 38 NATIONS MONEY MARKET FUNDS Nations Municipal Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ---------------------------------------------------------------------------------------- NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($841,680,648 / 841,705,693 shares outstanding)............... $1.00 ========== TRUST CLASS SHARES: ($504,324,550 / 504,266,189 shares outstanding)............... $1.00 ========== INSTITUTIONAL SHARES: ($116,185,418 / 116,177,058 shares outstanding)............... $1.00 ========== LIQUIDITY CLASS SHARES: ($57,025,598 / 57,018,394 shares outstanding)................. $1.00 ========== ADVISER CLASS SHARES: ($203,438,261 / 203,476,253 shares outstanding)............... $1.00 ========== INVESTOR CLASS SHARES: ($98,796,985 / 98,831,787 shares outstanding)................. $1.00 ========== MARKET CLASS SHARES: ($178,019,071 / 178,000,010 shares outstanding)............... $1.00 ========== DAILY CLASS SHARES: ($509,253,687 / 509,185,250 shares outstanding)............... $1.00 ========== SERVICE CLASS SHARES: ($13,001,601 / 13,000,010 shares outstanding)................. $1.00 ========== INVESTOR B SHARES: ($65,095 / 65,089 shares outstanding)......................... $1.00 ========== INVESTOR C SHARES: ($88,123 / 88,119 shares outstanding)......................... $1.00 ==========
- --------------- *Aggregate cost for federal tax purposes. **Variable rate demand notes. The interest rate shown reflects the rate in effect at September 30, 2002. These securities are subject to demand features of either one, seven or thirty days. ***Zero coupon security. The rate shown reflects the yield to maturity at September 30, 2002. @@Restricted Security (see Note 5). #Security not registered under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. ##Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. Nations Municipal Reserves Fund had the following industry concentrations greater than 10% at September 30, 2002 (as a percentage of net assets): Industrial Development Revenue/Pollution Control Revenue 16.51% Education Revenue 14.19% Housing Revenue 13.88% Healthcare Revenue 11.83%
SEE NOTES TO FINANCIAL STATEMENTS. 39 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- MUNICIPAL BONDS AND NOTES -- 100.1% ALABAMA -- 2.8% $ 8,940 ASMS Mobile, Alabama Public Educational Building Authority Revenue, (Alabama High School Math and Science Foundation Project) Series 1997, (AmSouth Bank of Alabama N.A. LOC), 1.800% 07/01/22**........................................... $ 8,940 20,360 Birmingham, Alabama Medical Clinic Board Revenue, (Medical Advancement Foundation Project) Series 2000A, (Columbus Bank & Trust LOC), 2.220% 09/01/30**........................................... 20,360 7,600 Birmingham, Alabama Medical Clinic Board Revenue, (University of Alabama Health Services Foundation Project) Series 2001A, (Columbus Bank and Trust LOC), 1.830% 03/01/31**........................................... 7,600 17,340 Birmingham, Alabama Special Care Facilities Financing Authority Revenue, (Baptist Medical Center Project) Series 2000 PA-354, (Merrill Lynch Guarantee, Merrill Lynch SBPA), 1.900% 11/01/02**#.......................................... 17,340 12,370 Birmingham, East Alabama Medical Center East Special Care Facilities Financing Authority Revenue, Series 2001 PT-569, (MBIA Insured, Merrill Lynch SBPA), 1.760% 07/01/12**........................................... 12,370 10,700 Daphne-Villa Mercy, Alabama Special Care Facilities Financing Authority, Revenue, (Mercy Medical Project) Series 2000, (Southtrust Bank N.A. LOC), 1.700% 12/01/30**........................................... 10,700 560 Homewood, Alabama Industrial Development Board Revenue Refunding, (Keebler Company Project) Series 1993, (Bank of New York LOC), 1.850% 11/01/04**........................................... 560 ---------- 77,870 ---------- ALASKA -- 0.7% 9,995 Alaska State Housing Finance Corporation Housing Revenue, Series 1998 PA-332, (MBIA Insured, Merrill Lynch Capital Services SBPA), 1.750% 12/01/19**#.......................................... 9,995 10,250 North Slope Borough, Alaska GO, Series 1992A, (MBIA Insured), 1.530%*** 06/30/03.......................................... 10,134 ---------- 20,129 ----------
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ARIZONA -- 1.3% $14,100 Maricopa County, Arizona Pollution Control Corporation PCR, (Arizona Public Service Company Project) Series 1994C, (Toronto Dominion Bank LOC), 2.000% 05/01/29**........................................... $ 14,100 20,450 Scottsdale, Arizona Industrial Development Authority Revenue, (Notre Dame Prepatory School Project) Series 2001A, (Bank One Arizona LOC), 1.750% 05/01/21**........................................... 20,450 ---------- 34,550 ---------- CALIFORNIA -- 2.7% 19,725 California Higher Education Loan Authority Inc., Student Loan Revenue Refunding, Sr. Lien, Series 1992A-1, (SLMA Guarantee), 1.400% 10/01/02............................................. 19,725 21,000 California State, RAN, Series 2002A, 1.800% 10/25/02............................................. 21,001 8,500 California State, RAN, Series 2002B, 2.500% 10/25/02............................................. 8,505 10,000 Los Angeles, California ,TRAN, 3.000% 06/30/03............................................. 10,106 15,200 Los Angeles, California Unified School District TRAN, Series 2002A, 2.500% 07/01/03............................................. 15,292 ---------- 74,629 ---------- COLORADO -- 4.9% 8,100 Arapahoe County, Colorado Multi-Family Revenue Refunding, (Hunters Run Project) Series 2001, (FHLMC Liquidity Facility), 1.700% 08/01/31**........................................... 8,100 13,075 Colorado Housing and Finance Authority, Single Family Mortgage Revenue, Series 2002, (Federal Home Loan Bank SBPA), 1.700% 11/01/21**........................................... 13,075 10,000 Colorado Springs, Colorado Utilities Revenue Refunding, Series 2001, 4.500% 11/15/02............................................. 10,038 35,000 Colorado State, TRAN, Series 2002A, 3.000% 06/27/03............................................. 35,381 2,350 Colorado, Health Facilities Authority Revenue, (Lenoir Health Facilities Project) Series 2001A, (KBC Bank NV LOC), 1.700% 02/15/31**........................................... 2,350 7,965 Denver City and County, Colorado Multi-Family Housing Revenue Refunding, (Regency Park Project) Series 1989B, (Commerzbank A.G. LOC), 1.850% 12/15/14**........................................... 7,965
SEE NOTES TO FINANCIAL STATEMENTS. 40 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- COLORADO -- (CONTINUED) $ 5,655 Douglas County, Colorado School District Number 1, Series 2001, Putable Receipts-163, (MBIA Insured, Morgan Guaranty SBPA), 2.000% 06/15/09**##......................................... $ 5,655 5,305 El Paso County, Colorado Multi-Family Housing Revenue Refunding, (Briarglen Apartments Project) Series 1995, (FHLMC Guarantee), 1.650% 12/01/24**........................................... 5,305 6,750 El Paso County, Colorado School District No. 11 Colorado Springs, TAN, Series 2002, 2.500% 06/30/03............................................. 6,803 35,315 Moffat County, Colorado PCR, (Tri-State Colorado-Utah Electric Cooperative Project) Series 1984, (AMBAC Insured, Societe Generale SBPA), 1.900% 07/01/10**........................................... 35,315 1,800 Pitkin County, Colorado Industrial Development Authority Revenue Refunding, (Aspen Skiing Project) Series 1994A, (First National Bank of Chicago LOC), 2.000% 04/01/16**##......................................... 1,800 3,230 Thorton, Colorado Water Refunding GO, Series 2002, (FSA Insured), 3.000% 12/01/02............................................. 3,239 ---------- 135,026 ---------- DELAWARE -- 2.2% 24,900 Delaware State Economic Development Authority Revenue, (Hospital Billing and Collection Services, Inc. Project) Series 1985A, (AMBAC Insured, Morgan Stanley SBPA), 1.700% 12/01/15**........................................... 24,900 35,005 Delaware State Economic Development Authority Revenue, (Hospital Billing and Collection Services, Inc. Project) Series 1985C, (AMBAC Insured, Morgan Stanley SBPA), 1.650% 12/01/15**........................................... 35,005 ---------- 59,905 ---------- FLORIDA -- 4.0% 9,475 Dade County, Florida Special Revenue, (Youth Fair and Exposition Project) Series 1995, (SunTrust Bank of Central Florida LOC), 1.700% 08/01/15**........................................... 9,475 23,140 Florida Housing Finance Agency Multi-Family Housing Revenue, (Kings Colony Associates Ltd. Project) Series 1988D, (Credit Suisse First Boston LOC), 1.750% 08/01/06**........................................... 23,140
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- FLORIDA -- (CONTINUED) $17,715 Florida State Board Education Lottery Revenue, Series 2000, Putable Receipts-222, (FGIC Insured, Morgan Guaranty Trust SBPA), 1.780% 07/01/17**#.......................................... $ 17,715 30,000 Gulf Breeze, Florida Healthcare Facilities Revenue, (Heritage Healthcare Project) Series 1999, (Anchor National Life Insurance Company Guaranty Agreement SBPA), 1.830% 01/01/24**##......................................... 30,000 3,645 Manatee County, Florida Housing Finance Authority, Multi-Family Mortgage Revenue, (Hampton Court Project) Series 1989A, (Credit Suisse First Boston LOC), 1.650% 06/01/07**#.......................................... 3,645 10,500 Miami, Florida Health Facilities Authority Health Facilities Revenue, (Miami Jewish Home and Hospital Project) Series 1996, (SunTrust Bank Miami LOC), 1.700% 12/01/16**........................................... 10,500 10,000 Orange County, Florida Industrial Development Authority IDR, (Bishop Moore High School Project) Series 2000, (SunTrust Bank LOC), 1.700% 10/01/25**........................................... 10,000 2,400 St. Lucie County, Florida IDR Refunding, (Florida Convalescent Centers Project) Series 1988, (Toronto Dominion Bank LOC), 1.450% 01/01/11**........................................... 2,400 3,900 Sunshine State, Florida, 1.450% 10/11/02............................................. 3,900 ---------- 110,775 ---------- GEORGIA -- 7.9% 18,000 Albany-Dougherty County, Georgia Hospital Authority, Revenue Anticipation Certificates, (Phoebe Hospital Project) Series 2002, (AMBAC Insured, Regions Bank SBPA), 1.900% 09/01/32**........................................... 18,000 5,200 Bibb County, Georgia Development Authority Revenue, (First Presbyterian Day School Project) Series 1999, (SunTrust Bank of Georgia LOC), 1.700% 05/01/19**##......................................... 5,200 13,100 Clayton County, Georgia Hospital Authority Revenue Anticipation Certificates, (Southern Regional Medical Center Project) Series 1998B, (SunTrust Bank LOC), 1.700% 08/01/19**........................................... 13,100
SEE NOTES TO FINANCIAL STATEMENTS. 41 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- GEORGIA -- (CONTINUED) $ 5,000 Cobb County, Georgia Development Authority Revenue, (North Cobb Christian School Project) Series 1998A, (Branch Banking and Trust LOC), 1.650% 03/01/15**........................................... $ 5,000 3,200 Cobb County, Georgia Residential Care Facilities Elderly Authority, (North Georgia Presbyterian Homes, Inc. Project) Series 1993, (SunTrust Bank LOC), 1.700% 08/01/18**#.......................................... 3,200 14,285 Cobb-Marietta, Georgia Coliseum and Exhibit Hall Authority Revenue, Jr. Lien, Series 1996A, (MBIA Insured, SunTrust Bank SBPA), 1.600% 10/01/26**#.......................................... 14,285 9,630 Columbia County, Georgia Residential Care Facilities for the Elderly Authority Revenue, (Augusta Residential Center on Aging Project) Series 1994, (SunTrust Bank LOC), 1.700% 01/01/21**#.......................................... 9,630 20,500 Columbus, Georgia Hospital Authority Revenue, (St. Francis Hospital Inc., Project) Series 2000A, (Columbus Bank & Trust LOC), 1.830% 01/01/31**........................................... 20,500 2,250 Columbus, Georgia Housing Authority Multi-Family Housing Revenue Refunding, (Quail Ridge Project) Series 1988, (Columbus Bank & Trust LOC), 1.850% 02/01/05**........................................... 2,250 2,195 Columbus, Georgia Industrial and Port Development Commission Revenue Refunding, (Parisian, Inc. Project) Series 1995, (Columbus Bank & Trust LOC), 2.100% 04/01/07**##......................................... 2,195 4,280 DeKalb County, Georgia Development Authority Industrial Educational Revenue, (Catholic School Properties, Inc. Project) Series 1999, (Wachovia Bank, N.A. LOC), 1.650% 04/01/24**#.......................................... 4,280 6,115 DeKalb County, Georgia Development Authority Revenue, (American Cancer Society, Inc. Project) Series 1988, (SunTrust Bank LOC), 1.700% 05/01/13**#.......................................... 6,115 2,260 DeKalb County, Georgia Hospital Authority Revenue Anticipation Certificates, (DeKalb Medical Center, Inc. Project) Series 1994, (SunTrust Bank LOC), 1.700% 09/01/09**#.......................................... 2,260
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- GEORGIA -- (CONTINUED) $10,650 DeKalb County, Georgia Housing Authority Multi-Family Housing Revenue Refunding, (Camden Brook Project) Series 1995, (FNMA Collateral Agreement), 1.700% 06/15/25**........................................... $ 10,650 5,100 DeKalb County, Georgia Industrial Development Authority IDR, (A.G. Rhodes Home Inc. Project) Series 1996, (SunTrust Bank LOC), 1.700% 03/01/21**#.......................................... 5,100 5,000 Floyd County, Georgia Development Authority University and College Improvement Revenue, (Berry College, Inc. Project) Series 1999, (SunTrust Bank LOC), 1.700% 03/01/24**........................................... 5,000 2,900 Fulton County, Georgia Development Authority Revenue, (Spelman College Project) Series 1996, (SunTrust Bank LOC), 1.700% 06/01/16**........................................... 2,900 15,000 Gainesville, Georgia Redevelopment Authority Educational Facilities Revenue, (Riverside Military Project) Series 1999, (Wachovia Bank of North Carolina, N.A. LOC), 1.650% 07/01/24**........................................... 15,000 7,500 Gwinnett County, Georgia Industrial Development Authority IDR, (United Stationers Company Project) Series 1990, (PNC Bank of Ohio, N.A. LOC), 1.750% 12/31/02**#.......................................... 7,500 9,225 Marietta, Georgia Housing Authority Multi-Family Revenue, (Winterset Apartments Project) Series 1996P, (FNMA Collateral Agreement), 1.650% 02/01/26**........................................... 9,225 13,900 Municipal Electric Authority of Georgia, (Project Number One) Series 2000C, (Bayerische Landesbank Girozentrale LOC, Landesbank Hessen-Thueringen Girozentrale LOC, Westdeutsche Landesbank Girozentrale LOC), 1.550% 01/01/20**........................................... 13,900 1,000 Newton County, Georgia Industrial Development Authority IDR, (H.B. Fuller Company Project) Series 1984, (Banc One, N.A. LOC), 1.850% 12/01/04**........................................... 1,000 9,095 Richmond County, Georgia Hospital Authority Revenue Anticipation Certificates, (University Health Services, Inc. Project) Series 1999, (SunTrust Bank LOC), 1.700% 01/01/19**........................................... 9,095
SEE NOTES TO FINANCIAL STATEMENTS. 42 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- GEORGIA -- (CONTINUED) $ 8,600 Smyrna, Georgia Housing Authority Multi-Family Housing Revenue, (Gardens of Post Village Apartment Project) Series 1996, (FNMA Collateral Agreement), 1.700% 06/01/25**........................................... $ 8,600 18,400 Smyrna, Georgia Housing Authority Multi-Family Housing Revenue, (Post Apartment Homes-Post Valley, LP Project) Series 1995, (FNMA Collateral Agreement), 1.700% 06/01/25**#.......................................... 18,400 5,150 Worth County, Georgia Industrial Development Authority Revenue Refunding, (Seabrook Enterprises, Inc. Project) Series 1996A, (Harris Trust and Savings Bank LOC), 1.700% 08/01/23**#.......................................... 5,150 ---------- 217,535 ---------- ILLINOIS -- 14.1% 2,700 Chicago, Illinois O'Hare International Airport Authority Revenue, (American Airlines, Inc. Project) Series 1983B, (Bayerische Hypotheken und Vereinsbank LOC), 2.050% 12/01/17**........................................... 2,700 3,080 Chicago, Illinois O'Hare International Airport Revenue, (General Airport Project) Second Lien, Series 1994C, (Societe Generale LOC), 1.650% 01/01/18**........................................... 3,080 15,100 Du Page County, Illinois Revenue, (Benedictine University Building Project) Series 1999, (LaSalle National Bank, N.A. LOC), 1.690% 07/01/24**........................................... 15,100 1,715 Illinois Development Finance Authority IDR Refunding, (St. Xavier University Project) Series 1992, (American National Bank & Trust Company LOC), 1.700% 10/01/12**........................................... 1,715 6,600 Illinois Development Finance Authority Revenue, (American Academy of Dermatology Project) Series 2001, (American National Bank & Trust LOC), 1.850% 04/01/21**........................................... 6,600 4,465 Illinois Development Finance Authority Revenue, (Little City Foundation Project) Series 1994, (LaSalle National Bank LOC), 1.700% 02/01/19**........................................... 4,465
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ILLINOIS -- (CONTINUED) $37,700 Illinois Development Finance Authority Revenue, (Lyric Opera of Chicago Project) Series 1994, (Northern Trust Company LOC, Bank One of Michigan LOC, Harris Trust & Savings Bank LOC), 1.650% 12/01/28**........................................... $ 37,700 8,900 Illinois Educational Facilities Authority Revenue, (Arts Club of Chicago Project) Series 1996, (Northern Trust Company LOC), 1.650% 01/01/26**........................................... 8,900 6,100 Illinois Educational Facilities Authority Revenue, (Chicago Historical Society Project) Series 1985, (Northern Trust Company LOC), 1.650% 12/01/25**#.......................................... 6,100 12,600 Illinois Educational Facilities Authority Revenue, (John F. Kennedy Healthcare Foundation Project) Series 1995, (LaSalle National Bank LOC), 1.650% 12/01/25**........................................... 12,600 8,235 Illinois Educational Facilities Authority Revenue, (Museum of Science and Industry Project) Series 1992, (First National Bank of Chicago LOC), 1.700% 10/01/26**........................................... 8,235 16,469 Illinois Educational Facilities Authority Revenue, (Northwestern University Project) Series 1988, (Northern Trust Company SBPA), 1.700% 03/01/28**........................................... 16,469 13,210 Illinois Educational Facilities Authority Revenue, (University Pooled Financing Project) Series 1985, (FGIC Insured, First National Bank of Chicago SBPA), 1.650% 12/01/05**........................................... 13,210 11,000 Illinois Health Facilities Authority Revenue, (Evanston Northwestern Healthcare Corporation Project) Series 1985B, 1.850% 08/15/15**........................................... 11,000 4,000 Illinois Health Facilities Authority Revenue, (Gottlieb Health Resources, Inc. Project) Series 1994, (Harris Trust & Savings Bank LOC), 1.650% 11/15/24**........................................... 4,000 40,000 Illinois Health Facilities Authority Revenue, (Resurrection Healthcare Project) Series 1999B, (FSA Insured, LaSalle National Bank, N.A. SBPA), 1.700% 05/15/29**........................................... 40,000 8,000 Illinois Health Facilities Authority Revenue, (Revolving Fund Pooled Project) Series 1985C, (First National Bank of Chicago LOC), 1.700% 08/01/15**........................................... 8,000
SEE NOTES TO FINANCIAL STATEMENTS. 43 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ILLINOIS -- (CONTINUED) $ 9,000 Illinois Health Facilities Authority Revenue, (Sacramento Development Association-Park Plaza Center Project) Series 1996, (LaSalle National Bank LOC), 1.650% 09/15/20**........................................... $ 9,000 37,000 Illinois Health Facilities Revenue, 1.400% 01/23/03@@........................................... 37,000 27,000 Illinois Health Facilities Revenue, 1.380% 01/30/03............................................. 27,000 15,500 Illinois State Development Finance Authority Economic Development Revenue, (Roosevelt University Project) Series 1995, (American National Bank & Trust Company LOC), 1.700% 04/01/25**........................................... 15,500 2,500 Illinois State Revenue Anticipation Certificates, Series 2002, 2.500% 05/15/03............................................. 2,516 13,500 Illinois State, RAN, Series 2002, 3.000% 06/15/03............................................. 13,640 3,265 Illinois, Metropolitan Pier & Exposition Authority, Series 2002, (MBIA Insured, JP Morgan Chase Liquidity Facility), 1.830% 06/15/22**##......................................... 3,265 13,700 Kane County, Illinois Educational Facilities Revenue, (Glenwood School for Boys Project) Series 1993, (Harris Trust & Savings Bank LOC), 1.650% 02/01/28**........................................... 13,700 23,500 Lisle, Illinois Multi-Family Housing Revenue, (Ashley of Lisle Project) Series 1987, (FHLMC Guarantee), 1.700% 12/15/25**#.......................................... 23,500 4,885 Mount Morris, Illinois Revenue, (Brethren Home Project) Series 1997, (LaSalle National Bank LOC), 1.760% 06/01/27**........................................... 4,885 7,200 Mundelein, Illinois IDR Refunding, (1200 Town Line Road Project) Series 1992, (Northern Trust Company LOC), 1.650% 01/01/06**........................................... 7,200 7,000 Oak Forest, Illinois Revenue, (Homewood Pool-South Suburban Mayors Project) Series 1989, (Bank One, N.A. LOC), 1.700% 07/01/24**........................................... 7,000 15,550 St. Clair County, Illinois Industrial Building Revenue Refunding, (Winchester Apartments Project) Series 1994, (FNMA Collateral Agreement), 1.680% 08/20/32**........................................... 15,550
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- ILLINOIS -- (CONTINUED) $ 6,025 Will County, Illinois Community United School District No. 365, Series 2002, (FSA Insured, JP Morgan Chase Liquidity Facility), 1.830% 11/01/15**##......................................... $ 6,025 ---------- 385,655 ---------- INDIANA -- 3.5% 505 Evansville, Indiana IDR Refunding, (Keebler Company Project) Series 1993, (Bank of New York LOC), 1.850% 06/01/04**........................................... 505 6,610 Indiana Health Facilities Financing Authority Hospital Revenue, (Clarian Health Obligations Group Project) Series 2000B, (Chase Manhattan Bank SBPA), 2.050% 03/01/30**........................................... 6,610 5,000 Indiana Health Facilities Financing Authority Revenue, (Ascension Health Credit Group Project) Series 2001A-1, 1.830% 11/15/36**........................................... 5,000 30,000 Indiana Health Facilities Financing Authority, Revenue, Series 2001GP-A-3, Mandatory Put 03/04/03, 1.800% 11/15/36............................................. 30,000 14,900 Indiana State Development Finance Authority Economic Development Educational Facilities Revenue, (Indiana Historical Society Project) Series 1997, (Bank One Michigan, N.A. LOC), 1.700% 08/01/31**#.......................................... 14,900 8,880 Indiana State Development Finance Authority IDR, (Indiana University Foundation Project) Series 1998, (National City Bank LOC), 1.850% 08/01/18**#.......................................... 8,880 13,000 Indiana State Development Finance Authority Revenue, (Indianapolis Museum of Art Project) Series 2002, Bank One N.A. LOC), 1.700% 02/01/37**........................................... 13,000 4,900 Indianapolis, Indiana Economic Development Revenue, (Edgecomb Metals Company Project) Series 1983, (Wells Fargo Bank LOC), 1.650% 12/01/08**........................................... 4,900 4,860 St. Joseph County, Indiana Economic Development Revenue, (Brothers of the Holy Cross Project) Series 1997, (Key Bank, N.A. LOC), 1.800% 09/01/17**#.......................................... 4,860
SEE NOTES TO FINANCIAL STATEMENTS. 44 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- INDIANA -- (CONTINUED) $ 6,600 Terre Haute, Indiana Economic Development Revenue, (First Financial Corporation Project) Series 1985, (First National Bank of Chicago LOC), 1.700% 12/01/15**........................................... $ 6,600 ---------- 95,255 ---------- IOWA -- 0.6% 4,700 Iowa Higher Education Loan Authority Revenue, (Educational Loan Private College Facilities Project) Series 1985, (MBIA Insured, Chase Manhattan SBPA), 1.750% 12/01/15**........................................... 4,700 12,500 Iowa State School Cash Anticipation Program, Series 2002B, (FSA State Aid Withholding), 2.250% 01/30/03............................................. 12,518 ---------- 17,218 ---------- KENTUCKY -- 0.7% 9,100 Jefferson County, Kentucky Multi-Family Housing Revenue Refunding, (Canter Chase Apartments Project) Series 2002, (Freddie Mac Liquidity Facility), 1.590% 06/01/32**........................................... 9,100 4,775 Mayfield, Kentucky Multi-City Lease Revenue, Kentucky League of Cities Funding Trust, Series 1996, (PNC Bank LOC), 1.800% 07/01/26**........................................... 4,775 5,600 Middletown, Kentucky Revenue, (Christian Academy Louisville Project) Series 1997, (Bank One of Kentucky, N.A. LOC), 1.850% 07/01/22**#.......................................... 5,600 ---------- 19,475 ---------- LOUISIANA -- 3.9% 2,100 East Baton Rouge Parish, Louisiana PCR Refunding, (Exxon Project) Series 1993, (Exxon Guarantee), 2.000% 03/01/22**........................................... 2,100 8,300 Lake Charles, Louisiana Harbor and Terminal District Revenue, (Citgo Petroleum Corporation Project) Series 1984, (Westdeutsche Landesbank Girozentrale LOC), 1.700% 08/01/07**........................................... 8,300 25,925 Louisiana Public Facilities Authority PCR, (Ciba-Geigy Corporation Project) Series 1985, (UBS AG LOC), 1.650% 12/01/04**........................................... 25,925 11,660 Louisiana Public Facilities Authority Revenue, (Inter-Community Health Care Project) Series 1999, (Bank of New York LOC), 1.700% 04/01/21**#.......................................... 11,660
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- LOUISIANA -- (CONTINUED) $ 7,700 Louisiana Public Facilities Authority Revenue, (Kingston Village Apartments Project) Series 1988, (FNMA Collateral Agreement), 1.740% 06/15/31**........................................... $ 7,700 3,795 Louisiana Regional Transportation Authority, Certificates of Participation, Series 2002, (MBIA Insured), 3.000% 05/01/03............................................. 3,827 7,630 Louisiana State Port Harbor and Offshore Terminal Authority Deepwater Port Revenue Refunding, (1st Stage Loop Inc. Project) Series 1986, (Suntrust Bank Nashville LOC), 2.000% 09/01/06**........................................... 7,630 15,550 Louisiana State Port Harbor and Offshore Terminal Authority Deepwater Port Revenue Refunding, (Loop Income First Stage Project) Series 1991A, (Bank One Louisiana N.A. LOC), 1.700% 09/01/08**........................................... 15,550 20,000 Louisiana State Port Harbor and Offshore Terminal Authority Deepwater Revenue Refunding, (Loop Project) Series 1997A, (Bank One Louisiana, N.A. LOC), 1.700% 09/01/17**........................................... 20,000 4,705 Upper Pontalba, Louisiana Building Restoration Corporation Revenue Refunding, (Upper Pontalba Building Project) Series 1996, (Bank One Louisiana, N.A. LOC), 1.850% 12/01/16**........................................... 4,705 ---------- 107,397 ---------- MAINE -- 0.4% 10,000 Maine State TAN, GO, 2.250% 06/30/03............................................. 10,055 ---------- MARYLAND -- 1.7% 9,100 Baltimore County, Maryland Economic Development Revenue, (Blue Circle, Inc. Project) Series 1992, (Den Danske Bank LOC), 1.750% 12/01/17**........................................... 9,100 17,000 Baltimore, Maryland GO, Series 2001A, (FGIC Insured, Toronto Dominion SBPA), 1.650% 10/01/22**........................................... 17,000 3,300 Baltimore, Maryland Port Facilities Revenue, (Occidental Petroleum Corporation Project) Series 1981, (BNP Paribas LOC), 1.350% 10/14/11**........................................... 3,300
SEE NOTES TO FINANCIAL STATEMENTS. 45 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- MARYLAND -- (CONTINUED) $18,790 Westminster, Maryland Educational Facilities Revenue, (Western Maryland College Project) Series 2000, (Wachovia Bank, N.A. LOC), 1.650% 04/01/30**........................................... $ 18,790 ---------- 48,190 ---------- MICHIGAN -- 4.1% 7,500 Grand Rapids, Michigan Economic Development Corporation IDR Refunding, (Baker, Knapp and Tubbs, Inc. Project) Series 1992, (Wachovia Bank, N.A. LOC), 1.650% 06/01/12**#.......................................... 7,500 2,635 Jackson County, Michigan Economic Development Corporation IDR Refunding, (Jackson Associates, LLC Project) Series 1994, (Bank One of Dayton, N.A. LOC), 1.850% 10/01/14**#.......................................... 2,635 35,000 Michigan Municipal Board Authority Revenue, Series 2002C-2, (JP Morgan Chase and Company LOC), 2.250% 08/22/03............................................. 35,246 25,000 Michigan State Building Authority Revenue, Multi-Modal Facility Program, Series 2002, (Westdeutsche Landesbank SBPA), 1.400% 10/15/36**........................................... 25,000 7,800 Michigan State Housing Development Authority Housing Revenue, (Shoal Creek Project) Series 1985, (Bank One Michigan LOC), 1.650% 10/01/07**........................................... 7,800 35,000 Michigan State, GAN, Series 2002C, (FSA Insured, Dexia Credit Local de France SBPA), 1.750% 09/15/09**........................................... 35,000 ---------- 113,181 ---------- MINNESOTA -- 0.8% 5,340 Minneapolis, Minnesota Community Development Agency Revenue, (Arena Acquisition Project) Series 1995A, (US Bank, N.A. LOC), 1.750% 10/01/24**........................................... 5,340 16,115 Minnesota State GO, Series 2002, 2.500% 08/01/03............................................. 16,241 ---------- 21,581 ---------- MISSISSIPPI -- 0.3% 9,200 University of Mississippi Educational Building Corporation Revenue, (Campus Improvements Project) Series 2000, (MBIA Insured, AmSouth Bank, N.A. SBPA), 1.750% 10/01/20**........................................... 9,200 ----------
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- MISSOURI -- 5.6% $ 6,000 Berkeley, Missouri Industrial Development Authority IDR, (Flightsafety International, Inc. Project) Series 1984, (Wachovia Bank, N.A. LOC), 1.630% 09/01/04**#.......................................... $ 6,000 23,500 Curators University, Missouri, Series 2002-2003, 3.000% 06/30/03............................................. 23,743 7,995 Kansas City, Missouri Industrial Development Authority Multi-Family Housing Revenue Refunding, (Willow Creek IV Apartments Project) Series 1995, (FNMA Collateral Agreement), 1.650% 09/01/25**........................................... 7,995 18,400 Kansas City, Missouri Industrial Development Authority Multi-Family Housing Revenue, (Timberlane Village Associates Project) Series 1986, (UBS AG LOC), 1.780% 06/01/27**........................................... 18,400 58,415 Missouri State Development Finance Board Lease Revenue, (Missouri Association of Utilities Lease Pool Project) Series 1999, (TransAmerica Life and Annuity Guarantee), 1.780% 12/01/22**........................................... 58,415 8,765 Platte County, Missouri Industrial Development Authority Multi-Family Housing Revenue Refunding, (Wexford Place Project) Series 1996, (Bank One Texas, N.A. LOC), 1.780% 04/01/28**#.......................................... 8,765 25,000 St. Charles County, Missouri Industrial Development Authority, Industrial Revenue Refunding, (Country Club Apartments Project) Series 1994, (Fannie Mae LOC), 1.680% 07/15/32**........................................... 25,000 5,000 St. Louis, Missouri Industrial Development Authority Revenue Refunding, (Wetterau, Inc. Project) Series 1989, (PNC Bank, N.A. LOC), 1.750% 05/01/09**#.......................................... 5,000 ---------- 153,318 ---------- NEVADA -- 0.0%+ 1,000 Clark County, Nevada GO, School District Revenue, Series 2001B, (FSA Insured), 1.900% 06/15/21**........................................... 1,000 ---------- NEW JERSEY -- 2.0% 55,000 New Jersey State, TRAN, Series 2002, 3.000% 06/12/03............................................. 55,568 ----------
SEE NOTES TO FINANCIAL STATEMENTS. 46 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- NEW MEXICO -- 0.1% $ 3,100 Albuquerque, New Mexico Revenue Refunding, (Charter Hospital Inc. Project) Series 1992, (Chase Manhattan Bank LOC), 1.650% 03/01/14**........................................... $ 3,100 ---------- NEW YORK -- 2.5% 2,800 Monroe County, New York Industrial Development Agency, Civic Facilities Revenue, (Hillside Childrens Center Project) Series 1998, (Key Bank, N.A. LOC), 1.800% 08/01/18**#.......................................... 2,800 10,000 New York City, New York Transitional Finance Authority Revenue, (New York City Recovery Notes Project) Series 2001A, 3.250% 10/02/02............................................. 10,000 47,600 New York City, New York Transitional Finance Authority Revenue, Series 2002-4, 2.500% 02/26/03............................................. 47,771 6,500 New York State GO, Series 2000B, (Dexia Credit Local de France LOC), Mandatory Put 08/07/03 @ 100, 1.500% 03/15/30**........................................... 6,500 450 New York State Power Authority Revenue and General Purpose, GO, Series 1985, (First Union National Bank LOC, Bank of Nova Scotia LOC, Toronto Dominion Bank LOC), 2.900% 03/01/20**........................................... 456 ---------- 67,527 ---------- NORTH CAROLINA -- 3.4% 5,000 Charlotte, North Carolina GO, Series 2002, 3.000% 07/01/03............................................. 5,058 14,400 Henderson County, North Carolina Hospital Revenue, (Margaret R Pardee Memorial Hospital Project) Series 2001, (Branch Banking & Trust LOC), 1.650% 10/01/21**........................................... 14,400 8,200 Lenoir County, North Carolina Hospital Revenue, (Lenoir Memorial Hospital Project) Series 1998, (Wachovia Bank of North Carolina, N.A. LOC), 1.650% 10/01/12**........................................... 8,200 7,700 New Hanover County, North Carolina Industrial Facilities and Pollution Control Financing Authority Revenue Refunding, (Corning, Inc. Project) Series 1997, (Wachovia Bank of Georgia, N.A. LOC), 1.650% 05/01/10**........................................... 7,700
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- NORTH CAROLINA -- (CONTINUED) $ 4,580 North Carolina Capital Facilities Financing Agency, Educational Facilities Revenue, (Barton College Project) Series 2001, (Branch Banking & Trust LOC), 1.650% 02/01/13**........................................... $ 4,580 12,200 North Carolina Educational Facilities Financing Agency Revenue, (Ravenscroft School Project) Series 2000, (Wachovia Bank, N.A. LOC), 1.650% 08/01/20**........................................... 12,200 9,810 North Carolina Educational Facilities Financing Agency Revenue, (Roman Catholic Diocese of Charlotte Project) Series 2000, (Wachovia Bank, N.A. LOC), 1.650% 06/01/17**........................................... 9,810 5,500 North Carolina Medical Care Commission Hospital Revenue, (Lexington Memorial Hospital Project) Series 1997, (Wachovia Bank, N.A. LOC), 1.950% 04/01/10**........................................... 5,500 8,100 North Carolina Medical Care Commission Retirement Community Revenue, (Adult Communities Project) Series 1996, (LaSalle National Bank LOC), 1.700% 11/15/09**........................................... 8,100 11,000 North Carolina Medical Care Commission Retirement Facilities Revenue, (Aldersgate Project) Series 2001, (Branch Banking & Trust LOC), 1.750% 01/01/31**........................................... 11,000 7,500 North Carolina State Medical Care Commission Community Health Care Facilities Revenue, (Carolina Village Inc. Project) Series 1998, (Wachovia Bank of North Carolina, N.A. LOC), 1.650% 10/01/18**#.......................................... 7,500 ---------- 94,048 ---------- OHIO -- 1.0% 1,600 Lucas County, Ohio Facilities Improvement Revenue, (Toledo Zoological Society Project) Series 1997, (Key Bank, N.A. LOC), 1.700% 10/01/05**#.......................................... 1,600 8,000 Montgomery County, Ohio Economic Development Revenue, (The Dayton Art Institute Project) Series 1996, (National City Bank LOC), 1.700% 05/01/26**........................................... 8,000
SEE NOTES TO FINANCIAL STATEMENTS. 47 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- OHIO -- (CONTINUED) $16,200 Muskingum County, Ohio Hospital Facilities Revenue Refunding, (Genesis Healthcare System Project) Series 2000, (National City Bank LOC), 1.700% 12/01/20**........................................... $ 16,200 1,200 Ohio State Air Quality Development Authority Revenue, (Cincinatti Gas and Electic Project) Series 1985A, (Morgan Guaranty Trust LOC), 2.100%USD 12/01/15**........................................ 1,200 995 Summit County, Ohio IDR Refunding, (Keebler Company Project) Series 1993, (Bank of New York LOC), 1.850% 03/01/05**........................................... 995 ---------- 27,995 ---------- OKLAHOMA -- 1.5% 3,085 Oklahoma State Industrial Authority Revenue Refunding, (Integris Health Obligated Group Project) Series 1999B, (MBIA Insured, Morgan Guaranty SBPA), 2.050% 08/15/29**........................................... 3,085 3,105 Oklahoma Transportation Authority, Oklahoma Turnpike Systems Revenue, Series 2002B, (AMBAC Insured), 4.000% 01/01/03............................................. 3,122 29,000 Payne County, Oklahoma Economic Development Authority Revenue, (Collegiate Housing Foundation Project) Series 2000A, (First Union National Bank LOC), 1.800% 06/01/30**........................................... 29,000 7,000 Tulsa County, Oklahoma Independent School District No. 001, Series 2000B, (AMBAC Insured), 5.000% 08/01/03............................................. 7,197 ---------- 42,404 ---------- OREGON -- 0.3% 7,750 Portland, Oregon TAN, Series 2002, 2.500% 06/26/03............................................. 7,802 ---------- PENNSYLVANIA -- 3.4% 8,480 Allegheny County, Pennsylvania Hospital Development Authority Revenue, (Dialysis Clinic Inc. Project) Series 2000, (Wachovia Bank, N.A. LOC), 1.650% 12/01/19**........................................... 8,480 2,850 Allegheny County, Pennsylvania Hospital Development Authority Revenue, (South Hills Healthcare Project) Series 2000A, (PNC Bank N.A. LOC), Mandatory Put 06/01/03 @ 100, 1.950% 06/01/30............................................. 2,850
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- PENNSYLVANIA -- (CONTINUED) $ 7,700 Allegheny County, Pennsylvania IDR, (United Jewish Federation Project) Series 1995B, (PNC Bank, N.A. LOC), 1.750% 10/01/25**........................................... $ 7,700 5,700 Harrisburg, Pennsylvania Authority Revenue, (Cumblerland Valley School Project) Series 2002B, (FSA Insured, Dexia Credit Local SBPA), 1.730% 03/01/34**........................................... 5,700 5,000 Montgomery County, Pennsylvania Industrial Development Authority Revenue, (Plymouth Woods Project) Series 1987, (PNC Bank, N.A. LOC), 1.750% 09/01/06**#.......................................... 5,000 5,685 Philadelphia, Pennsylvania Redevelopment Authority, (The Presbyterian Home Project) Series 1998, (PNC Bank, N.A. LOC), 1.750% 07/01/28**#.......................................... 5,685 1,410 Quakertown, Pennsylvania General Authority Revenue, (Pooled Financing Project) Series 1996A, (PNC Bank, N.A. LOC), 1.650% 07/01/26**........................................... 1,410 26,855 Quakertown, Pennsylvania General Authority Revenue, (Pooled Financing Project) Series 1998A, (PNC Bank, N.A. LOC), 1.650% 06/01/28**........................................... 26,855 30,000 Quakertown, Pennsylvania Hospital Authority Revenue, (Group Pooled Financing Project) Series 1985, (PNC Bank LOC), 1.650% 07/01/05**........................................... 30,000 ---------- 93,680 ---------- SOUTH CAROLINA -- 2.0% 8,100 Charleston, South Carolina GO, Series 2002, 2.250% 03/14/03............................................. 8,124 25,000 South Carolina Jobs Economic Development Authority Economic Development Revenue, (St. Francis Bon Secours Hospital Project) Series 2000PT-503, (Merrill Lynch Guarantee SBPA), 1.900% 11/15/30**#.......................................... 25,000 7,850 South Carolina Jobs Economic Development Authority Health Facilities Revenue, (Carolina Village Project) Series 2000, (Branch Banking & Trust LOC), 1.650% 02/01/22**........................................... 7,850
SEE NOTES TO FINANCIAL STATEMENTS. 48 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- SOUTH CAROLINA -- (CONTINUED) $10,600 South Carolina, Housing Finance and Development Authority Revenue Refunding, (Paces Watch Apartment Project) Series 2000, (FNMA Collateral Agreement), 1.650% 08/15/30**........................................... $ 10,600 4,700 University of South Carolina, Athletic Facilities Revenue, BAN, Series 2002, 2.250% 11/20/02............................................. 4,705 ---------- 56,279 ---------- TENNESSEE -- 2.2% 10,000 Blount County, Tennessee Public Building Authority Revenue, (Local Government Public Improvement Project) Series 2002A, (AMBAC Insured, Toronto-Dominion Bank SBPA), 1.730% 06/01/37**........................................... 10,000 9,600 Dickson County, Tennessee Industrial Development Board Revenue, (The Jackson Foundation-Renaissance Learning Center Project) Series 1997, (SunTrust Bank of Nashville LOC), 1.700% 11/01/12**#.......................................... 9,600 5,000 Franklin, Tennessee Health and Educational Facilities Board Revenue, (Battle Ground Academy Project) Series 2002, (SunTrust Bank LOC), 1.700% 01/01/22**........................................... 5,000 6,100 Johnson City, Tennessee Health and Educational Facilities Board Hospital Revenue, (Mountain States Project) Series 2001PT-560, (Merrill Lynch Guarantee SBPA), 1.900% 07/01/26**........................................... 6,100 14,200 Knox County, Tennessee Health and Educational Facilities Board Educational Facilities Revenue, (Webb School-Knoxville Project) Series 1999, (SunTrust Bank Nashville LOC), 1.700% 03/01/19**........................................... 14,200 1,475 Loudon, Tennessee Water and Sewer Revenue Refunding, Series 1996, (Wachovia Bank, N.A. LOC), 1.700% 09/01/06**#.......................................... 1,475 1,300 Metropolitan Government, Nashville and Davidson County, Tennessee Housing and Educational Facilities Board Revenue Refunding, (Multi-Family Timberlake Project) Series 2002, (FNMA Collateral Agreement), 1.700% 08/15/32**........................................... 1,300 7,740 Metropolitan Government, Nashville and Davidson County, Tennessee Housing and Educational Facilities Board Revenue, (Mary Queen of Angels Project) Series 2000, (SunTrust Bank N.A. LOC), 1.700% 07/01/32**........................................... 7,740
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- TENNESSEE -- (CONTINUED) $ 4,055 Metropolitan Government, Nashville and Davidson County, Tennessee Industrial Development Board Revenue Refunding, (Nashville Apartment Properties Project) Series 1995-2, (AmSouth Bank, N.A. LOC), 1.700% 09/01/15**#.......................................... $ 4,055 ---------- 59,470 ---------- TEXAS -- 10.3% 5,000 Austin, Texas, 1.300% 10/04/02............................................. 5,000 1,400 Bell County, Texas Health Facilities Development Corporation Revenue, (Scott and White Memorial Hospital Project) Series 2000B-2, (MBIA Insured, Chase Bank of Texas, N.A. SBPA), 2.050% 08/15/29**........................................... 1,400 9,600 Grand Prairie, Texas Housing Finance Corporation Multi-Family Housing Revenue, (Lincoln Property), Series 1993, (GE Credit Corporation Guarantee), 1.700% 06/01/10**##......................................... 9,600 9,000 Grand Prairie, Texas Housing Finance Corporation Multi-Family Housing Revenue, (Windbridge Grand Prarie Project) Series 1993, (GE Credit Corporation Guarantee), 1.700% 06/01/10**........................................... 9,000 13,100 Guadalupe-Blanco, Texas River Authority PCR Refunding, (Central Power & Light Company Project) Series 1995, (Barclays Bank N.V. LOC), 2.100% 11/01/15**........................................... 13,100 1,600 Gulf Coast, Texas Waste Disposal Authority PCR, (Exxon Project) Series 1995, 1.900% 10/01/24**........................................... 1,600 1,750 Harris County, Texas Health Facilities Development Corporation Hospital Revenue, (Methodist Hospital Project) Series 1997, (Morgan Guaranty Trust SBPA, Methodist Hospital SBPA), 2.000% 12/01/26**........................................... 1,750 7,750 Harris County, Texas Health Facilities Development Corporation Revenue, (Methodist Hospital Project) Series 1994, (Morgan Guaranty Trust SBPA, Methodist Hospital SBPA), 1.500% 12/01/25**........................................... 7,750 1,500 Harris County, Texas, Industrial Development Corporation, PCR, (Exxon Corporation Project) Series 1984A, 2.000% 03/01/24**........................................... 1,500
SEE NOTES TO FINANCIAL STATEMENTS. 49 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- TEXAS -- (CONTINUED) $23,035 Mesquite,Texas Independent School District GO, Series 2000, (Texas Permanent School Fund Guarantee, Morgan Guaranty Trust SBPA), 1.700% 08/15/25**........................................... $ 23,035 18,340 North East Texas Independent School District, GO, Series 2000 PT-1249, (Texas Permanent School Fund Guarantee, Merrill Lynch SBPA), 1.750% 02/01/21**#.......................................... 18,340 10,200 Port Development Corporation of Texas Marine Terminal Revenue, (Pasadena Terminal Company, Inc. Project) Series 1984, (Deutsche Bank A.G. LOC), 1.950% 12/01/04**#.......................................... 10,200 17,900 Regents of the University of Texas, 1.400% 10/15/02............................................. 17,900 2,200 Tarrant County, Texas Housing Finance Corporation Revenue Refunding, (Multi-Family Sierra Springs Apartments Project) Series 1999, (FNMA Collateral Agreement), 1.650% 02/15/27**........................................... 2,200 37,500 Texas State GO, Series 2002, (Lehman Liquidity LLC SBPA), 1.800% 08/29/03**##......................................... 37,500 82,500 Texas State TRAN GO, Series 2002, 2.750% 08/29/03............................................. 83,445 18,700 Texas, Lower Colorado River Authority, Revenue, (MBIA Insured, Citibank SBPA), 1.770% 05/15/26**##......................................... 18,700 10,300 Texas, Public, 1.300% 10/04/02............................................. 10,300 8,135 Williamson County, Texas Putable Receipts, Series 1988, (FSA Insured, Morgan Guaranty Trust SBPA), 1.780% 02/15/21**##......................................... 8,135 ---------- 280,455 ---------- UTAH -- 2.1% 28,750 Emery County, Utah PCR, (PacifiCorp Project) Series 1991, (Bank One, N.A. LOC), 1.700% 07/01/15**........................................... 28,750 7,500 Intermountain Power Agency, Utah Power Supply Revenue, Series 1985E, (Landesbank Hessen Thuringen), 1.350% 07/01/14**........................................... 7,498 13,000 Salt Lake City, Utah TRAN, Series 2002, 2.500% 06/30/03............................................. 13,095 2,500 Salt Lake County, Utah PCR Refunding, (British Petroleum Company-Service Station Holdings, Inc. Project) Series 1994B, (BP Amoco plc Guarantee), 2.000% 08/01/07**........................................... 2,500
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- UTAH -- (CONTINUED) $ 7,000 Utah State, GO, Series 2002, 3.000% 07/01/03............................................. $ 7,071 ---------- 58,914 ---------- VIRGINIA -- 3.5% 22,200 Culpeper, Virginia Industrial Development Authority Residential Care Facilities Revenue, (Virginia Baptist Homes Project) Series 2000, (First Union National Bank LOC), 1.650% 08/01/30**........................................... 22,200 20,000 Fairfax County, Virginia Economic Development Authority Revenue, (Flint Hill School Project) Series 2000, (First Union National Bank LOC), 1.650% 10/01/25**........................................... 20,000 2,000 Spotsylvania County, Virginia Industrial Development Authority IDR, (Carlisle Corporation Project) Series 1993, (SunTrust Bank LOC), 1.700% 06/01/08**#.......................................... 2,000 13,080 Virginia Beach, Virginia Development Authority Multi-Family Housing Revenue, (Briarwood Apartments Project) Series 1999PT-1146, (FNMA Collateral Agreement, Merrill Lynch SBPA), 1.760% 04/01/23**##......................................... 13,080 9,475 Virginia College Building Authority, Virginia Educational Facilities Revenue, Series 1999-Putters 134, (FSA Insured, JP Morgan Chase SBPA), 1.780% 09/01/07**#.......................................... 9,475 8,500 Virginia State College Building Authority, Educational Facilities Revenue, (University of Richmond Project) Series 1996, (Crestar Bank SBPA), 1.650% 11/01/26**........................................... 8,500 22,000 Williamsburg, Virginia Industrial Development Authority IDR, (Colonial Williamsburg Project) Series 2000, (First Union National Bank LOC), 1.650% 10/01/35**........................................... 22,000 ---------- 97,255 ----------
SEE NOTES TO FINANCIAL STATEMENTS. 50 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- WASHINGTON -- 0.8% $ 4,905 Pierce County, Washington Economic Development Corporation Special Revenue, (Weyerhaeuser Real Estate Project) Series 1997, (ABN AMRO Bank NV LOC), 1.700% 01/01/27**........................................... $ 4,905 8,500 Seattle, Washington Water Systems Revenue, Series 2002B, (Bayerische Landesbank LOC), 1.700% 03/01/32**........................................... 8,500 10,000 Washington State, Healthcare Facilities Revenue, (Sisters of Joseph Peace Project) Series 1993, (MBIA Insured, US Bank N.A. SBPA), 1.750% 04/01/18**........................................... 10,000 ---------- 23,405 ---------- WEST VIRGINIA -- 1.1% 10,700 Marshall County, West Virginia PCR, (Mountaineer Carbon Company Project) Series 1985, (BP Amoco plc Guarantee), 2.000% 12/01/20**........................................... 10,700 19,400 West Virginia State Hospital Finance Authority Revenue, (St. Mary's Hospital Project) Series 1987, (Bank One of West Virginia LOC), 1.780% 10/01/12**........................................... 19,400 ---------- 30,100 ---------- WISCONSIN -- 1.7% 6,520 Milwaukee, Wisconsin IDR, (Goodwill Industries Project) Series 1999, (Firstar Bank Milwaukee, N.A. LOC), 1.700% 07/01/19**........................................... 6,520 4,575 Milwaukee, Wisconsin Redevelopment Authority Revenue, (LA CAUSA Inc. Project), Series 2000, (Firstar Bank N.A. LOC), 1.700% 12/01/20**........................................... 4,575 30,900 Wisconsin State Health and Educational Facilities Authority Revenue, (St. Luke's Medical Center Project) Series 1987, (First National Bank of Chicago LOC), 1.650% 12/01/17**#.......................................... 30,900
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- WISCONSIN -- (CONTINUED) $ 6,155 Wisconsin State, Health and Educational Facilities Authority Revenue, (Lakeland College Project) Series 2000, (Firstar Bank, N.A. LOC), 2.050% 11/01/20**........................................... $ 6,155 ---------- 48,150 ---------- TOTAL MUNICIPAL BONDS AND NOTES (Cost $2,758,096)........................................... 2,758,096 ---------- TOTAL INVESTMENTS (Cost $2,758,096*)................................ 100.1% 2,758,096 ---------- OTHER ASSETS AND LIABILITIES (NET).................. (0.1)% Cash.......................................................... $ 27 Interest receivable........................................... 7,609 Investment advisory fee payable............................... (273) Administration fee payable.................................... (115) Shareholder servicing and distribution fees payable........... (301) Distributions payable......................................... (2,716) Payable for investment securities purchased................... (5,755) Accrued Trustees' fees and expenses........................... (122) Accrued expenses and other liabilities........................ (367) ---------- TOTAL OTHER ASSETS AND LIABILITIES (NET)...................... (2,013) ---------- NET ASSETS.......................................... 100.0% $2,756,083 ========== NET ASSETS CONSIST OF: Undistributed net investment income........................... $ 34 Accumulated net realized gain on investments sold............. 57 Paid-in capital............................................... 2,755,992 ---------- NET ASSETS.................................................... $2,756,083 ==========
SEE NOTES TO FINANCIAL STATEMENTS. 51 NATIONS MONEY MARKET FUNDS Nations Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ---------------------------------------------------------------------------------------- NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($139,657,308 / 139,656,614 shares outstanding)............... $1.00 ========== TRUST CLASS SHARES: ($2,297,658,169 / 2,298,186,550 shares outstanding)........... $1.00 ========== INSTITUTIONAL SHARES: ($1,012 / 1,012 shares outstanding)........................... $1.00 ========== LIQUIDITY CLASS SHARES: ($402,429 / 402,430 shares outstanding)....................... $1.00 ========== ADVISER SHARES: ($3,875,861 / 3,875,854 shares outstanding)................... $1.00 ========== INVESTOR CLASS SHARES: ($147,776,550 / 147,635,444 shares outstanding)............... $1.00 ========== DAILY CLASS SHARES: ($79,123,767 / 78,954,411 shares outstanding)................. $1.00 ========== INVESTOR A SHARES: ($87,587,767 / 87,551,663 shares outstanding)................. $1.00 ==========
- --------------- *Aggregate cost for federal tax purposes. **Variable rate demand notes. The interest rate shown reflects the rate in effect at September 30, 2002. These securities are subject to demand features of either one, seven or thirty days. ***Zero coupon security. The rate shown reflects the yield to maturity at September 30, 2002. @@Restricted Security (see Note 5). #Security not registered under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. ##Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. +Amount represents less than 0.1%. Nations Tax-Exempt Reserves Fund had the following industry concentrations greater than 10% at September 30, 2002 (as a percentage of net assets): HealthCare Revenue 22.01% Education Revenue 20.32% Housing Revenue 11.23%
SEE NOTES TO FINANCIAL STATEMENTS. 52 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- MUNICIPAL BONDS AND NOTES -- 101.2% CALIFORNIA -- 98.5% $12,675 ABAG Finance Authority for Non-Profit Corporations, California Certificates of Participation, (Lucile Salter Packard Project) Series 1993, (AMBAC Insured, Bayerische Landesbank SBPA), 1.650% 08/01/23**........................................... $ 12,675 3,600 ABAG Finance Authority for Non-Profit Corporations, California Certificates of Participation, Series 1997C, (BNP Paribas LOC), 1.900% 10/01/27**........................................... 3,600 10,000 ABC California United School District TRAN, Series 2002 2.500% 10/08/03............................................. 10,110 3,320 Alameda - Contra Costa County, California Schools Financing Authority Certificates of Participation, (Capital Improvements Financing Project) Series 1997B, (Scotiabank LOC), 1.600% 07/01/23**................................. 3,320 1,100 Alameda - Contra Costa County, California Schools Financing Authority Certificates of Participation, (Capital Improvements Financing Project) Series 1997D, (Bank of Nova Scotia LOC), 1.600% 07/01/18**........................................... 1,100 2,510 Alameda - Contra Costa County, California Schools Financing Authority Certificates of Participation, (Capital Improvements Financing Project) Series 1997E, (Bank of Nova Scotia LOC), 1.600% 06/01/22**........................................... 2,510 1,765 Alameda - Contra Costa County, California Schools Financing Authority Certificates of Participation, (Capital Improvements Financing Project) Series 2000F, (KBC Bank N.V. LOC), 1.650% 08/01/23**........................................... 1,765 1,900 Alameda - Contra Costa County, California Schools Financing Authority Certificates of Participation, (Capital Improvements Financing Project) Series 2000I, (AMBAC Insured, KBC Bank N.V. SBPA), 1.600% 08/01/29**........................................... 1,900 6,480 Alameda County, California Corridor Transportation Authority Revenue, Series 1999CMC-1, (MBIA Insured, JP Morgan SBPA), 1.600% 10/01/13**##......................................... 6,480
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 6,900 Anaheim, California Unified High School District Certificates of Participation, (School Faculty Bridging Funding Project) Series 1999, (FSA Insured, First Union National Bank SBPA), 1.650% 09/01/13**........................................... $ 6,900 1,500 Anaheim, California Unified High School District Certificates of Participation, (School Faculty Bridging Funding Project) Series 1999, (FSA Insured, First Union National Bank SBPA), 1.650% 09/01/29**........................................... 1,500 15,000 California Community College Financing Authority, TRAN, Series 2002A, (FSA Insured), 3.000% 06/30/03............................................. 15,145 14,275 California Educational Facilities Authority Revenue, Series 2000A, (Societe Generale LOC), 1.630% 10/01/27**##......................................... 14,275 15,100 California GO, (AMBAC Insured, Citibank LOC), 1.630% 04/01/04**##......................................... 15,100 18,000 California GO, (MBIA Insured, Citibank LOC), 1.630% 02/01/06**##......................................... 18,000 13,085 California GO, Series 1999, (MBIA Insured, Merrill Lynch & Company SBPA), 1.670% 12/01/18**##......................................... 13,085 11,900 California Golden Empire Schools Financing Authority Revenue, (Kern High School District) Series 1995B, (Bank of New York LOC, California State Teachers Retirement LOC), 1.500% 12/01/24**........................................... 11,900 13,900 California Health Facilities Financing Authority Revenue, (Scripps Memorial Hospital Project) Series 1991B, (MBIA Insured, Credit Local de France SBPA), 1.630% 10/01/21**........................................... 13,900 10,995 California Health Facilities Financing Authority Revenue, Series 1998CMC-6, (FSA Insured), 1.600% 06/01/12**##......................................... 10,995 2,330 California Housing Finance Agency Multi-Family Housing Revenue Refunding, Series 1993A, (FNMA Collateral Agreement), 1.550% 07/15/13**........................................... 2,330 7,300 California Housing Finance Agency Multi-Family Housing Revenue, Series 2000C, AMT, (GO of Agency), 2.050% 02/01/33**........................................... 7,300 10,685 California Housing Finance Agency Multi-Unit Rental Housing Revenue, (MBIA Insured, Citibank SBPA), 1.630% 08/01/10**##......................................... 10,685
SEE NOTES TO FINANCIAL STATEMENTS. 53 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $11,000 California Housing Finance Agency Revenue, (Home Mortgage Project) Series 2000U, AMT, (MBIA Insured, KBC Bank N.V. Liquidity Facility), 1.650% 02/01/17**........................................... $ 11,000 2,040 California Housing Finance Agency Revenue, Series 1995, (MBIA Insured, Credit Suisse First Boston SBPA), 1.690% 08/01/26**##......................................... 2,040 10,000 California Housing Finance Agency Revenue, Series 2000G, AMT, (FSA Insured, Commerzbank LOC), 1.650% 08/01/31**........................................... 10,000 18,000 California Housing Finance Agency Revenue, Series 2000L, (FSA Insured, Westdeutshce Landesbank Girozentrale SBPA), 1.600% 08/01/15**........................................... 18,000 7,140 California Housing Finance Agency Revenue, Series 2001G, AMT, (GO of Agency, FNMA SBPA), 1.550% 02/01/25**........................................... 7,140 6,000 California Housing Finance Agency Revenue, Series 2001G, AMT, (GO of Agency, FNMA SBPA), 1.550% 08/01/36**........................................... 6,000 7,000 California Infrastructure & Economy, 1.400% 11/19/02............................................. 7,000 15,600 California M-S-R Public Power Agency Revenue, (San Juan Project) Series 1995B, (AMBAC Insured, Bank of Nova Scotia SBPA), 1.600% 07/01/22**........................................... 15,600 10,000 California Pollution Control Financing Authority Solid Waste Disposal Revenue, (Browing Ferris Industries) Series 1997A, (Chase Manhattan Bank LOC), 1.700% 09/01/19**........................................... 10,000 1,600 California Pollution Control Financing Authority Solid Waste Disposal Revenue, (Santa Clara Valley Industries Project) Series 1998A, AMT, (Comerica Bank LOC), 1.700% 03/01/18**##......................................... 1,600 1,900 California Pollution Control Financing Authority Solid Waste Disposal Revenue, (Shell Oil-Martinez Refining Company Project) Series 1996A, AMT, (Shell Oil Insured), 1.900% 10/01/31**........................................... 1,900 25,000 California School Cash Reserve Program Authority, Revenue, Series 2002A, (AMBAC Insured), 3.000% 07/03/03............................................. 25,246
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 8,730 California School Facilities Financing Corporation Certificates of Participation, Series 1998A, (Bayerische Hypotheken und Vereinsbank LOC), 1.600% 07/01/22**........................................... $ 8,730 195 California School Facilities Financing Corporation, Certificates of Participation, Series 1998B, (Bayerische Hypotheken und Vereinsbank LOC), 1.600% 07/01/24**........................................... 195 5,000 California South Placer Wastewater Authority, Wastewater Revenue, Series 2000B, (FGIC Insured, FGIC SBPA), 1.600% 11/01/35**........................................... 5,000 2,150 California State Economic Development Financing Authority, IDR, (Serra Mission Project) Series 1997A, AMT, (U.S. Bank N.A. LOC), 2.000% 08/01/27**........................................... 2,150 10,120 California State Floating Rate Receipts, Series 1997SG-91, (FGIC Insured, Societe Generale LOC), 1.670% 10/01/21**##......................................... 10,120 15,950 California State GO, Municipal Trust Receipts, Series 1997SGA-54, (AMBAC Insured, Societe Generale SBPA), 1.670% 06/01/21**........................................... 15,950 12,500 California State, GO, 1.300% 10/03/02............................................. 12,500 10,500 California State, GO, 1.350% 10/04/02............................................. 10,500 26,000 California State, GO, 1.250% 10/08/02............................................. 26,000 22,900 California State, GO, 1.350% 10/18/02............................................. 22,900 24,700 California State, RAN, Series 2002A, 1.800% 10/25/02............................................. 24,702 6,500 California State, RAN, Series 2002B, 2.500% 10/25/02............................................. 6,504 2,495 California State, Series 1999-132, (FGIC Insured, JP Morgan Chase Insured), 1.670% 04/01/08**##......................................... 2,495 2,100 California Statewide Communities Development Authority Certificates of Participation, (University Retirement Community at Davis Project) Series 1998, (Bank of Scotland LOC), 1.850% 11/15/28**........................................... 2,100 8,700 California Statewide Communities Development Authority Multi-Family Housing Revenue, (Concord Green Apartments Project) Series 1998S, (FHLB LOC), 1.650% 06/01/28**........................................... 8,700
SEE NOTES TO FINANCIAL STATEMENTS. 54 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 9,000 California Statewide Communities Development Authority Multi-Family Housing Revenue, (Oakmont Senior Living Project) Series 2001Y, AMT, (East West Bank LOC, FHLB SBPA), 1.600% 08/01/31**........................................... $ 9,000 4,600 California Statewide Communities Development Authority Multi-Family Housing Revenue, (Pittsburg Plaza Apartments Project) Series 1997K, AMT, (East West Bank LOC, FHLB LOC), 1.650% 09/01/27**........................................... 4,600 7,585 California Statewide Communities Development Authority Revenue, (Fairfax Senoir Citizens Housing Project) Series 2000A, 1.550% 09/15/30**........................................... 7,585 10,000 California Statewide Communities Development Authority Revenue, Series 2001A, (BNP Paribas LOC), 1.630% 03/01/31**........................................... 10,000 4,200 California Statewide Communities Development Authority Solid Waste Facilities Revenue, (Chevron USA Inc. Project) Series 1994, AMT, (Chevron Corporation GTY-AGMT), 1.950% 12/15/24**........................................... 4,200 25,000 California Statewide Communities Development Authority, TRAN, Series 2002, (FSA Insured), 3.000% 06/30/03............................................. 25,238 20,000 California Transit Finance Authority Revenue, Series 1997, (FSA Insured, Credit Suisse First Boston LOC), 1.550% 10/01/27**........................................... 20,000 19,390 California Wateruse Finance Authority Revenue, Series 1998, (FSA Insured), 1.550% 05/01/28**........................................... 19,390 2,500 Carlsbad, California Unified School District Certificates of Participation, (School Facilities Bridge Funding Program) Series 2001, (FSA Insured, First Union National Bank SBPA), 1.650% 09/01/24**........................................... 2,500 10,000 Chino Basin, California Desalter Authority Revenue, Series 2002A, (Bayerische Hypotheken und Vereinsbank, LOC), 1.600% 06/01/35**........................................... 10,000 5,300 Chino Basin, California Regional Financing Authority Revenue, (Inland Empire Utilities Project) Series 2002A, (AMBAC Insured, Westdeutsche Landesbank SBPA), 1.550% 06/01/32**........................................... 5,300
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 6,475 Corona, California Multi-Family Revenue Refunding, (Country Hills Project) Series 1995A, (FHLMC Insured), 1.560% 02/01/25**........................................... $ 6,475 5,000 Duarte, California Redevelopment Agency Revenue, Certificates of Participation, (Johnson Duarte Partners Project) Series 1984B, (General Electric Capital Corporation LOC), 1.550% 12/01/14**........................................... 5,000 7,000 Duarte, California Redevelopment Agency, Certificates of Participation, (Piken Duarte Partners Project) Series 1984A, (General Electric Capital Corporation LOC), 1.550% 12/01/14**##......................................... 7,000 25,700 Elsinore Valley, California Municipal Water District Certificates of Participation, Series 2000A, (FGIC Insured, FGIC SPBA), 1.550% 07/01/29**........................................... 25,700 4,500 Fremont, California Multi-Family Housing Revenue, (Creekside Village Apartments Project) Series 1985D, (KBC Bank N.V. LOC), 1.600% 09/01/07**........................................... 4,500 3,025 Fremont, California Multi-Family Housing Revenue, (Mission Wells Project) Series 1985E, (Credit Lyonnais LOC, Bayerische Landesbank LOC), 1.650% 09/01/14**##......................................... 3,025 15,250 Fresno, California Sewer Revenue Refunding, Sub-Lien, Series 2000A, (FGIC Insured), 1.550% 09/01/25**##......................................... 15,250 34,400 Glendale, California Certificates of Participation, (Police Building Project) Series 2000, (Morgan Guaranty Trust SBPA), 1.600% 06/01/30**........................................... 34,400 50 Hayward, California Housing Authority Multi-Family Revenue Refunding, (Barrington Hills Project) Series 1995A, (FNMA Collateral Agreement), 1.500% 06/15/25**........................................... 50 4,500 Hayward, California Multi-Family Housing Revenue, (Timbers Apartments Project) Series 1998A, AMT, (FNMA Liquidity Facility), 1.630% 03/01/33**........................................... 4,500 4,350 Indio, California Multi-Family Housing Revenue Refunding, Series 1996A, (FNMA Collateral Agreement), 1.560% 08/01/26**........................................... 4,350
SEE NOTES TO FINANCIAL STATEMENTS. 55 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 4,200 Indio, California Multi-Family Housing Revenue, (Western Federal Savings Project) Series 1985, (Wells Fargo and Company LOC), 1.700% 06/01/05**........................................... $ 4,200 17,700 Irvine Ranch, California Water District Certificates of Participation, (Capital Improvement Project) Series 1986, (Toronto Dominion Bank LOC), 1.800% 08/01/16**........................................... 17,700 3,600 Irvine Ranch, California Water District Revenue, Series 1991, (Toronto Dominion Bank LOC), 1.850% 08/01/16**........................................... 3,600 12,917 Irvine, California Revenue Improvement Bond Act of 1915, (Assessment District No. 87-8 Project) Series 1999, (KBC Bank N.V. LOC), 1.850% 09/02/24**........................................... 12,917 1,415 Irvine, California Special Assessment Improvement Bond Act 1915, (Assessment District No. 89 Project) Series 1990-10, (Bayerische Hypotheken und Vereinsbank LOC), 1.850% 09/02/15**........................................... 1,415 15,000 Kern County, California TRAN, Series 2002, 2.500% 07/01/03............................................. 15,093 15,200 Livermore, California Certificates of Participation, Series 2000, (AMBAC Insured, Dexia Public Finance SBPA), 1.550% 10/01/30**........................................... 15,200 13,000 Long Beach, California GO, (FGIC Insured, Citibank SBPA), 1.730% 05/15/15**##......................................... 13,000 9,995 Long Beach, California Municipal Securities Trust Receipts Revenue, Series 1998CMC-1, (FGIC Insured, JP Morgan SBPA), 1.750% 05/15/07**##......................................... 9,995 19,200 Long Beach, California TRAN, Series 2002, 2.500% 10/02/03............................................. 19,414 63,785 Los Angeles County, California Housing Authority Multi-Family Housing Revenue, 1.860% 10/01/31**##......................................... 63,785 31,200 Los Angeles County, California Metropolitan Transportation Authority Sales Tax Revenue Refunding, Series 1993A, (MBIA Insured, Credit Local de France SpA), 1.550% 07/01/20**........................................... 31,200 11,725 Los Angeles County, California Metropolitan Transportation Authority Sales Tax Revenue, Series 2002, (MBIA Insured, Merrill Lynch Capital Services SBPA), 1.650% 01/01/07**##......................................... 11,725
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $25,320 Los Angeles County, California Metropolitian Authority Sales Tax Revenue, Series 1996, (MBIA Insured, Societe Generale Liquidity Facility), 1.650% 07/01/18**##......................................... $ 25,320 7,900 Los Angeles County, California Pension Obligation Revenue Refunding, Series 1996A, 1.550% 06/30/07**........................................... 7,900 9,500 Los Angeles County, California Transportation Commission Sales Tax Revenue Refunding, Series 1992A, (FGIC Insured, Bayerische Landesbank SBPA), 1.550% 07/01/12**........................................... 9,500 10,000 Los Angeles County, California, GO, 1.300% 11/26/02............................................. 10,000 20,000 Los Angeles, California ,TRAN, 3.000% 06/30/03............................................. 20,209 2,000 Los Angeles, California Community Redevelopment Agency Multi-Family Housing Revenue, (Academy Village Apartments Project) Series 1989A, AMT, (UBS AG LOC), 1.650% 10/01/19**........................................... 2,000 4,000 Los Angeles, California Harbor Department Revenue, Series 2000-F7, (MBIA Insured), 1.630% 11/01/26............................................. 4,000 4,890 Los Angeles, California Housing Authority, Multi-Family Housing Revenue Refunding, (Meadowridge Apartments Project) Series 1994, (FNMA Collateral Agreement), 1.500% 09/01/18**........................................... 4,890 5,545 Los Angeles, California Industrial Development Authority, IDR, (Delta Tau Data Systems, Inc. Project) Series 1998, AMT, (City National Bank LOC, California State Teachers Retirement LOC), 1.600% 08/01/23**........................................... 5,545 30,115 Los Angeles, California Multi-Family Housing Revenue, (Fountain Park Phase II Project) Series 2000B, (FNMA Collateral Agreement), 1.600% 03/15/34**........................................... 30,115 33,200 Los Angeles, California Multi-Family Housing Revenue, (Fountain Park Project) Series 1999P, AMT, (FNMA Collateral Agreement), 1.600% 04/15/33**........................................... 33,200 4,300 Los Angeles, California Multi-Family Revenue Refunding, (Housing Watts/Athens Apartment Project) Series 2000A, AMT, (FHLB LOC, California Federal Bank LOC), 1.600% 08/15/30**........................................... 4,300
SEE NOTES TO FINANCIAL STATEMENTS. 56 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $12,500 Los Angeles, California Unified School District TRAN, Series 2002C, 3.250% 07/01/03............................................. $ 12,643 7,000 Los Angeles, California Wastewater Systems Revenue Refunding, Series 2001A, (FGIC Insured, FGIC SBPA), 1.880% 12/01/31............................................. 7,000 5,500 Los Angeles, California Wastewater Systems Revenue Refunding, Series 2001B, (FGIC Insured, FGIC SBPA), 1.880% 12/01/31............................................. 5,500 22,500 Los Angeles, California Wastewater Systems Revenue, 1.500% 12/12/02............................................. 22,500 10,000 Los Angeles, California Wastewater Systems Revenue, Series 1996SGA-26, (MBIA Insured, Societe Generale SBPA), 1.670% 06/01/24**##......................................... 10,000 2,000 Los Angeles, California Wastewater Systems Revenue, Series 2001C, (FGIC Insured, FGIC SBPA), 1.880% 12/01/31............................................. 2,000 9,000 Los Angeles, California Water & Power Revenue, (MBIA Insured, JP Morgan Chase Liquidity Facility), 1.600% 01/01/09**##......................................... 9,000 31,700 Los Angeles, California Water & Power Revenue, Series 2001B-2, (Westdeutche Landesbank Girozentrale SBPA, State Street Bank SBPA), 1.500% 07/01/34**........................................... 31,700 26,000 Los Angeles, California Water & Power Revenue, Series 2001B-5, (Landesbank Hessen-Thueringen Girozentrale SBPA, Toronto-Dominion Bank SBPA), 1.650% 07/01/34**........................................... 26,000 22,700 Los Angeles, California Water & Power Revenue, Series 2001B-7, (Bayerische Landesbank Girozentrale SBPA, Dexia Credit Local SBPA), 1.650% 07/01/34**........................................... 22,700 4,300 Los Angeles, California Water & Power Waterworks Revenue, Series 2001B-2, (Dexia Public Finance Bank SPA), 1.800% 07/01/35**........................................... 4,300 2,600 Metropolitan Water District of Southern California Waterworks Revenue, Series 2000B-1, (Westdeutsche Landesbank SBPA) 1.800% 07/01/35**........................................... 2,600 32,300 Metropolitan Water District Southern California Refunding, Series 2001B2, (Dexia Credit Local SBPA), 1.600% 07/01/20**........................................... 32,300
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $38,000 Metropolitan Water District Southern California Waterworks Revenue, Series 1999C, (Morgan Guaranty Trust SBPA), 1.500% 07/01/27**........................................... $ 38,000 21,600 Metropolitan Water District Southern California Waterworks Revenue Refunding, Series 2002B, (Lloyds TSB Bank plc-SBPA), 1.600% 07/01/20**........................................... 21,600 1,500 Monterey County, California Financing Authority Revenue, (Reclamation and Distribution Project) Series 1995, (Dexia Credit Local de France LOC), 1.550% 09/01/36**........................................... 1,500 4,290 Morgan Hill, California United School District Receipts GO, Series 2000S, (FGIC Insured, Societe Generale), 1.650% 08/01/25**........................................... 4,290 25,000 Northern California Transmission Agency Revenue Refunding, (California Oregon Transmission Project) Series 2002A, (FSA Insured, Dexia Credit Local Bank SBPA), 1.500% 05/01/24**........................................... 25,000 17,810 Oakland, California, Certificates of Participation, (Capital Equipment Project) Series 1985, (Landesbank Hessen-Thuringen Girozentrale LOC), 1.600% 12/01/15**........................................... 17,810 17,745 Oakland-Alameda County, California Coliseum Authority Lease Revenue Refunding, (Coliseum Project) Series 2000C-1, 1.450% 02/01/25**........................................... 17,745 33,700 Oakland-Alameda County, California Coliseum Authority Lease Revenue, (Coliseum Project) Series 2000C-2, (Canadian Imperial Bank LOC, California State Teachers Retirement LOC), 1.600% 02/01/25**........................................... 33,700 36,940 Oceanside, California Multi-Family Housing Revenue Refunding, (Lakeridge Apartments Project) Series 1994, (FHLMC Collateral Agreement), 1.500% 08/01/17**........................................... 36,940 25,100 Orange County California Special Financing Authority Teeter Plan Revenue, Series 1995E, (AMBAC Insured, First Union National Bank SBPA), 1.550% 11/01/14**........................................... 25,100 20,000 Orange County, California Apartment Development Revenue Refunding, (Bluffs Apartments Project) Series 1999C, (FHLMC Insured), 1.550% 12/01/29**........................................... 20,000
SEE NOTES TO FINANCIAL STATEMENTS. 57 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $31,000 Orange County, California Apartment Development Revenue, (Bear Brand Apartments Project) Series 1985Z, (KBC Bank N.V. LOC), 1.600% 11/01/07**........................................... $ 31,000 15,400 Orange County, California Apartment Development Revenue, (Park Place Apartments Revenue) Series 1989A, (FHLMC LOC), 1.650% 04/01/24**........................................... 15,400 1,300 Orange County, California Industrial Development Authority, IDR, (Control Air Conditioning Project) Series 1997A, AMT, (California State Teachers Retirement Fund LOC), 1.600% 05/01/22**........................................... 1,300 9,600 Orange County, California Sanitation Districts Certificates of Participation Refunding, (District Nos. 1-3, 5-7 And 11 Projects) Series 1992, (AMBAC Insured, Lloyds TSB Bank plc SBPA), 1.550% 08/01/13**........................................... 9,600 4,590 Orange County, California Sanitation Districts Certificates of Participation, Series 2000A, (Dexia Public Finance Bank SBPA), 1.850% 08/01/29**........................................... 4,590 2,965 Orange County, California Sanitation Districts Certificates of Participation, Series 2000B, (Dexia Public Finance Bank SBPA), 1.850% 08/01/30**........................................... 2,965 5,991 Orange County, California Special Assessment Improvement Bond, (Assessment District No. 88 Project) Series 1988-1, (Societe Generale LOC, KBC Bank N.V. LOC), 1.900% 09/02/18**........................................... 5,991 9,350 Orange County, California Special Financing Authority Revenue, Series 1995B, (AMBAC Insured, First Union National Bank SBPA), 1.550% 11/01/14**##......................................... 9,350 20,250 Orange County, California Special Financing Authority Revenue, Series 1995C, (AMBAC Insured, First Union National Bank SBPA), 1.550% 11/01/14**........................................... 20,250 10,830 Orange County, California Special Financing Authority Revenue, Series 1995D, (AMBAC Insured, First Union National Bank SBPA), 1.550% 11/01/14**........................................... 10,830
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 5,350 Paramount, California Unified School District Certificates of Participation, (School Facilities Bridge Funding Program Project), Series 2001, (FSA Insured, First Union National Bank LOC), 1.650% 09/01/30**........................................... $ 5,350 1,105 Paramount, California Unified School District Certificates of Participation, (School Facilities Bridge Funding Project) Series 1997, (FSA Insured, National Westminster Bank SBPA), 1.650% 09/01/08**........................................... 1,105 1,800 Paramount, California Unified School District Certificates of Participation, (School Facilities Bridge Funding Project) Series 1997, (FSA Insured, National Westminster Bank SBPA), 1.650% 09/01/15**........................................... 1,800 1,820 Paramount, California Unified School District Certificates of Participation, (School Facilities Bridge Funding Project) Series 1997, (FSA Insured, National Westminster Bank SBPA), 1.650% 09/01/27**........................................... 1,820 12,000 Penninsula Corridor JT Powers Board California, GAN, Series 2002C, (GIC-AIG Insured), 1.640% 09/17/03............................................. 12,024 10,000 Pleasanton, California Multi-Family Revenue Housing, (Bernal Apartment Project) Series 2001A, AMT, (FNMA Liquidity Facility), 1.600% 09/15/34**........................................... 10,000 52,680 Rancho, California Water District Financing Authority Revenue, Series 2001B, (FGIC Insured), 1.500% 08/01/31**........................................... 52,680 2,300 Riverside County, California Community Facilities District Special Tax Revenue Refunding, Series 1997, (KBC Bank N.V. LOC), 1.600% 09/01/14**........................................... 2,300 5,000 Riverside County, California Housing Authority Multi-Family Housing Revenue, Series 1998A, AMT, (FHLMC Insured), 1.600% 01/15/29**........................................... 5,000 15,000 Riverside County, California Transportation, 1.450% 10/17/02............................................. 15,000 1,600 Riverside, California Electric Revenue, Series 1998, (AMBAC Insured, Chase Manhattan Bank Liquidity Facility), 1.600% 10/01/11**##......................................... 1,600
SEE NOTES TO FINANCIAL STATEMENTS. 58 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 3,750 Sacramento County, California Housing Authority Multi-Family Housing Revenue Refunding, (Sun Valley Apartments Project) Series 2001F, AMT, (Fannie Mae Liquidity Facility), 1.630% 02/15/31**........................................... $ 3,750 4,500 Sacramento County, California Housing Authority Multi-Family Housing Revenue, (California Place Apartments Project) Series 2001B, (FNMA Collateral Agreement), 1.630% 02/15/31**........................................... 4,500 5,100 Sacramento County, California Multi-Family Housing Revenue, Series 1985B, (Bank One Arizona, N.A. LOC), 1.560% 04/15/07**##......................................... 5,100 31,050 Sacramento County, California Sanitation District Financing Authority Revenue, Series 2000C, (Credit Agricole LOC), 1.550% 12/01/30**........................................... 31,050 8,225 Sacramento, California, Housing Authority Multi-Family Housing Revenue, (Countrywood Village Apartments Project) Series 2000F, (FNMA Liquidity Facility), 1.600% 11/15/30**........................................... 8,225 29,900 Sacramento, California Unified School District Certificate of Participation, (FSA Insured, Dexia Credit Local SBPA), 1.600% 07/01/31**........................................... 29,900 2,700 San Bernardino County, California Certificates of Participation, (County Center Refinancing Project) Series 1996, (Commerzbank AG LOC), 1.600% 07/01/15**........................................... 2,700 3,130 San Bernardino County, California Housing Authority Multi-Family Housing Revenue Refunding, (Arrowview Park Apartments Project) Series 1992A, (Redlands Federal Bank LOC, FHLB LOC), 1.560% 09/01/22**........................................... 3,130 3,700 San Bernardino, California City United School District Certificates of Participation, (School FCA Bridge Funding Project) Series 2001, (FSA Insured, First Union National Bank SBPA), 1.650% 09/01/09**........................................... 3,700 2,000 San Bernardino, California Housing Authority Multi-Family Housing Revenue Refunding, (Victoria Terrance Project) Series 1992A, (Redlands Federal Bank LOC, FHLB LOC), 1.650% 06/01/15**........................................... 2,000 15,000 San Diego Water Authority, 1.250% 11/07/02............................................. 15,000
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $23,730 San Diego, California Area Housing and Financing Agency Lease Revenue, Series 2001, (Societe Generale SBPA), 1.650% 06/01/06**........................................... $ 23,730 9,675 San Diego, California GO, TAN, Series 2002A, 3.000% 08/01/03............................................. 9,793 5,000 San Diego, California Housing Authority, Multi-Family Housing Revenue, (Stratton Apartments Project) Series 2000A, (FHLMC Collateral Agreement), 1.600% 01/15/33**##......................................... 5,000 34,800 San Francisco Bay Area, California Toll Bridge Revenue, (San Francisco Bay Area Project) Series 2001A, (AMBAC Insured, Bayerische Landesbank SBPA), 1.550% 04/01/36**........................................... 34,800 14,300 San Francisco City and County, California Airport Commission International Airport Revenue, Municipal Trust Receipts, Series 1997SGA-50, AMT, (MBIA Insured, Societe Generale SBPA), 1.670% 05/01/16**##......................................... 14,300 10,690 San Francisco City and County, California Airport Commission International Airport Revenue, Series 1996, (FGIC Insured, Societe Generale SBPA), 1.670% 05/01/21**##......................................... 10,690 78,200 San Francisco City and County, California Redevelopment Agency Multi-Family Housing Revenue, (3rd and Mission Street Project) Series 1999C, (Bayerische Hypotheken und Vereinsbank LOC), 1.600% 07/01/34**........................................... 78,200 3,900 San Francisco City and County, California Redevelopment Agency Multi-Family Housing Revenue, (Bayside Village Project) Series 1985B, (Bank One Arizona, N.A. LOC), 1.420% 12/01/05**........................................... 3,900 8,025 San Francisco City and County, California Redevelopment Agency Multi-Family Housing Revenue, (Maria Manor Apartments Project) Series 2000F, (Citibank, N.A. LOC), 1.700% 12/01/33**........................................... 8,025 16,640 San Francisco City and County, California Redevelopment Agency Multi-Family Housing Revenue, (Notre Dame Apartments Project) Series 2000G, (Citibank, N.A. LOC), 1.700% 12/01/33**........................................... 16,640
SEE NOTES TO FINANCIAL STATEMENTS. 59 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 8,900 San Francisco City and County, California Redevelopment Agency Multi-Family Housing Revenue, (South Harbor Project) Series 1986, (Credit Local De France LOC), 1.700% 12/01/16**........................................... $ 8,900 1,850 San Francisco, California City and County Airport Commission, International Airport Revenue, Series 1998, AMT, (AMBAC Insured), 6.000% 05/01/03............................................. 1,895 6,600 San Francisco, California City and County Multi-Family Housing Revenue, (8th and Howard Family Apartments) Series 2000B, AMT, (Citibank, N.A. LOC), 1.600% 12/01/34**........................................... 6,600 3,415 San Jacinto, California Unified School District Certificate of Participation, (School Facility Bridge Funding Project) Series 1997, (FSA Insured, Dexia Credit Local SBPA), 1.650% 09/01/22**........................................... 3,415 10,904 San Jose, California Multi-Family Housing Revenue, (Sunset Square Apartments Project) Series 2002E, 1.550% 06/01/34**........................................... 10,904 15,000 San Luis Obispo County, California Office of Education TRAN, Series 2002, 2.750% 07/01/03............................................. 15,119 5,800 Santa Ana, California Health Facilities Revenue, (Town and Country Project) Series 1990, (Banque Nationale de Paris LOC), 1.900% 10/01/20**........................................... 5,800 16,955 Santa Clara County, California Transportation District Revenue, Series 1985A, (AMBAC Insured, Credit Local de France LOC), 1.550% 06/01/15**........................................... 16,955 9,500 Santa Clara County, California, East Side Unified High School District GO, TRAN, 3.000% 07/01/03............................................. 9,596 8,700 Santa Clara, California Unified School District, GO, TRAN, 3.000% 07/01/03............................................. 8,788 1,000 Saratoga, California Unified School District Certificates of Participation, (School Facility Bridge Funding) Series 2001, (FSA Insured, First Union National Bank SBPA), 1.650% 09/01/26**........................................... 1,000 14,500 Simi Valley, California Community Development Agency Multi-Family Housing Revenue, Series 1985A, (FHLMC Collateral Agreement), 1.500% 05/01/10**........................................... 14,500
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $20,000 South Coast, California Local Education Agencies, TRAN, Series 2002A, 3.000% 06/30/03............................................. $ 20,203 20,000 Southeast California Resource Recovery Facilities Authority Lease Revenue, (Morgan Guaranty Trust LOC, State Street Bank & Trust Company LOC), 1.500% 12/01/18**........................................... 20,000 5,000 Southeast California Resource Recovery Facilities Authority, Lease Revenue Refunding, Series 1995B, AMT, (State Street Bank & Trust Loc, Morgan Guaranty Trust LOC), 1.700% 12/01/18**........................................... 5,000 14,100 Southern California Metropolitan Water District Waterworks Revenue, Series 2000B-3, (Westdeutsche Landesbank SBPA), 1.800% 07/01/35**........................................... 14,100 1,200 Southern California Metropolitan Water District Waterworks Revenue, Series 2000B-4, (Westdeutsche Landesbank SBPA), 1.550% 07/01/35**........................................... 1,200 3,950 Southern California Public Power Authority Transmission Revenue Refunding, (Southern Transmission Project) Series 2000A, (FSA Insured, Westdeutsche Landesbanken SBPA), 1.550% 07/01/23**........................................... 3,950 20 Southern California Public Power Authority Transmission Revenue, (Southern Transmission Project) Series 1991, (AMBAC Insured, Lloyds TSB Bank plc SBPA), 1.550% 07/01/19**........................................... 20 4,030 Southern Kern, California Unified School District Certificates of Participation, (Building Program) Series 1998A, (FSA Insured, First Union National Bank SBPA), 1.650% 09/01/26**........................................... 4,030 5,000 Sunnyvale, California School District, GO, TRAN, 3.000% 07/01/03............................................. 5,053 5,480 Sweetwater, California Unified High School District Certificates of Participation, Series 2001, (FSA Insured, First Union National Bank SBPA), 1.650% 06/01/13**........................................... 5,480 9,000 Turlock, California IRR District Certificates of Participation Revenue Refunding, Series 2001, (Societe Generale LOC), 1.900% 01/01/31**........................................... 9,000
SEE NOTES TO FINANCIAL STATEMENTS. 60 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ---------------------------------------------------------------------------------------- CALIFORNIA -- (CONTINUED) $ 2,000 Tustin, California Improvement Bond Act of 1915, (Reassessment District No. 95-2 Project) Series 1996A, (KBC Bank N.V. LOC), 1.850% 09/02/13**........................................... $ 2,000 2,700 Vallecitos, California Water District Water Revenue Certificates of Participation, (Oaks Reservoir Project) Series 1998, (Credit Local de France LOC), 1.550% 07/01/30**........................................... 2,700 15,000 Ventura County, California TRAN, Series 2002, 3.000% 07/01/03............................................. 15,148 4,700 West Basin, California Municipal Water District Revenue Certificates of Participation, (Phase II Recycled Water Project) Series 1997B, (Bayerische Hypotheken und Vereinsbank LOC), 1.600% 08/01/27**........................................... 4,700 ---------- 2,243,005 ---------- PUERTO RICO -- 2.7% 17,005 Puerto Rico Commonwealth Highway and Transportation Authority Revenue, (AMBAC Insured, Merrill Lynch Liquidity Facility), 1.700% 01/01/19**@@......................................... 17,005 21,330 Puerto Rico Commonwealth Infrastructure Financing Authority, Series 2000-2, (Toronto-Dominion Bank Liquidity Facility), 1.600% 10/01/32**##......................................... 21,330 5,000 Puerto Rico Commonwealth Infrastructure Financing Authority, Series 2001, (Commerzbank LOC), 1.600% 07/01/27**##......................................... 5,000 9,725 Puerto Rico Infrastructure Financing Authority, 1.630% 10/01/34**##......................................... 9,725 9,000 Puerto Rico Infrastructure Financing Authority, 1.630% 10/01/34**##......................................... 9,000 ---------- 62,060 ---------- TOTAL MUNICIPAL BONDS AND NOTES (Cost $2,305,065)........................................... 2,305,065 ----------
VALUE (000) - ---------------------------------------------------------------------------------------- - ---------------------------------------------------------------------------------------- TOTAL INVESTMENTS (Cost $2,305,065*)................................ 101.2% $2,305,065 ---------- OTHER ASSETS AND LIABILITIES (NET).................. (1.2)% Cash.......................................................... $ 35 Interest receivable........................................... 5,551 Investment advisory fee payable............................... (226) Administration fee payable.................................... (107) Shareholder servicing and distribution fees payable........... (613) Distributions payable......................................... (1,651) Payable for investment securities purchased................... (29,524) Accrued Trustees' fees and expenses........................... (51) Accrued expenses and other liabilities........................ (243) ---------- TOTAL OTHER ASSETS AND LIABILITIES (NET)...................... (26,829) ---------- NET ASSETS.......................................... 100.0% $2,278,236 ========== NET ASSETS CONSIST OF: Undistributed net investment income........................... $ 58 Accumulated net realized loss on investments sold............. (8) Paid-in capital............................................... 2,278,186 ---------- NET ASSETS.................................................... $2,278,236 ==========
SEE NOTES TO FINANCIAL STATEMENTS. 61 NATIONS MONEY MARKET FUNDS Nations California Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ---------------------------------------------------------------------------------------- NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($267,918,033 / 267,919,521 shares outstanding)............... $1.00 ========== TRUST CLASS SHARES: ($408,572,401 / 408,584,676 shares outstanding)............... $1.00 ========== INSTITUTIONAL SHARES: ($37,850,837 / 37,850,811 shares outstanding)................. $1.00 ========== LIQUIDITY CLASS SHARES: ($3,287,059 / 3,287,093 shares outstanding)................... $1.00 ========== ADVISER CLASS SHARES: ($398,466,321 / 398,435,477 shares outstanding)............... $1.00 ========== INVESTOR CLASS SHARES: ($426,398,933 / 426,418,085 shares outstanding)............... $1.00 ========== DAILY CLASS SHARES: ($735,735,745 / 735,746,725 shares outstanding)............... $1.00 ========== INVESTOR B SHARES: ($6,567 / 6,567 shares outstanding)........................... $1.00 ==========
- --------------- *Aggregate cost for federal tax purposes. **Variable rate demand notes. The interest rate shown reflects the rate in effect at September 30, 2002. These securities are subject to demand features of either one, seven or thirty days. @@Restricted Security (see Note 5). ##Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. Nations California Tax-Exempt Reserves Fund had the following industry concentrations greater than 10% at September 30, 2002 (as a percentage of net assets): Housing Revenue 25.39% Education Revenue 11.15%
SEE NOTES TO FINANCIAL STATEMENTS. 62 NATIONS MONEY MARKET FUNDS Nations New York Tax-Exempt Reserves STATEMENT OF NET ASSETS SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------- MUNICIPAL BONDS AND NOTES -- 100.7% NEW YORK -- 100.7% $ 850 Broome County, New York Industrial Development Agency, IDR Refunding, (Bing Realty Project) Series 1988, (First Union National Bank LOC), 1.650% 12/15/03**........................................... $ 850 2,555 Erie County, New York Industrial Development Agency Civic Facilities Revenue, (DePaul Community Facilities, Inc. Project) Series 1996, (Key Bank of New York, N.A. LOC), 1.800% 11/01/16**#.......................................... 2,555 159 Garrison, New York Unified Free School District, Series 2002B, (MBIA Insured, State Aid Withholding), 4.375% 06/15/03............................................. 161 300 Hempstead Town, New York GO, Series 1997, (AMBAC Insured), 4.300% 02/15/03............................................. 303 800 Hempstead, New York Industrial Development Agency, IDR Refunding, (Trigen-Nassau Energy Corporation Project) Series 1998, AMT, (Societe Generale LOC), 1.750% 09/15/15**........................................... 800 860 Jay Street Development Corporation, New York Cities Facilities Lease Revenue, (New York City Jay Street Project) Series 2001A-2, (Landesbank Hessen Thurigen LOC), 1.900% 05/01/20**........................................... 860 1,000 Jay Street Development Corporation, New York Cities Facilities Lease Revenue, New York City (Jay Street Project) Series 2001A-1, (Morgan Guaranty Trust LOC), 1.600% 05/01/22**........................................... 1,000 1,000 Long Island Power Authority, New York Electric Systems Revenue, Series 1998-7B, (MBIA Insured, SBPA Credit Suisse First Boston), 1.600% 04/01/25**........................................... 1,000 3,340 Long Island, New York Power Authority, Electric Systems Revenue, Series 1998-2A, (Westdeutsche Landesbank Girozentrale LOC, State Street Bank & Trust Company LOC), 1.600% 05/01/33**........................................... 3,340 1,100 Monroe County, New York Industrial Development Agency, Civic Facilities Revenue, (Hillside Childrens Center Project) Series 1998, (Key Bank, N.A. LOC), 1.800% 08/01/18**#.......................................... 1,100
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------- NEW YORK -- (CONTINUED) $3,700 Monroe County, New York Industrial Development Agency, Civic Facilities Revenue, (St. Anns Home Company Project) Series 2000, (HSBC Bank USA LOC), 1.640% 07/01/30**........................................... $ 3,699 2,000 Nassau County, New York Interim Finance Authority, (Sales Tax Secondary Project) Series 2002B, (FSA Insured, PARIBAS BNP-SPA), 1.550% 11/15/22**........................................... 2,000 800 New York City, New York Housing Development Corporation, Multi-Family Housing Revenue, Series 1997A, (FNMA Collateral Agreement), 1.600% 11/15/19**........................................... 800 300 New York City, New York Housing Development Corporation, Multi-Family Rent Housing Revenue, (Cargegie Park Project) Series 1997A, (FNMA COLL), 1.600% 11/15/19**........................................... 300 600 New York City, New York Municipal Water Finance Authority, Water and Sewer Systems Revenue, Series 1993C, (FGIC Insured, FGIC SBPA), 1.950% 06/15/23**........................................... 600 400 New York City, New York Municipal Water Finance Authority, Water and Sewer Systems Revenue, Series 1995A, (FGIC Insured, FGIC-SPI-SPA), 2.000% 06/15/25**........................................... 400 900 New York City, New York Transitional Finance Authority Revenue, Series 2002-4, 2.500% 02/26/03............................................. 903 700 New York City, New York Transitional Financing Authority Revenue, Series 2002-1B, (Societe Generale Liquidity Facility), 1.700% 11/01/22**........................................... 700 760 New York State Dormitory Authority Revenue, (Oxford University Press Inc. Project) Series 1996, (GO of Institution, Landesbank Hessen Thuringen LOC), 1.650% 07/01/25**........................................... 760 100 New York State Energy Research and Development Authority, PCR Refunding, Series 1994D, (Bank One Illinois N.A. LOC), 1.950% 10/01/29**........................................... 100 250 New York State Energy Research and Development Authority, PCR, (Niagara Mohawk Power Corporation Project) Series 1985C, (Bank One N.A. LOC), 1.950% 12/01/25**........................................... 250
SEE NOTES TO FINANCIAL STATEMENTS. 63 NATIONS MONEY MARKET FUNDS Nations New York Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------- NEW YORK -- (CONTINUED) $ 260 New York State Energy Research and Development Authority, PCR, Commercial Paper Rate-New York, (Electric Gas Project) Series 1994D, (Bank One Chicago, N.A. LOC), 1.900% 10/01/29**........................................... $ 260 240 New York State Environmental Facilities Corporation, State Clean Water and Drinking Water Revenue, Series 1998F, 5.000% 06/15/03............................................. 246 1,000 New York State GO, Series 2000B, (Dexia Credit Local de France LOC), Mandatory Put 08/07/03 @ 100, 1.500% 03/15/30**........................................... 1,000 900 New York State Housing Finance Agency Revenue, (240 East 39th Street Housing Project) Series 1997, (FNMA LOC), 1.750% 05/15/30**........................................... 900 800 New York State Housing Finance Agency Revenue, (363 West 30th Street Housing Project) Series 2000A, (Fleet Bank N.A. LOC), 1.750% 11/01/32**........................................... 800 200 New York State Housing Finance Agency Revenue, (West 20th Street Housing Project) Series 2001A, AMT, (Bayerische Hypotheken und Vereinsbank LOC), 1.680% 11/01/33**........................................... 200 500 New York State Housing Finance Agency Revenue, Series 1997, AMT, (FNMA Collateral Agreement), 1.650% 05/01/29**........................................... 500 800 New York State Housing Finance Agency Revenue, Series 2002A, AMT, (Bayerische Hypotheken und Vereinsbank LOC), 1.750% 11/01/33**........................................... 800 1,800 New York State Housing Financing Agency Revenue, Series 2000A, (Bayerische Hypotheken und Vereinsbank LOC), 1.680% 11/01/33**........................................... 1,800 900 New York State Job Development Authority, State Guaranteed, Series 1992A-1 thru A-2, (Bayerische Landesbank LOC and Morgan Guaranty Trust LOC), 2.000% 03/01/07**........................................... 900 850 New York State Local Assistance Corporation Revenue, Series 1993, (Bayerische Landesbank Girozentrale LOC, Westdeutsche Landesbank Girozentrale LOC), 1.650% 04/01/22**........................................... 850 1,310 New York State Local Government Assistance Corporation Revenue, Series 1995B, (Societe Generale LOC), 1.600% 04/01/25**........................................... 1,310
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------- NEW YORK -- (CONTINUED) $ 450 New York State Power Authority Revenue and General Purpose, GO, Series 1985, (First Union National Bank LOC, Bank of Nova Scotia LOC, Toronto Dominion Bank LOC), 2.900% 03/01/20**........................................... $ 456 200 New York State Tollway Authority Revenue, Series 2002A, 3.250% 03/26/03............................................. 201 200 New York State Tollway Authority Service Contract Revenue, (Local Highway and Bridge Project) Series 1998A-2, (MBIA Insured), 5.250% 04/01/03............................................. 204 800 New York State, Job Development Authority State Guaranteed Revenue, Series 1988A-1-A-21, 2.000% 03/01/03............................................. 800 1,000 New York State, Power Authority, 1.300% 10/10/02............................................. 1,000 1,300 New York Triborough Bridge & Tunnel Authority Revenue, Series 2001B, (AMBAC Insured, State Street Bank & Trust Company SBPA), 1.650% 01/01/32**........................................... 1,300 150 New York, New York City Housing Development Corporation Mortgage Revenue, Series 1993, (Chase Manhattan Bank LOC), 2.000% 01/01/23**........................................... 150 900 New York, New York City Housing Development Corporation Multi-Family Revenue, (Fox Street Project) Series 2001A, (Chase Manhattan Bank LOC), 1.750% 06/01/33**........................................... 900 800 New York, New York City Municipal Water Finance Authority, Water and Sewer System Revenue, Series 2002A, 3.000% 06/15/03............................................. 808 1,000 New York, New York City Municipal Water Financing Authority, Water and Sewer System Revenue, (Toronto Dominion Bank SBPA, Bank of Nova Scotia Liquidity Facility), 1.700% 06/15/18**........................................... 1,000 400 New York, New York City Transitional Financing Authority, Series 2002-1A, (Landesbank Hessen Liquidity Facility), 1.650% 11/01/22**........................................... 400 2,000 New York, New York GO, Series 1992D, (FGIC Insured), 1.600% 02/01/22**........................................... 2,000 815 New York, New York GO, Series 1993A-9, 1.700% 08/01/18**........................................... 815 1,600 New York, New York GO, Series 1994H, (FSA Insured, State Street Bank & Trust Company SBPA), 1.950% 08/01/14**........................................... 1,600
SEE NOTES TO FINANCIAL STATEMENTS. 64 NATIONS MONEY MARKET FUNDS Nations New York Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000) (000) - ------------------------------------------------------------------------------------- NEW YORK -- (CONTINUED) $ 800 New York, New York GO, Series 2001A-8, (AMBAC Insured, Lloyds TSB Bank plc SBPA), 1.550% 11/01/23**........................................... $ 800 1,070 Oneida County, New York Industrial Development Agency Revenue, (Hamilton College Civic Facility Project) Series 2002, (MBIA Insured, Bank of New York SBPA), 1.700% 09/15/32**........................................... 1,070 500 Schenectady County, New York Industrial Development Agency Civic Facility Revenue, (Union College Project) Series 2001A, (AMBAC Insured), 3.000% 07/01/03............................................. 506 500 Suffolk County, New York GO, Series 2002A, (MBIA Insured), 3.000% 05/01/03............................................. 503 305 Suffolk County, New York Industrial Development Agency Revenue Refunding, (Target Rock Corporation Project), Series 1987, (Swiss Bank Corporation LOC), 1.600% 02/01/07**........................................... 305 300 Triborough Bridge and Tunnel Authority, New York Revenue, (General Purpose Project) Series 1999C, (AMBAC Insured, GO of Authority, Westdeutsche Landesbank Girozentrale SBPA), 1.650% 01/01/13**........................................... 300 300 Triborough Bridge and Tunnel Authority, New York Revenue, Series 1996B, (GO of Authority), 4.400% 01/01/03............................................. 302 500 Trumansburg, New York Central School District GO, (FSA Insured, State Aid Witholding), 4.000% 06/15/03............................................. 509 ------- 47,976 ------- TOTAL MUNICIPAL BONDS AND NOTES (Cost $47,976).............................................. 47,976 ------- VALUE (000) - ------------------------------------------------------------------------------------- TOTAL INVESTMENTS (Cost $47,976*)................................... 100.7% $47,976 ------- OTHER ASSETS AND LIABILITIES (NET).................. (0.7)% Cash.......................................................... $ 1 Interest receivable........................................... 111 Investment advisory fee payable............................... (6) Administration fee payable.................................... (18) Shareholder servicing and distribution fees payable........... (1) Distributions payable......................................... (51) Accrued Trustees' fees and expenses........................... (6) Accrued expenses and other liabilities........................ (374) ------- TOTAL OTHER ASSETS AND LIABILITIES (NET)........................................... (344) ------- NET ASSETS.......................................... 100% $47,632 ======= NET ASSETS CONSIST OF: Paid-in capital............................................... $47,632 ------- NET ASSETS.................................................... $47,632 =======
SEE NOTES TO FINANCIAL STATEMENTS. 65 NATIONS MONEY MARKET FUNDS Nations New York Tax-Exempt Reserves STATEMENT OF NET ASSETS (CONTINUED) SEPTEMBER 30, 2002 (UNAUDITED)
VALUE - ------------------------------------------------------------------------------------- NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE CAPITAL CLASS SHARES: ($31,245,299 / 31,245,779 shares outstanding)................. $1.00 ======= TRUST CLASS SHARES: ($16,377,935 / 16,378,143 shares outstanding)................. $1.00 ======= INSTITUTIONAL SHARES: ($1,007 / 1,007 shares outstanding)........................... $1.00 ======= LIQUIDITY CLASS SHARES: ($1,007 / 1,007 shares outstanding)........................... $1.00 ======= ADVISER CLASS SHARES: ($1,006 / 1,006 shares outstanding)........................... $1.00 ======= INVESTOR CLASS SHARES: ($1,006 / 1,006 shares outstanding)........................... $1.00 ======= MARKET CLASS SHARES: ($1,006 / 1,006 shares outstanding)........................... $1.00 ======= DAILY CLASS SHARES: ($1,004 / 1,004 shares outstanding)........................... $1.00 ======= SERVICE CLASS SHARES: ($1,002 / 1,002 shares outstanding)........................... $1.00 ======= INVESTOR B SHARES: ($1,002 / 1,002 shares outstanding)........................... $1.00 ======= INVESTOR C SHARES: ($1,002 / 1,002 shares outstanding)........................... $1.00 =======
- --------------- *Aggregate cost for federal tax purposes. **Variable rate demand notes. The interest rate shown reflects the rate in effect at September 30, 2002. These securities are subject to demand features of either one, seven or thirty days. #Security not registered under the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration to qualified institutional buyers. Nations New York Tax-Exempt Reserves Fund had the following industry concentrations greater than 10% at September 30, 2002 (as a percentage of net assets): Industrial Development Revenue/Pollution Control Revenue 20.29% Housing Revenue 16.12% Electric Revenue 10.51%
SEE NOTES TO FINANCIAL STATEMENTS. 66 NATIONS MONEY MARKET FUNDS STATEMENT OF NET ASSETS (CONTINUED) ABBREVIATIONS: AMBAC American Municipal Bond Assurance Corporation AMT Alternative Minimum Tax BAN Bond Anticipation Note FGIC Financial Guaranty Insurance Corporation FFCB Federal Farm Credit Bank FHLB Federal Home Loan Bank FHLMC Federal Home Loan Mortgage Corporation FNMA Federal National Mortgage Association FSA Financial Security Assurance GAN Grant Anticipation Note GNMA Government National Mortgage Association GO General Obligation GTD STD LNS Guaranteed Student Loan GTY-AGMT Guarantee Agreement IDR Industrial Development Revenue LOC Letter of Credit MBIA Municipal Bond Insurance Association PCR Pollution Control Revenue RAN Revenue Anticipation Note SLMA Student Loan Marketing Association SBPA Standby Bond Purchase Agreement TAN Tax Anticipation Note TRAN Tax and Revenue Anticipation Note
67 NATIONS MONEY MARKET FUNDS STATEMENTS OF OPERATIONS (UNAUDITED) For the six months ended September 30, 2002
CASH MONEY MARKET RESERVES RESERVES --------------------------------- (IN THOUSANDS) INVESTMENT INCOME: Interest.................................................... $ 801,990 $ 140,225 -------------- -------------- EXPENSES: Investment advisory fee..................................... 59,242 10,775 Administration fee.......................................... 39,495 7,183 Transfer agent fees......................................... 1,204 242 Custodian fees.............................................. 2,141 448 Trustees' fees and expenses................................. 7 7 Registration and filing fees................................ 2,455 1,047 Legal and audit fees........................................ 126 45 Interest expense............................................ 21 -- Printing expense............................................ 741 102 Other....................................................... 426 72 -------------- -------------- Subtotal................................................ 105,858 19,921 Shareholder servicing and distribution fees: Trust Class Shares........................................ 2,489 176 Institutional Class Shares................................ 791 96 Liquidity Class Shares.................................... 7,416 2,292 Adviser Class Shares...................................... 9,853 1,021 Investor Class Shares..................................... 8,453 80 Market Class Shares....................................... 8,427 3,082 Daily Class Shares........................................ 39,602 14 Service Class Shares...................................... 5,005 982 Investor A Shares**....................................... 745 -- Investor B Shares......................................... 234 60 Investor C Shares......................................... 14 5 Marsico Shares**.......................................... 31 -- -------------- -------------- Total expenses.......................................... 188,918 27,729 Fees waived by investment advisor, administrator and/or distributor............................................... (32,946) (7,442) Fees reduced by credits allowed by the custodian............ (8) (1) -------------- -------------- Net expenses............................................ 155,964 20,286 -------------- -------------- NET INVESTMENT INCOME/(LOSS)................................ 646,026 119,939 -------------- -------------- Net realized gain/(loss) on investments..................... 523 50 -------------- -------------- NET INCREASE/(DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS................................................ $ 646,549 $ 119,989 ============== ==============
- --------------- * Amount represents less than $500. **Cash Reserves' Investor A Shares and Marsico Shares, Treasury Reserves' Investor A Shares and Government Reserves' Investor A Shares commenced operations on May 13, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 68 NATIONS MONEY MARKET FUNDS STATEMENTS OF OPERATIONS (CONTINUED) (UNAUDITED)
CALIFORNIA NEW YORK TREASURY GOVERNMENT MUNICIPAL TAX-EXEMPT TAX-EXEMPT TAX-EXEMPT RESERVES RESERVES RESERVES RESERVES RESERVES RESERVES - ------------------------------------------------------------------------------------------------------- $ 101,202 $ 47,909 $ 19,437 $ 21,302 $ 15,648 $ 244 -------------- -------------- -------------- -------------- -------------- -------------- 7,982 3,795 1,876 2,264 1,634 27 5,321 2,530 1,250 1,401 1,089 18 158 83 39 81 31 1 296 169 67 77 54 2 7 7 7 7 7 9 443 432 242 71 28 35 39 33 29 49 30 141 -- -- -- -- -- -- 85 73 117 103 95 144 91 37 39 56 24 5 -------------- -------------- -------------- -------------- -------------- -------------- 14,422 7,159 3,666 4,109 2,992 382 387 185 250 905 201 7 100 20 23 --* 1 --* 1,761 785 240 2 11 --* 2,707 1,270 227 1 464 --* 1,317 1,615 180 279 615 --* 3,166 1,145 411 -- -- --* 3,516 929 1,787 249 2,405 --* 1,520 193 91 -- -- --* 1,467 13 -- 182 -- -- 3 11 --* -- --* --* --* 5 --* -- -- --* -- -- -- -- -- -- -------------- -------------- -------------- -------------- -------------- -------------- 30,366 13,330 6,875 5,727 6,689 389 (5,247) (2,744) (1,385) (983) (823) (367) --* (2) -- -- -- -- -------------- -------------- -------------- -------------- -------------- -------------- 25,119 10,584 5,490 4,744 5,866 22 -------------- -------------- -------------- -------------- -------------- -------------- 76,083 37,325 13,947 16,558 9,782 222 -------------- -------------- -------------- -------------- -------------- -------------- 144 96 172 19 14 -- -------------- -------------- -------------- -------------- -------------- -------------- $ 76,227 $ 37,421 $ 14,119 $ 16,577 $ 9,796 $ 222 ============== ============== ============== ============== ============== ==============
SEE NOTES TO FINANCIAL STATEMENTS. 69 NATIONS MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
CASH RESERVES --------------------------------- SIX MONTHS ENDED 9/30/02 YEAR ENDED (UNAUDITED) 3/31/02 --------------------------------- (IN THOUSANDS) Net investment income/(loss)................................ $ 646,026 $ 1,860,094 Net realized gain/(loss) on investments..................... 523 3,596 -------------- -------------- Net increase/(decrease) in net assets resulting from operations................................................ 646,549 1,863,690 Distributions to shareholders from net investment income: Capital Class Shares...................................... (341,915) (809,617) Institutional Class Shares................................ (35,304) (50,658) Trust Class Shares........................................ (42,631) (72,520) Liquidity Class Shares.................................... (14,681) (52,708) Adviser Class Shares...................................... (62,265) (204,851) Investor Class Shares..................................... (35,722) (178,840) Market Class Shares....................................... (25,769) (96,440) Daily Class Shares........................................ (81,098) (373,303) Service Class Shares...................................... (4,132) (22,222) Investor A Shares**....................................... (2,226) -- Investor B Shares......................................... (153) (706) Investor C Shares......................................... (9) (32) Marsico Shares**.......................................... (128) -- Net increase/(decrease) in net assets from shares of beneficial interest transactions.......................... (12,318,334) 21,453,429 -------------- -------------- Net increase/(decrease) in net assets....................... (12,317,818) 21,455,222 NET ASSETS: Beginning of period......................................... 78,697,298 57,242,076 -------------- -------------- End of period............................................... $ 66,379,480 $ 78,697,298 ============== ============== Undistributed net investment income/(loss)/(distributions in excess of net investment income) at end of period......... $ 55 $ 62 ============== ==============
- --------------- *Amount represents less than $500. **Cash Reserves' Investor A Shares and Marsico Shares commenced operations on May 13, 2002, Treasury Reserves' Investor A Shares commenced operations on May 13, 2002 and Government Reserves' Investor A Shares commenced operations on May 13, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 70 NATIONS MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
MONEY MARKET RESERVES TREASURY RESERVES GOVERNMENT RESERVES ------------------------------- ------------------------------- ------------------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED ENDED ENDED 9/30/02 YEAR ENDED 9/30/02 YEAR ENDED 9/30/02 YEAR ENDED (UNAUDITED) 3/31/02 (UNAUDITED) 3/31/02 (UNAUDITED) 3/31/02 - ------------------------------------------------------------------------------------------------------- $ 119,939 $ 396,229 $ 76,083 $ 237,175 $ 37,325 $ 134,983 50 2,722 144 370 96 658 -------------- -------------- -------------- -------------- -------------- -------------- 119,989 398,951 76,227 237,545 37,421 135,641 (92,405) (292,125) (21,695) (63,160) (13,575) (47,374) (4,094) (13,696) (4,148) (3,163) (805) (6,152) (2,946) (8,704) (6,139) (13,117) (2,932) (8,344) (4,323) (19,367) (3,032) (10,202) (1,419) (8,283) (6,139) (21,424) (15,716) (59,228) (7,347) (27,374) (321) (2,369) (5,065) (19,665) (6,214) (16,826) (8,913) (36,941) (8,790) (34,858) (3,160) (12,930) (27) (159) (6,448) (27,281) (1,693) (7,089) (733) (4,251) (1,065) (6,939) (134) (607) -- -- (3,984) -- (37) -- (35) (167) (2) (4) (6) (26) (3) (5) --* -- (3) (3) -- -- -- -- -- -- (3,377,188) 6,030,999 (63,091) 3,231,438 (353,245) 971,803 -------------- -------------- -------------- -------------- -------------- -------------- (3,377,138) 6,030,742 (62,948) 3,231,366 (353,149) 972,436 16,085,139 10,054,397 11,140,016 7,908,650 5,073,021 4,100,585 -------------- -------------- -------------- -------------- -------------- -------------- $ 12,708,001 $ 16,085,139 $ 11,077,068 $ 11,140,016 $ 4,719,872 $ 5,073,021 ============== ============== ============== ============== ============== ============== $ -- $ -- $ 70 $ 71 $ -- $ -- ============== ============== ============== ============== ============== ==============
SEE NOTES TO FINANCIAL STATEMENTS. 71 NATIONS MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
MUNICIPAL RESERVES --------------------------------- SIX MONTHS ENDED 9/30/02 YEAR ENDED (UNAUDITED) 3/31/02 --------------------------------- (IN THOUSANDS) Net investment income/(loss)................................ $ 13,947 $ 36,930 Net realized gain/(loss) on investments..................... 172 89 -------------- -------------- Net increase/(decrease) in net assets resulting from operations................................................ 14,119 37,019 Distributions to shareholders from net investment income: Capital Class Shares**.................................... (5,055) (7,583) Institutional Class Shares**.............................. (742) (369) Trust Class Shares........................................ (3,137) (10,262) Liquidity Class Shares**.................................. (338) (1,084) Adviser Class Shares**.................................... (1,003) (3,082) Investor Class Shares..................................... (516) (1,047) Market Class Shares....................................... (829) (3,107) Daily Class Shares........................................ (2,270) (9,908) Service Class Shares...................................... (57) (387) Investor A Shares......................................... -- -- Investor B Shares......................................... --* (1) Investor C Shares......................................... --* --* Net increase/(decrease) in net assets from shares of beneficial interest transactions.......................... 360,383 555,246 -------------- -------------- Net increase/(decrease) in net assets....................... 360,555 555,435 NET ASSETS Beginning of period......................................... 2,161,324 1,605,889 -------------- -------------- End of period............................................... $ 2,521,879 $ 2,161,324 ============== ============== Undistributed net investment income/(loss)/(distributions in excess of net investment income) at end of period......... $ 100 $ 100 ============== ==============
- --------------- * Amount represents less than $500. **Tax-Exempt Reserves Capital Class, Institutional Class, Liquidity Class and Adviser Class commenced operations on June 13, 2002, June 18, 2002, September 3, 2002 and August 8, 2002, respectively. (a)New York Tax-Exempt Reserves commenced operations on February 15, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 72 NATIONS MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS (CONTINUED)
TAX-EXEMPT RESERVES CALIFORNIA TAX-EXEMPT RESERVES NEW YORK TAX-EXEMPT RESERVES ------------------------------- ------------------------------- ------------------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED ENDED ENDED 9/30/02 YEAR ENDED 9/30/02 YEAR ENDED 9/30/02 PERIOD ENDED (UNAUDITED) 3/31/02 (UNAUDITED) 3/31/02 (UNAUDITED) 3/31/02(A) - ------------------------------------------------------------------------------------------------------- $ 16,558 $ 54,820 $ 9,782 $ 26,668 $ 222 $ 26 19 77 14 (10) -- -- -------------- -------------- -------------- -------------- -------------- -------------- 16,577 54,897 9,796 26,658 222 26 (507) -- (1,478) (477) (145) (25) --* -- (27) (2) --* --* (14,537) (48,149) (2,294) (6,110) (77) (1) --* -- (15) (21) --* --* (6) -- (1,821) (5,312) --* --* (830) (4,220) (1,553) (4,140) --* --* -- -- -- -- --* --* (310) (1,421) (2,595) (10,701) --* -- -- -- -- -- --* -- (368) (1,096) -- -- -- -- -- -- --* --* --* -- -- -- -- -- --* -- (238,927) 223,586 461,072 176,498 26,782 20,850 -------------- -------------- -------------- -------------- -------------- -------------- (238,908) 223,597 461,085 176,393 26,782 20,850 2,994,991 2,771,394 1,817,151 1,640,758 20,850 -- -------------- -------------- -------------- -------------- -------------- -------------- $ 2,756,083 $ 2,994,991 $ 2,278,236 $ 1,817,151 $ 47,632 $ 20,850 ============== ============== ============== ============== ============== ============== $ 34 $ 34 $ 58 $ 59 $ -- $ -- ============== ============== ============== ============== ============== ==============
SEE NOTES TO FINANCIAL STATEMENTS. 73 NATIONS MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY*
CASH RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ------------------------------------ (IN THOUSANDS) CAPITAL CLASS SHARES: Sold....................................................... $ 129,462,949 $ 409,864,334 Issued as reinvestment of dividends........................ 101,480 400,213 Redeemed................................................... (141,720,111) (391,070,973) ------------- ------------- Net increase/(decrease).................................... $ (12,155,682) $ 19,193,574 ============= ============= INSTITUTIONAL CLASS SHARES: Sold....................................................... $ 11,333,796 $ 22,112,144 Issued as reinvestment of dividends........................ 22,980 26,218 Redeemed................................................... (10,844,565) (19,531,727) ------------- ------------- Net increase/(decrease).................................... $ 512,211 $ 2,606,635 ============= ============= TRUST CLASS SHARES: Sold....................................................... $ 4,311,240 $ 7,411,073 Issued in exchange for Primary A Shares of Nations Prime Fund (Note 8)............................................ 3,238,730 -- Issued as reinvestment of dividends........................ 1,029 416 Redeemed................................................... (4,984,707) (7,401,508) ------------- ------------- Net increase/(decrease).................................... $ 2,566,292 $ 9,981 ============= ============= LIQUIDITY CLASS SHARES: Sold....................................................... $ 2,561,040 $ 16,140,974 Issued as reinvestment of dividends........................ 14,773 46,158 Redeemed................................................... (2,849,692) (15,921,390) ------------- ------------- Net increase/(decrease).................................... $ (273,879) $ 265,742 ============= ============= ADVISER CLASS SHARES: Sold....................................................... $ 18,064,910 $ 64,620,998 Issued as reinvestment of dividends........................ 30,227 123,674 Redeemed................................................... (19,148,809) (62,810,590) ------------- ------------- Net increase/(decrease).................................... $ (1,053,672) $ 1,934,082 ============= ============= INVESTOR CLASS SHARES: Sold....................................................... $ 2,644,598 $ 6,098,275 Issued in exchange for Investor B Shares of Nations Prime Fund (Note 8)............................................ 563,131 -- Issued in exchange for Investor C Shares of Nations Prime Fund (Note 8)............................................ 2,945 -- Issued as reinvestment of dividends........................ 34,997 169,610 Redeemed................................................... (3,719,911) (8,887,786) ------------- ------------- Net increase/(decrease).................................... $ (474,240) $ (2,619,901) ============= ============= MARKET CLASS SHARES: Sold....................................................... $ 3,400,001 $ 5,735,740 Issued as reinvestment of dividends........................ 510 966 Redeemed................................................... (3,525,415) (5,235,076) ------------- ------------- Net increase/(decrease).................................... $ (124,904) $ 501,630 ============= ============= DAILY CLASS SHARES: Sold....................................................... $ 11,036,940 $ 68,651,594 Issued in exchange for Daily Shares of Nations Prime Fund (Note 8)................................................. 822,570 -- Issued as reinvestment of dividends........................ 73,595 345,423 Redeemed................................................... (13,631,781) (69,568,748) ------------- ------------- Net increase/(decrease).................................... $ (1,698,676) $ (571,731) ============= ============= SERVICE CLASS SHARES: Sold....................................................... $ 1,970,954 $ 10,920,412 Issued as reinvestment of dividends........................ 434 7,561 Redeemed................................................... (2,035,940) (10,804,243) ------------- ------------- Net increase/(decrease).................................... $ (64,552) $ 123,730 ============= ============= INVESTOR A SHARES:+ Sold....................................................... $ 161,209 $ -- Issued in exchange for Investor A Shares of Nations Prime Fund (Note 8)............................................ 457,965 -- Issued as reinvestment of dividends........................ 1,745 -- Redeemed................................................... (210,045) -- ------------- ------------- Net increase/(decrease).................................... $ 410,874 $ -- ============= ============= INVESTOR B SHARES: Sold....................................................... $ 32,909 $ 43,549 Issued as reinvestment of dividends........................ 139 641 Redeemed................................................... (18,728) (34,144) ------------- ------------- Net increase/(decrease).................................... $ 14,320 $ 10,046 ============= ============= INVESTOR C SHARES: Sold....................................................... $ 5,862 $ 6,646 Issued as reinvestment of dividends........................ 8 27 Redeemed................................................... (3,045) (7,032) ------------- ------------- Net increase/(decrease).................................... $ 2,825 $ (359) ============= ============= MARSICO SHARES:+ Sold....................................................... $ 69,237 $ -- Issued in exchange for Marsico Shares of Nations Prime Fund (Note 8)................................................. 22,533 -- Issued as reinvestment of dividends........................ 103 -- Redeemed................................................... (71,124) -- ------------- ------------- Net increase/(decrease).................................... $ 20,749 $ -- ============= ============= Total net increase/(decrease).............................. $ (12,318,334) $ 21,453,429 ============= =============
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. +Cash Reserves' Investor A Shares and Marsico Shares commenced operations on May 13, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 74 NATIONS MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
MONEY MARKET RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ----------------------------------- (IN THOUSANDS) CAPITAL CLASS SHARES: Sold....................................................... $ 32,271,962 $ 108,419,224 Issued as reinvestment of dividends........................ 50,040 153,586 Redeemed................................................... (34,050,859) (103,591,271) ------------ ------------- Net increase/(decrease).................................... $ (1,728,857) $ 4,981,539 ============ ============= INSTITUTIONAL CLASS SHARES: Sold....................................................... $ 1,102,770 $ 3,926,342 Issued as reinvestment of dividends........................ 4,121 8,856 Redeemed................................................... (1,347,682) (3,974,537) ------------ ------------- Net increase/(decrease).................................... $ (240,791) $ (39,339) ============ ============= TRUST CLASS SHARES: Sold....................................................... $ 985,481 $ 2,756,173 Issued as reinvestment of dividends........................ 310 80 Redeemed................................................... (1,868,569) (1,511,803) ------------ ------------- Net increase/(decrease).................................... $ (882,778) $ 1,244,450 ============ ============= LIQUIDITY CLASS SHARES: Sold....................................................... $ 771,693 $ 5,093,855 Issued as reinvestment of dividends........................ 4,344 17,188 Redeemed................................................... (900,117) (5,630,325) ------------ ------------- Net increase/(decrease).................................... $ (124,080) $ (519,282) ============ ============= ADVISER CLASS SHARES: Sold....................................................... $ 1,704,984 $ 6,225,096 Issued as reinvestment of dividends........................ 4,909 16,697 Redeemed................................................... (2,001,838) (5,896,274) ------------ ------------- Net increase/(decrease).................................... $ (291,945) $ 345,519 ============ ============= INVESTOR CLASS SHARES: Sold....................................................... $ 8,819 $ 53,788 Issued as reinvestment of dividends........................ 3 56 Redeemed................................................... (7,843) (100,072) ------------ ------------- Net increase/(decrease).................................... $ 979 $ (46,228) ============ ============= MARKET CLASS SHARES: Sold....................................................... $ 1,020,400 $ 2,149,500 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... (1,127,900) (2,020,500) ------------ ------------- Net increase/(decrease).................................... $ (107,500) $ 129,000 ============ ============= DAILY CLASS SHARES: Sold....................................................... $ 2,743 $ 27,797 Issued as reinvestment of dividends........................ 27 158 Redeemed................................................... (2,304) (31,016) ------------ ------------- Net increase/(decrease).................................... $ 466 $ (3,061) ============ ============= SERVICE CLASS SHARES: Sold....................................................... $ 3,194,779 $ 967,237 Issued as reinvestment of dividends........................ 8 8 Redeemed................................................... (3,203,569) (1,031,411) ------------ ------------- Net increase/(decrease).................................... $ (8,782) $ (64,166) ============ ============= INVESTOR B SHARES: Sold....................................................... $ 8,796 $ 9,545 Issued as reinvestment of dividends........................ 31 153 Redeemed................................................... (4,054) (7,199) ------------ ------------- Net increase/(decrease).................................... $ 4,773 $ 2,499 ============ ============= INVESTOR C SHARES: Sold....................................................... $ 1,453 $ 486 Issued as reinvestment of dividends........................ 2 5 Redeemed................................................... (128) (423) ------------ ------------- Net increase/(decrease).................................... $ 1,327 $ 68 ============ ============= Total net increase/(decrease).............................. $ (3,377,188) $ 6,030,999 ============ =============
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. SEE NOTES TO FINANCIAL STATEMENTS. 75 NATIONS RESERVES MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
TREASURY RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ----------------------------------- (IN THOUSANDS) CAPITAL CLASS SHARES: Sold....................................................... $ 14,546,364 $ 21,564,285 Issued as reinvestment of dividends........................ 17,797 40,741 Redeemed................................................... (16,424,600) (19,790,127) ------------ ------------ Net increase/(decrease).................................... $ (1,860,439) $ 1,814,899 ============ ============ INSTITUTIONAL CLASS SHARES: Sold....................................................... $ 851,392 $ 1,678,781 Issued as reinvestment of dividends........................ 3,470 2,778 Redeemed................................................... (675,649) (1,327,853) ------------ ------------ Net increase/(decrease).................................... $ 179,213 $ 353,706 ============ ============ TRUST CLASS SHARES: Sold....................................................... $ 862,477 $ 2,693,547 Issued in exchange for Primary A Shares of Nations Treasury Fund (Note 8)............................................ 506,390 -- Issued as reinvestment of dividends........................ 50 62 Redeemed................................................... (938,676) (2,609,923) ------------ ------------ Net increase/(decrease).................................... $ 430,241 $ 83,686 ============ ============ LIQUIDITY CLASS SHARES: Sold....................................................... $ 694,182 $ 2,015,767 Issued as reinvestment of dividends........................ 2,744 7,613 Redeemed................................................... (674,444) (2,002,088) ------------ ------------ Net increase/(decrease).................................... $ 22,482 $ 21,292 ============ ============ ADVISER CLASS SHARES: Sold....................................................... $ 7,893,708 $ 27,701,281 Issued as reinvestment of dividends........................ 6,182 28,272 Redeemed................................................... (7,502,826) (27,079,449) ------------ ------------ Net increase/(decrease).................................... $ 397,064 $ 650,104 ============ ============ INVESTOR CLASS SHARES: Sold....................................................... $ 748,127 $ 1,294,420 Issued in exchange for Investor B Shares of Nations Treasury Fund (Note 8)................................... 75,202 -- Issued in exchange for Investor C Shares of Nations Treasury Fund (Note 8)................................... 118 -- Issued as reinvestment of dividends........................ 3,960 16,022 Redeemed................................................... (733,445) (1,321,657) ------------ ------------ Net increase/(decrease).................................... $ 93,962 $ (11,215) ============ ============ MARKET CLASS SHARES: Sold....................................................... $ 1,180,000 $ 2,061,500 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... (1,151,500) (2,049,500) ------------ ------------ Net increase/(decrease).................................... $ 28,500 $ 12,000 ============ ============ DAILY CLASS SHARES: Sold....................................................... $ 4,018,416 $ 17,292,506 Issued in exchange for Daily Shares of Nations Treasury Fund (Note 8)............................................ 39,993 -- Issued as reinvestment of dividends........................ 2,614 18,356 Redeemed................................................... (4,243,541) (16,991,018) ------------ ------------ Net increase/(decrease).................................... $ (182,518) $ 319,844 ============ ============ SERVICE CLASS SHARES: Sold....................................................... $ 1,214,943 $ 5,148,381 Issued as reinvestment of dividends........................ 89 2,005 Redeemed................................................... (1,270,010) (5,163,206) ------------ ------------ Net increase/(decrease).................................... $ (54,978) $ (12,820) ============ ============ INVESTOR A SHARES:+ Sold....................................................... $ 2,251,971 $ -- Issued in exchange for Investor A Shares of Nations Treasury Fund (Note 8)................................... 845,904 -- Issued as reinvestment of dividends........................ 330 -- Redeemed................................................... (2,215,196) -- ------------ ------------ Net increase/(decrease).................................... $ 883,009 $ -- ============ ============ INVESTOR B SHARES: Sold....................................................... $ 371 $ 179 Issued as reinvestment of dividends........................ 2 4 Redeemed................................................... -- (241) ------------ ------------ Net increase/(decrease).................................... $ 373 $ (58) ============ ============ INVESTOR C SHARES: Sold....................................................... $ 99 $ -- Issued as reinvestment of dividends........................ -- -- Redeemed................................................... (99) -- ------------ ------------ Net increase/(decrease).................................... $ -- $ -- ============ ============ Total net increase/(decrease).............................. $ (63,091) $ 3,231,438 ============ ============
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. +Treasury Reserves' Investor A Shares commenced operations on May 13, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 76 NATIONS RESERVES MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
GOVERNMENT RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ----------------------------------- (IN THOUSANDS) CAPITAL CLASS SHARES: Sold....................................................... $ 5,079,744 $ 13,012,207 Issued as reinvestment of dividends........................ 12,822 41,330 Redeemed................................................... (5,387,245) (12,087,323) ----------- ------------ Net increase/(decrease).................................... $ (294,679) $ 966,214 =========== ============ INSTITUTIONAL CLASS SHARES: Sold....................................................... $ 524,878 $ 1,420,005 Issued as reinvestment of dividends........................ 685 3,748 Redeemed................................................... (521,975) (1,597,312) ----------- ------------ Net increase/(decrease).................................... $ 3,588 $ (173,559) =========== ============ TRUST CLASS SHARES: Sold....................................................... $ 213,161 $ 476,644 Issued in exchange for Primary A Shares of Nations Government Money Market Fund (Note 8).................... 292,051 -- Issued as reinvestment of dividends........................ 5 -- Redeemed................................................... (387,788) (410,196) ----------- ------------ Net increase/(decrease).................................... $ 117,429 $ 66,448 =========== ============ LIQUIDITY CLASS SHARES: Sold....................................................... $ 476,893 $ 2,013,626 Issued as reinvestment of dividends........................ 1,008 6,116 Redeemed................................................... (409,022) (2,323,560) ----------- ------------ Net increase/(decrease).................................... $ 68,879 $ (303,818) =========== ============ ADVISER CLASS SHARES: Sold....................................................... $ 1,224,956 $ 3,600,483 Issued as reinvestment of dividends........................ 7,232 26,369 Redeemed................................................... (1,178,745) (4,022,971) ----------- ------------ Net increase/(decrease).................................... $ 53,443 $ (396,119) =========== ============ INVESTOR CLASS SHARES: Sold....................................................... $ 846,111 $ 1,973,152 Issued in exchange for Investor B Shares of Nations Government Money Market Fund (Note 8).................... 26,979 -- Issued in exchange for Investor C Shares of Nations Government Money Market Fund (Note 8).................... 495 -- Issued as reinvestment of dividends........................ 6,499 16,529 Redeemed................................................... (1,087,136) (1,319,792) ----------- ------------ Net increase/(decrease).................................... $ (207,052) $ 669,889 =========== ============ MARKET CLASS SHARES: Sold....................................................... $ 791,000 $ 1,504,875 Issued as reinvestment of dividends........................ -- 5 Redeemed................................................... (857,500) (1,431,880) ----------- ------------ Net increase/(decrease).................................... $ (66,500) $ 73,000 =========== ============ DAILY CLASS SHARES: Sold....................................................... $ 164,181 $ 883,088 Issued in exchange for Daily Shares of Nations Government Money Market Fund (Note 8)............................... 22,560 -- Issued as reinvestment of dividends........................ 1,759 7,085 Redeemed................................................... (221,547) (832,861) ----------- ------------ Net increase/(decrease).................................... $ (33,047) $ 57,312 =========== ============ SERVICE CLASS SHARES: Sold....................................................... $ 88,500 $ 118,000 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... (89,000) (107,500) ----------- ------------ Net increase/(decrease).................................... $ (500) $ 10,500 =========== ============ INVESTOR A SHARES:+ Sold....................................................... $ 6,208 $ -- Issued in exchange for Investor A Shares of Nations Government Money Market Fund (Note 8).................... 12,737 -- Issued as reinvestment of dividends........................ 30 -- Redeemed................................................... (13,416) -- ----------- ------------ Net increase/(decrease).................................... $ 5,559 $ -- =========== ============ INVESTOR B SHARES: Sold....................................................... $ 120 $ 2,268 Issued as reinvestment of dividends........................ 6 25 Redeemed................................................... (493) (1,178) ----------- ------------ Net increase/(decrease).................................... $ (367) $ 1,115 =========== ============ INVESTOR C SHARES: Sold....................................................... $ -- $ 980 Issued as reinvestment of dividends........................ 2 1 Redeemed................................................... -- (160) ----------- ------------ Net increase/(decrease).................................... $ 2 $ 821 =========== ============ Total net increase/(decrease).............................. $ (353,245) $ 971,803 =========== ============
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. +Government Reserves' Investor A Shares commenced operations on May 13, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 77 NATIONS RESERVES MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
MUNICIPAL RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ----------------------------------- (IN THOUSANDS) CAPITAL CLASS SHARES: Sold....................................................... $ 1,803,385 $ 3,509,609 Issued as reinvestment of dividends........................ 2,313 4,752 Redeemed................................................... (1,420,600) (3,203,194) ----------- ----------- Net increase/(decrease).................................... $ 385,098 $ 311,167 =========== =========== INSTITUTIONAL CLASS SHARES: Sold....................................................... $ 326,275 $ 334,538 Issued as reinvestment of dividends........................ 221 175 Redeemed................................................... (295,750) (265,398) ----------- ----------- Net increase/(decrease).................................... $ 30,746 $ 69,315 =========== =========== TRUST CLASS SHARES: Sold....................................................... $ 481,994 $ 932,460 Issued as reinvestment of dividends........................ 159 118 Redeemed................................................... (469,572) (929,081) ----------- ----------- Net increase/(decrease).................................... $ 12,581 $ 3,497 =========== =========== LIQUIDITY CLASS SHARES: Sold....................................................... $ 130,831 $ 195,550 Issued as reinvestment of dividends........................ 316 1,079 Redeemed................................................... (119,854) (186,473) ----------- ----------- Net increase/(decrease).................................... $ 11,293 $ 10,156 =========== =========== ADVISER CLASS SHARES: Sold....................................................... $ 293,457 $ 542,205 Issued as reinvestment of dividends........................ 938 3,011 Redeemed................................................... (249,524) (516,476) ----------- ----------- Net increase/(decrease).................................... $ 44,871 $ 28,740 =========== =========== INVESTOR CLASS SHARES: Sold....................................................... $ 187,314 $ 98,388 Issued as reinvestment of dividends........................ 461 1,042 Redeemed................................................... (137,007) (108,428) ----------- ----------- Net increase/(decrease).................................... $ 50,768 $ (8,998) =========== =========== MARKET CLASS SHARES: Sold....................................................... $ 442,000 $ 854,023 Issued as reinvestment of dividends........................ -- 12 Redeemed................................................... (487,000) (800,035) ----------- ----------- Net increase/(decrease).................................... $ (45,000) $ 54,000 =========== =========== DAILY CLASS SHARES: Sold....................................................... $ 235,275 $ 979,066 Issued as reinvestment of dividends........................ 2,339 9,896 Redeemed................................................... (365,575) (906,696) ----------- ----------- Net increase/(decrease).................................... $ (127,961) $ 82,266 =========== =========== SERVICE CLASS SHARES: Sold....................................................... $ 70,000 $ 222,300 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... (72,000) (217,300) ----------- ----------- Net increase/(decrease).................................... $ (2,000) $ 5,000 =========== =========== INVESTOR B SHARES: Sold....................................................... $ 24 $ 58 Issued as reinvestment of dividends........................ --** 1 Redeemed................................................... (30) (51) ----------- ----------- Net increase/(decrease).................................... $ (6) $ 8 =========== =========== INVESTOR C SHARES:+ Sold....................................................... $ 23 $ 95 Issued as reinvestment of dividends........................ --** -- Redeemed................................................... (30) -- ----------- ----------- Net increase/(decrease).................................... $ (7) $ 95 =========== =========== Total net increase/(decrease).............................. $ 360,383 $ 555,246 =========== ===========
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. **Amount represents less than 500 shares and/or $500, as applicable. +Municipal Reserves' Investor C Shares commenced operations on March 28, 2002, respectively. SEE NOTES TO FINANCIAL STATEMENTS. 78 NATIONS RESERVES MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
TAX-EXEMPT RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ------------------------------------ (IN THOUSANDS) CAPITAL CLASS SHARES:+ Sold...................................................... $ 680,764 $ -- Issued as reinvestment of dividends....................... --** -- Redeemed.................................................. (541,107) -- ----------- ----------- Net increase/(decrease)................................... $ 139,657 $ -- =========== =========== INSTITUTIONAL CLASS SHARES:+ Sold...................................................... $ 1 $ -- Issued as reinvestment of dividends....................... --** -- Redeemed.................................................. -- -- ----------- ----------- Net increase/(decrease)................................... $ 1 $ -- =========== =========== TRUST CLASS SHARES: Sold...................................................... $ 1,275,015 $ 2,628,367 Issued as reinvestment of dividends....................... 200 420 Redeemed.................................................. (1,583,632) (2,405,809) ----------- ----------- Net increase/(decrease)................................... $ (308,417) $ 222,978 =========== =========== LIQUIDITY CLASS SHARES:+ Sold...................................................... $ 806 $ -- Issued as reinvestment of dividends....................... -- -- Redeemed.................................................. (404) -- ----------- ----------- Net increase/(decrease)................................... $ 402 $ -- =========== =========== ADVISER CLASS SHARES:+ Sold...................................................... $ 3,893 $ -- Issued as reinvestment of dividends....................... 3 -- Redeemed.................................................. (20) -- ----------- ----------- Net increase/(decrease)................................... $ 3,876 $ -- =========== =========== INVESTOR CLASS SHARES: Sold...................................................... $ 263,366 $ 339,392 Issued as reinvestment of dividends....................... 755 3,637 Redeemed.................................................. (328,994) (373,708) ----------- ----------- Net increase/(decrease)................................... $ (64,873) $ (30,679) =========== =========== DAILY CLASS SHARES: Sold...................................................... $ 69,846 $ 168,239 Issued as reinvestment of dividends....................... 269 1,427 Redeemed.................................................. (87,167) (166,782) ----------- ----------- Net increase/(decrease)................................... $ (17,052) $ 2,884 =========== =========== INVESTOR A SHARES: Sold...................................................... $ 133,401 $ 202,585 Issued as reinvestment of dividends....................... 296 1,079 Redeemed.................................................. (126,218) (175,261) ----------- ----------- Net increase/(decrease)................................... $ 7,479 $ 28,403 =========== =========== Total net increase/(decrease)............................. $ (238,927) $ 223,586 =========== ===========
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. **Amount represents less than 500 shares and/or $500, as applicable. +Tax-Exempt Reserves' Capital Class, Institutional Class, Adviser Class and Liquidity Class commenced operations on June 13, 2002, June 18, 2002, August 8, 2002 and September 3, 2002, respectively. SEE NOTES TO FINANCIAL STATEMENTS. 79 NATIONS RESERVES MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
CALIFORNIA TAX-EXEMPT RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 YEAR ENDED (UNAUDITED) MARCH 31, 2002 ------------------------------------ (IN THOUSANDS) CAPITAL CLASS SHARES: Sold...................................................... $ 430,784 $ 156,196 Issued as reinvestment of dividends....................... 938 479 Redeemed.................................................. (265,846) (54,662) --------- ----------- Net increase/(decrease)................................... $ 165,876 $ 102,013 ========= =========== INSTITUTIONAL CLASS SHARES: Sold...................................................... $ 43,265 $ 1 Issued as reinvestment of dividends....................... 24 -- Redeemed.................................................. (5,438) (1,001) --------- ----------- Net increase/(decrease)................................... $ 37,851 $ (1,000) ========= =========== TRUST CLASS SHARES: Sold...................................................... $ 436,416 $ 539,965 Issued as reinvestment of dividends....................... 133 37 Redeemed.................................................. (388,871) (517,890) --------- ----------- Net increase/(decrease)................................... $ 47,678 $ 22,112 ========= =========== LIQUIDITY CLASS SHARES:+ Sold...................................................... $ 6,263 $ 15,414 Issued as reinvestment of dividends....................... 13 21 Redeemed.................................................. (4,139) (14,286) --------- ----------- Net increase/(decrease)................................... $ 2,137 $ 1,149 ========= =========== ADVISER CLASS SHARES: Sold...................................................... $ 424,164 $ 584,449 Issued as reinvestment of dividends....................... 1,737 5,280 Redeemed.................................................. (325,705) (610,181) --------- ----------- Net increase/(decrease)................................... $ 100,196 $ (20,452) ========= =========== INVESTOR CLASS SHARES: Sold...................................................... $ 560,287 $ 501,654 Issued as reinvestment of dividends....................... 1,450 4,139 Redeemed.................................................. (376,064) (491,546) --------- ----------- Net increase/(decrease)................................... $ 185,673 $ 14,247 ========= =========== DAILY CLASS SHARES: Sold...................................................... $ 300,982 $ 1,422,764 Issued as reinvestment of dividends....................... 2,706 10,630 Redeemed.................................................. (382,034) (1,374,901) --------- ----------- Net increase/(decrease)................................... $ (78,346) $ 58,493 ========= =========== INVESTOR B SHARES: Sold...................................................... $ 7 $ -- Issued as reinvestment of dividends....................... --** --** Redeemed.................................................. -- (64) --------- ----------- Net increase/(decrease)................................... $ 7 $ (64) ========= =========== Total net increase/(decrease)............................. $ 461,072 $ 176,498 ========= ===========
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. **Amount represents less than 500 shares and/or $500, as applicable. +California Tax-Exempt Reserves' Liquidity Class Shares commenced operations on August 10, 2001. SEE NOTES TO FINANCIAL STATEMENTS. 80 NATIONS RESERVES MONEY MARKET FUNDS SCHEDULES OF CAPITAL STOCK ACTIVITY* (CONTINUED)
NEW YORK TAX-EXEMPT RESERVES SIX MONTHS ENDED SEPTEMBER 30, 2002 PERIOD ENDED (UNAUDITED) MARCH 31, 2002 ----------------------------------- (IN THOUSANDS) CAPITAL CLASS SHARES:+ Sold....................................................... $ 13,856 $19,990 Issued as reinvestment of dividends........................ 111 25 Redeemed................................................... (2,737) -- -------- ------- Net increase/(decrease).................................... $ 11,230 $20,015 ======== ======= INSTITUTIONAL CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- --** Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= TRUST CLASS SHARES:+ Sold....................................................... $ 44,508 $ 1,029 Issued as reinvestment of dividends........................ -- 1 Redeemed................................................... (28,956) (204) -------- ------- Net increase/(decrease).................................... $ 15,552 $ 826 ======== ======= LIQUIDITY CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- --** Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= ADVISER CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- --** Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= INVESTOR CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- --** Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= MARKET CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- --** Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= DAILY CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- --** Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= SERVICE CLASS SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= INVESTOR B SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= INVESTOR C SHARES:+ Sold....................................................... $ -- $ 1 Issued as reinvestment of dividends........................ -- -- Redeemed................................................... -- -- -------- ------- Net increase/(decrease).................................... $ -- $ 1 ======== ======= Total net increase/(decrease).............................. $ 26,782 $20,850 ======== =======
- --------------- *Since the Funds have sold, issued as reinvestment of dividends and redeemed shares only at a constant net asset value of $1.00 per share, the number of shares represented by such sales, reinvestments and redemptions is the same as the amounts shown above for such transactions. **Amount represents less than 500 shares and/or $500, as applicable. +New York Tax Exempt Reserves' Capital Class, Institutional Class, Trust Class, Liquidity Class, Adviser Class, Investor Class, Market Class, Daily Class, Service Class, Investor B Shares and Investor C Shares commenced operations on February 15, 2002. SEE NOTES TO FINANCIAL STATEMENTS. 81 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME ---------------------------------------- CASH RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited) $1.00 $0.0092 $(0.0092) Year ended 3/31/2002........................................ 1.00 0.0320 (0.0320) Year ended 3/31/2001........................................ 1.00 0.0628 (0.0628) Year ended 3/31/2000........................................ 1.00 0.0532 (0.0532) Period ended 3/31/1999*..................................... 1.00 0.0484 (0.0484) Year ended 4/30/1998........................................ 1.00 0.0554 (0.0554) Year ended 4/30/1997........................................ 1.00 0.0531 (0.0531) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0090 $(0.0090) Year ended 3/31/2002........................................ 1.00 0.0316 (0.0316) Period ended 3/31/2001**.................................... 1.00 0.0192 (0.0192) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0087 $(0.0087) Year ended 3/31/2002........................................ 1.00 0.0310 (0.0310) Year ended 3/31/2001........................................ 1.00 0.0618 (0.0618) Period ended 3/31/2000**.................................... 1.00 0.0463 (0.0463) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0084 $(0.0084) Year ended 3/31/2002........................................ 1.00 0.0305 (0.0305) Year ended 3/31/2001........................................ 1.00 0.0613 (0.0613) Year ended 3/31/2000........................................ 1.00 0.0517 (0.0517) Period ended 3/31/1999*..................................... 1.00 0.0470 (0.0470) Year ended 4/30/1998........................................ 1.00 0.0539 (0.0539) Year ended 4/30/1997........................................ 1.00 0.0516 (0.0516) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0079 $(0.0079) Year ended 3/31/2002........................................ 1.00 0.0295 (0.0295) Year ended 3/31/2001........................................ 1.00 0.0603 (0.0603) Year ended 3/31/2000........................................ 1.00 0.0507 (0.0507) Period ended 3/31/1999*..................................... 1.00 0.0461 (0.0461) Year ended 4/30/1998........................................ 1.00 0.0529 (0.0529) Year ended 4/30/1997........................................ 1.00 0.0506 (0.0506) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0074 $(0.0074) Year ended 3/31/2002........................................ 1.00 0.0285 (0.0285) Year ended 3/31/2001........................................ 1.00 0.0593 (0.0593) Period ended 3/31/2000**.................................... 1.00 0.0484 (0.0484) MARKET CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0069 $(0.0069) Year ended 3/31/2002........................................ 1.00 0.0275 (0.0275) Year ended 3/31/2001........................................ 1.00 0.0583 (0.0583) Year ended 3/31/2000........................................ 1.00 0.0487 (0.0487) Period ended 3/31/1999*..................................... 1.00 0.0447 (0.0447) Year ended 4/30/1998........................................ 1.00 0.0519 (0.0519) Period ended 4/30/1997 **................................... 1.00 0.0493 (0.0493) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0062 $(0.0062) Year ended 3/31/2002........................................ 1.00 0.0260 (0.0260) Year ended 3/31/2001........................................ 1.00 0.0568 (0.0568) Period ended 3/31/2000**.................................... 1.00 0.0459 (0.0459) SERVICE CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0041 $(0.0041) Year ended 3/31/2002........................................ 1.00 0.0220 (0.0220) Year ended 3/31/2001........................................ 1.00 0.0528 (0.0528) Period ended 3/31/2000**.................................... 1.00 0.0404 (0.0404) INVESTOR A SHARES Period ended 9/30/2002 (unaudited)**........................ $1.00 $0.0070 $(0.0070) INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0036 $(0.0036) Year ended 3/31/2002........................................ 1.00 0.0210 (0.0210) Year ended 3/31/2001........................................ 1.00 0.0518 (0.0518) Period ended 3/31/2000**.................................... 1.00 0.0225 (0.0225) INVESTOR C SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0036 $(0.0036) Year ended 3/31/2002........................................ 1.00 0.0210 (0.0210) Year ended 3/31/2001........................................ 1.00 0.0518 (0.0518) Period ended 3/31/2000**.................................... 1.00 0.0223 (0.0223) MARSICO SHARES Period ended 9/30/2002 (unaudited)**........................ $1.00 $0.0075 $(0.0075)
- --------------- +Annualized. ++Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. The total returns for the six months ended September 30, 2002 reflect the historical return information for the Nations Prime Fund Investor A Shares and Marsico Shares, which were reorganized into Nations Cash Reserves Investor A Shares and Marsico Shares on May 10, 2002. *Fiscal year end changed to March 31. Prior to this, the fiscal year end was April 30. **Cash Reserves Institutional Class, Trust Class, Investor Class, Market Class, Daily Class, Service Class, Investor A, Investor B, Investor C Shares and Marsico Shares commenced operations on November 30, 2000, May 17, 1999, April 12, 1999, May 3, 1996, April 12, 1999, April 28, 1999, May 13, 2002, October 4, 1999, October 5, 1999 and May 13, 2002, respectively. (a)The effect of the custodial expense offset (Note 2) on the operating expense ratio, with and without waivers and/or expense reimbursements, was less than 0.01%. (b)The effect of interest expense on the operating expense ratio was less than 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 82 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS --------------- RATIO OF RATIO OF RATIO OF NET ASSET NET ASSETS OPERATING NET INVESTMENT OPERATING VALUE END OF EXPENSES TO INCOME/(LOSS) TO EXPENSES TO END OF TOTAL PERIOD AVERAGE NET AVERAGE NET AVERAGE PERIOD RETURN++ (000) ASSETS ASSETS NET ASSETS - ------------------------------------------------------------------------------------- $1.00 0.92% $27,076,163 0.20%+(a)(b) 1.84%+ 0.27%+(a) 1.00 3.25 39,231,604 0.20(a)(b) 2.92 0.27(a) 1.00 6.46 20,037,526 0.20(a) 6.22 0.27(a) 1.00 5.46 8,642,609 0.20(a)(b) 5.37 0.29(a) 1.00 4.95 4,379,430 0.20+(a) 5.24+ 0.43+(a) 1.00 5.70 3,051,559 0.20(b) 5.54 0.44 1.00 5.44 1,684,233 0.20 5.32 0.45 $1.00 0.90% $3,769,972 0.24%+(a)(b) 1.80%+ 0.31%+(a) 1.00 3.21 3,257,737 0.24(a)(b) 2.88 0.31(a) 1.00 1.90 651,116 0.24+(a) 6.18+ 0.31+(a) $1.00 0.87% $5,252,584 0.30%+(a)(b) 1.74%+ 0.37%+(a) 1.00 3.14 2,686,258 0.30(a)(b) 2.82 0.37(a) 1.00 6.36 2,676,204 0.30(a) 6.12 0.37(a) 1.00 4.72 1,719,142 0.30+(a)(b) 5.27+ 0.39+(a) $1.00 0.84% $1,468,819 0.35%+(a)(b) 1.69%+ 1.12%+(a) 1.00 3.09 1,742,687 0.35(a)(b) 2.77 1.12(a) 1.00 6.30 1,476,883 0.35(a) 6.07 1.12(a) 1.00 5.30 1,396,969 0.35(a)(b) 5.22 1.14(a) 1.00 4.80 1,423,382 0.35+(a) 5.09+ 1.28+(a) 1.00 5.53 1,107,869 0.35(b) 5.39 1.29 1.00 5.28 419,851 0.35 5.17 0.60 $1.00 0.79% $6,819,849 0.45%+(a)(b) 1.59%+ 0.52%+(a) 1.00 2.99 7,873,470 0.45(a)(b) 2.67 0.52(a) 1.00 6.20 5,939,163 0.45(a) 5.97 0.52(a) 1.00 5.19 4,780,346 0.45(a)(b) 5.12 0.54(a) 1.00 4.71 870,170 0.45+(a) 4.99+ 0.68+(a) 1.00 5.43 672,417 0.45(b) 5.29 0.69 1.00 5.19 247,551 0.45 5.07 0.70 $1.00 0.74% $4,491,950 0.55%+(a)(b) 1.49%+ 0.62%+(a) 1.00 2.89 4,966,158 0.55(a)(b) 2.57 0.62(a) 1.00 6.09 7,585,825 0.55(a) 5.87 0.62(a) 1.00 4.94 7,068,117 0.55+(a)(b) 5.02+ 0.64+(a) $1.00 0.69% $3,719,763 0.65%+(a)(b) 1.39%+ 0.72%+(a) 1.00 2.78 3,844,641 0.65(a)(b) 2.47 0.72(a) 1.00 5.99 3,342,882 0.65(a) 5.77 0.72(a) 1.00 4.98 2,779,002 0.65(a)(b) 4.92 0.74(a) 1.00 4.56 1,486,502 0.61+(a) 4.83+ 0.88+(a) 1.00 5.33 649,503 0.55(b) 5.19 0.89 1.00 5.04 333,000 0.55+ 4.97+ 0.80+ $1.00 0.62% $12,320,109 0.80%+(a)(b) 1.24%+ 0.87%+(a) 1.00 2.63 14,018,697 0.80(a)(b) 2.32 0.87(a) 1.00 5.83 14,589,888 0.80(a) 5.62 0.87(a) 1.00 4.69 9,753,000 0.80+(a)(b) 4.77+ 0.89+(a) $1.00 0.42% $ 972,736 1.20%+(a)(b) 0.84%+ 1.27%+(a) 1.00 2.22 1,037,281 1.20(a)(b) 1.92 1.27(a) 1.00 5.41 913,512 1.20(a) 5.22 1.27(a) 1.00 4.11 512,318 1.20+(a)(b) 4.37+ 1.29+(a) $1.00 0.70% $ 410,876 0.65%+(a)(b) 1.39%+ 0.72%+(a) $1.00 0.37% $ 51,728 1.30%+(a)(b) 0.74%+ 1.37%+(a) 1.00 2.12 37,408 1.30(a)(b) 1.82 1.37(a) 1.00 5.30 27,360 1.30(a) 5.12 1.37(a) 1.00 2.28 8,828 1.30+(a)(b) 4.27+ 1.39+(a) $1.00 0.36% $ 4,182 1.30%+(a)(b) 0.74%+ 1.37%+(a) 1.00 2.12 1,357 1.30(a)(b) 1.82 1.37(a) 1.00 5.30 1,717 1.30(a) 5.12 1.37(a) 1.00 2.25 345 1.30+(a)(b) 4.27+ 1.39+(a) $1.00 0.75% $ 20,749 0.55%+(a)(b) 1.49%+ 0.62%+(a)
SEE NOTES TO FINANCIAL STATEMENTS. 83 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME ---------------------------------------- MONEY MARKET RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0088 $(0.0088) Year ended 3/31/2002........................................ 1.00 0.0311 (0.0311) Year ended 3/31/2001........................................ 1.00 0.0625 (0.0625) Year ended 3/31/2000........................................ 1.00 0.0535 (0.0535) Period ended 3/31/1999*, **................................. 1.00 0.0438 (0.0438) Period ended 5/15/1998...................................... 1.00 0.0252 (0.0252) Year ended 11/30/1997....................................... 1.00 0.0545 (0.0545) Year ended 11/30/1996....................................... 1.00 0.0516 (0.0516) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0086 $(0.0086) Year ended 3/31/2002........................................ 1.00 0.0307 (0.0307) Period ended 3/31/2001***................................... 1.00 0.0221 (0.0221) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0083 $(0.0083) Year ended 3/31/2002........................................ 1.00 0.0301 (0.0301) Year ended 3/31/2001........................................ 1.00 0.0615 (0.0615) Period ended 3/31/2000***................................... 1.00 0.0016 (0.0016) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0080 $(0.0080) Year ended 3/31/2002........................................ 1.00 0.0296 (0.0296) Year ended 3/31/2001........................................ 1.00 0.0610 (0.0610) Year ended 3/31/2000........................................ 1.00 0.0520 (0.0520) Period ended 3/31/1999*, ***................................ 1.00 0.0281 (0.0281) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0075 $(0.0075) Year ended 3/31/2002........................................ 1.00 0.0286 (0.0286) Year ended 3/31/2001........................................ 1.00 0.0600 (0.0600) Year ended 3/31/2000........................................ 1.00 0.0548 (0.0548) Period ended 3/31/1999*, ***................................ 1.00 0.0344 (0.0344) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0070 $(0.0070) Year ended 3/31/2002........................................ 1.00 0.0276 (0.0276) Year ended 3/31/2001........................................ 1.00 0.0501 (0.0501) Period ended 3/31/2000***................................... 1.00 0.0043 (0.0043) MARKET CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0065 $(0.0065) Year ended 3/31/2002........................................ 1.00 0.0266 (0.0266) Year ended 3/31/2001........................................ 1.00 0.0580 (0.0580) Year ended 3/31/2000........................................ 1.00 0.0490 (0.0490) Period ended 3/31/1999*, ***................................ 1.00 0.0214 (0.0214) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0058 $(0.0058) Year ended 3/31/2002........................................ 1.00 0.0251 (0.0251) Year ended 3/31/2001........................................ 1.00 0.0565 (0.0565) Period ended 3/31/2000***................................... 1.00 0.0346 (0.0346) SERVICE CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0038 $(0.0038) Year ended 3/31/2002........................................ 1.00 0.0211 (0.0211) Year ended 3/31/2001........................................ 1.00 0.0525 (0.0525) Period ended 3/31/2000***................................... 1.00 0.0386 (0.0386) INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0033 $(0.0033) Year ended 3/31/2002........................................ 1.00 0.0201 (0.0201) Year ended 3/31/2001........................................ 1.00 0.0515 (0.0515) Period ended 3/31/2000***................................... 1.00 0.0227 (0.0227) INVESTOR C SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0033 $(0.0033) Year ended 3/31/2002........................................ 1.00 0.0201 (0.0201) Year ended 3/31/2001........................................ 1.00 0.0208 (0.0208) Period ended 3/31/2000***................................... 1.00 0.0112 (0.0112)
- --------------- +Annualized. ++Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. *Fiscal year end changed to March 31. Prior to this, the fiscal year end was April 30. **The financial information for the fiscal periods through May 15, 1998 reflect the financial information for the Emerald Prime Advantage Institutional Fund, which was reorganized into Capital Class Shares as of May 22, 1998. ***Money Market Reserves Institutional Class, Trust Class, Liquidity Class, Adviser Class, Investor Class, Market Class, Daily Class, Service Class, Investor B and Investor C Shares commenced operations on November 17, 2000, March 22, 2000, August 7, 1998, July 2, 1998, March 3, 2000, October 9, 1998, July 21, 1999, May 18, 1999, October 5, 1999 and January 6, 2000, respectively. (a)The effect of the custodial expense offset (Note 2) on the operating expense ratio, with and without waivers and/or expense reimbursements, was less than 0.01%. (b)The effect of interest expense on the operating expense ratio was less than 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 84 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS --------------- RATIO OF RATIO OF RATIO OF NET ASSET NET ASSETS OPERATING NET INVESTMENT OPERATING VALUE END OF EXPENSES TO INCOME/(LOSS) TO EXPENSES TO END OF TOTAL PERIOD AVERAGE NET AVERAGE NET AVERAGE PERIOD RETURN++ (000) ASSETS ASSETS NET ASSETS - ------------------------------------------------------------------------------------- $1.00 0.88% $9,355,522 0.20%+(a) 1.75%+ 0.28%+(a) 1.00 3.16 11,084,336 0.20(a) 2.85 0.28(a) 1.00 6.43 6,103,253 0.20(a)(b) 6.19 0.27(a) 1.00 5.48 4,064,349 0.20(a)(b) 5.64 0.33(a) 1.00 4.47 595,482 0.20+(a) 4.87+ 0.46+(a) 1.00 2.55 118,880 0.20+ 5.54+ 0.27+ 1.00 5.58 177,908 0.20 5.45 0.28 1.00 5.29 133,044 0.35 5.16 0.35 $1.00 0.86% $ 294,862 0.24%+(a) 1.71%+ 0.32%+(a) 1.00 3.12 535,650 0.24(a) 2.81 0.32(a) 1.00 2.23 574,968 0.24+(a)(b) 6.15+ 0.31+(a) $1.00 0.83% $ 428,985 0.30%+(a) 1.65%+ 0.38%+(a) 1.00 3.05 1,311,771 0.30(a) 2.75 0.38(a) 1.00 6.33 67,422 0.30(a)(b) 6.09 0.37(a) 1.00 0.16 38 0.30+(a)(b) 5.54+ 0.43+(a) $1.00 0.81% $ 441,922 0.35%+(a) 1.60%+ 1.13%+(a) 1.00 3.00 566,000 0.35(a) 2.70 1.13(a) 1.00 6.27 1,085,231 0.35(a)(b) 6.04 1.12(a) 1.00 5.32 946,156 0.35(a)(b) 5.49 1.18(a) 1.00 2.87 1,078 0.35+(a) 4.72+ 1.31+(a) $1.00 0.76% $ 675,806 0.45%+(a) 1.50%+ 0.53%+(a) 1.00 2.90 967,747 0.45(a) 2.60 0.53(a) 1.00 6.17 622,177 0.45(a)(b) 5.94 0.52(a) 1.00 5.62 553,728 0.45(a)(b) 5.39 0.58(a) 1.00 3.46 6,377 0.45+(a) 4.62+ 0.71+(a) $1.00 0.70% $ 45,148 0.55%+(a) 1.40%+ 0.63%+(a) 1.00 2.80 44,170 0.55(a) 2.50 0.63(a) 1.00 5.12 90,380 0.55(a)(b) 5.84 0.62(a) 1.00 0.43 1 0.55+(a)(b) 5.29+ 0.68+(a) $1.00 0.65% $1,314,632 0.65%+(a) 1.30%+ 0.73%+(a) 1.00 2.69 1,422,125 0.65(a) 2.40 0.73(a) 1.00 5.96 1,292,998 0.65(a)(b) 5.74 0.72(a) 1.00 5.01 1,021,002 0.65(a)(b) 5.19 0.78(a) 1.00 2.14 873,993 0.65+(a) 4.42+ 0.91+(a) $1.00 0.58% $ 4,967 0.80%+(a) 1.15%+ 0.88%+(a) 1.00 2.54 4,501 0.80(a) 2.25 0.88(a) 1.00 5.80 7,561 0.80(a)(b) 5.59 0.87(a) 1.00 3.51 4,525 0.80+(a)(b) 5.04+ 0.93+(a) $1.00 0.38% $ 130,242 1.20%+(a) 0.75%+ 1.28%+(a) 1.00 2.13 139,024 1.20(a) 1.85 1.28(a) 1.00 5.38 203,160 1.20(a)(b) 5.19 1.27(a) 1.00 3.93 80,500 1.20+(a)(b) 4.64+ 1.33+(a) $1.00 0.33% $ 14,180 1.30%+(a) 0.65%+ 1.38%+(a) 1.00 2.03 9,407 1.30(a) 1.75 1.38(a) 1.00 5.27 6,907 1.30(a)(b) 5.09 1.37(a) 1.00 2.29 1,940 1.30+(a)(b) 4.54+ 1.43+(a) $1.00 0.33% $ 1,735 1.30%+(a) 0.65%+ 1.38%+(a) 1.00 2.03 408 1.30(a) 1.75 1.38(a) 1.00 2.08 340 1.30(a)(b) 5.09 1.37(a) 1.00 1.12 19 1.30+(a)(b) 4.54+ 1.43+(a)
SEE NOTES TO FINANCIAL STATEMENTS. 85 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME -------------------------------------- TREASURY RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0085 $(0.0085) Year ended 3/31/2002........................................ 1.00 0.0302 (0.0302) Year ended 3/31/2001........................................ 1.00 0.0603 (0.0603) Year ended 3/31/2000........................................ 1.00 0.0504 (0.0504) Period ended 3/31/1999*..................................... 1.00 0.0462 (0.0462) Year ended 4/30/1998........................................ 1.00 0.0541 (0.0541) Year ended 4/30/1997........................................ 1.00 0.0519 (0.0519) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0083 $(0.0083) Year ended 3/31/2002........................................ 1.00 0.0298 (0.0298) Period ended 3/31/2001**.................................... 1.00 0.0206 (0.0206) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0080 $(0.0080) Year ended 3/31/2002........................................ 1.00 0.0292 (0.0292) Year ended 3/31/2001........................................ 1.00 0.0593 (0.0593) Period ended 3/31/2000**.................................... 1.00 0.0436 (0.0436) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0078 $(0.0078) Year ended 3/31/2002........................................ 1.00 0.0287 (0.0287) Year ended 3/31/2001........................................ 1.00 0.0588 (0.0588) Year ended 3/31/2000........................................ 1.00 0.0489 (0.0489) Period ended 3/31/1999*..................................... 1.00 0.0448 (0.0448) Year ended 4/30/1998........................................ 1.00 0.0526 (0.0526) Year ended 4/30/1997........................................ 1.00 0.0504 (0.0504) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0073 $(0.0073) Year ended 3/31/2002........................................ 1.00 0.0277 (0.0277) Year ended 3/31/2001........................................ 1.00 0.0578 (0.0578) Year ended 3/31/2000........................................ 1.00 0.0479 (0.0479) Period ended 3/31/1999*..................................... 1.00 0.0439 (0.0439) Year ended 4/30/1998........................................ 1.00 0.0516 (0.0516) Year ended 4/30/1997........................................ 1.00 0.0494 (0.0494) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0068 $(0.0068) Year ended 3/31/2002........................................ 1.00 0.0267 (0.0267) Year ended 3/31/2001........................................ 1.00 0.0568 (0.0568) Period ended 3/31/2000**.................................... 1.00 0.0455 (0.0455) MARKET CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0063 $(0.0063) Year ended 3/31/2002........................................ 1.00 0.0257 (0.0257) Year ended 3/31/2001........................................ 1.00 0.0557 (0.0557) Year ended 3/31/2000........................................ 1.00 0.0459 (0.0459) Period ended 3/31/1999*..................................... 1.00 0.0423 (0.0423) Year ended 4/30/1998........................................ 1.00 0.0505 (0.0505) Period ended 4/30/1997**.................................... 1.00 0.0481 (0.0481) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0055 $(0.0055) Year ended 3/31/2002........................................ 1.00 0.0242 (0.0242) Year ended 3/31/2001........................................ 1.00 0.0543 (0.0543) Period ended 3/31/2000**.................................... 1.00 0.0431 (0.0431) SERVICE CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0035 $(0.0035) Year ended 3/31/2002........................................ 1.00 0.0202 (0.0202) Year ended 3/31/2001........................................ 1.00 0.0503 (0.0503) Period ended 3/31/2000**.................................... 1.00 0.0358 (0.0358) INVESTOR A SHARES Period ended 9/30/2002 (unaudited)**........................ $1.00 $0.0064 $(0.0064) INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0030 $(0.0030) Year ended 3/31/2002........................................ 1.00 0.0192 (0.0192) Year ended 3/31/2001........................................ 1.00 0.0493 (0.0493) Period ended 3/31/2000**.................................... 1.00 0.0192 (0.0192) INVESTOR C SHARES** Period ended 9/30/2002 (unaudited)**........................ $1.00 $0.0002 $(0.0002)
- --------------- +Annualized. ++Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. The total return for the six months ended September 30, 2002 reflects the historical return information for the Nations Treasury Fund Investor A Shares, which were reorganized into Nations Treasury Reserves Investor A Shares on May 10, 2002. *Fiscal year end changed to March 31. Prior to this, the fiscal year end was April 30. **Treasury Reserves Institutional Class, Trust Class, Investor Class, Market Class, Daily Class, Service Class, Investor A Shares, Investor B Shares and Investor C Shares commenced operations on November 21, 2000, May 17, 1999, April 12, 1999, May 3, 1996, April 12, 1999, May 17, 1999, May 13, 2002, October 15, 1999 and July 16, 2002, respectively. ***Amount represents less than $500. (a)The effect of the custodial expense offset (Note 2) on the operating expense ratio, with and without waivers and/or expense reimbursements, was less than 0.01%. (b)The effect of interest expense on the operating expense ratio was less than 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 86 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS --------------- RATIO OF RATIO OF RATIO OF NET ASSET NET ASSETS OPERATING NET INVESTMENT OPERATING VALUE END OF EXPENSES TO INCOME/(LOSS) TO EXPENSES TO END OF TOTAL PERIOD AVERAGE NET AVERAGE NET AVERAGE PERIOD RETURN++ (000) ASSETS ASSETS NET ASSETS - ------------------------------------------------------------------------------------ $1.00 0.85% $1,854,732 0.20%+(a) 1.72%+ 0.27%+(a) 1.00 3.06 3,715,126 0.20(a) 2.81 0.27(a) 1.00 6.20 1,900,312 0.20(a)(b) 5.99 0.27(a) 1.00 5.15 1,026,684 0.20(a)(b) 5.06 0.28(a) 1.00 4.72 1,382,688 0.20+(a) 4.99%+ 0.45+(a) 1.00 5.55 246,058 0.20 5.41 0.45 1.00 5.30 468,975 0.20 5.20 0.46 $1.00 0.83% $ 562,484 0.24%+(a) 1.68%+ 0.31%+(a) 1.00 3.02 383,265 0.24(a) 2.77 0.31(a) 1.00 2.08 29,572 0.24+(a)(b) 5.95+ 0.31+(a) $1.00 0.80% $ 829,831 0.30%+(a) 1.62%+ 0.37%+(a) 1.00 2.96 399,582 0.30(a) 2.71 0.37(a) 1.00 6.09 315,854 0.30(a)(b) 5.89 0.37(a) 1.00 4.45 506,339 0.30+(a)(b) 4.96+ 0.38+(a) $1.00 0.78% $ 392,626 0.35%+(a) 1.57%+ 1.17%+(a) 1.00 2.90 370,139 0.35(a) 2.66 1.17(a) 1.00 6.04 348,850 0.35(a)(b) 5.84 1.17(a) 1.00 5.00 364,761 0.35(a)(b) 4.91 1.18(a) 1.00 4.58 304,387 0.35+(a) 4.84+ 1.35+(a) 1.00 5.38 743,410 0.35 5.26 1.35 1.00 5.15 81,575 0.35 5.05 0.61 $1.00 0.73% $2,965,785 0.45%+(a) 1.47%+ 0.52%+(a) 1.00 2.80 2,568,691 0.45(a) 2.56 0.52(a) 1.00 5.93 1,918,597 0.45(a)(b) 5.74 0.52(a) 1.00 4.89 1,460,966 0.45(a)(b) 4.81 0.53(a) 1.00 4.48 344,906 0.45+(a) 4.74+ 0.70+(a) 1.00 5.28 222,760 0.45 5.16 0.70 1.00 5.06 154,256 0.45 4.95 0.71 $1.00 0.68% $ 782,961 0.55%+(a) 1.37%+ 0.62%+(a) 1.00 2.70 688,990 0.55(a) 2.46 0.62(a) 1.00 5.83 700,202 0.55(a)(b) 5.64 0.62(a) 1.00 4.65 573,261 0.55+(a)(b) 4.71+ 0.63+(a) $1.00 0.63% $1,410,463 0.65%+(a) 1.27%+ 0.72%+(a) 1.00 2.60 1,381,945 0.65(a) 2.36 0.72(a) 1.00 5.72 1,369,949 0.65(a)(b) 5.54 0.72(a) 1.00 4.68 1,511,932 0.65(a)(b) 4.61 0.73(a) 1.00 4.31 1,169,932 0.62+(a) 4.57+ 0.90+(a) 1.00 5.18 265,495 0.55 5.06 0.90 1.00 4.92 123,396 0.55+ 4.85+ 0.81+ $1.00 0.55% $1,119,175 0.80%+(a) 1.12%+ 0.87%+(a) 1.00 2.44 1,301,678 0.80(a) 2.21 0.87(a) 1.00 5.56 981,837 0.80(a)(b) 5.39 0.87(a) 1.00 4.40 847,775 0.80+(a)(b) 4.46+ 0.88+(a) $1.00 0.35% $ 275,446 1.20%+(a) 0.72%+ 1.27%+(a) 1.00 2.04 330,420 1.20(a) 1.81 1.27(a) 1.00 5.14 343,240 1.20(a)(b) 4.99 1.27(a) 1.00 3.63 244,035 1.20+(a)(b) 4.06+ 1.28+(a) $1.00 0.64% $ 883,013 0.65%+(a) 1.27%+ 0.72%+(a) $1.00 0.30% $ 552 1.30%+(a) 0.62%+ 1.37%+(a) 1.00 1.93 180 1.30(a) 1.71 1.37(a) 1.00 5.04 237 1.30(a)(b) 4.89 1.37(a) 1.00 1.94 80 1.30+(a)(b) 3.96+ 1.38+(a) $1.00 0.02% $ --*** 1.30%+(a) 0.62%+ 1.37%+(a)
SEE NOTES TO FINANCIAL STATEMENTS. 87 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME -------------------------------------- GOVERNMENT RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0085 $(0.0085) Year ended 3/31/2002........................................ 1.00 0.0303 (0.0303) Year ended 3/31/2001........................................ 1.00 0.0615 (0.0615) Year ended 3/31/2000........................................ 1.00 0.0516 (0.0516) Period ended 3/31/1999*..................................... 1.00 0.0468 (0.0468) Year ended 4/30/1998........................................ 1.00 0.0543 (0.0543) Year ended 4/30/1997........................................ 1.00 0.0520 (0.0520) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0083 $(0.0083) Year ended 3/31/2002........................................ 1.00 0.0299 (0.0299) Period ended 3/31/2001**.................................... 1.00 0.0210 (0.0210) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0080 $(0.0080) Year ended 3/31/2002........................................ 1.00 0.0293 (0.0293) Year ended 3/31/2001........................................ 1.00 0.0605 (0.0605) Period ended 3/31/2000**.................................... 1.00 0.0448 (0.0448) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0077 $(0.0077) Year ended 3/31/2002........................................ 1.00 0.0286 (0.0286) Year ended 3/31/2001........................................ 1.00 0.0600 (0.0600) Year ended 3/31/2000........................................ 1.00 0.0501 (0.0501) Period ended 3/31/1999*..................................... 1.00 0.0454 (0.0454) Year ended 4/30/1998........................................ 1.00 0.0528 (0.0528) Year ended 4/30/1997........................................ 1.00 0.0505 (0.0505) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0072 $(0.0072) Year ended 3/31/2002........................................ 1.00 0.0278 (0.0278) Year ended 3/31/2001........................................ 1.00 0.0590 (0.0590) Year ended 3/31/2000........................................ 1.00 0.0491 (0.0491) Period ended 3/31/1999*..................................... 1.00 0.0445 (0.0445) Year ended 4/30/1998........................................ 1.00 0.0518 (0.0518) Year ended 4/30/1997........................................ 1.00 0.0495 (0.0495) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0067 $(0.0067) Year ended 3/31/2002........................................ 1.00 0.0268 (0.0268) Year ended 3/31/2001........................................ 1.00 0.0580 (0.0580) Period ended 3/31/2000**.................................... 1.00 0.0467 (0.0467) MARKET CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0062 $(0.0062) Year ended 3/31/2002........................................ 1.00 0.0258 (0.0258) Year ended 3/31/2001........................................ 1.00 0.0570 (0.0570) Year ended 3/31/2000........................................ 1.00 0.0471 (0.0471) Period ended 3/31/1999*..................................... 1.00 0.0431 (0.0431) Year ended 4/30/1998........................................ 1.00 0.0508 (0.0508) Period ended 4/30/1997**.................................... 1.00 0.0482 (0.0482) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0055 $(0.0055) Year ended 3/31/2002........................................ 1.00 0.0243 (0.0243) Year ended 3/31/2001........................................ 1.00 0.0554 (0.0554) Period ended 3/31/2000**.................................... 1.00 0.0443 (0.0443) SERVICE CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0035 $(0.0035) Year ended 3/31/2002........................................ 1.00 0.0203 (0.0203) Year ended 3/31/2001........................................ 1.00 0.0515 (0.0515) Period ended 3/31/2000**.................................... 1.00 0.0348 (0.0348) INVESTOR A SHARES Period ended 9/30/2002 (unaudited)**........................ $1.00 $0.0064 $(0.0064) INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0030 $(0.0030) Year ended 3/31/2002........................................ 1.00 0.0193 (0.0193) Year ended 3/31/2001........................................ 1.00 0.0505 (0.0505) Period ended 3/31/2000**.................................... 1.00 0.0185 (0.0185) INVESTOR C SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0030 $(0.0030) Year ended 3/31/2002........................................ 1.00 0.0193 (0.0193) Year ended 3/31/2001........................................ 1.00 0.0505 (0.0505) Period ended 3/31/2000**.................................... 1.00 0.0126 (0.0126)
- --------------- +Annualized. ++Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. The total return for the six months ended September 30, 2002 reflects the historical return information for the Nations Government Money Market Fund Investor A Shares, which were reorganized into Nations Government Reserves Investor A Shares on May 10, 2002. *Fiscal year end changed to March 31. Prior to this, the fiscal year end was April 30. **Government Reserves Institutional Class, Trust Class, Investor Class, Market Class, Daily Class, Service Class, Investor A, Investor B and Investor C Shares commenced operations on November 21, 2000, May 17, 1999, April 12, 1999, May 3, 1996, April 12, 1999, June 8, 1999, May 13, 2002, November 2, 1999 and December 21, 1999, respectively. (a)The effect of the custodial expense offset (Note 2) on the operating expense ratio, with and without waivers and/or expense reimbursements, was less than 0.01%. (b)The effect of interest expense on the operating expense ratio was less than 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 88 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS --------------- RATIO OF RATIO OF RATIO OF NET ASSET NET ASSETS OPERATING NET INVESTMENT OPERATING VALUE END OF EXPENSES TO INCOME/(LOSS) TO EXPENSES TO END OF TOTAL PERIOD AVERAGE NET AVERAGE NET AVERAGE PERIOD RETURN++ (000) ASSETS ASSETS NET ASSETS - ------------------------------------------------------------------------------------ $1.00 0.85% $1,523,904 0.20%+(a) 1.69%+ 0.28%+(a) 1.00 3.07 1,818,554 0.20(a) 2.70 0.28(a) 1.00 6.32 852,138 0.20(a)(b) 6.06 0.29(a) 1.00 5.28 381,336 0.20(a)(b) 5.26 0.29(a) 1.00 4.78 229,561 0.20+(a) 5.05+ 0.44+(a) 1.00 5.57 190,607 0.20 5.43 0.45 1.00 5.33 125,377 0.20(a) 5.22 0.49(a) $1.00 0.83% $ 90,143 0.24%+(a) 1.65%+ 0.32%+(a) 1.00 3.03 86,551 0.24(a) 2.66 0.32(a) 1.00 2.12 260,087 0.24+(a) 6.02+ 0.33+(a) $1.00 0.80% $ 406,689 0.30%+(a) 1.59%+ 0.38%+(a) 1.00 2.97 289,252 0.30(a) 2.60 0.38(a) 1.00 6.22 222,765 0.30(a)(b) 5.96 0.39(a) 1.00 4.57 125,504 0.30+(a)(b) 5.16+ 0.39+(a) $1.00 0.78% $ 233,178 0.35%+(a) 1.54%+ 1.13%+(a) 1.00 2.91 164,296 0.35(a) 2.55 1.13(a) 1.00 6.16 468,083 0.35(a)(b) 5.91 1.14(a) 1.00 5.12 140,328 0.35(a)(b) 5.11 1.14(a) 1.00 4.63 59,551 0.35+(a) 4.90+ 1.29+(a) 1.00 5.40 32,773 0.35 5.28 1.30 1.00 5.19 6,482 0.35(a) 5.07 0.64(a) $1.00 0.73% $ 848,316 0.45%+(a) 1.44%+ 0.53%+(a) 1.00 2.81 794,855 0.45(a) 2.45 0.53(a) 1.00 6.06 1,190,853 0.45(a)(b) 5.81 0.54(a) 1.00 5.02 477,205 0.45(a)(b) 5.01 0.54(a) 1.00 4.54 88,836 0.45+(a) 4.80+ 0.69+(a) 1.00 5.30 70,164 0.45 5.18 0.70 1.00 5.07 24,845 0.45(a) 4.97 0.74(a) $1.00 0.68% $ 794,516 0.55%+(a) 1.34%+ 0.63%+(a) 1.00 2.71 1,001,552 0.55(a) 2.35 0.63(a) 1.00 5.95 331,555 0.55(a)(b) 5.71 0.64(a) 1.00 4.77 111,741 0.55+(a)(b) 4.91+ 0.64+(a) $1.00 0.62% $ 494,592 0.65%+(a) 1.24%+ 0.73%+(a) 1.00 2.61 561,082 0.65(a) 2.25 0.73(a) 1.00 5.85 488,016 0.65(a)(b) 5.61 0.74(a) 1.00 4.81 370,000 0.65(a)(b) 4.81 0.74(a) 1.00 4.39 334,000 0.61+(a) 4.64+ 0.89+(a) 1.00 5.20 274,499 0.55 5.08 0.90 1.00 4.93 218,499 0.55+(a) 4.87+ 0.84+(a) $1.00 0.55% $ 284,246 0.80%+(a) 1.09%+ 0.88%+(a) 1.00 2.45 317,287 0.80(a) 2.10 0.88(a) 1.00 5.69 259,937 0.80(a)(b) 5.46 0.89(a) 1.00 4.52 171,521 0.80+(a)(b) 4.66+ 0.89+(a) $1.00 0.35% $ 36,006 1.20%+(a) 0.69%+ 1.28%+(a) 1.00 2.05 36,505 1.20(a) 1.70 1.28(a) 1.00 5.27 26,001 1.20(a)(b) 5.06 1.29(a) 1.00 3.53 10,000 1.20+(a)(b) 4.26+ 1.29+(a) $1.00 0.64% $ 5,559 0.65%+(a) 1.24%+ 0.73%+(a) $1.00 0.30% $ 1,739 1.30%+(a) 0.59%+ 1.38%+(a) 1.00 1.94 2,105 1.30(a) 1.60 1.38(a) 1.00 5.17 990 1.30(a) 4.96 1.39(a) 1.00 1.86 108 1.30+(a)(b) 4.16+ 1.39+(a) $1.00 0.30% $ 984 1.30%+(a) 0.59%+ 1.38%+(a) 1.00 1.95 982 1.30(a) 1.60 1.38(a) 1.00 5.17 160 1.30(a)(b) 4.96 1.39(a) 1.00 1.26 746 1.30+(a)(b) 4.16+ 1.39+(a)
SEE NOTES TO FINANCIAL STATEMENTS. 89 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME ---------------------------------------- MUNICIPAL RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0068 $(0.0068) Year ended 3/31/2002........................................ 1.00 0.0215 (0.0215) Year ended 3/31/2001........................................ 1.00 0.0392 (0.0392) Year ended 3/31/2000........................................ 1.00 0.0329 (0.0329) Period ended 3/31/1999*..................................... 1.00 0.0292 (0.0292) Year ended 4/30/1998........................................ 1.00 0.0353 (0.0353) Year ended 4/30/1997........................................ 1.00 0.0337 (0.0337) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0066 $(0.0066) Year ended 3/31/2002........................................ 1.00 0.0163 (0.0163) Period ended 3/31/2001**.................................... 1.00 0.0110 (0.0110) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0063 $(0.0063) Year ended 3/31/2002........................................ 1.00 0.0205 (0.0205) Year ended 3/31/2001........................................ 1.00 0.0382 (0.0382) Period ended 3/31/2000**.................................... 1.00 0.0280 (0.0280) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0061 $(0.0061) Year ended 3/31/2002........................................ 1.00 0.0200 (0.0200) Year ended 3/31/2001........................................ 1.00 0.0377 (0.0377) Year ended 3/31/2000........................................ 1.00 0.0314 (0.0314) Period ended 3/31/1999*..................................... 1.00 0.0278 (0.0278) Year ended 4/30/1998........................................ 1.00 0.0341 (0.0341) Year ended 4/30/1997........................................ 1.00 0.0323 (0.0323) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0056 $(0.0056) Year ended 3/31/2002........................................ 1.00 0.0190 (0.0190) Year ended 3/31/2001........................................ 1.00 0.0367 (0.0367) Year ended 3/31/2000........................................ 1.00 0.0304 (0.0304) Period ended 3/31/1999*..................................... 1.00 0.0270 (0.0270) Year ended 4/30/1998........................................ 1.00 0.0332 (0.0332) Year ended 4/30/1997........................................ 1.00 0.0313 (0.0313) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0051 $(0.0051) Year ended 3/31/2002........................................ 1.00 0.0180 (0.0180) Year ended 3/31/2001........................................ 1.00 0.0357 (0.0357) Period ended 3/31/2000**.................................... 1.00 0.0287 (0.0287) MARKET CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0046 $(0.0046) Year ended 3/31/2002........................................ 1.00 0.0170 (0.0170) Year ended 3/31/2001........................................ 1.00 0.0347 (0.0347) Year ended 3/31/2000........................................ 1.00 0.0284 (0.0284) Period ended 3/31/1999*..................................... 1.00 0.0254 (0.0254) Year ended 4/30/1998........................................ 1.00 0.0318 (0.0318) Period ended 4/30/1997**.................................... 1.00 0.0301 (0.0301) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0038 $(0.0038) Year ended 3/31/2002........................................ 1.00 0.0155 (0.0155) Year ended 3/31/2001........................................ 1.00 0.0332 (0.0332) Period ended 3/31/2000**.................................... 1.00 0.0262 (0.0262) SERVICE CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0031 $(0.0031) Year ended 3/31/2002........................................ 1.00 0.0123 (0.0123) Year ended 3/31/2001........................................ 1.00 0.0292 (0.0292) Period ended 3/31/2000**.................................... 1.00 0.0048 (0.0048) INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0026 $(0.0026) Year ended 3/31/2002........................................ 1.00 0.0113 (0.0113) Year ended 3/31/2001........................................ 1.00 0.0282 (0.0282) Period ended 3/31/2000**.................................... 1.00 0.0062 (0.0062) INVESTOR C SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0025 $(0.0025) Period ended 3/31/2002**.................................... 1.00 0.0000# (0.0000)#
- --------------- +Annualized. ++Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. *Fiscal year end changed to March 31. Prior to this, the fiscal year end was April 30. **Municipal Reserves Institutional Class, Trust Class, Investor Class, Market Class, Daily Class, Service Class, Investor B Shares and Investor C Shares commenced operations on November 21, 2000, May 17, 1999, April 12, 1999, May 3, 1996, April 12, 1999, January 21, 2000, December 27, 1999 and March 28, 2002, respectively. #Amount represents less than $0.0001 or 0.01%, as applicable. (b)The effect of interest expense on the operating expense ratio was 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 90 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS --------------- RATIO OF RATIO OF RATIO OF NET ASSETS OPERATING NET INVESTMENT OPERATING NET ASSET END OF EXPENSES TO INCOME/(LOSS) TO EXPENSES TO VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET AVERAGE END OF PERIOD RETURN++ (000) ASSETS ASSETS NET ASSETS - ----------------------------------------------------------------------------------------- $1.00 0.68% $841,680 0.20%+ 1.35%+ 0.29%+ 1.00 2.18 456,528 0.20 2.03 0.30 1.00 3.99 145,248 0.20 3.93 0.29 1.00 3.34 172,693 0.20 3.29 0.30 1.00 2.96 134,268 0.20+ 3.10+ 0.48+ 1.00 3.61 74,251 0.20(b) 3.53 0.48 1.00 3.44 59,701 0.20 3.38 0.52 $1.00 0.66% $116,185 0.24%+ 1.31%+ 0.33%+ 1.00 1.64 85,432 0.24 1.99 0.34 1.00 1.10 16,116 0.24+ 3.89+ 0.33+ $1.00 0.63% $504,325 0.30%+ 1.25%+ 0.39%+ 1.00 2.07 491,711 0.30 1.93 0.40 1.00 3.88 488,191 0.30 3.83 0.39 1.00 2.83 526,831 0.30+ 3.19+ 0.40+ $1.00 0.61% $ 57,026 0.35%+ 1.20%+ 1.14%+ 1.00 2.02 45,728 0.35 1.88 1.15 1.00 3.83 35,569 0.35 3.78 1.14 1.00 3.18 89,050 0.35 3.14 1.15 1.00 2.81 68,393 0.35+ 2.95+ 1.33+ 1.00 3.43 53,074 0.35(b) 3.38 1.33 1.00 3.29 54,677 0.35 3.23 0.67 $1.00 0.56% $203,438 0.45%+ 1.10%+ 0.54%+ 1.00 1.92 158,556 0.45 1.78 0.55 1.00 3.73 129,807 0.45 3.68 0.54 1.00 3.08 77,511 0.45 3.04 0.55 1.00 2.73 55,434 0.45+ 2.85+ 0.73+ 1.00 3.34 29,936 0.45(b) 3.28 0.73 1.00 3.19 7,296 0.45 3.13 0.77 $1.00 0.51% $ 98,797 0.55%+ 1.00%+ 0.64%+ 1.00 1.82 48,022 0.55 1.68 0.65 1.00 3.63 57,017 0.55 3.58 0.64 1.00 2.90 64,782 0.55+ 2.94+ 0.65+ $1.00 0.46% $178,019 0.65%+ 0.90%+ 0.74%+ 1.00 1.72 223,008 0.65 1.58 0.75 1.00 3.52 169,001 0.65 3.48 0.74 1.00 2.87 149,000 0.65 2.84 0.75 1.00 2.57 146,999 0.61+ 2.69+ 0.93+ 1.00 3.24 92,000 0.55(b) 3.18 0.93 1.00 3.06 78,300 0.55+ 3.03+ 0.87+ $1.00 0.38% $509,254 0.80%+ 0.75%+ 0.89%+ 1.00 1.56 637,172 0.80 1.43 0.90 1.00 3.37 554,876 0.80 3.33 0.89 1.00 2.65 429,644 0.80+ 2.69+ 0.90+ $1.00 0.31% $ 13,002 0.95%+ 0.60%+ 1.29%+ 1.00 1.24 15,001 1.16 1.03 1.30 1.00 2.96 10,000 1.20 2.93 1.29 1.00 0.48 1,000 1.20+ 2.29+ 1.30+ $1.00 0.26% $ 65 1.05%+ 0.50%+ 1.39%+ 1.00 1.14 71 1.22 0.93 1.40 1.00 2.86 64 1.30 2.83 1.39 1.00 0.62 91 1.30+ 2.19+ 1.40+ $1.00 0.25% $ 88 1.05%+ 0.50%+ 1.39%+ 1.00 0.00# 95 1.30+ 0.93+ 1.40+
SEE NOTES TO FINANCIAL STATEMENTS. 91 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME ------------------------------------------- TAX-EXEMPT RESERVES CAPITAL CLASS SHARES* Period ended 9/30/2002 (unaudited).......................... $1.00 $0.0038 $(0.0038) INSTITUTIONAL CLASS SHARES* Period ended 9/30/2002 (unaudited).......................... $1.00 $0.0035 $(0.0035) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0061 $(0.0061) Year ended 3/31/2002........................................ 1.00 0.0204 (0.0204) Year ended 3/31/2001........................................ 1.00 0.3830 (0.0383) Year ended 3/31/2000........................................ 1.00 0.0321 (0.0321) Year ended 3/31/1999........................................ 1.00 0.0312 (0.0312) Year ended 3/31/1998........................................ 1.00 0.0345 (0.0345) LIQUIDITY CLASS SHARES* Period ended 9/30/2002 (unaudited).......................... $1.00 $0.0009 $(0.0009) ADVISER CLASS SHARES* Period ended 9/30/2002 (unaudited).......................... $1.00 $0.0015 $(0.0015) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0049 $(0.0049) Year ended 3/31/2002........................................ 1.00 0.0179 (0.0179) Year ended 3/31/2001........................................ 1.00 0.0358 (0.0358) Year ended 3/31/2000........................................ 1.00 0.0298 (0.0298) Year ended 3/31/1999........................................ 1.00 0.0293 (0.0293) Year ended 3/31/1998........................................ 1.00 0.0325 (0.0325) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0036 $(0.0036) Year ended 3/31/2002........................................ 1.00 0.0154 (0.0154) Year ended 3/31/2001........................................ 1.00 0.0333 (0.0333) Year ended 3/31/2000........................................ 1.00 0.0271 (0.0271) Year ended 3/31/1999........................................ 1.00 0.0263 (0.0263) Year ended 3/31/1998........................................ 1.00 0.0295 (0.0295) INVESTOR A SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0044 $(0.0044) Year ended 3/31/2002........................................ 1.00 0.0169 (0.0169) Year ended 3/31/2001........................................ 1.00 0.0348 (0.0348) Year ended 3/31/2000........................................ 1.00 0.0286 (0.0286) Year ended 3/31/1999........................................ 1.00 0.0278 (0.0278) Year ended 3/31/1998........................................ 1.00 0.0316 (0.0316)
- --------------- + Annualized. ++ Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. * Tax-Exempt Reserves Capital Class, Institutional Class, Liquidity Class and Adviser Class commenced operations on June 13, 2002, June 18, 2002, September 3, 2002 and August 8, 2002, respectively. (a)The effect of the custodial expense offset (Note 2) on the operating expense ratio, with and without waivers and/or expense reimbursements, was less than 0.01%. (b)The effect of interest expense on the operating expense ratio was less than 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 92 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS -------------- RATIO OF RATIO OF RATIO OF NET ASSETS OPERATING NET INVESTMENT OPERATING NET ASSET END OF EXPENSES TO INCOME/(LOSS) TO EXPENSES TO VALUE TOTAL PERIOD AVERAGE NET AVERAGE NET AVERAGE END OF PERIOD RETURN++ (000) ASSETS ASSETS NET ASSETS - --------------------------------------------------------------------------------------- $1.00 0.38% $ 139,657 0.20%+ 1.52%+ 0.28%+ $1.00 0.35% $ 1 0.24%+ 1.48%+ 0.32%+ $1.00 0.61% $2,297,658 0.30%+ 1.42%+ 0.38%+ 1.00 2.06 2,606,052 0.30 2.00 0.33 1.00 3.89 2,383,067 0.30 3.80 0.33 1.00 3.26 2,037,742 0.30 3.20 0.42 1.00 3.17 2,132,148 0.30(b) 3.11 0.55(b) 1.00 3.48 2,001,083 0.30(b) 3.43 0.56(b) $1.00 0.09% $ 402 0.35%+ 1.37%+ 1.13%+ $1.00 0.15% $ 3,876 0.45%+ 1.27%+ 0.53%+ $1.00 0.49% $ 147,777 0.55%+ 1.17%+ 0.63%+ 1.00 1.81 210,389 0.55 1.75 0.68 1.00 3.63 239,923 0.55 3.55 0.68 1.00 3.02 204,150 0.53 2.97 0.75 1.00 2.97 259,469 0.50(b) 2.91 0.90(b) 1.00 3.30 249,819 0.50(b) 3.23 0.76(b) $1.00 0.36% $ 79,124 0.80%+ 0.92%+ 0.88%+ 1.00 1.55 96,175 0.80 1.50 1.03 1.00 3.38 93,290 0.80 3.30 1.03 1.00 2.74 128,386 0.80 2.70 1.12 1.00 2.66 333,210 0.80(b) 2.61 1.25(b) 1.00 2.98 12,541 0.80(b) 2.93 1.06(b) $1.00 0.44% $ 87,588 0.65%+ 1.07%+ 0.73%+ 1.00 1.70 80,108 0.65 1.65 0.68 1.00 3.53 51,705 0.65 3.45 0.68 1.00 2.90 43,934 0.65 2.85 0.77 1.00 2.81 53,693 0.65(b) 2.76 0.90(b) 1.00 3.20 171,786 0.58(b) 3.15 0.84(b)
SEE NOTES TO FINANCIAL STATEMENTS. 93 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME ---------------------------------------- CALIFORNIA TAX-EXEMPT RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0062 $(0.0062) Year ended 3/31/2002........................................ 1.00 0.0199 (0.0199) Period ended 3/31/2001**.................................... 1.00 0.0153 (0.0153) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0055 $(0.0055) Year ended 3/31/2002........................................ 1.00 0.0061 (0.0061) Period ended 3/31/2001**.................................... 1.00 0.0003 (0.0003) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0057 $(0.0057) Year ended 3/31/2002........................................ 1.00 0.0189 (0.0189) Year ended 3/31/2001........................................ 1.00 0.0323 (0.0323) Period ended 3/31/2000**.................................... 1.00 0.0239 (0.0239) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0055 $(0.0055) Year ended 3/31/2002**...................................... 1.00 0.0095 (0.0095) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0050 $(0.0050) Year ended 3/31/2002........................................ 1.00 0.0174 (0.0174) Year ended 3/31/2001........................................ 1.00 0.0308 (0.0308) Period ended 3/31/2000...................................... 1.00 0.0232 (0.0232) Period ended 5/14/1999*..................................... 1.00 0.0052 (0.0052) Year ended 2/28/1999........................................ 1.00 0.0268 (0.0268) Year ended 2/28/1998........................................ 1.00 0.0309 (0.0309) Year ended 2/28/1997........................................ 1.00 0.0291 (0.0291) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0045 $(0.0045) Year ended 3/31/2002........................................ 1.00 0.0164 (0.0164) Year ended 3/31/2001........................................ 1.00 0.0298 (0.0298) Period ended 3/31/2000...................................... 1.00 0.0223 (0.0223) Period ended 5/14/1999*..................................... 1.00 0.0051 (0.0051) Year ended 2/28/1999........................................ 1.00 0.0261 (0.0261) Year ended 2/28/1998........................................ 1.00 0.0302 (0.0302) Year ended 2/28/1997........................................ 1.00 0.0284 (0.0284) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0032 $(0.0032) Year ended 3/31/2002........................................ 1.00 0.0139 (0.0139) Year ended 3/31/2001........................................ 1.00 0.0273 (0.0273) Period ended 3/31/2000...................................... 1.00 0.0201 (0.0201) Period ended 5/14/1999*..................................... 1.00 0.0045 (0.0045) Year ended 2/28/1999........................................ 1.00 0.0238 (0.0238) Year ended 2/28/1998........................................ 1.00 0.0279 (0.0279) Period ended 2/28/1997**.................................... 1.00 0.0107 (0.0107) INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0005 $(0.0005) Year ended 3/31/2002........................................ 1.00 0.0037 (0.0037) Period ended 3/31/2001**.................................... 1.00 0.0038 (0.0038)
- --------------- +Annualized. ++Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. *The financial information for the fiscal periods through May 14, 1999 reflect the financial information for the Pacific Horizon California Tax-Exempt Money Market Fund Horizon Service, S, X and Pacific Horizon Shares, which were reorganized into the California Tax-Exempt Reserves Adviser Class, Daily Class and Investor Class Shares, respectively, as of May 21, 1999. Prior to May 21, 1999, the Fund's investment adviser was Bank of America National Trust and Savings Association. Effective May 21, 1999, its investment adviser became Banc of America Advisors, LLC. and its investment sub-adviser became Banc of America Capital Management, LLC. **California Tax-Exempt Reserves Capital Class, Institutional Class, Trust Class, Liquidity Class, Daily Class and Investor B Shares commenced operations on October 3, 2000, March 28, 2001, May 24, 1999, August 10, 2001, October 2, 1996 and December 29, 2000, respectively. #Amount represents less than $500. (a)The effect of the custodial expense offset (Note 2) on the operating expense ratio, with and without waivers and/or expense reimbursements, was less than 0.01%. SEE NOTES TO FINANCIAL STATEMENTS. 94 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR EXPENSE REIMBURSEMENTS --------------- RATIO OF NET ASSET NET ASSETS RATIO OF RATIO OF OPERATING VALUE END OF OPERATING NET INVESTMENT EXPENSES TO END OF TOTAL PERIOD EXPENSES TO INCOME/(LOSS) TO AVERAGE PERIOD RETURN++ (000) AVERAGE NET ASSETS AVERAGE NET ASSETS NET ASSETS - ------------------------------------------------------------------------------------------------ $1.00 0.62% $267,918 0.20%+ 1.20%+ 0.28%+ 1.00 2.01 102,040 0.20 1.38 0.28 1.00 1.54 30 0.20+ 3.33+ 0.28+ $1.00 0.56% $ 37,851 0.24%+ 1.16%+ 0.32%+ 1.00 0.61 --# 0.24 1.34 0.32 1.00 0.03 1,000 0.24+ 3.29+ 0.32+ $1.00 0.57% $408,572 0.30%+ 1.10%+ 0.38%+ 1.00 1.91 360,892 0.30 1.27 0.38 1.00 3.27 338,801 0.30 3.23+ 0.38 1.00 2.41 394,837 0.30+ 2.70+ 0.38+ $1.00 0.55% $ 3,287 0.35%+ 1.05%+ 1.13%+ 1.00 0.95 1,150 0.35+ 1.23+ 1.13+ $1.00 0.50% $398,466 0.45%+ 0.95%+ 0.53%+ 1.00 1.75 298,268 0.45 1.13 0.53 1.00 3.12 318,737 0.45 3.08 0.53 1.00 2.32 360,319 0.45+ 2.55+ 0.53+ 1.00 0.52 636,000 0.50+ 2.49+ 0.52+ 1.00 2.71 709,000 0.49(a) 2.65 0.49(a) 1.00 3.13 671,000 0.50(a) 3.06 0.50(a) 1.00 2.95 472,000 0.50(a) 2.92 0.50(a) $1.00 0.45% $426,399 0.55%+ 0.85%+ 0.63%+ 1.00 1.65 240,724 0.55 1.03 0.63 1.00 3.02 226,491 0.55 2.98 0.63 1.00 2.23 284,041 0.55+ 2.45+ 0.63+ 1.00 0.50 503,000 0.58+ 2.43+ 0.62+ 1.00 2.64 539,000 0.56(a) 2.61 0.59(a) 1.00 3.06 598,000 0.57(a) 3.01 0.60(a) 1.00 2.88 493,000 0.57(a) 2.83 0.60(a) $1.00 0.32% $735,736 0.80%+ 0.60%+ 0.88%+ 1.00 1.40 814,077 0.80 0.78 0.88 1.00 2.76 755,635 0.80 2.73 0.88 1.00 2.01 699,689 0.80+ 2.20+ 0.88+ 1.00 0.45 334,000 0.80+ 2.21+ 0.82+ 1.00 2.41 336,000 0.79(a) 2.35 0.79(a) 1.00 2.83 172,000 0.80(a) 2.80 0.80(a) 1.00 1.09 29,000 0.80+(a) 2.66+ 0.80+(a) $1.00 0.05% $ 7 1.08%+ 0.35%+ 1.38%+ 1.00 0.37 --# 1.30 0.28 1.38 1.00 0.38 64 1.30+ 2.23+ 1.38+
SEE NOTES TO FINANCIAL STATEMENTS. 95 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED) For a share outstanding throughout each period.
NET ASSET DIVIDENDS VALUE NET FROM NET BEGINNING INVESTMENT INVESTMENT OF PERIOD INCOME/(LOSS) INCOME ---------------------------------------- NEW YORK TAX-EXEMPT RESERVES CAPITAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0064 $(0.0064) Period ended 3/31/2002*..................................... 1.00 0.0013 (0.0013) INSTITUTIONAL CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0062 $(0.0062) Period ended 3/31/2002*..................................... 1.00 0.0013 (0.0013) TRUST CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0059 $(0.0059) Period ended 3/31/2002*..................................... 1.00 0.0012 (0.0012) LIQUIDITY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0065 $(0.0065) Period ended 3/31/2002*..................................... 1.00 0.0013 (0.0013) ADVISER CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0049 $(0.0049) Period ended 3/31/2002*..................................... 1.00 0.0008 (0.0008) INVESTOR CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0048 $(0.0048) Period ended 3/31/2002*..................................... 1.00 0.0008 (0.0008) MARKET CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0047 $(0.0047) Period ended 3/31/2002*..................................... 1.00 0.0008 (0.0008) DAILY CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0031 $(0.0031) Period ended 3/31/2002*..................................... 1.00 0.0004 (0.0004) SERVICE CLASS SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0011 $(0.0011) Period ended 3/31/2002*..................................... 1.00 0.0000# (0.0000)# INVESTOR B SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0011 $(0.0011) Period ended 3/31/2002*..................................... 1.00 0.0000# (0.0000)# INVESTOR C SHARES Six months ended 9/30/2002 (unaudited)...................... $1.00 $0.0011 $(0.0011) Period ended 3/31/2002*..................................... 1.00 0.0000# (0.0000)#
- --------------- + Annualized. ++ Total return represents aggregate total return for the period indicated, assumes reinvestment of all distributions, and does not reflect the deduction of any applicable sales charges. * New York Tax-Exempt Reserves Capital Class, Institutional Class, Trust Class, Liquidity Class, Adviser Class, Investor Class, Market Class, Daily Class, Service Class, Investor B Shares and Investor C Shares commenced operations on February 15, 2002 . # Amount represents less than $0.0001 or 0.01%, as applicable SEE NOTES TO FINANCIAL STATEMENTS. 96 NATIONS MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS (CONTINUED)
WITHOUT WAIVERS AND/OR REIMBURSEMENTS -------------- RATIO OF RATIO OF NET ASSETS OPERATING RATIO OF OPERATING NET ASSET END OF EXPENSES TO NET INVESTMENT EXPENSES TO VALUE TOTAL PERIOD AVERAGE INCOME/(LOSS) TO AVERAGE END OF PERIOD RETURN++ (000) NET ASSETS AVERAGE NET ASSETS NET ASSETS - ----------------------------------------------------------------------------------------- $1.00 0.64% $31,246 0.08%+ 1.29%+ 2.15%+ 1.00 0.13 20,015 0.20+ 1.03+ 4.51+ $1.00 0.62% $ 1 0.12%+ 1.25%+ 2.19%+ 1.00 0.13 1 0.24+ 0.99+ 4.55+ $1.00 0.59% $16,378 0.18%+ 1.19%+ 2.25%+ 1.00 0.12 826 0.30+ 0.93+ 4.61+ $1.00 0.65% $ 1 0.23%+ 1.14%+ 3.00%+ 1.00 0.13 1 0.35+ 0.88+ 5.36+ $1.00 0.49% $ 1 0.33%+ 1.04%+ 2.40%+ 1.00 0.08 1 0.45+ 0.78+ 4.76+ $1.00 0.48% $ 1 0.43%+ 0.94%+ 2.50%+ 1.00 0.08 1 0.55+ 0.68+ 4.86+ $1.00 0.48% $ 1 0.53%+ 0.84%+ 2.60%+ 1.00 0.08 1 0.65+ 0.58+ 4.96+ $1.00 0.31% $ 1 0.68%+ 0.69%+ 2.75%+ 1.00 0.04 1 0.80+ 0.43+ 5.11+ $1.00 0.11% $ 1 1.08%+ 0.29%+ 3.15%+ 1.00 0.00# 1 1.20+ 0.03+ 5.51+ $1.00 0.11% $ 1 1.18%+ 0.19%+ 3.25%+ 1.00 0.00# 1 1.30+ (0.07)+ 5.61+ $1.00 0.11% $ 1 1.18%+ 0.19%+ 3.25%+ 1.00 0.00# 1 1.30+ (0.07)+ 5.61+
SEE NOTES TO FINANCIAL STATEMENTS. 97 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (UNAUDITED) Nations Funds Trust ("Funds Trust") is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end investment company. At September 30, 2002, Funds Trust offered sixty-one separate portfolios. These financial statements pertain only to the money market portfolios of Funds Trust: Nations Cash Reserves, Nations Money Market Reserves, Nations Treasury Reserves, Nations Government Reserves, Nations Municipal Reserves, Nations Tax-Exempt Reserves, Nations California Tax-Exempt Reserves and Nations New York Tax-Exempt Reserves (each, a "Fund" and collectively, the "Funds"). Financial Statements for the other portfolios of Funds Trust are presented under separate cover. The Funds currently offer eleven classes of shares: Capital Class Shares, Institutional Class Shares, Trust Class Shares, Liquidity Class Shares, Adviser Class Shares, Investor Class Shares, Market Class Shares, Daily Class Shares, Service Class Shares, Investor B Shares and Investor C Shares. Cash Reserves, Treasury Reserves, Government Reserves and Tax-Exempt Reserves offer Investor A Shares. Cash Reserves also offers Marsico Shares. Shareholders of a Fund have equal voting rights on matters affecting all shareholders of the Fund. In addition, each class of shares of a Fund has exclusive voting rights on matters that relate solely to that class and separate voting rights on matters in which the interests of one class differ from the interests of any other class. 1. SIGNIFICANT ACCOUNTING POLICIES The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements. Securities valuation: Securities are valued on the basis of amortized cost, which approximates current market value. Amortized cost valuation involves initially valuing an instrument at its cost and thereafter assuming a constant accretion to maturity of any discount or amortization of any premium, as long as the effect of fluctuating interest rates on the market value of the instrument is not significant. Restricted securities and certain other assets may be valued under procedures adopted by the Board of Trustees. Repurchase agreements: Each Fund may engage in repurchase agreement transactions. Under the terms of a typical repurchase agreement, a Fund takes possession of an underlying debt obligation subject to an obligation of the seller to repurchase, and the obligation of the Fund to resell, the underlying debt obligation at an agreed-upon price and date, thereby determining the yield during the Fund's holding period. This arrangement results in a fixed rate of return that is not subject to market fluctuations during the Fund's holding period. The value of the collateral must be at least equal at all times to the total amount of the repurchase obligation, including interest. Generally, in the event of counterparty default, the Fund has the right to use the collateral to offset losses incurred. There would be a potential loss to the Fund in the event the Fund is delayed or prevented from exercising its right to dispose of the collateral securities, including the risk of a possible decline in the value of the underlying securities during the period the Fund seeks to assert its right. The Funds' investment adviser and sub-adviser, under the oversight of the Board of Trustees, monitor the value of collateral received as well as the creditworthiness of those banks and dealers with which the Funds enter into repurchase agreements to evaluate potential risks. Reverse repurchase agreements: Each Fund may enter into reverse repurchase agreements with institutions that the Funds' investment sub-adviser has determined are creditworthy. Under the terms of a typical reverse repurchase agreement, a Fund sells securities and agrees to repurchase them at a mutually agreed upon date and price. At the time the Fund enters into a reverse repurchase agreement, it establishes a segregated account with its custodian bank in which it will maintain liquid assets at least equal in value to the Fund's obligations arising under the reverse repurchase agreement. Reverse repurchase agreements involve the risk that the market value of the securities purchased with the proceeds from the sale of securities received by the Fund may decline below the price of the securities that the Fund is obligated to repurchase. In the event the buyer of securities under a reverse repurchase agreement files for bankruptcy or becomes insolvent, the Fund's use of proceeds of the agreement may be restricted pending a determination by the other party, or its trustee or receiver, whether to enforce the Fund's obligation to repurchase the securities. 98 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) At September 30, 2002, Cash Reserves had a reverse repurchase agreement outstanding with Lehman Brothers, Inc. The average daily balance of reverse repurchase agreements outstanding for 61 days for Cash Reserves during the six months ended September 30, 2002 was $282,780,631. Treasury Reserves and Government Reserves did not enter into any reverse repurchase agreements during the six months ended September 30, 2002. The proceeds received by Cash Reserves under the reverse repurchase agreements were reinvested in tri-party repurchase agreements. Net fees earned during the six months ended September 30, 2002, representing the difference between interest rates on the reverse repurchase and repurchase agreements, amounted to $45,002,072 and have been included in interest income in the Statements of operations. Securities transactions and investment income: Securities transactions are recorded on trade date. Realized gains and losses are computed based on the specific identification of securities sold. Interest income, adjusted for accretion of discounts and amortization of premiums, is earned from settlement date and recorded on an accrual basis. Each Fund's investment income and realized and unrealized gains and losses are allocated among its share classes based upon the relative net assets of each class of shares. Dividends and distributions to shareholders: It is the policy of each Fund to declare dividends from net investment income daily and to pay such dividends monthly. Each Fund will distribute net realized short-term capital gains annually after the fiscal year in which the capital gains were earned or more frequently to seek to maintain a net asset value of $1.00 per share, unless offset by any available capital loss carryforward. Income distributions and capital gain distributions on a Fund level are determined in accordance with federal income tax regulations which may differ from accounting principles generally accepted in the United States of America. Federal income tax: Each Fund intends to continue to qualify as a regulated investment company by complying with the applicable requirements of the Internal Revenue Code of 1986, as amended, and by distributing substantially all of its earnings to its shareholders. Therefore, no provision is made for federal income or excise taxes. Expenses: General expenses of Funds Trust are allocated to the Funds based upon their relative net assets or other expense allocation methodologies determined by the nature of the expense. Expenses directly attributable to a Fund or class of shares are charged to such Fund or class. 2. INVESTMENT ADVISORY FEE, SUB-ADVISORY FEE, ADMINISTRATION FEE AND RELATED PARTY TRANSACTIONS Funds Trust has entered into an investment advisory agreement (the "Investment Advisory Agreement") with Banc of America Advisors, LLC ("BA Advisors"), a wholly-owned subsidiary of Bank of America, N.A. ("Bank of America"), which in turn is a wholly-owned banking subsidiary of Bank of America Corporation, a bank holding company organized as a Delaware corporation, pursuant to which BA Advisors provides investment advisory services to the Funds. Under the terms of the Investment Advisory Agreement, BA Advisors is entitled to receive an advisory fee, calculated daily and payable monthly, at the maximum annual rate of 0.15% of each Fund's average daily net assets. Funds Trust has entered into a sub-advisory agreement with BA Advisors and Banc of America Capital Management, LLC ("BACAP"), a wholly-owned subsidiary of Bank of America, pursuant to which BACAP is entitled to receive a sub-advisory fee from BA Advisors at the maximum annual rate of 0.033% of each Fund's average daily net assets. Stephens Inc. ("Stephens") and BA Advisors serve as co-administrators of Funds Trust. Under the co-administration agreement, Stephens and BA Advisors are currently entitled to receive a combined fee, computed daily and paid monthly, at the maximum annual rate of 0.10% of each Fund's average daily net assets. The Bank of New York ("BNY") serves as sub-administrator of Funds Trust pursuant to an agreement with BA Advisors. For the six months ended September 30, 2002, Stephens and BA Advisors earned 0.01% and 0.04%, respectively, of the Fund's average daily net assets for their co-administration services. BA Advisors and/or the sub-adviser and/or Stephens may, from time to time, reduce their fees payable by each Fund. During the six months ended September 30, 2002 and until July 31, 2003, BA Advisors and/or the sub-adviser and/or Stephens have agreed to reimburse expenses and/or waive their fees to the extent that total expenses (excluding shareholder servicing, shareholder 99 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) administration and distribution fees) exceed an annual rate of 0.20% of each Fund's average daily net assets. Effective May 31, 2002 through September 30, 2002, BA Advisors has agreed to voluntarily reimburse expenses to the extent that total expenses (excluding shareholder servicing, shareholder administration and distribution fees) exceed 0.05% of New York Tax-Exempt Reserves' average daily net assets. There is no guarantee that this expense limitation will continue. BA Advisors is entitled to recover from Cash Reserves, Money Market Reserves, Treasury Reserves, Government Reserves, Municipal Reserves, Tax-Exempt Reserves, California Tax-Exempt Reserves and New York Tax-Exempt Reserves any fees waived or expenses reimbursed by BA Advisors during the three year period following such waiver or reimbursement, to the extent that such recovery would not cause the affected fund to exceed the expense limitations in effect at the time of recovery. At September 30, 2002, the amounts potentially recoverable by BA Advisors pursuant to this arrangement are as follows:
POTENTIAL AMOUNT TO POTENTIAL AMOUNT TO RECOVER WITHIN 3 YEARS RECOVER WITHIN 3 YEARS FUND AS OF 9/30/02 AS OF 3/31/02 - ---------------------------------------------------------------------- Cash Reserves........ $22,288,494 $ -- Money Market Reserves........... 4,534,440 -- Treasury Reserves.... 3,139,625 -- Government Reserves........... 1,726,251 -- Municipal Reserves... 984,892 -- Tax-Exempt Reserves........... 910,767 -- California Tax-Exempt Reserves........... 687,622 -- New York Tax-Exempt Reserves........... 388,657 87,731
BNY serves as the custodian of Funds Trust's assets. For the six months ended September 30, 2002, expenses of certain Funds were reduced by $12,254 under expense offset arrangements with BNY. The Funds could have invested a portion of the assets utilized in connection with the expense offset arrangements in an income producing asset if they had not entered into such arrangements. Municipal Reserves, Tax-Exempt Reserves, California Tax-Exempt Reserves and New York Tax- Exempt Reserves do not participate in the expense offset arrangements. PFPC Inc. ("PFPC") serves as the transfer agent for the Funds' shares. Bank of America serves as the sub-transfer agent for the Capital and Trust Class Shares of the Funds. For the six months ended September 30, 2002, Bank of America earned approximately $30,483 for providing such services. Stephens serves as distributor of the Funds' shares. For the six months ended September 30, 2002, the Funds were informed that the distributor received the following:
CONTINGENT DEFERRED SALES CHARGE (000) FUND INVESTOR INVESTOR A INVESTOR B INVESTOR C - ------------------------------------------------------------------------------- Cash Reserves........ $ --* $3 $249 $14 Money Market Reserves........... -- -- 64 --* Government Reserves........... -- -- -- -- Tax-Exempt Reserves........... 2 -- -- --
- --------------- *Amount represents less than $500. No officer, director or employee of Bank of America, BA Advisors or BACAP, or any affiliate thereof, receives any compensation from Funds Trust for serving as Trustee or Officer of Funds Trust. Funds Trust's eligible Trustees may participate in a non-qualified deferred compensation plan which may be terminated at any time. All benefits provided under this plan are unfunded and any payments to plan participants are paid solely out of the Funds' assets. Income earned on the plan participant's deferral account is based on the rate of return of the eligible mutual funds selected by the participants or, if no funds are selected, on the rate of return of the Nations Treasury Reserves. The expense for the deferred compensation plan is included in "Trustees' fees and expenses" in the Statements of operations. The liability for the deferred compensation plan is included in "Accrued Trustees' fees and expenses" in the Statement of net assets. Funds Trust previously offered a retirement plan to the Trustees, which was terminated on January 1, 2002. Funds Trust's eligible Trustees had the option of a rollover into the deferred compensation plan on January 1, 2002 or a lump sum distribution, including interest, on January 1, 2003. The liability for the retirement plan is included in "Accrued Trustees' fees and expenses" in the Statement of net assets. A significant portion of certain share classes represents investments by fiduciary accounts over which Bank of America has either sole or joint discretion. Certain other affiliated Nations Funds have made daily investments of cash balances in Cash Reserves pursuant to an exemptive order received from the Securities and Exchange Commission. At September 30, 2002, 100 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) approximately 6% of the net assets of the Cash Reserves was held by other affiliated Nations Funds. 3. SHAREHOLDER SERVICING AND DISTRIBUTION PLANS Funds Trust has adopted distribution plans pursuant to Rule 12b-1 under the 1940 Act for Liquidity Class Shares ("Liquidity Class Shares Plan"), Market Class Shares ("Market Class Shares Plan"), Daily Class Shares ("Daily Class Shares Plan"), Investor Class Shares ("Investor Class Shares Plan"), Investor A Shares (Investor A Shares Plan"), Investor B Shares ("Investor B Shares Plan"), Investor C Shares ("Investor C Shares Plan") and Service Class Shares ("Service Class Shares Plan") of the Funds. Under the Liquidity Class Shares Plan, Funds Trust may reimburse Stephens for actual expenses incurred by Stephens in connection with its distribution efforts up to 0.30% of the average daily net assets of the Liquidity Class Shares of the Funds. Under the Market Class Shares Plan, Funds Trust may compensate or reimburse Stephens for distribution activities or expenses up to 0.20% of the average daily net assets of the Market Class Shares of the Funds. Under the Daily Class Shares Plan, Funds Trust may reimburse Stephens for actual expenses incurred by Stephens in connection with its distribution efforts up to 0.35% of the average daily net assets of the Daily Class Shares of the Funds. Under the Investor Class Shares Plan and Investor A Shares Plan, Funds Trust may reimburse Stephens for actual expenses incurred by Stephens in connection with its distribution efforts up to 0.10% of the average daily net assets of the Investor Class Shares of the Funds. Under the Investor B Shares Plan, Investor C Shares Plan and Service Class Shares Plan, Funds Trust may reimburse Stephens for actual expenses incurred by Stephens in connection with its distribution efforts up to 0.75% of the average daily net assets of the Service Class Shares, Investor B Shares, Investor C Shares of the Funds. Currently, Funds Trust is not reimbursing Stephens for distribution expenses for Liquidity Class Shares. Unreimbursed expenses incurred by Stephens in a given year may not be recovered by Stephens in subsequent years. In addition, the Liquidity Class Shares Plan permits Funds Trust to pay Stephens an annual fee of up to 0.30% of the average daily net assets of the Liquidity Class Shares of the Cash Reserves, Money Market Reserves, Government Reserves, Municipal Reserves and California Tax-Exempt Reserves and 0.35% of the average daily net assets of Treasury Reserves. Stephens may use this fee to compensate certain financial institutions, with which it has entered into servicing and/or distribution agreements, that provide administrative and/or distribution services to Liquidity Class shareholders. Currently, Funds Trust is not compensating Stephens for providing such services. Funds Trust also has adopted shareholder servicing plans ("Servicing Plans") for the Liquidity, Adviser, Market, Daily, Investor, Investor A, Investor B, Investor C, Service Class and Marsico Shares of the Funds. Under the Servicing Plans, a Fund may pay servicing agents that have entered into a shareholder servicing agreement with Funds Trust for certain shareholder support services that are provided by the servicing agents to holders of the classes' shares. Payments under the Servicing Plans will not exceed 0.25%, on an annualized basis, of the average daily net assets of the classes' shares and are charged as expenses of each Fund directly to the applicable share class. Funds Trust also has adopted shareholder administration plans ("Administration Plans") for the Investor A, Investor B, Investor C, Trust Class, Marsico Shares and Institutional Class Shares of the Funds. Under the Administration Plans, a Fund may pay servicing agents that have entered into a shareholder administration agreement with Funds Trust for certain shareholder support services that are provided by the servicing agents to holders of the classes' shares. Payments under the Administration Plans will not exceed 0.10%, on an annualized basis of the average daily net assets of the Investor A, Investor B, Investor C, Trust Class, Marsico Shares and .04% on an annualized basis of the average daily net assets of Institutional Class Shares. These payments are charged as expenses of each Fund directly to the applicable share class. 101 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) For the six months ended September 30, 2002 the annual rates in effect and plan limits, as a percentage of average daily net assets, were as follows:
CURRENT RATE (AFTER FEE PLAN WAIVERS) LIMIT --------------------- DISTRIBUTION PLAN: Liquidity Class: Treasury Reserves.................. 0.00%** 0.65% Other Funds........................ 0.00%** 0.60% Investor Class, Investor A Shares.... 0.10% 0.10% Market Class......................... 0.20% 0.20% Daily Class.......................... 0.35% 0.35% Service Class*, Investor B*,+ and Investor C++ Shares................ 0.75% 0.75% SHAREHOLDER SERVICING PLAN: Liquidity Class...................... 0.15%*** 0.25% Adviser, Investor, Market, Daily, Service Class, Investor A, Investor B, Investor C Shares and Marsico Shares............................. 0.25% 0.25% SHAREHOLDER ADMINISTRATION PLAN: Trust Class, Investor A, Investor B, Investor C Shares and Marsico Shares............................. 0.10% 0.10% Institutional Class.................. 0.04% 0.04%
- --------------- * Effective December 12, 2001, Stephens is voluntarily waiving 0.25% of 12b-1 fees on Service Class and Investor B Shares of Nations Municipal Reserves. ** During the six months ended September 30,2002 and until July 31, 2003, Stephens has agreed to waive Distribution Plan fees for the Liquidity Class of Treasury Reserves as a percentage of the Fund's average daily net assets at an annual rate of 0.65% and for all other Funds as a percentage of their respective average daily net assets at an annual rate of 0.60%. ***During the six months ended September 30, 2002 and until July 31, 2002, BA Advisors and Stephens have agreed to waive Shareholder Servicing Plan fees for the Liquidity Class as a percentage of each Fund's average daily net assets at an annual rate of 0.10%. + Effective August 7, 2002, Stephens is voluntarily waiving 0.25% of 12b-1 fees on Investor B Shares of Nations California Tax-Exempt Reserves. ++ Effective April 4, 2002, Stephens is voluntarily waiving 0.25% of 12b-1 fees on Investor C Shares of Nations Municipal Reserves. A substantial portion of the expenses incurred pursuant to these plans is paid to affiliates of Bank of America and BA Advisors. 4. SHARES OF BENEFICIAL INTEREST At September 30, 2002, an unlimited number of shares of beneficial interest without par value was authorized for Funds Trust. Funds Trust's Declaration of Trust authorizes the Board of Trustees to classify or reclassify any authorized but unissued shares into one or more additional classes or series of shares. See Schedules of capital stock activity. 5. RESTRICTED SECURITIES Certain securities may be subject to legal restrictions and may be difficult to sell. No Fund will invest more than 10% of the value of its net assets in securities that are considered illiquid. The following securities are considered both illiquid and restricted as to resale. Accordingly, they are valued at their fair value under procedures adopted by the Board of Trustees. CALIFORNIA TAX-EXEMPT RESERVES
FAIR PERCENTAGE HISTORICAL PAR VALUE VALUE VALUE OF NET COST ACQUISITION 9/30/02 PER UNIT 9/30/02 ASSETS 9/30/02 SECURITY DATE (000) 9/30/02 (000) 9/30/02 (000) - --------------------------------------------------------------------------------------------------------------------------------- Puerto Rico Commonwealth Highway and Transportation Authority Revenue, (AMBAC Insured, Merrill Lynch Liquidity Facility), 1.700%** 01/01/19................. 07/11/02 $17,005 $1.00 $17,005 0.7% $17,005
- --------------- **Variable rate demand note. The interest rate shown reflects the rate in effect at September 30, 2002. These securities are subject to demand features of either one, seven or thirty days. 102 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) CASH RESERVES
FAIR PERCENTAGE HISTORICAL PAR VALUE VALUE VALUE OF NET COST ACQUISITION 9/30/02 PER UNIT 9/30/02 ASSETS 9/30/02 SECURITY DATE (000) 9/30/02 (000) 9/30/02 (000) - ------------------------------------------------------------------------------------------------------------------------------- Blue Heron Funding Ltd. Series 2001-A, 1.870%+ 10/18/02 GE Life Annuity,................... 10/17/01 $100,000 $1.00 100,000 0.2% $100,000 1.870%+ 11/24/02++.................................. 05/23/02 100,000 1.00 100,000 0.2% 100,000 Goldman Sachs Group Inc.: 1.910%+ 10/01/02++.................................. 08/16/02 100,000 1.00 100,000 0.2% 100,000 1.864%+ 10/19/02++.................................. 08/16/02 80,000 1.00 80,000 0.1% 80,000 2.070% 12/09/02..................................... 06/10/02 100,000 1.00 100,000 0.2% 100,000 Jackson National Life Insurance Company, 1.920%+ 12/14/02++.................................. 06/14/96 50,000 1.00 50,000 0.1% 50,000 Monumental Life, 1.970%+ 10/01/02++.................................. 03/25/02 300,000 1.00 300,000 0.5% 300,000 Repurchase Agreement with Lehman Brothers Inc., 1.720% 10/30/02..................................... 08/01/02 282,781 1.00 282,781 0.4% 282,781 Reverse Repurchase Agreement with Lehman Brothers Inc., 1.570% 10/30/02..................................... 08/01/02 (282,781) 1.00 (282,781) (0.4)% (282,781) SunAmerica Life Insurance Company of America, 1.950%+ 10/01/02++.................................. 07/01/02 125,000 1.00 125,000 0.2% 125,000 Transamerica Occidental Life Insurance Company: 2.060%+ 10/01/02++.................................. 07/31/00 117,000 1.00 117,000 0.2% 117,000 2.070%+ 10/01/02++.................................. 07/31/00 125,000 1.00 125,000 0.2% 125,000 1.950%+ 11/01/02++.................................. 07/31/00 20,000 1.00 20,000 0.0%* 20,000 Travelers Insurance, 1.903%+ 10/10/02++.................................. 07/10/02 132,000 1.00 132,000 0.2% 132,000
- --------------- + Floating rate security. The interest rate shown reflects the rate in effect at September 30, 2002. ++ Reset date. * Amount represents less than 0.1%. 103 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) MONEY MARKET RESERVES
FAIR PERCENTAGE HISTORICAL PAR VALUE VALUE VALUE OF NET COST ACQUISITION 9/30/02 PER UNIT 9/30/02 ASSETS 9/30/02 SECURITY DATE (000) 9/30/02 (000) 9/30/02 (000) - --------------------------------------------------------------------------------------------------------------------------------- Goldman Sachs Group Inc.: 1.910%+ 10/01/02++..................................... 08/16/02 50,000 1.00 50,000 0.4% 50,000 1.864%+ 10/19/02++..................................... 08/16/02 20,000 1.00 20,000 0.2% 20,000 2.070% 12/09/02........................................ 06/10/02 50,000 1.00 50,000 0.4% 50,000
- --------------- + Floating rate security. The interest rate shown reflects the rate in effect at September 30, 2002. ++ Reset date. MUNICIPAL RESERVES
FAIR PERCENTAGE HISTORICAL PAR VALUE VALUE VALUE OF NET COST ACQUISITION 9/30/02 PER UNIT 9/30/02 ASSETS 9/30/02 SECURITY DATE (000) 9/30/02 (000) 9/30/02 (000) - --------------------------------------------------------------------------------------------------------------------------------- Illinois Health Facilities Revenue, 1.400% 01/23/03........................................ 07/31/02 $10,000 $1.00 $10,000 0.4% $10,000 Oklahoma Housing Finance Agency Single Family Revenue, (Home Ownership Loan Program) Series 2001PT-1288, AMT, (GNMA Collateral Agreement, Merrill Lynch SBPA), 1.750%** 09/01/29...................................... 12/14/01 4,600 1.00 4,600 0.2% 4,600 Sedgwick & Shawnee Counties, Kansas Single Family Revenue, Series 2002, 1.750%** 12/01/27...................................... 07/18/02 5,775 1.00 5,775 0.2% 5,775
- --------------- **Variable rate demand note. The interest rate shown reflects the rate in effect at September 30, 2002. These securities are subject to demand features of either one, seven or thirty days. TAX-EXEMPT RESERVES
FAIR PERCENTAGE HISTORICAL PAR VALUE VALUE VALUE OF NET COST ACQUISITION 9/30/02 PER UNIT 9/30/02 ASSETS 9/30/02 SECURITY DATE (000) 9/30/02 (000) 9/30/02 (000) - --------------------------------------------------------------------------------------------------------------------------------- Illinois Health Facilities Revenue, 1.400% 01/23/03...... 07/31/02 $37,000 $1.00 $37,000 1.3% $37,000
6. LINES OF CREDIT Funds Trust participates with other Nations Funds in a $1 billion uncommitted line of credit provided by BNY under a line of credit agreement (the "Agreement"). Advances under the Agreement are taken primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. Interest on borrowings is payable at a specified Federal Funds rate plus 0.50% on an annualized basis. Each participating Fund maintains a ratio of net assets (not including amounts borrowed pursuant to the Agreement) to aggregate amount of indebtedness pursuant to the Agreement of no less than 4 to 1. At September 30, 2002, there were no loans outstanding under this Agreement. For the six months ended September 30, 2002, borrowings by the Funds under the Agreement were as follows:
AVERAGE AMOUNT AVERAGE OUTSTANDING INTEREST PORTFOLIO (000) RATE - -------------------------------------------------------------- Cash Reserves......................... $2,106 2.22% Treasury Reserves..................... 2,967 2.17
104 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) The average amount outstanding was calculated based on daily balances in the period. 7. INCOME TAXES Information on the tax components of capital is as follows:
NET TAX UNREALIZED GROSS TAX GROSS TAX APPRECIATION/ COST OF INVESTMENTS UNREALIZED UNREALIZED (DEPRECIATION) ON FOR TAX PURPOSES APPRECIATION DEPRECIATION INVESTMENTS PORTFOLIO (000) (000) (000) (000) - --------------------------------------------------------------------------------------------------------------------------------- Cash Reserves............................................ $66,807,280 $ -- $ -- $ -- Money Market Reserves.................................... 12,776,765 -- -- -- Treasury Reserves........................................ 11,066,488 -- -- -- Government Reserves...................................... 4,714,285 -- -- -- Municipal Reserves....................................... 2,534,273 -- -- -- Tax-Exempt Reserves...................................... 2,758,096 -- -- -- California Tax-Exempt Reserves........................... 2,305,065 -- -- -- New York Tax-Exempt Reserves............................. 47,976 -- -- --
At March 31, 2002, the Funds had available for federal income tax purposes unused capital losses as follows:
EXPIRING EXPIRING EXPIRING IN 2005 IN 2006 IN 2007 (000) (000) (000) ------------------------------ Municipal Reserves......................................... $13 $18 $1
During the year ended March 31, 2002, the following Funds utilized capital losses as follows:
CAPITAL LOSSES UTILIZED PORTFOLIO (000) - ----------------------------------------------------------------------------- Cash Reserves............................................... $2,422 Money Market Reserves....................................... 12 Treasury Reserves........................................... 50 Government Reserves......................................... 538 Municipal Reserves.......................................... 89
Under current tax law, capital losses realized after October 31 may be deferred and treated as occurring on the first day of the following fiscal year. For the fiscal year ended March 31, 2002, the following Funds have elected to defer losses occurring between November 1, 2001 and March 31, 2002 under these rules, as follows:
CAPITAL LOSSES PORTFOLIO DEFERRED - ---------------------------------------------------------------------------- Cash Reserves............................................... $610 Money Market Reserves....................................... 199 Treasury Reserves........................................... 163 California Tax-Exempt Reserves.............................. 22
Such deferred losses will be treated as arising on the first day of the fiscal year ending March 31, 2003. 8. REORGANIZATIONS FUND REORGANIZATION On May 10, 2002, certain Funds, as listed below (each an "Acquiring Fund"), acquired the assets and assumed the liabilities of certain Nations Money Market Funds, also listed below (each an "Acquired Fund"), in a tax-free reorganization in exchange for shares of the Acquiring Fund, pursuant to a plan or reorganization approved by the 105 NATIONS MONEY MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (CONTINUED) (UNAUDITED) Acquired Fund's shareholders. The number and value of shares issued by the Acquiring Fund are presented in the Schedules of capital stock activity. Net assets and unrealized appreciation as of the reorganization date were as follows:
TOTAL NET ASSETS OF TOTAL NET ASSETS OF TOTAL NET ASSETS OF ACQUIRING FUND ACQUIRED FUND ACQUIRING FUND AFTER ACQUISITION ACQUIRING FUND ACQUIRED FUND (000) (000) (000) - --------------------------------------------------------------------------------------------------------------- Cash Reserves Prime $5,107,874 $82,547,070 $87,654,944 Treasury Reserves Treasury 1,467,607 10,209,589 11,677,196 Government Reserves Government Money 354,822 4,928,622 5,283,444 Market
CHANGE OF REGISTERED INVESTMENT COMPANY On May 10, 2002, each fund listed in the left column below (each a "Fund") reorganized into a newly created successor fund listed in the right column below, that is substantially identical to the existing Fund. The acquisition was accomplished by a tax-free exchange of shares of each Fund for shares of equal value of the newly created successor fund. The financial statements of the successor funds reflect the historical financial results of the Fund prior to the reorganization.
FUND REORGANIZED INTO A NEWLY CREATED SUCCESSOR FUND - ----------------------------------------------------------------------------------------------- Cash Reserves Cash Reserves Money Market Reserves Money Market Reserves Treasury Reserves Treasury Reserves Government Reserves Government Reserves Municipal Reserves Municipal Reserves California Tax-Exempt Reserves California Tax-Exempt Reserves
On May 10, 2002, the Tax Exempt Fund (the "Fund"), reorganized into a newly created successor fund, Tax-Exempt Reserves, that is substantially identical to the existing Fund. The acquisition was accomplished by a tax-free exchange of shares of the Fund for shares of equal value of the newly created successor fund. The financial statements of the successor funds reflect the historical financial results of the Fund prior to the reorganization. 9. SUBSEQUENT EVENT On October 8, 2002, the Board of Trustees of each Fund approved the replacement of Stephens with BA Advisors as the exclusive distributor of the shares of the Funds. In addition, on November 21, 2002, the Board of Trustees approved the termination of Stephens as the co-administrator with BA Advisors (which will result in BA Advisors being the sole administrator to the Funds) and approved the assumption by BACAP of BA Advisors' role as the primary investment adviser to the Funds. The transition in service providers is expected to occur on or about January 1, 2003. It is also anticipated that BA Advisors will change its name to BACAP Distributors, LLC on or about January 1, 2003. 106 P.O. Box 34602 Charlotte, NC 28254-4602 Toll free 1.800.626.2275 (institutional investors) Toll free 1.800.321.7854 (individual investors) NATIONS FUNDS MONEYSAR (9/02) -----END PRIVACY-ENHANCED MESSAGE-----