N-CSRS 1 a37812.htm FIRST EAGLE FUNDS

 


UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act file number 811-7762

First Eagle Funds

(Exact name of registrant as specified in charter)

1345 Avenue of the Americas
New York, NY 10105-4300
(Address of principal executive offices) (Zip code)

Robert Bruno
First Eagle Funds
1345 Avenue of the Americas
New York, NY 10105-4300
(Name and address of agent for service)

Registrant’s telephone number, including area code: 1-212-632-2700

Date of fiscal year end: October 31, 2004

Date of reporting period: April 30, 2004

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 


 


Item 1.

Reports to Stockholders.


 

First Eagle Funds


Advised by
Arnhold and S. Bleichroeder Advisers, LLC



SEMI-ANNUAL REPORT
April 30, 2004

First Eagle
Global Fund

First Eagle
Overseas Fund

First Eagle
U.S. Value Fund

First Eagle
Gold Fund

First Eagle
Fund of America

 

Semi-Annual Report






FIRST EAGLE FUNDS

TABLE OF CONTENTS

Letters from the Co-Presidents

 

1

 

Performance Chart

 

3

 

Management’s Discussion of Fund Performance: First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund

 

5

 

First Eagle Global Fund:

 

 

 

Fund Overview

 

8

 

Schedule of Investments

 

9

 

First Eagle Overseas Fund:

 

 

 

Fund Overview

 

22

 

Schedule of Investments

 

23

 

First Eagle U.S. Value Fund:

 

 

 

Fund Overview

 

37

 

Schedule of Investments

 

38

 

First Eagle Gold Fund:

 

 

 

Fund Overview

 

43

 

Schedule of Investments

 

44

 

First Eagle Fund of America:

 

 

 

Management’s Discussion of Fund Performance

 

48

 

Fund Overview

 

49

 

Schedule of Investments

 

50

 

Statements of Assets and Liabilities

 

54

 

Statements of Operations

 

55

 

Statements of Changes in Net Assets

 

56

 

Notes to Financial Statements

 

58

 

Financial Highlights

 

68

 

Additional Information

 

80

 

Results of Meeting of Shareholders

 

84

 




FIRST EAGLE FUNDS

LETTERS FROM THE CO-PRESIDENTS

 


John P. Arnhold

   

Dear Shareholder:

We are pleased to provide your Semi-Annual Report. Since our last report, First Eagle Fund managers have continued to uncover hidden values around the globe through their bottom-up, research-driven approach.

The rapid growth in assets under management has been a concern for us as net cash flows grew dramatically over the last two years. While the significantly larger assets under management will not alter our approach or investment style, it must diminish the impact of smaller capitalization issues on the portfolio and force us to focus greater efforts on larger capitalization companies. The build-up of cash as a percentage of assets will give us greater flexibility as it has recently become more difficult to find compelling values in a market that appears fairly or richly priced. We did, however, close the First Eagle Overseas Fund to new investors to dampen inflows into that fund. We will be mindful of capacity issues in the future as we have been in the past.

With regard to the widespread reporting of abuses in the mutual fund industry, we recognize that a number of well-known firms acted inappropriately and that the transgressions were serious violations of trust. In our company, we believe that we have always obeyed the rules and more importantly, the practice of good business ethics. Our management company has always been concerned about its standing and reputation and we have been supported by a strong independent group of mutual fund directors. The latest example, in the field of governance, would be the recent election of one of our independent trustees, Candace Beinecke, the managing partner of a highly-regarded law firm, as Chairperson of the Board.

We view ourselves as steward of our clients’ assets, and recognize the trust you place in us. We believe the time-tested investment process of our management team as well as our firm’s integrity make the First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America solid options for long-term investors. We appreciate your continued confidence.

Sincerely,


 

 

John P. Arnhold
Co-President

 

 

 

 

 

May 2004

 

 

 

 


   Jean-Marie Eveillard

  

Dear Shareholder:

First Eagle Global Fund, First Eagle Overseas Fund and
First Eagle U.S. Value Fund

Last December, we wrote that many new shareholders had been investing their savings in our funds, so that cash had been building up in the First Eagle Global and First Eagle Overseas Funds. Though we thought that was not necessarily bad, we said we might decide to close one fund (or two, or three . . .). Well, we did close the First Eagle Overseas Fund to new investors in February.

As fund shareholders of long standing know, we do not talk much (if at all) about “the outlook”, for a simple reason, “the future is uncertain.” Still, a few words about what we think we see today may be appropriate .In the U.S., to paraphrase Benjamin Graham, “the market seems high, it is high, and it is as high as it seems.”
That says nothing, incidentally, about whether the market will go up or down in the next few months: “short term, the market is a voting machine”. In other words market psychology rules, and we do not pay attention to that. What we are saying is that valuations are high, so that we see few investment opportunities. Still, this is a broad market, so we keep looking.

In Europe, valuations are generally lower than in the U.S. For example, Heineken NV (which the First Eagle Global and First Eagle Overseas Funds own indirectly in a cheaper way through a holding company) is much less expensive than Anheuser-Busch. Therefore, coming up with investment ideas in Europe is somewhat less difficult than in the U.S. Japan is a special case. As is true of other markets, Tokyo is up sharply over the past year or so. But that move came after a 12-year bear market. So we continue to spend time investigating specific Japanese securities.

First Eagle Gold Fund

Gold and the First Eagle Gold Fund have done poorly so far this year. We continue to look at gold as insurance. The imbalances that built up during the bubble years have not been corrected. A disorderly decline in the U.S. dollar, a new stagflation, a blow-up in the derivatives market are some of the possibilities. The world is a dangerous place in many respects, we believe. Admittedly, we may be unduly worried, so we keep an open mind, but for the time being, we still seek protection with gold.

Sincerely,


 

 

Jean-Marie Eveillard
Co-President

 

 

 

 

 

June 2004

 

 

2

 

PERFORMANCE

 

FIRST EAGLE FUNDS

Average Annual Returns1 as of April 30, 2004 (unaudited)     

 

 

 

ONE-YEAR

 

THREE-YEARS

 

FIVE-YEARS

 

TEN-YEARS

 

FIFTEEN-
YEARS

 

SINCE
INCEPTION

 

INCEPTION
DATE

 

FIRST EAGLE GLOBAL FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Eagle Global Fund - Class A (SGENX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

without sales load

 

33.98%

 

17.03%

 

16.05%

 

12.30%

 

12.39%

 

15.54%

 

1/01/792

 

with sales load

 

27.28%

 

15.04%

 

15.16%

 

11.87%

 

12.10%

 

15.36%

 

1/01/792

 

First Eagle Global Fund - Class I (SGIIX)

 

34.31%

 

17.33%

 

16.30%

 

—

  

 

—

  

 

14.45%

 

7/31/98

 
First Eagle Global Fund - Class C (FESGX)  

31.61%

 

16.19%

 

—

 

 

—

 

 

—

 

 

16.35%

 

6/05/00

  

MSCI World Index3

 

29.45%

 

(1.60%)

 

(2.12%)

 

6.81%

 

6.43%

 

11.02%

 

1/01/79

 

FIRST EAGLE OVERSEAS FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Eagle Overseas Fund - Class A (SGOVX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

without sales load

 

39.42%

 

18.05%

 

16.86%

 

12.76%

 

—

 

 

13.58%

 

8/31/93

 

with sales load

 

32.45%

 

16.05%

 

15.98%

 

12.33%

 

—

 

 

13.18%

 

8/31/93

 

First Eagle Overseas Fund - Class I (SGOIX)

 

39.71%

 

18.30%

 

17.07%

 

—

 

 

—

 

 

15.54%

 

7/31/98

 

First Eagle Overseas Fund - Class C (FESOX)

 

36.93%

 

17.24%

 

—

 

 

—

 

 

—

 

 

15.99%

 

6/05/00

 

MSCI EAFE Index4

 

40.23%

 

0.37%

 

(0.73%)

 

3.88%

 

3.69%

 

4.24%

 

8/31/93

 

FIRST EAGLE U.S. VALUE FUND5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Eagle U.S. Value Fund - Class A (FEVAX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

without sales load

 

27.30%

 

 —

 

 

—

 

 

—

 

 

—

 

 

14.64%

 

9/04/01

 

with sales load

 

20.93%

 

—

 

 

—

 

 

—

 

 

—

 

 

12.46%

 

9/04/01

 

First Eagle U.S. Value Fund - Class I (FEVIX)

 

27.64%

 

—

 

 

—

 

 

—

 

 

—

 

 

14.91%

 

9/04/01

 

First Eagle U.S. Value Fund - Class C (FEVCX)

 

25.11%

 

—

 

 

—

 

 

—

 

 

—

 

 

13.79%

 

9/04/01

 

Russell 2000 Index6

 

42.01%

 

—

 

 

—

 

 

—

 

 

—

 

 

8.49%

 

9/04/01

 

Standard & Poor’s 500 Index7

 

22.88%

 

—

 

 

—

 

 

—

 

 

—

 

 

0.80%

 

9/04/01

 

FIRST EAGLE GOLD FUND

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Eagle Gold Fund - Class A (SGGDX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

without sales load

 

24.38%

 

40.59%

 

21.36%

 

5.47%

 

—

 

 

6.11%

 

8/31/93

 

with sales load

 

18.16%

 

38.21%

 

20.43%

 

5.06%

 

—

 

 

5.72%

 

8/31/93

 

First Eagle Gold Fund - Class I (FEGIX)5

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

17.34%

 

5/15/03

 

First Eagle Gold Fund - Class C (FEGOX)5

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

14.86%

 

5/15/03

 

MSCI World Index3

 

29.45%

 

(1.60%)

 

(2.12%)

 

6.81%

 

—

 

 

6.70%

 

8/31/93

 

Financial Times Gold Mines Index8

 

24.83%

 

22.46%

 

6.27%

 

(3.13%)

 

—

 

 

(2.86%)

 

8/31/93

 

FIRST EAGLE FUND OF AMERICA

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Eagle Fund of America - Class Y (FEAFX)

 

24.28%

 

6.80%

 

5.44%

 

14.35%

 

13.53%

 

13.72%

 

4/10/87

 

First Eagle Fund of America - Class C (FEAMX)

 

22.12%

 

6.00%

 

4.65%

 

—

 

 

—

 

 

6.94%

 

3/02/98

 

First Eagle Fund of America - Class A (FEFAX)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

without sales load

 

24.32%

 

6.67%

 

5.27%

 

—

 

 

—

 

 

7.61%

 

11/20/98

 

with sales load

 

18.41%

 

4.94%

 

4.20%

 

—

 

 

—

 

 

6.59%

 

11/20/98

 

Standard & Poor’s 500 Index7

 

22.88%

 

(2.36%)

 

(2.26%)

 

11.36%

 

11.33%

 

10.72%

 

4/10/87

 

Please see the following page for important notes to this table.

Performance data quoted herein represents past information and should not be considered indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when original cost.

3

NOTES TO FIRST EAGLE FUNDS PERFORMANCE

(1)

The average annual returns shown on the prior page are historical and reflect changes in share price, reinvested dividends and are net of expenses. The average annual returns for Class A Shares “with sales load” of First Eagle Global Fund, First Eagle Overseas Fund and First Eagle Gold Fund give effect to the deduction of the maximum sales load of 3.75% for periods prior to March 1, 2000 and of 5.00% thereafter. The average annual returns for Class A Shares “with sales load” of First Eagle U.S. Value Fund and First Eagle Fund of America give effect to the deduction of the maximum sales load of 5.00%.

 

The average annual returns for Class C Shares reflect the CDSC (Contingent Deferred Sales Charge) of 1.00% which pertains to the first year or less of investment only.

 

Class I Shares of First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, and First Eagle Gold Fund require $1mm minimum investment and are offered without load.

 

Class Y Shares of First Eagle Fund of America are offered without load.

(2)

As of current management tenure January 1, 1979.

(3)

The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. This index is a trademark of Morgan Stanley Capital International SA in Geneva, Switzerland.

(4)

The MSCI EAFE Index is a total return index, reported in U.S. dollars, based on share prices and reinvested net dividends of approximately 1,100 companies from 21 countries.

(5)

Due to First Eagle U.S. Value Fund’s inception date (September 4, 2001) and First Eagle Gold Fund’s C and I shares’ inception date (May 15, 2003), the performance data shown on the previous page is of a very limited time period and should not be misconstrued to reflect future performance.

(6)

The Russell 2000 Index is an unmanaged index that measures the performance of the 2,000 smallest companies in the Russell 3000 Index and is not available for purchase.

(7)

The Standard & Poor’s 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy. Although the Standard & Poor’s 500 Index focuses on the large-cap segment of the market, with over 80% coverage of U.S. equities, it is also considered a proxy for the total market.

(8)

The Financial Times Gold Mines Index is an unmanaged index composed of 32 gold mining companies and is not available for purchase.

4

FIRST EAGLE FUNDS

First Eagle Global Fund First • Eagle Overseas Fund
First Eagle U.S. Value Fund • First Eagle Gold Fund

MANAGEMENT’S DISCUSSION OF FUND PERFORMANCE

 


Charles de Vaulx

   

The six-month period ended April 30, 2004 was characterized by very high volatility in many markets. After a powerful rally during the last quarter of 2003, equity markets around the world turned in mixed to down performances during the first four months of 2004. That is true of both mature as well as emerging markets. Worries resurfaced about global economic growth rate, especially as investors began to realize that China might be due for either a soft or hard landing, with possibly adverse consequences for all of Asia, including Japan as well as many commodities. The March 11th train bombings in Spain renewed global terrorism concerns while the prospects of Fed tightening of monetary policy made investors, not to mention speculators and hedge fund managers, more cautious. Gold was very volatile during the period, up when the U.S. dollar was weak and vice versa.

 

First Eagle Global Fund

The net asset value of the Fund’s Class ‘A’ shares rose 10.22% between November 1, 2003 and April 30, 2004, while the MSCI World Index was up 8.43% over that period. Over a third of that performance came from the First Eagle Global Fund’s stocks in Japan and South Korea. In Japan in particular, our stocks benefited from the belief that the economy is finally recovering and amid signs that both friendly mergers and hostile takeovers are not impossible in that country. Among the gainers were Shimano Inc. (bicycle parts), Ono Pharmaceutical Company, Limited (health care) and NIPPONKOA Insurance Company, Limited (non-life insurance). In South Korea, Samsung Electronics Company, Limited Pfd. (electronics) rose sharply on the back of major market share gains in its various divisions. In Europe, gains were broad based, in particular some of the holding companies we are fond of are Wendel Investissement (France), Corporacion Financiera Alba SA (Spain) and Pargesa Holding AG (Switzerland). In the U.S. the Fund had gains in names such as Tyco International Limited, Berkshire Hathaway Inc., Class ‘A’, Burlington Resources, Inc., and Rayonier Inc. The Fund’s exposure to gold related stocks hurt its performance very modestly. The fluctuations in the U.S. dollar had a very modest impact as well. As of April 30, 2004, the Fund was approximately 30% hedged against the euro, believing that it (along with the Swiss franc and the pound sterling) still remains somewhat undervalued against the U.S. dollar. The Fund was 50% hedged to protect against a possible decline in the Japanese yen.

First Eagle Overseas Fund

The net asset value of the Fund’s Class ‘A’ shares rose 11.38% for the six-month period ended April 30, 2004 while the MSCI EAFE Index was up 12.39% over the same period.

5

As was the case for the First Eagle Global Fund, the foreign stocks came from a variety of industries as well as countries. For example, Samsung Electronics Company, Limited Pfd. (South Korea), Wendel Investissement (France), Industrias Penoles, S.A. de C.V. (Mexico), Merck KGaA (Germany), Shimano Inc. (Japan) and Lindt & Spruengli AG (Switzerland). Very few stocks were down over the period, and included mostly gold mining stocks. Mergers and acquisitions continued to contribute to the Fund’s performance with the takeovers of InterTAN, Inc. (retailer, Canada) and the attempted takeover of Sotoh Company, Limited (textile, Japan). The fluctuations in the U.S. dollar had a very modest impact as well. As of April 30, 2004, the Fund was approximately 25% hedged against the euro, believing the latter (along with the Swiss franc and the pound sterling) still remains somewhat undervalued against the U.S. dollar. The Fund was 50% hedged to protect against a possible decline in the Japanese yen.

First Eagle U.S. Value Fund

Between November 1, 2003 and April 30, 2004, the net asset value of the First Eagle U.S. Value Fund’s Class ‘A’ shares rose 7.77% while the Russell 2000 Index and the Standard & Poor’s 500 Index were up 6.54% and 6.27%, respectively, over that period. During that six-month period, U.S. stocks rose sharply until early March after which they gave some of the gains back.

The First Eagle U.S. Value Fund benefited from its exposure to energy stocks (oil and gas as well as coal) as well as various industrial, consumer discretionary and forest products related stocks. The Fund managed to get good returns on stocks as diverse as Burlington Resources, Inc., Tyco International Limited, Berkshire Hathaway Inc., Class ‘A’, Papa John’s International Inc. and The Sherwin-Williams Company. Among the few positions that were down are Newmont Mining Corporation Holding Company, the U.S. domiciled gold mining company, as well as the high yield bond Level 3 Communications, Inc. 9 1/8% due May 1, 2008.

First Eagle Gold Fund

The net asset value of the First Eagle Gold Fund’s Class ‘A’ shares declined 9.23% while the Financial Times Gold Mines Index fell 16.36% over that period.

Between November 1, 2003 and April 30, 2004, the price of gold was very volatile, first rising from $384 an ounce to over $425 early January 2004, down to $393 early March, up to over $425 late March and finally back down to $386 on April 30, 2004. The movement in the U.S. dollar seemed to be the primary determinant to gold’s fluctuations during the period, coupled with the unwinding of some speculative positions.

The Fund’s performance was better than most of its peers during the first six months of the fiscal year. This is because we had allocated over 25% of the Fund’s assets to a combination of gold bullion, gold-linked notes and gold and silver linked preferred shares (Freeport McMoRan Copper and Gold Inc.). Also helping, both in relative as well as absolute terms, was an approximately 10% weighting in silver-related securities, in particular Industrias Penoles, S.A. de C.V., Apex Silver Mines Limited, and Pan American Silver Corporation. Hurting the Fund were several gold mining shares, particularly some of the higher cost producers such as the South African gold mining companies (Gold Fields Limited ADR and Harmony Gold Mining Company Limited ADR) and Kinross Gold Corporation (Canada).

6

Outlook

The discounts at which your Funds' holdings are currently trading remain narrow, thus providing far less of a 'margin of safety' than a year ago. We still derive comfort from the fact that some of our holdings currently offer decent dividend yields. We are also encouraged that corporate activity (takeovers, LBOs, going private transactions) appears to be gaining traction, including in unlikely places such as Japan, sometimes in the benefit of your Funds' holdings. Never in the past 25 years have we had as little in U.S. stocks in the First Eagle Global Fund, a sign that it has become very difficult for us to find cheap securities in the U.S. We remain committed to 'only buying securities at prices we like.' We are greatly helped by our team of six analysts (very soon seven), who keep searching the globe for investment opportunities. Even though we have identified a few new securities for the Funds to start buying over the past six months, cash levels nonetheless remain above 20% (with the exception of the First Eagle Gold Fund). As we have written previously, cash, too is a hedge and should be viewed as a reserve for future purchasing power.

We appreciate your confidence and thank you for your support.

 


Charles de Vaulx
Co-Manager

 

May 2004

7

FUND OVERVIEW

 

FIRST EAGLE GLOBAL FUND

Data as of April 30, 2004 (unaudited)

THE INVESTMENT STYLE

 

AVERAGE ANNUAL RETURNS

 

 

The First Eagle Global Fund seeks long-term growth of capital by investing in a wide range of asset classes from markets in the United States and around the world. This truly global fund is managed with a highly disciplined, bottom-up, value oriented style that helps minimize risk.

 

 

ONE-YEAR

FIVE-YEARS

TEN-YEARS

 

First Eagle Global Fund (A Shares)

 

without sales load

33.98%

16.05%

12.30%

 

with sales load

27.28%

15.16%

11.87%

 

MSCI World Index

29.45%

 (2.12%)

  6.81%

 

Consumer Price Index

 2.29%

 2.48%

  2.45%

 

GROWTH OF A $10,000 INITIAL INVESTMENT

 

$35,000

30,000

25,000

20,000

15,000

10,000

5,000

0

04/94

04/95

04/97

04/98

04/99

04/00

04/01

04/02

04/03

04/04

$30,758

$19,323

$12,745

First Eagle Global Fund

MSCI World Index

Consumer Price Index

04/96

 

 

ASSET ALLOCATION

 

Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses. The average annual returns for Class A Shares give effect to the deduction of the maximum sales load of 3.75% for periods prior to March 1, 2000 and of 5.00% thereafter. The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. It is a trademark of Morgan Stanley Capital International SA in Geneva, Switzerland. The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.

U.S. Dollar
Bonds
and Notes
7.88%

Foreign
Currency
Bonds and
Notes
2.58%

U.S. Stocks

21.35%

U.S. Dollar Cash

and Equivalents

22.91%

Commodity-

Linked Notes

2.22%

Foreign Stocks
43.06%

 

 

 

 

 

TOP 10 HOLDINGS

TOP 5 COUNTRIES

 

Rayonier Inc. (U.S. forest products company)

2.20%

United States

31.36%

 

Shimano Inc. (Japanese manufacturer of bicycle parts)

1.90%

Japan

11.69%

 

Samsung Electronics Company, Limited Pfd.

1.73%

France

7.42%

 

(South Korean electronics company)

 

Switzerland

4.86%

 

Corporacion Financiera Alba SA

1.65%

United Kingdom

4.10%

 

(European holding company with stakes in retail, telecom, construction and media)

 

 

 

 

Liberty Media Corporation (U.S. media company)

1.58%

The Fund’s portfolio composition is

Wendel Investissement (French holding company)

1.50%

subject to change at any time.

Nestlé SA (Swiss food manufacturer)

1.46%

 

 

U.S. Treasury Inflation Index Note 3% (U.S. treasury security)

1.40%

 

 

Secom Company Limited (Japanese security services company)

1.40%

 

 

Newmont Mining Corporation Holding Company (U.S. mining company)

1.29%

8

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

Common and Preferred Stocks — U.S. (21.35%)

 

 

 

 

 

 

 

Consumer Discretionary (1.87%)

 

 

 

 

 

 

1,755,000

 

McDonald‘s Corporation

 

$

32,022,818

 

$

47,788,650

 

1,285,000

 

Papa John’s International Inc. (a)(c)

 

 

36,806,119

 

 

42,983,250

 

192,250

 

Allen Organ Company, Class ’B‘ (c)

 

 

6,030,883

 

 

9,131,875

 

195,000

 

Weyco Group, Inc.

 

 

1,285,375

 

 

6,327,750

 

185,000

 

St. John Knits International Inc. (a)

 

 

3,180,703

 

 

5,596,250

 

500,000

 

A.T. Cross Company, Class ’A‘ (a)

 

 

4,150,673

 

 

2,940,000

 

 

 

 

 

 

83,476,571

 

 

114,767,775

 

 

 

Consumer Staples (0.32%)

 

 

 

 

 

 

 

355,000

 

Altria Group Inc.

 

 

11,919,216

 

 

19,659,900

 

 

 

Energy (2.33%)

 

 

 

 

 

 

 

735,000

 

Burlington Resources, Inc.

 

 

34,013,242

 

 

49,443,450

 

700,000

 

SEACOR Holdings Inc. (a)

 

 

29,998,316

 

 

29,036,000

 

635,000

 

CONSOL Energy, Inc. (b)

 

 

12,033,162

 

 

18,180,050

 

875,000

 

San Juan Basin Royalty Trust

 

 

5,342,905

 

 

17,657,500

 

215,000

 

ConocoPhillips

 

 

10,547,621

 

 

15,329,500

 

200,000

 

Murphy Oil Corporation

 

 

4,173,744

 

 

13,700,000

 

 

 

 

 

 

96,108,990

 

 

143,346,500

 

 

 

Financials (0.03%)

 

 

 

 

 

 

 

114,750

 

East Texas Financial Services, Inc. (c)

 

 

862,688

 

 

1,603,631

 

31,000

 

Redwood Financial, Inc. (a)(e)

 

 

271,250

 

 

574,275

 

 

 

 

 

 

1,133,938

 

 

2,177,906

 

 

 

Health Care (0.67%)

 

 

 

 

 

 

 

1,000,000

 

Sola International Inc. (a)

 

 

21,032,999

 

 

20,520,000

 

225,000

 

Johnson & Johnson Inc.

 

 

12,173,800

 

 

12,156,750

 

500,000

 

Schering-Plough Corporation

 

 

10,761,890

 

 

8,365,000

 

 

 

 

 

 

43,968,689

 

 

41,041,750

 

 

 

Holding Companies (1.42%)

 

 

 

 

 

 

 

815

 

Berkshire Hathaway Inc., Class ’A‘ (a)

 

 

55,894,809

 

 

76,112,850

 

7,432

 

Case Pomeroy & Company, Inc. Class ’A’

 

 

7,366,948

 

 

9,773,080

 

2,485

 

J.G. Boswell Company

 

 

573,840

 

 

1,000,213

 

 

 

 

 

 

63,835,597

 

 

86,886,143

 

 

 

Industrials (2.02%)

 

 

 

 

 

 

 

2,500,000

 

Tyco International Limited

 

 

37,527,905

 

 

68,625,000

 

665,000

 

UniFirst Corporation (c)

 

 

9,772,484

 

 

19,617,500

 

221,500

 

Franklin Electric Company, Inc.

 

 

7,844,988

 

 

13,347,590

 

235,000

 

Manpower Inc.

 

 

6,076,968

 

 

11,021,500

 

175,000

 

SPX Corporation

 

 

8,506,995

 

 

7,761,250

 

154,784

 

KinderCare Learning Centers, Inc. (a)

 

 

992,527

 

 

2,012,192

 

365,000

 

Kaiser Ventures LLC (a)

 

 

—

 

 

1,277,500

 

4,805

 

Conbraco Industries, Inc. (a)

 

 

1,568,050

 

 

456,475

 

 

 

 

 

 

72,289.917

 

 

124,119,007

 

______________

See Notes to Financial Statements.

9

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

Common and Preferred Stocks — U.S. — (continued)

 

 

 

 

 

 

 

 

Materials (0.66%)

 

 

 

 

 

 

 

735,000

 

Vulcan Materials Company

 

$

26,060,708

 

$

33,986,400

 

250,000

 

Ethyl Corporation (a)

 

 

1,174,498

 

 

4,655,000

 

45,000

 

TXI Capital Trust 5 1/2% Conv. Pfd.

 

 

1,450,589

 

 

1,985,625

 

 

 

 

 

 

28,685,795

 

 

40,627,025

 

 

 

Media (2.29%)

 

 

 

 

 

 

 

8,850,000

 

Liberty Media Corporation (a)

 

 

90,476,025

 

 

96,819,000

 

1,775,000

 

The DIRECTV Group, Inc. (a)

 

 

22,552,679

 

 

31,772,500

 

345,000

 

Valassis Communications, Inc. (a)

 

 

9,589,510

 

 

10,660,500

 

34,924

 

Mills Music Trust (c)

 

 

1,055,337

 

 

1,431,884

 

 

 

 

 

 

123,673,551

 

 

140,683,884

 

 

 

Paper and Forest Products (3.37%)

 

 

 

 

 

 

 

3,465,000

 

Rayonier Inc. (c)

 

 

94,929,603

 

 

135,135,000

 

1,215,000

 

Plum Creek Timber Company, Inc.

 

 

32,336,323

 

 

35,915,400

 

1,375,000

 

Longview Fibre Company

 

 

10,699,380

 

 

14,410,000

 

389,700

 

Greif Inc., Class ’A’

 

 

6,193,787

 

 

12,809,439

 

245,000

 

Deltic Timber Corporation

 

 

5,167,560

 

 

8,332,450

 

 

 

 

 

 

149,326,653

 

 

206,602,289

 

 

 

Precious Metals (2.29%)

 

 

 

 

 

 

 

5,431,750

 

Newmont Mining Corporation Holding Company

 

 

35,770,097

 

 

79,421,123

 

1,115,000

 

Freeport McMoRan Copper & Gold Inc., Class ’B’

 

 

41,042,980

 

 

34,007,500

 

445,000

 

Freeport McMoRan Copper & Gold Inc., Preferred Series ‘C’ (d)

 

 

13,421,317

 

 

18,022,500

 

925,000

 

Freeport McMoRan Copper & Gold Inc., Preferred Series ‘D’ (d)

 

 

9,690,611

 

 

8,889,250

 

 

 

 

 

 

99,925,005

 

 

140,340,373

 

 

 

Real Estate (0.48%)

 

 

 

 

 

 

 

335,000

 

ProLogis

 

 

2,437,306

 

 

9,855,700

 

500,000

 

Crescent Real Estate Equities Company

 

 

7,671,061

 

 

7,735,000

 

258,133

 

Price Legacy Corporation Pfd., Series ’A’

 

 

2,935,244

 

 

4,827,087

 

174,330

 

Catellus Development Corporation

 

 

828,026

 

 

3,756,812

 

169,002

 

Security Global European Realty (a)(e)

 

 

3,380,030

 

 

3,146,817

 

 

 

 

 

 

17,251,667

 

 

29,321,416

 

 

 

Retail (2.24%)

 

 

 

 

 

 

 

1,395,000

 

Costco Wholesale Corporation (a)

 

 

45,651,426

 

 

52,242,750

 

1,000,000

 

Barnes and Noble, Inc. (a)

 

 

18,715,503

 

 

29,870,000

 

600,000

 

The Sherwin-Williams Company

 

 

16,919,225

 

 

22,830,000

 

385,000

 

May Department Stores Company

 

 

8,179,534

 

 

11,858,000

 

700,00

 

Dillard’s Inc., Class ’A’

 

 

10,186,141

 

 

11,781,000

 

165,000

 

Tiffany & Company

 

 

3,450,374

 

 

6,435,000

 

150,000

 

Hancock Fabrics, Inc.

 

 

477,528

 

 

2,229,000

 

 

 

 

 

103,579,731

 

 

137,245,750

 

______________

See Notes to Financial Statements.

10

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

Common and Preferred Stocks — U.S. — (continued)

 

 

 

 

 

 

 

 

Technology and Telecommunications (0.32%)

 

 

 

 

 

 

 

550,000

 

American Power Conversion Corporation

 

$

6,248,864

 

$

10,263,000

 

1,000,000

 

Earthlink, Inc. (a)

 

 

5,022,605

 

 

9,210,000

 

 

 

 

 

11,271,469

 

 

19,473,000

 

 

Transportation (0.53%)

 

 

 

 

 

 

 

1,000,000

 

Burlington Northern Santa Fe Corporation

 

 

28,871,737

 

 

32,700,000

 

 

 

 

 

 

 

 

 

 

 

Utilities (0.51%)

 

 

 

 

 

 

 

315,000

 

CalEnergy Capital Trust 6 1/2% Conv. Pfd.

 

 

13,865,313

 

 

15,120,000

 

200,000

 

IDACORP, Inc.

 

 

4,534,696

 

 

5,930,000

 

200,000

 

Kaneb Services LLC

 

 

1,277,654

 

 

5,490,000

 

100,000

 

Hawaiian Electric Industries, Inc.

 

 

4,253,197

 

 

4,976,000

 

 

 

 

 

23,930,860

 

 

31,516,000

 

 

Total Common and Preferred Stocks — U.S.

 

 

959,249,386

 

 

1,310,508,718

 

 

 

 

 

 

 

 

 

 

 

Common and Preferred Stocks — Non U.S. (43.06%)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Australia and New Zealand (0.47%)

 

 

 

 

 

 

 

6,300,000

 

News and Media NZ Limited exchangeable preference shares (10)

 

 

16,143,687

 

 

17,791,043

 

8,850,000

 

Capital Properties New Zealand Limited 8½% exchangeable preference shares (13)

 

 

5,435,262

 

 

5,583,747

 

1,575,000

 

Spotless Group Limited (8)

 

 

3,061,888

 

 

5,517,851

 

 

 

 

 

24,640,837

 

 

28,892,641

 

 

Austria (0.51%)

 

 

 

 

 

 

 

565,000

 

Flughafen Wien AG (16)

 

 

19,408,086

 

 

31,211,495

 

 

 

 

 

 

 

 

 

 

 

Belgium (0.27%)

 

 

 

 

 

 

 

515,000

 

Deceuninck (1)

 

 

7,147,910

 

 

16,292,073

 

 

 

 

 

 

 

 

 

 

 

Canada (0.93%)

 

 

 

 

 

 

 

895,000

 

EnCana Corporation (3)

 

 

22,119,413

 

 

35,101,900

 

625,000

 

Pan American Silver Corporation (a)(b)(12)

 

 

1,994,168

 

 

8,230,227

 

275,000

 

Aber Diamond Corporation (a)(9)

 

 

8,254,212

 

 

7,609,949

 

135,000

 

Fairmont Hotels & Resorts Inc. (1)

 

 

1,145,394

 

 

3,334,500

 

300,000

 

Meridian Gold Inc. (a)(12)

 

 

1,088,716

 

 

3,019,818

 

 

 

 

 

34,601,903

 

 

57,296,394

 

 

Chile (0.09%)

 

 

 

 

 

 

 

661,500

 

Quinenco SA ADR (8)

 

 

4,061,025

 

 

5,391,225

 

 

 

 

 

 

 

 

 

 

 

China (0.54%)

 

 

 

 

 

 

 

775,000

 

PetroChina Company, Limited ADR (3)

 

 

20,916,903

 

 

33,325,000

 

 

 

 

 

 

 

 

 

 

 

Commonwealth of Independent States (0.14%)

 

 

 

 

 

 

 

556,624

 

Firebird Fund, L.P. (a)(b)(e)(7)

 

 

1,000,000

 

 

8,556,482

 

______________

See Notes to Financial Statements.

11

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — Non U.S. — (continued)

 

 

 

 

 

 

 

 

 

Denmark (1.00%)

 

 

 

 

 

 

 

1,000,000

 

Carlsberg A/S, ‘B’ (2)

 

$

39,725,553

 

$

49,363,032

 

255,000

 

Carlsberg A/S, ‘A’ (2)

 

 

11,311,348

 

 

11,807,267

 

 

 

 

 

51,036,901

 

 

61,170,299

 

 

 

France (6.85%)

 

 

 

 

 

 

 

2,000,000

 

Wendel Investissement (7)

 

 

47,167,114

 

 

92,053,329

 

1,105,000

 

Essilor International SA (6)

 

 

47,794,643

 

 

64,630,316

 

2,500,000

 

Vivendi Universal SA (a)(10)

 

 

43,938,424

 

 

62,880,740

 

1,845,000

 

Sodexho Alliance SA (1)

 

 

52,073,449

 

 

50,871,927

 

1,415,000

 

Remy Cointreau SA (2)

 

 

42,036,971

 

 

47,120,532

 

445,000

 

Eurazeo (7)

 

 

18,387,907

 

 

30,501,503

 

31,500

 

Societe Sucriere de Pithiviers-le-Vieil (c)(2)

 

 

12,361,264

 

 

21,892,923

 

56,250

 

Taittinger C.I. (1)

 

 

2,775,854

 

 

9,113,064

 

75,000

 

Sagem SA (15)

 

 

1,986,741

 

 

8,178,391

 

135,000

 

Neopost SA (8)

 

 

7,534,667

 

 

7,443,054

 

385,000

 

Sabeton SA (c)(7)

 

 

4,841,233

 

 

5,771,427

 

70,000

 

NSC Groupe (c)(8)

 

 

12,400,388

 

 

5,536,141

 

115,000

 

Financiere Marc de Lacharriere SA (7)

 

 

4,690,762

 

 

4,506,204

 

70,000

 

Gaumont SA (a)(10)

 

 

3,409,014

 

 

4,525,376

 

42,252

 

Robertet SA C.I. (2)

 

 

800,508

 

 

3,485,912

 

20,448

 

Robertet SA (2)

 

 

527,638

 

 

2,303,265

 

 

 

 

 

302,726,577

 

 

420,814,104

 

 

Germany (2.43%)

 

 

 

 

 

 

 

1,055,000

 

Merck KGaA (6)

 

 

27,076,782

 

 

56,383,563

 

475,000

 

Hornbach Holding AG Pfd. (1)

 

 

28,086,092

 

 

33,872,617

 

113,393

 

Bertelsmann AG D.R.C. (10)

 

 

26,746,576

 

 

28,398,674

 

1,000,000

 

Suedzucker AG (2)

 

 

13,706,992

 

 

19,388,478

 

215,000

 

Bayer AG (9)

 

 

2,637,397

 

 

5,822,535

 

50,000

 

Axel Springer Verlag AG (10)

 

 

1,553,189

 

 

5,032,856

 

 

 

 

 

99,807,028

 

 

148,898,723

 

 

Hong Kong (0.58%)

 

 

 

 

 

 

 

22,253,000

 

Shaw Brothers (Hong Kong) Limited (c)(10)

 

 

22,538,624

 

 

23,109,329

 

1,250,000

 

Guoco Group Limited (7)

 

 

10,000,572

 

 

9,896,024

 

21,500,000

 

City e-Solutions Limited (c)(1)

 

 

971,287

 

 

2,453,252

 

 

 

 

 

33,510,483

 

 

35,458,605

 

 

Israel (0.02%)

 

 

 

 

 

 

 

275,000

 

The Israel Land Development Company Limited (a)(7)

 

 

900,749

 

 

1,075,670

 

 

Italy (0.06%)

 

 

 

 

 

 

 

500,000

 

Caltagirone Editore S.p.A. (10)

 

 

3,829,377

 

 

3,798,608

 

______________

See Notes to Financial Statements.

12

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

Common and Preferred Stocks — Non U.S. — (continued)

 

 

 

 

 

 

 

 

Japan (11.69%)

 

 

 

 

 

 

 

4,985,000

 

Shimano Inc. (1)

 

$

76,261,831

 

$

116,707,196

 

2,000,000

 

Secom Company, Limited (8)

 

 

74,194,215

 

 

85,676,765

 

1,675,000

 

Ono Pharmaceutical Company, Limited (6)

 

 

62,585,486

 

 

71,905,991

 

3,475,000

 

Toho Company, Limited (10)

 

 

52,109,632

 

 

52,936,195

 

12,000,000

 

Aioi Insurance Company, Limited (4)

 

 

37,704,067

 

 

52,710,230

 

525,000

 

Nintendo Company, Limited (15)

 

 

42,601,804

 

 

49,544,899

 

1,500,000

 

Fuji Photo Film Company, Limited (1)

 

 

43,692,595

 

 

48,227,143

 

7,850,000

 

NIPPONKOA Insurance Company, Limited (4)

 

 

31,574,637

 

 

47,065,163

 

4,500,000

 

Mitsui Sumitomo Insurance Company, Limited (4)

 

 

23,444,565

 

 

42,344,790

 

1,875,000

 

Daiichi Pharmaceutical Corporation (6)

 

 

28,945,933

 

 

32,842,005

 

2,000,000

 

Makita Corporation (1)

 

 

14,940,376

 

 

27,061,541

 

2,000,000

 

Wacoal Corporation (2)

 

 

16,446,807

 

 

20,413,893

 

1,000,000

 

Shoei Company, Limited (c)(7)

 

 

8,271,517

 

 

14,581,352

 

2,500,000

 

Okumura Corporation (8)

 

 

10,670,713

 

 

11,886,972

 

615,000

 

Chofu Seisakusho Company, Limited (1)

 

 

10,291,599

 

 

11,863,877

 

2,000,000

 

Aida Engineering, Limited (8)

 

 

13,038,988

 

 

9,600,145

 

2,000,000

 

Iino Kaiun Kaisha, Limited (16)

 

 

4,857,297

 

 

8,277,861

 

600,000

 

Mitsubishi Securities Company, Limited (4)

 

 

4,300,878

 

 

7,743,513

 

1,000,000

 

Nisshinbo Industries, Inc. (1)

 

 

4,271,416

 

 

6,493,683

 

 

 

 

 

560,204,356

 

 

717,883,214

 

 

Luxembourg (0.17%)

 

 

 

 

 

 

 

350,000

 

Tenaris SA ADR (3)

 

 

7,194,764

 

 

10,496,500

 

 

Mexico (0.89%)

 

 

 

 

 

 

 

12,500,000

 

Industrias Penoles, S.A. de C.V. (12)

 

 

27,205,398

 

 

54,781,313

 

 

Netherlands (1.50%)

 

 

 

 

 

 

 

1,745,000

 

Heineken Holding NV (2)

 

 

55,558,320

 

 

64,320,137

 

315,000

 

OPG Groep NV (6)

 

 

7,677,057

 

 

14,966,455

 

400,000

 

Holdingmaatschappij de Telegraaf NV (10)

 

 

4,416,693

 

 

8,675,685

 

500,000

 

Koninklijke Ahold NV (a)(14)

 

 

4,012,763

 

 

3,870,506

 

 

 

 

 

71,664,833

 

 

91,832,783

 

 

Singapore (0.39%)

 

 

 

 

 

 

 

1,850,000

 

Fraser & Neave Limited (2)

 

 

7,327,484

 

 

14,462,895

 

13,467,250

 

ComfortDelgro Corporation Limited (16)

 

 

3,279,184

 

 

9,736,792

 

 

 

 

 

10,606,668

 

 

24,199,687

 

 

South Africa (0.75%)

 

 

 

 

 

 

 

2,000,000

 

Gold Fields Limited (12)

 

 

7,102,817

 

 

20,143,080

 

1,000,000

 

Harmony Gold Mining Company Limited (12)

 

 

4,591,642

 

 

11,046,437

 

575,000

 

Harmony Gold Mining Company Limited ADR (12)

 

 

8,307,598

 

 

6,348,000

 

2,750,000

 

Mvelaphanda Resources Limited (12)

 

 

10,310,393

 

 

8,677,653

 

 

 

 

 

30,312,450

 

 

46,215,170

 

______________

See Notes to Financial Statements.

13

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

Common and Preferred Stocks — Non U.S. — (continued)

 

 

 

 

 

 

 

 

South Korea (3.00%)

 

 

 

 

 

 

 

385,000

 

Samsung Electronics Company, Limited Pfd. (15)

 

$

59,022,381

 

$

106,310,990

 

1,500,000

 

Samsung Corporation (15)

 

 

12,442,917

 

 

17,897,473

 

1,749,700

 

Daeduck Electronics Company, Limited (15)

 

 

12,678,288

 

 

17,819,845

 

65,500

 

Nam Yang Dairy Products (c)(2)

 

 

14,805,002

 

 

16,593,408

 

35,000

 

Lotte Confectionery Company, Limited (2)

 

 

8,597,624

 

 

15,540,972

 

601,250

 

Daeduck GDS Company, Limited (15)

 

 

3,188,400

 

 

5,687,881

 

7,750

 

Lotte Chilsung Beverage Company (2)

 

 

1,161,734

 

 

4,570,674

 

 

 

 

 

 

111,896,346

 

 

184,421,243

 

 

 

Spain (2.46%)

 

 

 

 

 

 

 

3,500,000

 

Corporacion Financiera Alba SA (7)

 

 

75,163,515

 

 

101,076,521

 

1,775,000

 

Altadis SA (2)

 

 

55,087,858

 

 

50,154,205

 

 

 

 

 

130,251,373

 

 

151,230,726

 

 

 

Switzerland (4.86%)

 

 

 

 

 

 

 

355,000

 

Nestle SA (2)

 

 

82,590,404

 

 

89,849,145

 

25,150

 

Pargesa Holding AG (7)

 

 

53,982,163

 

 

66,952,815

 

435,000

 

Kuehne & Nagel International AG (16)

 

 

18,050,511

 

 

57,733,709

 

45,000

 

Edipresse SA (10)

 

 

12,726,975

 

 

22,917,551

 

41,500

 

Sika Finanz AG (9)

 

 

9,174,476

 

 

19,533,933

 

18,000

 

Lindt & Spruengli AG (2)

 

 

5,072,708

 

 

17,917,358

 

1,575

 

Lindt & Spruengli AG PC (2)

 

 

14,210,431

 

 

17,737,663

 

10,000

 

Societe Generale d'Affichage (10)

 

 

2,094,287

 

 

5,517,188

 

 

 

 

 

 

197,901,955

 

 

298,159,362

 

 

 

Thailand (0.07%)

 

 

 

 

 

 

 

577,000

 

The Oriental Hotel Public Company Limited (1)

 

 

2,636,472

 

 

4,354,717

 

 

 

 

 

 

 

 

 

 

 

 

United Kingdom (3.39%)

 

 

 

 

 

 

 

7,150,000

 

Millennium & Copthorne Hotel Plc (1)

 

 

39,084,256

 

 

42,892,420

 

2,000,000

 

Anglo American Plc (12)

 

 

48,857,840

 

 

40,318,560

 

19,250,000

 

Aggregate Industries Plc (9)

 

 

28,004,504

 

 

30,258,901

 

18,000,000

 

Enodis Plc (a)(8)

 

 

15,180,578

 

 

29,413,011

 

4,375,000

 

IMI Plc (8)

 

 

16,704,937

 

 

29,042,795

 

700,000

 

Antofagasta Holdings Plc (12)

 

 

1,822,782

 

 

11,687,054

 

3,500,000

 

Vodafone Group Plc (15)

 

 

5,706,631

 

 

8,516,630

 

3,000,000

 

McBride Plc (2)

 

 

7,569,080

 

 

7,060,188

 

1,000,000

 

Marks & Spencer Group Plc (14)

 

 

5,036,221

 

 

4,906,609

 

145,000

 

Lonmin Plc (12)

 

 

292,225

 

 

2,559,962

 

604,000

 

J.Z. Equity Partners, Plc (4)

 

 

1,058,241

 

 

1,339,919

 

 

 

 

 

 

169,317,295

 

 

207,996,049

 

 

Total Common and Preferred Stocks — Non U.S.

 

 

1,922,779,689

 

 

2,643,752,083

 

______________

See Notes to Financial Statements.

14

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Notes, Bonds and Convertible Bonds (12.68%)

 

 

 

 

 

 

 

 

 

 

Commodity-Linked Notes (2.22%)

 

 

 

 

 

 

 

$

1,750,000

 

UBS Gold-Linked Note 0% due 5/12/2004 (a)(b)(d)(e)(g)(12)

 

$

1,750,000

 

$

2,173,882

 

 

2,500,000

 

UBS Gold-Linked Note 0% due 5/19/2004 (a)(b)(d)(e)(g)(12)

 

 

2,500,000

 

 

2,957,257

 

 

3,000,000

 

UBS Gold-Linked Note 0% due 5/28/2004 (a)(b)(d)(e)(g)(12)

 

 

3,000,000

 

 

3,369,441

 

 

5,000,000

 

UBS Gold-Linked Note 0% due 6/07/2004 (a)(b)(d)(e)(g)(12)

 

 

5,000,000

 

 

5,278,828

 

 

4,700,000

 

UBS Gold-Linked Note 0% due 7/01/2004 (a)(b)(d)(e)(g)(12)

 

 

4,700,000

 

 

5,163,399

 

 

1,500,000

 

UBS Gold-Linked Note 0% due 7/16/2004 (a)(b)(d)(e)(g)(12)

 

 

1,500,000

 

 

1,709,482

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,181,047

 

 

2,000,000

 

UBS Gold-Linked Note 0% due 8/02/2004 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

2,361,327

 

 

2,000,000

 

UBS Gold-Linked Note 0% due 8/05/2004 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

2,226,678

 

 

3,000,000

 

UBS Gold-Linked Note 0% due 8/12/2004 (a)(b)(d)(e)(g)(12)

 

 

3,000,000

 

 

3,279,983

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 8/20/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,143,399

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/07/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,021,900

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/08/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

998,815

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/12/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,009,764

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/22/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,035,007

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 11/24/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,012,191

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 11/26/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

961,839

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/03/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

959,801

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/13/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

961,722

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/16/2004 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

931,288

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/22/2004 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

890,892

 

 

1,800,000

 

UBS Gold-Linked Note 0% due 2/04/2005 (a)(b)(d)(e)(g)(12)

 

 

1,800,000

 

 

1,644,151

 

 

2,000,000

 

UBS Gold-Linked Note 0% due 2/11/2005 (a)(b)(d)(e)(h)(12)

 

 

2,000,000

 

 

1,746,406

 

 

2,250,000

 

UBS Gold-Linked Note 0% due 2/18/2005 (a)(b)(d)(e)(g)(12)

 

 

2,250,000

 

 

2,134,083

 

 

2,250,000

 

UBS Gold-Linked Note 0% due 2/22/2005 (a)(b)(d)(e)(g)(12)

 

 

2,250,000

 

 

2,131,897

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 3/09/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

915,811

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 3/11/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

961,911

 

 

2,950,000

 

UBS Gold-Linked Note 0% due 3/24/2005 (a)(b)(d)(e)(g)(12)

 

 

2,950,000

 

 

2,809,004

 

 

2,000,000

 

UBS Gold-Linked Note 0% due 4/29/2005 (a)(b)(d)(e)(h)(12)

 

 

2,000,000

 

 

1,878,185

 

 

2,600,000

 

UBS Gold-Linked Note 0% due 5/11/2005 (a)(b)(d)(e)(g)(12)

 

 

2,600,000

 

 

2,486,430

 

 

2,000,000

 

UBS Gold-Linked Note 0% due 5/16/2005 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

1,934,339

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 3/17/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

790,220

 

 

1,500,000

 

UBS Silver-Linked Note 0% due 3/18/2005 (a)(b)(d)(e)(h)(12)

 

 

1,500,000

 

 

1,150,109

 

 

2,500,000

 

UBS Silver-Linked Note 0% due 3/21/2005 (a)(b)(d)(e)(h)(12)

 

 

2,500,000

 

 

1,822,325

 

 

1,250,000

 

UBS Silver-Linked Note 0% due 3/24/2005 (a)(b)(d)(e)(h)(12)

 

 

1,250,000

 

 

838,258

 

 

1,500,000

 

UBS Silver-Linked Note 0% due 3/29/2005 (a)(b)(d)(e)(h)(12)

 

 

1,500,000

 

 

1,047,821

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 4/08/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

567,968

 

 

1,500,000

 

UBS Silver-Linked Note 0% due 5/06/2005 (a)(b)(d)(e)(h)(12)

 

 

1,500,000

 

 

921,760

 

 

2,000,000

 

UBS Silver-Linked Note 0% due 5/16/2005 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

1,977,828

 

 

3,000,000

 

HSBC Gold-Linked Note 0% due 5/17/2004 (a)(b)(d)(e)(g)(12)

 

 

3,000,000

 

 

3,456,600

 

 

650,000

 

HSBC Gold-Linked Note 0% due 5/28/2004 (a)(b)(d)(e)(g)(12)

 

 

650,000

 

 

688,610

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 6/16/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,089,600

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 6/21/2004 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

2,272,200

 

______________

See Notes to Financial Statements.

15

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

Cost
(Note 1)

Value
(Note 1)

 

 

 

 

Notes, Bonds and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

Commodity-Linked Notes — (continued)

 

 

 

 

 

 

 

$

3,500,000

 

HSBC Gold-Linked Note 0% due 6/25/2004 (a)(b)(d)(e)(g)(12)

 

$

3,500,000

 

$

3,811,500

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 6/25/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,103,300

 

 

4,500,000

 

HSBC Gold-Linked Note 0% due 6/28/2004 (a)(b)(d)(e)(g)(12)

 

 

4,500,000

 

 

5,002,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 6/30/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,128,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/01/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,143,900

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/14/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,152,600

 

 

3,000,000

 

HSBC Gold-Linked Note 0% due 7/15/2004 (a)(b)(d)(e)(g)(12)

 

 

3,000,000

 

 

3,480,600

 

 

5,240,000

 

HSBC Gold-Linked Note 0% due 7/19/2004 (a)(b)(d)(e)(g)(12)

 

 

5,240,000

 

 

6,165,384

 

 

2,500,000

 

HSBC Gold-Linked Note 0% due 7/22/2004 (a)(b)(d)(e)(g)(12)

 

 

2,500,000

 

 

2,885,500

 

 

2,400,000

 

HSBC Gold-Linked Note 0% due 7/22/2004 (a)(b)(d)(e)(g)(12)

 

 

2,400,000

 

 

2,772,720

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

2,372,000

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

2,345,800

 

 

1,100,000

 

HSBC Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(g)(12)

 

 

1,100,000

 

 

1,290,960

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,172,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/29/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,134,700

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 8/02/2004 (a)(b)(d)(e)(g)(12)

 

 

1,500,000

 

 

1,629,600

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/05/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,093,000

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/06/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,107,600

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/09/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,137,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/11/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,154,000

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/16/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,136,300

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 10/29/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,065,000

 

 

750,000

 

HSBC Gold-Linked Note 0% due 11/04/2004 (a)(b)(d)(e)(g)(12)

 

 

750,000

 

 

748,200

 

 

1,360,000

 

HSBC Gold-Linked Note 0% due 11/22/2004 (a)(b)(d)(e)(g)(12)

 

 

1,360,000

 

 

1,295,944

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 11/24/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

959,600

 

 

1,200,000

 

HSBC Gold-Linked Note 0% due 12/29/2004 (a)(b)(d)(e)(g)(12)

 

 

1,200,000

 

 

1,086,120

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 1/28/2005 (a)(b)(d)(e)(h)(12)

 

 

2,000,000

 

 

1,759,400

 

 

950,000

 

HSBC Gold-Linked Note 0% due 2/25/2005 (a)(b)(d)(e)(g)(12)

 

 

950,000

 

 

862,125

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 3/04/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

930,500

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 3/10/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

965,000

 

 

588,000

 

HSBC Gold-Linked Note 0% due 3/14/2005 (a)(b)(d)(e)(g)(12)

 

 

588,000

 

 

556,072

 

 

1,750,000

 

HSBC Gold-Linked Note 0% due 4/11/2005 (a)(b)(d)(e)(g)(12)

 

 

1,750,000

 

 

1,533,175

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 4/20/2005 (a)(b)(d)(e)(g)(12)

 

 

2,000,000

 

 

1,831,600

 

 

2,525,000

 

HSBC Gold-Linked Note 0% due 5/02/2005 (a)(b)(d)(e)(g)(12)

 

 

2,525,000

 

 

2,423,243

 

 

 

 

 

 

 

132,063,000

 

 

136,128,701

 

 

 

U.S. Treasury Notes (2.30%)

 

 

 

 

 

 

 

 

10,000,000

 

U.S. Treasury Zero Coupon Strip due 11/15/2007 (a)(5)

 

 

8,120,833

 

 

8,966,940

 

 

35,408,640

 

U.S. Treasury Inflation Index Note 41/4% due 1/15/2010 (5)

 

 

37,728,258

 

 

40,766,994

 

 

79,726,570

 

U.S. Treasury Inflation Index Note 3% due 7/15/2012 (5)

 

 

87,162,681

 

 

86,201,244

 

 

5,000,000

 

U.S. Treasury Note 53/8% due 2/15/2031 (5)

 

 

4,710,660

 

 

5,067,190

 

 

 

 

 

 

 

137,722,432

 

 

141,002,368

 

______________

See Notes to Financial Statements.

16

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Notes, Bonds and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

U.S. Dollar Notes and Bonds (4.95%)

 

 

 

 

 

 

 

$

3,625,000

 

Dillard’s Inc. 6.43% due 8/01/2004 (14)

 

$

3,596,742

 

$

3,643,125

 

 

4,644,000

 

P.T. Pabrik Kertas Tjiwi-Kimia 10% due 8/01/2004 (a)(f)(11)

 

 

3,515,596

 

 

1,695,060

 

 

1,545,000

 

Hollinger International Publishing 85/8% due3/15/2005 (10)

 

 

1,620,900

 

 

1,569,141

 

 

6,750,000

 

Blount International Inc. 7% due 6/15/2005 (8)

 

 

6,281,220

 

 

7,053,750

 

 

29,500,000

 

Blount International Inc. 13% due 8/01/2009 (8)

 

 

21,588,176

 

 

32,007,500

 

 

2,750,000

 

Westpoint Stevens Inc. 77/8% due 6/15/2005 (a)(f)(1)

 

 

2,504,977

 

 

103,125

 

 

5,000,000

 

Tyco International Group SA 63/4% due 2/15/2006 (8)

 

 

4,575,526

 

 

5,269,945

 

 

20,500,000

 

Tyco International Group SA 63/4% due 2/15/2011 (8)

 

 

17,005,022

 

 

22,138,154

 

 

3,500,000

 

American Standard Companies Inc. 71/4% due 6/01/2006 (8)

 

 

3,186,155

 

 

4,529,570

 

 

4,910,000

 

American Standard Companies Inc. 81/4% due 6/01/2009 (8)

 

 

5,236,863

 

 

5,671,050

 

 

20,000,000

 

Lucent Technologies 71/4% due 7/15/2006 (15)

 

 

14,025,833

 

 

20,875,000

 

 

1,250,000

 

B&G Foods Inc. 95/8% due 8/01/2007 (14)

 

 

1,264,196

 

 

1,296,350

 

 

1,500,000

 

Penton Media Inc. 117/8% due 10/01/2007 (10)

 

 

1,146,318

 

 

1,526,250

 

 

13,140,000

 

Columbus McKinnon Corporation 81/2% due 4/01/2008 (8)

 

 

11,762,710

 

 

12,220,200

 

 

5,735,000

 

Columbus McKinnon Corporation 10% due 8/01/2010 (8)

 

 

5,900,063

 

 

6,107,775

 

 

3,500,000

 

Computer Associates 61/2% due 4/15/2008 (15)

 

 

2,999,569

 

 

3,687,758

 

 

15,000,000

 

Level 3 Communications, Inc. 91/8% due 5/01/2008 (15)

 

 

8,839,829

 

 

10,800,000

 

 

2,385,000

 

Longview Fibre Company 10% due 1/15/2009 (11)

 

 

2,456,125

 

 

2,611,575

 

 

4,850,000

 

Crescent Real Estate Equities Company 91/4% due 4/15/2009 (13)

 

 

4,928,625

 

 

5,383,500

 

 

13,500,000

 

GATX Corporation 87/8% due 6/01/2009 (4)

 

 

12,801,765

 

 

15,410,006

 

 

5,400,000

 

St. John Knits International Inc. 121/2% due7/01/2009 (1)

 

 

5,255,265

 

 

5,818,500

 

 

1,900,000

 

Sanmina-SCI Corporation 103/8% due 1/15/2010 (15)

 

 

1,898,926

 

 

2,232,500

 

 

1,250,000

 

Freeport McMoRan Copper and Gold, Inc. 101/8% due 2/01/2010 (12)

 

 

1,273,750

 

 

1,381,250

 

 

4,000,000

 

Jostens, Inc. 123/4% due 5/01/2010 (1)

 

 

4,014,139

 

 

4,520,000

 

 

610,000

 

Ethyl Corporation 87/8% due 5/01/2010 (9)

 

 

646,600

 

 

661,850

 

 

1,878,000

 

Flowserve Finance B.V. 121/4% due 8/15/2010 (8)

 

 

1,893,090

 

 

2,169,090

 

 

2,750,000

 

Monitronics International Inc. 113/4% due 9/01/2010 (b)(8)

 

 

2,748,866

 

 

2,956,250

 

 

6,900,000

 

Briggs & Stratton Corporation 87/8% due 3/15/2011 (1)

 

 

7,351,750

 

 

8,211,000

 

 

13,000,000

 

Steinway Musical Instruments 83/4% due 4/15/2011 (1)

 

 

13,133,693

 

 

14,170,000

 

 

1,500,000

 

Citizens Communications 91/4% due 5/15/2011 (15)

 

 

1,323,626

 

 

1,580,687

 

 

10,000,000

 

Texas Industries Inc. 101/4% due 6/15/2011 (9)

 

 

10,437,500

 

 

11,400,000

 

 

5,500,000

 

Penton Media Inc. 10 3/8% due 6/15/2011 (10)

 

 

4,063,985

 

 

4,152,500

 

 

4,500,000

 

Potlatch Corporation 10% due 7/15/2011 (11)

 

 

4,830,625

 

 

5,085,000

 

 

3,500,000

 

Toys ’R’ Us, Inc. 75/8% due 8/01/2011 (14)

 

 

3,407,264

 

 

3,605,000

 

 

5,500,000

 

Greif Inc. Corporation 87/8% due 8/01/2012 (9)

 

 

5,484,092

 

 

6,077,500

 

 

1,000,000

 

Manitowoc Company Inc. 101/2% due 8/01/2012 (8)

 

 

1,000,000

 

 

1,145,000

 

 

6,000,000

 

Fimep SA 101/2% due 2/15/2013 (8)

 

 

6,000,000

 

 

7,020,000

 

 

16,164,501

 

Winn-Dixie Stores Inc. 7.803% due 9/01/2017 (b)(2)

 

 

13,541,868

 

 

13,578,181

 

 

3,000,000

 

Winn-Dixie Stores Inc. 8.181% due 9/01/2024 (b)(2)

 

 

2,489,818

 

 

2,370,000

 

 

10,000,000

 

America Online Inc. 0% due 12/06/2019 (a)(10)

 

 

5,455,988

 

 

6,375,000

 

 

2,000,000

 

Legrand SA 8 1/2% due 2/15/2025 (8)

 

 

1,954,608

 

 

2,117,500

 

 

4,200,000

 

Bausch and Lomb Inc. 71/8% due 8/01/2028 (6)

 

 

3,521,524

 

 

4,241,131

 

 

10,000,000

 

Bangkok Bank Public Company 9.025% due 3/15/2029 (b)(4)

 

 

6,083,785

 

 

11,198,240

 

____________

See Notes to Financial Statements.

17

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Notes, Bonds and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

U.S. Dollar Notes and Bonds — (continued)

 

 

 

 

 

 

 

$

10,000,000

 

Christiania Bank Floating Rate Perpetual Notes (1.50% @ 4/30/2004) (4)

 

$

6,826,750

 

$

8,075,000

 

 

5,500,000

 

Bergen Bank Floating Rate Perpetual Notes (1.295% @ 4/30/2004) (4)

 

 

3,888,750

 

 

4,510,000

 

 

3,500,000

 

Den Norske Bank Floating Rate Perpetual Notes (1.338% @ 4/30/2004) (4)

 

 

2,610,000

 

 

2,884,774

 

 

3,170,000

 

Den Norske Bank Floating Rate Perpetual Notes (1.375% @ 4/30/2004) (4)

 

 

2,059,625

 

 

2,657,344

 

 

 

 

 

 

258,432,097

 

 

303,792,131

 

 

 

U.S. Dollar Convertible Bonds (0.63%)

 

 

 

 

 

 

 

 

10,500,000

 

Interpublic Group Company 1.870% 6/01/2006 (10)

 

 

8,451,306

 

 

9,935,625

 

 

2,000,000

 

TriQuint Semiconductor Inc. 4% due 3/01/2007 (15)

 

 

1,626,391

 

 

1,982,500

 

 

15,000,000

 

SCI Systems Inc. 3% due 3/15/2007 (15)

 

 

10,404,273

 

 

14,493,750

 

 

12,000,000

 

Ivax Corporation 41/2% due 5/15/2008 (6)

 

 

9,828,638

 

 

12,180,000

 

 

2,500,000

 

Medya International Limited 10% due 6/28/2049 (a)(e)(f)(10)

 

 

2,482,264

 

 

25,000

 

 

 

 

 

 

 

32,792,872

 

 

38,616,875

 

 

 

 

Non U.S. Dollar Notes and Bonds (2.50%)

 

 

 

 

 

 

 

 

SGD 23,550,000

 

Singapore Government 25/8% due 10/01/2007 (5)

 

 

14,529,790

 

 

14,363,278

 

 

CAD 8,500,000

 

Shaw Communications Inc. 7.4% due 10/17/2007 (10)

 

 

5,222,295

 

 

6,592,393

 

 

HKD 15,500,000

 

Hong Kong Government 3.57% due 12/17/2007 (5)

 

 

2,072,975

 

 

2,032,266

 

 

EUR 5,000,000

 

Koninklijke Ahold NV 57/8% due 5/09/2008 (14)

 

 

4,115,775

 

 

6,186,219

 

 

GBP 15,000,000

 

EMI Group Plc 81/4% due 5/20/2008 (10)

 

 

23,504,726

 

 

28,750,872

 

 

EUR 1,500,000

 

EMI Group Plc 85/8% due 10/15/2013 (b)(10)

 

 

1,733,805

 

 

2,069,000

 

 

SEK 80,000,000

 

Sweden Government I/L 4.526% due 12/01/2008 (5)

 

 

13,192,294

 

 

12,978,523

 

 

EUR 2,000,000

 

Independent News and Media Plc 8% due 12/15/2008(10)

 

 

2,417,480

 

 

2,516,068

 

 

EUR 2,500,000

 

Independent News and Media Plc 53/4% due 5/17/2009(10)

 

 

2,639,399

 

 

2,903,739

 

 

MYR 17,140,000

 

Malaysian Government 4.305% due 2/27/2009 (5)

 

 

4,538,349

 

 

4,540,972

 

 

EUR 14,052,350

 

Republic of France O.A.T. 3% due 7/25/2009 (5)

 

 

12,007,064

 

 

18,156,730

 

 

EUR 3,750,000

 

Prosieben Media 111/4% due 7/31/2009 (10)

 

 

3,511,637

 

 

5,437,282

 

 

EUR 1,000,000

 

Vivendi Universal SA 9 ½% due 4/15/2010 (10)

 

 

1,063,764

 

 

1,424,843

 

 

EUR 6,240,000

 

Flowserve Finance B.V. 121/4% due 8/15/2010 (8)

 

 

6,213,001

 

 

8,449,446

 

 

ZAR 35,000,000

 

Republic of South Africa 13% due 8/31/2010 (5)

 

 

3,165,853

 

 

5,760,245

 

 

EUR 2,000,000

 

Riverdeep Group Limited 91/4% due 4/15/2011 (b)(15)

 

 

2,438,950

 

 

2,420,564

 

 

EUR 8,500,000

 

The Manitowoc Company, Inc. 103/8% due 5/15/2011 (8)

 

 

8,836,884

 

 

11,356,879

 

 

GBP 5,875,000

 

Enodis Plc 103/8% due 4/15/2012 (8)

 

 

9,163,577

 

 

11,791,403

 

 

EUR 4,000,000

 

Fimep SA 11% due 2/15/2013 (8)

 

 

4,582,369

 

 

5,739,852

 

 

 

 

 

 

124,949,987

 

 

153,470,574

 

 

 

Non U.S. Dollar Convertible Bonds (0.08%)

 

 

 

 

 

 

 

 

EUR 1,000,000

 

Aegis Group Plc 2% due 5/15/2006 (10)

 

 

910,535

 

 

1,246,830

 

 

CAD 1,600,000

 

Noranda Inc. 5% due 4/30/2007 (12)

 

 

1,137,774

 

 

1,112,449

 

 

NZD 3,500,000

 

Evergreen Forest Limited 0% due 3/19/2009 (a)(b)(11)

 

 

1,871,556

 

 

2,921,245

 

 

 

 

 

 

 

3,919,865

 

 

5,280,524

 

 

 

 

Total Notes, Bonds and Convertible Bonds

 

 

689,880,253

 

 

778,291,173

 

____________

See Notes to Financial Statements.

18

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Short-Term Investments (22.47%)

 

 

 

 

 

 

 

$

30,345,000

 

Honeywell International Inc. 0.97% due 5/03/2004

 

$

30,343,365

 

$

30,343,365

 

 

30,000,000

 

DuPont Ei Nemour 1.00% due 5/03/2004

 

 

29,998,333

 

 

29,998,333

 

 

25,000,000

 

DuPont Ei Nemour 1.01% due 5/05/2004

 

 

24,997,194

 

 

24,997,194

 

 

35,000,000

 

DuPont Ei Nemour 1.00% due 5/06/2004

 

 

34,995,139

 

 

34,995,139

 

 

27,305,000

 

American Express Credit Corporation 1.01% due 5/03/2004

 

 

27,303,468

 

 

27,303,468

 

 

17,176,000

 

ConocoPhillips 1.03% due 5/03/2004

 

 

17,175,017

 

 

17,175,017

 

 

25,696,000

 

ConocoPhillips 1.06% due 5/03/2004

 

 

25,694,487

 

 

25,694,487

 

 

25,000,000

 

ConocoPhillips 1.02% due 5/07/2004

 

 

24,995,750

 

 

24,995,750

 

 

14,715,000

 

Wal-Mart Stores, Inc. 0.99% due 5/03/2004

 

 

14,714,191

 

 

14,714,191

 

 

25,000,000

 

Wal-Mart Stores, Inc. 0.99% due 5/04/2004

 

 

24,997,938

 

 

24,997,938

 

 

51,000,000

 

Wal-Mart Stores, Inc. 0.98% due 5/11/2004

 

 

50,986,116

 

 

50,986,116

 

 

4,319,000

 

Wal-Mart Stores, Inc. 0.99% due 5/11/2004

 

 

4,317,812

 

 

4,317,812

 

 

15,000,000

 

Wal-Mart Stores, Inc. 0.97% due 6/02/2004

 

 

14,987,067

 

 

14,987,067

 

 

11,968,000

 

7-Eleven Inc. 1.02% due 5/03/2004

 

 

11,967,322

 

 

11,967,322

 

 

1,484,000

 

7-Eleven Inc. 1.01% due 5/17/2004

 

 

1,483,334

 

 

1,483,334

 

 

11,000,000

 

7-Eleven Inc. 1.03% due 5/27/2004

 

 

10,991,817

 

 

10,991,817

 

 

19,990,000

 

Gannett Company Inc. 0.98% due 5/04/2004

 

 

19,988,367

 

 

19,988,367

 

 

22,594,000

 

Gannett Company Inc. 0.99% due 5/05/2004

 

 

22,591,515

 

 

22,591,515

 

 

25,000,000

 

Gannett Company Inc. 0.98% due 5/06/2004

 

 

24,996,597

 

 

24,996,597

 

 

10,000,000

 

Gannett Company Inc. 0.98% due 5/14/2004

 

 

9,996,461

 

 

9,996,461

 

 

30,000,000

 

Gannett Company Inc. 0.99% due 5/20/2004

 

 

29,984,325

 

 

29,984,325

 

 

13,000,000

 

Walt Disney Company 1.08% due 5/04/2004

 

 

12,998,830

 

 

12,998,830

 

 

2,192,000

 

Walt Disney Company 1.08% due 5/17/2004

 

 

2,190,948

 

 

2,190,948

 

 

1,085,000

 

L’Oreal SA 1.01% due 5/04/2004

 

 

1,084,909

 

 

1,084,909

 

 

25,000,000

 

Altria Group Inc. 1.47% due 5/05/2004

 

 

24,995,917

 

 

24,995,917

 

 

15,000,000

 

Nestle Capital Corporation 0.98% due 5/05/2004

 

 

14,998,367

 

 

14,998,367

 

 

30,000,000

 

Nestle Capital Corporation 0.98% due 5/17/2004

 

 

29,986,933

 

 

29,986,933

 

 

20,814,000

 

Nestle Capital Corporation 0.98% due 5/21/2004

 

 

20,802,668

 

 

20,802,668

 

 

6,981,000

 

Nestle Capital Corporation 0.97% due 5/24/2004

 

 

6,976,674

 

 

6,976,674

 

 

24,441,000

 

Nestle Capital Corporation 1.01% due 6/08/2004

 

 

24,414,943

 

 

24,414,943

 

 

35,000,000

 

Shell Finance UK Plc 1.01% due 5/06/2004

 

 

34,995,090

 

 

34,995,090

 

 

5,000,000

 

Shell Finance UK Plc 1.02% due 6/07/2004

 

 

4,994,758

 

 

4,994,758

 

 

25,000,000

 

Shell Finance UK Plc 1.01% due 6/18/2004

 

 

24,966,333

 

 

24,966,333

 

 

27,540,000

 

Shell Finance UK Plc 1.01% due 6/29/2004

 

 

27,494,414

 

 

27,494,414

 

 

13,891,000

 

General Electric Capital Corporation 0.99% due 5/06/2004

 

 

13,889,090

 

 

13,889,090

 

 

55,277,000

 

General Electric Capital Corporation 1.04% due 6/22/2004

 

 

55,193,961

 

 

55,193,961

 

 

9,214,000

 

Exxon Project Investment Corporation 0.97% due 5/06/2004

 

 

9,212,759

 

 

9,212,759

 

 

20,000,000

 

Exxon Project Investment Corporation 0.96% due 5/17/2004

 

 

19,991,467

 

 

19,991,467

 

 

27,440,000

 

Sara Lee Corporation 1.05% due 5/07/2004

 

 

27,435,198

 

 

27,435,198

 

 

15,000,000

 

Sara Lee Corporation 1.03% due 5/11/2004

 

 

14,995,708

 

 

14,995,708

 

 

25,000,000

 

Procter and Gamble Company 0.97% due 5/07/2004

 

 

24,995,958

 

 

24,995,958

 

 

45,000,000

 

Procter and Gamble Company 1.00% due 5/10/2004

 

 

44,988,750

 

 

44,988,750

 

 

30,000,000

 

BMW US Capital Corporation 1.00% due 5/10/2004

 

 

29,992,500

 

 

29,992,500

 

 

30,000,000

 

Henkel Corporation 1.02% due 5/11/2004

 

 

29,991,500

 

 

29,991,500

 

 

30,909,000

 

Henkel Corporation 1.02% due 6/14/2004

 

 

30,870,467

 

 

30,870,467

 

____________

See Notes to Financial Statements.

 

19

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

Short-Term Investments — (continued)

 

 

 

 

 

 

 

$28,534,000

 

RaboBank USA Finance Corporation 0.99% due 5/12/2004

 

$

28,525,368

 

$

28,525,368

 

32,069,000

 

RaboBank USA Finance Corporation 0.98% due 5/14/2004

 

 

32,057,651

 

 

32,057,651

 

3,000,000

 

Hitachi Limited 1.03% due 5/12/2004

 

 

2,999,056

 

 

2,999,056

 

3,500,000

 

Hitachi Limited 1.00% due 5/17/2004

 

 

3,498,444

 

 

3,498,444

 

5,000,000

 

Hitachi Limited 1.00% due 5/18/2004

 

 

4,997,639

 

 

4,997,639

 

8,000,000

 

Hitachi Limited 1.04% due 6/15/2004

 

 

7,989,600

 

 

7,989,600

 

48,000,000

 

The Coca Cola Company 0.99% due 5/13/2004

 

 

47,984,160

 

 

47,984,160

 

24,762,000

 

Knight-Ridder Inc. 0.99% due 5/13/2004

 

 

24,753,829

 

 

24,753,829

 

17,922,000

 

Knight-Ridder Inc. 1.01% due 6/08/2004

 

 

17,902,893

 

 

17,902,893

 

12,401,000

 

Knight-Ridder Inc. 0.99% due 6/14/2004

 

 

12,385,995

 

 

12,385,995

 

16,250,000

 

Knight-Ridder Inc. 1.02% due 6/16/2004

 

 

16,228,821

 

 

16,228,821

 

9,250,000

 

Knight-Ridder Inc. 1.02% due 6/17/2004

 

 

9,237,682

 

 

9,237,682

 

5,000,000

 

Unilever Capital Corporation 0.97% due 5/17/2004

 

 

4,997,844

 

 

4,997,844

 

25,000,000

 

Unilever Capital Corporation 1.00% due 6/01/2004

 

 

24,978,472

 

 

24,978,472

 

15,000,000

 

Unilever Capital Corporation 0.97% due 6/07/2004

 

 

14,985,046

 

 

14,985,046

 

5,000,000

 

Unilever Capital Corporation 1.00% due 6/07/2004

 

 

4,994,861

 

 

4,994,861

 

12,000,000

 

Unilever Capital Corporation 1.00% due 6/14/2004

 

 

11,985,333

 

 

11,985,333

 

20,000,000

 

Caterpillar Financial Services 1.00% due 5/18/2004

 

 

19,990,556

 

 

19,990,556

 

31,961,000

 

Caterpillar Financial Services 1.00% due 5/19/2004

 

 

31,945,020

 

 

31,945,020

 

16,520,000

 

Bristol-Myers Squibb 1.01% due 5/19/2004

 

 

16,511,657

 

 

16,511,657

 

11,000,000

 

Diageo Capital Plc 1.00% due 5/25/2004

 

 

10,992,667

 

 

10,992,667

 

25,000,000

 

Diageo Capital Plc 1.00% due 6/01/2004

 

 

24,978,472

 

 

24,978,472

 

14,740,000

 

Bayer Corporation 1.07% due 6/03/2004

 

 

14,725,543

 

 

14,725,543

 

 

 

Total Short-Term Investments

 

 

1,379,610,366

 

 

1,379,610,366

 

 

 

Total Investments (99.56%)

 

$

4,951,519,694

*

 

6,112,162,340

**

 

 

Other assets in excess of liabilities (0.44%)

 

 

 

 

 

26,710,122

 

 

 

Net Assets (100.00%)

 

 

 

 

$

6,138,872,462

 

______________

  *

At April 30, 2004 cost is substantially identical for both book and federal income tax purposes.

**

Gross unrealized appreciation and depreciation of securities at April 30, 2004 were $1,220,162,873 and $59,520,227, respectively (net appreciation was $1,160,642,646).

______________

See Notes to Financial Statements.

20

FIRST EAGLE GLOBAL FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Foreign Currencies

Sector/Industry Classifications

CAD – Canadian dollar

 

(1) Consumer Discretionary

 

(10) Media

EUR – euro

 

(2) Consumer Staples

 

(11) Paper and Forest Products

GBP – pound sterling

 

(3) Energy

 

(12) Precious Metals

HKD – Hong Kong dollar

 

(4) Financials

 

(13) Real Estate

MYR – Malaysian ringgit

 

(5) Government Issues

 

(14) Retail

NZD – New Zealand dollar

 

(6) Health Care

 

(15) Technology

SEK – Swedish krona

 

(7) Holding Companies

 

(16) Transportation

SGD – Singapore dollar

 

(8) Industrials

 

(17) Utilities

ZAR – South African rand

 

(9) Materials

 

 

______________

(a)

Non-income producing security.

(b)

All or a portion of the security is exempt from registration under the Securities Act of 1933 and may only be sold to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.

(c)

Affiliate as defined by the Investment Company Act of 1940. An affiliate is defined as a company in which the Fund directly or indirectly owns, controls, or holds power to vote 5% or more of the outstanding voting securities. Following is a summary of transactions with each such affiliate for the six-months ended April 30, 2004.

 

 

 

Purchases

 

Dividend
Income

 

Affiliate

 

Shares

 

Cost

 

 

Allen Organ Company, Class ‘B’

 

—

 

 

—

 

$

53,830

 

City e-Solutions Limited

 

—

 

 

—

 

 

82,741

 

East Texas Financial Services, Inc.

 

—

 

 

—

 

 

11,475

 

Mills Music Trust

 

—

 

 

—

 

 

63,450

 

Nam Yang Dairy Products

 

—

 

 

—

 

 

41,174

 

NSC Groupe

 

—

 

 

—

 

 

—

 

Papa John's International Inc.

 

710,000

 

$

22,803,407

 

 

—

 

Rayonier Inc.‡

 

640,000

 

 

24,726,507

 

 

1,884,400

 

Sabeton SA

 

—

 

 

—

 

 

—

 

Shaw Brothers (Hong Kong) Limited

 

603,000

 

 

654,222

 

 

139,437

 

Shoei Company, Limited

 

150,000

 

 

2,327,091

 

 

147,262

 

Société Sucrière de Pithiviers-le-Vieil

 

447

 

 

298,326

 

 

480,139

 

UniFirst Corporation

 

30,000

 

 

735,141

 

 

47,689

 

 ‡

Stock dividend of 0.187 shares per share held, received 528,275 shares (ex-date November 12, 2003)

(d)

Commodity-linked security whereby the coupon, dividend and/or redemption amount is linked to the price of an underlying commodity.

(e)

Security for which there are less than three market makers.

(f)

In default as to principal and interest.

(g)

Leveraged 11/2 to 1

(h)

Leveraged 2 to 1

______________

See Notes to Financial Statements.

21

FUND OVERVIEW

 

FIRST EAGLE OVERSEAS FUND

Data as of April 30, 2004 (unaudited)

THE INVESTMENT STYLE

 

 AVERAGE ANNUAL RETURNS

 

 

 

The First Eagle Overseas Fund seeks long-term growth of capital by investing primarily in equities issued by non-U.S. corporations. Management’s research-driven process seeks to minimize risk by focusing on undervalued securities.

 

 

ONE-YEAR

FIVE-YEARS

TEN-YEARS

 

First Eagle Overseas Fund (A Shares)

 

without sales load

39.42

%

16.86

%

12.76

%

 

with sales load

32.45

%

15.98

%

12.33

%

 

MSCI World Index

40.23

%

(0.73

%)

3.88

%

 

Consumer Price Index

2.29

%

2.48

%

2.45

%

 

 

 

 

 

 

 

 

ASSET ALLOCATION

 

 GROWTH OF A $10,000 INITIAL INVESTMENT

Foreign Stocks

70.22%

U.S. Stocks 2.14%

Foreign Currency

Bonds

4.82%

U.S. Dollar

Bonds

0.40%

Commodity-

Linked Notes

2.18%

U.S. Dollar

Cash and

Equivalents

20.24%

 

$35,000

30,000

25,000

20,000

15,000

10,000

5,000

0

4/94

4/95

4/97

4/98

4/99

4/00

4/01

4/02

4/03

4/04

$32,020

$14,634

$12,745

First Eagle Overseas Fund

MSCI EAFE Index

Consumer Price Index

4/96

 

 

TOP 5 COUNTRIES

 

Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses. The average annual returns for Class A Shares with a sales load give effect to the deduction of the maximum sales load of 3.75% for periods prior to March 1, 2000 and of 5.00%, thereafter. The MSCI EAFE Index is a total return index, reported in U.S. dollars, based on share price and reinvested net dividends of approximately 1,100 companies from 21 countries. The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.

 

 

Japan

15.52%

 

France

14.64%

 

Switzerland

7.66%

 

United Kingdom

5.17%

 

Netherlands

4.46%

 

 

 

 

The Fund’s portfolio composition is

subject to change at any time.

 

 

 TOP 10 HOLDINGS

 

 

 

Shimano Inc. (Japanese manufacturer of bicycle parts)

1.83%

 

 

Samsung Electronics Company, Limited Pfd.
(South Korean electronics company)

1.70%

 

 

Wendel Investissement (French holding company)

1.68%

 

 

Corporacion Financiera Alba SA
(European holding company with stakes in retail, telecom, construction and media)

1.62%

 

 

Secom Company Limited
(Japanese security services company)

1.40%

 

 

Nestlé SA (Swiss food manufacturer)

1.31%

 

 

Freeport McMoRan Copper & Gold Inc. (CS & Pfd.)
(U.S. mining company)

1.28%

 

 

Pargesa Holding AG
(Swiss diversified financials company)

1.28%

 

 

HSBC Gold-Linked Notes
(U.S. structured notes)

1.22%

 

 

Essilor International SA
(French corrective lens manufacturer)

1.21%

 

 

 

 

 

 

 

 

 

 

 

 

22

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS
April 30, 2004
(Unaudited)

 

Number of
Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

Common and Preferred Stocks (72.36%)
Argentina (0.07%)

 

 

 

 

 

 

385,000

 

Cresud S.A.C.I.F. y A. ADR (2)

 

$

2,396,169

 

$

4,573,415

 

 

Australia and New Zealand (1.35%)

 

 

 

 

 

 

25,000,000

 

Carter Holt Harvey Limited (11)

 

 

24,580,976

 

 

32,946,375

9,250,000

 

Spotless Group Limited (8)

 

 

25,908,321

 

 

32,406,427

3,804,345

 

News and Media NZ Limited exchangeable preference shares (10)

 

 

9,769,634

 

 

10,743,375

5,000,000

 

Capital Properties New Zealand Limited 8 ½ %exchangeable preference shares (13)

 

 

3,415,671

 

 

3,154,659

5,500,000

 

Evergreen Forests Limited (a)(11)

 

 

1,633,003

 

 

1,518,671

5,750,000

 

Tasman Farms (a)(2)

 

 

1,054,354

 

 

1,335,113

 

 

 

 

 

66,361,959

 

 

82,104,620

 

 

Austria (0.62%)

 

 

 

 

 

 

685,000

 

Flughafen Wien AG (16)

 

 

23,168,352

 

 

37,840,485

 

 

Belgium (1.07%)

 

 

 

 

 

 

1,535,000

 

Deceuninck (c)(1)

 

 

32,199,731

 

 

48,559,869

50,000

 

Electrabel SA (17)

 

 

13,862,929

 

 

16,410,705

 

 

 

 

 

46,062,660

 

 

64,970,574

 

 

Canada (2.54%)

 

 

 

 

 

 

1,775,000

 

EnCana Corporation (3)

 

 

57,323,739

 

 

69,615,500

1,500,000

 

Aber Diamond Corporation (a)(9)

 

 

40,674,905

 

 

41,508,814

1,725,000

 

InterTAN, Inc. (a)(14)

 

 

14,067,806

 

 

23,925,750

3,000,000

 

Norske Skog Canada Limited (a)(11)

 

 

10,065,599

 

 

9,810,577

1,500,000

 

IAMGOLD Corporation (12)

 

 

4,433,304

 

 

7,270,338

75,000

 

Canadian Pacific Railway Limited (16)

 

 

594,538

 

 

1,666,500

35,000

 

Fairmont Hotels & Resorts Inc. (1)

 

 

311,230

 

 

864,500

 

 

 

 

 

127,471,121

 

 

154,661,979

 

 

Chile (0.30%)

 

 

 

 

 

 

2,225,000

 

Quinenco SA ADR (8)

 

 

14,298,176

 

 

18,133,750

 

 

China (0.70%)

 

 

 

 

 

 

1,000,000

 

PetroChina Company, Limited ADR (3)

 

 

24,761,782

 

 

43,000,000

 

 

Commonwealth of Independent States (0.13%)

 

 

 

 

 

 

352,296

 

Firebird Fund, L.P. (b)(e)(7)

 

 

353,178

 

 

5,250,541

4,921

 

Firebird Republic Fund, Limited Class ‘A’ (b)(e)(7)

 

 

719,082

 

 

1,765,424

100,000

 

First NIS Regional Fund SICAF (7)

 

 

1,000,000

 

 

740,000

9,000

 

Baltic Republic Fund (a)(e)(7)

 

 

185,750

 

 

378,000

 

 

 

 

 

2,258,010

 

 

8,133,965


______________

See Notes to Financial Statements.

23

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — (continued)

 

 

 

 

 

 

 

 

 

Denmark (1.07%)

 

 

 

 

 

 

 

1,100,000

 

Carlsberg A/S, ‘B’ (2)

 

$

43,722,804

 

$

54,299,335

 

235,000

 

Carlsberg A/S, ‘A’ (2)

 

 

10,411,062

 

 

10,881,207

 

 

 

 

 

54,133,866

 

 

65,180,542

 

 

France (12.61%)

 

 

 

 

 

 

 

2,225,000

 

Wendel Investissement (7)

 

 

53,580,795

 

 

102,409,329

 

1,265,000

 

Essilor International SA (6)

 

 

55,902,323

 

 

73,988,552

 

2,500,000

 

Vivendi Universal SA (a)(10)

 

 

43,928,886

 

 

62,880,740

 

1,845,000

 

Remy Cointreau SA (2)

 

 

55,833,174

 

 

61,439,845

 

855,000

 

Eurazeo (7)

 

 

43,468,416

 

 

58,604,011

 

1,915,000

 

Sodexho Alliance SA (1)

 

 

53,997,161

 

 

52,802,027

 

245,000

 

Galeries Lafayette SA (14)

 

 

32,196,973

 

 

43,068,664

 

735,000

 

Neopost SA (8)

 

 

29,873,921

 

 

40,523,297

 

850,000

 

Financiere Marc de Lacharriere SA (7)

 

 

30,917,486

 

 

33,306,721

 

315,000

 

Societe du Louvre Reg D (1)

 

 

18,879,612

 

 

30,027,276

 

38,750

 

Societe Sucriere de Pithiviers-le Vieil (c)(2)

 

 

15,309,438

 

 

26,931,770

 

615,000

 

Societe BIC SA (8)

 

 

23,768,828

 

 

26,677,731

 

545,000

 

Carbone Lorraine SA (8)

 

 

15,293,471

 

 

22,080,397

 

2,375,000

 

Elior SCA (1)

 

 

17,173,663

 

 

21,230,863

 

185,000

 

Robertet SA (c)(2)

 

 

12,995,668

 

 

20,838,420

 

51,500

 

Robertet SA C.I. (2)

 

 

2,151,628

 

 

4,248,899

 

133,213

 

Societe Fonciere Financiere et de Participations (7)

 

 

14,312,581

 

 

20,512,327

 

259,108

 

Gaumont SA (a)(c)(10)

 

 

12,926,944

 

 

16,750,874

 

419,855

 

Laurent-Perrier (c)(2)

 

 

13,400,479

 

 

14,841,799

 

60,000

 

Sagem SA (15)

 

 

1,744,499

 

 

6,542,713

 

25,000

 

Taittinger SA (1)

 

 

4,806,701

 

 

5,227,579

 

23,500

 

Taittinger C.I. (1)

 

 

1,394,587

 

 

3,807,236

 

113,500

 

Crometal SA (c)(8)

 

 

4,799,237

 

 

5,100,260

 

20,000

 

Rue Imperiale (13)

 

 

3,411,875

 

 

3,812,987

 

1,350,000

 

FINEL (a)(i)(11)

 

 

2,277,010

 

 

3,186,876

 

18,234

 

Didot-Bottin (7)

 

 

1,720,467

 

 

2,466,841

 

26,499

 

NSC Groupe (8)

 

 

4,385,060

 

 

2,095,746

 

100,000

 

Sabeton SA (7)

 

 

1,463,143

 

 

1,499,072

 

1,000

 

Societe Vermandoise de Sucreries (2)

 

 

854,846

 

 

1,488,287

 

19,399

 

Conflandey (a)(8)

 

 

344,268

 

 

247,335

 

17,000

 

Societe Francaise des Papiers Peints (a)(c)(1)

 

 

779,335

 

 

196,683

 

 

 

 

 

 

573,892,475

 

 

768,835,157

 

______________

See Notes to Financial Statements.

24

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — (continued)

 

 

 

 

 

 

 

 

 

Germany (3.61%)

 

 

 

 

 

 

 

1,055,000

 

Merck KGaA (6)

 

$

26,152,947

 

$

56,383,563

 

140,500

 

Bertelsmann AG D.R.C. (10)

 

 

31,678,271

 

 

35,187,451

 

435,000

 

Hornbach Holding AG Pfd. (14)

 

 

23,642,410

 

 

31,020,186

 

258,500

 

Axel Springer Verlag AG (10)

 

 

13,703,591

 

 

26,019,865

 

1,275,000

 

Suedzucker AG (2)

 

 

20,571,626

 

 

24,720,309

 

405,000

 

Vossloh AG (16)

 

 

8,157,152

 

 

20,043,348

 

450,000

 

Pfeiffer Vacuum Technology AG (c)(8)

 

 

13,362,076

 

 

17,902,587

 

325,000

 

Bayer AG (9)

 

 

4,305,768

 

 

8,801,506

 

 

 

 

 

 

141,573,841

 

 

220,078,815

 

 

 

Hong Kong (1.81%)

 

 

 

 

 

 

 

7,500,000

 

Guoco Group Limited (7)

 

 

55,246,509

 

 

59,376,142

 

20,531,500

 

Shaw Brothers (Hong Kong) Limited (c)(10)

 

 

19,763,936

 

 

21,321,583

 

10,000,000

 

Hopewell Holdings Limited (13)

 

 

12,004,216

 

 

17,692,648

 

7,500,000

 

SmarTone Telecommunications Holdings Limited (15)

 

 

8,553,853

 

 

8,317,468

 

10,000,000

 

Lerado Group Holding Company Limited (1)

 

 

1,533,725

 

 

1,705,161

 

11,250,000

 

City e-Solutions Limited (1)

 

 

336,425

 

 

1,283,679

 

12,000,000

 

China-Hong Kong Photo Products Holdings Limited (1)

 

 

949,952

 

 

669,244

 

 

 

 

 

98,388,616

 

 

110,365,925

 

 

 

India (0.00%)

 

 

 

 

 

 

 

10,000

 

The Spartek Emerging Opportunities of India Fund (b)(e)(7)

 

 

1,035,000

 

 

10,898

 

 

 

 

 

 

 

 

 

 

 

 

 

Indonesia (0.07%)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

4,000,000

 

PT Bat Indonesia Tbk (c)(2)

 

 

4,249,453

 

 

4,097,428

 

 

 

 

 

 

 

 

 

 

 

 

 

Ireland (0.36%)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,000,000

 

Independent News & Media Plc (10)

 

 

12,246,332

 

 

13,876,302

 

30,000,000

 

Waterford Wedgewood Plc (1)

 

 

10,929,254

 

 

8,268,263

 

 

 

 

 

23,175,586

 

 

22,144,565

 

 

 

Israel (0.00%)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

70,000

 

Super-Sol (14)

 

 

129,090

 

 

164,589

 

 

 

 

 

 

 

 

 

 

 

 

 

Italy (1.52%)

 

 

 

 

 

 

 

850,000

 

Italmobiliare S.p.A. RNC (9)

 

 

20,153,790

 

 

28,937,123

 

3,350,000

 

Italcementi S.p.A. RNC (9)

 

 

19,751,785

 

 

26,855,678

 

5,375,000

 

Gewiss S.p.A. (8)

 

 

19,575,098

 

 

25,248,160

 

1,500,000

 

Caltagirone Editore S.p.A. (10)

 

 

9,451,547

 

 

11,395,823

 

 

 

 

 

 

68,932,220

 

 

92,436,784

 

______________

See Notes to Financial Statements.

25

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — (continued)

 

 

 

 

 

 

 

 

 

Japan (15.52%)

 

 

 

 

 

 

 

4,765,000

 

Shimano Inc. (1)

 

$

78,529,666

 

$

111,556,627

 

2,000,000

 

Secom Company, Limited (8)

 

 

72,004,572

 

 

85,676,765

 

1,645,000

 

Ono Pharmaceutical Company, Limited (6)

 

 

61,412,218

 

 

70,618,123

 

3,500,000

 

Toho Company, Limited (10)

 

 

39,423,441

 

 

53,317,031

 

1,500,000

 

Fuji Photo Film Company, Limited (1)

 

 

44,312,060

 

 

48,227,143

 

500,000

 

Nintendo Company, Limited (15)

 

 

40,294,227

 

 

47,185,618

 

7,750,000

 

NIPPONKOA Insurance Company, Limited (4)

 

 

30,321,710

 

 

46,465,607

 

10,150,000

 

Aioi Insurance Company, Limited (4)

 

 

29,456,407

 

 

44,584,069

 

4,000,000

 

Mitsui Sumitomo Insurance Company, Limited (4)

 

 

19,745,891

 

 

37,639,813

 

1,732,291

 

T. Hasegawa Company, Limited (2)

 

 

20,695,077

 

 

26,859,414

 

1,500,000

 

Daiichi Pharmaceutical Corporation (6)

 

 

23,622,228

 

 

26,273,604

 

150,000

 

Nippon Television Network Corporation (10)

 

 

20,389,752

 

 

24,344,518

 

1,299,950

 

Nitto Kohki Company, Limited (c)(8)

 

 

19,873,893

 

 

22,899,088

 

1,675,000

 

Makita Corporation (1)

 

 

12,722,902

 

 

22,664,040

 

775,000

 

Shimachu Company Limited (14)

 

 

16,168,869

 

 

20,705,973

 

1,000,000

 

Chofu Seisakusho Company, Limited (1)

 

 

14,518,405

 

 

19,290,857

 

4,000,000

 

Aida Engineering, Limited (c)(8)

 

 

14,266,611

 

 

19,200,290

 

550,000

 

Kose Corporation (2)

 

 

17,029,581

 

 

18,629,715

 

1,750,000

 

Wacoal Corporation (2)

 

 

14,119,449

 

 

17,862,156

 

799,990

 

Mandom Corporation (2)

 

 

12,478,635

 

 

17,823,442

 

275,000

 

TakeFuji Corporation (4)

 

 

15,841,045

 

 

17,459,131

 

1,000,000

 

Maruichi Steel Tube Limited (9)

 

 

12,293,080

 

 

14,889,281

 

1,000,000

 

Shoei Company, Limited (c)(7)

 

 

8,507,056

 

 

14,581,352

 

975,000

 

Ryoyo Electro Corporation (15)

 

 

12,476,189

 

 

13,236,653

 

3,000,000

 

Iino Kaiun Kaisha, Limited (16)

 

 

9,416,206

 

 

12,416,791

 

1,625,000

 

Takuma Company, Limited (8)

 

 

11,572,421

 

 

11,538,287

 

368,500

 

SK Kaken Company Limited (8)

 

 

5,536,940

 

 

10,863,266

 

1,000,000

 

Sansei Yusoki Company, Limited (c)(8)

 

 

8,885,636

 

 

9,962,415

 

2,000,000

 

Okumura Corporation (8)

 

 

8,273,866

 

 

9,509,578

 

935,000

 

Tachi-S Company, Limited (1)

 

 

7,910,269

 

 

8,942,263

 

415,000

 

Aderans Company (2)

 

 

7,895,013

 

 

8,419,146

 

100,000

 

ASAHI Broadcasting Corporation (10)

 

 

6,141,481

 

 

6,783,499

 

475,000

 

Mitsubishi Securities Company, Limited (4)

 

 

3,053,989

 

 

6,130,281

 

475,000

 

Katakura Industries Company, Limited (8)

 

 

4,247,837

 

 

5,657,067

 

565,300

 

Yomeishu Seizo Company, Limited (2)

 

 

3,640,899

 

 

4,121,419

 

250,000

 

Seikagaku Corporation (6)

 

 

3,315,220

 

 

3,713,264

 

200,000

 

Sotoh Company, Limited (1)

 

 

966,678

 

 

2,738,758

 

______________

See Notes to Financial Statements.

26

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

 

 

 

 

 

 

 

 

 

Common and Preferred Stocks — (continued)

 

 

 

 

 

 

 

 

 

Japan — (continued)

 

 

 

 

 

 

 

325,000

 

Sonton Food Industry Company, Limited (2)

 

$

3,298,777

 

$

2,737,400

 

58,000

 

Matsumoto Yushi-Seiyaku Company, Limited (9)

 

 

1,261,435

 

 

1,208,169

 

 

 

 

 

735,919,631

 

 

946,731,913

 

 

 

Luxembourg (0.52%)

 

 

 

 

 

 

 

1,000,000

 

Tenaris SA ADR (3)

 

 

22,780,614

 

 

29,990,000

 

112,668

 

Security Capital European Realty (a)(e)(13)

 

 

2,253,360

 

 

2,097,878

 

 

 

 

 

25,033,974

 

 

32,087,878

 

 

 

Mexico (0.88%)

 

 

 

 

 

 

 

12,000,000

 

Industrias Penoles, S.A. de C.V. (12)

 

 

23,144,651

 

 

52,590,060

 

500,000

 

Grupo Industrial Saltillo, S.A. de C.V. (8)

 

 

1,469,358

 

 

933,474

 

 

 

 

 

 

24,614,009

 

 

53,523,534

 

 

Netherlands (4.12%)

 

 

 

 

 

 

 

2,000,000

 

Heineken Holding NV (2)

 

 

63,342,898

 

 

73,719,354

 

1,355,000

 

Randstad Holding NV (8)

 

 

11,592,087

 

 

36,192,165

 

3,850,000

 

Koninklijke Ahold NV (a)(14)

 

 

31,516,082

 

 

29,802,894

 

875,000

 

Koninklijke Grolsch NV (2)

 

 

20,265,988

 

 

24,797,300

 

1,150,000

 

United Services Group NV (c)(8)

 

 

16,081,979

 

 

21,221,875

 

825,000

 

Holdingmaatschappij de Telegraaf NV (10)

 

 

14,452,839

 

 

17,893,600

 

535,000

 

Hal Trust NV (7)

 

 

15,227,499

 

 

17,309,429

 

235,000

 

OPG Groep NV (6)

 

 

5,860,389

 

 

11,165,451

 

800,000

 

Arcadis NV (8)

 

 

9,183,038

 

 

10,986,005

 

250,000

 

CSM — BR Cert CVA (2)

 

 

5,425,800

 

 

6,126,304

 

225,000

 

Wegener NV (a)(10)

 

 

1,363,301

 

 

2,316,012

 

 

 

 

 

 

194,311,900

 

 

251,530,389

 

 

Singapore (1.43%)

 

 

 

 

 

 

 

10,649,850

 

Haw Par Corporation Limited (c)(8)

 

 

25,050,571

 

 

29,171,669

 

2,594,500

 

Fraser & Neave Limited (2)

 

 

14,402,970

 

 

20,283,233

 

12,184,000

 

Singapore Airport Terminal (16)

 

 

14,630,987

 

 

14,108,732

 

17,549,625

 

ComfortDelgro Corporation Limited (16)

 

 

6,946,456

 

 

12,688,340

 

25,000,000

 

Del Monte Pacific Limited (2)

 

 

5,997,158

 

 

9,551,800

 

1,500,000

 

United Overseas Land Limited (7)

 

 

1,580,992

 

 

1,578,251

 

 

 

 

 

 

68,609,134

 

 

87,382,025

 

______________

See Notes to Financial Statements.

27

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

Common and Preferred Stocks — (continued)

              

 

 

South Africa (0.84%)

 

 

 

 

 

 

 

2,000,000

 

Harmony Gold Mining Company Limited ADR (12)

 

$

31,137,035

 

$

22,080,000

 

2,000,000

 

Gold Fields Limited ADR (12)

 

 

24,328,890

 

 

20,340,000

 

2,750,000

 

Mvelaphanda Resources Limited (12)

 

 

10,310,393

 

 

8,677,653

 

 

 

 

 

 

65,776,318

 

 

51,097,653

 

 

 

South Korea (4.11%)

 

 

 

 

 

 

 

375,000

 

Samsung Electronics Company, Limited Pfd. (15)

 

 

59,352,319

 

 

103,549,666

 

3,000,000

 

Samsung Corporation (15)

 

 

25,131,764

 

 

35,794,946

 

1,000,000

 

KT&G Corporation (2)

 

 

17,983,484

 

 

25,397,367

 

50,000

 

Lotte Confectionery Company, Limited (2)

 

 

18,360,130

 

 

22,201,389

 

2,000,000

 

Daeduck Electronics Company, Limited (15)

 

 

15,482,465

 

 

20,369,029

 

85,000

 

Amorepacific Corporation (2)

 

 

11,330,566

 

 

13,582,904

 

22,950

 

Nam Yang Dairy Products (2)

 

 

4,912,653

 

 

5,814,026

 

28,850

 

Nam Yang Dairy Products Pfd. (2)

 

 

479,094

 

 

2,053,075

 

519,750

 

Daeduck GDS Company, Limited (15)

 

 

2,689,780

 

 

4,916,883

 

250,000

 

The Korea Fund (7)

 

 

4,526,536

 

 

4,887,500

 

600,000

 

Fursys Incorporated (8)

 

 

2,265,593

 

 

4,648,229

 

1,000,000

 

Dong Ah Tire & Rubber Company, Limited (1)

 

 

4,376,945

 

 

3,374,952

 

2,500,000

 

Nexans Korea Limited (c)(8)

 

 

3,043,596

 

 

2,695,274

 

75,000

 

Kukdong Electric Wire Company, Limited (15)

 

 

1,064,588

 

 

1,086,632

 

 

 

 

 

 

170,999,513

 

 

250,371,872

 

 

 

Spain (2.51%)

 

 

 

 

 

 

 

3,425,000

 

Corporacion Financiera Alba SA (7)

 

 

79,650,108

 

 

98,910,595

 

1,775,000

 

Altadis SA (2)

 

 

53,704,903

 

 

50,154,206

 

375,000

 

Uralita SA (8)

 

 

1,957,794

 

 

4,030,778

 

 

 

 

 

135,312,805

 

 

153,095,579

 

 

 

Sweden (0.05%)

 

 

 

 

 

 

 

1,150,000

 

Gorthon Lines AB ‘B’ (c)(16)

 

 

3,311,245

 

 

2,876,506

 

 

 

Switzerland (7.66%)

 

 

 

 

 

 

 

315,000

 

Nestle SA (2)

 

 

71,565,666

 

 

79,725,298

 

29,250

 

Pargesa Holding AG (7)

 

 

62,198,932

 

 

77,867,587

 

505,000

 

Kuehne & Nagel International AG (16)

 

 

28,521,563

 

 

67,024,191

 

5,675

 

Lindt & Spruengli AG (2)

 

 

43,123,034

 

 

63,911,899

 

23,750

 

Lindt & Spruengli AG PC (2)

 

 

17,751,188

 

 

23,640,958

 

______________

See Notes to Financial Statements.

28

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — (continued)

 

 

 

 

 

 

 

 

 

Switzerland — (continued)

 

 

 

 

 

 

 

115,000

 

Schindler Holding PC (a)(8)

 

$

24,723,001

 

$

31,368,880

 

86,500

 

Schindler Holding AG (8)

 

 

24,073,460

 

 

25,296,886

 

13,358

 

Metall Zug PC AG (1)

 

 

19,863,277

 

 

27,830,240

 

151

 

Metall Zug AG (1)

 

 

1,785,742

 

 

2,207,994

 

100,000

 

Kaba Holding AG Reg B (8)

 

 

19,759,617

 

 

19,290,868

 

30,000

 

Edipresse SA (10)

 

 

8,990,830

 

 

15,278,367

 

23,500

 

Sika Finanz AG (9)

 

 

5,018,182

 

 

11,061,384

 

13,750

 

Societe Generale d’Affichage (10)

 

 

5,201,479

 

 

7,586,134

 

21,500

 

Sulzer AG (8)

 

 

2,940,205

 

 

5,574,289

 

7,000

 

Hilti AG (a)(i)(8)

 

 

4,485,845

 

 

4,861,299

 

15,000

 

PubliGroupe SA (a)(10)

 

 

2,207,101

 

 

4,820,788

 

 

 

 

 

 

342,209,122

 

 

467,347,062

 

 

 

Thailand (0.03%)

 

 

 

 

 

 

 

250,000

 

The Oriental Hotel Public Company Limited (1)

 

 

1,152,073

 

 

1,886,792

 

 

 

United Kingdom (4.25%)

 

 

 

 

 

 

 

10,000,000

 

Millennium & Copthorne Hotel Plc (1)

 

 

46,069,521

 

 

59,989,399

 

35,500,000

 

Aggregate Industries Plc (9)

 

 

48,817,615

 

 

55,802,130

 

1,750,000

 

Anglo American Plc (12)

 

 

42,513,968

 

 

35,278,740

 

3,375,000

 

Spirax-Sarco Engineering Plc (8)

 

 

24,400,378

 

 

34,348,482

 

15,000,000

 

Enodis Plc (a)(8)

 

 

12,836,287

 

 

24,510,842

 

2,325,000

 

IMI Plc (8)

 

 

8,432,323

 

 

15,434,171

 

5,000,000

 

McBride Plc (2)

 

 

6,379,400

 

 

11,766,981

 

3,146,000

 

J.Z. Equity Partners, Plc (4)

 

 

5,873,374

 

 

6,979,114

 

2,500,000

 

Vodafone Group Plc (15)

 

 

4,076,165

 

 

6,083,307

 

700,000

 

Marks & Spencer Group Plc (14)

 

 

3,514,843

 

 

3,434,626

 

500,000

 

EMI Group Limited Plc (10)

 

 

1,238,186

 

 

2,291,231

 

100,000

 

Antofagasta Holdings Plc (12)

 

 

274,913

 

 

1,669,579

 

630,000

 

Trans-Siberian Gold Limited (a)(e)(12)

 

 

750,000

 

 

1,359,553

 

1,000,000

 

Royal Doulton Plc (a)(1)

 

 

45,385

 

 

165,182

 

 

 

 

 

 

205,222,358

 

 

259,113,337

 

 

 

United States (2.18%)

 

 

 

 

 

 

 

2,000,000

 

Freeport McMoRan Copper & Gold Inc., Class ‘B’ (12)

 

 

31,810,522

 

 

61,000,000

 

425,000

 

Freeport McMoRan Copper & Gold Inc., Preferred Series ‘C’ (d)(12)

 

 

7,554,601

 

 

17,212,500

 

1,395,000

 

Newmont Mining Corporation Holding Company (12)

 

 

38,329,249

 

 

52,173,000

 

16,500

 

Third Avenue Global Value Fund, L.P. (b)(e)(7)

 

 

1,650,000

 

 

2,569,216

 

 

 

 

 

 

79,344,372

 

 

132,954,716

 

______________

See Notes to Financial Statements.

29

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Common and Preferred Stocks — (continued)

 

 

 

 

 

 

 

 

 

Miscellaneous (0.43%)

 

 

 

 

 

 

 

1,765,000

 

Banco Latinoamericano de Exportaciones SA ADR (c)(4)          

$

26,400,958

 

$

26,122,000

 

 

 

 

Total Common and Preferred Stocks

 

3,350,505,788

 

 

4,412,854,747

 

 

 

 

 

 

 

 

 

 

 

 

Principal
Amount

 

 

 

 

 

 

 

 

 

 

 

Notes, Bonds and Convertible Bonds (7.40%)

 

 

 

 

 

 

 

 

 

Commodity-Linked Notes (2.18%)

 

 

 

 

 

 

$

1,000,000

 

UBS Gold-Linked Note 0% due 5/12/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,242,218

 

 

2,500,000

 

UBS Gold-Linked Note 0% due 5/19/2004 (a)(b)(d)(e)(g)(12)

 

2,500,000

 

 

2,957,257

 

 

1,500,000

 

UBS Gold-Linked Note 0% due 5/28/2004 (a)(b)(d)(e)(g)(12)

 

1,500,000

 

 

1,684,720

 

 

5,000,000

 

UBS Gold-Linked Note 0% due 6/07/2004 (a)(b)(d)(e)(g)(12)

 

5,000,000

 

 

5,278,828

 

 

4,300,000

 

UBS Gold-Linked Note 0% due 7/01/2004 (a)(b)(d)(e)(g)(12)

 

4,300,000

 

 

4,723,961

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 7/16/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,139,655

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 7/26/2004(a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,181,047

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 8/02/2004(a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,180,664

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 8/05/2004(a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,113,339

 

 

1,250,000

 

UBS Gold-Linked Note 0% due 8/20/2004 (a)(b)(d)(e)(g)(12)

 

1,250,000

 

 

1,429,249

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/07/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,021,900

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/08/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

998,815

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/12/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

1,009,764

 

 

1,250,000

 

UBS Gold-Linked Note 0% due 10/22/2004 (a)(b)(d)(e)(g)(12)

 

1,250,000

 

 

1,293,759

 

 

1,500,000

 

UBS Gold-Linked Note 0% due 11/24/2004 (a)(b)(d)(e)(g)(12)

 

1,500,000

 

 

1,518,287

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 11/26/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

961,839

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/03/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

959,801

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/13/2004 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

961,722

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/16/2004 (a)(b)(d)(e)(h)(12)

 

1,000,000

 

 

931,288

 

 

2,000,000

 

UBS Gold-Linked Note 0% due 12/22/2004 (a)(b)(d)(e)(h)(12)

 

2,000,000

 

 

1,781,784

 

 

2,350,000

 

UBS Gold-Linked Note 0% due 1/28/2005 (a)(b)(d)(e)(h)(12)

 

2,350,000

 

 

1,971,167

 

 

1,200,000

 

UBS Gold-Linked Note 0% due 2/04/2005 (a)(b)(d)(e)(g)(12)

 

1,200,000

 

 

1,096,101

 

 

3,000,000

 

UBS Gold-Linked Note 0% due 2/11/2005 (a)(b)(d)(e)(h)(12)

 

3,000,000

 

 

2,619,608

 

 

1,100,000

 

UBS Gold-Linked Note 0% due 2/18/2005(a)(b)(d)(e)(g)(12)

 

1,100,000

 

 

1,043,329

 

 

1,150,000

 

UBS Gold-Linked Note 0% due 2/22/2005 (a)(b)(d)(e)(g)(12)

 

1,150,000

 

 

1,089,636

 

 

1,500,000

 

UBS Gold-Linked Note 0% due 3/09/2005 (a)(b)(d)(e)(h)(12)

 

1,500,000

 

 

1,373,717

 

 

1,250,000

 

UBS Gold-Linked Note 0% due 3/11/2005 (a)(b)(d)(e)(h)(12)

 

1,250,000

 

 

1,202,389

 

 

2,950,000

 

UBS Gold-Linked Note 0% due 3/24/2005 (a)(b)(d)(e)(g)(12)

 

2,950,000

 

 

2,809,004

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 4/29/2005 (a)(b)(d)(e)(h)(12)

 

1,000,000

 

 

939,093

 

 

1,950,000

 

UBS Gold-Linked Note 0% due 5/11/2005 (a)(b)(d)(e)(g)(12)

 

1,950,000

 

 

1,864,823

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 5/16/2005 (a)(b)(d)(e)(g)(12)

 

1,000,000

 

 

967,169

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 3/17/2005 (a)(b)(d)(e)(h)(12)

 

1,000,000

 

 

790,220

 

______________

See Notes to Financial Statements.

30

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Principal
Amount

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Notes, Bonds and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

Commodity-Linked Notes — (continued)

 

 

 

 

 

 

 

$

1,500,000

 

UBS Silver-Linked Note 0% due 3/18/2005 (a)(b)(d)(e)(h)(12)

 

$

1,500,000

 

$

1,150,109

 

 

2,500,000

 

UBS Silver-Linked Note 0% due 3/21/2005 (a)(b)(d)(e)(h)(12)

 

 

2,500,000

 

 

1,822,325

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 3/24/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

670,606

 

 

1,500,000

 

UBS Silver-Linked Note 0% due 3/29/2005(a)(b)(d)(e)(h)(12)

 

 

1,500,000

 

 

1,047,821

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 4/08/2005 (a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

567,968

 

 

1,500,000

 

UBS Silver-Linked Note 0% due 5/06/2005 (a)(b)(d)(e)(h)(12)

 

 

1,500,000

 

 

921,760

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 5/16/2005(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

988,914

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 5/17/2004 (a)(b)(d)(e)(g)(12)

 

 

1,500,000

 

 

1,728,300

 

 

200,000

 

HSBC Gold-Linked Note 0% due 6/04/2004 (a)(b)(d)(e)(g)(12)

 

 

200,000

 

 

220,560

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 6/16/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,089,600

 

 

5,800,000

 

HSBC Gold-Linked Note 0% due 6/21/2004(a)(b)(d)(e)(g)(12)

 

 

5,800,000

 

 

6,589,380

 

 

3,500,000

 

HSBC Gold-Linked Note 0% due 6/25/2004(a)(b)(d)(e)(g)(12)

 

 

3,500,000

 

 

3,811,500

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 6/25/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,103,300

 

 

3,500,000

 

HSBC Gold-Linked Note 0% due 6/28/2004(a)(b)(d)(e)(g)(12)

 

 

3,500,000

 

 

3,890,600

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/01/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,143,900

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/14/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,152,600

 

 

4,000,000

 

HSBC Gold-Linked Note 0% due 7/15/2004(a)(b)(d)(e)(g)(12)

 

 

4,000,000

 

 

4,640,800

 

 

1,800,000

 

HSBC Gold-Linked Note 0% due 7/19/2004(a)(b)(d)(e)(g)(12)

 

 

1,800,000

 

 

2,117,880

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/22/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,155,300

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/22/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,154,200

 

 

2,200,000

 

HSBC Gold-Linked Note 0% due 7/26/2004(a)(b)(d)(e)(g)(12)

 

 

2,200,000

 

 

2,581,920

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/26/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,186,000

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,172,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 7/29/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,134,700

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/06/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,107,600

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/09/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,137,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/11/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,154,000

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/16/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,136,300

 

 

500,000

 

HSBC Gold-Linked Note 0% due 9/06/2004 (a)(b)(d)(e)(g)(12)

 

 

500,000

 

 

516,950

 

 

500,000

 

HSBC Gold-Linked Note 0% due 9/14/2004(a)(b)(d)(e)(g)(12)

 

 

500,000

 

 

517,200

 

 

250,000

 

HSBC Gold-Linked Note 0% due 9/20/2004 (a)(b)(d)(e)(g)(12)

 

 

250,000

 

 

256,450

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 10/07/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

990,800

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 10/12/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,033,700

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 10/12/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,005,500

 

 

500,000

 

HSBC Gold-Linked Note 0% due 10/13/2004(a)(b)(d)(e)(g)(12)

 

 

500,000

 

 

524,800

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 10/29/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

1,065,000

 

 

750,000

 

HSBC Gold-Linked Note 0% due 11/04/2004(a)(b)(d)(e)(g)(12)

 

 

750,000

 

 

748,200

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 11/12/2004(a)(b)(d)(e)(g)(12)

 

 

1,500,000

 

 

1,538,700

 

 

1,360,000

 

HSBC Gold-Linked Note 0% due 11/22/2004(a)(b)(d)(e)(g)(12)

 

 

1,360,000

 

 

1,295,944

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 11/22/2004 (a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

956,100

 

______________

See Notes to Financial Statements.

31

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Principal
Amount

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

 

Notes, Bonds and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

Commodity-Linked Notes — (continued)

 

 

 

 

 

 

 

$

1,000,000

 

HSBC Gold-Linked Note 0% due 11/24/2004(a)(b)(d)(e)(g)(12)

 

$

1,000,000

 

$

959,600

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 11/26/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

958,100

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 11/29/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

963,100

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 11/29/2004(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

961,600

 

 

500,000

 

HSBC Gold-Linked Note 0% due 11/30/2004(a)(b)(d)(e)(g)(12)

 

 

500,000

 

 

487,200

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 12/13/2004(a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

901,000

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 1/19/2005(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

808,000

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 1/28/2005(a)(b)(d)(e)(h)(12)

 

 

2,000,000

 

 

1,759,400

 

 

2,240,000

 

HSBC Gold-Linked Note 0% due 2/10/2005(a)(b)(d)(e)(g)(12)

 

 

2,240,000

 

 

2,095,968

 

 

1,590,000

 

HSBC Gold-Linked Note 0% due 2/25/2005(a)(b)(d)(e)(g)(12)

 

 

1,590,000

 

 

1,442,925

 

 

1,190,000

 

HSBC Gold-Linked Note 0% due 3/04/2005(a)(b)(d)(e)(g)(12)

 

 

1,190,000

 

 

1,119,195

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 3/04/2005(a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

930,500

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 3/10/2005(a)(b)(d)(e)(h)(12)

 

 

1,000,000

 

 

965,000

 

 

588,000

 

HSBC Gold-Linked Note 0% due 3/14/2005(a)(b)(d)(e)(g)(12)

 

 

588,000

 

 

556,072

 

 

1,197,000

 

HSBC Gold-Linked Note 0% due 3/15/2005(a)(b)(d)(e)(g)(12)

 

 

1,197,000

 

 

1,129,489

 

 

1,300,000

 

HSBC Gold-Linked Note 0% due 3/28/2005(a)(b)(d)(e)(g)(12)

 

 

1,300,000

 

 

1,172,340

 

 

2,100,000

 

HSBC Gold-Linked Note 0% due 4/11/2005(a)(b)(d)(e)(g)(12)

 

 

2,100,000

 

 

1,839,810

 

 

2,830,000

 

HSBC Gold-Linked Note 0% due 4/12/2005 (a)(b)(d)(e)(g)(12)

 

 

2,830,000

 

 

2,490,966

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 4/20/2005(a)(b)(d)(e)(g)(12)

 

 

1,000,000

 

 

915,800

 

 

1,263,000

 

HSBC Gold-Linked Note 0% due 5/02/2005(a)(b)(d)(e)(g)(12)

 

 

1,263,000

 

 

1,212,101

 

 

 

 

 

 

 

132,408,000

 

 

132,831,006

 

 

 

 

U.S. Dollar Notes and Bonds (0.28%)

 

 

 

 

 

 

 

 

2,456,000

 

P.T. Pabrik Kertas Tjiwi-Kimia 10% due 8/01/2004(a)(f)(11)

 

 

1,868,854

 

 

896,440

 

 

1,000,000

 

YPF Sociedad Anonima 9 1/8% due 2/24/2009 (3)

 

 

768,825

 

 

1,120,000

 

 

1,000,000

 

United Mexican States 9 7/8% due 2/01/2010 (5)

 

 

1,107,500

 

 

1,226,565

 

 

500,000

 

Vivendi Universal SA 9 1/4% due 4/15/2010 (10)

 

 

500,000

 

 

586,250

 

 

1,000,000

 

Grupo Televisa SA 8% due 9/13/2011 (10)

 

 

980,585

 

 

1,105,000

 

 

5,000,000

 

Fimep SA 10 1/2% due 2/15/2013 (8)

 

 

5,000,000

 

 

5,850,000

 

 

2,000,000

 

Legrand SA 8 1/2% due 2/15/2025 (8)

 

 

2,068,750

 

 

2,117,500

 

 

4,000,000

 

Bangkok Bank Public Company 9.025% due 3/15/2029(a)(b)(4)

 

 

2,609,068

 

 

4,479,296

 

 

 

 

 

 

 

14,903,582

 

 

17,381,051

 

 

 

 

U.S. Dollar Convertible Bonds (0.12%)

 

 

 

 

 

 

 

 

1,020,408

 

Cresud S.A.C.I.F. y A. 8% due 11/14/2007 (2)

 

 

1,020,408

 

 

3,112,244

 

 

4,000,000

 

Amdocs Limited 2% due 6/01/2008 (15)

 

 

3,659,432

 

 

3,995,000

 

 

2,000,000

 

Medya International Limited 10% due 6/28/2049(a)(e)(f)(10)

 

 

1,987,057

 

 

20,000

 

 

 

 

 

 

 

6,666,897

 

 

7,127,244

 

______________

See Notes to Financial Statements.

32

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

           

 

 

Notes, Bonds and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

Non U.S. Dollar Notes and Bonds (4.55%)

 

 

 

 

 

 

 

EUR    

17,541,659

 

Vivendi Universal SA 6.7% due 6/21/2006 (10)

 

$

14,647,463

 

$

22,303,496

 

EUR    

1,500,000

 

Vivendi Universal SA 91/2% due 4/15/2010 (10)

 

 

1,595,648

 

 

2,137,265

 

EUR    

3,750,000

 

Aegis Plc 2% due 5/15/2006 (10)

 

 

3,589,545

 

 

4,675,613

 

EUR    

3,500,000

 

ALSTOM 5% due 7/26/2006 (8)

 

 

3,386,809

 

 

3,910,948

 

AUD    

8,000,000

 

Queensland Treasury Corporation 8% due 9/14/2007 (5)

 

 

4,704,849

 

 

6,115,623

 

SGD    

20,250,000

 

Singapore Government 25/8% due 10/01/2007 (5)

 

 

12,506,887

 

 

12,350,590

 

CAD    

16,500,000

 

Shaw Communications Inc. 7.4% due 10/17/2007 (10)

 

 

10,077,664

 

 

12,797,000

 

HKD    

17,500,000

 

Hong Kong Government 3.57% due 12/17/2007 (5)

 

 

2,348,187

 

 

2,294,494

 

EUR    

16,500,000

 

Koninklijke Ahold NV 57/8% due 5/09/2008 (14)

 

 

13,944,118

 

 

20,414,521

 

GBP     

11,000,000

 

EMI Group Plc 81/4% due 5/20/2008 (10)

 

 

16,634,094

 

 

21,083,973

 

EUR    

7,500,000

 

EMI Group Plc 85/8% due 10/15/2013 (10)

 

 

8,732,420

 

 

10,344,999

 

EUR    

2,500,000

 

EMI Group Plc 85/8% due 10/15/2013 (b)(10)

 

 

2,946,960

 

 

3,448,333

 

EUR    

3,100,000

 

Scandinavian Broadcasting 12% due 6/15/2008 (10)

 

 

3,548,335

 

 

4,271,936

 

SEK     

50,000,000

 

Sweden Government I/L 4.526% due 12/01/2008 (5)

 

 

8,246,872

 

 

8,111,577

 

EUR    

3,000,000

 

Independent News and Media Plc 8% due 12/15/2008 (10)

 

 

3,626,220

 

 

3,774,103

 

EUR    

5,500,000

 

Independent News and Media Plc 53/4% due 5/17/2009 (10)

 

 

5,639,328

 

 

6,388,226

 

EUR    

47,075,373

 

Republic of France O.A.T./i 3% due 7/25/2009 (5)

 

 

56,837,259

 

 

60,825,047

 

EUR    

5,500,000

 

Prosieben Media 111/4% due 7/31/2009 (10)

 

 

5,489,591

 

 

7,974,680

 

MYR   

13,260,000

 

Malaysian Government 4.305% due 2/27/2009 (5)

 

 

3,513,829

 

 

3,513,028

 

EUR    

1,250,000

 

Remy Cointreau SA 61/2% due 7/01/2010 (2)

 

 

1,426,408

 

 

1,537,496

 

EUR    

1,000,000

 

Flowserve Finance B.V. 121/4% due 8/15/2010 (8)

 

 

1,010,034

 

 

1,354,078

 

EUR    

6,250,000

 

Waterford Wedgewood Plc 97/8% due 12/01/2010 (1)

 

 

7,822,560

 

 

7,564,262

 

EUR    

11,050,000

 

Waterford Wedgewood Plc 97/8% due 12/01/2010 (b)(1)

 

 

13,446,283

 

 

13,373,616

 

EUR    

7,500,000

 

The Manitowoc Company, Inc. 103/8% due 5/15/2011 (8)

 

 

8,229,362

 

 

10,020,775

 

GBP     

8,425,000

 

Enodis Plc 103/8% due 4/15/2012 (8)

 

 

13,119,535

 

 

16,909,373

 

EUR    

7,000,000

 

Fimep SA 11% due 2/15/2013 (a)(8)

 

 

7,577,850

 

 

10,044,741

 

           

 

 

 

 

 

234,648,110

 

 

277,539,793

 

           

 

 

Non U.S. Dollar Convertible Bonds (0.27%)

 

 

 

 

 

 

 

EUR    

60,000

 

Havas Advertising 1% due 1/01/2006 (10)

 

 

1,025,035

 

 

1,736,910

 

EUR    

243,500

 

Havas Advertising 4% due 1/01/2009 (10)

 

 

1,986,854

 

 

2,936,474

 

EUR    

84,339

 

Club Mediterranee SA 3% due 11/01/2008 (1)

 

 

4,656,631

 

 

6,569,117

 

NZD    

1,775,277

 

Evergreen Forest Limited 0% due 3/19/2009 (a)(11)

 

 

943,678

 

 

1,481,720

 

EUR    

3,000,000

 

Fregate SAS 2% due 3/31/2013 (i)(7)

 

 

3,620,400

 

 

3,598,049

 

           

 

 

 

 

 

12,232,598

 

 

16,322,270

 

           

 

 

Total Notes, Bonds and Convertible Bonds

 

 

400,859,187

 

 

451,201,364

 

______________

See Notes to Financial Statements.

33

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Short-Term Investments (20.06%)         

 

 

 

 

 

 

 

$

26,747,000

 

American Express Credit Corporation 1.01% due 5/03/2004

 

$

26,745,499

 

$

26,745,499

 

 

20,624,000

 

American Express Credit Corporation 1.02% due 5/06/2004

 

 

20,621,078

 

 

20,621,078

 

 

10,697,000

 

American Express Credit Corporation 1.01% due 5/17/2004

 

 

10,692,198

 

 

10,692,198

 

 

29,980,000

 

American Express Credit Corporation 1.02% due 5/24/2004

 

 

29,960,463

 

 

29,960,463

 

 

25,139,000

 

Honeywell International Inc. 0.97% due 5/03/2004        

 

 

25,137,645

 

 

25,137,645

 

 

30,000,000

 

DuPont Ei Nemour 1.00% due 5/03/2004          

 

 

29,998,333

 

 

29,998,333

 

 

25,000,000

 

DuPont Ei Nemour 1.01% due 5/05/2004          

 

 

24,997,194

 

 

24,997,194

 

 

35,000,000

 

DuPont Ei Nemour 1.00% due 5/06/2004          

 

 

34,995,139

 

 

34,995,139

 

 

8,150,000

 

DuPont Ei Nemour 1.00% due 5/21/2004          

 

 

8,145,472

 

 

8,145,472

 

 

19,476,000

 

ConocoPhilips 1.03% due 5/03/2004     

 

 

19,474,886

 

 

19,474,886

 

 

25,697,000

 

ConocoPhilips 1.06% due 5/03/2004     

 

 

25,695,487

 

 

25,695,487

 

 

25,000,000

 

ConocoPhilips 1.02% due 5/07/2004     

 

 

24,995,750

 

 

24,995,750

 

 

25,139,000

 

Honeywell International Inc. 0.97% due 5/03/2004        

 

 

25,137,645

 

 

25,137,645

 

 

18,991,000

 

Gannett Company Inc. 0.98% due 5/04/2004     

 

 

18,989,449

 

 

18,989,449

 

 

17,668,000

 

Gannett Company Inc. 0.99% due 5/05/2004     

 

 

17,666,057

 

 

17,666,057

 

 

25,000,000

 

Gannett Company Inc. 0.98% due 5/06/2004     

 

 

24,996,597

 

 

24,996,597

 

 

30,000,000

 

Gannett Company Inc. 0.99% due 5/20/2004     

 

 

29,984,325

 

 

29,984,325

 

 

25,000,000

 

Wal-Mart Stores, Inc. 0.99% due 5/04/2004      

 

 

24,997,938

 

 

24,997,938

 

 

25,000,000

 

Wal-Mart Stores, Inc. 0.98% due 5/11/2004      

 

 

24,993,194

 

 

24,993,194

 

 

24,000,000

 

Wal-Mart Stores, Inc. 0.98% due 5/11/2004      

 

 

23,993,467

 

 

23,993,467

 

 

10,206,000

 

Wal-Mart Stores, Inc. 0.99% due 5/11/2004      

 

 

10,203,193

 

 

10,203,193

 

 

14,000,000

 

Wal-Mart Stores, Inc. 0.97% due 6/02/2004      

 

 

13,987,929

 

 

13,987,929

 

 

12,000,000

 

Walt Disney Company 1.08% due 5/04/2004     

 

 

11,998,920

 

 

11,998,920

 

 

2,192,000

 

Walt Disney Company 1.08% due 5/17/2004     

 

 

2,190,948

 

 

2,190,948

 

 

25,000,000

 

Altria Group Inc. 1.47% due 5/05/2004  

 

 

24,995,917

 

 

24,995,917

 

 

15,000,000

 

Nestl’e Capital Corporation 0.98% due 5/05/2004     

 

 

14,998,367

 

 

14,998,367

 

 

30,000,000

 

Nestl’e Capital Corporation 0.98% due 5/17/2004     

 

 

29,986,933

 

 

29,986,933

 

 

27,243,000

 

Nestl’e Capital Corporation 0.98% due 5/21/2004     

 

 

27,228,168

 

 

27,228,168

 

 

19,672,000

 

Nestl’e Capital Corporation 0.97% due 5/24/2004     

 

 

19,659,809

 

 

19,659,809

 

 

1,642,000

 

Nestl’e Capital Corporation 1.01% due 6/08/2004     

 

 

1,640,249

 

 

1,640,249

 

 

24,191,000

 

General Electric Company 0.99% due 5/06/2004           

 

 

24,187,674

 

 

24,187,674

 

 

17,000,000

 

Sara Lee Corporation 1.05% due 5/06/2004       

 

 

16,997,521

 

 

16,997,521

 

 

10,000,000

 

Sara Lee Corporation 1.03% due 5/11/2004       

 

 

9,997,139

 

 

9,997,139

 

 

15,000,000

 

Shell Finance UK Plc 1.00% due 5/06/2004       

 

 

14,997,917

 

 

14,997,917

 

 

35,000,000

 

Shell Finance UK Plc 1.01% due 5/06/2004       

 

 

34,995,090

 

 

34,995,090

 

 

5,000,000

 

Shell Finance UK Plc 1.02% due 6/07/2004       

 

 

4,994,758

 

 

4,994,758

 

 

25,000,000

 

Shell Finance UK Plc 1.01% due 6/18/2004       

 

 

24,966,333

 

 

24,966,333

 

 

25,000,000

 

Procter and Gamble Company 0.97% due 5/07/2004      

 

 

24,995,958

 

 

24,995,958

 

 

45,000,000

 

Procter and Gamble Company 1.00% due 5/10/2004      

 

 

44,988,750

 

 

44,988,750

 

 

30,000,000

 

BMW US Capital Incorporated 1.00% due 5/10/2004     

 

 

29,992,500

 

 

29,992,500

 

______________

See Notes to Financial Statements.

34

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Short-Term Investments — (continued)

 

 

 

 

 

 

 

$

30,000,000

 

Henkel Corporation 1.02% due 5/11/2004

 

$

29,991,500

 

$

29,991,500

 

 

31,466,000

 

RaboBank USA Finance Corporation 0.99% due 5/12/2004

 

 

31,456,482

 

 

31,456,482

 

 

31,936,000

 

RaboBank USA Finance Corporation 0.98% due 5/14/2004

 

 

31,924,698

 

 

31,924,698

 

 

3,000,000

 

Hitachi Limited 1.03% due 5/12/2004

 

 

2,999,056

 

 

2,999,056

 

 

3,500,000

 

Hitachi Limited 1.00% due 5/17/2004

 

 

3,498,444

 

 

3,498,444

 

 

5,000,000

 

Hitachi Limited 1.00% due 5/18/2004

 

 

4,997,639

 

 

4,997,639

 

 

8,000,000

 

Hitachi Limited 1.04% due 6/15/2004

 

 

7,989,600

 

 

7,989,600

 

 

25,000,000

 

The Coca-Cola Company 0.99% due 5/13/2004

 

 

24,991,750

 

 

24,991,750

 

 

11,232,000

 

Exxon Project Investment Corporation 0.96% due 5/17/2004

 

 

11,227,208

 

 

11,227,208

 

 

5,000,000

 

Unilever Capital Corporation 0.97% due 5/17/2004

 

 

4,997,844

 

 

4,997,844

 

 

10,000,000

 

Unilever Capital Corporation 0.99% due 5/17/2004

 

 

9,995,600

 

 

9,995,600

 

 

2,399,000

 

Unilever Capital Corporation 1.00% due 5/24/2004

 

 

2,397,467

 

 

2,397,467

 

 

7,000,000

 

Unilever Capital Corporation 0.99% due 6/01/2004

 

 

6,994,033

 

 

6,994,033

 

 

5,000,000

 

Unilever Capital Corporation 1.00% due 6/07/2004

 

 

4,994,861

 

 

4,994,861

 

 

3,000,000

 

Unilever Capital Corporation 1.00% due 6/14/2004

 

 

2,996,333

 

 

2,996,333

 

 

1,483,000

 

7-Eleven Inc. 1.01% due 5/17/2004

 

 

1,482,334

 

 

1,482,334

 

 

11,000,000

 

7-Eleven Inc. 1.03% due 5/27/2004

 

 

10,991,817

 

 

10,991,817

 

 

20,000,000

 

Caterpillar Financial Services 1.00% due 5/18/2004       

 

 

19,990,556

 

 

19,990,556

 

 

16,520,000

 

Bristol-Myers Squibb 1.01% due 5/19/2004

 

 

16,511,657

 

 

16,511,657

 

 

12,000,000

 

Diageo Capital Plc 1.00% due 5/25/2004

 

 

11,992,000

 

 

11,992,000

 

 

14,740,000

 

Bayer Corporation 1.07% due 6/03/2004

 

 

14,725,543

 

 

14,725,543

 

 

43,378,000

 

Knight-Ridder, Inc. 1.01% due 6/08/2004

 

 

43,331,754

 

 

43,331,754

 

 

14,599,000

 

Knight-Ridder, Inc. 0.99% due 6/14/2004

 

 

14,581,335

 

 

14,581,335

 

 

16,250,000

 

Knight-Ridder, Inc. 1.02% due 6/16/2004

 

 

16,228,821

 

 

16,228,821

 

 

9,250,000

 

Knight-Ridder, Inc. 1.02% due 6/17/2004

 

 

9,237,682

 

 

9,237,682

 

 

30,000,000

 

General Electric Capital Corporation 1.04% due 6/22/2004

 

 

29,954,933

 

 

29,954,933

 

 

17,985,000

 

General Electric Capital Corporation 1.04% due 6/22/2004

 

 

17,957,983

 

 

17,957,983

 

 

 

 

Total Short-Term Investments

 

 

1,223,523,174

 

 

1,223,523,174

 

 

 

 

Total Investments (99.82%)

 

$

4,974,888,149

*

 

6,087,579,285

**

 

 

 

Other assets in excess of liabilities (0.18%)

 

 

 

 

 

11,250,594

 

 

 

 

Net Assets (100.00%)

 

 

 

 

$

6,098,829,879

 

______________

  *

At April 30, 2004 cost is substantially identical for both book and federal income tax purposes.

**

Gross unrealized appreciation and depreciation of securities at April 30, 2004 were $1,164,562,299 and $51,871,163, respectively (net appreciation was $1,112,691,136).

______________

See Notes to Financial Statements.

35

FIRST EAGLE OVERSEAS FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Foreign Currencies

 

Sector/Industry Classifications

 

AUD  —Australian dollar

 

(1) Consumer Discretionary

 

(10) Media

 

CAD  —Canadian dollar

 

(2) Consumer Staples

 

(11) Paper and Forest Products

 

EUR  —euro

 

(3) Energy

 

(12) Precious Metals

 

GBP  —pound sterling

 

(4) Financials

 

(13) Real Estate

 

HKD  —Hong Kong dollar

 

(5) Government Issues

 

(14) Retail

 

MYR  —Malaysian ringgit

 

(6) Health Care

 

(15) Technology and Telecommunications

 

NZD  —New Zealand dollar

 

(7) Holding Companies

 

(16) Transportation

 

SEK  —Swedish krona

 

(8) Industrials

 

(17) Utilities

 

SGD  —Singapore dollar

 

(9) Materials

 

 

 

______________

(a)

Non-income producing security.

(b)

All or a portion of the security is exempt from registration under the Securities Act of 1933 and may only be sold to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.

(c)

Affiliate as defined by the Investment Company Act of 1940. An affiliate is defined as a company in which the Fund directly or indirectly owns, controls, or holds power to vote 5% or more of the outstanding voting securities. Following is a summary of transactions with each such affiliate for the six-months ended April 30, 2004.

 

 

 

Purchases

 

Dividend
Income

Affiliate

 

Shares

 

Cost

 

Aida Engineering, Limited.

 

849,500

 

$

3,082,456

 

$

280,940

Banco Latinoamericano de Exportaciones SA ADR.

 

1,190,000

 

 

20,602,136

 

 

162,500

Crométal SA.

 

—

 

 

—

 

 

—

Deceuninck

 

308,108

 

 

10,045,211

 

 

—

Gaumont SA

 

104,761

 

 

5,853,800

 

 

—

Gorthon Lines AB ’B’

 

75,000

 

 

190,132

 

 

126,862

Haw Par Corporation Limited.

 

4,147,850

 

 

11,464,514

 

 

—

Laurent-Perrier.

 

108,754

 

 

3,861,028

 

 

—

Nexans Korea Limited

 

1,250,000

 

 

1,516,116

 

 

43,653

Nitto Kohki Company, Limited

 

834,950

 

 

13,920,941

 

 

241,444

Pfeiffer Vacuum Technology AG.

 

75,000

 

 

2,941,004

 

 

—

PT Bat Indonesia Tbk

 

4,000,000

 

 

4,249,453

 

 

—

Robertet SA.

 

987

 

 

108,080

 

 

—

Sansei Yusoki Company, Limited

 

1,000,000

 

 

8,885,636

 

 

94,159

Shaw Brothers (Hong Kong) Limited.

 

900,000

 

 

991,659

 

 

128,369

Shoei Company, Limited

 

75,000

 

 

843,478

 

 

173,249

Société Française des Papiers Peints

 

—

 

 

—

 

 

—

Société Sucrière de Pithiviers-le Vieil.

 

—

 

 

—

 

 

599,150

United Services Group NV

 

325,000

 

 

5,908,493

 

 

—

(d)

Commodity-linked security whereby the coupon, dividend and/or redemption amount is linked to the price of an underlying commodity.

(e)

Security for which there are less than three market makers.

(f)

In default as to principal and interest.

(g)

Leveraged 11/2 to 1

(h)

Leveraged 2 to 1

(i)

Restricted security priced at fair value by the Valuation Committee of the Board of Trustees. Represents interest in a security which has not been registered with the Securities and Exchange Commission under the Securities Act of 1933. Information concerning each restricted security holding on April 30, 2004 is shown below.

 

Security

 

Acquisition Date

 

Cost

FINEL

 

7/14/99

 

 

$

2,277,010

Fregate SAS 2% due 3/31/2013

 

4/13/04

 

 

 

3,620,400

Hilti AG

 

11/30/01

 

 

 

4,485,845

______________

See Notes to Financial Statements.

36

 

FUND OVERVIEW

 

FIRST EAGLE U.S. VALUE FUND

Data as of April 30, 2004 (unaudited)

 

THE INVESTMENT STYLE

 

AVERAGE ANNUAL RETURNS

 

 

 

 

 

 

 

The First Eagle U.S. Value Fund seeks long-term growth of capital by investing primarily in equities issued by U.S. corporations. The Fund will consist of mostly small and medium size U.S. companies. Management utilizes a highly disciplined, bottom-up, value approach in achieving its investment objective.

 

 

ONE-YEAR

SINCE INCEPTION

 

First Eagle U.S. Value Fund (A Shares)

(9-04-01)

 

without sales load

27.30%

14.64

%

 

with sales load

20.93%

12.46

%

 

Russell 2000 Index

42.01%

8.49

%

 

Standard & Poor’s 500 Index

22.88%

0.80

%

 


Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses. The average annual returns for Class A Shares with a sales load gives effect to the deduction of the maximum sales load of 5.00%. The Russell 2000 Index is an unmanaged index that measures the performance of the 2,000 smallest companies in the Russell 3000 Index and is not available for purchase. The Standard & Poor’s 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy. Although the Standard & Poor’s 500 Index focuses on the large-cap segment of the market, with over 80% coverage of U.S. equities, it is also considered a proxy for the total market.

 

 

 

ASSET ALLOCATION

 

TOP 10 HOLDINGS

U.S. Dollar Bonds

12.82%

Commodity-Linked
Notes

2.70%

U.S. Dollar
Cash and
Equivalents

24.83%

Foreign Stocks
3.21%

U.S. Stocks

56.44%

 

Liberty Media Corporation (media company)

3.02%

 

Berkshire Hathaway Inc. (holding company)

2.87%

 

Rayonier Inc. (forest products)

2.66%

 

Costco Wholesale Corporation (multiline retail)

2.59%

 

The Sherwin-Williams Company (paint supply company)

2.48%

 

Burlington Resources, Inc. (oil and gas production)

2.32%

 

CalEnergy Capital Trust 61/2% Conv. Pfd. (energy company)

2.14%

 

Consol Energy Inc. (energy company)

1.98%

 

Deltic Timber Corporation (forest products)

1.96%

 

UniFirst Corporation (uniform company)

1.81%

TOP 5 SECTORS

 

 

 

Industrials

12.77%

 

 

 

Retail

9.46%

 

 

 

Energy

7.48%

 

 

 

Paper & Forest Products

7.33%

 

 

 

Consumer Discretionary

7.22%

 

 

 

The Fund’s portfolio composition is subject to change at any time.

 

 

 

 

37

FIRST EAGLE U.S. VALUE FUND

SCHEDULE OF INVESTMENTS
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — U.S. (56.44%)

 

 

 

 

 

 

 

 

 

Consumer Discretionary (4.82%)

 

 

 

 

 

 

 

65,000

 

Papa John’s International Inc. (a)

 

$

1,725,887

 

$

2,174,250

 

55,000

 

McDonald’s Corporation

 

 

816,328

 

 

1,497,650

 

35,000

 

Hampshire Group, Limited (a)

 

 

1,171,963

 

 

1,044,820

 

30,000

 

Furniture Brands International

 

 

665,422

 

 

844,200

 

8,000

 

Allen Organ Company, Class ‘B’

 

 

307,040

 

 

380,000

 

10,000

 

Weyco Group, Inc.

 

 

197,725

 

 

324,500

 

600

 

St. John Knits International Inc. (a)

 

 

18,600

 

 

18,150

 

 

 

 

 

 

4,902,965

 

 

6,283,570

 

 

 

Consumer Staples (0.93%)

 

 

 

 

 

 

 

12,000

 

Altria Group Inc.

 

 

480,416

 

 

664,560

 

28,800

 

Seneca Food Corporation (a)

 

 

422,064

 

 

553,104

 

 

 

 

 

 

902,480

 

 

1,217,664

 

 

 

Energy (6.88%)

 

 

 

 

 

 

 

45,000

 

Burlington Resources, Inc.

 

 

1,952,675

 

 

3,027,150

 

90,000

 

CONSOL Energy, Inc.

 

 

1,925,717

 

 

2,576,700

 

50,000

 

SEACOR Holdings Inc. (a)

 

 

1,920,152

 

 

2,074,000

 

18,000

 

ConocoPhillips

 

 

1,029,193

 

 

1,283,400

 

 

 

 

 

 

6,827,737

 

 

8,961,250

 

 

 

Financials (0.45%)

 

 

 

 

 

 

 

35,000

 

Interpool Inc. (a)

 

 

575,519

 

 

582,750

 

 

 

 

 

 

 

 

 

 

 

 

 

Health Care (2.59%)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

75,000

 

Schering - Plough Corporation

 

 

1,654,624

 

 

1,254,750

 

20,000

 

DENTSPLY International Inc.

 

 

580,150

 

 

969,200

 

30,000

 

Sola International Inc. (a)

 

 

521,660

 

 

615,600

 

10,000

 

Johnson & Johnson, Inc.

 

 

541,140

 

 

540,300

 

 

 

 

 

 

3,297,574

 

 

3,379,850

 

 

 

Holding Companies (3.65%)

 

 

 

 

 

 

 

40

 

Berkshire Hathaway Inc., Class ‘A’ (a)

 

 

2,796,317

 

 

3,735,600

 

557

 

Case Pomeroy & Company, Inc. Class ‘A’

 

 

538,848

 

 

732,455

 

5,000

 

Loews Corporation

 

 

223,725

 

 

290,050

 

 

 

 

 

 

3,558,890

 

 

4,758,105

 

 

 

Industrials (8.20%)

 

 

 

 

 

 

 

80,000

 

UniFirst Corporation

 

 

1,394,750

 

 

2,360,000

 

85,000

 

Tyco International Limited

 

 

1,186,970

 

 

2,333,250

 

50,000

 

Banta Corporation

 

 

1,867,267

 

 

2,224,000

 

60,000

 

Waste Management Inc.

 

 

1,477,143

 

 

1,704,000

 

__________________

See Notes to Financial Statements.

38

FIRST EAGLE U.S. VALUE FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note1)

 

Value
(Note1)

 

 

 

Common and Preferred Stocks — U.S. — (continued)

 

 

 

 

 

 

 

 

 

Industrials—(continued)

 

 

 

 

 

 

 

25,000

 

SPX Corporation

 

$

1,221,884

 

$

1,108,750

 

15,000

 

Franklin Electric Company, Inc.

 

 

570,590

 

 

903,900

 

5,000

 

Hardinge Inc.

 

 

54,150

 

 

59,900

 

 

 

 

 

 

7,772,754

 

 

10,693,800

 

 

 

Materials (0.15%)

 

 

 

 

 

 

 

426

 

Central Steel and Wire Company

 

 

167,885

 

 

191,700

 

 

 

 

 

 

 

 

 

 

 

 

 

Media (5.42%)

 

 

 

 

 

 

 

360,000

 

Liberty Media Corporation (a)

 

 

3,564,730

 

 

3,938,400

 

50,000

 

Valassis Communications, Inc. (a)

 

 

1,415,872

 

 

1,545,000

 

44,392

 

The DIRECTV Group, Inc. (a)

 

 

570,280

 

 

794,617

 

50,000

 

The Interpublic Group of Companies, Inc. (a)

 

 

867,660

 

 

784,500

 

 

 

 

 

 

6,418,542

 

 

7,062,517

 

 

 

Paper and Forest Products (6.41%)

 

 

 

 

 

 

 

89,025

 

Rayonier Inc.

 

 

2,753,947

 

 

3,471,975

 

75,000

 

Deltic Timber Corporation

 

 

2,215,101

 

 

2,550,750

 

40,000

 

Plum Creek Timber Company, Inc.

 

 

921,473

 

 

1,182,400

 

110,000

 

Longview Fibre Company

 

 

1,152,292

 

 

1,152,800

 

 

 

 

 

 

7,042,813

 

 

8,357,925

 

 

 

Precious Metals (2.28%)

 

 

 

 

 

 

 

55,000

 

Newmont Mining Corporation Holding Company

 

 

1,032,985

 

 

2,057,000

 

30,000

 

Freeport McMoRan Copper & Gold Inc., Class ‘B’

 

 

346,097

 

 

915,000

 

 

 

 

 

 

1,379,082

 

 

2,972,000

 

 

 

Real Estate (0.07%)

 

 

 

 

 

 

 

1,595

 

ProLogis Trust 8.54% Pfd. Series ‘C’ (a)

 

 

82,039

 

 

93,158

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail (8.13%)

 

 

 

 

 

 

 

90,000

 

Costco Wholesale Corporation

 

 

2,744,451

 

 

3,370,500

 

85,000

 

The Sherwin-Williams Company

 

 

2,314,385

 

 

3,234,250

 

135,000

 

Payless Shoesource, Inc. (a)

 

 

2,200,490

 

 

1,910,250

 

70,000

 

Dillard’s Inc., Class `A’

 

 

1,035,879

 

 

1,178,100

 

40,000

 

Hancock Fabrics, Inc.

 

 

490,732

 

 

594,400

 

10,000

 

May Department Stores Company

 

 

293,498

 

 

308,000

 

 

 

 

 

 

9,079,435

 

 

10,595,500

 

 

 

Technology and Telecommunications (1.77%)

 

 

 

 

 

 

 

25,000

 

Telephone & Data Systems, Inc.

 

 

1,428,098

 

 

1,649,000

 

35,000

 

American Power Conversion Corporation

 

 

407,250

 

 

653,100

 

 

 

 

 

 

1,835,348

 

 

2,302,100

 

______________

See Notes to Financial Statements.

39

FIRST EAGLE U.S. VALUE FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number of
Shares

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks — U.S. — (continued)

 

 

 

 

 

 

 

 

 

Utilities (4.69%)

 

 

 

 

 

 

 

58,100

 

CalEnergy Capital Trust 61/2 % Conv. Pfd.

 

$

2,380,237

 

$

2,788,800

 

60,000

 

IDACORP, Inc.

 

 

1,541,211

 

 

1,779,000

 

20,000

 

Hawaiian Electric Industries, Inc.

 

 

845,477

 

 

995,200

 

20,000

 

Kaneb Services LLC

 

 

368,775

 

 

549,000

 

 

 

 

 

 

5,135,700

 

 

6,112,000

 

 

 

Common Stocks-Non U.S. (3.21%)

 

 

 

 

 

 

 

 

 

Canada (0.60%)

 

 

 

 

 

 

 

20,000

 

EnCana Corporation (3)

 

 

549,956

 

 

784,400

 

 

 

Netherlands (1.33%)

 

 

 

 

 

 

 

225,000

 

Koninklijke Ahold NV (a)(11)

 

 

1,890,299

 

 

1,741,728

 

 

 

United Kingdom (1.28%)

 

 

 

 

 

 

 

750,000

 

J.Z. Equity Partners, Plc (4)

 

 

1,499,247

 

 

1,663,807

 

 

 

Total Common and Preferred Stocks

 

 

62,918,265

 

 

77,753,824

 

 

 

 

 

 

 

 

 

 

 

Principal
Amount

 

 

 

 

 

 

 

 

 

 

 

Notes, Bonds and Convertible Bond (15.52%)

 

 

 

 

 

 

 

 

 

Gold-Linked Notes (2.70%)

 

 

 

 

 

 

 

$1,000,000

 

UBS Gold-Linked Note 0% due 5/12/2004 (a)(b)(c)(d)(e)(9)

 

 

1,000,000

 

 

1,242,218

 

1,000,000

 

HSBC Gold-Linked Note 0% due 6/28/2004 (a)(b)(c)(d)(e)(9)

 

 

1,000,000

 

 

1,108,300

 

500,000

 

HSBC Gold-Linked Note 0% due 8/09/2004 (a)(b)(c)(d)(e)(9)

 

 

500,000

 

 

558,950

 

700,000

 

HSBC Gold-Linked Note 0% due 4/12/2005 (a)(b)(c)(d)(e)(9)

 

 

700,000

 

 

616,140

 

 

 

 

 

 

3,200,000

 

 

3,525,608

 

 

 

U.S. Dollar Notes and Bonds (12.63%)

 

 

 

 

 

 

 

670,000

 

Blount International Inc. 7% due 6/15/2005 (6)

 

 

629,581

 

 

700,150

 

1,330,000

 

Blount International Inc. 13% due 8/01/2009 (6)

 

 

767,227

 

 

1,443,050

 

1,089,000

 

Columbus McKinnon Corporation 81/2 % due 4/01/2008 (6)

 

 

864,373

 

 

1,012,770

 

1,000,000

 

Columbus McKinnon Corporation 10% due 8/01/2010 (b)(6)

 

 

1,022,500

 

 

1,065,000

 

500,000

 

Winn-Dixie Stores Inc. 8 7/8 % due 4/01/2008 (2)

 

 

438,235

 

 

457,500

 

2,400,000

 

Level 3 Communications, Inc. 91/8 % due 5/01/2008 (12)

 

 

1,558,011

 

 

1,728,000

 

525,000

 

Longview Fibre Company 10% due 1/15/2009 (8)

 

 

556,375

 

 

574,875

 

250,000

 

Crescent Real Estate Equities Company 91/4 % due 4/15/2009 (10)

 

 

250,000

 

 

277,500

 

______________

See Notes to Financial Statements.

40

FIRST EAGLE U.S. VALUE FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

 

Notes, Bonds and Convertible Bond — (continued)

 

 

 

 

 

 

 

 

 

 

U.S. Dollar Notes and Bonds — (continued)

 

 

 

 

 

 

 

$

500,000

 

American Standard Companies Inc. 81/4% due 6/01/2009 (6)

 

$

530,000

 

$

577,500

 

 

1,075,000

 

GATX Corporation 87/8% due 6/12/2009 (4)

 

 

1,014,375

 

 

1,227,093

 

 

500,000

 

Jostens, Inc. 123/4% due 5/01/2010 (1)

 

 

558,375

 

 

565,000

 

 

250,000

 

Jostens, Inc. 101/4% due 12/01/2013 (1)

 

 

153,161

 

 

168,750

 

 

995,000

 

Flowserve Finance B.V. 121/4% due 8/15/2010 (6)

 

 

1,130,322

 

 

1,149,225

 

 

1,000,000

 

Briggs & Stratton Corporation 87/8% due 3/15/2011 (1)

 

 

1,062,000

 

 

1,190,000

 

 

850,000

 

Steinway Musical Instruments 81/4% due 4/15/2011 (1)

 

 

859,750

 

 

926,500

 

 

1,310,000

 

Texas Industries, Inc. 101/4% due 6/15/2011 (7)

 

 

1,370,313

 

 

1,493,400

 

 

250,000

 

Domino's Inc. 81/4% due 7/01/2011 (1)

 

 

248,334

 

 

271,250

 

 

550,000

 

Potlatch Corporation 10% due 7/15/2011 (8)

 

 

592,063

 

 

621,500

 

 

125,000

 

R.H. Donnelley Finance 107/8% due 12/15/2012 (b)(4)

 

 

125,000

 

 

149,375

 

 

250,000

 

Elizabeth Arden Inc. 73/4% due 1/15/2014 (b)(2)

 

 

250,000

 

 

259,688

 

 

600,000

 

Bausch and Lomb Inc. 71/8% due 8/01/2028 (5)

 

 

505,277

 

 

605,876

 

 

 

 

 

 

 

14,485,272

 

 

16,464,002

 

 

 

 

U.S. Dollar Convertible Bond (0.19%)

 

 

 

 

 

 

 

 

250,000

 

SCI Systems Inc. 3% due 3/15/2007 (12)

 

 

173,755

 

 

241,563

 

 

 

 

Total Notes, Bonds and Convertible Bond

 

 

17,859,027

 

 

20,231,173

 

 

 

 

Short-Term Investments (23.47%)

 

 

 

 

 

 

 

 

6,573,000

 

American Express Credit Corporation 0.90% due 5/03/2004

 

 

6,572,671

 

 

6,572,671

 

 

3,548,000

 

American Express Credit Corporation 1.02% due 5/07/2004

 

 

3,547,397

 

 

3,547,397

 

 

6,573,000

 

ConocoPhillips 1.06% due 5/03/2004

 

 

6,572,613

 

 

6,572,613

 

 

1,285,000

 

Wal-Mart Stores, Inc. 0.95% due 5/03/2004

 

 

1,284,929

 

 

1,284,929

 

 

8,318,000

 

Wal-Mart Stores, Inc. 0.95% due 5/04/2004

 

 

8,317,341

 

 

8,317,341

 

 

4,300,000

 

General Electric Capital Corporation 1.04% due 6/22/2004

 

 

4,293,540

 

 

4,293,540

 

 

 

 

Total Short-Term Investments

 

 

30,588,491

 

 

30,588,491

 

 

 

 

Total Investments (98.64%)

 

$

111,365,783

* 

 

128,573,488

**

 

 

 

Other assets in excess of liabilities (1.36%)

 

 

 

 

 

1,772,500

 

 

 

 

Net Assets (100.00%)

 

 

 

 

$

130,345,988

 

______________

   *

At April 30, 2004 cost is substantially identical for both book and federal income tax purposes.

**

Gross unrealized appreciation and depreciation of securities at April 30, 2004 were $18,454,977 and $1,247,272, respectively (net appreciation was $17,207,705).

______________

See Notes to Financial Statements.

41

FIRST EAGLE U.S. VALUE FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Sector/Industry Classifications

(1) Consumer Discretionary

(2) Consumer Staples

(3) Energy

(4) Financials

(5) Health Care

(6) Industrials

(7) Materials

(8) Paper and Forest Products

(9) Precious Metals

(10) Real Estate

(11) Retail

(12) Technology and Telecommunications
 

 

 

(a)

Non-income producing security.

(b) All or a portion of the security is exempt from registration under the Securities Act of 1933 and may only be sold to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.
(c) Commodity-linked security whereby the coupon, dividend and/or redemption amount is linked to the price of an underlying commodity.
(d) Security for which there are less than three market makers.
(e) Leveraged 11/2 to 1
   

______________

See Notes to Financial Statements.

42

 

FUND OVERVIEW

 

FIRST EAGLE GOLD FUND

Data as of April 30, 2004 (unaudited)

THE INVESTMENT STYLE

 

 AVERAGE ANNUAL RETURNS

 

 

 

 

 

 

The First Eagle Gold Fund is a non-diversifed fund whose investment objective is to provide exposure to the investment characteristics of gold and, to a limited extent, other precious metals. To achieve its objective, the Fund invests primarily in securities of companies engaged in mining, processing, dealing in or holding gold or other precious metals such as silver, platinum and palladium, both in the United States and in foreign countries.

 

 

 ONE-YEAR 

 FIVE-YEARS 

 TEN-YEARS 

 

First Eagle Gold Fund (A Shares)

 

without sales load

24.38

%

21.36

%

5.47

%

 

with sales load

18.16

%

20.43

%

5.06

%

 

FT Gold Mines Index

24.83

%

6.27

%

(3.13

%)

 

MSCI World Index

29.45

%

(2.12

%)

6.81

%

 

Consumer Price Index

2.29

%

2.48

%

2.45

%

GROWTH OF A $10,000 INITIAL INVESTMENT

4/94

4/95

4/97

4/98

4/99

4/00

4/01

4/02

4/03

4/04

$19,323

$16,450

$12,745

FT Gold Mines Index

MSCI World Index

Consumer Price Index

$7,276

First Eagle Gold Fund

$25,000

20,000

15,000

10,000

5,000

0

4/96

`

 

 

 

 

 

 

ASSET ALLOCATION

 

Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The average annual returns shown above are historical and reflect changes in share price, reinvested dividends and are net of expenses. The average annual returns for Class A Shares with a sales load give effect to the deduction of the maximum sales load of 3.75% for periods prior to March 1, 2000 and of 5.00%, thereafter. The MSCI World Index is a widely followed, unmanaged group of stocks from 23 international markets and is not available for purchase. It is a trademark of Morgan Stanley Capital International SA in Geneva, Switzerland. The FT Gold Mines Index is an unmanaged index composed of 32 gold mining companies and is only available without dividends reinvested and is not available for purchase .The Consumer Price Index (CPI) represents the change in price of all goods and services purchased for consumption by urban households.

U.S. Stocks

14.08%

Commodities

13.30%

U.S. Dollar

Bonds

0.85%

Commodity
-Linked
Notes
11.05%

U.S. Dollar Cash

and Equivalents

4.18%

Foreign Stocks

56.54%

 

 

 

 

 

 

 

 

 

 

 

TOP 5 COUNTRIES

 

TOP 10 HOLDINGS

United States

38.55%

 

Gold Bullion (United States)

11.95%

Canada

28.99%

 

Newmont Mining Corporation Holding Company (United States)

8.45%

South Africa

16.72%

 

Industrias Peñoles, (Mexico)

6.07%

Mexico

6.07%

 

HSBC Gold-Linked Notes (United States)

5.76%

Latin America

2.08%

 

UBS Gold-Linked Notes (United States)

5.03%

The Fund’s portfolio composition is subject to change at any time.

 

Freeport McMoRan Copper & Gold, Inc. (CS & Pfd.) (United States)

4.95%

 

Placer Dome Inc. (Canada)

4.76%

 

 

Harmony Gold Mining Company Limited ADR (South Africa)

4.60%

 

 

Gold Fields Limited ADR (South Africa)

4.40%

 

 

AngloGold Ashanti Limited ADR (South Africa)

4.15%

43

FIRST EAGLE GOLD FUND

SCHEDULE OF INVESTMENTS
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common and Preferred Stocks and Warrants (70.62%)

 

 

 

 

 

 

 

 

 

Canada (28.99%)

 

 

 

 

 

 

 

1,675,000

 

Placer Dome Inc.

 

$

21,569,520

 

$

23,450,000

 

2,500,000

 

IAMGOLD Corporation

 

 

9,176,474

 

 

12,117,231

 

435,000

 

Aber Diamond Corporation (a)

 

 

12,356,590

 

 

12,037,556

 

2,025,000

 

Kinross Gold Corporation (a)

 

 

11,828,582

 

 

11,180,258

 

845,000

 

Pan American Silver Corporation (a)(b)

 

 

7,739,202

 

 

11,127,267

 

450,000

 

Barrick Gold Corporation

 

 

7,344,981

 

 

8,653,500

 

500,000

 

Glamis Gold Limited (a)

 

 

3,673,894

 

 

7,200,000

 

700,000

 

Meridian Gold Inc. (a)

 

 

9,040,532

 

 

7,046,243

 

2,700,000

 

Wheaton River Minerals Limited (a)(b)

 

 

2,782,391

 

 

6,917,771

 

262,500

 

Wheaton River Minerals Limited Warrants (a)(b)

 

 

—

 

 

364,064

 

555,000

 

Agnico-Eagle Mines Limited

 

 

7,385,480

 

 

6,726,600

 

1,625,000

 

Dundee Precious Metals, Inc., Class `A’ (a)

 

 

6,530,686

 

 

6,701,887

 

3,500,000

 

Miramar Mining Corporation (a)

 

 

3,283,139

 

 

5,135,224

 

3,500,000

 

Aurizon Mines Limited (a)

 

 

3,966,340

 

 

3,832,257

 

750,000

 

Golden Star Resources Limited (a)(b)

 

 

970,106

 

 

3,337,500

 

2,425,000

 

Apollo Gold Corporation (a)(c)

 

 

4,765,369

 

 

3,695,687

 

275,000

 

Goldcorp Inc.

 

 

1,063,853

 

 

3,085,332

 

750,000

 

Richmont Mines, Inc. (a)

 

 

2,412,097

 

 

2,584,036

 

1,000,000

 

Eldorado Gold Corporation (a)

 

 

3,326,846

 

 

2,500,000

 

2,000,000

 

Guinor Gold Warrants (a)(b)

 

 

1,565,122

 

 

1,649,695

 

800,000

 

Cumberland Resources (a)

 

 

1,675,699

 

 

1,092,011

 

700,000

 

Wesdome Gold Mines Inc. (a)

 

 

587,697

 

 

868,645

 

350,000

 

Wesdome Gold Mines Inc. Warrants (a)

 

 

—

 

 

72,813

 

350,000

 

Northern Orion Resources Inc. (a)

 

 

1,017,312

 

 

771,561

 

450,000

 

Metallica Resources Inc. (a)

 

 

806,386

 

 

591,263

 

 

 

 

 

 

124,868,298

 

 

142,738,401

 

 

 

Latin America (2.08%)

 

 

 

 

 

 

 

625,000

 

Apex Silver Mines Limited (a)

 

 

9,570,425

 

 

10,225,000

 

 

 

Mexico (6.07%)

 

 

 

 

 

 

 

6,825,000

 

Industrias Penoles, S.A. de C.V.

 

 

13,715,467

 

 

29,910,597

 

 

 

South Africa (16.72%)

 

 

 

 

 

 

 

2,050,000

 

Harmony Gold Mining Company Limited ADR

 

 

27,786,908

 

 

22,632,000

 

2,132,499

 

Gold Fields Limited ADR

 

 

25,458,965

 

 

21,687,525

 

650,000

 

AngloGold Ashanti Limited ADR

 

 

24,611,308

 

 

20,423,000

 

155,000

 

Impala Platinum Holdings Limited

 

 

9,880,330

 

 

10,522,071

 

1,350,000

 

Mvelaphanda Resources Limited (a)

 

 

5,286,416

 

 

4,259,939

 

335,000

 

Randgold and Exploration Company Limited ADR (a)

 

 

3,001,930

 

 

2,713,500

 

1,500,000

 

JCI Limited (a)

 

 

213,392

 

 

96,773

 

 

 

 

 

 

96,239,249

 

 

82,334,808

 

______________

See Notes to Financial Statements.


44

FIRST EAGLE GOLD FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note1)

 

Value
(Note1)

 

 

 

Common and Preferred Stocks and Warrants — (continued)

 

 

 

 

 

 

 

 

 

Sweden (1.28%)

 

 

 

 

 

 

 

8,150,000

 

Riddarhyttan Resources AB (a)(c)

 

$

6,478,701

 

$

6,297,145

 

 

 

United States (14.08%)

 

 

 

 

 

 

 

3,430,375

 

Newmont Mining Corporation Holding Company

 

 

32,563,271

 

 

41,632,072

 

455,000

 

Freeport McMoRan Copper & Gold Inc., Class ‘B’

 

 

10,562,373

 

 

13,877,500

 

207,500

 

Freeport McMoRan Copper & Gold Inc., Preferred Series ‘C’ (d)

 

 

5,577,268

 

 

8,403,750

 

215,500

 

Freeport McMoRan Copper & Gold Inc., Preferred Series ‘D’ (d)

 

 

1,760,012

 

 

2,070,955

 

200,000

 

Royal Gold, Inc.

 

 

2,603,994

 

 

2,456,000

 

300,000

 

Canyon Resources Corporation (a)

 

 

1,003,323

 

 

903,000

 

 

 

 

 

 

54,070,241

 

 

69,343,277

 

 

 

United Kingdom (1.22%)

 

 

 

 

 

 

 

275,000

 

Anglo American Plc

 

 

6,728,229

 

 

5,543,802

 

210,000

 

Trans-Siberian Gold Limited (a)(e)

 

 

250,000

 

 

453,184

 

 

 

 

 

 

6,978,229

 

 

5,996,986

 

 

 

Miscellaneous (0.18%)

 

 

 

 

 

 

 

55,000

 

Randgold Resources Limited ADR (a)

 

 

1,162,286

 

 

919,050

 

 

 

Total Common and Preferred Stocks and Warrants

 

 

313,082,896

 

 

347,765,264

 

 

Ounces

 

 

 

 

 

 

 

 

 

Commodities (13.30%)

 

 

 

 

 

151,990

 

Gold bullion (a)

 

55,736,048

 

58,820,033

 

1,104,181

 

Silver bullion (a)

 

7,748,830

 

6,680,296

 

 

 

 

63,484,878

 

65,500,329

 

 

Principal
Amount

 

 

 

 

 

 

 

 

 

 

Notes and Convertible Bonds (11.90%)

 

 

 

 

 

 

 

 

Commodity-Linked Notes (11.05%)

 

 

 

 

 

$

250,000

 

UBS Gold-Linked Note 0% due 5/12/2004 (a)(b)(d)(e)(f)

 

250,000

 

310,555

 

 

500,000

 

UBS Gold-Linked Note 0% due 5/28/2004 (a)(b)(d)(e)(f)

 

500,000

 

561,573

 

 

3,000,000

 

UBS Gold-Linked Note 0% due 6/07/2004 (a)(b)(d)(e)(f)

 

3,000,000

 

3,167,297

 

 

1,600,000

 

UBS Gold-Linked Note 0% due 7/01/2004 (a)(b)(d)(e)(f)

 

1,600,000

 

1,757,753

 

 

500,000

 

UBS Gold-Linked Note 0% due 7/16/2004 (a)(b)(d)(e)(f)

 

500,000

 

569,827

 

 

400,000

 

UBS Gold-Linked Note 0% due 7/26/2004 (a)(b)(d)(e)(f)

 

400,000

 

472,419

 

 

750,000

 

UBS Gold-Linked Note 0% due 8/20/2004 (a)(b)(d)(e)(f)

 

750,000

 

857,549

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/07/2004 (a)(b)(d)(e)(f)

 

1,000,000

 

1,021,900

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/08/2004 (a)(b)(d)(e)(f)

 

1,000,000

 

998,815

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 10/12/2004 (a)(b)(d)(e)(f)

 

1,000,000

 

1,009,764

 

______________

See Notes to Financial Statements.

45

FIRST EAGLE GOLD FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Notes and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

Commodity-Linked Notes — (continued)

 

 

 

 

 

 

 

$

750,000

 

UBS Gold-Linked Note 0% due 10/22/2004 (a)(b)(d)(e)(f)

 

$

750,000

 

$

776,255

 

 

500,000

 

UBS Gold-Linked Note 0% due 11/24/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

506,096

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 11/26/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

961,839

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/03/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

959,801

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/13/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

961,722

 

 

1,000,000

 

UBS Gold-Linked Note 0% due 12/16/2004 (a)(b)(d)(e)(g)

 

 

1,000,000

 

 

931,288

 

 

650,000

 

UBS Gold-Linked Note 0% due 1/28/2005 (a)(b)(d)(e)(g)

 

 

650,000

 

 

545,217

 

 

1,200,000

 

UBS Gold-Linked Note 0% due 2/04/2005 (a)(b)(d)(e)(f)

 

 

1,200,000

 

 

1,096,101

 

 

2,250,000

 

UBS Gold-Linked Note 0% due 2/18/2005 (a)(b)(d)(e)(f)

 

 

2,250,000

 

 

2,134,083

 

 

2,250,000

 

UBS Gold-Linked Note 0% due 2/22/2005 (a)(b)(d)(e)(f)

 

 

2,250,000

 

 

2,131,897

 

 

500,000

 

UBS Gold-Linked Note 0% due 3/09/2005 (a)(b)(d)(e)(g)

 

 

500,000

 

 

457,904

 

 

750,000

 

UBS Gold-Linked Note 0% due 3/11/2005 (a)(b)(d)(e)(g)

 

 

750,000

 

 

721,431

 

 

1,950,000

 

UBS Gold-Linked Note 0% due 5/11/2005 (a)(b)(d)(e)(f)

 

 

1,950,000

 

 

1,864,822

 

 

1,000,000

 

UBS Silver-Linked Note 0% due 3/17/2005 (a)(b)(d)(e)(g)

 

 

1,000,000

 

 

790,220

 

 

750,000

 

UBS Silver-Linked Note 0% due 3/24/2005 (a)(b)(d)(e)(g)

 

 

750,000

 

 

502,955

 

 

385,000

 

HSBC Gold-Linked Note 0% due 5/17/2004 (a)(b)(d)(e)(f)

 

 

385,000

 

 

443,597

 

 

550,000

 

HSBC Gold-Linked Note 0% due 5/28/2004 (a)(b)(d)(e)(f)

 

 

550,000

 

 

582,670

 

 

800,000

 

HSBC Gold-Linked Note 0% due 6/04/2004 (a)(b)(d)(e)(f)

 

 

800,000

 

 

882,240

 

 

200,000

 

HSBC Gold-Linked Note 0% due 6/21/2004 (a)(b)(d)(e)(f)

 

 

200,000

 

 

227,220

 

 

2,750,000

 

HSBC Gold-Linked Note 0% due 6/28/2004 (a)(b)(d)(e)(f)

 

 

2,750,000

 

 

3,056,900

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 8/02/2004 (a)(b)(d)(e)(f)

 

 

1,500,000

 

 

1,629,600

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/05/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,093,000

 

 

2,000,000

 

HSBC Gold-Linked Note 0% due 8/09/2004 (a)(b)(d)(e)(f)

 

 

2,000,000

 

 

2,274,400

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/11/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,154,000

 

 

500,000

 

HSBC Gold-Linked Note 0% due 8/16/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

568,150

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/19/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,097,100

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 8/20/2004 (a)(b)(d)(e)(f)

 

 

1,500,000

 

 

1,632,300

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/23/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,079,000

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/25/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,099,100

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/30/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,099,100

 

 

1,000,000

 

HSBC Gold-Linked Note 0% due 8/31/2004 (a)(b)(d)(e)(f)

 

 

1,000,000

 

 

1,091,500

 

 

500,000

 

HSBC Gold-Linked Note 0% due 9/06/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

516,950

 

 

500,000

 

HSBC Gold-Linked Note 0% due 9/14/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

517,200

 

 

750,000

 

HSBC Gold-Linked Note 0% due 9/20/2004 (a)(b)(d)(e)(f)

 

 

750,000

 

 

769,350

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 10/07/2004 (a)(b)(d)(e)(f)

 

 

1,500,000

 

 

1,486,200

 

 

500,000

 

HSBC Gold-Linked Note 0% due 10/13/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

524,800

 

 

500,000

 

HSBC Gold-Linked Note 0% due 11/04/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

498,800

 

 

500,000

 

HSBC Gold-Linked Note 0% due 11/12/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

512,900

 

 

500,000

 

HSBC Gold-Linked Note 0% due 11/30/2004 (a)(b)(d)(e)(f)

 

 

500,000

 

 

487,200

 

 

1,500,000

 

HSBC Gold-Linked Note 0% due 12/13/2004 (a)(b)(d)(e)(g)

 

 

1,500,000

 

 

1,356,000

 

 

3,000,000

 

HSBC Gold-Linked Note 0% due 12/17/2004(a)(b)(d)(e)(g)

 

 

3,000,000

 

 

2,670,300

 

 

 

 

 

 

 

53,485,000

 

 

54,418,660

 

______________

See Notes to Financial Statements.

46

FIRST EAGLE GOLD FUND

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

 

Principal
Amount

 

 



 

 

Cost
(Note 1)

 

 

Value
(Note 1)

 

 

 

 

Notes and Convertible Bonds — (continued)

 

 

 

 

 

 

 

 

 

 

U.S. Dollar Convertible Bonds (0.85%)

 

 

 

 

 

 

 

$

2,480,000

 

 

Pan American Silver Corporation 51/4% due 7/31/2009

 

$

2,751,900

 

$

3,627,000

 

 

500,000

 

 

Agnico-Eagle Mines Limited 41/2% due 2/15/2012

 

 

566,875

 

 

553,750

 

 

 

 

 

 

 

3,318,775

 

 

4,180,750

 

 

 

 

 

Total Notes and Convertible Bonds

 

 

56,803,775

 

 

58,599,410

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-Term Investments (4.01%)

 

 

 

 

 

 

 

 

14,315,000

 

 

ConocoPhillips 1.06% due 5/03/2004

 

 

14,314,157

 

 

14,314,157

 

 

5,417,000

 

 

Wal-Mart Stores, Inc. 0.95% due 5/04/2004

 

 

5,416,571

 

 

5,416,571

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Short-Term Investments

 

 

19,730,728

 

 

19,730,728

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Investments (99.83%)

 

$

453,102,277

*

 

491,595,731

**

 

 

 

Other assets in excess of liabilities (0.17%)

 

 

 

 

815,312

 

 

 

 

 

Net Assets (100.00%)

 

 

 

 

$

492,411,043

 

____________

  *

At April 30, 2004 cost is substantially identical for both book and federal income tax purposes.

**

Gross unrealized appreciation and depreciation of securities at April 30, 2004 were $64,555,437 and $26,061,983, respectively (net appreciation was $38,493,454).

(a) Non-income producing security/commodity.

(b)

All or a portion of the security is exempt from registration under the Securities Act of 1933 and may only be sold to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.

(c)

Affiliate as defined by the Investment Company Act of 1940. An affiliate is defined as a company in which the Fund directly or indirectly owns, controls or holds power to vote 5% or more of the outstanding voting securities. Following is a summary of transactions with each affiliate for the six-months ended April 30, 2004.

 

 

 

Purchases

 

Affiliate

 

Shares

 

Cost

 

Apollo Gold Corporation

 

600,000

 

$

1,290,002

 

Riddarhyttan Resources AB

 

5,150,000

 

 

4,360,594

 

(d)

Commodity-linked security whereby the coupon, dividend and/or redemption amount is linked to the price of an underlying commodity.

(e) Security for which there are less than three market makers.
(f) Leveraged 1 1/2 to 1
(g) Leveraged 2 to 1
   

____________

See Notes to Financial Statements.

47

FIRST EAGLE FUNDS

First Eagle Fund of America

MANAGEMENT'S DISCUSSION OF FUND PERFORMANCE

 

 

In our last report of October 2003, we had a more optimistic view of the economic outlook. We were not disappointed. First Eagle Fund of America's Class `Y' shares were up 9.87% over the six-month period ended April 30, 2004, compared to the Standard & Poor's 500 Index return of 6.27%. The Fund benefited by increased M&A activity, especially consolidation in the wireless communications and insurance industries. Over the six months Tyco International Limited continued to improve upon its strong turnaround story. Other top contributors to performance during the period were L-3 Communications Holdings, Inc, a secure communication systems company, and the metal can producer, Ball Corporation. Both game and toy manufacturers Mattel, Inc. and Hasbro Inc disappointed, as did the biotech company Celera Genomics Group-Applera Corporation.

Relative to the aberrant market environment we experienced in 2002/2003, the current environment appears much more familiar. Economic activity is accelerating, employment gains are finally taking place, and price pressures are starting to build. The result is that the very accommodating stand of monetary authorities is about to end. It is unclear, as it always is, how high interest rates will have to go to become more neutral or to cut inflationary pressures. We have no crystal ball, but it appears to us that equity markets did not believe that 1% short rates and 3.75% long rates were permanent—otherwise equity multiplies would have been much higher. Thus even with rate increases we don't subscribe to the view that equity prices in general are significantly overvalued.

Nevertheless it is always difficult to make significant market dependent returns in a rising rate environment since improving valuation support for equities is not likely. However, rising economic activity creates significant earnings gains and more importantly it seems evident after a long quiescent period we are now in a much more active environment for mergers and acquisitions, which historically has been very good for our style of investing.

Thus we remain confident that our portfolio is properly positioned to uncover value overlooked by market forces and help shareholders to achieve their long-term investment goals.

 

Sincerely,

 

 

 


Harold Levy
Portfolio Manager

 

 



 

 

 

 

June 2004

 

 

 

48

FUND OVERVIEW

 

FIRST EAGLE FUND OF AMERICA

Data as of April 30, 2004 (unaudited)

 

THE INVESTMENT STYLE

 

AVERAGE ANNUAL RETURNS
 

 

 

 

The First Eagle Fund of America is a non-diversified U.S. equity fund with a unique event-driven bias. The Fund focuses on identifying companies poised to benefit from change that the market has not yet recognized. It seeks capital appreciation with above-average long term returns.

 

 

ONE-YEAR

FIVE-YEARS

TEN-YEARS

 

 

 

First Eagle Fund of Amercia

 

(Y Shares)

24.28

%

5.44

%

14.35

%

 

Standard & Poor’s 500 Index

22.88

%

(2.26

)%

11.36

%

 

 

 

 

 

 

 

 

GROWTH OF A $10,000 INITIAL INVESTMENT

 

4/94

4/95

4/97

4/98

4/99

4/00

4/01

4/02

4/03

4/04

$38,215

$29,288

Standard & Poor’s 500 Index
w/income

First Eagle Fund of America

$40,000

30,000

20,000

10,000

0

4/96

 

 

ASSET ALLOCATION

 

Performance data quoted herein represents past performance and should not be considered indicative of future results. Performance data quoted herein does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the sale of Fund shares. The Fund’s average annual returns shown above are historical and reflect changes in share price, reinvested dividends and is net of expenses. The Standard & Poor’s 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy. Although the Standard & Poor’s 500 Index focuses on the large-cap segment of the market, with over 80% coverage of U.S. equities, it is also considered a proxy for the total market.

Foreign Stock

6.80%

U.S. Dollar Cash

and Equivalents

2.29%

U.S. Stocks

and Options

90.91%

 

 

 

 

 

 

 

 

 

 
 

TOP 5 SECTORS

 

TOP 10 HOLDINGS
 

 

 

Tyco International Limited (U.S. industrial conglomerate)

6.13%
 

Industrials

19.51%

 

Ball Corporation (U.S. metal cans)

5.28%
 

Consumer Discretionary

17.05%

 

L-3 Communications Holdings Inc. (U.S. secure communication systems)

5.16%
 

Health Care Services

15.23%

 

 
 

Materials

11.94%

 

Valeant Pharmaceuticals International (U.S. pharmaceuticals)

4.86%
 

Biotechnology

8.64%

 

Storage Technology Corporation (U.S. computer storage device)

4.44%
 

 

 

 

Manor Care Inc. (U.S. skilled nursing care)

4.10%
 

The Fund’s portfolio composition is subject to change at any time.

 

Dean Foods Company (U.S. dairy products)

4.07%
 

 

Packaging Corporation of America (U.S. containers/packaging)

3.77%
 

 

 

Shire Pharmaceuticals Group Plc ADR (U.K. pharmaceuticals)

3.06%
 

 

 

Alliant Techsystems Inc. (U.S. aerospace & defense)

3.06%


49

FIRST EAGLE FUND OF AMERICA

SCHEDULE OF INVESTMENTS
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common Stocks — U.S. (92.44%)

 

 

 

 

 

 

 

 

 

Biotechnology (8.64%)

 

 

 

 

 

 

 

185,400

 

Cephalon Inc. (a)(c)

 

$

9,491,151

 

$

10,551,114

 

888,600

 

Celera Genomics Group-Applera Corporation (a)(c)

 

 

10,952,166

 

 

10,476,594

 

406,900

 

MedImmune, Inc. (a)(c)

 

 

9,875,247

 

 

9,863,256

 

183,500

 

Celgene Corporation (a)(c)

 

 

7,910,856

 

 

9,485,115

 

143,535

 

Biogen Idec Inc. (a)(c)

 

 

4,698,130

 

 

8,468,565

 

318,300

 

InterMune Inc. (a)

 

 

6,281,168

 

 

4,694,925

 

 

 

 

 

 

49,208,718

 

 

53,539,569

 

 

 

Consumer Discretionary (15.04%)

 

 

 

 

 

 

 

915,100

 

Hasbro Inc. (c)

 

 

14,546,062

 

 

17,286,239

 

864,100

 

Tommy Hilfiger Corporation (a)(c)

 

 

12,212,292

 

 

13,479,960

 

201,900

 

GTECH Holdings Corporation (c)

 

 

8,032,740

 

 

12,299,748

 

276,900

 

YUM! Brands Inc. (a)

 

 

6,471,699

 

 

10,740,951

 

605,000

 

Mattel, Inc.

 

 

12,731,549

 

 

10,260,800

 

394,500

 

The TJX Companies, Inc. (c)

 

 

7,155,540

 

 

9,692,865

 

144,100

 

Harrah's Entertainment, Inc. (c)

 

 

6,594,667

 

 

7,663,238

 

144,400

 

Lennar Corporation, Class ‘A’ (c)

 

 

6,507,744

 

 

6,765,140

 

102,000

 

Pulte Homes, Inc.

 

 

4,880,880

 

 

5,015,340

 

 

 

 

 

 

79,133,173

 

 

93,204,281

 

 

 

Consumer Staples (8.17%)

 

 

 

 

 

 

 

751,050

 

Dean Foods Company (a)

 

 

19,277,576

 

 

25,220,259

 

1,375,200

 

Del Monte Foods Company (a)

 

 

12,984,791

 

 

15,209,712

 

156,300

 

Kimberly-Clark Corporation

 

 

7,969,728

 

 

10,229,835

 

 

 

 

 

 

40,232,095

 

 

50,659,806

 

 

 

Financials (1.00%)

 

 

 

 

 

 

 

172,300

 

Willis Group Holdings Limited

 

 

5,119,946

 

 

6,256,213

 

 

 

Health Care Services (15.23%)

 

 

 

 

 

 

 

782,700

 

Manor Care Inc. (c)

 

 

16,992,802

 

 

25,390,788

 

325,400

 

Oxford Health Plans Inc. (c)

 

 

12,497,159

 

 

17,714,776

 

368,300

 

HCA Inc. (c)

 

 

12,604,240

 

 

14,964,029

 

97,400

 

C.R. Bard, Inc. (c)

 

 

6,131,411

 

 

10,350,698

 

472,954

 

Viasys Healthcare Inc. (a)

 

 

8,119,262

 

 

9,175,308

 

225,200

 

Laboratory Corporation of America Holdings (a)(c)

 

 

6,107,931

 

 

8,949,448

 

302,600

 

Community Health Systems Inc. (a)

 

 

5,845,928

 

 

7,804,054

 

 

 

 

 

 

68,298,733

 

 

94,349,101

 

 

 

Industrials (18.47%)

 

 

 

 

 

 

 

1,384,000

 

Tyco International Limited (c)

 

 

21,793,284

 

 

37,990,800

 

518,300

 

L-3 Communications Holdings Inc. (c)

 

 

19,861,418

 

 

31,999,842

 

319,600

 

Alliant Techsystems Inc. (a)(c)

 

 

15,987,422

 

 

18,949,084

 

126,100

 

American Standard Companies Inc. (a)(c)

 

 

7,876,612

 

 

13,264,459

 

71,500

 

General Dynamics Corporation (c)

 

 

4,058,888

 

 

6,693,830

 

101,300

 

Cooper Industries, Limited, Class ‘A’ (c)

 

 

3,115,307

 

 

5,562,383

 

 

 

 

 

 

72,692,931

 

 

114,460,398

 

______________

See Notes to Financial Statements.

50

FIRST EAGLE FUND OF AMERICA

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Number
of Shares

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Common Stocks — U.S. — (continued)

 

 

 

 

 

 

 

 

 

Information Technology (4.44%)

 

 

 

 

 

 

 

1,047,500

 

Storage Technology Corporation (a)(c)

 

$

18,610,627

 

$

27,517,825

 

 

 

Materials (11.25%)

 

 

 

 

 

 

 

495,600

 

Ball Corporation (c)

 

 

19,811,800

 

 

32,709,600

 

1,062,000

 

Packaging Corporation of America

 

 

17,032,488

 

 

23,342,760

 

580,500

 

Louisiana-Pacific Corporation (c)

 

 

10,945,945

 

 

13,693,995

 

 

 

 

 

 

47,790,233

 

 

69,746,355

 

 

 

Pharmaceuticals (4.86%)

 

 

 

 

 

 

 

1,303,100

 

Valeant Pharmaceuticals International (c)

 

 

24,138,745

 

 

30,101,610

 

 

 

Telecommunication Services (5.34%)

 

 

 

 

 

 

 

908,800

 

Western Wireless Corporation (a)(c)

 

 

14,487,986

 

 

18,921,216

 

403,600

 

NII Holdings Inc., Class ‘B’ (a)(c)

 

 

13,745,409

 

 

14,146,180

 

 

 

 

 

 

28,233,395

 

 

33,067,396

 

 

 

Total Common Stocks — U.S.

 

 

433,458,596

 

 

572,902,554

 

 

 

Preferred Stocks — U.S. (0.56%)

 

 

 

 

 

 

 

1,200

 

Tidewater Holdings Inc. Ser. A Conv. (a)(b)

 

 

1,200,000

 

 

1,200,000

 

1,000

 

Tidewater Holdings Inc. Ser. B Conv. (a)(b)

 

 

1,000,000

 

 

1,000,000

 

67,777

 

Assistive Technology Inc. Ser. E-1 (a)(b)

 

 

883,921

 

 

589,281

 

51,966

 

Assistive Technology Inc. Ser. E-2 (a)(b)

 

 

500,000

 

 

333,333

 

26,057

 

Assistive Technology Inc. Ser. F (a)(b)

 

 

342,000

 

 

342,000

 

 

 

Total Preferred Stocks — U.S.

 

 

3,925,921

 

 

3,464,614

 

 

 

Warrants — U.S. (0.00%)

 

 

 

 

 

 

 

9,873

 

Assistive Technology Inc. (a)(b)

 

 

382

 

 

382

 

37,234

 

Assistive Technology Inc. Ser. E-1 (a)(b)

 

 

—

 

 

—

 

 

 

Total Warrants — U.S.

 

 

382

 

 

382

 

 

 

Other Investments — U.S. (0.00%)

 

 

 

 

 

 

 

16

 

Euro Outlet Malls, L.P. (a)(b)

 

 

—

 

 

—

 

 

 

Common Stocks — Non U.S. (6.80%)

 

 

 

 

 

 

 

 

 

France (1.01%)

 

 

 

 

 

 

 

254,200

 

Vivendi Universal SA ADR (a)(1)

 

 

6,562,543

 

 

6,283,824

 

 

 

Japan (0.69%)

 

 

 

 

 

 

 

2,029,600

 

Nippon Steel Corporation (3)

 

 

4,265,030

 

 

4,246,140

 

 

 

Netherlands (1.04%)

 

 

 

 

 

 

 

176,100

 

Akzo Nobel NV ADR (2)

 

 

6,970,798

 

 

6,415,147

 

 

 

United Kingdom (4.06%)

 

 

 

 

 

 

 

683,700

 

Shire Pharmaceuticals Group Plc ADR (a)(c)(4)

 

 

15,809,224

 

 

18,972,675

 

1,355,500

 

EMI Group Plc (a)(1)

 

 

4,959,696

 

 

6,211,527

 

 

 

 

 

 

20,768,920

 

 

25,184,202

 

 

 

Total Common Stocks — Non U.S.

 

 

38,567,291

 

 

42,129,313

 

______________

See Notes to Financial Statements.

51

FIRST EAGLE FUND OF AMERICA

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Principal
Amount

 

 

 

 

Cost
(Note 1)

 

 

Value
(Note 1

 

 

 

 

Short-Term Investments (2.33%)

 

 

  

 

 

  

 

$

7,500,000

 

United States Treasury Bill 0.93% due 6/24/2004

 

$ 

7,490,213

 

$ 

7,490,213

 

 

6,000,000

 

United States Treasury Bill 0.935% due 7/22/2004

 

 

5,987,506

 

 

5,987,598

 

 

1,000,000

 

United States Treasury Bill 0.97% due 7/29/2004

 

 

997,750

 

 

997,678

 

 

Total Short-Term Investments

14,475,469
14,475,489

 

 

 

 

 

 

 

 

 

 

 

 

Contracts

 

 

 

 

 

 

 

 

 

 

 

Covered Call Options Written (-2.09%)

 

 

 

 

 

 

 

 

1,935

 

Alliant Techsystems Inc. @ $60 exp. May 2004

 

 

 

 

 

(198,338

)

 

265

 

American Standard Companies Inc. @ $110 exp. May 2004

 

 

 

 

 

(15,900

)

 

152

 

American Standard Companies Inc. @ $115 exp. May 2004

 

 

 

 

 

(3,040

)

 

1,103

 

Ball Corporation @ $60 exp. May 2004

 

 

 

 

 

(683,860

)

 

544

 

Ball Corporation @ $65 exp. May 2004

 

 

 

 

 

(108,800

)

 

366

 

Biogen Idec Inc. @ $55 exp. May 2004

 

 

 

 

 

(193,980

)

 

54

 

Biogen Idec Inc. @ $60 exp. May 2004

 

 

 

 

 

(11,340

)

 

324

 

Biogen Idec Inc. @ $55 exp. July 2004

 

 

 

 

 

(210,600

)

 

691

 

Biogen Idec Inc. @ $60 exp. July 2004

 

 

 

 

 

(262,580

)

 

974

 

C.R. Bard, Inc. @ $100 exp. July 2004

 

 

 

 

 

(876,600

)

 

1,031

 

Celera Genomics Group-Applera Corporation @ $17.5 exp. June 2004

 

 

 

 

 

(25,775

)

 

517

 

Celgene Corporation @ $50 exp. May 2004

 

 

 

 

 

(142,175

)

 

692

 

Celgene Corporation @ $55 exp. May 2004

 

 

 

 

 

(41,520

)

 

248

 

Celgene Corporation @ $55 exp. June 2004

 

 

 

 

 

(55,800

)

 

156

 

Celgene Corporation @ $45 exp. July 2004

 

 

 

 

 

(134,940

)

 

222

 

Celgene Corporation @ $50 exp. July 2004

 

 

 

 

 

(111,000

)

 

299

 

Cephalon Inc. @ $50 exp. May 2004

 

 

 

 

 

(212,290

)

 

879

 

Cephalon Inc. @ $55 exp. May 2004

 

 

 

 

 

(272,490

)

 

1,013

 

Cooper Industries @ $55 exp. May 2005

 

 

 

 

 

(124,093

)

 

715

 

General Dynamics Corporation @ $90 exp. May 2004

 

 

 

 

 

(300,300

)

 

676

 

GTECH Holdings Corporation @ $55 exp. June 2004

 

 

 

 

 

(429,260

)

 

1,343

 

GTECH Holdings Corporation @ $60 exp. June 2004

 

 

 

 

 

(376,040

)

 

623

 

Harrah’s Entertainment, Inc. @ $50 exp. May 2004

 

 

 

 

 

(205,590

)

 

818

 

Harrah’s Entertainment, Inc. @ $55 exp. May 2004

 

 

 

 

 

(20,450

)

 

8,705

 

Hasbro Inc. @ $22.5 exp. July 2004

 

 

 

 

 

(217,625

)

 

886

 

HCA Inc. @ $40 exp. May 2004

 

 

 

 

 

(110,750

)

 

1,910

 

HCA Inc. @ $45 exp. May 2004

 

 

 

 

 

(28,650

)

 

887

 

HCA Inc. @ $47.5 exp. August 2004

 

 

 

 

 

(24,391

)

 

2,332

 

L-3 Communications Holdings @ $55 exp. July 2004

 

 

 

 

 

(1,737,340

)

 

2,252

 

Laboratory Corporation of America @ $37.5 exp. May 2004

 

 

 

 

 

(551,740

)

 

1,444

 

Lennar Corporation, Class ‘A’ @ $47.5 exp. May 2004

 

 

 

 

 

(194,940

)

 

3,493

 

Louisiana-Pacific Corporation @ $20 exp. May 2004

 

 

 

 

 

(1,292,410

)

 

2,312

 

Louisiana-Pacific Corporation @ $22.5 exp. May 2004

 

 

 

 

 

(387,260

)

 

1,253

 

Manor Care Inc. @ $35 exp. May 2004

 

 

 

 

 

(31,325

)

 

676

 

MedImmune, Inc. @$22.5 exp. May 2004

 

 

 

 

 

(148,720

)

 

667

 

NII Holdings Inc., Class ‘B’ @ $35 exp. May 2004

 

 

 

 

 

(103,385

)

 

403

 

NII Holdings Inc., Class ‘B’ @ $38.3 exp. May 2004

 

 

 

 

 

(17,127

)

 

403

 

NII Holdings Inc., Class ‘B’ @ $40 exp. May 2004

 

 

 

 

 

(14,105

)

 

336

 

NII Holdings Inc., Class ‘B’ @ $38.3 exp. June 2004

 

 

 

 

 

(37,800

)

 

325

 

Oxford Health Plans Inc. @ $47.5 exp. May 2004

 

 

 

 

 

(225,875

)

 

1,625

 

Oxford Health Plans Inc. @ $55 exp. May 2004

 

 

 

 

 

(97,500

)

______________

See Notes to Financial Statements.

52

FIRST EAGLE FUND OF AMERICA

SCHEDULE OF INVESTMENTS — (Continued)
April 30, 2004
(Unaudited)

 

Contracts

 

 

 

Cost
(Note 1)

 

Value
(Note 1)

 

 

 

Covered Call Options Written — (continued)

 

 

 

 

 

 

 

325

 

Oxford Health Plans Inc. @ $50 exp. June 2004

 

 

 

 

$

(156,000

)

325

 

Oxford Health Plans Inc. @ $55 exp. June 2004

 

 

 

 

 

(40,625

)

3,585

 

Shire Pharmaceuticals Group Plc ADR @ $30 exp. May 2004

 

 

 

 

 

(71,700

)

884

 

Storage Technology Corporation @ $30 exp. June 2004

 

 

 

 

 

(26,520

)

3,945

 

The TJX Companies, Inc. @ $22.5 exp. July 2004

 

 

 

 

 

(1,045,425

)

3,614

 

Tommy Hilfiger Corporation @ $15 exp. May 2004

 

 

 

 

 

(334,295

)

1,833

 

Tyco International Limited @ $27.5 exp. May 2004

 

 

 

 

 

(146,640

)

6,374

 

Tyco International Limited @ $30 exp. July 2004

 

 

 

 

 

(318,700

)

2,407

 

Valeant Pharmaceuticals International @ $25 exp. June 2004

 

 

 

 

 

(144,420

)

352

 

Valeant Pharmaceuticals International @ $30 exp. June 2004

 

 

 

 

 

(7,040

)

1,722

 

Western Wireless Corporation @ $20 exp. May 2004

 

 

 

 

 

(228,165

)

7,366

 

Western Wireless Corporation @ $22.5 exp. May 2004

 

 

 

 

 

(220,980

)

 

 

Total Covered Call Options Written (premium $15,008,211)

 

 

 

 

 

(12,978,214

)

 

 

Total Investment Portfolio (100.04%)

 

$

475,419,448

*

 

619,994,138

**

 

 

Liabilities in excess of other assets (-0.04%)

 

 

 

 

 

(278,473

)

 

 

Net Assets (100.00%)

 

 

 

 

$

619,715,665

 

______________

*

At April 30, 2004, cost is substantially identical for both book and federal income tax purposes.

**

Gross unrealized appreciation and depreciation of securities at April 30, 2004 were $154,305,353 and $9,730,663, respectively (net appreciation was $144,574,690).

 

Sector/Industry Classifications

(1) Consumer Discretionary

(2) Industrials

(3) Materials

(4) Pharmaceuticals

(a)

Non-income producing security.

(b)

Restricted security priced at fair value by the Valuation Committee of the Board of Trustees. Represents ownership interest in a security which has not been registered with the Securities and Exchange Commission under the Securities Act of 1933. Information concerning each restricted security holding on April 30, 2004 is shown below:

 

Security

 

 

Acquisition Date

 

Cost

 

Assistive Technology Inc. Ser. E-1.

 

10/31/95

 

$

589,281

 

Assistive Technology Inc. Ser. E-2.

 

12/19/96

 

 

333,333

 

Assistive Technology Inc. Ser. F.

 

12/07/01

 

 

342,000

 

Assistive Technology Inc. Warrants.

 

10/21/98

 

 

382

 

Assistive Technology Inc. Ser. E-1 Warrants

 

10/21/98

 

 

—

 

Euro Outlet Malls, L.P.

 

12/30/94

 

 

—

 

Tidewater Holdings Inc. Ser. A Conv. Pfd. Stock

 

7/09/96

 

 

1,200,000

 

Tidewater Holdings Inc. Ser. B Conv. Pfd. Stock

 

12/20/02

 

 

1,000,000

 

(c)

At April 30, 2004, all or a portion of this security was segregated to cover collateral requirements for options.

______________

See Notes to Financial Statements.

53

FIRST EAGLE FUNDS

STATEMENTS OF ASSETS AND LIABILITIES
April 30, 2004
(Unaudited)

 

 

 

First Eagle
Global Fund

 

First Eagle
Overseas Fund

 

First Eagle
U.S. Value
Fund

 

First Eagle
Gold Fund

 

First Eagle
Fund of
America

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments, at value (cost: $4,951,519,694, $4,974,888,149, $111,365,783, $453,102,277 and $490,427,659, respectively) (Note 1)

 

$

6,112,162,340

 

$

6,087,579,285

 

$

128,573,488

 

$

491,595,731

 

$

632,972,352

 

Cash

 

 

5,417,285

 

 

4,140,960

 

 

257,216

 

 

2,483,255

 

 

1,328,699

 

Receivable for forward currency contracts held, at value (Notes 1 and 7)

 

 

6,412,817

 

 

13,920,832

 

 

—

 

 

—

 

 

—

 

Receivable for investment securities sold and premiums for written options

 

 

6,726,974

 

 

11,691,185

 

 

1,093,921

 

 

—

 

 

58,775

 

Receivable for Fund shares sold

 

 

40,516,383

 

 

8,894,481

 

 

169,925

 

 

3,885,700

 

 

158,447

 

Accrued interest and dividends receivable

 

 

23,092,834

 

 

21,598,504

 

 

487,844

 

 

280,470

 

 

346,773

 

Deferred offering costs (Note 1)

 

 

—

 

 

—

 

 

—

 

 

1,438

 

 

—

 

Other assets

 

 

162,793

 

 

151,547

 

 

3,906

 

 

16,756

 

 

74,145

 

Total Assets

 

 

6,194,491,426

 

 

6,147,976,794

 

 

130,586,300

 

 

498,263,350

 

 

634,939,191

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Call options written, at value (premiums received $15,008,211) (Note 3)

 

 

—

 

 

—

 

 

—

 

 

—

 

 

12,978,214

 

Payable for Fund shares redeemed

 

 

2,655,592

 

 

18,980,496

 

 

46,218

 

 

3,075,349

 

 

31,555

 

Payable for investment securities purchased

 

 

43,672,176

 

 

22,651,925

 

 

—

 

 

1,950,000

 

 

1,271,496

 

Payable for forward currency contracts held, at value (Notes 1 and 7)

 

 

1,534,460

 

 

103,665

 

 

—

 

 

—

 

 

—

 

Investment advisory fees payable (Note 2)

 

 

3,752,949

 

 

3,821,725

 

 

81,750

 

 

346,292

 

 

527,806

 

Administrative cost reimbursement payable (Note 2)

 

 

155,122

 

 

153,410

 

 

3,379

 

 

14,313

 

 

16,362

 

Distribution fees payable (Note 4)

 

 

1,660,673

 

 

1,199,630

 

 

27,158

 

 

135,398

 

 

140,187

 

Services fees payable (Note 4)

 

 

245,829

 

 

152,629

 

 

5,094

 

 

14,819

 

 

2,983

 

Accrued expenses and other liabilities

 

 

1,942,163

 

 

2,083,435

 

 

76,713

 

 

316,136

 

 

254,923

 

Total Liabilities

 

 

55,618,964

 

 

49,146,915

 

 

240,312

 

 

5,852,307

 

 

15,223,526

 

Net Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital stock (par value, $0.001 per share)

 

 

180,280

 

 

323,894

 

 

9,972

 

 

35,014

 

 

25,011

 

Capital surplus

 

 

4,984,671,396

 

 

5,078,969,011

 

 

110,620,999

 

 

497,965,893

 

 

457,255,307

 

Net unrealized appreciation (depreciation) on:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

1,160,642,646

 

 

1,112,691,136

 

 

17,207,705

 

 

38,493,454

 

 

142,544,693

 

Forward currency contracts

 

 

4,878,357

 

 

13,817,167

 

 

—

 

 

—

 

 

—

 

Foreign currency related transactions

 

 

(221,986

)

 

(250,479

)

 

—

 

 

—

 

 

(1,085

)

Written Options

 

 

—

 

 

—

 

 

—

 

 

—

 

 

2,029,997

 

Undistributed net realized gains (losses) on investments

 

 

66,861,870

 

 

50,153,137

 

 

2,346,638

 

 

(21,408,999)

 

 

19,169,423

 

Undistributed net investment (loss)
income

 

 

(78,140,101

)

 

(156,873,987

)

 

160,674

 

 

(22,674,319

)

 

(1,307,681

)

Net Assets (Note 1)

 

$

6,138,872,462

 

$

6,098,829,879

 

$

130,345,988

 

$

492,411,043

 

$

619,715,665

 

Class Y share capital

 

 

—

 

 

—

 

 

—

 

 

—

 

$

594,427,471

 

Shares of beneficial interest outstanding (Class Y) (Note 6)

 

 

—

 

 

—

 

 

—

 

 

—

 

 

23,957,299

 

Net asset value per share

 

 

—

 

 

—

 

 

—

 

 

—

 

$

24.81

 

Class A share capital

 

$

4,502,481,675

 

$

3,560,799,034

 

$

56,754,272

 

$

384,960,262

 

$

11,116,050

 

Shares of beneficial interest outstanding (Class A) (Note 6)

 

 

132,165,828

 

 

189,131,286

 

 

4,354,637

 

 

27,379,121

 

 

452,408

 

Net asset value per share

 

$

34.07

 

$

18.83

 

$

13.03

 

$

14.06

 

$

24.57

 

Maximum offering price per share

 

$

35.86

 

$

19.82

 

$

13.72

 

$

14.80

 

$

25.86

 

Class I share capital

 

$

404,243,578

 

$

1,807,058,833

 

$

49,197,454

 

$

43,609,492

 

 

—

 

Shares of beneficial interest outstanding (Class I) (Note 6)

 

 

11,845,834

 

 

95,541,969

 

 

3,749,903

 

 

3,094,954

 

 

—

 

Net asset value per share

 

$

34.13

 

$

18.91

 

$

13.12

 

$

14.09

 

 

—

 

Class C share capital

 

$

1,232,147,209

 

$

730,972,012

 

$

24,394,262

 

$

63,841,289

 

$

14,172,144

 

Shares of beneficial interest outstanding (Class C) (Note 6)

 

 

36,268,320

 

 

39,220,277

 

 

1,867,534

 

 

4,540,170

 

 

600,903

 

Net asset value per share

 

$

33.97

 

$

18.64

 

$

13.06

 

$

14.06

 

$

23.58

 

______________

See Notes to Financial Statements.

54

FIRST EAGLE FUNDS

STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED APRIL 30, 2004
(Unaudited)

 

 

 

First Eagle
Global Fund

 

First Eagle
Overseas Fund

 

First Eagle
U.S. Value Fund

 

First Eagle
Gold Fund

 

First Eagle
Fund of America

 

Investment Income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest

 

$

30,441,438

 

$

16,934,268

 

$

1,023,214

 

$

204,535

 

$

45,653

 

Dividends (net of $2,539,202 $3,685,219, $4,162, $52,281 and $59,926 foreign taxes withheld, respectively)

 

 

49,634,869

 

 

30,780,449

 

 

1,161,021

 

 

1,611,633

 

 

2,328,982

 

Other Income

 

 

230,036

 

 

—

 

 

—

 

 

—

 

 

820,612

 

Total income

 

 

80,306,343

 

 

47,714,717

 

 

2,184,235

 

 

1,816,168

 

 

3,195,247

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment advisory fees (Note 2)

 

 

19,407,296

 

 

19,831,644

 

 

457,915

 

 

1,988,353

 

 

3,026,119

 

Administrative cost reimbursement (Note 2)

 

 

886,824

 

 

875,261

 

 

21,130

 

 

91,718

 

 

104,994

 

Distribution fees (Note 4)

 

 

8,349,124

 

 

6,269,370

 

 

147,445

 

 

751,132

 

 

800,331

 

Service fees (Note 4)

 

 

1,149,606

 

 

776,078

 

 

28,535

 

 

71,944

 

 

16,395

 

Shareholder servicing agent fees

 

 

3,301,820

 

 

3,065,620

 

 

119,383

 

 

617,940

 

 

256,764

 

Custodian fees

 

 

587,681

 

 

1,011,402

 

 

12,662

 

 

104,160

 

 

50,233

 

Accounting fees

 

 

471,181

 

 

456,085

 

 

24,109

 

 

60,849

 

 

50,119

 

Proxy fees

 

 

447,414

 

 

443,082

 

 

11,446

 

 

49,248

 

 

57,811

 

Registration and filing fees

 

 

306,507

 

 

397,676

 

 

36,491

 

 

87,567

 

 

50,461

 

Legal fees

 

 

157,500

 

 

300,890

 

 

2,014

 

 

15,220

 

 

20,400

 

Printing fees

 

 

146,600

 

 

276,613

 

 

1,603

 

 

20,394

 

 

7,550

 

Audit fees

 

 

106,014

 

 

68,201

 

 

13,797

 

 

18,901

 

 

33,966

 

Trustees’ fees

 

 

41,100

 

 

49,684

 

 

1,302

 

 

4,914

 

 

8,088

 

Insurance fees

 

 

39,283

 

 

25,447

 

 

1,196

 

 

2,849

 

 

8,103

 

Amortization of deferred offering costs (Note 1)

 

 

—

 

 

—

 

 

—

 

 

22,208

 

 

—

 

Miscellaneous fees

 

 

19,777

 

 

16,120

 

 

2,583

 

 

1,238

 

 

10,815

 

Total expenses

 

 

35,417,727

 

 

33,863,173

 

 

881,611

 

 

3,908,635

 

 

4,502,149

 

Expense reductions due to earnings credits (Note 1)

 

 

18,607

 

 

15,715

 

 

421

 

 

2,868

 

 

779

 

Net expenses

 

 

35,436,334

 

 

33,878,888

 

 

882,032

 

 

3,911,503

 

 

4,502,928

 

Net investment income (loss) (Note 1)

 

 

44,870,009

 

 

13,835,829

 

 

1,302,203

 

 

(2,095,335

)

 

(1,307,681

)

Realized and Unrealized Gains (Losses) on Investments, Foreign Currency Related Transactions and Written Options (Notes 1 and 7):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized gains (losses) from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment transactions

 

 

59,857,388

 

 

58,576,087

 

 

2,210,830

 

 

4,029,266

 

 

38,221,189

 

Foreign currency related transactions

 

 

(20,434,071

)

 

(35,473,474

)

 

194,488

 

 

70,528

 

 

(1,346

)

Written Options

 

 

—

 

 

—

 

 

—

 

 

—

 

 

(17,320,079

)

 

 

 

39,423,317

 

 

23,102,613

 

 

2,405,318

 

 

4,099,794

 

 

20,899,764

 

Change in unrealized appreciation (depreciation) of:  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

323,654,983

 

 

425,556,170

 

 

4,792,506

 

 

(61,017,640

)

 

33,074,419

 

Foreign currency related transactions

 

 

25,813,349

 

 

39,126,131

 

 

12

 

 

(44,071

)

 

(1,085

)

Written Options

 

 

—

 

 

—

 

 

—

 

 

—

 

 

2,434,593

 

 

 

 

349,468,332

 

 

464,682,301

 

 

4,792,518

 

 

(61,061,711

)

 

35,507,927

 

Net gains (losses) on investments, foreign currency related transactions and written options

 

 

388,891,649

 

 

487,784,914

 

 

7,197,836

 

 

(56,961,917

)

 

56,407,691

 

Net Increase (Decrease) in Net Assets Resulting from Operations

 

$

433,761,658

 

$

501,620,743

 

$

8,500,039

 

$

(59,057,252

)

$

55,100,010

 

______________

See Notes to Financial Statements.

55

FIRST EAGLE FUNDS

STATEMENTS OF CHANGES IN NET ASSETS

 

 

 

First Eagle
Global Fund

 

First Eagle
Overseas Fund

 

 

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended
October 31,2003

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended
October 31, 2003

 

Operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income (loss)

 

$

44,870,009

 

$

51,318,421

 

$

13,835,829

 

$

25,144,555

 

Net realized gain from investments, foreign currency related transactions and written options

 

 

39,423,317

 

 

118,007,621

 

 

23,102,613

 

 

49,349,818

 

Increase (decrease) in unrealized appreciation (depreciation) of investments, foreign currency related transactions and written options

 

 

349,468,332

 

 

743,296,180

 

 

464,682,301

 

 

693,155,476

 

Net increase (decrease) in net assets resulting from operations

 

 

433,761,658

 

 

912,622,222

 

 

501,620,743

 

 

767,649,849

 

Distributions to Shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends paid from net investment income

 

 

(84,977,201

)

 

(40,053,954

)

 

(111,893,631

)

 

(18,688,861

)

Distributions paid from net realized gains from investment transactions

 

 

(113,240,044

)

 

(33,339,283

)

 

(34,801,177

)

 

(906,080

)

Decrease in net assets resulting from distributions

 

 

(198,217,245

)

 

(73,393,237

)

 

(146,694,808

)

 

(19,594,941

)

Fund Share Transactions (Note 6):

 

 

 

 

 

 

 

 

 

 

 

 

 

Net proceeds from shares sold

 

 

1,841,120,231

 

 

1,474,944,451

 

 

2,236,585,526

 

 

2,290,571,289

 

Net asset value of shares issued for reinvested dividends and distributions

 

 

176,591,609

 

 

68,086,819

 

 

123,548,423

 

 

17,458,099

 

Cost of shares redeemed

 

 

(227,699,425

)

 

(242,744,964

)

 

(434,814,026

)

 

(278,146,690

)

Increase in net assets from Fund share transactions

 

 

1,790,012,415

 

 

1,300,286,306

 

 

1,925,319,923

 

 

2,029,882,698

 

Net increase in net assets

 

 

2,025,556,828

 

 

2,139,515,291

 

 

2,280,245,858

 

 

2,777,937,606

 

Net Assets (Note 1):

 

 

 

 

 

 

 

 

 

 

 

 

 

Beginning of period

 

 

4,113,315,634

 

 

1,973,800,343

 

 

3,818,584,021

 

 

1,040,646,415

 

End of period (including undistributed net investment (loss) income of $(78,140,101), $(3,717,192), $(156,873,987), $(33,717,613), $160,674, $1,192,402, $(22,674,319), $(2,222,630), $(1,307,681) and $(4,109,557), respectively)

 

$

6,138,872,462

 

$

4,113,315,634

 

$

6,098,829,879

 

$

3,818,584,021

 

______________

See Notes to Financial Statements.

56

 

 

 

First Eagle
U.S. Value Fund

 

First Eagle
Gold Fund

 

First Eagle
Fund of America

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended
October 31, 2003

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended
October 31, 2003

 

Six Months Ended
April 30,2004
(Unaudited)

 

Year Ended
October 31, 2003

 

$

1,302,203

 

$

1,438,526

 

$

(2,095,335

)

$

(1,035,230

)

$

(1,307,681

)

$

(4,109,556

)

 

2,405,318

 

 

2,738,188

 

 

4,099,794

 

 

2,897,835

 

 

20,899,764

 

 

12,821,432

 

 

4,792,518

 

 

16,054,894

 

 

(61,061,711

)

 

94,520,616

 

 

35,507,927

 

 

77,657,383

 

 

8,500,039

 

 

20,231,608

 

 

(59,057,252

)

 

96,383,221

 

 

55,100,010

 

 

86,369,259

 

 

(2,458,885

 

 

(944,379

 

 

(16,065,036

 

 

(712,166

 

 

—         

 

 

—         

 

 

(2,807,808

)

 

(2,142,779

)

 

—         

 

 

—         

 

 

(11,366,580

 

 

—         

 

 

(5,266,693

)

 

(3,087,158

)

 

(16,065,036

)

 

(712,166

)

 

(11,366,580

)

 

—         

 

 

22,374,846

 

 

39,348,819

 

 

225,419,712

 

 

379,970,199

 

 

81,058,839

 

 

139,915,084

 

 

3,316,156

 

 

1,883,069

 

 

13,314,180

 

 

605,881

 

 

9,805,051

 

 

—         

 

 

(9,195,859

)

 

(11,088,744

)

 

(106,435,678

)

 

(131,127,918

)

 

(86,532,604

)

 

(135,816,168

)

 

16,495,143

 

 

30,143,144

 

 

132,298,214

 

 

249,448,162

 

 

4,331,286

 

 

4,098,916

 

 

19,728,489

 

 

47,287,594

 

 

57,175,926

 

 

345,119,217

 

 

48,064,716

 

 

90,468,175

 

 

110,617,499

 

 

63,329,905

 

 

435,235,117

 

 

90,115,900

 

 

571,650,949

 

 

481,182,774

 

$

130,345,988

 

$

110,617,499

 

$

492,411,043

 

$

435,235,117

 

$

619,715,665

 

$

571,650,949

 


57

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited)

Note 1 — Significant Accounting Policies

First Eagle Funds (the “Trust”), is an open-end management investment company registered under the Investment Company Act of 1940, as amended. The Trust consists of five separate portfolios, First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America (each individually a “Fund” or collectively the “Funds”). The Trust is a Delaware statutory trust and was until April 23, 2004 a Maryland corporation operating under the name First Eagle Funds, Inc. (First Eagle SoGen Funds, Inc. prior to December 31, 2002). First Eagle Fund of America, previously a portfolio of a separate Delaware statutory trust, was reorganized as a portfolio of the Trust effective December 31, 2002. Additionally, effective May 23, 2000, the Funds’ fiscal year end changed from March 31 to October 31 of each year.

The following is a summary of significant accounting policies adhered to by the Funds:

a) Investment valuation — Each Fund computes its net asset value once daily as of the close of trading on each day the New York Stock Exchange (“NYSE”) is open for trading. The NYSE is closed on the following days: New Year’s Day, Rev. Dr. Martin Luther King, Jr. Day, Presidents’ Day, Good Friday, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and Christmas Day. The net asset value per share is computed by dividing the total current value of the assets of a Fund, less its liabilities, by the total number of shares outstanding at the time of such computation.

A portfolio investment, other than a bond, which is traded on a U.S. national securities exchange or a securities exchange abroad is normally valued at the price of the last sale on the exchange as of the close of business on the date on which assets are valued. If there are no sales on such date, such portfolio securities will be valued at the mean between the closing bid and asked prices. Securities, other than bonds, traded in the over-the-counter market are valued at the mean between the last bid and asked prices prior to the time of valuation, except if such unlisted security traded on the NASDAQ in which case it is valued at its last sale price (or, if available in the case of NASDAQ securities, the NASDAQ Official Closing Price (“NOCP”)). All bonds, whether listed on an exchange or traded in the over-the-counter market, for which market quotations are readily available are valued at the mean between the last bid and asked prices received from dealers in the over-the-counter market in the United States or abroad, except that when no asked price is available, bonds are valued at the last bid price alone. Short-term investments maturing in sixty days or less are valued at cost plus interest earned, which approximates value. Gold and silver held in physical form are valued at the price of the last sale at that day’s close on the COMEX. Securities for which current market quotations are not readily available are valued at fair value as determined in good faith by the Company’s Board of Trustees or their delegates.

58

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

Most foreign markets close before the NYSE. Normally, developments that could affect the values of securities that occur between the close of a foreign market and the close of the NYSE will not be reflected in security valuations used by the Funds to compute their share price. However, if developments are significant and they will, in the judgment of the Funds, materially affect security values, such valuations may be adjusted to reflect the estimated fair value of the securities as of the close of the NYSE, as determined in good faith by the Valuation Committee of the Funds’ Board of Trustees.

b) Deferred offering costs — Offering costs incurred in connection with the organization of Classes C and I in the First Eagle Gold Fund are being amortized on a straight-line basis over a twelve-month period from the date the classes commenced investment operations.

c) Investment transactions and income — Investment transactions are accounted for on a trade date basis. The specific identification method is used in determining realized gains and losses from investment transactions. Dividend income is recorded on the ex-dividend date. Interest income is recorded daily on the accrual basis. In computing investment income, each Fund amortizes discounts on debt obligations; however, premiums are not amortized. Investment income is allocated to each Fund’s share class in proportion to its relative net assets.

d) Expenses — Expenses arising in connection with a Fund are charged directly to that Fund. Expenses common to all Funds are allocated to each Fund in proportion to its relative net assets. Earnings credits reduce accounting fees by the amount of interest earned on balances with such service provider.

e) Foreign currency translation — The market values of securities which are not traded in U.S. currency are recorded in the financial statements after translation to U.S. dollars based on the applicable exchange rates at the end of the period. The costs of such securities are translated at exchange rates prevailing when acquired. Related dividends, interest and withholding taxes are accrued at the rates of exchange prevailing on the respective dates of such transactions.

The net assets of each of the Funds are presented at the foreign exchange rates and market values at the close of the period. The Funds do not isolate that portion of gains and losses on investments which is due to changes in foreign exchange rates from that which is due to changes in market prices of the equity securities. However, for federal income tax purposes each Fund does isolate the effect of changes in foreign exchange rates from the changes in market prices for realized gains and losses on debt obligations.

f) Forward currency contracts — In connection with portfolio purchases and sales of securities denominated in foreign currencies, the Funds may enter into forward currency contracts. Additionally, each Fund may enter into such contracts to hedge certain other foreign currency denominated investments. These contracts are valued at current market, and the related realized and unrealized foreign exchange gains and losses are included in the statement of operations. In the event that counterparties fail to settle

59

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

these currency contracts or the related foreign security trades, a Fund could be exposed to foreign currency fluctuations.

g) Options—In order to produce incremental earnings or protect against changes in the value of portfolio securities, the First Eagle Fund of America may buy and sell put and call options, write covered call options on portfolio securities and write cash-secured put options.

First Eagle Fund of America generally writes covered call option or purchases put options to hedge against adverse movements in the value of portfolio holdings. First Eagle Fund of America may also use options for speculative purposes. First Eagle Fund of America will segregate assets to cover its obligations under option contracts.

Options contracts are valued daily based upon the last sale price on the principal exchange on which the option is traded and unrealized appreciation/depreciation is recorded. If there is no sale on such day, the mean between the last bid and asked prices is used. First Eagle Fund of America will realize a gain or loss upon the expiration or closing of the option transaction. When an option is exercised, the proceeds on the sale of a written call option, the purchase cost of a written put option, or the cost of the security for a purchased put or call option is adjusted by the amount of premium received or paid. When a written option expires, First Eagle Fund of America will realize a gain equal to the amount of the premium received. When First Eagle Fund of America enters into a closing purchase transaction, First Eagle Fund of America will realize a gain (or loss, if the cost of the closing purchase transaction exceeds the premium received when the option was written) without regard to any unrealized gain or loss on the underlying security and the liability related to such option is eliminated.

The risk in writing a call option is that the Fund gives up the opportunity for profit if the market price of the security increases and the option is exercised. The risk in writing a put option is that First Eagle Fund of America may incur a loss if the market price of the security decreases and the option is exercised. First Eagle Fund of America also has the additional risk of not being able to enter into a closing transaction if a liquid secondary market does not exist. The Fund may also write over-the-counter options where the completion of the obligation is dependent upon the credit standing of the counterparty.

h) Short Sales—The First Eagle Fund of America may seek to realize additional gains through short sale transactions in securities listed on one or more national security exchanges, or in unlisted securities. At the time a short sale is effected, the Fund incurs an obligation to replace the security borrowed at whatever its price may be at the time the Fund purchases it for delivery to the lender. The price at such time may be more or less than the price at which the security was sold by the Fund. Until the security is replaced, the Fund is required to pay the lender amounts equal to any dividend or interest that accrues during the period of the loan. To borrow the security, the Fund may also be required to

60

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

pay a premium. The proceeds of the short sale will be retained by the broker, to the extent necessary to meet margin requirements, until the short position is closed.

i) United States income taxes—No provision has been made for U.S. federal income taxes since it is the intention of each Fund to distribute to shareholders all taxable net investment income and net realized gains on investments, if any, within the allowable time limit, and to comply with the provisions of the Internal Revenue Code for a regulated investment company. First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America declare and pay such income, dividends and capital gains distributions on an annual basis.

j) Distributions to shareholders—Distributions to shareholders, which are determined in accordance with income tax regulations, are recorded on the ex-dividend date.

k) Use of estimates—The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Note 2 — Investment Advisory Agreements and Transactions with Related Persons

Arnhold and S. Bleichroeder Advisers, LLC (the “Adviser”), a wholly owned subsidiary of Arnhold and S. Bleichroeder Holdings, Inc. (“ASB Holdings”), manages the Funds. For its services, the Adviser receives, pursuant to an Investment Advisory Agreement between the Funds and the Adviser (the “Advisory Agreement”) an annual advisory fee as follows: First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund and First Eagle Gold Fund at 0.75% of average daily net assets and First Eagle Fund of America at 1% of average daily net assets. Prior to March 1, 2004, First Eagle Global Fund’s annual advisory fee was at a rate of 1% of the first $25,000,000 and 0.75% in excess of $25,000,000.

The Adviser also performs certain administrative and accounting services on behalf of the Funds, and, in accordance with its agreement with them, the Funds reimburse the Adviser for costs (including personnel, overhead and other costs) related to those services. For the six months ended April 30, 2004, First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America reimbursed the Adviser $886,824, $875,261, $21,130, $91,718 and $104,994, respectively.

Prior to December 31, 2002, the Adviser had agreed to reimburse the First Eagle U.S. Value Fund to the extent that the aggregate annualized expenses exceeded 1.50% for Class A, 1.25% for Class I and 2.25% for Class C of average daily net assets. Additionally, if necessary, the Adviser agreed to reimburse the First Eagle Gold Fund to the extent that the aggregate annualized expenses exceeded 2% for Class I and 3% for Class C of average daily net assets until February 29, 2004. For the period from

61

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

November 1, 2003 to February 29, 2004, the Adviser did not need to reimburse or waive any of First Eagle Gold Fund’s fees.

Pursuant to a subadvisory agreement, dated December 10, 2002 (“Subadvisory Agreement”) with the Adviser/Iridian Asset Management LLC (“Iridian” or the “Subadviser”) manages the investments of the First Eagle Fund of America. Iridian, a registered investment adviser whose primary office is at 276 Post Road West, Westport, CT 06880, is a majority-owned subsidiary of BIAM (US), Inc., a U.S. subsidiary of The Governor and Company of The Bank of Ireland. The fees paid to Iridian by the Adviser under the Subadvisory Agreement are based on a reference amount equal to 50% of the combined (i) fees received by the Adviser for advisory services on behalf of the Fund and (ii) the fees received by the Fund's distributor for its shareholder liaison services on behalf of the Fund. These amounts are reduced by certain direct marketing costs borne by the Adviser in connection with the Fund and, on the day following the second anniversary of the Subadvisory Agreement, will be further reduced by the amount paid by the Adviser for certain administrative expenses incurred in providing services to the Fund.

On December 6, 2002, First Eagle Funds Distributors, a division of ASB Securities LLC, a wholly owned subsidiary of ASB Holdings, took over as principal underwriter. Previously, Arnhold and S. Bleichroeder, Inc. (“ASB”) acted as the Fund's principal underwriter. For the six months ended April 30, 2004, First Eagle Funds Distributors realized $1,365,498, $670,337, $20,406, $200,065 and $11,567, pertaining to the sales of shares of First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America, respectively. For the six months ended April 30, 2004, the broker-dealer affiliate and related party of the Adviser received $120,130, $70,683, $12,543, $250 and $114,468 in broker’s commissions for portfolio transactions executed on behalf of First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America, respectively.

Note 3 — Call Options Written

For the six months ended April 30, 2004, First Eagle Fund of America had the following written options transactions:

 

 

 

Number of
Contracts

 

Premium

 

Options outstanding at October 31, 2003

 

108,979

 

$

26,481,986

 

Options written

 

165,395

 

 

32,178,433

 

Options exercised

 

(27,507

)

 

(5,703,069

)

Options expired/closed

 

(168,586

)

 

(37,949,139

)

Options outstanding at April 30, 2004

 

78,281

 

$

15,008,211

 

As of April 30, 2004, portfolio securities valued at $200,216,625 were segregated to cover collateral requirements for options.

62

FIRST EAGLE FUND

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

Note 4 — Plans of Distribution

Under the terms of the Distribution Plans and Agreements (“the Plans”) with First Eagle Funds Distributors, a division of ASB Securities LLC (“the Distributor”), pursuant to the provisions of Rule 12b-1 under the Investment Company Act of 1940, the First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund and First Eagle Gold Fund pay the Distributor quarterly, a distribution fee with respect to Class A and Class C shares at an annual rate of up to 0.25% and 0.75%, respectively of average daily net assets. In the case of First Eagle Fund of America, it pays the Distributor quarterly, a distribution fee with respect to Class Y, Class C and Class A shares at an annual rate of up to 0.25%, 0.75% and 0.50%, respectively of average daily net assets. Under the Plan, the Distributor is obligated to use the amounts received under the Plans for payments to qualifying dealers for their assistance in the distribution of a Fund's shares and the provision of shareholder services and for other expenses such as advertising costs and the payment for the printing and distribution of prospectuses to prospective investors.

The Distributor bears distribution costs of a Fund to the extent they exceed payments received under the Plan. For the six months ended April 30, 2004 the distribution fees incurred by First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America were $8,349,124, $6,269,370, $147,445, $751,132 and $800,331, respectively.

The Distributor receives an annual service fees with respect to Class C at the annual rate of 0.25% of each portfolio's daily net assets, payable quarterly to cover expenses incurred by the Distributor for providing shareholder liaison services, including assistance with subscriptions, redemptions and other shareholder questions. For the six months ended April 30, 2004 the service fees incurred by First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America were $1,149,606, $776,078, $28,535, $71,944 and $16,394, respectively.

Note 5 — Purchases and Sales of Securities

During the six months ended April 30, 2004 the aggregate cost of purchases of investments, excluding short-term securities, totaled $1,125,773,801, $1,468,238,975, $11,440,191, $141,544,973 and $156,835,475 for First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America, respectively. Proceeds from sales of investments, excluding short-term securities, totaled $118,794,672, $95,075,805, $10,982,148, $21,269,068 and $140,405,894 for First Eagle Global Fund, First Eagle Overseas Fund, First Eagle U.S. Value Fund, First Eagle Gold Fund and First Eagle Fund of America, respectively.

63

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

Note 6 — Capital Stock

Transactions in shares of capital stock were as follows:

 

 

 

Six Months Ended April 30, 2004

 

 

 

First Eagle Global Fund

 

First Eagle Overseas Fund

 

First Eagle U.S. Value Fund

 

 

   

Class A

   

Class I

   

Class C

   

Class A

   

Class I

   

Class C

   

Class A

   

Class I

   

Class C

 

Shares sold

 

32,584,686

 

4,676,128

 

17,078,773

 

66,184,462

 

38,666,174

 

17,204,199

 

1,259,282

 

126,980

 

323,208

 

Shares issued for reinvested dividends and distributions

 

4,532,937

 

286,544

 

662,625

 

4,705,572

 

1,728,029

 

555,313

 

149,669

 

63,241

 

51,688

 

Shares redeemed

 

(5,488,834

)

(576,358

)

(666,063

)

(15,745,471

)

(6,542,419

)

(1,106,343

)

(317,488

)

(279,556

)

(105,549

)

Net increase (decrease)

 

31,628,789

 

4,386,314

 

17,075,335

 

55,144,563

 

33,851,784

 

16,653,169

 

1,091,463

 

(89,335

)

269,347

 

 

 

 

Year Ended October 31, 2003

 

 

 

First Eagle Global Fund

 

First Eagle Overseas Fund

 

First Eagle U.S. Value Fund

 

 

   

Class A

   

Class I

   

Class C

   

Class A

   

Class I

   

Class C

   

Class A

   

Class I

   

Class C

 

Shares sold

 

32,654,841

 

4,213,869

 

15,286,491

 

86,786,012

 

47,620,330

 

17,942,586

 

1,622,789

 

1,164,525

 

721,487

 

Shares issued for reinvested dividends and distributions

 

2,487,922

 

136,645

 

115,612

 

1,016,233

 

291,380

 

43,451

 

98,760

 

42,078

 

38,724

 

Shares redeemed

 

(7,941,822

)

(364,550

)

(536,160

)

(15,274,356

)

2,985,665

 

(792,182

)

(547,775

)

(284,668

)

(150,348

)

Net increase (decrease)

 

27,200,941

 

3,985,964

 

14,865,943

 

7,2527,889

 

44,926,045

 

17,193,855

 

1,173,774

 

921,935

 

609,863

 

Transactions in dollars of capital stock were as follows:

 

 

 

Six Months Ended April 30, 2004

 

 

 

First Eagle Global Fund

 

First Eagle Overseas Fund

 

First Eagle U.S. Value Fund

 

 

  

Class A

  

Class I

  

Class C

  

Class A

   

Class I

  

Class C

  

Class A

  

Class I

  

Class C

 

Shares sold

 

$

1,105,138,372

 

$

158,334,006

 

$

577,647,853

 

$

1,210,497,518

 

$

715,881,990

 

$

310,206,018

 

$

16,479,538

 

$

1,662,795

 

$

4,232,513

 

Shares issued for reinvested
Dividends and distributions

 

 

146,005,902

 

 

9,235,948

 

 

21,349,759

 

 

83,147,446

 

 

30,655,239

 

 

9,745,738

 

 

1,870,866

 

 

795,581

 

 

649,709

 

Shares redeemed

 

 

(185,636,150

)

 

(19,555,991

)

 

(22,507,284

)

 

(292,200,242

)

 

(122,145,449

)

 

(20,468,335

)

 

(4,145,874

)

 

(3,663,675

)

 

(1,386,310

)

Net increase (decrease)

 

$

1,065,508,124

 

$

148,013,963

 

$

576,490,328

 

$

1,001,444,722

 

$

624,391,780

 

$

299,483,421

 

$

14,204,530

 

$

(1,205,299

)

$

3,495,912

 

 

 

 

Year Ended October 31, 2003

 

 

 

First Eagle Global Fund

 

First Eagle Overseas Fund

 

First Eagle U.S. Value Fund

 

 

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

Shares sold

 

$

922,947,919

 

$

116,729,608

 

$

435,266,925

 

$

1,308,683,377

 

$

710,275,625

 

$

271,612,288

 

$

18,117,306

 

$

13,208,473

 

$

8,023,039

 

Shares issued for reinvested
Dividends and distributions

 

 

61,824,872

 

 

3,390,164

 

 

2,871,783

 

 

13,129,730

 

 

3,770,461

 

 

557,908

 

 

1,035,004

 

 

442,242

 

 

405,824

 

Shares redeemed

 

 

(218,011,850

)

 

(9,821,833

)

 

(14,911,282

)

 

(221,303,147

)

 

(45,297,200

)

 

(11,546,344

)

 

(6,159,489

)

 

(3,333,087

)

 

(1,596,168

)

Net increase (decrease)

 

$

766,760,941

 

$

110,297,939

 

$

423,227,426

 

$

1,100,509,960

 

$

668,748,886

 

$

260,632,852

 

$

12,992,821

 

$

10,317,628

 

$

6,832,695

 

64

 

 

Six Months Ended April 30, 2004

 

 

First Eagle Gold Fund

 

First Eagle Fund of America

 

 

Class A

 

Class I

 

Class C

 

Class Y

 

Class C

 

Class A

 

 

9,082,171

 

1,462,587

3,001,103

2,978,384

111,259

208,817

 

 

656,397

62,718

49,358

403,650

10,484

5,626

 

 

(5,726,648

)

(298,008

)

(487,793

)

(3,483,216

)

(39,148

)

(30,163

)

 

4,011,920

 

1,227,297

2,562,668

(101,182

)

82,595

184,280

 

 

 

Year Ended October 31, 2003

 

 

First Eagle Gold Fund

 

First Eagle Fund of America

 

 

Class A

 

Class I

 

Class C

 

Class Y

 

Class C

 

Class A

 

 

24,659,807

1,867,657

2,075,259

6,302,326

250,467

209,886

 

 

54,682

—

 

—

 

—

 

—

 

—

 

 

(10,004,506

)

—

 

(97,757

)

(6,540,488

)

(64,632

)

(38,170

)

 

14,709,983

1,867,657

1,977,502

(238,162

)

185,835

171,716

 

 

 

Six Months Ended April 30, 2004

 

 

First Eagle Gold Fund

 

First Eagle Fund of America

 

 

Class A

 

Class I

 

Class C

 

Class Y

 

Class C

 

Class A

 

 

$

151,013,946

 

$

24,197,445

 

$

50,208,321

 

$

73,380,121

 

$

2,601,147

 

$

5,077,571

 

 

 

11,368,798

 

 

1,087,534

 

 

857,848

 

 

9,441,077

 

 

233,793

 

 

130,181

 

 

 

(93,725,663

)

 

(4,906,883

)

 

(7,803,132

)

 

(84,885,483

)

 

(917,269

)

 

(729,852

)

 

$

68,657,081

 

$

20,378,096

 

$

43,263,037

 

$

(2,064,285

) 

$

1,917,671

 

$

4,477,900

 

 

 

Year Ended October 31, 2003

 

 

First Eagle Gold Fund

First Eagle Fund of America

 

 

Class A

Class I

Class C

Class Y

Class C

Class A

 

 

$

323,636,698

 

$

26,316,183

 

$

30,017,318

 

$

130,546,078

 

$

5,024,667

 

$

4,344,339

 

 

 

605,881

 

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

 

(129,770,660

)

 

—

 

 

(1,357,258

)

 

(133,728,043

)

 

(1,290,231

)

 

(797,894

)

 

$

194,471,919

 

$

26,316,183

 

$

28,660,060

 

$

(3,181,965

)

$

3,734,436

 

$

3,546,445

 

65

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

Note 7 — Commitments

As of April 30, 2004, First Eagle Global Fund and First Eagle Overseas Fund had entered into forward currency contracts, as summarized on the following pages, resulting in net unrealized appreciation of $4,878,357 and $13,817,167, respectively.

FIRST EAGLE GLOBAL FUND

Transaction Hedges:

Foreign Currency Purchases

Settlement
Dates
Through

 

Foreign Currency
To Be Received

 

U.S. $ Value at
April 30, 2004

 

U.S. $ To Be
Delivered

 

Unrealized
Appreciation at
April 30, 2004

 

Unrealized
Depreciation at
April 30, 2004

 

 

5/03/04

 

4,475,146

 

Hong Kong dollar

 

$

573,748

 

$

573,773

 

 

—

 

$

(25

)

 

5/04/04

 

526,012

 

Swiss franc

 

 

405,889

 

 

406,658

 

 

—

 

 

(769

)

 

5/04/04

 

2,341,659

 

Canadian dollar

 

 

1,709,303

 

 

1,705,645

 

$

3,658

 

 

—

 

 

5/04/04

 

3,485,899

 

Singapore dollar

 

 

2,049,022

 

 

2,054,638

 

 

—

 

 

(5,616

)

 

5/04/04

 

6,239,825

 

euro

 

 

7,477,177

 

 

7,403,055

 

 

74,122

 

 

—

 

 

5/05/04

 

861,722

 

South African rand

 

 

123,543

 

 

124,743

 

 

—

 

 

(1,200

)

 

5/05/04

 

1,665,026

 

pound sterling

 

 

2,957,332

 

 

2,951,256

 

 

6,076

 

 

—

 

 

5/05/04

 

3,485,469

 

Singapore dollar

 

 

2,048,769

 

 

2,046,424

 

 

2,345

 

 

—

 

 

5/06/04

 

2,263,401

 

South African rand

 

 

324,497

 

 

326,750

 

 

—

 

 

(2,253

)

 

5/07/04

 

335,619,899

 

Japanese yen

 

 

3,039,622

 

 

3,059,684

 

 

—

 

 

(20,062

)

 

 

 

 

 

 

 

20,708,902

 

 

20,652,626

 

 

86,201

 

 

(29,925

)

 

Foreign Currency Sales

Settlement
Dates
Through

 

Foreign Currency
To Be Delivered

 

U.S. $ To Be
Received

 
U.S. $ Value at
April 30, 2004
Unrealized
Appreciation at
April 30, 2004
Unrealized
Depreciation at
April 30, 2004

 

 
5/04/04
17,543,216
 South African rand
2,532,037
2,515,120
16,917
—

 

 

Portfolio Hedges:

Foreign Currency Sales

Settlement
Dates
Through

 

Foreign Currency
To Be Delivered

 

U.S. $ To Be
Received

 

U.S. $ Value at
April 30, 2004

 

Unrealized
Appreciation at
April 30, 2004

 

Unrealized
Depreciation at
April 30, 2004

 

8/11/04

 

227,614,000

 

euro

 

 

270,835,421

 

 

272,323,874

 

 

—

 

 

(1,488,453

)

8/11/04

 

1,297,000

 

euro

 

 

1,533,354

 

 

1,549,436

 

 

—

 

 

(16,082

)

8/25/04

 

38,178,580,000

 

Japanese yen

 

 

352,735,953

 

 

346,460,140

 

 

6,275,813

 

 

—

 

8/25/04

 

170,229,000

 

Japanese yen

 

 

1,579,997

 

 

1,546,111

 

 

33,886

 

 

—

 

 

 

 

 

 

 

 

626,684,725

 

 

621,879,561

 

 

6,309,699

 

 

(1,504,535

)

 

 

 

 

 

 

$

649,925,664

 

$

645,047,307

 

$

6,412,817

 

$

(1,534,460

)

66

FIRST EAGLE FUNDS

NOTES TO FINANCIAL STATEMENTS (Unaudited) — (Continued)

FIRST EAGLE OVERSEAS FUND

Transaction Hedges:
Foreign Currency Purchases

 

Settlement
Dates
Through

 

Foreign Currency
To Be Received

 

U.S. $ Value at
April 30, 2004

 

U.S. $ To Be
Delivered

 

Unrealized
Appreciation at
April 30, 2004

 

Unrealized
Depreciation at
April 30, 2004

 

5/04/04

 

949,469

 

Swiss franc

 

$

732,643

 

$

728,864

 

$

3,779

 

 

—

 

5/04/04

 

3,209,525

 

Singapore dollar

 

 

1,886,569

 

 

1,891,636

 

 

—

 

$

(5,067

)

5/04/04

 

3,689,258

 

euro

 

 

4,420,834

 

 

4,374,191

 

 

46,643

 

 

—

 

5/05/04

 

861,722

 

South African rand

 

 

123,543

 

 

124,743

 

 

—

 

 

(1,200

)

5/05/04

 

1,384,979

 

pound sterling

 

 

2,459,927

 

 

2,454,957

 

 

4,970

 

 

—

 

5/05/04

 

3,179,760

 

Singapore dollar

 

 

1,869,073

 

 

1,866,882

 

 

2,191

 

 

—

 

5/06/04

 

2,263,401

 

South African rand

 

 

324,497

 

 

326,750

 

 

—

 

 

(2,253

)

5/07/04

 

388,384,581

 

Japanese yen

 

 

3,517,498

 

 

3,545,297

 

 

—

 

 

(27,799

)

 

 

 

 

 

 

 

15,334,584

 

 

15,313,320

 

 

57,583

 

 

(36,319

)

Foreign Currency Sales

Settlement
Dates
Through

 

Foreign Currency
To Be Delivered

 

U.S. $ To Be
Received

 

U.S. $ Value at
April 30, 2004

 

Unrealized
Appreciation at
April 30, 2004

 

Unrealized
Depreciation at
April 30, 2004

 

5/03/04

 

922,388

 

Swiss franc

 

 

705,136

 

 

711,747

 

 

—

 

 

(6,611

)

5/04/04

 

2,153,640

 

Australian dollar

 

 

1,546,960

 

 

1,555,682

 

 

—

 

 

(8,722

)

5/04/04

 

4,656,443

 

euro

 

 

5,538,898

 

 

5,579,811

 

 

—

 

 

(40,913

)

5/05/04

 

17,543,216

 

South African rand

 

 

2,532,036

 

 

2,515,120

 

 

16,916

 

 

—

 

 

 

 

 

 

 

 

10,323,030

 

 

10,362,360

 

 

16,916

 

 

(56,246

)

Portfolio Hedges:
Foreign Currency Sales

Settlement
Dates
Through

 

Foreign Currency
To Be Delivered

 

U.S. $ To Be
Received

 

U.S. $ Value at
April 30, 2004

 

Unrealized
Appreciation at
April 30, 2004

 

Unrealized
Depreciation at
April 30, 2004

 

8/11/04

 

366,399,000

 

euro

 

 

443,940,986

 

 

438,200,268

 

 

5,740,718

 

 

—

 

8/11/04

 

954,000

 

euro

 

 

1,128,577

 

 

1,139,677

 

 

—

 

 

(11,100

)

8/25/04

 

50,135,865,000

 

Japanese yen

 

 

462,942,390

 

 

454,871,618

 

 

8,070,772

 

 

—

 

8/25/04

 

169,754,000

 

Japanese yen

 

 

1,576,641

 

 

1,541,798

 

 

34,843

 

 

—

 

 

 

 

 

 

 

 

909,588,594

 

 

895,753,361

 

 

13,846,333

 

 

(11,100

)

 

 

 

 

 

 

$

935,246,208

 

$

921,429,041

 

$

13,920,832

 

$

(103,665

)

67

FIRST EAGLE FUNDS

FINANCIAL HIGHLIGHTS

 

 

 

Six Months Ended April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

2003

 

2002

 

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

First Eagle Global Fund

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selected Per Share Data*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period

 

$

32.37

 

$

32.41

 

$

32.15

 

$

24.34

 

$

24.36

 

$

24.15

 

$

22.87

 

$

22.89

 

$

22.68

 

Income (loss) from investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income

 

 

0.31

 

 

0.35

 

 

0.18

 

 

0.53

 

 

0.59

 

 

0.30

 

 

0.53

 

 

0.27

 

 

0.72

 

Net realized and unrealized gains (losses) on investments

 

 

2.91

 

 

2.92

 

 

2.90

 

 

8.39

 

 

8.41

 

 

8.38

 

 

1.66

 

 

1.98

 

 

1.29

 

Total income (loss) from investment operations

 

 

3.22

 

 

3.27

 

 

3.08

 

 

8.92

 

 

9.00

 

 

8.68

 

 

2.19

 

 

2.25

 

 

2.01

 

Less distributions:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends from net investment income

 

 

(0.67

)

 

(0.70

)

 

(0.41

)

 

(0.49

)

 

(0.55

)

 

(0.28

)

 

(0.63

)

 

(0.69

)

 

(0.45

)

Distributions from capital gains

 

 

(0.85

)

 

(0.85

)

 

(0.85

)

 

(0.40

)

 

(0.40

)

 

(0.40

)

 

(0.09

)

 

(0.09

)

 

(0.09

)

Total distributions

 

 

(1.52

)

 

(1.55

)

 

(1.26

)

 

(0.89

)

 

(0.95

)

 

(0.68

)

 

(0.72

)

 

(0.78

)

 

(0.54

)

Net asset value, end of period

 

$

34.07

 

$

34.13

 

$

33.97

 

$

32.37

 

$

32.41

 

$

32.15

 

$

24.34

 

$

24.36

 

$

24.15

 

Total Return

 

 

10.22

%b

 

10.36

%b

 

9.78

%b

 

37.75

%

 

38.14

%

 

36.77

%

 

9.76

%

 

10.03

%

 

8.98

%

Ratios and Supplemental Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net assets, end of period (millions)

 

$

4,502

 

$

404

 

$

1,232

 

$

3,255

 

$

242

 

$

617

 

$

1,785

 

$

85

 

$

104

 

Ratio of operating expenses to average net assets i

 

 

1.25

%a

 

1.00

%a

 

2.00

%a

 

1.32

%

 

1.06

%

 

2.07

%

 

1.34

%

 

1.09

%

 

2.10

%

Ratio of net investment income to average net Assets j

 

 

1.85

%a

 

2.09

%a

 

1.09

%a

 

1.91

%

 

2.11

%

 

1.07

%

 

2.14

%

 

2.37

%

 

1.31

%

Portfolio turnover rate

 

 

2.86

%

 

2.86

%

 

2.86

%

 

7.20

%

 

7.20

%

 

7.20

%

 

19.75

%

 

19.75

%

 

19.75

%

______________

* Per share amounts have been calculated using the average shares method.

______________

See Notes to Financial Highlights.

68

 

 

Year Ended October 31,

 

Period from April 1, 2000 to
October 31,

 

Year Ended March 31,

 

 

2001

 

2000

 

2000

 

1999

 

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class Cf

 

Class A

 

Class I

 

Class A

 

Class Id

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

25.47

 

$

25.53

 

$

25.44

 

$

25.05

 

$

25.07

 

$

24.97

 

$

22.90

 

$

22.90

 

$

27.42

 

$

24.59

 

 

 

0.53

 

 

0.58

 

 

0.26

 

 

0.41

 

 

0.45

 

 

0.11

 

 

0.66

 

 

0.71

 

 

0.63

 

 

0.30

 

 

 

1.45

 

 

1.44

 

 

1.53

 

 

0.01

 

 

0.01

 

 

0.36

 

 

4.29

 

 

4.31

 

 

(2.73

)

 

(1.47

)

 

 

1.98

 

 

2.02

 

 

1.79

 

 

0.42

 

 

0.46

 

 

0.47

 

 

4.95

 

 

5.02

 

 

(2.10

)

 

(1.17

)

 

 

(1.39

)

 

(1.47

)

 

(1.36

)

 

—

 

 

—

 

 

—

 

 

(1.07

)

 

(1.12

)

 

(0.83

)

 

—

 

 

 

(3.19

)

 

(3.19

)

 

(3.19

)

 

—

 

 

—

 

 

—

 

 

(1.73

)

 

(1.73

)

 

(1.59

)

 

(0.52

)

 

 

(4.58

)

 

(4.66

)

 

(4.55

)

 

—

 

 

—

 

 

—

 

 

(2.80

)

 

(2.85

)

 

(2.42

)

 

(0.52

)

 

$

22.87

 

$

22.89

 

$

22.68

 

$

25.47

 

$

25.53

 

$

25.44

 

$

25.05

 

$

25.07

 

$

22.90

 

$

22.90

 

 

 

8.96

%

 

9.15

%

 

8.10

%

 

1.68

%b

 

1.83

%b

 

1.88

%b

 

22.19

%

 

22.52

%

 

(7.95

%)

 

(4.72

%)b

 

$

1,512

 

$

35

 

$

11

 

$

1,614

 

$

14

 

$

1

 

$

1,790

 

$

16

 

$

2,063

 

$

12

 

 

 

1.38

%

 

1.14

%

 

2.14

%

 

1.35

%a

 

1.10

%a

 

1.87

%a

 

1.32

%

 

1.07

%

 

1.23

%

 

1.01

%a

 

 

2.24

%

 

2.47

%

 

1.12

%

 

2.78

%a

 

3.04

%a

 

1.10

%a

 

2.68

%

 

2.89

%

 

2.75

%

 

3.04

%a

 

 

28.98

%

 

28.98

%

 

28.98

%

 

11.91

%

 

11.91

%

 

11.91

%

 

15.57

%

 

15.57

%

 

9.89

%

 

9.89

%

69

FIRST EAGLE FUNDS

FINANCIAL HIGHLIGHTS — (Continued)

 

 

 

Six Months Ended April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

2003

 

2002

 

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

First Eagle Overseas Fund

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selected Per Share Data*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period

 

$

17.50

 

$

17.57

 

$

17.28

 

$

12.45

 

$

12.48

 

$

12.30

 

$

11.21

 

$

11.21

 

$

11.15

 

Income (loss) from investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income (loss)

 

 

0.05

 

 

0.07

 

 

(0.02

)

 

0.18

 

 

0.22

 

 

0.07

 

 

0.12

 

 

0.15

 

 

0.02

 

Net realized and unrealized gains(losses) on investments

 

 

1.90

 

 

1.91

 

 

1.89

 

 

5.09

 

 

5.10

 

 

5.04

 

 

1.12

 

 

1.12

 

 

1.13

 

Total income(loss) from investment operations

 

 

1.95

 

 

1.98

 

 

1.87

 

 

5.27

 

 

5.32

 

 

5.11

 

 

1.24

 

 

1.27

 

 

1.15

 

Less distributions:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends from net investment income

 

 

(0.47

)

 

(0.49

)

 

(0.36

)

 

(0.21

)

 

(0.22

)

 

(0.12

)

 

—

 

 

—

 

 

—

 

Distributions from capital gains

 

 

(0.15

)

 

(0.15

)

 

(0.15

)

 

(0.01

)

 

(0.01

)

 

(0.01

)

 

—

 

 

—

 

 

—

 

Total distributions

 

 

(0.62

)

 

(0.64

)

 

(0.51

)

 

(0.22

)

 

(0.23

)

 

(0.13

)

 

—

 

 

—

 

 

—

 

Net asset value, end of period

 

$

18.83

 

$

18.91

 

$

18.64

 

$

17.50

 

$

17.57

 

$

17.28

 

$

12.45

 

$

12.48

 

$

12.30

 

Total Returnc

 

 

11.38

%b

 

11.48

%b

 

10.97

%b

 

42.96

%

 

43.29

%

 

41.91

%

 

11.06

%

 

11.33

%

 

10.31

%

Ratios and Supplemental Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net assets, end of period (millions)

 

$

3,561

 

$

1,807

 

$

731

 

$

2,345

 

$

1,084

 

$

390

 

$

766

 

$

209

 

$

66

 

Ratio of operating expenses to average net assetsi

 

 

1.26

%a

 

1.01

%a

 

2.01

%a

 

1.31

%

 

1.05

%

 

2.05

%

 

1.39

%

 

1.15

%

 

2.15

%

Ratio of net investment income(loss) to average net assetsj

 

 

0.53

%a

 

0.79

%a

 

(0.19

%)a

 

1.23

%

 

1.48

%

 

0.45

%

 

0.96

%

 

1.17

%

 

0.19

%

Portfolio turnover rate

 

 

2.49

%

 

2.49

%

 

2.49

%

 

3.46

%

 

3.46

%

 

3.46

%

 

10.52

%

 

10.52

%

 

10.52

%

______________

* Per share amounts have been calculated using the average shares method.

______________

See Notes to Financial Highlights.

70

 

 

Period from April 1, 2000 to
October 31,

 

Year Ended March 31,

 

 

2001

 

2000

 

2000

 

1999

 

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class Cf

 

Class A

 

Class I

 

Class A

 

Class Id

 

 

$

14.31

 

$

14.34

 

$

14.31

 

$

14.41

 

$

14.43

 

$

14.14

 

$

11.36

 

$

11.37

 

$

13.52

 

$

12.31

 

 

 

0.11

 

 

0.13

 

 

(0.01

)

 

0.19

 

 

0.21

 

 

—

 

 

0.28

 

 

0.31

 

 

0.15

 

 

0.41

 

 

 

0.19

 

 

0.19

 

 

0.21

 

 

(0.29

)

 

(0.30

)

 

0.17

 

 

3.59

 

 

3.59

 

 

(0.97

)

 

(1.10

)

 

 

0.30

 

 

0.32

 

 

0.20

 

 

(0.10

)

 

(0.09

)

 

0.17

 

 

3.87

 

 

3.90

 

 

(0.82

)

 

(0.69

)

 

 

(0.76

)

 

(0.81

)

 

(0.72

)

 

—

 

 

—

 

 

—

 

 

(0.18

)

 

(0.20

)

 

(0.57

)

 

—

 

 

 

(2.64

)

 

(2.64

)

 

(2.64

)

 

—

 

 

—

 

 

—

 

 

(0.64

)

 

(0.64

)

 

(0.77

)

 

(0.25

)

 

 

(3.40

)

 

(3.45

)

 

(3.36

)

 

—

 

 

—

 

 

—

 

 

(0.82

)

 

(0.84

)

 

(1.34

)

 

(0.25

)

 

$

11.21

 

$

11.21

 

$

11.15

 

$

14.31

 

$

14.34

 

$

14.31

 

$

14.41

 

$

14.43

 

$

11.36

 

$

11.37

 

 

 

2.01

%

 

2.19

%

 

1.19

%

 

(0.69

%)b

 

(0.62

%)b

 

1.20

%b

 

34.46

%

 

34.76

%

 

(6.46

%)

 

(5.53

%)b

 

$

409

 

$

61

 

$

6

 

$

390

 

$

28

 

$

1

 

$

450

 

$

27

 

$

453

 

$

3

 

 

 

1.53

%

 

1.28

%

 

2.26

%

 

1.41

%a

 

1.16

%a

 

1.95

%a

 

1.34

%

 

1.15

%

 

1.29

%

 

1.03

%a

 

 

0.91

%

 

1.10

%

 

(0.08

%)

 

2.23

%a

 

2.48

%a

 

(0.05

%)a

 

2.10

%

 

2.14

%

 

2.22

%

 

1.97

%a

 

 

17.27

%

 

17.27

%

 

17.27

%

 

17.28

%

 

17.28

%

 

17.28

%

 

26.62

%

 

26.62

%

 

9.31

%

 

9.31

%

71

FIRST EAGLE FUNDS

FINANCIAL HIGHLIGHTS — (Continued)

 

 

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

2003

 

2002

 

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

Class A

 

Class I

 

Class C

 

First Eagle U.S. Value Fund

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selected Per Share Data*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period

 

$

12.71

 

$

12.76

 

$

12.61

 

$

10.56

 

$

10.59

 

$

10.48

 

$

10.16

 

$

10.16

 

$

10.14

 

Income from investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment income (loss)

 

 

0.14

 

 

0.16

 

 

0.09

 

 

0.19

 

 

0.23

 

 

0.11

 

 

0.13

 

 

0.14

 

 

0.13

 

Net realized and unrealized gains on investments

 

 

0.82

 

 

0.83

 

 

0.82

 

 

2.46

 

 

2.45

#

 

2.43

 

 

0.29

 

 

0.31

 

 

0.23

 

Total income from investment operations

 

 

0.96

 

 

0.99

 

 

0.91

 

 

2.65

 

 

2.68

 

 

2.54

 

 

0.42

 

 

0.45

 

 

0.36

 

Less distributions:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends from net investment income

 

 

(0.32

)

 

(0.31

)

 

(0.14

)

 

(0.16

)

 

(0.17

)

 

(0.07

)

 

—

 

 

—

 

 

—

 

Distributions from capital gains

 

 

(0.32

)

 

(0.32

)

 

(0.32

)

 

(0.34

)

 

(0.34

)

 

(0.34

)

 

(0.02

)

 

(0.02

)

 

(0.02

)

Total distributions

 

 

(0.64

)

 

(0.63

)

 

(0.46

)

 

(0.50

)

 

(0.51

)

 

(0.41

)

 

(0.02

)

 

(0.02

)

 

(0.02

)

Net asset value, end of period

 

$

13.03

 

$

13.12

 

$

13.06

 

$

12.71

 

$

12.76

 

$

12.61

 

$

10.56

 

$

10.59

 

$

10.48

 

Total Returnc

 

 

7.77

%b

 

7.93

%b

 

7.36

%b

 

26.10

%

 

26.34

%

 

25.03

%

 

4.12

%

 

4.41

%

 

3.53

%

Ratios and Supplemental Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net assets, end of period (millions)

 

$

57

 

$

49

 

$

24

 

$

41

 

$

49

 

$

20

 

$

22

 

$

31

 

$

10

 

Ratio of operating expenses to average net assetsi

 

 

1.41

%a

 

1.15

%a

 

2.15

%a

 

1.51

%

 

1.26

%

 

2.26

%

 

1.50

%

 

1.25

%

 

2.25

%

Ratio of net investment income (loss) to average net assetsj

 

 

2.10

%a

 

2.48

%a

 

1.42

%a

 

1.72

%

 

1.99

%

 

0.97

%

 

1.65

%

 

1.85

%

 

0.93

%

Portfolio turnover rate

 

 

11.70

%

 

11.70

%

 

11.70

%

 

33.45

%

 

33.45

%

 

33.45

%

 

22.66

%

 

22.66

%

 

22.66

%

______________

* Per share amounts have been calculated using the average shares method.

______________

See Notes to Financial Highlights.

72

 

 

 

 

 

 

Period from September 4, 2001g to
October 31, 2001

 

 

 

Class A

 

Class I

 

Class C

 

 

 

$

10.00

 

$

10. 00

 

$

10.00

 

 

 

 

—

 

 

—

 

 

(0.02

)

 

 

 

0.16

 

 

0.16

 

 

0.16

 

 

 

 

0.16

 

 

0.16

 

 

0.14

 

 

 

 

—

 

 

—

 

 

—

 

 

 

 

—

 

 

—

 

 

—

 

 

 

 

—

 

 

—

 

 

—

 

 

 

$

10.16

 

$

10.16

 

$

10.14

 

 

 

 

1.60

%b

 

1.60

%b

 

1.40

%b

 

 

$

7

 

$

17

 

$

2

 

 

 

 

1.50

%a

 

1.25

%a

 

2.25

%a

 

 

 

(0.21

%)a

 

0.10

%a

 

(1.02

%)a

 

 

 

2.57

%

 

2.57

%

 

2.57

%

73

FIRST EAGLE FUNDS

FINANCIAL HIGHLIGHTS — (Continued)

 

 

 

Six Months Ended April 30, 2004
(Unaudited)

 

 

     

Class A

         

Class I

         

Class C

 

First Eagle Gold Fund

 

 

 

 

 

 

 

 

 

 

Selected Per Share Data*

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period

 

$

15.99

 

$

16.03

 

$

15.96

 

Income (loss) from investment operations:

 

 

 

 

 

 

 

 

 

 

Net investment (loss) income

 

 

(0.06

)

 

(0.04

)

 

(0.12

)

Net realized and unrealized (losses) gains on investments

 

 

(1.31

)

 

(1.32

)

 

(1.32

)

Total income (loss) from investment operations

 

 

(1.37

)

 

(1.36

)

 

(1.44

)

Less distributions:

 

 

 

 

 

 

 

 

 

 

Dividends from net investment income

 

 

(0.56

)

 

(0.58

)

 

(0.46

)

Total distributions

 

 

(0.56

)

 

(0.58

)

 

(0.46

)

Net asset value, end of period

 

$

14.06

 

$

14.09

 

$

14.06

 

Total Returnc

 

 

(9.23

%)b

 

(9.16

%)b

 

(9.57

%)b

Ratios and Supplemental Data

 

 

 

 

 

 

 

 

 

 

Net assets, end of period (millions)

 

$

385

 

$

44

 

$

64

 

Ratio of operating expenses to average net assetsi

 

 

1.41

%a

 

1.18

%a

 

2.17

%a

Ratio of net investment (loss) income to average net assetsj

 

 

(0.73

%)a

 

(0.47

%)a

 

(1.45

%)a

Portfolio turnover rate

 

 

0.67

%

 

0.67

%

 

0.67

%

______________

* Per share amounts have been calculated using the average shares method.

______________

See Notes to Financial Highlights.

74

 

Year Ended October 31,

 

Period from
April 1, 2000 to
October 31,

 

Year Ended March 31,

 

2003

 

2002

 

2001

 

2000

 

2000

 

1999

 

Class A

 

Class Ih

 

Class Ch

 

Class A

 

Class A

 

Class A

 

Class A

 

Class A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

10.41

 

$

12.41

 

$

12.41

 

$

6.17

 

$

4.44

 

$

5.17

 

$

5.44

 

$

7.31

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.06

)

 

(0.02

)

 

(0.09

)

 

0.01

 

 

0.02

 

 

0.09

 

 

0.15

 

 

0.16

 

 

5.72

 

 

3.64

 

 

3.64

 

 

4.30

 

 

1.92

 

 

(0.82

)

 

(0.27

)

 

(1.82

)

 

5.66

 

 

3.62

 

 

3.55

 

 

4.31

 

 

1.94

 

 

(0.73

)

 

(0.12

)

 

(1.66

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.08

)

 

—

 

 

—

 

 

(0.07

)

 

(0.21

)

 

—

 

 

(0.15

)

 

(0.21

)

 

(0.08

)

 

—

 

 

—

 

 

(0.07

)

 

(0.21

)

 

—

 

 

(0.15

)

 

(0.21

)

$

15.99

 

$

16.03

 

$

15.96

 

$

10.41

 

$

6.17

 

$

4.44

 

$

5.17

 

$

5.44

 

 

54.64

%

 

29.17

%b

 

28.61

%b

 

70.70

%

 

45.19

%

 

(14.12

%)b

 

(2.52

%)

 

(22.77

%)

$

374

 

$

30

 

$

32

 

$

90

 

$

13

 

$

10

 

$

13

 

$

18

 

 

1.49

%

 

1.23

%a

 

2.19

%a

 

1.66

%

 

2.65

%

 

2.56

%a

 

2.15

%

 

1.62

%

 

(0.43

%)

 

(0.24

%)a

 

(1.26

%)a

 

0.09

%

 

0.36

%

 

2.92

%a

 

2.15

%

 

1.62

%

 

0.98

%

 

0.98

%

 

0.98

%

 

4.27

%

 

29.16

%

 

11.66

%

 

15.70

%

 

37.73

%


75

FIRST EAGLE FUNDS

FINANCIAL HIGHLIGHTS — (Continued)

 

 

 

 

 

 

 

 

 

Year Ended October 31,

 

 

 

Six Months Ended April 30, 2004
(Unaudited)

 

2003

 

2002

 

 

 

Class Y

 

Class C

 

Class A

 

Class Y

 

Class C

 

Class A

 

Class Y

 

Class C

 

Class A

 

First Eagle Fund of America

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selected Per Share Data*

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net asset value, beginning of period.

 

$

23.03

 

$

21.99

 

$

22.80

 

$

19.47

 

$

18.73

 

$

19.29

 

$

20.87

 

$

20.24

 

$

20.72

 

Income (loss) from investment operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net investment (loss) income.

 

 

(0.05

)

 

(0.14

)

 

(0.08

)

 

(0.17

)

 

(0.31

)

 

(0.22

)

 

(0.17

)

 

(0.32

)

 

(0.22

)

Net realized and unrealized gains (losses) on investments

 

 

2.30

 

 

2.20

 

 

2.32

 

 

3.73

 

 

3.57

 

 

3.73

 

 

(0.66

)

 

(0.62

)

 

(0.64

)

Total income (loss) from investment operations.

 

 

2.25

 

 

2.06

 

 

2.24

 

 

3.56

 

 

3.26

 

 

3.51

 

 

(0.83

)

 

(0.94

)

 

(0.86

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less distributions:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Distributions from capital gains

 

 

(0.47

)

 

(0.47

)

 

(0.47

)

 

—

 

 

—

 

 

—

 

 

(0.57

)

 

(0.57

)

 

(0.57

)

Total distributions

 

 

(0.47

)

 

(0.47

)

 

(0.47

)

 

—

 

 

—

 

 

—

 

 

(0.57

)

 

(0.57

)

 

(0.57

)

Net asset value, end of period

 

$

24.81

 

$

23.58

 

$

24.57

 

$

23.03

 

$

21.99

 

$

22.80

 

$

19.47

 

$

18.73

 

$

19.29

 

Total Returnc

 

 

9.87

%b

 

9.47

%b

 

9.93

%b

 

18.28

%

 

17.41

%

 

18.20

%

 

(4.21

%)

 

(4.90

%)

 

(4.39

%)

Ratios and Supplemental Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net assets, end of period (millions)

 

$

594

 

$

14

 

$

11

 

$

554

 

$

11

 

$

6

 

$

473

 

$

6

 

$

2

 

Ratio of operating expenses to average net assetsi

 

 

1.47

%a

 

2.22

%a

 

1.72

%a

 

1.50

%

 

2.25

%

 

1.75

%

 

1.51

%

 

2.26

%

 

1.76

%

Ratio of net investment loss to average net assetsj

 

 

(0.41

%)a

 

(1.16

%)a

 

(0.68

%)a

 

(0.79

%)

 

(1.55

%)

 

(1.07

%)

 

(0.82

%)

 

(1.57

%)

 

(1.07

%)

Portfolio turnover rate.

 

 

25.56

%

 

25.56

%

 

25.56

%

 

47.88

%

 

47.88

%

 

47.88

%

 

51.25

%

 

51.25

%

 

51.25

%

______________

* Per share amounts have been calculated using the average shares method.

______________

See Notes to Financial Highlights.

76

 

Year Ended October 31,

 

2001

 

2000

 

1999

 

Class Y

 

 

Class C

 

 

Class A

 

 

Class Y

 

 

Class C

 

 

Class A

 

 

Class Y

 

 

Class C

 

 

Class Ae

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

20.07

 

 

$

19.62

 

 

$

19.98

 

 

$

20.46

 

 

$

20.18

 

 

$

20.42

 

 

$

21.53

 

 

$

21.43

 

 

$

20.33

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.06

)

 

 

(0.21

)

 

 

(0.11

)

 

 

(0.03

)

 

 

(0.17

)

 

 

(0.08

)

 

 

0.07

 

 

 

(0.20

)

 

 

(0.09

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1.01

 

 

 

0.98

 

 

 

1.00

 

 

 

1.18

 

 

 

1.15

 

 

 

1.18

 

 

 

2.45

 

 

 

2.54

 

 

 

1.93

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

0.95

 

 

 

0.77

 

 

 

0.89

 

 

 

1.15

 

 

 

0.98

 

 

 

1.10

 

 

 

2.52

 

 

 

2.34

 

 

 

1.84

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.15

)

 

 

(0.15

)

 

 

(0.15

)

 

 

(1.54

)

 

 

(1.54

)

 

 

(1.54

)

 

 

(3.59

)

 

 

(3.59

)

 

 

(1.75

)

 

(0.15

)

 

 

(0.15

)

 

 

(0.15

)

 

 

(1.54

)

 

 

(1.54

)

 

 

(1.54

)

 

 

(3.59

)

 

 

(3.59

)

 

 

(1.75

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

20.87

 

 

$

20.24

 

 

$

20.72

 

 

$

20.07

 

 

$

19.62

 

 

$

19.98

 

 

$

20.46

 

 

$

20.18

 

 

$

20.42

 

 

4.8

%

 

 

4.0

%

 

 

4.5

%

 

 

6.1

%

 

 

5.2

%

 

 

5.8

%

 

 

12.1

%

 

 

11.2

%

 

 

8.6

%b

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

393

 

 

$

6

 

 

$

1

 

 

$

377

 

 

$

7

 

 

$

1

 

 

$

536

 

 

$

20

 

 

$

2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1.4

%

 

 

2.2

%

 

 

1.7

%

 

 

1.4

%

 

 

2.2

%

 

 

1.7

%

 

 

1.4

%

 

 

2.1

%

 

 

1.6

%a

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.3

%)

 

 

(1.0

%)

 

 

(0.5

%)

 

 

(0.2

%)

 

 

(0.9

%)

 

 

(0.4

%)

 

 

0.3

%

 

 

(0.9

%)

 

 

(0.4

%)a

 

83

%

 

 

83

%

 

 

83

%

 

 

55

%

 

 

55

%

 

 

55

%

 

 

89

%

 

 

89

%

 

 

89

%


77

FIRST EAGLE FUNDS

NOTES TO FINANCIAL HIGHLIGHTS

a

Annualized

b

Not annualized

c

Does not give effect to the deduction of the CDSC (Contingent Deferred Sales Charge) of 1.00%.

d

July 31, 1998 inception date

e

November 20, 1998 inception date

f

June 5, 2000 inception date

g

September 4, 2001 inception date

h

May 15, 2003 inception date

i

The ratio of operating expenses to average net assets without the effect of earnings credits and in the case of the First Eagle U.S. Value Fund, without the effect of earnings credits and expense reimbursements are as follows:

 

 

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

 

 

 

2003

 

 

2002

 

 

 

Class A

 

 

Class I

 

 

Class C

 

 

Class A

 

 

Class I

 

 

Class C

 

 

Class A

 

 

Class I

 

 

Class C

 

First Eagle Global Fund

 

1.25

%

 

1.00

%

 

2.00

%

 

1.32

%

 

1.07

%

 

2.07

%

 

1.34

%

 

1.10

%

 

2.10

%

First Eagle Overseas Fund

 

1.26

%

 

1.01

%

 

2.01

%

 

1.31

%

 

1.06

%

 

2.05

%

 

1.40

%

 

1.15

%

 

2.15

%

First Eagle U.S. Value Fund

 

1.41

%

 

1.15

%

 

2.15

%

 

1.51

%

 

1.26

%

 

2.26

%

 

1.92

%

 

1.69

%

 

2.67

%

First Eagle Gold Fund

 

1.41

%

 

1.18

%

 

2.17

%

 

1.50

%

 

1.23

%ah

 

2.19

%ah

 

1.67

%

 

—   

 

 

—   

 

 

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

 

 

 

2003

 

2002

 

 

 

Class Y

 

 

Class C

 

 

Class A

 

 

Class Y

 

 

Class C

 

 

Class A

 

 

Class Y

 

 

Class C

 

 

Class A

 

First Eagle Fund of America

 

1.47

%

 

2.22

%

 

1.72

%

 

1.50

%

 

2.25

%

 

1.75

%

 

1.51

%

 

2.26

%

 

1.76

%

J

The ratio of net investment income to average net assets without the effect of earnings credits and in the case of the First Eagle U.S. Value Fund, without the effect of earnings credits and expense reimbursements are as follows:

 

 

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

 

 

 


2003

 


2002

 

 

 

Class A

 

 

Class I

 

 

Class C

 

 

Class A

 

 

Class I

 

 

Class C

 

 

Class A

 

 

Class I

 

 

Class C

 

First Eagle Global Fund

 

1.85

%

 

2.09

%

 

1.09

%

 

1.91

%

 

2.10

%

 

1.07

%

 

2.14

%

 

2.37

%

 

1.31

%

First Eagle Overseas Fund

 

0.53

%

 

0.79

%

 

(0.19

%)

 

1.23

%

 

1.48

%

 

0.45

%

 

0.96

%

 

1.17

%

 

0.19

%

First Eagle U.S. Value Fund

 

2.10

%

 

2.48

%

 

1.42

%

 

1.72

%

 

1.99

%

 

0.97

%

 

2.08

%

 

2.29

%

 

1.35

%

First Eagle Gold Fund

 

(0.74

%)

 

(0.47

%)

 

(1.45

%)

 

(0.43

%)

 

(0.25

%)ah

 

(1.26

%)ah

 

0.08

%

 

—   

 

 

—   

 

 

 

 

 

Six Months Ended
April 30, 2004
(Unaudited)

 

Year Ended October 31,

 

 

 

Class Y

 

Class C

 

Class A

 

Class Y

 

Class C

 

Class A

 

First Eagle Fund of America

 

(0.41

%)

(1.16

%)

(0.68

%)

(0.79

%)

(1.55

%)

(1.07

%)


78


 

 

Year Ended October 31,

 

 

Period from April 1, 2000 to October 31,

 

Year Ended March 31,

2001

 

 

2000

 

 

2000

 

1999

Class A

 

 

Class I

 

 

Class C

 

 

Class Aa

 

 

Class Ia

 

 

Class Cag

 

 

Class A

 

 

Class I

 

 

Class A

 

 

Class Iae

 

1.39

%

 

1.14

%

 

2.14

%

 

1.36

%

 

1.11

%

 

1.85

%

 

1.32

%

 

1.07

%

 

1.24

%

 

1.63

%

1.53

%

 

1.28

%

 

2.26

%

 

1.41

%

 

1.16

%

 

1.94

%

 

1.34

%

 

1.15

%

 

1.29

%

 

1.21

%

3.33

%ag

 

3.16

%ag

 

4.05

%ag

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

2.66

%

 

—

 

 

—

 

 

2.59

%

 

—

 

 

—

 

 

2.16

%

 

—

 

 

1.64

%

 

—

 

Year Ended October 31,

 

2001

 

2000

 

1999

 

Class Y

 

 

Class C

 

 

Class A

 

 

Class Y

 

 

Class C

 

 

Class A

 

 

Class Y

 

 

Class C

 

 

Class Aaf

 

 

1.4

%

 

2.2

%

 

1.7

%

 

1.4

%

 

2.2

%

 

1.7

%

 

1.4

%

 

2.1

%

 

1.6

%

 

 

 

Year Ended October 31,

 

 

Period from April 1, 2000 to
October 31,

 

Year Ended March 31,

2001

 

 

2000

 

 

2000

 

1999

Class A

 

 

Class I

 

 

Class C

 

 

Class Aa

 

 

Class Ia

 

 

Class Cag

 

 

Class A

 

 

Class I

 

 

Class A

 

 

Class Iae

 

2.24

%

 

2.47

%

 

1.12

%

 

2.78

%

 

3.03

%

 

1.11

%

 

2.66

%

 

2.87

%

 

2.74

%

 

2.42

%

0.91

%

 

1.10

%

 

(1.08

%)

 

2.23

%

 

2.48

%

 

(0.06

%)

 

2.10

%

 

2.14

%

 

2.22

%

 

1.79

%

1.62

%ag

 

2.02

%ag

 

0.80

%ag

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

 

—

 

0.35

%

 

—

 

 

—

 

 

2.89

%

 

—

 

 

—

 

 

2.24

%

 

—

 

 

1.99

%

 

—

 

 

 


79


FIRST EAGLE FUNDS

ADDITIONAL INFORMATION
(Unaudited)

MANAGEMENT OF THE COMPANY

The business of the Company is managed by its Board of Trustees, which elects officers responsible for the day to day operations of the Funds and for the execution of the policies formulated by the Board of Trustees.

Pertinent information regarding the members of the Board of Trustees and principal officers of the Company is set forth below. Some of the Trustees and officers are employees of the Adviser and its affiliates. At least a majority of the Company's Board of Trustees are not “interested persons” as that term is defined in the Investment Company Act.

INDEPENDENT TRUSTEES(1)

 

Name, Age and Address

 

Position (s)
Held With 
the Company

 

Term of
Office(2)
and
Length of
Time
Served

 

Principal
Occupation(s)
During Past 5 Years

 

Number of
Portfolios
in the Fund
Complex
Overseen by
Trustee

 

Other
Directorships/
Trusteeships
Held by Trustee

 

 

 

 

 

 

 

 

 

 

 

 

 

Candace K. Beinecke.
One Battery Park Plaza
New York, New York 10004
(born December 1946)

 

Trustee
(Chair)

 

December 1999 to present

 

Chair, Hughes Hubbard & Reed

 

6

 

Director, ALSTOM; Director, Jacob's Pillow Dance Festival, Inc.; Trustee, Merce Cunningham Dance Foundation, Inc.; Trustee, First Eagle Variable Funds (Chair) (1 portfolio)

 

Jean D. Hamilton(3).
1345 Avenue of the Americas
New York, New York 10105
(born January 1947)

 

Trustee

 

March
2003 to present

 

Independent Consultant/Private Investor; prior to November 2002, Chief Executive Officer, Prudential Institutional, and Executive Vice President, Prudential Financial, Inc.; prior to November 1998, various executive positions within the Prudential organization

 

6

 

Director, Women's Economic Round Table; Director, NewYork Women's Forum(Treasurer, New York Women's Forum Education Fund); Director, Four Nations; Trustee, First Eagle Variable Funds (1 portfolio)

 

William M. Kelly
500 Fifth Avenue,
50th Floor
New York, New York10110
(born February 1944)

 

Trustee

 

December 1999 to present

 

Senior Associate, Lingold Associates

 

6

 

Trustee, New York Foundation; Treasurer and Trustee, Black Rock Forest Consortium; Trustee, First Eagle Variable Funds, (1 portfolio)

 

Paul J. Lawler
One Michigan Avenue
East Battle Creek,
Michigan 49017
(born May 1948)

 

Trustee

 

March 2002 to present

 

Vice President Investments and Chief Investment Officer, W.K. Kellogg Foundation; prior to June 1997, Vice President for Finance, Renssalaer Polytechnic Institute

 

6

 

Director, Junior Achievement of Southwest Michigan; Finance Committee Member, Battle Creek Community Foundation; Custody Advisory Committee Member, The Bank of New York; Trustee, First Eagle Variable Funds (1 portfolio)

 

80


 

Name, Age and Address

 

Position(s)
Held With
the
Company

 

Term of
Office(2)
and
Length of
Time
Served

 

Principal
Occupation(s)
During Past 5 Years

 

Number of
Portfolios
in the Fund
Complex
Overseen by
Trustee

 

Other
Directorships/
Trusteeships
Held by Trustee

 

 

 

 

 

 

 

 

 

 

 

 

 

Dominique Raillard
15 Boulevard Delessert
75016 Paris France
(born June 1938)

 

Trustee

 

April 1987 to present

 

Independent Consultant/Private Investor; prior to December 2001, Managing Director of Act 2 International (Consulting)

 

6

 

Trustee, First Eagle Variable Funds (1 portfolio)

 

Nathan Snyder
1345 Avenue of the Americas
New York, New York 10105
(born October 1934)

 

Trustee

 

March 1983 to present

 

Independent Consultant/Private Investor

 

6

 

Trustee, First Eagle Variable Funds (1 portfolio)

 

______________

(1)

Trustees who are not “interested persons” of the Company as defined in the Investment Company Act.

(2)

The term of office of each Trustee expires on his/her 70th birthday.

(3)

Ms. Hamilton was previously employed by certain of the Prudential companies, which provide portfolio brokerage and distribution services with respect to the Funds. She retired from her positions with those companies on November 16, 2002.



81


INTERESTED TRUSTEES(1)

 

Name, Age and Address

 

Position(s)
Held With
the
Company

 

Term of
Office(2)
and
Length of
Time
Served

 

Principal
Occupation(s)
During Past 5 Years

 

Number of
Portfolios
in the Fund
Complex
Overseen by
Trustee

 

Other
Directorships/
Trusteeships
Held by Trustee

 

 

 

 

 

 

 

 

 

 

 

 

 

John P. Arnhold
1345 Avenue of the Americas
New York, New York 10105
(born December 1953)

 

Co-President,
Trustee

 

December1999 to present

 

Co-President, Co-CEO and Director, Arnhold and S. Bleichroeder Holdings, Inc.; Chairman, CEO and Director, Arnhold and S. Bleichroeder Advisers, LLC and ASB Securities LLC; President and Director, Natexis Bleichroeder, Inc. and Natexis Bleichroeder, UK Ltd.; President, WorldVest, Inc.

 

6

 

Director, Aquila International Fund, Ltd.; Director, Arnhold Ceramics; Co-President and Trustee, First Eagle Variable Funds (1 portfolio)

 

James E. Jordan
1345 Avenue of the Americas
New York, New York10105
(born April 1944)

 

Trustee

 

December1999 to present

 

Managing Director, Arnhold and S Bleichroeder Advisers, LLC and Director, ASB Securities LLC and ASB Advisers UK, Ltd. since July 2002; prior thereto, private investor and consultant to The Jordan Company (private investment banking firm) since June 1997; prior thereto, President and Chief Investment Officer of The William Penn Company (a registered investment adviser)

 

6

 

Director, Leucadia National Corporation Director, Empire Insurance Company; Director J.Z. Equity Partners, Plc (U.K investment trust company); Director, Columbia University School of International and Public Affairs; Chairman's Council, Conservation International; Trustee, First Eagle Variable Funds (1 portfolio)

 

______________

(1)

Trustees who are “interested persons” of the Company as defined in the Investment Company Act. Each of Messrs. Arnhold and Jordan is an interested person of the Company by virtue of being an officer or an officer and/or Trustee of the investment adviser and principal underwriter to the Company.

(2)

The term of office of each Trustee expires on his/her 70th birthday.



82


OFFICERS

 

Name, Age and Address

 

Position(s)
Held With
the Company

 

Term of Office
and Length of
Time Served (1)

 

Principal Occupation(s)
During Past Five (5) Years

 

 

 

 

 

 

 

 

 

John P. Arnhold
1345 Avenue of the Americas
New York, New York 10105
(born December 1953)

 

Co-President; Director

 

December 1999 to present

 

See table above related to Interested Trustees

 

Jean-Marie Eveillard
1345 Avenue of the Americas
New York, New York 10105
(born January 1940)

 

Co-President (portfolio manager)

 

December 1999 to present (with portfolio management responsibility since 1979)

 

Senior Vice President, Arnhold and S. Bleichroeder Advisers, LLC; Co-President, First Eagle Variable Funds; prior to 1999, Director and President or Executive Vice President of Societe Generale Asset Management Corp.

 

Charles de Vaulx
1345 Avenue of the Americas
New York, New York 10105
(born October 1961)

 

Senior Vice President (portfolio manager)

 

December 1999 to present (with portfolio management responsibility since December 1996)

 

Senior Vice President, Arnhold and S. Bleichroeder Advisers, LLC; Senior Vice President, First Eagle Variable Funds; Senior Vice President, Societe Generale Asset Management Corp. since 1998, Associate Portfolio Manager from December 1996, Securities Analyst, prior to December 1996

 

Robert Bruno
1345 Avenue of the Americas
New York, New York 10105
(born June 1964)

 

Vice President, Secretary and Treasurer

 

December 1999 to present

 

Senior Vice President, Arnhold and S. Bleichroeder Advisers, LLC; Senior Vice President, ASB Securities LLC; Vice President, Secretary and Treasurer, First Eagle Variable Funds

 

Suzan J. Afifi
1345 Avenue of the Americas
New York, New York 10105
(born October 1952)

 

Vice President and Assistant Secretary Funds

 

December 1999 to present

 

Vice President, Arnhold and S. Bleichroeder Advisers LLC; Vice President, ASB Securities LLC; Vice President and Assistant Secretary, First Eagle Variable Funds

 

Andrew DeCurtis
1345 Avenue of the Americas
New York, New York 10105
(born March 1968)

 

Vice President

 

November 2000 to present

 

Vice President, Arnhold and S. Bleichroeder Advisers LLC; Vice President, First Eagle Variable Funds

 

Edwin S. Olsen
1345 Avenue of the Americas
New York, New York 10105
(born September 1939)

 

Vice President

 

November 2000 to present

 

Vice President, Arnhold and S. Bleichroeder Advisers LLC; Vice President, First Eagle Variable Funds; Vice President, SG Cowen Securities Corp. from prior to 1999

 

Andrew Baldauf
1345 Avenue of the Americas
New York, New York 10105
(born March 1967)

 

Assistant Vice President

 

March 2004 to present

 

Vice President, Arnhold and S. Bleichroeder Advisers, LLC; Vice President, ASB Securities LLC; Assistant Vice President, First Eagle Variable Funds

 

Stefanie Spritzler
1345 Avenue of the Americas
New York, New York 10105
(born July 1973)

 

Assistant Treasurer

 

May 2000 to present

 

Vice President, Arnhold and S. Bleichroeder Advisers LLC; Vice President, ASB Securities LLC; Assistant Treasurer, First Eagle Variable Funds

 

Winnie Chin
1345 Avenue of the Americas
New York, New York 10105
(born July 1974)

 

Assistant Treasurer

 

March 2001 to present

 

Assistant Vice President, Arnhold and S. Bleichroeder Advisers LLC; Assistant Treasurer, First Eagle Variable Funds

 

______________

(1)

The term of office of each officer is indefinite.



83


FIRST EAGLE FUNDS

Special Shareholders’ Meeting

A Special Meeting of the Shareholders of First Eagle Funds, Inc. (“First Eagle Funds”) was held on March 31, 2003 (and continued on April 22, 2004 with respect to Proposal 1). The shareholders were asked to vote on four separate proposals. Each proposal and the results of the vote are listed below:

1.

To reorganize First Eagle Funds from a Maryland corporation to a Delaware statutory trust.

 

For

 

5,977,214,220.59

 

Against

 

128,171,695.01

 

Abstain

 

180,839,102.82

 

Representing in Favor (as % of votes outstanding)

 

51.585%

 

2.

To continue the service of John P. Arnhold, Candace K. Beinecke, Jean D. Hamilton, James E. Jordan, William M. Kelly, Paul J. Lawler, Dominique Raillard and Nathan Snyder on the Board of Directors of First Eagle Funds. (As Proposal 1 was approved, these individuals will serve as Trustees on the Board of the new Delaware trust.)

 

John P. Arnhold

 

  

 

 

 

For

 

6,517,391,634.16

 

 

Withhold

 

123,482,798.72

 

 

Representing in Favor (as % of votes present)

 

98.141%

 

 

 

 

 

 

 

Candace K. Beinecke

 

 

 

 

 

For

 

6,522,523,881.77

 

 

Withhold

 

118,350,551.11

 

 

Representing in Favor (as % of votes present)

 

98.218%

 

 

 

 

 

 

 

Jean D. Hamilton

 

 

 

 

 

For

 

6,522,744,680.65

 

 

Withhold

 

118,129,752.23

 

 

Representing in Favor (as % of votes present)

 

98.221%

 

 

 

 

 

 

 

James E. Jordan

 

 

 

 

 

For

 

6,520,997,974.90

 

 

Withhold

 

119,876,457.98

 

 

Representing in Favor (as % of votes present)

 

98.195%

 

 

 

 

 

 

 

William M. Kelly

 

 

 

 

 

For

 

6,521,611,938.67

 

 

Withhold

 

119,262,494.21

 

 

Representing in Favor (as % of votes present)

 

98.204%

 

 

 

 

 

 

 

Paul J. Lawler

 

 

 

 

 

For

 

6,525,294,291.79

 

 

Withhold

 

115,580,141.09

 

 

Representing in Favor (as % of votes present)

  

98.260%

 

 



84


 

Dominique Raillard

 

  

 

 

 

For

 

6,518,689,427.14

 

 

Withhold

 

122,185,005.74

 

 

Representing in Favor (as % of votes present)

 

98.160%

 

 

 

 

 

 

 

Nathan Snyder

 

 

 

 

 

For

 

6,517,338,907.78

 

 

Withhold

 

123,535,525.10

 

 

Representing in Favor (as % of votes present)

  

98.140%

 

 

3.

To approve changes to three fundamental investment restrictions affecting various portfolios of First Eagle Funds.

•

Proposal 3A: To modify the fundamental restriction regarding making loans by the First Eagle Global Fund, the First Eagle Overseas Fund, the First Eagle U.S. Value Fund and the First Eagle Gold Fund to permit these portfolios to purchase or sell loans or other direct debt instruments.

 

First Eagle Global Fund

 

  

 

 

 

For

 

1,994,302,293.64

 

 

Against

 

124,693,834.12

 

 

Abstain

 

84,259,995.36

 

 

Broker Non-votes

 

576,760,384.48

 

 

Representing in Favor (as % of votes present)

 

71.737%

 

 

 

 

 

 

 

First Eagle Overseas Fund

 

 

 

 

 

For

 

2,175,823,460.75

 

 

Against

 

138,721,421.26

 

 

Abstain

 

78,986,632.83

 

 

Broker Non-votes

 

622,947,306.54

 

 

Representing in Favor (as % of votes present)

 

72.131%

 

 

 

 

 

 

 

First Eagle U.S. Value Fund

 

 

 

 

 

For

 

65,598,187.66

 

 

Against

 

1,289,781.26

 

 

Abstain

 

5,732,999.31

 

 

Broker Non-votes

 

22,743,663.28

 

 

Representing in Favor (as % of votes present)

 

68.787%

 

 

 

 

 

 

 

First Eagle Gold Fund

 

 

 

 

 

For

 

247,934,672.85

 

 

Against

 

13,754,808.36

 

 

Abstain

 

7,544,301.18

 

 

Broker-Non-votes

 

64,559,342.72

 

 

Representing in Favor (as % of votes present)

  

74.278%

 

 



85


•

Proposal 3B: To modify the fundamental restriction regarding investments in commodities and commodity contracts by the First Eagle Global Fund and the First Eagle U.S. Value Fund so as to permit each of these Portfolios to purchase or sell precious metals and to purchase or sell precious metals commodity contracts and options on such contracts.

 

First Eagle Global Fund

 

  

 

 

 

For

 

2,004,863,537.91

 

 

Against

 

117,897,956.33

 

 

Abstain

 

80,494,628.88

 

 

Broker Non-votes

 

576,760,384.48

 

 

Representing in Favor (as % of votes present)

 

72.117%

 

 

 

 

 

 

 

First Eagle U.S. Value Fund

 

 

 

 

 

For

 

65,968,623.57

 

 

Against

 

1,091,984.22

 

 

Abstain

 

5,560,360.44

 

 

Broker Non-votes

 

22,743,663.28

 

 

Representing in Favor (as % of votes present)

  

69.175%

 

 

•

Proposal 3C: To reclassify the fundamental restriction regarding investments in bank certificates of deposit and similar instruments by the First Eagle Global Fund and the First Eagle U.S. Value Fund as a non-fundamental investment policy.

 

First Eagle Global Fund

 

  

 

 

 

For

 

2,036,851,528.05

 

 

Against

 

78,469,217.22

 

 

Abstain

 

87,935,377.85

 

 

Broker Non-votes

 

576,760,384.48

 

 

Representing in Favor (as % of votes present)

 

73.268%

 

 

 

 

 

 

 

First Eagle U.S. Value Fund

 

 

 

 

 

For

 

66,338,502.24

 

 

Against

 

754,993.99

 

 

Abstain

 

5,527,472.00

 

 

Broker Non-votes

 

22,743,663.28

 

 

Representing in Favor (as % of votes present)

  

69.563%

 

 

4.

To change the classification of the First Eagle Gold Fund from diversified to non-diversified.

 

First Eagle Gold Fund

 

  

 

 

 

For

 

254,455,592.47

 

 

Against

 

7,928,050.07

 

 

Abstain

 

6.850,139.85

 

 

Broker Non-votes

 

64,559,342.72

 

 

Representing in Favor (as % of votes present)

  

76.232%

 

 



86


 

       

First Eagle Funds
1345 Avenue of the Americas
New York, NY 10105
www.firsteaglefunds.com

 

 

 

 

 

TRUSTEES AND OFFICERS

 

INVESTMENT ADVISER

 

 

Arnhold and S. Bleichroeder Advisers, LLC

Trustees

 

1345 Avenue of the Americas

John P. Arnhold

 

New York, NY 10105

Candace K. Beinecke (Chair)

 

 

Jean D. Hamilton

 

LEGAL COUNSEL

James E. Jordan

 

Shearman & Sterling

William M. Kelly

 

599 Lexington Avenue

Paul J. Lawler

 

New York, NY 10022

Dominique Raillard

 

 

Nathan Snyder

 

CUSTODIAN

 

 

The Bank of New York

Officers

 

One Wall Street

John P. Arnhold

 

New York, NY 10286

Co-President

 

 

 

 

SHAREHOLDER SERVICING AGENT

Jean-Marie Eveillard

 

DST Systems, Inc.

Co-President

 

330 West 9th Street

 

 

Kansas City, MO 64105

Charles de Vaulx

 

(800) 334-2143

Senior Vice President

 

 

 

 

UNDERWRITER

Robert Bruno

 

First Eagle Funds Distributors,

Vice President,

 

a division of ASB Securities LLC

Secretary & Treasurer

 

1345 Avenue of the Americas

 

 

New York, NY 10105

Suzan J. Afifi

 

 

Vice President & Assistant

 

INDEPENDENT AUDITORS

Secretary

 

KPMG LLP

 

 

757 Third Avenue

Edwin S. Olsen

 

New York, NY 10017

Vice President

 

 

 

 

 

Andrew DeCurtis

 

 

Vice President

 

 

 

 

 

Andrew Baldauf

 

 

Assistant Vice President

 

 

 

 

 

Stefanie Spritzler

 

 

Assistant Treasurer

 

 

 

 

 

Winnie Chin

 

 

Assistant Treasurer

 

 
 



  		   


 
The financial information included herein is taken from records of the Funds without examination by the Funds’ independent auditors, who do not express an opinion thereon.
 


 


  		This report is not authorized for distribution to prospective investors unless preceded or accompanied by a currently effective prospectus of First Eagle Funds.



Item 2.

Code of Ethics.

The Registrant has adopted a code of ethics that applies to its principal executive officer and principal financial officer. Copies of the code of ethics may be requested free of charge by calling 1-800-334-2143 (toll free)

Item 3.

Audit Committee Financial Expert.

The Board of Directors of the Registrant has designated Paul J. Lawler and William M. Kelly as Audit Committee Financial Experts. Mr. Lawler and Mr. Kelly are both considered by the Board to be independent directors.

Item 3.

Audit Committee Financial Expert.

The Board of Directors of the Registrant has designated Paul J. Lawler and William M. Kelly as Audit Committee Financial Experts. Mr. Lawler and Mr. Kelly are both considered by the Board to be independent directors.

Item 4.

Principal Accountant Fees and Services

(a) – (d) Aggregate fees billed to the registrant for the last two fiscal years for professional services rendered by the registrant’s principal accountant were as follows:

 

 

 

2003

 

2002

 

 

 

 

 

Audit Fees

 

$

253,545

 

$

228,262

 

Audit-Related Fees

 

 

4,000

 

 

0

 

Tax Fees

 

 

149,752

 

 

125,970

 

All Other Fees

 

 

0

 

 

0

 

Audit fees include amounts related to the audit of the registrant’s annual financial statements and services normally provided by the accountant in connection with statutory and regulatory filings. Audit-related fees include amounts reasonably related to the performance of the audit of the registrant’s financial statements, specifically the issuance of a report on internal controls. Tax fees include amounts related to tax compliance, tax planning, and tax advice. Other fees include the registrant’s pro-rata share of amounts for agreed-upon procedures in conjunction with service contract approvals by the registrant’s Board of Directors/Trustees.

(e)(1)The registrant’s audit committee has adopted a policy whereby audit and non-audit services performed by the registrant’s principal accountant for the registrant, its investment adviser, and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant require pre-approval in advance at regularly scheduled audit committee meetings. If such a service is required between regularly scheduled audit committee meetings, pre-approval may be authorized by one audit committee member with ratification at the next scheduled audit committee meeting. Waiver of pre-approval for audit and non-audit services requiring fees of a de minimis amount is not permitted.

(e)(2) No services included in (b) – (d) above were approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

(f) Not applicable.

(g) The aggregate fees billed for the most recent fiscal year and the preceding fiscal year by the registrant’s principal accountant for non-audit services rendered to the registrant, its investment adviser, and any entity controlling,



controlled by, or under common control with the investment adviser that provides ongoing services to the registrant was $0 in both 2003 and 2002.

(h) Not applicable.

Item 5.

Audit Committee of Listed Registrants

Not applicable at this time.

Item 6.

[Reserved]

Item 7.

Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable at this time.

Item 8.

Purchases of Equity Securities by Close-End Management Investment Company and Affiliated Purchasers.

Not applicable at this time.

Item 9.

Submission of Matters to a Vote of Security Holders.

Not applicable at this time.

Item 10.

Controls and Procedures.

(a) In the opinion of the principal executive officer and principal financial officer, based on their evaluation, the registrant’s disclosure controls and procedures are adequately designed and are operating effectively to ensure (i) that material information relating to the registrant, including its consolidated subsidiaries, is made known to them by others within those entities, particularly during the period in which this report is being prepared; and (ii) that information required to be disclosed by the registrant on Form N-CSR is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms.

(b) There were no changes in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal half-year (the registrant’s second fiscal half-year in the case of an annual report) that have materially affected or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 11.

Exhibits.

(a)(1) Code of ethics required to be disclosed under Item 2 of Form N-CSR: Attached hereto.

(a)(2) Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)): Attached hereto.

(a)(3) Not applicable.

(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)): 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.

 

(Registrant)

 

 

First Eagle Funds


By (Signature and Title)*

 

 


/s/ John P. Arnhold

 

 

 

 

 

 

John P. Arnhold, Co-President


Date 7/8/2004

 

 

 

 



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 (Signature and Title)*

 

 


/s/ John P. Arnhold

 

 

 

 

 

 

John P. Arnhold, Principal Executive Officer


Date 7/8/2004

 

 

 

 

 

 

 

 


By (Signature and Title)*

 

 


/s/ Robert Bruno

 

 

 

 

 

 

Robert Bruno, Principal Financial Officer


Date 7/8/2004

 

 

 

 

*

Print the name and title of each signing officer under his or her signature.