0000817841-01-500016.txt : 20011008 0000817841-01-500016.hdr.sgml : 20011008 ACCESSION NUMBER: 0000817841-01-500016 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20010630 FILED AS OF DATE: 20010920 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SELIGMAN PORTFOLIOS INC/NY CENTRAL INDEX KEY: 0000817841 STANDARD INDUSTRIAL CLASSIFICATION: [] FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-05221 FILM NUMBER: 1740864 BUSINESS ADDRESS: STREET 1: 100 PARK AVENUE STREET 2: 7TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10017 BUSINESS PHONE: 2124880200 MAIL ADDRESS: STREET 1: 100 PARK AVENUE STREET 2: 7TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10017 FORMER COMPANY: FORMER CONFORMED NAME: SELIGMAN MUTUAL BENEFIT PORTFOLIOS INC DATE OF NAME CHANGE: 19920703 N-30D 1 spi063001.txt SPI N-30D 6/30/01 SELIGMAN -------------------------- Portfolios, Inc. Mid-Year Report June 30, 2001 -------------------- J. & W. SELIGMAN & CO. INCORPORATED ESTABLISHED 1864 -------------------------------------- SELIGMAN PORTFOLIOS, INC. -------------------------------------- August 17, 2001 Dear Contract Owner: J. & W. Seligman & Co. Incorporated, the Manager of Seligman Portfolios, Inc., is pleased to provide the enclosed report for the six months ended June 30, 2001. Performance and portfolio information, as well as financial statements, are contained in the pages following this letter. The first half of 2001 was difficult for most segments of the stock market, as the US economy continued to slow appreciably and, in general, companies' earnings fell short of their targets. The current slowdown has been characterized by a dramatic decrease in both capital expenditures and industrial production, weak corporate earnings, and rising unemployment. Consumer spending and the housing market have remained strong, however, and these factors have been crucial in helping the economy avoid a recession. Technology companies in particular are struggling with overcapacity. During the technology boom of the late 1990's, many technology companies took advantage of readily available capital to build capacity, creating a glut that is now hurting profits. Many companies spent lavishly in recent years to build technology infrastructure, and now are holding back before committing new capital. For the most part, industrial companies are in a better position than technology companies, but their profits have been hurt as well by a strong dollar and weak demand from abroad. The Federal Reserve Board has responded aggressively to these circumstances, lowering interest rates six times during the first six months of 2001, for a total of 275 basis points. The Fed hopes that monetary easing will encourage increased business investment and stimulate growth. The Fed has indicated that it considers near-term economic weakness to be more of a threat than inflation. In fact, inflationary forces have remained benign, giving the Fed flexibility to cut rates again later in the year. Looking ahead, we anticipate that the economy will respond favorably to the Fed's series of interest rate cuts. Economic response to changes in monetary policy typically has a lag time of six to nine months; therefore, the economy should begin to respond to this stimulus. Consumer spending could receive an additional boost from the federal tax rebate, as well as from lower energy prices. Corporate earnings may well have bottomed out, and profits could begin to recover as early as the end of 2001, but more likely in 2002. Improved profits should translate into both more spending by businesses and more positive sentiment toward the stock market. We are optimistic that the stage has been set for a return to a healthy level of economic growth. As the market volatility of recent years has shown us, it is important to take a long-term view of investing. Thank you for your continued support of Seligman Portfolios, Inc. We look forward to serving your investment needs for many years to come. Respectfully, /s/ William C. Morris William C. Morris Chairman J. & W. Seligman & Co. Incorporated SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- PORTFOLIO OVERVIEW (unaudited) -------------------------------------------------------------------------------- LARGEST PORTFOLIO CHANGES+ DURING THE SIX MONTHS ENDED JUNE 30, 2001 SELIGMAN BOND PORTFOLIO TEN LARGEST PURCHASES FHLMC 5-1/4%, 12/20/2004* FNMA 6-1/4%, 6/15/2006* US Treasury Bonds 6-1/4%, 8/15/2023 Heller Financial 8%, 6/15/2005* FHLMC 5%, 5/15/2004* General Motors Acceptance 6-3/4%, 1/15/2006* National Rural Utilities 6%, 5/15/2006* FNMA 6-1/2%, 8/15/2024* Keyspan 7-1/4%, 11/15/2005* FNMA 6%, 9/1/2028* TEN LARGEST SALES US Treasury Notes 6-5/8%, 3/31/2002** US Treasury Notes 6-5/8%, 5/15/2007** US Treasury Notes 6-1/4%, 6/30/2002** Household Finance 7-/8%, 3/1/2007** FHLMC 6.30%, 6/1/2004** Guidant 6.15%, 2/15/2006** Cardinal Health 6-1/4%, 7/15/2008** FHLMC 5-1/8%, 10/15/2008** Boston Scientific 6-5/8%, 3/15/2005** Dominion Resources 7-5/8%, 7/15/2005** -------------------------------------------------------------------------------- SELIGMAN CAPITAL PORTFOLIO TEN LARGEST PURCHASES Smithfield Foods* Jones Apparel Group* Starwood Hotels & Resorts Worldwide* Mattel* Venator Group* Thermo Electron* Micrel* Fluor* Microchip Technology* Abercrombie & Fitch (Class A)* TEN LARGEST SALES Watson Pharmaceuticals** Citrix Systems** ACE** SunGard Data Systems** XL Capital (Class A)** Reader's Digest Association (Class A)** Broadwing** Newport News Shipbuilding** ALLTEL** Concord EFS** -------------------------------------------------------------------------------- SELIGMAN COMMON STOCK PORTFOLIO TEN LARGEST PURCHASES Xilinx* Adelphia Communications (Class A)* Palm* Kraft Foods (Class A)* Limited (The)* Agere Systems (Class A)* Citrix Systems* Dynegy (Class A)* Bristol-Myers Squibb* Nortel Networks* TEN LARGEST SALES American General** Applied Materials** Williams Companies (The)** Bank of New York Merck** Guidant** Electronic Data Systems General Electric Gillette** Vitesse Semiconductor** ------------------ See footnotes on page P-8. -- P-1 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- PORTFOLIO OVERVIEW (unaudited) (continued) -------------------------------------------------------------------------------- LARGEST PORTFOLIO CHANGES+ DURING THE SIX MONTHS ENDED JUNE 30, 2001 SELIGMAN COMMUNICATIONS AND INFORMATION PORTFOLIO TEN LARGEST PURCHASES Microsoft Lexmark International (Class A) Computer Associates International Cadence Design Systems* Polycom* Sabre Holdings (Class A)* Advanced Micro Devices American Power Conversion* DuPont Photomasks* Lamar Advertising (Class A) TEN LARGEST SALES Novellus Systems Clear Channel Communications First Data** Maxim Integrated Products KLA-Tencor** Comcast (Class A)** Cypress Semiconductor** Charter Communications (Class A)** Cisco Systems Compaq Computer** -------------------------------------------------------------------------------- SELIGMAN FRONTIER PORTFOLIO TEN LARGEST PURCHASES Orion Power Holdings* Oakley* Cooper Cameron* Iron Mountain* Universal Health Services (Class B) Trigon Healthcare* Pacific Sunwear of California* SkyWest Atlantic Coast Airlines Holdings* Genesco* TEN LARGEST SALES Powertel** Barr Laboratories** Advent Software SunGard Data Systems** Western Wireless (Class A) King Pharmaceuticals** Internet Security Systems Charter Communications (Class A)** Career Education Documentum** -------------------------------------------------------------------------------- SELIGMAN GLOBAL GROWTH PORTFOLIO TEN LARGEST PURCHASES Comcast (Class A)* Honda Motor* Intel* Royal Bank of Scotland Group* MedImmune* Texas Instruments* Orange* Medtronic* Starwood Hotels & Resorts Worldwide* Jones Apparel Group* TEN LARGEST SALES AT&T** Watson Pharmaceuticals** Vodafone Group** SBC Communications** Analog Devices** Credit Suisse Group** Nokia** Total Fina** Akzo Nobel** Guidant** ------------------- See footnotes on page P-8. -- P-2 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- DIVERSIFICATION OF NET ASSETS*** JUNE 30, 2001 SELIGMAN GLOBAL GROWTH PORTFOLIO
PERCENT OF NET ASSETS ------------------------ JUNE 30, DECEMBER 31, ISSUES COST VALUE 2001 2000 ------ ---------- ---------- -------- ----------- COMMON AND PREFERRED STOCKS Automotive and Related ........................... 2 $ 167,803 $ 183,563 2.9% 1.9% Business Goods and Services ...................... -- -- -- -- 1.0 Computer and Technology Related .................. 4 356,303 308,745 4.9 7.9 Consumer Goods and Services ...................... 13 963,358 959,106 15.3 6.9 Consumer Staples ................................. -- -- -- -- 2.0 Diversified ...................................... 5 210,277 241,153 3.9 2.2 Drugs and Health Care ............................ 11 671,601 779,045 12.4 8.5 Electronics ...................................... 8 499,094 478,854 7.6 6.3 Entertainment and Leisure ........................ 1 32,918 27,375 0.4 -- Financial Services ............................... 19 1,154,966 1,111,413 17.8 14.3 Information Services ............................. 2 211,066 213,632 3.4 -- Leisure and Hotels ............................... 1 90,552 89,472 1.4 -- Manufacturing and Industrial Equipment ........... 4 223,611 204,928 3.3 4.2 Media ............................................ 4 269,316 259,859 4.2 3.1 Medical Products and Technology .................. 2 184,817 184,503 2.9 5.5 Resources ........................................ 3 55,659 59,257 0.9 1.4 Retailing ........................................ 4 219,568 222,457 3.6 3.9 Schools .......................................... 1 22,476 21,947 0.4 -- Telecommunications ............................... 6 349,128 298,249 4.8 19.6 Tobacco .......................................... -- -- -- -- 1.4 Transportation ................................... 1 43,871 45,266 0.7 1.8 Utilities ........................................ 1 46,547 40,965 0.7 1.3 --- ---------- ---------- ----- ----- 92 5,772,931 5,729,789 91.5 93.2 Other Assets Less Liabilities .................... -- 530,773 530,773 8.5 6.8 --- ---------- ---------- ----- ----- NET ASSETS ....................................... 92 $6,303,704 $6,260,562 100.0% 100.0% === ========== ========== ===== =====
LARGEST PORTFOLIO CHANGES+ DURING THE SIX MONTHS ENDED JUNE 30, 2001 SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO TEN LARGEST PURCHASES Orion Power Holdings* Informa Group* Parthus Technologies* Medion* Fitness First* Compania de Distribucion Integral Logista* Guardian IT* Pinguely Haulotte* Aldeasa* Omega Pharma* TEN LARGEST SALES Powertel** Selecta Group** SEZ Holding** Barr Laboratories** SunGard Data Systems** Western Wireless (Class A) Advent Software BERU Tecis Holding King Pharmaceuticals** ----------------- See footnotes on page P-8. -- P-3 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- PORTFOLIO OVERVIEW (unaudited) (continued) -------------------------------------------------------------------------------- DIVERSIFICATION OF NET ASSETS*** JUNE 30, 2001 SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO
PERCENT OF NET ASSETS ------------------------ JUNE 30, DECEMBER 31, ISSUES COST VALUE 2001 2000 ------ ---------- ---------- -------- ----------- COMMON STOCKS Advertising ...................................... -- -- -- -- 0.2% Automotive Parts Manufacturing ................... 1 $ 62,043 $ 115,931 1.0% 1.6 Business Services ................................ 14 869,791 880,211 7.3 3.9 Chemicals ........................................ 2 129,379 79,961 0.7 0.5 Computer Software ................................ 18 932,701 992,943 8.2 13.1 Construction and Property ........................ 5 355,327 495,140 4.1 4.4 Consulting Services .............................. 6 196,721 190,190 1.6 2.1 Consumer Goods and Services ...................... 22 742,602 862,755 7.1 3.2 Distribution ..................................... 1 25,512 24,344 0.2 0.1 Diversified ...................................... 1 19,073 24,003 0.2 -- Drugs and Health Care ............................ 23 1,325,113 1,466,573 12.1 12.0 Electrical Distribution .......................... 1 47,169 44,750 0.4 0.7 Electronics ...................................... 20 643,837 469,650 3.9 2.2 Environmental Management ......................... 1 113,014 194,400 1.6 -- Financial Services ............................... 22 730,897 914,352 7.5 6.2 Industrial Goods and Services .................... 8 387,333 391,797 3.2 4.6 Internet/Online .................................. -- -- -- -- 0.3 Leisure and Hotels ............................... 6 329,297 311,733 2.6 2.2 Manufacturing .................................... 11 354,806 343,377 2.8 3.9 Media ............................................ 7 364,907 380,734 3.1 2.8 Medical Products and Technology .................. 8 285,536 341,036 2.8 2.7 Paper and Printing ............................... -- -- -- -- 0.4 Resources ........................................ 8 296,820 266,309 2.2 2.0 Restaurants ...................................... 1 43,795 16,362 0.1 2.1 Retailing ........................................ 12 636,605 628,177 5.2 4.0 Schools .......................................... 3 137,618 236,418 1.9 1.1 Technology ....................................... 1 31,294 115,719 0.9 1.8 Telecommunications ............................... 14 1,136,162 978,024 8.1 11.2 Transportation ................................... 10 269,982 348,381 2.9 2.3 Utilities ........................................ 2 210,662 187,740 1.5 0.4 --- ----------- ----------- ----- ----- 228 10,677,996 11,301,010 93.2 92.0 Other Assets Less Liabilities .................... -- 821,621 821,621 6.8 8.0 --- ----------- ----------- ----- ----- NET ASSETS ....................................... 228 $11,499,617 $12,122,631 100.0% 100.0% === =========== =========== ===== ===== -------------------- See footnotes on page P-8.
-- P-4 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- SELIGMAN GLOBAL TECHNOLOGY PORTFOLIO LARGEST PORTFOLIO CHANGES+ DURING THE SIX MONTHS ENDED JUNE 30, 2001 TEN LARGEST PURCHASES Advanced Micro Devices* Murata Manufacturing Korea Telecom (ADRs)* Omron* Polycom* Autodesk Symantec Atos Origin* CSG Systems International Asustek Computer* TEN LARGEST SALES Altran Technologies GN Store Nord** Vestas Wind Systems** Spirent Koninklijke (Royal) Philips Electronics** Aixtron** Nokia** Dimension Data Holdings** Logica** First Data** -------------------------------------------------------------------------------- DIVERSIFICATION OF NET ASSETS*** JUNE 30, 2001
PERCENT OF NET ASSETS ------------------------ JUNE 30, DECEMBER 31, ISSUES COST VALUE 2001 2000 ------ ---------- ---------- -------- ----------- COMMON STOCKS Communications Infrastructure .................... 6 $ 1,516,970 $1,359,236 5.6% 0.4% Computer and Business Services ................... 2 300,890 247,558 1.0 -- Computer and Technology Related .................. -- -- -- -- 2.9 Computer Hardware/Peripherals .................... 4 1,586,371 1,454,015 6.0 2.9 Computer Software ................................ 16 4,856,134 4,480,696 18.7 11.7 Electronic Components ............................ 1 218,141 147,200 0.6 5.9 Electronic Manufacturing Services ................ 11 2,735,711 2,355,577 9.8 1.9 Electronics ...................................... 10 2,967,558 2,402,858 10.0 6.3 Electronics Capital Equipment .................... 10 2,837,824 2,607,142 10.8 11.9 Information Services ............................. 9 2,994,683 3,141,480 13.0 16.6 Semiconductors ................................... 10 2,802,212 2,855,930 11.9 7.6 Telecommunications ............................... 3 495,493 437,726 1.8 15.8 Wire and Cable Products .......................... -- -- -- -- 1.1 --- ----------- ----------- ----- ----- 82 23,311,987 21,489,418 89.2 85.0 Other Assets Less Liabilities .................... - 2,604,677 2,604,677 10.8 15.0 --- ----------- ----------- ----- ----- NET ASSETS ....................................... 82 $25,916,664 $24,094,095 100.0% 100.0% === =========== =========== ===== ===== -------------------- See footnotes on page P-8.
-- P-5 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- PORTFOLIO OVERVIEW (unaudited) (continued) -------------------------------------------------------------------------------- LARGEST PORTFOLIO CHANGES+ DURING THE SIX MONTHS ENDED JUNE 30, 2001 SELIGMAN HIGH-YIELD BOND PORTFOLIO TEN LARGEST PURCHASES Pegasus Satellite 12-3/8%, 8/1/2006* Quebecor Media 11-1/8%, 7/15/2011* Ameristar Casinos 10-3/4%, 2/15/2009* Charter Communications Holdings 11-1/8%, 1/15/2011* SpectraSite Holdings 12-1/2%, 11/15/2010* Pinnacle Holdings 10%, 3/15/2008* Adelphia Communications 10-1/4%, 6/15/2011* Nextel Communications 9-3/8%, 11/15/2009* Price Communications Wireless 11-3/4%, 7/15/2007 Echostar DBS 9-3/8%, 2/1/2009 TEN LARGEST SALES Golden Sky Systems 12-3/8%, 8/1/2006** Price Communications** Clear Channel Communications** Exodus Communications 11-5/8%, 7/15/2010** Global Crossing Holding 9-1/2%, 11/15/2009 Broadwing Communications 12-1/2% Pierce Leahy 11-1/8%, 7/15/2006** Lamar Media 8-5/8%, 9/15/2007** Everest Healthcare Services 9-3/4%, 5/1/2008** Exodus Communications 11-1/4%, 7/1/2008 -------------------------------------------------------------------------------- SELIGMAN INCOME PORTFOLIO TEN LARGEST PURCHASES NVIDIA 4-3/4%, 10/15/2007* Conexant Systems 4%, 2/1/2007* Cypress Semiconductor 4%, 2/1/2005* LSI Logic 4%, 2/15/2005* Amkor Technology 5%, 3/15/2007* US Treasury Notes 6-1/2%, 10/15/2006* Xilinx* Adelphia Communications (Class A)* Palm* Limited (The)* TEN LARGEST SALES American General** GNMA 6%, 12/20/2028** GNMA 6-1/2%, 12/15/2028** FHLMC 5-1/2%, 7/1/2013** Applied Materials** PP&L Transition 6.83%, 3/25/2007** Staples 7-1/8%, 8/15/2007** Lyondell Chemical 9-5/8%, 5/1/2007 FHLMC 6%, 11/1/2010** Exelon** -------------------------------------------------------------------------------- SELIGMAN INTERNATIONAL GROWTH PORTFOLIO TEN LARGEST PURCHASES BP (ADRs)* Honda Motor* Orange* Castorama Dubois Investissements* Nomura Securities Royal Dutch Petroleum* GlaxoSmithKline Mediolanum* Sanofi-Synthelabo* Banco Bilbao Vizcaya Argentaria* TEN LARGEST SALES Vodafone Group** Akzo Nobel** Munich Re** HSBC Holdings Deutsche Telekom** Nokia** Telecom Italia** Novartis** Telefonos de Mexico SA** CardGuard Scientific Survival** ------------------ See footnotes on page P-8. -- P-6 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- DIVERSIFICATION OF NET ASSETS*** JUNE 30, 2001 SELIGMAN INTERNATIONAL GROWTH PORTFOLIO
PERCENT OF NET ASSETS ------------------------ JUNE 30, DECEMBER 31, ISSUES COST VALUE 2001 2000 ------ ---------- ---------- -------- ----------- COMMON AND PREFERRED STOCKS Automotive and Related ........................... 2 $ 223,738 $ 244,750 4.3% 1.5% Business Services ................................ -- -- -- -- 1.2 Chemicals ........................................ -- -- -- -- 1.7 Computer and Technology Related .................. 2 158,608 134,577 2.3 1.5 Consumer Products ................................ 10 781,662 792,276 13.8 10.0 Diversified ...................................... 4 195,378 174,901 3.0 -- Drugs and Health Care ............................ 7 550,088 584,860 10.2 3.6 Electronics ...................................... 5 303,627 280,365 4.9 5.1 Entertainment and Leisure ........................ 1 49,377 41,063 0.7 -- Financial Services ............................... 19 1,389,655 1,355,713 23.6 20.8 Health and Household ............................. -- -- -- -- 5.9 Information Services ............................. 1 59,007 44,576 0.8 -- Manufacturing .................................... 4 289,357 274,681 4.8 3.9 Media ............................................ 3 202,159 192,288 3.3 3.5 Medical Products and Technology .................. 1 126,440 115,870 2.0 2.5 Power Generation Equipment ....................... 1 67,592 69,139 1.2 1.9 Publishing ....................................... -- -- -- -- 1.1 Resources ........................................ 7 522,535 498,754 8.7 2.6 Retail ........................................... 3 230,859 229,142 4.0 5.7 Schools .......................................... 1 32,109 31,353 0.5 -- Telecommunications ............................... 5 361,745 274,609 4.8 18.8 Transportation ................................... 1 61,534 63,483 1.1 3.2 Utilities ........................................ 2 164,433 152,988 2.7 3.7 --- ---------- ---------- ----- ----- 79 5,769,903 5,555,388 96.7 98.2 Other Assets Less Liabilities .................... -- 191,330 191,330 3.3 1.8 --- ---------- ---------- ----- ----- NET ASSETS ....................................... 79 $5,961,233 $5,746,718 100.0% 100.0% === ========== ========== ===== ===== --------------- See footnotes on page P-8.
-- P-7 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- PORTFOLIO OVERVIEW (unaudited) (continued) -------------------------------------------------------------------------------- LARGEST PORTFOLIO CHANGES+ DURING THE SIX MONTHS ENDED JUNE 30, 2001 SELIGMAN LARGE-CAP GROWTH PORTFOLIO TEN LARGEST PURCHASES Starwood Hotels & Resorts Worldwide* Sony (ADRs)* Nike (Class B)* Microchip Technology* Home Depot* Nokia (ADRs)* Merck* Medtronic Global Crossing* American Home Products* TEN LARGEST SALES Oracle** Guidant** American International Group** Tyco International AT&T** General Dynamics** Procter & Gamble** SBC Communications** McKesson HBOC** BEA Systems** -------------------------------------------------------------------------------- SELIGMAN LARGE-CAP VALUE PORTFOLIO TEN LARGEST PURCHASES Boeing* Bristol-Myers Squibb* Praxair* Costco Wholesale FleetBoston Financial* Kimberly-Clark International Paper Safeway Qwest Communications International Radio Shack TEN LARGEST SALES Dial** Conagra** Philip Morris Dole Food** Humana International Business Machines United Healthcare Group** Washington Mutual Baxter International Allstate -------------------------------------------------------------------------------- SELIGMAN SMALL-CAP VALUE PORTFOLIO LARGEST PURCHASES NOVA Chemicals* Sensormatic Electronics* Mutual Risk Management PartnerRe* RenaissanceRe Holdings* Korn/Ferry International* Berkley (W.R.)* Oxford Health Plans Constellation Brands (Class B)* Jack in the Box LARGEST SALES Midcoast Energy Resources** Litton Industries** IndyMac Bancorp** Valero Energy CNF** Liberty Financial Companies** ABC-NACO** -------------------- + Largest portfolio changes from the previous period to the current period are based on cost of purchases and proceeds from sales of securities, listed in descending order. * Position added during the period. ** Position eliminated during the period. *** "Diversification of Net Assets" is included for the Seligman International Portfolios because their portfolio holdings are listed by country rather than by industry in the "Portfolios of Investments." -- P-8 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN BOND PORTFOLIO PRINCIPAL AMOUNT VALUE ---------- --------- US GOVERNMENT AND GOVERNMENT AGENCY SECURITIES -- 53.0% US GOVERNMENT SECURITIES -- 19.1% US Treasury Bonds: 8 3/4%, 5/15/2020 ............ $ 300,000 $ 396,530 7 1/4%, 8/15/2022 ............ 200,000 231,960 6 1/4%, 8/15/2023 ............ 350,000 364,390 US Treasury Notes: 7 1/4%, 5/15/2004 ............ 100,000 107,095 6 1/2%, 10/15/2006 ........... 50,000 53,193 6%, 8/15/2009 ................ 70,000 72,817 ---------- Total US Government Securities (Cost $1,179,842) ............ 1,225,985 ---------- MORTGAGE-BACKED SECURITIES+ -- 19.2% FHLMC GOLD:+ 6%, 11/1/2010 ................ 58,567 58,710 7 1/2%, 10/1/2017 ............ 59,620 61,376 8%, 12/1/2023 ................ 35,296 37,023 FNMA:+ 8 1/2%, 10/1/2015 ............ 81,139 84,172 6%, 5/1/2016 ................. 74,721 73,650 6 1/2%, 5/1/2018 ............. 69,541 69,200 7%, 10/1/2020 ................ 46,155 46,642 8%, 6/1/2028 ................. 37,622 39,417 6%, 9/1/2028 ................. 105,494 101,958 6%, 12/1/2028 ................ 168,588 162,937 7%, 12/1/2029 ................ 60,303 60,685 7 1/2%, 6/1/2030 ............. 33,241 33,961 GNMA:+ 6 1/2%, 12/15/2028 ........... 240,763 238,622 6%, 12/20/2028 ............... 166,589 160,542 ---------- Total Mortgage-Backed Securities (Cost $1,303,602) ............ 1,228,895 ---------- AGENCY SECURITIES -- 14.7% FHLMC: 5%, 5/15/2004 ................ 130,000 129,849 5.07%, 6/28/2004 ............. 75,000 74,723 PRINCIPAL AMOUNT VALUE ------------ --------- AGENCY SECURITIES (continued) FHLMC (continued): 5 1/4%, 12/20/2004 ........... $ 235,000 $ 234,312 6 7/8%, 9/15/2010 ............ 70,000 73,656 FNMA: 6 1/2%, 8/15/2004 ............ 100,000 104,060 5 1/4%, 6/15/2006 ............ 165,000 162,950 6 1/2%, 4/29/2009 ............ 160,000 160,196 ---------- Total Agency Securities (Cost $863,507) .............. 939,746 ---------- TOTAL US GOVERNMENT AND GOVERNMENT AGENCY SECURITIES (Cost $3,346,951) ............ 3,394,626 ---------- CORPORATE BONDS -- 36.1% Abbott Laboratories 5 1/8%, 7/1/2006 ..................... 60,000 59,700 Allstate 7.20%, 12/1/2009 ....... 75,000 78,042 Associates Corp. North America 6.95%, 11/1/2018 ............. 50,000 49,764 Bank One 5 5/8%, 2/17/2004 ...... 50,000 50,681 Caliber Systems 7.80%, 8/1/2006 ..................... 75,000 78,339 Campbell Soup 6 3/4%, 2/15/2011 .................... 75,000 74,771 Citigroup 6 3/4%, 12/1/2005 ..... 50,000 51,729 Computer Sciences 7 1/2%, 8/8/2005 ..................... 50,000 51,130 CSC Holdings 7 1/4%, 7/15/2008 .................... 100,000 96,129 DaimlerChrysler North America 7 3/4%, 6/15/2005 ............ 80,000 84,095 Delta Air Lines 7.70%, 12/15/2005 ................... 75,000 74,350 Ford Motor 6 1/2%, 8/1/2018 ..... 90,000 81,826 General Motors Acceptance 6 3/4%, 1/15/2006 ............ 125,000 127,054 Global Crossing Holdings 9 1/8%, 11/15/2006 ........... 75,000 59,437 GTE North 5.65%, 11/15/2008 ..... 75,000 71,123 Heller Financial 8%, 6/15/2005 .. 135,000 144,120 ---------------------- + Investments in mortgage-backed and asset-backed securities are subject to principal paydowns. As a result of prepayments from refinancing or satisfaction of the underlying instruments, the average life may be less than the original maturity. This in turn may impact the ultimate yield realized from these investments. ++ Deferred-interest debentures pay no interest for a stipulated number of years, after which they pay the indicated coupon rate. See Notes to Financial Statements. -- P-9 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN BOND PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE ---------- --------- CORPORATE BONDS (continued) Household Finance 6 1/2%, 11/15/2008 ................... $ 100,000 $ 98,165 J.P. Morgan Chase 6 3/4%, 2/1/2011 ..................... 25,000 25,079 Keyspan 7 1/4%, 11/15/2005 ...... 100,000 104,767 Lyondell Chemical 9 5/8%, 5/1/2007 ..................... 100,000 99,750 Metronet Communications 0% (9.95%++), 6/15/2008 ......... 100,000 84,621 Morgan Stanley Group 6 3/4%, 4/15/2011 .................... 75,000 74,612 National Rural Utilities 6%, 5/15/2006 .................... 120,000 120,632 Ocean Energy 8 1/4%, 7/1/2018 ... 60,000 63,300 Pitney Bowes 5 7/8%, 5/1/2006 ... 25,000 24,911 Schwab (Charles) 8.05%, 3/1/2010 ..................... 50,000 53,557 Signet Bank 7.80%, 9/15/2006 .... 75,000 80,290 Sprint Capital 7 1/8%, 1/30/2006 60,000 60,582 State Street 7.65%, 6/15/2010 ... 50,000 53,500 Wells Fargo 7 1/4%, 8/24/2005 ... 50,000 52,564 WorldCom 7 1/2%, 5/15/2011 ...... 80,000 78,025 --------- TOTAL CORPORATE BONDS (Cost $2,314,306) ............ 2,306,645 --------- ASSET-BACKED SECURITIES+ -- 8.6% Citibank Credit Card 6 7/8%, 11/15/2009 ................... $ 70,000 $ 72,528 MBNA Master Credit Card 6.90%, 1/15/2008 ............. 60,000 62,703 Northwest Airlines 7.041%, 4/1/2022 ..................... 100,000 100,440 Peco Energy Transition Trust 6.05%, 3/1/2009 .............. 100,000 100,407 PP&L Transition 6.83%, 3/25/2007 .................... 75,000 78,258 United Airlines 7.032%, 10/1/2010 .................... 37,794 38,704 US Airways 7.076%, 9/20/2022 .... 100,000 98,602 --------- TOTAL ASSET-BACKED SECURITIES (Cost $543,751) .............. 551,642 --------- TOTAL INVESTMENTS -- 97.7% (Cost $6,205,008) ............ 6,252,913 OTHER ASSETS LESS LIABILITIES -- 2.3% ..... 146,887 ---------- NET ASSETS -- 100.0% ............ $6,399,800 ========== ------------------------------------------------------------------------------- SELIGMAN CAPITAL PORTFOLIO SHARES VALUE ------- ---------- COMMON STOCKS -- 95.5% CAPITAL GOODS -- 7.0% Fluor ........................... 12,900 $ 582,435 Mettler-Toledo International* ... 19,900 860,675 Solectron* ...................... 11,600 212,280 SPX ............................. 1,400 175,252 Symbol Technologies ............. 20,400 452,880 Waters* ......................... 3,800 104,918 ---------- 2,388,440 ---------- COMMUNICATIONS SERVICES -- 4.4% Adelphia Communications (Class A)* ................... 19,800 804,870 Charter Communications (Class A)* ................... 29,900 702,501 ---------- 1,507,371 ---------- COMPUTER SOFTWARE -- 10.6% i2 Technolgies* ................. 22,700 $ 449,346 Manugistics Group* .............. 12,000 294,660 Openwave Systems* ............... 34,407 1,204,073 Semtech* ........................ 17,300 528,515 Siebel Systems* ................. 7,600 357,124 VeriSign* ....................... 6,500 386,652 Vignette* ....................... 45,300 407,021 ---------- 3,627,391 ---------- CONSUMER CYCLICALS -- 20.5% Abercrombie & Fitch (Class A)* .. 20,800 925,600 Bed Bath & Beyond* .............. 16,100 502,320 Coach* .......................... 13,500 513,675 Gentex* ......................... 14,800 412,550 Jones Apparel Group* ............ 24,200 1,045,440 ---------------- * Non-income producing security. + Investments in mortgage-backed and asset-backed securities are subject to principal paydowns. As a result of prepayments from refinancing or satisfaction of the underlying instruments, the average life may be less than the original maturity. This in turn may impact the ultimate yield realized from these investments. See Notes to Financial Statements. -- P-10 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN CAPITAL PORTFOLIO (continued) SHARES VALUE ------- ---------- CONSUMER CYCLICALS (continued) Mattel .......................... 50,700 $ 959,244 Staples* ........................ 46,200 738,969 Tommy Hilfiger* (Hong Kong) ..... 25,600 358,400 Venator Group* .................. 54,800 838,440 Williams-Sonoma* ................ 18,500 718,170 ---------- 7,012,808 ---------- CONSUMER STAPLES -- 4.6% P.F. Chang's China Bistro* ...... 3,900 147,946 Pepsi Bottling Group ............ 7,800 312,780 Smithfield Foods* ............... 27,200 1,096,160 ---------- 1,556,886 ---------- ELECTRONIC TECHNOLOGY -- 16.8% Advanced Micro Devices* ......... 11,100 320,568 Alpha Industries* ............... 23,700 703,297 Analog Devices* ................. 9,500 410,875 Apple Computer* ................. 15,200 354,616 Applied Micro Circuits* ......... 12,800 220,160 Maxim Integrated Products* ...... 6,400 284,448 Micrel* ......................... 23,200 748,084 Microchip Technology* ........... 25,000 830,875 Micron Technology ............... 7,600 312,360 Novellus Systems* ............... 14,900 846,246 TriQuint Semiconductor* ......... 31,700 705,484 ---------- 5,737,013 ---------- FINANCIAL SERVICES -- 2.1% AFLAC ........................... 22,900 721,121 ---------- HEALTH CARE -- 15.2% Andrx Group* .................... 12,900 992,655 Applera-Applied Biosystems Group ........................ 7,700 205,975 Caremark Rx* .................... 20,700 340,515 Celgene* ........................ 10,500 303,450 CuraGen* ........................ 6,600 245,982 Gilead Sciences* ................ 8,100 469,800 Human Genome Sciences* .......... 6,100 368,867 IDEC Pharmaceuticals* ........... 3,100 209,591 Medarex* ........................ 6,700 157,483 MedImmune* ...................... 12,900 608,751 Millennium Pharmaceuticals* ..... 6,300 222,957 SHARES VALUE ------- ---------- HEALTH CARE (continued) NPS Pharmaceuticals* ............ 8,700 $ 352,394 Protein Design Labs* ............ 2,400 208,212 Quintiles Transnational* ........ 7,000 178,325 XOMA* ........................... 19,200 328,896 ---------- 5,193,853 ---------- LEISURE AND ENTERTAINMENT -- 7.3% Carnival (Class A) .............. 23,000 706,100 Harley-Davidson ................. 10,800 508,464 Royal Caribbean Cruises ......... 7,400 163,614 Starwood Hotels & Resorts Worldwide .................... 22,800 849,984 THQ* ............................ 4,300 256,409 ---------- 2,484,571 ---------- MACHINERY AND EQUIPMENT -- 2.6% Shaw Group (The)* ............... 6,600 264,660 Thermo Electron* ................ 28,600 629,772 ---------- 894,432 ---------- TELECOMMUNICATION EQUIPMENT -- 4.4% Palm* ........................... 40,300 244,822 Research In Motion* (Canada) .... 17,900 575,038 RFMicro Devices* ................ 26,000 697,970 ---------- 1,517,830 ---------- TOTAL COMMON STOCKS (Cost $30,242,827) ........... 32,641,716 SHORT-TERM HOLDINGS -- 2.3% (Cost $800,000) .............. 800,000 ----------- TOTAL INVESTMENTS -- 97.8% (Cost $31,042,827) ........... 33,441,716 OTHER ASSETS LESS LIABILITIES -- 2.2% ..... 745,381 ----------- NET ASSETS -- 100.0% ........... $34,187,097 =========== ------------------ * Non-income producing security. See Notes to Financial Statements. -- P-11 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN CASH MANAGEMENT PORTFOLIO ANNUALIZED YIELD ON PRINCIPAL PURCHASE DATE AMOUNT VALUE ------------- -------- ----------- COMMERCIAL PAPER -- 30.0% American Express Credit, 8/24/2001 .............. 3.65% $ 700,000 $ 696,220 American General Finance, 7/26/2001 ..... 3.75 700,000 698,201 Ford Motor Credit, 7/3/2001 ............... 4.00 700,000 699,846 General Electric Capital, 7/13/2001 .............. 3.93 700,000 699,095 IBM Credit, 7/13/2001 ..... 3.95 700,000 699,090 Wells Fargo Financial, 7/16/2001 .............. 3.99 700,000 698,851 ----------- TOTAL COMMERCIAL PAPER (Cost $4,191,303) ...... 4,191,303 ----------- US GOVERNMENT AGENCY SECURITIES -- 28.6% Federal Agricultural Mortgage, 7/23/2001 .... 3.72 1,000,000 997,757 Federal Home Loan Bank, 7/11/2001 ........ 3.89 1,000,000 998,933 Federal Home Loan Mortgage, 7/20/2001 .... 3.96 1,000,000 997,937 Federal National Mortgage Association, 8/2/2001 ............... 3.91 1,000,000 996,569 ----------- TOTAL US GOVERNMENT AGENCY SECURITIES (Cost $3,991,196) ...... 3,991,196 ----------- ANNUALIZED YIELD ON PRINCIPAL PURCHASE DATE AMOUNT VALUE ------------- -------- ----------- REPURCHASE AGREEMENT -- 21.4% (Cost $2,990,000) State Street Bank & Trust, 3.85%, dated 6/29/2001 maturing 7/2/2001 collateralized by: $2,850,000 US Treasury Notes 6 5/8% due 5/15/2007, with a fair market value of $3,085,057 .............. 3.90% $2,990,000 $ 2,990,000 ----------- FIXED TIME DEPOSITS -- 19.7% Bank of America, Grand Cayman, 7/2/2001 ....... 4.06 690,000 690,000 Bayerische Hypo-Und Vereinsbank, Grand Cayman, 7/2/2001 ....... 4.18 690,000 690,000 BNP Paribas, Grand Cayman, 7/2/2001 ....... 4.18 690,000 690,000 HSBC Bank USA, Grand Cayman, 7/2/2001 ............... 4.06 690,000 690,000 ----------- TOTAL FIXED TIME DEPOSITS (Cost $2,760,000) ...... 2,760,000 ----------- TOTAL INVESTMENTS -- 99.7% (Cost $13,932,499) ..... 13,932,499 OTHER ASSETS LESS LIABILITIES -- 0.3% 37,559 ----------- NET ASSETS -- 100.0% ...... $13,970,058 =========== ------------------ See Notes to Financial Statements. -- P-12 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN COMMON STOCK PORTFOLIO SHARES VALUE ------- ---------- COMMON STOCKS -- 93.3% Basic Materials -- 0.5% Masco ........................... 5,800 $ 144,768 ---------- Biotechnology -- 0.6% Genentech* ...................... 3,100 170,810 ---------- COMMUNICATION EQUIPMENT -- 1.5% CIENA* .......................... 2,000 76,010 Lucent Technologies ............. 9,750 60,450 Nortel Networks (Canada) ........ 8,300 75,447 QUALCOMM* ....................... 3,800 222,243 ---------- 434,150 ---------- COMMUNICATIONS -- 4.9% SBC Communications .............. 14,028 561,962 Sprint FON Group ................ 7,500 160,200 Verizon Communications .......... 12,712 680,092 Williams Communications Group* ....................... 9,293 27,414 ---------- 1,429,668 ---------- CONSUMER GOODS AND SERVICES -- 3.4% AOL Time Warner* ................ 6,600 349,800 Kraft Foods (Class A)* .......... 11,000 341,000 PepsiCo ......................... 6,500 287,300 ---------- 978,100 ---------- DRUGS AND HEALTH CARE -- 13.8% Abbott Laboratories ............. 11,800 566,518 American Home Products .......... 6,700 391,548 Baxter International ............ 16,000 784,000 Bristol-Myers Squibb ............ 4,900 256,270 Johnson & Johnson ............... 8,800 440,000 Pfizer .......................... 16,700 668,835 St. Jude Medical ................ 15,500 930,000 ---------- 4,037,171 ---------- ELECTRIC AND GAS UTILITIES -- 3.6% Calpine* ........................ 9,400 355,320 Dynegy (Class A) ................ 6,700 311,550 El Paso ......................... 7,564 397,413 ---------- 1,064,283 ---------- SHARES VALUE ------- ---------- ELECTRONIC TECHNOLOGY -- 14.0% Agere Systems (Class A)* ........ 50,500 $ 378,750 Agilent Technologies* ........... 7,634 248,105 Analog Devices* ................. 9,450 408,712 Cisco Systems* .................. 19,600 356,524 Compaq Computer ................. 18,300 283,467 EMC* ............................ 2,900 84,245 Intel ........................... 21,500 628,337 International Business Machines . 6,150 694,950 Jabil Circuit* .................. 900 27,774 JDS Uniphase* ................... 3,150 39,375 Micron Technology ............... 4,700 193,170 Novellus Systems* ............... 5,900 335,091 Palm* ........................... 12,450 75,634 Xilinx* ......................... 8,250 337,590 ---------- 4,091,724 ---------- ENERGY -- 6.1% Baker Hughes .................... 5,100 170,850 Exxon Mobil ..................... 11,200 978,320 Royal Dutch Petroleum (NY shares) (Netherlands) .... 6,050 352,533 Schlumberger .................... 5,100 268,515 ---------- 1,770,218 ---------- FINANCE AND INSURANCE -- 15.7% American International Group .... 11,150 958,900 Bank of New York ................ 12,800 614,400 Chubb ........................... 8,500 658,155 Citigroup ....................... 15,000 792,600 Fannie Mae ...................... 7,700 655,655 Merrill Lynch ................... 6,900 408,825 XL Capital (Class A) (Bermuda) .. 5,850 480,285 ---------- 4,568,820 ---------- LEISURE AND HOTELS -- 0.5% Starwood Hotels & Resorts Worldwide .................... 4,100 152,848 ---------- MACHINERY AND INDUSTRIAL EQUIPMENT -- 7.1% General Electric ................ 22,700 1,106,625 United Technologies ............. 13,200 967,032 ---------- 2,073,657 ---------- ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-13 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN COMMON STOCK PORTFOLIO (continued) SHARES VALUE ------- ---------- MEDIA -- 4.2% Adelphia Communications (Class A)* ................... 11,000 $ 447,150 Clear Channel Communications* ... 2,400 150,480 Comcast (Class A)* .............. 11,350 491,455 Viacom (Class B)* ............... 2,800 144,900 ---------- 1,233,985 ---------- OFFICE EQUIPMENT -- 3.1% Pitney Bowes .................... 21,150 890,838 ---------- PAPER AND FOREST PRODUCTS -- 0.4% Mead ............................ 4,600 124,844 ---------- RETAIL TRADE -- 6.1% Costco Wholesale* ............... 7,950 326,467 Home Depot (The) ................ 6,600 307,230 Limited (The) ................... 17,800 294,056 May Department Stores ........... 8,550 292,923 Wal-Mart Stores ................. 11,600 566,080 ---------- 1,786,756 ---------- SHARES VALUE ------- ---------- TECHNOLOGY SERVICES -- 7.8% Citrix Systems* ................. 11,750 $ 410,956 Electronic Data Systems ......... 6,150 384,375 Microsoft* ...................... 17,800 1,278,574 Oracle* ......................... 11,200 212,856 ---------- 2,286,761 ---------- TOTAL COMMON STOCKS (Cost $25,136,591) ........... 27,239,401 SHORT-TERM HOLDINGS -- 3.8% (Cost $1,100,000) ............ 1,100,000 ---------- TOTAL INVESTMENTS -- 97.1% (Cost $26,236,591) ........... 28,339,401 OTHER ASSETS LESS LIABILITIES -- 2.9% .......... 857,564 ----------- NET ASSETS -- 100.0% ............ $29,196,965 =========== ------------------------------------------------------------------------------- SELIGMAN COMMUNICATIONS AND INFORMATION PORTFOLIO SHARES VALUE ------- ----------- COMMON STOCKS -- 89.0% COMMUNICATIONS INFRASTRUCTURE -- 3.1% Cisco Systems* .................. 60,500 $ 1,100,495 Crown Castle International* ..... 43,300 710,120 Polycom* ........................ 68,800 1,571,392 QUALCOMM* ....................... 5,000 292,425 Tektronix* ...................... 21,600 586,440 Ulticom* ........................ 12,900 436,020 ----------- 4,696,892 ----------- COMPUTER HARDWARE/ PERIPHERALS -- 8.9% American Power Conversion* ...... 107,400 1,683,495 Avocent* ........................ 62,700 1,418,588 Electronics for Imaging* ........ 106,900 3,158,895 Lexmark International (Class A)* ................... 96,600 6,496,350 Mobility Electronics* ........... 2,100 5,701 Symbol Technologies ............. 21,850 485,070 Tech Data* ...................... 14,600 497,568 ----------- 13,745,667 ----------- SHARES VALUE ------- ----------- COMPUTER SOFTWARE -- 22.8% Autodesk ........................ 114,500 $ 4,270,278 BMC Software* ................... 10,900 245,686 Cadence Design Systems* ......... 96,900 1,805,247 Citrix Systems* ................. 21,700 758,958 Computer Associates International ................ 129,000 4,644,000 i2 Technologies* ................ 32,400 641,358 Legato Systems* ................. 21,100 336,439 Mentor Graphics* ................ 42,800 735,518 Microsoft* ...................... 107,200 7,700,176 NetIQ* .......................... 15,800 501,018 Peregrine Systems* .............. 31,300 903,162 Rational Software* .............. 61,400 1,706,613 RSA Security* ................... 21,400 663,935 Symantec * ...................... 131,000 5,686,055 Synopsys* ....................... 85,300 4,170,743 Verity* ......................... 10,000 198,350 Wind River Systems* ............. 13,000 221,455 ----------- 35,188,991 ----------- ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-14 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN COMMUNICATIONS AND INFORMATION PORTFOLIO (continued) SHARES VALUE -------- ----------- ELECTRONIC COMPONENTS -- 2.3% Amphenol (Class A)* ............. 32,400 $ 1,297,620 Arrow Electronics ............... 46,900 1,139,201 Vishay Intertechnology* ......... 49,500 1,138,500 ----------- 3,575,321 ----------- ELECTRONIC MANUFACTURING SERVICES -- 8.0% Amkor Technology* ............... 208,100 4,630,225 ASAT Holdings (ADRs)* (Hong Kong) .................. 41,200 188,284 ASE Test (Taiwan) ............... 31,300 395,475 CoorsTek* ....................... 18,500 694,675 DDi* ............................ 38,600 791,300 Jabil Circuit* .................. 22,400 691,264 Sanmina* ........................ 34,000 803,420 SCI Systems* .................... 139,200 3,549,600 TTM Technologies* ............... 28,000 246,680 United Microelectronics (ADRs)* (Taiwan) ............ 43,600 388,040 ----------- 12,378,963 ----------- ELECTRONICS CAPITAL EQUIPMENT -- 13.1% ASM International* (Netherlands) ................ 10,600 204,580 ATMI* ........................... 53,100 1,622,205 Axcelis Technologies* ........... 14,600 212,795 Cognex* ......................... 56,200 1,902,651 Credence Systems* ............... 55,300 1,340,196 Cymer* .......................... 10,200 264,129 Electro Scientific Industries* .. 46,700 1,684,702 Entegris* ....................... 95,800 1,097,389 FEI* ............................ 23,500 958,800 Kulicke and Soffa Industries* ... 21,000 358,680 Lam Research* ................... 69,000 2,064,135 Mattson Technology* ............. 10,100 176,043 Novellus Systems* ............... 50,400 2,862,468 Orbotech* (Israel) .............. 64,400 2,273,642 Teradyne* ....................... 55,300 1,830,430 Veeco Instruments* .............. 34,800 1,400,700 ----------- 20,253,545 ----------- SHARES VALUE -------- ----------- INFORMATION SERVICES -- 9.5% Amdocs* ......................... 6,600 $ 355,410 Convergys* ...................... 21,300 644,325 CSG Systems International* ...... 91,500 5,188,507 Instinet Group (The)* ........... 37,100 691,730 KPMG Consulting* ................ 48,500 744,718 Sabre Holdings (Class A)* ....... 43,000 2,150,000 SunGard Data Systems* ........... 139,200 4,177,392 TMP Worldwide* .................. 13,100 786,000 ----------- 14,738,082 ----------- MEDIA -- 3.9% Clear Channel Communications* .............. 42,798 2,683,435 CNET Networks* .................. 2,313 29,953 EchoStar Communications (Class A)* ................... 42,500 1,379,125 Getty Images* ................... 10,700 280,928 Lamar Advertising (Class A)* .... 36,700 1,579,017 ----------- 5,952,458 ----------- SEMICONDUCTORS -- 17.3% Advanced Micro Devices* ......... 139,700 4,034,536 Analog Devices* ................. 60,700 2,625,275 Cirrus Logic* ................... 48,300 1,112,591 DuPont Photomasks* .............. 31,400 1,512,067 Fairchild Semiconductor International (Class A)* ..... 84,400 1,941,200 Integrated Circuit Systems* ..... 44,200 833,391 Integrated Device Technology* ... 110,600 3,467,310 International Rectifier* ........ 32,200 1,098,020 Lattice Semiconductor* .......... 189,000 4,668,300 Maxim Integrated Products* ...... 10,800 480,006 Microchip Technology* ........... 107,299 3,566,082 Photronics* ..................... 53,400 1,367,040 ----------- 26,705,818 ----------- MISCELLANEOUS -- 0.1% Sensormatic* .................... 11,000 187,000 ----------- TOTAL COMMON STOCKS (Cost $132,131,720) .......... 137,422,737 ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-15 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN COMMUNICATIONS AND INFORMATION PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE ---------- --------- REPURCHASE AGREEMENT -- 8.9% (Cost $13,700,000) State Street Bank & Trust, 3.85%, dated 6/29/2001, maturing 7/2/2001, collateralized by: $13,220,000 US Treasury Notes 6%, 8/15/2009, with a fair market value of $14,112,350................... $13,700,000 $ 13,700,000 ------------ VALUE --------- TOTAL INVESTMENTS -- 97.9% (Cost $145,831,720).......... $151,122,737 OTHER ASSETS LESS LIABILITIES -- 2.1%...... 3,216,482 ------------ NET ASSETS -- 100.0%............. $154,339,219 ============ ----------------------------------------------------------------- SELIGMAN FRONTIER PORTFOLIO SHARES VALUE ------- ---------- COMMON STOCKS -- 91.8% BUSINESS GOODS AND SERVICES -- 4.0% Copart* ......................... 10,100 $ 291,991 CoStar Group* ................... 3,860 101,499 Iron Mountain* .................. 4,700 210,748 ---------- 604,238 ---------- COMPUTER SOFTWARE AND SERVICES -- 9.5% Activision* ..................... 2,400 93,492 Actuate* ........................ 6,100 58,285 Advent Software* ................ 4,500 281,475 Henry (Jack) & Associates ....... 5,300 165,333 Informatica* .................... 1,900 31,170 Information Holdings* ........... 300 9,690 Internet Security Systems* ...... 2,900 143,130 IntraNet Solutions* ............. 2,000 72,460 MatrixOne* ...................... 4,600 104,029 NetIQ* .......................... 2,300 72,933 NYFIX* .......................... 3,437 97,869 SmartForce (ADRs)* (Ireland) .... 3,200 112,656 THQ* ............................ 3,250 193,797 ---------- 1,436,319 ---------- CONSULTING SERVICES -- 2.1% Corporate Executive Board (The)* ................. 2,700 102,600 Forrester Research* ............. 4,055 91,440 SHARES VALUE ------- ---------- CONSULTING SERVICES (continued) Resource Connection ............. 1,600 $ 37,136 Watson Wyatt* ................... 4,000 93,520 ---------- 324,696 ---------- CONSUMER GOODS AND SERVICES -- 10.0% Abercrombie and Fitch (Class A)* ................... 900 40,050 AnnTaylor Stores* ............... 900 32,220 Brinker International* .......... 5,750 148,638 California Pizza Kitchen* ....... 2,100 49,035 Duane Reade* .................... 3,300 107,250 Genesco* ........................ 4,500 151,200 MemberWorks* .................... 3,680 85,450 MSC Industrial Direct (Class A) . 8,900 154,860 Oakley* ......................... 10,400 192,400 Pacific Sunwear of California* .. 5,600 125,692 Rent-A-Center* .................. 1,900 99,417 Tweeter Home Entertainment Group* ...................... 3,400 119,816 Venator Group* .................. 9,200 140,760 Williams-Sonoma* ................ 1,900 73,758 ---------- 1,520,546 ---------- DRUGS AND HEALTH CARE -- 17.1% Array BioPharma* ................ 2,800 25,284 Bergen Brunswig (Class A)* ...... 8,300 159,526 Caremark Rx* .................... 17,900 294,455 ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-16 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN FRONTIER PORTFOLIO (continued) SHARES VALUE ------- ---------- DRUGS AND HEALTH CARE (continued) Charles River Laboratories International* ............... 4,400 $ 152,900 Community Health Systems* ....... 11,800 348,100 InterMune* ...................... 4,400 155,430 Isis Pharmaceuticals* ........... 8,100 100,399 Manor Care* ..................... 1,400 44,450 MediChem Life Sciences* ......... 5,100 25,832 Medicis Pharmaceutical (Class A)* ................... 3,200 169,600 Novoste* ........................ 4,300 108,897 PRAECIS Pharmaceuticals* ........ 4,800 78,936 Priority Healthcare (Class B)*... 7,100 198,055 Province Healthcare* ............ 6,500 223,308 Rightchoice Managed Care* ....... 700 31,080 Trigon Healthcare* .............. 2,400 155,640 Universal Health Services (Class B)* ................... 6,800 309,400 ---------- 2,581,292 ---------- ELECTRONICS -- 4.0% Advanced Power Technology* ...... 1,700 25,287 Amerigon (Class A)* ............. 25,518 88,037 ANADIGICS* ...................... 100 2,275 ATMI* ........................... 2,200 67,210 Cognex* ......................... 800 27,084 Credence Systems* ............... 2,800 67,858 Fisher Scientific International . 3,900 113,100 InterCept Group (The)* .......... 2,700 104,139 Kopin* .......................... 5,300 65,111 Pemstar* ........................ 400 5,916 Sawtek* ......................... 700 16,411 TriQuint Semiconductor* ......... 1,200 26,706 ---------- 609,134 ---------- ENERGY -- 0.7% XTO Energy ...................... 7,300 104,755 ---------- ENVIRONMENTAL MANAGEMENT -- 3.1% Waste Connections* .............. 12,900 464,400 ---------- FINANCIAL SERVICES -- 9.6% Affiliated Managers Group* ...... 2,700 166,050 American Capital Strategies* .... 8,900 248,533 AmeriCredit* .................... 2,800 145,460 Astoria Financial ............... 800 43,392 Commerce Bancorp ................ 1,000 70,100 SHARES VALUE ------- ---------- FINANCIAL SERVICES (continued) East West Bancorp ............... 2,100 $ 54,400 efunds* ......................... 1,900 34,903 Gallagher (Arthur J.) ........... 4,300 111,800 Metris Companies ................ 12,750 429,803 Protective Life ................. 1,000 34,370 UCBH Holdings ................... 2,200 64,845 Webster Financial ............... 1,500 48,232 ---------- 1,451,888 ---------- LEISURE AND ENTERTAINMENT -- 2.1% Anchor Gaming* .................. 2,700 157,099 Station Casinos* ................ 9,600 153,600 ---------- 310,699 ---------- MEDIA AND BROADCASTING -- 1.1% Cox Radio (Class A)* ............ 5,900 164,315 ---------- MEDICAL PRODUCTS AND TECHNOLOGY -- 2.8% Cambrex ......................... 1,600 80,928 Cytyc* .......................... 8,800 202,576 Endocare* ....................... 5,600 83,720 Genomic Solutions* .............. 10,400 49,348 ---------- 416,572 ---------- RESOURCES -- 3.9% Cooper Cameron* ................. 3,300 184,140 Marine Drilling* ................ 4,000 76,440 Mitchell Energy & Development (Class A) .................... 900 41,625 National-Oilwell* ............... 2,700 72,360 OM Group ........................ 1,800 101,250 Pride International* ............ 3,800 72,200 Spinnaker Exploration* .......... 1,200 47,832 ---------- 595,847 ---------- SCHOOLS -- 3.7% Career Education* ............... 3,400 210,375 Corinthian Colleges* ............ 4,900 231,525 DeVry* .......................... 3,200 115,584 ---------- 557,484 ---------- TELECOMMUNICATIONS -- 13.0% AirGate PCS* .................... 6,300 327,600 ------------------ * Non-income producing security. See Notes to Financial Statements. -- P-17 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN FRONTIER PORTFOLIO (continued) SHARES VALUE ------- ---------- TELECOMMUNICATIONS (continued) Dobson Communications (Class A)* ................... 9,900 $ 167,260 Price Communications* ........... 8,100 163,539 Rural Cellular (Class A)* ....... 8,740 383,511 SBA Communications* ............. 11,000 275,880 West* ........................... 7,800 171,639 Western Wireless (Class A)* ..... 11,000 473,055 ---------- 1,962,484 ---------- TRANSPORTATION -- 2.5% Atlantic Coast Airlines Holdings* 5,500 156,338 SkyWest ......................... 7,800 225,459 ---------- 381,797 ---------- UTILITIES -- 2.6% Orion Power Holdings* ........... 16,800 400,008 ---------- TOTAL COMMON STOCKS (Cost $12,575,690) ........... 13,886,474 PRINCIPAL AMOUNT VALUE ---------- --------- REPURCHASE AGREEMENT -- 7.3% (Cost $1,100,000) State Street Bank & Trust, 3.85%, dated 6/29/2001, maturing 7/2/2001, collateralized by: $1,050,000 US Treasury Notes 6 5/8%, due 5/15/2007, with a fair market value of $1,136,600 ................ $ 1,100,000 $1,100,000 ---------- TOTAL INVESTMENTS -- 99.1% (Cost $13,675,690) ........... 14,986,474 OTHER ASSETS LESS LIABILITIES -- 0.9% ..... 144,092 ---------- NET ASSETS -- 100.0% ............ $15,130,566 =========== ------------------------------------------------------------------------------- SELIGMAN GLOBAL GROWTH PORTFOLIO SHARES VALUE ------ -------- COMMON STOCKS -- 90.0% BRAZIL -- 1.0% Empresa Brasileira de Aeronautica "Embraer" (ADRs) (Manufacturing and Industrial Equipment) .... 1,600 $ 62,480 -------- CANADA -- 1.7% Barrick Gold* (Resources) ....... 1,300 19,695 Canadian Pacific (Diversified) .. 1,100 42,625 Weston (George) (Retailing) ..... 800 46,400 -------- 108,720 -------- DENMARK -- 0.6% Vestas Wind Systems* (Electronics) ................ 800 37,332 -------- FINLAND -- 1.2% TietoEnator (Information Services) ....... 1,500 33,432 SHARES VALUE ------ -------- FINLAND (continued) UPM-Kymmene* (Manufacturing and Industrial Equipment) ........ 1,600 $ 45,274 -------- 78,706 -------- FRANCE -- 6.8% Altran Technologies (Diversified) 370 17,246 Aventis (Drugs and Health Care) . 800 63,932 Axa (Financial Services) ........ 1,550 44,201 Carrefour* (Retailing) .......... 800 42,372 Castorama Dubois Investissement (Financial Services) ......... 300 64,550 Groupe Danone (Consumer Goods and Services) .......... 400 54,949 Orange* (Telecommunications) .... 10,300 83,796 Sanofi-Synthelabo* (Drugs and Health Care) ...... 800 52,542 -------- 423,588 -------- ------------------ * Non-income producing security. See Notes to Financial Statements. -- P-18 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN GLOBAL GROWTH PORTFOLIO (continued) SHARES VALUE ------- -------- GERMANY -- 2.7% Allianz (Financial Services) ...... 150 $ 43,824 Deutsche Bank* (Financial Services) 850 60,969 E.ON (Diversified) ................ 400 20,996 SAP (Computer and Technology Related) ............ 300 41,672 -------- 167,461 -------- HONG KONG -- 2.4% China Unicom (ADRs)* (Telecommunications) ........... 300 5,310 CNOOC* (Resources) ................ 31,500 30,087 CNOOC (ADRs)* (Resources) ......... 500 9,475 Dah Sing Financial* (Financial Services) ........... 4,800 24,801 HSBC Holdings (Financial Services) ........... 1,481 17,469 Hutchison Whampoa (Diversified) .................. 4,000 40,386 Li & Fung (Consumer Goods and Services) .................. 13,000 21,334 -------- 148,862 -------- IRELAND -- 2.8% Bank of Ireland (Financial Services) ........... 5,348 53,026 Elan (ADRs)* (Drugs and Health Care) ................... 2,000 122,000 -------- 175,026 -------- ISRAEL -- 0.4% Teva Pharmaceutical (ADRs)* (Drugs and Health Care) ........ 400 24,774 -------- ITALY -- 2.8% Assicurazioni Generali (Financial Services) ........... 1,900 57,160 Mediolanum (Financial Services) ... 6,100 61,516 Pirelli (Manufacturing and Industrial Equipment) .......... 20,000 55,762 -------- 174,438 -------- JAPAN -- 12.8% Benesse (Schools) ................. 700 21,947 Canon (ADRs) (Electronics) ........ 2,200 90,640 SHARES VALUE ------- -------- JAPAN (continued) Honda Motor (Automotive and Related) ................... 3,000 $131,826 Keyence (Electronics) ............. 300 59,538 Konami* (Entertainment and Leisure) ................... 600 27,375 Nintendo (Consumer Goods and Services) .................. 300 54,607 Nippon System Development (Computer and Technology Related) ............ 900 54,703 Nippon Telegraph & Telephone "NTT" (Telecommunications) ..... 3 15,636 Nomura Securities (Financial Services) ........... 4,100 78,574 NTT DoCoMo (Telecommunications) ........... 2 34,800 Promise* (Financial Services) ..... 900 74,188 Sony (Consumer Goods and Services) .................. 1,000 65,753 Sony (ADRs) (Consumer Goods and Services) .................. 700 46,060 Takeda Chemical Industries (Drugs and Health Care) ........ 1,000 46,508 -------- 802,155 -------- NETHERLANDS -- 4.1% Aegon* (Financial Services) ....... 2,000 56,355 ASML Holding (Electronics) ........ 1,769 39,712 Elsevier (Media) .................. 4,500 56,059 ING Groep (Financial Services) .... 493 32,254 Koninklijke (Royal) Philips Electronics (Electronics) ...... 893 23,695 Unilever (Consumer Goods and Services) .................. 800 47,656 -------- 255,731 -------- SOUTH KOREA -- 0.% Pohang Iron & Steel (ADRs) (Manufacturing and Industrial Equipment) .......... 2,100 41,412 -------- SPAIN -- 2.7% Banco Bilbao Vizcaya Argentaria (Financial Services) ........... 5,050 65,393 Banco Popular Espanol (Financial Services) ........... 1,400 48,988 ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-19 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN GLOBAL GROWTH PORTFOLIO (continued) SHARES VALUE ------ ------- SPAIN (continued) Sogecable* (Media) ................ 1,400 $ 28,166 Telefonica* (Telecommunications)... 2,292 28,281 ---------- 170,828 ---------- SWITZERLAND -- 3.0% Novartis (Medical Products and Technology) ................ 2,300 83,281 Serono (Drugs and Health Care) .... 40 39,699 UBS (Financial Services) .......... 450 64,500 ---------- 187,480 ---------- TAIWAN -- 0.5% United Microelectronics (ADRs)* (Electronics) .................. 3,500 31,150 ---------- UNITED KINGDOM -- 10.7% AstraZeneca (ADRs)* (Drugs and Health Care) ............... 800 37,400 BAA (Transportation) .............. 4,870 45,266 Barclays* (Financial Services) .... 1,500 46,051 British American Tobacco (ADRs) (Consumer Goods and Services) ...................... 4,200 66,360 Centrica (Utilities) .............. 12,800 40,965 Diageo (Consumer Goods and Services) .................. 10,625 116,713 GlaxoSmithKline (Drugs and Health Care) ................... 4,279 120,522 Royal Bank of Scotland Group (Financial Services) ........... 4,353 96,062 Tesco (Consumer Goods and Services) .................. 15,865 57,309 WPP Group (Media) ................. 4,200 41,404 ---------- 668,052 ---------- UNITED STATES -- 33.2% AOL Time Warner (Information Services) ......... 3,400 180,200 Applera-Applied Biosystems Group (Drugs and Health Care) ................... 1,500 40,125 Cisco Systems* (Computer and Technology Related) ............ 6,000 109,140 Citigroup (Financial Services) .... 2,300 121,532 Coca-Cola (Consumer Goods and Services) .................. 2,400 108,000 Comcast (Class A) (Media) ......... 3,100 134,230 SHARES VALUE ------ ------- UNITED STATES (continued) Intel (Electronics) ............... 3,500 $ 102,287 Jones Apparel Group (Consumer Goods and Services) ...................... 2,300 99,360 MedImmune (Drugs and Health Care) ................... 2,700 127,413 Medtronic (Medical Products and Technology) ................ 2,200 101,222 NIKE (Class B) (Consumer Goods and Services) ............ 2,000 83,980 Openwave Systems* (Telecommunications) ........... 3,727 130,426 Pfizer (Drugs and Health Care) .... 2,600 104,130 Philip Morris (Consumer Goods and Services) .................. 2,700 137,025 Starwood Hotels & Resorts Worldwide (Leisure and Hotels) .................... 2,400 89,472 Symbol Technologies (Computer and Technology Related) ............ 4,650 103,230 Texas Instruments (Electronics) ... 3,000 94,500 Tyco International (Diversified) .. 2,200 119,900 Venator Group* (Retailing) ........ 6,000 91,800 ---------- 2,077,972 ---------- TOTAL COMMON STOCKS (Cost $5,682,726) .............. 5,636,167 ---------- PREFERRED STOCKS -- 1.5% GERMANY -- 1.5% Boss (Hugo) (Retailing) ........... 150 41,885 Porsche (non-voting)* (Automotive and Related) ....... 150 51,737 ---------- TOTAL PREFERRED STOCKS (Cost $90,205) ................. 93,622 ---------- TOTAL INVESTMENTS -- 91.5% (Cost $5,772,931) .............. 5,729,789 OTHER ASSETS LESS LIABILITIES -- 8.5% ....... 530,773 ---------- NET ASSETS -- 100.0% .............. $6,260,562 ========== ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-20 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO SHARES VALUE ------- -------- COMMON STOCKS -- 93.2% AUSTRALIA -- 1.7% BRL Hardy (Consumer Goods and Services) .......... 4,324 $ 23,047 Cochlear (Medical Products and Technology) .............. 1,900 37,795 CSL (Medical Products and Technology) .............. 1,350 32,845 Data Advantage (Business Services) .......... 6,500 22,727 Futuris (Diversified) ........... 17,560 24,003 Lang (Transportation) ........... 4,200 23,560 Perpetual Trustees Australia (Financial Services) ......... 1,000 20,868 Sonic Healthcare (Medical Products and Technology) ..... 4,570 18,438 -------- 203,283 -------- AUSTRIA -- 0.6% EMTS Technologie* (Telecommunications) ......... 1,450 71,834 -------- BELGIUM -- 0.8% Omega Pharma (Drugs and Health Care) ................. 2,411 92,966 -------- CANADA -- 0.9% Clarica Life Insurance (Financial Services) ......... 700 20,641 Dofasco (Resources) ............. 1,000 16,078 Exfo Electro-Optical Engineering* (Telecommunications) ......... 800 13,244 Intrawest (Leisure and Hotels) .. 1,600 31,629 Pivotal* (Computer Software) .... 400 6,710 Research In Motion* (Telecommunications) ......... 300 9,638 Sierra Wireless* (Telecommunications) ......... 800 14,755 -------- 112,695 -------- DENMARK -- 0.8% TK Development (Construction and Property) .. 2,860 96,842 -------- FRANCE -- 4.2% Brime Technologies* (Consulting Services) ........ 1,350 54,400 SHARES VALUE ------- -------- FRANCE (continued) Compagnie Francaise d'Etudes et de Construction "Technip" (Construction and Property) .. 700 $ 89,872 Du Pareil au Meme (Retailing) ... 887 23,302 L'Europeenne d'Extincteurs (Manufacturing) .............. 1,242 18,209 Financiere Marc de Lacharriere "Fimalac"* (Manufacturing) ... 2,890 102,863 MEDIDEP* (Drugs and Health Care) ................. 800 81,355 Pinguely Haulotte (Industrial Goods and Services) .......... 4,250 69,332 Transiciel (Computer Software) .. 1,900 71,185 -------- 510,518 -------- GERMANY -- 6.4% BERU (Automotive Parts Manufacturing) ......... 3,000 115,931 FJA (Computer Software) ......... 1,588 92,722 GfK (Business Services) ......... 2,500 59,766 Mediclin* (Drugs and Health Care) ................. 18,000 138,812 Medion (Electronics) ............ 1,000 81,355 Senator Entertainment* (Media) .. 12,327 57,456 Techem* (Industrial Goods and Services) ................ 2,800 71,186 Tecis Holding (Financial Services) ......... 2,400 81,762 Thiel Logistik (Transportation) . 1,152 18,549 Zapf Creation (Consumer Goods and Services) .......... 2,422 60,960 -------- 778,499 -------- HONG KONG -- 0.9% Beijing Datang Power Generation (Utilities) ....... 48,000 16,308 Cafe de Coral Holdings (Consumer Goods and Services) .......... 26,000 12,834 Convenience Retail* (Retailing) . 36,000 12,346 Dah Sing Financial Group (Financial Services) ......... 4,400 22,734 Giordano International (Consumer Goods and Services) ................ 24,000 12,616 JCG Holdings (Financial Services) ......... 29,000 17,289 Yanzhou Coal Mining (Series H) (Resources) .................. 38,000 17,539 -------- 111,666 -------- -------------------- * Non-income producing security. See Notes to Financial Statements. -- P-21 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO (continued) SHARES VALUE -------- ---------- IRELAND -- 1.4% Parthus Technologies* (Electronics) ................ 45,000 $ 34,855 Ryanair Holdings* (Transportation) ............. 8,510 88,345 SmartForce (ADRs)* (Computer Software) .......... 1,300 45,767 ---------- 168,967 ---------- ISRAEL -- 0.6% Card-Guard Scientific Survival* (Medical Products and Technology) .............. 1,416 78,820 ---------- JAPAN -- 9.2% Anritsu (Telecommunications) .... 500 7,557 Asahi Pretec (Industrial Goods and Services) ................ 1 11,226 Bank of Iwate (Financial Services) ......... 1,000 36,886 Capcom* (Computer Software) ..... 800 27,456 Citizen Electronics (Electronics) 500 21,650 Cresco (Computer Software) ...... 1,100 28,490 Densei-Lambda (Electronics) ..... 1,900 24,666 Disco (Electronics) ............. 200 11,467 Don Quijote (Consumer Goods and Services) ................ 500 32,074 Eighteenth Bank (The) (Financial Services) ......... 7,000 27,335 Enplas (Electronics) ............ 1,300 28,771 Fuji Machine Manufacturing (Industrial Goods and Services) ................ 500 9,161 Fuji Seal Manufacturing (Industrial Goods and Services) .................... 1,100 42,338 Fujicco (Consumer Goods and Services) ................ 3,000 33,678 H.I.S. (Leisure and Hotels) ..... 1,700 38,441 Higo Bank (The) (Financial Services) ......... 8,000 28,161 Hokuto (Consumer Goods and Services) ................ 800 31,176 Iyo Bank (The) (Financial Services) ......... 5,000 28,827 Kissei Pharmaceutical (Drugs and Health Care) ...... 2,000 47,390 SHARES VALUE -------- ---------- JAPAN (continued) Komatsu Seiren (Manufacturing) .............. 800 $ 2,021 Konami Sports (Leisure and Hotels) ......... 500 23,855 Maspro Denkoh (Telecommunications) ......... 2,000 25,339 MKC-STAT (Computer Software) .... 3,000 41,111 Moshi Moshi Hotline (Business Services) .......... 400 36,629 Nichicon (Manufacturing) ........ 1,800 23,512 Nippon Broadcasting Systems (Media) ...................... 1,000 35,282 Noritake (Consumer Goods and Services) ................ 3,000 16,502 Plenus (Retailing) .............. 700 29,188 Rohto Pharmaceutical (Drugs and Health Care) ...... 1,000 10,536 Ryoyo Electro (Electronics) ..... 1,000 10,785 Shimachu (Consumer Goods and Services) ................ 2,000 29,605 Sotec (Business Services) ....... 5 15,676 Sundrug (Retailing) ............. 100 4,603 Taiyo Ink Manufacturing (Chemicals) .................. 1,000 34,961 Tokyo Steel Manufacturing (Industrial Goods and Services) ................ 4,900 16,581 Tokyo Style (Manufacturing) ..... 2,800 31,208 Touei Housing (Construction and Property) ................ 1,000 15,308 Tsubaki Nakashima (Manufacturing) .............. 3,000 28,145 Tsudakoma* (Manufacturing) ...... 3,700 4,035 Tsuruha (Drugs and Health Care) ................. 1,900 27,271 Tsutsumi Jewelry (Consumer Goods and Services) .......... 1,300 28,458 Universal Home (Business Services) .......... 2 7,602 Ushio (Industrial Goods and Services) ................ 2,000 27,440 Xebio (Consumer Goods and Services) ................ 1,600 19,052 Yamaichi Electronics (Electronics) ................ 2,100 26,774 Yokohama Reito (Distribution) ... 4,000 24,344 ---------- 1,112,573 ---------- ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-22 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO (continued) SHARES VALUE ------- ---------- NETHERLANDS -- 0.6% United Services Group (Business Services) .......... 3,915 $ 67,517 ---------- NEW ZEALAND -- 0.3% Baycorp Holdings* (Financial Services) ......... 2,660 13,771 Fisher & Paykel (Consumer Goods and Services) .......... 4,800 22,934 ---------- 36,705 ---------- NORWAY -- 1.1% Petroleum Geo-Services* (Industrial Goods and Services) ................ 4,713 47,738 Tandberg Television* (Media) .... 10,200 88,009 ---------- 135,747 ---------- SINGAPORE -- 0.6% DelGro (Transportation) ......... 8,000 12,733 Neptune Orient Lines (Transportation) ............. 14,937 11,477 Sembcorp Logistics (Transportation) ............. 15,000 19,182 Sembcorp Marine (Transportation) ............. 26,000 13,771 Venture Manufacturing (Electronics) ................ 2,500 16,603 ---------- 73,766 ---------- SPAIN -- 2.4% Aldeasa (Retailing) ............. 4,000 82,948 Baron de Ley* (Consumer Goods and Services) .......... 4,700 90,813 Compania de Distribucion Integral Logista* (Media) .... 6,600 78,025 Enaco* (Retailing) .............. 6,156 28,380 TelePizza* (Restaurants) ........ 8,776 16,362 ---------- 296,528 ---------- SWITZERLAND -- 1.8% Kaba Holding (Business Services) .......... 400 79,043 Swisslog Holding (Industrial Goods and Services) .......... 3,105 139,133 ---------- 218,176 ---------- SHARES VALUE ------- ---------- UNITED KINGDOM -- 11.2% ARC International* (Electronics) 27,000 $ 25,666 Ashtead Group (Construction and Property) .. 76,600 114,996 BTG* (Technology) ............... 7,023 115,719 Clinton Cards (Consumer Goods and Services) ................ 46,200 96,945 Fitness First* (Leisure and Hotels) ......... 10,000 82,386 Guardian IT (Business Services) . 10,000 87,315 GWR Group (Media) ............... 11,000 49,107 Informa Group (Business Services) .......... 25,300 108,315 Interserve (Business Services) .. 25,500 178,122 Parity (Computer Software) ...... 75,936 61,491 PizzaExpress (Consumer Goods and Services) .......... 16,000 206,175 Trifast (Electrical Distribution) 32,000 44,750 Xansa (Computer Software) ....... 45,176 185,774 ---------- 1,356,761 ---------- UNITED STATES -- 47.7% Abercrombie & Fitch (Class A)* (Consumer Goods and Services) ................ 400 17,800 Activision* (Computer Software) . 1,000 38,955 Actuate* (Computer Software) .... 2,500 23,887 Advanced Power Technology* (Electronics) ................ 800 11,900 Advent Software* (Computer Software) .......... 1,900 118,845 Affiliated Managers Group* (Financial Services) ......... 1,200 73,800 AirGate PCS* (Telecommunications) ......... 2,700 140,400 American Capital Strategies* (Financial Services) ......... 3,800 106,115 AmeriCredit* (Financial Services) ......... 1,200 62,340 Amerigon (Class A)* (Electronics) ................ 9,920 34,224 ANADIGICS* (Electronics) ........ 100 2,275 Anchor Gaming* (Leisure and Hotels) ......... 1,200 69,822 AnnTaylor Stores* (Consumer Goods and Services) .......... 400 14,320 Array BioPharma* (Drugs and Health Care) ...... 1,100 9,933 ------------------ * Non-income producing security. See Notes to Financial Statements. -- P-23 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO (continued) SHARES VALUE ------- ---------- UNITED STATES (continued) Astoria Financial (Financial Services) ......... 300 $ 16,272 Atlantic Coast Airlines Holdings* (Transportation) ............. 2,300 65,377 ATMI* (Electronics) ............. 900 27,495 Bergen Brunswig (Class A)* (Drugs and Health Care) ...... 3,500 67,270 Brinker International* (Consumer Goods and Services) ................ 2,450 63,332 California Pizza Kitchen* (Consumer Goods and Services) ................ 900 21,015 Cambrex (Medical Products and Technology) .............. 700 35,406 Career Education* (Schools) ..... 1,400 86,625 Caremark Rx* (Drugs and Health Care) ................. 7,500 123,375 Charles River Laboratories International* (Drugs and Health Care) ................. 1,800 62,550 Cognex* (Manufacturing) ......... 300 10,156 Commerce Bancorp (Financial Services) ......... 400 28,040 Community Health Systems* (Drugs and Health Care) ...... 4,600 135,700 Cooper Cameron* (Resources) ..... 1,400 78,120 Copart* (Business Services) ..... 3,900 112,749 Corinthian Colleges* (Schools) .. 2,100 99,225 Corporate Executive Board (The)* (Consulting Services) . 1,100 41,800 CoStar Group* (Business Services) .......... 1,600 42,072 Cox Radio (Class A)* (Media) .... 2,500 69,625 Credence Systems* (Electronics) ................ 1,200 29,082 Cytyc* (Medical Products and Technology) .............. 3,600 82,872 DeVry* (Schools) ................ 1,400 50,568 Dobson Communications (Class A)* (Telecommunications) ......... 4,100 69,269 Duane Reade* (Retailing) ........ 1,400 45,500 East West Bancorp (Financial Services) ......... 900 23,314 eFunds (Financial Services) ..... 900 16,533 Endocare* (Medical Products and Technology) .............. 2,400 35,880 SHARES VALUE ------ ---------- UNITED STATES (continued) Fisher Scientific International (Electronics) ................ 1,600 $ 46,400 Forrester Research* (Consulting Services) ........ 1,685 37,997 Gallagher (Arthur J.) (Financial Services) ......... 1,800 46,800 Genesco* (Retailing) ............ 1,900 63,840 Genomic Solutions* (Medical Products and Technology) ..... 4,000 18,980 Henry (Jack) & Associates (Business Services) .......... 2,200 68,629 Informatica* (Computer Software) .......... 800 13,124 Information Holdings* (Media) ... 100 3,230 InterCept Group (The)* (Business Services) .......... 1,100 42,427 InterMune* (Drugs and Health Care) ................. 1,900 67,117 Internet Security Systems* (Computer Software) .......... 1,200 59,226 IntraNet Solutions* (Computer Software) .......... 800 28,984 Iron Mountain* (Business Services) .......... 2,000 89,680 Isis Pharmaceuticals* (Drugs and Health Care) ...... 3,400 42,143 Kopin* (Electronics) ............ 2,300 28,255 Manor Care* (Drugs and Health Care) ...... 600 19,050 Marine Drilling* (Resources) .... 1,700 32,487 MatrixOne* (Computer Software) .. 1,900 42,968 MediChem Life Sciences* (Drugs and Health Care) ...... 2,200 11,143 Medicis Pharmaceutical (Class A)* (Drugs and Health Care) ...... 1,300 68,900 MemberWorks* (Consumer Goods and Services) ................ 1,600 37,152 Metris Companies (Financial Services) ......... 5,350 180,348 Mitchell Energy & Development (Class A) (Resources) ........ 400 18,500 MSC Industrial Direct (Class A) (Consumer Goods and Services) ................ 3,600 62,640 National-Oilwell* (Resources) ... 1,000 26,800 NetIQ* (Computer Software) ...... 1,000 31,710 Novoste* (Drugs and Health Care) ................. 1,800 45,585 ------------------ * Non-income producing security. See Notes to Financial Statements. -- P-24 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN GLOBAL SMALLER COMPANIES PORTFOLIO (continued) SHARES VALUE ------ ---------- UNITED STATES(continued) NYFIX* (Business Services) ...... 1,407 $ 40,064 Oakley* (Consumer Goods and Services) ................ 4,400 81,400 OM Group (Chemicals) ............ 800 45,000 Orion Power Holdings* (Utilities) 7,200 171,432 Pacific Sunwear of California* (Retailing) .................. 2,400 53,868 Pemstar* (Electronics) .......... 200 2,958 PRAECIS Pharmaceuticals* (Drugs and Health Care) ...... 2,100 34,535 Price Communications* (Telecommunications) ......... 3,300 66,627 Pride International* (Resources) 1,700 32,300 Priority Healthcare (Class B)* (Drugs and Health Care) ...... 2,900 80,896 Protective Life (Financial Services) ......... 400 13,748 Province Healthcare* (Drugs and Health Care) ...... 2,750 94,476 Rent-A-Center* (Retailing) ...... 800 41,860 Resource Connection (Consulting Services) ........ 700 16,247 RightCHOICE Managed Care* (Drugs and Health Care) ...... 300 13,320 Rural Cellular (Class A)* (Telecommunications) ......... 3,800 166,744 Sawtek* (Electronics) ........... 300 7,034 SBA Communications* (Telecommunications) ......... 4,700 117,876 SkyWest (Transportation) ........ 3,300 95,387 Spinnaker Exploration* (Manufacturing) .............. 500 19,930 Station Casinos* (Leisure and Hotels) ......... 4,100 65,600 SHARES VALUE ------ ---------- UNITED STATES (continued) THQ* (Computer Software) ........ 1,250 $ 74,538 Trigon Healthcare* (Drugs and Health Care) ...... 1,000 64,850 TriQuint Semiconductor* (Electronics) ................ 400 8,902 Tweeter Home Entertainment Group* (Retailing) ........... 1,400 49,336 UCBH Holdings (Financial Services) ......... 1,000 29,475 Universal Health Services (Class B)* (Drugs and Health Care) ................. 2,800 127,400 Venator Group* (Retailing) ...... 3,900 59,670 Waste Connections* (Environmental Management) ... 5,400 194,400 Watson Wyatt* (Consulting Services) ........ 1,700 39,746 Webster Financial (Financial Services) ......... 600 19,293 West* (Telecommunications) ...... 3,300 72,617 Western Wireless (Class A)* (Telecommunications) ......... 4,700 202,124 Williams-Sonoma* (Retailing) .... 800 31,056 XTO Energy (Resources) .......... 3,100 44,485 ---------- 5,777,147 ---------- TOTAL INVESTMENTS (Cost $10,677,996) ........... 11,301,010 OTHER ASSETS LESS LIABILITIES -- 6.8% ..... 821,621 ----------- NET ASSETS -- 100.0% ............ $12,122,631 =========== ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-25 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN GLOBAL TECHNOLOGY PORTFOLIO SHARES VALUE ------- --------- COMMON STOCKS -- 89.2% DENMARK -- 1.0% Maconomy* (Computer Software) .......... 48,500 $ 237,366 ---------- FINLAND -- 1.1% TietoEnator (Information Services) ....... 11,800 262,998 ---------- FRANCE -- 3.7% ActivCard (ADRs)* (Computer Hardware/ Peripherals) ................. 12,300 107,502 Altran Technologies (Information Services) ....... 6,380 297,370 Atos Origin* (Computer Software) .......... 3,700 266,523 Dassault Systemes (Computer Software) .......... 50 1,929 Schneider Electric (Electronic Manufacturing Services) .................... 3,000 166,015 Thomson Multimedia* (Electronics) ................ 1,915 61,669 ---------- 901,008 ---------- GERMANY -- 1.6% SAP (Computer Software) ......... 900 125,015 Software (Computer Software) .... 4,000 261,692 ---------- 386,707 ---------- HONG KONG -- 0.2% ASAT Holdings (ADRs)* (Electronic Manufacturing Services) .................... 2,700 12,339 China Unicom (ADRs)* (Telecommunications) ......... 2,500 44,250 ---------- 56,589 ---------- ISRAEL -- 1.9% Nova Measuring Instruments* (Electronics Capital Equipment) ................... 4,700 28,177 SHARES VALUE ------- --------- ISRAEL (continued) Orbotech* (Electronics Capital Equipment) ................... 11,850 $ 418,364 ---------- 446,541 ---------- JAPAN -- 8.4% HOYA (Communications Infrastructure) .............. 4,300 272,392 Kyocera (Electronics) ........... 3,000 264,614 Murata Manufacturing* (Electronics) ................ 5,100 339,019 NEC (Electronics) ............... 17,000 229,693 Omron (Electronic Manufacturing Services) ...... 22,000 397,803 Pioneer (Electronics) ........... 4,000 121,562 Sony (Electronics) .............. 4,300 282,736 Tokyo Electron (Semiconductors) . 1,900 115,027 ---------- 2,022,846 ---------- NETHERLANDS -- 2.2% ASML Holding* (Electronics) ..... 11,000 246,938 Getronics* (Information Services) ....... 65,000 269,913 ---------- 516,851 ---------- SOUTH KOREA -- 1.6% Korea Telecom (ADRs) (Telecommunications) ......... 17,800 391,244 ---------- SWITZERLAND -- 4.0% Leica Geosystems* (Information Services) ....... 1,800 516,003 TEMENOS Group* (Computer Software) .......... 12,300 146,861 Unaxis Holding (Class R) (Electronics) ................ 2,150 302,783 ---------- 965,647 ---------- TAIWAN -- 6.2% ASE Test* (Electronic Manufacturing Services) ...... 14,300 180,680 Asustek Computer (Electronics) ................ 91,250 385,619 Compal Electronics* (Computer and Business Services) ....... 141,250 151,793 ------------------- * Non-income producing security. See Notes to Financial Statements. -- P-26 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN GLOBAL TECHNOLOGY PORTFOLIO (continued) SHARES VALUE ------- --------- TAIWAN (continued) Compal Electronics (GDRs)*+ (Computer and Business Services) .......... 17,900 $ 95,765 Hon Hai Precision Industry (Electronics) ............... 32,000 168,225 Taiwan Semiconductor (ADRs)* (Semiconductors) ............ 10,000 151,900 United Microelectronics* (Electronic Manufacturing Services) ................... 82,000 108,841 United Microelectronics (ADRs)* (Electronic Manufacturing Services) ................... 29,100 258,990 ---------- 1,501,813 ---------- UNITED KINGDOM Spirent (Telecommunications) ... 717 2,232 ---------- UNITED STATES -- 57.3% Advanced Micro Devices* (Semiconductors) ............ 17,500 505,400 Amdocs* (Information Services) ...... 3,600 193,860 Amkor Technology* (Electronic Manufacturing Services) ................... 24,900 554,025 Amphenol (Class A)* (Communications Infrastructure) ............. 5,300 212,265 ATMI* (Electronic Manufacturing Services) ................... 6,600 201,630 Autodesk (Computer Software) ... 18,300 682,499 Avocent* (Computer Hardware/ Peripherals) ................ 6,700 151,588 BMC Software* (Computer Software) ......... 2,100 47,334 Cisco Systems* (Communications Infrastructure) ............. 9,500 172,805 Cognex* (Electronics Capital Equipment) .......... 9,800 331,779 Computer Associates International (Computer Software) ................... 15,900 572,400 SHARES VALUE ------- --------- UNITED STATES (continued) Credence Systems* (Electronics Capital Equipment) .......... 11,500 $ 278,703 CSG Systems International* (Information Services) ...... 14,500 822,222 DuPont Photomasks* (Semiconductors) ............ 2,000 96,310 Electro Scientific Industries* (Electronics Capital Equipment) .................. 9,800 353,535 Electronics for Imaging* (Computer Hardware/ Peripherals) ................ 19,500 576,225 Entegris* (Electronics Capital Equipment) .................. 7,100 81,330 FEI* (Electronics Capital Equipment) .................. 3,000 122,400 Garmin* (Communications Infrastructure) ............. 13,500 309,825 Instinet Group (The)* (Information Services) ...... 5,800 108,141 Integrated Device Technology* (Semiconductors) ............ 11,700 366,795 International Rectifier* (Semiconductors) ............ 5,100 173,910 KPMG Consulting* (Information Services) ...... 5,000 76,775 Lattice Semiconductor* (Semiconductors) ............ 25,500 629,850 Lexmark International (Class A)* (Computer Hardware/ Peripherals) ................ 9,200 618,700 Maxim Integrated Products* (Semiconductors) ............ 4,400 195,558 Mentor Graphics* (Computer Software) ......... 7,300 125,451 Microchip Technology* (Semiconductors) ............ 14,300 475,260 Novellus Systems* (Electronics Capital Equipment) .......... 9,200 522,514 Peregrine Systems* (Computer Software) ......... 6,300 181,787 Photronics* (Semiconductors) ............ 5,700 145,920 Polycom* (Communications Infrastructure) ............. 14,600 333,464 ------------------ * Non-income producing security. + Rule 144A security. See Notes to Financial Statements. -- P-27 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN GLOBAL TECHNOLOGY PORTFOLIO (continued) SHARES VALUE ------- ----------- UNITED STATES (continued) QUALCOMM* (Communications Infrastructure) .............. 1,000 $ 58,485 Rational Software* (Computer Software) .......... 10,200 283,509 Sanmina* (Electronic Manufacturing Services) ...... 4,400 103,972 SCI Systems* (Electronic Manufacturing Services) ...... 13,800 351,900 SunGard Data Systems* (Information Services) ....... 19,800 594,198 Symantec* (Computer Software) .......... 17,600 763,928 Synopsys* (Computer Software) .......... 10,400 508,508 Teradyne* (Electronics Capital Equipment)............ 7,400 244,940 TTM Technologies* (Electronic Manufacturing Services) ...... 2,200 19,382 SHARES VALUE ------- ----------- UNITED STATES (continued) Veeco Instruments* (Electronics Capital Equipment) ........... 5,600 $ 225,400 Verity* (Computer Software) ..... 9,100 180,498 Vishay Intertechnology* (Electronic Components) ...... 6,400 147,200 Wind River Systems* (Computer Software) .......... 5,600 95,396 ----------- 13,797,576 ----------- TOTAL INVESTMENTS -- 89.2% (Cost $23,311,987) ........... 21,489,418 OTHER ASSETS LESS LIABILITIES -- 10.8% .... 2,604,677 ----------- NET ASSETS -- 100.0% ............ $24,094,095 =========== ------------------------------------------------------------------------------- SELIGMAN HIGH-YIELD BOND PORTFOLIO PRINCIPAL AMOUNT VALUE ---------- --------- CORPORATE BONDS -- 89.2% AEROSPACE -- 0.2% Alliant Techsystems 8 1/2%, 5/15/2011+ ........... $ 25,000 $ 25,375 -------- AUTOMOTIVE AND RELATED -- 1.3% Collins & Aikman Products 11 1/2%, 4/15/2006+ .......... 25,000 23,750 Delco Remy International 11%, 5/1/2009+ ............... 5,000 5,225 Diamond Triumph Automotive 9 1/4%, 4/1/2008 ............. 100,000 92,500 Hayes Lemmerz International: 11%, 7/15/2006 ............... 25,000 20,875 9 1/8%, 7/15/2007 ............ 25,000 19,000 -------- 161,350 -------- PRINCIPAL AMOUNT VALUE ---------- --------- BROADCASTING -- 2.2% AMFM Operating 12 5/8%, 10/31/2006 ................... $ 51,800 $ 57,110 Canwest Media 10 5/8%, 5/15/2011+ ................... 40,000 40,800 Cumulus Media 10 3/8%, 7/1/2008 ..................... 150,000 150,000 Nextmedia 10 3/4%, 7/1/2011 ..... 25,000 24,628 Radio One 8 7/8%, 7/1/2011 ...... 15,000 15,075 -------- 287,613 -------- BUSINESS SERVICES -- 2.7% Iron Age 9 7/8%, 5/1/2008 ....... 250,000 171,250 Iron Age Holding 0% (12 1/8%**), 5/1/2009 ..................... 80,000 8,500 Iron Mountain 8 5/8%, 4/1/2013... 40,000 40,500 Muzak 9 7/8%, 3/15/2009 ......... 95,000 86,450 Unisys 8 1/8%, 6/1/2006 ......... 40,000 39,100 -------- 345,800 -------- ------------------- * Non-income producing security. ** Deferred-interest debentures pay no interest for a stipulated number of years, after which they pay the indicated coupon rate. + Rule 144A security. See Notes to Financial Statements. -- P-28 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN HIGH-YIELD BOND PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE ---------- --------- CABLE SYSTEMS AND SATELLITE VIDEO -- 14.1% Adelphia Communications: 9 7/8%, 3/1/2007 .............. $ 75,000 $ 74,625 10 7/8%, 10/1/2010 ............ 150,000 152,625 10 1/4%, 6/15/2011 ............ 100,000 99,000 Charter Communications Holdings: 10%, 4/1/2009.................. 135,000 137,700 11 1/8%, 1/15/2011 ............ 125,000 132,500 10%, 5/15/2011+ ............... 50,000 51,000 Echostar 9 3/8%, 2/1/2009 ........ 100,000 98,500 GCI 9 3/4%, 8/1/2007 ............. 170,000 168,300 Northland Cable Television 10 1/4%, 11/15/2007 ........... 150,000 105,750 Pegasus Communications: 9 3/4%, 12/1/2006 ............. 25,000 22,125 12 1/2%, 8/1/2007+ ............ 200,000 199,000 Pegasus Satellite 12 3/8%, 8/1/2006 ...................... 200,000 189,000 Quebecor Media 11 1/8%, 7/15/2011+ .................... 200,000 199,500 Rogers Cablesystems 11%, 12/1/2015 ..................... 135,000 152,213 United Pan-Europe Communications (Netherlands) 11 1/2%, 2/1/2010 ............. 75,000 28,500 ---------- 1,810,338 ---------- CHEMICALS -- 5.0% IMC Global 10 7/8%, 6/1/2008+ ..................... 25,000 25,000 Koppers Industry 9 7/8%, 12/1/2007 ..................... 125,000 123,125 Lyondell Chemical (Series B) 9 7/8%, 5/1/2007 .............. 175,000 174,125 Lyondell Chemical 10 7/8%, 5/1/2009 ...................... 100,000 98,500 Millennium America 9 1/4%, 6/15/2008+ .................... 25,000 25,000 Texas Petrochemicals 11 1/8%, 7/1/2006 ...................... 225,000 201,375 ---------- 647,125 ---------- COMMUNICATIONS INFRASTRUCTURE -- 4.1% American Tower 9 3/8%, 2/1/2009+ ..................... 50,000 46,875 PRINCIPAL AMOUNT VALUE COMMUNICATIONS ---------- ---------- INFRASTRUCTURE (continued) Crown Castle International 10 3/4%, 8/1/2011 ............. $125,000 $ 121,562 Pinnacle Holdings 0% (10%**), 3/15/2008 ..................... 175,000 91,000 SpectraSite Holdings: 0% (11 1/4%**), 4/15/2009 ..... 125,000 58,125 10 3/4%, 3/15/2010 ............ 125,000 106,875 12 1/2%, 11/15/2010 ........... 115,000 109,250 ---------- 533,687 ---------- CONSUMER PRODUCTS -- 0.2% Playtex Products 9 3/8%, 6/1/2011+ ..................... 25,000 25,563 ---------- CONTRACT MANUFACTURING/ CIRCUIT BOARDS -- 0.6% Flextronics International 9 7/8%, 7/1/2010 ...................... 50,000 50,000 MCMS 9 3/4%, 3/1/2008 ............ 150,000 23,250 ---------- 73,250 ---------- ENERGY -- 0.9% Abraxas Petroleum 11 1/2%, 11/1/2004 ..................... 75,000 70,125 Dresser 9 3/8%, 4/15/2011+ ....... 20,000 20,350 El Paso Energy Partnership 8 1/2%, 6/1/2011 .............. 10,000 10,050 Lone Star Technologies 9%, 6/1/2011+ ..................... 10,000 9,700 ---------- 110,225 ---------- ENVIRONMENTAL SERVICES -- 2.4% Allied Waste North America: 7 7/8%, 1/1/2009+ ............. 50,000 49,125 10%, 8/1/2009+ ................ 250,000 258,125 ---------- 307,250 ---------- EQUIPMENT -- 2.1% BRL Universal Equipment 8 7/8%, 2/15/2008 ............. 25,000 25,625 Neff 10 1/4%, 6/1/2008 ........... 50,000 27,750 Williams Scotsman 9 7/8%, 6/1/2007 ...................... 225,000 214,875 ---------- 268,250 ---------- --------------------- ** Deferred-interest debentures pay no interest for a stipulated number of years, after which they pay the indicated coupon rate. + Rule 144A security. See Notes to Financial Statements. -- P-29 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN HIGH-YIELD BOND PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE ---------- --------- FINANCIAL SERVICES -- 2.9% AMRESCO 10%, 3/15/2004* .......... $150,000 $ 84,750 Conseco 9%, 10/15/2006 ........... 25,000 23,438 Dollar Financial Group 10 7/8%, 11/15/2006 .................... 200,000 197,000 IOS Capital 9 3/4%, 6/15/2004 .... 25,000 24,962 Ocwen Capital Trust I 10 7/8%, 8/1/2027 ...................... 50,000 40,250 -------- 370,400 -------- FUNERAL SERVICES -- 0.6% Service Corp. International 7.20%, 6/1/2006 ...................... 60,000 51,900 Stewart Enterprises 10 3/4%, 7/1/2008+ ..................... 25,000 25,875 -------- 77,775 -------- GAMING/HOTELS -- 6.9% Alliance Gaming 10%, 8/1/2007 .... 75,000 74,625 Ameristar Casinos 10 3/4%, 2/15/2009 ..................... 165,000 173,250 Hollywood Casino: 13%, 8/1/2006 ................. 25,000 26,375 11 1/4%, 5/1/2007 ............. 150,000 159,000 Isle of Capri Casinos 8 3/4%, 4/15/2009 ..................... 50,000 45,937 Mandalay Resort Group 10 1/4%, 8/1/2007 ............. 50,000 52,625 MGM Mirage 8 3/8%, 2/1/2011 ...... 50,000 50,563 Station Casinos 9 7/8%, 7/1/2010 . 50,000 52,063 Trump Atlantic City Associates 11 1/4%, 5/1/2006 ............. 25,000 16,750 Trump Hotels & Casino Resorts Funding 15 1/2%, 6/15/2005 .... 310,000 239,475 -------- 890,663 -------- HEALTH CARE/ MEDICAL PRODUCTS -- 1.0% Alliance Imaging 10 3/8%, 4/15/2011+ .................... 25,000 25,750 Beverly Enterprises 9 5/8%, 4/15/2009+ .................... 10,000 10,300 Davita 9 1/4%, 4/15/2011+ ........ 25,000 25,625 Fresenius Medical Care 9%, 12/1/2006 ..................... 25,000 25,500 PRINCIPAL AMOUNT VALUE ---------- --------- HEALTH CARE/ MEDICAL PRODUCTS (continued) Magellan Health Services 9 3/8%, 11/15/2007+ ................... $ 20,000 $ 20,425 Tenet Healthcare 8 5/8%, 1/15/2007 ..................... 25,000 26,062 -------- 133,662 -------- INDUSTRIAL/ MANUFACTURING -- 3.0% Airxcel 11%, 11/15/2007 .......... 150,000 78,000 Alliance Laundry System 9 5/8%, 5/1/2008 ...................... 150,000 90,750 Applied Extrusion Technology 10 3/4%, 7/1/2011+ ............ 25,000 25,375 Briggs & Straton 8 7/8%, 3/15/2011+ .................... 10,000 10,150 Day International Group 9 1/2%, 3/15/2008 ..................... 100,000 88,500 Great Lakes Carbon 10 1/4%, 5/15/2008 ..................... 135,000 80,325 Integrated Electrical Services 9 3/8%, 2/1/2009+ ............. 10,000 9,850 -------- 382,950 -------- INTERNET AND RELATED -- 0.4% Exodus Communications 11 1/4%, 7/1/2008 ............. 100,000 35,000 PSINet: 11 1/2%, 11/1/2008* ........... 150,000 9,750 11%, 8/1/2009* ................ 175,000 11,375 -------- 56,125 -------- LEISURE -- 1.6% Affinity Group Holding 11%, 4/1/2007 ...................... 250,000 208,750 -------- PAGING -- 0.4% Metrocall: 9 3/4%, 11/1/2007* ............ 200,000 13,000 11%, 9/15/2008* ............... 390,000 25,350 ProNet 11 7/8%, 6/15/2005* ....... 265,000 17,225 -------- 55,575 -------- ------------------- * Non-income producing security; issuer in default. + Rule 144A security. See Notes to Financial Statements. -- P-30 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN HIGH-YIELD BOND PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE ---------- ---------- PAPER AND PACKAGING -- 0.2% Potlatch 10%, 7/15/2011+ ........ $ 25,000 $ 25,250 ---------- PRINTING AND PUBLISHING -- 14.0% Advanstar Communications 12%, 2/15/2011 .................... 50,000 51,250 American Lawyer Media 9 3/4%, 12/15/2007 ................... 50,000 46,750 American Media Operations 10 1/4%, 5/1/2009 ............ 175,000 179,812 Liberty Group Operating 9 3/8%, 2/1/2008 ..................... 225,000 158,625 Liberty Group Publishing 0% (11 5/8%**), 2/1/2009 ........ 400,000 238,000 Perry-Judd 10 5/8%, 12/15/2007 .. 140,000 126,700 Primedia 8 7/8%, 5/15/2011+ ..... 50,000 46,500 Regional Independent Media Group 10 1/2%, 7/1/2008 ...... 125,000 125,625 TDL Infomedia Holdings 0% (15 1/2%**), 10/15/2010 ...... 600,000 495,000 TransWestern Holdings: 9 5/8%, 11/15/2007 ........... 50,000 50,625 0% (11 7/8%**), 11/15/2008 ... 250,000 210,000 Von Hoffman Press 10 7/8%, 5/15/2007+ ................... 75,000 67,875 ---------- 1,796,762 ---------- RETAILING -- 2.5% NBC Acquisition 0% (10 3/4%**), 2/15/2009 .................... 420,000 304,500 Nebraska Book 8 3/4%, 2/15/2008 .................... 25,000 22,750 ---------- 327,250 ---------- SEMICONDUCTORS -- 2.3% Amkor Technology: 9 1/4%, 5/1/2006 ............. 50,000 48,500 10 1/2%, 5/1/2009 ............ 125,000 119,687 Fairchild Semiconductor 10 3/8%, 10/1/2007 ........... 125,000 121,875 ---------- 290,062 ---------- TELECOMMUNICATIONS -- 5.8% Asia Global Crossing 13 3/8%, 10/15/2010 ................... 50,000 40,250 PRINCIPAL AMOUNT VALUE ---------- ---------- TELECOMMUNICATIONS (continued) BTI Telecom 10 1/2%, 9/15/2007 .. $150,000 $ 29,250 Citizens Communications 9 1/4%, 5/15/2011 .................... 45,000 46,857 Global Crossing Holding 9 1/2% 11/15/2009 ................... 150,000 118,125 ICG Holdings 0% (11 5/8%**), 3/15/2007* ................... 250,000 38,750 Level 3 Communications 11%, 3/15/2008 .................... 50,000 22,250 McLeodUSA 12%, 7/15/2008 ........ 275,000 174,625 Metromedia Fiber Network 10%, 12/15/2009 ................... 100,000 38,500 NEXTLINK Communications 12 1/2%, 4/15/2006 ........... 275,000 94,875 Talton Holdings 11%, 6/30/2007 .. 155,000 98,812 Williams Communications 11.70%, 8/1/2008 ............. 100,000 42,000 ---------- 744,294 ---------- TRANSPORTATION -- 0.8% Atlas Air 10 3/4%, 8/1/2005 ..... 125,000 98,125 ---------- UTILITIES -- 1.8% AES 9 3/8%, 9/15/2010 ........... 50,000 50,750 Avista 9 3/4%, 6/1/2008 ......... 15,000 16,031 CMS Energy 8 1/2%, 4/15/2011 .... 50,000 48,642 Midland Cogeneration Venture 11 3/4%, 7/23/2005 ........... 100,000 109,862 ---------- 225,285 ---------- WIRELESS TELEPHONY -- 9.2% Centennial Cellular 10 3/4%, 12/15/2008 ................... 350,000 325,500 Dobson Communications 10 7/8%, 7/1/2010 ............ 100,000 100,500 Nextel Communications 9 3/8%, 11/15/2009 ................... 125,000 99,375 Powertel 11 1/8%, 6/1/2007 ...... 190,000 207,100 Price Communications Wireless 11 3/4%, 7/15/2007 ........... 400,000 430,000 Rogers Wireless 9 5/8%, 5/1/2011+ .................... 25,000 25,250 ---------- 1,187,725 ---------- ------------------ * Non-income producing security; issuer in default. ** Deferred-interest debentures pay no interest for a stipulated number of years, after which they pay the indicated coupon rate. + Rule 144A security. See Notes to Financial Statements. -- P-31-- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN HIGH-YIELD BOND PORTFOLIO (continued) SHARES VALUE ------- ---------- TOTAL CORPORATE BONDS (Cost $14,461,707) ............ $11,466,479 ----------- PREFERRED STOCKS -- 9.5% BROADCASTING -- 1.6% Cumulus Media 13 3/4% ............ 70 64,575 Sinclair Capital 11 5/8%+ ........ 1,500 142,875 ----------- 207,450 ----------- CABLE SYSTEMS AND SATELLITE VIDEO -- 1.1% Pegasus Communications (Series A) 12 3/4% ............ 143 135,850 ----------- COMMUNICATIONS INFRASTRUCTURE -- 0.1% Crown Castle International 12 3/4% ......... 10 8,525 ----------- CONTRACT MANUFACTURING/ CIRCUIT BOARDS -- 0.5% MCMS 12 1/2%0 .................... 1,838 69,385 ----------- HEALTH CARE/MEDICAL PRODUCTS -- 0.1% River Holding 11 1/2%0 ........... 360 8,370 ----------- INDUSTRIAL/ MANUFACTURING -- 0.9% Day International Group 12 1/4% .. 159 119,476 ----------- PRINTING AND PUBLISHING -- 1.7% Liberty Group Publishing 14 3/4% . 13,202 214,533 ----------- TELECOMMUNICATIONS -- 1.6% Broadwing Communications 12 1/2% ....................... 75 74,437 Global Crossing Holding 10 1/2% .. 2,325 134,269 ----------- 208,706 ----------- WIRELESS TELEPHONY -- 1.9% Nextel Communications 11 1/8% .... 125 75,312 Rural Cellular 11 3/8%+ .......... 210 174,825 ----------- 250,137 ----------- PRINCIPAL AMOUNT OR SHARES VALUE ---------- ----------- TOTAL PREFERRED STOCKS (Cost $1,759,444) ............. $ 1,222,432 ----------- CONVERTIBLE BONDS -- 2.3% CONTRACT MANUFACTURING/ CIRCUIT BOARDS -- 0.2% SCI Systems 3%, 3/15/2007 ........ $ 25,000 20,031 ----------- SEMICONDUCTORS -- 1.9% Amkor Technology 5%, 3/15/2007+ .................... 50,000 40,687 Analog Devices 4 3/4%, 10/1/2005 ..................... 40,000 36,800 Cypress Semiconductor 4%, 2/1/2005 ...................... 50,000 45,937 Lattice Semiconductor 4 3/4%, 11/1/2006 ..................... 50,000 69,250 LSI Logic 4%, 2/15/2005 .......... 40,000 33,350 Transwitch 4 1/2%, 9/12/2005 ..... 30,000 22,088 ----------- 248,112 ----------- WIRELESS TELEPHONY -- 0.2% Nextel Communications 5 1/4%, 1/15/2010 ..................... 35,000 21,525 ----------- TOTAL CONVERTIBLE BONDS (Cost $299,211) ............... 289,668 ----------- CONVERTIBLE PREFERRED STOCKS -- 0.3% INTERNET AND RELATED PSINet 7%+ ....................... 835 shs. 209 ----------- TELECOMMUNICATIONS -- 0.3% Global Crossing 7% ............... 450 43,200 ----------- TOTAL CONVERTIBLE PREFERRED STOCKS (Cost $164,252) ............... 43,409 ----------- TOTAL INVESTMENTS -- 101.3% (Cost $16,684,614) ............ 13,021,988 OTHER ASSETS LESS LIABILITIES -- (1.3)% .... (163,929) ----------- NET ASSETS -- 100.0% ............. $12,858,059 =========== ------------------ * Non-income producing security. 0 Represents a pay-in-kind security which may pay interest or dividends in additional bonds or shares. + Rule 144A security. See Notes to Financial Statements. -- P-32 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN INCOME PORTFOLIO SHARES VALUE ------- ---------- COMMON STOCKS -- 59.0% Basic Materials -- 0.3% Masco ............................ 500 $ 12,480 ---------- Biotechnology -- 0.3% Genentech* ....................... 300 16,530 ---------- COMMUNICATION EQUIPMENT -- 0.9% CIENA* ........................... 200 7,601 Lucent Technologies .............. 1,000 6,200 Nortel Networks (Canada) ......... 800 7,272 QUALCOMM* ........................ 400 23,394 ---------- 44,467 ---------- COMMUNICATIONS -- 3.6% AT&T ............................. 1,300 28,600 SBC Communications ............... 1,379 55,243 Sprint FON Group ................. 800 17,088 Verizon Communications ........... 1,220 65,270 Williams Communications Group* ........................ 904 2,667 ---------- 168,868 ---------- CONSUMER GOODS AND SERVICES -- 2.0% AOL Time Warner* ................. 600 31,800 Kraft Foods (Class A)* ........... 1,000 31,000 Pepsico .......................... 700 30,910 ---------- 93,710 ---------- DRUGS AND HEALTH CARE -- 8.5% Abbott Laboratories .............. 1,200 57,612 American Home Products ........... 700 40,908 Baxter International ............. 1,600 78,400 Bristol-Myers Squibb ............. 500 26,150 Johnson & Johnson ................ 800 40,000 Pfizer ........................... 1,600 64,080 St. Jude Medical ................. 1,600 96,000 ---------- 403,150 ---------- ELECTRIC AND GAS UTILITIES -- 2.1% Calpine* ......................... 900 34,020 Dynegy (Class A) ................. 600 27,900 El Paso .......................... 738 38,775 ---------- 100,695 ---------- SHARES VALUE ------- ---------- ELECTRONIC TECHNOLOGY -- 8.6% Agere Systems (Class A)* ......... 4,900 $ 36,750 Agilent Technologies* ............ 733 23,822 Analog Devices* .................. 900 38,925 Cisco Systems* ................... 2,000 36,380 Compaq Computer .................. 1,800 27,882 EMC .............................. 300 8,715 Intel ............................ 2,200 64,295 International Business Machines ...................... 650 73,450 Jabil Circuit* ................... 100 3,086 JDS Uniphase* .................... 300 3,748 Micron Technology ................ 500 20,550 Novellus Systems* ................ 600 34,077 Palm* ............................ 1,200 7,290 Xilinx* .......................... 750 30,690 ---------- 409,660 ---------- ENERGY -- 4.6% Baker Hughes ..................... 500 16,750 BP (ADRs) (United Kingdom) ....... 700 34,895 Exxon Mobil ...................... 1,192 104,121 Royal Dutch Petroleum (NY shares) (Netherlands) ..... 600 34,962 Schlumberger ..................... 500 26,325 ---------- 217,053 ---------- FINANCE AND INSURANCE -- 10.6% American International Group ..... 1,112 95,632 Bank of New York ................. 1,250 60,000 Chubb ............................ 900 69,687 Citigroup ........................ 2,133 112,708 Fannie Mae ....................... 900 76,635 Merrill Lynch .................... 700 41,475 XL Capital (Class A) (Bermuda) ... 600 49,260 ---------- 505,397 ---------- LEISURE AND HOTELS -- 0.3% Starwood Hotels & Resorts Worldwide ............. 400 14,912 ---------- MACHINERY AND INDUSTRIAL EQUIPMENT -- 4.3% General Electric ................. 2,200 107,250 United Technologies .............. 1,350 98,901 ---------- 206,151 ---------- ----------------- * Non-income producing security. See Notes to Financial Statements. -- P-33 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN INCOME PORTFOLIO (continued) SHARES OR PRINCIPAL AMOUNT VALUE --------- --------- MEDIA -- 2.5% Adelphia Communications (Class A)* .................... 1,100 shs. $ 44,715 Clear Channel Communications* .... 200 12,540 Comcast (Class A)* ............... 1,100 47,630 Viacom (Class B)* ................ 300 15,525 ---------- 120,410 ---------- OFFICE EQUIPMENT -- 1.9% Pitney Bowes ..................... 2,200 92,664 ---------- PAPER AND FOREST PRODUCTS -- 0.3% Mead ............................. 500 13,570 ---------- RETAIL TRADE -- 3.7% Costco Wholesale ................. 800 32,852 Home Depot (The) ................. 650 30,258 Limited (The) .................... 1,700 28,084 May Department Stores ............ 800 27,408 Wal-Mart Stores .................. 1,150 56,120 ---------- 174,722 ---------- TECHNOLOGY SERVICES -- 4.5% Citrix Systems* .................. 1,050 36,724 Electronic Data Systems .......... 600 37,500 Microsoft* ....................... 1,700 122,111 Oracle* .......................... 1,000 19,005 ---------- 215,340 ---------- TOTAL COMMON STOCKS (Cost $2,865,939) ............. 2,809,779 ---------- CORPORATE BONDS -- 13.5% AUTOMOTIVE AND RELATED -- 1.7% DaimlerChrysler 7 3/4%, 6/15/2005 ..................... $30,000 31,536 Ford Motor Credit 6 1/2%, 8/1/2018 ...................... 30,000 27,275 General Motors Acceptance 6 3/4%, 1/15/2006 ............. 20,000 20,329 ---------- 79,140 ---------- CHEMICALS -- 0.5% Lyondell Chemical 9 5/8%, 5/1/2007 ...................... 25,000 24,938 ---------- PRINCIPAL AMOUNT VALUE --------- --------- COMMUNICATIONS -- 2.6% Global Crossing Holdings 9 1/8%, 11/15/2006 ............ $25,000 $ 9,813 GTE North 5.65%, 11/15/2008 ...... 20,000 18,966 Metronet Communications 0% (9.95%**), 6/15/2008 .......... 50,000 42,310 Sprint Capital 7 1/8%, 1/30/2006 ..................... 20,000 20,194 WorldCom 7 1/2%, 5/15/2011 ....... 25,000 24,383 ---------- 125,666 ---------- CONSUMER GOODS AND SERVICES -- 0.5% Campbell Soup 6 3/4%, 2/15/2011 ..................... 25,000 24,924 ---------- DRUGS AND HEALTH CARE -- 0.4% Abbott Laboratories 5 1/8%, 7/1/2006 ...................... 20,000 19,900 ---------- ELECTRIC AND GAS UTILITIES -- 1.1% National Rural Utilities 6%, 5/15/2006 ..................... 30,000 30,158 Ocean Energy 8 1/4%, 7/1/2008 .... 20,000 21,100 ---------- 51,258 ---------- FINANCE AND INSURANCE -- 4.7% Allstate 7.20%, 12/1/2009 ........ 20,000 20,811 Associates Corp. North America 6.95%, 11/1/2018 .............. 25,000 24,882 Bank One 6 1/2%, 2/1/2006 ........ 15,000 15,204 Citigroup 6 3/4%, 12/1/2005 ...... 20,000 20,692 Heller Financial 8%, 6/15/2005 ... 20,000 21,351 Household Finance 6 1/2%, 11/15/2008 .................... 25,000 24,541 JP Morgan Chase 6 3/4%, 2/1/2011 ...................... 15,000 15,047 Morgan Stanley Group 6 3/4%, 4/15/2011 ..................... 20,000 19,896 Schwab (Charles) 8.05%, 3/1/2010 ...................... 25,000 26,779 State Street Bank & Trust 7.65%, 6/15/2010 .............. 30,000 32,100 ---------- 221,303 ----------------- ---------- * Non-income producing security. ** Deferred-interest debentures pay no interest for a stipulated number of years, after which they pay the indicated coupon rate. See Notes to Financial Statements. -- P-34 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN INCOME PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE --------- --------- MEDIA -- 0.5% CSC Holdings 7 1/4%, 7/15/2008 ..................... $25,000 $ 24,032 ---------- OFFICE EQUIPMENT -- 0.2% Pitney Bowes 5 7/8%, 5/1/2006 .... 10,000 9,964 ---------- RETAIL TRADE -- 0.5% Signet 7.80%, 9/15/2006 .......... 20,000 21,411 ---------- TECHNOLOGY SERVICES -- 0.4% Computer Sciences 7 1/2%, 8/8/2005 ...................... 20,000 20,452 ---------- TRANSPORTATION -- 0.4% Caliber Systems 7.80%, 8/1/2006 ...................... 20,000 20,890 ---------- TOTAL CORPORATE BONDS (Cost $655,187) ............... 643,878 ---------- US GOVERNMENT AND GOVERNMENT AGENCY SECURITIES -- 11.7% US GOVERNMENT SECURITIES -- 5.6% US Government Gtd. Title XI (Bay Transportation) 7.30%, 6/1/2021 ...................... 88,000 91,752 US Treasury Bonds: 7 1/2%, 11/15/2016 ............ 50,000 58,231 6 1/4%, 8/15/2023 ............. 45,000 46,850 US Treasury Notes: 6 1/2%, 10/15/2006 ............ 50,000 53,193 6%, 8/15/2009 ................. 15,000 15,604 ---------- Total US Government Securities (Cost $262,139) ............... 265,630 ---------- MORTGAGE-BACKED SECURITIES+ -- 5.0% FHLMC GOLD: 7 1/2%, 10/1/2017 ............. 39,747 40,917 8%, 12/1/2023 ................. 21,728 22,791 PRINCIPAL AMOUNT VALUE --------- --------- MORTGAGE-BACKED SECURITIES+ (continued) FNMA: 8 1/2%, 9/1/2015 .............. $ 27,964 $ 29,010 6%, 5/1/2016 .................. 24,907 24,550 6 1/2%, 5/1/2018 .............. 27,816 27,679 7%, 10/1/2020 ................. 13,846 13,993 8%, 6/1/2028 .................. 18,811 19,709 6%, 9/1/2028 .................. 25,319 24,470 7%, 12/1/2029 ................. 20,101 20,228 7 1/2%, 6/1/2030 .............. 16,621 16,980 Total Mortgage-Backed Securities (Cost $235,880) ............... 240,327 ---------- AGENCY SECURITIES -- 1.1% FHLMC: 5.07%, 6/28/2004 .............. 20,000 19,926 6 7/8%, 9/15/2010 ............. 30,000 31,567 ---------- Total Agency Securities (Cost $51,572) ................ 51,493 ---------- TOTAL US GOVERNMENT AND GOVERNMENT AGENCY SECURITIES (Cost $549,591) ............... 557,450 ---------- SUBORDINATED CONVERTIBLE BONDS -- 10.8% ELECTRONIC TECHNOLOGY -- 10.8% Amkor Technology 5%, 3/15/2007 ..................... 100,000 81,375 Conexant Systems 4%, 2/1/2007 ...................... 150,000 68,438 Cypress Semiconductor 4%, 2/1/2005 ...................... 100,000 91,875 LSI Logic 4%, 2/15/2005 .......... 100,000 83,375 NVIDIA 4 3/4%, 10/15/2007 ........ 150,000 186,375 ---------- TOTAL SUBORDINATED CONVERTIBLE BONDS (Cost $439,526) ............... 511,438 ---------- ------------------ + Investments in mortgage-backed and asset-backed securities are subject to principal paydowns. As a result of prepayments from refinancing or satisfaction of the underlying instruments, the average life may be less than the original maturity. This in turn may impact the ultimate yield realized from these investments. See Notes to Financial Statements. -- P-35 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN INCOME PORTFOLIO (continued) PRINCIPAL AMOUNT VALUE --------- --------- ASSET-BACKED SECURITIES+ -- 2.7% FINANCE AND INSURANCE -- 1.1% Citibank Credit Card 6 7/8%, 11/15/2009 ............ $25,000 $ 25,903 MBNA Master Credit Card 6.90%, 1/15/2008 .............. 25,000 26,126 ---------- 52,029 ---------- TRANSPORTATION -- 1.6% Northwest Airlines 7.041%, 4/1/2022 ...................... 30,000 30,162 United Air Lines 7.032%, 10/1/2010 ..................... 14,173 14,514 US Airways 7.076%, 9/20/2022 ..... 30,000 29,581 ---------- 74,257 ---------- VALUE --------- TOTAL ASSET-BACKED SECURITIES (Cost $114,483) ............... $ 126,286 ---------- TOTAL INVESTMENTS -- 97.7% (Cost $4,624,726) ............. 4,648,831 OTHER ASSETS LESS LIABILITIES -- 2.3% ...... 111,332 ---------- NET ASSETS -- 100.0% ............. $4,760,163 ========== ------------------------------------------------------------------------------- SELIGMAN INTERNATIONAL GROWTH PORTFOLIO SHARES VALUE -------- --------- COMMON STOCKS -- 94.5% BRAZIL -- 1.5% Empresa Brasileira de Aeronautica "Embraer" (ADRs) (Manufacturing) ............... 2,200 $ 85,910 ---------- CANADA -- 2.5% Barrick Gold* (Resources) ........ 1,800 27,270 Canadian Pacific (Diversified) ... 1,500 58,125 Weston (George) (Retailing) ...... 1,000 57,999 ---------- 143,394 ---------- DENMARK -- 1.0% Vestas Wind Systems* (Electronics) ................. 1,200 55,998 ---------- FINLAND -- 2.0% TietoEnator (Information Services) ........ 2,000 44,576 UPM-Kymmene* (Manufacturing) ............... 2,500 70,741 ---------- 115,317 ---------- FRANCE -- 14.5% Altran Technologies (Diversified) 530 24,703 Aventis (Drugs and Health Care) .. 1,100 87,906 Axa (Financial Services) ......... 2,250 64,163 SHARES VALUE -------- --------- FRANCE (continued) Carrefour* (Retailing) ........... 1,200 $63,559 Castorama Dubois Investissements (Retailing) ... 500 107,584 Groupe Danone (Consumer Products) ........... 500 68,686 Orange* (Telecommunications) ..... 15,800 128,541 Sanofi-Synthelabo* (Drugs and Health Care) ....... 1,800 118,219 TotalFinaElf (ADRs) (Resources) ................... 1,205 168,903 ---------- 832,264 ---------- GERMANY -- 4.0% Allianz (Financial Services) ..... 200 58,432 Deutsche Bank* (Financial Services) .......... 1,150 82,487 E.ON (Diversified) ............... 600 31,495 SAP (Computer and Technology Related) ........... 400 55,562 ---------- 227,976 ---------- HONG KONG -- 3.7% China Unicom (ADRs)* (Telecommunications) .......... 500 8,850 CNOOC* (Resources) ............... 43,500 41,549 CNOOC (ADRs)* (Resources) ........ 700 13,265 ---------------- * Non-income producing security. + Investments in mortgage-backed and asset-backed securities are subject to principal paydowns. As a result of prepayments from refinancing or satisfaction of the underlying instruments, the average life may be less than the original maturity. This in turn may impact the ultimate yield realized from these investments. See Notes to Financial Statements. -- P-36 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN INTERNATIONAL GROWTH PORTFOLIO (continued) SHARES VALUE -------- --------- HONG KONG (continued) Dah Sing Financial* (Financial Services) .......... 7,000 $ 36,168 HSBC Holdings (Financial Services) ..................... 2,096 24,723 Hutchison Whampoa (Diversified) ................. 6,000 60,578 Li & Fung (Consumer Products) ........... 18,000 29,539 ---------- 214,672 ---------- IRELAND -- 0.9% Bank of Ireland (Financial Services) .......... 5,064 50,210 ---------- ISRAEL -- 0.6% Teva Pharmaceutical (ADRs) (Drugs and Health Care) ....... 600 37,161 ---------- ITALY -- 4.1% Assicurazioni Generali (Financial Services) .......... 2,800 84,237 Mediolanum (Financial Services) ..................... 9,300 93,787 Pirelli (Manufacturing) .......... 19,700 54,926 ---------- 232,950 ---------- JAPAN -- 17.8% Benesse (Schools) ................ 1,000 31,353 Honda Motor (Automotive and Related) ...... 4,000 175,768 Keyence (Electronics) ............ 400 79,384 Konami* (Entertainment and Leisure) .................. 900 41,063 Nintendo (Consumer Products) ..... 500 91,011 Nippon System Development (Computer and Technology Related) ........... 1,300 79,015 Nippon Telegraph & Telephone "NTT" (Telecommunications) .......... 5 26,060 Nomura Securities (Financial Services) .......... 6,400 122,653 NTT DoCoMo (Telecommunications) .......... 4 69,601 Promise* (Financial Services) .... 1,300 107,161 SHARES VALUE -------- --------- JAPAN (continued) Sony (Consumer Products) ......... 1,100 $ 72,328 Sony (ADRs) (Consumer Products) ........... 1,000 65,800 Takeda Chemical Industries (Drugs and Health Care) ....... 1,300 60,460 ---------- 1,021,657 ---------- NETHERLANDS -- 8.2% Aegon* (Financial Services) ...... 3,000 84,533 ASML Holding (Electronics) ....... 2,710 60,837 Elsevier (Media) ................. 5,400 67,271 ING Groep (Financial Services) ... 970 63,460 Koninklijke (Royal) Philips Electronics (Electronics) ..... 1,360 36,086 Royal Dutch Petroleum (NYshares) (Resources) ........ 1,600 93,232 Unilever (Consumer Goods and Services) ................. 1,100 65,527 ---------- 470,946 ---------- SOUTH KOREA -- 1.1% Pohang Iron & Steel (ADRs) (Manufacturing) ............... 3,200 63,104 ---------- SPAIN -- 5.3% Banco Bilbao Vizcaya Argentaria (Financial Services) .......... 6,750 87,406 Banco Popular Espanol (Financial Services) .......... 1,900 66,483 Sogecable* (Media) ............... 2,000 40,237 Telefonica* (Telecommunications) .......... 3,368 41,557 Union Fenosa* (Power Generation Equipment) ......... 3,700 69,139 ---------- 304,822 ---------- SWITZERLAND -- 4.9% Novartis (Medical Products and Technology) ............... 3,200 115,870 Serono (Drugs and Health Care) ... 50 49,624 UBS (Financial Services) ......... 200 28,402 UBS (Financial Services) ......... 630 90,301 ---------- 284,197 ---------- TAIWAN -- 0.8% United Microelectronics (ADRs)* (Electronics) ................. 5,400 48,060 ---------- ---------------- * Non-income producing security. See Notes to Financial Statements. -- P-37 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (continued) ------------------------------------------------------------------------------- SELIGMAN INTERNATIONAL GROWTH PORTFOLIO (continued) SHARES VALUE -------- --------- UNITED KINGDOM -- 21.6% AstraZeneca (ADRs)* (Drugs and Health Care) ....... 1,200 $ 56,100 BAA (Transportation) ............. 6,830 63,483 Barclays (Financial Services) .... 2,200 67,542 BP (ADRs) (Resources) ............ 3,100 154,535 British American Tobacco (ADRs) (Consumer Products) ........... 6,500 102,700 Centrica (Utilities) ............. 26,400 84,490 Diageo (Consumer Products) ....... 15,172 166,660 GlaxoSmithKline (Drugs and Health Care) .................. 6,227 175,390 Royal Bank of Scotland Group (Financial Services) .......... 6,201 136,844 Royal Bank of Scotland Group (Additional Value Shares) (Financial Services) .......... 5,400 6,721 Scottish Power (Utilities) ....... 9,300 68,498 Tesco (Consumer Products) ........ 20,535 74,178 WPP Group (Media) ................ 8,600 84,780 ---------- 1,241,921 ---------- SHARES VALUE -------- --------- TOTAL COMMON STOCKS (Cost $5,650,546) ............. $5,430,559 ---------- PREFERRED STOCKS -- 2.2% GERMANY -- 2.2% Boss (Hugo) (Consumer Products) ........... 200 55,847 Porsche (non-Voting)* (Automotive and Related) ...... 200 68,982 ---------- TOTAL PREFERRED STOCKS (Cost $119,357) ............... 124,829 ---------- TOTAL INVESTMENTS -- 96.7% (Cost $5,769,903) ............. 5,555,388 OTHER ASSETS LESS LIABILITIES -- 3.3% ...... 191,330 ---------- NET ASSETS -- 100.0% ............. $5,746,718 ========== ------------------------------------------------------------------------------- SELIGMAN LARGE-CAP GROWTH PORTFOLIO SHARES VALUE -------- --------- COMMON STOCKS -- 98.8% CAPITAL GOODS -- 7.3% General Electric ................. 1,750 $ 85,313 Symbol Technologies* ............. 4,050 89,910 Texas Instruments ................ 4,100 129,150 Tyco International ............... 500 27,250 ---------- 331,623 ---------- COMMUNICATION SERVICES -- 5.9% AT&T ............................. 3,100 54,219 Global Crossing* (Bermuda) ....... 6,300 54,432 Sprint PCS Group* ................ 3,300 79,695 Verizon Communications ........... 1,500 80,250 ---------- 268,596 ---------- COMPUTER SOFTWARE -- 11.1% i2 Technologies* ................. 3,300 65,323 Microsoft* ....................... 3,100 222,673 Openwave Systems* ................ 4,766 166,786 VeriSign* ........................ 900 53,536 ---------- 508,318 ---------- SHARES VALUE -------- --------- CONSUMER CYCLICALS -- 10.7% GAP .............................. 2,900 $84,100 Home Depot ....................... 1,900 88,445 Mattel ........................... 3,000 56,760 Nike (Class B) ................... 2,300 96,577 Target ........................... 600 20,760 Toys "R" Us* ..................... 2,000 49,500 Wal-Mart Stores .................. 1,900 92,720 ---------- 488,862 ---------- CONSUMER STAPLES -- 13.7% AOL Time Warner* ................. 4,000 212,000 Coca-Cola ........................ 950 42,750 Comcast (Class A)* ............... 2,800 121,240 Philip Morris .................... 4,000 203,000 Viacom (Class B)* ................ 900 46,575 ---------- 625,565 ---------- ELECTRONIC TECHNOLOGY -- 16.0% Advanced Micro Devices ........... 1,600 46,208 Analog Devices* .................. 2,000 86,500 Applied Materials* ............... 1,200 59,628 ---------------- * Non-income producing security. See Notes to Financial Statements. -- P-38 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN LARGE-CAP GROWTH PORTFOLIO (continued) SHARES VALUE -------- --------- ELECTRONIC TECHNOLOGY (continued) Applied Micro Circuits* .......... 1,300 $ 22,360 Cisco Systems* ................... 5,300 96,407 Intel ............................ 4,200 122,745 Maxim Integrated Products* ....... 2,100 93,335 Microchip Technology* ............ 3,600 119,646 Micron Technology ................ 1,000 41,100 Novellus Systems* ................ 800 45,436 ---------- 733,365 ---------- FINANCIAL SERVICES -- 1.8% Citigroup ........................ 1,000 52,840 Mellon Financial ................. 600 27,600 ---------- 80,440 ---------- HEALTH CARE -- 17.8% American Home Products ........... 1,100 64,284 Amgen* ........................... 600 36,111 Applera-Applied Biosystems Group ......................... 1,500 40,125 Genentech* ....................... 1,000 55,100 Gilead Sciences* ................. 200 11,600 Human Genome Sciences* ........... 200 12,094 Johnson & Johnson ................ 1,000 50,000 Lilly (Eli) ...................... 400 29,600 MedImmune* ....................... 500 23,595 Medtronic ........................ 2,900 133,429 Merck ............................ 1,100 70,301 Novartis (ADRs) (Switzerland) .... 600 21,690 Pfizer ........................... 5,150 206,257 Schering-Plough .................. 1,600 57,984 ---------- 812,170 ---------- SHARES VALUE -------- --------- LEISURE AND ENTERTAINMENT -- 7.3% Electronic Arts* ................. 200 $ 11,540 Harley-Davidson .................. 1,350 63,558 Nintendo (ADRs) (Japan) .......... 2,200 50,435 Sony (ADRs) (Japan) .............. 1,300 85,540 Starwood Hotels & Resorts Worldwide ............. 3,300 123,024 ---------- 334,097 ---------- TELECOMMUNICATION EQUIPMENT -- 6.7% Nokia (ADRs) (Finland) ........... 3,300 72,732 Palm* ............................ 5,600 34,020 QUALCOMM* ........................ 1,600 93,576 Research In Motion* (Canada) ..... 1,300 41,763 RF Micro Devices ................. 2,400 64,428 ---------- 306,519 ---------- UTILITIES -- 0.5% AES .............................. 500 21,525 ---------- TOTAL INVESTMENTS (Cost $4,836,078) ............. 4,511,080 OTHER ASSETS LESS LIABILITIES -- 1.2% ...... 54,806 ---------- NET ASSETS -- 100.0% ............. $4,565,886 ========== ------------------------------------------------------------------------------- SELIGMAN LARGE-CAP VALUE PORTFOLIO SHARES VALUE -------- --------- COMMON STOCKS -- 98.3% AEROSPACE -- 8.7% Boeing ........................... 4,000 $ 222,400 Goodrich (B.F.) .................. 4,500 170,910 United Technologies .............. 2,500 183,150 ---------- 576,460 ---------- AUTOMOTIVE AND RELATED -- 3.2% Ford Motor ....................... 8,500 208,675 ---------- SHARES VALUE -------- --------- BANKING/DIVERSIFIED FINANCIAL/ SAVINGS AND LOANS -- 18.3% Bank of New York ................. 3,500 $ 168,000 Citigroup ........................ 4,000 211,360 Fannie Mae ....................... 2,200 187,330 FleetBoston Financial ............ 5,040 198,828 J.P. Morgan Chase ................ 5,000 223,000 Washington Mutual ................ 6,000 225,300 ---------- 1,213,818 ---------- ----------------- * Non-income producing security. See Notes to Financial Statements. -- P-39 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- PORTFOLIOS OF INVESTMENTS (unaudited) (continued) ------------------------------------------------------------------------------- SELIGMAN LARGE-CAP VALUE PORTFOLIO (continued) SHARES VALUE -------- --------- CHEMICALS -- 6.4% Dow Chemical ..................... 6,500 $ 216,125 Praxair .......................... 4,500 211,500 ---------- 427,625 ---------- DRUGS AND HEALTH CARE -- 6.6% American Home Products ........... 2,900 169,476 Bristol-Myers Squibb ............. 4,000 209,200 Humana* .......................... 6,100 60,085 ---------- 438,761 ---------- ELECTRIC AND GAS UTILITIES -- 0.7% Edison International ............. 4,100 45,715 ---------- ELECTRONIC TECHNOLOGY -- 3.4% International Business Machines .. 2,000 226,000 ---------- ENERGY -- 4.7% El Paso Energy ................... 2,100 110,334 Texaco ........................... 3,000 199,800 ---------- 310,134 ---------- HOUSEHOLD PRODUCTS AND FURNISHINGS -- 3.5% Kimberly-Clark ................... 4,200 234,780 ---------- INSURANCE -- 10.5% Allstate ......................... 5,000 219,950 St. Paul Companies ............... 4,500 228,105 UnumProvident .................... 7,800 250,536 ---------- 698,591 ---------- MEDICAL PRODUCTS AND TECHNOLOGY -- 6.4% Baxter International ............. 4,000 196,000 Medtronic ........................ 5,000 230,050 ---------- 426,050 ---------- SHARES VALUE -------- --------- PAPER AND FOREST PRODUCTS -- 6.0% Georgia-Pacific Group ............ 6,000 $ 203,100 International Paper .............. 5,500 196,350 ---------- 399,450 ---------- RETAIL TRADE -- 9.9% Costco Wholesale* ................ 6,000 246,390 RadioShack ....................... 5,500 167,750 Safeway* ......................... 5,000 240,000 ---------- 654,140 ---------- TELECOMMUNICATIONS -- 6.6% Qwest Communications International* ................ 7,000 223,090 Sprint FON Group ................. 10,000 213,600 ---------- 436,690 ---------- TOBACCO -- 3.4% Philip Morris .................... 4,500 228,375 ---------- TOTAL COMMON STOCKS (Cost $5,766,431) ............. 6,525,264 SHORT-TERM HOLDINGS -- 4.5% (Cost $300,000) .................. 300,000 ---------- TOTAL INVESTMENTS -- 102.8% (Cost $6,066,431) ............. 6,825,264 OTHER ASSETS LESS LIABILITIES -- (2.8)% ... (188,315) ---------- NET ASSETS -- 100.0% ............. $6,636,949 ========== ------------------------------------------------------------------------------- SELIGMAN SMALL-CAP VALUE PORTFOLIO SHARES VALUE -------- --------- COMMON STOCKS -- 63.9% AEROSPACE -- 1.6% Cubic ............................ 27,650 $ 873,463 ---------- APPAREL AND TEXTILES -- 0.5% Cutter & Buck* ................... 47,300 251,872 ---------- SHARES VALUE -------- --------- BANKING -- 1.5% Commercial Federal ............... 35,000 $ 808,500 ---------- BUILDING AND CONSTRUCTION -- 1.9% Dal-Tile International* .......... 57,000 1,057,350 ---------- ---------------- * Non-income producing security. See Notes to Financial Statements. -- P-40 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 ------------------------------------------------------------------------------- SELIGMAN SMALL-CAP VALUE PORTFOLIO (continued) SHARES VALUE BUSINESS GOODS -------- --------- AND SERVICES -- 2.9% Korn/Ferry International ......... 50,000 $ 775,000 Pittston Brink's Group ........... 36,272 808,503 ----------- 1,583,503 ----------- CHEMICALS -- 7.2% Crompton ......................... 90,000 981,000 Minerals Technologies ............ 18,000 772,560 NOVA Chemicals (Canada) .......... 65,000 1,344,850 Olin ............................. 49,100 834,209 ----------- 3,932,619 ----------- CONSUMER GOODS AND SERVICES -- 3.3% Constellation Brands (Class B)* .. 20,000 820,000 Fresh Del Monte Produce* ......... 90,000 992,700 ----------- 1,812,700 ----------- DRUGS AND HEALTH CARE -- 5.2% Apria Healthcare Group* .......... 29,000 836,650 Omnicare ......................... 49,000 989,800 Oxford Health Plans* ............. 34,000 972,400 ----------- 2,798,850 ----------- ELECTRONICS -- 3.9% Sensormatic Electronics* ......... 75,000 1,275,000 Trimble Navigation* .............. 43,500 836,288 ----------- 2,111,288 ----------- FINANCE AND INSURANCE -- 9.8% Berkley (W.R.) ................... 20,000 828,400 Mutual Risk Management ........... 186,100 1,656,290 PartnerRe (Bermuda) .............. 18,000 997,200 PMI Group (The) .................. 12,000 859,920 RenaissanceRe Holdings (Bermuda) ..................... 13,000 963,300 ----------- 5,305,110 ----------- LEISURE AND RELATED -- 1.6% Harman International Industries .................... 23,000 876,070 ----------- MACHINERY -- 3.2% Stewart & Stevenson Services ...................... 54,000 1,726,650 ----------- SHARES VALUE -------- --------- MANUFACTURING -- 3.6% Furniture Brands International* .. 35,000 $ 980,000 Mueller Industries* .............. 29,000 954,390 ----------- 1,934,390 ----------- MEDICAL PRODUCTS AND TECHNOLOGY -- 1.6% Pharmacopeia* .................... 39,000 850,200 ----------- OIL AND GAS -- 0.4% Valero Energy .................... 6,500 239,070 ----------- PACKAGING/CONTAINERS -- 3.3% BWAY* ............................ 155,000 821,500 Smurfit-Stone Container* ......... 60,000 973,500 ----------- 1,795,000 ----------- PLASTICS -- 1.0% Lamson & Sessions* ............... 80,000 536,000 ----------- PRINTING AND PUBLISHING -- 1.2% Cadmus Communications ............ 58,050 648,709 ----------- RESTAURANTS -- 1.8% Jack in the Box* ................. 37,450 977,445 ----------- RETAIL TRADE -- 6.9% Abercrombie & Fitch (Class A)* ... 24,000 1,068,000 Fred's ........................... 38,125 975,047 Urban Outfitters* ................ 66,000 702,900 Wet Seal (The) (Class A)* ........ 29,000 994,845 ----------- 3,740,792 ----------- UTILITIES -- 1.5% Orion Power Holdings* ............ 35,000 833,350 ----------- TOTAL COMMON STOCKS (Cost $29,872,723) ............ 34,692,931 SHORT-TERM HOLDINGS -- 2.9% (Cost $1,600,000) ............. 1,600,000 ----------- TOTAL INVESTMENTS -- 66.8% (Cost $31,472,723) ............ 36,292,931 OTHER ASSETS LESS LIABILITIES -- 33.2% ..... 18,031,113 ----------- NET ASSETS -- 100.0% ............. $54,324,044 =========== ---------------- * Non-income producing security. See Notes to Financial Statements. -- P-41 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- STATEMENTS OF ASSETS AND LIABILITIES (unaudited) -------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN SELIGMAN SELIGMAN CASH COMMON COMMUNICATIONS BOND CAPITAL MANAGEMENT STOCK AND INFORMATION PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO ---------- ----------- ----------- ----------- --------------- ASSETS: Investments, at value (see portfolios of investments): Long-term holdings ....................... $6,252,913 $32,641,716 $ -- $27,239,401 $137,422,737 Short-term holdings ...................... -- 800,000 13,932,499 1,100,000 13,700,000 ---------- ----------- ----------- ----------- ------------ Total Investments ........................ 6,252,913 33,441,716 13,932,499 28,339,401 151,122,737 Cash ..................................... 145,606 91,689 1,542 98,293 34,321 Interest and dividends receivable ........ 76,382 7,041 1,262 8,019 8,090 Receivable from the Manager .............. -- -- 3,683 -- -- Receivable for Capital Stock sold ........ -- 714 371,389 623,568 85,370 Receivable for securities sold ........... -- 1,915,268 -- 400,983 3,614,988 Other .................................... -- -- 10,909 -- -- ---------- ----------- ----------- ----------- ------------ TOTAL ASSETS ............................. 6,474,901 35,456,428 14,321,284 29,470,264 154,865,506 ---------- ----------- ----------- ----------- ------------ LIABILITIES: Payable for securities purchased ......... 59,802 1,186,039 -- 25,205 199,094 Payable to the Manager ................... 774 8,499 -- 8,662 94,331 Payable for Capital Stock redeemed ....... 351 34,072 318,884 207,388 125,201 Unrealized depreciation on foreign currencies and forward currency contracts .................... -- -- -- -- -- Payable to custodian ..................... -- -- -- -- -- Accrued expenses and other ............... 14,174 40,721 32,342 32,044 107,661 ---------- ----------- ----------- ----------- ------------ TOTAL LIABILITIES ........................ 75,101 1,269,331 351,226 273,299 526,287 ---------- ----------- ----------- ----------- ------------ NET ASSETS ............................... $6,399,800 $34,187,097 $13,970,058 $29,196,965 $154,339,219 ========== =========== =========== =========== ============ COMPOSITION OF NET ASSETS: Capital Stock, $0.001 at par ............. $ 610 $ 1,459 $ 13,968 $ 2,174 $ 9,235 Additional paid-in-capital ............... 6,092,889 26,040,214 13,953,824 23,883,061 142,114,023 Undistributed/accumulated net investment income (loss) .............. 535,412 (31,252) -- 351,492 (289,354) Undistributed/accumulated net realized gain (loss) ................. (277,016) 5,777,787 2,266 2,857,428 7,214,298 Net unrealized appreciation (depreciation) of investments ......... 47,905 2,398,889 -- 2,102,810 5,291,017 Net unrealized depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............ -- -- -- -- -- ---------- ----------- ----------- ----------- ------------ NET ASSETS ............................... $6,399,800 $34,187,097 $13,970,058 $29,196,965 $154,339,219 ========== =========== =========== =========== ============ Class 1 ............................... $6,399,800 $30,864,486 $13,970,058 $29,196,965 $134,918,637 Class 2 ............................... $ 3,322,611 $ 19,420,582 SHARES OF CAPITAL STOCK OUTSTANDING Class 1 ............................... 610,154 1,316,700 13,968,186 2,173,548 8,070,942 Class 2 ............................... 141,942 1,164,497 NET ASSET VALUE PER SHARE Class 1 ............................... $10.49 $23.44 $1.00 $13.43 $16.72 ====== ====== ===== ====== ====== Class 2 ............................... $23.41 $16.68 ====== ======
-- P-42 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- -------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN SELIGMAN SELIGMAN GLOBAL SMALLER GLOBAL HIGH-YIELD FRONTIER GLOBAL GROWTH COMPANIES TECHNOLOGY BOND PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO ----------- ---------- -------------- ----------- ----------- ASSETS: Investments, at value (see portfolios of investments): Long-term holdings ....................... $13,886,474 $5,729,789 $11,301,010 $21,489,418 $13,021,988 Short-term holdings ...................... 1,100,000 -- -- -- -- ----------- ---------- ----------- ----------- ----------- Total Investments ........................ 14,986,474 5,729,789 11,301,010 21,489,418 13,021,988 Cash ..................................... 29,101 520,140 723,093 2,069,965 -- Interest and dividends receivable ........ 1,111 11,968 23,670 10,146 329,731 Receivable from the Manager .............. -- -- -- -- -- Receivable for Capital Stock sold ........ 4,600 551 4,620 12 406 Receivable for securities sold ........... 382,065 106,700 222,382 848,188 146,258 Other .................................... -- -- 40 -- -- ----------- ---------- ----------- ----------- ----------- TOTAL ASSETS ............................. 15,403,351 6,369,148 12,274,815 24,417,729 13,498,383 ----------- ---------- ----------- ----------- ----------- LIABILITIES: Payable for securities purchased ......... 213,078 84,784 113,412 227,657 334,472 Payable to the Manager ................... 8,900 2,547 4,491 15,508 5,282 Payable for Capital Stock redeemed ....... 17,866 240 10,197 47,989 493 Unrealized depreciation on foreign currencies and forward currency contracts .................... -- -- 2 -- -- Payable to custodian ..................... -- -- -- -- 277,156 Accrued expenses and other ............... 32,941 21,015 24,082 32,480 22,921 ----------- ---------- ----------- ----------- ----------- TOTAL LIABILITIES ........................ 272,785 108,586 152,184 323,634 640,324 ----------- ---------- ----------- ----------- ----------- NET ASSETS ............................... $15,130,566 $6,260,562 $12,122,631 $24,094,095 $12,858,059 =========== ========== =========== =========== =========== COMPOSITION OF NET ASSETS: Capital Stock, $0.001 at par ............. $ 1,023 $ 478 $ 916 $ 1,364 $ 1,592 Additional paid-in-capital ............... 13,140,744 4,008,414 10,491,759 28,153,134 20,751,854 Undistributed/accumulated net investment income (loss) .............. (32,385) 1,630 (27,688) (121,346) 3,056,022 Undistributed/accumulated net realized gain (loss) ................. 710,400 2,293,516 1,035,664 (2,100,733) (7,288,783) Net unrealized appreciation (depreciation) of investments ......... 1,310,784 85,027 1,155,471 (1,495,786) (3,662,626) Net unrealized depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............ -- (128,503) (533,491) (342,538) -- ----------- ---------- ----------- ----------- ----------- NET ASSETS ............................... $15,130,566 $6,260,562 $12,122,631 $24,094,095 $12,858,059 =========== ========== =========== =========== =========== Class 1 ............................... $15,130,566 $6,260,562 $12,122,631 $21,022,341 $12,858,059 Class 2 ............................... $ 3,071,754 SHARES OF CAPITAL STOCK OUTSTANDING Class 1 ............................... 1,022,557 477,912 916,367 1,190,484 1,591,614 Class 2 ............................... 174,136 NET ASSET VALUE PER SHARE Class 1 ............................... $14.80 $13.10 $13.23 $17.66 $8.08 ====== ====== ====== ====== ===== Class 2 ............................... $17.64 ======
SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- June 30, 2001 -------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN SELIGMAN SELIGMAN INTERNATIONAL LARGE-CAP LARGE-CAP SMALL-CAP INCOME GROWTH GROWTH VALUE VALUE PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO ---------- ------------- ---------- ---------- ----------- ASSETS: Investments, at value (see portfolios of investments): Long-term holdings ....................... $4,648,831 $5,555,388 $4,511,080 $6,525,264 $34,692,931 Short-term holdings ...................... -- -- -- 300,000 1,600,000 ---------- ---------- ---------- ---------- ----------- Total Investments ........................ 4,648,831 5,555,388 4,511,080 6,825,264 36,292,931 Cash ..................................... 81,185 523,023 99,545 18,266 836 Interest and dividends receivable ........ 26,191 18,580 3,124 11,490 6,246 Receivable from the Manager .............. 625 -- -- -- -- Receivable for Capital Stock sold ........ -- 1,653 1,488 1,488 18,723,572 Receivable for securities sold ........... 43,364 162,683 34,393 -- 532,196 Other .................................... -- -- -- -- -- ---------- ---------- ---------- ---------- ----------- TOTAL ASSETS ............................. 4,800,196 6,261,327 4,649,630 6,856,508 55,555,781 ---------- ---------- ---------- ---------- ----------- LIABILITIES: Payable for securities purchased ......... 22,735 -- 67,375 205,428 1,186,865 Payable to the Manager ................... -- 4,415 877 2,422 26,156 Payable for Capital Stock redeemed ....... 183 482,582 1,594 1,621 337 Unrealized depreciation on foreign currencies and forward currency contracts .................... -- -- -- -- -- Payable to custodian ..................... -- -- -- -- -- Accrued expenses and other ............... 17,115 27,612 13,898 10,088 18,379 ---------- ---------- ---------- ---------- ----------- TOTAL LIABILITIES ........................ 40,033 514,609 83,744 219,559 1,231,737 ---------- ---------- ---------- ---------- ----------- NET ASSETS ............................... $4,760,163 $5,746,718 $4,565,886 $6,636,949 $54,324,044 ========== ========== ========== ========== =========== COMPOSITION OF NET ASSETS: Capital Stock, $0.001 at par ............. $ 495 $ 651 $ 501 $ 585 $ 4,588 Additional paid-in-capital ............... 4,663,317 7,963,094 5,740,025 5,798,843 48,822,090 Undistributed/accumulated net investment income (loss) .............. 291,536 2,202 3,781 112,317 (35,980) Undistributed/accumulated net realized gain (loss) ................. (219,290) (2,003,179) (853,423) (33,629) 713,138 Net unrealized appreciation (depreciation) of investments ......... 24,105 (13,940) (324,998) 758,833 4,820,208 Net unrealized depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............ -- (202,110) -- -- -- ---------- ---------- ---------- ---------- ----------- NET ASSETS ............................... $4,760,163 $5,746,718 $4,565,886 $6,636,949 $54,324,044 ========== ========== ========== ========== =========== Class 1 ............................... $4,760,163 $5,746,718 $4,565,886 $6,636,949 $52,095,931 Class 2 ............................... $ 2,228,113 SHARES OF CAPITAL STOCK OUTSTANDING Class 1 ............................... 495,188 650,829 501,229 585,068 4,399,538 Class 2 ............................... 188,107 NET ASSET VALUE PER SHARE Class 1 ............................... $9.61 $8.83 $9.11 $11.34 $11.84 ===== ===== ===== ====== ====== Class 2 ............................... $11.84 ======
-- P-43 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- STATEMENTS OF OPERATIONS (unaudited) -------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN COMMUNICATIONS SELIGMAN SELIGMAN CASH COMMON AND BOND CAPITAL MANAGEMENT STOCK INFORMATION PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO --------- ----------- ---------- ----------- ------------ INVESTMENT INCOME: Interest.................................. $ 212,215 $ 19,872 $366,360 $ 23,267 $ 397,638 Dividends*................................ -- 29,429 -- 145,832 33,697 --------- ----------- -------- ----------- ----------- TOTAL INVESTMENT INCOME .................. 212,215 49,301 366,360 169,099 431,335 --------- ----------- -------- ----------- ----------- EXPENSES: Management fee ........................... 13,371 66,485 29,540 59,759 562,173 Auditing fee ............................. 2,689 12,531 6,013 9,479 37,504 Directors' fees and expenses.............. 2,241 2,322 2,267 2,460 3,072 Legal fee................................. 1,274 3,483 1,989 2,773 10,406 Registration.............................. 1,793 2,554 2,750 2,436 9,123 Custody and related services.............. 1,175 10,657 8,091 13,888 30,162 Shareholder reports and communications......................... 885 5,075 11,194 2,098 14,381 Shareholder account services.............. -- 12,677 -- -- 22,206 Distribution and service fees-- Class 2... -- 2,919 -- -- 20,959 Miscellaneous............................. 931 1,579 2,245 2,374 6,840 --------- ----------- -------- ----------- ----------- TOTAL EXPENSES BEFORE WAIVER/ REIMBURSEMENT ......................... 24,359 120,282 64,089 95,267 716,826 Waiver/reimbursement of expenses............................... (4,305) (17,643) (64,089) (5,628) -- --------- ----------- -------- ----------- ----------- TOTAL EXPENSES AFTER WAIVER/ REIMBURSEMENT.......................... 20,054 102,639 -- 89,639 716,826 --------- ----------- -------- ----------- ----------- NET INVESTMENT INCOME (LOSS) ............. 192,161 (53,338) 366,360 79,460 (285,491) --------- ----------- -------- ----------- ----------- NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) on investments... 66,066 (5,126,261) -- 691,153 (10,065,579) Net realized loss from foreign currency transactions.................. -- -- -- -- -- Net change in unrealized appreciation/depreciation of investments......................... (87,951) 2,907,871 -- (2,625,832) 26,092,489 Net change in unrealized appreciation/depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts......... -- -- -- -- -- --------- ----------- -------- ----------- ----------- NET GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS.......... (21,885) (2,218,390) -- (1,934,679) 16,026,910 --------- ----------- -------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ....................... $ 170,276 $(2,271,728) $366,360 $(1,855,219) $15,741,419 ========= =========== ======== =========== =========== -------------------- * Net of foreign tax withheld as follows: $ -- $ -- $ -- $ 771 $ -- See Notes to Financial Statements.
-- P-44 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- -------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN SELIGMAN SELIGMAN GLOBAL SMALLER GLOBAL HIGH-YIELD FRONTIER GLOBAL GROWTH COMPANIES TECHNOLOGY BOND PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO --------- ----------- -------------- ----------- ----------- INVESTMENT INCOME: Interest.................................. $ 26,755 $ 14,360 $ 15,507 $ 61,386 $ 745,071 Dividends*................................ 15,615 50,060 45,944 33,078 105,803 --------- ----------- ----------- ----------- ----------- TOTAL INVESTMENT INCOME .................. 42,370 64,420 61,451 94,464 850,874 --------- ----------- ----------- ----------- ----------- EXPENSES: Management fee ........................... 56,312 34,753 63,815 129,623 36,374 Auditing fee ............................. 6,482 4,690 6,093 8,265 6,402 Directors' fees and expenses.............. 2,259 2,197 2,234 2,234 2,282 Legal fee................................. 1,628 1,319 1,706 2,428 1,618 Registration.............................. 2,036 2,411 2,635 4,829 2,138 Custody and related services.............. 21,855 13,901 35,326 31,874 9,002 Shareholder reports and communications......................... 1,873 939 1,296 5,270 1,372 Shareholder account services.............. -- -- -- 10,609 -- Distribution and service fees-- Class 2... -- -- -- 2,457 -- Miscellaneous............................. 1,345 1,126 2,464 2,699 1,392 --------- ----------- ----------- ----------- ----------- TOTAL EXPENSES BEFORE WAIVER/ REIMBURSEMENT ......................... 93,790 61,336 115,569 200,288 60,580 Waiver/reimbursement of expenses............................... (22,462) (12,682) (26,240) (16,358) (9,656) --------- ----------- ----------- ----------- ----------- TOTAL EXPENSES AFTER WAIVER/ REIMBURSEMENT.......................... 71,328 48,654 89,329 183,930 50,924 --------- ----------- ----------- ----------- ----------- NET INVESTMENT INCOME (LOSS) ............. (28,958) 15,766 (27,878) (89,466) 799,950 --------- ----------- ----------- ----------- ----------- NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) on investments... (129,223) (680,956) (137,650) (4,555,073) (2,610,940) Net realized loss from foreign currency transactions.................. -- (43,164) (306,377) (150,361) -- Net change in unrealized appreciation/depreciation of investments......................... (480,408) (75,103) (542,853) 1,791,955 761,228 Net change in unrealized appreciation/depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts......... -- (254,356) (139,290) (836,899) -- --------- ----------- ----------- ----------- ----------- NET GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS.......... (609,631) (1,053,579) (1,126,170) (3,750,378) (1,849,712) --------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ....................... $(638,589) $(1,037,813) $(1,154,048) $(3,839,844) $(1,049,762) ========= =========== =========== =========== =========== ---------------------- * Net of foreign tax withheld as follows: $ -- $ 5,963 $ 5,645 $ 5,658 $ -- See Notes to Financial Statements.
SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- For the Six Months Ended June 30, 2001 -------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN SELIGMAN SELIGMAN INTERNATIONAL LARGE-CAP LARGE-CAP SMALL-CAP INCOME GROWTH GROWTH VALUE VALUE PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO --------- ------------- ----------- --------- ---------- INVESTMENT INCOME: Interest.................................. $ 82,936 $ 10,212 $ 2,482 $ 1,961 $ 25,314 Dividends*................................ 15,592 57,304 13,288 56,210 74,924 --------- ----------- ----------- --------- ---------- TOTAL INVESTMENT INCOME .................. 98,528 67,516 15,770 58,171 100,238 --------- ----------- ----------- --------- ---------- EXPENSES: Management fee ........................... 10,207 32,600 16,887 24,018 117,132 Auditing fee ............................. 4,006 4,572 3,940 3,927 6,108 Directors' fees and expenses.............. 2,261 2,192 2,159 1,515 2,167 Legal fee................................. 1,252 1,306 1,152 1,267 2,073 Registration.............................. 1,799 2,290 1,913 1,796 2,699 Custody and related services.............. 5,570 20,888 1,562 638 3,836 Shareholder reports and communications......................... 1,057 914 862 778 4,554 Shareholder account services.............. -- -- -- -- 6,654 Distribution and service fees-- Class 2... -- -- -- -- 314 Miscellaneous............................. 1,436 1,663 709 805 778 --------- ----------- ----------- --------- ---------- TOTAL EXPENSES BEFORE WAIVER/ REIMBURSEMENT ......................... 27,588 66,425 29,184 34,744 146,315 Waiver/reimbursement of expenses............................... (12,279) (20,784) (12,299) (10,730) (11,516) --------- ----------- ----------- --------- ---------- TOTAL EXPENSES AFTER WAIVER/ REIMBURSEMENT.......................... 15,309 45,641 16,885 24,014 134,799 --------- ----------- ----------- --------- ---------- NET INVESTMENT INCOME (LOSS) ............. 83,219 21,875 (1,115) 34,157 (34,561) --------- ----------- ----------- --------- ---------- NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) on investments... 44,102 (704,801) (1,036,984) (67,257) 716,834 Net realized loss from foreign currency transactions.................. -- (34,993) -- -- -- Net change in unrealized appreciation/depreciation of investments......................... (160,372) (97,705) 468,959 (128,777) 2,277,316 Net change in unrealized appreciation/depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts......... -- (386,932) -- -- -- --------- ----------- ----------- --------- ---------- NET GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS.......... (116,270) (1,224,431) (568,025) (196,034) 2,994,150 --------- ----------- ----------- --------- ---------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ....................... $ (33,051) $(1,202,556) $ (569,140) $(161,877) $2,959,589 ========= =========== =========== ========= ========== --------------- * Net of foreign tax withheld as follows: $ 125 $ 7,870 $ 78 $ -- $ -- See Notes to Financial Statements.
-- P-45 -- Seligman Portfolios, Inc. -------------------------------------------------------------------------------- Statements of Changes in Net Assets --------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN BOND PORTFOLIO CAPITAL PORTFOLIO* CASH MANAGEMENT PORTFOLIO ----------------------- -------------------------- -------------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 --------- ---------- ----------- ----------- ----------- ----------- OPERATIONS: Net Investment income (loss) ............ $ 192,161 $ 350,076 $ (53,338) $ 28,295 $ 366,360 $ 799,641 Net realized gain (loss) on investments.. 66,066 (115,348) (5,126,261) 11,018,398 -- (107) Net realized gain (loss) from foreign currency transactions ........ -- -- -- -- -- -- Net change in unrealized appreciation/ depreciation of investments .......... (87,951) 330,845 2,907,871 (9,230,182) -- -- Net change in unrealized appreciation/ depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............................ -- -- -- -- -- -- ---------- ---------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ...................... 170,276 565,573 (2,271,728) 1,816,511 366,360 799,534 ---------- ---------- ----------- ----------- ----------- ----------- DISTRIBUTIONS TO SHAREHOLDERS: Net investment income-- Class 1 ......... -- -- -- -- (366,360) (799,641) Net realized gain on investments: Class 1 .............................. -- -- -- (1,883,592) -- -- Class 2 .............................. -- -- -- (67,345) -- -- ---------- ---------- ----------- ----------- ----------- ----------- DECREASE IN NET ASSETS FROM DISTRIBUTIONS ................... -- -- -- (1,950,937) (366,360) (799,641) ---------- ---------- ----------- ----------- ----------- ----------- CAPITAL SHARE TRANSACTIONS: Proceeds from sale of shares: Class 1 .............................. 2,516,916 3,192,081 2,259,035 20,226,591 74,126,359 67,583,046 Class 2 .............................. -- -- 1,938,668 1,892,120 -- -- Shares issued in payment of: Dividends-- Class 1 .................. -- -- -- -- 366,360 799,641 Gain distributions: Class 1 .............................. -- -- -- 1,883,592 -- -- Class 2 .............................. -- -- -- 67,345 -- -- ---------- ---------- ----------- ----------- ----------- ----------- Total ................................... 2,516,916 3,192,081 4,197,703 24,069,648 74,492,719 68,382,687 ---------- ---------- ----------- ----------- ----------- ----------- Cost of shares redeemed: Class 1 .............................. (2,770,011) (2,222,183) (6,255,478) (12,738,591) (72,840,827) (73,675,795) Class 2 .............................. -- -- (190,219) (75,605) -- -- ---------- ---------- ----------- ----------- ----------- ----------- Total ................................... (2,770,011) (2,222,183) (6,445,697) (12,814,196) (72,840,827) (73,675,795) ---------- ---------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ........... (253,095) 969,898 (2,247,994) 11,255,452 1,651,892 (5,293,108) ---------- ---------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS ....... (82,819) 1,535,471 (4,519,722) 11,121,026 1,651,892 (5,293,215) NET ASSETS: Beginning of period ..................... 6,482,619 4,947,148 38,706,819 27,585,793 12,318,166 17,611,381 ---------- ---------- ----------- ----------- ----------- ----------- END OF PERIOD ........................... $6,399,800 $6,482,619 $34,187,097 $38,706,819 $13,970,058 $12,318,166 ========== ========== =========== =========== =========== =========== -------------------- * The Portfolio began offering Class 2 shares on August 30, 2000. ** The Portfolio began offering Class 2 shares on May 1, 2000. See Notes to Financial Statements.
-- P-46 -- Seligman Portfolios, Inc. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
Seligman Seligman Common Stock Communications and Portfolio Information Portfolio** ------------------------- --------------------------- SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 --------- ---------- ----------- ----------- OPERATIONS: Net Investment income (loss) ............ $ 79,460 $ 279,228 $ (285,491) $ (987,286) Net realized gain (loss) on investments . 691,153 2,170,179 10,065,579) 17,691,316 Net realized gain (loss) from foreign currency transactions ........ -- -- -- -- Net change in unrealized appreciation/ depreciation of investments .......... (2,625,832) (6,574,404) 26,092,489 (93,120,418) Net change in unrealized appreciation/ depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............................ -- -- -- -- ----------- ----------- ------------ ------------ INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ...................... (1,855,219) (4,124,997) 15,741,419 (76,416,388) ----------- ----------- ------------ ------------ DISTRIBUTIONS TO SHAREHOLDERS: Net investment income-- Class 1 ......... -- (11,162) -- -- Net realized gain on investments: Class 1 .............................. -- (1,415,290) -- (17,492,731) Class 2 .............................. -- -- -- (1,013,510) ----------- ----------- ------------ ------------ DECREASE IN NET ASSETS FROM DISTRIBUTIONS ................... -- (1,426,452) -- (18,506,241) ----------- ----------- ------------ ------------ CAPITAL SHARE TRANSACTIONS: Proceeds from sale of shares: Class 1 .............................. 19,235,189 13,873,150 16,059,973 70,820,745 Class 2 .............................. -- -- 20,240,792 14,089,125 Shares issued in payment of: Dividends-- Class 1 .................. -- 11,162 -- -- Gain distributions: Class 1 .............................. -- 1,415,290 -- 17,492,731 Class 2 .............................. -- -- -- 1,013,510 ----------- ----------- ------------ ------------ Total ................................... 19,235,189 15,299,602 36,300,765 103,416,111 ----------- ----------- ------------ ------------ Cost of shares redeemed: Class 1 .............................. (20,920,828) 24,313,051) (24,664,644) (83,705,844) Class 2 .............................. -- -- (8,761,731) (3,025,477) ----------- ----------- ------------ ------------ Total ................................... (20,920,828) 24,313,051) (33,426,375) (86,731,321) ----------- ----------- ------------ ------------ INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ........... (1,685,639) (9,013,449) 2,874,390 16,684,790 ----------- ----------- ------------ ------------ INCREASE (DECREASE) IN NET ASSETS ....... (3,540,858) (14,564,898) 18,615,809 (78,237,839) NET ASSETS: Beginning of period ..................... 32,737,823 47,302,721 135,723,410 213,961,249 ----------- ----------- ------------ ------------ END OF PERIOD ........................... $29,196,965 $32,737,823 $154,339,219 $135,723,410 =========== =========== ============ ============
Seligman Portfolios, Inc. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
SELIGMAN SELIGMAN GLOBAL GROWTH FRONTIER PORTFOLIO PORTFOLIO ------------------------- --------------------------- SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 --------- ---------- ----------- ----------- OPERATIONS: Net Investment income (loss) ............ $ (28,958) $ (164,944) $ 15,766 $ (63,307) Net realized gain (loss) on investments . (129,223) 1,269,407 (680,956) 3,546,035 Net realized gain (loss) from foreign currency transactions ........ -- -- (43,164) (475,498) Net change in unrealized appreciation/ depreciation of investments .......... (480,408) (3,607,941) (75,103) (4,473,781) Net change in unrealized appreciation/ depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............................ -- -- (254,356) 229,684 ----------- ----------- ------------ ------------ INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ...................... (638,589) (2,503,478) (1,037,813) (1,236,867) ----------- ----------- ------------ ------------ DISTRIBUTIONS TO SHAREHOLDERS: Net investment income-- Class 1 ......... -- -- -- -- Net realized gain on investments: Class 1 .............................. -- -- -- (130,681) Class 2 .............................. -- -- -- -- ----------- ----------- ------------ ------------ DECREASE IN NET ASSETS FROM DISTRIBUTIONS ................... -- -- -- (130,681) ----------- ----------- ------------ ------------ CAPITAL SHARE TRANSACTIONS: Proceeds from sale of shares: Class 1 .............................. 17,227,448 53,005,443 3,593,422 9,426,103 Class 2 .............................. -- -- -- Shares issued in payment of: Dividends-- Class 1 .................. -- -- -- -- Gain distributions: Class 1 .............................. -- -- -- 130,681 Class 2 .............................. -- -- -- -- ----------- ----------- ------------ ------------ Total ................................... 17,227,448 53,005,443 3,593,422 9,556,784 ----------- ----------- ------------ ------------ Cost of shares redeemed: Class 1 .............................. (18,469,523) (59,196,569) (4,642,866) (11,730,170) Class 2 .............................. -- -- -- -- ----------- ----------- ------------ ------------ Total ................................... (18,469,523) (59,196,569) (4,642,866) (11,730,170) ----------- ----------- ------------ ------------ INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ........... (1,242,075) (6,191,126) (1,049,444) (2,173,386) ----------- ----------- ------------ ------------ INCREASE (DECREASE) IN NET ASSETS ....... (1,880,664) (8,694,604) (2,087,257) (3,540,934) NET ASSETS: Beginning of period ..................... 17,011,230 25,705,834 8,347,819 11,888,753 ----------- ----------- ------------ ------------ END OF PERIOD ........................... $15,130,566 $17,011,230 $ 6,260,562 $ 8,347,819 =========== =========== ============ ============ -------------------- * The Portfolio began offering Class 2 shares on August 30, 2000. ** The Portfolio began offering Class 2 shares on May 1, 2000. See Notes to Financial Statements.
-- P-47 -- Seligman Portfolios, Inc. -------------------------------------------------------------------------------- Statements of Changes in Net Assets (continued) --------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN GLOBAL SMALLER GLOBAL TECHNOLOGY HIGH-YIELD BOND COMPANIES PORTFOLIO PORTFOLIO** PORTFOLIO ------------------------ ------------------------- -------------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 --------- ---------- ----------- ----------- ----------- ----------- OPERATIONS: Net Investment income (loss) ............ $ (27,878) $ (86,296) $ (89,466) $ (150,383) $ 799,950 $ 2,259,692 Net realized gain (loss) on investments . (137,650) 1,635,867 (4,555,073) 3,188,559 (2,610,940) (2,523,874) Net realized gain (loss) from foreign currency transactions ........ (306,377) (161,603) (150,361) (443,395) -- -- Net change in unrealized appreciation/ depreciation of investments .......... (542,853) (3,534,739) 1,791,955 (12,355,108) 761,228 (1,474,956) Net change in unrealized appreciation/ depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............................ (139,290) (438,248) (836,899) 441,841 -- -- ----------- ----------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ...................... (1,154,048) (2,585,019) (3,839,844) (9,318,486) (1,049,762) (1,739,138) ----------- ----------- ----------- ----------- ----------- ----------- DISTRIBUTIONS TO SHAREHOLDERS: Net investment income-- Class 1 ......... -- -- -- -- -- (6,950) Net realized gain on investments: Class 1 .............................. -- (499,106) -- (955,070) -- -- Class 2 .............................. -- -- -- (124,689) -- -- ----------- ----------- ----------- ----------- ----------- ----------- DECREASE IN NET ASSETS FROM DISTRIBUTIONS ................... -- (499,106) -- (1,079,759) -- (6,950) ----------- ----------- ----------- ----------- ----------- ----------- CAPITAL SHARE TRANSACTIONS: Proceeds from sale of shares: Class 1 .............................. 3,046,640 3,552,677 4,901,111 28,608,193 5,059,872 4,487,803 Class 2 .............................. -- -- 1,487,686 4,526,330 -- -- Shares issued in payment of: Dividends-- Class 1 .................. -- -- -- -- -- 6,950 Gain distributions: Class 1 .............................. -- 499,106 -- 955,070 -- -- Class 2 .............................. -- -- -- 124,689 -- -- ----------- ----------- ----------- ----------- ----------- ----------- Total ................................... 3,046,640 4,051,783 6,388,797 34,214,282 5,059,872 4,494,753 ----------- ----------- ----------- ----------- ----------- ----------- Cost of shares redeemed: Class 1 .............................. (4,079,725) (6,226,540) (5,878,997) (16,926,767) (6,232,147) (14,560,577) Class 2 .............................. -- -- (1,345,433) (207,045) -- -- ----------- ----------- ----------- ----------- ----------- ----------- Total ................................... (4,079,725) (6,226,540) (7,224,430) (17,133,812) (6,232,147) (14,560,577) ----------- ----------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ........... (1,033,085) (2,174,757) (835,633) 17,080,470 (1,172,275) (10,065,824) ----------- ----------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS ....... (2,187,133) (5,258,882) (4,675,477) 6,682,225 (2,222,037) (11,811,912) NET ASSETS: Beginning of period ..................... 14,309,764 19,568,646 28,769,572 22,087,347 15,080,096 26,892,008 ----------- ----------- ----------- ----------- ----------- ----------- END OF PERIOD ........................... $12,122,631 $14,309,764 $24,094,095 $28,769,572 $12,858,059 $15,080,096 =========== =========== =========== =========== =========== =========== -------------------- ** The Portfolio began offering Class 2 shares on May 1, 2000. *** The Portfolio began offering Class 2 shares on May 1, 2001. See Notes to Financial Statements.
-- P-48 -- Seligman Portfolios, Inc. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
SELIGMAN SELIGMAN SELIGMAN INTERNATIONAL GROWTH LARGE-CAP INCOME PORTFOLIO PORTFOLIO GROWTH PORTFOLIO ------------------------ ------------------------- ------------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 --------- ---------- ----------- ----------- ----------- ----------- OPERATIONS: Net Investment income (loss) ............ $ 83,219 $ 215,478 $ 21,875 $ (49,966) $ (1,115) $ 5,200 Net realized gain (loss) on investments . 44,102 (262,142) (704,801) (402,760) (1,036,984) 188,316 Net realized gain (loss) from foreign currency transactions ........ -- -- (34,993) (876,521) -- -- Net change in unrealized appreciation/ depreciation of investments .......... (160,372) (98,792) (97,705) (2,548,051) 468,959 (1,413,665) Net change in unrealized appreciation/ depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............................ -- -- (386,932) 302,991 -- -- ----------- ---------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ...................... (33,051) (145,456) (1,202,556) (3,574,307) (569,140) (1,220,149) ----------- ---------- ----------- ----------- ----------- ----------- DISTRIBUTIONS TO SHAREHOLDERS: Net investment income-- Class 1 ......... -- (8,835) -- (90,781) -- -- Net realized gain on investments: Class 1 .............................. -- (15,903) -- (273,623) -- -- Class 2 .............................. -- -- -- -- -- -- ----------- ---------- ----------- ----------- ----------- ----------- DECREASE IN NET ASSETS FROM DISTRIBUTIONS ................... -- (24,738) -- (364,404) -- -- ----------- ---------- ----------- ----------- ----------- ----------- CAPITAL SHARE TRANSACTIONS: Proceeds from sale of shares: Class 1 .............................. 896,216 954,328 15,595,412 3,381,024 1,730,858 6,333,690 Class 2 .............................. -- -- -- -- -- -- Shares issued in payment of: Dividends-- Class 1 .................. -- 8,835 -- 90,781 -- -- Gain distributions: Class 1 .............................. -- 15,903 -- 273,623 -- -- Class 2 .............................. -- -- -- -- -- -- ----------- ---------- ----------- ----------- ----------- ----------- Total ................................... 896,216 979,066 15,595,412 3,745,428 1,730,858 6,333,690 ----------- ---------- ----------- ----------- ----------- ----------- Cost of shares redeemed: Class 1 .............................. (1,742,533) (3,763,855) (15,795,619) (2,905,725) (1,851,046) (3,526,701) Class 2 .............................. -- -- -- -- -- -- ----------- ---------- ----------- ----------- ----------- ----------- Total ................................... (1,742,533) (3,763,855) (15,795,619) (2,905,725) (1,851,046) (3,526,701) ----------- ---------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ........... (846,317) (2,784,789) (200,207) 839,703 (120,188) 2,806,989 ----------- ---------- ----------- ----------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS ....... (879,368) (2,954,983) (1,402,763) (3,099,008) (689,328) 1,586,840 NET ASSETS: Beginning of period ..................... 5,639,531 8,594,514 7,149,481 10,248,489 5,255,214 3,668,374 ----------- ---------- ----------- ----------- ----------- ----------- END OF PERIOD ........................... $4,760,163 $5,639,531 $5,746,718 $ 7,149,481 $4,565,886 $5,255,214 =========== ========== =========== =========== =========== ===========
Seligman Portfolios, Inc. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
SELIGMAN SELIGMAN LARGE-CAP SMALL-CAP VALUE PORTFOLIO VALUE PORTFOLIO ------------------------ -------------------------- SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 --------- ---------- ----------- ----------- OPERATIONS: Net Investment income (loss) ............ $ 34,157 $ 79,519 $ (34,561) $ (16,385) Net realized gain (loss) on investments . (67,257) 57,632 716,834 55,566 Net realized gain (loss) from foreign currency transactions ........ -- -- -- -- Net change in unrealized appreciation/ depreciation of investments .......... (128,777) 1,097,636 2,277,316 2,638,611 Net change in unrealized appreciation/ depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts ............................ -- -- -- -- ----------- ---------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS ...................... (161,877) 1,234,787 2,959,589 2,677,792 ----------- ---------- ----------- ----------- DISTRIBUTIONS TO SHAREHOLDERS: Net investment income-- Class 1 ......... -- (1,006) -- -- Net realized gain on investments: Class 1 .............................. -- (40,726) -- (216,863) Class 2 .............................. -- -- -- -- ----------- ---------- ----------- ----------- DECREASE IN NET ASSETS FROM DISTRIBUTIONS ................... -- (41,732) -- (216,863) ----------- ---------- ----------- ----------- CAPITAL SHARE TRANSACTIONS: Proceeds from sale of shares: Class 1 .............................. 3,983,054 2,996,048 34,919,322 12,973,661 Class 2 .............................. -- -- 2,559,702 -- Shares issued in payment of: Dividends-- Class 1 .................. -- 1,006 -- -- Gain distributions: Class 1 .............................. -- 40,726 -- 216,863 Class 2 .............................. -- -- -- -- ----------- ---------- ----------- ----------- Total ................................... 3,983,054 3,037,780 37,479,024 13,190,524 ----------- ---------- ----------- ----------- Cost of shares redeemed: Class 1 .............................. (3,240,741) (3,932,202) (2,248,208) (3,560,102) Class 2 .............................. -- -- (361,080) -- ----------- ---------- ----------- ----------- Total ................................... (3,240,741) (3,932,202) (2,609,288) (3,560,102) ----------- ---------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL SHARE TRANSACTIONS ........... 742,313 (894,422) 34,869,736 9,630,422 ----------- ---------- ----------- ----------- INCREASE (DECREASE) IN NET ASSETS ....... 580,436 298,633 37,829,325 12,091,351 ----------- ---------- ----------- ----------- NET ASSETS: Beginning of period ..................... 6,056,513 5,757,880 16,494,719 4,403,368 ----------- ---------- ----------- ----------- END OF PERIOD ........................... $6,636,949 $6,056,513 $54,324,044 $16,494,719 =========== ========== =========== =========== -------------------- ** The Portfolio began offering Class 2 shares on May 1, 2000. *** The Portfolio began offering Class 2 shares on May 1, 2001. See Notes to Financial Statements.
-- P-49 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- NOTES TO FINANCIAL STATEMENTS (unaudited) ------------------------------------------------------------------------------- 1. ORGANIZATION -- Seligman Portfolios, Inc. (the "Fund") is an open-end diversified management investment company consisting of 15 separate portfolios (the "Portfolios"): Seligman Bond Portfolio ("Bond Portfolio"), Seligman Capital Portfolio ("Capital Portfolio"), Seligman Cash Management Portfolio ("Cash Management Portfolio"), Seligman Common Stock Portfolio ("Common Stock Portfolio"), Seligman Communications and Information Portfolio ("Communications and Information Portfolio"), Seligman Frontier Portfolio ("Frontier Portfolio"), Seligman Global Growth Portfolio ("Global Growth Portfolio"), Seligman Global Smaller Companies Portfolio ("Global Smaller Companies Portfolio"),Seligman Global Technology Portfolio ("Global Technology Portfolio"), Seligman High-Yield Bond Portfolio ("High-Yield Bond Portfolio"), Seligman Income Portfolio ("Income Portfolio"), Seligman International Growth Portfolio ("International Growth Portfolio"), Seligman Large-Cap Growth Portfolio ("Large-Cap Growth Portfolio"), Seligman Large-Cap Value Portfolio ("Large-Cap Value Portfolio"), and Seligman Small-Cap Value Portfolio ("Small-Cap Value Portfolio"), each designed to meet different investment goals. Shares of the Fund are provided as an investment medium for variable annuity separate accounts and established and offered by various insurance companies and variable life insurance separate accounts. 2. MULTIPLE CLASSES OF SHARES -- Effective May 1, 2000, the Fund began offering a second class of shares, Class 2 shares of each Portfolio, in addition to the class of shares that has been offered since inception. All shares existing prior to May 1, 2000, have been classified as Class 1 shares. Class 2 shares pay an annual distribution and service fee ("12b-1 fee") of up to 0.25% of average daily net assets. Class 1 shares do not pay 12b-1 fees. The two classes of shares represent interests in the same portfolio of investments, have the same rights, and are generally identical in all respects except that each class bears its separate class-specific expenses, and has exclusive voting rights with respect to any matter on which a separate vote of any class is required. 3. SIGNIFICANT ACCOUNTING POLICIES -- The financial statements have been prepared in conformity with accounting principles generally accepted in the United States, which require management to make certain estimates and assumptions at the date of the financial statements. Actual results may differ from these estimates. The following summarizes the significant accounting policies of the Fund: a. SECURITY VALUATION -- Investments in US Government andGovernment Agency securities, bonds, asset-backed securities, convertible securities, and stocks are valued at the most current market values or, in their absence, at fair market values determined in accordance with procedures approved by the Board of Directors. Securities traded on an exchange are valued at the last sales price or, in its absence and in the case of over-the-counter securities, at the mean of closing bid and asked prices. Short-term holdings maturing in 60 days or less are valued at amortized cost. Investments held by Cash Management Portfolio are generally valued using the amortized cost method which approximates fair value. Investments of certain other funds in the Seligman Group of Investment Companies purchased to offset the Cash Management Portfolio's liability for deferred directors' fees are valued at current net asset values. b. FOREIGN SECURITIES -- The Portfolios may invest up to 10% of their total assets in foreign securities (except Global Growth Portfolio, Global Smaller Companies Portfolio, Global Technology Portfolio, and International Growth Portfolio, (together, the "Seligman International Portfolios"), which may invest up to 100% of their total assets in foreign securities). Investments in foreign securities will usually be denominated in foreign currencies, and the Portfolios may temporarily hold funds in foreign currencies. The Portfolios may also invest in US dollar-denominated American Depositary Receipts ("ADRs"), American Depositary Shares ("ADSs"), European Depositary Receipts ("EDRs"), Global Depositary Receipts ("GDRs"), and Global Depositary Shares ("GDSs"). ADRs and ADSs are issued by domestic banks or trust companies and evidence ownership of securities issued by foreign corporations. ADRs and ADSs are traded on United States exchanges or over-the-counter and are not included in the 10% limitation. EDRs,GDRs,and GDSs are receipts similar to ADRs and ADSs and are typically issued by foreign banks or trust companies and traded in Europe. The books and records of the Portfolios are maintained in US dollars. Foreign currency amounts are translated into US dollars on the following basis: (i) market value of investment securities, other assets, and liabilities, at the daily rate of exchange as reported by a pricing service; (ii) purchases and sales of investment securities, income, and expenses, at the rate of exchange prevailing on the respective dates of such transactions. The net asset values per share of Portfolios which invest in securities denominated in foreign currencies will be affected by changes in currency exchange rates. Changes in foreign currency exchange rates may also affect the value of dividends and interest earned, gains and losses realized on sales of securities, and net investment income and gains, if any, to be distributed to shareholders of the Portfolios. The rate of exchange between the US dollar and other currencies is determined by the forces of supply and demand in the foreign exchange markets. Net realized foreign exchange gains or losses arise from sales of portfolio securities, sales and maturities of short-term securities, sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions, and from the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Portfolios' books, and the US dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of portfolio securities and other foreign currency denominated assets and liabilities at period end, resulting from changes in exchange rates. -- P-50 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- ------------------------------------------------------------------------------- The Portfolios separate that portion of the results of operations resulting from changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held in the portfolios. Similarly, the Portfolios separate the effect of changes in foreign exchange rates from the fluctuations arising from changes in the market prices of portfolio securities sold during the period. c. FORWARD CURRENCY CONTRACTS -- The Seligman International Portfolios may enter into forward currency contracts in order to hedge their exposure to changes in foreign currency exchange rates on their foreign portfolio holdings, or other amounts receivable or payable in foreign currency. A forward contract is a commitment to purchase or sell a foreign currency at a future date at a negotiated forward rate. Certain risks may arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts. The contracts are valued daily at current exchange rates and any unrealized gain or loss is included in net unrealized appreciation or depreciation on translation of assets and liabilities denominated in foreign currencies and forward currency contracts. The gain or loss, if any, arising from the difference between the settlement value of the forward contract and the closing of such contract, is included in net realized gain or loss from foreign currency transactions. For federal income tax purposes, certain open forward currency contracts are treated as sold during the fiscal year and any gains or losses are recognized immediately. As a result, the amount of income distributable to shareholders may vary from the amount recognized for financial statement purposes. d. FEDERAL TAXES -- The Portfolios' policy is to comply with the requirements of the Internal Revenue Code applicable to Regulated Investment Companies and to distribute substantially all of their taxable net income and net gain realized to shareholders. Therefore, no provisions for Federal income or excise taxes are required. e. SECURITY TRANSACTIONS AND RELATED INVESTMENT INCOME -- Investment transactions are recorded on trade dates. Interest income is recorded on the accrual basis. The Portfolios amortize market discount and premium on debt securities. Dividends receivable and payable are recorded on ex-dividend dates, except that certain dividends from foreign securities where the ex-dividend dates may have passed are recorded as soon as the Fund is informed of the dividend. f. MULTIPLE CLASS ALLOCATIONS -- All income, expenses (other than class-specific expenses), and realized and unrealized gains or losses of a Portfolio are allocated daily to each class of shares based upon the relative value of shares of each class. Class-specific expenses, which include 12b-1 fees and any other items that are specifically attributable to a particular class, are charged directly to such class. For the six months ended June 30, 2001, 12b-1 fees were the only class-specific expenses. g. REPURCHASE AGREEMENTS --The Portfolios may enter into repurchase agreements with commercial banks and with broker/dealers deemed to be creditworthy by J. & W. Seligman & Co. Incorporated (the "Manager"). Securities purchased subject to repurchase agreements are deposited with the Portfolios' custodians and, pursuant to the terms of the repurchase agreements, must have an aggregate market value greater than or equal to the repurchase price, plus accrued interest, at all times. Procedures have been established to monitor, on a daily basis, the market value of the repurchase agreements' underlying securities to ensure the existence of the proper level of collateral. h. EXPENSE ALLOCATIONS -- Expenses directly attributable to each Portfolio are charged to such Portfolio, and expenses that are applicable to more than one Portfolio are allocated among them. i. DISTRIBUTIONS TO SHAREHOLDERS -- The treatment for financial statement purposes of distributions made during the year from net investment income or net realized gains may differ from their ultimate treatment for federal income tax purposes. These differences primarily are caused by differences in the timing of the recognition of certain components of income, expense or realized capital gain and the recharacterization of foreign exchange gains or losses to either ordinary income or realized capital gain for federal income tax purposes. Where such differences are permanent in nature, they are reclassified in the components of net assets based on their ultimate characterization for federal income tax purposes. Any such reclassification will have no effect on net assets, results of operations, or net asset values per share of the Portfolios. 4. PURCHASES AND SALES OF SECURITIES --Purchases and sales of portfolio securities, excluding US Government obligations and short-term investments, for the six months ended June 30, 2001, were as follows: PORTFOLIO PURCHASES SALES --------- ----------- ----------- Bond $ 2,009,877 $ 1,742,299 Capital 41,345,063 44,368,156 Common Stock 8,441,412 11,799,288 Communications and Information 97,791,972 97,352,405 Frontier 8,181,680 9,771,167 Global Growth 6,744,070 7,750,881 Global Smaller Companies 5,697,490 6,442,267 Global Technology 17,908,277 17,162,400 High-Yield Bond 4,051,601 3,869,060 -- P-51 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- NOTES TO FINANCIAL STATEMENTS (unaudited) (continued) ------------------------------------------------------------------------------- PORTFOLIO PURCHASES SALES --------- ----------- ----------- Income $1,782,927 $2,244,261 International Growth 7,784,906 8,039,663 Large-Cap Growth 4,273,757 4,083,339 Large-Cap Value 2,121,138 1,187,262 Small-Cap Value 19,646,925 4,268,439 For the six months ended June 30, 2001, purchases and sales of US Government obligations were $2,104,457 and $2,367,823, respectively, for the Bond Portfolio, and $364,105 and $642,303, respectively, for the Income Portfolio. Identified cost of investments sold is used for both financial statement and federal income tax purposes. At June 30, 2001, the cost of investments for federal income tax purposes was substantially the same as the cost for financial reporting purposes. The tax basis gross unrealized appreciation and depreciation of portfolio securities, including the effects of foreign currency transactions, were as follows: UNREALIZED UNREALIZED PORTFOLIO APPRECIATION DEPRECIATION --------- ------------ ------------ Bond $100,316 $52,411 Capital 4,292,717 1,893,828 Common Stock 5,026,607 2,923,797 Communications and Information 15,533,092 10,242,075 Frontier 2,303,623 992,839 Global Growth 316,048 359,190 Global Smaller Companies 2,029,131 1,406,117 Global Technology 1,456,664 3,279,233 High-Yield Bond 267,959 3,930,585 Income 486,812 462,707 International Growth 175,656 390,171 Large-Cap Growth 227,262 552,260 Large-Cap Value 965,518 206,685 Small-Cap Value 5,924,753 1,104,545 5. MANAGEMENT FEE, ADMINISTRATIVE SERVICES, AND OTHER TRANSACTIONS -- The Manager manages the affairs of the Fund and provides or arranges for the necessary personnel and facilities. The Manager's fee, which is calculated daily and payable monthly, is equal to 0.40%, on an annual basis, of each of Bond, Capital, Cash Management, Common Stock, and Income Portfolios' daily net assets; equal to 0.75%, on an annual basis, of each of Communications and Information and Frontier Portfolios' daily net assets; equal to 0.50%, on an annual basis, of High-Yield Bond Portfolio's daily net assets. The Manager's fee for each of the International Portfolios is equal to 1.00% per annum of the first $1 billion of average daily net assets, 0.95% per annum of the next $1 billion of average daily net assets, and 0.90% per annum in excess of $2 billion of average daily net assets of each Portfolio. The Manager's fee for the Large-Cap Growth Portfolio is equal to 0.70% per annum of the first $1 billion of average daily net assets, 0.65% per annum of the next $1 billion, and 0.60% per annum in excess of $2 billion of average daily net assets of the Portfolio. The Manager's fee for the Large-Cap Value Portfolio is equal to 0.80% per annum of the first $500 million of average daily net assets, 0.70% per annum of the next $500 million of average daily net assets, and 0.60% per annum in excess of $1 billion of average daily net assets of the Portfolio. The Manager's fee for the Small-Cap Value Portfolio is equal to 1.00% per annum of the first $500 million of average daily net assets, 0.90% per annum of the next $500 million of average daily net assets, and 0.80% per annum in excess of $1 billion of average daily net assets of the Portfolio. Henderson Investment Management Limited (the "Subadviser") is the subadviser to the Global Smaller Companies Portfolio responsible for furnishing investment advice, research, and assistance with respect to the Portfolio's international investments. Under the subadvisory agreement, the Manager pays the Subadviser a subadvisory fee at a rate of 0.50% per annum of the average monthly assets under the Subadviser's supervision. The Subadivser is a wholly owned subsidiary of Henderson plc, which is an indirect subsidiary of Amp Limited, an Australian life insurance and financial services company. Prior to April 1, 2000, the subadviser also served as subadviser with respect to the international investments for the Global Growth, Global Technology and International Growth Portfolios. On that date, the Manager assumed full responsibility for the international investments of those Portfolios. -- P-52 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- ------------------------------------------------------------------------------- The Manager has agreed to reimburse expenses, other than the management and 12b-1 fees, that exceed 0.20% per annum of the average daily net assets of each of Bond, Capital, Common Stock, Communications and Information, Frontier, High-Yield Bond and Income Portfolios. The Manager, at its discretion and until it determines otherwise, has elected to waive all of its fee for, and reimburse all of the expenses of the Cash Management Portfolio. The Manager has agreed to reimburse expenses, other than the management and 12b-1 fees, which exceed 0.40% per annum of the average daily net assets of each of the Seligman International Portfolios. The Manager, at its discretion, has also agreed to reimburse all expenses, other than the management and 12b-1 fees, of the Large-Cap Growth and Large-Cap Value Portfolios. Effective March 1, 2001, the Manager, at its discretion, has agreed to reimburse expenses of the Small-Cap Value Portfolio other than the management and 12b-1 fees, which exceed 0.20% per annum of the average daily net assets of the Portfolio. Previously, the Manager reimbursed all expenses other than management and 12b-1 fees. The amounts of these reimbursements for the six months ended June 30, 2001 are disclosed in the Statements of Operations. Compensation of all officers of the Fund, all directors of the Fund who are employees of the Manager, and all personnel of the Fund and the Manager is paid by the Manager. Seligman Advisors, Inc. (the "Distributor"), a subsidiary of the Manager, acts as distributor of shares of the Fund and of contracts issued by variable annuity separate accounts of one insurance company and its affiliates. For the six months ended June 30, 2001, the Distributor earned fees of $12,725 for distributing such contracts. Under a Rule 12b-1 plan (the "Plan") adopted by the Fund with respect to Class 2 shares of each Portfolio, insurance companies or their affiliates can enter into agreements with the Distributor and receive 12b-1 fees of up to 0.25%, on an annual basis, of the average daily net assets of Class 2 shares attributable to the particular insurance company for providing, among other things, personal services and/or the maintenance of shareholder accounts. Such fees are paid quarterly by each Portfolio to Seligman Advisors pursuant to the Plan. For the six months ended June 30, 2001, fees incurred under the Plan aggregated $2,919 and $20,959, or 0.25% per annum; $2,457, or 0.15% per annum; and $314, or 0.19% per annum of the average daily net assets of Class 2 shares of Capital Portfolio, Communications and Information Portfolio, Global Technology Portfolio and Small-Cap Value Portfolio, respectively. Certain officers and directors of the Fund are officers or directors of the Manager and the Distributor. The Fund has a compensation arrangement under which directors who receive fees may elect to defer receiving such fees. Directors may elect to have their deferred fees accrue interest or earn a return based on the performance of the other funds in the Seligman Group of Investment Companies. The cost of such fees and earnings accrued thereon is included in directors' fees and expenses, and the accumulated balances at June 30, 2001, are included in other liabilities. Deferred fees and related accrued earnings are not deductible by the Fund for federal income tax purposes until such amounts are paid. 6. CAPITAL LOSS CARRYFORWARD -- At December 31, 2000, the Bond, High-Yield Bond, Income and International Growth Portfolios had net capital loss carryforwards for federal income tax purposes of $343,082, $4,441,159, $189,916 and $1,085,996, respectively, which are available for offset against future taxable net capital gains. These net capital loss carryforwards expire in various amounts through 2008. Accordingly, no capital gain distributions are expected to be paid to shareholders of these portfolios until net capital gains have been realized in excess of the available capital loss carryforwards. 7. CHANGE IN ACCOUNTING PRINCIPLE -- As required, effective January 1, 2001, the Portfolios adopted the provisions of the AICPA Audit and Accounting Guide for Investment Companies and began amortizing discount and premium on debt securities using the interest method for financial statement reporting purposes only. Prior to January 1, 2001, the Portfolios amortized market discount and premium on debt securities using the straight line method. The cumulative effect of this accounting change is not significant for financial statement reporting purposes, based on investments owned by the Portfolios on January 1, 2001, and had no impact on the net assets of the Fund. 8. OUTSTANDING FORWARD EXCHANGE CURRENCY CONTRACTS -- At June 30, 2001, the Fund had outstanding forward exchange currency contracts to purchase foreign currencies as follows:
FOREIGN IN EXCHANGE SETTLEMENT US $ UNREALIZED CONTRACT CURRENCY FOR US $ DATE VALUE DEPRECIATION --------- -------- ----------- -------- ------- -------------- GLOBAL SMALLER COMPANIES PORTFOLIO Purchases: Singapore dollars..................... 28,000 15,370 7/3/01 15,368 $(2) ====
-- P-53 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- NOTES TO FINANCIAL STATEMENTS (unaudited) (continued) ------------------------------------------------------------------------------- 9. CAPITAL STOCK TRANSACTIONS -- At June 30, 2001, there were 20,000,000 shares of Capital Stock authorized for each of Global Growth, Global Technology, Large-Cap Growth, Large-Cap Value, and Small-Cap Value Portfolios; 80,000,000 shares for each of Bond, Capital, Global Smaller Companies, International Growth, and Income Portfolios; and 100,000,000 shares for each of Cash Management, Common Stock, Communications and Information, Frontier, and High-Yield Bond Portfolios, all at a par value of $0.001 per share. Transactions in shares of Capital Stock were as follows:
CAPITAL PORTFOLIO BOND ---------------------------------------------------- CASH MANAGEMENT PORTFOLIO CLASS 1 CLASS 2 PORTFOLIO --------------------- ------------------------ ------------------------ ------------------------- SIX MONTHS SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED 8/30/00* ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED 6/30/01 TO 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 -------- -------- -------- -------- --------- -------- ---------- ------------ Sale of shares ....... 241,393 330,153 99,515 743,027 87,223 63,845 74,126,364 67,583,435 Shares issued in payment of dividends ...... -- -- -- -- -- -- 366,360 799,641 Shares issued in payment of gain distributions -- -- -- 73,635 -- 2,634 -- -- -------- -------- -------- -------- ------- ------- ---------- ----------- Total ................ 241,393 330,153 99,515 816,662 87,223 66,479 74,492,724 68,383,076 -------- -------- -------- -------- ------- ------- ---------- ----------- Shares redeemed ...... (265,466) (229,491) (287,466) (466,047) (8,853) (2,907) (72,840,827) (73,675,795) -------- -------- -------- -------- ------- ------- ---------- ----------- Increase (decrease) in shares ......... (24,073) 100,662 (187,951) 350,615 78,370 63,572 1,651,897 (5,292,719) ======== ======== ======== ======== ======= ======= ========== ===========
COMMUNICATIONS AND INFORMATION PORTFOLIO COMMON STOCK ----------------------------------------------------- PORTFOLIO CLASS 1 CLASS 2 ----------------------- ------------------------ ----------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED 5/1/00* 6/30/01 ENDED 6/30/01 ENDED 6/30/01 TO (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 --------- --------- --------- ---------- --------- -------- Sale of shares ..................... 1,407,784 881,019 978,501 2,633,071 1,196,550 605,427 Shares issued in payment of dividends .................... -- 775 -- -- -- -- Shares issued in payment of gain distributions ........... -- 98,284 -- 1,127,836 -- 65,430 --------- --------- --------- ---------- --------- -------- Total .............................. 1,407,784 980,078 978,501 3,760,907 1,196,550 670,857 --------- --------- --------- ---------- --------- -------- Shares redeemed .................... (1,535,045) (1,527,300) (1,539,610) (3,142,388) (560,572) (142,338) --------- --------- --------- ---------- --------- -------- Increase (decrease) in shares ...... (127,261) (547,222) (561,109) 618,519 635,978 528,519 ========= ========= ========= ========== ========= ========
FRONTIER GLOBAL GROWTH GLOBAL SMALLER PORTFOLIO PORTFOLIO COMPANIES PORTFOLIO ----------------------- ----------------------- -------------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 --------- --------- --------- -------- --------- -------- Sale of shares ..................... 1,199,358 3,038,751 256,202 550,559 224,478 210,989 Shares issued in payment of dividends .................... -- -- -- -- -- -- Shares issued in payment of gain distributions ........... -- -- -- 8,497 -- 35,124 --------- --------- -------- -------- -------- -------- Total .............................. 1,199,358 3,038,751 256,202 559,056 224,478 246,113 --------- --------- -------- -------- -------- -------- Shares redeemed .................... (1,291,281) (3,342,110) (330,663) (659,305) (301,905) (371,823) --------- --------- -------- -------- -------- -------- Decrease in shares ................. (91,923) (303,359) (74,461) (100,249) (77,427) (125,710) ========= ========= ======== ======== ======== ========
------------------- * Commencement of offering of shares. -- P-54 -- SELIGMAN PORTFOLIOS, INC. ------------------------------------------------------------------------------- -------------------------------------------------------------------------------
GLOBAL TECHNOLOGY PORTFOLIO ---------------------------------------------------- HIGH-YIELD BOND CLASS 1 CLASS 2 PORTFOLIO ------------------------ ------------------------ ------------------------ SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED 5/1/00* ENDED YEAR 6/30/01 ENDED 6/30/01 TO 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 ---------- --------- ---------- -------- ----------- -------- Sale of shares...................... 255,266 1,003,883 78,158 171,741 573,883 486,316 Shares issued in payment of dividends..................... -- -- -- -- -- 792 Shares issued in payment of gain distributions............ -- 45,785 -- 5,980 -- -- -------- --------- ------- ------- -------- ---------- Total............................... 255,266 1,049,668 78,158 177,721 573,883 487,108 -------- --------- ------- ------- -------- ---------- Shares redeemed..................... (324,665) (595,418) (72,862) (8,881) (708,971) (1,563,213) -------- --------- ------- ------- -------- ---------- Increase (decrease) in shares....... (69,399) 454,250 5,296 168,840 (135,088) (1,076,105) ======== ========= ======= ======= ======== ==========
INCOME INTERNATIONAL GROWTH LARGE-CAP GROWTH PORTFOLIO PORTFOLIO PORTFOLIO ----------------------- ------------------------ ----------------------- SIX MONTHS SIX MONTHS SIX MONTHS ENDED YEAR ENDED YEAR ENDED YEAR 6/30/01 ENDED 6/30/01 ENDED 6/30/01 ENDED (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) 12/31/00 ----------- -------- ---------- -------- ----------- -------- Sale of shares...................... 94,178 96,861 1,641,165 251,107 180,049 515,577 Shares issued in payment of dividends..................... -- 912 -- 8,687 -- -- Shares issued in payment of gain distributions............ -- 1,641 -- 26,184 -- -- -------- -------- ---------- -------- -------- -------- Total............................... 94,178 99,414 1,641,165 285,978 180,049 515,577 -------- -------- ---------- -------- -------- -------- Shares redeemed..................... (183,582) (382,273) (1,661,678) (231,080) (193,464) (302,659) -------- -------- ---------- -------- -------- -------- Increase (decrease) in shares....... (89,404) (282,859) (20,513) 54,898 (13,415) 212,918 ======== ======== ========== ======== ======== ========
SMALL-CAP VALUE PORTFOLIO LARGE-CAP VALUE ---------------------------------------- PORTFOLIO CLASS 1 CLASS 2 ----------------------- ------------------------ ----------- SIX MONTHS SIX MONTHS 5/1/01* ENDED YEAR ENDED YEAR TO 6/30/01 ENDED 6/30/01 ENDED 6/30/01 (unaudited) 12/31/00 (unaudited) 12/31/00 (unaudited) ----------- -------- ----------- --------- ----------- Sale of shares...................... 348,176 308,400 3,050,712 1,373,011 218,961 Shares issued in payment of dividends..................... -- 91 -- -- -- Shares issued in payment of gain distributions............ -- 3,706 -- 22,685 -- -------- -------- --------- --------- -------- Total............................... 348,176 312,197 3,050,712 1,395,696 218,961 -------- -------- --------- --------- -------- Shares redeemed..................... (285,569) (410,367) (210,744) (381,387) (30,854) -------- -------- --------- --------- -------- Increase (decrease) in shares....... 62,607 (98,170) 2,839,968 1,014,309 188,107 ======== ======== ========= ========= ======== ---------------- *Commencement of offering of shares.
10. COMMITTED LINE OF CREDIT --All of the Portfolios, except the Cash Management Portfolio, are participants in a joint $825 million committed line of credit that is shared by substantially all open-end funds in the Seligman Group of Investment Companies. Each Portfolio's borrowings are limited to 10% (5% for the Seligman International Portfolios) of its net assets. Borrowings pursuant to the credit facility are subject to interest at a rate equal to the overnight federal funds rate plus 0.50%. Each Portfolio incurs a commitment fee of 0.10% per annum on its share of the unused portion of the credit facility. The credit facility may be drawn upon only for temporary purposes and is subject to certain other customary restrictions. The credit facility commitment expires in June 2002, but is renewable annually with the consent of the participating banks. For the six months ended June 30, 2001, none of the Portfolios borrowed from the credit facility. -- P-55 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- FINANCIAL HIGHLIGHTS -------------------------------------------------------------------------------- The tables below are intended to help you understand the financial performance of each Class of each Portfolio for the past five and one-half years or from its inception, if less than five and one-half years. Certain information reflects financial results for a single share that was held throughout the periods shown. Per share amounts are calculated using average shares outstanding. "Total return" shows the rate that you would have earned (or lost) on an investment in each Portfolio, assuming you reinvested all your dividends and capital gain distributions. Total returns do not reflect any administrative fees or asset-based sales charges that are associated with variable annuity and variable life insurance contracts, and are not annualized for periods of less than one year.
BOND PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD............. $10.22 $ 9.27 $10.38 $10.24 $ 9.89 $10.44 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income............................ 0.24 0.60 0.64 0.59 0.54 0.56 Net realized and unrealized gain (loss) on investments ................................ 0.03 0.35 (1.10) 0.25 0.35 (0.55) ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................. 0.27 0.95 (0.46) 0.84 0.89 0.01 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income............. -- -- (0.65) (0.59) (0.54) (0.56) Distributions from net realized capital gain .... -- -- -- (0.11) -- -- ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS.............................. -- -- (0.65) (0.70) (0.54) (0.56) ------ ------ ------ ------ ------ ------ NET ASSETS VALUE, END OF PERIOD.................. $10.49 $10.22 $ 9.27 $10.38 $10.24 $ 9.89 ====== ====== ====== ====== ====== ====== TOTAL RETURN: 2.64% 10.25% (4.48)% 8.20% 8.98% 0.09% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)......... $6,400 $6,483 $4,947 $7,320 $7,232 $5,015 Ratio of expenses to average net assets.......... 0.60%+ 0.60% 0.60% 0.60% 0.60% 0.60% Ratio of net income to average net assets........ 5.75%+ 6.23% 5.56% 5.58% 6.22% 5.97% Portfolio turnover rate.......................... 63.51% 63.07% 64.22% 73.31% 170.12% 199.74% Without management fee waiver:++ Ratio of expenses to average net assets.......... 0.73%+ 0.84% 0.71% 0.82% 0.83% 0.79% Ratio of net income to average net assets........ 5.62%+ 5.99% 5.45% 5.36% 5.99% 5.78% ------------------ + Annualized. ++ The Manager, at its discretion, reimbursed expenses and/or waived management fees for certain periods presented. See Notes to Financial Statements.
-- P-56 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
CAPITAL PORTFOLIO ----------------------------------------------------------------------------------------- CLASS 1 CLASS 2 ---------------------------------------------------------------- ---------------------- SIX MONTHS SIX MONTHS ENDED YEAR ENDED DECEMBER 31, ENDED 8/30/00* 6/30/01 -------------------------------------------------- 6/30/01 TO PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 (unaudited) 12/31/00 ---------- ------ ------ ------ ------ ------ ----------- -------- NET ASSET VALUE, BEGINNING OF PERIOD.... $24.68 $23.90 $20.81 $18.10 $16.01 $14.91 $24.68 $33.31 ------ ------ ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income (loss)............ (0.03) 0.02 0.01 0.04 0.03 0.04 (0.06) (0.05) Net realized and unrealized gain (loss) on investments ....................... (1.21) 2.06 10.21 3.89 3.35 2.12 (1.21) (7.28) ------ ------ ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS........ (1.24) 2.08 10.22 3.93 3.38 2.16 (1.27) (7.33) ------ ------ ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income.... -- -- (0.01) (0.04) (0.03) (0.04) -- -- Distributions from net realized capital gain ......................... -- (1.30) (7.12) (1.18) (1.26) (1.02) -- (1.30) ------ ------ ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS..................... -- (1.30) (7.13) (1.22) (1.29) (1.06) -- (1.30) ------ ------ ------ ------ ------ ------ ------ ------ NET ASSETS VALUE, END OF PERIOD......... $23.44 $24.68 $23.90 $20.81 $18.10 $16.01 $23.41 $24.68 ====== ====== ====== ====== ====== ====== ====== ====== TOTAL RETURN: (5.02)% 8.50% 53.35% 22.19% 21.31% 14.51% (5.15)% (22.15)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted) $30,864 $37,138 $27,586 $24,141 $20,400 $14,313 $3,323 $1,569 Ratio of expenses to average net assets. 0.60%+ 0.59% 0.59% 0.60% 0.60% 0.59% 0.85%+ 0.84%+ Ratio of net income (loss) to average net assets.................... (0.30)%+ 0.07% 0.03% 0.19% 0.16% 0.29% (0.55)%+ (0.66)%+ Portfolio turnover rate................. 124.26% 230.42% 172.88% 130.86% 93.97% 88.78% 124.26% 230.42%0 Without management fee waiver:++ Ratio of expenses to average net assets. 0.71%+ 0.62% 0.96%+ Ratio of net income (loss) to average net assets................. (0.41)%+ 0.14% (0.66)%+
CASH MANAGEMENT PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD.............. $1.000 $1.000 $1.000 $1.000 $1.000 $1.000 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income............................. 0.025 0.062 0.050 0.053 0.054 0.053 ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS.................. 0.025 0.062 0.050 0.053 0.054 0.053 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Distributions from net investment income ......... (0.025) (0.062) (0.050) (0.053) (0.054) (0.053) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS............................... (0.025) (0.062) (0.050) (0.053) (0.054) (0.053) ------ ------ ------ ------ ------ ------ NET ASSETS VALUE, END OF PERIOD................... $1.000 $1.000 $1.000 $1.000 $1.000 $1.000 ====== ====== ====== ====== ====== ====== TOTAL RETURN: 2.49% 6.38% 5.07% 5.42% 5.52% 5.43% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted).......... $13,970 $12,318 $17,611 $10,520 $8,635 $9,755 Ratio of expenses to average net assets........... -- -- -- -- -- -- Ratio of net income to average net assets......... 4.95%+ 6.17% 4.99% 5.30% 5.39% 5.30% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets........... 0.87%+ 0.72% 0.65% 0.67% 0.79% 0.63% Ratio of net income to average net assets......... 4.08%+ 5.45% 4.34% 4.63% 4.60% 4.67% ---------------- * Commencement of offering of shares. + Annualized. ++ The Manager, at its discretion, reimbursed expenses and/or waived management fees for certain periods presented. 0 For the year ended December 31, 2000. See Notes to Financial Statements.
-- P-57 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- FINANCIAL HIGHLIGHTS (continued) --------------------------------------------------------------------------------
COMMON STOCK PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD............. $14.23 $16.61 $18.63 $16.28 $15.92 $15.44 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income............................ 0.05 0.12 0.32 0.29 0.33 0.34 Net realized and unrealized gain (loss) on investments................................ (0.85) (1.86) 2.03 3.61 3.01 2.79 ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................. (0.80) (1.74) 2.35 3.90 3.34 3.13 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income............. -- (0.01) (0.32) (0.31) (0.32) (0.34) Distributions from net realized capital gain..... -- (0.63) (4.05) (1.24) (2.66) (2.31) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS.............................. -- (0.64) (4.37) (1.55) (2.98) (2.65) ------ ------ ------ ------ ------ ------ NET ASSETS VALUE, END OF PERIOD.................. $13.43 $14.23 $16.61 $18.63 $16.28 $15.92 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (5.62)% (10.53)% 13.15% 24.16% 21.31% 20.08% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)......... $29,197 $32,738 $47,303 $62,588 $50,737 $37,168 Ratio of expenses to average net assets.......... 0.60%+ 0.60% 0.52% 0.52% 0.53% 0.53% Ratio of net income to average net assets ....... 0.54%+ 0.71% 1.30% 1.61% 1.92% 1.99% Portfolio turnover rate.......................... 28.82% 52.01% 38.11% 55.55% 80.13% 50.33% Without management fee waiver:++ Ratio of expenses to average net assets.......... 0.64%+ Ratio of net income to average net assets ....... 0.50%+
COMMUNICATIONS AND INFORMATION PORTFOLIO ----------------------------------------------------------------------------------------- CLASS 1 CLASS 2 ---------------------------------------------------------------- ---------------------- SIX MONTHS SIX MONTHS ENDED YEAR ENDED DECEMBER 31, ENDED 5/1/00* 6/30/01 -------------------------------------------------- 6/30/01 TO PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 (unaudited) 12/31/00 ---------- ------ ------ ------ ------ ------ ----------- -------- NET ASSET VALUE, BEGINNING OF PERIOD.... $14.82 $26.70 $17.14 $13.09 $14.69 $13.50 $14.80 $30.61 ------ ------ ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment loss..................... (0.03) (0.11) (0.10) (0.08) (0.08) (0.04) (0.05) (0.08) Net realized and unrealized gain (loss) on investments........................ 1.93 (9.45) 14.36 4.81 3.13 1.23 1.93 (13.41) ------ ------ ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS........ 1.90 (9.56) 14.26 4.73 3.05 1.19 1.88 (13.49) ------ ------ ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Distributions from net realized capital gain ........................... -- (2.32) (4.70) (0.68) (4.65) -- -- (2.32) ------ ------ ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS..................... -- (2.32) (4.70) (0.68) (4.65) -- -- (2.32) ------ ------ ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD.......... $16.72 $14.82 $26.70 $17.14 $13.09 $14.69 $16.68 $14.80 TOTAL RETURN: 12.82% (36.19)% 85.81% 36.49% 22.22% 8.81% 12.70% (44.40)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted) $134,919 $127,901 $213,961 $122,279 $87,633 $60,645 $19,420 $7,822 Ratio of expenses to average net assets. 0.93%+ 0.87% 0.86% 0.87% 0.87% 0.87% 1.18%+ 1.12%+ Ratio of net income to average net assets........................... (0.35)%+ (0.48)% (0.51)% (0.56)% (0.49)% (0.32)% (0.61)%+ (0.61)%+ Portfolio turnover rate................. 72.95% 104.41% 118.16% 132.57% 277.14% 167.20% 72.95% 104.41%0 --------------------- * Commencement of offering of shares. + Annualized. ++ The Manager, at its discretion, reimbursed expenses and/or waived management fees for certain periods presented. 0 For the year ended December 31, 2000. See Notes to Financial Statements.
-- P-58 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
FRONTIER PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD.............. $15.26 $18.13 $15.55 $15.78 $14.98 $13.56 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment loss............................... (0.03) (0.18) (0.10) (0.08) (0.08) (0.06) Net realized and unrealized gain (loss) on investments ................................... (0.43) (2.69) 2.68 (0.15) 2.47 3.28 ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS.................. (0.46) (2.87) 2.58 (0.23) 2.39 3.22 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Distributions from net realized capital gain...... -- -- -- -- (1.59) (1.80) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:.............................. -- -- -- -- (1.59) (1.80) ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD.................... $14.80 $15.26 $18.13 $15.55 $15.78 $14.98 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (3.01)% (15.83)% 16.59% (1.46)% 16.33% 23.93% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted).......... $15,131 $17,011 $25,706 $39,148 $42,973 $31,672 Ratio of expenses to average net assets........... 0.95%+ 0.95% 0.95% 0.92% 0.89% 0.92% Ratio of net loss to average net assets........... (0.39)%+ (0.73)% (0.68)% (0.51)% (0.49)% (0.37)% Portfolio turnover rate........................... 56.17% 150.67% 57.93% 86.52% 101.68% 119.74% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets........... 1.25%+ 1.18% 0.96% Ratio of net loss to average net assets........... (0.69)%+ (0.96)% (0.69)%
GLOBAL GROWTH PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 5/1/96* 6/30/01 ------------------------------------------ TO PER SHARE DATA: (unaudited) 2000 1999 1998 1997 12/31/96 ----------- ------ ------ ------ ------ -------- NET ASSET VALUE, BEGINNING OF PERIOD.............. $15.11 $18.22 $13.33 $11.03 $ 9.91 $10.00 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income (loss)...................... 0.04 (0.13) (0.06) (0.01) 0.01 0.01 Net realized and unrealized gain (loss) on investments ................................ (1.97) (2.28) 7.31 2.25 1.79 0.02 Net realized and unrealized gain (loss) on foreign currency transactions........ (0.08) (0.46) (0.44) 0.14 (0.56) (0.11) ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS.................. (2.01) (2.87) 6.81 2.38 1.24 (0.08) ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income.............. -- -- -- -- -- (0.01) Distributions from net realized capital gain...... -- (0.24) (1.92) (0.08) (0.12) -- ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:.............................. -- (0.24) (1.92) (0.08) (0.12) (0.01) ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD.................... $13.10 $15.11 $18.22 $13.33 $11.03 $ 9.91 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (13.30)% (15.78)% 52.49% 21.60% 12.57% (0.78)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted).......... $6,261 $8,348 $11,889 $8,643 $5,449 $1,590 Ratio of expenses to average net assets........... 1.40%+ 1.40% 1.40% 1.40% 1.40% 1.40%+ Ratio of net income (loss) to average net assets.. 0.63%+ (0.67)% (0.38)% (0.06)% 0.01% 0.37%+ Portfolio turnover rate........................... 100.16% 125.84% 69.18% 48.99% 77.85% 12.99% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets........... 1.77%+ 1.71% 1.45% 1.60% 2.11% 6.04%+ Ratio of net income (loss) to average net assets.. 0.26%+ (0.98)% (0.43)% (0.26)% (0.70)% (4.27)%+ ------------------ * Commencement of operations. + Annualized. ++ The Manager, and Seligman Henderson, the former subadviser to the Seligman International Portfolios, at their discretion, reimbursed expenses and/or waived management fees for certain periods presented. See Notes to Financial Statements.
-- P-59 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- FINANCIAL HIGHLIGHTS (continued) --------------------------------------------------------------------------------
GLOBAL SMALLER COMPANIES PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD ............ $14.40 $17.48 $13.62 $12.98 $12.87 $11.67 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income (loss) .................... (0.02) (0.09) (0.06) (0.01) 0.02 0.02 Net realized and unrealized gain (loss) on investments ............................... (0.83) (1.91) 4.10 1.02 1.17 2.31 Net realized and unrealized loss on foreign currency transactions ............. (0.32) (0.56) (0.18) (0.17) (0.75) (0.16) ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS ................ (1.17) (2.56) 3.86 0.84 0.44 2.17 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income ............ -- -- -- -- (0.02) (0.02) Distributions from net realized capital gain .... -- (0.52) -- (0.20) (0.31) (0.95) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS: ............................ -- (0.52) -- (0.20) (0.33) (0.97) ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD .................. $13.23 $14.40 $17.48 $13.62 $12.98 $12.87 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (8.13)% (14.63)% 28.34% 6.58% 3.43% 18.66% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted) ........ $12,123 $14,310 $19,569 $20,814 $20,505 $16,876 Ratio of expenses to average net assets ......... 1.40%+ 1.39% 1.40% 1.40% 1.40% 1.40% Ratio of net income to average net assets ....... (0.35)%+ (0.46)% (0.46)% (0.06)% 0.24% 0.23% Portfolio turnover rate ......................... 52.88% 84.86% 46.75% 66.40% 64.81% 62.31% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets ......... 1.81%+ 1.60% 1.50% 1.56% 1.90% Ratio of net income to average net assets ....... (0.76)%+ (0.66)% (0.16)% 0.08% (0.27)% ------------------- * Commencement of offering of shares. ** Commencement of operations. + Annualized. ++ The Manager, and Seligman Henderson, the former subadviser to the Seligman International Portfolios, at their discretion, reimbursed expenses and/or waived management fees for certain periods presented. See Notes to Financial Statements.
-- P-60 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
GLOBAL TECHNOLOGY PORTFOLIO ----------------------------------------------------------------------------------------- CLASS 1 CLASS 2 ---------------------------------------------------------------- ---------------------- SIX MONTHS SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 5/1/96* ENDED 5/1/00* 6/30/01 --------------------------------------- TO 6/30/01 TO PER SHARE DATA: (unaudited) 2000 1999 1998 1997 12/31/96 (unaudited) 12/31/00 ---------- ------ ------ ------ ------ -------- ----------- -------- NET ASSET VALUE, BEGINNING OF PERIOD.... $20.14 $27.42 $13.85 $10.59 $10.32 $10.00 $20.14 $30.96 ------ ------ ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income (loss)............ (0.06) (0.08) (0.09) (0.05) 0.01 -- (0.08) (0.12) Net realized and unrealized gain (loss) on investments....................... (2.07) (6.39) 16.25 3.81 2.15 0.30 (2.07) (10.01) Net realized and unrealized gain (loss) on foreign currency transactions..... (0.35) (0.01) (0.04) 0.11 (0.19) 0.10 (0.35) 0.11 ------ ------ ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS........ (2.48) (6.48) 16.12 3.87 1.97 0.40 (2.50) (10.02) ------ ------ ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income.... -- -- -- -- (0.01) -- -- -- Distributions from net realized capital gain......................... -- (0.80) (2.55) (0.61) (1.69) (0.08) -- (0.80) ------ ------ ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:.................... -- (0.80) (2.55) (0.61) (1.70) (0.08) -- (0.80) ------ ------ ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD.......... $17.66 $20.14 $27.42 $13.85 $10.59 $10.32 $17.64 $20.14 ====== ====== ====== ====== ====== ====== ====== ====== TOTAL RETURN: (12.31)% (23.75)% 118.80% 36.80% 19.53% 4.01% (12.41)% (25.99)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted) $21,022 $25,370 $22,087 $6,130 $3,686 $1,364 $3,072 $3,400 Ratio of expenses to average net assets. 1.40%+ 1.30% 1.40% 1.40% 1.40% 1.40%+ 1.55%+ 1.55%+ Ratio of net income (loss) to average net assets........................... (0.67)%+ (0.46)% (0.51)% (0.43)% 0.12% 0.60%+ (0.82)%+ (0.84)%+ Portfolio turnover rate................. 72.52% 142.42% 116.88% 82.27% 167.36% 45.04% 72.52% 142.42%0 Without management fee waiver:++ Ratio of expenses to average net assets............................ 1.53%+ 1.41% 1.80% 2.10% 4.71%+ 1.68%+ Ratio of net income to average net assets............................ (0.80)%+ (0.52)% (0.83)% (0.58)% (2.71)%+ (0.95)%+ ------------------- * Commencement of offering of shares. ** Commencement of operations. + Annualized. ++ The Manager, and Seligman Henderson, the former subadviser to the Seligman International Portfolios, at their discretion, reimbursed expenses and/or waived management fees for certain periods presented. 0 For the year ended December 31, 2000. See Notes to Financial Statements.
-- P-61 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- FINANCIAL HIGHLIGHTS (continued) --------------------------------------------------------------------------------
HIGH-YIELD BOND PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD............. $ 8.73 $ 9.59 $10.87 $11.87 $11.19 $10.50 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income............................ 0.80 1.03 1.19 1.11 0.91 0.77 Net realized and unrealized gain (loss) on investments ............................... (1.45) (1.89) (1.27) (0.99) 0.78 0.77 ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................. (0.65) (0.86) (0.08) 0.12 1.69 1.54 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income............. -- * (1.20) (1.11) (0.90) (0.77) Distributions from net realized capital gain..... -- -- -- (0.01) (0.11) (0.08) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:............................. -- -- (1.20) (1.12) (1.01) (0.85) ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD................... $ 8.08 $ 8.73 $ 9.59 $10.87 $11.87 $11.19 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (7.45)% (8.93)% (0.75)% 1.02% 15.09% 14.62% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)......... $12,858 $15,080 $26,892 $32,253 $23,268 $11,176 Ratio of expenses to average net assets.......... 0.70%+ 0.70% 0.70% 0.70% 0.70% 0.70% Ratio of net income to average net assets........ 10.99%+ 11.02% 10.33% 9.60% 9.61% 9.77% Portfolio turnover rate.......................... 27.59% 29.57% 57.05% 43.13% 74.54% 117.01% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets.......... 0.83%+ 0.78% 0.77% 0.74% 0.79% 0.88% Ratio of net income to average net assets........ 10.86%+ 10.94% 10.26% 9.56% 9.52% 9.59%
INCOME PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD............. $ 9.65 $ 9.91 $11.01 $10.80 $10.52 $10.56 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income............................ 0.25 0.32 0.53 0.45 0.56 0.58 Net realized and unrealized gain (loss) on investments ............................... (0.29) (0.54) (0.23) 0.38 0.91 0.13 ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................. (0.04) (0.22) 0.30 0.83 1.47 0.71 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income............. -- (0.01) (0.52) (0.46) (0.55) (0.58) Distributions from net realized capital gain..... -- (0.03) (0.88) (0.16) (0.64) (0.17) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:............................. -- (0.04) (1.40) (0.62) (1.19) (0.75) ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD................... $ 9.61 $ 9.65 $ 9.91 $11.01 $10.80 $10.52 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (0.41)% (2.20)% 2.87% 7.76% 14.02% 6.66% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)......... $4,760 $5,640 $8,595 $14,582 $13,835 $13,717 Ratio of expenses to average net assets.......... 0.60%+ 0.60% 0.60% 0.60% 0.60% 0.59% Ratio of net income to average net assets........ 3.27%+ 3.07% 3.62% 3.94% 4.71% 5.37% Portfolio turnover rate.......................... 43.33% 61.14% 75.08% 70.45% 96.99% 19.59% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets.......... 1.08%+ 0.83% 0.72% 0.61% 0.63% Ratio of net income to average net assets........ 2.79%+ 2.84% 3.50% 3.93% 4.68% --------------------- * During 2000, a dividend of $0.004 per share was paid. + Annualized. ++ The Manager, at its discretion, reimbursed expenses and/or waived management fees for certain periods presented. See Notes to Financial Statements.
-- P-62 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------
INTERNATIONAL GROWTH PORTFOLIO --------------------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED DECEMBER 31, 6/30/01 ------------------------------------------------------ PER SHARE DATA: (unaudited) 2000 1999 1998 1997 1996 ----------- ------ ------ ------ ------ ------ NET ASSET VALUE, BEGINNING OF PERIOD............. $10.65 $16.63 $15.37 $13.54 $12.96 $12.39 ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income ........................... 0.04 0.06 0.05 0.08 0.03 0.07 Net realized and unrealized gain (loss) on investments................................ (1.81) (4.59) 4.59 1.90 2.11 1.13 Net realized and unrealized gain (loss) on foreign currency transactions.............. (0.05) (0.88) (0.73) 0.16 (1.06) (0.32) ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................. (1.82) (5.41) 3.91 2.14 1.08 0.88 ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income............. -- (0.14) -- (0.15) (0.03) (0.07) Distributions from net realized capital gain..... -- (0.43) (2.65) (0.16) (0.47) (0.24) ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:............................. -- (0.57) (2.65) (0.31) (0.50) (0.31) ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD................... $ 8.83 $10.65 $16.63 $15.37 $13.54 $12.96 ====== ====== ====== ====== ====== ====== TOTAL RETURN: (17.09)% (32.47)% 26.64% 15.81% 8.35% 7.08% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)......... $5,747 $7,150 $10,248 $9,893 $9,182 $7,242 Ratio of expenses to average net assets.......... 1.40%+ 1.40% 1.39% 1.40% 1.40% 1.40% Ratio of net income (loss) to average net assets. 0.91%+ (0.57)% 0.33% 0.52% 0.43% 0.70% Portfolio turnover rate.......................... 125.71% 275.32% 79.17% 75.81% 89.43% 48.53% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets.......... 2.04%+ 2.03% 1.66% 1.78% 2.07% 2.30% Ratio of net income to average net assets........ 0.27%+ (1.20)% 0.06% 0.14% (0.24)% (0.20)%
LARGE-CAP GROWTH PORTFOLIO LARGE-CAP VALUE PORTFOLIO ---------------------------------- --------------------------------------------- SIX MONTHS SIX MONTHS YEAR ENDED ENDED YEAR 5/1/99** ENDED DECEMBER 31, 5/1/98** 6/30/01 ENDED TO 6/30/01 ------------------ TO PER SHARE DATA: (unaudited) 12/31/00 12/31/99 (unaudited) 2000 1999 12/31/98 ----------- -------- -------- ----------- ------ ------ -------- NET ASSET VALUE, BEGINNING OF PERIOD............ $10.21 $12.16 $10.00 $11.59 $ 9.28 $ 9.66 $10.00 ------ ------ ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment income........................... -- 0.01 -- 0.07 0.14 0.10 0.04 Net realized and unrealized gain (loss) on investments............................... (1.10) (1.96) 2.16 (0.32) 2.25 (0.37) (0.07) ------ ------ ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................ (1.10) (1.95) 2.16 (0.25) 2.39 (0.27) (0.03) ------ ------ ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Dividends from net investment income............ -- -- -- -- * (0.11) (0.04) Distributions from net realized capital gain.... -- -- -- -- (0.08) -- (0.27) ------ ------ ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:............................ -- -- -- -- (0.08) (0.11) (0.31) ------ ------ ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD.................. $ 9.11 $10.21 $12.16 $11.34 $11.59 $ 9.28 $ 9.66 ====== ====== ====== ====== ====== ====== ====== TOTAL RETURN: (10.77)% (16.04)% 21.60% (2.16)% 25.84% (2.76)% (0.26)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)........ $4,566 $5,255 $3,668 $6,637 $6,057 $5,758 $3,845 Ratio of expenses to average net assets......... 0.70%+ 0.70% 0.70%+ 0.80%+ 0.80% 0.80% 0.80%+ Ratio of net income (loss) to average net assets .................................. (0.04)%+ 0.08% (0.03)%+ 1.14%+ 1.51% 1.18% 1.11%+ Portfolio turnover rate......................... 102.19% 179.44% 56.69% 20.03% 42.29% 28.01% 65.82% Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets......... 1.21%+ 1.18% 1.52%+ 1.16%+ 1.22% 1.13% 2.24%+ Ratio of net income (loss) to average net assets .................................. (0.55)%+ (0.40)% (0.85)%+ 0.78%+ 1.09% 0.85% (0.33)%+ --------------------- * During 2000, a dividend of $0.002 per share was paid. **Commencement of operations. + Annualized. ++ The Manager and Seligman Henderson, the former subadviser to the Seligman International Portfolios, at their discretion, reimbursed expenses and/or waived management fees for certain periods presented. See Notes to Financial Statements.
-- P-63 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- FINANCIAL HIGHLIGHTS (continued) --------------------------------------------------------------------------------
SMALL-CAP VALUE PORTFOLIO --------------------------------------------------------------------------- CLASS 1 CLASS 2 --------------------------------------------------------- ----------- SIX MONTHS 5/1/01** ENDED YEAR ENDED DECEMBER 31, 5/1/98* TO 6/30/01 ------------------------ TO 6/30/01 PER SHARE DATA: (unaudited) 2000 1999 12/31/98 (unaudited) ----------- ------ ------ -------- ----------- NET ASSET VALUE, BEGINNING OF PERIOD............. $10.58 $ 8.08 $ 7.31 $10.00 $10.78 ------ ------ ------ ------ ------ INCOME FROM INVESTMENT OPERATIONS: Net investment loss.............................. (0.01) (0.01) (0.03) (0.02) (0.01) Net realized and unrealized gain (loss) on investments................................ 1.27 2.66 2.49 (1.73) 1.07 ------ ------ ------ ------ ------ TOTAL FROM INVESTMENT OPERATIONS................. 1.26 2.65 2.46 (1.75) 1.06 ------ ------ ------ ------ ------ LESS DISTRIBUTIONS: Distributions from net realized capital gain..... -- (0.15) (1.69) (0.94) -- ------ ------ ------ ------ ------ TOTAL DISTRIBUTIONS:............................. -- (0.15) (1.69) (0.94) -- ------ ------ ------ ------ ------ NET ASSET VALUE, END OF PERIOD................... $11.84 $10.58 $ 8.08 $ 7.31 $11.84 ====== ====== ====== ====== ====== TOTAL RETURN: 11.91% 33.00% 35.26% (17.00)% 9.83% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (000s omitted)......... $52,096 $16,495 $4,403 $2,469 $2,228 Ratio of expenses to average net assets.......... 1.15%+ 1.00% 1.00% 1.00%+ 1.39%+ Ratio of net loss to average net assets.......... (0.29)%+ (0.22)% (0.27)% (0.34)%+ (0.37)%+ Portfolio turnover rate.......................... 18.24% 42.27% 90.51% 73.87% 18.24%0 Without management fee waiver and expense reimbursement:++ Ratio of expenses to average net assets.......... 1.25%+ 1.45% 1.41% 3.08%+ 1.43%+ Ratio of net loss to average net assets.......... (0.39)%+ (0.67)% (0.68)% (2.43)%+ (0.41)%+ ------------------ * Commencement of operations. ** Commencement of offering of shares. + Annualized. ++ The Manager, at its discretion, reimbursed expenses and/or waived management fees for certain periods presented. 0For the six months ended June 30, 2001. See Notes to Financial Statements.
-- P-64 -- SELIGMAN PORTFOLIOS, INC. -------------------------------------------------------------------------------- BOARD OF DIRECTORS -------------------------------------------------------------------------------- JOHN R. GALVIN 2, 4 Director, Raytheon Company Dean Emeritus, Fletcher School of Law and Diplomacy at Tufts University ALICE S. ILCHMAN 3, 4 Trustee, Committee for Economic Development Chairman, The Rockefeller Foundation FRANK A. MCPHERSON 3, 4 Director, Kimberly-Clark Corporation Director, Baptist Medical Center Director, Conoco Inc. JOHN E. MEROW 2, 4 Director, Commonwealth Industries, Inc. Trustee, New York-Presbyterian Hospital Retired Chairman and Senior Partner, Sullivan & Cromwell, Law Firm BETSY S. MICHEL 2, 4 Trustee, The Geraldine R. Dodge Foundation WILLIAM C. MORRIS 1 Chairman Chairman of the Board, J. & W. Seligman & Co. Incorporated Chairman, Carbo Ceramics Inc. Director, Kerr-McGee Corporation JAMES C. PITNEY 3, 4 Retired Partner, Pitney, Hardin, Kipp & Szuch, Law Firm LEROY C. RICHIE 2, 4 Chairman and CEO, Q Standards Worldwide,Inc. JAMES Q. RIORDAN 3, 4 Director, KeySpan Corporation Trustee, Committee for Economic Development ROBERT L. SHAFER 3, 4 Retired Vice President, Pfizer Inc. JAMES N. WHITSON 2, 4 Director and Consultant, Sammons Enterprises, Inc. Director, C-SPAN Director, CommScope, Inc. BRIAN T. ZINO 1 President President, J. & W. Seligman & Co. Incorporated Chairman, Seligman Data Corp. Vice Chairman, ICI Mutual Insurance Company Member of the Board of Governors, Investment Company Institute FRED E. BROWN Director Emeritus -------------- Member: 1 Executive Committee 2 Audit Committee 3 Director Nominating Committee 4 Board Operations Committee -------------------------------------------------------------------------------- EXECUTIVE OFFICERS -------------------------------------------------------------------------------- WILLIAM C. MORRIS NEIL T. EIGEN STEVEN A. WERBER, JR. Chairman Vice President Vice President BRIANT.ZINO THOMAS G. ROSE PAUL H. WICK President Vice President Vice President DANIEL J. BARKER MARION S. SCHULTHEIS GARY S. ZELTZER Vice President Vice President Vice President IAIN C. CLARK CHARLES C. SMITH, JR. FRANK J. NASTA Vice President Vice President Secretary MARK J. CUNNEEN LAWRENCE P. VOGEL Vice President Vice President and Treasurer -------------------------------------------------------------------------------- MANAGER J. & W. Seligman & Co. Incorporated 100 Park Avenue New York, New York 10017 SUBADVISER (to Seligman Global Smaller Companies Portfolio) Henderson Investment Management Limited 3 Finsbury Avenue London EC2M 2PA GENERAL DISTRIBUTOR Seligman Advisors, Inc. 100 Park Avenue New York, New York 10017 CUSTODIANS State Street Bank and Trust Company J.P. Morgan Chase GENERAL COUNSEL Sullivan & Cromwell INDEPENDENT AUDITORS Ernst & Young LLP -- P-65 -- www.seligman.com This report is intended only for the information of shareholders or those who have received the offering prospectus covering shares of Capital Stock of Seligman Portfolios, Inc., which contains information about the management fees and other costs. Please read the prospectus carefully before investing or sending money. SP3 6/01 Printed on Recycled Paper