N-CSRS 1 dncsrs.htm ALLIANCEBERNSTEIN BLENDED STYLE SERIES, INC. AllianceBernstein Blended Style Series, Inc.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

FORM N-CSR

 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

 

Investment Company Act file number: 811-21081

ALLIANCEBERNSTEIN BLENDED STYLE SERIES, INC.

(Exact name of registrant as specified in charter)

1345 Avenue of the Americas, New York, New York 10105

(Address of principal executive offices) (Zip code)

Joseph J. Mantineo

AllianceBernstein L.P.

1345 Avenue of the Americas

New York, New York 10105

(Name and address of agent for service)

 

Registrant’s telephone number, including area code: (800) 221-5672

 

Date of fiscal year end: August 31, 2009

 

Date of reporting period: February 28, 2009

ITEM 1. REPORTS TO STOCKHOLDERS.

SEMI-ANNUAL REPORT

 

 

AllianceBernstein Retirement Strategies

2000 Retirement Strategy

2005 Retirement Strategy

2010 Retirement Strategy

2015 Retirement Strategy

2020 Retirement Strategy

2025 Retirement Strategy

2030 Retirement Strategy

2035 Retirement Strategy

2040 Retirement Strategy

2045 Retirement Strategy

2050 Retirement Strategy

2055 Retirement Strategy

 

LOGO

 

February 28, 2009

 

Semi-Annual Report

 

 

Investment Products Offered

  •  

Are Not FDIC Insured

  •  

May Lose Value

  •  

Are Not Bank Guaranteed

The investment return and principal value of an investment in the Fund will fluctuate as the prices of the individual securities in which it invests fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. You should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For a free copy of the Fund’s prospectus, which contains this and other information, visit our web site at www.alliancebernstein.com or call your financial advisor or AllianceBernstein® at (800) 227-4618. Please read the prospectus carefully before you invest.

You may obtain performance information current to the most recent month-end by visiting www.alliancebernstein.com.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AllianceBernstein’s web site at www.alliancebernstein.com, or go to the Securities and Exchange Commission’s (the “Commission”) web site at www.sec.gov, or call AllianceBernstein at (800) 227-4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q are available on the Commission’s web site at www.sec.gov. The Fund’s Forms N-Q may also be reviewed and copied at the Commission’s Public Reference Room in Washington, DC; information on the operation of the Public Reference Room may be obtained by calling (800) SEC-0330. AllianceBernstein publishes full portfolio holdings for the Fund monthly at www.alliancebernstein.com.

AllianceBernstein Investments, Inc. is an affiliate of AllianceBernstein L.P., the manager of the AllianceBernstein funds, and is a member of FINRA.

AllianceBernstein® and the AB Logo are registered trademarks and service marks used by permission of the owner, AllianceBernstein L.P.

April 24, 2009

 

Semi-Annual Report

This report provides management’s discussion of fund performance for the AllianceBernstein Retirement Strategies (collectively, the “Strategies”) for the semi-annual reporting period ended February 28, 2009.

Investment Objective and Strategies

The investment objective of each Strategy is to seek the highest total return over time consistent with its asset mix. Total return includes capital growth and income. Each Strategy will seek to achieve its objective by investing in a combination of portfolios of the AllianceBernstein Underlying Pooling Portfolios representing a variety of asset classes and investment styles (the “Underlying Portfolios”). Each Strategy is managed to the specific year of planned retirement included in its name (the “retirement date”). The Strategies’ asset mixes will become more conservative each year until reaching the year approximately fifteen years after the retirement date (the “target year”) at which time the asset allocation mix will become static. This reflects the objective of pursuing the maximum amount of capital growth, consistent with a reasonable amount of risk, during the investor’s pre-retirement and early retirement years. After the retirement date of a Strategy, that Strategy’s asset mix seeks to minimize the likelihood that an investor in that Strategy experiences a significant loss of capital at a more advanced age. The asset mix will continue to change with an increasing exposure to investments in fixed-income securities and short-term bonds until fifteen years after a Strat-

egy’s retirement date. Thereafter, the target asset allocation for that Strategy will generally be fixed. The static allocation of a Strategy’s asset mix will be 27.5% short-duration bonds, 37.5% other fixed-income securities, 25% equities and 10% real estate investment trusts (REITs). The Adviser will allow the relative weightings of a Strategy’s asset classes to vary in response to the markets, but ordinarily only by +/-5%. Beyond those ranges, the Adviser will generally rebalance the portfolio toward the target asset allocation for that Strategy. However, there may be occasions when those ranges will expand to 10% of the Strategy’s portfolio due to, among other things, appreciation of one of the asset classes.

Investment Results

The tables on pages 6-17 show each individual Retirement Strategy’s (RS) performance compared to its composite benchmark. Additional performance can be found on pages 19-42. Each Strategy’s composite benchmark is derived by applying the Strategies’ target allocations over time to the results of specific benchmarks as outlined in the “Benchmark Disclosures” section of Historical Performance on pages 4-5. The Multi-Asset Solutions Team (the “Team”) believes that a composite benchmark is a better benchmark for the measurement of the Adviser’s active management performance within the underlying asset classes than a broad-market benchmark. The composite benchmark matches each Strategy’s allocations directly, so that each benchmark reflects its respective Strategy at any point in time, providing a more accurate measure of each Strategy’s active

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   1

 

management performance. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

During a period of extreme risk aversion and flight to safety, the Strategies sank further into negative territory for the six- and 12-month periods ended February 28, 2009. All of the Retirement Strategies’ Class A shares without sales charges underperformed their respective composite benchmarks except for RS 2050. RS 2050 slightly outperformed its composite benchmark for the six-month period, but the 2050 Strategy and the benchmark posted negative returns for the six- and 12-month periods.

The primary driver of underperformance was the Strategies’ exposure to equity markets, which were down substantially over both six- and 12-month periods. The Strategies were also hurt by their exposure to international equities and global REITs as well as stock selection in the equity Underlying Portfolios. While these are factors that challenged the Strategies for both periods, the Team feels that the Strategies’ glidepath contains an appropriate allocation to both equity and fixed-income given the long-term retirement savings objectives of the investor.

While all of the Underlying Portfolios were down on an absolute basis for both periods, international segments, which gave up their prior leadership, and REITs pulled down the Strategies’

absolute performance most significantly. REIT holdings—helped by diversification, avoidance of highly leveraged meltdowns and exposure to strong shopping-center owners in the US and Europe—outperformed the broad global REIT index, however, as measured by the FTSE EPRA/NAREIT Global RE Index. The underlying growth Portfolios outperformed their value counterparts and the US growth holdings outperformed their benchmarks (although both posted negative returns). The Intermediate- and Short-Duration Bond Underlying Portfolios were down the least on an absolute basis for both six- and 12-month periods, but were the largest detractors from relative performance for the 12-month period. For the six-month period, the Intermediate-Duration Bond Underlying Portfolio and International Value Underlying Portfolio detracted the most, while the Short Duration Underlying Portfolio followed closely. The relative underperformance of these fixed-income Underlying Portfolios was largely due to overweights in corporate bonds and commercial mortgage-backed securities (CMBS)—which were at the center of the credit crisis that has plagued markets throughout the reporting period—and an underweight in Treasuries, which rallied as investors fled to the safest securities. Since the Strategies did not use financial leverage, their performance was not affected by risks that come with such investments.

The Intermediate-Duration Bond Underlying Portfolio underperformed the benchmark and posted negative performance for both periods, when most non-government bonds suffered.

 

2   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

However, the absolute losses in this Underlying Portfolio were significantly lower than those in the equity segments. Nonetheless, as major equity indices ended both periods in negative territory, the Retirement Strategies designed for young savers—RS 2035, 2040, 2045, 2050 and 2055—followed suit. These Strategies have target allocations of 90% in equities, 5% in global REITs and 5% in bonds.

While the Strategies created for mid-life savers—RS 2010, 2015, 2020, 2025 and 2030—also posted negative returns and underperformed their composite benchmarks, their losses were mitigated by the inclusion of bonds, which declined the least on an absolute basis. US growth segments, although down significantly, fell the least among equities and contributed to relative performance. These Strategies currently have target allocations ranging between 72%-90% in equities, 5%-28% in bonds and 5%-10% in global REITs. As a hedge against inflation, the RS 2010, 2015 and 2020 vintages also include Inflation-Protected Securities.

The vintages intended for early retirees—RS 2000 and 2005—have larger target allocations in bonds (between 35% and 45%), and target allocations in equities and global REITs comprise between 55% and 65% of these Strategies’ holdings. These two Strategies also underperformed their composite benchmarks for the six- and 12-month periods. However, they benefited from the relative contribution of the US growth segments. Also, their losses were mitigated by the inclusion of

intermediate and short duration bonds, which despite being the largest detractors from relative performance, declined the least on an absolute basis.

Market Review and Investment Strategy

A global flight to quality left capital markets reeling in 2008 as investors sought safety from extreme market volatility by abandoning many investment types in favor of government bonds. This trend has reversed in the first two months of 2009, when non-government bonds outperformed government securities. Nonetheless, the extreme risk aversion, which characterized the six- and 12-month periods ended February 28, 2009, contributed to severe declines across many asset classes, regions and investment styles. The markets witnessed the collapse and/or government takeover of several of the world’s most powerful financial firms—all of which further undermined investor confidence. Meanwhile, the US led most of the developed world into recession, and emerging-market economies, which had powered global growth in recent years, slowed significantly.

The Strategies are positioned for substantial near-term risk and eventual recovery by combining stocks poised for stability during a difficult economic environment with stocks that are positioned to rebound during an economic recovery. Furthermore, the Team is maintaining an overweight in investment-grade corporates in taxable bonds, to take advantage of the yield spread over Treasuries, which remains at historically high levels.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   3

HISTORICAL PERFORMANCE

 

An Important Note About the Value of Historical Performance

The performance shown on the following pages represents past performance and does not guarantee future results. Retirement Strategy 2050 and Retirement Strategy 2055 are relatively new and returns reflected may not be illustrative of long-term performance. Current performance for all of the Strategies may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting our website at www.alliancebernstein.com.

The investment return and principal value of an investment in the Strategies will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. You should consider the investment objectives, risks, charges and expenses of the Strategies carefully before investing. For a free copy of the Strategies’ prospectus, visit our website at www.alliancebernstein.com or call your financial advisor or AllianceBernstein Investments at 800.227.4618. You should read the prospectus carefully before you invest.

All fees and expenses related to the operation of the Strategies have been deducted. Strategy returns are at net asset value (NAV), without the imposition of sales charges that would apply if shares were purchased outside of a group retirement plan. NAV returns do not reflect sales charges; if sales charges were reflected, the Strategy’s quoted performance would be lower. SEC returns reflect the 4.25% maximum front-end sales charge for Class A shares. Performance assumes reinvestment of distributions and does not account for taxes. For shareholders who have purchased their shares through certain group retirement plans, which are eligible to purchase Class A, Class B, Class C, Advisor Class, Class R, Class K or Class I shares at NAV without the imposition of an initial sales charge, the following fees and charges apply: Class A shares carry no front-end sales charge or CDSC, but are subject to a 0.30% Rule 12b-1 distribution fee and Class A shares may be subject to a 1% redemption fee if a non-AllianceBernstein sponsored group retirement plan terminates a Strategy as an investment option within one year of initiation; Class R shares carry no front-end sales charges or CDSC but are subject to a 0.50% Rule 12b-1 distribution fee; Class K shares carry no front-end sales charge or CDSC but are subject to a 0.25% Rule 12b-1 distribution fee; Class I shares carry no front-end sales charges or CDSC.

Benchmark Disclosures

The composite benchmark is derived by applying the Strategies’ target allocations over time to the results of the following benchmarks: for US stocks, Russell 3000 Index; for non-US stocks, Morgan Stanley Capital International (MSCI) Europe, Australasia, Far East (EAFE) Index; for real estate investment trusts (REITs), FTSE EPRA/NAREIT Global Real Estate (RE) Index; for intermediate bonds, Barclays Capital US Aggregate Index; for short-term bonds, Merrill Lynch (ML) 1-3 Year Treasury Index; for Inflation-Protected Securities, Barclays Capital 1-10 Year TIPS Index; for high-yield bonds, Barclays Capital US High Yield 2% Issuer Cap Index.

The MSCI EAFE Index values are calculated using net returns. Net returns approximate the minimum possible dividend reinvestment—the dividend is reinvested after deduction of withholding tax, applying the highest rate applicable to non-resident institutional individuals who do not benefit from double taxation treaties.

None of the indices reflect fees and expenses associated with the active management of a mutual fund portfolio. The unmanaged S&P 500 Stock Index measures 500 US stocks and is a common measure of the performance of the overall US stock market. The unmanaged Russell 3000 Index is composed of 3,000 of the largest capitalized companies that are traded in the United States. The unmanaged

 

(Historical Performance continued on next page)

 

4   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

HISTORICAL PERFORMANCE

(continued from previous page)

 

MSCI EAFE Index is a market capitalization-weighted index that measures stock performance in 21 countries in Europe, Australasia and the Far East. The Financial Times Stock Exchange (FTSE) European Public Real Estate Association (EPRA)/National Association of Real Estate Investment Trusts (NAREIT) Global Real Estate (RE) Index is a free-floating, market-capitalization weighted index structured in such a way that it can be considered to represent general trends in all eligible real estate stocks worldwide. The index is designed to reflect the stock performance of companies engaged in specific aspects of the North American, European and Asian real estate markets. The unmanaged Barclays Capital US Aggregate Index covers the US investment-grade fixed-rate bond market, including government and credit securities, agency mortgage pass-through securities, asset-backed securities and commercial mortgage-backed securities. The ML 1-3 Year Treasury Index is an unmanaged index composed of US government securities, including agency securities, with remaining maturities, at month end, of one to three years. The Barclays Capital 1-10 Year TIPS Index is the 1-10 year maturity component of the unmanaged US Treasury Inflation Notes Index and consists of Inflation-Protection securities issued by the US Treasury. The Barclays Capital US High Yield 2% Issuer Cap Index covers the universe of fixed- rate, non-investment grade debt. Pay-in-kind (PIK) bonds, Eurobonds, and debt issues from countries designated as emerging markets (e.g., Argentina, Brazil, Venezuela, etc.) are excluded, but Canadian and global bonds (SEC registered) of issuers in non-emerging market countries are included. Original issue zeroes, step-up coupon structures, and 144-As are also included. An investor cannot invest directly in an index, and its results are not indicative of the performance of any specific investment, including the Strategies.

A Word About Risk

All the Retirement Strategies allocate their investments among multiple asset classes, which will include US and foreign securities, as well as equity and fixed-income securities. Within each of these, the Strategies will also allocate their investments to different types of securities, such as growth and value stocks, real estate investment trusts and corporate and US government bonds. International investing involves risks not associated with US investments, including currency fluctuations and political and economic changes. The Strategies may at times use certain types of investment derivatives such as options, futures, forwards and swaps. The use of derivatives involves specific risks and is not suitable for all investors. The Strategies systematically rebalance their allocations in these asset classes to maintain their target weightings. Systematic rebalancing does involve transactional trading costs to the portfolios. While diversification and shifting to a more conservative investment mix over time helps to manage risk, it does not guarantee earnings growth. There is the potential to lose money in any investment program. You do not have the ability to actively manage the investments within a Retirement Strategy. The portfolio managers control security selection and asset allocation. The risks associated with an investment in the Strategies are more fully described in the Strategies’ prospectus.

 

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   5

 

Historical Performance

2000 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2000 Retirement Strategy

         

Class A

   -27.22%      -29.81%  
 

Class B*

   -27.47%      -30.28%  
 

Class C

   -27.47%      -30.28%  
 

Advisor Class**

   -27.12%      -29.63%  
 

Class R**

   -27.29%      -29.97%  
 

Class K**

   -27.19%      -29.76%  
 

Class I**

   -27.01%      -29.58%  
 

Composite Benchmark†

   -25.15%      -26.82%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

6   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2005 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2005 Retirement Strategy

         

Class A

   -31.07%      -33.88%  
 

Class B*

   -31.31%      -34.40%  
 

Class C

   -31.34%      -34.37%  
 

Advisor Class**

   -30.92%      -33.67%  
 

Class R**

   -31.14%      -34.03%  
 

Class K**

   -31.05%      -33.86%  
 

Class I**

   -30.95%      -33.70%  
 

Composite Benchmark†

   -29.98%      -31.85%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   7

 

Historical Performance

2010 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2010 Retirement Strategy

         

Class A

   -34.99%      -37.65%  
 

Class B*

   -35.36%      -38.21%  
 

Class C

   -35.30%      -38.21%  
 

Advisor Class**

   -34.94%      -37.54%  
 

Class R**

   -35.13%      -37.85%  
 

Class K**

   -35.01%      -37.67%  
 

Class I**

   -34.98%      -37.52%  
 

Composite Benchmark†

   -33.97%      -36.01%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

8   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2015 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2015 Retirement Strategy

         

Class A

   -37.52%      -40.45%  
 

Class B*

   -37.63%      -40.79%  
 

Class C

   -37.73%      -40.88%  
 

Advisor Class**

   -37.44%      -40.29%  
 

Class R**

   -37.56%      -40.59%  
 

Class K**

   -37.46%      -40.43%  
 

Class I**

   -37.39%      -40.30%  
 

Composite Benchmark†

   -36.41%      -38.60%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   9

 

Historical Performance

2020 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2020 Retirement Strategy

         

Class A

   -39.87%      -43.05%  
 

Class B*

   -40.11%      -43.46%  
 

Class C

   -40.07%      -43.42%  
 

Advisor Class**

   -39.79%      -42.85%  
 

Class R**

   -39.93%      -43.12%  
 

Class K**

   -39.85%      -43.03%  
 

Class I**

   -39.77%      -42.84%  
 

Composite Benchmark†

   -38.80%      -41.12%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

 

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

10   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2025 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2025 Retirement Strategy

         

Class A

   -41.89%      -45.15%  
 

Class B*

   -42.13%      -45.51%  
 

Class C

   -42.14%      -45.56%  
 

Advisor Class**

   -41.83%      -44.98%  
 

Class R**

   -41.95%      -45.26%  
 

Class K**

   -41.95%      -45.15%  
 

Class I**

   -41.84%      -44.98%  
 

Composite Benchmark†

   -40.76%      -43.16%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   11

 

Historical Performance

2030 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2030 Retirement Strategy

         

Class A

   -42.59%      -45.83%  
 

Class B*

   -42.79%      -46.21%  
 

Class C

   -42.85%      -46.26%  
 

Advisor Class**

   -42.49%      -45.67%  
 

Class R**

   -42.61%      -45.91%  
 

Class K**

   -42.59%      -45.83%  
 

Class I**

   -42.48%      -45.66%  
 

Composite Benchmark†

   -41.47%      -43.88%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

12   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2035 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2035 Retirement Strategy

         

Class A

   -43.24%      -46.49%  
 

Class B*

   -43.40%      -46.81%  
 

Class C

   -43.40%      -46.86%  
 

Advisor Class**

   -43.09%      -46.29%  
 

Class R**

   -43.25%      -46.61%  
 

Class K**

   -43.21%      -46.51%  
 

Class I**

   -43.07%      -46.27%  
 

Composite Benchmark†

   -42.04%      -44.47%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

        

 

 

 

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   13

 

Historical Performance

2040 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2040 Retirement Strategy

         

Class A

   -43.08%      -46.34%  
 

Class B*

   -43.30%      -46.77%  
 

Class C

   -43.30%      -46.77%  
 

Advisor Class**

   -43.01%      -46.21%  
 

Class R**

   -43.18%      -46.50%  
 

Class K**

   -43.15%      -46.36%  
 

Class I**

   -43.01%      -46.17%  
 

Composite Benchmark†

   -42.04%      -44.47%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

14   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2045 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2045 Retirement Strategy

         

Class A

   -43.26%      -46.54%  
 

Class B*

   -43.52%      -46.96%  
 

Class C

   -43.57%      -47.01%  
 

Advisor Class**

   -43.26%      -46.42%  
 

Class R**

   -43.35%      -46.64%  
 

Class K**

   -43.27%      -46.56%  
 

Class I**

   -43.18%      -46.41%  
 

Composite Benchmark†

   -42.04%      -44.47%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   15

 

Historical Performance

2050 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

        
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2050 Retirement Strategy

         

Class A

   -41.78%      -45.16%  
 

Class B*

   -42.10%      -45.66%  
 

Class C

   -41.98%      -45.55%  
 

Advisor Class**

   -41.83%      -45.08%  
 

Class R**

   -41.87%      -45.31%  
 

Class K**

   -41.82%      -45.13%  
 

Class I**

   -41.78%      -45.10%  
 

Composite Benchmark†

   -42.04%      -44.47%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

 

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

16   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2055 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

 
THE STRATEGY VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009		   Returns    
  6 Months      12 Months     

AllianceBernstein 2055 Retirement Strategy

         

Class A

   -42.92%      -46.50%  
 

Class B*

   -43.13%      -46.77%  
 

Class C

   -43.13%      -46.77%  
 

Advisor Class**

   -42.89%      -46.28%  
 

Class R**

   -43.04%      -46.60%  
 

Class K**

   -42.81%      -46.32%  
 

Class I**

   -42.87%      -46.26%  
 

Composite Benchmark†

   -42.04%      -44.47%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

Barclays Capital US Aggregate Index

   1.88%      2.06%  
 

 

*    Effective January 31, 2009, Class B shares are no longer available for purchase to new investors. See Note A for additional information.

 

**  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

 

†    For a description of the composite benchmark, please see pages 4-5.

See Historical Performance and Benchmark disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   17

 

Historical Performance

THE UNDERLYING PORTFOLIOS

HISTORICAL PERFORMANCE

(continued from previous page)

 

     
EACH UNDERLYING PORTFOLIO*† VS. ITS BENCHMARK
PERIODS ENDED FEBRUARY 28, 2009 		  Returns    
  6 Months   12 Months     

AllianceBernstein US Value Portfolio

   -44.97%   -49.48%  
 

Russell 1000 Value Index

   -44.71%   -47.35%  
 

AllianceBernstein US Large Cap Growth Portfolio

   -38.50%   -39.02%  
 

Russell 1000 Growth Index

   -39.90%   -40.03%  
 

AllianceBernstein Global Real Estate Investment Portfolio

   -51.84%   -55.85%  
 

FTSE/EPRA NAREIT Global RE Index

   -55.35%   -59.53%  
 

AllianceBernstein International Value Portfolio

   -51.14%   -57.06%  
 

MSCI EAFE Index

   -44.58%   -50.22%  
 

AllianceBernstein International Growth Portfolio

   -45.60%   -52.29%  
 

MSCI EAFE Index

   -44.58%   -50.22%  
 

MSCI EAFE Growth Index

   -43.75%   -49.07%  
 

AllianceBernstein Small-Mid Cap Value Portfolio

   -47.50%   -46.25%  
 

Russell 2500 Value Index

   -46.05%   -43.69%  
 

AllianceBernstein Small-Mid Cap Growth Portfolio

   -44.95%   -41.43%  
 

Russell 2500 Growth Index

   -46.20%   -44.20%  
 

AllianceBernstein Short Duration Bond Portfolio

   -1.95%   -3.91%  
 

Merrill Lynch 1-3 Year Treasury Index

   3.05%   3.30%  
 

AllianceBernstein Intermediate Duration Bond Portfolio

   -3.77%   -4.54%  
 

Barclays Capital US Aggregate Index

   1.88%   2.06%  
 

AllianceBernstein Inflation-Protected Securities Portfolio

   -6.98%   -6.37%  
 

Barclays Capital 1-10 Year TIPS Index

   -6.73%   -6.27%  
 

AllianceBernstein High-Yield Portfolio

   -22.66%   -23.32%  
 

Barclays Capital US High Yield 2% Issuer Cap

   -21.50%   -20.92%  
 

*    Please note, shares of the Underlying Portfolios are offered exclusively to mutual funds advised by, and certain institutional clients of, AllianceBernstein that seek a blend of asset classes for investment, like the Strategies. These share classes are not currently offered for direct investment from the general public.

 

†    The Underlying Portfolios do not contain sales charges or management fees.

(Historical Performance continued on next page)

 

18   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2000 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -29.81 %      -32.81 %

Since Inception*

    -5.37 %      -6.53 %
       
Class B Shares        

1 Year

    -30.28 %      -32.97 %

Since Inception*

    -6.03 %      -6.27 %
       
Class C Shares        

1 Year

    -30.28 %      -30.95 %

Since Inception*

    -6.03 %      -6.03 %
       
Advisor Class Shares†        

1 Year

    -29.63 %      -29.63 %

Since Inception*

    -5.12 %      -5.12 %
       
Class R Shares†        

1 Year

    -29.97 %      -29.97 %

Since Inception*

    -5.59 %      -5.59 %
       
Class K Shares†        

1 Year

    -29.76 %      -29.76 %

Since Inception*

    -5.31 %      -5.31 %
       
Class I Shares†        

1 Year

    -29.58 %      -29.58 %

Since Inception*

    -5.07 %      -5.07 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 2.81%, 3.54%, 3.46%, 2.39%, 2.95%, 2.67% and 2.39% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 0.86%, 1.56%, 1.56%, 0.56%, 1.06%, 0.81% and 0.56% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   19

 

Historical Performance

2000 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -29.05 %

Since Inception*

    -5.01 %
  
Class B Shares   

1 Year

    -29.27 %

Since Inception*

    -4.78 %
  
Class C Shares   

1 Year

    -27.08 %

Since Inception*

    -4.54 %
  
Advisor Class Shares†   

1 Year

    -25.67 %

Since Inception*

    -3.59 %
  
Class R Shares†   

1 Year

    -26.00 %

Since Inception*

    -4.07 %
  
Class K Shares†   

1 Year

    -25.84 %

Since Inception*

    -3.81 %
  
Class I Shares†   

1 Year

    -25.66 %

Since Inception*

    -3.58 %

 

 

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

20   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2005 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -33.88 %      -36.70 %

Since Inception*

    -7.15 %      -8.29 %
       
Class B Shares        

1 Year

    -34.40 %      -36.89 %

Since Inception*

    -7.80 %      -8.04 %
       
Class C Shares        

1 Year

    -34.37 %      -34.99 %

Since Inception*

    -7.84 %      -7.84 %
       
Advisor Class Shares†        

1 Year

    -33.67 %      -33.67 %

Since Inception*

    -6.88 %      -6.88 %
       
Class R Shares†        

1 Year

    -34.03 %      -34.03 %

Since Inception*

    -7.37 %      -7.37 %
       
Class K Shares†        

1 Year

    -33.86 %      -33.86 %

Since Inception*

    -7.11 %      -7.11 %
       
Class I Shares†        

1 Year

    -33.70 %      -33.70 %

Since Inception*

    -6.89 %      -6.89 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.89%, 2.60%, 2.61%, 1.58%, 2.12%, 1.86% and 1.53% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 0.92%, 1.62%, 1.62%, 0.62%, 1.12%, 0.87% and 0.62% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   21

 

Historical Performance

2005 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -32.61 %

Since Inception*

    -6.53 %
  
Class B Shares   

1 Year

    -32.75 %

Since Inception*

    -6.30 %
  
Class C Shares   

1 Year

    -30.69 %

Since Inception*

    -6.06 %
  
Advisor Class Shares†   

1 Year

    -29.33 %

Since Inception*

    -5.12 %
  
Class R Shares†   

1 Year

    -29.68 %

Since Inception*

    -5.61 %
  
Class K Shares†   

1 Year

    -29.57 %

Since Inception*

    -5.35 %
  
Class I Shares†   

1 Year

    -29.41 %

Since Inception*

    -5.13 %

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

22   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2010 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -37.65 %      -40.32 %

Since Inception*

    -8.59 %      -9.71 %
       
Class B Shares        

1 Year

    -38.21 %      -40.52 %

Since Inception*

    -9.26 %      -9.49 %
       
Class C Shares        

1 Year

    -38.21 %      -38.79 %

Since Inception*

    -9.26 %      -9.26 %
       
Advisor Class Shares†        

1 Year

    -37.54 %      -37.54 %

Since Inception*

    -8.34 %      -8.34 %
       
Class R Shares†        

1 Year

    -37.85 %      -37.85 %

Since Inception*

    -8.80 %      -8.80 %
       
Class K Shares†        

1 Year

    -37.67 %      -37.67 %

Since Inception*

    -8.56 %      -8.56 %
       
Class I Shares†        

1 Year

    -37.52 %      -37.52 %

Since Inception*

    -8.34 %      -8.34 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.19%, 1.90%, 1.90%, 0.89%, 1.58%, 1.28% and 0.94% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 0.94%, 1.64%, 1.64%, 0.64%, 1.14%, 0.89% and 0.64% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   23

 

Historical Performance

2010 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -36.07 %

Since Inception*

    -7.78 %
  
Class B Shares   

1 Year

    -36.20 %

Since Inception*

    -7.55 %
  
Class C Shares   

1 Year

    -34.34 %

Since Inception*

    -7.32 %
  
Advisor Class Shares†   

1 Year

    -33.10 %

Since Inception*

    -6.42 %
  
Class R Shares†   

1 Year

    -33.36 %

Since Inception*

    -6.87 %
  
Class K Shares†   

1 Year

    -33.24 %

Since Inception*

    -6.63 %
  
Class I Shares†   

1 Year

    -33.08 %

Since Inception*

    -6.42 %

 

 

 

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

24   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2015 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -40.45 %      -42.96 %

Since Inception*

    -9.70 %      -10.80 %
       
Class B Shares        

1 Year

    -40.79 %      -43.02 %

Since Inception*

    -10.27 %      -10.50 %
       
Class C Shares        

1 Year

    -40.88 %      -41.44 %

Since Inception*

    -10.31 %      -10.31 %
       
Advisor Class Shares†        

1 Year

    -40.29 %      -40.29 %

Since Inception*

    -9.41 %      -9.41 %
       
Class R Shares†        

1 Year

    -40.59 %      -40.59 %

Since Inception*

    -9.87 %      -9.87 %
       
Class K Shares†        

1 Year

    -40.43 %      -40.43 %

Since Inception*

    -9.64 %      -9.64 %
       
Class I Shares†        

1 Year

    -40.30 %      -40.30 %

Since Inception*

    -9.40 %      -9.40 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.14%, 1.85%, 1.85%, 0.86%, 1.53%, 1.22% and 0.88% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 0.98%, 1.68%, 1.68%, 0.68%, 1.18%, 0.93% and 0.68% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. he Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   25

 

Historical Performance

2015 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES)

AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)

 

 

     SEC Returns  
  
Class A Shares   

1 Year

    -38.56 %

Since Inception*

    -8.75 %
  
Class B Shares   

1 Year

    -38.64 %

Since Inception*

    -8.48 %
  
Class C Shares   

1 Year

    -36.93 %

Since Inception*

    -8.29 %
  
Advisor Class Shares†   

1 Year

    -35.61 %

Since Inception*

    -7.33 %
  
Class R Shares†   

1 Year

    -35.94 %

Since Inception*

    -7.81 %
  
Class K Shares†   

1 Year

    -35.85 %

Since Inception*

    -7.60 %
  
Class I Shares†   

1 Year

    -35.62 %

Since Inception*

    -7.32 %

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

26   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2020 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -43.05 %      -45.49 %

Since Inception*

    -10.84 %      -11.93 %
       
Class B Shares        

1 Year

    -43.46 %      -45.59 %

Since Inception*

    -11.48 %      -11.71 %
       
Class C Shares        

1 Year

    -43.42 %      -43.95 %

Since Inception*

    -11.44 %      -11.44 %
       
Advisor Class Shares†        

1 Year

    -42.85 %      -42.85 %

Since Inception*

    -10.56 %      -10.56 %
       
Class R Shares†        

1 Year

    -43.12 %      -43.12 %

Since Inception*

    -10.99 %      -10.99 %
       
Class K Shares†        

1 Year

    -43.03 %      -43.03 %

Since Inception*

    -10.78 %      -10.78 %
       
Class I Shares†        

1 Year

    -42.84 %      -42.84 %

Since Inception*

    -10.57 %      -10.57 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.13%, 1.85%, 1.84%, 0.84%, 1.50%, 1.20% and 0.87% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.02%, 1.72%, 1.72%, 0.72%, 1.22%, 0.97% and 0.72% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   27

 

Historical Performance

2020 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -41.10 %

Since Inception*

    -9.84 %
  
Class B Shares   

1 Year

    -41.17 %

Since Inception*

    -9.60 %
  
Class C Shares   

1 Year

    -39.50 %

Since Inception*

    -9.38 %
  
Advisor Class Shares†   

1 Year

    -38.32 %

Since Inception*

    -8.48 %
  
Class R Shares†   

1 Year

    -38.67 %

Since Inception*

    -8.94 %
  
Class K Shares†   

1 Year

    -38.44 %

Since Inception*

    -8.70 %
  
Class I Shares†   

1 Year

    -38.30 %

Since Inception*

    -8.49 %

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

28   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2025 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -45.15 %      -47.49 %

Since Inception*

    -11.23 %      -12.32 %
       
Class B Shares        

1 Year

    -45.51 %      -47.56 %

Since Inception*

    -11.88 %      -12.11 %
       
Class C Shares        

1 Year

    -45.56 %      -46.08 %

Since Inception*

    -11.89 %      -11.89 %
       
Advisor Class Shares†        

1 Year

    -44.98 %      -44.98 %

Since Inception*

    -10.99 %      -10.99 %
       
Class R Shares†        

1 Year

    -45.26 %      -45.26 %

Since Inception*

    -11.41 %      -11.41 %
       
Class K Shares†        

1 Year

    -45.15 %      -45.15 %

Since Inception*

    -11.23 %      -11.23 %
       
Class I Shares†        

1 Year

    -44.98 %      -44.98 %

Since Inception*

    -10.98 %      -10.98 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.21%, 1.94%, 1.93%, 0.94%, 1.57%, 1.28% and 0.94% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.04%, 1.74%, 1.74%, 0.74%, 1.24%, 0.99% and 0.74% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   29

 

Historical Performance

2025 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -42.94 %

Since Inception*

    -10.12 %
  
Class B Shares   

1 Year

    -43.10 %

Since Inception*

    -9.94 %
  
Class C Shares   

1 Year

    -41.40 %

Since Inception*

    -9.67 %
  
Advisor Class Shares†   

1 Year

    -40.31 %

Since Inception*

    -8.80 %
  
Class R Shares†   

1 Year

    -40.55 %

Since Inception*

    -9.21 %
  
Class K Shares†   

1 Year

    -40.49 %

Since Inception*

    -9.03 %
  
Class I Shares†   

1 Year

    -40.32 %

Since Inception*

    -8.80 %

 

 

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

30   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2030 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -45.83 %      -48.12 %

Since Inception*

    -11.95 %      -13.03 %
       
Class B Shares        

1 Year

    -46.21 %      -48.25 %

Since Inception*

    -12.61 %      -12.83 %
       
Class C Shares        

1 Year

    -46.26 %      -46.77 %

Since Inception*

    -12.61 %      -12.61 %
       
Advisor Class Shares†        

1 Year

    -45.67 %      -45.67 %

Since Inception*

    -11.67 %      -11.67 %
       
Class R Shares†        

1 Year

    -45.91 %      -45.91 %

Since Inception*

    -12.06 %      -12.06 %
       
Class K Shares†        

1 Year

    -45.83 %      -45.83 %

Since Inception*

    -11.91 %      -11.91 %
       
Class I Shares†        

1 Year

    -45.66 %      -45.66 %

Since Inception*

    -11.69 %      -11.69 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.27%, 2.00%, 1.99%, 0.98%, 1.61%, 1.32% and 0.99% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.06%, 1.76%, 1.76%, 0.76%, 1.26%, 1.01% and 0.76% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   31

 

Historical Performance

2030 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -43.52 %

Since Inception*

    -10.77 %
  
Class B Shares   

1 Year

    -43.64 %

Since Inception*

    -10.60 %
  
Class C Shares   

1 Year

    -42.03 %

Since Inception*

    -10.37 %
  
Advisor Class Shares†   

1 Year

    -40.81 %

Since Inception*

    -9.42 %
  
Class R Shares†   

1 Year

    -41.14 %

Since Inception*

    -9.84 %
  
Class K Shares†   

1 Year

    -40.97 %

Since Inception*

    -9.65 %
  
Class I Shares†   

1 Year

    -40.85 %

Since Inception*

    -9.44 %

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

32   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2035 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -46.49 %      -48.75 %

Since Inception*

    -12.21 %      -13.28 %
       
Class B Shares        

1 Year

    -46.81 %      -48.84 %

Since Inception*

    -12.81 %      -13.04 %
       
Class C Shares        

1 Year

    -46.86 %      -47.37 %

Since Inception*

    -12.81 %      -12.81 %
       
Advisor Class Shares†        

1 Year

    -46.29 %      -46.29 %

Since Inception*

    -11.93 %      -11.93 %
       
Class R Shares†        

1 Year

    -46.61 %      -46.61 %

Since Inception*

    -12.40 %      -12.40 %
       
Class K Shares†        

1 Year

    -46.51 %      -46.51 %

Since Inception*

    -12.18 %      -12.18 %
       
Class I Shares†        

1 Year

    -46.27 %      -46.27 %

Since Inception*

    -11.92 %      -11.92 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.40%, 2.12%, 2.12%, 1.12%, 1.71%, 1.41% and 1.07% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.06%, 1.76%, 1.76%, 0.76%, 1.26%, 1.01% and 0.76% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   33

 

Historical Performance

2035 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -43.95 %

Since Inception*

    -10.93 %
  
Class B Shares   

1 Year

    -44.19 %

Since Inception*

    -10.76 %
  
Class C Shares   

1 Year

    -42.53 %

Since Inception*

    -10.53 %
  
Advisor Class Shares†   

1 Year

    -41.37 %

Since Inception*

    -9.62 %
  
Class R Shares†   

1 Year

    -41.61 %

Since Inception*

    -10.08 %
  
Class K Shares†   

1 Year

    -41.49 %

Since Inception*

    -9.82 %
  
Class I Shares†   

1 Year

    -41.39 %

Since Inception*

    -9.62 %

 

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

34   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2040 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -46.34 %      -48.62 %

Since Inception*

    -11.87 %      -12.95 %
       
Class B Shares        

1 Year

    -46.77 %      -48.81 %

Since Inception*

    -12.48 %      -12.72 %
       
Class C Shares        

1 Year

    -46.77 %      -47.28 %

Since Inception*

    -12.48 %      -12.48 %
       
Advisor Class Shares†        

1 Year

    -46.21 %      -46.21 %

Since Inception*

    -11.61 %      -11.61 %
       
Class R Shares†        

1 Year

    -46.50 %      -46.50 %

Since Inception*

    -12.05 %      -12.05 %
       
Class K Shares†        

1 Year

    -46.36 %      -46.36 %

Since Inception*

    -11.82 %      -11.82 %
       
Class I Shares†        

1 Year

    -46.17 %      -46.17 %

Since Inception*

    -11.59 %      -11.59 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.53%, 2.25%, 2.26%, 1.24%, 1.80%, 1.51% and 1.18% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.06%, 1.76%, 1.76%, 0.76%, 1.26%, 1.01% and 0.76% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   35

 

Historical Performance

2040 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -43.91 %

Since Inception*

    -10.64 %
  
Class B Shares   

1 Year

    -44.11 %

Since Inception*

    -10.44 %
  
Class C Shares   

1 Year

    -42.35 %

Since Inception*

    -10.16 %
  
Advisor Class Shares†   

1 Year

    -41.24 %

Since Inception*

    -9.31 %
  
Class R Shares†   

1 Year

    -41.52 %

Since Inception*

    -9.73 %
  
Class K Shares†   

1 Year

    -41.43 %

Since Inception*

    -9.51 %
  
Class I Shares†   

1 Year

    -41.24 %

Since Inception*

    -9.28 %

 

 

 

 

* Inception Date: 9/1/05 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

36   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2045 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -46.54 %      -48.82 %

Since Inception*

    -12.03 %      -13.11 %
       
Class B Shares        

1 Year

    -46.96 %      -48.99 %

Since Inception*

    -12.66 %      -12.89 %
       
Class C Shares        

1 Year

    -47.01 %      -47.51 %

Since Inception*

    -12.70 %      -12.70 %
       
Advisor Class Shares†        

1 Year

    -46.42 %      -46.42 %

Since Inception*

    -11.80 %      -11.80 %
       
Class R Shares†        

1 Year

    -46.64 %      -46.64 %

Since Inception*

    -12.22 %      -12.22 %
       
Class K Shares†        

1 Year

    -46.56 %      -46.56 %

Since Inception*

    -12.00 %      -12.00 %
       
Class I Shares†        

1 Year

    -46.41 %      -46.41 %

Since Inception*

    -11.79 %      -11.79 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 1.86%, 2.58%, 2.59%, 1.56%, 2.05%, 1.76% and 1.41% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.06%, 1.76%, 1.76%, 0.76%, 1.26%, 1.01% and 0.76% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 9/1/05 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   37

 

Historical Performance

2045 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -44.13 %

Since Inception*

    -10.82 %
  
Class B Shares   

1 Year

    -44.33 %

Since Inception*

    -10.62 %
  
Class C Shares   

1 Year

    -42.62 %

Since Inception*

    -10.39 %
  
Advisor Class Shares†   

1 Year

    -41.46 %

Since Inception*

    -9.48 %
  
Class R Shares†   

1 Year

    -41.74 %

Since Inception*

    -9.91 %
  
Class K Shares†   

1 Year

    -41.67 %

Since Inception*

    -9.71 %
  
Class I Shares†   

1 Year

    -41.51 %

Since Inception*

    -9.50 %

 

 

 

* Inception Date: 9/1/05 for all share classes.

 

†

Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

38   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2050 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -45.16 %      -47.47 %

Since Inception*

    -33.37 %      -35.07 %
       
Class B Shares        

1 Year

    -45.66 %      -47.78 %

Since Inception*

    -33.90 %      -35.05 %
       
Class C Shares        

1 Year

    -45.55 %      -46.08 %

Since Inception*

    -33.82 %      -33.82 %
       
Advisor Class Shares†        

1 Year

    -45.08 %      -45.08 %

Since Inception*

    -33.24 %      -33.24 %
       
Class R Shares†        

1 Year

    -45.31 %      -45.31 %

Since Inception*

    -33.50 %      -33.50 %
       
Class K Shares†        

1 Year

    -45.13 %      -45.13 %

Since Inception*

    -33.31 %      -33.31 %
       
Class I Shares†        

1 Year

    -45.10 %      -45.10 %

Since Inception*

    -33.25 %      -33.25 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 54.05%, 71.04%, 61.62%, 41.56%, 23.04%, 30.44% and 41.84% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.06%, 1.76%, 1.76%, 0.76%, 1.26%, 1.01% and 0.76% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 6/29/07 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

This strategy is relatively new and has been in existence for less than two years. The returns reflected may not be illustrative of long-term performance.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   39

 

Historical Performance

2050 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES) AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)   
     SEC Returns  
  
Class A Shares   

1 Year

    -42.71 %

Since Inception*

    -30.46 %
  
Class B Shares   

1 Year

    -43.01 %

Since Inception*

    -30.43 %
  
Class C Shares   

1 Year

    -41.27 %

Since Inception*

    -29.25 %
  
Advisor Class Shares†   

1 Year

    -40.05 %

Since Inception*

    -28.53 %
  
Class R Shares†   

1 Year

    -40.46 %

Since Inception*

    -28.95 %
  
Class K Shares†   

1 Year

    -40.23 %

Since Inception*

    -28.67 %
  
Class I Shares†   

1 Year

    -40.07 %

Since Inception*

    -28.54 %

 

* Inception Date: 6/29/07 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

This strategy is relatively new and has been in existence for less than two years. The returns reflected may not be illustrative of long-term performance.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

40   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

2055 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -46.50 %      -48.79 %

Since Inception*

    -34.15 %      -35.82 %
       
Class B Shares        

1 Year

    -46.77 %      -48.88 %

Since Inception*

    -34.56 %      -35.70 %
       
Class C Shares        

1 Year

    -46.77 %      -47.30 %

Since Inception*

    -34.56 %      -34.56 %
       
Advisor Class Shares†        

1 Year

    -46.28 %      -46.28 %

Since Inception*

    -33.94 %      -33.94 %
       
Class R Shares†        

1 Year

    -46.60 %      -46.60 %

Since Inception*

    -34.29 %      -34.29 %
       
Class K Shares†        

1 Year

    -46.32 %      -46.32 %

Since Inception*

    -34.00 %      -34.00 %
       
Class I Shares†        

1 Year

    -46.26 %      -46.26 %

Since Inception*

    -33.93 %      -33.93 %

The Strategy’s current prospectus fee table shows the Strategy’s total annual operating expense ratios as 98.79%, 189.42%, 190.07%, 127.69%, 89.34%, 87.45% and 129.43% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively, gross of any fee waivers or expense reimbursements. Contractual fee waivers and/or expense reimbursements limit the Strategy’s annual operating expense ratios to 1.06%, 1.76%, 1.76%, 0.76%, 1.26%, 1.01% and 0.76% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares, respectively. These waivers/reimbursements extend through the Strategy’s current fiscal year and may be extended by the Adviser for additional one-year terms. Absent reimbursements or waivers, performance would have been lower. The net and gross expenses shown include the total operating expenses of the Strategy and the indirect expenses of the Strategy’s Underlying Portfolios, as based upon the allocation of the Strategy’s assets among the Underlying Portfolios, and may be higher or lower than those shown. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Date: 6/29/07 for all share classes.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as their NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

This strategy is relatively new and has been in existence for less than two years. The returns reflected may not be illustrative of long-term performance.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   41

 

Historical Performance

2055 RETIREMENT STRATEGY

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES)

AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)

 

 

     SEC Returns  
  
Class A Shares   

1 Year

    -43.89 %

Since Inception*

    -31.22 %
  
Class B Shares   

1 Year

    -44.10 %

Since Inception*

    -31.14 %
  
Class C Shares   

1 Year

    -42.48 %

Since Inception*

    -30.06 %
  
Advisor Class Shares†   

1 Year

    -41.26 %

Since Inception*

    -29.32 %
  
Class R Shares†   

1 Year

    -41.60 %

Since Inception*

    -29.70 %
  
Class K Shares†   

1 Year

    -41.32 %

Since Inception*

    -29.43 %
  
Class I Shares†   

1 Year

    -41.19 %

Since Inception*

    -29.27 %

 

* Inception Date: 6/29/07 for all share classes.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception date for these share classes is listed above.

This strategy is relatively new and has been in existence for less than two years. The returns reflected may not be illustrative of long-term performance.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

42   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

THE UNDERLYING PORTFOLIOS

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS FOR THE UNDERLYING PORTOFLIOS^~ AS OF FEBRUARY 28, 2009   
     NAV/SEC Returns†  
  
AllianceBernstein US Value Portfolio   

1 Year

    -49.48 %

Since Inception*

    -13.26 %
  
AllianceBernstein US Large Cap Growth Portfolio   

1 Year

    -39.02 %

Since Inception*

    -8.05 %
  
AllianceBernstein Global Real Estate Investment Portfolio   

1 Year

    -55.85 %

Since Inception*

    -11.75 %
  
AllianceBernstein International Value Portfolio   

1 Year

    -57.06 %

Since Inception*

    -9.85 %
  
AllianceBernstein International Growth Portfolio   

1 Year

    -52.29 %

Since Inception*

    -8.32 %
  
AllianceBernstein Small-Mid Cap Value Portfolio   

1 Year

    -46.25 %

Since Inception*

    -10.58 %
  
AllianceBernstein Small-Mid Cap Growth Portfolio   

1 Year

    -41.43 %

Since Inception*

    -6.21 %
  
AllianceBernstein Short Duration Bond Portfolio   

1 Year

    -3.91 %

Since Inception*

    1.65 %
  
AllianceBernstein Intermediate Duration Bond Portfolio   

1 Year

    -4.54 %

Since Inception*

    2.29 %
  
AllianceBernstein Inflation-Protected Securities Portfolio   

1 Year

    -6.37 %

Since Inception*

    3.19 %
  
AllianceBernstein High-Yield Portfolio   

1 Year

    -23.32 %

Since Inception*

    -3.69 %

 

* Inception date: 5/20/05 for all Portfolios.

 

† These Portfolios are offered at net asset value (NAV) and their SEC returns are the same as their NAV returns. The Underlying Portfolios can be purchased at the relevant net asset value (NAV) without a sales charge or other fee. However, there may be sales charges in connection with purchases of other AllianceBernstein funds which invest in these Underlying Portfolios.

 

^ Please note, shares of the Underlying Portfolios are offered exclusively to mutual funds advised by, and certain institutional clients of, AllianceBernstein that seek a blend of asset classes for investment, like the Strategies. The Underlying Portfolios are not currently offered for direct investment from the general public.

 

~ The Underlying Portfolios do not bear sales charges or management fees.

See Historical Performance disclosures on pages 4-5.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   43

 

Historical Performance

THE UNDERLYING PORTFOLIOS

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS FOR THE UNDERLYING PORTFOLIOS^~
AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)		   
     NAV/SEC Returns†  
  
AllianceBernstein US Value Portfolio   

1 Year

    -43.70 %

Since Inception*

    -10.77 %
  
AllianceBernstein US Large Cap Growth Portfolio   

1 Year

    -33.40 %

Since Inception*

    -5.94 %
  
AllianceBernstein Global Real Estate Investment Portfolio   

1 Year

    -53.16 %

Since Inception*

    -9.61 %
  
AllianceBernstein International Value Portfolio   

1 Year

    -53.61 %

Since Inception*

    -7.62 %
  
AllianceBernstein International Growth Portfolio   

1 Year

    -48.17 %

Since Inception*

    -6.87 %
  
AllianceBernstein Small-Mid Cap Value Portfolio   

1 Year

    -40.89 %

Since Inception*

    -7.86 %
  
AllianceBernstein Small-Mid Cap Growth Portfolio   

1 Year

    -34.53 %

Since Inception*

    -3.46 %
  
AllianceBernstein Short Duration Bond Portfolio   

1 Year

    -2.10 %

Since Inception*

    1.74 %
  
AllianceBernstein Intermediate Duration Bond Portfolio   

1 Year

    -2.55 %

Since Inception*

    2.78 %
  
AllianceBernstein Inflation-Protected Securities Portfolio   

1 Year

    -2.30 %

Since Inception*

    4.36 %
  
AllianceBernstein High-Yield Portfolio   

1 Year

    -20.77 %

Since Inception*

    -2.87 %

 

* Inception date: 5/20/05 for all Portfolios.

 

† These Portfolios are offered at net asset value (NAV) and their SEC returns are the same as their NAV returns. The Underlying Portfolios can be purchased at the relevant net asset value (NAV) without a sales charge or other fee. However, there are sales charges in connection to purchases of other AllianceBernstein share classes invested in these Underlying Portfolios.

 

^ Please note, shares of the Underlying Portfolios are offered exclusively to mutual funds advised by, and certain institutional clients of, AllianceBernstein that seek a blend of asset classes for investment, like the Strategies. These share classes are not currently offered for direct investment from the general public.

 

~ The Underlying Portfolios do not contain sales charges or management fees.

See Historical Performance disclosures on pages 4-5.

 

44   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Historical Performance

FUND EXPENSES

 

As a shareholder of the Strategy, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Strategy expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Strategy and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period. Each Strategy will indirectly bear its pro rata share of the expenses incurred by the Underlying Portfolios in which the Strategies invest. These expenses are not included in the table below.

Hypothetical Example for Comparison Purposes

The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Strategy’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Strategy’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Strategy and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. Each Strategy will indirectly bear its pro rata share of the expenses incurred by the Underlying Portfolios in which the Strategies invest. These expenses are not included in the table below.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   45

 

Fund Expenses

FUND EXPENSES

(continued from previous page)

 

2000 Retirement Strategy

 

    Beginning
Account Value
September 1, 2008		   Ending
Account Value
February 28, 2009		   Expenses
Paid During
Period*		   Annualized
Expense
Ratio*		  
Class A        

Actual

   $     1,000   $ 727.80   $     3.51   0.82 %

Hypothetical**

   $ 1,000   $     1,020.73   $ 4.11   0.82 %
Class B        

Actual

   $ 1,000   $ 725.30   $ 6.50   1.52 %

Hypothetical**

   $ 1,000   $ 1,017.26   $ 7.60   1.52 %
Class C        

Actual

   $ 1,000   $ 725.30   $ 6.50   1.52 %

Hypothetical**

   $ 1,000   $ 1,017.26   $ 7.60   1.52 %
Advisor Class        

Actual

   $ 1,000   $ 728.85   $ 2.23   0.52 %

Hypothetical**

   $ 1,000   $ 1,022.22   $ 2.61   0.52 %
Class R        

Actual

   $ 1,000   $ 727.11   $ 4.37   1.02 %

Hypothetical**

   $ 1,000   $ 1,019.74   $ 5.11   1.02 %
Class K        

Actual

   $ 1,000   $ 728.11   $ 3.30   0.77 %

Hypothetical**

   $ 1,000   $ 1,020.98   $ 3.86   0.77 %
Class I        

Actual

   $ 1,000   $ 729.87   $ 2.23   0.52 %

Hypothetical**

   $ 1,000   $ 1,022.22   $ 2.61   0.52 %

2005 Retirement Strategy

 

    Beginning
Account Value
September 1, 2008		   Ending
Account Value
February 28, 2009		   Expenses
Paid During
Period*		   Annualized
Expense
Ratio*		  
Class A        

Actual

   $     1,000   $ 689.26   $     3.69   0.88 %

Hypothetical**

   $ 1,000   $     1,020.43   $ 4.41   0.88 %
Class B        

Actual

   $ 1,000   $ 686.88   $ 6.61   1.58 %

Hypothetical**

   $ 1,000   $ 1,016.96   $ 7.90   1.58 %
Class C        

Actual

   $ 1,000   $ 686.57   $ 6.61   1.58 %

Hypothetical**

   $ 1,000   $ 1,016.96   $ 7.90   1.58 %
Advisor Class        

Actual

   $ 1,000   $ 690.76   $ 2.43   0.58 %

Hypothetical**

   $ 1,000   $ 1,021.92   $ 2.91   0.58 %
Class R        

Actual

   $ 1,000   $ 688.58   $ 4.52   1.08 %

Hypothetical**

   $ 1,000   $ 1,019.44   $ 5.41   1.08 %
Class K        

Actual

   $ 1,000   $ 689.54   $ 3.48   0.83 %

Hypothetical**

   $ 1,000   $ 1,020.68   $ 4.16   0.83 %
Class I        

Actual

   $ 1,000   $ 690.51   $ 2.43   0.58 %

Hypothetical**

   $ 1,000   $ 1,021.92   $ 2.91   0.58 %

 

46   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Fund Expenses

FUND EXPENSES

(continued from previous page)

 

2010 Retirement Strategy

 

    Beginning
Account Value
September 1, 2008		   Ending
Account Value
February 28, 2009		   Expenses
Paid During
Period*		   Annualized
Expense
Ratio*		  
Class A        

Actual

   $     1,000   $ 650.13   $     3.68   0.90 %

Hypothetical**

   $ 1,000   $     1,020.33   $ 4.51   0.90 %
Class B        

Actual

   $ 1,000   $ 646.35   $ 6.53   1.60 %

Hypothetical**

   $ 1,000   $ 1,016.86   $ 8.00   1.60 %
Class C        

Actual

   $ 1,000   $ 646.98   $ 6.53   1.60 %

Hypothetical**

   $ 1,000   $ 1,016.86   $ 8.00   1.60 %
Advisor Class        

Actual

   $ 1,000   $ 650.60   $ 2.46   0.60 %

Hypothetical**

   $ 1,000   $ 1,021.82   $ 3.01   0.60 %
Class R        

Actual

   $ 1,000   $ 648.67   $ 4.50   1.10 %

Hypothetical**

   $ 1,000   $ 1,019.34   $ 5.51   1.10 %
Class K        

Actual

   $ 1,000   $ 649.89   $ 3.48   0.85 %

Hypothetical**

   $ 1,000   $ 1,020.58   $ 4.26   0.85 %
Class I        

Actual

   $ 1,000   $ 650.19   $ 2.45   0.60 %

Hypothetical**

   $ 1,000   $ 1,021.82   $ 3.01   0.60 %

2015 Retirement Strategy

 

    Beginning
Account Value
September 1, 2008		   Ending
Account Value
February 28, 2009		   Expenses
Paid During
Period*		   Annualized
Expense
Ratio*		  
Class A        

Actual

   $     1,000   $ 624.75   $     3.79   0.94 %

Hypothetical**

   $ 1,000   $     1,020.13   $ 4.71   0.94 %
Class B        

Actual

   $ 1,000   $ 623.75   $ 6.60   1.64 %

Hypothetical**

   $ 1,000   $ 1,016.66   $ 8.20   1.64 %
Class C        

Actual

   $ 1,000   $ 622.74   $ 6.60   1.64 %

Hypothetical**

   $ 1,000   $ 1,016.66   $ 8.20   1.64 %
Advisor Class        

Actual

   $ 1,000   $ 625.61   $ 2.58   0.64 %

Hypothetical**

   $ 1,000   $ 1,021.62   $ 3.21   0.64 %
Class R        

Actual

   $ 1,000   $ 624.43   $ 4.59   1.14 %

Hypothetical**

   $ 1,000   $ 1,019.14   $ 5.71   1.14 %
Class K        

Actual

   $ 1,000   $ 625.41   $ 3.59   0.89 %

Hypothetical**

   $ 1,000   $ 1,020.38   $ 4.46   0.89 %
Class I        

Actual

   $ 1,000   $ 626.11   $ 2.58   0.64 %

Hypothetical**

   $ 1,000   $ 1,021.62   $ 3.21   0.64 %

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   47

 

Fund Expenses

FUND EXPENSES

(continued from previous page)

 

2020 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 601.28    $     3.89    0.98 %

Hypothetical**

    $ 1,000    $     1,019.93    $ 4.91    0.98 %
Class B            

Actual

    $ 1,000    $ 598.92    $ 6.66    1.68 %

Hypothetical**

    $ 1,000    $ 1,016.46    $ 8.40    1.68 %
Class C            

Actual

    $ 1,000    $ 599.32    $ 6.66    1.68 %

Hypothetical**

    $ 1,000    $ 1,016.46    $ 8.40    1.68 %
Advisor Class            

Actual

    $ 1,000    $ 602.10    $ 2.70    0.68 %

Hypothetical**

    $ 1,000    $ 1,021.42    $ 3.41    0.68 %
Class R            

Actual

    $ 1,000    $ 600.74    $ 4.68    1.18 %

Hypothetical**

    $ 1,000    $ 1,018.94    $ 5.91    1.18 %
Class K            

Actual

    $ 1,000    $ 601.49    $ 3.69    0.93 %

Hypothetical**

    $ 1,000    $ 1,020.18    $ 4.66    0.93 %
Class I            

Actual

    $ 1,000    $ 602.26    $ 2.70    0.68 %

Hypothetical**

    $ 1,000    $ 1,021.42    $ 3.41    0.68 %

2025 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 581.06    $     3.92    1.00 %

Hypothetical**

    $ 1,000    $ 1,019.84    $ 5.01    1.00 %
Class B            

Actual

    $ 1,000    $ 578.66    $ 6.65    1.70 %

Hypothetical**

    $ 1,000    $     1,016.36    $ 8.50    1.70 %
Class C            

Actual

    $ 1,000    $ 578.61    $ 6.65    1.70 %

Hypothetical**

    $ 1,000    $ 1,016.36    $ 8.50    1.70 %
Advisor Class            

Actual

    $ 1,000    $ 581.69    $ 2.75    0.70 %

Hypothetical**

    $ 1,000    $ 1,021.32    $ 3.51    0.70 %
Class R            

Actual

    $ 1,000    $ 580.47    $ 4.70    1.20 %

Hypothetical**

    $ 1,000    $ 1,018.84    $ 6.01    1.20 %
Class K            

Actual

    $ 1,000    $ 580.47    $ 3.72    0.95 %

Hypothetical**

    $ 1,000    $ 1,020.08    $ 4.76    0.95 %
Class I            

Actual

    $ 1,000    $ 581.61    $ 2.75    0.70 %

Hypothetical**

    $ 1,000    $ 1,021.32    $ 3.51    0.70 %

 

48   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Fund Expenses

FUND EXPENSES

(continued from previous page)

 

2030 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 574.14    $     3.98    1.02 %

Hypothetical**

    $ 1,000    $     1,019.74    $ 5.11    1.02 %
Class B            

Actual

    $ 1,000    $ 572.07    $ 6.70    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Class C            

Actual

    $ 1,000    $ 571.53    $ 6.70    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Advisor Class            

Actual

    $ 1,000    $ 575.10    $ 2.81    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
Class R            

Actual

    $ 1,000    $ 573.90    $ 4.76    1.22 %

Hypothetical**

    $ 1,000    $ 1,018.74    $ 6.11    1.22 %
Class K            

Actual

    $ 1,000    $ 574.08    $ 3.79    0.97 %

Hypothetical**

    $ 1,000    $ 1,019.98    $ 4.86    0.97 %
Class I            

Actual

    $ 1,000    $ 575.23    $ 2.81    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %

2035 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 567.55    $     3.96    1.02 %

Hypothetical**

    $ 1,000    $     1,019.74    $ 5.11    1.02 %
Class B            

Actual

    $ 1,000    $ 566.03    $ 6.68    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Class C            

Actual

    $ 1,000    $ 566.03    $ 6.68    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Advisor Class            

Actual

    $ 1,000    $ 569.05    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
Class R            

Actual

    $ 1,000    $ 567.53    $ 4.74    1.22 %

Hypothetical**

    $ 1,000    $ 1,018.74    $ 6.11    1.22 %
Class K            

Actual

    $ 1,000    $ 567.93    $ 3.77    0.97 %

Hypothetical**

    $ 1,000    $ 1,019.98    $ 4.86    0.97 %
Class I            

Actual

    $ 1,000    $ 569.33    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   49

 

Fund Expenses

FUND EXPENSES

(continued from previous page)

 

2040 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 569.18    $ 3.97    1.02 %

Hypothetical**

    $ 1,000    $     1,019.74    $     5.11    1.02 %
Class B            

Actual

    $ 1,000    $ 566.97    $ 6.68    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Class C            

Actual

    $ 1,000    $ 566.97    $ 6.68    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Advisor Class            

Actual

    $ 1,000    $ 569.92    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
Class R            

Actual

    $ 1,000    $ 568.19    $ 4.74    1.22 %

Hypothetical**

    $ 1,000    $ 1,018.74    $ 6.11    1.22 %
Class K            

Actual

    $ 1,000    $ 568.50    $ 3.77    0.97 %

Hypothetical**

    $ 1,000    $ 1,019.98    $ 4.86    0.97 %
Class I            

Actual

    $ 1,000    $ 569.88    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %

2045 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 567.40    $     3.96    1.02 %

Hypothetical**

    $ 1,000    $ 1,019.74    $ 5.11    1.02 %
Class B            

Actual

    $ 1,000    $ 564.78    $ 6.67    1.72 %

Hypothetical**

    $ 1,000    $     1,016.27    $ 8.60    1.72 %
Class C            

Actual

    $ 1,000    $ 564.32    $ 6.67    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Advisor Class            

Actual

    $ 1,000    $ 567.43    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
Class R            

Actual

    $ 1,000    $ 566.50    $ 4.74    1.22 %

Hypothetical**

    $ 1,000    $ 1,018.74    $ 6.11    1.22 %
Class K            

Actual

    $ 1,000    $ 567.29    $ 3.77    0.97 %

Hypothetical**

    $ 1,000    $ 1,019.98    $ 4.86    0.97 %
Class I            

Actual

    $ 1,000    $ 568.23    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %

 

50   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Fund Expenses

FUND EXPENSES

(continued from previous page)

 

2050 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 582.18    $     4.00    1.02 %

Hypothetical**

    $ 1,000    $     1,019.74    $ 5.11    1.02 %
Class B            

Actual

    $ 1,000    $ 578.98    $ 6.73    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Class C            

Actual

    $ 1,000    $ 580.17    $ 6.74    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Advisor Class            

Actual

    $ 1,000    $ 581.71    $ 2.82    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
Class R            

Actual

    $ 1,000    $ 581.27    $ 4.78    1.22 %

Hypothetical**

    $ 1,000    $ 1,018.74    $ 6.11    1.22 %
Class K            

Actual

    $ 1,000    $ 581.80    $ 3.80    0.97 %

Hypothetical**

    $ 1,000    $ 1,019.98    $ 4.86    0.97 %
Class I            

Actual

    $ 1,000    $ 582.19    $ 2.82    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %

2055 Retirement Strategy

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses
Paid During
Period*		    Annualized
Expense
Ratio*		  
Class A            

Actual

    $     1,000    $ 570.76    $     3.97    1.02 %

Hypothetical**

    $ 1,000    $     1,019.74    $ 5.11    1.02 %
Class B            

Actual

    $ 1,000    $ 568.69    $ 6.69    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Class C            

Actual

    $ 1,000    $ 568.70    $ 6.69    1.72 %

Hypothetical**

    $ 1,000    $ 1,016.27    $ 8.60    1.72 %
Advisor Class            

Actual

    $ 1,000    $ 571.10    $ 2.80    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
Class R            

Actual

    $ 1,000    $ 569.64    $ 4.75    1.22 %

Hypothetical**

    $ 1,000    $ 1,018.74    $ 6.11    1.22 %
Class K            

Actual

    $ 1,000    $ 571.89    $ 3.78    0.97 %

Hypothetical**

    $ 1,000    $ 1,019.98    $ 4.86    0.97 %
Class I            

Actual

    $ 1,000    $ 571.29    $ 2.81    0.72 %

Hypothetical**

    $ 1,000    $ 1,021.22    $ 3.61    0.72 %
* Expenses are equal to each Class’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). Expenses of the underlying portfolios in which the Strategies invest are not included herein.

 

** Assumes 5% return before expenses.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   51

 

Fund Expenses

 

2000 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $20,725

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 1.33%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

52   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

 

2005 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $35,574

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.68%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   53

 

Portfolio Summary

 

2010 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $129,845

LOGO

All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.19%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

54   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

 

2015 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $199,228

LOGO

 

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.16%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   55

 

Portfolio Summary

 

2020 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $240,316

LOGO

 

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.13%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

56   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

 

2025 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $187,225

LOGO

 

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.09%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   57

 

Portfolio Summary

 

2030 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $163,607

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.07%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

58   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

 

2035 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $106,556

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.07%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   59

 

Portfolio Summary

 

2040 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $92,035

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.07%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

60   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

 

2045 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $52,751

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.07%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   61

 

Portfolio Summary

 

2050 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $5,059

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.07%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

62   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

 

2055 RETIREMENT STRATEGY

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

PORTFOLIO STATISTICS

Net Assets ($thousand): $1,187

LOGO

 

* All data are as of February 28, 2009. The Strategy’s holdings breakdown is expressed as a percentage of total investments and may vary over time.

Through its investments in the Underlying Portfolios, the Strategy currently has exposure to investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the Strategy’s total exposure to subprime investments was 0.07%. These investments are valued in accordance with the Underlying Portfolios’ Valuation Policies.

The Strategy invests in the Underlying Portfolios. For more details regarding the Strategy’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 219-320. Performance for each of the Underlying Portfolios compared to its benchmark may be found on page 18. Additional performance for the Underlying Portfolios may be found on pages 43-44.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   63

 

Portfolio Summary

STATEMENT OF NET ASSETS

February 28, 2009 (unaudited)

 

    2000
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein Intermediate Duration Bond (shares of 446,700)

   $ 4,029,230  

AllianceBernstein Short Duration Bond (shares of 391,018)

     3,511,345  

AllianceBernstein Inflation Protected Securities (shares of 344,727)

     3,205,958  

AllianceBernstein U.S. Value (shares of 432,503)

     2,162,515  

AllianceBernstein U.S. Large Cap Growth (shares of 318,906)

     2,158,996  

AllianceBernstein Global Real Estate Investment (shares of 444,024)

     2,033,629  

AllianceBernstein International Value (shares of 232,867)

     1,103,791  

AllianceBernstein International Growth (shares of 181,492)

     1,092,584  

AllianceBernstein High Yield (shares of 96,447)

     623,047  

AllianceBernstein Small-Mid Cap Growth (shares of 60,012)

     416,483  

AllianceBernstein Small-Mid Cap Value (shares of 77,661)

     403,838  
       

Total investments (cost $26,834,740)

     20,741,416  

Receivable for capital stock sold

     39,110  

Receivable due from Adviser

     14,571  

Receivable for investments sold

     4,375  
       

Total assets

     20,799,472  
       
Liabilities  

Audit fee payable

     22,253  

Payable for capital stock redeemed

     12,046  

Registration fee payable

     11,757  

Legal fee payable

     6,971  

Custody fee payable

     5,577  

Distribution fee payable

     4,739  

Transfer Agent out of pocket fee payable

     4,350  

Transfer Agent fee payable

     2,701  

Accrued expenses

     3,964  
       

Total liabilities

     74,358  
       

Net Assets

   $ 20,725,114  
       
Composition of Net Assets  

Capital stock, at par

   $ 2,862  

Additional paid-in capital

     29,722,497  

Undistributed net investment income

     120,347  

Accumulated net realized loss on investment transactions

     (3,027,268 )

Net unrealized depreciation on investments

     (6,093,324 )
       
  $     20,725,114  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $ 5,089,577      693,513      $   7.34 *
   
B   $ 91,999      12,663      $ 7.27  
   
C   $ 816,733      112,399      $ 7.27  
   
Advisor   $ 449,706      61,062      $ 7.36  
   
R   $ 641,476      88,365      $ 7.26  
   
K   $   12,052,396      1,674,656      $ 7.20  
   
I   $ 1,583,227      219,431      $ 7.22  
   

 

* The maximum offering price per share for Class A shares was $7.67 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

64   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Net Assets

 

    2005
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein Intermediate Duration Bond (shares of 627,474)

   $ 5,659,811  

AllianceBernstein Inflation Protected Securities (shares of 577,034)

     5,366,414  

AllianceBernstein U.S. Large Cap Growth (shares of 704,065)

     4,766,523  

AllianceBernstein U.S. Value (shares of 942,722)

     4,713,608  

AllianceBernstein Global Real Estate Investment (shares of 755,127)

     3,458,482  

AllianceBernstein Short Duration Bond (shares of 294,299)

     2,642,808  

AllianceBernstein International Growth (shares of 418,984)

     2,522,281  

AllianceBernstein International Value (shares of 526,518)

     2,495,696  

AllianceBernstein High Yield (shares of 304,008)

     1,963,895  

AllianceBernstein Small-Mid Cap Growth (shares of 152,279)

     1,056,814  

AllianceBernstein Small-Mid Cap Value (shares of 192,801)

     1,002,564  
       

Total investments (cost $52,677,589)

     35,648,896  

Receivable for capital stock sold

     30,278  

Receivable for investments sold

     29,323  
       

Total assets

     35,708,497  
       
Liabilities  

Payable for capital stock redeemed

     64,815  

Audit fee payable

     22,253  

Registration fee payable

     11,148  

Distribution fee payable

     9,572  

Transfer Agent fee payable

     3,231  

Advisory fee payable

     2,411  

Accrued expenses

     20,628  
       

Total liabilities

     134,058  
       

Net Assets

   $ 35,574,439  
       
Composition of Net Assets  

Capital stock, at par

   $ 5,323  

Additional paid-in capital

     58,092,134  

Distributions in excess of net investment income

     (2,631 )

Accumulated net realized loss on investment transactions

     (5,491,694 )

Net unrealized depreciation on investments

         (17,028,693 )
       
  $ 35,574,439  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   18,810,909      2,811,934      $   6.69 *
   
B   $ 436,605      65,637      $ 6.65  
   
C   $ 718,076      108,079      $ 6.64  
   
Advisor   $ 377,963      56,285      $ 6.72  
   
R   $ 2,718,437      408,068      $ 6.66  
   
K   $ 11,196,866      1,676,299      $ 6.68  
   
I   $ 1,315,583      196,623      $ 6.69  
   

 

* The maximum offering price per share for Class A shares was $6.99 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   65

 

Statement of Net Assets

 

    2010
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 3,044,561)

   $ 20,611,675  

AllianceBernstein U.S. Value (shares of 3,885,486)

     19,427,429  

AllianceBernstein Intermediate Duration Bond (shares of 2,083,528)

     18,793,418  

AllianceBernstein Inflation Protected Securities (shares of 1,933,589)

     17,982,374  

AllianceBernstein Global Real Estate Investment (shares of 2,685,300)

     12,298,674  

AllianceBernstein International Growth (shares of 1,819,373)

     10,952,623  

AllianceBernstein International Value (shares of 2,219,110)

     10,518,580  

AllianceBernstein High Yield (shares of 1,480,023)

     9,560,948  

AllianceBernstein Small-Mid Cap Growth (shares of 734,460)

     5,097,155  

AllianceBernstein Small-Mid Cap Value (shares of 932,129)

     4,847,068  
       

Total investments (cost $214,066,303)

     130,089,944  

Receivable for capital stock sold

     467,953  
       

Total assets

     130,557,897  
       
Liabilities  

Payable for capital stock redeemed

     539,304  

Payable for investments purchased

     31,659  

Distribution fee payable

     29,477  

Administrative fee payable

     14,050  

Transfer Agent fee payable

     9,518  

Advisory fee payable

     8,880  

Accrued expenses

     79,541  
       

Total liabilities

     712,429  
       

Net Assets

   $ 129,845,468  
       
Composition of Net Assets  

Capital stock, at par

   $ 20,438  

Additional paid-in capital

     224,740,622  

Undistributed net investment income

     95,208  

Accumulated net realized loss on investment transactions

     (11,034,441 )

Net unrealized depreciation on investments

     (83,976,359 )
       
  $     129,845,468  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   50,166,562      7,905,378      $   6.35 *
   
B   $ 724,264      114,697      $ 6.31  
   
C   $ 1,403,942      222,453      $ 6.31  
   
Advisor   $ 9,376,490      1,471,968      $ 6.37  
   
R   $ 10,050,563      1,585,729      $ 6.34  
   
K   $ 48,582,055      7,640,116      $ 6.36  
   
I   $ 9,541,592      1,497,985      $ 6.37  
   

 

* The maximum offering price per share for Class A shares was $6.63 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

66   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Net Assets

 

    2015
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 5,076,236)

   $ 34,366,116  

AllianceBernstein U.S. Value (shares of 6,740,745)

     33,703,723  

AllianceBernstein Intermediate Duration Bond (shares of 2,673,781)

     24,117,507  

AllianceBernstein Global Real Estate Investment (shares of 4,227,919)

     19,363,870  

AllianceBernstein International Growth (shares of 3,102,293)

     18,675,801  

AllianceBernstein International Value (shares of 3,929,542)

     18,626,030  

AllianceBernstein Inflation Protected Securities (shares of 1,805,934)

     16,795,185  

AllianceBernstein High Yield (shares of 2,283,387)

     14,750,681  

AllianceBernstein Small-Mid Cap Growth (shares of 1,380,052)

     9,577,559  

AllianceBernstein Small-Mid Cap Value (shares of 1,774,502)

     9,227,409  
       

Total investments (cost $348,366,654)

     199,203,881  

Receivable for capital stock sold

     466,884  
       

Total assets

     199,670,765  
       
Liabilities  

Payable for capital stock redeemed

     180,607  

Payable for investments purchased

     54,358  

Distribution fee payable

     44,995  

Advisory fee payable

     43,554  

Transfer Agent out of pocket fee payable

     41,508  

Audit fee payable

     22,253  

Transfer Agent fee payable

     14,583  

Administrative fee payable

     14,050  

Accrued expenses

     26,845  
       

Total liabilities

     442,753  
       

Net Assets

   $ 199,228,012  
       
Composition of Net Assets  

Capital stock, at par

   $ 32,115  

Additional paid-in capital

     353,955,672  

Undistributed net investment income

     134,327  

Accumulated net realized loss on investment transactions

     (5,731,329 )

Net unrealized depreciation on investments

         (149,162,773 )
       
  $ 199,228,012  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   68,828,347      11,111,557      $   6.19 *
   
B   $ 1,994,270      323,480      $ 6.17  
   
C   $ 2,058,289      334,044      $ 6.16  
   
Advisor   $ 7,868,734      1,264,060      $ 6.22  
   
R   $ 20,155,640      3,260,127      $ 6.18  
   
K   $ 72,424,590      11,659,408      $ 6.21  
   
I   $ 25,898,142      4,161,892      $ 6.22  
   

 

* The maximum offering price per share for Class A shares was $6.46 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   67

 

Statement of Net Assets

 

    2020
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 6,825,185)

   $ 46,206,502  

AllianceBernstein U.S. Value (shares of 8,787,582)

     43,937,911  

AllianceBernstein International Growth (shares of 4,266,981)

     25,687,224  

AllianceBernstein International Value (shares of 5,284,880)

     25,050,332  

AllianceBernstein Intermediate Duration Bond (shares of 2,641,652)

     23,827,702  

AllianceBernstein Global Real Estate Investment (shares of 5,062,968)

     23,188,396  

AllianceBernstein High Yield (shares of 2,771,004)

     17,900,688  

AllianceBernstein Small-Mid Cap Growth (shares of 1,931,562)

     13,405,038  

AllianceBernstein Small-Mid Cap Value (shares of 2,489,892)

     12,947,441  

AllianceBernstein Inflation Protected Securities (shares of 899,616)

     8,366,431  
       

Total investments (cost $437,900,398)

     240,517,665  

Receivable for capital stock sold

     1,095,710  

Receivable for investments sold

     649,236  
       

Total assets

     242,262,611  
       
Liabilities  

Payable for capital stock redeemed

     1,694,444  

Advisory fee payable

     62,827  

Distribution fee payable

     57,368  

Transfer Agent fee payable

     18,258  

Administrative fee payable

     14,050  

Accrued expenses

     99,322  
       

Total liabilities

     1,946,269  
       

Net Assets

   $ 240,316,342  
       
Composition of Net Assets  

Capital stock, at par

   $ 40,473  

Additional paid-in capital

     441,193,000  

Undistributed net investment income

     114,153  

Accumulated net realized loss on investment transactions

     (3,648,551 )

Net unrealized depreciation on investments

         (197,382,733 )
       
  $ 240,316,342  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $ 80,605,113      13,596,259      $   5.93 *
   
B   $ 1,986,748      337,327      $ 5.89  
   
C   $ 2,856,416      484,415      $ 5.90  
   
Advisor   $ 7,033,361      1,180,603      $ 5.96  
   
R   $ 25,204,980      4,261,179      $ 5.92  
   
K   $   102,445,002      17,225,118      $ 5.95  
   
I   $ 20,184,722      3,387,904      $ 5.96  
   

 

* The maximum offering price per share for Class A shares was $6.19 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

68   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Net Assets

 

    2025
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 5,840,562)

   $ 39,540,606  

AllianceBernstein U.S. Value (shares of 7,606,139)

     38,030,695  

AllianceBernstein International Growth (shares of 3,675,700)

     22,127,715  

AllianceBernstein International Value (shares of 4,497,662)

     21,318,918  

AllianceBernstein Global Real Estate Investment (shares of 3,719,207)

     17,033,970  

AllianceBernstein Intermediate Duration Bond (shares of 1,495,971)

     13,493,662  

AllianceBernstein High Yield (shares of 2,055,080)

     13,275,820  

AllianceBernstein Small-Mid Cap Growth (shares of 1,658,685)

     11,511,276  

AllianceBernstein Small-Mid Cap Value (shares of 2,096,184)

     10,900,155  
       

Total investments (cost $352,844,295)

     187,232,817  

Receivable for capital stock sold

     715,251  
       

Total assets

     187,948,068  
       
Liabilities  

Payable for capital stock redeemed

     441,588  

Payable for investments purchased

     79,769  

Distribution fee payable

     45,177  

Advisory fee payable

     39,114  

Transfer Agent fee payable

     15,620  

Administrative fee payable

     14,050  

Accrued expenses

     87,811  
       

Total liabilities

     723,129  
       

Net Assets

   $ 187,224,939  
       
Composition of Net Assets  

Capital stock, at par

   $ 31,971  

Additional paid-in capital

     358,933,353  

Distributions in excess of net investment income

     (34,437 )

Accumulated net realized loss on investment transactions

     (6,094,470 )

Net unrealized depreciation on investments

         (165,611,478 )
       
  $ 187,224,939  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   72,224,079      12,348,449      $   5.85 *
   
B   $ 1,022,113      176,221      $ 5.80  
   
C   $ 1,989,484      342,721      $ 5.80  
   
Advisor   $ 5,328,916      907,711      $ 5.87  
   
R   $ 19,994,574      3,418,450      $ 5.85  
   
K   $ 72,012,600      12,282,270      $ 5.86  
   
I   $ 14,653,173      2,494,932      $ 5.87  
   

 

* The maximum offering price per share for Class A shares was $6.11 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   69

 

Statement of Net Assets

 

    2030
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 5,535,445)

   $ 37,474,961  

AllianceBernstein U.S. Value (shares of 7,212,557)

     36,062,785  

AllianceBernstein International Growth (shares of 3,490,304)

     21,011,629  

AllianceBernstein International Value (shares of 4,365,137)

     20,690,751  

AllianceBernstein Small-Mid Cap Growth (shares of 1,629,754)

     11,310,493  

AllianceBernstein Small-Mid Cap Value (shares of 2,062,904)

     10,727,100  

AllianceBernstein Global Real Estate Investment (shares of 2,273,469)

     10,412,487  

AllianceBernstein Intermediate Duration Bond (shares of 1,007,467)

     9,087,351  

AllianceBernstein High Yield (shares of 1,086,142)

     7,016,478  
       

Total investments (cost $305,164,027)

     163,794,035  

Receivable for capital stock sold

     582,158  
       

Total assets

     164,376,193  
       
Liabilities  

Payable for capital stock redeemed

     542,421  

Payable for investments purchased

     44,668  

Distribution fee payable

     41,254  

Advisory fee payable

     30,031  

Administrative fee payable

     14,050  

Transfer Agent fee payable

     12,770  

Accrued expenses

     84,325  
       

Total liabilities

     769,519  
       

Net Assets

   $ 163,606,674  
       
Composition of Net Assets  

Capital stock, at par

   $ 28,329  

Additional paid-in capital

     306,006,587  

Distributions in excess of net investment income

     (200,090 )

Accumulated net realized loss on investment transactions

     (858,160 )

Net unrealized depreciation on investments

         (141,369,992 )
       
  $ 163,606,674  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   56,920,090      9,861,063      $   5.77 *
   
B   $ 996,585      174,149      $ 5.72  
   
C   $ 2,601,180      454,415      $ 5.72  
   
Advisor   $ 4,374,735      754,623      $ 5.80  
   
R   $ 21,922,065      3,802,234      $ 5.77  
   
K   $ 66,086,520      11,433,365      $ 5.78  
   
I   $ 10,705,499      1,849,356      $ 5.79  
   

 

* The maximum offering price per share for Class A shares was $6.03 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

70   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Net Assets

 

    2035
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 3,819,787)

   $ 25,859,961  

AllianceBernstein U.S. Value (shares of 5,013,270)

     25,066,352  

AllianceBernstein International Growth (shares of 2,407,914)

     14,495,643  

AllianceBernstein International Value (shares of 3,011,248)

     14,273,316  

AllianceBernstein Small-Mid Cap Growth (shares of 1,143,692)

     7,937,221  

AllianceBernstein Small-Mid Cap Value (shares of 1,496,386)

     7,781,205  

AllianceBernstein Intermediate Duration Bond (shares of 650,475)

     5,867,282  

AllianceBernstein Global Real Estate Investment (shares of 1,128,457)

     5,168,335  
       

Total investments (cost $200,770,992)

     106,449,315  

Receivable for capital stock sold

     490,396  
       

Total assets

     106,939,711  
       
Liabilities  

Payable for capital stock redeemed

     150,562  

Payable for investments purchased

     101,544  

Distribution fee payable

     26,244  

Audit fee payable

     22,253  

Transfer Agent out of pocket fee payable

     22,203  

Administrative fee payable

     14,050  

Transfer Agent fee payable

     8,197  

Advisory fee payable

     6,181  

Accrued expenses

     32,515  
       

Total liabilities

     383,749  
       

Net Assets

   $ 106,555,962  
       
Composition of Net Assets  

Capital stock, at par

   $ 18,561  

Additional paid-in capital

     201,305,336  

Distributions in excess of net investment income

     (197,966 )

Accumulated net realized loss on investment transactions

     (248,292 )

Net unrealized depreciation on investments

     (94,321,677 )
       
  $     106,555,962  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   39,676,700      6,908,463      $   5.74 *
   
B   $ 724,925      127,008      $ 5.71  
   
C   $ 1,298,389      227,439      $ 5.71  
   
Advisor   $ 3,076,047      533,560      $ 5.77  
   
R   $ 13,090,177      2,292,672      $ 5.71  
   
K   $ 41,065,361      7,148,044      $ 5.74  
   
I   $ 7,624,363      1,324,273      $ 5.76  
   

 

* The maximum offering price per share for Class A shares was $5.99 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   71

 

Statement of Net Assets

 

    2040
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 3,272,636)

   $ 22,155,745  

AllianceBernstein U.S. Value (shares of 4,323,430)

     21,617,150  

AllianceBernstein International Growth (shares of 2,069,800)

     12,460,196  

AllianceBernstein International Value (shares of 2,625,400)

     12,444,397  

AllianceBernstein Small-Mid Cap Growth (shares of 979,949)

     6,800,850  

AllianceBernstein Small-Mid Cap Value (shares of 1,305,103)

     6,786,534  

AllianceBernstein Intermediate Duration Bond (shares of 562,386)

     5,072,720  

AllianceBernstein Global Real Estate Investment (shares of 989,480)

     4,531,818  
       

Total investments (cost $166,874,771)

     91,869,410  

Receivable for capital stock sold

     651,869  

Receivable due from Adviser

     9,802  
       

Total assets

     92,531,081  
       
Liabilities  

Payable for investments purchased

     201,812  

Payable for capital stock redeemed

     176,688  

Distribution fee payable

     23,142  

Administrative fee payable

     14,050  

Transfer Agent fee payable

     9,068  

Accrued expenses

     71,460  
       

Total liabilities

     496,220  
       

Net Assets

   $ 92,034,861  
       
Composition of Net Assets  

Capital stock, at par

   $ 15,694  

Additional paid-in capital

         167,652,560  

Distributions in excess of net investment income

     (162,762 )

Accumulated net realized loss on investment transactions

     (465,270 )

Net unrealized depreciation on investments

     (75,005,361 )
       
  $ 92,034,861  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   37,091,655      6,319,828      $   5.87 *
   
B   $ 663,174      113,746      $ 5.83  
   
C   $ 1,388,087      237,984      $ 5.83  
   
Advisor   $ 2,869,207      486,483      $ 5.90  
   
R   $ 13,015,222      2,227,382      $ 5.84  
   
K   $ 30,257,368      5,160,367      $ 5.86  
   
I   $ 6,750,148      1,148,575      $ 5.88  
   

 

* The maximum offering price per share for Class A shares was $6.13 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

72   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Net Assets

 

    2045
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 1,855,849)

   $ 12,564,095  

AllianceBernstein U.S. Value (shares of 2,486,208)

     12,431,038  

AllianceBernstein International Value (shares of 1,521,654)

     7,212,640  

AllianceBernstein International Growth (shares of 1,184,479)

     7,130,565  

AllianceBernstein Small-Mid Cap Growth (shares of 560,925)

     3,892,817  

AllianceBernstein Small-Mid Cap Value (shares of 748,537)

     3,892,391  

AllianceBernstein Intermediate Duration Bond (shares of 321,960)

     2,904,080  

AllianceBernstein Global Real Estate Investment (shares of 567,985)

     2,601,373  
       

Total investments (cost $95,347,098)

     52,628,999  

Receivable for capital stock sold

     363,940  

Receivable due from Adviser

     7,404  
       

Total assets

     53,000,343  
       
Liabilities  

Payable for capital stock redeemed

     104,031  

Payable for investments purchased

     65,109  

Audit fee payable

     22,253  

Distribution fee payable

     12,997  

Transfer Agent fee payable

     5,394  

Accrued expenses

     39,171  
       

Total liabilities

     248,955  
       

Net Assets

   $ 52,751,388  
       
Composition of Net Assets  

Capital stock, at par

   $ 9,120  

Additional paid-in capital

     96,097,225  

Distributions in excess of net investment income

     (83,745 )

Accumulated net realized loss on investment transactions

     (553,113 )

Net unrealized depreciation on investments

         (42,718,099 )
       
  $     52,751,388  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   23,177,123      3,998,859      $   5.80 *
   
B   $ 213,053      37,132      $ 5.74  
   
C   $ 860,008      150,029      $ 5.73  
   
Advisor   $ 2,194,482      377,064      $ 5.82  
   
R   $ 7,268,216      1,262,884      $ 5.76  
   
K   $ 15,134,397      2,619,125      $ 5.78  
   
I   $ 3,904,109      674,609      $ 5.79  
   

 

* The maximum offering price per share for Class A shares was $6.06 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   73

 

Statement of Net Assets

 

    2050
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 178,330)

   $ 1,207,293  

AllianceBernstein U.S. Value (shares of 238,149)

     1,190,747  

AllianceBernstein International Growth (shares of 113,963)

     686,057  

AllianceBernstein International Value (shares of 143,838)

     681,792  

AllianceBernstein Small-Mid Cap Value (shares of 73,043)

     379,824  

AllianceBernstein Small-Mid Cap Growth (shares of 53,923)

     374,224  

AllianceBernstein Intermediate Duration Bond (shares of 28,439)

     256,522  

AllianceBernstein Global Real Estate Investment (shares of 55,244)

     253,016  
       

Total investments (cost $5,728,336)

     5,029,475  

Receivable for capital stock sold

     76,806  

Receivable for investments sold

     59,187  

Receivable due from Adviser

     37,855  
       

Total assets

     5,203,323  
       
Liabilities  

Payable for capital stock redeemed

     88,434  

Audit fee payable

     20,628  

Custody fee payable

     16,858  

Distribution fee payable

     1,176  

Transfer Agent fee payable

     677  

Accrued expenses

     16,161  
       

Total liabilities

     143,934  
       

Net Assets

   $ 5,059,389  
       
Composition of Net Assets  

Capital stock, at par

   $ 1,036  

Additional paid-in capital

     7,106,910  

Undistributed net investment income

     11,431  

Accumulated net realized loss on investment transactions

         (1,361,127 )

Net unrealized depreciation on investments

     (698,861 )
       
  $     5,059,389  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   1,450,992      297,585      $   4.88 *
   
B   $ 19,702      4,060      $ 4.85  
   
C   $ 57,407      11,822      $ 4.86  
   
Advisor   $ 476,105      97,273      $ 4.89  
   
R   $ 663,670      135,854      $ 4.89  
   
K   $ 2,077,887      424,998      $ 4.89  
   
I   $ 313,626      64,074      $ 4.89  
   

 

* The maximum offering price per share for Class A shares was $5.10 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

74   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Net Assets

 

    2055
Retirement
Strategy		  
Assets  

Investments in Underlying Portfolios, at value:

  

AllianceBernstein U.S. Large Cap Growth (shares of 41,738)

   $ 282,566  

AllianceBernstein U.S. Value (shares of 55,759)

     278,796  

AllianceBernstein International Value (shares of 33,913)

     160,747  

AllianceBernstein International Growth (shares of 26,627)

     160,295  

AllianceBernstein Small-Mid Cap Growth (shares of 12,748)

     88,469  

AllianceBernstein Small-Mid Cap Value (shares of 17,011)

     88,457  

AllianceBernstein Intermediate Duration Bond (shares of 6,768)

     61,047  

AllianceBernstein Global Real Estate Investment (shares of 12,997)

     59,527  
       

Total investments (cost $1,562,823)

     1,179,904  

Receivable due from Adviser

     53,965  

Receivable for capital stock sold

     18,496  
       

Total assets

     1,252,365  
       
Liabilities  

Audit fee payable

     20,408  

Custody fee payable

     16,858  

Legal fee payable

     6,422  

Payable for investments purchased

     5,827  

Registration fee payable

     4,602  

Payable for capital stock redeemed

     4,217  

Transfer Agent fee payable

     2,212  

Distribution fee payable

     269  

Accrued expenses

     4,578  
       

Total liabilities

     65,393  
       

Net Assets

   $ 1,186,972  
       
Composition of Net Assets  

Capital stock, at par

   $ 251  

Additional paid-in capital

     1,965,001  

Undistributed net investment income

     5,264  

Accumulated net realized loss on investment transactions

     (400,625 )

Net unrealized depreciation on investments

     (382,919 )
       
  $     1,186,972  
       

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   373,105      78,472      $   4.75 *
   
B   $ 11,171      2,372      $ 4.71  
   
C   $ 26,337      5,594      $ 4.71  
   
Advisor   $ 114,254      23,952      $ 4.77  
   
R   $ 99,459      21,152      $ 4.70  
   
K   $ 495,806      104,923      $ 4.73  
   
I   $ 66,840      14,151      $ 4.72  
   

 

* The maximum offering price per share for Class A shares was $4.96 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   75

 

Statement of Net Assets

STATEMENT OF OPERATIONS

Six Months Ended February 28, 2009 (unaudited)

 

    2000 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 508,982  
         
Expenses    

Advisory fee (see Note B)

   $ 54,671    

Distribution fee—Class A

     7,935    

Distribution fee—Class B

     615    

Distribution fee—Class C

     5,006    

Distribution fee—Class R

     1,167    

Distribution fee—Class K

     14,320    

Transfer agency—Class A

     6,381    

Transfer agency—Class B

     199    

Transfer agency—Class C

     1,297    

Transfer agency—Advisor Class

     573    

Transfer agency—Class R

     594    

Transfer agency—Class K

     11,456    

Transfer agency—Class I

     506    

Registration fees

     46,649    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     3,689    

Directors’ fees

     1,698    

Miscellaneous

     7,207    
         

Total expenses

     271,537    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (190,786 )  

Less: expense offset arrangement (see Note B)

     (19 )  
         

Net expenses

       80,732  
         

Net investment income

       428,250  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (2,192,653 )

Net realized gain distributions from Underlying Portfolios

       91,535  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (4,879,027 )
         

Net loss on investment transactions

       (6,980,145 )
         
Net Decrease in Net Assets from Operations     $     (6,551,895 )
         

See notes to financial statements.

 

76   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Operations

 

    2005 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 1,079,819  
         
Expenses    

Advisory fee (see Note B)

   $ 113,416    

Distribution fee—Class A

     30,991    

Distribution fee—Class B

     2,408    

Distribution fee—Class C

     4,251    

Distribution fee—Class R

     7,237    

Distribution fee—Class K

     18,206    

Transfer agency—Class A

     2,711    

Transfer agency—Class B

     143    

Transfer agency—Class C

     204    

Transfer agency—Advisor Class

     23    

Transfer agency—Class R

     3,763    

Transfer agency—Class K

     14,565    

Transfer agency—Class I

     681    

Registration fees

     46,661    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     4,552    

Directors’ fees

     1,698    

Miscellaneous

     7,207    
         

Total expenses

     366,291    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (183,572 )  

Less: expense offset arrangement (see Note B)

     (24 )  
         

Net expenses

       182,695  
         

Net investment income

       897,124  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (4,531,772 )

Net realized gain distributions from Underlying Portfolios

       270,187  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (12,571,488 )
         

Net loss on investment transactions

       (16,833,073 )
         

Net Decrease in Net Assets from Operations

     $     (15,935,949 )
         

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   77

 

Statement of Operations

 

    2010 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 3,528,642  
         
Expenses    

Advisory fee (see Note B)

   $ 431,481    

Distribution fee—Class A

     87,399    

Distribution fee—Class B

     4,617    

Distribution fee—Class C

     8,888    

Distribution fee—Class R

     25,334    

Distribution fee—Class K

     61,906    

Transfer agency—Class A

     45,436    

Transfer agency—Class B

     879    

Transfer agency—Class C

     1,563    

Transfer agency—Advisor Class

     8,373    

Transfer agency—Class R

     13,174    

Transfer agency—Class K

     49,525    

Transfer agency—Class I

     4,636    

Registration fees

     46,765    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     9,289    

Directors’ fees

     1,698    

Miscellaneous

     7,231    
         

Total expenses

     915,768    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (296,091 )  

Less: expense offset arrangement (see Note B)

     (53 )  
         

Net expenses

       619,624  
         

Net investment income

       2,909,018  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (6,368,669 )

Net realized gain distributions from Underlying Portfolios

       1,107,298  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (63,881,358 )
         

Net loss on investment transactions

       (69,142,729 )
         

Net Decrease in Net Assets from Operations

     $     (66,233,711 )
         

See notes to financial statements.

 

78   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Operations

 

    2015 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 4,922,873  
         
Expenses    

Advisory fee (see Note B)

   $ 666,613    

Distribution fee—Class A

     111,961    

Distribution fee—Class B

     12,474    

Distribution fee—Class C

     11,361    

Distribution fee—Class R

     50,419    

Distribution fee—Class K

     99,537    

Transfer agency—Class A

     55,986    

Transfer agency—Class B

     2,208    

Transfer agency—Class C

     2,065    

Transfer agency—Advisor Class

     6,339    

Transfer agency—Class R

     26,218    

Transfer agency—Class K

     79,629    

Transfer agency—Class I

     11,766    

Registration fees

     47,215    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     12,495    

Directors’ fees

     1,697    

Miscellaneous

     7,336    
         

Total expenses

         1,312,893    

Less: expenses waived and reimbursed by the Adviser (see Note B)

     (316,009 )  

Less: expense offset arrangement (see Note B)

     (79 )  
         

Net expenses

       996,805  
         

Net investment income

       3,926,068  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (6,180,370 )

Net realized gain distributions from Underlying Portfolios

       1,986,408  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (110,174,949 )
         

Net loss on investment transactions

       (114,368,911 )
         

Net Decrease in Net Assets from Operations

     $     (110,442,843 )
         

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   79

 

Statement of Operations

 

     2020 Retirement
Strategy		  
Investment Income     

Income distributions from Underlying Portfolios

      $ 4,992,331  
          
Expenses     

Advisory fee (see Note B)

    $ 786,705    

Distribution fee—Class A

      135,680    

Distribution fee—Class B

      12,254    

Distribution fee—Class C

      16,152    

Distribution fee—Class R

      65,458    

Distribution fee—Class K

      133,761    

Transfer agency—Class A

      71,957    

Transfer agency—Class B

      2,363    

Transfer agency—Class C

      3,079    

Transfer agency—Advisor Class

      6,171    

Transfer agency—Class R

      34,038    

Transfer agency—Class K

      107,008    

Transfer agency—Class I

      13,083    

Registration fees

      48,639    

Administrative

      39,550    

Custodian

      34,000    

Audit

      19,474    

Printing

      16,328    

Legal

      14,550    

Directors’ fees

      1,698    

Miscellaneous

      7,473    
          

Total expenses

          1,569,421    

Less: expenses waived and reimbursed by the Adviser (see Note B)

      (314,421 )  

Less: expense offset arrangement (see Note B)

      (96 )  
          

Net expenses

        1,254,904  
          

Net investment income

        3,737,427  
          
Realized and Unrealized Gain (Loss) on Investment Transactions     

Net realized loss on sale of Underlying Portfolio shares

        (5,425,611 )

Net realized gain distributions from Underlying Portfolios

        2,646,707  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

        (142,429,366 )
          

Net loss on investment transactions

        (145,208,270 )
          

Net Decrease in Net Assets from Operations

      $     (141,470,843 )
          

See notes to financial statements.

 

80   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Operations

 

    2025 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 3,545,428  
         
Expenses    

Advisory fee (see Note B)

   $ 692,647    

Distribution fee—Class A

     122,671    

Distribution fee—Class B

     6,524    

Distribution fee—Class C

     11,354    

Distribution fee—Class R

     50,804    

Distribution fee—Class K

     105,495    

Transfer agency—Class A

     75,678    

Transfer agency—Class B

     1,556    

Transfer agency—Class C

     2,563    

Transfer agency—Advisor Class

     5,267    

Transfer agency—Class R

     26,418    

Transfer agency—Class K

     84,396    

Transfer agency—Class I

     10,493    

Registration fees

     49,015    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Printing

     15,263    

Legal

     14,550    

Directors’ fees

     1,698    

Miscellaneous

     7,161    
         

Total expenses

         1,376,577    

Less: expenses waived and reimbursed by the Adviser (see Note B)

     (333,706 )  

Less: expense offset arrangement (see Note B)

     (95 )  
         

Net expenses

       1,042,776  
         

Net investment income

       2,502,652  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (7,653,163 )

Net realized gain distributions from Underlying Portfolios

       2,469,086  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (119,461,656 )
         

Net loss on investment transactions

       (124,645,733 )
         

Net Decrease in Net Assets from Operations

     $     (122,143,081 )
         

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   81

 

Statement of Operations

 

    2030 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 2,619,293  
         
Expenses    

Advisory fee (see Note B)

   $ 571,811    

Distribution fee—Class A

     95,099    

Distribution fee—Class B

     6,591    

Distribution fee—Class C

     14,055    

Distribution fee—Class R

     55,317    

Distribution fee—Class K

     86,124    

Transfer agency—Class A

     66,513    

Transfer agency—Class B

     1,686    

Transfer agency—Class C

     3,533    

Transfer agency—Advisor Class

     4,875    

Transfer agency—Class R

     28,765    

Transfer agency—Class K

     68,899    

Transfer agency—Class I

     6,144    

Registration fees

     47,534    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Printing

     15,679    

Legal

     14,550    

Directors’ fees

     1,698    

Miscellaneous

     7,001    
         

Total expenses

         1,188,898    

Less: expenses waived and reimbursed by the Adviser (see Note B)

     (298,227 )  

Less: expense offset arrangement (see Note B)

     (93 )  
         

Net expenses

       890,578  
         

Net investment income

       1,728,715  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (2,370,907 )

Net realized gain distributions from Underlying Portfolios

       2,232,260  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (104,381,004 )
         

Net loss on investment transactions

       (104,519,651 )
         

Net Decrease in Net Assets from Operations

     $     (102,790,936 )
         

See notes to financial statements.

 

82   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Operations

 

    2035 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 1,543,172  
         
Expenses    

Advisory fee (see Note B)

   $     377,488    

Distribution fee—Class A

     65,629    

Distribution fee—Class B

     4,589    

Distribution fee—Class C

     7,520    

Distribution fee—Class R

     32,788    

Distribution fee—Class K

     56,322    

Transfer agency—Class A

     47,155    

Transfer agency—Class B

     1,220    

Transfer agency—Class C

     1,926    

Transfer agency—Advisor Class

     3,358    

Transfer agency—Class R

     17,050    

Transfer agency—Class K

     45,057    

Transfer agency—Class I

     4,611    

Registration fees

     47,702    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     14,476    

Directors’ fees

     1,698    

Miscellaneous

     8,112    
         

Total expenses

     844,275    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (259,201 )  

Less: expense offset arrangement (see Note B)

     (85 )  
         

Net expenses

       584,989  
         

Net investment income

       958,183  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (1,255,595 )

Net realized gain distributions from Underlying Portfolios

       1,582,925  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (70,588,349 )
         

Net loss on investment transactions

       (70,261,019 )
         

Net Decrease in Net Assets from Operations

     $     (69,302,836 )
         

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   83

 

Statement of Operations

 

    2040 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 1,234,303  
         
Expenses    

Advisory fee (see Note B)

   $ 306,682    

Distribution fee—Class A

     60,160    

Distribution fee—Class B

     4,054    

Distribution fee—Class C

     6,963    

Distribution fee—Class R

     31,495    

Distribution fee—Class K

     36,610    

Transfer agency—Class A

     54,026    

Transfer agency—Class B

     1,268    

Transfer agency—Class C

     2,389    

Transfer agency—Advisor Class

     3,956    

Transfer agency—Class R

     16,377    

Transfer agency—Class K

     29,288    

Transfer agency—Class I

     3,413    

Registration fees

     47,726    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     14,053    

Directors’ fees

     1,699    

Miscellaneous

     7,352    
         

Total expenses

     735,085    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (256,014 )  

Less: expense offset arrangement (see Note B)

     (80 )  
         

Net expenses

       478,991  
         

Net investment income

       755,312  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (926,651 )

Net realized gain distributions from Underlying Portfolios

       1,291,470  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (56,826,532 )
         

Net loss on investment transactions

       (56,461,713 )
         

Net Decrease in Net Assets from Operations

     $     (55,706,401 )
         

See notes to financial statements.

 

84   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Operations

 

    2045 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 714,200  
         
Expenses    

Advisory fee (see Note B)

   $ 176,932    

Distribution fee—Class A

     37,830    

Distribution fee—Class B

     1,223    

Distribution fee—Class C

     4,712    

Distribution fee—Class R

     17,632    

Distribution fee—Class K

     18,984    

Transfer agency—Class A

     35,524    

Transfer agency—Class B

     489    

Transfer agency—Class C

     1,571    

Transfer agency—Advisor Class

     2,815    

Transfer agency—Class R

     9,169    

Transfer agency—Class K

     15,187    

Transfer agency—Class I

     1,972    

Registration fees

     46,845    

Administrative

     39,550    

Custodian

     34,000    

Audit

     19,474    

Legal

     14,550    

Printing

     12,764    

Directors’ fees

     1,699    

Miscellaneous

     7,453    
         

Total expenses

     500,375    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (223,933 )  

Less: expense offset arrangement (see Note B)

     (74 )  
         

Net expenses

       276,368  
         

Net investment income

       437,832  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (962,448 )

Net realized gain distributions from Underlying Portfolios

       751,879  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (32,434,410 )
         

Net loss on investment transactions

       (32,644,979 )
         

Net Decrease in Net Assets from Operations

     $     (32,207,147 )
         

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   85

 

Statement of Operations

 

    2050 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 38,020  
         
Expenses    

Advisory fee (see Note B)

   $ 11,275    

Distribution fee—Class A

     1,822    

Distribution fee—Class B

     122    

Distribution fee—Class C

     266    

Distribution fee—Class R

     1,009    

Distribution fee—Class K

     1,420    

Transfer agency—Class A

     6,224    

Transfer agency—Class B

     146    

Transfer agency—Class C

     285    

Transfer agency—Advisor Class

     1,882    

Transfer agency—Class R

     94    

Transfer agency—Class K

     281    

Transfer agency—Class I

     35    

Administrative

     39,550    

Registration fees

     36,770    

Custodian

     34,000    

Audit

     15,296    

Legal

     10,402    

Directors’ fees

     1,500    

Printing

     12    

Miscellaneous

     3,410    
         

Total expenses

     165,801    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (148,662 )  

Less: expense offset arrangement (see Note B)

     (11 )  
         

Net expenses

       17,128  
         

Net investment income

       20,892  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (1,298,675 )

Net realized gain distributions from Underlying Portfolios

       46,429  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (567,619 )
         

Net loss on investment transactions

       (1,819,865 )
         

Net Decrease in Net Assets from Operations

     $     (1,798,973 )
         

See notes to financial statements.

 

86   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Operations

 

    2055 Retirement
Strategy		  
Investment Income    

Income distributions from Underlying Portfolios

     $ 12,825  
         
Expenses    

Advisory fee (see Note B)

   $ 3,711    

Distribution fee—Class A

     706    

Distribution fee—Class B

     56    

Distribution fee—Class C

     145    

Distribution fee—Class R

     319    

Distribution fee—Class K

     462    

Transfer agency—Class A

     6,679    

Transfer agency—Class B

     184    

Transfer agency—Class C

     471    

Transfer agency—Advisor Class

     1,226    

Transfer agency—Class R

     38    

Transfer agency—Class K

     94    

Transfer agency—Class I

     1    

Administrative

     39,550    

Registration fees

     36,580    

Custodian

     34,000    

Audit

     15,068    

Legal

     10,402    

Directors’ fees

     1,500    

Printing

     12    

Miscellaneous

     3,410    
         

Total expenses

     154,614    

Less: expenses waived and reimbursed by the Adviser (see Note B)

         (148,809 )  

Less: expense offset arrangement (see Note B)

     (7 )  
         

Net expenses

       5,798  
         

Net investment income

       7,027  
         
Realized and Unrealized Gain (Loss) on Investment Transactions    

Net realized loss on sale of Underlying Portfolio shares

       (395,472 )

Net realized gain distributions from Underlying Portfolios

       15,033  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

       (325,959 )
         

Net loss on investment transactions

       (706,398 )
         

Net Decrease in Net Assets from Operations

     $     (699,371 )
         

 

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   87

 

Statement of Operations

STATEMENT OF CHANGES IN NET ASSETS

 

     2000 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 428,250     $ 645,174  

Net realized loss on sale of Underlying Portfolio shares

      (2,192,653 )     (723,866 )

Net realized gain distributions from Underlying Portfolios

      91,535       382,712  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (4,879,027 )     (1,367,549 )
                

Net decrease in net assets from operations

      (6,551,895 )     (1,063,529 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (126,065 )     (202,066 )

Class B

      (1,551 )     (5,359 )

Class C

      (14,497 )     (41,645 )

Advisor Class

      (13,633 )     (14,534 )

Class R

      (10,119 )     (10,671 )

Class K

      (293,941 )     (212,731 )

Class I

      (48,014 )     (30,069 )

Net realized gain on investment transactions

     

Class A

      (103,886 )     (84,879 )

Class B

      (2,141 )     (2,408 )

Class C

      (20,004 )     (18,710 )

Advisor Class

      (9,865 )     (5,776 )

Class R

      (9,006 )     (5,845 )

Class K

      (228,478 )     (84,547 )

Class I

      (32,998 )     (10,992 )
Capital Stock Transactions     

Net increase

      4,878,261       12,920,120  
                

Total increase (decrease)

      (2,587,832 )     11,126,359  
Net Assets     

Beginning of period

      23,312,946       12,186,587  
                

End of period (including undistributed net investment income of $120,347 and $199,917, respectively)

    $     20,725,114     $     23,312,946  
                

 

See notes to financial statements.

 

88   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Changes in Net Assets

 

     2005 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 897,124     $ 1,265,254  

Net realized loss on sale of Underlying Portfolio shares

      (4,531,772 )     (855,460 )

Net realized gain distributions from Underlying Portfolios

      270,187       973,149  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (12,571,488 )     (4,708,939 )
                

Net decrease in net assets from operations

      (15,935,949 )     (3,325,996 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (661,565 )     (530,409 )

Class B

      (9,832 )     (17,450 )

Class C

      (16,905 )     (60,418 )

Advisor Class

      (12,973 )     (7,033 )

Class R

      (82,538 )     (107,886 )

Class K

      (451,747 )     (206,448 )

Class I

      (46,839 )     (57,274 )

Net realized gain on investment transactions

     

Class A

      (588,338 )     (387,138 )

Class B

      (13,885 )     (14,485 )

Class C

      (23,871 )     (50,151 )

Advisor Class

      (10,644 )     (4,802 )

Class R

      (84,720 )     (78,971 )

Class K

      (403,284 )     (149,822 )

Class I

      (38,428 )     (38,082 )
Capital Stock Transactions     

Net increase

      9,477,941       21,020,777  
                

Total increase (decrease)

      (8,903,577 )     15,984,412  
Net Assets     

Beginning of period

      44,478,016       28,493,604  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($2,631) and $382,644, respectively)

    $     35,574,439     $     44,478,016  
                

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   89

 

Statement of Changes in Net Assets

 

     2010 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 2,909,018     $ 5,325,190  

Net realized loss on sale of Underlying Portfolio shares

      (6,368,669 )     (4,646,684 )

Net realized gain distributions from Underlying Portfolios

      1,107,298       4,859,063  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (63,881,358 )     (21,748,607 )
                

Net decrease in net assets from operations

      (66,233,711 )     (16,211,038 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (1,808,305 )     (1,708,541 )

Class B

      (21,143 )     (25,818 )

Class C

      (42,784 )     (52,333 )

Advisor Class

      (371,366 )     (277,927 )

Class R

      (295,126 )     (251,808 )

Class K

      (1,476,233 )     (1,369,229 )

Class I

      (405,685 )     (385,742 )

Net realized gain on investment transactions

     

Class A

      (2,199,867 )     (838,738 )

Class B

      (35,897 )     (16,466 )

Class C

      (72,638 )     (33,378 )

Advisor Class

      (408,371 )     (127,187 )

Class R

      (403,513 )     (129,501 )

Class K

      (1,846,786 )     (668,118 )

Class I

      (454,191 )     (177,529 )
Capital Stock Transactions     

Net increase

      27,480,563       95,871,525  
                

Total increase (decrease)

      (48,595,053 )     73,598,172  
Net Assets     

Beginning of period

      178,440,521       104,842,349  
                

End of period (including undistributed net investment income of $95,208 and $1,606,832, respectively)

    $     129,845,468     $     178,440,521  
                

See notes to financial statements.

 

90   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Changes in Net Assets

 

     2015 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 3,926,068     $ 7,253,536  

Net realized loss on sale of Underlying Portfolio shares

      (6,180,370 )     (1,028,294 )

Net realized gain distributions from Underlying Portfolios

      1,986,408       7,579,485  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (110,174,949 )     (42,155,051 )
                

Net decrease in net assets from operations

          (110,442,843 )     (28,350,324 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (2,071,494 )     (2,131,105 )

Class B

      (48,488 )     (75,280 )

Class C

      (45,943 )     (55,616 )

Advisor Class

      (268,376 )     (62,600 )

Class R

      (516,359 )     (299,153 )

Class K

      (2,081,949 )     (2,009,173 )

Class I

      (1,110,105 )     (864,409 )

Net realized gain on investment transactions

     

Class A

      (2,596,397 )     (646,589 )

Class B

      (87,786 )     (29,392 )

Class C

      (83,178 )     (21,715 )

Advisor Class

      (300,972 )     (17,578 )

Class R

      (715,157 )     (95,495 )

Class K

      (2,707,511 )     (609,594 )

Class I

      (1,249,996 )     (244,127 )
Capital Stock Transactions     

Net increase

      38,854,890       147,278,764  
                

Total increase (decrease)

      (85,471,664 )     111,766,614  
Net Assets     

Beginning of period

      284,699,676       172,933,062  
                

End of period (including undistributed net investment income of $134,327 and $2,350,973, respectively)

    $     199,228,012     $     284,699,676  
                

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   91

 

Statement of Changes in Net Assets

 

     2020 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 3,737,427     $ 8,301,852  

Net realized loss on sale of Underlying Portfolio shares

      (5,425,611 )     (553,510 )

Net realized gain distributions from Underlying Portfolios

      2,646,707       10,103,985  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (142,429,366 )     (58,161,274 )
                

Net decrease in net assets from operations

          (141,470,843 )     (40,308,947 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (2,322,421 )     (2,298,344 )

Class B

      (41,141 )     (63,765 )

Class C

      (56,747 )     (52,169 )

Advisor Class

      (221,985 )     (91,286 )

Class R

      (558,375 )     (530,900 )

Class K

      (2,545,047 )     (2,252,449 )

Class I

      (690,806 )     (838,817 )

Net realized gain on investment transactions

     

Class A

      (3,608,745 )     (784,232 )

Class B

      (96,634 )     (28,371 )

Class C

      (133,289 )     (23,212 )

Advisor Class

      (307,130 )     (28,722 )

Class R

      (1,025,329 )     (186,832 )

Class K

      (4,101,858 )     (763,414 )

Class I

      (978,104 )     (267,257 )
Capital Stock Transactions     

Net increase

      67,153,664       187,691,871  
                

Total increase (decrease)

      (91,004,790 )     139,173,154  
Net Assets     

Beginning of period

      331,321,132       192,147,978  
                

End of period (including undistributed net investment income of $114,153 and $2,813,248, respectively)

    $     240,316,342     $     331,321,132  
                

See notes to financial statements.

 

92   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Changes in Net Assets

 

     2025 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 2,502,652     $ 6,375,177  

Net realized loss on sale of Underlying Portfolio shares

      (7,653,163 )     (555,363 )

Net realized gain distributions from Underlying Portfolios

      2,469,086       8,952,625  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (119,461,656 )     (50,455,279 )
                

Net decrease in net assets from operations

          (122,143,081 )     (35,682,840 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (1,799,605 )     (2,023,439 )

Class B

      (17,959 )     (32,597 )

Class C

      (32,119 )     (38,148 )

Advisor Class

      (147,596 )     (31,175 )

Class R

      (404,481 )     (289,764 )

Class K

      (1,840,242 )     (1,740,125 )

Class I

      (437,437 )     (561,656 )

Net realized gain on investment transactions

     

Class A

      (3,449,243 )     (800,797 )

Class B

      (56,694 )     (16,671 )

Class C

      (101,396 )     (19,509 )

Advisor Class

      (246,249 )     (11,227 )

Class R

      (886,005 )     (119,314 )

Class K

      (3,635,324 )     (683,839 )

Class I

      (733,619 )     (202,921 )
Capital Stock Transactions     

Net increase

      48,906,531       143,886,605  
                

Total increase (decrease)

      (87,024,519 )     101,632,583  
Net Assets     

Beginning of period

      274,249,458       172,616,875  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($34,437) and $2,142,350, respectively)

    $     187,224,939     $     274,249,458  
                

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   93

 

Statement of Changes in Net Assets

 

     2030 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 1,728,715     $ 4,318,617  

Net realized loss on sale of Underlying Portfolio shares

      (2,370,907 )     (893,070 )

Net realized gain distributions from Underlying Portfolios

      2,232,260       7,042,857  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (104,381,004 )     (39,937,993 )
                

Net decrease in net assets from operations

          (102,790,936 )     (29,469,589 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (1,227,058 )     (1,260,512 )

Class B

      (14,593 )     (24,630 )

Class C

      (31,392 )     (35,083 )

Advisor Class

      (104,483 )     (16,193 )

Class R

      (358,830 )     (332,502 )

Class K

      (1,222,059 )     (1,193,059 )

Class I

      (294,248 )     (298,341 )

Net realized gain on investment transactions

     

Class A

      (2,479,858 )     (329,049 )

Class B

      (51,432 )     (8,748 )

Class C

      (110,636 )     (12,461 )

Advisor Class

      (181,900 )     (3,870 )

Class R

      (871,444 )     (88,576 )

Class K

      (2,577,920 )     (308,960 )

Class I

      (512,275 )     (71,558 )
Capital Stock Transactions     

Net increase

      59,828,487       133,535,954  
                

Total increase (decrease)

      (53,000,577 )     100,082,823  
Net Assets     

Beginning of period

      216,607,251       116,524,428  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($200,090) and $1,323,858, respectively)

    $     163,606,674     $     216,607,251  
                

See notes to financial statements.

 

94   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Changes in Net Assets

 

     2035 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 958,183     $ 2,627,545  

Net realized loss on sale of Underlying Portfolio shares

      (1,255,595 )     (897,027 )

Net realized gain distributions from Underlying Portfolios

      1,582,925       4,785,061  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (70,588,349 )     (26,123,366 )
                

Net decrease in net assets from operations

      (69,302,836 )     (19,607,787 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (712,689 )     (810,742 )

Class B

      (7,009 )     (13,483 )

Class C

      (11,438 )     (16,933 )

Advisor Class

      (62,440 )     (23,713 )

Class R

      (202,113 )     (108,356 )

Class K

      (705,866 )     (780,375 )

Class I

      (171,823 )     (224,125 )

Net realized gain on investment transactions

     

Class A

      (1,649,199 )     (280,510 )

Class B

      (34,429 )     (6,998 )

Class C

      (56,434 )     (8,788 )

Advisor Class

      (121,411 )     (7,393 )

Class R

      (519,189 )     (38,800 )

Class K

      (1,660,861 )     (258,027 )

Class I

      (329,523 )     (68,576 )
Capital Stock Transactions     

Net increase

      36,481,423       89,312,213  
                

Total increase (decrease)

      (39,065,837 )     67,057,607  
Net Assets     

Beginning of period

      145,621,799       78,564,192  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($197,966) and $717,229, respectively)

    $     106,555,962     $     145,621,799  
                

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   95

 

Statement of Changes in Net Assets

 

     2040 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 755,312     $ 1,866,401  

Net realized loss on sale of Underlying Portfolio shares

      (926,651 )     (1,007,355 )

Net realized gain distributions from Underlying Portfolios

      1,291,470       3,347,115  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (56,826,532 )     (19,129,798 )
                

Net decrease in net assets from operations

      (55,706,401 )     (14,923,637 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (640,414 )     (550,258 )

Class B

      (6,970 )     (12,882 )

Class C

      (12,759 )     (9,291 )

Advisor Class

      (54,601 )     (7,711 )

Class R

      (162,097 )     (194,921 )

Class K

      (434,130 )     (434,801 )

Class I

      (138,722 )     (159,738 )

Net realized gain on investment transactions

     

Class A

      (1,340,025 )     (131,368 )

Class B

      (26,702 )     (4,521 )

Class C

      (48,875 )     (3,261 )

Advisor Class

      (97,113 )     (1,689 )

Class R

      (424,865 )     (46,326 )

Class K

      (931,880 )     (99,329 )

Class I

      (241,551 )     (34,138 )
Capital Stock Transactions     

Net increase

      41,602,643       78,640,605  
                

Total increase (decrease)

      (18,664,462 )     62,026,734  
Net Assets     

Beginning of period

          110,699,323       48,672,589  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($162,762) and $531,619, respectively)

    $     92,034,861     $     110,699,323  
                

See notes to financial statements.

 

96   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Changes in Net Assets

 

     2045 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 437,832     $ 1,132,175  

Net realized loss on sale of Underlying Portfolio shares

      (962,448 )     (485,286 )

Net realized gain distributions from Underlying Portfolios

      751,879       2,043,107  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (32,434,410 )         (11,323,908 )
                

Net decrease in net assets from operations

          (32,207,147 )     (8,633,912 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (373,489 )     (428,990 )

Class B

      (2,358 )     (4,497 )

Class C

      (8,995 )     (6,671 )

Advisor Class

      (37,230 )     (15,094 )

Class R

      (105,423 )     (62,448 )

Class K

      (236,780 )     (255,636 )

Class I

      (77,238 )     (64,422 )

Net realized gain on investment transactions

     

Class A

      (852,234 )     (254,771 )

Class B

      (8,703 )     (3,822 )

Class C

      (33,203 )     (5,671 )

Advisor Class

      (69,736 )     (8,082 )

Class R

      (249,634 )     (37,746 )

Class K

      (499,427 )     (141,328 )

Class I

      (132,786 )     (32,937 )
Capital Stock Transactions     

Net increase

      21,167,642       42,174,120  
                

Total increase (decrease)

      (13,726,741 )     32,218,093  
Net Assets     

Beginning of period

      66,478,129       34,260,036  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($83,745) and $319,936, respectively)

    $     52,751,388     $     66,478,129  
                

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   97

 

Statement of Changes in Net Assets

 

     2050 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 20,892     $ 11,831  

Net realized loss on sale of Underlying Portfolio shares

      (1,298,675 )     (62,899 )

Net realized gain distributions from Underlying Portfolios

      46,429       20,277  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (567,619 )     (130,379 )
                

Net decrease in net assets from operations

          (1,798,973 )     (161,170 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (6,675 )     (4,459 )

Class B

      (45 )     (133 )

Class C

      (105 )     (108 )

Advisor Class

      (2,199 )     (302 )

Class R

      (950 )     (121 )

Class K

      (3,761 )     (482 )

Class I

      (1,506 )     (446 )

Net realized gain on investment transactions

     

Class A

      (26,939 )     (151 )

Class B

      (461 )     (6 )

Class C

      (1,078 )     (5 )

Advisor Class

      (7,767 )     (10 )

Class R

      (7,667 )     (5 )

Class K

      (16,346 )     (16 )

Class I

      (5,672 )     (14 )
Capital Stock Transactions     

Net increase

      4,523,955       2,513,984  
                

Total increase

      2,643,811       2,346,556  
Net Assets     

Beginning of period

      2,415,578       69,022  
                

End of period (including undistributed net investment income of $11,431 and $5,780, respectively)

    $     5,059,389     $     2,415,578  
                

See notes to financial statements.

 

98   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Statement of Changes in Net Assets

 

     2055 Retirement Strategy  
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 7,027     $ 6,634  

Net realized loss on sale of Underlying Portfolio shares

      (395,472 )     (18,672 )

Net realized gain distributions from Underlying Portfolios

      15,033       7,801  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (325,959 )     (56,087 )
                

Net decrease in net assets from operations

      (699,371 )     (60,324 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      0       (649 )

Class B

      0       (242 )

Class C

      0       (855 )

Advisor Class

      0       (301 )

Class R

      (826 )     (249 )

Class K

      (4,066 )     (252 )

Class I

      (679 )     (278 )

Net realized gain on investment transactions

     

Class A

      (2,829 )     (322 )

Class B

      (77 )     (131 )

Class C

      (198 )     (463 )

Advisor Class

      (657 )     (144 )

Class R

      (672 )     (131 )

Class K

      (2,883 )     (134 )

Class I

      (434 )     (133 )
Capital Stock Transactions     

Net increase

      864,444       1,028,260  
                

Total increase

      151,752       963,652  
Net Assets     

Beginning of period

      1,035,220       71,568  
                

End of period (including undistributed net investment income of $5,264 and $3,808, respectively)

    $     1,186,972     $     1,035,220  
                

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   99

 

Statement of Changes in Net Assets

NOTES TO FINANCIAL STATEMENTS

February 28, 2009 (unaudited)

 

NOTE A

Significant Accounting Policies

The AllianceBernstein Retirement Strategies Portfolios (the “Strategies”) commenced operations on September 1, 2005 and each is a portfolio of the AllianceBernstein Blended Style Series, Inc. (the “Company”). The Company was organized as a Maryland corporation on April 24, 2002 and is registered under the Investment Company Act of 1940 as a diversified, open-end management investment company. The Company operates as a series company currently comprised of 13 portfolios, which are the twelve Strategies and the AllianceBernstein Blended Style Series U.S. Large Cap Portfolio. The AllianceBernstein Blended Style Series Global Blend Portfolio, formerly a series of the company ceased operations on November 24, 2008. Each fund is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the AllianceBernstein 2000 Retirement Strategy, AllianceBernstein 2005 Retirement Strategy, AllianceBernstein 2010 Retirement Strategy, AllianceBernstein 2015 Retirement Strategy, AllianceBernstein 2020 Retirement Strategy, AllianceBernstein 2025 Retirement Strategy, AllianceBernstein 2030 Retirement Strategy, AllianceBernstein 2035 Retirement Strategy, AllianceBernstein 2040 Retirement Strategy, AllianceBernstein 2045 Retirement Strategy, AllianceBernstein 2050 Retirement Strategy and AllianceBernstein 2055 Retirement Strategy (each a “Strategy” together, the “Strategies”). The AllianceBernstein 2050 Retirement Strategy and AllianceBernstein 2055 Retirement Strategy commenced operations on June 29, 2007. The Strategies offer Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares. Class A shares are sold with a front-end sales charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to purchases of $1,000,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class B shares are currently sold with a contingent deferred sales charge which declines from 4% to zero depending on the period of time the shares are held. Effective January 31, 2009, sales of Class B shares of the Fund to new investors were suspended. Class B shares will only be issued (i) upon the exchange of Class B shares from another AllianceBernstein Fund, (ii) for purposes of dividend reinvestment, (iii) through the Strategies’ Automatic Investment Program (the “Program”) for accounts that established the Program prior to January 31, 2009, and (iv) for purchases of additional shares by Class B shareholders as of January 31, 2009. The ability to establish a new Automatic Investment Program for accounts containing Class B shares was suspended as of January 31, 2009. Class B shares will automatically convert to Class A shares eight years after the end of the calendar month of purchase. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase. Class R and Class K shares are sold without an initial or contingent deferred sales charge. Advisor Class and Class I shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All seven classes of shares have identical voting, dividend,

 

100   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The Strategies primarily invest in a combination of portfolios of the AllianceBernstein Pooling Portfolios (the “Underlying Portfolios”) representing a variety of asset classes and investment styles that are managed by AllianceBernstein L.P. (the “Adviser”). The financial statements have been prepared in conformity with U.S. generally accepted accounting principles which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the reporting period. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Strategies.

1. Security Valuation

Net asset value per share is calculated as of the close of business of the New York Stock Exchange, normally 4:00 p.m. Eastern time. Investments in the Underlying Portfolios are valued at their net asset value each business day.

2. Fair Value Measurements

The Strategies adopted Financial Accounting Standards Board (“FASB”) Statement of Financial Accounting Standards No. 157, “Fair Value Measurements” (“FAS 157”), effective September 1, 2008. In accordance with FAS 157, fair value is defined as the price that the Strategies would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. FAS 157 also establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Strategies. Unobservable inputs reflect the Strategies’ own assumptions about the assumptions that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

 

  •  

Level 1—quoted prices in active markets for identical investment

  •  

Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

  •  

Level 3—significant unobservable inputs (including the Strategies’ own assumptions in determining the fair value of investments)

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   101

 

Notes to Financial Statements

 

The following table summarizes the valuation of the Strategies’ investments by the above fair value hierarchy levels as of February 28, 2009:

 

      Investments in Securities  

Level

    2000 Retirement
Strategy		     2005 Retirement
Strategy		     2010 Retirement
Strategy		  

Level 1

    $     20,741,416     $     35,648,896     $     130,089,944  

Level 2

      – 0 –     – 0 –     – 0 –

Level 3

      – 0 –     – 0 –     – 0 –
                        

Total

    $     20,741,416     $     35,648,896     $     130,089,944  
                        

 

      Investments in Securities  

Level

    2015 Retirement
Strategy		     2020 Retirement
Strategy		     2025 Retirement
Strategy		  

Level 1

    $     199,203,881     $     240,517,665     $     187,232,817  

Level 2

      – 0 –     – 0 –     – 0 –

Level 3

      – 0 –     – 0 –     – 0 –
                        

Total

    $     199,203,881     $     240,517,665     $     187,232,817  
                        

 

      Investments in Securities  

Level

    2030 Retirement
Strategy		     2035 Retirement
Strategy		     2040 Retirement
Strategy		  

Level 1

    $     163,794,035     $     106,449,315     $     91,869,410  

Level 2

      – 0 –     – 0 –     – 0 –

Level 3

      – 0 –     – 0 –     – 0 –
                        

Total

    $     163,794,035     $     106,449,315     $     91,869,410  
                        

 

      Investments in Securities  

Level

    2045 Retirement
Strategy		     2050 Retirement
Strategy		     2055 Retirement
Strategy		  

Level 1

    $     52,628,999     $     5,029,475     $     1,179,904  

Level 2

      – 0 –     – 0 –     – 0 –

Level 3

      – 0 –     – 0 –     – 0 –
                        

Total

    $     52,628,999     $     5,029,475     $     1,179,904  
                        

3. Taxes

It is each Strategies’ policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required.

In accordance with the Financial Accounting Standards Board (“FASB”) Interpretation No. 48, “Accounting for Uncertainties in Income Taxes” (“FIN 48”), management has analyzed the Strategies’ tax positions taken on federal income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Strategies’ financial statements.

 

102   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

4. Investment Income and Investment Transactions

Income and capital gain distributions from the Underlying Portfolios, if any, are recorded on the ex-dividend date. Transactions in shares of the Underlying Portfolios are accounted for on the trade date. Investment gains and losses are determined on the identified cost basis.

5. Class Allocations

All income earned and expenses incurred by the Strategies are borne on a pro-rata basis by each settled class of shares, based on the proportionate interest in each Strategy represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged to each Strategy in proportion to its net assets. Expenses included in the accompanying statement of operations do not include any expenses of the Underlying Portfolios. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

6. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. generally accepted accounting principles. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Strategies currently pay the Adviser at the annual rates as follows:

 

     Average Daily Net Assets  
Strategy   

First

$2.5 Billion

     Next
$2.5 Billion		     In Excess of
$5 Billion		  

2000 and 2005

    0.55 %   0.45 %   0.40 %

2010, 2015 and 2020

    0.60 %   0.50 %   0.45 %

2025, 2030, 2035, 2040, 2045, 2050 and 2055

    0.65 %   0.55 %   0.50 %

Such fees are accrued daily and paid monthly.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   103

 

Notes to Financial Statements

 

The Adviser has agreed to waive its fees and bear certain expenses to the extent necessary to limit total operating expenses on an annual basis as follows:

 

    Effective March 1, 2007
Strategy   Class A   Class B   Class C   Advisor
Class		   Class R   Class K   Class I

2000

   0.86%   1.56%   1.56%   0.56%   1.06%   0.81%   0.56%

2005

   0.92%   1.62%   1.62%   0.62%   1.12%   0.87%   0.62%

2010

   0.94%   1.64%   1.64%   0.64%   1.14%   0.89%   0.64%

2015

   0.98%   1.68%   1.68%   0.68%   1.18%   0.93%   0.68%

2020

   1.02%   1.72%   1.72%   0.72%   1.22%   0.97%   0.72%

2025

   1.04%   1.74%   1.74%   0.74%   1.24%   0.99%   0.74%

2030

   1.06%   1.76%   1.76%   0.76%   1.26%   1.01%   0.76%

2035

   1.06%   1.76%   1.76%   0.76%   1.26%   1.01%   0.76%

2040

   1.06%   1.76%   1.76%   0.76%   1.26%   1.01%   0.76%

2045

   1.06%   1.76%   1.76%   0.76%   1.26%   1.01%   0.76%

2050(a)

   1.06%   1.76%   1.76%   0.76%   1.26%   1.01%   0.76%

2055(a)

   1.06%   1.76%   1.76%   0.76%   1.26%   1.01%   0.76%

 

(a)

Effective June 29, 2007.

 

    Prior to March 1, 2007
Strategy   Class A   Class B   Class C   Advisor
Class		   Class R   Class K   Class I

2000

   1.10%   1.80%   1.80%   0.80%   1.30%   1.05%   0.80%

2005

   1.10%   1.80%   1.80%   0.80%   1.30%   1.05%   0.80%

2010

   1.20%   1.90%   1.90%   0.90%   1.40%   1.15%   0.90%

2015

   1.20%   1.90%   1.90%   0.90%   1.40%   1.15%   0.90%

2020

   1.25%   1.95%   1.95%   0.95%   1.45%   1.20%   0.95%

2025

   1.25%   1.95%   1.95%   0.95%   1.45%   1.20%   0.95%

2030

   1.25%   1.95%   1.95%   0.95%   1.45%   1.20%   0.95%

2035

   1.25%   1.95%   1.95%   0.95%   1.45%   1.20%   0.95%

2040

   1.25%   1.95%   1.95%   0.95%   1.45%   1.20%   0.95%

2045

   1.25%   1.95%   1.95%   0.95%   1.45%   1.20%   0.95%

For the six months ended February 28, 2009, such waivers and reimbursement amounted to:

 

Strategy   Amount   Strategy   Amount
2000   $     151,236   2030   $     298,227
2005     144,022   2035     259,201
2010     296,091   2040     256,014
2015     316,009   2045     184,383
2020     314,421   2050     109,112
2025     333,706   2055     109,259

 

104   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

Pursuant to the investment advisory agreement, the Adviser provides certain legal and accounting services for the Strategies. For the six months ended February 28, 2009 the cost’s of these services for the following Strategies amounted to:

 

Strategy   Administrative
Fees
2010   $     39,550
2015     39,550
2020     39,550
2025     39,550
2030     39,550
2035     39,550
2040     39,550

For the six months ended February 28, 2009 the Adviser voluntarily agreed to waive its fees. Such waivers for the following Strategies amounted to:

 

Strategy   Administrative
Fees
2000   $     39,550
2005     39,550
2045     39,550
2050     39,550
2055     39,550

The Strategies compensate AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Strategies. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. For the six months ended February 28, 2009, such compensation retained by ABIS was as follows:

 

Strategy   Amount   Strategy   Amount
2000   $     9,002   2030   $     40,896
2005     9,424   2035     28,796
2010     27,040   2040     27,186
2015     41,972   2045     19,275
2020     52,488   2050     9,099
2025         43,822   2055     9,100

For the six months ended February 28, 2009, the expenses of Class A, Class B, Class C and Advisor Class shares were reduced under an expense offset arrangement with ABIS as follows:

 

Strategy   Reduction   Strategy   Reduction
2000   $     19   2030   $     93
2005     24   2035     85
2010     53   2040     80
2015     79   2045     74
2020     96   2050     11
2025     95   2055     7

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   105

 

Notes to Financial Statements

 

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Strategies’ shares. The Distributor has advised the Strategies that it has retained front-end sales charges from the sale of Class A shares and received contingent deferred sales charges imposed upon redemptions by shareholders of Class A, Class B and Class C shares for each Strategy for the six months ended February 28, 2009 as follows:

 

     Front-End Sales
Charges		    Contingent Deferred Sales
Charges
Strategy    Class A    Class A    Class B    Class C

2000

    $ 11    $ 104    $ 996    $ 159

2005

      38      94      346      80

2010

      916      2,242      2,360      434

2015

      682      190      3,718      410

2020

          1,282          3,622          4,325          1,484

2025

      648      1,785      2,525      318

2030

      1,041      2,462      2,585      90

2035

      863      828      773      8

2040

      339      599      168      193

2045

      345      1,137      46      44

2050

      19      239      1      11

2055

      25      369      0      11

NOTE C

Distribution Services Agreement

The Strategies have adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Strategy pays distribution and servicing fees to the Distributor at an annual rate of up to .30% of the average daily net assets attributable to Class A shares, 1% of the average daily net assets attributable to both Class B and Class C shares, .50% of the average daily net assets attributable to Class R shares and .25% of the average daily net assets attributable to Class K shares. There are no distribution and servicing fees on the Advisor Class and Class I shares. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety for distribution assistance and promotional activities.

The Distributor has incurred expenses in excess of the distribution costs reimbursed by each Strategy for Class B, Class C, Class R and Class K as follows:

 

Strategy   Class B   Class C   Class R   Class K

2000

   $ 64,363   $ 109,282   $ 215,883   $ 820,578

2005

     83,382     117,858     236,847     391,371

2010

     74,843         101,103         286,274         679,598

2015

         141,151     87,023     303,238     799,520

2020

     141,606     97,836     367,809     950,895

2025

     95,670     83,511     325,515     919,303

2030

     107,157     101,109     369,973     834,288

2035

     102,633     96,162     285,051     744,786

2040

     138,328     72,108     341,683     600,831

2045

     83,398     79,004     307,826     531,289

2050

     7,877     14,015     325,753     89,028

2055

     21,978     59,694     85,022     207,367

 

106   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

While such costs may be recovered from the Strategies in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Strategies’ shares.

NOTE D

Investment Transactions

Purchases and sales of investments in the Underlying Portfolios for the six months ended February 28, 2009 were as follows:

 

Strategy    Purchases    Sales

2000

    $ 11,273,275    $ 6,675,947

2005

      21,431,908      13,036,505

2010

      40,424,313      17,898,012

2015

      52,837,480      20,817,994

2020

          71,469,915          13,510,258

2025

      52,168,928      11,677,277

2030

      58,907,485      4,763,419

2035

      35,742,414      2,592,546

2040

      41,454,342      2,265,038

2045

      21,282,991      1,521,993

2050

      6,630,577      2,127,811

2055

      1,892,245      1,005,148

The cost of investments for federal income tax purposes was substantially the same as the cost for financial reporting purposes. Accordingly, gross unrealized appreciation and unrealized depreciation are as follows:

 

     Gross Unrealized     Net
Unrealized
(Depreciation)		  

Strategy

    Appreciation     (Depreciation)    

2000

    $     – 0  –   $ (6,093,324 )   $ (6,093,324 )

2005

      – 0  –     (17,028,693 )     (17,028,693 )

2010

      – 0  –     (83,976,359 )     (83,976,359 )

2015

      – 0  –         (149,162,773 )         (149,162,773 )

2020

      – 0  –     (197,382,733 )     (197,382,733 )

2025

      – 0  –     (165,611,478 )     (165,611,478 )

2030

      – 0  –     (141,369,992 )     (141,369,992 )

2035

      – 0  –     (94,321,677 )     (94,321,677 )

2040

      – 0  –     (75,005,361 )     (75,005,361 )

2045

      – 0  –     (42,718,099 )     (42,718,099 )

2050

      – 0  –     (698,861 )     (698,861 )

2055

      – 0  –     (382,919 )     (382,919 )

1. Currency Transactions

A Strategy may invest in non-U.S. Dollar securities on a currency hedged or unhedged basis through its investments in an Underlying Portfolio. A Strategy or an Underlying Portfolio may seek investment opportunities by taking long or

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   107

 

Notes to Financial Statements

 

short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and options. A Strategy or an Underlying Portfolio may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Strategy or the Underlying Portfolio and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. A Strategy or an Underlying Portfolio may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

NOTE E

Capital Stock

Class A, Class B, Class C, Advisor Class and Class R shares each consist of 6,000,000,000 authorized shares and Class K and Class I shares each consist of 3,000,000,000 authorized shares. Transactions in capital shares for each class were as follows:

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2000 Retirement Strategy             
Class A             

Shares sold

    310,222     314,776       $ 2,725,320     $ 3,557,706    
     

Shares issued in reinvestment of dividends and distributions

    28,327     25,516         227,465       286,039    
     

Shares converted from Class B

    2,370     1,996         20,392       22,066    
     

Shares redeemed

    (210,049 )   (245,471 )       (1,824,475 )     (2,694,759 )  
     

Net increase

    130,870     96,817       $ 1,148,702     $ 1,171,052    
     
            
Class B             

Shares sold

    6,453     14,313       $ 58,638     $ 155,031    
     

Shares issued in reinvestment of dividends and distributions

    445     629         3,539       6,974    
     

Shares converted to Class A

    (2,412 )   (2,022 )       (20,392 )     (22,066 )  
     

Shares redeemed

    (9,082 )   (11,534 )       (77,366 )     (125,234 )  
     

Net increase (decrease)

    (4,596 )   1,386       $ (35,581 )   $ 14,705    
     

 

108   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2000 Retirement Strategy             
Class C             

Shares sold

    53,326     115,106       $ 460,861     $ 1,319,996    
     

Shares issued in reinvestment of dividends and distributions

    4,335     4,748         34,502       52,604    
     

Shares redeemed

    (72,822 )   (28,902 )       (596,328 )     (318,105 )  
     

Net increase (decrease)

    (15,161 )   90,952       $ (100,965 )   $ 1,054,495    
     
            
Advisor Class             

Shares sold

    8,270     76,189       $ 69,871     $ 916,069    
     

Shares issued in reinvestment of dividends and distributions

    2,530     1,757         20,366       19,752    
     

Shares redeemed

    (1,774 )   (26,972 )       (14,555 )     (321,674 )  
     

Net increase

    9,026     50,974       $ 75,682     $ 614,147    
     
            
Class R             

Shares sold

    73,120     393,516       $ 607,910     $ 4,511,801    
     

Shares issued in reinvestment of dividends and distributions

    2,408     1,447         19,125       16,062    
     

Shares redeemed

    (20,603 )   (394,519 )       (174,263 )     (4,643,681 )  
     

Net increase (decrease)

    54,925     444       $ 452,772     $ (115,818 )  
     
            
Class K             

Shares sold

    1,018,115     1,556,649       $ 8,085,552     $ 16,675,691    
     

Shares issued in reinvestment of dividends and distributions

    66,381     26,949         522,419       296,711    
     

Shares redeemed

    (774,218 )   (655,853 )       (6,435,430 )     (6,970,455 )  
     

Net increase

    310,278     927,745       $ 2,172,541     $ 10,001,947    
     
            
Class I             

Shares sold

    156,036     37,282       $ 1,248,920     $ 423,807    
     

Shares issued in reinvestment of dividends and distributions

    10,267     3,665         81,012       40,460    
     

Shares redeemed

    (20,449 )   (26,094 )       (164,822 )     (284,675 )  
     

Net increase

    145,854     14,853       $ 1,165,110     $ 179,592    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   109

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2005 Retirement Strategy             
Class A             

Shares sold

    2,022,422     1,534,238       $ 18,718,186     $ 17,265,616    
     

Shares issued in reinvestment of dividends and distributions

    167,135     82,082         1,246,828       914,390    
     

Shares converted from Class B

    4,002     6,662         30,356       71,506    
     

Shares redeemed

    (1,201,607 )   (972,377 )       (10,893,866 )     (10,736,426 )  
     

Net increase

    991,952     650,605       $ 9,101,504     $ 7,515,086    
     
            
Class B             

Shares sold

    15,368     11,953       $ 124,658     $ 135,397    
     

Shares issued in reinvestment of dividends and distributions

    3,192     2,759         23,717       30,434    
     

Shares converted to Class A

    (4,056 )   (6,745 )       (30,356 )     (71,506 )  
     

Shares redeemed

    (4,626 )   (4,038 )       (41,015 )     (44,098 )  
     

Net increase

    9,878     3,929       $ 77,004     $ 50,227    
     
            
Class C             

Shares sold

    37,997     22,921       $ 360,468     $ 255,412    
     

Shares issued in reinvestment of dividends and distributions

    5,459     9,494         40,507       104,628    
     

Shares redeemed

    (23,516 )   (135,630 )       (187,012 )     (1,420,844 )  
     

Net increase (decrease)

    19,940     (103,215 )     $ 213,963     $ (1,060,804 )  
     
            
Advisor Class             

Shares sold

    16,843     23,345       $ 136,595     $ 263,539    
     

Shares issued in reinvestment of dividends and distributions

    3,153     1,002         23,617       11,192    
     

Shares redeemed

    (324 )   (1,432 )       (2,735 )     (15,881 )  
     

Net increase

    19,672     22,915       $ 157,477     $ 258,850    
     

 

110   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2005 Retirement Strategy             
Class R             

Shares sold

    185,000     160,523       $ 1,437,385     $ 1,734,725    
     

Shares issued in reinvestment of dividends and distributions

    22,482     16,824         167,258       186,239    
     

Shares redeemed

    (137,750 )   (145,602 )       (1,089,387 )     (1,581,671 )  
     

Net increase

    69,732     31,745       $ 515,256     $ 339,293    
     
            
Class K             

Shares sold

    834,509     1,689,207       $ 6,345,520     $ 18,280,130    
     

Shares issued in reinvestment of dividends and distributions

    114,769     32,012         855,031       355,648    
     

Shares redeemed

    (1,073,451 )   (493,652 )       (8,041,908 )     (5,295,025 )  
     

Net increase (decrease)

    (124,173 )   1,227,567       $ (841,357 )   $ 13,340,753    
     
            
Class I             

Shares sold

    83,379     105,919       $ 669,199     $ 1,224,124    
     

Shares issued in reinvestment of dividends and distributions

    11,430     8,509         85,266       94,701    
     

Shares redeemed

    (64,464 )   (66,707 )       (500,371 )     (741,453 )  
     

Net increase

    30,345     47,721       $ 254,094     $ 577,372    
     

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2010 Retirement Strategy             
Class A             

Shares sold

    2,879,212     7,566,891       $ 23,333,442     $ 85,231,825    
     

Shares issued in reinvestment of dividends and distributions

    552,630     222,298         3,984,467       2,545,312    
     

Shares converted from Class B

    2,569     4,009         19,044       45,607    
     

Shares redeemed

    (2,321,089 )   (4,933,403 )       (17,720,556 )     (54,106,191 )  
     

Net increase

    1,113,322     2,859,795       $ 9,616,397     $ 33,716,553    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   111

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2010 Retirement Strategy             
Class B             

Shares sold

    25,883     50,464       $ 213,551     $ 577,371    
     

Shares issued in reinvestment of dividends and distributions

    7,304     3,623         52,446       41,261    
     

Shares converted to Class A

    (2,589 )   (4,043 )       (19,044 )     (45,607 )  
     

Shares redeemed

    (32,840 )   (20,898 )       (242,698 )     (233,876 )  
     

Net increase (decrease)

    (2,242 )   29,146       $ 4,255     $ 339,149    
     
            
Class C             

Shares sold

    65,943     104,149       $ 501,896     $ 1,158,468    
     

Shares issued in reinvestment of dividends and distributions

    15,946     7,339         114,489       83,587    
     

Shares redeemed

    (91,676 )   (68,204 )       (710,341 )     (740,593 )  
     

Net increase (decrease)

    (9,787 )   43,284       $ (93,956 )   $ 501,462    
     
            
Advisor Class             

Shares sold

    476,510     1,425,115       $ 4,031,366     $ 16,692,110    
     

Shares issued in reinvestment of dividends and distributions

    107,847     35,258         779,737       405,114    
     

Shares redeemed

    (354,914 )   (276,788 )       (2,761,814 )     (3,165,522 )  
     

Net increase

    229,443     1,183,585       $ 2,049,289     $ 13,931,702    
     
            
Class R             

Shares sold

    799,689     1,521,562       $ 6,332,971     $ 17,873,089    
     

Shares issued in reinvestment of dividends and distributions

    97,030     33,360         698,614       381,309    
     

Shares redeemed

    (362,751 )   (956,314 )       (2,835,697 )     (11,161,068 )  
     

Net increase

    533,968     598,608       $ 4,195,888     $ 7,093,330    
     
            
Class K             

Shares sold

    2,828,329     4,221,414       $ 21,245,407     $ 48,520,357    
     

Shares issued in reinvestment of dividends and distributions

    460,252     177,779         3,323,019       2,037,347    
     

Shares redeemed

    (1,531,607 )   (1,601,103 )       (12,104,393 )     (18,198,419 )  
     

Net increase

    1,756,974     2,798,090       $ 12,464,033     $ 32,359,285    
     

 

112   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2010 Retirement Strategy             
Class I             

Shares sold

    470,615     1,785,358       $ 3,831,763     $ 20,083,219    
     

Shares issued in reinvestment of dividends and distributions

    118,932     49,065         859,876       563,271    
     

Shares redeemed

    (699,694 )   (1,152,186 )       (5,446,982 )     (12,716,446 )  
     

Net increase (decrease)

    (110,147 )   682,237       $ (755,343 )   $ 7,930,044    
     

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2015 Retirement Strategy             
Class A             

Shares sold

    4,177,034     7,156,571       $ 32,534,158     $ 82,755,999    
     

Shares issued in reinvestment of dividends and distributions

    653,767     235,838         4,661,359       2,759,305    
     

Shares converted from Class B

    2,319     11,249         17,116       127,870    
     

Shares redeemed

    (2,331,400 )   (4,255,755 )       (18,001,232 )     (48,540,041 )  
     

Net increase

    2,501,720     3,147,903       $ 19,211,401     $ 37,103,133    
     
            
Class B             

Shares sold

    42,327     90,052       $ 319,004     $ 1,024,974    
     

Shares issued in reinvestment of dividends and distributions

    18,707     8,817         133,007       102,631    
     

Shares converted to Class A

    (2,335 )   (11,339 )       (17,116 )     (127,870 )  
     

Shares redeemed

    (63,547 )   (46,351 )       (479,725 )     (517,836 )  
     

Net increase (decrease)

    (4,848 )   41,179       $ (44,830 )   $ 481,899    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   113

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2015 Retirement Strategy             
Class C             

Shares sold

    113,986     169,893       $ 846,713     $ 1,913,808    
     

Shares issued in reinvestment of dividends and distributions

    17,930     6,439         127,481       74,950    
     

Shares redeemed

    (55,824 )   (112,468 )       (396,099 )     (1,253,421 )  
     

Net increase

    76,092     63,864       $ 578,095     $ 735,337    
     
            
Advisor Class             

Shares sold

    417,443     938,121       $ 3,265,583     $ 10,759,627    
     

Shares issued in reinvestment of dividends and distributions

    79,518     6,824         569,349       80,178    
     

Shares redeemed

    (165,251 )   (71,542 )       (1,315,011 )     (808,351 )  
     

Net increase

    331,710     873,403       $ 2,519,921     $ 10,031,454    
     
            
Class R             

Shares sold

    1,644,003     1,942,874       $ 12,167,387     $ 21,902,752    
     

Shares issued in reinvestment of dividends and distributions

    172,942     33,788         1,231,347       394,647    
     

Shares redeemed

    (846,364 )   (499,655 )       (6,550,166 )     (5,600,019 )  
     

Net increase

    970,581     1,477,007       $ 6,848,568     $ 16,697,380    
     
            
Class K             

Shares sold

    2,919,279     6,523,200       $ 21,802,976     $ 75,691,765    
     

Shares issued in reinvestment of dividends and distributions

    669,855     223,444         4,789,460       2,618,767    
     

Shares redeemed

    (1,864,544 )   (1,953,883 )       (14,711,332 )     (22,300,212 )  
     

Net increase

    1,724,590     4,792,761       $ 11,881,104     $ 56,010,320    
     
            
Class I             

Shares sold

    719,188     3,176,672       $ 5,217,302     $ 35,768,820    
     

Shares issued in reinvestment of dividends and distributions

    329,270     94,344         2,357,575       1,108,536    
     

Shares redeemed

    (1,365,411 )   (940,897 )       (9,714,246 )     (10,658,115 )  
     

Net increase (decrease)

    (316,953 )   2,330,119       $ (2,139,369 )   $ 26,219,241    
     

 

114   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2020 Retirement Strategy             
Class A             

Shares sold

    4,741,862     8,671,375       $ 37,866,143     $ 101,424,375    
     

Shares issued in reinvestment of dividends and distributions

    853,288     260,283         5,921,754       3,081,764    
     

Shares converted from Class B

    5,054     10,563         37,210       123,259    
     

Shares redeemed

    (2,344,808 )   (4,309,065 )       (17,747,468 )     (49,202,759 )  
     

Net increase

    3,255,396     4,633,156       $ 26,077,639     $ 55,426,639    
     
            
Class B             

Shares sold

    47,324     107,497       $ 380,925     $ 1,253,144    
     

Shares issued in reinvestment of dividends and distributions

    19,424     7,642         134,028       89,948    
     

Shares converted to Class A

    (5,098 )   (10,666 )       (37,210 )     (123,259 )  
     

Shares redeemed

    (45,243 )   (29,967 )       (342,930 )     (337,578 )  
     

Net increase

    16,407     74,506       $ 134,813     $ 882,255    
     
            
Class C             

Shares sold

    191,065     254,725       $ 1,403,774     $ 2,891,199    
     

Shares issued in reinvestment of dividends and distributions

    26,998     5,964         186,558       70,197    
     

Shares redeemed

    (124,698 )   (71,757 )       (905,863 )     (812,592 )  
     

Net increase

    93,365     188,932       $ 684,469     $ 2,148,804    
     
            
Advisor Class             

Shares sold

    395,396     837,847       $ 3,063,087     $ 9,675,769    
     

Shares issued in reinvestment of dividends and distributions

    75,913     10,093         529,115       120,008    
     

Shares redeemed

    (172,718 )   (107,719 )       (1,246,707 )     (1,209,870 )  
     

Net increase

    298,591     740,221       $ 2,345,495     $ 8,585,907    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   115

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2020 Retirement Strategy             
Class R             

Shares sold

    1,724,938     2,840,939       $ 12,627,808     $ 32,849,262    
     

Shares issued in reinvestment of dividends and distributions

    228,463     60,825         1,583,251       717,732    
     

Shares redeemed

    (870,385 )   (981,261 )       (6,762,860 )     (11,345,611 )  
     

Net increase

    1,083,016     1,920,503       $ 7,448,199     $ 22,221,383    
     
            
Class K             

Shares sold

    5,892,470     9,293,537       $ 42,065,807     $ 109,199,826    
     

Shares issued in reinvestment of dividends and distributions

    955,015     254,289         6,646,905       3,015,863    
     

Shares redeemed

    (2,633,475 )   (2,117,530 )       (19,821,307 )     (24,227,159 )  
     

Net increase

    4,214,010     7,430,296       $ 28,891,405     $ 87,988,530    
     
            
Class I             

Shares sold

    680,261     1,491,162       $ 5,193,557     $ 17,690,725    
     

Shares issued in reinvestment of dividends and distributions

    219,267     93,077         1,528,282       1,105,756    
     

Shares redeemed

    (706,329 )   (722,121 )       (5,150,195 )     (8,358,128 )  
     

Net increase

    193,199     862,118       $ 1,571,644     $ 10,438,353    
     

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2025 Retirement Strategy             
Class A             

Shares sold

    4,253,421     7,711,554       $ 33,461,096     $ 91,531,448    
     

Shares issued in reinvestment of dividends and distributions

    767,478     229,666         5,241,873       2,820,298    
     

Shares converted from Class B

    3,901     9,218         26,929       112,480    
     

Shares redeemed

    (2,157,719 )   (4,567,629 )       (16,060,794 )     (53,679,386 )  
     

Net increase

    2,867,081     3,382,809       $ 22,669,104     $ 40,784,840    
     

 

116   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2025 Retirement Strategy             
Class B             

Shares sold

    17,857     69,297       $ 131,410     $ 827,712    
     

Shares issued in reinvestment of dividends and distributions

    10,785     3,987         73,120       48,557    
     

Shares converted to Class A

    (3,938 )   (9,326 )       (26,929 )     (112,480 )  
     

Shares redeemed

    (17,032 )   (21,345 )       (120,250 )     (239,238 )  
     

Net increase

    7,672     42,613       $ 57,351     $ 524,551    
     
            
Class C             

Shares sold

    109,186     184,913       $ 789,001     $ 2,165,953    
     

Shares issued in reinvestment of dividends and distributions

    19,380     4,648         131,589       56,660    
     

Shares redeemed

    (52,004 )   (66,936 )       (362,692 )     (756,320 )  
     

Net increase

    76,562     122,625       $ 557,898     $ 1,466,293    
     
            
Advisor Class             

Shares sold

    320,899     600,629       $ 2,388,868     $ 6,961,929    
     

Shares issued in reinvestment of dividends and distributions

    57,495     3,439         393,845       42,402    
     

Shares redeemed

    (84,495 )   (43,407 )       (635,352 )     (485,892 )  
     

Net increase

    293,899     560,661       $ 2,147,361     $ 6,518,439    
     
            
Class R             

Shares sold

    1,405,750     1,770,330       $ 10,050,280     $ 20,853,576    
     

Shares issued in reinvestment of dividends and distributions

    188,944     33,313         1,290,486       409,077    
     

Shares redeemed

    (458,375 )   (365,408 )       (3,419,974 )     (4,301,318 )  
     

Net increase

    1,136,319     1,438,235       $ 7,920,792     $ 16,961,335    
     
            
Class K             

Shares sold

    3,327,448     7,028,187       $ 24,885,738     $ 84,392,142    
     

Shares issued in reinvestment of dividends and distributions

    799,353     197,070         5,475,565       2,423,964    

Shares redeemed

    (2,209,114 )   (1,552,813 )       (16,772,827 )     (18,101,327 )  
     

Net increase

    1,917,687     5,672,444       $ 13,588,476     $ 68,714,779    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   117

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2025 Retirement Strategy             
Class I             

Shares sold

    526,270     940,386       $ 3,983,574     $ 11,456,504    
     

Shares issued in reinvestment of dividends and distributions

    170,957     62,009         1,171,057       764,577    
     

Shares redeemed

    (421,428 )   (282,221 )       (3,189,082 )     (3,304,713 )  
     

Net increase

    275,799     720,174       $ 1,965,549     $ 8,916,368    
     

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2030 Retirement Strategy             
Class A             

Shares sold

    4,069,768     5,741,253       $ 32,623,056     $ 68,264,824    
     

Shares issued in reinvestment of dividends and distributions

    546,423     129,935         3,704,751       1,589,110    
     

Shares converted from Class B

    2,113     4,270         14,086       49,767    
     

Shares redeemed

    (1,674,083 )   (2,703,409 )       (12,508,118 )     (31,271,692 )  
     

Net increase

    2,944,221     3,172,049       $ 23,833,775     $ 38,632,009    
     
            
Class B             

Shares sold

    11,111     80,188       $ 81,410     $ 928,183    
     

Shares issued in reinvestment of dividends and distributions

    9,433     2,550         63,481       30,928    
     

Shares converted to Class A

    (2,131 )   (4,316 )       (14,086 )     (49,767 )  
     

Shares redeemed

    (28,468 )   (20,012 )       (220,886 )     (241,160 )  
     

Net increase (decrease)

    (10,055 )   58,410       $ (90,081 )   $ 668,184    
     

 

118   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2030 Retirement Strategy             
Class C             

Shares sold

    168,952     215,345       $ 1,247,821     $ 2,484,530    
     

Shares issued in reinvestment of dividends and distributions

    21,029     3,807         141,522       46,218    
     

Shares redeemed

    (65,183 )   (65,847 )       (462,148 )     (769,251 )  
     

Net increase

    124,798     153,305       $ 927,195     $ 1,761,497    
     
            
Advisor Class             

Shares sold

    335,484     471,423       $ 2,644,556     $ 5,387,212    
     

Shares issued in reinvestment of dividends and distributions

    42,115     1,635         286,383       20,062    
     

Shares redeemed

    (107,204 )   (26,441 )       (862,666 )     (305,261 )  
     

Net increase

    270,395     446,617       $ 2,068,273     $ 5,102,013    
     
            
Class R             

Shares sold

    1,596,574     2,467,059       $ 11,519,649     $ 29,557,602    
     

Shares issued in reinvestment of dividends and distributions

    181,724     34,403         1,230,275       420,066    
     

Shares redeemed

    (466,614 )   (722,183 )       (3,569,502 )     (8,395,601 )  
     

Net increase

    1,311,684     1,779,279       $ 9,180,422     $ 21,582,067    
     
            
Class K             

Shares sold

    3,660,527     6,265,995       $ 25,998,113     $ 74,713,558    
     

Shares issued in reinvestment of dividends and distributions

    559,643     122,714         3,799,979       1,502,019    
     

Shares redeemed

    (1,083,556 )   (1,430,370 )       (8,209,436 )     (16,587,116 )  
     

Net increase

    3,136,614     4,958,339       $ 21,588,656     $ 59,628,461    
     
            
Class I             

Shares sold

    625,979     931,228       $ 4,954,909     $ 11,116,139    
     

Shares issued in reinvestment of dividends and distributions

    118,772     30,147         806,461       369,899    
     

Shares redeemed

    (451,776 )   (441,142 )       (3,441,123 )     (5,324,315 )  
     

Net increase

    292,975     520,233       $ 2,320,247     $ 6,161,723    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   119

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2035 Retirement Strategy             
Class A             

Shares sold

    2,829,024     4,170,844       $ 22,015,449     $ 49,254,305    
     

Shares issued in reinvestment of dividends and distributions

    346,947     88,757         2,359,239       1,090,822    
     

Shares converted from Class B

    410     3,780         2,968       41,695    
     

Shares redeemed

    (1,182,554 )   (2,048,067 )       (8,735,052 )     (23,864,422 )  
     

Net increase

    1,993,827     2,215,314       $ 15,642,604     $ 26,522,400    
     
            
Class B             

Shares sold

    7,435     51,154       $ 58,523     $ 597,669    
     

Shares issued in reinvestment of dividends and distributions

    5,995     1,646         40,586       20,100    
     

Shares converted to Class A

    (413 )   (3,818 )       (2,968 )     (41,695 )  
     

Shares redeemed

    (8,410 )   (9,650 )       (62,970 )     (120,095 )  
     

Net increase

    4,607     39,332       $ 33,171     $ 455,979    
     
            
Class C             

Shares sold

    81,580     146,853       $ 610,983     $ 1,701,553    
     

Shares issued in reinvestment of dividends and distributions

    9,845     2,069         66,598       25,276    
     

Shares redeemed

    (51,308 )   (56,103 )       (392,405 )     (643,926 )  
     

Net increase

    40,117     92,819       $ 285,176     $ 1,082,903    
     
            
Advisor Class             

Shares sold

    217,039     269,606       $ 1,604,084     $ 3,130,977    
     

Shares issued in reinvestment of dividends and distributions

    26,958     2,523         183,851       31,107    
     

Shares redeemed

    (27,175 )   (28,780 )       (196,096 )     (345,710 )  
     

Net increase

    216,822     243,349       $ 1,591,839     $ 2,816,374    
     

 

120   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2035 Retirement Strategy             
Class R             

Shares sold

    1,034,806     1,258,382       $ 7,488,248     $ 14,659,374    
     

Shares issued in reinvestment of dividends and distributions

    106,701     12,032         721,302       147,155    
     

Shares redeemed

    (272,630 )   (196,137 )       (2,069,288 )     (2,333,033 )  
     

Net increase

    868,877     1,074,277       $ 6,140,262     $ 12,473,496    
     
            
Class K             

Shares sold

    1,954,585     4,223,202       $ 14,171,459     $ 50,546,592    
     

Shares issued in reinvestment of dividends and distributions

    348,048     84,491         2,366,727       1,038,403    
     

Shares redeemed

    (724,364 )   (921,282 )       (5,615,819 )     (10,704,762 )  
     

Net increase

    1,578,269     3,386,411       $ 10,922,367     $ 40,880,233    
     
            
Class I             

Shares sold

    351,164     677,233       $ 2,721,058     $ 8,212,800    
     

Shares issued in reinvestment of dividends and distributions

    73,619     23,758         501,346       292,701    
     

Shares redeemed

    (173,384 )   (293,159 )       (1,356,400 )     (3,424,673 )  
     

Net increase

    251,399     407,832       $ 1,866,004     $ 5,080,828    
     

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2040 Retirement Strategy             
Class A             

Shares sold

    2,983,988     3,742,234       $ 24,404,990     $ 45,337,956    
     

Shares issued in reinvestment of dividends and distributions

    285,145     54,683         1,978,903       681,347    
     

Shares converted from Class B

    531     1,567         3,694       18,075    
     

Shares redeemed

    (1,020,999 )   (1,227,235 )       (7,801,673 )     (14,621,615 )  
     

Net increase

    2,248,665     2,571,249       $ 18,585,914     $ 31,415,763    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   121

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2040 Retirement Strategy             
Class B             

Shares sold

    12,605     36,258       $ 101,840     $ 448,498    
     

Shares issued in reinvestment of dividends and distributions

    4,870     1,403         33,650       17,403    
     

Shares converted to Class A

    (535 )   (1,579 )       (3,694 )     (18,075 )  
     

Shares redeemed

    (4,826 )   (6,841 )       (34,507 )     (81,623 )  
     

Net increase

    12,114     29,241       $ 97,289     $ 366,203    
     
            
Class C             

Shares sold

    128,143     116,926       $ 943,316     $ 1,387,151    
     

Shares issued in reinvestment of dividends and distributions

    8,912     1,010         61,582       12,518    
     

Shares redeemed

    (44,203 )   (16,870 )       (326,619 )     (195,649 )  
     

Net increase

    92,852     101,066       $ 678,279     $ 1,204,020    
     
            
Advisor Class             

Shares sold

    216,733     288,033       $ 1,631,795     $ 3,351,406    
     

Shares issued in reinvestment of dividends and distributions

    21,766     751         151,714       9,400    
     

Shares redeemed

    (49,788 )   (9,727 )       (375,209 )     (114,795 )  
     

Net increase

    188,711     279,057       $ 1,408,300     $ 3,246,011    
     
            
Class R             

Shares sold

    1,039,520     1,397,494       $ 7,609,903     $ 17,110,045    
     

Shares issued in reinvestment of dividends and distributions

    84,944     19,455         586,961       241,247    
     

Shares redeemed

    (240,387 )   (489,187 )       (1,807,471 )     (5,781,762 )  
     

Net increase

    884,077     927,762       $ 6,389,393     $ 11,569,530    
     
            
Class K             

Shares sold

    2,126,334     2,570,284       $ 15,287,957     $ 31,200,018    
     

Shares issued in reinvestment of dividends and distributions

    196,831     42,937         1,366,011       534,130    

Shares redeemed

    (518,150 )   (514,467 )       (4,015,747 )     (6,099,864 )  
     

Net increase

    1,805,015     2,098,754       $ 12,638,221     $ 25,634,284    
     

 

122   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2040 Retirement Strategy             
Class I             

Shares sold

    387,743     708,004       $ 2,908,998     $ 8,672,884    
     

Shares issued in reinvestment of dividends and distributions

    54,716     15,535         380,273       193,876    
     

Shares redeemed

    (182,369 )   (306,145 )       (1,484,024 )     (3,661,966 )  
     

Net increase

    260,090     417,394       $ 1,805,247     $ 5,204,794    
     

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2045 Retirement Strategy             
Class A             

Shares sold

    1,627,038     2,425,126       $ 12,228,120     $ 28,833,021    
     

Shares issued in reinvestment of dividends and distributions

    178,585     55,347         1,225,096       683,535    
     

Shares converted from Class B

    364     593         2,653       7,509    
     

Shares redeemed

    (734,508 )   (1,004,490 )       (5,486,761 )     (11,838,242 )  
     

Net increase

    1,071,479     1,476,576       $ 7,969,108     $ 17,685,823    
     
            
Class B             

Shares sold

    7,806     9,838       $ 60,210     $ 120,019    
     

Shares issued in reinvestment of dividends and distributions

    1,563     651         10,634       7,982    
     

Shares converted to Class A

    (368 )   (600 )       (2,653 )     (7,509 )  
     

Shares redeemed

    (1,429 )   (5,314 )       (10,020 )     (63,168 )  
     

Net increase

    7,572     4,575       $ 58,171     $ 57,324    
     
            
Class C             

Shares sold

    82,596     74,157       $ 644,008     $ 865,548    
     

Shares issued in reinvestment of dividends and distributions

    6,203     1,006         42,181       12,335    
     

Shares redeemed

    (32,206 )   (8,700 )       (232,471 )     (105,115 )  
     

Net increase

    56,593     66,463       $ 453,718     $ 772,768    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   123

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2045 Retirement Strategy             
Advisor Class             

Shares sold

    194,018     166,269       $ 1,395,044     $ 1,938,483    
     

Shares issued in reinvestment of dividends and distributions

    15,525     1,868         106,965       23,168    
     

Shares redeemed

    (21,489 )   (25,135 )       (159,383 )     (295,277 )  
     

Net increase

    188,054     143,002       $ 1,342,626     $ 1,666,374    
     
            
Class R             

Shares sold

    595,208     611,959       $ 4,416,736     $ 7,183,685    
     

Shares issued in reinvestment of dividends and distributions

    52,061     8,153         355,055       100,193    
     

Shares redeemed

    (98,231 )   (110,315 )       (759,707 )     (1,292,617 )  
     

Net increase

    549,038     509,797       $ 4,012,084     $ 5,991,261    
     
            
Class K             

Shares sold

    1,021,113     1,388,581       $ 7,335,207     $ 16,671,993    
     

Shares issued in reinvestment of dividends and distributions

    107,633     32,195         736,207       396,964    
     

Shares redeemed

    (328,285 )   (336,295 )       (2,662,954 )     (3,966,191 )  
     

Net increase

    800,461     1,084,481       $ 5,408,460     $ 13,102,766    
     
            
Class I             

Shares sold

    323,487     341,951       $ 2,403,574     $ 4,100,614    
     

Shares issued in reinvestment of dividends and distributions

    30,652     7,883         209,965       97,359    
     

Shares redeemed

    (91,101 )   (109,540 )       (690,064 )     (1,300,169 )  
     

Net increase

    263,038     240,294       $ 1,923,475     $ 2,897,804    
     

 

124   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2050 Retirement Strategy             
Class A             

Shares sold

    271,340     119,248       $ 1,662,691     $ 1,134,313    
     

Shares issued in reinvestment of dividends and distributions

    4,851     452         27,602       4,457    
     

Shares converted from Class B

    237     – 0  –       1,158       – 0  –  
     

Shares redeemed

    (71,355 )   (28,188 )       (398,546 )     (260,542 )  
     

Net increase

    205,073     91,512       $ 1,292,905     $ 878,228    
     
            
Class B             

Shares sold

    499     2,729       $ 3,050     $ 25,850    
     

Shares issued in reinvestment of dividends and distributions

    67     3         382       27    
     

Shares converted to Class A

    (238 )   – 0  –       (1,158 )     – 0  –  
     

Net increase

    328     2,732       $ 2,274     $ 25,877    
     
            
Class C             

Shares sold

    5,818     5,137       $ 35,736     $ 46,273    
     

Shares issued in reinvestment of dividends and distributions

    60     – 0  –(a)       341       1    
     

Shares redeemed

    (176 )   (17 )       (1,170 )     (153 )  
     

Net increase

    5,702     5,120       $ 34,907     $ 46,121    
     
            
Advisor Class             

Shares sold

    63,174     42,245       $ 380,274     $ 391,659    
     

Shares issued in reinvestment of dividends and distributions

    1,749     15         9,967       152    
     

Shares redeemed

    (3,039 )   (7,871 )       (18,161 )     (73,965 )  
     

Net increase

    61,884     34,389       $ 372,080     $ 317,846    
     
            
Class R             

Shares sold

    110,808     878,575       $ 642,459     $ 8,234,935    
     

Shares issued in reinvestment of dividends and distributions

    1,370     – 0 –       7,810       – 0  –  
     

Shares redeemed

    (6,330 )   (849,569 )       (34,574 )     (8,001,122 )  
     

Net increase

    105,848     29,006       $ 615,695     $ 233,813    
     

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   125

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2050 Retirement Strategy             
Class K             

Shares sold

    732,532     89,019       $ 4,115,035     $ 804,489    
     

Shares issued in reinvestment of dividends and distributions

    3,527     35         20,107       344    
     

Shares redeemed

    (399,134 )   (1,981 )       (2,171,641 )     (17,358 )  
     

Net increase

    336,925     87,073       $ 1,963,501     $ 787,475    
     
            
Class I             

Shares sold

    43,123     28,833       $ 265,825     $ 268,518    
     

Shares issued in reinvestment of dividends and distributions

    963     31         5,487       301    
     

Shares redeemed

    (5,051 )   (4,827 )       (28,719 )     (44,195 )  
     

Net increase

    39,035     24,037       $ 242,593     $ 224,624    
     

 

(a)

Amount is less than one share.

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2055 Retirement Strategy             
Class A             

Shares sold

    166,311     48,442       $ 1,136,441     $ 434,062    
     

Shares issued in reinvestment of distributions

    503     60         2,829       575    
     

Shares redeemed

    (129,311 )   (8,786 )       (799,913 )     (77,708 )  
     

Net increase

    37,503     39,716       $ 339,357     $ 356,929    
     
            
Class B             

Shares sold

    817     548       $ 4,598     $ 5,000    
     

Shares issued in reinvestment of distributions

    7     – 0  –       38       – 0  –  
     

Net increase

    824     548       $ 4,636     $ 5,000    
     
            
Class C             

Shares sold

    1,506     3,388       $ 8,818     $ 33,897    
     

Shares issued in reinvestment of distributions

    29     99         159       945    
     

Shares redeemed

    (421 )   (7 )       (2,217 )     (63 )  
     

Net increase

    1,114     3,480       $ 6,760     $ 34,779    
     

 

126   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
2055 Retirement Strategy             
Advisor Class             

Shares sold

    27,424     4,925       $ 154,620     $ 44,305    
     

Shares issued in reinvestment of distributions

    109     4         619       40    
     

Shares redeemed

    (9,505 )   (17 )       (52,101 )     (157 )  
     

Net increase

    18,028     4,912       $ 103,138     $ 44,188    
     
            
Class R             

Shares sold

    36,080     28,001       $ 216,466     $ 236,252    
     

Shares issued in reinvestment of dividends and distributions

    269     – 0  –(a)       1,498       2    
     

Shares redeemed

    (44,016 )   (182 )       (247,983 )     (1,574 )  
     

Net increase (decrease)

    (7,667 )   27,819       $ (30,019 )   $ 234,680    
     
            
Class K             

Shares sold

    98,281     41,020       $ 571,550     $ 372,300    
     

Shares issued in reinvestment of dividends and distributions

    1,243     1         6,949       9    
     

Shares redeemed

    (30,463 )   (6,159 )       (188,543 )     (61,063 )  
     

Net increase

    69,061     34,862       $ 389,956     $ 311,246    
     
            
Class I             

Shares sold

    8,569     4,921       $ 51,656     $ 42,946    
     

Shares issued in reinvestment of dividends and distributions

    182     1         1,012       6    
     

Shares redeemed

    (354 )   (170 )       (2,052 )     (1,514 )  
     

Net increase

    8,397     4,752       $ 50,616     $ 41,438    
     

 

(a)

Amount is less than one share.

NOTE F

Risks Involved in Investing in the Strategies

Interest Rate Risk and Credit Risk—Interest rate risk is the risk that changes in interest rates will affect the value of an Underlying Portfolio’s investments in fixed-income debt securities such as bonds or notes. Increases in interest rates may cause the value of the Portfolio’s investments to decline. Credit risk is the risk that the issuer or guarantor of a debt security, or the counterparty to a

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   127

 

Notes to Financial Statements

 

derivative contract, will be unable or unwilling to make timely principal and/or interest payments, or to otherwise honor its obligations. The degree of risk for a particular security may be reflected in its credit risk rating. Credit risk is greater for medium quality and lower-rated securities. Lower-rated debt securities and similar unrated securities (commonly known as “junk bonds”) have speculative elements or are predominantly speculative risks.

Foreign Securities Risk—An Underlying Portfolio’s investments in securities of foreign companies or foreign governments involves special risks which include changes in foreign currency exchange rates and the possibility of future political and economic developments which could adversely affect the value of such securities. Moreover, securities of many foreign companies or foreign governments and their markets may be less liquid and their prices more volatile than those of comparable U.S. companies or of the U.S. government.

Currency Risk—This is the risk that changes in foreign currency exchange rates may negatively affect the value of an Underlying Portfolio’s investments or reduce the returns of the Portfolio. For example, the value of the Portfolio’s investments in foreign currency-denominated securities or currencies may decrease if the U.S. Dollar is strong (i.e., gaining value relative to other currencies) and other currencies are weak (i.e., losing value relative to the U.S. Dollar). Currency markets are generally not as regulated as securities markets. Independent of the Portfolio’s investments in securities denominated in foreign currencies, the Portfolio’s positions in various currencies may cause the Portfolio to experience losses due to the changes in exchange rates and interest rates.

Indemnification Risk—In the ordinary course of business, the Strategies enter into contracts that contain a variety of indemnifications. The Strategies’ maximum exposure under these arrangements is unknown. However, the Strategies have not had prior claims or losses pursuant to these indemnification provisions and expect the risk of loss thereunder to be remote.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Strategies, participate in a $250 million revolving credit facility (the “Facility”) intended to provide short-term financing, if necessary, subject to certain restrictions in connection with abnormal redemption activity. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Strategies did not utilize the Facility during the six months ended February 28, 2009.

 

128   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

NOTE H

Distributions to Shareholders

The tax character of distributions to be paid for the year ending August 31, 2009 will be determined at the end of the current fiscal year. The tax character of distributions paid during the fiscal years ended August 31, 2008 and August 31, 2007 were as follows:

 

2000 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $ 534,880    $ 59,742

Long-term capital gains

      195,352      4,673
             

Total distributions paid

    $ 730,232    $ 64,415
             
     
2005 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $ 986,918    $ 243,509

Long-term capital gains

      723,451      10,307
             

Total distributions paid

    $ 1,710,369    $ 253,816
             
     
2010 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $ 4,071,398    $ 685,765

Long-term capital gains

      1,990,917      29,435
             

Total distributions paid

    $     6,062,315    $     715,200
             
     
2015 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $ 5,497,336    $ 844,938

Long-term capital gains

      1,664,490      44,428
             

Total distributions paid

    $ 7,161,826    $ 889,366
             
     
2020 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $     6,127,730    $     883,669

Long-term capital gains

      2,082,040      31,470
             

Total distributions paid

    $ 8,209,770    $ 915,139
             
     
2025 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $ 4,716,904    $ 967,000

Long-term capital gains

      1,854,278      21,331
             

Total distributions paid

    $ 6,571,182    $ 988,331
             
     
2030 Retirement Strategy    2008    2007

Distributions paid from:

      

Ordinary income

    $ 3,160,320    $ 493,649

Long-term capital gains

      823,222      28,033
             

Total distributions paid

    $ 3,983,542    $ 521,682
             

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   129

 

Notes to Financial Statements

 

2035 Retirement Strategy    2008     2007  

Distributions paid from:

     

Ordinary income

    $ 1,977,727     $ 386,871  

Long-term capital gains

      669,092       19,075  
                

Total distributions paid

    $     2,646,819     $     405,946  
                
    
2040 Retirement Strategy    2008     2007  

Distributions paid from:

     

Ordinary income

    $ 1,369,602     $ 166,973  

Long-term capital gains

      320,632       10,271  
                

Total distributions paid

    $ 1,690,234     $ 177,244  
                
    
2045 Retirement Strategy    2008     2007  

Distributions paid from:

     

Ordinary income

    $ 837,758     $ 200,630  

Long-term capital gains

      484,357       11,370  
                

Total distributions paid

    $ 1,322,115     $ 212,000  
                
    
2050 Retirement Strategy    2008     2007  

Distributions paid from:

     

Ordinary income

    $ 6,258     $ – 0 –

Long-term capital gains

      – 0 –     – 0 –
                

Total distributions paid

    $ 6,258     $ – 0 –
                
    
2055 Retirement Strategy    2008     2007  

Distributions paid from:

     

Ordinary income

    $ 4,284     $ – 0 –

Long-term capital gains

      – 0 –     – 0 –
                

Total distributions paid

    $ 4,284     $ – 0 –
                

As of August 31, 2008, the components of accumulated earnings/(deficit) on a tax basis were as follows:

 

Strategy   Undistributed
Ordinary
Income		   Undistributed
Long-Term
Gains		   Accumulated
Capital and
Other Gains
(Losses)(b)		     Unrealized
Appreciation/
(Depreciation)(a)		     Total
Accumulated
Earnings/
(Deficit)		  

2000

   $ 199,916   $ 400,895   $ 0     $ (2,134,963 )   $ (1,534,152 )

2005

     382,644     1,121,684     0       (5,645,828 )     (4,141,500 )

2010

     1,606,833     5,366,714     0       (25,813,523 )     (18,839,976 )

2015

     2,350,972     7,693,201     0       (40,477,394 )     (30,433,221 )

2020

     2,813,249         10,144,067     0       (55,715,993 )     (42,758,677 )

2025

         2,142,350     9,028,305     0           (46,979,990 )         (35,809,335 )

2030

     1,323,858     6,716,514     0       (37,639,550 )     (29,599,178 )

2035

     717,229     4,331,176     0       (24,269,080 )     (19,220,675 )

2040

     531,618     3,083,123     0       (18,981,029 )     (15,366,288 )

2045

     319,933     1,827,290     0       (10,607,797 )     (8,460,574 )

2050

     69,306     0         (19,899 )     (217,820 )     (168,413 )

2055

     10,902     0     (5,314 )     (71,176 )     (65,588 )

 

(a)

The difference between book-basis and tax-basis unrealized appreciation/(depreciation) is attributable primarily to the tax deferral of losses on wash sales.

 

(b)

Net capital losses incurred after October 31, and within the taxable year are deemed to arise on the first business day of the Strategy’s next taxable year. 2050 and 2055 Retirement Strategies elect to defer $19,899 and $5,314 of capital losses that are deemed to arise in the next taxable year.

 

130   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

NOTE I

Legal Proceedings

On October 2, 2003, a purported class action complaint entitled Hindo, et al. v. AllianceBernstein Growth & Income Fund, et al. (“Hindo Complaint”) was filed against the Adviser, Alliance Capital Management Holding L.P. (“Alliance Holding”), Alliance Capital Management Corporation, AXA Financial, Inc., the AllianceBernstein Funds, certain officers of the Adviser (“AllianceBernstein defendants”), and certain other unaffiliated defendants, as well as unnamed Doe defendants. The Hindo Complaint was filed in the United States District Court for the Southern District of New York by alleged shareholders of two of the AllianceBernstein Funds. The Hindo Complaint alleges that certain of the AllianceBernstein defendants failed to disclose that they improperly allowed certain hedge funds and other unidentified parties to engage in “late trading” and “market timing” of AllianceBernstein Fund securities, violating Sections 11 and 15 of the Securities Act, Sections 10(b) and 20(a) of the Exchange Act and Sections 206 and 215 of the Advisers Act. Plaintiffs seek an unspecified amount of compensatory damages and rescission of their contracts with the Adviser, including recovery of all fees paid to the Adviser pursuant to such contracts.

Following October 2, 2003, 43 additional lawsuits making factual allegations generally similar to those in the Hindo Complaint were filed in various federal and state courts against the Adviser and certain other defendants. On September 29, 2004, plaintiffs filed consolidated amended complaints with respect to four claim types: mutual fund shareholder claims; mutual fund derivative claims; derivative claims brought on behalf of Alliance Holding; and claims brought under ERISA by participants in the Profit Sharing Plan for Employees of the Adviser. All four complaints include substantially identical factual allegations, which appear to be based in large part on the Order of the SEC dated December 18, 2003 as amended and restated January 15, 2004 (“SEC Order”) and the New York State Attorney General Assurance of Discontinuance dated September 1, 2004 (“NYAG Order”).

On April 21, 2006, the Adviser and attorneys for the plaintiffs in the mutual fund shareholder claims, mutual fund derivative claims, and ERISA claims entered into a confidential memorandum of understanding containing their agreement to settle these claims. The agreement will be documented by a stipulation of settlement and will be submitted for court approval at a later date. The settlement amount ($30 million), which the Adviser previously accrued and disclosed, has been disbursed. The derivative claims brought on behalf of Alliance Holding, in which plaintiffs seek an unspecified amount of damages, remain pending.

It is possible that these matters and/or other developments resulting from these matters could result in increased redemptions of the AllianceBernstein Mutual Funds’ shares or other adverse consequences to the AllianceBernstein Mutual Funds. This may require the AllianceBernstein Mutual Funds to sell investments

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   131

 

Notes to Financial Statements

 

held by those funds to provide for sufficient liquidity and could also have an adverse effect on the investment performance of the AllianceBernstein Mutual Funds. However, the Adviser believes that these matters are not likely to have a material adverse effect on its ability to perform advisory services relating to the AllianceBernstein Mutual Funds.

NOTE J

Recent Accounting Pronouncement

On March 19, 2008, the FASB released Statement of Financial Accounting Standards No. 161, “Disclosures about Derivative Instruments and Hedging Activities” (“FAS 161”). FAS 161 requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative agreements. The application of FAS 161 is required for fiscal years and interim periods beginning after November 15, 2008. At this time, management is evaluating the implications of FAS 161 and believes the adoption of FAS 161 will have no material impact on the Strategies’ financial statements.

 

132   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Notes to Financial Statements

 

FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.58     $  11.73     $  10.88     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .44     .31     .15  

Net realized and unrealized gain (loss) on investment transactions

   (3.03 )   (1.07 )   .80     .73  
     

Net increase (decrease) in net asset value from operations

   (2.85 )   (.63 )   1.11     .88  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.21 )   (.36 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.39 )   (.52 )   (.26 )   – 0  –
     

Net asset value, end of period

   $  7.34     $  10.58     $  11.73     $  10.88  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.22 )%   (5.59 )%   10.32  %   8.80 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $5,090     $5,952     $5,462     $938  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .82  %(e)   .82  %   .92  %(f)   1.05 %(f)

Expenses, before waivers/reimbursements(d)

   2.76  %(e)   2.77  %   8.86  %(f)   104.94 %(f)

Net investment income(b)

   4.35  %(e)   3.87  %   2.82  %   1.73 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   133

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.41     $  11.60     $  10.81     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .15     .35     .20     .14  

Net realized and unrealized gain (loss) on investment transactions

   (2.98 )   (1.04 )   .81     .67  
     

Net increase (decrease) in net asset value from operations

   (2.83 )   (.69 )   1.01     .81  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.13 )   (.34 )   (.19 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.31 )   (.50 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  7.27     $  10.41     $  11.60     $  10.81  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.47 )%   (6.21 )%   9.45  %   8.10 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $92     $180     $184     $29  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.52  %(e)   1.52  %   1.59  %(f)   1.75 %(f)

Expenses, before waivers/reimbursements(d)

   3.53  %(e)   3.50  %   7.63  %(f)   169.75 %(f)

Net investment income(b)

   3.72  %(e)   3.14  %   1.74  %   1.40 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

134   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.41     $  11.60     $  10.81     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .16     .36     .19     .11  

Net realized and unrealized gain (loss) on investment transactions

   (2.99 )   (1.05 )   .82     .70  
     

Net increase (decrease) in net asset value from operations

   (2.83 )   (.69 )   1.01     .81  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.13 )   (.34 )   (.19 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.31 )   (.50 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  7.27     $  10.41     $  11.60     $  10.81  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.47 )%   (6.21 )%   9.45  %   8.10 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $817     $1,327     $425     $34  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.52  %(e)   1.52  %   1.60  %(f)   1.75 %(f)

Expenses, before waivers/reimbursements(d)

   3.48  %(e)   3.42  %   9.09  %(f)   172.05 %(f)

Net investment income(b)

   3.87  %(e)   3.11  %   1.86  %   1.10 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   135

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.63     $  11.78     $  10.92     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .21     .45     .38     .27  

Net realized and unrealized gain (loss) on investment transactions

   (3.06 )   (1.05 )   .76     .65  
     

Net increase (decrease) in net asset value from operations

   (2.85 )   (.60 )   1.14     .92  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.24 )   (.39 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.42 )   (.55 )   (.28 )   – 0  –
     

Net asset value, end of period

   $  7.36     $  10.63     $  11.78     $  10.92  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.12 )%   (5.39 )%   10.52  %   9.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $450     $553     $13     $11  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .52  %(e)   .52  %   .65  %(f)   .75 %(f)

Expenses, before waivers/reimbursements(d)

   2.47  %(e)   2.35  %   9.96  %(f)   189.29 %(f)

Net investment income(b)

   4.93  %(e)   3.78  %   3.32  %   2.61 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

136   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.46     $  11.54     $  10.87     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .16     .49     .17     .22  

Net realized and unrealized gain (loss) on investment transactions

   (2.98 )   (1.13 )   .89     .65  
     

Net increase (decrease) in net asset value from operations

   (2.82 )   (.64 )   1.06     .87  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.20 )   (.28 )   (.36 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.38 )   (.44 )   (.39 )   – 0  –
     

Net asset value, end of period

   $  7.26     $  10.46     $  11.54     $  10.87  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.29 )%   (5.78 )%   9.85 %   8.70 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $641     $350     $381     $12  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.02  %   1.06  %(f)   1.25 %(f)

Expenses, before waivers/reimbursements(d)

   3.01  %(e)   2.91  %   6.87  %(f)   180.27 %(f)

Net investment income(b)

   3.95  %(e)   3.27  %   1.85  %   2.10 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   137

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.40     $  11.55     $  10.89     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .38     .20     .23  

Net realized and unrealized gain (loss) on investment transactions

   (2.97 )   (.98 )   .91     .66  
     

Net increase (decrease) in net asset value from operations

   (2.79 )   (.60 )   1.11     .89  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.23 )   (.39 )   (.42 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.41 )   (.55 )   (.45 )   – 0  –
     

Net asset value, end of period

   $  7.20     $  10.40     $  11.55     $  10.89  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.19 )%   (5.50 )%   10.31  %   8.90 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $12,052     $14,183     $5,041     $19  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .77  %(e)   .77  %   .83  %(f)   1.00 %(f)

Expenses, before waivers/reimbursements(d)

   2.68  %(e)   2.63  %   4.40  %(f)   167.47 %(f)

Net investment income(b)

   4.42  %(e)   3.40  %   1.83  %   2.27 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

138   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2000 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.44     $  11.60     $  10.92     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .13     .48     .22     .27  

Net realized and unrealized gain (loss) on investment transactions

   (2.91 )   (1.06 )   .90     .65  
     

Net increase (decrease) in net asset value from operations

   (2.78 )   (.58 )   1.12     .92  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.26 )   (.42 )   (.41 )   – 0  –

Distributions from net realized gain on investment transactions

   (.18 )   (.16 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.44 )   (.58 )   (.44 )   – 0  –
     

Net asset value, end of period

   $  7.22     $  10.44     $  11.60     $  10.92  
     

Total Return

        

Total investment return based on net asset value(c)

   (27.01 )%   (5.28 )%   10.43  %   9.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $1,583     $768     $681     $11  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .52  %(e)   .52  %   .55  %(f)   .75 %(f)

Expenses, before waivers/reimbursements(d)

   2.33  %(e)   2.35  %   7.92  %(f)   180.50 %(f)

Net investment income(b)

   3.25   %(e)   4.20  %   2.09  %   2.61 %

Portfolio turnover rate

   33  %   66  %   99  %   51 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   139

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.35     $  11.78     $  10.92     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .41     .29     .13  

Net realized and unrealized gain (loss) on investment transactions

   (3.34 )   (1.24 )   .87     .79  
     

Net increase (decrease) in net asset value from operations

   (3.16 )   (.83 )   1.16     .92  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.27 )   (.35 )   (.27 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.50 )   (.60 )   (.30 )   – 0  –
     

Net asset value, end of period

   $  6.69     $  10.35     $  11.78     $  10.92  
     

Total Return

        

Total investment return based on net asset value(c)

   (31.07 )%   (7.39 )%   10.69  %   9.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $18,811     $18,835     $13,775     $3,898  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .88  %(e)   .88  %   .95  %   1.03 %

Expenses, before waivers/reimbursements(d)

   1.69  %(e)   1.85  %   3.16  %   13.72 %

Net investment income(b)

   4.42  %(e)   3.66  %   2.45  %   1.36 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

140   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.20     $  11.66     $  10.84     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .14     .33     .23     .05  

Net realized and unrealized gain (loss) on investment transactions

   (3.29 )   (1.23 )   .85     .79  
     

Net increase (decrease) in net asset value from operations

   (3.15 )   (.90 )   1.08     .84  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.31 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.40 )   (.56 )   (.26 )   – 0  –
     

Net asset value, end of period

   $  6.65     $  10.20     $  11.66     $  10.84  
     

Total Return

        

Total investment return based on net asset value(c)

   (31.31 )%   (8.08 )%   10.01  %   8.40 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $437     $569     $604     $357  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.58  %(e)   1.58  %   1.66  %   1.73 %

Expenses, before waivers/reimbursements(d)

   2.42  %(e)   2.56  %   4.03  %   19.10 %

Net investment income(b)

   3.61  %(e)   2.96  %   2.01  %   .49 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   141

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.19     $  11.64     $  10.83     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .15     .39     .10     .07  

Net realized and unrealized gain (loss) on investment transactions

   (3.30 )   (1.28 )   .97     .76  
     

Net increase (decrease) in net asset value from operations

   (3.15 )   (.89 )   1.07     .83  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.31 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.40 )   (.56 )   (.26 )   – 0  –
     

Net asset value, end of period

   $  6.64     $  10.19     $  11.64     $  10.83  
     

Total Return

        

Total investment return based on net asset value(c)

   (31.34 )%   (8.01 )%   9.92  %   8.30 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $718     $898     $2,228     $167  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.58  %(e)   1.58  %   1.63  %   1.73 %

Expenses, before waivers/reimbursements(d)

   2.41  %(e)   2.57  %   3.83  %   22.53 %

Net investment income(b)

   3.70  %(e)   3.49  %   1.01  %   .73 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

142   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.40     $  11.82     $  10.95     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .39     .15     .20  

Net realized and unrealized gain (loss) on investment transactions

   (3.34 )   (1.18 )   1.04     .75  
     

Net increase (decrease) in net asset value from operations

   (3.16 )   (.79 )   1.19     .95  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.29 )   (.38 )   (.29 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.63 )   (.32 )   – 0  –
     

Net asset value, end of period

   $  6.72     $  10.40     $  11.82     $  10.95  
     

Total Return

        

Total investment return based on net asset value(c)

   (30.92 )%   (7.08 )%   10.94  %   9.50 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $378     $381     $162     $11  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .58  %(e)   .58  %   .61  %   .73 %

Expenses, before waivers/reimbursements(d)

   1.38  %(e)   1.54  %   2.47  %   45.94 %

Net investment income(b)

   4.67  %(e)   3.48  %   1.49  %   1.87 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   143

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.27     $  11.72     $  10.89     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .17     .37     .08     .13  

Net realized and unrealized gain (loss) on investment transactions

   (3.32 )   (1.22 )   1.05     .76  
     

Net increase (decrease) in net asset value from operations

   (3.15 )   (.85 )   1.13     .89  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.23 )   (.35 )   (.27 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.46 )   (.60 )   (.30 )   – 0  –
     

Net asset value, end of period

   $  6.66     $  10.27     $  11.72     $  10.89  
     

Total Return

        

Total investment return based on net asset value(c)

   (31.14 )%   (7.61 )%   10.46  %   8.90 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $2,718     $3,475     $3,593     $28  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.08  %(e)   1.08  %   1.09  %   1.23 %

Expenses, before waivers/reimbursements(d)

   2.12  %(e)   2.08  %   3.24  %   34.65 %

Net investment income(b)

   4.20  %(e)   3.38  %   .63  %   1.26 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

144   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.33     $  11.75     $  10.91     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .34     .14     .18  

Net realized and unrealized gain (loss) on investment transactions

   (3.34 )   (1.16 )   1.03     .73  
     

Net increase (decrease) in net asset value from operations

   (3.16 )   (.82 )   1.17     .91  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.26 )   (.35 )   (.30 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.60 )   (.33 )   – 0  –
     

Net asset value, end of period

   $  6.68     $  10.33     $  11.75     $  10.91  
     

Total Return

        

Total investment return based on net asset value(c)

   (31.05 )%   (7.31 )%   10.85  %   9.10 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $11,197     $18,597     $6,734     $164  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .83  %(e)   .83  %   .87  %   .98 %

Expenses, before waivers/reimbursements(d)

   1.81  %(e)   1.82  %   2.45  %   16.01 %

Net investment income(b)

   4.32  %(e)   3.15  %   1.27  %   1.80 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   145

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2005 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.36     $  11.79     $  10.95     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .46     .22     .19  

Net realized and unrealized gain (loss) on investment transactions

   (3.33 )   (1.25 )   .97     .76  
     

Net increase (decrease) in net asset value from operations

   (3.15 )   (.79 )   1.19     .95  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.29 )   (.39 )   (.32 )   – 0  –

Distributions from net realized gain on investment transactions

   (.23 )   (.25 )   (.03 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.64 )   (.35 )   – 0  –
     

Net asset value, end of period

   $  6.69     $  10.36     $  11.79     $  10.95  
     

Total Return

        

Total investment return based on net asset value(c)

   (30.95 )%   (7.11 )%   10.94  %   9.50 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $1,315     $1,723     $1,398     $12  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .58  %(e)   .58  %   .58  %   .73 %

Expenses, before waivers/reimbursements(d)

   1.46  %(e)   1.49  %   2.84  %   45.07 %

Net investment income(b)

   4.50  %(e)   3.97  %   1.48  %   1.86 %

Portfolio turnover rate

   32  %   29  %   45  %   44 %

See footnote summary on page 217.

 

146   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.53     $  12.00     $  11.00     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .16     .38     .27     .13  

Net realized and unrealized gain (loss) on investment transactions

   (3.78 )   (1.36 )   1.00     .87  
     

Net increase (decrease) in net asset value from operations

   (3.62 )   (.98 )   1.27     1.00  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.25 )   (.33 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.56 )   (.49 )   (.27 )   – 0  –
     

Net asset value, end of period

   $  6.35     $  10.53     $  12.00     $  11.00  
     

Total Return

        

Total investment return based on net asset value(c)

   (34.99 )%   (8.48 )%   11.64  %   10.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $50,166     $71,541     $47,201     $9,180  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .90  %(e)   .90  %   .99  %   1.13 %

Expenses, before waivers/reimbursements(d)

   1.29  %(e)   1.15  %   1.65  %   8.18 %

Net investment income(b)

   4.00  %(e)   3.31  %   2.28  %   1.39 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   147

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.43     $  11.88     $  10.92     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .13     .30     .19     .05  

Net realized and unrealized gain (loss) on investment transactions

   (3.76 )   (1.33 )   .99     .87  
     

Net increase (decrease) in net asset value from operations

   (3.63 )   (1.03 )   1.18     .92  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.18 )   (.26 )   (.20 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.42 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  6.31     $  10.43     $  11.88     $  10.92  
     

Total Return

        

Total investment return based on net asset value(c)

   (35.36 )%   (9.00 )%   10.86  %   9.20 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $724     $1,219     $1,043     $622  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.60  %(e)   1.60  %   1.71  %   1.83 %

Expenses, before waivers/reimbursements(d)

   2.03  %(e)   1.86  %   2.42  %   9.35 %

Net investment income(b)

   3.37  %(e)   2.63  %   1.58  %   .47 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

 

See footnote summary on page 217.

 

148   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.42     $  11.89     $  10.92     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .14     .31     .18     .03  

Net realized and unrealized gain (loss) on investment transactions

   (3.76 )   (1.36 )   1.01     .89  
     

Net increase (decrease) in net asset value from operations

   (3.62 )   (1.05 )   1.19     .92  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.18 )   (.26 )   (.20 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.42 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  6.31     $  10.42     $  11.89     $  10.92  
     

Total Return

        

Total investment return based on net asset value(c)

   (35.30 )%   (9.16 )%   10.95  %   9.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $1,404     $2,420     $2,247     $899  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.60  %(e)   1.60  %   1.69  %   1.83 %

Expenses, before waivers/reimbursements(d)

   2.01  %(e)   1.86  %   2.35  %   8.39 %

Net investment income(b)

   3.61  %(e)   2.77  %   1.50  %   .28 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   149

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.59     $  12.06     $  11.02     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .17     .43     .29     .19  

Net realized and unrealized gain (loss) on investment transactions

   (3.80 )   (1.38 )   1.04     .83  
     

Net increase (decrease) in net asset value from operations

   (3.63 )   (.95 )   1.33     1.02  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.28 )   (.36 )   (.27 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.59 )   (.52 )   (.29 )   – 0  –
     

Net asset value, end of period

   $  6.37     $  10.59     $  12.06     $  11.02  
     

Total Return

        

Total investment return based on net asset value(c)

   (34.94 )%   (8.25 )%   12.12  %   10.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $9,376     $13,164     $710     $272  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .60  %(e)   .60  %   .69  %   .83 %

Expenses, before waivers/reimbursements(d)

   1.00  %(e)   .85  %   1.36  %   9.17 %

Net investment income(b)

   4.36  %(e)   3.59  %   2.44  %   1.93 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

See footnote summary on page 217.

 

150   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.50     $  11.98     $  10.98     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .15     .34     .11     .09  

Net realized and unrealized gain (loss) on investment transactions

   (3.77 )   (1.34 )   1.14     .89  
     

Net increase (decrease) in net asset value from operations

   (3.62 )   (1.00 )   1.25     .98  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.23 )   (.32 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.54 )   (.48 )   (.25 )   – 0  –
     

Net asset value, end of period

   $  6.34     $  10.50     $  11.98     $  10.98  
     

Total Return

        

Total investment return based on net asset value(c)

   (35.13 )%   (8.70 )%   11.47  %   9.80 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $10,051     $11,039     $5,428     $142  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.10  %(e)   1.10  %   1.15  %   1.33 %

Expenses, before waivers/reimbursements(d)

   1.60  %(e)   1.54  %   1.87  %   11.87 %

Net investment income(b)

   3.78  %(e)   2.99  %   .90  %   1.01 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   151

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.54     $  12.01     $  11.00     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .15     .39     .18     .13  

Net realized and unrealized gain (loss) on investment transactions

   (3.77 )   (1.37 )   1.11     .87  
     

Net increase (decrease) in net asset value from operations

   (3.62 )   (.98 )   1.29     1.00  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.25 )   (.33 )   (.26 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.56 )   (.49 )   (.28 )   – 0  –
     

Net asset value, end of period

   $  6.36     $  10.54     $  12.01     $  11.00  
     

Total Return

        

Total investment return based on net asset value(c)

   (35.01 )%   (8.46 )%   11.80  %   10.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $48,582     $62,033     $37,059     $1,988  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .85  %(e)   .85  %   .93  %   1.08 %

Expenses, before waivers/reimbursements(d)

   1.29  %(e)   1.24  %   1.59  %   7.99 %

Net investment income(b)

   4.01  %(e)   3.36  %   1.75  %   1.28 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

See footnote summary on page 217.

 

152   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2010 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.59     $  12.05     $  11.03     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .18     .38     .18     .11  

Net realized and unrealized gain (loss) on investment transactions

   (3.81 )   (1.33 )   1.14     .92  
     

Net increase (decrease) in net asset value from operations

   (3.63 )   (.95 )   1.32     1.03  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.28 )   (.35 )   (.28 )   – 0  –

Distributions from net realized gain on investment transactions

   (.31 )   (.16 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.59 )   (.51 )   (.30 )   – 0  –
     

Net asset value, end of period

   $  6.37     $  10.59     $  12.05     $  11.03  
     

Total Return

        

Total investment return based on net asset value(c)

   (34.98 )%   (8.18 )%   12.04  %   10.30 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $9,542     $17,024     $11,154     $181  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .60  %(e)   .60  %   .64  %   .83 %

Expenses, before waivers/reimbursements(d)

   .91  %(e)   .90  %   1.29  %   13.40 %

Net investment income(b)

   4.47  %(e)   3.28  %   1.56  %   1.21 %

Portfolio turnover rate

   12  %   31  %   25  %   7 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   153

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.60     $  12.25     $  11.09     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .13     .37     .26     .11  

Net realized and unrealized gain (loss) on investment transactions

   (4.04 )   (1.60 )   1.14     .98  
     

Net increase (decrease) in net asset value from operations

   (3.91 )   (1.23 )   1.40     1.09  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.22 )   (.32 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.50 )   (.42 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  6.19     $  10.60     $  12.25     $  11.09  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.52 )%   (10.35 )%   12.75  %   10.90 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $68,828     $91,231     $66,921     $8,277  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .94  %(e)   .94  %   1.02  %   1.13 %

Expenses, before waivers/reimbursements(d)

   1.21  %(e)   1.10  %   1.42  %   8.93 %

Net investment income(b)

   3.45  %(e)   3.21  %   2.12  %   1.12 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

154   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.49     $  12.14     $  11.02     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .11     .29     .18     .05  

Net realized and unrealized gain (loss) on investment transactions

   (4.00 )   (1.59 )   1.13     .97  
     

Net increase (decrease) in net asset value from operations

   (3.89 )   (1.30 )   1.31     1.02  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.15 )   (.25 )   (.18 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.35 )   (.19 )   – 0  –
     

Net asset value, end of period

   $  6.17     $  10.49     $  12.14     $  11.02  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.63 )%   (11.00 )%   11.96  %   10.20 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $1,994     $3,445     $3,487     $1,207  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.64  %(e)   1.64  %   1.72  %   1.83 %

Expenses, before waivers/reimbursements(d)

   1.93  %(e)   1.81  %   2.12  %   10.01 %

Net investment income(b)

   2.89  %(e)   2.57  %   1.49  %   .48 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   155

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.49     $  12.14     $  11.02     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .11     .30     .13     .07  

Net realized and unrealized gain (loss) on investment transactions

   (4.01 )   (1.60 )   1.18     .95  
     

Net increase (decrease) in net asset value from operations

   (3.90 )   (1.30 )   1.31     1.02  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.15 )   (.25 )   (.18 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.35 )   (.19 )   – 0  –
     

Net asset value, end of period

   $  6.16     $  10.49     $  12.14     $  11.02  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.73 )%   (11.00 )%   11.96  %   10.20 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $2,058     $2,705     $2,356     $378  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.64  %(e)   1.64  %   1.70  %   1.83 %

Expenses, before waivers/reimbursements(d)

   1.94  %(e)   1.81  %   2.05  %   10.90 %

Net investment income(b)

   2.80  %(e)   2.61  %   1.06  %   .68 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

156   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.67     $  12.32     $  11.13     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .15     .33     .28     .07  

Net realized and unrealized gain (loss) on investment transactions

   (4.08 )   (1.53 )   1.17     1.06  
     

Net increase (decrease) in net asset value from operations

   (3.93 )   (1.20 )   1.45     1.13  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.24 )   (.35 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.45 )   (.26 )   – 0  –
     

Net asset value, end of period

   $  6.22     $  10.67     $  12.32     $  11.13  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.44 )%   (10.10 )%   13.11  %   11.30 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $7,869     $9,945     $726     $124  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .64  %(e)   .64  %   .69  %   .83 %

Expenses, before waivers/reimbursements(d)

   .91  %(e)   .82  %   .99  %   24.93 %

Net investment income(b)

   3.80  %(e)   2.87  %   2.15  %   .90 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   157

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.56     $  12.22     $  11.07     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .12     .30     .14     .10  

Net realized and unrealized gain (loss) on investment transactions

   (4.02 )   (1.55 )   1.24     .97  
     

Net increase (decrease) in net asset value from operations

   (3.90 )   (1.25 )   1.38     1.07  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.20 )   (.31 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.48 )   (.41 )   (.23 )   – 0  –
     

Net asset value, end of period

   $  6.18     $  10.56     $  12.22     $  11.07  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.56 )%   (10.59 )%   12.56  %   10.70 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $20,156     $24,178     $9,928     $410  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.14  %(e)   1.14  %   1.18  %   1.33 %

Expenses, before waivers/reimbursements(d)

   1.52  %(e)   1.49  %   1.76  %   9.30 %

Net investment income(b)

   3.22  %(e)   2.67  %   1.21  %   .98 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

158   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.61     $  12.26     $  11.10     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .13     .36     .17     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.04 )   (1.59 )   1.23     1.01  
     

Net increase (decrease) in net asset value from operations

   (3.91 )   (1.23 )   1.40     1.10  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.21 )   (.32 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.42 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  6.21     $  10.61     $  12.26     $  11.10  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.46 )%   (10.35 )%   12.77  %   11.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $72,425     $105,443     $63,056     $4,342  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .89  %(e)   .89  %   .95  %   1.08 %

Expenses, before waivers/reimbursements(d)

   1.21  %(e)   1.18  %   1.38  %   8.55 %

Net investment income(b)

   3.52  %(e)   3.15  %   1.55  %   .96 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   159

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2015 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.66     $  12.31     $  11.13     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .16     .37     .18     .10  

Net realized and unrealized gain (loss) on investment transactions

   (4.08 )   (1.57 )   1.26     1.03  
     

Net increase (decrease) in net asset value from operations

   (3.92 )   (1.20 )   1.44     1.13  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.24 )   (.35 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.45 )   (.26 )   – 0  –
     

Net asset value, end of period

   $  6.22     $  10.66     $  12.31     $  11.13  
     

Total Return

        

Total investment return based on net asset value(c)

   (37.39 )%   (10.12 )%   13.09  %   11.30 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $25,898     $47,753     $26,459     $308  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .64  %(e)   .64  %   .66  %   .83 %

Expenses, before waivers/reimbursements(d)

   .82  %(e)   .84  %   1.07  %   11.87 %

Net investment income(b)

   3.97  %(e)   3.24  %   1.46  %   1.10 %

Portfolio turnover rate

   9  %   6  %   13  %   12 %

See footnote summary on page 217.

 

160   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.57     $  12.41     $  11.18     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .10     .35     .26     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.24 )   (1.79 )   1.21     1.09  
     

Net increase (decrease) in net asset value from operations

   (4.14 )   (1.44 )   1.47     1.18  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.20 )   (.30 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.50 )   (.40 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.93     $  10.57     $  12.41     $  11.18  
     

Total Return

        

Total investment return based on net asset value(c)

   (39.87 )%   (11.97 )%   13.20  %   11.80 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $80,605     $109,315     $70,858     $9,573  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .98  %(e)   .98  %   1.06  %   1.18 %

Expenses, before waivers/reimbursements(d)

   1.20  %(e)   1.09  %   1.41  %   8.52 %

Net investment income(b)

   2.83  %(e)   3.02  %   2.02  %   .93 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   161

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.45     $  12.29     $  11.10     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .08     .27     .16     .04  

Net realized and unrealized gain (loss) on investment transactions

   (4.21 )   (1.78 )   1.21     1.06  
     

Net increase (decrease) in net asset value from operations

   (4.13 )   (1.51 )   1.37     1.10  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.13 )   (.23 )   (.17 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.33 )   (.18 )   – 0  –
     

Net asset value, end of period

   $  5.89     $  10.45     $  12.29     $  11.10  
     

Total Return

        

Total investment return based on net asset value(c)

   (40.11 )%   (12.60 )%   12.42  %   11.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $1,987     $3,354     $3,029     $982  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.68  %(e)   1.68  %   1.76  %   1.88 %

Expenses, before waivers/reimbursements(d)

   1.93  %(e)   1.81  %   2.10  %   9.59 %

Net investment income(b)

   2.22  %(e)   2.38  %   1.31  %   .41 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

See footnote summary on page 217.

 

162   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.46     $  12.29     $  11.10     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .09     .25     .13     .03  

Net realized and unrealized gain (loss) on investment transactions

   (4.22 )   (1.75 )   1.24     1.07  
     

Net increase (decrease) in net asset value from operations

   (4.13 )   (1.50 )   1.37     1.10  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.13 )   (.23 )   (.17 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.33 )   (.18 )   – 0  –
     

Net asset value, end of period

   $  5.90     $  10.46     $  12.29     $  11.10  
     

Total Return

        

Total investment return based on net asset value(c)

   (40.07 )%   (12.52 )%   12.42  %   11.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $2,856     $4,089     $2,484     $585  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.68  %(e)   1.68  %   1.74  %   1.88 %

Expenses, before waivers/reimbursements(d)

   1.93  %(e)   1.80  %   2.07  %   9.83 %

Net investment income(b)

   2.30  %(e)   2.18  %   1.09  %   .32 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   163

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
       
     

Net asset value, beginning of period

   $  10.64     $  12.48     $  11.21     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .12     .35     .25     .10  

Net realized and unrealized gain (loss) on investment transactions

   (4.28 )   (1.77 )   1.27     1.11  
     

Net increase (decrease) in net asset value from operations

   (4.16 )   (1.42 )   1.52     1.21  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.22 )   (.32 )   (.24 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.42 )   (.25 )   – 0  –
     

Net asset value, end of period

   $  5.96     $  10.64     $  12.48     $  11.21  
     

Total Return

        

Total investment return based on net asset value(c)

   (39.79 )%   (11.72 )%   13.66  %   12.10 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $7,033     $9,382     $1,769     $41  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .68  %(e)   .68  %   .71  %   .88 %

Expenses, before waivers/reimbursements(d)

   .90  %(e)   .80  %   .98  %   29.32 %

Net investment income(b)

   3.14  %(e)   3.01  %   1.94  %   1.14 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

See footnote summary on page 217.

 

164   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.52     $  12.37     $  11.16     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .10     .31     .08     .03  

Net realized and unrealized gain (loss) on investment transactions

   (4.23 )   (1.77 )   1.37     1.13  
     

Net increase (decrease) in net asset value from operations

   (4.13 )   (1.46 )   1.45     1.16  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.29 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.47 )   (.39 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.92     $  10.52     $  12.37     $  11.16  
     

Total Return

        

Total investment return based on net asset value(c)

   (39.93 )%   (12.16 )%   13.05  %   11.60 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $25,205     $33,421     $15,551     $502  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.18  %(e)   1.18  %   1.21  %   1.38 %

Expenses, before waivers/reimbursements(d)

   1.50  %(e)   1.46  %   1.77  %   9.73 %

Net investment income(b)

   2.63  %(e)   2.73  %   .69  %   .28 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   165

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.59     $  12.43     $  11.18     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .11     .35     .15     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.26 )   (1.79 )   1.33     1.09  
     

Net increase (decrease) in net asset value from operations

   (4.15 )   (1.44 )   1.48     1.18  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.19 )   (.30 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.40 )   (.23 )   – 0  –
     

Net asset value, end of period

   $  5.95     $  10.59     $  12.43     $  11.18  
     

Total Return

        

Total investment return based on net asset value(c)

   (39.85 )%   (11.94 )%   13.36  %   11.80 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $102,445     $137,794     $69,380     $4,303  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .93  %(e)   .93  %   .99  %   1.13 %

Expenses, before waivers/reimbursements(d)

   1.19  %(e)   1.16  %   1.40  %   7.64 %

Net investment income(b)

   2.85  %(e)   2.98  %   1.41  %   .96 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

 

See footnote summary on page 217.

 

166   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2020 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.63     $  12.47     $  11.21     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .12     .39     .19     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.27 )   (1.81 )   1.32     1.12  
     

Net increase (decrease) in net asset value from operations

   (4.15 )   (1.42 )   1.51     1.21  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.22 )   (.32 )   (.24 )   – 0  –

Distributions from net realized gain on investment transactions

   (.30 )   (.10 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.42 )   (.25 )   – 0  –
     

Net asset value, end of period

   $  5.96     $  10.63     $  12.47     $  11.21  
     

Total Return

        

Total investment return based on net asset value(c)

   (39.77 )%   (11.76 )%   13.61  %   12.10 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $20,185     $33,966     $29,077     $1,127  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .68  %(e)   .68  %   .70  %   .88 %

Expenses, before waivers/reimbursements(d)

   .84  %(e)   .83  %   1.08  %   8.67 %

Net investment income(b)

   3.20  %(e)   3.34  %   1.46  %   .98 %

Portfolio turnover rate

   5  %   4  %   16  %   5 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   167

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.79     $  12.82     $  11.44     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .08     .33     .25     .08  

Net realized and unrealized gain (loss) on investment transactions

   (4.53 )   (1.96 )   1.37     1.36  
     

Net increase (decrease) in net asset value from operations

   (4.45 )   (1.63 )   1.62     1.44  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.29 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.40 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.85     $  10.79     $  12.82     $  11.44  
     

Total Return

        

Total investment return based on net asset value(c)

   (41.89 )%   (13.13 )%   14.22  %   14.40 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $72,224     $102,304     $78,182     $7,332  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.00  %(e)   1.00  %   1.08  %   1.18 %

Expenses, before waivers/reimbursements(d)

   1.30  %(e)   1.17  %   1.41  %   8.73 %

Net investment income(b)

   2.27  %(e)   2.81  %   1.92  %   .79 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

168   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.65     $  12.67     $  11.35     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .26     .15     .01  

Net realized and unrealized gain (loss) on investment transactions

   (4.49 )   (1.95 )   1.36     1.34  
     

Net increase (decrease) in net asset value from operations

   (4.43 )   (1.69 )   1.51     1.35  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.10 )   (.22 )   (.18 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.42 )   (.33 )   (.19 )   – 0  –
     

Net asset value, end of period

   $  5.80     $  10.65     $  12.67     $  11.35  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.13 )%   (13.66 )%   13.36  %   13.50 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $1,022     $1,795     $1,596     $525  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.70  %(e)   1.70  %   1.78  %   1.88 %

Expenses, before waivers/reimbursements(d)

   2.06  %(e)   1.90  %   2.10  %   10.10 %

Net investment income(b)

   1.72  %(e)   2.16  %   1.17  %   .06 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   169

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.65     $  12.69     $  11.36     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .24     .12     .00 (g)

Net realized and unrealized gain (loss) on investment transactions

   (4.49 )   (1.95 )   1.40     1.36  
     

Net increase (decrease) in net asset value from operations

   (4.43 )   (1.71 )   1.52     1.36  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.10 )   (.22 )   (.18 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.42 )   (.33 )   (.19 )   – 0  –
     

Net asset value, end of period

   $  5.80     $  10.65     $  12.69     $  11.36  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.14 )%   (13.80 )%   13.44  %   13.60 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $1,989     $2,835     $1,821     $386  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.70  %(e)   1.70  %   1.76  %   1.88 %

Expenses, before waivers/reimbursements(d)

   2.05  %(e)   1.89  %   2.09  %   9.47 %

Net investment income(b)

   1.59  %(e)   2.00  %   .95  %   .04 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

170   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.85     $  12.88     $  11.47     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .10     .29     .27     .12  

Net realized and unrealized gain (loss) on investment transactions

   (4.56 )   (1.90 )   1.39     1.35  
     

Net increase (decrease) in net asset value from operations

   (4.46 )   (1.61 )   1.66     1.47  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.20 )   (.31 )   (.24 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.52 )   (.42 )   (.25 )   – 0  –
     

Net asset value, end of period

   $  5.87     $  10.85     $  12.88     $  11.47  
     

Total Return

        

Total investment return based on net asset value(c)

   (41.83 )%   (12.87 )%   14.55  %   14.70 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $5,329     $6,660     $684     $236  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .70  %(e)   .70  %   .77  %   .88 %

Expenses, before waivers/reimbursements(d)

   1.01  %(e)   .90  %   1.09  %   9.42 %

Net investment income(b)

   2.62  %(e)   2.51  %   2.12  %   1.09 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   171

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.77     $  12.81     $  11.41     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .08     .27     .07     .07  

Net realized and unrealized gain (loss) on investment transactions

   (4.53 )   (1.93 )   1.53     1.34  
     

Net increase (decrease) in net asset value from operations

   (4.45 )   (1.66 )   1.60     1.41  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.15 )   (.27 )   (.19 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.47 )   (.38 )   (.20 )   – 0  –
     

Net asset value, end of period

   $  5.85     $  10.77     $  12.81     $  11.41  
     

Total Return

        

Total investment return based on net asset value(c)

   (41.95 )%   (13.30 )%   14.07  %   14.10 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $19,995     $24,582     $10,812     $478  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.20  %(e)   1.20  %   1.23  %   1.38 %

Expenses, before waivers/reimbursements(d)

   1.58  %(e)   1.53  %   1.76  %   7.73 %

Net investment income(b)

   2.07  %(e)   2.35  %   .57  %   .69 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

172   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Class K  
   

Six Months

Ended

February 28,

2009

(unaudited)

     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.81     $  12.83     $  11.44     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .09     .33     .17     .10  

Net realized and unrealized gain (loss) on investment transactions

   (4.55 )   (1.95 )   1.45     1.34  
     

Net increase (decrease) in net asset value from operations

   (4.46 )   (1.62 )   1.62     1.44  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.29 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.49 )   (.40 )   (.23 )   – 0  –
     

Net asset value, end of period

   $  5.86     $  10.81     $  12.83     $  11.44  
     

Total Return

        

Total investment return based on net asset value(c)

   (41.95 )%   (13.02 )%   14.22  %   14.40 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $72,013     $111,995     $60,216     $6,981  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .95  %(e)   .95  %   1.01  %   1.13 %

Expenses, before waivers/reimbursements(d)

   1.27  %(e)   1.24  %   1.41  %   6.67 %

Net investment income(b)

   2.44  %(e)   2.79  %   1.44  %   .96 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   173

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2025 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.85     $  12.88     $  11.47     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .10     .38     .17     .07  

Net realized and unrealized gain (loss) on investment transactions

   (4.57 )   (1.99 )   1.49     1.40  
     

Net increase (decrease) in net asset value from operations

   (4.47 )   (1.61 )   1.66     1.47  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.19 )   (.31 )   (.24 )   – 0  –

Distributions from net realized gain on investment transactions

   (.32 )   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.51 )   (.42 )   (.25 )   – 0  –
     

Net asset value, end of period

   $  5.87     $  10.85     $  12.88     $  11.47  
     

Total Return

        

Total investment return based on net asset value(c)

   (41.84 )%   (12.88 )%   14.60  %   14.70 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $14,653     $24,079     $19,306     $639  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .70  %(e)   .70  %   .72  %   .88 %

Expenses, before waivers/reimbursements(d)

   .94  %(e)   .90  %   1.08  %   7.62 %

Net investment income(b)

   2.67  %(e)   3.15  %   1.27  %   .79 %

Portfolio turnover rate

   5  %   3  %   11  %   6 %

See footnote summary on page 217.

 

174   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.69     $  12.70     $  11.24     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .30     .19     .03  

Net realized and unrealized gain (loss) on investment transactions

   (4.56 )   (2.00 )   1.50     1.21  
     

Net increase (decrease) in net asset value from operations

   (4.49 )   (1.70 )   1.69     1.24  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.14 )   (.24 )   (.21 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.31 )   (.23 )   – 0  –
     

Net asset value, end of period

   $  5.77     $  10.69     $  12.70     $  11.24  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.59 )%   (13.67 )%   15.08  %   12.40 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $56,920     $73,959     $47,575     $4,240  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.02  %   1.09  %   1.19 %(f)

Expenses, before waivers/reimbursements(d)

   1.36  %(e)   1.23  %   1.72  %   13.11 %(f)

Net investment income(b)

   1.95  %(e)   2.53  %   1.54  %   .35 %

Portfolio turnover rate

   3  %   4  %   6  %   7 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   175

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.55     $  12.56     $  11.14     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .05     .22     .11     (.01 )

Net realized and unrealized gain (loss) on investment transactions

   (4.51 )   (1.98 )   1.49     1.15  
     

Net increase (decrease) in net asset value from operations

   (4.46 )   (1.76 )   1.60     1.14  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.08 )   (.18 )   (.16 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.37 )   (.25 )   (.18 )   – 0  –
     

Net asset value, end of period

   $  5.72     $  10.55     $  12.56     $  11.14  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.79 )%   (14.29 )%   14.35  %   11.40  %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $997     $1,944     $1,580     $374  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.78  %   1.89  %(f)

Expenses, before waivers/reimbursements(d)

   2.11  %(e)   1.96  %   2.38  %   16.08  %(f)

Net investment income (loss)(b)

   1.41  %(e)   1.87  %   .89  %   (.14 )%

Portfolio turnover rate

   3  %   4  %   6  %   7  %

See footnote summary on page 217.

 

176   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.56     $  12.58     $  11.15     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .05     .20     .03     (.03 )

Net realized and unrealized gain (loss) on investment transactions

   (4.52 )   (1.97 )   1.58     1.18  
     

Net increase (decrease) in net asset value from operations

   (4.47 )   (1.77 )   1.61     1.15  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.08 )   (.18 )   (.16 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.37 )   (.25 )   (.18 )   – 0  –
     

Net asset value, end of period

   $  5.72     $  10.56     $  12.58     $  11.15  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.85 ) %   (14.34 )%   14.42  %   11.50  %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $2,601     $3,480     $2,217     $230  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.76  %   1.89  %(f)

Expenses, before waivers/reimbursements(d)

   2.10  %(e)   1.95  %   2.26  %   15.16  %(f)

Net investment income (loss)(b)

   1.26  %(e)   1.72  %   .26  %   (.26 )%

Portfolio turnover rate

   3  %   4  %   6  %   7  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   177

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.76     $  12.76     $  11.26     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .08     .24     .27     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.58 )   (1.90 )   1.47     1.17  
     

Net increase (decrease) in net asset value from operations

   (4.50 )   (1.66 )   1.74     1.26  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.27 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.46 )   (.34 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.80     $  10.76     $  12.76     $  11.26  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.49 )%   (13.36 )%   15.53  %   12.60 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $4,375     $5,209     $480     $31  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .80  %   .89 %(f)

Expenses, before waivers/reimbursements(d)

   1.07  %(e)   .94  %   1.48  %   22.50 %(f)

Net investment income(b)

   2.25  %(e)   2.10  %   2.06  %   .88 %

Portfolio turnover rate

   3  %   4  %   6  %   7 %

See footnote summary on page 217.

 

178   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.66     $  12.69     $  11.24     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .06     .26     .06     (.01 )

Net realized and unrealized gain (loss) on investment transactions

   (4.54 )   (1.98 )   1.61     1.25  
     

Net increase (decrease) in net asset value from operations

   (4.48 )   (1.72 )   1.67     1.24  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.12 )   (.24 )   (.20 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.41 )   (.31 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  5.77     $  10.66     $  12.69     $  11.24  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.61 )%   (13.87 )%   14.88  %   12.40  %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $21,922     $26,546     $9,026     $636  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.22  %(e)   1.22  %   1.26  %   1.39  %(f)

Expenses, before waivers/reimbursements(d)

   1.61  %(e)   1.57  %   2.00  %   13.25  %(f)

Net investment income (loss)(b)

   1.74  %(e)   2.19  %   .54  %   (.10 )%

Portfolio turnover rate

   3  %   4  %   6  %   7  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   179

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.70     $  12.71     $  11.24     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .29     .12     .04  

Net realized and unrealized gain (loss) on investment transactions

   (4.56 )   (1.98 )   1.59     1.20  
     

Net increase (decrease) in net asset value from operations

   (4.49 )   (1.69 )   1.71     1.24  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.14 )   (.25 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.32 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.78     $  10.70     $  12.71     $  11.24  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.59 )%   (13.64 )%   15.24  %   12.40 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $66,087     $88,751     $42,433     $2,800  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .97  %(e)   .97  %   1.02  %   1.14 %(f)

Expenses, before waivers/reimbursements(d)

   1.30  %(e)   1.28  %   1.60  %   10.94 %(f)

Net investment income(b)

   2.00  %(e)   2.47  %   1.07  %   .43 %

Portfolio turnover rate

   3  %   4  %   6  %   7 %

See footnote summary on page 217.

 

180   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2030 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.74     $  12.75     $  11.26     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .09     .32     .14     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.58 )   (1.99 )   1.60     1.17  
     

Net increase (decrease) in net asset value from operations

   (4.49 )   (1.67 )   1.74     1.26  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.17 )   (.27 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.29 )   (.07 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.46 )   (.34 )   (.25 )   – 0  –
     

Net asset value, end of period

   $  5.79     $  10.74     $  12.75     $  11.26  
     

Total Return

        

Total investment return based on net asset value(c)

   (42.48 )%   (13.46 )%   15.54  %   12.60 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $10,705     $16,718     $13,213     $755  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .75  %   .89 %(f)

Expenses, before waivers/reimbursements(d)

   .95  %(e)   .95  %   1.26  %   14.42 %(f)

Net investment income(b)

   2.32  %(e)   2.72  %   1.08  %   .88 %

Portfolio turnover rate

   3  %   4  %   6  %   7 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   181

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.71     $  12.78     $  11.30     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .27     .19     .03  

Net realized and unrealized gain (loss) on investment transactions

   (4.63 )   (2.02 )   1.50     1.27  
     

Net increase (decrease) in net asset value from operations

   (4.57 )   (1.75 )   1.69     1.30  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.12 )   (.24 )   (.20 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.40 )   (.32 )   (.21 )   – 0  –
     

Net asset value, end of period

   $  5.74     $  10.71     $  12.78     $  11.30  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.24 )%   (14.02 )%   15.09  %   13.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $39,677     $52,620     $34,491     $3,290  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.02  %   1.09  %   1.20 %(f)

Expenses, before waivers/reimbursements(d)

   1.48  %(e)   1.36  %   1.96  %   17.78 %(f)

Net investment income(b)

   1.60  %(e)   2.31  %   1.48  %   .35 %

Portfolio turnover rate

   2  %   4  %   5  %   10 %

See footnote summary on page 217.

 

182   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.59     $  12.65     $  11.22     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .04     .19     .10     (.05 )

Net realized and unrealized gain (loss) on investment transactions

   (4.58 )   (2.01 )   1.49     1.27  
     

Net increase (decrease) in net asset value from operations

   (4.54 )   (1.82 )   1.59     1.22  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.06 )   (.16 )   (.15 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.34 )   (.24 )   (.16 )   – 0  –
     

Net asset value, end of period

   $  5.71     $  10.59     $  12.65     $  11.22  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.40 )%   (14.64 )%   14.27  %   12.20  %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $725     $1,296     $1,051     $350  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.78  %   1.90  %(f)

Expenses, before waivers/reimbursements(d)

   2.22  %(e)   2.08  %   2.65  %   20.23  %(f)

Net investment income (loss)(b)

   1.08  %(e)   1.58  %   .79  %   (.47 )%

Portfolio turnover rate

   2  %   4  %   5  %   10  %

 

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   183

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.59     $  12.65     $  11.21     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .04     .17     .08     (.04 )

Net realized and unrealized gain (loss) on investment transactions

   (4.58 )   (1.99 )   1.52     1.25  
     

Net increase (decrease) in net asset value from operations

   (4.54 )   (1.82 )   1.60     1.21  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.06 )   (.16 )   (.15 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.34 )   (.24 )   (.16 )   – 0  –
     

Net asset value, end of period

   $  5.71     $  10.59     $  12.65     $  11.21  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.40 )%   (14.64 )%   14.37  %   12.10  %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $1,299     $1,984     $1,196     $398  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.78  %   1.90  %(f)

Expenses, before waivers/reimbursements(d)

   2.21  %(e)   2.08  %   2.63  %   19.62  %(f)

Net investment income (loss)(b)

   1.02  %(e)   1.48  %   .61  %   (.38 )%

Portfolio turnover rate

   2  %   4  %   5  %   10  %

See footnote summary on page 217.

 

184   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Advisor Class  
   

Six Months
Ended
February 28,

2009
(unaudited)

     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.77     $  12.84     $  11.32     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .26     .22     .05  

Net realized and unrealized gain (loss) on investment transactions

   (4.65 )   (1.98 )   1.52     1.27  
     

Net increase (decrease) in net asset value from operations

   (4.58 )   (1.72 )   1.74     1.32  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.14 )   (.27 )   (.21 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.42 )   (.35 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  5.77     $  10.77     $  12.84     $  11.32  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.09 )%   (13.77 )%   15.54  %   13.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $3,076     $3,410     $942     $228  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .78  %   .90 %(f)

Expenses, before waivers/reimbursements(d)

   1.18  %(e)   1.08  %   1.63  %   19.84 %(f)

Net investment income(b)

   1.90  %(e)   2.21  %   1.68  %   .54 %

Portfolio turnover rate

   2  %   4  %   5  %   10 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   185

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.64     $  12.72     $  11.26     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .05     .19     .07     (.02 )

Net realized and unrealized gain (loss) on investment transactions

   (4.59 )   (1.96 )   1.59     1.28  
     

Net increase (decrease) in net asset value from operations

   (4.54 )   (1.77 )   1.66     1.26  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.11 )   (.23 )   (.19 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.39 )   (.31 )   (.20 )   – 0  –
     

Net asset value, end of period

   $  5.71     $  10.64     $  12.72     $  11.26  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.25 )%   (14.23 )%   14.86  %   12.60  %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $13,090     $15,155     $4,446     $587  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.22  %(e)   1.22  %   1.27  %   1.40  %(f)

Expenses, before waivers/reimbursements(d)

   1.72  %(e)   1.67  %   2.27  %   17.88  %(f)

Net investment income (loss)(b)

   1.41  %(e)   1.71  %   .56  %   (.25 )%

Portfolio turnover rate

   2  %   4  %   5  %   10  %

See footnote summary on page 217.

 

186   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.70     $  12.78     $  11.30     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .27     .09     .03  

Net realized and unrealized gain (loss) on investment transactions

   (4.62 )   (2.02 )   1.61     1.27  
     

Net increase (decrease) in net asset value from operations

   (4.56 )   (1.75 )   1.70     1.30  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.12 )   (.25 )   (.21 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.40 )   (.33 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  5.74     $  10.70     $  12.78     $  11.30  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.21 )%   (14.03 )%   15.16  %   13.00 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $41,065     $59,621     $27,908     $1,511  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .97  %(e)   .97  %   1.02  %   1.15 %(f)

Expenses, before waivers/reimbursements(d)

   1.41  %(e)   1.37  %   1.75  %   18.95 %(f)

Net investment income(b)

   1.71  %(e)   2.29  %   .86  %   .28 %

Portfolio turnover rate

   2  %   4  %   5  %   10 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   187

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2035 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.75     $  12.83     $  11.32     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .32     .11     .05  

Net realized and unrealized gain (loss) on investment transactions

   (4.63 )   (2.05 )   1.64     1.27  
     

Net increase (decrease) in net asset value from operations

   (4.56 )   (1.73 )   1.75     1.32  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.15 )   (.27 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.28 )   (.08 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.43 )   (.35 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.76     $  10.75     $  12.83     $  11.32  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.07 )%   (13.83 )%   15.56  %   13.20 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $7,624     $11,536     $8,530     $539  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .74  %   .90 %(f)

Expenses, before waivers/reimbursements(d)

   1.06  %(e)   1.03  %   1.43  %   16.65 %(f)

Net investment income(b)

   2.00  %(e)   2.62  %   .81  %   .54 %

Portfolio turnover rate

   2  %   4  %   5  %   10 %

See footnote summary on page 217.

 

188   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Class A  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.86     $  12.89     $  11.38     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .25     .17     .02  

Net realized and unrealized gain (loss) on investment transactions

   (4.68 )   (2.00 )   1.57     1.36  
     

Net increase (decrease) in net asset value from operations

   (4.62 )   (1.75 )   1.74     1.38  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.12 )   (.23 )   (.21 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.37 )   (.28 )   (.23 )   – 0  –
     

Net asset value, end of period

   $  5.87     $  10.86     $  12.89     $  11.38  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.08 )%   (13.89 )%   15.32 %   13.80 %

Ratios/Supplemental Data

        

Net assets, end of period
(000’s omitted)

   $37,092     $44,222     $19,340     $1,764  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.02  %   1.10  %(f)   1.21 %(f)

Expenses, before waivers/reimbursements(d)

   1.60  %(e)   1.49  %   2.94  %(f)   32.68 %(f)

Net investment income(b)

   1.62  %(e)   2.12  %   1.32  %   .20 %

Portfolio turnover rate

   2  %   6  %   7  %   20 %

 

 

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   189

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.75     $  12.78     $  11.31     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .04     .20     .11     (.05 )

Net realized and unrealized gain (loss) on investment transactions

   (4.65 )   (2.03 )   1.52     1.36  
     

Net increase (decrease) in net asset value from operations

   (4.61 )   (1.83 )   1.63     1.31  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.06 )   (.15 )   (.14 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.31 )   (.20 )   (.16 )   – 0  –
     

Net asset value, end of period

   $  5.83     $  10.75     $  12.78     $  11.31  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.30 )%   (14.50 )%   14.48  %   13.10  %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $663     $1,093     $925     $530  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.82  %(f)   1.91  %(f)

Expenses, before waivers/reimbursements(d)

   2.34  %(e)   2.21  %   4.15  %(f)   35.10  %(f)

Net investment income (loss)(b)

   1.03  %(e)   1.69  %   .91  %   (.50 )%

Portfolio turnover rate

   2  %   6  %   7  %   20  %

See footnote summary on page 217.

 

190   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.75     $  12.78     $  11.31     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .03     .15     .08     (.03 )

Net realized and unrealized gain (loss) on investment transactions

   (4.64 )   (1.98 )   1.55     1.34  
     

Net increase (decrease) in net asset value from operations

   (4.61 )   (1.83 )   1.63     1.31  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.06 )   (.15 )   (.14 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.31 )   (.20 )   (.16 )   – 0  –
     

Net asset value, end of period

   $  5.83     $  10.75     $  12.78     $  11.31  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.30 )%   (14.50 )%   14.48  %   13.10  %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $1,388     $1,561     $563     $155  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.80  %(f)   1.91  %(f)

Expenses, before waivers/reimbursements(d)

   2.37  %(e)   2.22  %   3.94  %(f)   42.81  %(f)

Net investment income (loss)(b)

   .93  %(e)   1.30  %   .63  %   (.32 )%

Portfolio turnover rate

   2  %   6  %   7  %   20  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   191

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.93     $  12.95     $  11.42     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .21     .31     .10  

Net realized and unrealized gain (loss) on investment transactions

   (4.71 )   (1.93 )   1.46     1.32  
     

Net increase (decrease) in net asset value from operations

   (4.64 )   (1.72 )   1.77     1.42  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.14 )   (.25 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.39 )   (.30 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.90     $  10.93     $  12.95     $  11.42  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.01 )%   (13.61 )%   15.56  %   14.20 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $2,869     $3,254     $242     $74  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .81  %(f)   .91 %(f)

Expenses, before waivers/reimbursements(d)

   1.31  %(e)   1.20  %   3.06  %(f)   55.18 %(f)

Net investment income(b)

   1.88  %(e)   1.81  %   2.37  %   .97 %

Portfolio turnover rate

   2  %   6  %   7  %   20 %

See footnote summary on page 217.

 

192   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.79     $  12.84     $  11.37     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .05     .25     .00 (g)   .01  

Net realized and unrealized gain (loss) on investment transactions

   (4.66 )   (2.02 )   1.71     1.36  
     

Net increase (decrease) in net asset value from operations

   (4.61 )   (1.77 )   1.71     1.37  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.09 )   (.23 )   (.22 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.34 )   (.28 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.84     $  10.79     $  12.84     $  11.37  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.18 )%   (14.09 )%   15.08  %   13.70 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $13,015     $14,496     $5,335     $177  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.22  %(e)   1.22  %   1.26  %(f)   1.41 %(f)

Expenses, before waivers/reimbursements(d)

   1.79  %(e)   1.76  %   3.07  %(f)   36.08 %(f)

Net investment income(b)

   1.36  %(e)   2.06  %   .01  %   .06 %

Portfolio turnover rate

   2  %   6  %   7  %   20 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   193

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.85     $  12.88     $  11.40     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .27     .09     .05  

Net realized and unrealized gain (loss) on investment transactions

   (4.68 )   (2.01 )   1.66     1.35  
     

Net increase (decrease) in net asset value from operations

   (4.62 )   (1.74 )   1.75     1.40  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.12 )   (.24 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.37 )   (.29 )   (.27 )   – 0  –
     

Net asset value, end of period

   $  5.86     $  10.85     $  12.88     $  11.40  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.15 )%   (13.83 )%   15.40  %   14.00 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $30,258     $36,392     $16,181     $501  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .97  %(e)   .97  %   1.03  %(f)   1.16 %(f)

Expenses, before waivers/reimbursements(d)

   1.48  %(e)   1.47  %   2.46  %(f)   33.28 %(f)

Net investment income(b)

   1.60  %(e)   2.27  %   .85  %   .53 %

Portfolio turnover rate

   2  %   6  %   7  %   20 %

See footnote summary on page 217.

 

194   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2040 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.90     $  12.92     $  11.42     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .31     .11     .05  

Net realized and unrealized gain (loss) on investment transactions

   (4.70 )   (2.03 )   1.67     1.37  
     

Net increase (decrease) in net asset value from operations

   (4.63 )   (1.72 )   1.78     1.42  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.14 )   (.25 )   (.26 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.05 )   (.02 )   – 0  –
     

Total dividends and distributions

   (.39 )   (.30 )   (.28 )   – 0  –
     

Net asset value, end of period

   $  5.88     $  10.90     $  12.92     $  11.42  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.01 )%   (13.60 )%   15.67  %   14.20 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $6,750     $9,682     $6,087     $272  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .76  %(f)   .91 %(f)

Expenses, before waivers/reimbursements(d)

   1.12  %(e)   1.14  %   1.92  %(f)   29.45 %(f)

Net investment income(b)

   1.96  %(e)   2.59  %   .86  %   .48 %

Portfolio turnover rate

   2  %   6  %   7  %   20 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   195

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Class A  
   

Six Months
Ended
February 28,

2009
(unaudited)

     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.76     $  12.90     $  11.42     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .26     .19     .04  

Net realized and unrealized gain (loss) on investment transactions

   (4.66 )   (2.03 )   1.49     1.38  
     

Net increase (decrease) in net asset value from operations

   (4.60 )   (1.77 )   1.68     1.42  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.11 )   (.23 )   (.19 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.36 )   (.37 )   (.20 )   – 0  –
     

Net asset value, end of period

   $  5.80     $  10.76     $  12.90     $  11.42  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.26 )%   (14.12 )%   14.85  %   14.20 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $23,177     $31,511     $18,710     $1,057  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.02  %   1.11  %(f)   1.23 %(f)

Expenses, before waivers/reimbursements(d)

   1.88  %(e)   1.82  %   2.91  %(f)   44.80 %(f)

Net investment income(b)

   1.63  %(e)   2.23  %   1.49  %   .44 %

Portfolio turnover rate

   3  %   5  %   13  %   13 %

See footnote summary on page 217.

 

196   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.64     $  12.76     $  11.34     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .03     .21     .10     (.03 )

Net realized and unrealized gain (loss) on investment transactions

   (4.61 )   (2.03 )   1.47     1.37  
     

Net increase (decrease) in net asset value from operations

   (4.58 )   (1.82 )   1.57     1.34  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.07 )   (.16 )   (.14 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.32 )   (.30 )   (.15 )   – 0  –
     

Net asset value, end of period

   $  5.74     $  10.64     $  12.76     $  11.34  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.52 )%   (14.60 )%   13.96  %   13.40  %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $213     $314     $319     $140  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.81  %(f)   1.93  %(f)

Expenses, before waivers/reimbursements(d)

   2.69  %(e)   2.54  %   3.97  %(f)   54.54  %(f)

Net investment income (loss)(b)

   .90  %(e)   1.73  %   .77  %   (.28 )%

Portfolio turnover rate

   3  %   5  %   13  %   13  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   197

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.63     $  12.76     $  11.34     $  10.00  
     

Income From Investment Operations

        

Net investment income (loss)(a)(b)

   .03     .16     .11     (.07 )

Net realized and unrealized gain (loss) on investment transactions

   (4.61 )   (1.99 )   1.46     1.41  
     

Net increase (decrease) in net asset value from operations

   (4.58 )   (1.83 )   1.57     1.34  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.07 )   (.16 )   (.14 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.32 )   (.30 )   (.15 )   – 0  –
     

Net asset value, end of period

   $  5.73     $  10.63     $  12.76     $  11.34  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.57 )%   (14.68 )%   13.96  %   13.40  %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $860     $993     $344     $129  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.81  %(f)   1.93  %(f)

Expenses, before waivers/reimbursements(d)

   2.63  %(e)   2.55  %   4.04  %(f)   66.89  %(f)

Net investment income (loss)(b)

   .85  %(e)   1.35  %   .91  %   (.73 )%

Portfolio turnover rate

   3  %   5  %   13  %   13  %

See footnote summary on page 217.

 

198   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.83     $  12.95     $  11.45     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .25     .24     .09  

Net realized and unrealized gain (loss) on investment transactions

   (4.69 )   (1.98 )   1.47     1.36  
     

Net increase (decrease) in net asset value from operations

   (4.62 )   (1.73 )   1.71     1.45  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.14 )   (.25 )   (.20 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.39 )   (.39 )   (.21 )   – 0  –
     

Net asset value, end of period

   $  5.82     $  10.83     $  12.95     $  11.45  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.26 )%   (13.74 )%   15.08  %   14.50 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $2,195     $2,046     $596     $245  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .80  %(f)   .93 %(f)

Expenses, before waivers/reimbursements(d)

   1.59  %(e)   1.52  %   3.13  %(f)   52.18 %(f)

Net investment income(b)

   1.86  %(e)   2.19  %   1.85  %   .85 %

Portfolio turnover rate

   3  %   5  %   13  %   13 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   199

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Class R  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.70     $  12.84     $  11.40     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .05     .20     .05     .02  

Net realized and unrealized gain (loss) on investment transactions

   (4.63 )   (1.98 )   1.59     1.38  
     

Net increase (decrease) in net asset value from operations

   (4.58 )   (1.78 )   1.64     1.40  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.11 )   (.22 )   (.19 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.36 )   (.36 )   (.20 )   – 0  –
     

Net asset value, end of period

   $  5.76     $  10.70     $  12.84     $  11.40  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.35 )%   (14.22 )%   14.50  %   14.00 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $7,268     $7,636     $2,620     $210  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   1.22  %(e)   1.22  %   1.27  %(f)   1.43 %(f)

Expenses, before waivers/reimbursements(d)

   2.06  %(e)   2.01  %   3.18  %(f)   45.90 %(f)

Net investment income(b)

   1.36  %(e)   1.72  %   .40  %   .17 %

Portfolio turnover rate

   3  %   5  %   13  %   13 %

See footnote summary on page 217.

 

200   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended August 31,  
      2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.74     $  12.88     $  11.43     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .06     .27     .11     .04  

Net realized and unrealized gain (loss) on investment transactions

   (4.65 )   (2.03 )   1.56     1.39  
     

Net increase (decrease) in net asset value from operations

   (4.59 )   (1.76 )   1.67     1.43  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.12 )   (.24 )   (.21 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.37 )   (.38 )   (.22 )   – 0  –
     

Net asset value, end of period

   $  5.78     $  10.74     $  12.88     $  11.43  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.27 )%   (14.03 )%   14.76  %   14.30 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $15,134     $19,539     $9,458     $484  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .97  %(e)   .97  %   1.04  %(f)   1.18 %(f)

Expenses, before waivers/reimbursements(d)

   1.75  %(e)   1.72  %   2.62  %(f)   44.54 %(f)

Net investment income(b)

   1.64  %(e)   2.29  %   1.04  %   .43 %

Portfolio turnover rate

   3  %   5  %   13  %   13 %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   201

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2045 Retirement Strategy  
    Class I  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended August 31,  
    2008     2007     2006  
     
       

Net asset value, beginning of period

   $  10.78     $  12.92     $  11.45     $  10.00  
     

Income From Investment Operations

        

Net investment income(a)(b)

   .07     .30     .12     .04  

Net realized and unrealized gain (loss) on investment transactions

   (4.66 )   (2.04 )   1.59     1.41  
     

Net increase (decrease) in net asset value from operations

   (4.59 )   (1.74 )   1.71     1.45  
     

Less: Dividends and Distributions

        

Dividends from net investment income

   (.15 )   (.26 )   (.23 )   – 0  –

Distributions from net realized gain on investment transactions

   (.25 )   (.14 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.40 )   (.40 )   (.24 )   – 0  –
     

Net asset value, end of period

   $  5.79     $  10.78     $  12.92     $  11.45  
     

Total Return

        

Total investment return based on net asset value(c)

   (43.18 )%   (13.85 )%   15.08  %   14.50 %

Ratios/Supplemental Data

        

Net assets, end of period (000’s omitted)

   $3,904     $4,439     $2,213     $97  

Ratio to average net assets of:

        

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .75  %(f)   .93 %(f)

Expenses, before waivers/reimbursements(d)

   1.40  %(e)   1.37  %   2.13  %(f)   52.64 %(f)

Net investment income(b)

   1.91  %(e)   2.48  %   .78  %   .39 %

Portfolio turnover rate

   3  %   5  %   13  %   13 %

See footnote summary on page 217.

 

202   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Class A  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.59     $  9.86     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .04     .15 (i)   (.02 )

Net realized and unrealized loss on investment transactions

   (3.61 )   (1.27 )   (.12 )
     

Net decrease in net asset value from operations

   (3.57 )   (1.12 )   (.14 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.03 )   (.14 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.14 )   (.15 )   – 0  –
     

Net asset value, end of period

   $  4.88     $  8.59     $  9.86  
     

Total Return

      

Total investment return based on net asset value(c)

   (41.78 )%   (11.53 )%   (1.40 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $1,451     $795     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.02  %   1.09  %(e)(f)

Expenses, before waivers/reimbursements(d)

   10.22  %(e)   54.01  %   649.75  %(e)(f)

Net investment income (loss)(b)

   1.51  %(e)   1.66  %(i)   (1.02 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   203

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Class B  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.56     $  9.85     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .03     .11 (i)   (.03 )

Net realized and unrealized loss on investment transactions

   (3.62 )   (1.29 )   (.12 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.18 )   (.15 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.01 )   (.10 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.12 )   (.11 )   – 0  –
     

Net asset value, end of period

   $  4.85     $  8.56     $  9.85  
     

Total Return

      

Total investment return based on net asset
value(c)

   (42.10 )%   (12.11 )%   (1.50 ) %

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $20     $32     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.79  %(e)(f)

Expenses, before waivers/reimbursements(d)

   11.25  %(e)   71.00  %   649.78  %(e)(f)

Net investment income (loss)(b)

   .99  %(e)   1.27  %(i)   (1.72 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

 

 

 

See footnote summary on page 217.

 

204   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.56     $  9.85     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .02     .08 (i)   (.03 )

Net realized and unrealized loss on investment transactions

   (3.60 )   (1.26 )   (.12 )
     

Net decrease in net asset value from operations

   (3.58 )   (1.18 )   (.15 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.01 )   (.10 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.12 )   (.11 )   – 0  –
     

Net asset value, end of period

   $  4.86     $  8.56     $  9.85  
     

Total Return

      

Total investment return based on net asset value(c)

   (41.98 )%   (12.11 )%   (1.50 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $57     $52     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.72  %   1.79  %(e)(f)

Expenses, before waivers/reimbursements(d)

   11.02  %(e)   61.58  %   649.72  %(e)(f)

Net investment income (loss)(b)

   .82  %(e)   .94  %(i)   (1.72 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   205

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.62     $  9.87     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .05     .14     (.01 )

Net realized and unrealized loss on investment transactions

   (3.63 )   (1.23 )   (.12 )
     

Net decrease in net asset value from operations

   (3.58 )   (1.09 )   (.13 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.04 )   (.15 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.15 )   (.16 )   – 0  –
     

Net asset value, end of period

   $  4.89     $  8.62     $  9.87  
     

Total Return

      

Total investment return based on net asset value(c)

   (41.83 )%   (11.25 )%   (1.30 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $476     $305     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .79  %(e)(f)

Expenses, before waivers/reimbursements(d)

   9.87  %(e)   41.52  %   648.81  %(e)(f)

Net investment income (loss)(b)

   1.64  %(e)   1.64  %   (.72 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

See footnote summary on page 217.

 

206   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.60     $  9.86     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .03     (.03 )(i)   (.02 )

Net realized and unrealized loss on investment transactions

   (3.61 )   (1.10 )   (.12 )
     

Net decrease in net asset value from operations

   (3.58 )   (1.13 )   (.14 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.02 )   (.12 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.13 )   (.13 )   – 0  –
     

Net asset value, end of period

   $  4.89     $  8.60     $  9.86  
     

Total Return

      

Total investment return based on net asset value(c)

   (41.87 )%   (11.67 )%   (1.40 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $663     $258     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.22  %(e)   1.22  %   1.29  %(e)(f)

Expenses, before waivers/reimbursements(d)

   9.22  %(e)   23.00  %   596.22  %(e)(f)

Net investment income (loss)(b)

   .89  %(e)   (.12 )%(i)   (1.22 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   207

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Class K  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,		  
        2007  
     
     

Net asset value, beginning of period

   $  8.61     $  9.86     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .02     .08 (i)   (.02 )

Net realized and unrealized loss on investment transactions

   (3.60 )   (1.18 )   (.12 )
     

Net decrease in net asset value from operations

   (3.58 )   (1.10 )   (.14 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.03 )   (.14 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.14 )   (.15 )   – 0  –
     

Net asset value, end of period

   $  4.89     $  8.61     $  9.86  
     

Total Return

      

Total investment return based on net asset value(c)

   (41.82 )%   (11.32 )%   (1.40 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $2,078     $758     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   .97  %(e)   .97  %   1.04  %(e)(f)

Expenses, before waivers/reimbursements(d)

   8.92  %(e)   30.40  %   595.99  %(e)(f)

Net investment income (loss)(b)

   .76  %(e)   .95  %(i)   (.97 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

See footnote summary on page 217.

 

208   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2050 Retirement Strategy  
    Class I  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.61     $  9.87     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .05     .14     (.01 )

Net realized and unrealized loss on investment transactions

   (3.63 )   (1.24 )   (.12 )
     

Net decrease in net asset value from operations

   (3.58 )   (1.10 )   (.13 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.03 )   (.15 )   – 0  –

Distributions from net realized gain on investment transactions

   (.11 )   (.01 )   – 0  –
     

Total dividends and distributions

   (.14 )   (.16 )   – 0  –
     

Net asset value, end of period

   $  4.89     $  8.61     $  9.87  
     

Total Return

      

Total investment return based on net asset
value(c)

   (41.78 )%   (11.35 )%   (1.30 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $314     $216     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .79  %(e)(f)

Expenses, before waivers/reimbursements(d)

   8.93  %(e)   41.80  %   595.86  %(e)(f)

Net investment income (loss)(b)

   1.64  %(e)   1.51  %   (.72 )%(e)

Portfolio turnover rate

   61  %   893  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   209

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Class A  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended
August 31,
2008		    

June 29,
2007(h) to
August 31,

2007

  
       
     
     

Net asset value, beginning of period

   $  8.38     $  9.85     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .03     .13 (i)   (.02 )

Net realized and unrealized loss on investment transactions

   (3.62 )   (1.20 )   (.13 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.07 )   (.15 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   – 0  –   (.27 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.04 )   (.40 )   – 0  –
     

Net asset value, end of period

   $  4.75     $  8.38     $  9.85  
     

Total Return

      

Total investment return based on net asset value(c)

   (42.92 )%   (11.40 )%   (1.50 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $373     $343     $12  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.02  %(e)   1.04  %(f)   1.03  %(e)(f)

Expenses, before waivers/reimbursements(d)

   27.57  %(e)   98.75  %(f)   643.42  %(e)(f)

Net investment income (loss)(b)

   .94  %(e)   1.45  %(i)   (1.02 )%(e)

Portfolio turnover rate

   86  %   42  %   8  %

See footnote summary on page 217.

 

210   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Class B  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended
August 31,
2008		    

June29,
2007(h) to
August 31,

2007

  
                 
     

Net asset value, beginning of period

   $  8.34     $  9.84     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .03     .15 (i)   (.03 )

Net realized and unrealized loss on investment transactions

   (3.62 )   (1.28 )   (.13 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.13 )   (.16 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   – 0  –   (.24 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.04 )   (.37 )   – 0  –
     

Net asset value, end of period

   $  4.71     $  8.34     $  9.84  
     

Total Return

      

Total investment return based on net asset
value(c)

   (43.13 )%   (11.93 )%   (1.60 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $11     $13     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.74  %(f)   1.73  %(e)(f)

Expenses, before waivers/reimbursements(d)

   30.06  %(e)   189.38  %(f)   638.66  %(e)(f)

Net investment income (loss)(b)

   .88  %(e)   1.61  %(i)   (1.72 ) %(e)

Portfolio turnover rate

   86  %   42  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   211

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Class C  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.34     $  9.84     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .03     .16 (i)   (.03 )

Net realized and unrealized loss on investment transactions

   (3.62 )   (1.29 )   (.13 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.13 )   (.16 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   – 0  –   (.24 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.04 )   (.37 )   – 0  –
     

Net asset value, end of period

   $  4.71     $  8.34     $  9.84  
     

Total Return

      

Total investment return based on net asset value(c)

   (43.13 )%   (11.93 )%   (1.60 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $26     $37     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.72  %(e)   1.74  %(f)   1.73  %(e)(f)

Expenses, before waivers/reimbursements(d)

   29.85  %(e)   190.03  %(f)   638.66  %(e)(f)

Net investment income (loss)(b)

   .94  %(e)   1.74  %(i)   (1.72 )%(e)

Portfolio turnover rate

   86  %   42  %   8  %

See footnote summary on page 217.

 

212   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Advisor Class  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.41     $  9.86     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .05     .18     (.01 )

Net realized and unrealized loss on investment transactions

   (3.65 )   (1.22 )   (.13 )
     

Net decrease in net asset value from operations

   (3.60 )   (1.04 )   (.14 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   – 0  –   (.28 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.04 )   (.41 )   – 0  –
     

Net asset value, end of period

   $  4.77     $  8.41     $  9.86  
     

Total Return

      

Total investment return based on net asset value(c)

   (42.89 )%   (11.09 )%   (1.40 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $114     $50     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .74  %(f)   .73  %(e)(f)

Expenses, before waivers/reimbursements(d)

   29.65  %(e)   127.65  %(f)   637.93  %(e)(f)

Net investment income (loss)(b)

   1.64  %(e)   2.04  %   (.72 )%(e)

Portfolio turnover rate

   86  %   42  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   213

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Class R  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.38     $9.85     $  10.00  
     
Income From Investment Operations      

Net investment income (loss)(a)(b)

   .05     .04 (i)   (.02 )

Net realized and unrealized loss on investment transactions

   (3.64 )   (1.13 )   (.13 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.09 )   (.15 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.05 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.09 )   (.38 )   – 0  –
     

Net asset value, end of period

   $  4.70     $  8.38     $  9.85  
     

Total Return

      

Total investment return based on net asset value(c)

   (43.04 )%   (11.55 )%   (1.50 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $100     $242     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   1.22  %(e)   1.22  %   1.23  %(e)(f)

Expenses, before waivers/reimbursements(d)

   25.51  %(e)   89.30  %   586.71  %(e)(f)

Net investment income (loss)(b)

   1.52  %(e)   .51  %(i)   (1.22 )%(e)

Portfolio turnover rate

   86  %   42  %   8  %

 

 

See footnote summary on page 217.

 

214   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Class K  
   

Six Months
Ended
February 28,
2009

(unaudited)

     Year Ended
August 31,		     June 29,
2007(h) to
August 31,		  
      2008     2007  
     
     

Net asset value, beginning of period

   $  8.41     $  9.85     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .04     .19 (i)   (.02 )

Net realized and unrealized loss on investment transactions

   (3.63 )   (1.25 )   (.13 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.06 )   (.15 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.05 )   (.25 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.09 )   (.38 )   – 0  –
     

Net asset value, end of period

   $  4.73     $  8.41     $  9.85  
     

Total Return

      

Total investment return based on net asset
value(c)

   (42.81 ) %   (11.26 ) %   (1.50 ) %

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $496     $302     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   .97  %(e)   .97  %   .98  %(e)(f)

Expenses, before waivers/reimbursements(d)

   26.29  %(e)   87.41  %   586.41  %(e)(f)

Net investment income (loss)(b)

   1.41  %(e)   2.17  %(i)   (.97 )%(e)

Portfolio turnover rate

   86  %   42  %   8  %

See footnote summary on page 217.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   215

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    2055 Retirement Strategy  
    Class I  
    Six Months
Ended
February 28,
2009
(unaudited)		     Year Ended
August 31,
2008		     June 29,
2007(h) to
August 31,
2007		  
     
     

Net asset value, beginning of period

   $  8.41     $  9.86     $  10.00  
     

Income From Investment Operations

      

Net investment income (loss)(a)(b)

   .04     .17     (.01 )

Net realized and unrealized loss on investment transactions

   (3.63 )   (1.21 )   (.13 )
     

Net decrease in net asset value from operations

   (3.59 )   (1.04 )   (.14 )
     

Less: Dividends and Distributions

      

Dividends from net investment income

   (.06 )   (.28 )   – 0  –

Distributions from net realized gain on investment transactions

   (.04 )   (.13 )   – 0  –
     

Total dividends and distributions

   (.10 )   (.41 )   – 0  –
     

Net asset value, end of period

   $  4.72     $  8.41     $  9.86  
     

Total Return

      

Total investment return based on net asset value(c)

   (42.87 ) %   (11.09 ) %   (1.40 )%

Ratios/Supplemental Data

      

Net assets, end of period (000’s omitted)

   $67     $48     $10  

Ratio to average net assets of:

      

Expenses, net of waivers/reimbursements(d)

   .72  %(e)   .72  %   .73  %(e)(f)

Expenses, before waivers/reimbursements(d)

   26.12  %(e)   129.39  %   586.25  %(e)(f)

Net investment income (loss)(b)

   1.55  %(e)   2.01  %   (.72 )%(e)

Portfolio turnover rate

   86  %   42  %   8  %

See footnote summary on page 217.

 

216   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Financial Highlights

 

(a) Based on average shares outstanding.

 

(b) Net of expenses waived and reimbursed by the Adviser.

 

(c) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on strategy distributions or redemption of strategy shares. Total investment return calculated for a period less than one year is not annualized.

 

(d) Expense ratios do not include expenses of the Underlying Portfolios in which the Strategy invests. For the six months ended February 28, 2009 and the years ended August 31, 2008, August 31, 2007 and August 31, 2006, the estimated annualized blended expense ratios were .04%, .04%, .04% and .07%, respectively, for each of the Strategies.

 

(e) Annualized.

 

(f) Ratios reflect expenses grossed up, where applicable for expense offset arrangement with the Transfer Agent.

For the periods shown below, the net expense ratios were as follows:

 

     Year Ended
August 31, 2008		  
     2055
Retirement
Strategy		  

Class A

    1.02 %

Class B

    1.72 %

Class C

    1.72 %

Advisor Class

    .72 %

Class R

   

Class K

   

Class I

   

 

     Year Ended August 31, 2007  
     2000
Retirement
Strategy		     2040
Retirement
Strategy		     2045
Retirement
Strategy		     2050
Retirement
Strategy		     2055
Retirement
Strategy		  

Class A

    .90 %   1.08 %   1.09 %   1.02 %   1.02 %

Class B

    1.57 %   1.80 %   1.79 %   1.72 %   1.72 %

Class C

    1.59 %   1.78 %   1.79 %   1.72 %   1.72 %

Advisor Class

    .63 %   .79 %   .79 %   .72 %   .72 %

Class R

    1.05 %   1.24 %   1.25 %   1.22 %   1.22 %

Class K

    .82 %   1.02 %   1.02 %   .97 %   .97 %

Class I

    .54 %   .74 %   .73 %   .72 %   .72 %

 

     Year Ended August 31, 2006  
     2000
Retirement
Strategy		     2030
Retirement
Strategy		     2035
Retirement
Strategy		     2040
Retirement
Strategy		     2045
Retirement
Strategy		  

Class A

    1.03 %   1.18 %   1.18 %   1.18 %   1.18 %

Class B

    1.73 %   1.88 %   1.88 %   1.88 %   1.88 %

Class C

    1.73 %   1.88 %   1.88 %   1.88 %   1.88 %

Advisor Class

    .73 %   .88 %   .88 %   .88 %   .88 %

Class R

    1.23 %   1.38 %   1.38 %   1.38 %   1.38 %

Class K

    .98 %   1.13 %   1.13 %   1.13 %   1.13 %

Class I

    .73 %   .88 %   .88 %   .88 %   .88 %

 

(g) Amount is less than $.005.

 

(h) Commencement of operations.

 

(i) Net of fees and expenses waived by the Distributor.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   217

 

Financial Highlights

 

BOARD OF DIRECTORS

William H. Foulk, Jr.(1), Chairman

John H. Dobkin(1)

Michael J. Downey(1)

D. James Guzy(1)

Nancy P. Jacklin(1)

Garry L. Moody(1)

Marshall C. Turner, Jr. (1)

Earl D. Weiner(1)

OFFICERS

Robert M. Keith, President and Chief Executive Officer

Philip L. Kirstein, Senior Vice President and Independent Compliance Officer

Seth J. Masters(2), Senior Vice President

Thomas J. Fontaine(2), Vice President

Dokyoung Lee(2), Vice President

Christopher H. Nikolich(2), Vice President

Patrick J. Rudden(2), Vice President

Emilie D. Wrapp, Secretary

Joseph J. Mantineo, Treasurer and Chief Financial Officer

Phyllis J. Clarke, Controller

 

Custodian and Accounting Agent

State Street Bank and Trust Company
One Lincoln Street
Boston, MA 02111

 

Principal Underwriter

AllianceBernstein Investments, Inc.
1345 Avenue of the Americas
New York, NY 10105

 

Legal Counsel

Seward & Kissel LLP
One Battery Park Plaza
New York, NY 10004

   

Transfer Agent

AllianceBernstein Investor
Services, Inc.
P.O. Box 786003
San Antonio, TX 78278-6003
Toll-Free (800) 221-5672

 

Independent Registered Public Accounting Firm

KPMG LLP
345 Park Avenue
New York, NY 10154

 

(1) Member of the Audit Committee, the Governance and Nominating Committee and the Independent Directors Committee. Mr. Foulk is the sole member of the Fair Value Pricing Committee.

 

(2) The management of, and investment decisions for, each of the Strategies are made by the Multi-Asset Solutions Team. Messrs. Masters, Fontaine, Lee, Nikolich and Rudden are the members of the Multi-Asset Solutions Team primarily responsible for the day-to-day management of the Strategies.

 

218   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Board of Directors

 

Pages 219-320 represent the holdings of the Underlying Portfolios in which the Strategies may invest, including specific breakdowns within Underlying Portfolios. This holdings information has been derived from each fund’s February 29, 2008 financial statements. A copy of the underlying Portfolios’ unaudited semi-annual report is available upon request.

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

U.S. VALUE PORTFOLIO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s sector breakdown is expressed as a percentage of total investments and may vary over time.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   219

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

U.S. LARGE CAP GROWTH PORTFOLIO

LOGO

 

 

* All data are as of February 28, 2009. The Portfolio’s sector breakdown is expressed as a percentage of total investments and may vary over time.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

220   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

GLOBAL REAL ESTATE INVESTMENT PORTFOLIO

LOGO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s sector and country breakdowns are expressed as a percentage of total investments and may vary over time.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   221

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

INTERNATIONAL VALUE PORTFOLIO

LOGO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s sector and country breakdowns are expressed as a percentage of total investments and may vary over time. ‘Other’ country weightings represent 2.1% or less in the following countries: Belgium, Brazil, China, Finland, Hong Kong, Norway, Russia and South Africa.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

222   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

INTERNATIONAL GROWTH PORTFOLIO

LOGO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s sector and country breakdowns are expressed as a percentage of total investments and may vary over time. ‘Other’ country weightings represent 1.9% or less in the following countries: Canada, Hong Kong, Ireland, South Africa, Sweden and Taiwan.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   223

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

SMALL-MID CAP VALUE PORTFOLIO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s sector breakdown is expressed as a percentage of total investments and may vary over time.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

224   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

SMALL-MID CAP GROWTH PORTFOLIO

LOGO

 

 

* All data are as of February 28, 2009. The Portfolio’s sector breakdown is expressed as a percentage of total investments and may vary over time.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   225

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

SHORT DURATION BOND PORTFOLIO

LOGO

 

 

 

* All data are as of February 28, 2009. The Portfolio’s security type breakdown is expressed as a percentage of total investments and may vary over time.

 

226   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

INTERMEDIATE DURATION BOND PORTFOLIO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s security type breakdown is expressed as a percentage of total investments and may vary over time.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   227

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

INFLATION-PROTECTED SECURITIES PORTFOLIO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s security type breakdown is expressed as a percentage of total investments and may vary over time.

 

228   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Portfolio Summary

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

HIGH-YIELD PORTFOLIO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s security type breakdown is expressed as a percentage of total investments and may vary over time.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   229

 

Portfolio Summary

 

U.S. VALUE PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 94.0%

     

Energy – 18.9%

     

Oil, Gas & Consumable Fuels – 18.9%

     

Apache Corp.

    368,800   $ 21,792,392

BP PLC (Sponsored) (ADR)

    193,400     7,418,824

Chevron Corp.

    941,000     57,128,110

ConocoPhillips

    672,400     25,114,140

Devon Energy Corp.

    425,600     18,585,952

EOG Resources, Inc.

    147,800     7,395,912

Exxon Mobil Corp.

    1,578,500     107,180,150

Occidental Petroleum Corp.

    221,900     11,509,953

Royal Dutch Shell PLC (ADR)

    330,500     14,532,085

Sunoco, Inc.

    141,500     4,733,175
        
       275,390,693
        

Financials – 14.7%

     

Capital Markets – 4.1%

     

Deutsche Bank AG

    313,100     8,002,836

The Goldman Sachs Group, Inc.

    334,300     30,448,044

Morgan Stanley

    1,071,300     20,933,202
        
       59,384,082
        

Commercial Banks – 0.5%

     

Fifth Third Bancorp

    430,500     908,355

SunTrust Banks, Inc.

    153,500     1,846,605

U.S. Bancorp

    299,300     4,282,983
        
       7,037,943
        

Consumer Finance – 0.1%

     

Capital One Financial Corp.

    148,900     1,794,245
        

Diversified Financial Services – 2.4%

     

Bank of America Corp.

    1,314,800     5,193,460

JP Morgan Chase & Co.

    1,303,100     29,775,835
        
       34,969,295
        

Insurance – 7.6%

     

ACE Ltd.

    354,700     12,950,097

Allstate Corp.

    878,100     14,778,423

American International Group, Inc.

    1,159,800     487,116

Everest Re Group Ltd.

    65,500     4,266,015

Fidelity National Financial, Inc. – Class A

    522,500     8,657,825

Genworth Financial, Inc. – Class A

    945,500     1,144,055

Hartford Financial Services Group, Inc.

    667,700     4,072,970

Lincoln National Corp.

    566,300     4,864,517

MetLife, Inc.

    1,046,800     19,323,928

Old Republic International Corp.

    334,800     3,039,984

PartnerRe Ltd.

    66,100     4,091,590

RenaissanceRe Holdings Ltd.

    95,300     4,291,359

Torchmark Corp.

    101,400     2,088,840

 

230   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

The Travelers Co., Inc.

    509,000   $ 18,400,350

Unum Group

    715,800     7,286,844

XL Capital Ltd. – Class A

    489,900     1,621,569
        
       111,365,482
        
       214,551,047
        

Health Care – 14.3%

     

Biotechnology – 1.4%

     

Amgen, Inc.(a)

    437,800     21,421,554
        

Health Care Equipment & Supplies – 0.2%

     

Covidien Ltd.

    95,000     3,008,650
        

Health Care Providers & Services – 0.6%

     

Cardinal Health, Inc.

    263,700     8,557,065
        

Pharmaceuticals – 12.1%

     

Eli Lilly & Co.

    303,800     8,925,644

GlaxoSmithKline PLC (Sponsored) (ADR)

    301,400     9,081,182

Johnson & Johnson

    660,300     33,015,000

Merck & Co., Inc.

    1,474,800     35,690,160

Pfizer, Inc.

    3,541,100     43,590,941

Sanofi-Aventis SA (ADR)

    420,500     10,773,210

Schering-Plough Corp.

    673,600     11,713,904

Wyeth

    563,300     22,993,906
        
       175,783,947
        
       208,771,216
        

Consumer Staples – 12.6%

     

Beverages – 2.0%

     

The Coca-Cola Co.

    51,900     2,120,115

Coca-Cola Enterprises, Inc.

    1,018,600     11,693,528

Constellation Brands, Inc. – Class A(a)

    594,100     7,753,005

Pepsi Bottling Group, Inc.

    393,800     7,285,300
        
       28,851,948
        

Food & Staples Retailing – 2.1%

     

The Kroger Co.

    398,300     8,232,861

Safeway, Inc.

    659,800     12,206,300

Supervalu, Inc.

    320,666     5,005,596

Wal-Mart Stores, Inc.

    100,000     4,924,000
        
       30,368,757
        

Food Products – 4.3%

     

Archer-Daniels-Midland Co.

    918,100     24,476,546

Bunge Ltd.

    260,000     12,188,800

ConAgra Foods, Inc.

    419,900     6,332,092

Del Monte Foods Co.

    590,000     4,218,500

The JM Smucker Co.

    18,541     688,242

Kraft Foods, Inc. – Class A

    173,300     3,947,774

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   231

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Sara Lee Corp.

    953,700   $ 7,353,027

Tyson Foods, Inc. – Class A

    453,900     3,826,377
        
       63,031,358
        

Household Products – 2.3%

     

Procter & Gamble Co.

    707,554     34,082,876
        

Tobacco – 1.9%

     

Altria Group, Inc.

    560,300     8,651,032

Philip Morris International, Inc.

    219,800     7,356,706

Reynolds American, Inc.

    325,600     10,933,648
        
       26,941,386
        
       183,276,325
        

Consumer Discretionary – 11.0%

     

Auto Components – 0.6%

     

Autoliv, Inc.

    314,300     4,676,784

Magna International, Inc. – Class A

    179,600     4,608,536
        
       9,285,320
        

Automobiles – 0.6%

     

Toyota Motor Corp. (Sponsored) (ADR)

    134,100     8,467,074
        

Household Durables – 0.0%

     

KB Home

    12,300     109,470
        

Media – 4.5%

     

CBS Corp. – Class B

    1,860,500     7,944,335

Gannett Co., Inc.

    1,019,700     3,303,828

News Corp. – Class A

    1,770,330     9,843,035

Time Warner, Inc.

    3,000,200     22,891,526

Viacom, Inc. – Class B(a)

    461,800     7,107,102

The Walt Disney Co.

    830,600     13,929,162
        
       65,018,988
        

Multiline Retail – 1.4%

     

Family Dollar Stores, Inc.

    383,000     10,509,520

JC Penney Co., Inc.

    312,300     4,787,559

Macy’s, Inc.

    746,070     5,871,571
        
       21,168,650
        

Specialty Retail – 3.7%

     

AutoNation, Inc.(a)

    175,700     1,753,486

Foot Locker, Inc.

    540,900     4,494,879

The Gap, Inc.

    655,500     7,072,845

Home Depot, Inc.

    963,100     20,119,159

Limited Brands, Inc.

    753,035     5,790,839

Lowe’s Cos, Inc.

    334,449     5,297,672

TJX Cos, Inc.

    390,200     8,689,754
        
       53,218,634
        

 

232   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Textiles, Apparel & Luxury Goods – 0.2%

     

Jones Apparel Group, Inc.

    864,600   $ 2,325,774
        
       159,593,910
        

Telecommunication Services – 7.9%

     

Diversified Telecommunication
Services – 6.3%

     

AT&T, Inc.

    2,769,300     65,826,261

Telefonica SA (ADR)

    68,900     3,828,084

Verizon Communications, Inc.

    780,700     22,273,371
        
       91,927,716
        

Wireless Telecommunication
Services – 1.6%

     

Sprint Nextel Corp.(a)

    4,842,700     15,932,483

Vodafone Group PLC (Sponsored) (ADR)

    432,800     7,682,200
        
       23,614,683
        
       115,542,399
        

Information Technology – 6.9%

     

Communications Equipment – 3.4%

     

Corning, Inc.

    665,100     7,016,805

Motorola, Inc.

    3,694,551     13,004,819

Nokia OYJ (Sponsored) – Class A (ADR)

    2,260,900     21,162,024

Telefonaktiebolaget LM Ericsson (Sponsored) – Class B (ADR)

    1,010,000     8,241,600
        
       49,425,248
        

Computers & Peripherals – 1.0%

     

International Business Machines Corp.

    66,800     6,147,604

Lexmark International, Inc. – Class A(a)

    285,800     4,898,612

Western Digital Corp.(a)

    261,500     3,572,090
        
       14,618,306
        

Electronic Equipment, Instruments & Components – 1.3%

     

AU Optronics Corp. (Sponsored) (ADR)

    1,448,000     10,411,120

Ingram Micro, Inc. – Class A(a)

    237,677     2,588,303

Sanmina-SCI Corp.(a)

    310,800     77,700

Tyco Electronics Ltd.

    568,000     5,384,640

Vishay Intertechnology, Inc.(a)

    83,800     213,690
        
       18,675,453
        

Semiconductors & Semiconductor Equipment – 0.3%

     

Nvidia Corp.(a)

    531,100     4,397,508
        

Software – 0.9%

     

Symantec Corp.(a)

    913,500     12,633,705
        
       99,750,220
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   233

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Industrials – 4.4%

     

Airlines – 0.4%

     

UAL Corp.(a)

    1,125,200   $ 5,524,732
        

Commercial Services & Supplies – 0.7%

     

Republic Services, Inc. – Class A

    483,480     9,621,252
        

Electrical Equipment – 0.2%

     

Cooper Industries Ltd. – Class A

    167,600     3,534,684
        

Industrial Conglomerates – 2.9%

     

3M Co.

    98,900     4,495,994

General Electric Co.

    3,198,700     27,220,937

Tyco International Ltd.

    553,700     11,101,685
        
       42,818,616
        

Machinery – 0.2%

     

Caterpillar, Inc.

    21,000     516,810

Cummins, Inc.

    81,000     1,684,800
        
       2,201,610
        
       63,700,894
        

Materials – 2.0%

     

Chemicals – 0.3%

     

Eastman Chemical Co.

    235,500     4,837,170
        

Containers & Packaging – 1.7%

     

Ball Corp.

    309,300     12,461,697

Owens-Illinois, Inc.(a)

    473,400     7,299,828

Sonoco Products Co.

    210,400     4,054,408
        
       23,815,933
        
       28,653,103
        

Utilities – 1.3%

     

Independent Power Producers & Energy Traders – 0.3%

     

Reliant Energy, Inc.(a)

    982,400     3,399,104
        

Multi-Utilities – 1.0%

     

CMS Energy Corp.

    277,400     3,068,044

Dominion Resources, Inc.

    233,200     7,037,976

NiSource, Inc.

    164,300     1,437,625

Wisconsin Energy Corp.

    85,125     3,389,678
        
       14,933,323
        
       18,332,427
        

Total Common Stocks
(cost $2,331,649,069)

        1,367,562,234
        
    

 

234   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

SHORT-TERM INVESTMENTS – 5.5%

     

Investment Companies – 5.5%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(b)
(cost $79,978,093)

    79,978,093   $ 79,978,093
        

Total Investments – 99.5%
(cost $2,411,627,162)

       1,447,540,327

Other assets less liabilities – 0.5%

        7,263,597
        

Net Assets – 100.0%

      $ 1,454,803,924
        

 

(a) Non-income producing security.

 

(b) Investment in affiliated money market mutual fund.

Glossary:

 

ADR – American Depositary Receipt

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   235

 

U.S. Value Portfolio—Portfolio of Investments

 

U.S. LARGE CAP GROWTH PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 99.4%

     

Health Care – 26.5%

     

Biotechnology – 13.8%

     

Celgene Corp.(a)

    977,600   $ 43,728,048

Genentech, Inc.(a)

    993,700     85,011,035

Gilead Sciences, Inc.(a)

    1,906,250     85,400,000
        
       214,139,083
        

Health Care Equipment & Supplies – 4.3%

     

Alcon, Inc.

    195,550     16,105,498

Baxter International, Inc.

    567,600     28,896,516

Becton Dickinson & Co.

    332,725     20,592,350
        
       65,594,364
        

Health Care Providers & Services – 2.1%

     

Medco Health Solutions, Inc.(a)

    812,100     32,955,018
        

Pharmaceuticals – 6.3%

     

Abbott Laboratories

    685,100     32,432,634

Teva Pharmaceutical Industries Ltd. (Sponsored) (ADR)

    1,453,000     64,774,740
        
       97,207,374
        
       409,895,839
        

Information Technology – 26.0%

     

Communications Equipment – 6.9%

     

Cisco Systems, Inc.(a)

    3,575,600     52,096,492

QUALCOMM, Inc.

    1,637,300     54,734,939
        
       106,831,431
        

Computers & Peripherals – 10.1%

     

Apple, Inc.(a)

    730,960     65,282,038

Hewlett-Packard Co.

    3,114,050     90,400,871
        
       155,682,909
        

Internet Software & Services – 6.5%

     

Google, Inc. – Class A(a)

    298,615     100,928,884
        

Semiconductors & Semiconductor Equipment – 0.7%

     

Intel Corp.

    903,300     11,508,042
        

Software – 1.8%

     

Activision Blizzard, Inc.(a)

    696,400     6,984,892

Microsoft Corp.

    1,268,500     20,486,275
        
       27,471,167
        
       402,422,433
        

 

236   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Consumer Staples – 15.8%

     

Beverages – 4.8%

     

The Coca-Cola Co.

    471,800   $ 19,273,030

Molson Coors Brewing Co. – Class B

    360,000     12,682,800

PepsiCo, Inc.

    894,400     43,056,416
        
       75,012,246
        

Food & Staples Retailing – 4.9%

     

Costco Wholesale Corp.

    803,000     33,999,020

Wal-Mart Stores, Inc.

    865,650     42,624,606
        
       76,623,626
        

Food Products – 0.8%

     

General Mills, Inc.

    233,500     12,254,080
        

Household Products – 4.0%

     

Colgate-Palmolive Co.

    586,200     35,277,516

Procter & Gamble Co.

    552,000     26,589,840
        
       61,867,356
        

Tobacco – 1.3%

     

Philip Morris International, Inc.

    592,300     19,824,281
        
       245,581,589
        

Energy – 8.4%

     

Energy Equipment & Services – 4.8%

     

Cameron International Corp.(a)

    653,200     12,593,696

National Oilwell Varco, Inc.(a)

    199,600     5,335,308

Schlumberger Ltd.

    1,507,135     57,361,558
        
       75,290,562
        

Oil, Gas & Consumable Fuels – 3.6%

     

Apache Corp.

    262,600     15,517,034

EOG Resources, Inc.

    576,775     28,861,821

XTO Energy, Inc.

    350,000     11,081,000
        
       55,459,855
        
       130,750,417
        

Consumer Discretionary – 7.0%

     

Hotels, Restaurants & Leisure – 3.1%

     

McDonald’s Corp.

    918,050     47,968,112
        

Media – 1.7%

     

The Walt Disney Co.

    1,584,400     26,570,388
        

Multiline Retail – 1.8%

     

Kohl’s Corp.(a)

    811,200     28,505,568
        

Textiles, Apparel & Luxury Goods – 0.4%

     

Nike, Inc. – Class B

    133,000     5,523,490
        
       108,567,558
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   237

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Financials – 6.4%

     

Capital Markets – 3.6%

     

The Blackstone Group LP

    424,800   $ 2,068,776

The Charles Schwab Corp.

    535,900     6,811,289

Franklin Resources, Inc.

    349,500     16,007,100

The Goldman Sachs Group, Inc.

    340,600     31,021,848
        
       55,909,013
        

Diversified Financial Services – 2.8%

     

CME Group, Inc. – Class A

    120,810     22,035,744

JP Morgan Chase & Co.

    945,800     21,611,530
        
       43,647,274
        
       99,556,287
        

Industrials – 5.3%

     

Aerospace & Defense – 1.6%

     

Honeywell International, Inc.

    314,960     8,450,377

Lockheed Martin Corp.

    264,100     16,667,351
        
       25,117,728
        

Construction & Engineering – 1.1%

     

Fluor Corp.

    108,500     3,607,625

Jacobs Engineering Group, Inc.(a)

    405,500     13,681,570
        
       17,289,195
        

Electrical Equipment – 1.8%

     

Emerson Electric Co.

    1,032,400     27,616,700
        

Machinery – 0.8%

     

Cummins, Inc.

    130,800     2,720,640

Danaher Corp.

    169,500     8,603,820
        
       11,324,460
        
       81,348,083
        

Materials – 4.0%

     

Chemicals – 4.0%

     

Air Products & Chemicals, Inc.

    172,000     7,955,000

Monsanto Co.

    707,140     53,933,568
        
       61,888,568
        

Total Common Stocks
(cost $1,960,693,834)

        1,540,010,774
        

 

238   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

SHORT-TERM INVESTMENTS – 0.1%

     

Investment Companies – 0.1%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(b)
(cost $1,839,640)

    1,839,640   $ 1,839,640
        

Total Investments – 99.5%
(cost $1,962,533,474)

       1,541,850,414

Other assets less liabilities – 0.5%

        7,561,625
        

Net Assets – 100.0%

      $ 1,549,412,039
        

 

(a) Non-income producing security.

 

(b) Investment in affiliated money market mutual fund.

Glossary:

 

ADR – American Depositary Receipt

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   239

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

GLOBAL REAL ESTATE INVESTMENT PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 98.2%

     

Equity:Other – 46.1%

     

Diversified/Specialty – 37.7%

     

Alexandria Real Estate Equities, Inc.

    149,206   $ 5,962,272

British Land Co. PLC(a)

    1,009,526     6,567,831

Canadian Real Estate Investment Trust(a)

    772,462     12,526,247

Dexus Property Group(a)

    15,823,701     6,926,049

Digital Realty Trust, Inc.

    455,800     13,623,862

Entertainment Properties Trust

    443,200     6,608,112

General Property Group(a)

    5,297,900     1,564,022

Henderson Land Development Co., Ltd.(a)

    3,506,000     11,640,319

Kerry Properties Ltd.(a)

    4,444,691     8,289,790

Land Securities Group PLC(a)

    1,166,652     9,110,673

Lend Lease Corp. Ltd.(a)

    3,902,334     13,196,794

Mitsubishi Estate Co., Ltd.(a)

    1,823,000     18,370,326

Mitsui Fudosan Co., Ltd.(a)

    1,834,000     18,424,216

Morguard Real Estate Investment Trust(a)

    781,200     5,434,381

New World Development Co., Ltd.(a)

    11,662,338     10,409,117

Rayonier, Inc.

    185,095     4,923,527

Sun Hung Kai Properties Ltd.(a)

    3,811,600     29,563,520

Unibail-Rodamco(a)

    328,818     41,279,577

Vornado Realty Trust

    289,000     9,458,970

Wereldhave NV(a)

    131,800     8,853,762
        
       242,733,367
        

Health Care – 6.9%

     

HCP, Inc.

    477,200     8,718,444

Health Care REIT, Inc.

    278,200     8,560,214

Nationwide Health Properties, Inc.

    320,382     6,490,939

Omega Healthcare Investors, Inc.

    549,400     7,213,622

Ventas, Inc.

    635,900     13,716,363
        
       44,699,582
        

Triple Net – 1.5%

     

Macquarie Infrastructure Group(a)

    3,799,231     2,455,799

National Retail Properties, Inc.

    485,900     6,982,383
        
       9,438,182
        
       296,871,131
        

Retail – 25.5%

     

Regional Mall – 8.3%

     

Macerich Co.

    443,300     5,062,486

Multiplan Empreendimentos Imobiliarios SA(b)

    1,385,500     8,904,882

Simon Property Group, Inc.

    510,000     16,881,000

Taubman Centers, Inc.

    147,900     2,314,635

Westfield Group(a)

    3,022,211     20,266,765
        
       53,429,768
        

 

240   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Global Real Estate Investment Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Shopping Center/Other Retail – 17.2%

     

CapitaMall Trust

    8,381,800   $ 7,624,625

Citycon Oyj(a)

    1,651,071     3,332,646

Corio NV(a)

    195,400     7,677,210

Eurocommercial Properties NV(a)

    266,700     7,112,467

Federal Realty Investment Trust

    58,500     2,406,105

First Capital Realty, Inc.(a)

    346,100     4,124,254

Kimco Realty Corp.

    455,100     4,027,635

Klepierre(a)

    809,943     16,383,451

The Link REIT(a)

    10,277,500     19,506,681

Macquarie CountryWide Trust(a)

    4,358,364     327,044

Mercialys SA(a)

    227,600     7,414,009

Primaris Retail Real Estate Investment Trust(a)

    910,299     6,690,218

Regency Centers Corp.

    112,200     3,027,156

RioCan Real Estate Investment Trust(a)(c)

    132,100     1,317,677

RioCan Real Estate Investment Trust (Toronto)(a)

    514,689     5,133,944

Tanger Factory Outlet Centers

    434,300     11,986,680

Weingarten Realty Investors

    261,300     2,950,077
        
       111,041,879
        
       164,471,647
        

Office – 14.9%

     

Office – 14.9%

     

Brookfield Properties Corp.

    711,656     3,522,697

Castellum AB(a)

    852,600     5,263,519

Cominar Real Estate Investment Trust(a)

    611,889     6,372,842

Corporate Office Properties Trust

    480,300     12,007,500

Douglas Emmett, Inc.

    593,700     4,464,624

Dundee Real Estate Investment Trust(a)

    189,355     2,046,558

Highwoods Properties, Inc.

    154,500     2,918,505

Hufvudstaden AB – Class A(a)

    547,500     2,919,666

ING Office Fund(a)

    8,019,300     1,310,061

Japan Real Estate Investment Corp. –
Class A(a)

    1,920     14,293,701

Mack-Cali Realty Corp.

    346,400     5,916,512

Nippon Building Fund, Inc. – Class A(a)

    1,111     8,985,545

Nomura Real Estate Office Fund, Inc. –
Class A(a)

    1,460     7,369,990

NTT Urban Development Corp.(a)

    26,525     18,624,366
        
       96,016,086
        

Residential – 7.5%

     

Manufactured Homes – 0.5%

     

Equity Lifestyle Properties, Inc.

    103,100     3,436,323
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   241

 

Global Real Estate Investment Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value  
   
    

Multi-Family – 6.0%

     

Boardwalk Real Estate Investment Trust(a)

    153,328   $ 3,076,925  

Camden Property Trust

    264,800     4,975,592  

China Overseas Land & Investment Ltd.(a)

    6,742,000     8,805,469  

Equity Residential

    209,784     3,692,198  

Essex Property Trust, Inc.

    68,800     3,742,720  

Home Properties, Inc.

    230,600     6,120,124  

Mid-America Apartment Communities, Inc.

    196,400     5,076,940  

UDR, Inc.

    413,241     3,268,736  
          
       38,758,704  
          

Self Storage – 1.0%

     

Public Storage

    116,500     6,463,420  
          
       48,658,447  
          

Lodging – 2.4%

     

Lodging – 2.4%

     

DiamondRock Hospitality Co.

    742,130     2,293,182  

Fonciere Des Murs(a)

    232,300     2,879,645  

Host Hotels & Resorts, Inc.

    1,035,857     3,832,671  

LaSalle Hotel Properties

    321,407     1,709,885  

Marriott International, Inc. – Class A

    76,300     1,080,408  

Starwood Hotels & Resorts Worldwide, Inc.

    136,525     1,582,325  

Sunstone Hotel Investors, Inc.

    830,241     1,818,228  
          
       15,196,344  
          

Industrials – 1.8%

     

Industrial Warehouse Distribution – 1.8%

     

Ascendas Real Estate Investment Trust

    11,508,000     9,217,449  

ProLogis

    472,867     2,737,900  
          
       11,955,349  
          

Total Common Stocks
(cost $1,197,283,683)

        633,169,004  
          

SHORT-TERM INVESTMENTS – 2.9%

     

Investment Companies – 2.9%

     

AllianceBernstein Fixed-Income Shares, Inc. –Government STIF Portfolio(d)
(cost $18,500,056)

    18,500,056     18,500,056  
          

Total Investments – 101.1%
(cost $1,215,783,739)

       651,669,060  

Other assets less liabilities – (1.1)%

        (7,132,350 )
          

Net Assets – 100.0%

      $ 644,536,710  
          

 

242   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Global Real Estate Investment Portfolio—Portfolio of Investments

 

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note C)

 

     Contract
Amount
(000)		   U.S. $
Value on
Origination
Date		   U.S. $
Value at
February 28,
2009		   Unrealized
Appreciation/
(Depreciation)		  

Buy Contracts:

        

Australian Dollar settling 3/16/09

   12,923   $ 8,491,703   $ 8,255,798   $ (235,905 )

Australian Dollar settling 3/16/09

   11,223     7,555,324     7,169,761     (385,563 )

British Pound settling 3/16/09

   2,051     3,028,302     2,936,066     (92,236 )

British Pound settling 3/16/09

   3,880     5,586,928     5,554,332     (32,596 )

Canadian Dollar settling 3/16/09

   8,939     7,204,513     7,026,211     (178,302 )

Euro settling 3/16/09

   10,919         15,017,774         13,841,372     (1,176,402 )

Euro settling 3/16/09

   9,621     13,113,904     12,195,974     (917,930 )

Japanese Yen settling 3/16/09

   1,614,909     16,766,082     16,550,823     (215,259 )

Japanese Yen settling 3/16/09

   1,418,033     15,780,118     14,533,087     (1,247,031 )

New Zealand Dollar settling 3/16/09

   17,966     9,812,130     8,989,896     (822,234 )

New Zealand Dollar settling 3/16/09

   22,069     12,367,026     11,042,971     (1,324,055 )

Norwegian Krone settling 3/16/09

   104,021     14,827,099     14,792,221     (34,878 )

Swedish Krona settling 3/16/09

   30,285     3,611,376     3,362,140     (249,236 )

Sale Contracts:

        

British Pound settling 3/16/09

   3,880     5,787,796     5,554,332             233,464  

British Pound settling 3/16/09

   2,051     3,059,477     2,936,066     123,411  

Canadian Dollar settling 3/16/09

   44,939     35,644,656     35,322,845     321,811  

Canadian Dollar settling 3/16/09

   7,386     6,050,626     5,805,526     245,100  

Canadian Dollar settling 3/16/09

   4,258     3,587,799     3,346,863     240,936  

Canadian Dollar settling 3/16/09

   4,435     3,630,692     3,485,988     144,704  

Euro settling 3/16/09

   14,127     17,858,647     17,907,965     (49,318 )

Euro settling 3/16/09

   6,413     8,034,206     8,129,382     (95,176 )

Euro settling 3/16/09

   18,763     24,585,534     23,784,749     800,785  

Hong Kong Dollar settling 3/16/09

   73,887     9,537,498     9,528,434     9,064  

Swedish Krona settling 3/16/09

   68,955     8,617,759     7,655,155     962,604  

 

(a) Position, or a portion thereof, has been segregated to collateralize forward currency exchange contracts. The aggregate market value of these securities amounted to $385,847,076.

 

(b) Non-income producing security.

 

(c) Security is exempt from registration under Rule 144A of the Securities Act of 1933. This security is considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At February 28, 2009, the market value of this security amounted to $1,317,677 or 0.2% of net assets.

 

(d) Investment in affiliated money market mutual fund.

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   243

 

Global Real Estate Investment Portfolio—Portfolio of Investments

 

INTERNATIONAL VALUE PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 98.3%

     

Financials – 23.8%

     

Capital Markets – 4.2%

     

Credit Suisse Group AG(a)

    459,600   $ 11,184,785

Deutsche Bank AG(a)

    441,000     11,368,101

UBS AG (Swiss Virt-X)(a)(b)

    897,186     8,401,225
        
       30,954,111
        

Commercial Banks – 12.7%

     

ABSA Group Ltd.

    187,500     1,641,763

Australia & New Zealand Banking Group Ltd.

    804,300     6,736,837

Banco do Brasil SA

    762,700     4,417,243

Barclays PLC(a)

    3,153,600     4,137,131

BNP Paribas SA(a)

    343,100     11,111,363

Credit Agricole SA(a)

    761,711     7,376,413

HSBC Holdings PLC(a)

    1,620,800     11,272,862

Intesa Sanpaolo SpA(a)

    3,893,800     9,477,209

KB Financial Group, Inc.(b)

    369,000     7,074,636

Lloyds Banking Group PLC(a)

    5,870,635     4,819,168

National Australia Bank Ltd.

    207,000     2,325,140

Nordea Bank AB(a)

    634,400     3,163,037

Societe Generale – Class A(a)

    232,776     7,215,514

Standard Bank Group Ltd.

    557,100     3,564,505

Sumitomo Mitsui Financial Group, Inc.(a)

    210,800     6,682,627

Unibanco – Uniao de Bancos Brasileiros SA (Sponsored) (ADR)

    64,900     3,396,217
        
       94,411,665
        

Consumer Finance – 0.0%

     

ORIX Corp.(a)

    4,890     99,336
        

Diversified Financial Services – 0.6%

     

ING Group(a)

    921,411     4,165,026
        

Insurance – 5.7%

     

Allianz SE(a)

    216,800     14,480,330

Aviva PLC(a)

    1,855,395     7,622,874

Fairfax Financial Holdings Ltd.(a)

    11,200     2,719,094

Fondiaria-Sai SpA (ordinary shares)(a)

    142,900     1,657,805

Muenchener Rueckversicherungs AG(a)

    111,300     13,536,189

Sun Life Financial, Inc.(a)

    112,900     1,766,891
        
       41,783,183
        

Real Estate Management & Development – 0.6%

     

New World Development Co., Ltd.

    5,256,000     4,691,196
        
       176,104,517
        

 

244   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Energy – 15.7%

     

Oil, Gas & Consumable Fuels – 15.7%

     

BP PLC(a)

    2,834,600   $ 18,058,658

China Petroleum & Chemical Corp. – Class H

    17,552,500     8,979,814

ENI SpA(a)

    621,800     12,410,890

LUKOIL (Sponsored) (ADR)

    356,050     11,407,842

Nippon Mining Holdings, Inc.(a)

    1,416,000     4,917,964

Petro-Canada(a)

    405,600     8,952,404

Royal Dutch Shell PLC (Euronext Amsterdam) – Class A(a)

    1,067,752     23,342,841

StatoilHydro ASA(a)

    648,900     10,773,463

Total SA(a)

    364,800     17,138,864
        
       115,982,740
        

Telecommunication Services – 13.0%

     

Diversified Telecommunication Services – 10.2%

     

BCE, Inc.(a)

    362,000     7,065,288

Deutsche Telekom AG – Class W(a)

    666,000     8,007,791

France Telecom SA(a)

    521,200     11,647,630

Nippon Telegraph & Telephone Corp.(a)

    262,100     11,207,253

Telecom Italia SpA (ordinary shares)(a)

    6,603,400     8,026,431

Telecom Italia SpA (savings shares)(a)

    4,931,400     4,690,050

Telefonica SA(a)

    872,000     16,048,377

Telstra Corp. Ltd.

    2,555,100     5,758,337

TELUS Corp. – Class A(a)

    127,400     3,186,502
        
       75,637,659
        

Wireless Telecommunication
Services – 2.8%

     

KDDI Corp.(a)

    743     3,892,336

Vodafone Group PLC(a)

    9,629,937     17,063,040
        
       20,955,376
        
       96,593,035
        

Information Technology – 9.0%

     

Communications Equipment – 2.5%

     

Nokia OYJ(a)

    895,000     8,386,483

Telefonaktiebolaget LM Ericsson – Class B(a)

    1,266,000     10,254,187
        
       18,640,670
        

Computers & Peripherals – 2.7%

     

Compal Electronics, Inc. (GDR)(c)

    2,190,349     6,333,176

Fujitsu Ltd.(a)

    1,960,000     6,638,478

Toshiba Corp.(a)

    2,965,000     7,183,759
        
       20,155,413
        

Electronic Equipment, Instruments & Components – 1.1%

     

AU Optronics Corp.

    4,093,000     2,981,532

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   245

 

International Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Hitachi High-Technologies Corp.(a)

    159,600   $ 1,958,506

Hitachi Ltd.(a)

    1,339,000     3,334,262
        
       8,274,300
        

Office Electronics – 0.3%

     

Canon, Inc.(a)

    78,700     1,986,156
        

Semiconductors & Semiconductor Equipment – 2.4%

     

Samsung Electronics (Preference Shares)

    11,500     2,036,836

Samsung Electronics Co. Ltd.

    31,700     9,749,901

United Microelectronics Corp.

    27,512,175     6,066,234
        
       17,852,971
        
       66,909,510
        

Consumer Discretionary – 8.2%

     

Auto Components – 0.5%

     

Compagnie Generale des Etablissements Michelin – Class B(a)

    27,700     893,227

Magna International, Inc. – Class A(a)

    100,700     2,583,594
        
       3,476,821
        

Automobiles – 4.8%

     

Honda Motor Co. Ltd.(a)

    480,100     11,480,527

Isuzu Motors Ltd.(a)

    1,716,000     1,665,049

Nissan Motor Co. Ltd.(a)

    2,582,000     7,882,179

Renault SA(a)

    317,600     4,560,493

Toyota Motor Corp.(a)

    307,100     9,836,295
        
       35,424,543
        

Hotels, Restaurants & Leisure – 0.5%

     

TUI Travel PLC(a)

    1,205,700     3,797,013
        

Household Durables – 1.7%

     

Sharp Corp.(a)

    1,065,000     8,222,297

Sony Corp.(a)

    258,300     4,325,370
        
       12,547,667
        

Media – 0.7%

     

Lagardere SCA(a)

    174,400     5,644,726
        
       60,890,770
        

Materials – 7.7%

     

Chemicals – 2.6%

     

BASF SE(a)

    342,900     9,451,680

Mitsubishi Chemical Holdings Corp.(a)

    1,585,500     5,385,359

Mitsui Chemicals, Inc.(a)

    358,000     761,323

Solvay SA – Class A(a)

    59,400     3,361,602
        
       18,959,964
        

Metals & Mining – 4.2%

     

Antofagasta PLC(a)

    308,300     1,929,206

 

246   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

ArcelorMittal (Euronext Amsterdam)(a)

    391,032   $ 7,494,824

BHP Billiton Ltd.

    462,300     8,324,439

Inmet Mining Corp.(a)

    31,700     718,620

JFE Holdings, Inc.(a)

    340,700     7,372,034

MMC Norilsk Nickel (ADR)

    358,420     1,684,574

Sumitomo Metal Mining Co. Ltd.(a)

    395,000     3,942,823
        
       31,466,520
        

Paper & Forest Products – 0.9%

     

Stora Enso Oyj – Class R(a)

    675,600     2,811,041

Svenska Cellulosa AB – Class B(a)

    643,200     4,162,994
        
       6,974,035
        
       57,400,519
        

Health Care – 7.7%

     

Health Care Providers & Services – 0.3%

     

Celesio AG(a)

    101,700     2,097,417
        

Pharmaceuticals – 7.4%

     

Bayer AG(a)

    210,000     10,057,063

GlaxoSmithKline PLC(a)

    1,096,100     16,624,388

Novartis AG(a)

    375,110     13,685,254

Sanofi-Aventis SA(a)

    283,319     14,561,759
        
       54,928,464
        
       57,025,881
        

Industrials – 7.0%

     

Aerospace & Defense – 0.9%

     

European Aeronautic Defence & Space Co., NV(a)

    466,100     6,767,227
        

Airlines – 1.1%

     

Deutsche Lufthansa AG(a)

    547,700     5,952,590

Qantas Airways Ltd.

    2,703,029     2,669,812
        
       8,622,402
        

Industrial Conglomerates – 1.1%

     

Bidvest Group Ltd.

    240,000     1,964,144

Koninklijke Philips Electronics NV(a)

    382,000     6,107,890
        
       8,072,034
        

Machinery – 1.3%

     

Vallourec(a)

    52,500     4,086,308

Volvo AB – Class B(a)

    1,270,500     5,313,175
        
       9,399,483
        

Road & Rail – 0.5%

     

East Japan Railway Co.(a)

    61,400     3,677,101
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   247

 

International Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Trading Companies & Distributors – 1.8%

     

Mitsubishi Corp.(a)

    703,800   $ 8,756,313

Mitsui & Co. Ltd.(a)

    482,000     4,439,925
        
       13,196,238
        

Transportation Infrastructure – 0.3%

     

Macquarie Infrastructure Group

    3,219,500     2,081,065
        
       51,815,550
        

Utilities – 3.4%

     

Electric Utilities – 2.1%

     

E.ON AG(a)

    453,100     11,583,340

The Tokyo Electric Power Co., Inc.(a)

    141,700     4,000,193
        
       15,583,533
        

Multi-Utilities – 1.3%

     

A2A SpA(a)

    1,560,500     2,242,405

Centrica PLC(a)

    1,151,500     4,428,278

RWE AG(a)

    47,700     2,996,118
        
       9,666,801
        
       25,250,334
        

Consumer Staples – 2.8%

     

Food & Staples Retailing – 2.0%

     

Aeon Co. Ltd.(a)

    379,100     2,239,170

Delhaize Group(a)

    43,700     2,523,124

Koninklijke Ahold NV(a)

    902,940     10,019,150
        
       14,781,444
        

Food Products – 0.8%

     

Associated British Foods PLC(a)

    634,800     5,884,032
        
       20,665,476
        

Total Common Stocks
(cost $1,333,122,900)

        728,638,332
        
    

RIGHTS – 0.0%

     

Financials – 0.0%

     

Commercial Banks – 0.0%

     

Shinhan Financial Group Co. Ltd.(b)

    30,954     64,596
        

Diversified Financial Services – 0.0%

     

Fortis(a)(b)

    453,498     0
        

Total Rights
(cost $0)

        64,596
        

 

248   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value  
   
    

SHORT-TERM INVESTMENTS –2.6%

     

Investment Companies – 2.6%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(d)
(cost $19,019,312)

    19,019,312   $ 19,019,312  
          

Total Investments – 100.9%
(cost $1,352,142,212)

       747,722,240  

Other assets less liabilities – (0.9)%

        (6,306,033 )
          

Net Assets – 100.0%

      $ 741,416,207  
          

FINANCIAL FUTURES CONTRACTS (see Note C)

 

Type   Number of
Contracts		   Expiration
Month		   Original
Value		   Value at
February 28,
2009		   Unrealized
Appreciation/
(Depreciation)

Purchased Contracts

          

EURO STOXX 50

   147   March 2009   $     4,584,810   $     3,680,595   $ (904,215)

FTSE 100 Index Futures

   38   March 2009   $     2,341,506   $     2,071,311   $ (270,195)
             
          $     (1,174,410)
             

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note C)

 

     Contract
Amount
(000)		   U.S. $
Value on
Origination
Date		   U.S. $
Value at
February 28,
2009		   Unrealized
Appreciation/
(Depreciation)		  

Buy Contracts:

        

British Pound settling 3/16/09

   22,298   $     30,816,951   $     31,920,233   $      1,103,282  

British Pound settling 3/16/09

   20,244     28,952,159     28,979,873     27,714  

Canadian Dollar settling 3/16/09

   7,049     5,640,463     5,540,638     (99,825 )

Euro settling 3/16/09

   10,098     14,048,136     12,800,639     (1,247,497 )

Euro settling 3/16/09

   37,155     51,689,293     47,099,203     (4,590,090 )

Euro settling 3/16/09

   6,823     9,300,090     8,649,115     (650,975 )

Euro settling 3/16/09

   4,714     6,459,594     5,975,660     (483,934 )

Euro settling 3/16/09

   3,950     5,215,975     5,007,182     (208,793 )

Japanese Yen settling 3/16/09

   893,351     9,000,564     9,155,744     155,180  

Japanese Yen settling 3/16/09

   1,120,531     11,847,692     11,484,059     (363,633 )

Japanese Yen settling 3/16/09

   339,967     3,601,536     3,484,242     (117,294 )

Japanese Yen settling 3/16/09

   634,666     6,671,565     6,504,542     (167,023 )

Japanese Yen settling 3/16/09

   884,543     9,590,621     9,065,473     (525,148 )

Japanese Yen settling 3/16/09

   1,173,552     12,923,016     12,027,459     (895,557 )

Japanese Yen settling 3/16/09

   1,059,115     11,915,565     10,854,621     (1,060,944 )

Japanese Yen settling 3/16/09

   1,452,254     16,339,492     14,883,810     (1,455,682 )

Japanese Yen settling 6/15/09

   860,398     8,823,147     8,837,136     13,989  

Norwegian Krone settling 3/16/09

   147,113     20,145,842     20,920,084     774,242  

Norwegian Krone settling 6/15/09

   231,007     33,494,226     32,761,172     (733,054 )

Swedish Krona settling 3/16/09

   63,148     7,977,261     7,010,482     (966,779 )

Swedish Krona settling 3/16/09

   20,245     2,422,593     2,247,533     (175,060 )

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   249

 

International Value Portfolio—Portfolio of Investments

 

      Contract
Amount
(000)		    U.S. $ Value
on
Origination
Date		    U.S. $
Value at
February 28,
2009		    Unrealized
Appreciation/
(Depreciation)		  

Buy Contracts: (continued)

            

Swedish Krona settling 3/16/09

    166,762    $     20,259,866    $     18,513,364    $ (1,746,502 )

Swedish Krona settling 6/15/09

    20,443      2,289,634      2,271,811      (17,823 )

Sale Contracts:

            

British Pound settling 3/16/09

    15,678      23,255,491      22,443,512      811,979  

British Pound settling 3/16/09

    1,292      1,994,654      1,849,535      145,119  

British Pound settling 3/16/09

    25,572      37,047,435      36,607,059      440,376  

Canadian Dollar settling 3/16/09

    2,446      1,947,297      1,922,599      24,698  

Canadian Dollar settling 3/16/09

    2,170      1,672,408      1,705,658      (33,250 )

Canadian Dollar settling 3/16/09

    16,782      13,311,124      13,190,948      120,176  

Canadian Dollar settling 3/16/09

    8,970      7,558,140      7,050,578      507,562  

Canadian Dollar settling 6/15/09

    7,792      6,281,085      6,129,039      152,046  

Euro settling 3/16/09

    10,098      12,626,539      12,800,639      (174,100 )

Euro settling 3/16/09

    7,709      9,977,759      9,772,245      205,514  

Euro settling 3/16/09

    52,642      68,134,541      66,731,160          1,403,381  

Euro settling 3/16/09

    7,527      9,900,413      9,541,534      358,879  

Euro settling 6/15/09

    45,692      57,667,416      57,915,129      (247,713 )

Norwegian Krone settling 3/16/09

    147,113      21,260,026      20,920,084      339,942  

Swedish Krona settling 3/16/09

    15,593      1,934,615      1,731,083      203,532  

Swedish Krona settling 3/16/09

    15,073      1,825,260      1,673,354      151,906  

Swedish Krona settling 3/16/09

    32,482      3,837,529      3,606,044      231,485  

Swedish Krona settling 3/16/09

    187,007      23,956,214      20,760,897      3,195,317  

Swedish Krona settling 6/15/09

    200,272      22,666,999      22,256,036      410,963  

Swiss Franc settling 3/16/09

    5,744      5,241,115      4,911,123      329,992  

Swiss Franc settling 3/16/09

    9,245      8,115,273      7,904,479      210,794  

 

(a) Position, or a portion thereof, has been segregated to collateralize forward currency exchange contracts. The aggregate market value of these securities amounted to $615,395,065.

 

(b) Non-income producing security.

 

(c) Security is exempt from registration under Rule 144A of the Securities Act of 1933. This security is considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At February 28, 2009, the market value of this security amounted to $6,333,176 or 0.9% of net assets.

 

(d) Investment in affiliated money market mutual fund.

Glossary:

ADR – American Depositary Receipt

GDR – Global Depositary Receipt

See notes to financial statements.

 

250   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Value Portfolio—Portfolio of Investments

 

INTERNATIONAL GROWTH PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 96.9%

     

Health Care – 16.0%

     

Biotechnology – 0.7%

     

CSL Ltd./Australia(a)

    239,652   $ 5,542,288
        

Pharmaceuticals – 15.3%

     

AstraZeneca PLC(a)

    329,050     10,434,741

Bayer AG(a)

    424,427     20,326,139

GlaxoSmithKline PLC(a)

    258,257     3,916,946

Novartis AG(a)

    302,816     11,047,730

Novo Nordisk A/S – Class B

    315,154     15,345,928

Roche Holding AG(a)

    66,319     7,528,370

Sanofi-Aventis(a)

    379,147     19,487,035

Teva Pharmaceutical Industries Ltd. (Sponsored) (ADR)

    650,700     29,008,206
        
       117,095,095
        
       122,637,383
        

Consumer Staples – 15.1%

     

Beverages – 0.5%

     

Pernod-Ricard SA(a)

    77,524     4,221,250
        

Food & Staples Retailing – 2.7%

     

Tesco PLC(a)

    4,314,767     20,462,379
        

Food Products – 5.1%

     

Nestle SA(a)

    742,054     24,258,079

Unilever PLC(a)

    754,441     14,574,058
        
       38,832,137
        

Household Products – 3.4%

     

Reckitt Benckiser PLC(a)

    676,844     25,899,815
        

Tobacco – 3.4%

     

British American Tobacco PLC(a)

    1,037,660     26,523,018
        
       115,938,599
        

Energy – 12.1%

     

Oil, Gas & Consumable Fuels – 12.1%

     

BG Group PLC(a)

    1,716,024     24,529,524

Petroleo Brasileiro SA (ADR)

    542,700     15,049,071

Royal Dutch Shell PLC (London Virt-X) – Class A(a)

    820,598     18,015,695

StatoilHydro ASA(a)

    863,523     14,336,774

Total SA(a)

    437,047     20,533,138
        
       92,464,202
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   251

 

International Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Financials – 10.3%

     

Capital Markets – 3.8%

     

Credit Suisse Group AG(a)

    390,607   $ 9,505,778

Julius Baer Holding AG(a)

    414,019     9,543,069

Man Group PLC(a)

    4,018,781     9,774,917
        
       28,823,764
        

Commercial Banks – 2.9%

     

Banco Itau Holding Financeira SA (ADR)

    250,400     2,298,672

Banco Santander Central Hispano SA(a)

    1,404,378     8,579,196

Industrial & Commercial Bank of China Ltd.

    14,622,000     5,889,101

Standard Chartered PLC(a)

    597,209     5,628,268
        
       22,395,237
        

Insurance – 3.5%

     

Muenchener Rueckversicherungs AG (MunichRe)(a)

    83,912     10,205,289

QBE Insurance Group Ltd.(a)

    1,138,602     13,675,314

Zurich Financial Services AG(a)

    20,543     2,909,246
        
       26,789,849
        

Real Estate Management &
Development – 0.1%

     

China Overseas Land & Investment Ltd.

    666,000     869,837
        
       78,878,687
        

Consumer Discretionary – 9.9%

     

Auto Components – 1.0%

     

Bridgestone Corp.(a)

    289,000     3,936,108

Denso Corp.(a)

    213,000     4,044,107
        
       7,980,215
        

Automobiles – 2.1%

     

Honda Motor Co. Ltd.(a)

    659,700     15,775,263
        

Distributors – 0.3%

     

Li & Fung Ltd.

    870,000     1,885,272
        

Hotels, Restaurants & Leisure – 1.5%

     

Carnival PLC(a)

    291,769     5,912,772

Compass Group PLC(a)

    1,328,719     5,837,727
        
       11,750,499
        

Media – 3.0%

     

British Sky Broadcasting Group PLC(a)

    683,515     4,556,272

Eutelsat Communications(a)

    300,582     6,173,059

Pearson PLC(a)

    301,366     2,827,879

SES SA (FDR)(a)

    530,818     9,722,493
        
       23,279,703
        

Multiline Retail – 0.6%

     

Next PLC(a)

    250,175     4,148,630
        

 

252   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Specialty Retail – 1.4%

     

Hennes & Mauritz AB – Class B(a)

    163,320   $ 6,058,218

Kingfisher PLC(a)

    2,741,215     4,912,469
        
       10,970,687
        
       75,790,269
        

Telecommunication Services – 8.8%

     

Diversified Telecommunication
Services – 4.2%

     

Deutsche Telekom AG(a)

    952,894     11,457,320

Telefonica SA(a)

    1,127,649     20,753,367
        
       32,210,687
        

Wireless Telecommunication
Services – 4.6%

     

China Mobile Ltd.

    393,000     3,414,428

KDDI Corp.(a)

    848     4,442,397

MTN Group Ltd.

    391,377     3,314,430

NTT DoCoMo, Inc.(a)

    3,019     4,703,056

Vodafone Group PLC(a)

    10,853,368     19,230,806
        
       35,105,117
        
       67,315,804
        

Materials – 7.7%

     

Chemicals – 2.2%

     

Syngenta AG(a)

    79,222     16,935,886
        

Construction Materials – 1.2%

     

CRH PLC(a)

    471,924     9,612,441
        

Metals & Mining – 4.3%

     

ArcelorMittal (Euronext Amsterdam)(a)

    162,739     3,119,183

Barrick Gold Corp.(a)

    235,479     7,116,937

BHP Billiton PLC(a)

    728,260     11,349,845

Cia Vale do Rio Doce – Class B (ADR)

    863,200     11,126,648
        
       32,712,613
        
       59,260,940
        

Industrials – 7.2%

     

Aerospace & Defense – 2.3%

     

BAE Systems PLC(a)

    3,361,717     17,748,079
        

Construction & Engineering – 0.4%

     

China Railway Construction Corp. Ltd.(b)

    2,810,000     3,392,889
        

Electrical Equipment – 0.9%

     

Schneider Electric SA(a)

    108,879     6,499,504
        

Machinery – 1.1%

     

Atlas Copco AB – Class A(a)

    653,673     4,509,564

NGK Insulators Ltd.(a)

    322,000     4,235,281
        
       8,744,845
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   253

 

International Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Trading Companies & Distributors – 2.5%

     

Mitsubishi Corp.(a)

    458,800   $ 5,708,150

Mitsui & Co. Ltd.(a)

    1,436,000     13,227,661
        
       18,935,811
        
       55,321,128
        

Utilities – 7.1%

     

Electric Utilities – 1.4%

     

E.ON AG(a)

    409,043     10,457,038
        

Independent Power Producers & Energy Traders – 0.6%

     

China Resources Power Holdings Co.

    2,462,000     4,555,679
        

Multi-Utilities – 5.1%

     

Centrica PLC(a)

    2,287,338     8,796,326

GDF Suez(a)

    469,297     14,820,323

National Grid PLC(a)

    1,748,546     15,564,825
        
       39,181,474
        
       54,194,191
        

Information Technology – 2.7%

     

Electronic Equipment, Instruments & Components – 0.5%

     

AU Optronics Corp. (Sponsored) (ADR)

    531,800     3,823,642
        

Internet Software & Services – 0.5%

     

Tencent Holdings Ltd.

    649,000     3,707,695
        

IT Services – 0.2%

     

Cap Gemini(a)

    65,636     1,881,034
        

Software – 1.5%

     

Nintendo Co. Ltd.(a)

    26,700     7,622,832

SAP AG(a)

    121,886     3,899,498
        
       11,522,330
        
       20,934,701
        

Total Common Stocks
(cost $1,057,819,009)

        742,735,904
        
    

WARRANTS – 1.2%

     

Information Technology – 1.2%

     

Semiconductors & Semiconductor Equipment – 1.2%

     

Taiwan Semiconductor Manufacturing Co, Ltd. 01/02/12, expiring 2/01/12(b)
(cost $9,434,971)

    7,062,000     9,039,360
        
    

 

254   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value  
   
    

SHORT-TERM INVESTMENTS – 2.8%

     

Investment Companies – 2.8%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(c)
(cost $21,698,070)

    21,698,070   $ 21,698,070  
          

Total Investments – 100.9%
(cost $1,088,952,050)

       773,473,334  

Other assets less liabilities – (0.9)%

        (7,131,453 )
          

Net Assets – 100.0%

      $ 766,341,881  
          

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note C)

 

     Contract
Amount
(000)		   U.S. $
Value on
Origination
Date		   U.S. $
Value at
February 28,
2009		   Unrealized
Appreciation/
(Depreciation)		  

Buy Contracts:

        

Australian Dollar settling 3/16/09

   21,700   $ 15,328,880   $ 13,862,943   $ (1,465,937 )

British Pound settling 3/16/09

   17,362     23,995,152     24,854,206     859,054  

British Pound settling 3/16/09

   12,339     17,775,810     17,663,636     (112,174 )

British Pound settling 3/16/09

   6,027     8,648,383     8,627,825     (20,558 )

Euro settling 3/16/09

   26,416     36,332,038     33,486,006     (2,846,032 )

Euro settling 3/16/09

   10,415     14,500,284     13,202,481     (1,297,803 )

Euro settling 3/16/09

   7,187     9,770,726     9,110,536     (660,190 )

Euro settling 3/16/09

   44,621     61,144,156     56,563,411     (4,580,745 )

Euro settling 3/16/09

   5,747     7,588,913     7,285,133     (303,780 )

Japanese Yen settling 3/16/09

   1,212,064     13,066,667     12,422,159     (644,508 )

Japanese Yen settling 3/16/09

   11,267,814         123,698,433         115,481,177     (8,217,256 )

Japanese Yen settling 6/15/09

   629,112     6,903,532     6,461,601     (441,931 )

New Zealand Dollar settling 3/16/09

   21,872     12,903,386     10,944,395     (1,958,991 )

Norwegian Krone settling 3/16/09

   188,258     26,907,454     26,771,075     (136,379 )

Sale Contracts:

        

British Pound settling 3/16/09

   23,456     35,812,386     33,577,944     2,234,442  

British Pound settling 3/16/09

   10,129     14,887,604     14,499,957     387,647  

British Pound settling 3/16/09

   6,967     10,111,694     9,973,462     138,232  

British Pound settling 3/16/09

   4,397     6,630,676     6,294,433     336,243  

British Pound settling 3/16/09

   116,173     176,887,333     166,305,017         10,582,316  

Canadian Dollar settling 3/16/09

   6,820     5,403,478     5,360,640     42,838  

Euro settling 3/16/09

   13,519     17,651,082     17,137,239     513,843  

Euro settling 3/16/09

   7,371     9,540,285     9,343,782     196,503  

Euro settling 3/16/09

   5,147     6,721,467     6,524,548     196,919  

Euro settling 3/16/09

   13,983     17,796,723     17,725,424     71,299  

Euro settling 3/16/09

   8,526     10,876,021     10,807,907     68,114  

Japanese Yen settling 3/16/09

   823,996     9,199,464     8,444,941     754,523  

Japanese Yen settling 3/16/09

   830,057     9,338,550     8,507,059     831,491  

Swedish Krona settling 3/16/09

   29,795     3,826,986     3,307,742     519,244  

Swiss Franc settling 3/16/09

   2,525     2,303,937     2,158,876     145,061  

Swiss Franc settling 3/16/09

   47,924     43,985,131     40,975,042     3,010,089  

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   255

 

International Growth Portfolio—Portfolio of Investments

 

(a) Position, or a portion thereof, has been segregated to collateralize forward currency exchange contracts. The aggregate market value of these securities amounted to $615,306,131.

 

(b) Non-income producing security.

 

(c) Investment in affiliated money market mutual fund.

Glossary:

 

ADR – American Depositary Receipt
FDR – Fiduciary Depositary Receipt

 

See notes to financial statements.

 

256   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

International Growth Portfolio—Portfolio of Investments

 

SMALL-MID CAP VALUE PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 95.3%

     

Financials – 20.0%

     

Commercial Banks – 2.3%

     

Popular, Inc.

    29,300   $ 65,925

The South Financial Group, Inc.

    528,000     665,280

Susquehanna Bancshares, Inc.

    200,800     1,761,016

Synovus Financial Corp.

    225,300     784,044

Trustmark Corp.

    121,300     2,157,927

Webster Financial Corp.

    303,500     1,177,580

Whitney Holding Corp.

    162,000     1,790,100
        
       8,401,872
        

Insurance – 10.2%

     

Arch Capital Group Ltd.(a)

    104,100     5,621,400

Aspen Insurance Holdings Ltd.

    343,500     7,484,865

Fidelity National Financial, Inc. – Class A

    305,000     5,053,850

Old Republic International Corp.

    376,000     3,414,080

PartnerRe Ltd.

    45,500     2,816,450

Platinum Underwriters Holdings, Ltd.

    256,700     7,197,868

Reinsurance Group of America, Inc. – Class A

    59,700     1,623,840

RenaissanceRe Holdings Ltd.

    35,000     1,576,050

StanCorp Financial Group, Inc.

    144,300     2,595,957
        
       37,384,360
        

Real Estate Investment Trusts
(REITs) – 4.8%

     

Alexandria Real Estate Equities, Inc.

    49,000     1,958,040

Digital Realty Trust, Inc.

    171,300     5,120,157

Home Properties, Inc.

    120,913     3,209,031

Mid-America Apartment Communities, Inc.

    74,000     1,912,900

Sunstone Hotel Investors, Inc.

    299,301     655,469

Tanger Factory Outlet Centers

    138,100     3,811,560

Taubman Centers, Inc.

    66,300     1,037,595
        
       17,704,752
        

Real Estate Management &
Development – 0.5%

     

Brookfield Properties Corp.

    373,700     1,849,815
        

Thrifts & Mortgage Finance – 2.2%

     

Astoria Financial Corp.

    113,400     810,810

First Niagara Financial Group, Inc.

    167,400     1,945,188

Provident Financial Services, Inc.

    129,600     1,210,464

Washington Federal, Inc.

    359,450     4,094,136
        
       8,060,598
        
       73,401,397
        

Information Technology – 16.2%

     

Communications Equipment – 0.3%

     

CommScope, Inc.(a)

    126,600     1,130,538
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   257

 

Small-Mid Cap Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Computers & Peripherals – 2.6%

     

Lexmark International, Inc. – Class A(a)

    127,100   $ 2,178,494

SanDisk Corp.(a)

    274,000     2,441,340

Western Digital Corp.(a)

    356,500     4,869,790
        
       9,489,624
        

Electronic Equipment, Instruments & Components – 8.7%

     

Anixter International, Inc.(a)

    151,900     4,467,379

Arrow Electronics, Inc.(a)

    256,000     4,257,280

AU Optronics Corp. (Sponsored) (ADR)

    744,000     5,349,360

Avnet, Inc.(a)

    196,400     3,391,828

AVX Corp.

    235,600     2,016,736

Benchmark Electronics, Inc.(a)

    170,300     1,663,831

Flextronics International Ltd.(a)

    941,300     1,939,078

Ingram Micro, Inc. – Class A(a)

    382,800     4,168,692

Insight Enterprises, Inc.(a)

    393,000     1,033,590

Tech Data Corp.(a)

    216,700     3,746,743
        
       32,034,517
        

IT Services – 0.9%

     

Convergys Corp.(a)

    406,900     2,624,505

Perot Systems Corp. – Class A(a)

    39,092     444,867
        
       3,069,372
        

Semiconductors & Semiconductor Equipment – 3.2%

     

Amkor Technology, Inc.(a)

    506,000     865,260

Siliconware Precision Industries Co. (Sponsored) (ADR)

    1,226,100     5,431,623

Teradyne, Inc.(a)

    782,400     3,231,312

Zoran Corp.(a)

    432,600     2,249,520
        
       11,777,715
        

Software – 0.5%

     

Amdocs Ltd.(a)

    117,400     1,966,450
        
       59,468,216
        

Industrials – 13.5%

     

Aerospace & Defense – 0.6%

     

Goodrich Corp.

    64,300     2,130,902
        

Airlines – 1.6%

     

Alaska Air Group, Inc.(a)

    111,700     2,447,347

Continental Airlines, Inc. – Class B(a)

    181,300     1,816,626

Skywest, Inc.

    164,700     1,686,528
        
       5,950,501
        

Building Products – 0.4%

     

Quanex Building Products Corp.

    198,200     1,389,382
        

 

258   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Small-Mid Cap Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Commercial Services & Supplies – 1.1%

     

United Stationers, Inc.(a)

    176,800   $ 3,841,864
        

Electrical Equipment – 2.8%

     

Acuity Brands, Inc.

    103,600     2,374,512

Cooper Industries Ltd. – Class A

    94,000     1,982,460

EnerSys(a)

    298,600     3,200,992

Regal-Beloit Corp.

    97,000     2,781,960
        
       10,339,924
        

Machinery – 3.9%

     

Briggs & Stratton Corp.

    344,100     4,191,138

Gardner Denver, Inc.(a)

    91,900     1,738,748

Mueller Industries, Inc.

    245,000     4,427,150

Terex Corp.(a)

    445,100     3,970,292
        
       14,327,328
        

Professional Services – 0.8%

     

Kelly Services, Inc. – Class A

    400,100     3,040,760
        

Road & Rail – 1.4%

     

Arkansas Best Corp.

    45,800     797,836

Con-way, Inc.

    116,300     1,757,293

Hertz Global Holdings, Inc.(a)

    442,900     1,399,564

Werner Enterprises, Inc.

    97,100     1,322,502
        
       5,277,195
        

Trading Companies & Distributors – 0.9%

     

GATX Corp.

    186,700     3,411,009
        
       49,708,865
        

Consumer Staples – 10.8%

     

Beverages – 1.3%

     

Pepsi Bottling Group, Inc.

    251,500     4,652,750
        

Food & Staples Retailing – 2.7%

     

Ruddick Corp.

    297,200     6,443,296

Supervalu, Inc.

    228,200     3,562,202
        
       10,005,498
        

Food Products – 5.2%

     

Bunge Ltd.

    96,000     4,500,480

Del Monte Foods Co.

    1,013,800     7,248,670

Smithfield Foods, Inc.(a)

    447,100     3,509,735

Tyson Foods, Inc. – Class A

    479,400     4,041,342
        
       19,300,227
        

Tobacco – 1.6%

     

Universal Corp.

    207,200     5,954,928
        
       39,913,403
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   259

 

Small-Mid Cap Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Consumer Discretionary – 8.3%

     

Auto Components – 0.3%

     

ArvinMeritor, Inc.

    618,700   $ 389,781

Autoliv, Inc.

    61,500     915,120
        
       1,304,901
        

Automobiles – 1.0%

     

Thor Industries, Inc.

    336,700     3,606,057
        

Hotels, Restaurants & Leisure – 0.5%

     

Boyd Gaming Corp.

    458,500     1,948,625
        

Household Durables – 0.4%

     

Mohawk Industries, Inc.(a)

    63,300     1,429,947
        

Leisure Equipment & Products – 1.0%

     

Callaway Golf Co.

    529,900     3,587,423
        

Media – 0.5%

     

CBS Corp. – Class B

    279,900     1,195,173

Gannett Co., Inc.

    191,800     621,432
        
       1,816,605
        

Multiline Retail – 0.9%

     

JC Penney Co., Inc.

    217,100     3,328,143
        

Specialty Retail – 3.5%

     

AutoNation, Inc.(a)

    191,900     1,915,162

Foot Locker, Inc.

    646,800     5,374,908

Limited Brands, Inc.

    225,800     1,736,402

Men’s Wearhouse, Inc.

    349,500     3,732,660
        
       12,759,132
        

Textiles, Apparel & Luxury Goods – 0.2%

     

Jones Apparel Group, Inc.

    240,100     645,869
        
       30,426,702
        

Materials – 8.3%

     

Chemicals – 3.3%

     

Arch Chemicals, Inc.

    129,866     2,334,990

Celanese Corp. – Class A

    241,200     2,059,848

Cytec Industries, Inc.

    178,400     2,747,360

Methanex Corp.

    170,600     1,248,792

Rockwood Holdings, Inc.(a)

    349,100     2,056,199

Westlake Chemical Corp.

    119,000     1,486,310
        
       11,933,499
        

Containers & Packaging – 2.1%

     

Aptargroup, Inc.

    133,000     3,731,980

Owens-Illinois, Inc.(a)

    119,500     1,842,690

Sonoco Products Co.

    113,300     2,183,291
        
       7,757,961
        

 

260   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Small-Mid Cap Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Metals & Mining – 2.9%

     

Commercial Metals Co.

    454,600   $ 4,641,466

Reliance Steel & Aluminum Co.

    173,300     4,122,807

Steel Dynamics, Inc.

    228,100     1,904,635
        
       10,668,908
        
       30,360,368
        

Energy – 6.2%

     

Energy Equipment & Services – 1.6%

     

Helmerich & Payne, Inc.

    148,400     3,511,144

Oil States International, Inc.(a)

    163,300     2,175,156
        
       5,686,300
        

Oil, Gas & Consumable Fuels – 4.6%

     

Cimarex Energy Co.

    232,100     4,560,765

Denbury Resources, Inc.(a)

    293,200     3,776,416

Frontier Oil Corp.

    404,100     5,515,965

Whiting Petroleum Corp.(a)

    134,500     3,133,850
        
       16,986,996
        
       22,673,296
        

Health Care – 6.1%

     

Health Care Providers & Services – 6.1%

     

AMERIGROUP Corp.(a)

    160,500     3,977,190

Coventry Health Care, Inc.(a)

    170,900     1,968,768

LifePoint Hospitals, Inc.(a)

    194,078     4,079,520

Molina Healthcare, Inc.(a)

    228,925     4,287,765

Omnicare, Inc.

    151,600     3,930,988

Universal Health Services, Inc. – Class B

    113,400     4,176,522
        
       22,420,753
        

Utilities – 5.9%

     

Electric Utilities – 2.8%

     

Allegheny Energy, Inc.

    58,800     1,390,032

Northeast Utilities

    289,500     6,342,945

Portland General Electric Co.

    158,125     2,596,412
        
       10,329,389
        

Gas Utilities – 1.5%

     

Atmos Energy Corp.

    253,091     5,524,977
        

Independent Power Producers & Energy Traders – 0.3%

     

Reliant Energy, Inc.(a)

    378,000     1,307,880
        

Multi-Utilities – 1.3%

     

Wisconsin Energy Corp.

    118,600     4,722,652
        
       21,884,898
        

Total Common Stocks
(cost $632,567,402)

        350,257,898
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   261

 

Small-Mid Cap Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value  
   
    

SHORT-TERM INVESTMENTS – 5.2%

     

Investment Companies – 5.2%

     

AllianceBernstein Fixed-Income Shares, Inc. –Government STIF Portfolio(b)
(cost $19,152,727)

    19,152,727   $ 19,152,727  
          

Total Investments – 100.5%
(cost $651,720,129)

        369,410,625  

Other assets less liabilities – (0.5)%

        (1,968,634 )
          

Net Assets – 100.0%

      $ 367,441,991  
          

 

(a) Non-income producing security.

 

(b) Investment in affiliated money market mutual fund.

Glossary:

ADR – American Depositary Receipt

See notes to financial statements.

 

262   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Small-Mid Cap Value Portfolio—Portfolio of Investments

 

SMALL-MID CAP GROWTH PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 98.9%

     

Information Technology – 20.8%

     

Communications Equipment – 1.4%

     

F5 Networks, Inc.(a)

    273,600   $ 5,472,000
        

Internet Software & Services – 4.4%

     

Akamai Technologies, Inc.(a)

    187,800     3,397,302

Digital River, Inc.(a)

    192,300     4,599,816

VistaPrint Ltd.(a)

    367,400     9,001,300
        
       16,998,418
        

IT Services – 2.5%

     

Alliance Data Systems Corp.(a)

    56,600     1,675,360

Cognizant Technology Solutions Corp. –
Class A(a)

    266,200     4,898,080

Global Payments, Inc.

    107,900     3,310,372
        
       9,883,812
        

Semiconductors & Semiconductor Equipment – 5.0%

     

Atheros Communications, Inc.(a)

    129,400     1,563,152

Cymer, Inc.(a)

    117,600     2,172,072

Hittite Microwave Corp.(a)

    99,700     2,749,726

ON Semiconductor Corp.(a)

    1,500,300     5,491,098

PMC – Sierra, Inc.(a)

    916,900     4,685,359

Verigy Ltd.(a)

    399,800     2,762,618
        
       19,424,025
        

Software – 7.5%

     

Concur Technologies, Inc.(a)

    101,200     2,124,188

Intuit, Inc.(a)

    185,300     4,222,987

McAfee, Inc.(a)

    142,800     3,991,260

Quest Software, Inc.(a)

    344,300     3,890,590

Red Hat, Inc.(a)

    254,100     3,478,629

Solera Holdings, Inc.(a)

    268,700     5,586,273

Synopsys, Inc.(a)

    321,000     5,980,230
        
       29,274,157
        
       81,052,412
        

Industrials – 20.7%

     

Aerospace & Defense – 1.8%

     

Hexcel Corp.(a)

    666,300     4,137,723

L-3 Communications Holdings, Inc.

    44,500     3,010,425
        
       7,148,148
        

Air Freight & Logistics – 2.0%

     

CH Robinson Worldwide, Inc.

    102,400     4,237,312

Expeditors International of Washington, Inc.

    128,200     3,531,910
        
       7,769,222
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   263

 

Small-Mid Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Commercial Services & Supplies – 3.4%

     

Iron Mountain, Inc.(a)

    344,000   $ 6,391,520

Stericycle, Inc.(a)

    144,300     6,923,514
        
       13,315,034
        

Construction & Engineering – 0.1%

     

Chicago Bridge & Iron Co. NV

    31,440     189,583
        

Electrical Equipment – 3.8%

     

Ametek, Inc.

    271,200     7,175,952

Baldor Electric Co.

    361,400     4,412,694

EnerSys(a)

    308,100     3,302,832
        
       14,891,478
        

Machinery – 6.5%

     

Actuant Corp. – Class A

    322,600     3,319,554

Bucyrus International, Inc. – Class A

    311,400     3,867,588

Chart Industries, Inc.(a)

    113,268     727,181

IDEX Corp.

    278,475     5,380,137

Joy Global, Inc.

    275,355     4,807,698

Lincoln Electric Holdings, Inc.

    130,500     4,010,265

Valmont Industries, Inc.

    73,000     3,179,880
        
       25,292,303
        

Marine – 0.8%

     

Kirby Corp.(a)

    141,100     3,109,844
        

Professional Services – 1.4%

     

Huron Consulting Group, Inc.(a)

    134,100     5,534,307
        

Road & Rail – 0.9%

     

Kansas City Southern(a)

    192,400     3,403,556
        
       80,653,475
        

Health Care – 19.8%

     

Biotechnology – 7.5%

     

Acorda Therapeutics, Inc.(a)

    228,300     5,022,600

Alexion Pharmaceuticals, Inc.(a)

    212,500     7,267,500

Cephalon, Inc.(a)

    56,100     3,679,599

Onyx Pharmaceuticals, Inc.(a)

    141,900     4,255,581

OSI Pharmaceuticals, Inc.(a)

    132,000     4,501,200

United Therapeutics Corp.(a)

    63,400     4,254,774
        
       28,981,254
        

Health Care Equipment & Supplies – 6.8%

     

Gen-Probe, Inc.(a)

    145,300     5,894,821

Immucor, Inc.(a)

    270,000     6,058,800

Masimo Corp.(a)

    289,600     7,237,104

NuVasive, Inc.(a)

    245,400     6,957,090

Resmed, Inc.(a)

    13,000     479,440
        
       26,627,255
        

 

264   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Small-Mid Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Health Care Providers & Services – 2.2%

     

athenahealth, Inc.(a)

    156,800   $ 3,995,264

Psychiatric Solutions, Inc.(a)

    259,000     4,387,460
        
       8,382,724
        

Life Sciences Tools & Services – 3.3%

     

Icon PLC (Sponsored) (ADR)(a)

    318,300     6,531,516

Illumina, Inc.(a)

    204,700     6,413,251
        
       12,944,767
        
       76,936,000
        

Consumer Discretionary – 19.7%

     

Diversified Consumer Services – 4.2%

     

Corinthian Colleges, Inc.(a)

    297,800     5,866,660

ITT Educational Services, Inc.(a)

    48,500     5,504,750

Strayer Education, Inc.

    29,500     5,007,625
        
       16,379,035
        

Hotels, Restaurants & Leisure – 1.9%

     

Orient-Express Hotels Ltd. – Class A

    459,200     1,818,432

Panera Bread Co. – Class A(a)

    125,800     5,540,232
        
       7,358,664
        

Internet & Catalog Retail – 1.8%

     

NetFlix, Inc.(a)

    192,700     6,964,178
        

Media – 2.7%

     

Discovery Communications, Inc. – Class A(a)

    185,700     2,880,207

National CineMedia, Inc.

    687,700     7,564,700
        
       10,444,907
        

Multiline Retail – 2.9%

     

Dollar Tree, Inc.(a)

    169,500     6,579,990

Kohl’s Corp.(a)

    131,700     4,627,938
        
       11,207,928
        

Specialty Retail – 4.8%

     

American Eagle Outfitters, Inc.

    643,945     6,284,903

Dick’s Sporting Goods, Inc.(a)

    389,100     4,805,385

Ross Stores, Inc.

    210,800     6,222,816

Williams-Sonoma, Inc.

    185,800     1,622,034
        
       18,935,138
        

Textiles, Apparel & Luxury Goods – 1.4%

     

Carter’s, Inc.(a)

    339,800     5,542,138
        
       76,831,988
        

Energy – 7.8%

     

Energy Equipment & Services – 3.6%

     

Complete Production Services, Inc.(a)

    684,900     2,088,945

FMC Technologies, Inc.(a)

    130,800     3,464,892

Oceaneering International, Inc.(a)

    130,600     4,149,162

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   265

 

Small-Mid Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Superior Energy Services, Inc.(a)

    235,400   $ 3,104,926

Tesco Corp.(a)

    150,500     1,154,335
        
       13,962,260
        

Oil, Gas & Consumable Fuels – 4.2%

     

Bill Barrett Corp.(a)

    118,800     2,297,592

Cabot Oil & Gas Corp.

    170,500     3,473,085

Forest Oil Corp.(a)

    56,100     795,498

Newfield Exploration Co.(a)

    171,700     3,318,961

Penn Virginia Corp.

    110,400     1,529,040

Southwestern Energy Co.(a)

    172,000     4,948,440
        
       16,362,616
        
       30,324,876
        

Financials – 6.4%

     

Capital Markets – 5.5%

     

Affiliated Managers Group, Inc.(a)

    112,650     4,053,147

Greenhill & Co., Inc.

    96,020     6,202,892

Lazard Ltd. – Class A

    256,900     6,237,532

optionsXpress Holdings, Inc.

    66,200     653,394

Pzena Investment Management, Inc. – Class A

    207,000     405,720

Stifel Financial Corp.(a)

    121,500     4,002,210
        
       21,554,895
        

Thrifts & Mortgage Finance – 0.9%

     

People’s United Financial, Inc.

    197,600     3,440,216
        
       24,995,111
        

Telecommunication Services – 2.6%

     

Diversified Telecommunication
Services – 0.9%

     

tw telecom, Inc.(a)

    433,800     3,487,752
        

Wireless Telecommunication
Services – 1.7%

     

SBA Communications Corp. – Class A(a)

    312,200     6,487,516
        
       9,975,268
        

Materials – 1.1%

     

Chemicals – 0.7%

     

Airgas, Inc.

    95,100     2,928,129
        

Metals & Mining – 0.4%

     

Allegheny Technologies, Inc.

    70,980     1,396,177
        
       4,324,306
        

Total Common Stocks
(cost $531,759,415)

        385,093,436
        

 

266   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Small-Mid Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value  
   
    

SHORT-TERM INVESTMENTS – 2.4%

     

Investment Companies – 2.4%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(b)
(cost $9,256,205)

    9,256,205   $ 9,256,205  
          

Total Investments – 101.3%
(cost $541,015,620)

        394,349,641  

Other assets less liabilities – (1.3)%

        (5,092,763 )
          

Net Assets – 100.0%

      $ 389,256,878  
          

 

 

(a) Non-income producing security.

 

(b) Investment in affiliated money market mutual fund.

Glossary:

 

ADR – American Depositary Receipt

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   267

 

Small-Mid Cap Growth Portfolio—Portfolio of Investments

 

SHORT DURATION BOND PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

MORTGAGE PASS-THRU’S – 34.4%

     

Agency Fixed Rate 30-Year – 25.1%

     

Federal Home Loan Mortgage Corp. Gold
Series 2007
6.00%, 7/01/37 - 9/01/37

    $ 12,520   $ 12,975,581

6.50%, 12/01/33

      10,249     10,808,431

7.00%, 2/01/37

      12,318     13,058,362

Series 2008
6.00%, 8/01/38

      29,333     30,399,071

Federal National Mortgage Association
Series 2007
6.50%, 10/01/37

      58,201     60,951,505

Series 2008
6.00%, 8/01/38

      43,127     44,589,169

6.50%, 12/01/28 - 10/01/35

      31,752     33,543,348

Government National Mortgage Association
Series 2008
6.50%, 9/15/38

      35,161     36,709,172
        
       243,034,639
        

Agency ARMS – 8.3%

     

Federal Home Loan Mortgage Corp.
Series 2005
4.779%, 5/01/35(a)

      6,533     6,678,862

Series 2006
6.209%, 12/01/36(a)

      4,241     4,413,824

Series 2007
5.913%, 11/01/36(a)

      7,821     8,122,691

6.077%, 1/01/37(a)

      6,838     7,116,320

Federal National Mortgage Association
Series 2005
4.545%, 2/01/35(a)

      10,144     10,273,449

Series 2006
4.478%, 1/01/36(a)

      9,154     9,246,572

5.825%, 11/01/36(a)

      11,248     11,715,274

Series 2007
4.399%, 11/01/35(a)

      10,129     10,299,382

5.782%, 8/01/37(a)

      12,163     12,686,189
        
       80,552,563
        

Agency Fixed Rate 15-Year – 1.0%

     

Federal National Mortgage Association
Series 1998
6.00%, 10/01/13 - 12/01/13

      40     42,117

Series 2001
6.00%, 11/01/16

      168     176,509

Series 2002
6.00%, 12/01/17

      95     99,618

 

268   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Series 2005
6.00%, 6/01/17 - 6/01/20

    $ 352   $ 366,967

Series 2006
6.00%, 5/01/21 - 1/01/22

      6,832     7,143,288

Series 2007
6.00%, 2/01/22

      1,505     1,573,986
        
       9,402,485
        

Total Mortgage Pass-Thru’s
(cost $324,385,983)

        332,989,687
        
    

CORPORATES - INVESTMENT GRADES – 23.1%

     

Financial Institutions – 13.3%

     

Banking – 8.7%

     

BB&T Corp.
6.50%, 8/01/11

      3,035     3,094,234

Capital One Bank
5.00%, 6/15/09

      4,160     4,124,536

Comerica, Inc.
4.80%, 5/01/15

      2,380     1,748,543

Credit Suisse USA, Inc.
4.70%, 6/01/09

      6,625     6,652,514

Deutsche Bank Ag London
5.00%, 10/12/10

      2,550     2,551,153

Fifth Third Bancorp
6.25%, 5/01/13

      6,600     6,301,277

JP Morgan Chase & Co.
7.875%, 6/15/10

      4,685     4,794,957

Marshall & Ilsley Corp.
4.375%, 8/01/09

      5,123     5,094,347

Morgan Stanley
5.05%, 1/21/11

      6,635     6,543,517

6.75%, 4/15/11

      4,920     4,940,162

Series MTN
5.625%, 1/09/12

      195     188,090

National City Bank of Cleveland Ohio
Series BKNT
6.25%, 3/15/11

      6,470     6,320,957

PNC Funding Corp.
4.50%, 3/10/10

      2,445     2,403,217

Royal Bank of Canada
5.65%, 7/20/11

      4,960     5,252,739

Royal Bank of Scotland Group PLC
6.40%, 4/01/09

      2,429     2,418,172

Union Planters Corp.
7.75%, 3/01/11

      3,867     3,757,421

UnionBanCal Corp.
5.25%, 12/16/13

      5,212     4,860,445

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   269

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

US Bancorp
5.30%, 4/28/09

    $ 6,550   $ 6,560,506

Wells Fargo & Co.
3.125%, 4/01/09

      6,700     6,704,603
        
       84,311,390
        

Finance – 2.3%

     

General Electric Capital Corp.
3.125%, 4/01/09

      6,730     6,735,842

HSBC Finance Corp.
4.75%, 4/15/10

      4,905     4,818,383

8.00%, 7/15/10

      4,710     4,784,375

International Lease Finance Corp.
4.75%, 7/01/09

      6,630     5,710,014
        
       22,048,614
        

Insurance – 1.5%

     

Allstate Life Global Funding Trust
Series 04-1
4.50%, 5/29/09

      2,911     2,913,070

Genworth Financial, Inc.
5.231%, 5/16/09

      2,218     2,186,757

UnitedHealth Group, Inc.
4.125%, 8/15/09

      2,429     2,429,462

WellPoint, Inc.
4.25%, 12/15/09

      6,800     6,782,680
        
       14,311,969
        

Other Finance – 0.2%

     

ORIX Corp.
5.48%, 11/22/11

      3,130     2,167,425
        

REITS – 0.6%

     

Simon Property Group LP
5.00%, 3/01/12

      6,630     5,915,598
        
       128,754,996
        

Industrial – 8.4%

     

Basic – 0.0%

     

United States Steel Corp.
5.65%, 6/01/13

      460     376,350
        

Capital Goods – 0.6%

     

Caterpillar Financial Services
4.50%, 6/15/09

      3,478     3,486,076

Illinois Tool Works, Inc.
5.75%, 3/01/09

      2,624     2,624,000
        
       6,110,076
        

 

270   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Communications -
Telecommunications – 2.6%

     

AT&T, Inc.
4.125%, 9/15/09

    $ 6,670   $ 6,739,508

4.85%, 2/15/14

      4,875     4,835,590

Qwest Corp.
8.875%, 3/15/12

      3,930     3,871,050

Verizon New England, Inc.
6.50%, 9/15/11

      3,215     3,306,094

Vodafone Group PLC
7.75%, 2/15/10

      6,160     6,402,353
        
       25,154,595
        

Consumer Cyclical - Automotive – 1.0%

     

Daimler Finance North America LLC
7.20%, 9/01/09

      5,900     5,882,920

8.00%, 6/15/10

      3,495     3,479,601
        
       9,362,521
        

Consumer Non-Cyclical – 1.4%

     

Avon Products, Inc.
5.625%, 3/01/14

      2,450     2,443,018

Baxter FinCo BV
4.75%, 10/15/10

      5,757     5,912,738

Diageo Capital PLC
4.375%, 5/03/10

      1,720     1,742,501

Genentech, Inc.
4.40%, 7/15/10

      1,910     1,940,942

Kraft Foods, Inc.
4.125%, 11/12/09

      1,639     1,657,775
        
       13,696,974
        

Energy – 1.0%

     

ConocoPhillips
6.375%, 3/30/09

      2,828     2,836,164

Vastar Resources, Inc.
6.50%, 4/01/09

      6,390     6,407,873
        
       9,244,037
        

Services – 0.5%

     

The Western Union Co.
5.40%, 11/17/11

      4,980     4,961,818
        

Technology – 0.3%

     

Motorola, Inc.
8.00%, 11/01/11

      3,240     2,915,222
        

Transportation - Railroads – 0.3%

     

Norfolk Southern Corp.
6.20%, 4/15/09

      2,700     2,702,022
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   271

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Transportation - Services – 0.7%

     

FedEx Corp.
3.50%, 4/01/09

    $ 6,715   $ 6,720,916
        
       81,244,531
        

Utility – 1.4%

     

Electric – 1.4%

     

Pacific Gas & Electric Co.
3.60%, 3/01/09

      6,660     6,660,000

PPL Electric Utilities Corp.
6.25%, 8/15/09

      6,380     6,443,041
        
       13,103,041
        

Total Corporates - Investment Grades
(cost $228,023,174)

        223,102,568
        
    

AGENCIES – 16.7%

     

Agency Debentures – 16.7%

     

Bank of America Corp.
2.10%, 4/30/12

      8,760     8,698,794

3.125%, 6/15/12

      20,625     21,153,268

Bank of America NA
1.70%, 12/23/10

      10,800     10,836,645

Citigroup, Inc.
2.875%, 12/09/11

      20,735     21,172,322

Federal Home Loan Banks
1.625%, 3/16/11

      10,000     9,987,280

3.625%, 9/16/11

      3,700     3,875,091

Federal Home Loan Mortgage Corp.
2.875%, 4/30/10

      7,915     8,045,708

4.125%, 9/27/13

      4,652     4,960,507

Series 1
2.375%, 5/28/10

      22,135     22,409,208

The Goldman Sachs Group, Inc.
3.25%, 6/15/12

      20,570     21,289,765

JP Morgan Chase & Co.
3.125%, 12/01/11

      20,565     21,160,151

Wells Fargo & Co.
3.00%, 12/09/11

      7,493     7,692,344
        

Total Agencies
(cost $158,515,233)

        161,281,083
        
    

COMMERCIAL MORTGAGE-BACKED SECURITIES – 8.8%

     

Non-Agency Fixed Rate CMBS – 6.9%

     

Banc of America Commercial Mortgage, Inc.
Series 2006-6, Class A2
5.309%, 10/10/45

      5,000     3,975,264

 

272   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Bear Stearns Commercial Mortgage Securities, Inc.
Series 2002-TOP6, Class A2
6.46%, 10/15/36

    $ 10,615   $ 10,261,409

GE Capital Commercial Mortgage Corp.
Series 2005-C3, Class A3FX
4.863%, 7/10/45

      5,665     5,255,423

Greenwich Capital Commercial Funding Corp.
Series 2005-GG3, Class A2
4.305%, 8/10/42

      8,452     8,080,949

JP Morgan Chase Commercial Mortgage Securities Corp.
Series 2005-LDP5, Class A2
5.198%, 12/15/44

      5,847     5,285,049

Series 2007-LDPX, Class A2S
5.305%, 1/15/49

      5,950     4,565,558

LB Commercial Conduit Mortgage Trust
Series 2007-C3, Class C
5.938%, 7/15/44

      10,000     1,230,193

LB-UBS Commercial Mortgage Trust
Series 2002-C1, Class A4
6.462%, 3/15/31

      5,900     5,752,354

Series 2003-C5, Class A3
4.254%, 7/15/27

      7,435     6,635,632

Series 2004-C7, Class A2
3.992%, 10/15/29

      15,840     15,380,355

Nomura Asset Securities Corp.
Series 1998-D6, Class A1B
6.59%, 3/15/30

      35     35,238
        
       66,457,424
        

Non-Agency Floating Rate CMBS – 1.9%

     

Banc of America Large Loan, Inc.
Series 2005-MIB1, Class C
0.765%, 3/15/22(a)(b)

      2,500     1,732,974

Commercial Mortgage Pass-Through Certificates
Series 2005-F10A, Class A1
0.555%, 4/15/17(a)(b)

      420     418,094

Series 2005-FL11, Class D
0.795%, 11/15/17(a)(b)

      1,739     1,279,494

Series 2007-FL14, Class C
0.755%, 6/15/22(a)(b)

      3,874     1,756,670

Credit Suisse Mortgage Capital Certificates
Series 2006-TF2A, Class SVD
0.925%, 10/15/21(a)(b)

      4,900     2,697,286

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   273

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Series 2007-TFLA, Class A2
0.575%, 2/15/22(a)(b)

    $ 8,000   $ 4,858,727

Lehman Brothers Floating Rate Commercial Mortgage Trust
Series 2004-LLFA, Class C
0.765%, 10/15/17(a)(b)

      2,400     1,828,644

Morgan Stanley Capital I
Series 2005-XLF, Class G
0.825%, 8/15/19(a)(b)

      2,000     1,800,292

Series 2005-XLF, Class H
0.845%, 8/15/19(a)(b)

      1,000     839,705

Wachovia Bank Commercial Mortgage Trust
Series 2006-WL7A, Class H
0.855%, 9/15/21(a)(b)

      2,600     906,898

Series 2007-WHL8, Class E
0.855%, 6/15/20(a)(b)

      2,725     892,243
        
       19,011,027
        

Total Commercial Mortgage-Backed Securities
(cost $112,650,812)

        85,468,451
        
    

ASSET-BACKED SECURITIES – 5.7%

     

Home Equity Loans - Floating Rate – 2.5%

     

ACE Securities Corp.
Series 2003-OP1, Class A2
0.834%, 12/25/33(a)

      18     13,681

BNC Mortgage Loan Trust
Series 2007-2, Class M5
1.374%, 5/25/37(a)

      1,200     24,240

Credit-Based Asset Servicing and Securitization LLC
Series 2003-CB1, Class AF
3.95%, 1/25/33(c)

      1,621     1,483,783

First Franklin Mortgage Loan Trust
Series 2004-FF4, Class A2
0.764%, 6/25/34(a)

      83     69,973

HFC Home Equity Loan Asset Backed Certificates
Series 2006-1, Class M1
0.75%, 1/20/36(a)

      1,591     934,558

Home Equity Mortgage Trust
Series 2005-3, Class M1
1.014%, 11/25/35(a)

      248     227,109

Household Home Equity Loan Trust
Series 2007-2, Class A2V
0.63%, 7/20/36(a)

      2,800     1,932,876

 

274   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Indymac Residential Asset Backed Trust
Series 2007-B, Class 2A2
0.634%, 7/25/37(a)

    $ 3,350   $ 1,511,764

Lehman ABS Mortgage Loan Trust
Series 2007-1, Class 2A2
0.674%, 6/25/37(a)(b)

      3,700     1,079,711

Lehman XS Trust
Series 2005-2, Class 1M1
0.974%, 8/25/35(a)

      5,000     346,210

Series 2006-1, Class 1M1
0.924%, 2/25/36(a)

      4,000     285,688

Master Asset Backed Securities Trust
Series 2006-WMC1, Class A2
0.584%, 2/25/36(a)

      698     665,861

Merrill Lynch First Franklin Mortgage Loan Trust
Series 2007-1, Class A2A
0.594%, 4/25/37(a)

      2,897     2,299,039

Series 2007-5, Class 2A1
1.174%, 10/25/37(a)

      3,316     2,568,840

Nationstar Home Equity Loan Trust
Series 2007-C, Class 2AV2
0.604%, 6/25/37(a)

      3,100     1,190,917

Newcastle Mortgage Securities Trust
Series 2006-1, Class A2
0.594%, 3/25/36(a)

      1,119     1,090,957

Series 2007-1, Class 2A1
0.604%, 4/25/37(a)

      3,109     2,041,914

Novastar Home Loan Equity
Series 2007-2, Class M1
0.774%, 9/25/37(a)

      4,935     132,752

Option One Mortgage Loan Trust
Series 2006-2, Class 2A2
0.574%, 7/25/36(a)

      3,277     2,672,070

Security National Mortgage Loan Trust
Series 2007-1A, Class 1A1
5.91%, 4/25/37(b)

      1,446     1,436,403

Soundview Home Equity Loan Trust
Series 2007-OPT2, Class 2A2
0.604%, 7/25/37(a)

      4,185     1,323,506

Specialty Underwriting & Residential Finance
Series 2005-AB2, Class M1
0.924%, 6/25/36(a)

      2,000     459,400
        
       23,791,252
        

Home Equity Loans - Fixed Rate – 2.1%

     

American General Mortgage Loan Trust
Series 2003-1, Class A3
4.03%, 4/25/33

      2,901     2,315,611

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   275

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Citifinancial Mortgage Securities, Inc.
Series 2004-1, Class AF2
2.645%, 4/25/34

    $ 194   $ 177,801

Countrywide Asset-Backed Certificates
Series 2007-S1, Class A3
5.81%, 11/25/36

      3,242     579,967

Credit-Based Asset Servicing and Securitization LLC Series 2003-CB3, Class AF1
2.879%, 12/25/32

      2,180     1,370,742

Series 2005-CB4, Class AF2
4.751%, 8/25/35

      1,285     1,022,756

Series 2005-RP2, Class AF2
5.75%, 9/25/35(b)

      1,800     1,751,580

Series 2007-CB4, Class A2A
5.844%, 4/25/37

      1,789     1,648,858

Flagstar Home Equity Loan Trust
Series 2007-1A, Class AF2
5.765%, 1/25/35(b)

      5,500     2,775,184

Home Equity Mortgage Trust
Series 2005-4, Class A3
4.742%, 1/25/36

      377     363,766

Series 2006-5, Class A1
5.50%, 1/25/37

      2,540     505,924

Household Home Equity Loan Trust
Series 2007-1, Class A2F
5.60%, 3/20/36

      7,610     6,286,339

Nationstar NIM Trust
Series 2007-A, Class A
9.97%, 3/25/37(b)(d)

      35     2,289

Structured Asset Securities Corp.
Series 2007-RM1, Class AI0
5.00%, 5/25/47(b)(e)

      10,434     1,819,587
        
       20,620,404
        

Credit Cards - Fixed Rate – 0.6%

     

MBNA Master Credit Card Trust
Series 1999-J, Class A
7.00%, 2/15/12

      5,307     5,365,996
        

Autos - Floating Rate – 0.4%

     

GE Dealer Floorplan Master Note Trust
Series 2006-2, Class A
0.54%, 4/20/13(a)

      4,360     3,795,818
        

Other ABS - Fixed Rate – 0.1%

     

DB Master Finance, LLC
Series 2006-1, Class A2
5.779%, 6/20/31(b)

      1,600     1,040,658
        

 

276   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Other ABS - Floating Rate – 0.0%

     

Petra CRE CDO Ltd.
Series 2007-1A, Class C
1.574%, 2/25/47(a)(b)

    $ 1,865   $ 37,300
        

Total Asset-Backed Securities
(cost $98,415,546)

        54,651,428
        

INFLATION-LINKED SECURITIES – 5.1%

     

United States – 5.1%

     

U.S. Treasury Notes
3.00%, 7/15/12 (TIPS)
(cost $49,960,823)

      48,067     49,779,434
        

CMOS – 3.9%

     

Agency Fixed Rate – 1.3%

     

Fannie Mae REMICS
Series 2005-86, Class WH
5.00%, 11/25/25

      6,262     6,353,620

Series 2006-50, Class PA
5.00%, 4/25/27

      6,253     6,368,570
        
       12,722,190
        

Non-Agency Floating Rate – 1.3%

     

Adjustable Rate Mortgage Trust
Series 2005-11, Class 5M1
0.944%, 2/25/36(a)

      4,155     31,163

American Home Mortgage Investment Trust
Series 2005-2, Class 2A1
2.044%, 9/25/45(a)

      98     48,755

Countrywide Alternative Loan Trust
Series 2006-OA14, Class 3A1
2.673%, 11/25/46(a)

      2,136     666,540

Countrywide Home Loan Mortgage Pass Through Trust Series 2004-25, Class 1A6
0.954%, 2/25/35(a)

      138     30,652

Deutsche ALT-A Securities, Inc. Alternate Loan Trust Series 2005-AR1, Class 1A1
0.784%, 8/25/35(a)

      118     53,801

Series 2007-OA4, Class 1A1A
0.664%, 8/25/47(a)

      2,775     897,419

Homebanc Mortgage Trust
Series 2005-4, Class A2
0.804%, 10/25/35(a)

      3,807     1,671,300

Lehman XS Trust
Series 2007-2N, Class M1
0.814%, 2/25/37(a)

      3,602     62,962

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   277

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

MLCC Mortgage Investors, Inc.
Series 2004-A, Class A1
0.704%, 4/25/29(a)

    $ 104   $ 59,667

Mortgage Equity Conversion Asset Trust
Series 2007-FF2, Class A
0.84%, 2/25/42(a)(b)

      3,481     3,304,690

Sequoia Mortgage Trust
Series 2007-3, Class 1A1
0.67%, 7/20/36(a)

      3,397     1,817,041

Structured Adjustable Rate Mortgage Loan Trust
Series 2005-5, Class A3
0.704%, 5/25/35(a)

      179     94,256

Series 2005-9, Class 2A1
2.914%, 5/25/35(a)

      964     304,620

Structured Asset Mortgage Investment, Inc.
Series 2004-AR5, Class 1A1
0.796%, 10/19/34(a)

      693     358,851

WaMu Mortgage Pass Through Certificates
Series 2006-AR11, Class 1A
2.783%, 9/25/46(a)

      3,511     1,092,735

Series 2006-AR4, Class 1A1B
2.763%, 5/25/46(a)

      1,405     281,099

Series 2006-AR9, Class 1AB2
0.694%, 8/25/46(a)

      4,400     1,854,208
        
       12,629,759
        

Non-Agency Fixed Rate – 0.7%

     

Deutsche ALT-A Securities, Inc. Alternate Loan Trust
Series 2006-AB2, Class A7
5.961%, 6/25/36

      678     637,810

Merrill Lynch Mortgage Investors, Inc.
Series 2005-A8, Class A1C1
5.25%, 8/25/36

      1,376     973,183

Nomura Asset Acceptance Corp.
Series 2006-WF1, Class A2
5.755%, 6/25/36

      6,125     5,138,006
        
       6,748,999
        

Agency Floating Rate – 0.5%

     

Federal National Mortgage Association
Series 2003-52, Class FV
1.474%, 5/25/31(a)

      2,799     2,790,880

Series 2003-W13, Class AV2
0.754%, 10/25/33(a)

      328     275,802

Freddie Mac Reference REMIC
Series 2006-R008, Class FK
0.855%, 7/15/23(a)

      1,586     1,567,769
        
       4,634,451
        

 

278   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

    

Principal

Amount

(000)

   U.S. $ Value
 
    

Non-Agency ARMS – 0.1%

     

Bear Stearns Alt-A Trust
Series 2006-1, Class 22A1
5.313%, 2/25/36(f)

    $ 3,197   $ 1,414,046
        

Total CMOs
(cost $63,738,188)

        38,149,445
        
    

GOVERNMENTS - TREASURIES – 1.3%

     

United States – 1.3%

     

U.S. Treasury Bonds
5.00%, 8/15/11
(cost $12,391,636)

      11,300     12,388,506
        
     Shares    

SHORT-TERM INVESTMENTS – 0.5%

     

Investment Companies – 0.5%

     

AllianceBernstein Fixed-Income Shares, Inc. –Government STIF Portfolio(g)
(cost $4,682,302)

      4,682,302     4,682,302
        

Total Investments – 99.5%
(cost $1,052,763,697)

       962,492,904

Other assets less liabilities – 0.5%

        4,417,100
        

Net Assets – 100.0%

      $ 966,910,004
        

FINANCIAL FUTURES CONTRACTS (see Note C)

 

Type   Number of
Contracts		   Expiration
Month		   Original
Value		   Value at
February 28,
2009		   Unrealized
Appreciation/
(Depreciation)		  

Purchased Contracts

          

U.S. T-Note 2 Yr Futures

   1,343   June 2009   $     291,371,094   $     290,906,392   $ (464,702 )

Sold Contracts

          

U.S. T-Note 10 Yr Futures

   399   June 2009     48,431,110     47,892,469     538,641  

U.S. T-Note 5 Yr Futures

   217   June 2009     25,402,148     25,299,149     102,999  
               
          $      176,938  
               
(a) Floating Rate Security. Stated interest rate was in effect at February 28, 2009.

 

(b) Security is exempt from registration under Rule 144A of the Securities Act of 1933. These securities are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At February 28, 2009, the aggregate market value of these securities amounted to $32,258,429 or 3.3% of net assets.

 

(c) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at February 28, 2009.

 

(d) Illiquid security, valued at fair value.

 

(e) IO – Interest Only

 

(f) Variable rate coupon, rate shown as of February 28, 2009.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   279

 

Short Duration Bond Portfolio—Portfolio of Investments

 

(g) Investment in affiliated money market mutual fund.

The fund currently owns investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the fund’s total exposure to subprime investments was 6.34%. These investments are valued in accordance with the fund’s Valuation Policies (see Note A for additional details).

Glossary:

ABS – Asset-Backed Securities

ARMS – Adjustable Rate Mortgages

CMBS – Commercial Mortgage-Backed Securities

CMOS – Collateralized Mortgage Obligations

REITS – Real Estate Investment Trusts

REMIC – Real Estate Mortgage Investment Conduit

TIPS – Treasury Inflation Protected Security

See notes to financial statements.

 

280   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Short Duration Bond Portfolio—Portfolio of Investments

 

INTERMEDIATE DURATION BOND PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

CORPORATES - INVESTMENT
GRADES – 40.5%

     

Industrial – 18.4%

     

Basic – 2.2%

     

ArcelorMittal
6.125%, 6/01/18(a)

    $ 4,330   $ 3,333,784

BHP Billiton Finance USA Ltd.
7.25%, 3/01/16(a)

      3,132     3,200,024

Celulosa Arauco Y Constitucion
8.625%, 8/15/10(a)

      999     1,031,037

The Dow Chemical Co.
7.375%, 11/01/29(a)

      200     128,435

International Paper Co.
5.30%, 4/01/15(a)

      2,625     1,889,362

7.40%, 6/15/14(a)

      4,280     3,442,849

Lubrizol Corp.
4.625%, 10/01/09(a)

      805     809,748

Packaging Corp. of America
5.75%, 8/01/13(a)

      1,329     1,194,107

PPG Industries, Inc.
5.75%, 3/15/13(a)

      3,190     3,208,119

Rio Tinto Finance USA Ltd.
6.50%, 7/15/18(a)

      2,125     1,877,435

United States Steel Corp.
5.65%, 6/01/13(a)

      3,901     3,191,607

7.00%, 2/01/18(a)

      1,260     944,286
        
       24,250,793
        

Capital Goods – 2.2%

     

Caterpillar Financial Services
4.50%, 6/15/09(a)

      2,246     2,251,215

Fisher Scientific International, Inc.
6.125%, 7/01/15(a)

      5,151     5,074,286

6.75%, 8/15/14(a)

      1,166     1,140,435

Hutchison Whampoa International Ltd.
7.45%, 11/24/33(a)(b)

      1,449     1,308,356

Illinois Tool Works, Inc.
5.75%, 3/01/09(a)

      1,727     1,727,000

Lafarge SA
6.15%, 7/15/11(a)

      2,204     1,942,112

Masco Corp.
4.80%, 6/15/15(a)

      4,795     3,241,051

6.125%, 10/03/16(a)

      5,040     3,471,426

Tyco International Finance SA
6.00%, 11/15/13(a)

      1,250     1,175,519

8.50%, 1/15/19(a)

      1,265     1,320,266

Waste Management, Inc.
6.875%, 5/15/09(a)

      1,435     1,443,939
        
       24,095,605
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   281

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Communications - Media – 1.9%

     

BSKYB Finance UK PLC
5.625%, 10/15/15(a)(b)

    $ 3,710   $ 3,300,027

Comcast Cable Communications Holdings, Inc.
9.455%, 11/15/22(a)

      2,746     2,973,130

Comcast Cable Communications, Inc.
6.875%, 6/15/09(a)

      1,463     1,472,899

Comcast Corp.
5.30%, 1/15/14(a)

      3,203     3,094,204

5.50%, 3/15/11(a)

      2,767     2,807,312

News America Holdings, Inc.
6.55%, 3/15/33(a)

      1,383     1,093,376

Reed Elsevier Capital, Inc.
8.625%, 1/15/19(a)

      1,345     1,347,858

RR Donnelley & Sons Co.
4.95%, 4/01/14(a)

      710     534,255

Time Warner Entertainment Co.
8.375%, 3/15/23(a)

      4,950     4,811,093

WPP Finance Corp.
5.875%, 6/15/14(a)

      376     327,180
        
       21,761,334
        

Communications - Telecommunications – 5.0%

     

AT&T Corp.
8.00%, 11/15/31(a)

      295     323,430

AT&T, Inc.
4.125%, 9/15/09(a)

      2,135     2,157,249

British Telecommunications PLC
8.625%, 12/15/10(a)

      4,581     4,773,613

Embarq Corp.
6.738%, 6/01/13(a)

      3,425     3,219,500

7.082%, 6/01/16(a)

      7,985     7,186,500

New Cingular Wireless Services, Inc.
8.75%, 3/01/31(a)

      2,294     2,512,444

Pacific Bell Telephone Co.
6.625%, 10/15/34(a)

      6,250     5,588,031

Qwest Corp.
7.50%, 10/01/14(a)

      3,270     2,906,213

7.875%, 9/01/11(a)

      3,735     3,678,975

8.875%, 3/15/12(a)

      2,780     2,738,300

Telecom Italia Capital SA
4.00%, 1/15/10(a)

      2,995     2,942,959

6.375%, 11/15/33(a)

      375     279,900

US Cellular Corp.
6.70%, 12/15/33(a)

      4,720     3,387,124

 

282   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Verizon Communications, Inc.
4.90%, 9/15/15(a)

    $ 2,540   $ 2,385,187

5.25%, 4/15/13(a)

      2,310     2,345,165

Verizon New Jersey, Inc.
Series A
5.875%, 1/17/12(a)

      2,259     2,267,019

Vodafone Group PLC
5.50%, 6/15/11(a)

      3,015     3,057,496

7.75%, 2/15/10(a)

      4,075     4,235,323
        
       55,984,428
        

Consumer Cyclical - Other – 0.8%

     

Marriott International, Inc.
Series J
5.625%, 2/15/13(a)

      4,120     3,523,436

MDC Holdings, Inc.
5.50%, 5/15/13(a)

      4,540     3,791,104

Wyndham Worldwide Corp.
6.00%, 12/01/16(a)

      4,535     2,196,650
        
       9,511,190
        

Consumer Non-Cyclical – 2.9%

     

Avon Products, Inc.
6.50%, 3/01/19

      2,850     2,790,731

Baxter FinCo BV
4.75%, 10/15/10(a)

      3,753     3,854,526

Bunge Ltd. Finance Corp.
5.10%, 7/15/15(a)

      1,711     1,334,667

5.875%, 5/15/13(a)

      2,720     2,391,206

Cadbury Schweppes US Finance LLC
5.125%, 10/01/13(a)(b)

      3,480     3,216,550

ConAgra Foods, Inc.
7.875%, 9/15/10(a)

      641     677,647

Fortune Brands, Inc.
4.875%, 12/01/13(a)

      2,016     1,846,188

Kraft Foods, Inc.
4.125%, 11/12/09(a)

      3,245     3,282,172

5.25%, 10/01/13(a)

      4,355     4,427,324

The Kroger Co.
6.80%, 12/15/18(a)

      2,175     2,243,619

Reynolds American, Inc.
7.25%, 6/01/13(a)

      3,730     3,561,038

Safeway, Inc.
6.50%, 3/01/11(a)

      453     474,098

Wyeth
5.50%, 2/01/14(a)

      2,212     2,328,241
        
       32,428,007
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   283

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Energy – 1.8%

     

Amerada Hess Corp.
7.875%, 10/01/29(a)

    $ 3,628   $ 3,432,451

Canadian Natural Resources Ltd.
5.15%, 2/01/13(a)

      1,220     1,166,464

ConocoPhillips
6.375%, 3/30/09(a)

      1,854     1,859,353

Nabors Industries, Inc.
9.25%, 1/15/19(a)(b)

      2,995     2,752,186

Noble Energy, Inc.
8.25%, 3/01/19(a)

      2,858     2,869,409

The Premcor Refining Group, Inc.
7.50%, 6/15/15(a)

      2,115     2,040,552

Valero Energy Corp.
6.875%, 4/15/12(a)

      3,943     3,986,456

Weatherford International Ltd.
5.15%, 3/15/13(a)

      1,600     1,467,582
        
       19,574,453
        

Technology – 1.4%

     

Computer Sciences Corp.
5.50%, 3/15/13(a)(b)

      2,290     2,191,157

Electronic Data Systems Corp.
7.45%, 10/15/29(a)

      1,555     1,721,309

Series B
6.00%, 8/01/13(a)

      5,930     6,259,987

International Business Machines Corp.
Series MTN
4.375%, 6/01/09(a)

      455     456,371

Motorola, Inc.
6.50%, 9/01/25(a)

      1,800     1,033,740

7.50%, 5/15/25(a)

      290     154,748

7.625%, 11/15/10(a)

      146     139,080

Xerox Capital Trust I
8.00%, 2/01/27(a)

      4,410     3,297,247
        
       15,253,639
        

Transportation - Railroads – 0.2%

     

Canadian Pacific Railway Co.
6.50%, 5/15/18(a)

      935     821,335

Norfolk Southern Corp.
6.20%, 4/15/09(a)

      1,770     1,771,326
        
       2,592,661
        
       205,452,110
        

 

284   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Financial Institutions – 18.3%

     

Banking – 11.4%

     

American Express Centurion
Series MTN
4.375%, 7/30/09(a)

    $ 2,567   $ 2,537,780

American Express Co.
4.75%, 6/17/09(a)

      1,922     1,919,845

ANZ National International Ltd.
6.20%, 7/19/13(a)(b)

      1,890     1,811,735

Bank of America Corp.
4.875%, 1/15/13(a)

      4,230     3,711,597

Bank of Tokyo-Mitsubishi UFJ L
7.40%, 6/15/11(a)

      170     175,519

BankAmerica Capital II
Series 2
8.00%, 12/15/26(a)

      1,950     1,159,698

Barclays Bank PLC
8.55%, 6/15/11(a)(b)(c)

      961     348,816

The Bear Stearns Co., Inc.
5.55%, 1/22/17(a)

      5,410     4,815,409

Capital One Bank
5.00%, 6/15/09(a)

      4,275     4,238,556

6.50%, 6/13/13(a)

      2,990     2,772,445

Capital One Financial Corp.
5.50%, 6/01/15(a)

      484     402,171

6.75%, 9/15/17(a)

      383     336,570

Citigroup, Inc.
1.42%, 6/09/09(a)(d)

      421     412,470

4.625%, 8/03/10(a)

      2,357     2,162,962

5.50%, 4/11/13(a)

      2,900     2,625,976

6.50%, 8/19/13(a)

      2,770     2,582,463

Compass Bank
5.50%, 4/01/20(a)

      4,989     3,356,465

Countrywide Financial Corp.
6.25%, 5/15/16(a)

      1,806     1,518,768

Series MTN
5.80%, 6/07/12(a)

      1,272     1,165,690

Countrywide Home Loans, Inc.
Series MTNL
4.00%, 3/22/11(a)

      1,151     1,072,443

Credit Suisse First Boston USA, Inc.
5.50%, 8/15/13(a)

      1,128     1,108,897

Deutsche Bank AG London
5.00%, 10/12/10(a)

      4,225     4,226,910

The Goldman Sachs Group, Inc.
4.75%, 7/15/13(a)

      3,441     3,149,444

5.125%, 1/15/15(a)

      1,590     1,421,989

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   285

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

7.35%, 10/01/09(a)

    $ 899   $ 912,487

7.50%, 2/15/19(a)

      2,855     2,827,718

Huntington National Bank
Series BKNT
4.375%, 1/15/10(a)

      517     496,863

JP Morgan Chase & Co.
6.75%, 2/01/11(a)

      6,200     6,335,817

JP Morgan Chase Capital XXV
Series Y
6.80%, 10/01/37(a)

      733     547,419

KeyBank NA
Series BKNT
7.00%, 2/01/11(a)

      3,140     3,103,485

Marshall & Ilsley Bank
Series BKNT
5.00%, 1/17/17(a)

      3,700     2,525,342

Marshall & Ilsley Corp.
4.375%, 8/01/09(a)

      3,377     3,358,112

5.626%, 8/17/09(a)

      2,022     2,019,022

Merrill Lynch & Co., Inc.
6.05%, 5/16/16(a)

      1,607     1,166,912

Morgan Stanley
5.05%, 1/21/11(a)

      4,375     4,314,677

6.60%, 4/01/12(a)

      2,565     2,546,919

6.75%, 4/15/11(a)

      4,135     4,151,945

Series MTN
5.625%, 1/09/12(a)

      3,940     3,800,390

MUFG Capital Finance 1 Ltd.
6.346%, 7/25/16(a)(c)

      250     172,128

National City Bank of Cleveland Ohio
Series BKNT
6.20%, 12/15/11(a)

      4,225     4,119,058

6.25%, 3/15/11(a)

      4,245     4,147,212

Regions Financial Corp.
6.375%, 5/15/12(a)

      4,250     3,859,408

Resona Bank Ltd.
5.85%, 4/15/16(a)(b)(c)

      330     150,150

Resona Preferred Global Securities
7.191%, 7/30/15(a)(b)(c)

      619     266,829

Royal Bank of Scotland Group PLC
6.40%, 4/01/09(a)

      2,824     2,811,411

SouthTrust Corp.
5.80%, 6/15/14(a)

      3,315     3,003,354

Standard Chartered PLC
6.409%, 1/30/17(a)(b)(c)

      4,800     1,519,478

Suntrust Bank
Series CD
1.381%, 6/02/09(a)(d)

      591     578,908

 

286   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

UBS Preferred Funding Trust I
8.622%, 10/01/10(a)(c)

    $ 2,319   $ 836,760

UFJ Finance Aruba AEC
6.75%, 7/15/13(a)

      1,913     1,913,945

Union Bank of California
Series BKNT
5.95%, 5/11/16(a)

      1,005     899,041

Union Planters Corp.
7.75%, 3/01/11(a)

      2,817     2,737,175

US Bancorp
5.30%, 4/28/09(a)

      4,260     4,266,833

Wachovia Corp.
5.35%, 3/15/11(a)

      2,205     2,217,099

Series MTN
5.50%, 5/01/13(a)

      4,155     4,000,924

Wells Fargo & Co.
4.20%, 1/15/10(a)

      1,808     1,805,724

Zions Banc Corp.
5.50%, 11/16/15(a)

      1,420     960,437
        
       127,407,600
        

Finance – 2.6%

     

American General Finance Corp.
Series MTNG
5.375%, 9/01/09(a)

      1,705     1,217,017

Series MTNI
4.625%, 5/15/09(a)

      2,620     2,252,013

CIT Group, Inc.
5.85%, 9/15/16(a)

      4,960     2,660,524

General Electric Capital Corp.
4.80%, 5/01/13(a)

      4,955     4,667,149

Series MTNA
4.375%, 11/21/11(a)

      3,613     3,538,211

HSBC Finance Corp.
7.00%, 5/15/12(a)

      2,095     2,083,249

International Lease Finance Corp.
6.375%, 3/15/09(a)

      4,190     4,000,269

Series MTN
5.65%, 6/01/14(a)

      524     306,460

SLM Corp.
Series MTN
5.125%, 8/27/12(a)

      1,145     756,269

5.40%, 10/25/11(a)

      3,309     2,448,660

Series MTNA
5.375%, 1/15/13 - 5/15/14(a)

      8,395     5,223,858
        
       29,153,679
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   287

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Insurance – 2.6%

  

Allied World Assurance Co. Holdings Ltd.
7.50%, 8/01/16(a)

    $ 1,820   $ 1,285,894

Allstate Life Global Funding Trust
Series 04-1
4.50%, 5/29/09(a)

      1,884     1,885,340

Assurant, Inc.
5.625%, 2/15/14(a)

      1,028     848,754

Berkshire Hathaway Finance Corp.
4.20%, 12/15/10(a)

      1,656     1,690,690

GE Insurance Solutions Corp.
7.00%, 2/15/26(a)

      3,065     2,404,235

Genworth Financial, Inc.
5.231%, 5/16/09(a)

      1,342     1,323,097

Series MTN
6.515%, 5/22/18(a)

      4,100     1,785,136

Humana, Inc.
6.30%, 8/01/18(a)

      1,094     885,710

Liberty Mutual Group, Inc.
5.75%, 3/15/14(a)(b)

      2,683     2,152,936

Prudential Financial, Inc.
Series MTN
5.15%, 1/15/13(a)

      2,545     2,276,899

UnitedHealth Group, Inc.
4.125%, 8/15/09(a)

      1,589     1,589,302

5.25%, 3/15/11(a)

      4,300     4,339,951

WellPoint, Inc.
4.25%, 12/15/09(a)

      4,327     4,315,979

XL Capital Ltd.
5.25%, 9/15/14(a)

      4,520     2,845,087
        
       29,629,010
        

REITS – 1.7%

     

ERP Operating LP
5.25%, 9/15/14(a)

      4,570     3,850,243

HCP, Inc.
6.00%, 1/30/17(a)

      4,630     3,126,482

Health Care REIT, Inc.
6.20%, 6/01/16(a)

      3,980     3,081,535

Healthcare Realty Trust, Inc.
5.125%, 4/01/14(a)

      2,373     1,852,081

Simon Property Group LP
5.00%, 3/01/12(a)

      4,335     3,867,891

5.625%, 8/15/14(a)

      3,236     2,777,378
        
       18,555,610
        
       204,745,899
        

 

288   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Utility – 3.3%

     

Electric – 2.1%

     

Carolina Power & Light Co.
6.50%, 7/15/12(a)

    $ 4,720   $ 4,879,423

Exelon Corp.
6.75%, 5/01/11(a)

      1,295     1,295,150

FirstEnergy Corp.
Series B
6.45%, 11/15/11(a)

      1,300     1,298,635

Series C
7.375%, 11/15/31(a)

      2,291     1,955,334

FPL Group Capital, Inc.
5.625%, 9/01/11(a)

      2,855     3,009,861

MidAmerican Energy Holdings Co.
5.875%, 10/01/12(a)

      2,638     2,718,158

Nisource Finance Corp.
6.80%, 1/15/19(a)

      4,345     3,407,275

7.875%, 11/15/10(a)

      1,656     1,621,844

Pacific Gas & Electric Co.
4.80%, 3/01/14(a)

      1,700     1,735,059

SPI Electricity & Gas Australia Holdings Pty Ltd.

6.15%, 11/15/13(a)(b)

      1,447     1,433,161
        
       23,353,900
        

Natural Gas – 1.0%

     

Duke Energy Field Services Corp.
7.875%, 8/16/10(a)

      506     512,058

Energy Transfer Partners LP
6.70%, 7/01/18(a)

      3,640     3,286,115

7.50%, 7/01/38(a)

      4,135     3,464,291

Enterprise Products Operating LLC
Series B
5.60%, 10/15/14(a)

      1,278     1,186,698

Williams Cos, Inc.
7.125%, 9/01/11(a)

      2,285     2,227,875
        
       10,677,037
        

Other Utility – 0.2%

     

Veolia Environnement
6.00%, 6/01/18(a)

      2,785     2,599,238
        
       36,630,175
        

Non Corporate Sectors – 0.5%

     

Agencies - Not Government Guaranteed – 0.5%

     

Gaz Capital SA
6.212%, 11/22/16(a)(b)

      7,890     5,156,667
        

Total Corporates - Investment Grades
(cost $509,336,128)

        451,984,851
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   289

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

MORTGAGE PASS-THRU’S – 26.1%

     

Agency Fixed Rate 30-Year – 25.4%

     

Federal Home Loan Mortgage Corp. Gold.
Series 2005
4.50%, 8/01/35 - 10/01/35(a)

    $ 3,669   $ 3,678,554

5.50%, 1/01/35(a)

      10,844     11,139,463

Series 2006
4.50%, 1/01/36 - 5/01/36(a)

      183     183,128

7.00%, 8/01/36 - 10/01/36(a)

      1,216     1,288,729

Series 2007
5.50%, 7/01/35(a)

      5,612     5,773,091

7.00%, 2/01/37(a)

      11,587     12,283,578

Series 2008
6.50%, 5/01/35(a)

      5,593     5,901,908

Federal National Mortgage Association
Series 2003
5.00%, 11/01/33(a)

      15,479     15,807,697

5.50%, 4/01/33 - 7/01/33(a)

      20,838     21,431,615

Series 2004
5.50%, 4/01/34 - 11/01/34(a)

      15,892     16,334,240

Series 2005
4.50%, 8/01/35 - 10/01/35(a)

      24,174     24,256,611

5.50%, 2/01/35(a)

      3,835     3,944,007

6.00%, 4/01/35(a)

      12,406     12,879,282

Series 2006
5.00%, 1/01/36 - 2/01/36(a)

      19,979     20,371,608

6.00%, 11/01/36(a)

      23,662     24,484,259

6.50%, 9/01/36(a)

      31,584     33,076,616

Series 2007
4.50%, 9/01/35 - 8/01/37(a)

      14,008     14,077,385

5.50%, 8/01/37(a)

      27,949     28,745,115

Series 2008
6.00%, 3/01/37(a)

      27,250     28,213,546
        
       283,870,432
        

Agency ARMS – 0.7%

     

Federal Home Loan Mortgage Corp.
Series 2006
5.811%, 12/01/36(a)(d)

      1,628     1,686,279

Series 2007
5.979%, 2/01/37(a)(d)

      5,587     5,810,349
        
       7,496,628
        

Total Mortgage Pass - Thru’s
(cost $281,545,845)

        291,367,060
        

 

290   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

COMMERCIAL MORTGAGE-BACKED SECURITIES – 15.3%

     

Non-Agency Fixed Rate CMBS – 15.2%

  

Banc of America Commercial Mortgage, Inc.
Series 2001-PB1, Class A2
5.787%, 5/11/35(a)

    $ 816   $ 790,979

Series 2004-4, Class A3
4.128%, 7/10/42(a)

      996     969,429

Series 2004-6, Class A2
4.161%, 12/10/42(a)

      3,729     3,555,541

Series 2006-5, Class A4
5.414%, 9/10/47(a)

      7,680     5,044,015

Bear Stearns Commercial Mortgage Securities, Inc.
Series 2005-PWR7,
Class A3 5.116%, 2/11/41(a)

      2,500     1,866,549

Series 2005-T18, Class A4
4.933%, 2/13/42(a)

      4,235     3,206,276

Series 2006-PW12, Class A4
5.718%, 9/11/38(a)

      2,285     1,639,584

Series 2007-PW18, Class A4
5.70%, 6/11/50(a)

      8,425     5,362,277

Citigroup Commercial Mortgage Trust
Series 2008-C7, Class A4
6.096%, 12/10/49(a)

      8,585     5,532,203

Commercial Mortgage Pass Through Certificates
Series 2006-C8, Class A4
5.306%, 12/10/46(a)

      3,065     1,977,993

Credit Suisse First Boston Mortgage Securities Corp.
Series 2003-CK2, Class A2
3.861%, 3/15/36(a)

      71     69,445

Series 2004-C1, Class A4
4.75%, 1/15/37(a)

      1,815     1,478,919

Series 2005-C1, Class A4
5.014%, 2/15/38(a)

      1,516     1,165,582

Credit Suisse Mortgage Capital Certificates
Series 2006-C4, Class A3
5.467%, 9/15/39(a)

      6,475     3,669,959

Series 2006-C5, Class A3
5.311%, 12/15/39(a)

      4,500     2,733,398

GE Capital Commercial Mortgage Corp.
Series 2005-C3, Class A3FX
4.863%, 7/10/45(a)

      3,265     3,028,942

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   291

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Greenwich Capital Commercial Funding Corp.
Series 2003-C1, Class A4
4.111%, 7/05/35(a)

    $ 1,102   $ 928,604

Series 2005-GG3, Class A2
4.305%, 8/10/42(a)

      1,813     1,733,126

Series 2007-GG11, Class A4
5.736%, 12/10/49(a)

      1,470     919,839

Series 2007-GG9, Class A4
5.444%, 3/10/39(a)

      9,020     5,650,844

GS Mortgage Securities Corp. II
Series 2006-GG8, Class A2
5.479%, 11/10/39(a)

      8,400     6,882,881

JP Morgan Chase Commercial Mortgage Securities Corp.
Series 2004-C1, Class A2
4.302%, 1/15/38(a)

      1,720     1,454,414

Series 2005-LDP1, Class A4
5.038%, 3/15/46(a)

      1,846     1,379,500

Series 2005-LDP3, Class A2
4.851%, 8/15/42(a)

      2,810     2,519,014

Series 2005-LDP4, Class A2
4.79%, 10/15/42(a)

      1,294     1,190,954

Series 2006-CB14, Class A4
5.481%, 12/12/44(a)

      4,158     2,605,293

Series 2006-CB15, Class A4
5.814%, 6/12/43(a)

      7,100     4,467,539

Series 2006-CB17, Class A4
5.429%, 12/12/43(a)

      8,580     5,175,601

Series 2007-LD11, Class A2
5.804%, 6/15/49(a)

      9,010     6,829,424

LB-UBS Commercial Mortgage Trust
Series 2003-C3, Class A4
4.166%, 5/15/32(a)

      4,900     4,110,689

Series 2004-C2, Class A4
4.367%, 3/15/36(a)

      7,760     5,922,543

Series 2004-C4, Class A4
5.227%, 6/15/29(a)

      6,015     4,812,467

Series 2004-C8, Class A2
4.201%, 12/15/29(a)

      1,074     1,042,551

Series 2005-C1, Class A4
4.742%, 2/15/30(a)

      4,209     3,270,758

Series 2005-C7, Class A4
5.197%, 11/15/30(a)

      2,380     1,760,214

Series 2006-C1, Class A4
5.156%, 2/15/31(a)

      6,557     4,489,842

Series 2006-C6, Class A4
5.372%, 9/15/39(a)

      8,090     5,257,194

 

292   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Series 2007-C1, Class A4
5.424%, 2/15/40(a)

    $ 5,725   $ 3,498,358

Series 2008-C1, Class A2
6.149%, 4/15/41(a)

      4,785     3,039,471

Merrill Lynch Mortgage Trust
Series 2005-CKI1, Class A6
5.242%, 11/12/37(a)

      2,100     1,536,284

Series 2005-MKB2, Class A2
4.806%, 9/12/42(a)

      2,230     2,135,594

Merrill Lynch/Countrywide Commercial Mortgage Trust
Series 2006-1, Class A2
5.439%, 2/12/39(a)

      5,385     4,652,225

Series 2006-2, Class A4
5.909%, 6/12/46(a)

      3,075     2,122,354

Series 2007-9, Class A4
5.70%, 9/12/49(a)

      8,644     5,046,676

Morgan Stanley Capital I
Series 2004-HQ4, Class A5
4.59%, 4/14/40(a)

      6,500     5,798,109

Series 2005-HQ5, Class A4
5.168%, 1/14/42(a)

      5,186     3,877,631

Series 2007-HQ13, Class A3
5.569%, 12/15/44(a)

      8,155     4,740,493

Series 2007-IQ15, Class A4
5.881%, 6/11/49(a)

      4,030     2,417,438

Series 2007-T27, Class A4
5.65%, 6/11/42(a)

      9,860     6,660,014

Wachovia Bank Commercial Mortgage Trust
Series 2006-C27, Class A3
5.765%, 7/15/45(a)

      8,565     5,866,082

Series 2007-C32, Class A3
5.741%, 6/15/49(a)

      6,885     3,595,837
        
       169,480,948
        

Non-Agency Floating Rate
CMBS – 0.1%

     

GS Mortgage Securities Corp. II
Series 2007-EOP, Class E
0.885%, 3/06/20(a)(b)(d)

      1,855     1,215,169
        

Total Commercial Mortgage-Backed Securities
(cost $239,793,564)

        170,696,117
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   293

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

GOVERNMENTS - SOVEREIGN AGENCIES – 2.8%

     

Germany – 0.5%

     

Landwirtschaftliche Rentenbank
5.125%, 3/14/16 - 2/01/17(a)

    $ 5,490   $ 5,953,368
        

South Korea – 0.1%

     

Korea Development Bank
4.625%, 9/16/10(a)

      1,335     1,299,218
        

United Kingdom – 1.7%

     

Barclays Bank PLC
Series EMTN
2.875%, 12/23/11(a)

    GBP 3,095     4,462,838

Lloyds TSB Bank PLC
Series EMTN
4.00%, 11/17/11(a)

      971     1,445,511

Royal Bank of Scotland PLC
Series EMTN
4.125%, 11/14/11(a)

      1,838     2,741,221

Bank of Scotland PLC
Series EMTN
4.625%, 11/04/11(a)

      6,354     9,643,709
        
       18,293,279
        

United States – 0.5%

     

General Electric Capital Corp.
2.75%, 12/07/11(a)

      4,050     5,825,736
        

Total Governments - Sovereign Agencies
(cost $31,804,512)

        31,371,601
        
    

GOVERNMENTS - TREASURIES – 2.8%

     

United Kingdom – 1.8%

     

United Kingdom Gilt
4.50%, 3/07/13(a)

    $ 8,070     12,580,770

5.00%, 3/07/12(a)

      4,620     7,215,470
        
       19,796,240
        

United States – 1.0%

     

U.S. Treasury Bonds
4.50%, 2/15/36(a)

      10,266     11,369,817
        

Total Governments - Treasuries
(cost $29,932,720)

        31,166,057
        

 

294   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

INFLATION-LINKED SECURITIES – 2.3%

     

United States – 2.3%

     

U.S. Treasury Notes
3.00%, 7/15/12 (TIPS)(a)
(cost $27,076,327)

    $ 24,858   $ 25,743,390
        
    

GOVERNMENTS - SOVEREIGN BONDS – 2.0%

     

Brazil – 0.8%

     

Republic of Brazil
8.25%, 1/20/34(a)

      8,475     9,195,375
        

Peru – 0.7%

     

Republic of Peru
8.375%, 5/03/16(a)

      1,995     2,224,425

9.875%, 2/06/15(a)

      4,245     5,030,325
        
       7,254,750
        

Russia – 0.5%

     

Russian Federation
7.50%, 3/31/30(a)(b)

      6,469     5,704,929
        

Total Governments - Sovereign Bonds
(cost $22,841,151)

        22,155,054
        
    

AGENCIES – 1.6%

     

Agency Debentures – 1.6%

     

Federal National Mortgage Association
6.25%, 5/15/29(a)

      12,375     15,337,253

6.625%, 11/15/30(a)

      1,710     2,227,728
        

Total Agencies
(cost $16,627,372)

        17,564,981
        
    

CORPORATES - NON-INVESTMENT GRADES – 1.3%

     

Industrial – 1.3%

     

Basic – 0.0%

     

Westvaco Corp.
8.20%, 1/15/30(a)

      670     511,985
        

Capital Goods – 0.3%

     

Mohawk Industries, Inc.
6.375%, 1/15/16(a)

      4,515     3,362,424
        

Consumer Cyclical - Other – 0.9%

     

Starwood Hotels & Resorts Worldwide, Inc.
6.25%, 2/15/13(a)

      4,520     3,570,800

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   295

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

7.375%, 11/15/15(a)

    $ 3,621   $ 2,733,855

7.875%, 5/01/12(a)

      3,776     3,266,240
        
       9,570,895
        

Transportation - Airlines – 0.1%

     

UAL Pass Through Trust Series 2007-1
Series 071A
6.636%, 7/02/22(a)

      1,722     1,240,133
        
       14,685,437
        

Financial Institutions – 0.0%

     

Banking – 0.0%

     

RBS Capital Trust III
5.512%, 9/30/14(a)(c)

      562     112,400
        

Total Corporates - Non-Investment Grades
(cost $19,032,408)

        14,797,837
        
    

CMOS – 1.2%

     

Non-Agency ARMS – 0.9%

     

Bear Stearns Alt-A Trust
Series 2006-1, Class 22A1
5.313%, 2/25/36(a)(c)

      3,400     1,503,714

Series 2006-3, Class 22A1
6.039%, 5/25/36(a)(c)

      1,541     634,645

Series 2007-1, Class 21A1
5.693%, 1/25/47(a)(c)

      2,259     942,269

Citigroup Mortgage Loan Trust, Inc.
Series 2005-2, Class 1A4
5.12%, 5/25/35(a)(c)

      3,820     2,323,271

Series 2006-AR1, Class 3A1
5.50%, 3/25/36(a)(d)

      4,110     2,064,219

Deutsche Mortgage Securities, Inc.
Series 2005-WF1, Class 1A1
5.102%, 6/26/35(a)(b)

      2,272     1,943,593

Indymac Index Mortgage Loan Trust
Series 2006-AR7, Class 4A1
6.012%, 5/25/36(a)(c)

      1,957     725,580
        
       10,137,291
        

Non-Agency Floating Rate – 0.2%

     

Countrywide Alternative Loan Trust
Series 2005-62, Class 2A1
2.823%, 12/25/35(a)(d)

      1,484     652,881

Series 2006-OA14, Class 3A1
2.673%, 11/25/46(a)(d)

      4,837     1,509,477

Countrywide Home Loan Mortgage Pass Through Trust
Series 2004-25, Class M1
1.004%, 2/25/35(a)(d)

      2,993     188,567

 

296   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

JP Morgan Alternative Loan Trust
Series 2006-S1, Class 3A1
0.584%, 3/25/36(a)(d)

    $ 202   $ 182,933
        
       2,533,858
        

Agency Floating Rate – 0.1%

     

Fannie Mae Grantor Trust
Series 2004-T5, Class AB4
0.659%, 5/28/35(a)(d)

      392     340,883
        

Total CMOs
(cost $29,207,167)

        13,012,032
        
    

QUASI-SOVEREIGNS – 0.9%

     

Quasi-Sovereign Bonds – 0.9%

     

Russia – 0.9%

     

RSHB Capital SA for OJSC Russian Agricultural Bank
6.299%, 5/15/17(a)(b)

      4,470     2,592,600

7.75%, 5/29/18(a)(b)

      13,270     7,895,650
        

Total Quasi-Sovereigns
(cost $17,184,343)

        10,488,250
        
    

ASSET-BACKED SECURITIES – 0.6%

     

Home Equity Loans - Floating
Rate – 0.4%

     

Asset Backed Funding Certificates
Series 2003-WF1, Class A2
1.514%, 12/25/32(a)(d)

      800     522,449

Citigroup Mortgage Loan Trust, Inc.
Series 2007-AMC4, Class M1
0.744%, 5/25/37(a)(d)

      3,715     142,656

GE-WMC Mortgage Securities LLC
Series 2005-2, Class A2B
0.644%, 12/25/35(a)(d)

      374     336,794

HFC Home Equity Loan Asset Backed Certificates
Series 2005-3, Class A1
0.73%, 1/20/35(a)(d)

      976     645,911

Lehman XS Trust
Series 2005-4, Class 1M1
0.974%, 10/25/35(a)(d)

      4,865     321,843

Merrill Lynch First Franklin Mortgage Loan Trust
Series 2007-1, Class A2A
0.594%, 4/25/37(a)(d)

      2,644     2,098,257

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   297

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Option One Mortgage Loan Trust
Series 2006-3, Class M1
0.704%, 2/25/37(a)(d)

    $ 1,785   $ 45,161

RAAC Series
Series 2006-SP3, Class A1
0.554%, 8/25/36(a)(d)

      422     396,718

Residential Asset Mortgage Products, Inc.
Series 2005-RS3, Class AIA2
0.644%, 3/25/35(a)(d)

      182     156,792

Series 2005-RZ1, Class A2
0.674%, 4/25/35(a)(d)

      403     298,540
        
       4,965,121
        

Home Equity Loans - Fixed Rate – 0.1%

     

Citifinancial Mortgage Securities, Inc.
Series 2003-1, Class AFPT
3.36%, 1/25/33(a)

      753     490,895

Credit-Based Asset Servicing and Securitization LLC
Series 2005-CB7, Class AF2
5.147%, 11/25/35(a)

      145     144,220

Home Equity Mortgage Trust
Series 2005-4, Class A3
4.742%, 1/25/36(a)

      224     216,378

Residential Funding Mortgage Securities II, Inc.
Series 2005-HI2, Class A3
4.46%, 5/25/35(a)

      177     175,830
        
       1,027,323
        

Other ABS - Fixed Rate – 0.1%

     

DB Master Finance, LLC
Series 2006-1, Class A2
5.779%, 6/20/31(a)(b)

      1,000     650,411
        

Other ABS - Floating Rate – 0.0%

     

Petra CRE CDO Ltd.
Series 2007-1A, Class C
1.574%, 2/25/47(a)(b)(d)

      2,220     44,400

SLM Student Loan Trust
Series 2003-C, Class A1
2.096%, 9/15/16(a)(d)

      281     267,970
        
       312,370
        

Total Asset-Backed Securities
(cost $20,876,900)

        6,955,225
        

 

298   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

SUPRANATIONALS – 0.5%

     

European Investment Bank
4.875%, 2/15/36(a)

    $ 1,970   $ 1,895,636

International Bank for Reconstruction & Development
9.25%, 7/15/17(a)

      2,340     3,249,591
        

Total Supranationals
(cost $5,118,433)

        5,145,227
        
     Shares    

SHORT-TERM INVESTMENTS – 1.2%

     

Investment Companies – 1.2%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(e)
(cost $13,951,300)

      13,951,300     13,951,300
        

Total Investments – 99.1%
(cost $1,264,328,170)

       1,106,398,982

Other assets less liabilities – 0.9%

        10,560,886
        

Net Assets – 100.0%

      $ 1,116,959,868
        

INTEREST RATE SWAP TRANSACTIONS (see Note C)

 

               Rate Type      
Swap
Counterparty		    Notional
Amount
(000)		    Termination
Date		    Payments
made
by the
Portfolio		    Payments
received
by the
Portfolio		     Unrealized
Appreciation/
(Depreciation)

Morgan Stanley

    $     11,500    9/17/13    3 Month LIBOR    3.565 %   $     631,685

FINANCIAL FUTURES CONTRACTS (see Note C)

 

Type   Number of
Contracts		   Expiration
Month		   Original
Value		   Value at
February 28,
2009		   Unrealized
Appreciation/
(Depreciation)

Purchased Contracts

          

U.S. T-Note 10 Yr Futures

   189   June 2009   $     22,943,257   $     22,685,906   $     (257,351)

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note C)

 

      Contract
Amount
(000)		    U.S. $ Value
on
Origination
Date		    U.S. $
Value at
February 28,
2009		    Unrealized
Appreciation/
(Depreciation)

Sale Contracts:

            

British Pound settling 4/27/09

    3    $ 3,608    $ 3,580    $ 28

British Pound settling 4/27/09

    30,917          44,535,639          44,256,850          278,789

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   299

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

(a) Position, or a portion thereof, has been segregated to collateralize forward currency exchange contracts. The aggregate market value of these securities amounted to $1,089,656,950.

 

(b) Security is exempt from registration under Rule 144A of the Securities Act of 1933. These securities are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At February 28, 2009, the aggregate market value of these securities amounted to $45,654,800 or 4.1% of net assets.

 

(c) Variable rate coupon, rate shown as of February 28, 2009.

 

(d) Floating Rate Security. Stated interest rate was in effect at February 28, 2009.

 

(e) Investment in affiliated money market mutual fund.

The fund currently owns investments collateralized by subprime mortgage loans. Subprime loans are offered to homeowners who do not have a history of debt or who have had problems meeting their debt obligations. Because repayment is less certain, subprime borrowers pay a higher rate of interest than prime borrowers. As of February 28, 2009, the fund’s total exposure to subprime investments was 1.29%. These investments are valued in accordance with the fund’s Valuation Policies (see Note A.1. for additional details).

Currency Abbreviations:

GBP – Great British Pound

Glossary:

ABS – Asset-Backed Securities

ARMS – Adjustable Rate Mortgages

CMBS – Commercial Mortgage-Backed Securities

CMOS – Collateralized Mortgage Obligations

LIBOR – London Interbank Offered Rates

OJSC – Open Joint Stock Company

REITS – Real Estate Investment Trusts

TIPS – Treasury Inflation Protected Security

See notes to financial statements.

 

300   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Intermediate Duration Bond Portfolio—Portfolio of Investments

 

INFLATION PROTECTED SECURITIES PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

INFLATION-LINKED SECURITIES – 99.3%

     

Inflation-Linked Securities – 99.3%

     

United States – 99.3%

     

U.S. Treasury Notes
1.625%, 1/15/15 – 1/15/18 (TIPS)

    $ 107,118   $ 102,502,071

1.875%, 7/15/13 – 7/15/15 (TIPS)

      99,255     97,947,641

2.00%, 7/15/14 – 1/15/26 (TIPS)

      96,915     95,123,242

2.125%, 1/15/19 (TIPS)

      14,688     14,751,808

2.375%, 1/15/17 (TIPS)

      38,915     38,635,311

3.00%, 7/15/12 (TIPS)

      66,494     68,862,963

3.375%, 1/15/12 (TIPS)

      71,641     74,685,549

3.50%, 1/15/11 (TIPS)

      22,424     23,153,273
        

Total Inflation-Linked Securities
(cost $518,923,377)

        515,661,858
        
     Shares    

SHORT-TERM INVESTMENTS – 0.4%

     

Investment Companies – 0.4%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(a)
(cost $2,074,724)

      2,074,724     2,074,724
        

Total Investments – 99.7%
(cost $520,998,101)

        517,736,582

Other assets less liabilities – 0.3%

        1,458,509
        

Net Assets – 100.0%

      $ 519,195,091
        

 

(a) Investment in affiliated money market mutual fund.

Glossary:

 

TIPS – Treasury Inflation Protected Security

See notes to financial statements.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   301

 

Inflation Protected Securities Portfolio—Portfolio of Investments

 

HIGH YIELD PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

CORPORATES - NON-INVESTMENT GRADES – 75.4%

     

Industrial – 58.4%

     

Basic – 4.7%

     

Arch Western Finance LLC
6.75%, 7/01/13(a)

    $ 670   $ 626,450

Bowater Canada Finance Corp.
7.95%, 11/15/11(a)

      3,630     471,900

Domtar Corp.
7.125%, 8/15/15(a)

      2,500     1,700,000

Evraz Group SA
8.25%, 11/10/15(a)(b)

      1,369     807,710

8.875%, 4/24/13(a)(b)

      200     120,500

Georgia-Pacific Corp.
7.00%, 1/15/15(a)(b)

      905     841,650

7.125%, 1/15/17(a)(b)

      595     545,912

Hexion US Finance Corp./Hexion Nova
Scotia Finance ULC
5.734%, 11/15/14(a)(c)

      525     49,875

9.75%, 11/15/14(a)

      525     68,250

Huntsman International LLC
7.875%, 11/15/14(a)

      975     463,125

Ineos Group Holdings PLC
8.50%, 2/15/16(a)(b)

      1,575     94,500

Jefferson Smurfit Corp. US
8.25%, 10/01/12(d)

      630     50,400

Momentive Performance Materials, Inc.
10.125%, 12/01/14(a)(e)

      880     242,111

NewMarket Corp.
7.125%, 12/15/16(a)

      615     482,775

NewPage Corp.
10.00%, 5/01/12(a)

      797     241,093

Novelis, Inc.
7.25%, 2/15/15(a)

      4,070     1,271,875

Peabody Energy Corp.
5.875%, 4/15/16(a)

      900     805,500

7.375%, 11/01/16(a)

      1,095     1,067,625

Series B
6.875%, 3/15/13(a)

      1,815     1,765,088

Smurfit-Stone Container Enterprises, Inc.
8.00%, 3/15/17(d)

      2,650     231,875

Steel Capital SA for OAO Severstal
9.25%, 4/19/14(a)(b)

      1,938     1,068,363

9.75%, 7/29/13(a)(b)

      1,100     635,250

Steel Dynamics Inc.
7.75%, 4/15/16(a)(b)

      2,730     2,102,100

Vedanta Resources PLC
8.75%, 1/15/14(a)(b)

      2,600     1,820,000
        
       17,573,927
        

 

302   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Capital Goods – 5.5%

     

Alion Science and Technology Corp.
10.25%, 2/01/15(a)

    $ 270   $ 81,000

AMH Holdings, Inc.
11.25%, 3/01/14(a)(f)

      1,635     490,500

Berry Plastics Holding Corp.
8.875%, 9/15/14(a)

      1,260     749,700

Bombardier, Inc.
6.30%, 5/01/14(a)(b)

      3,015     2,020,050

8.00%, 11/15/14(a)(b)

      2,120     1,505,200

Case Corp.
7.25%, 1/15/16(a)

      2,935     2,010,475

Case New Holland, Inc.
7.125%, 3/01/14(a)

      2,990     2,048,150

Crown Americas
7.625%, 11/15/13(a)

      1,500     1,507,500

Hanson Ltd.
6.125%, 8/15/16(a)

      706     314,279

L-3 Communications Corp.
5.875%, 1/15/15(a)

      1,828     1,686,330

Series B
6.375%, 10/15/15(a)

      340     321,300

Owens Brockway Glass Container, Inc.
6.75%, 12/01/14(a)

      2,530     2,441,450

Owens Corning, Inc.
6.50%, 12/01/16(a)

      1,210     889,170

7.00%, 12/01/36(a)

      1,555     962,458

Plastipak Holdings, Inc.
8.50%, 12/15/15(a)(b)

      990     702,900

Sequa Corp.
11.75%, 12/01/15(a)(b)

      590     94,400

Terex Corp.
8.00%, 11/15/17(a)

      786     632,730

United Rentals North America, Inc.
6.50%, 2/15/12(a)

      1,155     906,675

7.75%, 11/15/13(a)

      2,075     1,182,750
        
       20,547,017
        

Communications - Media – 7.4%

     

Allbritton Communications Co.
7.75%, 12/15/12(a)

      1,351     607,950

AMC Entertainment, Inc.
11.00%, 2/01/16(a)

      520     468,000

Cablevision Systems Corp.
Series B
8.00%, 4/15/12(a)

      2,387     2,309,422

CCH I LLC
11.00%, 10/01/15(a)

      2,200     187,000

11.75%, 5/15/14(a)(f)

      9,037     90,370

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   303

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Central European Media Enterprises Ltd.
8.25%, 5/15/12(a)(b)

    EUR 398   $ 353,195

Charter Communications Operations LLC
8.00%, 4/30/12(a)(b)

    $ 1,800     1,602,000

Clear Channel Communications, Inc.
5.50%, 9/15/14(a)

      5,809     493,765

5.75%, 1/15/13(a)

      1,641     139,485

CSC Holdings, Inc.
6.75%, 4/15/12(a)

      2,565     2,462,400

7.625%, 7/15/18(a)

      1,535     1,373,825

7.875%, 2/15/18(a)

      640     576,000

Dex Media West LLC
Series B
8.50%, 8/15/10(a)

      444     208,680

DirecTV Holdings LLC
6.375%, 6/15/15(a)

      2,311     2,097,233

Echostar DBS Corp.
6.375%, 10/01/11(a)

      1,080     1,031,400

6.625%, 10/01/14(a)

      970     873,000

7.125%, 2/01/16(a)

      1,650     1,489,125

Idearc, Inc.
8.00%, 11/15/16(a)

      7,690     115,350

Intelsat Bermuda Ltd.
11.25%, 6/15/16(a)

      2,812     2,650,310

Lamar Media Corp.
6.625%, 8/15/15(a)

      890     574,050

Liberty Media Corp.
5.70%, 5/15/13(a)

      545     412,171

LIN Television Corp.
6.50%, 5/15/13(a)

      725     377,000

Nielsen Finance LLC/Nielsen Finance Co.
12.50%, 8/01/16(a)(f)

      755     294,450

Quebecor Media, Inc.
7.75%, 3/15/16(a)

      3,255     2,652,825

Rainbow National Services LLC
8.75%, 9/01/12(a)(b)

      1,224     1,225,530

10.375%, 9/01/14(a)(b)

      473     484,234

RH Donnelley Corp.
Series A-1
6.875%, 1/15/13(a)

      705     29,962

Series A-2
6.875%, 1/15/13(a)

      2,248     95,540

Series A-3
8.875%, 1/15/16(a)

      2,740     123,300

Series A-4
8.875%, 10/15/17(a)

      6,350     285,750

Sirius Satellite Radio, Inc.
9.625%, 8/01/13(a)

      545     234,350

 

304   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Univision Communications, Inc.
7.85%, 7/15/11(a)

    $ 1,190   $ 678,300

WDAC Subsidiary Corp.
8.375%, 12/01/14(a)(b)

      982     186,580

WMG Holdings Corp.
9.50%, 12/15/14(a)(f)

      3,196     1,102,620
        
       27,885,172
        

Communications -
Telecommunications – 9.2%

     

American Tower Corp.
7.00%, 10/15/17(a)

      310     303,800

Cincinnati Bell, Inc.
8.375%, 1/15/14(a)

      1,740     1,592,100

Cricket Communications, Inc.
9.375%, 11/01/14(a)

      2,085     1,902,563

Digicel Ltd.
9.25%, 9/01/12(a)(b)

      2,227     2,009,868

Fairpoint Communications, Inc.
13.125%, 4/01/18(a)(b)

      1,885     782,275

Frontier Communications Corp.
6.25%, 1/15/13(a)

      1,977     1,799,070

9.00%, 8/15/31(a)

      2,145     1,565,850

Inmarsat Finance PLC
7.625%, 6/30/12(a)

      1,835     1,800,594

10.375%, 11/15/12(a)(f)

      1,037     1,057,740

Level 3 Financing, Inc.
8.75%, 2/15/17(a)

      2,360     1,351,100

9.25%, 11/01/14(a)

      1,200     762,000

Mobile Telesystems Finance SA
8.00%, 1/28/12(a)(b)

      2,858     2,343,950

Nextel Communications, Inc.
Series D
7.375%, 8/01/15(a)

      4,450     2,047,000

Qwest Capital Funding, Inc.
7.25%, 2/15/11(a)

      4,029     3,837,622

Qwest Communications International, Inc.
7.50%, 2/15/14(a)

      350     296,625

Sprint Capital Corp.
6.875%, 11/15/28(a)

      3,815     2,107,787

8.75%, 3/15/32(a)

      1,180     710,950

Sprint Nextel Corp.
6.00%, 12/01/16(a)

      3,300     2,145,000

Time Warner Telecom Holdings, Inc.
9.25%, 2/15/14(a)

      740     701,150

Vip Finance (Vimpelcom)
8.375%, 4/30/13(a)(b)

      2,060     1,400,800

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   305

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Windstream Corp.
8.125%, 8/01/13(a)

    $ 964   $ 935,080

8.625%, 8/01/16(a)

      3,070     2,947,200
        
       34,400,124
        

Consumer Cyclical - Automotive – 3.2%

     

Affinia Group, Inc.
9.00%, 11/30/14(a)

      45     20,250

Allison Transmission, Inc.
11.00%, 11/01/15(a)(b)

      560     271,600

Ford Motor Co.
7.45%, 7/16/31(a)

      5,020     941,250

Ford Motor Credit Co.
4.01%, 1/13/12(a)(c)

      2,785     1,364,650

7.00%, 10/01/13(a)

      4,474     2,203,606

8.00%, 12/15/16(a)

      3,295     1,552,143

General Motors Corp.
8.25%, 7/15/23(a)

      4,155     498,600

8.375%, 7/15/33(a)

      6,705     888,412

The Goodyear Tire & Rubber Co.
8.625%, 12/01/11(a)

      550     440,000

9.00%, 7/01/15(a)

      1,307     986,785

Keystone Automotive Operations, Inc.
9.75%, 11/01/13(a)

      1,436     502,600

Lear Corp.
Series B
5.75%, 8/01/14(a)

      1,835     348,650

8.50%, 12/01/13(a)

      370     66,600

8.75%, 12/01/16(a)

      3,010     511,700

Tenneco, Inc.
8.625%, 11/15/14(a)

      465     65,100

TRW Automotive, Inc.
7.25%, 3/15/17(a)(b)

      4,330     1,212,400

Visteon Corp.
7.00%, 3/10/14(a)

      1,795     71,800
        
       11,946,146
        

Consumer Cyclical - Other – 5.6%

     

Beazer Homes USA, Inc.
8.375%, 4/15/12(a)

      1,500     517,500

Boyd Gaming Corp.
7.75%, 12/15/12(a)

      737     552,750

Broder Brothers Co.
Series B
11.25%, 10/15/10(a)

      642     149,265

DR Horton, Inc.
4.875%, 1/15/10(a)

      250     237,500

6.50%, 4/15/16(a)

      2,180     1,700,400

 

306   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Gaylord Entertainment Co.
8.00%, 11/15/13(a)

    $ 1,307   $ 865,887

Greektown Holdings LLC
10.75%, 12/01/13(b)(d)

      850     76,500

Harrah’s Operating Co. Inc
10.75%, 2/01/16(a)

      5,146     720,440

Harrah’s Operating Co., Inc.
5.75%, 10/01/17(a)

      514     30,840

6.50%, 6/01/16(a)

      5,352     321,120

Host Hotels & Resorts LP
6.875%, 11/01/14(a)

      385     287,787

Series Q
6.75%, 6/01/16(a)

      2,935     2,113,200

KB Home
6.375%, 8/15/11(a)

      600     525,000

Lennar Corp.
Series B
5.60%, 5/31/15(a)

      1,135     768,963

Levi Strauss & Co.
8.875%, 4/01/16(a)

      742     567,630

MGM Mirage
6.625%, 7/15/15(a)

      3,952     1,541,280

7.625%, 1/15/17(a)

      2,080     832,000

8.375%, 2/01/11(a)

      1,024     327,680

Mohegan Tribal Gaming Auth
7.125%, 8/15/14(a)

      1,245     373,500

Penn National Gaming, Inc.
6.875%, 12/01/11(a)

      1,496     1,436,160

Pulte Homes, Inc.
5.25%, 1/15/14(a)

      1,090     882,900

Six Flags Operations, Inc.
12.25%, 7/15/16(a)(b)

      316     175,380

Six Flags, Inc.
9.625%, 6/01/14(a)

      763     141,155

Starwood Hotels & Resorts Worldwide, Inc.
6.25%, 2/15/13(a)

      2,110     1,666,900

7.875%, 5/01/12(a)

      539     466,235

Station Casinos, Inc.
6.625%, 3/15/18(a)

      3,610     108,300

Turning Stone Resort Casino Enterprise
9.125%, 12/15/10(a)(b)

      1,097     899,540

Universal City Development Partners
11.75%, 4/01/10(a)

      610     468,175

Universal City Florida Holding Co.
8.375%, 5/01/10(a)

      630     302,400

William Lyon Homes, Inc.
10.75%, 4/01/13(a)

      1,597     319,400

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   307

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Wynn Las Vegas Capital Corp.
6.625%, 12/01/14(a)

    $ 2,135   $ 1,505,175
        
       20,880,962
        

Consumer Cyclical - Restaurants – 0.1%

     

OSI Restaurant Partners, Inc.
10.00%, 6/15/15(a)

      1,065     264,919

Sbarro, Inc.
10.375%, 2/01/15(a)

      415     153,550
        
       418,469
        

Consumer Cyclical - Retailers – 1.6%

     

Autonation, Inc.
3.094%, 4/15/13(a)(c)

      175     138,688

Burlington Coat Factory Warehouse Corp.
11.125%, 4/15/14(a)

      555     144,300

Couche-Tard US/Finance
7.50%, 12/15/13(a)

      1,006     950,670

Dollar General Corp.
10.625%, 7/15/15(a)

      510     511,275

GSC Holdings Corp.
8.00%, 10/01/12(a)

      1,290     1,290,000

Limited Brands, Inc.
5.25%, 11/01/14(a)

      2,028     1,370,255

6.90%, 7/15/17(a)

      845     562,585

Michaels Stores, Inc.
10.00%, 11/01/14(a)

      1,345     458,981

11.375%, 11/01/16(a)

      1,165     275,231

Rite Aid Corp.
6.875%, 8/15/13(a)

      2,080     353,600
        
       6,055,585
        

Consumer Non-Cyclical – 7.7%

     

Aramark Corp.
8.50%, 2/01/15(a)

      1,710     1,556,100

Bausch & Lomb, Inc.
9.875%, 11/01/15(a)(b)

      740     671,550

Biomet, Inc.
11.625%, 10/15/17(a)

      1,220     1,128,500

Catalent Pharma Solutions, Inc.
9.50%, 4/15/15(a)

      1,240     421,600

Community Health Systems, Inc.
8.875%, 7/15/15(a)

      3,391     3,208,734

DaVita, Inc.
6.625%, 3/15/13(a)

      950     926,250

7.25%, 3/15/15(a)

      1,219     1,182,430

Dean Foods Co.
7.00%, 6/01/16(a)

      921     874,950

Del Monte Corp.
6.75%, 2/15/15(a)

      395     377,225

 

308   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Elan Finance PLC/Elan Finance Corp.
7.75%, 11/15/11(a)

    $ 2,825   $ 2,408,313

Hanger Orthopedic Group, Inc.
10.25%, 6/01/14(a)

      670     666,650

HCA, Inc.
6.375%, 1/15/15(a)

      4,848     3,345,120

6.50%, 2/15/16(a)

      1,520     1,018,400

6.75%, 7/15/13(a)

      1,650     1,311,750

9.25%, 11/15/16(a)

      1,000     915,000

9.625%, 11/15/16(a)(e)

      2,665     2,225,275

Healthsouth Corp.
10.75%, 6/15/16(a)

      980     982,450

IASIS Healthcare Corp.
8.75%, 6/15/14(a)

      1,174     1,127,040

New Albertsons, Inc.
7.45%, 8/01/29(a)

      2,220     1,798,200

Select Medical Corp.
7.625%, 2/01/15(a)

      910     559,650

Stater Brothers Holdings
8.125%, 6/15/12(a)

      594     589,545

Universal Hospital Services, Inc.
5.943%, 6/01/15(a)(c)

      895     635,450

Viant Holdings, Inc.
10.12%, 7/15/17(a)(b)

      567     283,500

Visant Corp.
7.625%, 10/01/12(a)

      883     823,397
        
       29,037,079
        

Energy – 6.6%

     

Chesapeake Energy Corp.
6.50%, 8/15/17(a)

      3,850     3,031,875

6.625%, 1/15/16(a)

      2,195     1,794,413

6.875%, 1/15/16(a)

      270     222,075

7.50%, 9/15/13(a)

      805     718,462

CIE Generale De Geophysique
7.50%, 5/15/15(a)

      1,285     1,005,513

7.75%, 5/15/17(a)

      195     151,125

Complete Production Services, Inc.
8.00%, 12/15/16(a)

      1,325     896,031

Energy XXI Gulf Coast, Inc.
10.00%, 6/15/13(a)

      1,145     440,825

Forest Oil Corp.
7.25%, 6/15/19(a)

      2,790     2,232,000

Hilcorp Energy I LP/Hilcorp Finance Co.
7.75%, 11/01/15(a)(b)

      1,425     1,090,125

Newfield Exploration Co.
7.125%, 5/15/18(a)

      1,635     1,438,800

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   309

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

OPTI Canada, Inc.
8.25%, 12/15/14(a)

    $ 1,108   $ 376,720

PetroHawk Energy Corp.
9.125%, 7/15/13(a)

      2,806     2,651,670

Pioneer Natural Resources Co.
5.875%, 7/15/16(a)

      1,495     1,140,287

Plains Exploration & Production Co.
7.75%, 6/15/15(a)

      2,615     2,392,725

Pride International, Inc.
7.375%, 7/15/14(a)

      634     630,830

Range Resources Corp.
7.50%, 5/15/16(a)

      940     869,500

Southwestern Energy Co.
7.50%, 2/01/18(a)(b)

      1,025     968,625

Tesoro Corp.
6.25%, 11/01/12(a)

      1,180     1,014,800

6.50%, 6/01/17(a)

      2,160     1,663,200
        
       24,729,601
        

Other Industrial – 0.8%

     

Central European Distribution Corp.
8.00%, 7/25/12(a)(b)

    EUR 173     159,279

Noble Group Ltd.
6.625%, 3/17/15(a)(b)

    $ 2,000     1,240,000

RBS Global, Inc. and Rexnord Corp.
9.50%, 8/01/14(a)

      1,105     933,725

Sensus Metering Systems, Inc.
8.625%, 12/15/13(a)

      655     537,100
        
       2,870,104
        

Services – 1.6%

     

Expedia, Inc.
8.50%, 7/01/16(a)(b)

      1,070     877,400

Realogy Corp.
10.50%, 4/15/14(a)

      2,530     531,300

Service Corp. International
6.75%, 4/01/16(a)

      3,825     3,480,750

Ticketmaster Entertainment, Inc.
10.75%, 7/28/16(a)(b)

      510     367,200

Travelport LLC
9.875%, 9/01/14(a)

      535     216,675

West Corp.
9.50%, 10/15/14(a)

      500     350,000
        
       5,823,325
        

Technology – 3.3%

     

Amkor Technology, Inc.
9.25%, 6/01/16(a)

      2,210     1,248,650

Avago Technologies Finance
10.125%, 12/01/13(a)

      755     636,088

 

310   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

CA, Inc.
4.75%, 12/01/09(a)

    $ 965   $ 965,000

First Data Corp.
9.875%, 9/24/15(a)

      1,341     737,550

Flextronics International Ltd.
6.50%, 5/15/13(a)

      1,418     1,251,385

Freescale Semiconductor, Inc.
8.875%, 12/15/14(a)

      4,530     815,400

10.125%, 12/15/16(a)

      2,625     341,250

Iron Mountain, Inc.
6.625%, 1/01/16(a)

      1,360     1,264,800

7.75%, 1/15/15(a)

      950     942,875

Lucent Technologies, Inc.
6.45%, 3/15/29(a)

      1,260     456,750

NXP BV / NXP Funding LLC
3.844%, 10/15/13(a)(c)

      1,000     160,000

9.50%, 10/15/15(a)

      445     37,825

Seagate Technology HDD Holding
6.375%, 10/01/11(a)

      2,143     1,446,525

Serena Software, Inc.
10.375%, 3/15/16(a)

      875     518,437

Sungard Data Systems, Inc.
9.125%, 8/15/13(a)

      1,712     1,455,200
        
       12,277,735
        

Transportation - Airlines – 0.6%

     

AMR Corp.
9.00%, 8/01/12(a)

      1,570     989,100

Continental Airlines, Inc.
8.75%, 12/01/11(a)

      1,330     851,200

Series RJO3
7.875%, 7/02/18(a)

      532     314,134
        
       2,154,434
        

Transportation - Railroads – 0.3%

     

Trinity Industries, Inc.
6.50%, 3/15/14(a)

      1,300     1,079,000
        

Transportation - Services – 0.2%

     

Avis Budget Car Rental
7.75%, 5/15/16(a)

      1,660     332,000

Hertz Corp.
8.875%, 1/01/14(a)

      1,145     561,050
        
       893,050
        
       218,571,730
        

Utility – 9.2%

     

Electric – 7.7%

     

The AES Corp.
7.75%, 3/01/14(a)

      2,430     2,180,925

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   311

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

8.00%, 10/15/17(a)

    $ 2,740   $ 2,329,000

8.75%, 5/15/13(a)(b)

      140     135,800

CMS Energy Corp.
8.50%, 4/15/11(a)

      835     842,723

Dynegy Holdings, Inc.
7.75%, 6/01/19(a)

      3,360     2,032,800

8.375%, 5/01/16(a)

      1,680     1,066,800

Dynegy Roseton/Danskammer Pass Through Trust
Series A
7.27%, 11/08/10(a)

      183     173,777

Series B
7.67%, 11/08/16(a)

      1,222     916,500

Edison Mission Energy
7.00%, 5/15/17(a)

      2,840     2,399,800

7.50%, 6/15/13(a)

      1,360     1,247,800

7.75%, 6/15/16(a)

      1,695     1,542,450

Energy Future Holdings Corp.
10.875%, 11/01/17(a)

      1,545     880,650

Mirant Americas Generation LLC
8.50%, 10/01/21(a)

      2,925     2,281,500

NRG Energy, Inc.
7.25%, 2/01/14(a)

      420     395,850

7.375%, 2/01/16 - 1/15/17(a)

      4,305     3,977,950

Reliant Energy, Inc.
6.75%, 12/15/14(a)

      598     526,240

7.625%, 6/15/14(a)

      2,265     1,642,125

7.875%, 6/15/17(a)

      1,840     1,338,600

Texas Competitive Electric Holdings Co. LLC
Series A
10.25%, 11/01/15(a)

      2,151     1,086,255

TXU Corp.
Series P
5.55%, 11/15/14(a)

      1,957     859,416

Series Q
6.50%, 11/15/24(a)

      3,106     799,404
        
       28,656,365
        

Natural Gas – 1.5%

     

El Paso Corp.
7.375%, 12/15/12(a)

      1,245     1,153,582

7.75%, 1/15/32(a)

      1,355     1,040,154

Enterprise Products Operating LLC
8.375%, 8/01/66(a)(g)

      2,535     1,711,125

Kinder Morgan Finance Co.
5.70%, 1/05/16(a)

      1,135     987,450

 

312   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Regency Energy Partners
8.375%, 12/15/13(a)

    $ 1,089   $ 906,592
        
       5,798,903
        
       34,455,268
        

Credit Default Index Holdings – 4.9%

     

DJ CDX.NA.HY-100 – 4.9%

     

CDX North America High Yield
Series 8-T1
7.625%, 6/29/12(a)(b)

      17,100     14,535,000

Dow Jones CDX HY
Series 5-T2
7.25%, 12/29/10(a)(b)

      4,312     3,854,025
        
       18,389,025
        

Financial Institutions – 2.9%

     

Brokerage – 0.1%

     

E*Trade Financial Corp.
7.375%, 9/15/13(a)

      680     217,600
        

Finance – 2.1%

     

GMAC LLC
6.75%, 12/01/14(a)(b)

      1,657     804,606

6.875%, 9/15/11(a)(b)

      4,435     2,887,176

8.00%, 11/01/31(a)(b)

      1,332     597,962

iStar Financial, Inc.
5.15%, 3/01/12(a)

      2,500     950,000

Residential Capital LLC
8.375%, 6/30/10(a)

      1,625     650,000

9.625%, 5/15/15(a)(b)

      5,320     2,021,600
        
       7,911,344
        

Insurance – 0.2%

     

Crum & Forster Holdings Corp.
7.75%, 5/01/17(a)

      760     592,800

Liberty Mutual Group, Inc.
7.80%, 3/15/37(a)(b)

      770     308,000
        
       900,800
        

REITS – 0.5%

     

AMR REAL ESTATE PTR/FIN
7.125%, 2/15/13(a)

      2,500     2,056,250
        
       11,085,994
        

Total Corporates - Non-Investment Grades
(cost $452,788,429)

        282,502,017
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   313

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

CORPORATES - INVESTMENT GRADES – 15.4%

     

Industrial – 8.2%

     

Basic – 2.2%

     

ArcelorMittal
6.50%, 4/15/14(a)

    $ 2,081   $ 1,793,379

Freeport-McMoRan Copper & Gold, Inc.
8.375%, 4/01/17(a)

      2,735     2,358,937

The Mosaic Co.
7.625%, 12/01/16(a)(b)(h)

      1,875     1,800,000

United States Steel Corp.
7.00%, 2/01/18(a)

      1,825     1,367,715

Weyerhaeuser Co.
7.375%, 3/15/32(a)

      1,385     919,585
        
       8,239,616
        

Capital Goods – 1.2%

     

Allied Waste North America, Inc.
6.375%, 4/15/11(a)

      1,603     1,574,948

Series B
7.125%, 5/15/16(a)

      1,053     1,016,145

Masco Corp.
6.125%, 10/03/16(a)

      1,420     978,060

Tyco International Finance SA
8.50%, 1/15/19(a)

      700     730,582
        
       4,299,735
        

Communications - Telecommunications – 1.7%

     

Alltel Corp.
7.875%, 7/01/32(a)

      750     768,750

Embarq Corp.
6.738%, 6/01/13(a)

      2,215     2,082,100

Qwest Corp.
6.50%, 6/01/17(a)

      1,270     1,041,400

6.875%, 9/15/33(a)

      2,240     1,500,800

8.875%, 3/15/12(a)

      1,115     1,098,275
        
       6,491,325
        

Consumer Cyclical - Other – 0.5%

     

Toll Brothers Finance Corp.
5.15%, 5/15/15(a)

      2,443     1,980,196
        

Consumer Cyclical - Retailers – 0.5%

     

Macy’s Retail Holdings, Inc.
5.75%, 7/15/14(a)

      1,460     951,837

5.90%, 12/01/16(a)

      1,495     888,611
        
       1,840,448
        

 

314   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Consumer Non-Cyclical – 1.2%

     

Cadbury Schweppes US Finance LLC
5.125%, 10/01/13(a)(b)

    $ 1,080   $ 998,240

Coventry Health Care, Inc.
5.875%, 1/15/12(a)

      683     537,315

Reynolds American, Inc.
7.25%, 6/01/12 - 6/01/13(a)

      2,395     2,287,398

Ventas Realty LP/Ventas Capital Corp.
6.75%, 4/01/17(a)

      832     703,040
        
       4,525,993
        

Energy – 0.2%

     

National Oilwell Varco, Inc.
Series B
6.125%, 8/15/15(a)

      856     761,270
        

Technology – 0.7%

     

Computer Sciences Corp.
5.50%, 3/15/13(a)(b)

      1,300     1,243,888

Motorola, Inc.
7.50%, 5/15/25(a)

      1,470     784,414

Xerox Corp.
6.40%, 3/15/16(a)

      535     453,413
        
       2,481,715
        
       30,620,298
        

Financial Institutions – 3.5%

     

Banking – 2.1%

     

The Bear Stearns Co., Inc.
5.55%, 1/22/17(a)

      1,685     1,499,808

Capital One Financial Corp.
6.15%, 9/01/16(a)

      1,000     725,044

6.75%, 9/15/17(a)

      663     582,627

Citigroup, Inc.
5.50%, 4/11/13(a)

      900     814,958

Countrywide Financial Corp.
6.25%, 5/15/16(a)

      1,221     1,026,809

Series MTN 5.80%, 6/07/12(a)

      515     471,958

Countrywide Home Loans, Inc.
Series MTNL
4.00%, 3/22/11(a)

      56     52,178

Fifth Third Bancorp
6.25%, 5/01/13(a)

      1,225     1,169,555

Merrill Lynch & Co., Inc.
5.70%, 5/02/17(a)

      2,065     1,459,430
        
       7,802,367
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   315

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Finance – 1.3%

     

CIT Group, Inc.
5.40%, 1/30/16(a)

    $ 515   $ 275,949

Series MTN
5.125%, 9/30/14(a)

      2,450     1,453,254

International Lease Finance Corp.
6.375%, 3/25/13(a)

      2,815     1,774,210

SLM Corp. Series MTN
5.125%, 8/27/12(a)

      255     168,427

Series MTNA
4.50%, 7/26/10(a)

      845     668,032

5.00%, 10/01/13(a)

      1,000     610,674
        
       4,950,546
        

Insurance – 0.1%

     

Liberty Mutual Group, Inc.
5.75%, 3/15/14(a)(b)

      450     361,096
        

Other Finance – 0.0%

     

Aiful Corp.
6.00%, 12/12/11(a)(b)

      921     267,631
        
       13,381,640
        

Utility – 3.2%

     

Electric – 2.1%

     

Allegheny Energy Supply Co. LLC
7.80%, 3/15/11(a)

      1,070     1,091,400

8.25%, 4/15/12(a)(b)

      1,830     1,857,450

Aquila, Inc.
11.875%, 7/01/12(a)

      1,096     1,156,280

Oncor Electric Delivery Co.
5.95%, 9/01/13(a)(b)

      1,240     1,216,803

6.80%, 9/01/18(a)(b)

      1,140     1,121,046

Sierra Pacific Power Co.
Series M
6.00%, 5/15/16(a)

      440     407,359

Teco Finance, Inc.
6.572%, 11/01/17(a)

      500     413,699

7.00%, 5/01/12(a)

      722     683,198
        
       7,947,235
        

Natural Gas – 1.1%

     

Tennessee Gas Pipeline Co.
7.00%, 10/15/28(a)

      570     468,708

Williams Co., Inc.
7.625%, 7/15/19(a)

      2,189     2,046,715

7.875%, 9/01/21(a)

      1,634     1,527,790
        
       4,043,213
        
       11,990,448
        

 

316   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Non Corporate Sectors – 0.5%

     

Agencies - Not Government Guaranteed – 0.5%

     

TransCapitalInvest Ltd. for OJSC AK Transneft
7.70%, 8/07/13(a)(b)

    $ 2,125   $ 1,774,375
        

Total Corporates - Investment Grades
(cost $67,733,021)

        57,766,761
        
    

COMMERCIAL MORTGAGE-BACKED SECURITIES – 3.0%

     

Non-Agency Fixed Rate CMBS – 3.0%

     

Banc of America Commercial Mortgage, Inc.
Series 2006-5, Class A4
5.414%, 9/10/47(a)

      1,500     985,159

Credit Suisse Mortgage Capital Certificates
Series 2006-C3, Class A3
5.826%, 6/15/38(a)

      2,375     1,652,782

Greenwich Capital Commercial Funding Corp.
Series 2007-GG9, Class A4
5.444%, 3/10/39(a)

      1,875     1,174,649

JP Morgan Chase Commercial Mortgage Securities Corp.
Series 2005-LDP5, Class A4
5.179%, 12/15/44(a)

      2,000     1,475,843

Series 2007-C1, Class A4
5.716%, 2/15/51(a)

      1,100     536,069

Series 2007-CB18, Class A4
5.44%, 6/12/47(a)

      1,875     1,126,757

Series 2007-LD11, Class A4
5.819%, 6/15/49(a)

      2,000     1,181,361

LB-UBS Commercial Mortgage Trust
Series 2006-C7, Class A3
5.347%, 11/15/38(a)

      2,600     1,674,069

Merrill Lynch/Countrywide Commercial Mortgage Trust
Series 2006-3, Class A4
5.414%, 7/12/46(a)

      2,125     1,389,159
        

Total Commercial Mortgage-Backed Securities
(cost $15,346,798)

        11,195,848
        
    

QUASI-SOVEREIGNS – 0.8%

     

Quasi-Sovereign Bonds – 0.8%

     

Kazakhstan – 0.3%

     

KazMunaiGaz Finance Sub BV
8.375%, 7/02/13(a)(b)

      1,650     1,155,000
        

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   317

 

High Yield Portfolio—Portfolio of Investments

 

     Principal
Amount
(000)		   U.S. $ Value
 
    

Russia – 0.5%

     

RSHB Capital SA for OJSC Russian Agricultural Bank
6.299%, 5/15/17(a)(b)

    $ 3,030   $ 1,757,400
        

Total Quasi-Sovereigns
(cost $3,241,831)

        2,912,400
        
    

EMERGING MARKETS - CORPORATE BONDS – 0.7%

     

Industrial – 0.7%

     

Consumer Cyclical - Other – 0.5%

     

Royal Caribbean Cruises Ltd.
7.00%, 6/15/13(a)

      2,385     1,335,600

8.75%, 2/02/11(a)

      846     626,040
        
       1,961,640
        

Consumer Non-Cyclical – 0.2%

     

Foodcorp Ltd.
8.875%, 6/15/12(a)(b)

    EUR 1,128     815,113
        

Total Emerging Markets - Corporate Bonds
(cost $4,027,181)

        2,776,753
        
    

BANK LOANS – 0.7%

     

Industrial – 0.7%

     

Consumer Cyclical - Other – 0.3%

     

Las Vegas Sands LLC
2.16%, 5/23/14(c)

    $ 2,469     1,097,209
        

Energy – 0.4%

     

Ashmore Energy International
0.38%-3.10%, 3/30/12(c)

      250     147,289

4.46%, 3/30/14(c)

      2,225     1,312,701
        
       1,459,990
        

Total Bank Loans
(cost $2,797,993)

        2,557,199
        
     Shares    

PREFERRED STOCKS – 0.2%

     

Financial Institutions – 0.2%

     

Banking – 0.1%

     

Preferred Blocker, Inc.
7.00%(a)(b)

      1,687     288,055
        

REITS – 0.1%

     

Sovereign REIT
12.00%(a)(b)

      624     399,360
        
       687,415
        

 

318   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

         
    
Shares		   U.S. $ Value
 
    

Non Corporate Sectors – 0.0%

     

Agencies - Government
Sponsored – 0.0%

     

Federal Home Loan Mortgage Corp.
Series Z
8.375%(a)

    36,525   $ 18,262

Federal National Mortgage Association
8.25%(a)

    54,625     44,793
        
       63,055
        

Total Preferred Stocks
(cost $3,520,973)

        750,470
        
    

SHORT-TERM INVESTMENTS – 0.6%

     

Investment Companies – 0.6%

     

AllianceBernstein Fixed-Income Shares, Inc. –Government STIF Portfolio(i)
(cost $2,052,028)

    2,052,028     2,052,028
        

Total Investments – 96.8%
(cost $551,508,254)

        362,513,476

Other assets less liabilities – 3.2%

        11,987,649
        

Net Assets – 100.0%

      $ 374,501,125
        

CREDIT DEFAULT SWAP CONTRACTS ON CORPORATE AND SOVEREIGN ISSUES (see Note C)

 

Swap Counterparty &

Referenced Obligation

  

Fixed

Deal
(Pay)
Receive
Rate

    

Implied

Credit
Spread
at
Feb. 28,
2009

     Notional
Amount
(000)		   Market
Value		     Upfront
Premiums
Paid
(Received)		     Unrealized
Appreciation/
(Depreciation)		  

Buy Contracts:

 

Morgan Capital Services, Inc.:

            

Residential Capital LLC 6.50%, 4/17/13, 6/30/10*

   (5.00 )%   85.757 %   $    1,625   $    881,805     $    556,563     $    325,242  

Sale Contracts:

 

Morgan Capital Services, Inc.:

            

CDX NA High Yield
5.00%, 6/20/13, 6/20/13*

   5.00     15.153       960     (235,742 )     (76,528 )     (159,214 )

 

* Termination date

INTEREST RATE SWAP TRANSACTIONS (see Note C)

 

               Rate Type      
Swap
Counterparty		    Notional
Amount
(000)		    Termination
Date		    Payments
made
by the
Portfolio		    Payments
received
by the
Portfolio		     Unrealized
Appreciation/
(Depreciation)

Morgan Stanley

    $     1,000    9/17/13    3 Month LIBOR    3.620 %   $     57,558

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   319

 

High Yield Portfolio—Portfolio of Investments

 

FORWARD CURRENCY EXCHANGE CONTRACTS (see Note C)

 

      Contract
Amount
(000)		    U.S. $ Value
on
Origination
Date		    U.S. $
Value at
February 28,
2009		    Unrealized
Appreciation/
(Depreciation)

Sale Contracts:

            

Euro settling 3/02/09

    1,496    $     1,949,553    $     1,896,157    $     53,396

Euro settling 5/07/09

    1,496      1,904,936      1,895,641      9,295

 

(a) Position, or a portion thereof, has been segregated to collateralize forward currency exchange contracts. The aggregate market value of these securities amounted to $357,904,249.

 

(b) Security is exempt from registration under Rule 144A of the Securities Act of 1933. These securities are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers. At February 28, 2009, the aggregate market value of these securities amounted to $71,239,692 or 19.0% of net assets.

 

(c) Floating Rate Security. Stated interest rate was in effect at February 28, 2009.

 

(d) Security is in default and is non-income producing.

 

(e) Pay-In-Kind Payments (PIK).

 

(f) Indicates a security that has a zero coupon that remains in effect until a predetermined date at which time the stated coupon rate becomes effective until final maturity.

 

(g) Variable rate coupon, rate shown as of February 28, 2009.

 

(h) Coupon rate adjusts periodically based upon a predetermined schedule. Stated interest rate in effect at February 28, 2009.

 

(i) Investment in affiliated money market mutual fund.

Currency Abbreviations:

EUR – Euro Dollar

Glossary:

CMBS – Commercial Mortgage-Backed Securities

LIBOR – London Interbank Offered Rates

OJSC – Open Joint Stock Company

REITS – Real Estate Investment Trusts

See notes to financial statements.

 

320   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

High Yield Portfolio—Portfolio of Investments

 

THE FOLLOWING IS NOT PART OF THE SHAREHOLDER REPORT OR THE FINANCIAL STATEMENTS

SUMMARY OF SENIOR OFFICER’S EVALUATION OF INVESTMENT ADVISORY AGREEMENT1

The following is a summary of the evaluation of the Investment Advisory Agreement between AllianceBernstein L.P. (the “Adviser”) and AllianceBernstein Blended Style Series, Inc. (the “Fund”), in respect of the following AllianceBernstein Retirement Strategies (each a “Strategy” and collectively, the “Strategies”):2

AllianceBernstein 2000 Retirement Strategy

AllianceBernstein 2005 Retirement Strategy

AllianceBernstein 2010 Retirement Strategy

AllianceBernstein 2015 Retirement Strategy

AllianceBernstein 2020 Retirement Strategy

AllianceBernstein 2025 Retirement Strategy

AllianceBernstein 2030 Retirement Strategy

AllianceBernstein 2035 Retirement Strategy

AllianceBernstein 2040 Retirement Strategy

AllianceBernstein 2045 Retirement Strategy

AllianceBernstein 2050 Retirement Strategy

AllianceBernstein 2055 Retirement Strategy

The evaluation of the Investment Advisory Agreement was prepared by Philip L. Kirstein, the Senior Officer of the Fund, for the Directors of the Fund, as required by an August 2004 agreement between the Adviser and the New York State Attorney General (the “NYAG”).

The investment objective of each Strategy is to seek the highest total return over time consistent with its asset mix. Total return includes capital growth and income. Each Strategy is managed to the specific year of planned retirement included in its name. The Strategies’ asset mixes will become more conservative until reaching the year approaching 15 years after the retirement year at which time the asset allocation will become static. Each Strategy will pursue its investment objectives through investing in a combination of The AllianceBernstein Pooling Portfolios (the “Pooling Portfolios”),3 which represent a variety of asset

 

1 It should be noted that the information in the fee evaluation was completed on July 24, 2008 and presented to the Board of Directors on August 5-August 7, 2008, in accordance with the September 1, 2004 Assurance of Discontinuance between the NYAG and the Adviser.

 

2 Future references to the Strategies do not include “AllianceBernstein.”

 

3 The AllianceBernstein Pooling Portfolios include U.S. Value Portfolio, U.S. Large Cap Growth Portfolio, Global Real Estate Investment Portfolio, International Value Portfolio, International Growth Portfolio, Small-Mid Cap Value Portfolio, Small-Mid Cap Growth Portfolio, Global Research Growth Portfolio, Global Value Portfolio, Short Duration Bond Portfolio, Intermediate Duration Bond Portfolio, Inflation Protected Securities Portfolio and High Yield Portfolio.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   321

 

classes and investment styles. As a result, certain expenses will be minimal, such as custodian charges, or non-existent, such as brokerage commissions, except as incurred indirectly through the Pooling Portfolios.

The Senior Officer’s evaluation of the Investment Advisory Agreement is not meant to diminish the responsibility or authority of the Boards of Directors of the Fund to perform its duties pursuant to Section 15 of the Investment Company Act of 1940 (the “40 Act”) and applicable state law. The purpose of the summary is to provide shareholders with a synopsis of the independent evaluation of the reasonableness of the advisory fees proposed to be paid by the Strategies which was provided to the Directors in connection with their review of the proposed approval of the continuance of the Investment Advisory Agreement. The Senior Officer’s evaluation considered the following factors:

 

  1. Advisory fees charged to institutional and other clients of the Adviser for like services;

 

  2. Advisory fees charged by other mutual fund companies for like services;

 

  3. Costs to the Adviser and its affiliates of supplying services pursuant to the advisory agreement, excluding any intra-corporate profit;

 

  4. Profit margins of the Adviser and its affiliates from supplying such services;

 

  5. Possible economies of scale as the Strategies grow larger; and

 

  6. Nature and quality of the Adviser’s services including the performance of the Strategies.

INVESTMENT ADVISORY FEES, NET ASSETS, EXPENSE CAPS & RATIOS

The Adviser proposed that each Strategy pay the advisory fee set forth in the table below for receiving the services to be provided pursuant to the Investment Advisory Agreement. The fee charged to each Strategy is dependent on the percentage of equity investments and the level of net assets held by each Strategy:

 

% Invested in Equity Investments4   Advisory Fee  
Equal to or less than 60%   0.55 %
Greater than 60% and less than 80%   0.60 %
Equal to or greater than 80%   0.65 %

 

Net Asset Level   Discount
Assets equal to or less than $2.5 billion   n/a
Assets greater than $2.5 billion and less than $5 billion   10 basis points
Assets greater than $5 billion   15 basis points

 

4 For purposes of determining the percent of the portfolio that consists of equity investments, 50% of the assets invested in the Global Real Estate Investment Portfolio will be considered to be invested in equity investments.

 

322   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Accordingly, under the terms of the Investment Advisory Agreement and based on the Strategies’ current percentages of investments held in equities, the Strategies will pay the Adviser at the following annual rates:

 

     Average Daily
Net Assets		  
Strategy  

First
$2.5

billion

     Next
$2.5
billion		     In excess
of $5
billion		  
2025, 2030, 2035, 2040, 2045, 2050, 2055   0.65 %   0.55 %   0.50 %
     
2010, 2015, 2020   0.60 %   0.50 %   0.45 %
     
2000, 2005   0.55 %   0.45 %   0.40 %

It should be noted that there are no management fees charged by the Adviser for managing the Pooling Portfolios, in which the Strategies invest, although there are other expenses at the Pooling Portfolio level of approximately 0.04% of the Strategies’ average net assets (estimated for the six month period ended February 29, 2008).

The Strategies’ net assets on June 30, 2008 are set forth below:

 

Strategy   06/30/08
Net Assets
($millions)
2000 Retirement Strategy   $ 17.1
2005 Retirement Strategy   $ 43.8
2010 Retirement Strategy   $ 175.3
2015 Retirement Strategy   $ 269.7
2020 Retirement Strategy   $ 319.7
2025 Retirement Strategy   $     265.0
2030 Retirement Strategy   $ 205.1
2035 Retirement Strategy   $ 139.4
2040 Retirement Strategy   $ 102.0
2045 Retirement Strategy   $ 62.3
2050 Retirement Strategy   $ 1.6
2055 Retirement Strategy   $ 0.7

 

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   323

 

The Adviser is reimbursed as specified in the Investment Advisory Agreement for certain clerical, legal, accounting, administrative and other services provided to the Strategies. Indicated below are the reimbursement amounts, in dollars and as a percentage of average daily net assets, which the Adviser was entitled to receive (before expense caps) from the Strategies but waved the amounts in their entirety during the Strategies’ most recently completed fiscal year:

 

Strategy   Amount  

As a % of Average

Daily Net Assets

  
2000 Retirement Strategy   $     37,012   0.68 %
2005 Retirement Strategy   $ 37,012   0.26 %
2010 Retirement Strategy   $ 37,012   0.08 %
2015 Retirement Strategy   $ 37,012   0.05 %
2020 Retirement Strategy   $ 37,012   0.04 %
2025 Retirement Strategy   $ 37,012   0.04 %
2030 Retirement Strategy   $ 37,012   0.07 %
2035 Retirement Strategy   $ 37,012   0.10 %
2040 Retirement Strategy   $ 37,012   0.20 %
2045 Retirement Strategy   $ 37,012   0.22 %
2050 Retirement Strategy   $ 5,613   46.23 %5
2055 Retirement Strategy   $ 5,613   45.57 %5

The Adviser agreed to waive that portion of its management fees and/or reimburse the Strategies for that portion of the Strategies’ total operating expenses to the degree necessary to limit the Strategies’ expense ratios to the amounts set forth below for the Strategies’ current fiscal year. The waiver is terminable by the Adviser at the end of the Strategies’ fiscal year upon at least 60 days written notice. It should be noted that the Strategies expense caps were reduced effective March 1, 2007. Set forth below are the Strategies’ expense caps, and gross expense ratios as of February 29, 2008:

 

Strategy   Expense Cap Pursuant to
Expense Limitation
Undertaking		      Gross
Expense
Ratio
(02/29/08)5		   Fiscal
Year End
2000 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   0.86%

1.56%

1.56%

1.06%

0.81%

0.56%

0.56%

      2.84%

3.56%

3.44%

2.74%

2.59%

2.26%

2.32%

   August 31

 

5 Annualized.

 

324   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Strategy   Expense Cap Pursuant to
Expense Limitation
Undertaking		      Gross
Expense
Ratio
(02/29/08)5		   Fiscal
Year End
2005 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   0.92%

1.62%

1.62%

1.12%

0.87%

0.62%

0.62%

      1.86%

2.56%

2.56%

2.01%

1.83%

1.47%

1.56%

   August 31
          
2010 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   0.94%

1.64%

1.64%

1.14%

0.89%

0.64%

0.64%

      1.17%

1.87%

1.87%

1.54%

1.25%

0.92%

0.86%

   August 31
          
2015 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   0.98%

1.68%

1.68%

1.18%

0.93%

0.68%

0.68%

      1.11%

1.82%

1.81%

1.51%

1.20%

0.87%

0.80%

   August 31
          
2020 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.02%

1.72%

1.72%

1.22%

0.97%

0.72%

0.72%

      1.14%

1.85%

1.85%

1.54%

1.23%

0.90%

0.84%

   August 31
          
2025 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.04%

1.74%

1.74%

1.24%

0.99%

0.74%

0.74%

      1.17%

1.88%

1.88%

1.48%

1.25%

0.92%

0.87%

   August 31
          
2030 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.06%

1.76%

1.76%

1.26%

1.01%

0.76%

0.76%

      1.23%

1.94%

1.94%

1.52%

1.30%

0.97%

0.93%

   August 31

 

5 Annualized.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   325

 

Strategy   Expense Cap Pursuant to
Expense Limitation
Undertaking		      Gross
Expense
Ratio
(02/29/08)5		   Fiscal
Year End
2035 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.06%

1.76%

1.76%

1.26%

1.01%

0.76%

0.76%

      1.35%

2.06%

2.06%

1.61%

1.40%

1.06%

1.05%

   August 31
          
2040 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.06%

1.76%

1.76%

1.26%

1.01%

0.76%

0.76%

      1.49%

2.20%

2.19%

1.72%

1.51%

1.18%

1.18%

   August 31
          
2045 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.06%

1.76%

1.76%

1.26%

1.01%

0.76%

0.76%

      1.78%

2.48%

2.48%

1.99%

1.75%

1.39%

1.47%

   August 31
          
2050 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.06%

1.76%

1.76%

1.26%

1.01%

0.76%

0.76%

      102.65%

148.38%

159.60%

117.70%

111.93%

104.95%

121.54%

   August 31
          
2055 Retirement Strategy  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.06%

1.76%

1.76%

1.26%

1.01%

0.76%

0.76%

      306.91%

356.80%

340.61%

315.86%

294.42%

315.74%

345.57%

   August 31

The expense limitation undertaking described includes the blended expense ratios of the Pooling Portfolios (i.e., the Strategies’ underlying expense ratios). For the six months ended February 29, 2008 and the fiscal year ended August 31, 2007, each of the 2000-2055 Retirement Strategies had an estimated blended expense ratio related to the Pooling Portfolios of 0.04% and 0.04%, respectively.

 

5 Annualized.

 

326   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

I. MANAGEMENT FEES CHARGED TO INSTITUTIONAL AND OTHER CLIENTS

The management fees charged to investment companies which the Adviser manages and sponsors are normally higher than those charged to similar sized institutional accounts, including pension plans and sub-advised investment companies. The fee differential reflects, among other things, different services provided to such clients and different liabilities assumed. Services that are provided by the Adviser to the Strategies that are not provided to non-investment company clients and sub-advised investment companies include providing office space and personnel to serve as Fund Officers, who among other responsibilities make the certifications required under the Sarbanes–Oxley Act of 2002, and coordinating with and monitoring the Strategies’ third party service providers such as Fund counsel, auditors, custodians, transfer agents and pricing services. The accounting, administrative, legal and compliance requirements for the Strategies are more costly than those for institutional accounts due to the greater complexities and time required for investment companies, although as previously noted, the Adviser is entitled to be reimbursed for a portion of their expenses by the Strategies. Also, retail mutual funds managed by the Adviser are widely held and accordingly, servicing the Strategies’ investors is more time consuming and labor intensive compared to servicing institutional clients since the Adviser needs to communicate with a more extensive network of financial intermediaries and shareholders. The Adviser also believes that it incurs substantial entrepreneurial risk when offering a new mutual fund since establishing a new mutual fund requires a large upfront investment and it may take a long time for the fund to achieve profitability since the fund must be priced to scale from inception in order to be competitive and assets are acquired one account at a time. In addition, managing the cash flow of an open-end investment company may be more difficult than managing that of a stable pool of assets, such as an institutional account with little cash movement in either direction, particularly if a fund is in net redemption, and the Adviser is frequently forced to sell securities to raise cash for redemptions. However, managing a fund with positive cash flow may be easier at times than managing a stable pool of assets. In recent years, investment advisers have been sued by institutional clients and have suffered reputational damage both by the attendant publicity and outcomes other than complete victories. Accordingly, the legal and reputational risks associated with institutional accounts are greater than previously thought, although these risks are generally still not equal to those related to the mutual fund industry.

Notwithstanding the Adviser’s view that managing an investment company is not comparable to managing other institutional accounts because the services provided are different and the legal and reputational risks are greater, it is worth considering information regarding the advisory fees charged to institutional accounts that have investment styles similar to those of the Strategies. In addition to the AllianceBernstein Institutional fee schedule, set forth below is a

 

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   327

 

comparison of the advisory fees of the Retirement Strategies and what would have been the effective advisory fees of the Strategies had the AllianceBernstein Institutional fee schedule been applicable to the Strategies based on June 30, 2008 net assets:6

 

AB Institutional Fee
Schedule		   Strategy  

Net
Assets

06/30/08
($MM)

   AB Inst.
Fee (%)		     Advisory
Fee (%)7		  

Target Date—All Active

75 bp on 1st $25 million

60 bp on next $25 million

50 bp on next $50 million

40 bp on next $100 million

35 bp on the balance

+Other operating expenses (capped)

Minimum Account Size:

$100M or plan assets of $500M

  

2000 Retirement Strategy

2005 Retirement Strategy

2010 Retirement Strategy

2015 Retirement Strategy

2020 Retirement Strategy

2025 Retirement Strategy

2030 Retirement Strategy

2035 Retirement Strategy

2040 Retirement Strategy

2045 Retirement Strategy

2050 Retirement Strategy

2055 Retirement Strategy

   $

$

$

$

$

$

$

$

$

$

$

$

 17.1

43.8

175.3

269.7

319.7

265.0

205.1

139.4

102.0

62.3

1.6

0.7

   0.750

0.686

0.507

0.457

0.440

0.459

0.491

0.534

0.586

0.640

0.750

0.750

 %

%

%

%

%

%

%

%

%

%

%

%

   0.550

0.550

0.600

0.600

0.600

0.650

0.650

0.650

0.650

0.650

0.650

0.650

 %

%

%

%

%

%

%

%

%

%

%

%

The Adviser provides sub-advisory services to certain other investment companies managed by other fund families. The Adviser charges the fees set forth below for the sub-advisory relationships:

 

Client      Fee Schedule
2030, 2040, 2050     

0.65% on first $2.5 billion

0.55% on next $2.5 billion

0.50% in excess of $5 billion

    
2010, 2015, 2020     

0.60% on first $2.5 billion

0.50% on next $2.5 billion

0.45% in excess of $5 billion

    
2005     

0.55% on first $2.5 billion

0.54% on next $2.5 billion

0.40% in excess of $5 billion

It is fair to note that the services the Adviser provides pursuant to sub-advisory agreements are generally confined to the services related to the investment process; in other words, they are not as comprehensive as the services provided to the Strategies by the Adviser. In addition, to the extent that certain of these sub-advisory relationships are with affiliates of the Adviser, the fee schedules may not reflect arm’s-length bargaining or negotiations.

 

6 The Adviser has indicated that with respect to institutional accounts with assets greater than $300 million, it will negotiate a fee schedule. Discounts that are negotiated vary based upon each client relationship.

 

7 Excludes reimbursements made by the Strategy to the Adviser for certain non-management expenses and any expense reimbursements or advisory fee waivers made by the Adviser to the Strategy related to expense caps.

 

328   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

II. MANAGEMENT FEES CHARGED BY OTHER MUTUAL FUND COMPANIES FOR LIKE SERVICES.

Lipper, Inc. (“Lipper”), an analytical service that is not affiliated with the Adviser, compared the fees charged to the Strategies with fees charged to other investment companies for similar services by other investment advisers. Lipper’s analysis included each Strategy’s ranking with respect to the proposed management fees relative to the median of each Strategy’s Lipper Expense Group (“EG”)8 at the approximate current asset level of the subject Strategy.9

Lipper describes an EG as a representative sample of comparable funds. Lipper’s standard methodology for screening funds to be included in an EG entails the consideration of several fund criteria, including fund type, investment classification/objective, similar 12b-1/non 12b-1 service fees, asset (size) comparability, expense components and attributes. An EG will typically consist of seven to twenty funds. It should be noted that, at the request of the Senior Officer and the Adviser, Lipper allowed for the EGs of the Retirement Strategies to include no-load funds10 in addition to front-end load funds, which the Class A Shares of the Strategies are considered, in order for the EGs to have a sufficient number of peers.

Lipper classifies the 2000, 2005 and 2010 Retirement Strategies as mixed asset target 2010 funds. As a result, the peer groups of those Strategies are almost identical. Similarly, the 2015 and 2020 Retirement Strategies are classified as mixed asset target 2020 funds while 2025 and 2030 Retirement Strategy are classified as mixed asset target 2030 funds. The 2035, 2040, 2045, 2050 and 2055 Retirement Strategies are classified as mixed asset target 2030+ funds.

The original EG for 2025 Retirement Strategy had an insufficient number of peers in the view of the Senior Officer and the Adviser. Consequently, at the request of the Senior Officer and the Adviser, Lipper expanded the EG of the Strategy to include two 2020 funds in addition to the five other 2030 funds that have the same Lipper investment classification as 2025 Retirement Strategy.

 

8 Note that Lipper does not consider average account size when constructing EGs. Funds with relatively small average account sizes tend to have a higher transfer agent expense ratio than comparable sized funds that have relatively large average account sizes.

 

9 The management fee is calculated by Lipper using the Strategy’s management fee rate at a hypothetical asset level. The hypothetical asset level is based on the combined net assets of all classes of the Strategy, rounded up to the next $25 million. Lipper’s total expense ratio information is based on the most recent annual report except as otherwise noted. A ranking of “1” would mean that the Strategy had the lowest effective fee rate in the Lipper peer group.

 

10 The EGs for each of the 2000-2035 Retirement Strategies had one peer that was no load; the EGs for each of the 2040-2055 Retirement Strategies had two peers that were no load.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   329

 

Strategy  

Management

Fee (%)11

  

Lipper Exp.

Group

Median (%)

   Rank
2000 Retirement Strategy   0.550   0.573   3/9
2005 Retirement Strategy   0.550   0.573   3/9
2010 Retirement Strategy   0.600   0.600   5/9
2015 Retirement Strategy   0.600   0.693   3/10
2020 Retirement Strategy   0.600   0.693   3/10
2025 Retirement Strategy   0.650   0.709   3/8
2030 Retirement Strategy   0.650   0.732   3/8
2035 Retirement Strategy   0.650   0.770   3/9
2040 Retirement Strategy   0.650   0.737   4/10
2045 Retirement Strategy   0.650   0.737   4/10
2050 Retirement Strategy   0.650   0.737   4/10
2055 Retirement Strategy   0.650   0.737   4/10

Set forth below is a comparison of the Retirement Strategies’ total expense ratios (inclusive of the Strategies’ underlying expenses) and the medians of the Strategies’ EGs. The Strategies’ total expense ratio rankings are also shown. As previously mentioned, the Strategies’ expense caps were reduced on March 1, 2007. Accordingly, pro-forma data is also shown (in bold and italicized).12 It should be noted that Lipper intentionally omitted the Lipper Expense Universe (“EU”) due to the limited number of fund complexes that offer mixed-asset target maturity funds.

 

Strategy  

Total
Expense

Ratio (%)13

  

Lipper Exp.

Group
Median (%)14

  

Lipper

Group

Rank

2000 Retirement Strategy   0.944   1.003   2/9

Pro-forma15

   0.860   1.003   1/9
     
2005 Retirement Strategy   0.991   1.003   3/9

Pro-forma15

   0.920   1.003   1/9

 

11 The management fee would not reflect any expense reimbursements made by the Strategies to the Adviser for certain clerical, legal, accounting, administrative and other services. As previously mentioned, the Adviser waived such reimbursements during the Strategies’ most recently completed fiscal year. In addition, the management fee does not reflect any advisory fee waiver or expense reimbursement for expense caps that would effectively reduce the actual management fee.

 

12 The pro-forma expense ratio shows what would have been the total expense ratio of the Retirement Strategy had the change to the Strategy’s expense cap been in effect for the Strategy’s full fiscal year. With respect to 2000-2045 Retirement Strategies, the actual total expense ratios of the Strategies reflects the reduced expense caps for only a portion of the Strategies’ entire fiscal year, which is to say from March 12, 2007 through August 31, 2007.

 

13 The total expense ratios (inclusive of the Strategies’ underlying expenses) shown are for the Retirement Strategies’ Class A shares.

 

14 Peer total expense ratios are also inclusive of their respective underlying expenses.

 

15 Note that the EG medians are the same for the non-pro-forma EG and the pro-forma EG. Lipper includes each Strategy twice (on a non-pro-forma basis and on a pro-forma basis) to calculate the EG median. Lipper does not include each Strategy twice when considering the total number of funds for ranking.

 

330   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Strategy  

Total
Expense

Ratio (%)13

  

Lipper Exp.

Group
Median (%)14

  

Lipper

Group

Rank

2010 Retirement Strategy   1.029   1.018   6/9

Pro-forma15

   0.940   1.018   2/9
     
2015 Retirement Strategy   1.056   1.060   4/10

Pro-forma15

   0.980   1.060   2/10
     
2020 Retirement Strategy   1.104   1.070   6/10

Pro-forma15

   1.020   1.070   3/10
     
2025 Retirement Strategy   1.118   1.118   4/8

Pro-forma15

   1.040   1.118   3/8
     
2030 Retirement Strategy   1.130   1.130   3/8

Pro-forma15

   1.060   1.130   3/8
     
2035 Retirement Strategy   1.130   1.156   3/9

Pro-forma15

   1.060   1.156   3/9
     
2040 Retirement Strategy   1.119   1.130   4/10

Pro-forma15

   1.060   1.130   4/10
     
2045 Retirement Strategy   1.131   1.131   5/10

Pro-forma15

   1.060   1.131   4/10
     
2050 Retirement Strategy   1.060   1.156   4/10
     
2055 Retirement Strategy   1.060   1.156   4/10

Based on the information provided, except for 2010 Retirement Strategy, whose contractual management fee is equal to the Strategy’s EG median, the contractual management fees of the Retirement Strategies are lower than their EG medians. In addition, the total expense ratios, on a pro-forma basis, of 2000-2045 Retirement Strategies are lower than their respective EG medians; and the actual total expense ratios of 2050-55 Retirement Strategies are lower than their respective EG medians.

 

III. COSTS TO THE ADVISER AND ITS AFFILIATES OF SUPPLYING SERVICES PURSUANT TO THE MANAGEMENT FEE ARRANGEMENT, EXCLUDING ANY INTRA-CORPORATE PROFIT.

The Adviser utilizes two profitability reporting systems, which operate independently but are aligned with each other, to estimate the Adviser’s

 

13 The total expense ratios (inclusive of the Strategies’ underlying expenses) shown are for the Retirement Strategies’ Class A shares.

 

14 Peer total expense ratios are also inclusive of their respective underlying expenses.

 

15 Note that the EG medians are the same for the non-pro-forma EG and the pro-forma EG. Lipper includes each Strategy twice (on a non-pro-forma basis and on a pro-forma basis) to calculate the EG median. Lipper does not include each Strategy twice when considering the total number of funds for ranking.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   331

 

profitability in connection with investment advisory services provided to the Retirement Strategies. The Senior Officer has retained a consultant to provide independent advice regarding the alignment of the two profitability systems as well as the methodologies and allocations utilized by both profitability systems. See Section IV for additional discussion.

 

IV. PROFIT MARGINS OF THE ADVISER AND ITS AFFILIATES FOR SUPPLYING SUCH SERVICES.

The Retirement Strategies’ profitability information, prepared by the Adviser for the Board of Directors, was reviewed by the Senior Officer and the consultant. The Adviser’s overall profitability pertaining to the Retirement Strategies in the aggregate was negative in 2007.

In addition to the Adviser’s direct profits from managing the Strategies, certain of the Adviser’s affiliates have a business relationship with the Strategies and may earn a profit from providing such services to the Strategies. The courts have referred to this type of business opportunity as “fall-out benefits” to the Adviser and indicated that such benefits should be factored into the evaluation of the total relationship between the Strategies and the Adviser. Neither case law nor common business practice precludes the Adviser’s affiliates from earning a reasonable profit on this type of relationship provided the affiliates’ charges and services are competitive. These affiliates provide transfer agent, distribution, and brokerage related services to the Strategies and/or the Pooling Portfolios and receive transfer agent fees, Rule 12b-1 payments, front-end sales loads, contingent deferred sales charges (“CDSC”) and commissions for providing brokerage services. In addition, the Adviser benefits from soft dollar arrangements which offset research expenses the Adviser would otherwise incur.

AllianceBernstein Investments, Inc. (“ABI”), the Strategies’ distribution and affiliate of the Adviser, retained the following front-end load sales charges from sales of Class A shares during the Strategies’ most recently completed fiscal year:

 

Strategy   Amount Received
2000 Retirement Strategy   $ 319
2005 Retirement Strategy   $     2,794
2010 Retirement Strategy   $ 7,680
2015 Retirement Strategy   $ 7,745
2020 Retirement Strategy   $ 5,906
2025 Retirement Strategy   $ 7,051
2030 Retirement Strategy   $ 3,152
2035 Retirement Strategy   $ 3,358
2040 Retirement Strategy   $ 1,345
2045 Retirement Strategy   $ 2,572
2050 Retirement Strategy   $ 0
2055 Retirement Strategy   $ 5

 

332   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

ABI received the following Rule 12b-1 and CDSC fees from the Strategies during the Strategies’ most recently compensated fiscal year:

 

Strategy   12b-1 Fee Received   CDSC Received
2000 Retirement Strategy   $ 16,233   $ 14
2005 Retirement Strategy   $ 48,325   $     1,427
2010 Retirement Strategy   $     148,126   $ 1,134
2015 Retirement Strategy   $ 229,003   $ 2,721
2020 Retirement Strategy   $ 246,246   $ 2,716
2025 Retirement Strategy   $ 239,198   $ 4,583
2030 Retirement Strategy   $ 145,579   $ 868
2035 Retirement Strategy   $ 107,188   $ 1,287
2040 Retirement Strategy   $ 54,468   $ 1,256
2045 Retirement Strategy   $ 49,603   $ 224
2050 Retirement Strategy   $ 50   $ 0
2055 Retirement Strategy   $ 51   $ 0

The Adviser have disclosed in the Strategies’ prospectus that they may make revenue sharing payments from their own resources, in addition to resources derived from sales loads and Rule 12b-1 fees, to firms that sell shares of the Strategies. In 2007, ABI paid approximately 0.04% of the average monthly assets of the AllianceBernstein Mutual Funds or approximately $24 million for distribution services and educational support (revenue sharing payments). For 2008, it is anticipated, ABI will pay approximately 0.04% of the average monthly assets of the AllianceBernstein Mutual Funds or approximately $28 million.16

Fees and reimbursements for out of the pocket expenses charged by AllianceBernstein Investor Services, Inc. (“ABIS”), the affiliated transfer agent for the Strategies, are charged on a per account basis, based on the level of service provided and the class of share held by the account. ABIS also receives a fee per shareholder sub-account for each account maintained by an intermediary on an omnibus basis.

 

16 ABI currently inserts the “Advance” in quarterly account statements and pays the incremental costs associated with the mailing. The incremental cost is less than what an “independent mailing” would cost.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   333

 

Strategy   ABIS Fee   Expense Offset17
2000 Retirement Strategy   $     19,395   $ 677
2005 Retirement Strategy   $ 19,856   $     1,154
2010 Retirement Strategy   $ 24,709   $ 2,052
2015 Retirement Strategy   $ 32,525   $ 3,086
2020 Retirement Strategy   $ 33,728   $ 3,767
2025 Retirement Strategy   $ 33,278   $ 3,706
2030 Retirement Strategy   $ 27,408   $ 3,443
2035 Retirement Strategy   $ 23,115   $ 3,487
2040 Retirement Strategy   $ 20,509   $ 3,146
2045 Retirement Strategy   $ 19,726   $ 3,118
2050 Retirement Strategy   $ 0   $ 8
2055 Retirement Strategy   $ 0   $ 2

There are no portfolio transactions for the Retirement Strategies since they pursue their investment objectives through investing in a combination of the Pooling Portfolios. However, the Pooling Portfolios do engage in portfolio transactions. The Adviser profits directly from any of the Pooling Portfolios that effect brokerage transactions through and pay commissions to the Adviser’s affiliate, Sanford C. Bernstein & Co., LLC and/or its U.K. affiliate, Sanford C. Bernstein Limited, collectively “SCB.” During the Pooling Portfolios’ most recently completed fiscal year, none of the Pooling Portfolios effected brokerage transactions or paid commissions to SCB. The Adviser also receives certain soft dollar benefits from brokers that execute agency trades for the Portfolio and other clients. These soft dollar benefits reduce the Adviser’s cost of doing business and increase its profitability.

 

V. POSSIBLE ECONOMIES OF SCALE

The Adviser has indicated that economies of scale are being shared with shareholders through fee structures,18 subsidies and enhancement to services. Based on some of the professional literature that has considered economies of scale in the mutual fund industry, it is thought that to the extent economies of scale exist, they may more often exist across a fund family as opposed to a specific fund. This is because the costs incurred by the Adviser, such as investment research or technology for trading or compliance systems can be spread across a greater asset base as the fund family increases in size. It is also possible that as the level of services required to operate a successful investment company has increased over time, and advisory firms make such investments in their business to provide services, there may be a sharing of economies of scale without a reduction in advisory fees.

 

17 The fees disclosed are net of any expense offsets with ABIS. An expense offset is created by the interest earned on the positive cash balances that occur within the transfer agent account as there is a one day lag with regards to money movement from the shareholder’s account to the transfer agent’s account and then from the transfer agent’s account to the Fund’s account.

 

18 Fee structures include fee reductions, pricing at scale and breakpoints in advisory fee schedules.

 

334   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

An independent consultant, retained by the Senior Officer, provided the Board of Directors an update of the Deli19 study on advisory fees and various fund characteristics. The independent consultant first reiterated the results of his previous two dimensional comparison analysis (fund size and family size) with the Board of Directors. In this regard, it was noted that the advisory fees of the AllianceBernstein Mutual Funds were generally within the 25th-75th percentile range of their comparable peers.20 The independent consultant then discussed the results of the regression model that was utilized to study the effects of various factors on advisory fees. The regression model output indicated that the bulk of the variation in fees predicted were explained by various factors, but substantially by fund AUM, family AUM, index fund indicator and investment style. The independent consultant observed that the actual advisory fees of the AllianceBernstein Mutual Funds were generally lower than the fees predicted by the study’s regression model.

The independent consultant also compared the advisory fees of the AllianceBernstein Mutual Funds to similar funds managed by 19 other large asset managers, regardless of the fund size and each Adviser’s proportion of mutual fund assets to non-mutual fund assets. The independent consultant observed that the advisory fees of the AllianceBernstein Mutual Funds were generally in line with their peers.

 

VI. NATURE AND QUALITY OF THE ADVISER’S SERVICES INCLUDING THE PERFORMANCE OF THE STRATEGIES.

With assets under management of approximately $717 billion as of June 30, 2008 the Adviser has the investment experience to manage the Strategies and to provide the non-investment services to the Strategies.

 

19 The Deli study was originally published in 2002 based on 1997 data.

 

20 The two dimensional analysis also showed patterns of lower advisory fees for funds with larger asset sizes and funds from larger family sizes compared to funds with smaller asset sizes and funds from smaller family sizes, which according to the independent consultant is indicative of a sharing of economies of scale and scope. However, in less liquid and active markets, such is not the case, as the empirical analysis showed potential for diseconomies of scale in those markets. The empirical analysis also showed diminishing economies of scale and scope as funds surpassed a certain high level of assets.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   335

 

The information prepared by Lipper shows the 1 year performance return21 and ranking of each Strategy relative to its Lipper Performance Group (“PG”)22 and Lipper Performance Universe (“PU”)23 for the periods ended April 30, 2008.24

 

Strategy    Strategy
Return (%)		    PG
Median (%)		    PU
Median (%)		    PG Rank    PU Rank
2000 Retirement Strategy               

1 year

    -0.22    -0.22    -0.01    5/9    15/25
              
2005 Retirement Strategy               

1 year

    -1.34    -0.88    -0.01    6/9    18/25
              
2010 Retirement Strategy               

1 year

    -1.91    -0.88    -0.01    8/9    23/25
              
2015 Retirement Strategy               

1 year

    -3.10    -0.91    -1.81    8/10    31/44
              
2020 Retirement Strategy               

1 year

    -4.05    -0.91    -1.81    9/10    37/44
              
2025 Retirement Strategy               

1 year

    -4.59    -2.82    -3.11    5/6    23/34
              
2030 Retirement Strategy               

1 year

    -5.03    -3.05    -3.11    6/8    29/34
              
2035 Retirement Strategy               

1 year

    -5.36    -3.56    -3.46    7/9    38/50
              

 

21 The performance returns of the Strategies shown were provided by the Adviser. Lipper maintains its own database for performance of the Strategies. Rounding differences may cause the Adviser’s performance returns for the Strategies to be one or two basis points different from Lipper’s own returns. To maintain consistency, the Adviser’s returns for the Strategies are shown instead of Lipper’s.

 

22 Each Strategy’s PG is identical to the respective Strategy’s EG with the exception of 2025 Retirement Strategy.

 

23 The PU for each Strategy includes the Strategy and all funds of the same Lipper classification/objective and load type as the Strategy. In contrast to the PG, the PU allows for the inclusion of multiple funds managed by the same investment adviser.

 

24 As previously mentioned, Lipper classifies the 2000, 2005 and 2010 Retirement Strategies as mixed asset target 2010 funds. As a result, the peer groups of those Strategies are almost identical. Similarly, the 2015 and 2020 Retirement Strategies are classified as mixed asset target 2020 funds; the 2025 and 2030 Retirement Strategies are classified as mixed asset target 2030 funds; the 2035, 2040, 2045, 2050 and 2055 Retirement Strategies are classified as mixed asset target 2030+ funds.

 

336   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

Strategy    Strategy
Return (%)		    PG
Median (%)		    PU
Median (%)		    PG Rank    PU Rank
2040 Retirement Strategy               

1 year

    -5.32    -3.63    -3.46    8/10    37/50
              
2045 Retirement Strategy               

1 year

    -5.20    -3.63    -3.46    8/10    36/50
              
2050 Retirement Strategy    N/A    N/A    N/A    N/A    N/A
              
2055 Retirement Strategy    N/A    N/A    N/A    N/A    N/A

The table below shows the 1 year and since inception performance returns of the Strategies (in bold) versus their composite benchmarks.25

 

     Periods Ending April 30, 2008
Annualized Performance (Net)
Strategy  

1 Year

(%)

   Since Inception
(%)26
2000 Retirement Strategy   -0.22   7.12
Composite Index   1.20   8.02
Inception Date: September 1, 2005
   
2005 Retirement Strategy   -1.34   7.15
Composite Index   -0.17   8.41
Inception Date: September 1, 2005
   
2010 Retirement Strategy   -1.91   7.58
Composite Index   -1.37   8.64
Inception Date: September 1, 2005
   
2015 Retirement Strategy   -3.10   7.88
Composite Index   -2.39   8.87
Inception Date: September 1, 2005
   
2020 Retirement Strategy   -4.05   8.06
Composite Index   -3.37   9.09
Inception Date: September 1, 2005
   

 

25 The composite benchmark is derived by applying the Strategies’ target allocations over time to the results of the following benchmarks: for U.S. stocks, Russell 3000 Index; for non-U.S. stocks, Morgan Stanley Capital International (MSCI) Europe, Australasia, Far East (EAFE) Index (Net); for real estate investment trusts (REITs), FTSE EPRA/NAREIT Global Real Estate Index, for intermediate bonds, Lehman Brothers (LB) U.S. Aggregate Index; for short-term bonds, Merrill Lynch (ML) 1-3 Year Treasury Index; for Inflation Protected Securities, LB 1-10 Year TIPS Index; for high yield bonds, LB High Yield (2% constrained) Index.

 

26 The Adviser provided Retirement Strategy and benchmark performance return information for periods through April 30, 2008.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   337

 

     Periods Ending April 30, 2008
Annualized Performance (Net)
Strategy  

1 Year

(%)

   Since Inception
(%)26
2025 Retirement Strategy   -4.59   9.05
Composite Index   -4.15   9.33
Inception Date: September 1, 2005
   
2030 Retirement Strategy   -5.03   8.46
Composite Index   -4.62   9.57
Inception Date: September 1, 2005
   
2035 Retirement Strategy   -5.36   8.50
Composite Index   -4.85   9.58
Inception Date: September 1, 2005
   
2040 Retirement Strategy   -5.32   8.95
Composite Index   -4.85   9.58
Inception Date: September 1, 2005
   
2045 Retirement Strategy   -5.20   8.85
Composite Index   -4.85   9.58
Inception Date: September 1, 2005
   
2050 Retirement Strategy27   N/A   -3.12
Composite Index   N/A   -5.72
Inception Date: June 29, 2007
   
2055 Retirement Strategy27   N/A   -2.63
Composite Index   N/A   -5.72
Inception Date: June 29, 2007

CONCLUSION:

Based on the factors discussed above the Senior Officer’s conclusion is that the proposed fee for each Strategy is reasonable and within the range of what would have been negotiated at arm’s-length in light of all the surrounding circumstances. This conclusion in respect of each Strategy is based on an evaluation of all of these factors and no single factor was dispositive.

Dated: September 3, 2008

 

26 The Adviser provided Retirement Strategy and benchmark performance return information for periods through April 30, 2008.

 

27 Unannualized performance information is shown for 2050 Retirement Strategy and 2055 Retirement Strategy and their benchmarks, whose performance period is less than a year.

 

338   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

THIS PAGE IS NOT PART OF THE SHAREHOLDER REPORT OR THE FINANCIAL STATEMENTS

ALLIANCEBERNSTEIN FAMILY OF FUNDS

 

Wealth Strategies Funds

Balanced Wealth Strategy

Wealth Appreciation Strategy

Wealth Preservation Strategy

Tax-Managed Balanced Wealth Strategy

Tax-Managed Wealth Appreciation Strategy

Tax-Managed Wealth Preservation Strategy

Blended Style Funds

U.S. Large Cap Portfolio

International Portfolio

Tax-Managed International Portfolio

Growth Funds

Domestic

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

Small/Mid Cap Growth Fund*

Global & International

Global Growth Fund*

Global Thematic Growth Fund*

Greater China ‘97 Fund

International Growth Fund

Value Funds

Domestic

Balanced Shares

Focused Growth & Income Fund

Growth & Income Fund

Small/Mid Cap Value Fund

Utility Income Fund

Value Fund

Global & International

Global Real Estate Investment Fund

Global Value Fund

International Value Fund

 

Taxable Bond Funds

Diversified Yield Fund

Global Bond Fund

High Income Fund

Intermediate Bond Portfolio

Short Duration Portfolio

Municipal Bond Funds

 

National
National II*
Arizona
California
Florida
Massachusetts
Michigan

   

Minnesota
New Jersey
New York
Ohio
Pennsylvania
Virginia

Intermediate Municipal Bond Funds

Intermediate California

Intermediate Diversified

Intermediate New York

Closed-End Funds

AllianceBernstein Global High Income Fund

AllianceBernstein Income Fund

AllianceBernstein National Municipal Income Fund

ACM Managed Dollar Income Fund

Alliance California Municipal Income Fund

Alliance New York Municipal Income Fund

The Spain Fund


Retirement Strategies Funds

 

2000 Retirement Strategy

  

2020 Retirement Strategy

  

2040 Retirement Strategy

2005 Retirement Strategy

  

2025 Retirement Strategy

  

2045 Retirement Strategy

2010 Retirement Strategy

  

2030 Retirement Strategy

  

2050 Retirement Strategy

2015 Retirement Strategy

  

2035 Retirement Strategy

  

2055 Retirement Strategy

We also offer Exchange Reserves,** which serves as the money market fund exchange vehicle for the AllianceBernstein mutual funds.

You should consider the investment objectives, risks, charges and expenses of any AllianceBernstein fund/portfolio carefully before investing. For free copies of our prospectuses, which contain this and other information, visit us online at www.alliancebernstein.com or contact your financial advisor. Please read the prospectus carefully before investing.

 

*   Prior to November 3, 2008, Small/Mid Cap Growth Fund was named Mid-Cap Growth Fund, Global Growth Fund was named Global Research Growth Fund, and Global Thematic Growth Fund was named Global Technology Fund. Prior to December 1, 2008, National II was named Insured National.

 

** An investment in the Fund is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   339

 

AllianceBernstein Family of Funds

NOTES

 

340   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

NOTES

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   341

NOTES

 

342   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

NOTES

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES  •   343

NOTES

 

344   •  ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

 

ALLIANCEBERNSTEIN RETIREMENT STRATEGIES

1345 Avenue of the Americas

New York, NY 10105

800.221.5672

LOGO

 

 

RS-00-55-0152-0209   LOGO

SEMI-ANNUAL REPORT

 

AllianceBernstein Blended Style Funds

U.S. Large Cap Portfolio

 

 

LOGO

 

February 28, 2009

 

Semi-Annual Report

 

 

Investment Products Offered

  •  

Are Not FDIC Insured

  •  

May Lose Value

  •  

Are Not Bank Guaranteed

The investment return and principal value of an investment in the Fund will fluctuate as the prices of the individual securities in which it invests fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. You should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For a free copy of the Fund’s prospectus, which contains this and other information, visit our web site at www.alliancebernstein.com or call your financial advisor or AllianceBernstein® at (800) 227-4618. Please read the prospectus carefully before you invest.

You may obtain performance information current to the most recent month-end by visiting www.alliancebernstein.com.

This shareholder report must be preceded or accompanied by the Fund’s prospectus for individuals who are not current shareholders of the Fund.

You may obtain a description of the Fund’s proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Simply visit AllianceBernstein’s web site at www.alliancebernstein.com, or go to the Securities and Exchange Commission’s (the “Commission”) web site at www.sec.gov, or call AllianceBernstein at (800) 227-4618.

The Fund files its complete schedule of portfolio holdings with the Commission for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q are available on the Commission’s web site at www.sec.gov. The Fund’s Forms N-Q may also be reviewed and copied at the Commission’s Public Reference Room in Washington, DC; information on the operation of the Public Reference Room may be obtained by calling (800) SEC-0330. AllianceBernstein publishes full portfolio holdings for the Fund monthly at www.alliancebernstein.com.

AllianceBernstein Investments, Inc. is an affiliate of AllianceBernstein L.P., the manager of the AllianceBernstein funds, and is a member of FINRA.

AllianceBernstein® and the AB Logo are registered trademarks and service marks used by permission of the owner, AllianceBernstein L.P.

April 21, 2009

 

Semi-Annual Report

This report provides management’s discussion of fund performance for AllianceBernstein Blended Style Funds US Large Cap Portfolio (the “Fund”) for the semi-annual reporting period ended February 28, 2009. The Fund invests in the AllianceBernstein Pooling Portfolios, and the Pooling Portfolios’ investment adviser (the “Adviser”) is AllianceBernstein L.P.

Investment Objective and Policies

The Fund’s investment objective is long-term growth of capital. The Fund will seek to achieve its investment objective by investing in two portfolios, the AllianceBernstein US Value Portfolio and the AllianceBernstein US Large Cap Growth Portfolio of the AllianceBernstein Pooling Portfolios, representing growth and value equity investment styles (the “Underlying Portfolios”). Under normal circumstances, the Fund will invest at least 80% of its net assets in Underlying Portfolios that invest in large capitalization companies. By investing in the Underlying Portfolios, the Adviser efficiently diversifies the Fund between growth and value styles. Normally, approximately 50% of the value of the Fund’s investments in the Underlying Portfolios will consist of growth stocks and 50% of value stocks, although this allocation will vary within a narrow range around this 50/50 target. Beyond this range, the Adviser will rebalance the investments in the Underlying Portfolios as necessary to maintain this targeted allocation. Performance for each of the Underlying Portfolios compared with its benchmark, plus additional performance, may be found on page 7.

 

Investment Results

The table on page 4 shows the Fund’s performance compared with its benchmark, the Standard & Poor’s (S&P) 500 Stock Index, for the six- and 12-month periods ended February 28, 2009.

The Fund’s Class A shares without sales charges underperformed the S&P 500 Stock Index for the six- and 12-month periods ended February 28, 2009. The growth portfolio (the US Large Cap Growth Underlying Portfolio) slightly outperformed the benchmark during both periods, although both the Portfolio and the benchmark posted negative returns. This outperformance did not offset the underperformance of the value portfolio (the US Value Underlying Portfolio). There was no leverage in the Fund during either period.

The largest detractor from the Fund’s performance during the six-month period was stock selection in the technology, energy and telecommunications sectors. For the 12-month period, the largest detractor from performance was stock selection in the technology, financials and consumer discretionary sectors. For both periods, a modest overweight to financials, the worst-performing sector, detracted from returns. An overweight and stock selection in health care partially offset weaker sectors for both periods.

Market Review and Investment Strategy

The US equity market collapsed during the 12-month period ended

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   1

 

February 28, 2009. The market experienced one of its worst-ever losses amid a widespread flight from risk, as investors feared the worsening credit crisis would lead to a worldwide economic recession. All industry sectors were down, with financials and cyclicals leading the retreat. Sectors seen as least vulnerable to an economic downturn, such as consumer staples and health care, fared better. By design, the blended Fund is structured to capture the research-driven stock selections of both the growth and value teams while mitigating the broad risks such as industry sector deviations from the market. As equity markets declined and investors’ risk aversion increased, market volatility rose significantly and equity correlations increased, hurting the Fund’s performance. However, the pervasive fear in the market has created unusually attractive opportunities for both actively managed growth and value strategies.

The Fund’s Blend Strategies Team (the “Team”) is positioning the Fund in hopes of capturing these attractive

opportunities, while withstanding the near-term risks associated with a possibly prolonged recession and restrictive credit conditions. The growth opportunity has increased because depressed earnings have made investors unwilling to value any future earnings growth. High-quality, industry-leading growth companies are currently selling at unusually low valuations. These market leaders have demonstrated earnings stability, often with less sensitivity to the economic cycle. The value opportunity—as measured by the valuation discount of the cheapest stocks compared to the market—has risen to levels near prior peaks. The valuation opportunity is widespread across most industry sectors as low valuations reflect widespread risk aversion. Many companies with low valuations also have sustainable cash flows and low refinancing risk. The Team believes the Fund’s growth and value stocks have the financial strength to weather the economic downturn and, more importantly, prosper in a future recovery.

 

2   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

HISTORICAL PERFORMANCE

An Important Note About the Value of Historical Performance

The performance shown on the following pages represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. You may obtain performance information current to the most recent month-end by visiting www.alliancebernstein.com.

The investment return and principal value of an investment in the Fund will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. You should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. For a free copy of the Fund’s prospectus, which contains this and other information, visit our website at www.alliancebernstein.com or call your financial advisor or AllianceBernstein Investments at 800.227.4618. You should read the prospectus carefully before you invest.

All fees and expenses related to the operation of the Fund have been deducted from historical performance. NAV returns do not reflect sales charges; if sales charges were reflected, the Fund’s quoted performance would be lower. SEC returns reflect the applicable sales charges for each share class: a 4.25% maximum front-end sales charge for Class A shares; the applicable contingent deferred sales charge for Class B shares (4% year 1, 3% year 2, 2% year 3, 1% year 4); a 1% 1 year contingent deferred sales charge for Class C shares. Returns for the different share classes will vary due to different expenses associated with each class. Performance assumes reinvestment of distributions and does not account for taxes.

Benchmark Disclosure

The unmanaged S&P 500 Stock Index does not reflect fees and expenses associated with the active management of a mutual fund portfolio. The Index is comprised of 500 US companies and is a common measure of the performance of the overall US stock market. An investor cannot invest directly in an index, and its results are not indicative of the performance for any specific investment, including the Fund.

A Word About Risk

Neither growth investing nor value investing guarantees a profit or eliminates risk. Growth stocks can have relatively high valuations. Because of these high valuations, an investment in a growth stock can be more risky than an investment in a company with more modest growth expectations. If a growth stock company should fail to meet these high earnings expectations, the price of these stocks can be severely negatively affected. Not all companies whose stocks are considered to be value stocks are able to turn their businesses around or successfully employ corrective strategies, which would result in stock prices that rise as initially expected. Because the Fund allocates its investments between “growth” and “value” stocks, an investment in the Fund is subject to the risk that this allocation will result in lower returns during periods when one style is outperforming another than if the Fund had invested entirely in the outperforming style. The costs associated with this systematic rebalancing may be significant over time. These risks are fully discussed in the Fund’s prospectus.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   3

 

Historical Performance

HISTORICAL PERFORMANCE

(continued from previous page)

 

 

THE FUND VS. ITS BENCHMARK

PERIODS ENDED FEBRUARY 28, 2009

   Returns    
  6 Months      12 Months     

AllianceBernstein Blended Style Funds
US Large Cap Portfolio
Class A

   -42.16%      -45.22%  
 

Class B*

   -42.37%      -45.63%  
 

Class C

   -42.33%      -45.54%  
 

Advisor Class†

   -42.12%      -45.10%  
 

Class R†

   -42.22%      -45.31%  
 

Class K†

   -42.18%      -45.25%  
 

Class I†

   -42.03%      -44.94%  
 

S&P 500 Stock Index

   -41.82%      -43.32%  
 

*  Effective January 31, 2009, Class B Shares are no longer available for purchase to new investors. Please see Note A for additional information.

†  Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds.

        

 

See Historical Performance and Benchmark Disclosures on previous page.

(Historical Performance continued on next page)

 

4   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Historical Performance

HISTORICAL PERFORMANCE

(continued from previous page)

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
     NAV Returns        SEC Returns  
       
Class A Shares        

1 Year

    -45.22 %      -47.55 %

5 Years

    -8.14 %      -8.94 %

Since Inception*

    -3.47 %      -4.09 %
       
Class B Shares        

1 Year

    -45.63 %      -47.60 %

5 Years

    -8.80 %      -8.80 %

Since Inception*

    -4.15 %      -4.15 %
       
Class C Shares        

1 Year

    -45.54 %      -46.03 %

5 Years

    -8.77 %      -8.77 %

Since Inception*

    -4.13 %      -4.13 %
       
Advisor Class Shares†        

1 Year

    -45.10 %      -45.10 %

5 Years

    -7.87 %      -7.87 %

Since Inception*

    -3.18 %      -3.18 %
       
Class R Shares†        

1 Year

    -45.31 %      -45.31 %

5 Years

    -8.34 %      -8.34 %

Since Inception*

    -8.61 %      -8.61 %
       
Class K Shares†        

1 Year

    -45.25 %      -45.25 %

Since Inception*

    -11.28 %      -11.28 %
       
Class I Shares†        

1 Year

    -44.94 %      -44.94 %

Since Inception*

    -10.94 %      -10.94 %

The Fund’s current prospectus fee table shows the Fund’s total annual operating expense ratios as 1.44%, 2.18%, 2.15%, 1.11%, 1.64%, 1.45% and 1.03% for Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I, respectively. The Financial Highlights section of this report sets forth expense ratio data for the current reporting period; the expense ratios shown above may differ from the expense ratios in the Financial Highlights section since they are based on different time periods.

 

* Inception Dates: 7/15/02 for Class A, Class B, Class C and Advisor Class shares; 2/17/04 for Class R shares; 3/1/05 for Class K and Class I shares.

 

† These share classes are offered at net asset value (NAV) to eligible investors and their SEC returns are the same as the NAV returns. Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception dates for these share classes are listed above.

See Historical Performance disclosures on page 3.

(Historical Performance continued on next page)

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   5

 

Historical Performance

HISTORICAL PERFORMANCE

(continued from previous page)

 

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES)  
AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)  
            SEC Returns  
       
Class A Shares        

1 Year

         -42.08 %

5 Years

         -7.08 %

Since Inception

         -2.78 %
       
Class B Shares        

1 Year

         -42.16 %

5 Years

         -6.94 %

Since Inception

         -2.84 %
       
Class C Shares        

1 Year

         -40.49 %

5 Years

         -6.91 %

Since Inception

         -2.82 %
       
Advisor Class Shares†        

1 Year

         -39.40 %

5 Years

         -5.98 %

Since Inception

         -1.85 %
       
Class R Shares†        

1 Year

         -39.59 %

5 Years

         -6.45 %

Since Inception*

         -6.86 %
       
Class K Shares†        

1 Year

         -39.42 %

Since Inception*

         -9.08 %
       
Class I Shares†        

1 Year

         -39.27 %

Since Inception*

         -8.79 %

 

* Inception Dates: 7/15/02 for Class A, Class B, Class C and Advisor Class shares; 2/17/04 for Class R shares; 3/1/05 for Class K and Class I shares.

 

† Please note that these share classes are for investors purchasing shares through accounts established under certain fee-based programs sponsored and maintained by certain broker-dealers and financial intermediaries, institutional pension plans and/or investment advisory clients of, and certain other persons associated with, the Adviser and its affiliates or the Funds. The inception dates for these share classes are listed above.

See Historical Performance disclosures on page 3.

(Historical Performance continued on next page)

 

6   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Historical Performance

THE UNDERLYING PORTFOLIOS

HISTORICAL PERFORMANCE

 

        

EACH UNDERLYING PORTFOLIO* VS. ITS BENCHMARK

PERIODS ENDED FEBRUARY 28, 2009

   Returns    
  6 Months      12 Months     

AllianceBernstein US Value Portfolio

   -44.97%      -49.48%  
 

Russell 1000 Value Index

   -44.71%      -47.35%  
 

AllianceBernstein US Large Cap Growth Portfolio

   -38.50%      -39.02%  
 

Russell 1000 Growth Index

   -39.90%      -40.03%  
 

 

AVERAGE ANNUAL RETURNS AS OF FEBRUARY 28, 2009  
            NAV/SEC Returns†  
       
AllianceBernstein US Value Portfolio     

1 Year

         -49.48 %

Since Inception^

         -13.26 %
       
AllianceBernstein US Large Cap Growth Portfolio     

1 Year

         -39.02 %

Since Inception^

         -8.05 %
       

SEC AVERAGE ANNUAL RETURNS (WITH ANY APPLICABLE SALES CHARGES)

AS OF THE MOST RECENT CALENDAR QUARTER-END (MARCH 31, 2009)

 

 

            SEC Returns  
AllianceBernstein US Value Portfolio        

1 Year

         -43.70 %

Since Inception^

         -10.77 %
       
AllianceBernstein US Large Cap Growth Portfolio     

1 Year

         -33.40 %

Since Inception^

         -5.94 %

 

* Please note, shares of the Underlying Portfolios are offered exclusively to mutual funds advised by, and certain institutional clients of, AllianceBernstein that seek a blend of asset classes for investment. These share classes are not currently offered for direct investment from the general public. The Underlying Portfolios do not bear sales charges or management fees.

 

†

These Portfolios are offered at net asset value (NAV) and their SEC returns are the same as their NAV returns. The AllianceBernstein Underlying Portfolios can be purchased at the relevant net asset value (NAV) without a sales charge or other fee. However, there may be sales charges in connection with purchases of other AllianceBernstein Funds which invest in these Underlying Portfolios.

 

^ Inception date: 5/20/05.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   7

 

The Underlying Portfolios Historical Performance

FUND EXPENSES

 

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, contingent deferred sales charges on redemptions and (2) ongoing costs, including management fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period as indicated below.

Actual Expenses

The table below provides information about actual account values and actual expenses. You may use the information together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period. The Fund will indirectly bear its pro rata share of the expenses incurred by the Underlying Portfolios in which the Fund invests. These expenses are not included in the table below.

Hypothetical Example for Comparison Purposes

The table below also provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed annual rate of return of 5% before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds by comparing this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds. The Fund will indirectly bear its pro rata share of the expenses incurred by the Underlying Portfolios in which the Fund invests. These expenses are not included in the table below.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or contingent deferred sales charges on redemptions. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

 

     Beginning
Account Value
September 1, 2008		    Ending
Account Value
February 28, 2009		    Expenses Paid
During Period*
     Actual    Hypothetical    Actual    Hypothetical**    Actual    Hypothetical
Class A    $   1,000    $   1,000    $   578.35    $   1,016.07    $   6.89    $ 8.80
Class B    $ 1,000    $ 1,000    $ 576.30    $ 1,012.50    $ 9.69    $   12.37
Class C    $ 1,000    $ 1,000    $ 576.71    $ 1,012.55    $ 9.66    $ 12.33
Advisor Class    $ 1,000    $ 1,000    $ 578.81    $ 1,017.55    $ 5.72    $ 7.30
Class R    $ 1,000    $ 1,000    $ 577.79    $ 1,015.17    $ 7.59    $ 9.69
Class K    $ 1,000    $ 1,000    $ 578.16    $ 1,016.31    $ 6.69    $ 8.55
Class I    $ 1,000    $ 1,000    $ 579.72    $ 1,017.95    $ 5.41    $ 6.90
* Expenses are equal to the classes’ annualized expense ratios of 1.76%, 2.48%, 2.47%, 1.46%, 1.94%, 1.71% and 1.38%, respectively, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).

 

** Assumes 5% return before expenses.

 

8   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Fund Expenses

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

 

PORTFOLIO STATISTICS

Net Assets ($mil): $44.6

LOGO

 

 

* All data are as of February 28, 20009. The Fund’s holdings breakdown is expressed as a percentage of total investments and may vary over time. The Fund invests in the AllianceBernstein Underlying Portfolios. For more details regarding the Fund’s holdings, including specific breakdowns within the Underlying Portfolios, please refer to pages 32-42.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   9

 

Portfolio Summary

STATEMENT OF NET ASSETS

February 28, 2009 (unaudited)

 

Assets   

Investments in Underlying Portfolios, at value:

   

AllianceBernstein U.S. Large Cap Growth (shares of 3,367,245)

    $ 22,796,250  

AllianceBernstein U.S. Value (shares of 4,411,833)

      22,059,163  
        

Total investments (cost $67,083,403)

      44,855,413  

Receivable for capital stock sold

      172,070  

Receivable for investments sold

      118,850  
        

Total assets

      45,146,333  
        
Liabilities   

Payable for capital stock redeemed

      383,158  

Printing fee payable

      28,045  

Advisory fee payable

      25,830  

Distribution fee payable

      23,244  

Administrative fee payable

      20,338  

Transfer Agent fee payable

      15,705  

Accrued expenses

      61,719  
        

Total liabilities

      558,039  
        

Net Assets

    $ 44,588,294  
        
Composition of Net Assets   

Capital stock, at par

    $ 7,826  

Additional paid-in capital

      69,802,807  

Distributions in excess of net investment income

      (194,563 )

Accumulated net realized loss on investment transactions

      (2,799,786 )

Net unrealized depreciation on investments

      (22,227,990 )
        
   $     44,588,294  
        

Net Asset Value Per Share—36 billion shares of capital stock authorized, $.001 par value

 

Class   Net Assets      Shares
Outstanding		      Net Asset
Value		  
A   $   18,042,528      3,121,316      $   5.78 *
   
B   $ 11,146,799      1,993,539      $ 5.59  
   
C   $ 9,258,003      1,654,409      $ 5.60  
   
Advisor   $ 4,191,373      718,514      $ 5.83  
   
R   $ 55,280      9,714      $ 5.69  
   
K   $ 812,261      141,392      $ 5.74  
   
I   $ 1,082,050      187,308      $ 5.78  
   

 

* The maximum offering price per share for Class A shares was $6.04 which reflects a sales charge of 4.25%.

See notes to financial statements.

 

10   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Statement of Net Assets

STATEMENT OF OPERATIONS

Six Months Ended February 28, 2009 (unaudited)

 

Investment Income     

Income distributions from Underlying Portfolios

    $     906,143    

Interest

      1,659     $ 907,802  
          
Expenses     

Advisory fee (see Note B)

      198,877    

Distribution fee—Class A

      35,903    

Distribution fee—Class B

      78,698    

Distribution fee—Class C

      63,938    

Distribution fee—Class R

      186    

Distribution fee—Class K

      1,094    

Transfer agency—Class A

      33,449    

Transfer agency—Class B

      26,979    

Transfer agency—Class C

      19,566    

Transfer agency—Advisor Class

      8,697    

Transfer agency—Class R

      62    

Transfer agency—Class K

      875    

Transfer agency—Class I

      152    

Administrative

      49,587    

Registration fees

      42,849    

Custodian

      33,857    

Printing

      27,489    

Legal

      23,756    

Trustees’ fees

      23,124    

Audit

      18,805    

Miscellaneous

      4,502    
          

Total expenses

      692,445    

Less: expenses waived and reimbursed by the Adviser (see Note B)

      (64,096 )  

Less: expense offset arrangement (see Note B)

      (302 )  
          

Net expenses

        628,047  
          

Net investment income

        279,755  
          
Realized and Unrealized Loss on Investment Transactions     

Net realized loss on sale of Underlying Portfolio shares

        (4,583,662 )

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

        (32,342,014 )
          

Net loss on investment transactions

        (36,925,676 )
          

Net Decrease in Net Assets from Operations

      $     (36,645,921 )
          

See notes to financial statements.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   11

 

Statement of Operations

STATEMENT OF CHANGES IN NET ASSETS

 

     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		  
Increase (Decrease) in Net Assets from Operations     

Net investment income

    $ 279,755     $ 1,187,781  

Net realized gain (loss) on sale of Underlying Portfolio shares

      (4,583,662 )     3,768,888  

Net realized gain distributions from Underlying Portfolios

      – 0  –     4,668,786  

Net change in unrealized appreciation/depreciation of investments in Underlying Portfolios

      (32,342,014 )     (31,631,557 )
                

Net decrease in net assets from operations

      (36,645,921 )     (22,006,102 )
Dividends and Distributions to Shareholders from     

Net investment income

     

Class A

      (335,779 )     (428,422 )

Class B

      (39,602 )     (22,105 )

Class C

      (31,880 )     (16,796 )

Advisor Class

      (108,751 )     (675,796 )

Class R

      (1,138 )     (555 )

Class K

      (17,180 )     (13,440 )

Class I

      (28,924 )     (36,359 )

Net realized gain on investment transactions

     

Class A

      (1,897,881 )     (3,029,958 )

Class B

      (1,287,075 )     (2,444,092 )

Class C

      (1,036,109 )     (1,855,890 )

Advisor Class

      (468,133 )     (3,495,569 )

Class R

      (6,267 )     (4,228 )

Class K

      (80,336 )     (71,570 )

Class I

      (108,674 )     (170,967 )
Capital Stock Transactions     

Net decrease

      (5,917,413 )     (54,767,400 )
                

Total decrease

      (48,011,063 )     (89,039,249 )
Net Assets     

Beginning of period

      92,599,357           181,638,606  
                

End of period (including undistributed/(distributions in excess of) net investment income of ($194,563) and $88,936, respectively)

    $     44,588,294     $ 92,599,357  
                

See notes to financial statements.

 

12   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Statement of Changes in Net Assets

NOTES TO FINANCIAL STATEMENTS

February 28, 2009 (unaudited)

 

NOTE A

Significant Accounting Policies

AllianceBernstein Blended Style Series, Inc. (the “Company”) was organized as a Maryland corporation on April 24, 2002 and is registered under the Investment Company Act of 1940, as a diversified open-end management investment company. The Company operates as a series company currently comprised of the U.S. Large Cap Portfolio (the “Fund”) and the twelve portfolios of the AllianceBernstein Retirement Strategies (the “Funds”). Each fund is considered to be a separate entity for financial reporting and tax purposes. This report relates only to the U.S. Large Cap Portfolio. The Global Blend Portfolio, formerly a series of the company, ceased operations on November 24, 2008. The Fund offers Class A, Class B, Class C, Advisor Class, Class R, Class K and Class I shares. Class A shares are sold with a front-end sales charge of up to 4.25% for purchases not exceeding $1,000,000. With respect to purchases of $1,000,000 or more, Class A shares redeemed within one year of purchase may be subject to a contingent deferred sales charge of 1%. Class B shares are currently sold with a contingent deferred sales charge which declines from 4% to zero depending on the period of time the shares are held. Effective January 31, 2009, sales of Class B shares of the Fund to new investors were suspended. Class B shares will only be issued (i) upon the exchange of Class B shares from another AllianceBernstein Fund, (ii) for purposes of dividend reinvestment, (iii) through the Fund’s Automatic Investment Program (the “Program”) for accounts that established the Program prior to January 31, 2009, and (iv) for purchases of additional shares by Class B shareholders as of January 31, 2009. The ability to establish a new Automatic Investment Program for accounts containing Class B shares was suspended as of January 31, 2009. Class B shares will automatically convert to Class A shares eight years after the end of the calendar month of purchase. Class C shares are subject to a contingent deferred sales charge of 1% on redemptions made within the first year after purchase. Class R and Class K shares are sold without an initial or contingent deferred sales charge. Advisor Class and Class I shares are sold without an initial or contingent deferred sales charge and are not subject to ongoing distribution expenses. All seven classes of shares have identical voting, dividend, liquidation and other rights, except that the classes bear different distribution and transfer agency expenses. Each class has exclusive voting rights with respect to its distribution plan. The Fund invests primarily in a combination of portfolios of the AllianceBernstein Pooling Portfolios (the “Underlying Portfolios”) representing a variety of asset classes and investment styles that are managed by AllianceBernstein L.P. (the “Adviser”). On May 20, 2005 the Fund acquired shares on the Underlying Portfolios through a tax-free exchange of Fund investment securities at cost for shares of beneficial interest of the Underlying Portfolios. The transfer had no impact on the Fund’s net assets. The financial statements have been prepared in conformity with U.S. generally accepted accounting principles which require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities in the financial statements and amounts of income and expenses during the

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   13

 

Notes to Financial Statements

 

reporting period. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Fund.

1. Fair Value Measurements

The Fund adopted Financial Accounting Standards Board (“FASB”) Statement of Financial Accounting Standards No. 157, “Fair Value Measurements” (“FAS 157”), effective September 1, 2008. In accordance with FAS 157, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. FAS 157 also establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

 

  •  

Level 1—quoted prices in active markets for identical investments

  •  

Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

  •  

Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of February 28, 2009:

 

Level

    Investments in
Securities		      Other
Financial
Instruments*		  

Level 1

    $     44,855,413      $     – 0  –

Level 2

      – 0  –      – 0  –

Level 3

      – 0  –      – 0  –
                 

Total

    $ 44,855,413      $ – 0  –
                 

 

* Other financial instruments are derivative instruments, such as futures, forwards and swap contracts, which are valued at the unrealized appreciation/depreciation on the instrument.

2. Security Valuation

Net asset value per share is calculated as of the close of business of the New York Stock Exchange, normally 4:00 p.m. Eastern time. Investments in the Underlying Portfolios are valued at their net asset value each business day.

 

14   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Notes to Financial Statements

 

3. Taxes

It is the Fund’s policy to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its investment company taxable income and net realized gains, if any, to shareholders. Therefore, no provisions for federal income or excise taxes are required.

In accordance with Financial Accounting Standards Board (“FASB”) Interpretation No. 48, “Accounting for Uncertainties in Income Taxes” (“FIN 48”), management has analyzed the Fund’s tax positions taken on federal and state income tax returns for all open tax years (the current and the prior three tax years) and has concluded that no provision for income tax is required in the Fund’s financial statements.

4. Investment Income and Investment Transactions

Income and capital gain distributions from the Underlying Portfolios, if any, are recorded on the ex-dividend date. Transactions in shares of the Underlying Portfolios are accounted for on the trade date. Investment gains and losses are determined on the identified cost basis.

5. Class Allocations

All income earned and expenses incurred by the Fund are borne on a pro-rata basis by each outstanding class of shares, based on the proportionate interest in the Fund represented by the net assets of such class, except for class specific expenses which are allocated to the respective class. Expenses of the Company are charged to each Fund in proportion to their net assets. Expenses included in the accompanying statement of operations do not include any expenses of the Underlying Portfolios. Realized and unrealized gains and losses are allocated among the various share classes based on respective net assets.

6. Dividends and Distributions

Dividends and distributions to shareholders, if any, are recorded on the ex-dividend date. Income dividends and capital gains distributions are determined in accordance with federal tax regulations and may differ from those determined in accordance with U.S. generally accepted accounting principles. To the extent these differences are permanent, such amounts are reclassified within the capital accounts based on their federal tax basis treatment; temporary differences do not require such reclassification.

NOTE B

Advisory Fee and Other Transactions with Affiliates

Under the terms of the investment advisory agreement, the Fund pays the Adviser an advisory fee at an annual rate of .65% of the first $2.5 billion, .55% of the next $2.5 billion and .50% in excess of $5 billion, of the Fund’s average daily net assets. The fee is accrued daily and paid monthly.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   15

 

Notes to Financial Statements

 

The Adviser had agreed to waive its fees and bear certain expenses to the extent necessary to limit the total operating expenses on an annual basis to 1.65% of average daily net assets for Class A shares, 2.35% of average daily net assets for Class B and Class C shares, 1.35% of average daily net assets for Advisor Class shares, 1.85% of average daily net assets for Class R shares, 1.60% of average daily net assets for Class K shares and 1.35% of average daily net assets for Class I shares (the “Expense Caps”). For the six months ended February 28, 2009, such reimbursement amounted to $64,096. The Expense Caps expired on January 1, 2009.

Pursuant to the investment advisory agreement, the Fund paid $49,587 to the Adviser representing the cost of certain legal and accounting services provided to the Fund by the Adviser for the six months ended February 28, 2009.

The Fund compensates AllianceBernstein Investor Services, Inc. (“ABIS”), a wholly-owned subsidiary of the Adviser, under a Transfer Agency Agreement for providing personnel and facilities to perform transfer agency services for the Fund. ABIS may make payments to intermediaries that provide omnibus account services, sub-accounting services and/or networking services. Such compensation retained by ABIS amounted to $37,503 for the six months ended February 28, 2009.

For the six months ended February 28, 2009, the expenses of Class A, Class B, Class C and Advisor Class shares were reduced by $302 under an expense offset arrangement with ABIS.

AllianceBernstein Investments, Inc. (the “Distributor”), a wholly-owned subsidiary of the Adviser, serves as the distributor of the Fund’s shares. The Distributor has advised the Fund that it has retained front-end sales charges of $506 from the sale of Class A shares and received $23, $7,943 and $806 in contingent deferred sales charges imposed upon redemptions by shareholders of Class A, Class B and Class C shares, respectively, for the six months ended February 28, 2009.

NOTE C

Distribution Services Agreement

The Fund has adopted a Distribution Services Agreement (the “Agreement”) pursuant to Rule 12b-1 under the Investment Company Act of 1940. Under the Agreement, the Fund pays distribution and servicing fees to the Distributor at an annual rate of up to .30% of the Fund’s average daily net assets attributable to Class A shares, 1% of the Fund’s average daily net assets attributable to both Class B and Class C shares, .50% of the Fund’s average daily net assets attributable to Class R shares and .25% of the Fund’s average daily net assets attributable to Class K shares. There are no distribution and servicing fees on the Advisor Class and Class I shares. The fees are accrued daily and paid monthly. The Agreement provides that the Distributor will use such payments in their entirety

 

16   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Notes to Financial Statements

 

for distribution assistance and promotional activities. The Distributor has incurred expenses in excess of the distribution costs reimbursed by the Fund in the amounts of $719,469, $1,013,478, $6,312 and $7,232 for Class B, Class C, Class R and Class K shares, respectively. While such costs may be recovered from the Fund in future periods so long as the Agreement is in effect, the rate of the distribution and servicing fees payable under the Agreement may not be increased without a shareholder vote. In accordance with the Agreement, there is no provision for recovery of unreimbursed distribution costs incurred by the Distributor beyond the current fiscal year for Class A shares. The Agreement also provides that the Adviser may use its own resources to finance the distribution of the Fund’s shares.

NOTE D

Investment Transactions

Purchases and sales of investments in the Underlying Portfolios, aggregated $3,354,822 and $14,504,392, respectively, for the six months ended February 28, 2009.

The cost of investments for federal income tax purposes was substantially the same as the cost for financial reporting purposes. Accordingly, gross unrealized appreciation and unrealized depreciation are as follows:

 

Gross unrealized appreciation

    $ – 0  –

Gross unrealized depreciation

      (22,227,990 )
        

Net unrealized depreciation

    $     (22,227,990 )
        

1. Currency Transactions

The Fund may invest in non-U.S. Dollar securities on a currency hedged or unhedged basis through its investments in an Underlying Portfolio. The Fund or the Underlying Portfolio may seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives, including forward currency exchange contracts, futures and options on futures, swaps, and options. The Fund or the Underlying Portfolio may enter into transactions for investment opportunities when it anticipates that a foreign currency will appreciate or depreciate in value but securities denominated in that currency are not held by the Fund or the Underlying Portfolio and do not present attractive investment opportunities. Such transactions may also be used when the Adviser believes that it may be more efficient than a direct investment in a foreign currency-denominated security. The Fund or the Underlying Portfolio may also conduct currency exchange contracts on a spot basis (i.e., for cash at the spot rate prevailing in the currency exchange market for buying or selling currencies).

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   17

 

Notes to Financial Statements

 

NOTE E

Capital Stock

Class A, Class B, Class C, Advisor Class and Class R shares each consist of 6,000,000,000 authorized shares and Class K and Class I shares each consist of 3,000,000,000 authorized shares. Transactions in capital stock for each class were as follows:

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
Class A             

Shares sold

    347,562     348,416       $ 2,745,005     $ 4,178,900    
     

Shares issued in reinvestment of dividends and distributions

    295,302     244,988         2,022,820       3,177,490    
     

Shares converted from Class B

    70,321     196,066         515,721       2,430,587    
     

Shares redeemed

    (745,073 )   (1,166,736 )       (5,754,848 )     (14,199,684 )  
     

Net decrease

    (31,888 )   (377,266 )     $ (471,302 )   $ (4,412,707 )  
     
            
Class B             

Shares sold

    53,771     61,108       $ 406,394     $ 738,308    
     

Shares issued in reinvestment of dividends and distributions

    184,340     181,940         1,222,179       2,279,706    
     

Shares converted to Class A

    (72,911 )   (203,611 )       (515,721 )     (2,430,587 )  
     

Shares redeemed

    (395,794 )   (925,904 )       (2,952,657 )     (11,344,666 )  
     

Net decrease

    (230,594 )   (886,467 )     $ (1,839,805 )   $ (10,757,239 )  
     
            
Class C             

Shares sold

    113,451     131,192       $ 799,321     $ 1,578,971    
     

Shares issued in reinvestment of dividends and distributions

    147,068     136,083         976,530       1,706,491    
     

Shares redeemed

    (401,252 )   (749,596 )       (2,954,027 )     (9,085,038 )  
     

Net decrease

    (140,733 )   (482,321 )     $ (1,178,176 )   $ (5,799,576 )  
     
            
Advisor Class             

Shares sold

    201,969     1,324,510       $ 1,638,952     $ 17,090,470    
     

Shares issued in reinvestment of dividends and distributions

    66,698     63,753         460,879       835,158    
     

Shares redeemed

    (556,753 )   (4,142,895 )       (4,837,219 )     (51,840,676 )  
     

Net decrease

    (288,086 )   (2,754,632 )     $ (2,737,388 )   $ (33,915,048 )  
     
            

 

18   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Notes to Financial Statements

 

            
     Shares         Amount      
     Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		         Six Months Ended
February 28, 2009
(unaudited)		     Year Ended
August 31,
2008		      
        
Class R             

Shares sold

    1,073     4,436       $ 8,381     $ 53,344    
     

Shares issued in reinvestment of dividends and distributions

    1,005     309         6,775       3,963    
     

Shares redeemed

    (1,390 )   (204 )       (8,370 )     (2,525 )  
     

Net increase

    688     4,541       $ 6,786     $ 54,782    
     
            
Class K             

Shares sold

    44,348     17,410       $ 342,829     $ 208,075    
     

Shares issued in reinvestment of dividends and distributions

    14,340     6,508         97,511       84,152    
     

Shares redeemed

    (3,954 )   (29,068 )       (24,174 )     (375,161 )  
     

Net increase (decrease)

    54,734     (5,150 )     $ 416,166     $ (82,934 )  
     
            
Class I             

Shares sold

    – 0  –   4,231       $ – 0  –   $ 63,000    
     

Shares issued in reinvestment of dividends and distributions

    20,116     15,948         137,596       207,322    
     

Shares redeemed

    (32,299 )   (9,859 )       (251,290 )     (125,000 )  
     

Net increase (decrease)

    (12,183 )   10,320       $ (113,694 )   $ 145,322    
     

NOTE F

Risks Involved in Investing in the Fund

Foreign Securities Risk—An Underlying Portfolio’s investments in securities of foreign companies or foreign governments involves special risks which include changes in foreign currency exchange rates and the possibility of future political and economic developments which could adversely affect the value of such securities. Moreover, securities of many foreign companies or foreign governments and their markets may be less liquid and their prices more volatile than those of comparable U.S. companies and the U.S. government.

Currency Risk—This is the risk that changes in foreign currency exchange rates may negatively affect the value of an Underlying Portfolio’s investments or reduce the returns of the Portfolio. For example, the value of the Portfolio’s investments in foreign currency-denominated securities or currencies may decrease if the U.S. Dollar is strong (i.e., gaining value relative to other currencies) and other currencies are weak (i.e., losing value relative to the U.S. Dollar).

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   19

 

Notes to Financial Statements

 

Currency markets are generally not as regulated as securities markets. Independent of the Portfolio’s investments in securities denominated in foreign currencies, the Portfolio’s positions in various currencies may cause the Portfolio to experience losses due to the changes in exchange rates and interest rates.

Indemnification Risk—In the ordinary course of business, the Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these indemnification provisions and expects the risk of loss thereunder to be remote.

NOTE G

Joint Credit Facility

A number of open-end mutual funds managed by the Adviser, including the Fund, participate in a $250 million revolving credit facility (the “Facility”) intended to provide short-term financing, if necessary, subject to certain restrictions in connection with abnormal redemption activity. Commitment fees related to the Facility are paid by the participating funds and are included in miscellaneous expenses in the statement of operations. The Fund did not utilize the Facility during the six months ended February 28, 2009.

NOTE H

Distributions to Shareholders

The tax character of distributions to be paid for the year ending August 31, 2009 will be determined at the end of the current fiscal year. The tax character of distributions paid during the fiscal years ended August 31, 2008 and August 31, 2007 were as follows:

 

     2008    2007

Distributions paid from:

      

Ordinary income

    $ 1,381,371    $ 818,294

Long-term capital gains

      10,884,378      7,766,644
             

Total taxable distributions

      12,265,749      8,584,938
             

Total distributions paid

    $     12,265,749    $     8,584,938
             

As of August 31, 2008, the components of accumulated earnings/(deficit) on a tax basis were as follows:

 

Undistributed ordinary income

    $ 88,936  

Undistributed long-term capital gains

      7,586,621  

Unrealized appreciation/(depreciation)

      9,195,754 (a)
        

Total accumulated earnings/(deficit)

    $     16,871,311  
        

 

(a)

The difference between book-basis and tax-basis unrealized appreciation/(depreciation) is attributable primarily to the tax deferral of loss on wash sales.

 

20   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Notes to Financial Statements

 

NOTE I

Legal Proceedings

On October 2, 2003, a purported class action complaint entitled Hindo, et al. v. AllianceBernstein Growth & Income Fund, et al. (“Hindo Complaint”) was filed against the Adviser, Alliance Capital Management Holding L.P. (“Alliance Holding”), Alliance Capital Management Corporation, AXA Financial, Inc., the AllianceBernstein Funds, certain officers of the Adviser (“AllianceBernstein defendants”), and certain other unaffiliated defendants, as well as unnamed Doe defendants. The Hindo Complaint was filed in the United States District Court for the Southern District of New York by alleged shareholders of two of the AllianceBernstein Funds. The Hindo Complaint alleges that certain of the AllianceBernstein defendants failed to disclose that they improperly allowed certain hedge funds and other unidentified parties to engage in “late trading” and “market timing” of AllianceBernstein Fund securities, violating Sections 11 and 15 of the Securities Act, Sections 10(b) and 20(a) of the Exchange Act and Sections 206 and 215 of the Advisers Act. Plaintiffs seek an unspecified amount of compensatory damages and rescission of their contracts with the Adviser, including recovery of all fees paid to the Adviser pursuant to such contracts.

Following October 2, 2003, 43 additional lawsuits making factual allegations generally similar to those in the Hindo Complaint were filed in various federal and state courts against the Adviser and certain other defendants. On September 29, 2004, plaintiffs filed consolidated amended complaints with respect to four claim types: mutual fund shareholder claims; mutual fund derivative claims; derivative claims brought on behalf of Alliance Holding; and claims brought under ERISA by participants in the Profit Sharing Plan for Employees of the Adviser. All four complaints include substantially identical factual allegations, which appear to be based in large part on the Order of the SEC dated December 18, 2003 as amended and restated January 15, 2004 (“SEC Order”) and the New York State Attorney General Assurance of Discontinuance dated September 1, 2004 (“NYAG Order”).

On April 21, 2006, the Adviser and attorneys for the plaintiffs in the mutual fund shareholder claims, mutual fund derivative claims, and ERISA claims entered into a confidential memorandum of understanding containing their agreement to settle these claims. The agreement will be documented by a stipulation of settlement and will be submitted for court approval at a later date. The settlement amount ($30 million), which the Adviser previously accrued and disclosed, has been disbursed. The derivative claims brought on behalf of Alliance Holding, in which plaintiffs seek an unspecified amount of damages, remain pending.

It is possible that these matters and/or other developments resulting from these matters could result in increased redemptions of the AllianceBernstein Mutual Funds’ shares or other adverse consequences to the AllianceBernstein Mutual Funds. This may require the AllianceBernstein Mutual Funds to sell investments held by those funds to provide for sufficient liquidity and could also have an

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   21

 

Notes to Financial Statements

 

adverse effect on the investment performance of the AllianceBernstein Mutual Funds. However, the Adviser believes that these matters are not likely to have a material adverse effect on its ability to perform advisory services relating to the AllianceBernstein Mutual Funds.

NOTE J

Recent Accounting Pronouncement

On March 19, 2008, the FASB released Statement of Financial Accounting Standards No. 161, “Disclosures about Derivative Instruments and Hedging Activities” (“FAS 161”). FAS 161 requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative agreements. The application of FAS 161 is required for fiscal years and interim periods beginning after November 15, 2008. At this time, management is evaluating the implications of FAS 161 and believes the adoption of FAS 161 will have no material impact on the Fund’s financial statements.

 

22   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Notes to Financial Statements

 

FINANCIAL HIGHLIGHTS

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Class A  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

October 1,

2004 to

August 31,

2005(a)

    

July 1,

2004 to

September 30,

2004(b)

    

Year Ended

June 30,

2004

  
      2008     2007     2006        
     
             

Net asset value, beginning of period

   $  11.11     $  14.18     $  13.31     $  12.89     $  11.87     $  12.14     $  10.68  
     

Income From Investment Operations

              

Net investment
income (loss)(c)

   .04 (d)   .12     .07 (d)   (.02 )(d)   .01 (d)   .00 (d)(e)   .01 (d)(f)

Net realized and unrealized gain (loss) on investment transactions

   (4.60 )   (2.18 )   1.59     .98     1.44     (.27 )   1.47  
     

Net increase (decrease) in net asset value from operations

   (4.56 )   (2.06 )   1.66     .96     1.45     (.27 )   1.48  
     

Less: Dividends and Distributions

              

Dividends from net investment income

   (.12 )   (.13 )   .00 (e)   – 0  –   – 0  –   – 0  –   – 0  –

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Total dividends and distributions

   (.77 )   (1.01 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Net asset value, end of period

   $  5.78     $  11.11     $  14.18     $  13.31     $  12.89     $  11.87     $  12.14  
     

Total Return

              

Total investment return based on net asset value(g)

   (42.16 )%   (15.55 )%   12.70  %   7.47  %   12.35  %   (2.22 )%   13.88  %

Ratios/Supplemental Data

              

Net assets, end of period (000’s omitted)

   $18,043     $35,039     $50,062     $51,188     $55,567     $52,492     $54,956  

Ratio to average net assets of:

              

Expenses, net of waivers/reimbursements

   1.76  %(h)(i)   1.42  %(h)   1.31  %(h)   1.36  %(h)(j)   1.47  %(h)(i)   1.47  %(i)   1.53  %

Expenses, before waivers/
reimbursements

   1.96  %(h)(i)   1.42  %(h)   1.34  %(h)   1.41  %(h)(j)   1.52  %(h)(i)   1.74  %(i)   1.76  %

Net investment income (loss)

   1.16  %(d)(i)   .95  %   .52  %(d)   (.13 )%(d)(j)   .06  %(d)(i)   .01  %(d)(i)   .09  %(d)(f)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %   11  %   39  %

See footnote summary on page 30.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   23

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Class B  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

October 1,

2004 to

August 31,

2005(a)

    

July 1,

2004 to

September 30,

2004(b)

    

Year Ended

June 30,

2004

  
      2008     2007     2006        
     
             

Net asset value, beginning of period

   $  10.68     $  13.65     $  12.93     $  12.63     $  11.71     $  11.99     $  10.62  
     

Income From Investment Operations

              

Net investment
income (loss)(c)

   .02 (d)   .03     (.02 )(d)   (.11 )(d)   (.07 )(d)   (.02 )(d)   (.07 )(d)(f)

Net realized and unrealized gain (loss) on investment transactions

   (4.44 )   (2.11 )   1.53     .95     1.42     (.26 )   1.46  
     

Net increase (decrease) in net asset value from operations

   (4.42 )   (2.08 )   1.51     .84     1.35     (.28 )   1.39  
     

Less: Dividends and Distributions

              

Dividends from net investment income

   (.02 )   (.01 )   – 0  –   – 0  –   – 0  –   – 0  –   – 0  –

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Total dividends and distributions

   (.67 )   (.89 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Net asset value, end of period

   $  5.59     $  10.68     $  13.65     $  12.93     $  12.63     $  11.71     $  11.99  
     

Total Return

              

Total investment return based on net asset value(g)

   (42.37 )%   (16.19 )%   11.86  %   6.65  %   11.64  %   (2.34 )%   13.11  %

Ratios/Supplemental Data

              

Net assets, end of period (000’s omitted)

   $11,147     $23,762     $42,459     $51,945     $64,829     $64,399     $67,551  

Ratio to average net assets of:

              

Expenses, net of waivers/reimbursements

   2.48  %(h)(i)   2.16  %(h)   2.04  %(h)   2.09  %(h)(j)   2.19  %(h)(i)   2.19  %(i)   2.25  %

Expenses, before waivers/
reimbursements

   2.72  %(h)(i)   2.16  %(h)   2.07  %(h)   2.14  %(h)(j)   2.24  %(h)(i)   2.46  %(i)   2.48  %

Net investment income (loss)

   .48  %(d)(i)   .24  %   (.18 )%(d)   (.84 )%(d)(j)   (.66 )%(d)(i)   (.71 )%(d)(i)   (.63 )%(d)(f)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %   11  %   39  %

See footnote summary on page 30.

 

24   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Class C  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

October 1,

2004 to

August 31,

2005(a)

    

July 1,

2004 to

September 30,

2004(b)

    

Year Ended

June 30,

2004

  
      2008     2007     2006        
     
             

Net asset value, beginning of period

   $  10.69     $  13.66     $  12.93     $  12.63     $  11.71     $  11.99     $  10.62  
     

Income From Investment Operations

              

Net investment
income (loss)(c)

   .02 (d)   .03     (.03 )(d)   (.11 )(d)   (.07 )(d)   (.02 )(d)   (.07 )(d)(f)

Net realized and unrealized gain (loss) on investment transactions

   (4.44 )   (2.11 )   1.55     .95     1.42     (.26 )   1.46  
     

Net increase (decrease) in net asset value from operations

   (4.42 )   (2.08 )   1.52     .84     1.35     (.28 )   1.39  
     

Less: Dividends and Distributions

              

Dividends from net investment income

   (.02 )   (.01 )   – 0  –   – 0  –   – 0  –   – 0  –   – 0  –

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Total dividends and distributions

   (.67 )   (.89 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Net asset value, end of period

   $  5.60     $  10.69     $  13.66     $  12.93     $  12.63     $  11.71     $  11.99  
     

Total Return

              

Total investment return based on net asset value(g)

   (42.33 )%   (16.18 )%   11.95  %   6.65  %   11.64  %   (2.34 )%   13.11  %

Ratios/Supplemental Data

              

Net assets, end of period (000’s omitted)

   $9,258     $19,192     $31,101     $32,904     $36,807     $39,267     $42,854  

Ratio to average net assets of:

              

Expenses, net of waivers/reimbursements

   2.47  %(h)(i)   2.13  %(h)   2.02  %(h)   2.07  %(h)(j)   2.17  %(h)(i)   2.18  %(i)   2.24  %

Expenses, before waivers/
reimbursements

   2.69  %(h)(i)   2.13  %(h)   2.05  %(h)   2.12  %(h)(j)   2.22  %(h)(i)   2.45  %(i)   2.47  %

Net investment income (loss)

   .46  %(d)(i)   .25  %   (.19 )%(d)   (.83 )%(d)(j)   (.63 )%(d)(i)   (.71 )%(d)(i)   (.62 )%(d)(f)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %   11  %   39  %

See footnote summary on page 30.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   25

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Advisor Class  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

October 1,

2004 to

August 31,

2005(a)

    

July 1,

2004 to

September 30,

2004(b)

    

Year Ended

June 30,

2004

  
      2008     2007     2006        
     
             

Net asset value, beginning of period

   $  11.24     $  14.35     $  13.46     $  12.99     $  11.92     $  12.18     $  10.71  
     

Income From Investment Operations

              

Net investment income(c)

   .07 (d)   .20     .07 (d)   .03 (d)   .04 (d)   .01 (d)   .04 (d)(f)

Net realized and unrealized gain (loss) on investment transactions

   (4.68 )   (2.25 )   1.66     .98     1.46     (.27 )   1.48  
     

Net increase (decrease) in net asset value from operations

   (4.61 )   (2.05 )   1.73     1.01     1.50     (.26 )   1.52  
     

Less: Dividends and Distributions

              

Dividends from net investment income

   (.15 )   (.18 )   (.05 )   – 0  –   – 0  –   – 0  –   (.03 )

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   (.43 )   – 0  –   (.02 )
     

Total dividends and distributions

   (.80 )   (1.06 )   (.84 )   (.54 )   (.43 )   – 0  –   (.05 )
     

Net asset value, end of period

   $  5.83     $  11.24     $  14.35     $  13.46     $  12.99     $  11.92     $  12.18  
     

Total Return

              

Total investment return based on net asset value(g)

   (42.12 )%   (15.37 )%   13.06  %   7.81  %   12.73  %   (2.13 )%   14.20  %

Ratios/Supplemental Data

              

Net assets, end of period (000’s omitted)

   $4,191     $11,318     $53,956     $12,407     $9,737     $9,251     $9,261  

Ratio to average net assets of:

              

Expenses, net of waivers/reimbursements

   1.46  %(h)(i)   1.09  %(h)   1.02  %(h)   1.05  %(h)(j)   1.17  %(h)(i)   1.17  %(i)   1.23  %

Expenses, before waivers/
reimbursements

   1.65  %(h)(i)   1.09  %(h)   1.05  %(h)   1.11  %(h)(j)   1.22  %(h)(i)   1.44  %(i)   1.46  %

Net investment income

   1.77  %(d)(i)   1.47  %   .51  %(d)   .20  %(d)(j)   .36  %(d)(i)   .31  %(d)(i)   .39  %(d)(f)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %   11  %   39  %

See footnote summary on page 30.

 

26   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Class R  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

October 1,

2004 to

August 31,

2005(a)

    

July 1,

2004 to

September 30,

2004(b)

    

February 17,

2004(k) to

June 30,

2004

  
      2008     2007     2006        
     
             

Net asset value, beginning of period

   $  10.97     $  14.03     $  13.22     $  12.85     $  11.86     $  12.13     $  12.27  
     

Income From Investment Operations

              

Net investment
income (loss)(c)

   .04 (d)   .06     .02 (d)   (.05 )(d)   (.02 )(d)   (.01 )(d)   (.01 )(d)(f)

Net realized and unrealized gain (loss) on investment transactions

   (4.55 )   (2.12 )   1.61     .96     1.44     (.26 )   (.13 )
     

Net increase (decrease) in net asset value from operations

   (4.51 )   (2.06 )   1.63     .91     1.42     (.27 )   (.14 )
     

Less: Dividends and Distributions

              

Dividends from net investment income

   (.12 )   (.12 )   (.03 )   – 0  –   – 0  –   – 0  –   – 0  –

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   (.43 )   – 0  –   – 0  –
     

Total dividends and distributions

   (.77 )   (1.00 )   (.82 )   (.54 )   (.43 )   – 0  –   – 0  –
     

Net asset value, end of period

   $  5.69     $  10.97     $  14.03     $  13.22     $  12.85     $  11.86     $  12.13  
     

Total Return

              

Total investment return based on net asset value(g)

   (42.22 )%   (15.71 )%   12.52  %   7.09  %   12.10  %   (2.23 )%   (1.14 )%

Ratios/Supplemental Data

              

Net assets, end of period (000’s omitted)

   $55     $99     $63     $13     $11     $10     $10  

Ratio to average net assets of:

              

Expenses, net of waivers/reimbursements

   1.94  %(h)(i)   1.62  %(h)   1.50  %(h)   1.64  %(h)(j)   1.72  %(h)(i)   1.66  %(i)   1.78  %(i)

Expenses, before waivers/
reimbursements

   2.06  %(h)(i)   1.62  %(h)   1.53  %(h)   1.69  %(h)(j)   1.77  %(h)(i)   1.93  %(i)   2.15  %(i)

Net investment income (loss)

   .96  %(d)(i)   .49  %   .17  %(d)   (.41 )%(d)(j)   (.20 )%(d)(i)   (.18 )%(d)(i)   (.12 )%(d)(f)(i)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %   11  %   39  %

See footnote summary on page 30.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   27

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Class K  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

March 1,

2005(k) to

August 31,

2005

  
      2008     2007     2006    
     
         

Net asset value, beginning of period

   $  11.08     $  14.19     $  13.31     $  12.90     $  12.31  
     

Income From Investment Operations

          

Net investment income (loss)(c)

   .04 (d)   .11     (.10 )(d)   (.02 )(d)   (.03 )(d)

Net realized and unrealized
gain (loss) on investment transactions

   (4.59 )   (2.17 )   1.78     .97     .62  
     

Net increase (decrease) in net asset value from operations

   (4.55 )   (2.06 )   1.68     .95     .59  
     

Less: Dividends and Distributions

          

Dividends from net investment income

   (.14 )   (.17 )   (.01 )   – 0  –   – 0  –

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   – 0  –
     

Total dividends and distributions

   (.79 )   (1.05 )   (.80 )   (.54 )   – 0  –
     

Net asset value, end of period

   $  5.74     $  11.08     $  14.19     $  13.31     $  12.90  
     

Total Return

          

Total investment return based on net asset value(g)

   (42.18 )%   (15.58 )%   12.84  %   7.38  %   4.79  %

Ratios/Supplemental Data

          

Net assets, end of period (000’s omitted)

   $812     $960     $1,302     $11     $10  

Ratio to average net assets of:

          

Expenses, net of waivers/reimbursements(h)

   1.71  %(i)   1.43  %   1.58  %   1.37  %(j)   1.51  %(i)

Expenses, before waivers/reimbursements(h)

   1.86  %(i)   1.43  %   1.63  %   1.42  %(j)   1.56  %(i)

Net investment income (loss)

   1.11  %(d)(i)   .89  %   (1.20 )%(d)   (.13 )%(d)(j)   (.50 )%(d)(i)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %

See footnote summary on page 30.

 

28   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Financial Highlights

 

Selected Data For A Share Of Capital Stock Outstanding Throughout Each Period

 

    Class I  
   

Six Months
Ended
February 28,

2009

(unaudited)

     Year Ended August 31,    

March 1,

2005(k) to

August 31,

  
      2008     2007     2006     2005  
     
         

Net asset value, beginning of period

   $  11.17     $  14.25     $  13.38     $  12.92     $  12.31  
     

Income From Investment Operations

          

Net investment income (loss)(c)

   .07 (d)   .17     .08 (d)   (.02 )(d)   (.01 )(d)

Net realized and unrealized gain (loss) on investment transactions

   (4.64 )   (2.18 )   1.64     1.02     .62  
     

Net increase (decrease) in net asset value from operations

   (4.57 )   (2.01 )   1.72     1.00     .61  
     

Less: Dividends and Distributions

          

Dividends from net investment income

   (.17 )   (.19 )   (.06 )   – 0  –   – 0  –

Distributions from net realized gain on investment transactions

   (.65 )   (.88 )   (.79 )   (.54 )   – 0  –
     

Total dividends and distributions

   (.82 )   (1.07 )   (.85 )   (.54 )   – 0  –
     

Net asset value, end of period

   $  5.78     $  11.17     $  14.25     $  13.38     $  12.92  
     

Total Return

          

Total investment return based on net asset value(g)

   (42.03 )%   (15.15 )%   13.09  %   7.77  %   4.96  %

Ratios/Supplemental Data

          

Net assets, end of period (000’s omitted)

   $1,082     $2,228     $2,696     $277     $10  

Ratio to average net assets of:

          

Expenses, net of waivers/reimbursements(h)

   1.38  %(i)   1.01  %   .96  %   .97  %(j)   1.19  %(i)

Expenses, before waivers/reimbursements(h)

   1.40  %(i)   1.01  %   .99  %   1.02  %(j)   1.24  %(i)

Net investment income (loss)

   1.67  %(d)(i)   1.33  %   .62  %(d)   (.19 )%(d)(j)   (.17 )%(d)(i)

Portfolio turnover rate

   5  %   10  %   19  %   6  %   44  %

See footnote summary on page 30.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   29

 

Financial Highlights

 

(a) The Fund changed its fiscal year end from September 30 to August 31.

 

(b) The Fund changed its fiscal year end from June 30 to September 30.

 

(c) Based on average shares outstanding.

 

(d) Net of fees and expenses waived/reimbursed by the Adviser.

 

(e) Amount is less than $.005.

 

(f) Net of fees and expenses waived by the Transfer Agent.

 

(g) Total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions at net asset value during the period, and redemption on the last day of the period. Initial sales charges or contingent deferred sales charges are not reflected in the calculation of total investment return. Total return does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Total investment return calculated for a period of less than one year is not annualized.

 

(h) Expense ratios do not include expenses of the Underlying Portfolios in which the Fund invests. For the six months ended February 28, 2009 and the years ended August 31, 2008, August 31, 2007 and August 31, 2006, the estimated annualized blended expense ratios were .03%, .02%, .02%, and .04%, respectively.

 

(i) Annualized.

 

(j) The ratio includes expenses attributable to costs of proxy solicitation.

 

(k) Commencement of distributions.

 

See notes to financial statements.

 

30   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Financial Highlights

 

BOARD OF DIRECTORS

William H. Foulk, Jr.(1), Chairman

John H. Dobkin(1)

Michael J. Downey(1)

D. James Guzy(1)

Nancy P. Jacklin(1)

Garry L. Moody(1)

Marshall C. Turner, Jr.(1)

Earl D. Weiner(1)

OFFICERS

Robert M. Keith, President and Chief Executive Officer

Philip L. Kirstein, Senior Vice President and Independent Compliance Officer

Seth J. Masters(2), Senior Vice President

Thomas J. Fontaine(2), Vice President

Dokyoung Lee(2), Vice President

Patrick J. Rudden(2), Vice President

Karen A. Sesin(2), Vice President

Emilie D. Wrapp, Secretary

Joseph J. Mantineo, Treasurer and Chief Financial Officer

Phyllis J. Clarke, Controller

 

Custodian and Accounting Agent

State Street Bank and Trust Company
One Lincoln Street

Boston, MA 02111

    Independent Registered Public Accounting Firm
  

KPMG LLP

345 Park Avenue

New York, NY 10154

Principal Underwriter   

AllianceBernstein Investments, Inc.
1345 Avenue of the Americas

New York, NY 10105

Legal Counsel

Seward & Kissel LLP

One Battery Park Plaza

New York, NY 10004

   

Transfer Agent

AllianceBernstein Investor

Services, Inc.

P.O. Box 786003

San Antonio, TX 78278-6003

Toll-Free (800) 221-5672

 

(1) Member of the Audit Committee, Governance and Nominating Committee and Independent Directors Committee. Mr. Foulk is the sole member of the Fair Value Pricing Committee.

 

(2) The management of, and investment decisions for, the Fund’s portfolio are made by the Adviser’s Blend Strategies Team. Messrs. Masters, Fontaine, Lee and Rudden and Ms. Sesin are the members of the Blend Strategies Team primarily responsible for the day-to- day management of the Fund’s portfolio.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   31

 

Board of Directors

 

Pages 32-42 represent the holdings of the Underlying Portfolios in which the Fund may invest, including specific breakdowns within Underlying Portfolios. This holdings information has been derived from each fund’s February 28, 2009 financial statements. A copy of the Underlying Portfolios’ unaudited semi-annual report is available upon request.

PORTFOLIO SUMMARY

February 28, 2009 (unaudited)

U.S. VALUE PORTFOLIO

LOGO

U.S. LARGE CAP GROWTH PORTFOLIO

LOGO

 

* All data are as of February 28, 2009. The Portfolio’s sector breakdown is expressed as a percentage of total investments and may vary over time.

Please Note: The sector classifications presented herein are based on the Global Industry Classification Standard (GICS) which was developed by Morgan Stanley Capital International and Standard and Poor’s. The components are divided into sector, industry group, and industry sub-indices as classified by the GICS for each of the market capitalization indices in the Broad Market. These sector classifications are broadly defined. The “Portfolio of Investments” section of the report reflects more specific industry information and is consistent with the investment restrictions discussed in the Portfolio’s prospectus.

 

32   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Portfolio Summary

 

U.S. VALUE PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 94.0%

     

Energy – 18.9%

     

Oil, Gas & Consumable Fuels – 18.9%

     

Apache Corp.

    368,800   $ 21,792,392

BP PLC (Sponsored) (ADR)

    193,400     7,418,824

Chevron Corp.

    941,000     57,128,110

ConocoPhillips

    672,400     25,114,140

Devon Energy Corp.

    425,600     18,585,952

EOG Resources, Inc.

    147,800     7,395,912

Exxon Mobil Corp.

    1,578,500     107,180,150

Occidental Petroleum Corp.

    221,900     11,509,953

Royal Dutch Shell PLC (ADR)

    330,500     14,532,085

Sunoco, Inc.

    141,500     4,733,175
        
       275,390,693
        

Financials – 14.7%

     

Capital Markets – 4.1%

     

Deutsche Bank AG

    313,100     8,002,836

The Goldman Sachs Group, Inc.

    334,300     30,448,044

Morgan Stanley

    1,071,300     20,933,202
        
       59,384,082
        

Commercial Banks – 0.5%

     

Fifth Third Bancorp

    430,500     908,355

SunTrust Banks, Inc.

    153,500     1,846,605

U.S. Bancorp

    299,300     4,282,983
        
       7,037,943
        

Consumer Finance – 0.1%

     

Capital One Financial Corp.

    148,900     1,794,245
        

Diversified Financial Services – 2.4%

     

Bank of America Corp.

    1,314,800     5,193,460

JP Morgan Chase & Co.

    1,303,100     29,775,835
        
       34,969,295
        

Insurance – 7.6%

     

ACE Ltd.

    354,700     12,950,097

Allstate Corp.

    878,100     14,778,423

American International Group, Inc.

    1,159,800     487,116

Everest Re Group Ltd.

    65,500     4,266,015

Fidelity National Financial, Inc. – Class A

    522,500     8,657,825

Genworth Financial, Inc. – Class A

    945,500     1,144,055

Hartford Financial Services Group, Inc.

    667,700     4,072,970

Lincoln National Corp.

    566,300     4,864,517

MetLife, Inc.

    1,046,800     19,323,928

Old Republic International Corp.

    334,800     3,039,984

PartnerRe Ltd.

    66,100     4,091,590

RenaissanceRe Holdings Ltd.

    95,300     4,291,359

Torchmark Corp.

    101,400     2,088,840

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   33

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

The Travelers Co., Inc.

    509,000   $ 18,400,350

Unum Group

    715,800     7,286,844

XL Capital Ltd. – Class A

    489,900     1,621,569
        
       111,365,482
        
       214,551,047
        

Health Care – 14.3%

     

Biotechnology – 1.4%

     

Amgen, Inc.(a)

    437,800     21,421,554
        

Health Care Equipment & Supplies – 0.2%

     

Covidien Ltd.

    95,000     3,008,650
        

Health Care Providers & Services – 0.6%

     

Cardinal Health, Inc.

    263,700     8,557,065
        

Pharmaceuticals – 12.1%

     

Eli Lilly & Co.

    303,800     8,925,644

GlaxoSmithKline PLC (Sponsored) (ADR)

    301,400     9,081,182

Johnson & Johnson

    660,300     33,015,000

Merck & Co., Inc.

    1,474,800     35,690,160

Pfizer, Inc.

    3,541,100     43,590,941

Sanofi-Aventis SA (ADR)

    420,500     10,773,210

Schering-Plough Corp.

    673,600     11,713,904

Wyeth

    563,300     22,993,906
        
       175,783,947
        
       208,771,216
        

Consumer Staples – 12.6%

     

Beverages – 2.0%

     

The Coca-Cola Co.

    51,900     2,120,115

Coca-Cola Enterprises, Inc.

    1,018,600     11,693,528

Constellation Brands, Inc. – Class A(a)

    594,100     7,753,005

Pepsi Bottling Group, Inc.

    393,800     7,285,300
        
       28,851,948
        

Food & Staples Retailing – 2.1%

     

The Kroger Co.

    398,300     8,232,861

Safeway, Inc.

    659,800     12,206,300

Supervalu, Inc.

    320,666     5,005,596

Wal-Mart Stores, Inc.

    100,000     4,924,000
        
       30,368,757
        

Food Products – 4.3%

     

Archer-Daniels-Midland Co.

    918,100     24,476,546

Bunge Ltd.

    260,000     12,188,800

ConAgra Foods, Inc.

    419,900     6,332,092

Del Monte Foods Co.

    590,000     4,218,500

The JM Smucker Co.

    18,541     688,242

Kraft Foods, Inc. – Class A

    173,300     3,947,774

 

34   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Sara Lee Corp.

    953,700   $ 7,353,027

Tyson Foods, Inc. – Class A

    453,900     3,826,377
        
       63,031,358
        

Household Products – 2.3%

     

Procter & Gamble Co.

    707,554     34,082,876
        

Tobacco – 1.9%

     

Altria Group, Inc.

    560,300     8,651,032

Philip Morris International, Inc.

    219,800     7,356,706

Reynolds American, Inc.

    325,600     10,933,648
        
       26,941,386
        
       183,276,325
        

Consumer Discretionary – 11.0%

     

Auto Components – 0.6%

     

Autoliv, Inc.

    314,300     4,676,784

Magna International, Inc. – Class A

    179,600     4,608,536
        
       9,285,320
        

Automobiles – 0.6%

     

Toyota Motor Corp. (Sponsored) (ADR)

    134,100     8,467,074
        

Household Durables – 0.0%

     

KB Home

    12,300     109,470
        

Media – 4.5%

     

CBS Corp. – Class B

    1,860,500     7,944,335

Gannett Co., Inc.

    1,019,700     3,303,828

News Corp. – Class A

    1,770,330     9,843,035

Time Warner, Inc.

    3,000,200     22,891,526

Viacom, Inc. – Class B(a)

    461,800     7,107,102

The Walt Disney Co.

    830,600     13,929,162
        
       65,018,988
        

Multiline Retail – 1.4%

     

Family Dollar Stores, Inc.

    383,000     10,509,520

JC Penney Co., Inc.

    312,300     4,787,559

Macy’s, Inc.

    746,070     5,871,571
        
       21,168,650
        

Specialty Retail – 3.7%

     

AutoNation, Inc.(a)

    175,700     1,753,486

Foot Locker, Inc.

    540,900     4,494,879

The Gap, Inc.

    655,500     7,072,845

Home Depot, Inc.

    963,100     20,119,159

Limited Brands, Inc.

    753,035     5,790,839

Lowe’s Cos, Inc.

    334,449     5,297,672

TJX Cos, Inc.

    390,200     8,689,754
        
       53,218,634
        

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   35

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Textiles, Apparel & Luxury Goods – 0.2%

     

Jones Apparel Group, Inc.

    864,600   $ 2,325,774
        
       159,593,910
        

Telecommunication Services – 7.9%

     

Diversified Telecommunication
Services – 6.3%

     

AT&T, Inc.

    2,769,300     65,826,261

Telefonica SA (ADR)

    68,900     3,828,084

Verizon Communications, Inc.

    780,700     22,273,371
        
       91,927,716
        

Wireless Telecommunication
Services – 1.6%

     

Sprint Nextel Corp.(a)

    4,842,700     15,932,483

Vodafone Group PLC (Sponsored) (ADR)

    432,800     7,682,200
        
       23,614,683
        
       115,542,399
        

Information Technology – 6.9%

     

Communications Equipment – 3.4%

     

Corning, Inc.

    665,100     7,016,805

Motorola, Inc.

    3,694,551     13,004,819

Nokia OYJ (Sponsored) – Class A (ADR)

    2,260,900     21,162,024

Telefonaktiebolaget LM Ericsson (Sponsored) – Class B (ADR)

    1,010,000     8,241,600
        
       49,425,248
        

Computers & Peripherals – 1.0%

     

International Business Machines Corp.

    66,800     6,147,604

Lexmark International, Inc. – Class A(a)

    285,800     4,898,612

Western Digital Corp.(a)

    261,500     3,572,090
        
       14,618,306
        

Electronic Equipment, Instruments & Components – 1.3%

     

AU Optronics Corp. (Sponsored) (ADR)

    1,448,000     10,411,120

Ingram Micro, Inc. – Class A(a)

    237,677     2,588,303

Sanmina-SCI Corp.(a)

    310,800     77,700

Tyco Electronics Ltd.

    568,000     5,384,640

Vishay Intertechnology, Inc.(a)

    83,800     213,690
        
       18,675,453
        

Semiconductors & Semiconductor Equipment – 0.3%

     

Nvidia Corp.(a)

    531,100     4,397,508
        

Software – 0.9%

     

Symantec Corp.(a)

    913,500     12,633,705
        
       99,750,220
        

 

36   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Industrials – 4.4%

     

Airlines – 0.4%

     

UAL Corp.(a)

    1,125,200   $ 5,524,732
        

Commercial Services & Supplies – 0.7%

     

Republic Services, Inc. – Class A

    483,480     9,621,252
        

Electrical Equipment – 0.2%

     

Cooper Industries Ltd. – Class A

    167,600     3,534,684
        

Industrial Conglomerates – 2.9%

     

3M Co.

    98,900     4,495,994

General Electric Co.

    3,198,700     27,220,937

Tyco International Ltd.

    553,700     11,101,685
        
       42,818,616
        

Machinery – 0.2%

     

Caterpillar, Inc.

    21,000     516,810

Cummins, Inc.

    81,000     1,684,800
        
       2,201,610
        
       63,700,894
        

Materials – 2.0%

     

Chemicals – 0.3%

     

Eastman Chemical Co.

    235,500     4,837,170
        

Containers & Packaging – 1.7%

     

Ball Corp.

    309,300     12,461,697

Owens-Illinois, Inc.(a)

    473,400     7,299,828

Sonoco Products Co.

    210,400     4,054,408
        
       23,815,933
        
       28,653,103
        

Utilities – 1.3%

     

Independent Power Producers & Energy Traders – 0.3%

     

Reliant Energy, Inc.(a)

    982,400     3,399,104
        

Multi-Utilities – 1.0%

     

CMS Energy Corp.

    277,400     3,068,044

Dominion Resources, Inc.

    233,200     7,037,976

NiSource, Inc.

    164,300     1,437,625

Wisconsin Energy Corp.

    85,125     3,389,678
        
       14,933,323
        
       18,332,427
        

Total Common Stocks
(cost $2,331,649,069)

        1,367,562,234
        
    

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   37

 

U.S. Value Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

SHORT-TERM INVESTMENTS – 5.5%

     

Investment Companies – 5.5%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(b)
(cost $79,978,093)

    79,978,093   $ 79,978,093
        

Total Investments – 99.5%
(cost $2,411,627,162)

       1,447,540,327

Other assets less liabilities – 0.5%

        7,263,597
        

Net Assets – 100.0%

      $ 1,454,803,924
        

 

(a) Non-income producing security.

 

(b) Investment in affiliated money market mutual fund.

Glossary:

 

ADR – American Depositary Receipt

See notes to financial statements.

 

38   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

U.S. Value Portfolio—Portfolio of Investments

 

U.S. LARGE CAP GROWTH PORTFOLIO

PORTFOLIO OF INVESTMENTS

February 28, 2009 (unaudited)

 

Company        
    
Shares		   U.S. $ Value
 
    

COMMON STOCKS – 99.4%

     

Health Care – 26.5%

     

Biotechnology – 13.8%

     

Celgene Corp.(a)

    977,600   $ 43,728,048

Genentech, Inc.(a)

    993,700     85,011,035

Gilead Sciences, Inc.(a)

    1,906,250     85,400,000
        
       214,139,083
        

Health Care Equipment & Supplies – 4.3%

     

Alcon, Inc.

    195,550     16,105,498

Baxter International, Inc.

    567,600     28,896,516

Becton Dickinson & Co.

    332,725     20,592,350
        
       65,594,364
        

Health Care Providers & Services – 2.1%

     

Medco Health Solutions, Inc.(a)

    812,100     32,955,018
        

Pharmaceuticals – 6.3%

     

Abbott Laboratories

    685,100     32,432,634

Teva Pharmaceutical Industries Ltd. (Sponsored) (ADR)

    1,453,000     64,774,740
        
       97,207,374
        
       409,895,839
        

Information Technology – 26.0%

     

Communications Equipment – 6.9%

     

Cisco Systems, Inc.(a)

    3,575,600     52,096,492

QUALCOMM, Inc.

    1,637,300     54,734,939
        
       106,831,431
        

Computers & Peripherals – 10.1%

     

Apple, Inc.(a)

    730,960     65,282,038

Hewlett-Packard Co.

    3,114,050     90,400,871
        
       155,682,909
        

Internet Software & Services – 6.5%

     

Google, Inc. – Class A(a)

    298,615     100,928,884
        

Semiconductors & Semiconductor Equipment – 0.7%

     

Intel Corp.

    903,300     11,508,042
        

Software – 1.8%

     

Activision Blizzard, Inc.(a)

    696,400     6,984,892

Microsoft Corp.

    1,268,500     20,486,275
        
       27,471,167
        
       402,422,433
        

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   39

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Consumer Staples – 15.8%

     

Beverages – 4.8%

     

The Coca-Cola Co.

    471,800   $ 19,273,030

Molson Coors Brewing Co. – Class B

    360,000     12,682,800

PepsiCo, Inc.

    894,400     43,056,416
        
       75,012,246
        

Food & Staples Retailing – 4.9%

     

Costco Wholesale Corp.

    803,000     33,999,020

Wal-Mart Stores, Inc.

    865,650     42,624,606
        
       76,623,626
        

Food Products – 0.8%

     

General Mills, Inc.

    233,500     12,254,080
        

Household Products – 4.0%

     

Colgate-Palmolive Co.

    586,200     35,277,516

Procter & Gamble Co.

    552,000     26,589,840
        
       61,867,356
        

Tobacco – 1.3%

     

Philip Morris International, Inc.

    592,300     19,824,281
        
       245,581,589
        

Energy – 8.4%

     

Energy Equipment & Services – 4.8%

     

Cameron International Corp.(a)

    653,200     12,593,696

National Oilwell Varco, Inc.(a)

    199,600     5,335,308

Schlumberger Ltd.

    1,507,135     57,361,558
        
       75,290,562
        

Oil, Gas & Consumable Fuels – 3.6%

     

Apache Corp.

    262,600     15,517,034

EOG Resources, Inc.

    576,775     28,861,821

XTO Energy, Inc.

    350,000     11,081,000
        
       55,459,855
        
       130,750,417
        

Consumer Discretionary – 7.0%

     

Hotels, Restaurants & Leisure – 3.1%

     

McDonald’s Corp.

    918,050     47,968,112
        

Media – 1.7%

     

The Walt Disney Co.

    1,584,400     26,570,388
        

Multiline Retail – 1.8%

     

Kohl’s Corp.(a)

    811,200     28,505,568
        

Textiles, Apparel & Luxury Goods – 0.4%

     

Nike, Inc. – Class B

    133,000     5,523,490
        
       108,567,558
        

 

40   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

Financials – 6.4%

     

Capital Markets – 3.6%

     

The Blackstone Group LP

    424,800   $ 2,068,776

The Charles Schwab Corp.

    535,900     6,811,289

Franklin Resources, Inc.

    349,500     16,007,100

The Goldman Sachs Group, Inc.

    340,600     31,021,848
        
       55,909,013
        

Diversified Financial Services – 2.8%

     

CME Group, Inc. – Class A

    120,810     22,035,744

JP Morgan Chase & Co.

    945,800     21,611,530
        
       43,647,274
        
       99,556,287
        

Industrials – 5.3%

     

Aerospace & Defense – 1.6%

     

Honeywell International, Inc.

    314,960     8,450,377

Lockheed Martin Corp.

    264,100     16,667,351
        
       25,117,728
        

Construction & Engineering – 1.1%

     

Fluor Corp.

    108,500     3,607,625

Jacobs Engineering Group, Inc.(a)

    405,500     13,681,570
        
       17,289,195
        

Electrical Equipment – 1.8%

     

Emerson Electric Co.

    1,032,400     27,616,700
        

Machinery – 0.8%

     

Cummins, Inc.

    130,800     2,720,640

Danaher Corp.

    169,500     8,603,820
        
       11,324,460
        
       81,348,083
        

Materials – 4.0%

     

Chemicals – 4.0%

     

Air Products & Chemicals, Inc.

    172,000     7,955,000

Monsanto Co.

    707,140     53,933,568
        
       61,888,568
        

Total Common Stocks
(cost $1,960,693,834)

        1,540,010,774
        

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   41

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

Company        
    
Shares		   U.S. $ Value
 
    

SHORT-TERM INVESTMENTS – 0.1%

     

Investment Companies – 0.1%

     

AllianceBernstein Fixed-Income Shares, Inc. – Government STIF Portfolio(b)
(cost $1,839,640)

    1,839,640   $ 1,839,640
        

Total Investments – 99.5%
(cost $1,962,533,474)

       1,541,850,414

Other assets less liabilities – 0.5%

        7,561,625
        

Net Assets – 100.0%

      $ 1,549,412,039
        

 

(a) Non-income producing security.

 

(b) Investment in affiliated money market mutual fund.

Glossary:

 

ADR – American Depositary Receipt

See notes to financial statements.

 

42   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

U.S. Large Cap Growth Portfolio—Portfolio of Investments

 

THE FOLLOWING IS NOT PART OF THE SHAREHOLDER REPORT OR THE FINANCIAL STATEMENTS

SUMMARY OF SENIOR OFFICER’S EVALUATION OF INVESTMENT ADVISORY AGREEMENT1

The following is a summary of the evaluation of the Investment Advisory Agreement between AllianceBernstein L.P. (the “Adviser”) and AllianceBernstein Blended Style Series, Inc. (the “Fund”), in respect of the AllianceBernstein U.S. Large Cap Portfolio (the “Portfolio”).2 The evaluation of the Investment Advisory Agreement was prepared by Philip L. Kirstein, the Senior Officer of the Fund, for the Directors of the Fund, as required by the August 2004 agreement between the Adviser and the New York State Attorney General (the “NYAG”).

The Portfolio seeks long term growth of capital through investing in a combination of shares of The AllianceBernstein Pooling Portfolios (the “Pooling Portfolios”),3 which represent a variety of asset classes and investment styles, rather than making direct investments in portfolio securities. As a result, certain expenses will be minimal, such as custodian charges, or non-existent, such as brokerage commissions, except as incurred indirectly through the Pooling Portfolios.

The Senior Officer’s evaluation of the Investment Advisory Agreement is not meant to diminish the responsibility or authority of the Board of Directors of the Fund to perform its duties pursuant to Section 15 of the Investment Company Act of 1940 (the “40 Act”) and applicable state law. The purpose of the summary is to provide shareholders with a synopsis of the independent evaluation of the reasonableness of the advisory fees proposed to be paid by the Fund which was provided to the Directors in connection with their review of the proposed approval of the continuance of the Investment Advisory Agreement.

The Senior Officer’s evaluation considered the following factors:

 

  1. Management fees charged to institutional and other clients of the Adviser for like services;

 

  2. Management fees charged by other mutual fund companies for like services;

 

  3. Costs to the Adviser and its affiliates of supplying services pursuant to the advisory agreement, excluding any intra-corporate profit;

 

1 It should be noted that the information in the fee summary was completed on July 24, 2008 and presented to the Board of Directors on August 5-7, 2008.

 

2 Future references to the Portfolio do not include “AllianceBernstein.” References in the fee summary pertaining to performance and expense ratios refer to the Class A shares of the Portfolio.

 

3 The Portfolio invests in a combination of the following Pooling Portfolios: U.S. Value Portfolio and U.S. Large Cap Growth Portfolio.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   43

 

  4. Profit margins of the Adviser and its affiliates from supplying such services;

 

  5. Possible economies of scale as the Portfolio grows larger; and

 

  6. Nature and quality of the Adviser’s services including the performance of the Portfolio.

INVESTMENT ADVISORY FEES, EXPENSE CAPS & RATIOS

The Adviser proposed that the Portfolio pay the advisory fee set forth in the table below for receiving the services to be provided pursuant to the Investment Advisory Agreement. The fee schedule below, implemented in January 2004 in consideration of the Adviser’s settlement with the NYAG in December 2003, is based on a master schedule that contemplates eight categories of funds with almost all funds in each category having the same advisory fee schedule.4

 

Category  

Advisory Fee Based on % of

Average Daily Net Assets

  

Net Assets

06/30/08

($MIL)

   Portfolio
Blend  

65 bp on 1st $2.5 billion

55 bp on next $2.5 billion

50 bp on the balance

   $ 101.3   U.S. Large Cap Portfolio

It should be noted that there are no management fees charged by the Adviser for managing the Pooling Portfolios in which the Portfolio invests, although those Funds do bear expenses incurred by the Pooling Portfolios.

The Adviser is reimbursed as specified in the Investment Advisory Agreement for certain clerical, legal, accounting, administrative and other services provided to the Portfolio. During the Portfolio’s most recently completed fiscal year, the Adviser was entitled to receive $92,000 (0.05% of the Portfolio’s average daily net assets) for such services but waived $56,622 (0.03% of the Portfolio’s average daily net assets).

The Adviser agreed to waive that portion of its management fees and/or reimburse the Portfolio for that portion of its total operating expenses to the degree necessary to limit the Portfolio’s expense ratios to the amounts set forth below for the Portfolio’s fiscal year. The expense limitation undertaking is set to terminate on December 31, 2008. It should be noted that all share classes of the Portfolio were operating below their expense caps for the most recent semi-annual period. Accordingly, the expense limitation undertaking of the

 

4 Most of the AllianceBernstein Mutual Funds, which the Adviser manages, were affected by the Adviser’s settlement with the NYAG.

 

44   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

Portfolio was of no effect. Set forth below are the gross expense ratios of the Portfolio for the most recent semi-annual period:

 

Portfolio   Expense Cap Pursuant to
Expense Limitation
Undertaking		     

Gross
Expense

Ratio

(02/29/08)5

   Fiscal
Year End
U.S. Large Cap Portfolio  

Class A

Class B

Class C

Class R

Class K

Class I

Advisor

   1.65

2.35

2.35

1.85

1.60

1.35

1.35

 %

%

%

%

%

%

%

   

1.39%

2.12%

2.10%

1.53%

1.39%

0.97%

1.09%

   August 31

The expense limitation undertaking set forth in the table above for U.S. Large Cap Portfolio includes the blended expense ratio of the Pooling Portfolios (i.e., the Portfolio’s underlying expense ratio). For the six months ended February 29, 2008, the estimated underlying expense ratio for the Portfolio was 0.02%.

 

I. MANAGEMENT FEES CHARGED TO INSTITUTIONAL AND OTHER CLIENTS

The advisory fees charged to investment companies which the Adviser manages and sponsors are normally higher than those charged to similar sized institutional accounts, including pension plans and sub-advised investment companies. The fee differential reflects, among other things, different services provided to such clients, and different liabilities assumed. Services provided by the Adviser to the Portfolio that are not provided to non-investment company clients and sub-advised investment companies include providing office space and personnel to serve as Fund Officers, who among other responsibilities make the certifications required under the Sarbanes-Oxley Act of 2002, and coordinating with and monitoring the Portfolio’s third party service providers such as Fund counsel, auditors, custodians, transfer agents and pricing services. The accounting, administrative, legal and compliance requirements for the Portfolio are more costly than those for institutional assets due to the greater complexities and time required for investment companies, although as previously noted, a portion of these expenses are entitled to be reimbursed by the Portfolio to the Adviser. Also, retail mutual funds managed by the Adviser are widely held. Servicing the Portfolio’s investors is more time consuming and labor intensive compared to institutional clients since the Adviser needs to communicate with a more extensive network of financial intermediaries and shareholders. The Adviser also believes that it incurs substantial entrepreneurial risk when offering a new mutual fund since establishing a new mutual fund requires a large upfront investment, and it may take a long time for the fund to achieve profitability since the fund must be priced to scale from inception in order to be competitive and assets are acquired one account at a time.

 

5 Annualized

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   45

 

In addition, managing the cash flow of an investment company may be more difficult than managing that of a stable pool of assets, such as an institutional account with little cash movement in either direction, particularly, if a fund is in net redemption and the Adviser is frequently forced to sell securities to raise cash for redemptions. However, managing a fund with positive cash flow may be easier at times than managing a stable pool of assets. Finally, in recent years, investment advisers have been sued by institutional clients and have suffered reputational damage both by the attendant publicity and outcomes other than complete victories. Accordingly, the legal and reputational risks associated with institutional accounts are greater than previously thought, although still not equal to those related to the mutual fund industry.

Notwithstanding the Adviser’s view that managing an investment company is not comparable to managing other institutional accounts because the services provided are different and legal and reputational risks are greater, it is worth considering information regarding the advisory fees charged to institutional accounts with a substantially similar investment style as the Portfolio.6 In addition to the AllianceBernstein Institutional fee schedule, set forth below is what would have been the effective advisory fee of the Portfolio had the AllianceBernstein Institutional fee schedule been applicable to the Portfolio versus the Portfolio’s advisory fee based on June 30, 2008 net assets:

 

Portfolio  

Net Assets

06/30/08

($MIL)

  

AllianceBernstein (“AB”)
Institutional (“Inst.”)

Fee Schedule

   Effective
AB Inst.
Adv. Fee		  

Portfolio

Advisory
Fee

U.S. Large Cap Portfolio   $101.3  

U.S. Blend Schedule

80 bp on 1st $25 million

60 bp on next $25 million

50 bp on next $50 million

40 bp on next $100 million

30 bp on the balance

Minimum account size: $50m

   0.597%   0.650%

The AllianceBernstein Variable Products Series Fund, Inc. (“AVPS”), which is managed by the adviser and is available through variable annuity and variable life contracts offered by other financial institutions, offers policyholders the option to utilize the AVPS portfolios as the investment option underlying their

 

6 The Adviser has indicated that with respect to institutional accounts with assets greater than $300 million, it will negotiate a fee schedule. Discounts that are negotiated vary based upon each client relationship.

 

46   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

insurance contracts. Set forth below is the fee schedule of the AVPS portfolio that has a substantially similar investment style as the Portfolio:7

 

Portfolio   AVPS
Portfolio		   Fee Schedule   Effective AVPS
Adv. Fee
U.S. Large Cap Portfolio   U.S. Large Cap Blended Style Portfolio  

0.65% on first $2.5 billion

0.55% on next $2.5 billion

0.50% on the balance

   0.65%

The Adviser also manages and sponsors retail mutual funds, which are organized in jurisdictions outside the United States, generally Luxembourg and Japan, and sold to non-United States resident investors. The Adviser charges the following fees for American Equity Blend Portfolio, which is a Luxembourg fund that has a somewhat similar investment style as the Portfolio.

 

Portfolio    Luxembourg Fund    Fee
U.S. Large Cap Portfolio    American Equity Blend Portfolio   
   Class A8    1.50%
   Class I (Institutional)    0.70%

The Adviser represented that it does not sub-advise any registered investment company with a substantially similar investment style as the Portfolio.

 

II. MANAGEMENT FEES CHARGED BY OTHER MUTUAL FUND COMPANIES FOR LIKE SERVICES.

Lipper, Inc. (“Lipper”), an analytical service that is not affiliated with the Adviser, compared the fees charged to the Portfolio with fees charged to other investment companies for similar services offered by other investment advisers. Lipper’s analysis included the Portfolio’s ranking with respect to the proposed management fee relative to the median of the Portfolio’s Lipper Expense Group (“EG”)9 at the approximate current asset level of the Portfolio.10

 

7 It should be noted that the AVPS portfolio was also affected by the settlement between the Adviser and the NYAG. As a result, the Portfolio has the same breakpoints in its advisory fee schedule as the AVPS portfolio.

 

8 Class A shares of the Luxembourg funds are charged an “all-in” fee, which covers investment advisory and distribution-related services.

 

9 It should be noted that Lipper does not consider average account size when constructing EGs. Funds with relatively small average account sizes tend to have higher transfer agent expense ratios than comparable sized funds that have relatively large average account sizes. Note that there are limitations on Lipper expense category data because different funds categorize expenses differently.

 

10 The contractual management fee is calculated by Lipper using the Portfolio’s contractual management fee rate at a hypothetical asset level. The hypothetical asset level is based on the combined net assets of all classes of the Portfolio, rounded up to the next $25 million. Lipper’s total expense ratio information is based on the most recent annual report except as otherwise noted. A ranking of “1” would mean that the Portfolio had the lowest effective fee rate in the Lipper peer group.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   47

 

Lipper describes an EG as a representative sample of comparable funds and a Lipper Expense Universe (“EU”) as a broader group, consisting of all funds in the same investment classification/objective with a similar load type as the subject Portfolio.

 

Portfolio   Contractual
Management
Fee11		  

Lipper

Group

Median

   Rank
U.S. Large Cap Portfolio   0.650   0.750   3/19

Lipper also analyzed the total expense ratio of the Portfolio in comparison to its EG12 and EU.13 It should be noted that the Portfolio’s total expense ratio is inclusive of the Portfolio’s underlying expenses. The result of that analysis is set forth below:

 

Portfolio  

Expense

Ratio
(%)14

  

Lipper

Group

Median
(%)

  

Lipper

Group

Rank

  

Lipper

Universe

Median
(%)

  

Lipper
Universe

Rank

U.S. Large Cap Portfolio   1.330   1.275   13/19   1.243   84/121

Based on this analysis, the Portfolio has a more favorable ranking on a management fee basis than on a total expense ratio basis.

 

III. COSTS TO THE ADVISER AND ITS AFFILIATES OF SUPPLYING SERVICES PURSUANT TO THE ADVISORY FEE ARRANGEMENT, EXCLUDING ANY INTRA-CORPORATE PROFIT.

The Adviser utilizes two profitability reporting systems, which operate independently but are aligned with each other, to estimate the Adviser’s profitability in connection with investment advisory services provided to the Portfolio. The Senior Officer has retained a consultant to provide independent advice regarding the alignment of the two profitability systems as well as the methodologies and allocations utilized by both profitability systems. See Section IV for additional discussion.

 

11 The contractual management fee would not reflect any expense reimbursements made by the Portfolio to the Adviser for certain clerical, legal, accounting, administrative and other services. As previously mentioned, during the most recently completed fiscal year, the Adviser waived a portion of these payments. In addition, the contractual management fee would not reflect any advisory fee waivers or expense reimbursements made by the Adviser to the Portfolio for expense caps that would effectively reduce the actual management fee, although for the most recently completed fiscal year the Portfolio was operating below its expense cap.
12 Lipper uses the following criteria in screening funds to be included in the Portfolio’s expense group: fund type, investment classification/objective, load type and similar 12b-1/non-12b-1 service fees, asset (size) comparability, and expense components and attributes. A Lipper Expense Group will typically consist of seven to twenty funds.
13 Except for asset (size) comparability and load type, Lipper uses the same criteria for selecting a Lipper Expense Group when selecting a Lipper Expense Universe. Unlike the Lipper Expense Group, the Lipper Expense Universe allows for the same adviser to be represented by more than just one fund.
14 Most recently completed fiscal year Class A share total expense ratio.

 

48   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

IV. PROFIT MARGINS OF THE ADVISER AND ITS AFFILIATES FOR SUPPLYING SUCH SERVICES.

The Portfolio’s profitability information, prepared by the Adviser for the Board of Directors, was reviewed by the Senior Officer and the consultant. The Adviser’s profitability percentage from providing investment advisory services to the Portfolio decreased during calendar year 2007 versus 2006.

In addition to the Adviser’s direct profits from managing the Portfolio, certain of the Adviser’s affiliates have business relationships with the Portfolio and may earn a profit from providing other services to the Portfolio. The courts have referred to this type of business opportunity as “fall-out benefits” to the Adviser and indicated that such benefits should be factored into the evaluation of the total relationship between the Portfolio and the Adviser. Neither case law nor common business practice precludes the Adviser’s affiliates from earning a reasonable profit on this type of relationship provided the affiliates’ charges and services are competitive. These affiliates provide transfer agent, distribution and brokerage related services to the Portfolio and/or Pooling Portfolios and receive transfer agent fees, Rule 12b-1 payments, front-end sales loads, contingent deferred sales charges (“CDSC”), and brokerage commissions. In addition, the Adviser benefits from soft dollar arrangements which offset research expenses the Adviser would otherwise incur.

AllianceBernstein Investments, Inc. (“ABI”), an affiliate of the Adviser, is the Portfolio’s principal underwriter. ABI and the Adviser have disclosed in the Portfolio’s prospectus that they may make revenue sharing payments from their own resources, in addition to resources derived from sales loads and Rule 12b-1 fees, to firms that sell shares of the Portfolio. In 2007, ABI paid approximately 0.04% of the average monthly assets of the AllianceBernstein Mutual Funds or approximately $24 million for distribution services and educational support (revenue sharing payments). For 2008, it is anticipated, ABI will pay approximately 0.04% of the average monthly assets of the AllianceBernstein Mutual Funds or approximately $28 million.15 During the Portfolio’s most recently completed fiscal year, ABI received from the Portfolio $4,651, $976,818 and $60,663 in front-end sales charges, Rule 12b-1 and CDSC fees, respectively.

Fees and reimbursements for out of pocket expenses charged by AllianceBernstein Investor Services, Inc. (“ABIS”), the affiliated transfer agent for the Portfolio, are charged on a per account basis, based on the level of service provided and the class of share held by the account. ABIS also receives a fee per shareholder sub-account for each account maintained by an intermediary on an omnibus basis. ABIS’ after-tax profitability decreased in 2007 in comparison to 2006.

 

15 ABI currently inserts the “Advance” in quarterly account statements and pays the incremental costs associated with the mailing. The incremental cost is less than what an “independent mailing” would cost.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   49

 

During the Portfolio’s most recently completed fiscal year, ABIS received $115,569 in fees from the Portfolio.16

There are no portfolio transactions for the Portfolio since the Portfolio pursues its investment objectives through investing in a combination of the Pooling Portfolios. However, the Pooling Portfolios do engage in portfolio transactions. During the most recently completed fiscal year, none of the Pooling Portfolios effected brokerage transactions through and paid commissions to the Adviser’s affiliate, Sanford C. Bernstein & Co., LLC (“SCB & Co.”) and/or its U.K. affiliate, Sanford C. Bernstein Limited (“SCB Ltd.”), collectively “SCB”. The Pooling Portfolios may in the future effect brokerage transactions through SCB and pay commissions for such transactions. The Adviser also receives certain soft dollar benefits from brokers that execute agency trades for the Pooling Portfolios and other clients. These soft dollar benefits reduce the Adviser’s research expenses and increase its profitability.

 

V. POSSIBLE ECONOMIES OF SCALE

The Adviser has indicated that economies of scale are being shared with shareholders through fee structures,17 subsidies and enhancement to services. Based on some of the professional literature that has considered economies of scale in the mutual fund industry, it is thought that to the extent economies of scale exist, they may more often exist across a fund family as opposed to a specific fund. This is because the costs incurred by the Adviser, such as investment research or technology for trading or compliance systems can be spread across a greater asset base as the fund family increases in size. It is also possible that as the level of services required to operate a successful investment company has increased over time, and advisory firms make such investments in their business to provide services there may be a sharing of economies of scale without a reduction in advisory fees.

An independent consultant, retained by the Senior Officer, provided the Board of Directors an update of the Deli18 study on advisory fees and various fund characteristics. The independent consultant first reiterated the results of his previous two dimensional comparison analysis (fund size and family size) with the Board of Directors. In this regard, it was noted that the advisory fees of the AllianceBernstein Mutual Funds were generally within the 25th – 75th percentile

 

16 The fees disclosed are net of any expense offsets with ABIS. An expense offset is created by the interest earned on the positive cash balance that occurs within the transfer agent account as there is a one day lag with regards to money movement from the shareholder’s account to the transfer agent’s account and then the transfer agent’s account to the Portfolio’s account. During the Portfolio’s most recently completed fiscal year, the fees paid by the Portfolio to ABIS were reduced by $8,607 under the offset agreement between the Portfolio and ABIS.

 

17 Fee structures include fee reductions, pricing at scale and breakpoints in advisory fee schedules.

 

18 The Deli study was originally published in 2002 based on 1997 data.

 

50   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

range of their comparable peers.19 The independent consultant then discussed the results of the regression model that was utilized to study the effects of various factors on advisory fees. The regression model output indicated that the bulk of the variation in fees predicted were explained by various factors, but substantially by fund assets under management (“AUM”), family AUM, index fund indicator and investment style. The independent consultant observed that the actual advisory fees of the AllianceBernstein Mutual Funds were generally lower than the fees predicted by the study’s regression model.

The independent consultant also compared the advisory fees of the AllianceBernstein Mutual Funds to similar funds managed by 19 other large asset managers, regardless of the fund size and each Adviser’s proportion of mutual fund assets to non-mutual fund assets. The independent consultant observed that the advisory fees of the AllianceBernstein Mutual Funds were generally in line with their peers.

 

VI. NATURE AND QUALITY OF THE ADVISER’S SERVICES, INCLUDING THE PERFORMANCE OF THE PORTFOLIO

With assets under management of approximately $717 billion as of June 30, 2008, the Adviser has the investment experience to manage and provide non-investment services (described in Section I) to the Portfolio.

The information in the table below, prepared by Lipper, shows the 1, 3, and 5 year net performance returns and rankings of the Portfolio20 relative to its Lipper Performance Group (“PG”) and Lipper Performance Universe (“PU”) 21 for the periods ended April 30, 2008.22

 

U.S. Large Cap
Portfolio		  

Portfolio

Return

   PG Median   PU Median   PG Rank   PU Rank

1 year

   -6.73   1.54   1.64   19/19   130/133

3 year

     7.62   8.36   8.78   14/19   86/120

5 year

     8.19   8.65   9.20   11/18   70/108

 

19 The two dimensional analysis also showed patterns of lower advisory fees for funds with larger asset sizes and funds from larger family sizes compared to funds with smaller asset sizes and funds from smaller family sizes, which according to the independent consultant is indicative of a sharing of economies of scale and scope. However, in less liquid and active markets, such is not the case, as the empirical analysis showed potential for diseconomies of scale in those markets. The empirical analysis also showed diminishing economies of scale and scope as funds surpassed a certain high level of assets.
20 The performance rankings are for the Class A shares of the Portfolio. It should be noted that the performance returns of the Portfolio shown were provided by the Adviser. Lipper maintains its own database that includes the Portfolio’s performance returns. Rounding differences may cause the Adviser’s Portfolio returns to be one or two basis points different from Lipper’s own Portfolio returns. To maintain consistency, the performance returns of the Portfolio, as reported by the Adviser, are provided instead of Lipper.
21 The Portfolio’s PG is identical to the Portfolio’s EG. The Portfolio’s PU is not identical to the Portfolio’s EU as the criteria for including or excluding a fund in/from a PU is somewhat different than that of an EU.
22 Note that the current Lipper investment classification/objective dictates the PG and PU throughout the life of the fund even if a fund had a different investment classification/objective at a different point in time.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   51

 

Set forth below are the 1, 3 and 5 year and since inception performance returns of the Portfolio (in bold)23 versus its benchmark.

 

     Periods Ending April 30, 2008
Annualized Net Performance (%)
     1 Year
(%)		  

3 Year

(%)

  

5 Year

(%)

  

Since
Inception

(%)24

U.S. Large Cap Portfolio   -6.73   7.62   8.19   7.41
S&P 500 Stock Index   -4.68   8.23   10.62   9.32
Inception Date: July 15, 2002      

CONCLUSION:

Based on the factors discussed above the Senior Officer’s conclusion is that the proposed advisory fee for the Portfolio is reasonable and within the range of what would have been negotiated at arm’s-length in light of all the surrounding circumstances. This conclusion in respect of the Portfolio is based on an evaluation of all of these factors and no single factor was dispositive.

Dated: September 3, 2008

 

23 The performance returns are for the Class A shares of the Portfolio.

 

24 The Adviser provided Portfolio and benchmark performance return information for periods through April 30, 2008.

 

52   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

THIS PAGE IS NOT PART OF THE SHAREHOLDER REPORT OR THE FINANCIAL STATEMENTS

ALLIANCEBERNSTEIN FAMILY OF FUNDS

 

Wealth Strategies Funds

Balanced Wealth Strategy

Wealth Appreciation Strategy

Wealth Preservation Strategy

Tax-Managed Balanced Wealth Strategy

Tax-Managed Wealth Appreciation Strategy

Tax-Managed Wealth Preservation Strategy

Blended Style Funds

U.S. Large Cap Portfolio

International Portfolio

Tax-Managed International Portfolio

Growth Funds

Domestic

Growth Fund

Large Cap Growth Fund

Small Cap Growth Portfolio

Small/Mid Cap Growth Fund*

Global & International

Global Growth Fund*

Global Thematic Growth Fund*

Greater China ‘97 Fund

International Growth Fund

Value Funds

Domestic

Balanced Shares

Focused Growth & Income Fund

Growth & Income Fund

Small/Mid Cap Value Fund

Utility Income Fund

Value Fund

Global & International

Global Real Estate Investment Fund

Global Value Fund

International Value Fund

 

Taxable Bond Funds

Diversified Yield Fund

Global Bond Fund

High Income Fund

Intermediate Bond Portfolio

Short Duration Portfolio

Municipal Bond Funds

 

National
National II*
Arizona
California
Florida
Massachusetts
Michigan

   

Minnesota
New Jersey
New York
Ohio
Pennsylvania
Virginia

Intermediate Municipal Bond Funds

Intermediate California

Intermediate Diversified

Intermediate New York

Closed-End Funds

AllianceBernstein Global High Income Fund

AllianceBernstein Income Fund

AllianceBernstein National Municipal Income Fund

ACM Managed Dollar Income Fund

Alliance California Municipal Income Fund

Alliance New York Municipal Income Fund

The Spain Fund


Retirement Strategies Funds

 

2000 Retirement Strategy

  

2020 Retirement Strategy

  

2040 Retirement Strategy

2005 Retirement Strategy

  

2025 Retirement Strategy

  

2045 Retirement Strategy

2010 Retirement Strategy

  

2030 Retirement Strategy

  

2050 Retirement Strategy

2015 Retirement Strategy

  

2035 Retirement Strategy

  

2055 Retirement Strategy

We also offer Exchange Reserves,** which serves as the money market fund exchange vehicle for the AllianceBernstein mutual funds.

You should consider the investment objectives, risks, charges and expenses of any AllianceBernstein fund/portfolio carefully before investing. For free copies of our prospectuses, which contain this and other information, visit us online at www.alliancebernstein.com or contact your financial advisor. Please read the prospectus carefully before investing.

 

*   Prior to November 3, 2008, Small/Mid Cap Growth Fund was named Mid-Cap Growth Fund, Global Growth Fund was named Global Research Growth Fund, and Global Thematic Growth Fund was named Global Technology Fund. Prior to December 1, 2008, National II was named Insured National.

 

** An investment in the Fund is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   53

 

AllianceBernstein Family of Funds

NOTES

 

54   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

NOTES

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO  •   55

NOTES

 

56   •  ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

 

ALLIANCEBERNSTEIN BLENDED STYLE FUNDS U.S. LARGE CAP PORTFOLIO

1345 Avenue of the Americas

New York, NY 10105

800.221.5672

LOGO

 

 

LCB-0152-0209   LOGO

ITEM 2. CODE OF ETHICS.

Not applicable when filing a semi-annual report to shareholders.

 

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

Not applicable when filing a semi-annual report to shareholders.

 

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Not applicable when filing a semi-annual report to shareholders.

 

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable to the registrant.

 

ITEM 6. SCHEDULE OF INVESTMENTS.

Please see Schedule of Investments contained in the Report to Shareholders included under Item 1 of this Form N-CSR

 

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to the registrant.

 

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to the registrant.

 

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable to the registrant.

 

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no material changes to the procedures by which shareholders may recommend nominees to the Fund’s Board of Directors since the Fund last provided disclosure in response to this item.

 

ITEM 11. CONTROLS AND PROCEDURES.

(a) The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-2(c) under the Investment Company Act of 1940, as amended) are effective at the reasonable assurance level based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b) There were no changes in the registrant’s internal controls over financial reporting that occurred during the second fiscal quarter of the period that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

ITEM 12. EXHIBITS.

The following exhibits are attached to this Form N-CSR:

 

EXHIBIT NO.

   

DESCRIPTION OF EXHIBIT

12 (b) (1)

    Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

12 (b) (2)

    Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

12 (c)

    Certification of Principal Executive Officer and Principal Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant): AllianceBernstein Blended Style Series, Inc

 

By:   /s/ Robert M. Keith
 

Robert M. Keith

President

Date:   April 24, 2009

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By:   /s/ Robert M. Keith
 

Robert M. Keith

President

Date:   April 24, 2009

 

By:   /s/ Joseph J. Mantineo
 

Joseph J. Mantineo

Treasurer and Chief Financial Officer

Date:   April 24, 2009