N-Q 1 dnq.htm SMITH BARNEY INVESTMENT TRUST Smith Barney Investment Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM N-Q

 

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number 811-6444

 

 

Smith Barney Investment Trust

(Exact name of registrant as specified in charter)

 

 

125 Broad Street, New York, NY 10004

(Address of principal executive offices) (Zip code)

 

Robert I. Frenkel, Esq.

Smith Barney Fund Management LLC

300 First Stamford Place

Stamford, CT 06902

(Name and address of agent for service)

 

Registrant’s telephone number, including area code: 1-800-451-2010

 

Date of fiscal year end: November 30

Date of reporting period: August 31, 2004

 

ITEM 1. SCHEDULE OF INVESTMENTS

SMITH BARNEY INVESTMENT TRUST

 

SMITH BARNEY MID CAP CORE FUND

 

FORM N-Q

AUGUST 31, 2004

SMITH BARNEY MID CAP CORE FUND

 

Schedule of Investments (unaudited)   August 31, 2004

 

SHARES
   

SECURITY

    VALUE
COMMON STOCK - 99.4%       
CONSUMER DISCRETIONARY - 18.5%       
Hotels, Restaurants & Leisure - 2.9%       
642,675    Boyd Gaming Corp.    $ 17,448,626
275,900    CBRL Group, Inc.      8,795,692
276,375    Landry’s Restaurants, Inc.      7,315,646
         
            33,559,964
         
Household Durables - 1.1%       
424,600    D.R. Horton, Inc.      13,137,124
         
Leisure Equipment & Products - 0.7%       
413,125    THQ Inc. (a)      7,845,244
         
Media - 9.3%       
172,550    The E.W. Scripps Co., Class A Shares      17,653,590
690,225    Harte-Hanks, Inc.      17,124,482
1,088,260    Imax Corp. (a)      5,593,656
2,190,375    Marvel Enterprises, Inc. (a)      32,132,801
259,950    Meredith Corp.      13,018,296
102,050    Pixar (a)      7,931,326
14,765    Washington Post Co., Class B Shares      12,823,402
         
            106,277,553
         
Specialty Retail - 3.6%       
642,300    PETsMART, Inc.      18,022,938
313,425    The Sports Authority, Inc. (a)      6,654,013
477,775    Williams-Sonoma, Inc. (a)      16,717,347
         
            41,394,298
         
Textiles & Apparel - 0.9%       
117,425    Coach, Inc. (a)      4,949,464
414,550    Tommy Hilfiger Corp. (a)      5,596,425
         
            10,545,889
         
     TOTAL CONSUMER DISCRETIONARY      212,760,072
         
CONSUMER STAPLES - 4.5%       
Food Products - 3.5%       
374,465    The Hain Celestial Group, Inc. (a)      6,571,861
637,175    Hormel Foods Corp.      17,012,572
357,250    The J. M. Smucker Co.      16,426,355
         
            40,010,788
         
Personal Products - 1.0%       
241,417    Alberto-Culver Co., Class A Shares      11,658,027
         
     TOTAL CONSUMER STAPLES      51,668,815
         
ENERGY - 7.4%       
Energy Equipment & Services - 4.4%       
326,050    GlobalSantaFe Corp.      9,090,274
300,825    Nabors Industries, Ltd. (a)      13,266,382
205,000    Smith International, Inc. (a)      11,680,900
360,275    Weatherford International Ltd. (a)      16,695,144
         
            50,732,700
         

 

See Notes to Schedule of Investments.

 

1

SMITH BARNEY MID CAP CORE FUND

 

Schedule of Investments (unaudited) (continued)   August 31, 2004

 

SHARES
   

SECURITY

    VALUE
Oil & Gas - 3.0%       
272,225    Murphy Oil Corp.    $ 20,555,710
248,180    Newfield Exploration Co. (a)      13,736,763
         
            34,292,473
         
     TOTAL ENERGY      85,025,173
         
FINANCIALS - 16.1%       
Banks - 5.9%       
301,275    Banknorth Group, Inc.      10,234,312
232,350    Comerica Inc.      13,975,853
280,350    Investors Financial Services Corp.      13,002,633
333,275    New York Community Bancorp, Inc.      7,115,421
140,500    TCF Financial Corp.      8,937,205
238,875    Zions Bancorp.      14,877,135
         
            68,142,559
         
Diversified Financials - 4.0%       
185,400    The Bear Stearns Cos. Inc.      16,300,368
94,275    Legg Mason, Inc.      7,606,107
575,325    SLM Corp.      22,449,182
         
            46,355,657
         
Insurance - 6.2%       
313,747    Ambac Financial Group, Inc.      23,687,899
72,650    Everest Re Group, Ltd.      5,097,124
185,650    IPC Holdings, Ltd.      6,737,238
443,125    Old Republic International Corp.      10,435,594
206,400    PartnerRe Ltd.      10,594,512
409,000    Willis Group Holdings Ltd.      14,302,730
         
            70,855,097
         
     TOTAL FINANCIALS      185,353,313
         
HEALTHCARE - 12.1%       
Biotechnology - 3.6%       
274,105    Gilead Sciences, Inc. (a)      18,948,879
616,575    NPS Pharmaceuticals, Inc. (a)      12,948,075
158,400    OSI Pharmaceuticals, Inc. (a)      9,439,056
         
            41,336,010
         
Healthcare Equipment & Supplies - 3.6%       
245,050    Cytyc Corp. (a)      5,871,398
396,925    DENTSPLY International Inc.      20,223,329
108,950    Fisher Scientific International Inc. (a)      6,206,882
279,950    Varian Medical Systems, Inc. (a)      9,280,342
         
            41,581,951
         
Healthcare Providers & Services - 2.9%       
219,525    Community Health Systems Inc. (a)      5,488,125
286,575    Sierra Health Services, Inc. (a)      12,357,114
334,725    Universal Health Services, Inc., Class B Shares (a)      15,079,361
32,425    WellCare Health Plans Inc. (a)      591,756
         
            33,516,356
         

 

See Notes to Schedule of Investments.

 

2

SMITH BARNEY MID CAP CORE FUND

 

Schedule of Investments (unaudited) (continued)   August 31, 2004

 

SHARES
   

SECURITY

    VALUE
Pharmaceuticals - 2.0%       
618,025    Medicis Pharmaceutical Corp., Class A Shares    $ 22,632,076
         
     TOTAL HEALTH CARE      139,066,393
         
INDUSTRIALS - 19.5%       
Aerospace & Defense - 2.2%       
299,210    Alliant Techsystems Inc. (a)      17,336,227
118,400    L-3 Communications Holdings, Inc.      7,416,576
         
            24,752,803
         
Airlines - 0.5%       
228,050    JetBlue Airways Corp. (a)      5,438,992
         
Building Products - 1.2%       
383,150    American Standard Cos. Inc. (a)      14,410,272
         
Commercial Services & Supplies - 3.3%       
654,275    Allied Waste Industries, Inc. (a)      6,699,776
105,800    DST Systems, Inc. (a)      4,786,392
237,850    Korn/Ferry International (a)      4,226,594
234,225    Laureate Education Inc. (a)      8,008,153
325,850    Manpower Inc.      13,760,646
         
            37,481,561
         
Construction & Engineering - 0.7%       
201,745    Jacobs Engineering Group Inc. (a)      7,890,247
         
Electrical Equipment - 1.2%       
369,100    Rockwell Automation, Inc.      14,394,900
         
Industrial Conglomerates - 1.4%       
265,875    Carlisle Cos. Inc.      16,231,669
         
Machinery - 3.5%       
237,300    Eaton Corp.      14,321,055
267,725    Navistar International Corp. (a)      9,579,200
695,200    Pall Corp.      16,935,072
         
            40,835,327
         
Road & Rail - 2.6%       
446,625    C.H. Robinson Worldwide, Inc.      19,057,489
633,375    Heartland Express Inc.      11,109,398
         
            30,166,887
         
Trading Companies & Distributors - 2.9%       
264,340    CDW Corp.      15,463,890
278,675    Fastenal Co.      17,495,216
         
            32,959,106
         
     TOTAL INDUSTRIALS      224,561,764
         

 

See Notes to Schedule of Investments.

 

3

SMITH BARNEY MID CAP CORE FUND

 

Schedule of Investments (unaudited) (continued)   August 31, 2004

 

SHARES
   

SECURITY

    VALUE
INFORMATION TECHNOLOGY - 12.9%       
Communications Equipment - 1.3%       
862,050    3Com Corp. (a)    $ 3,887,846
409,475    Avaya Inc. (a)      4,962,837
249,750    Juniper Networks, Inc. (a)      5,716,778
         
            14,567,461
         
Computers & Peripherals - 0.9%       
545,460    Electronics for Imaging, Inc. (a)      10,843,745
         
Electronic Equipment & Instruments - 2.8%       
471,415    Celestica, Inc., Subordinate Voting Shares (a)      6,741,235
199,775    Diebold, Inc.      9,767,000
591,550    Thermo Electron Corp. (a)      15,540,018
         
            32,048,253
         
Semiconductor Equipment & Products - 3.0%       
454,100    Cymer, Inc. (a)      12,133,552
1,202,685    Integrated Device Technology, Inc. (a)      12,880,756
161,650    International Rectifier Corp. (a)      5,311,819
111,725    Linear Technology Corp.      3,996,403
         
            34,322,530
         
Software - 4.9%       
343,700    Amdocs Ltd. (a)      6,908,370
409,835    Mercury Interactive Corp. (a)      14,143,406
1,227,100    Quest Software, Inc. (a)      12,418,252
966,400    Siebel Systems, Inc. (a)      7,354,304
431,500    Synopsys, Inc. (a)      6,886,740
501,500    VERITAS Software Corp. (a)      8,385,080
         
            56,096,152
         
     TOTAL INFORMATION TECHNOLOGY      147,878,141
         
MATERIALS - 5.5%       
Chemicals - 2.3%       
302,900    Air Products & Chemicals, Inc.      15,865,902
100,100    Cytec Industries Inc.      4,828,824
107,225    Minerals Technologies Inc.      6,022,828
         
            26,717,554
         
Containers & Packaging - 1.2%       
794,155    Smurfit-Stone Container Corp. (a)      14,088,310
         
Metals & Mining - 2.0%       
291,230    Compass Minerals International Inc.      6,252,708
399,600    Glamis Gold Ltd. (a)      6,649,344
198,575    Inco Ltd. (a)      6,779,350
189,325    Placer Dome Inc.      3,316,974
         
            22,998,376
         
     TOTAL MATERIALS      63,804,240
         

 

See Notes to Schedule of Investments.

 

4

 

SMITH BARNEY MID CAP CORE FUND

 

Schedule of Investments (unaudited) (continued)   August 31, 2004

 

SHARES
  

SECURITY

    VALUE
  UTILITIES - 2.9%       
  Electric Utilities - 0.9%       
  313,300   Wisconsin Energy Corp.    $ 10,260,575
          
  Gas Utilities - 1.0%       
  597,975   Southern Union Co. (a)      11,176,153
          
  Water Utilities - 1.0%       
  538,387   Aqua America, Inc.      11,413,804
          
      TOTAL UTILITIES      32,850,532
          
      TOTAL COMMON STOCK (Cost - $ 1,062,750,713)      1,142,968,443
          
FACE
AMOUNT
         
  REPURCHASE AGREEMENT - 0.1%       
$ 1,200,000  

UBS Financial Services dated 8/31/04, 1.580% due 9/1/04; Proceeds at maturity-$1,200,053;

(Fully collateralized by various U.S. Government Agency Obligations and International Bank Reconstruction and Development bonds, 0.000% to 9.800% due 10/22/04 to 3/1/26; Market Value-$1,224,004) (Cost - $ 1,200,000)

      1,200,000
          
      TOTAL INVESTMENTS - 99.5% (Cost - $1,063,950,713*)      1,144,168,443
      Other Assets in Excess of Liabilities - 0.5%      5,237,798
          
      TOTAL NET ASSETS - 100.0%    $ 1,149,406,241
          
(a) Non-income producing security.
 * Aggregate cost for Federal income tax purposes is substantially the same.

 

See Notes to Schedule of Investments.

 

5

Notes to the Schedule of Investments (unaudited)

 

1. Organization and Significant Accounting Policies

 

Smith Barney Mid Cap Core Fund (“Fund”), a separate investment fund of the Smith Barney Investment Trust (“Trust”), a Massachusetts business trust, is registered under the Investment Company Act of 1940, as amended, as a diversified, open-end management investment company.

 

The following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (“GAAP”):

 

(a) Investment Valuation. Securities traded on national securities markets are valued at the closing prices on such markets. Securities listed on the NASDAQ National Market System for which market quotations are available are valued at the official closing price or, if there is no official closing price on that day, at the last sale price. Securities for which no sales price was reported and U.S. government and agency obligations are valued at the mean between the closing bid and asked prices. When market quotations or official closing prices are not readily available, or are determined not to reflect accurately fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded (for example, a foreign exchange or market), but before the Fund calculates its net asset value, the Fund may value these investments at fair value as determined in accordance with the procedures approved by the Fund’s Board of Trustees. Fair valuing of securities may be determined with the assistance of a pricing service using calculations based on indices of domestic securities and other appropriate indicators, such as prices of relevant ADR’s and futures contracts. Securities maturing within 60 days are valued at cost plus accreted discount or minus amortized premium, which approximates value.

 

(b) Repurchase Agreements. When entering into repurchase agreements, it is the Fund’s policy that a custodian takes possession of the underlying collateral securities, the value of which at least equals the principal amount of the repurchase transaction, including accrued interest. To the extent that any repurchase transaction exceeds one business day, the value of the collateral declines or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Fund may be delayed or limited.

 

(c) Investment Transactions. Security transactions are accounted for on trade date.

 

2. Investments

 

At August 31, 2004, the aggregate gross unrealized appreciation and depreciation of investments for Federal income tax purposes were substantially as follows:

 

Gross unrealized appreciation

    $ 161,746,173  

Gross unrealized depreciation

      (81,528,443 )
    

Net unrealized appreciation

    $ 80,217,730  
    

 

6

ITEM 2. CONTROLS AND PROCEDURES.

 

  (a) The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a- 3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934

 

  (b) There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are likely to materially affect the registrant’s internal control over financial reporting.

 

ITEM 3. EXHIBITS.

 

Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are attached hereto.

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Smith Barney Investment Series
By   

/s/ R. Jay Gerken

     R. Jay Gerken
     Chief Executive Officer
Date    October 28, 2004

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By   

/s/ R. Jay Gerken

     R. Jay Gerken
     Chief Executive Officer
Date    October 28, 2004
By   

/s/ James M. Giallanza

     James M. Giallanza
     Chief Financial Officer
Date    October 28, 2004