P.O. Box 634, New City, N.Y. 10956
This semi-annual report of Tridan Corp. covers the six-month period from May 1, 2016 to October 31, 2016. As part of this report, we enclose the unaudited financial report for that six-month period and for the corresponding period in 2015.
A schedule of the company’s portfolio holdings at October 31, 2016, consisting entirely of municipal obligations, is included in the financial report. The company invests exclusively in non-voting securities. The company files its complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The company’s Forms N-Q are available on the Commission’s website at http://www.sec.gov. They may be reviewed and copied at the Commission’s Public Reference Room in Washington D.C., and information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.
The net asset value per share at October 31, 2016 was $12.44, compared with $12.43 at October 31, 2015. Net investment income per share was $.11 for the six-month period ended October 31, 2016, compared with $.12 for the six-month period ended October 31, 2015.
At the company’s last annual meeting on July 19, 2016, the reappointment of WeiserMazars LLP as the company’s auditors for the fiscal year ending April 30, 2017 was ratified by the shareholders as follows:
Also at the last annual meeting, the incumbent directors, all of whom are named below, were all reelected to serve as directors until the next annual meeting of shareholders, or until their successors are elected and have qualified.
During the six-month period ended October 31, 2016, no director or officer received any compensation from the company except for fees of $6,000 paid to each director, plus an additional $2,500 to Paul Kramer as chairman of the audit committee. All executive officers of the company as a group (two persons) received compensation (comprised solely of said directors’ fees) aggregating $12,000 during said period (which excludes professional fees paid to the law firm of which I. Robert Harris, secretary of the company, is a member).
At its meeting on June 16, 2016, the Board of Directors unanimously approved the renewal of the company’s investment advisory agreement with J.P. Morgan Investment Management Inc. for the period July 1, 2016 to June 30, 2017. The board considered a variety of material factors and conclusions with respect thereto that formed the basis for the board’s approval, as discussed below.
Throughout the year, the directors received and analyzed a substantial quantity of comprehensive information and written materials, including ongoing analysis of Tridan's existing portfolio and Morgan's recommendations in light of its forecasts for the economy, employment trends, business conditions, federal rate moves, interest trends including comparisons between tax-exempt and taxable bonds, appropriate maturities, quality, yields, diversification, etc. The directors subject Morgan's portfolio management to scrutiny at each board meeting, including examination of transactions completed since the prior meeting and an overview of the entire portfolio. Written materials received by the directors before and during each meeting include reports, statistics, charts, graphs, performance records, comparisons with other funds and the like. Morgan is constantly questioned at great length regarding its views, its recommendations and its performance.
In addition to the foregoing, as requested by Tridan’s corporate counsel pursuant to Section 15(c) of the Investment Company Act of 1940, Morgan submitted its audited financial statements and detailed information regarding Morgan's business, personnel and operations, advisory services, compensation matters, portfolio strategy, investment performance, sources of information, fee comparisons, compliance programs, and other matters of significance to the relationship between Tridan and its investment adviser, all of which material was furnished to each director. The directors reviewed all of this material and discussed the same at length, as well as their own views on Morgan’s previous performance and relationship with Tridan, with particular attention to the following areas:
At each meeting, the directors receive, review and discuss with Morgan’s representatives various data showing Tridan’s portfolio characteristics, including market value, average duration, credit quality, coupon, estimated annual income and yield statistics, and breakdown information regarding duration, credit, and investment sectors. Morgan’s quarterly presentation also includes the portfolio performance over three months, year to date, one year, three years, five years and ten years, compared with the Lipper NY Intermediate Muni Debt Funds, JPMorgan NY Tax Free Bond Fund, Sanford Bernstein NY Muni Fund, and Barclays 1-17 Year NY Muni Bond Index. Based on their review, the directors all agreed that Tridan’s relative investment performance has been satisfactory.
The board’s analysis of the nature, extent and quality of Morgan’s services to Tridan was based on knowledge gained over time from discussions with management and at the board’s regular meetings. In addition, the directors reviewed materials contained in Morgan’s response to Tridan’s 15(c) Questionnaire pursuant to the Investment Company Act of 1940, and its Form ADV under the Investment Advisers Act of 1940 concerning, among much other information, the qualifications, education and experience of Morgan’s personnel involved in rendering those services. As Tridan’s investment adviser, Morgan manages the investment of the Company’s assets, including purchases and sales of securities, and arranges for the periodic transfer of cash required to pay expenses and make distributions to shareholders. Morgan also provides clerical and bookkeeping services, and prepares and issues periodic reports and statements. Its affiliate maintains custody of Tridan’s securities and provides access thereto upon request. The board considered its adviser’s performance of these administrative and support services, including monitoring adherence to the company’s investment policies, guidelines and restrictions, Morgan’s responsiveness to requests by Tridan’s counsel for periodic information, reports and certifications required for compliance with securities laws and regulations, and maintaining and monitoring their respective compliance programs in light of today’s extensive regulatory requirements. The board concluded that the nature, extent and quality of the services provided by Morgan to the company have been and continue to be appropriate and beneficial.
Under its Investment Advisory Agreement with Morgan, Tridan pays an annual fee, computed and payable quarterly, equal to 0.28% (28 basis points) of its net assets under management. The agreement requires Morgan to bear all expenses incurred by it in connection with its activities under the agreement, without any reimbursement from the company. In addition, the annual charge made to Tridan for maintaining custody of the company’s securities, and for custodial-related services rendered by Morgan and its affiliates, is 0.02% (2 basis points) of the assets held in the custody account. In light of the nature, extent and quality of the services received by Tridan from Morgan and its affiliated companies, and comparing the management fees charged by Morgan to other fixed-income investment companies managed by it, all of which are many times larger than Tridan, the Board considers Morgan’s management fee to Tridan to be reasonable.
After full consideration of the above factors, the board concluded unanimously that renewal of the investment advisory agreement with J.P. Morgan Investment Management Inc. was in the best interest of Tridan and its shareholders.
Tridan Corp.
Financial Statements
October 31, 2016 and 2015
Tridan Corp. October 31, 2016 and 2015 |
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ACCOUNTANT’S COMPILATION REPORT
To the Shareholders and Board of Directors
Tridan Corp.
We have compiled the accompanying statements of assets and liabilities and schedules of investments in municipal obligations of Tridan Corp. as of October 31, 2016 and 2015, and the related statements of operations for the six months ended October 31, 2016 and 2015 and the related statement of changes in net assets for the six months ended October 31, 2016. We have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or provide any assurance about whether the financial statements are in accordance with accounting principles generally accepted in the United States of America.
Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America and for designing, implementing, and maintaining internal control relevant to the preparation and fair presentation of the financial statements.
Our responsibility is to conduct the compilation in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. The objective of a compilation is to assist management in presenting financial information in the form of financial statements without undertaking to obtain or provide any assurance that there are no material modifications that should be made to the financial statements.
The statement of changes in net assets for the year ended April 30, 2016 was derived from financial statements that were audited by another accounting firm. Their report, dated June 22, 2016, expressed an unqualified opinion thereon, but they have not performed any auditing procedures since that date.
We are not independent with respect to Tridan Corp.
SRV, CPA P.C.
Suffern, NY
December 15, 2016
| Scialo Reimann & Varley 4 Executive Boulevard, Suite 304 Suffern, New York 10901 |
Tel: (845) 533-4690 Fax: (845) 533-4691 www.srvcpa.com |
ACCOUNTANT’S COMPILATION REPORT
To the Shareholders and Board of Directors
Tridan Corp.
We have compiled the accompanying statements of assets and liabilities and schedules of investments in municipal obligations of Tridan Corp. as of October 31, 2016 and 2015, and the related statements of operations for the six months ended October 31, 2016 and 2015 and the related statement of changes in net assets for the six months ended October 31, 2016. We have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or provide any assurance about whether the financial statements are in accordance with accounting principles generally accepted in the United States of America.
Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America and for designing, implementing, and maintaining internal control relevant to the preparation and fair presentation of the financial statements.
Our responsibility is to conduct the compilation in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. The objective of a compilation is to assist management in presenting financial information in the form of financial statements without undertaking to obtain or provide any assurance that there are no material modifications that should be made to the financial statements.
The statement of changes in net assets for the year ended April 30, 2016 was derived from financial statements that were audited by another accounting firm. Their report, dated June 22, 2016, expressed an unqualified opinion thereon, but they have not performed any auditing procedures since that date.
We are not independent with respect to Tridan Corp.
SRV, CPA P.C.
Suffern, NY
December 15, 2016
TRIDAN CORP.
STATEMENTS OF ASSETS AND LIABILITIES
OCTOBER 31, 2016 AND 2015
| | | 2016 | | | 2015 | |
| Assets | | | | | | |
| | | | | | | |
| Investments in municipal obligations, at fair value (original cost - $37,773,993 and $37,155,238, respectively) (amortized cost - $35,792,599 and $35,240,432, respectively) | | $ | 37,702,132 | | | $ | 37,290,665 | |
| Cash and cash equivalents | | | 321,586 | | | | 726,983 | |
| Prepaid expenses and other current assets | | | 6,294 | | | | 6,294 | |
| Accrued interest receivable | | | 482,169 | | | | 506,452 | |
| | | | | | | | | |
| Total assets | | $ | 38,512,181 | | | $ | 38,530,394 | |
| | | | | | | | | |
| Liabilities | | | | | | | | |
| Accrued investment advisory fees | | $ | 39,733 | | | $ | 39,716 | |
| Accrued fees - affiliate | | | 18,718 | | | | 18,812 | |
| Accrued other | | | 12,775 | | | | 13,414 | |
| Common stock redemption payable | | | 389,284 | | | | 7,401 | |
| | | | | | | | | |
| Total liabilities | | | 460,510 | | | | 79,343 | |
| | | | | | | | | |
| Net assets | | $ | 38,051,671 | | | $ | 38,451,051 | |
| | | | | | | | | |
| Analysis of net assets | | | | | | | | |
| Common stock, at $.02 par value, 6,000,000 shares authorized | | $ | 63,982 | | | $ | 63,982 | |
| Paid-in capital | | | 37,816,314 | | | | 37,816,314 | |
| Treasury stock | | | (1,674,181 | ) | | | (1,268,115 | ) |
| Distributable earnings: | | | | | | | | |
| Over distributed net investment income | | | (53,708 | ) | | | (207,109 | ) |
| Undistributed capital gains (losses) | | | (10,267 | ) | | | (4,252 | ) |
| Unrealized appreciation of investments, net | | | 1,909,531 | | | | 2,050,231 | |
| | | | | | | | | |
| Net assets [equivalent to $ 12.44 and $12.43 per share, respectively, based on 3,059,643.6822 shares and 3,092,268.8867 shares of common stock outstanding, respectively] | | $ | 38,051,671 | | | $ | 38,451,051 | |
TRIDAN CORP.
Schedules of Investments in Municipal Obligations October 31, 2016 and 2015
| | | 2016 | | | 2015 |
| | | Principal Amount | | | Amortized Cost | | | Fair Value | | | Principal Amount | | | Amortized Cost | | | Fair Value | |
| | | | | | | | | | | | | | | | | | | |
Insured | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | |
| N.Y. Bond Bank Agency | | | | | | | | | | | | | | | | | | |
| SCH Purpose Revenue | | | | | | | | | | | | | | | | | | |
| 5.0% due December 1,2019 | | $ | 300,000 | | | $ | 336,928 | | | $ | 334,758 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Dormitory Authority Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| Non St Supported Debt St Johns Univ - Insd | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.25% due July 1, 2021 | | | 1,000,000 | | | | 1,039,157 | | | | 1,179,270 | | | | 1,000,000 | | | | 1,047,490 | | | | 1,194,380 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Dormitory Authority Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| City University Sys Ref Cons 5th Gen | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.5% due July 1, 2019 | | | 1,000,000 | | | | 1,024,010 | | | | 1,117,550 | | | | 1,000,000 | | | | 1,033,353 | | | | 1,157,020 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Dormitory Authority Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.5% due May 15, 2018 | | | 1,155,000 | | | | 1,176,197 | | | | 1,236,254 | | | | 1,155,000 | | | | 1,190,038 | | | | 1,292,041 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Sachem Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| NY Holbrook Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.25% due October 15, 2019 | | | 500,000 | | | | 513,941 | | | | 561,370 | | | | 500,000 | | | | 518,614 | | | | 579,445 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| State of NY Dormitory Auth | | | | | | | | | | | | | | | | | | | | | | | | |
| Personal Inc Tax Rev Ref Educ. | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.50 % due March 15, 2025 | | | 500,000 | | | | 538,892 | | | | 643,080 | | | | 500,000 | | | | 543,535 | | | | 640,145 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | 4,455,000 | | | | 4,629,125 | | | | 5,072,282 | | | | 4,155,000 | | | | 4,333,030 | | | | 4,863,031 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Revenue Backed | | | | | | | | | | | | | | | | | | | | | | | | |
| City of New York NY Municipal Water | | | | | | | | | | | | | | | | | | | | | | | | |
| Fin Auth Wtr. & Sewer Rev Fiscal 2009 | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2018 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.625% due June 15, 2024 | | | 1,000,000 | | | | 996,873 | | | | 1,076,850 | | | | 1,000,000 | | | | 995,540 | | | | 1,126,160 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Dormitory Authority Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| Non St Supported Debt Insd Sien College | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call July 1, 2016 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due July 1, 2020 | | | 1,000,000 | | | | 1,007,539 | | | | 1,003,690 | | | | 1,000,000 | | | | 1,013,707 | | | | 1,031,790 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| City of New York NY Transitional Finance | | | | | | | | | | | | | | | | | | | | | | | | |
| Auth Rev Sub Future Tax Secured | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call November 1, 2019 @100): | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due November 1, 2020 | | | 500,000 | | | | 521,222 | | | | 559,515 | | | | 500,000 | | | | 527,366 | | | | 576,346 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due November 1, 2021 | | | 1,000,000 | | | | 1,040,330 | | | | 1,119,030 | | | | 1,000,000 | | | | 1,053,306 | | | | 1,152,690 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| NY City Transitional Financial Authority | | | | | | | | | | | | | | | | | | | | | | | | |
| Rev Future Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call November 1, 2022 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due November 1, 2026 | | | 550,000 | | | | 596,970 | | | | 665,676 | | | | 550,000 | | | | 604,788 | | | | 654,869 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Brookhaven NY Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due March 15, 2023 | | | 1,000,000 | | | | 1,178,380 | | | | 1,166,050 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Erie Count Indvl Dev | | | | | | | | | | | | | | | | | | | | | | | | |
| Agency | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due May 1, 2025 | | | 750,000 | | | | 949,124 | | | | 941,993 | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| NYC NY Cultural Res-Museum | | | | | | | | | | | | | | | | | | | | | | | | |
| of Modern Art | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due February 1, 2023 | | | 400,000 | | | | 469,427 | | | | 464,164 | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Longwood NY Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| Suffolk | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due March 15, 2019 | | | 185,000 | | | | 202,617 | | | | 202,706 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Schnectady CNTY NY Various Purposes | | | | | | | | | | | | | | | | | | | | | | | | |
| LTD Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due January 15, 2020 | | | 800,000 | | | | 916,851 | | | | 928,616 | | | | - | | | | - | | | | - | |
TRIDAN CORP.
Schedules of Investments in Municipal Obligations
October 31, 2016 and 2015
| | | 2016 | | | 2015 | |
| | | Principal Amount | | | Amortized Cost | | | Fair Value | | | Principal Amount | | | Amortized Cost | | | Fair Value | |
| | | | | | | | | | | | | | | | | | | |
Revenue Backed (continued) | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | |
| Schnectady CNTY NY Various Purposes | | | | | | | | | | | | | | | | | | |
| LTD Tax | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2022 | | $ | 300,000 | | | $ | 358,532 | | | $ | 367,353 | | | $ | - | | | $ | - | | | $ | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Harrison NY REF Public Impt LTD Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2023 | | | 100,000 | | | | 125,840 | | | | 123,892 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Saratoga County NY Ref LTD Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due July 15, 2023 | | | 100,000 | | | | 126,577 | | | | 124,351 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| SNT Lawrence CNTY NY REF | | | | | | | | | | | | | | | | | | | | | | | | |
| Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call May 15, 2025) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due May 15, 2026 | | | 105,000 | | | | 124,759 | | | | 128,786 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| NYC NY TR Cultural Res- | | | | | | | | | | | | | | | | | | | | | | | | |
| Museum of Modern Art | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due April 01, 2026 | | | 500,000 | | | | 600,535 | | | | 593,465 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Middele CTRY NY central School District- | | | | | | | | | | | | | | | | | | | | | | | | |
| AT Centereach | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due August 01, 2020 | | | 150,000 | | | | 171,277 | | | | 170,780 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Laurens NY Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2025) | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due June 15, 2028 | | | 305,000 | | | | 337,853 | | | | 351,115 | | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Nassau County | | | | | | | | | | | | | | | | | | | | | | | | |
| Gen Impt Unltd Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call October 1, 2020 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.00% due October 1, 2022 | | | 550,000 | | | | 564,717 | | | | 601,832 | | | | 550,000 | | | | 568,780 | | | | 600,006 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| New York Environmental Facilities Corp | | | | | | | | | | | | | | | | | | | | | | | | |
| Pollution Control Rev St Water NYC 02 | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2016 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due June 15, 2018 | | | - | | | | - | | | | - | | | | 1,000,000 | | | | 1,004,239 | | | | 1,030,700 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| State of NY Local Gov't | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call April 1, 2018 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due April 1, 2019 | | | 200,000 | | | | 202,075 | | | | 211,692 | | | | 200,000 | | | | 205,153 | | | | 220,220 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Brookhaven New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due November 15, 2019 | | | 450,000 | | | | 480,459 | | | | 504,896 | | | | 450,000 | | | | 490,466 | | | | 520,304 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| State of NY Dormitory Auth | | | | | | | | | | | | | | | | | | | | | | | | |
| State Pers. Inc. Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call March 15, 2018 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due March 15, 2022 | | | 750,000 | | | | 756,604 | | | | 792,743 | | | | 750,000 | | | | 764,559 | | | | 824,633 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| State of NY Dormitory Auth | | | | | | | | | | | | | | | | | | | | | | | | |
| State Pers. Inc. Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.5% due March 15, 2026 | | | 200,000 | | | | 247,121 | | | | 261,220 | | | | 200,000 | | | | 252,146 | | | | 256,128 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| State of NY Dormitory Auth | | | | | | | | | | | | | | | | | | | | | | | | |
| Lease Rev | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call August 15, 2020 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due August 15, 2023 | | | 420,000 | | | | 422,989 | | | | 476,242 | | | | 420,000 | | | | 423,969 | | | | 484,226 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| New York, New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call August 1, 2020 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due August 1, 2023 | | | 510,000 | | | | 537,681 | | | | 581,267 | | | | 510,000 | | | | 545,050 | | | | 596,731 | |
TRIDAN CORP.
Schedules of Investments in Municipal Obligations
October 31, 2016 and 2015
| | 2016 | | | 2015 | |
| | | Principal Amount | | | Amortized Cost | | | Fair Value | | | Principal Amount | | | Amortized Cost | | | Fair Value | |
| | | | | | | | | | | | | | | | | | | |
Revenue Backed (continued) | | | | | | | | | | | | | | | | | | |
| New York, New York | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | |
| (Par Call August 1, 2019 @100) | | | | | | | | | | | | | | | | | | |
| 5.00 % due August 1, 2026 | | $ | 350,000 | | | $ | 352,010 | | | $ | 385,893 | | | $ | 350,000 | | | $ | 352,719 | | | $ | 395,455 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| City of New York Municipal | | | | | | | | | | | | | | | | | | | | | | | | |
| Fin Auth Wtr & Swr Rev | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2019 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due June 15, 2027 | | | 500,000 | | | | 507,946 | | | | 552,130 | | | | 500,000 | | | | 510,974 | | | | 563,130 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Port Authority of NY and NJ | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.375 % due March 1, 2028 | | | 150,000 | | | | 153,551 | | | | 187,673 | | | | 150,000 | | | | 153,864 | | | | 182,810 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| NYS Dormitory | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call July 1, 2018 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due July 1, 2029 | | | 300,000 | | | | 300,000 | | | | 320,505 | | | | 300,000 | | | | 300,000 | | | | 332,367 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Starpoint NY Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due June 15, 2018 | | | 850,000 | | | | 895,268 | | | | 906,483 | | | | 850,000 | | | | 922,443 | | | | 943,755 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Greece NY Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call December 15, 2022 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2023 | | | 500,000 | | | | 561,086 | | | | 600,180 | | | | 500,000 | | | | 570,728 | | | | 603,050 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Rensselaer Cnty, NY | | | | | | | | | | | | | | | | | | | | | | | | |
| Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due September 1, 2024 | | | 100,000 | | | | 125,135 | | | | 126,165 | | | | 100,000 | | | | 124,922 | | | | 124,520 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Mattituck-Cutchogue NY | | | | | | | | | | | | | | | | | | | | | | | | |
| Central School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call July 15, 2025 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% Unlimited tax due July 15, 2026 | | | 280,000 | | | | 338,515 | | | | 350,029 | | | | 280,000 | | | | 345,231 | | | | 344,366 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Mattituck-Cutchogue NY | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call July 15, 2025 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% Unlimited tax due July 15, 2027 | | | 365,000 | | | | 437,784 | | | | 450,848 | | | | 365,000 | | | | 446,138 | | | | 444,165 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Putnam County NY | | | | | | | | | | | | | | | | | | | | | | | | |
| Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call January 15, 2026 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due January 15, 2027 | | | 135,000 | | | | 164,302 | | | | 170,413 | | | | 135,000 | | | | 167,481 | | | | 166,703 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Halfmoon NY Pub Imp | | | | | | | | | | | | | | | | | | | | | | | | |
| Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2025 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due June 15, 2027 | | | 280,000 | | | | 335,804 | | | | 347,675 | | | | 280,000 | | | | 342,279 | | | | 340,715 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Gates Chili NY Central School | | | | | | | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2025 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due June 15, 2027 | | | 200,000 | | | | 242,760 | | | | 248,520 | | | | 200,000 | | | | 247,715 | | | | 245,094 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Western Nassau Cty Water Auth | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call April 1, 2025 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due April 1, 2028 | | | 100,000 | | | | 115,470 | | | | 120,425 | | | | 100,000 | | | | 117,303 | | | | 117,265 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Thruway Authority | | | | | | | | | | | | | | | | | | | | | | | | |
| St Pers Income Tax Rev Transn | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.25% due March 15, 2019 | | | 750,000 | | | | 765,354 | | | | 824,678 | | | | 750,000 | | | | 771,826 | | | | 856,905 | |
| | | | 16,685,000 | | | | 18,231,337 | | | | 19,009,541 | | | | 12,990,000 | | | | 13,822,692 | | | | 14,735,103 | |
TRIDAN CORP.
Schedules of Investments in Municipal Obligations
October 31, 2016 and 2015
| | 2016 | | | 2015 | |
| | | Principal Amount | | | Amortized Cost | | | Fair Value | | | Principal Amount | | | Amortized Cost | | | Fair Value | |
| | | | | | | | | | | | | | | | | | | |
Pre-refunded | | | | | | | | | | | | | | | | | | |
| Starpoint NY Central School District | | | | | | | | | | | | | | | | | | |
| Ref Unlimited Tax | | | | | | | | | | | | | | | | | | |
| 5.0% due June 15, 2020 | | $ | 250,000 | | | $ | 274,838 | | | $ | 284,367 | | | $ | 250,000 | | | $ | 281,681 | | | $ | 292,310 | |
| | | | 250,000 | | | | 274,838 | | | | 284,367 | | | | 250,000 | | | | 281,681 | | | | 292,310 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
General Obligations | | | | | | | | | | | | | | | | | | | | | | | | |
| Wantagh New York UN Free School | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due September 1, 2021 | | | 550,000 | | | | 614,902 | | | | 649,358 | | | | 550,000 | | | | 628,309 | | | | 655,133 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Central Islip New York Union Free School | | | | | | | | | | | | | | | | | | | | | | | | |
| School District Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due July 15, 2022 | | | 750,000 | | | | 870,126 | | | | 901,763 | | | | 750,000 | | | | 891,065 | | | | 904,140 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Hilton New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Central School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due June 15, 2019 | | | 500,000 | | | | 533,212 | | | | 535,795 | | | | 500,000 | | | | 545,867 | | | | 548,400 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Rockville Center NY Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due June 15, 2022 | | | 200,000 | | | | 221,987 | | | | 230,924 | | | | 200,000 | | | | 223,594 | | | | 224,594 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Brentwood New York UN Free School | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due January 15, 2023 | | | 430,000 | | | | 469,998 | | | | 523,306 | | | | 430,000 | | | | 476,798 | | | | 522,446 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Connetquot New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Central School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due January 15, 2024 | | | 400,000 | | | | 438,437 | | | | 495,140 | | | | 400,000 | | | | 443,765 | | | | 489,628 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Syosset New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Central School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2022 | | | 735,000 | | | | 807,748 | | | | 877,422 | | | | 735,000 | | | | 818,491 | | | | 873,586 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Syosset New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Central School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2022 | | | 125,000 | | | | 138,941 | | | | 151,829 | | | | 125,000 | | | | 141,525 | | | | 151,601 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Onondaga County NY | | | | | | | | | | | | | | | | | | | | | | | | |
| Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call March 15, 2024 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due March 15, 2025 | | | 285,000 | | | | 327,802 | | | | 354,095 | | | | 285,000 | | | | 333,603 | | | | 350,425 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| North Babylon NY Un Free School Dist | | | | | | | | | | | | | | | | | | | | | | | | |
| Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call August 1, 2022 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due August 1, 2023 | | | 250,000 | | | | 283,232 | | | | 298,903 | | | | 250,000 | | | | 289,005 | | | | 298,340 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Battery Park City NY Authority SR-Ser A | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call November 1, 2023 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due November 1, 2029 | | | 140,000 | | | | 153,746 | | | | 169,733 | | | | 140,000 | | | | 155,971 | | | | 165,133 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Buffalo & Ft. Erie NY Pub Bridge Auth | | | | | | | | | | | | | | | | | | | | | | | | |
| Toll Bridge Sys Rev | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due January 1, 2025 | | | 410,000 | | | | 473,140 | | | | 505,715 | | | | 410,000 | | | | 480,838 | | | | 496,506 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Bayport Blue Point NY Un Free School Dist | | | | | | | | | | | | | | | | | | | | | | | | |
| Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due September 15, 2024 | | | 250,000 | | | | 295,849 | | | | 314,997 | | | | 250,000 | | | | 301,665 | | | | 311,015 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Saratoga Springs NY Ref | | | | | | | | | | | | | | | | | | | | | | | | |
| Public Imports-Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call February 15, 2023 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due February 15, 2025 | | | 225,000 | | | | 260,662 | | | | 270,665 | | | | 225,000 | | | | 264,958 | | | | 270,941 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Build NYC Resource Corp.NY Rev | | | | | | | | | | | | | | | | | | | | | | | | |
| United Jewish Appeal | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call July 1, 2024 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due July 1, 2025 | | | 320,000 | | | | 374,559 | | | | 392,765 | | | | 320,000 | | | | 380,849 | | | | 389,661 | |
TRIDAN CORP.
Schedules of Investments in Municipal Obligations
October 31, 2016 and 2015
| | 2016 | | | 2015 | |
| | | Principal Amount | | | Amortized Cost | | | Fair Value | | | Principal Amount | | | Amortized Cost | | | Fair Value | |
| | | | | | | | | | | | | | | | | | | |
General Obligations (continued) | | | | | | | | | | | | | | | | | | |
| Tompkins County NY Public Impt Ser B | | | | | | | | | | | | | | | | | | |
| Limited Tax | | | | | | | | | | | | | | | | | | |
| (Par Call December 15, 2024 @100) | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2027 | | $ | 500,000 | | | $ | 597,260 | | | $ | 619,670 | | | $ | 500,000 | | | $ | 609,220 | | | $ | 607,005 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Util Debt Securitization Auth NY | | | | | | | | | | | | | | | | | | | | | | | | |
| Restructuring Ser TE | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call December 15, 2023 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due December 15, 2028 | | | 500,000 | | | | 541,224 | | | | 610,770 | | | | 500,000 | | | | 547,275 | | | | 599,605 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Clarkstown Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| NY Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due May 15, 2019 | | | 500,000 | | | | 531,760 | | | | 538,135 | | | | 500,000 | | | | 543,977 | | | | 553,095 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Rhinebeck New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Central School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call June 15, 2023 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due June 15, 2025 | | | 535,000 | | | | 577,887 | | | | 603,527 | | | | 535,000 | | | | 584,353 | | | | 591,528 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Queensbury New York Union Free School | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.00% due December 15, 2018 | | | 225,000 | | | | 233,855 | | | | 238,763 | | | | 225,000 | | | | 238,021 | | | | 245,428 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Riverhead NY Limited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.0% due June 1, 2021 | | | 1,005,000 | | | | 1,075,312 | | | | 1,130,594 | | | | 1,005,000 | | | | 1,090,634 | | | | 1,142,092 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Bethlehem, NY Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.00% due January 15, 2021 | | | 500,000 | | | | 533,564 | | | | 556,925 | | | | 500,000 | | | | 541,530 | | | | 558,740 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Plainview Old Bethpage New York Central | | | | | | | | | | | | | | | | | | | | | | | | |
| School District Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due December 15, 2020 | | | 250,000 | | | | 265,278 | | | | 292,048 | | | | 250,000 | | | | 268,978 | | | | 294,580 | |
| | | | 9,585,000 | | | | 10,620,481 | | | | 11,262,842 | | | | 9,585,000 | | | | 10,800,291 | | | | 11,243,622 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
Short-term | | | | | | | | | | | | | | | | | | | | | | | | |
| Village of Briarcliff Manor New York | | | | | | | | | | | | | | | | | | | | | | | | |
| Pub Impt Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due September 1, 2017 | | | 215,000 | | | | 216,360 | | | | 222,592 | | | | 215,000 | | | | 219,118 | | | | 232,067 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Dormitory Authority Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| Non St Supported Debt Sch Dist Fing Prog | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call October 1, 2017 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due October 1, 2018 | | | 430,000 | | | | 433,436 | | | | 446,783 | | | | 430,000 | | | | 437,169 | | | | 464,972 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Dormitory Authority Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| Non St Supported Debt Sch Dist Fing Prog | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call October 1, 2017 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due October 1, 2019 | | | 585,000 | | | | 589,215 | | | | 607,833 | | | | 585,000 | | | | 593,791 | | | | 632,578 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Local Govt Assistance Corp Ref: | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.5% due April 1, 2017 | | | 115,000 | | | | 114,858 | | | | 117,125 | | | | 195,000 | | | | 194,395 | | | | 204,132 | |
| 5.5% due April 1, 2017 | | | 340,000 | | | | 352,077 | | | | 346,283 | | | | 575,000 | | | | 601,103 | | | | 601,927 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| N.Y.S. Urban Development | | | | | | | | | | | | | | | | | | | | | | | | |
| Corp Rev Ref Svc Contract | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due January 1, 2017 | | | 225,000 | | | | 225,719 | | | | 226,645 | | | | 225,000 | | | | 230,025 | | | | 237,143 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Triborough Bridge & Tunnel Authority NY | | | | | | | | | | | | | | | | | | | | | | | | |
| General Purpose Revs | | | | | | | | | | | | | | | | | | | | | | | | |
| (Escrowed to Maturity) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.5% due January 1, 2017 | | | 105,000 | | | | 105,153 | | | | 105,839 | | | | 450,000 | | | | 449,131 | | | | 458,343 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Pleasantville New York Public Impt | | | | | | | | | | | | | | | | | | | | | | | | |
| Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due January 1, 2016 | | | - | | | | - | | | | - | | | | 440,000 | | | | 441,171 | | | | 443,652 | |
TRIDAN CORP.
Schedules of Investments in Municipal Obligations
October 31, 2016 and 2015
| | 2016 | | | 2015 | |
| | | Principal Amount | | | Amortized Cost | | | Fair Value | | | Principal Amount | | | Amortized Cost | | | Fair Value | |
| | | | | | | | | | | | | | | | | | | |
Short-term (continued) | | | | | | | | | | | | | | | | | | |
| Commonwealth of Puerto Rico | | | | | | | | | | | | | | | | | | |
| Highway Transportation Auth Rev Ref | | | | | | | | | | | | | | | | | | |
| 6.25% due July 1, 2016 | | $ | - | | | $ | - | | | $ | - | | | $ | 185,000 | | | $ | 189,012 | | | $ | 189,717 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Ardsley New York Union Free | | | | | | | | | | | | | | | | | | | | | | | | |
| School District Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.00% due June 15, 2016 | | | - | | | | - | | | | - | | | | 460,000 | | | | 461,193 | | | | 470,023 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| City of New York Transitional | | | | | | | | | | | | | | | | | | | | | | | | |
| Fin Bldg Aid Rev Fiscal 2007 | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due July 15, 2016 | | | - | | | | - | | | | - | | | | 750,000 | | | | 755,371 | | | | 775,373 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Port Authority of NY and NJ | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call January 15, 2016 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due July 15, 2030 | | | - | | | | - | | | | - | | | | 200,000 | | | | 199,986 | | | | 202,026 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Port Authority of NY and NJ | | | | | | | | | | | | | | | | | | | | | | | | |
| (Par Call October 1, 2016 @100) | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00 % due October 1, 2027 | | | - | | | | - | | | | - | | | | 300,000 | | | | 301,002 | | | | 312,879 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Bethlehem NY Central School District | | | | | | | | | | | | | | | | | | | | | | | | |
| Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.0% due November 1, 2015 | | | - | | | | - | | | | - | | | | 500,000 | | | | 501,115 | | | | 500,065 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Pawling New York Central School | | | | | | | | | | | | | | | | | | | | | | | | |
| District Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 4.00% due November 15, 2015 | | | - | | | | - | | | | - | | | | 330,000 | | | | 330,340 | | | | 330,485 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Cold Spring Harbor New York Central School | | | | | | | | | | | | | | | | | | | | | | | | |
| District Ref Unlimited Tax | | | | | | | | | | | | | | | | | | | | | | | | |
| 5.00% due February 1, 2016 | | | - | | | | - | | | | - | | | | 100,000 | | | | 98,816 | | | | 101,217 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | 2,015,000 | | | | 2,036,818 | | | | 2,073,100 | | | | 5,940,000 | | | | 6,002,738 | | | | 6,156,599 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | $ | 32,990,000 | | | $ | 35,792,599 | | | $ | 37,702,132 | | | $ | 32,920,000 | | | $ | 35,240,432 | | | $ | 37,290,665 | |
TRIDAN CORP.
FOR THE SIX MONTHS ENDED OCTOBER 31, 2016 AND 2015
| | | 2016 | | | 2015 | |
| Investment income | | | | | | |
| | | | | | | |
| Interest | | $ | 794,054 | | | $ | 824,688 | |
| Amortization of bond premium and discount - net | | | (249,731 | ) | | | (228,185 | ) |
| | | | | | | | | |
| Total investment income | | | 544,323 | | | | 596,503 | |
| | | | | | | | | |
| Expenses | | | | | | | | |
| | | | | | | | | |
| Investment advisory fees | | | 58,212 | | | | 57,686 | |
| Professional fees | | | 69,625 | | | | 69,700 | |
| Director's fees | | | 38,500 | | | | 38,500 | |
| Administrative and accounting expenses | | | 36,000 | | | | 36,000 | |
| Insurance and other expenses | | | 8,885 | | | | 8,571 | |
| | | | | | | | | |
| Total expenses | | | 211,222 | | | | 210,457 | |
| | | | | | | | | |
| Net investment income | | | 333,101 | | | | 386,046 | |
| | | | | | | | | |
| Realized and unrealized gain (loss) on investments | | | | | | | | |
| Net realized gain on investments | | | - | | | | - | |
| Net unrealized appreciation (depreciation) on investments | | | (472,495 | ) | | | (65,505 | ) |
| | | | | | | | | |
| Net realized and unrealized gain (loss) on investments | | | (472,495 | ) | | | (65,505 | ) |
| | | | | | | | | |
| Net increase (decrease) in net assets resulting from operations | | $ | (139,394 | ) | | $ | 320,541 | |
TRIDAN CORP.
STATEMENTS OF CHANGES IN NET ASSETS
| | | Six Months Ended October 31, 2016 | | | Year Ended April 30, 2016 | |
| Increase (decrease) in net assets resulting from operations | | | | | | |
| Net investment income | | $ | 333,101 | | | $ | 762,792 | |
| | | | | | | | | |
| Net realized (loss) on investments | | | - | | | | (6,015 | ) |
| | | | | | | | | |
| Unrealized appreciation ( depreciation) on investments | | | (472,495 | ) | | | 266,290 | |
| | | | | | | | | |
| Net increase (decrease) in net assets resulting from operations | | | (139,394 | ) | | | 1,023,067 | |
| | | | | | | | | |
| Distributions to shareholders from | | | | | | | | |
| Net investment income | | | (370,913 | ) | | | (773,215 | ) |
| | | | | | | | | |
| Redemptions of shares | | | | | | | | |
| 31,317.5065 shares (October 2016) and | | | (389,595 | ) | | | | |
| 2,252.8695 shares (April 2016), respectively | | | | | | | (28,206 | ) |
| | | | | | | | | |
| Total increase (decrease) | | | (899,902 | ) | | | 221,646 | |
| | | | | | | | | |
| Net assets | | | | | | | | |
| Beginning of period | | | 38,951,573 | | | | 38,729,927 | |
| | | | | | | | | |
| End of period | | $ | 38,051,671 | | | $ | 38,951,573 | |
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
| 1. | Significant Accounting Policies |
The following is a summary of the significant accounting policies followed by Tridan Corp. (the "Company"), a closed‑end, non‑diversified management investment company, registered under the Investment Company Act of 1940, in the preparation of its financial statements.
Basis of Presentation
The accompanying financial statements are prepared in conformity with U.S. generally accepted accounting principles (“GAAP”). The Company is considered an investment company under GAAP and follows the accounting and reporting guidance applicable to investment companies in the Financial Accounting Standards Board Accounting Standards Codification 946, Financial Services - Investment Companies.
Acquisition and Valuation of Investments
Investment transactions are accounted for on the date the securities are purchased/sold (trade date) and interest on securi-ties acquired/sold is included in income from/to the settlem-ent date. Short-term investments are stated at cost, which is equivalent to fair value.
Fair values for the Company's investments in municipal obligations have been determined based on the bid price of the obligation. Securities for which quotations are not readily available are valued at fair value as determined by the board of directors. There were no securities valued by the board of directors, for which quotations were not readily available, as of October 31, 2016 and 2015.
Amortization of Bond Premium or Discount
In determining investment income, bond premiums or discounts are amortized over the remaining term of the obligation.
Income Taxes
It is the Company's policy to comply with the requirements of the Internal Revenue Code that are applicable to regulated investment companies and to distribute substantially all of its taxable income to its shareholders. The Company also intends to distribute sufficient net investment income and net capital gains, if any, so that it will not be subject to excise tax on undistributed income and gains. Therefore, no income tax provision is required.
The Company recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by tax authorities. Management has analyzed the Company’s tax positions and has concluded that no liability for unrecognized tax benefits should be recorded.
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
The Company identifies its major tax jurisdictions as U.S. Federal, New York State and New York City where the Company makes significant investments; however, the Company is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next twelve months. Generally, the Company’s tax returns are subject to examination by Federal, state and local authorities for a period of three years from the later of the due date of such returns or the actual date the returns were filed.
Interest income from municipal investments is exempt from Federal and state income taxes.
Distributions to Shareholders
Dividends to shareholders from net investment income, if any, are paid quarterly. Distribution of capital gains, if any, are made at least annually, and as required to comply with Federal excise tax requirements. Dividends to shareholders are determined in accordance with tax regulations and are recorded on the ex-dividend date.
Cash and Cash Equivalents
The Company considers all highly liquid investments purchased with an original maturity of 90 days or less to be cash equivalents.
Use of Estimates
The preparation of financial statements, in conformity with GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Significant estimates are used in determining the fair value of investments.
Concentration of Credit Risk
The Company’s financial instruments that are exposed to concentrations of credit risk consist primarily of cash and cash equivalents and investments. The Company maintains all of its cash on deposit in one financial institution. At October 31, 2016, the amount of cash and cash equivalents held in excess of federally insured limits is approximately $71,000. The value of the Company's investments may be subject to possible risks involving, among other things, the continued creditworthiness of the various state and local government agencies and public financing authorities underlying its investments.
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
Fair value of Financial Instruments
The carrying amounts for accrued interest receivables and accrued liabilities reflected in the financial statements approximate fair value because of the short maturities of these items. The company accounts for its investments in municipal obligations in accordance with the accounting guidance for investment companies (FASB ASC 946). See Note 1 “Acquisition and Valuation of Investments” for a description of the valuation methodology which is unchanged as of October 31, 2016 and 2015. FASB ASC 820 clarifies the definition of fair value, prescribes methods for measuring fair value, establishes a fair value hierarchy based on the inputs used to measure fair value and expands disclosures about the use of fair value measurements. The valuation techniques required by FASB ASC 820 are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect internal market assumptions.
The levels of the fair value hierarchy are as follows:
| Level 1 – | Unadjusted quoted prices in active markets for identical assets or liabilities that a company has the ability to access. |
| | Level 2 – | Observable inputs other than quoted prices included in level 1 that are observable for the asset or liability either directly or indirectly. These inputs may include quoted prices for the identical instrument in an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risks, yield curves, default rates, and similar data. |
| Level 3 – | Unobservable inputs for the asset or liability to the extent that relevant observable inputs are not available, representing a company’s own assumptions about the assumptions that a market participant would use in valuing the asset or liability, and that would be based on the best information available. |
The Company’s investments in municipal obligations are all considered as Level 2 instruments.
The following table presents the Company’s financial assets that are measured at fair value as of October 31, 2016 and 2015:
| | | Quoted Prices for Identical Instruments in Non-active Markets (Level 2) | |
| | | October 31, | |
| | | 2016 | | | 2015 | |
| | | | | | | |
| Investments in municipal obligations | | $ | 37,702,132 | | | $ | 37,290,665 | |
| Total investments at fair value | | $ | 37,702,132 | | | $ | 37,290,665 | |
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
The Company utilizes quoted market prices for it securities owned, when available. Instruments classified as Level 2 are valued using industry-standard models or other valuation methodologies calibrated to observable market inputs. These models consider various assumptions regarding the security or securities with similar characteristics, such as trade data, bid price or spread, two sided markets, quotes, benchmark curves, and market data feeds, as well as other measurements.
| 2. | Cash and Cash Equivalents |
Cash and cash equivalents consist of the following:
| | | October 31, | |
| | | 2016 | | | 2015 | |
| | | | | | | |
| Cash – demand deposits | | $ | 321,586 | | | $ | 726,983 | |
Accrued liabilities consist of the following at:
| | | October 31, | |
| | | 2016 | | | 2015 | |
| | | | | | | |
| Accrued investment advisory and custodian fees (a) | | $ | 39,733 | | | $ | 39,716 | |
| Accrued fees - affiliate (b) | | $ | 18,718 | | | $ | 18,812 | |
| Accrued other: | | | | | | | | |
| Accrued audit fees (c) | | $ | 12,500 | | | $ | 11,750 | |
| Accrued administrative and accounting expenses | | | 275 | | | | 1,664 | |
| | | $ | 12,775 | | | $ | 13,414 | |
| (a) | The Company utilizes the services of J.P. Morgan Investment Management, Inc. as its investment advisor and J.P. Morgan Chase Bank N.A. as its custodian for its investment-s. The annual advisory fee is .28 of one percent and the custody fee is .02 of one percent of the net assets under management. The fee is computed and payable quarterly, based on the aggregate fair value of the net assets on the last day of each fiscal quarter. |
| (b) | For the six months ending October 31, 2016 and 2015, the Company incurred legal fees of approximately $45,000 and $46,000, respectively, for professional fees paid to the law firm of which an officer of the Company is a member. |
| (c) | For the six months ending October 31, 2016 and 2015, the Company incurred audit |
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
| (d) | fees of approximately $24,000 each period. |
| 4. | Investment Transactions |
Purchases and sales of investments in municipal obligations (excluding short-term and demand investments) amounted to approximately $3,676,000 and $-0-, respectively, for the six months ended October 31, 2016, and $2,695,000 and $650,000, respectively, for the six months ended October 31, 2016.
The U.S. Federal income tax basis (aggregate cost) of the Company’s investments, at October 31, 2016 and 2015, was approximately $35,793,000 and $35,240,000, respectively, and net unrealized appreciation, at October 31, 2016 and 2015, for U.S. Federal income tax purposes was approximately $1,909,000 and $2,050,000, respectively (gross unrealized appreciation of approximately $1,955,000 and $2,061,000, respectively; gross unrealized depreciation of approximately $46,000 and $11,000, respectively).
| 5. | Common Stock, Share Redemption Plan and Net Asset Values |
At October 31, 2016 and 2015, there were 6,000,000 shares of $0.02 par value common stock authorized of which 3,199,100 had been issued aggregating $63,982.
The Company has a share redemption plan applicable to 26,192 shares and 29,486 shares, respectively, of outstanding common stock, at October 31, 2016 and 2015. The plan permits eligible shareholders or their estates to have their shares redeemed upon reaching age 65 or upon death. Shares are redeemed at the net asset value per share, based on fair value, as of the end of the Company's fiscal quarter in which the request for redemption is received. At October 31, 2016 and 2015, 139,456.3178 shares ($1,674,181) and 106,831.1133 shares ($1,268,115), respectively, have been redeemed under this plan.
The net asset value per share is calculated by dividing the aggregate fair value of all assets less the aggregate fair value of all liabilities by the number of common shares outstanding at the end of the period.
The net asset values per share and the shares outstanding are as follows:
| | | October 31, | |
| | | 2016 | | | 2015 | |
| | | | | | | |
| Net asset value | | $ | 12.44 | | | $ | 12.43 | |
| Shares outstanding at: | | | |
| October 31, 2016 | | | 3,059,643.6822 | |
| October 31, 2015 | | | 3,092,268.8867 | |
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
During the six months ended October 31, 2016 and 2015, distributions of $370,913 ($.12 per share), $587,681 ($.19 per share), respectively, were declared and paid to shareholders. Distributions for the year ended April 30, 2016 amounted to $773,215 ($.25 per share).
These dividends were substantially all exempt from Federal income taxes.
The tax character of distributions paid during the six months ending October 31, 2016 and 2015 and for the year ending April 30 2016 is as follows:
| | | Six Months Ended October 31, | | | Year Ended April 30, | |
| | | | | | | | | | |
| | | 2016 | | | 2015 | | | 2016 | |
| Distributions paid from Investment income: | | | | | | | | | |
| | | | | | | | | | |
| Tax-exempt investment income, net | | $ | 370,913 | | | $ | 587,681 | | | $ | 773,215 | |
| Capital gains | | | - | | | | - | | | | - | |
| | | | | | | | | | | | | |
| | | $ | 370,913 | | | $ | 587,681 | | | $ | 773,215 | |
As of October 31, 2016, 2015 and April 30, 2016, the components of distributable earnings on a tax basis are as follows:
| | | Six Months Ended October 31, | | | Year Ended April 30, | |
| | | | | | | | | | |
| | | 2016 | | | 2015 | | | 2016 | |
| | | | | | | | | | |
| Over-distributed tax-exempt investment Income, net | | $ | (53,708 | ) | | $ | (207,109 | ) | | $ | (15,895 | ) |
| Over-distributed taxable investment income | | | - | | | | - | | | | - | |
| Undistributed capital gains (losses) | | | (10,267 | ) | | | (4,252 | ) | | | (10,267 | ) |
| Unrealized appreciation of investments, net | | | 1,909,531 | | | | 2,050,231 | | | | 2,382,026 | |
| | | $ | 1,845,556 | | | $ | 1,838,870 | | | $ | 2,355,864 | |
Capital loss carryforwards as of October 31, 2016 and 2015 were $10,267 and $4,252, respectively. The Company had no capital reclassification related to permanent book/tax differences for the sixth months ending October 31, 2016, and 2015. There were no significant differences between total GAAP basis net investment income and net realized gain, and actual distributions for the six months ended October 31, 2016 and 2015.
TRIDAN CORP.
Notes to Financial Statements
October 31, 2016 and 2015
Selected per share data and ratios are as follows:
| | | For the Six Months Ended October 31, | |
| | | 2016 | | | 2015 | | | 2014 | | | 2013 | | | 2012 | |
| Per share operating performance: | | | | | | | | | | | | | | | |
| (For a share of common stock Outstanding throughout the period): | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | |
| Net asset value -beginning of year | | $ | 12.60 | | | $ | 12.52 | | | $ | 12.56 | | | $ | 12.88 | | | $ | 12.89 | |
| | | | | | | | | | | | | | | | | | | | | |
| Income from investment operations: | | | | | | | | | | | | | | | | | | | | |
| Net investment income | | | .11 | | | | .12 | | | | .13 | | | | .13 | | | | .14 | |
| Net realized and unrealized gain (loss) on investments | | | (.15 | ) | | | (.02 | ) | | | .04 | | | | (.32 | ) | | | .05 | |
| Total from investment operations | | | (.04 | ) | | | .10 | | | | .17 | | | | (.19 | ) | | | .19 | |
| Less distributions: | | | | | | | | | | | | | | | | | | | | |
| Dividends (from net investment income) | | | (.12 | ) | | | (.19 | ) | | | (.19 | ) | | | (.18 | ) | | | (.19 | ) |
| Capital gains | | | (.00 | ) | | | (.00 | ) | | | (.00 | ) | | | (.01 | ) | | | (.00 | ) |
| Total distribution | | | (.12 | ) | | | (.19 | ) | | | (.19 | ) | | | (.19 | ) | | | (.19 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value - end of year | | $ | 12.44 | | | $ | 12.43 | | | $ | 12.53 | | | $ | 12.50 | | | $ | 12.89 | |
| | | | | | | | | | | | | | | | | | | | | |
| Per share market value – end of period | | $ | 12.44 | | | $ | 12.43 | | | $ | 12.53 | | | $ | 12.50 | | | $ | 12.89 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total investment return | | | (0.04 | %) | | | (0.02 | %) | | | (0.80 | %) | | | (1.94 | %) | | | (1.08 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| Ratios/Supplemental Data: | | | | | | | | | | | | | | | | | | | | |
| net assets end of period (in 000s) | | $ | 38,051 | | | $ | 38,451 | | | $ | 38,769 | | | $ | 38,685 | | | $ | 39,915 | |
| | | | | | | | | | | | | | | | | | | | | |
| Ratio of expenses to average net assets | | | 1.11 | % | | | 1.09 | % | | | 1.09 | % | | | 1.09 | % | | | 1.07 | % |
| | | | | | | | | | | | | | | | | | | | | |
| Ratio of net investment income To average net assets | | | 1.75 | % | | | 2.01 | % | | | 2.07 | % | | | 2.06 | % | | | 2.15 | % |
| | | | | | | | | | | | | | | | | | | | | |
| Portfolio turnover rate | | | 7.05 | % | | | 1.68 | % | | | 5.76 | % | | | 5.12 | % | | | 3.38 | % |
| | | | | | | | | | | | | | | | | | | | | |
| Average (simple) number of shares outstanding (in thousands) | | | 3,060 | | | | 3,092 | | | | 3,094 | | | | 3,095 | | | | 3,100 | |
* Total investment return is calculated by dividing the change in market value of a share of common stock during the year, assuming the reinvestment of dividends on the payment date, by the per share market value at the beginning of the year and has been recalculated for all prior periods presented.
