Item 1. Report to Shareholders
T. Rowe Price Capital Appreciation Fund
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Certified Financials
T. Rowe Price Capital Appreciation Fund
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Certified Financials (Unaudited)
FINANCIAL HIGHLIGHTS For a share outstanding throughout each period
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6 Months Year
Ended Ended
6/30/03 12/31/02 12/31/01 12/31/00 12/31/99 12/31/98
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NET ASSET VALUE
Beginning of period $14.21 $14.64 $13.95 $12.51 $13.22 $14.71
Investment activities
Net investment
income (loss) 0.14 0.33 0.39 0.44 0.51 0.49
Net realized and
unrealized
gain (loss) 1.25 (0.25) 1.03 2.27 0.41 0.34
Total from
investment
activities 1.39 0.08 1.42 2.71 0.92 0.83
Distributions
Net investment
income - (0.28) (0.38) (0.45) (0.50) (0.50)
Net realized gain - (0.23) (0.35) (0.82) (1.13) (1.82)
Total distributions - (0.51) (0.73) (1.27) (1.63) (2.32)
NET ASSET VALUE
End of period $15.60 $14.21 $14.64 $13.95 $12.51 $13.22
------ ------ ------ ------ ------ ------
Ratios/Supplemental Data
Total return^ 9.78% 0.54%* 10.26% 22.17% 7.07% 5.77%
Ratio of total
expenses to
average net assets 0.86%+ 0.85% 0.86% 0.87% 0.88% 0.62%
Ratio of net
investment
income (loss)
to average
net assets 2.03%+ 2.39% 2.85% 3.22% 3.44% 3.04%
Portfolio
turnover rate 24.7%+ 17.6% 25.1% 32.4% 28.3% 52.6%
Net assets,
end of period
(in millions) $2,220 $1,853 $1,405 $914 $856 $1,004
* Includes effect of $1.3 million payment from the manager, which increased
total return 0.07%.
^ Total return reflects the rate that an investor would have earned on an
investment in the fund during each period, assuming reinvestment of all
distributions.
+ Annualized
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Capital Appreciation Fund
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Certified Financials (Unaudited) June 30, 2003
PORTFOLIO OF INVESTMENTS Shares/Par Value
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In thousands
COMMON STOCKS & RIGHTS 60.8%
CONSUMER DISCRETIONARY 10.5%
HOTELS, RESTAURANTS & LEISURE 0.9%
Mandalay Resort Group 320,000 $ 10,192
Marriott, Class A 260,000 9,989
20,181
HOUSEHOLD DURABLES 1.1%
Fortune Brands 420,000 21,924
National Presto 58,200 1,839
23,763
LEISURE EQUIPMENT & PRODUCTS 0.5%
Hasbro 660,000 11,543
11,543
MEDIA 5.9%
AOL Time Warner * 1,350,000 21,722
Comcast, Class A * 622,414 18,785
Disney 587,000 11,593
Meredith 585,000 25,740
New York Times, Class A 336,000 15,288
Reader's Digest, Class A 122,708 1,654
Washington Post, Class B 48,000 35,179
129,961
MULTILINE RETAIL 0.1%
Hills Stores, Rights *@ 175,000 0
Nordstrom 155,000 3,026
3,026
SPECIALTY RETAIL 2.0%
GAP 700,000 13,132
Home Depot 855,000 28,318
Petrie Stores Liquidation Trust 2,585,000 1,693
43,143
Total Consumer Discretionary 231,617
CONSUMER STAPLES 3.1%
FOOD & STAPLES RETAILING 1.1%
CVS 861,000 $ 24,134
24,134
TOBACCO 2.0%
Altria Group 822,000 37,352
Loews 289,500 7,816
45,168
Total Consumer Staples 69,302
ENERGY 6.1%
OIL & GAS 6.1%
Amerada Hess 780,000 38,360
ChevronTexaco 246,300 17,783
Devon Energy 203,150 10,848
Imperial Oil 384,000 13,409
Marathon Oil 825,000 21,739
Murphy Oil 610,000 32,086
Total Energy 134,225
FINANCIALS 6.6%
DIVERSIFIED FINANCIAL SERVICES 0.0%
Leucadia National 28,400 1,054
1,054
INSURANCE 6.6%
Hartford Financial Services Group 192,700 9,704
Loews 611,000 28,894
Prudential Financial 661,000 22,243
SAFECO 1,018,000 35,915
St. Paul Companies 531,000 19,387
Unitrin 10,100 274
UnumProvident 696,500 9,340
White Mountains Insurance Group 51,700 20,422
146,179
Total Financials 147,233
HEALTH CARE 4.9%
HEALTH CARE EQUIPMENT & SUPPLIES 0.8%
Baxter International 717,000 $ 18,642
18,642
PHARMACEUTICALS 4.1%
Bristol-Myers Squibb 617,000 16,752
Merck 646,000 39,115
Schering-Plough 1,212,000 22,543
Wyeth 263,000 11,980
90,390
Total Health Care 109,032
INDUSTRIALS & BUSINESS SERVICES 7.3%
AEROSPACE & DEFENSE 0.9%
Honeywell International 761,000 20,433
20,433
AIR FREIGHT & LOGISTICS 2.1%
Ryder System 1,820,000 46,628
46,628
COMMERCIAL SERVICES & SUPPLIES 1.3%
R.R. Donnelley 400,000 10,456
Waste Management 750,000 18,067
28,523
INDUSTRIAL CONGLOMERATES 1.9%
3M 151,000 19,476
Tyco International 1,263,000 23,972
43,448
MARINE 0.3%
Overseas Shipholding Group 309,000 6,801
6,801
ROAD & RAIL 0.8%
Burlington Northern Santa Fe 593,000 16,865
16,865
Total Industrials & Business Services 162,698
INFORMATION TECHNOLOGY 2.8%
COMMUNICATIONS EQUIPMENT 0.5%
Motorola 1,180,000 $ 11,128
11,128
COMPUTER & PERIPHERALS 1.3%
Hewlett-Packard 1,421,000 30,267
30,267
IT SERVICES 1.0%
Electronic Data Systems 1,002,000 21,493
21,493
Total Information Technology 62,888
MATERIALS 11.0%
CHEMICALS 5.0%
Agrium 1,843,100 20,200
Cabot 230,000 6,601
Dow Chemical 340,000 10,526
DuPont 160,000 6,662
Great Lakes Chemical 830,000 16,932
Hercules * 145,000 1,436
IMC Global 169,000 1,134
Imperial Chemical ADR 585,000 4,856
Octel + 990,000 13,761
Potash Corp./Saskatchewan 440,000 28,160
110,268
CONTAINERS & PACKAGING 0.1%
Longview Fibre 222,000 1,820
1,820
METALS & MINING 4.8%
Alcoa 430,000 10,965
Newmont Mining 2,295,000 74,496
Phelps Dodge * 572,000 21,930
107,391
PAPER & FOREST PRODUCTS 1.1%
MeadWestvaco 120,000 $ 2,964
Potlatch 710,000 18,283
Weyerhaeuser 50,000 2,700
23,947
Total Materials 243,426
TELECOMMUNICATION SERVICES 2.3%
Diversified Telecommunication Services 2.3%
Sprint 1,335,000 19,224
Verizon Communications 780,000 30,771
Total Telecommunication Services 49,995
UTILITIES 6.2%
Electric Utilities 4.7%
FirstEnergy 906,046 34,837
Pinnacle West Capital 296,000 11,085
PPL 320,572 13,785
TXU 1,075,000 24,134
Unisource Energy 1,139,000 21,413
105,254
Gas Utilities 0.5%
NiSource 547,000 10,393
10,393
Multi-Utilities & Unregulated Power 1.0%
Duke Energy 645,000 12,868
El Paso Energy 1,220,000 9,857
22,725
Total Utilities 138,372
Total Common Stocks & Rights (Cost $1,138,360) 1,348,788
CONVERTIBLE PREFERRED STOCKS 8.2%
Baxter International 55,000 $ 2,696
Chubb * 29,700 758
Cummins 80,000 4,258
El Paso Energy Capital Trust I 127,000 3,670
Ford Motor Company Capital Trust II 435,000 18,901
Hercules Trust II 6,500 3,851
IMC Global * 167,100 8,955
Lucent Technologies 27,700 28,244
Newell Financial Trust I 225,000 10,699
Owens-Illinois 325,000 9,750
Rouse, Series B 582,000 31,946
Sealed Air, Series A 137,000 6,980
Travelers Property Casualty 165,000 3,960
Union Pacific Capital Trust 447,426 23,266
Unocal Capital Trust 435,000 21,773
UnumProvident 110,000 3,284
Total Convertible
Preferred Stocks (Cost $167,748) 182,991
PREFERRED STOCKS 0.1%
Entergy-GSU, VR 15,451 805
Pacific Gas & Electric * 20,000 568
Southern California Edison 5,000 480
Total Preferred Stocks (Cost $1,028) 1,853
CONVERTIBLE BONDS 10.4%
America Online, Zero Coupon, 12/6/19 18,000,000 10,982
Centerpoint Energy, 144A, 3.75%, 5/15/23 1,000,000 1,038
Corning, Zero Coupon, 11/8/15 38,500,000 28,618
Crown Castle International, 4.00%, 7/15/10 + 11,200,000 11,835
Duane Reade, 2.148%, 4/16/04 7,215,000 3,720
Electronic Data Systems, Zero Coupon, 10/10/21 9,248,000 7,363
GAP, 144A, 5.75%, 3/15/09 6,000,000 8,117
Inco, LYONs, 144A, 3/29/21 2,500,000 1,670
Liberty Media, Class B, 3.25%, 3/15/31 7,900,000 8,239
Loews, 3.125%, 9/15/07 24,100,000 $ 22,774
Lowes, LYONs, 144A, 2/16/21 3,500,000 2,646
Motorola, LYONs, 9/27/13 16,750,000 13,199
Oak Industries, 4.875%, 3/1/08 2,800,000 2,662
Ogden, 5.75%, 10/20/02 ? 500,000 0
Roche Holdings, LYONs
144A, 5/6/12 5,000,000 2,983
144A, 7/25/21 86,000,000 49,794
Sealed Air, 144A, 3.00%, 6/30/33 3,900,000 3,893
Siebel Systems, 5.50%, 9/15/06 10,000,000 10,213
Teck, 3.75%, 7/15/06 18,600,000 16,763
Tyco International
Series A, 144A, 2.75%, 1/15/18 8,250,000 8,824
Series B, 144A, 3.125%, 1/15/23 4,125,000 4,550
USF&G, VR, 3/3/09 15,550,000 12,461
Total Convertible Bonds (Cost $209,132) 232,344
CORPORATE BONDS 0.3%
BellSouth Telecommunications, 5.85%, 11/15/45 3,000,000 3,040
Potlatch, 10.00%, 7/15/11 3,000,000 3,330
Total Corporate Bonds (Cost $5,982) 6,370
U.S. GOVERNMENT OBLIGATIONS/
AGENCIES 3.3%
Federal National Mortgage Assn.
3.00%, 1/31 - 2/29/04 50,000,000 50,629
5.125%, 2/13/04 11,000,000 11,277
4.75%, 11/14/03 11,000,000 11,151
Total U.S. Government Obligations/Agencies
(Cost $71,914) 73,057
SHORT-TERM INVESTMENTS 17.6%
Money Market Fund 17.6%
T. Rowe Price Reserve Investment Fund, 1.16% #+ 390,568,512 390,569
Total Short-Term Investments (Cost $390,569) 390,569
Total Investments in Securities
100.7% of Net Assets (Cost $1,984,733) $2,235,972
Other Assets Less Liabilities (16,471)
NET ASSETS $2,219,501
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# Seven-day yield
* Non-income producing
+ Affiliated company - See Note 2.
@ Security valued by the Fund's Board of Trustees
? In default with respect to payment of principal and interest
144A Security was purchased pursuant to Rule 144A under the Securities Act of
1933 and may be resold in transactions exempt from registration only to
qualified institutional buyers -- total of such securities at period-end
amounts to $83,515,000 and represents 3.8% of net assets
ADR American Depository Receipts
LYONs Liquid Yield Option Notes
VR Variable Rate
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Capital Appreciation Fund
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Certified Financials (Unaudited) June 30, 2003
STATEMENT OF ASSETS AND LIABILITIES
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In thousands
Assets
Investments in securities, at value
Affiliated companies (cost $416,876) $ 416,165
Other companies (cost $ 1,567,857) 1,819,807
Total investments in securities 2,235,972
Other assets 15,502
Total assets 2,251,474
Liabilities
Total liabilities 31,973
NET ASSETS $2,219,501
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Net Assets Consist of:
Undistributed net investment income (loss) $ 20,350
Undistributed net realized gain (loss) 5,648
Net unrealized gain (loss) 251,239
Paid-in-capital applicable to 142,321,028 shares of
no par value capital stock outstanding;
unlimited shares authorized 1,942,264
NET ASSETS $2,219,501
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NET ASSET VALUE PER SHARE $ 15.60
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The accompanying notes are an integral part of these financial statements.
T. Rowe Price Capital Appreciation Fund
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Certified Financials (Unaudited)
STATEMENT OF OPERATIONS
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In thousands
6 Months
Ended
6/30/03
Investment Income (Loss)
Income
Dividend $ 17,241
Interest 9,274
Income distributions from mutual funds 1,462
Total income 27,977
Expenses
Investment management 6,018
Shareholder servicing 1,996
Prospectus and shareholder reports 154
Custody and accounting 88
Registration 66
Legal and audit 9
Trustees 7
Total expenses 8,338
Expenses paid indirectly (25)
Net expenses 8,313
Net investment income (loss) 19,664
Realized and Unrealized Gain (Loss)
Net realized gain (loss)
Securities 5,783
Foreign currency transactions (15)
Net realized gain (loss) 5,768
Change in net unrealized gain (loss)
Securities 161,935
Other assets and liabilities
denominated in foreign currencies 1
Change in net unrealized gain (loss) 161,936
Net realized and unrealized gain (loss) 167,704
INCREASE (DECREASE) IN NET
ASSETS FROM OPERATIONS $187,368
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The accompanying notes are an integral part of these financial statements.
T. Rowe Price Capital Appreciation Fund
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Certified Financials (Unaudited)
STATEMENT OF CHANGES IN NET ASSETS
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In thousands
6 Months Year
Ended Ended
6/30/03 12/31/02
Increase (Decrease) in Net Assets
Operations
Net investment income (loss) $ 19,664 $ 41,263
Net realized gain (loss) 5,768 31,711
Change in net unrealized gain (loss) 161,936 (81,727)
Increase (decrease) in net
assets from operations 187,368 (8,753)
Distributions to shareholders
Net investment income - (35,158)
Net realized gain - (28,874)
Decrease in net assets from distributions - (64,032)
Capital share transactions *
Shares sold 394,742 864,987
Distributions reinvested - 61,219
Shares redeemed (215,843) (405,597)
Increase (decrease) in net assets
from capital share transactions 178,899 520,609
Net Assets
Increase (decrease) during period 366,267 447,824
Beginning of period 1,853,234 1,405,410
End of period $2,219,501 $1,853,234
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*Share information
Shares sold 27,015 57,771
Distributions reinvested - 4,302
Shares redeemed (15,066) (27,730)
Increase (decrease) in shares outstanding 11,949 34,343
The accompanying notes are an integral part of these financial statements.
T. Rowe Price Capital Appreciation Fund
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Certified Financials (Unaudited) June 30, 2003
NOTES TO FINANCIAL STATEMENTS
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NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES
T. Rowe Price Capital Appreciation Fund, (the fund) is registered under the
Investment Company Act of 1940 (the 1940 Act) as a diversified, open-end
management investment company and commenced operations on June 30, 1986.
The fund seeks maximum long-term capital appreciation by investing
primarily in common stocks, and it may also hold fixed-income and other
securities to help preserve principal value in uncertain or declining
markets.
The accompanying financial statements were prepared in accordance with
accounting principles generally accepted in the United States of America,
which require the use of estimates made by fund management.
Valuation
Investments are valued at the close of the New York Stock Exchange (NYSE),
normally 4 p.m. ET, each day that the NYSE is open for business. Equity
securities listed or regularly traded on a securities exchange or in the
over-the-counter market are valued at the last quoted sale price, or
official closing price for certain markets, at the time the valuations are
made. A security that is listed or traded on more than one exchange is
valued at the quotation on the exchange determined to be the primary market
for such security. Listed securities not traded on a particular day are
valued at the mean of the latest bid and ask prices for domestic securities
and the last quoted sale price for international securities.
Debt securities are generally traded in the over-the-counter market.
Securities with original maturities of one year or more are valued at
prices furnished by dealers who make markets in such securities or by an
independent pricing service, which considers yield or price of bonds of
comparable quality, coupon, maturity, and type, as well as prices quoted by
dealers who make markets in such securities. Securities with original
maturities less than one year are valued at amortized cost in local
currency, which approximates fair value when combined with accrued
interest.
Investments in mutual funds are valued at the closing net asset value per
share of the mutual fund on the day of valuation.
Other investments and those for which the above valuation procedures are
inappropriate or are deemed not to reflect fair value are stated at fair
value as determined in good faith by or under the supervision of the
officers of the fund, as authorized by the Board of Trustees.
Most foreign markets close before the NYSE. Developments that could affect
the values of securities that occur between the close of a foreign market
and the close of the NYSE normally will not be reflected in security
valuations. However, if such developments are so significant that they
will, in the judgment of the officers of the fund, clearly and materially
affect the value of securities, the previous closing prices may be adjusted
to reflect the fair value of the securities as of the close of the NYSE, as
determined in good faith by or under the supervision of the officers of the
fund, as authorized by the Board of Trustees.
Currency Translation
Assets, including investments, and liabilities denominated in foreign
currencies are translated into U.S. dollar values each day at the
prevailing exchange rate, using the mean of the bid and ask prices of such
currencies against U.S. dollars as quoted by a major bank. Purchases and
sales of securities, income, and expenses are translated into U.S. dollars
at the prevailing exchange rate on the date of the transaction. The effect
of changes in foreign currency exchange rates on realized and unrealized
security gains and losses is reflected as a component of such gains and
losses.
Premiums and Discounts
Premiums and discounts on debt securities are amortized for financial
reporting purposes.
Expenses Paid Indirectly
Certain security trades are directed to brokers who have agreed to rebate a
portion of the related commission to the fund to pay fund expenses.
Additionally, credits earned on temporarily uninvested cash balances at the
custodian are used to reduce the fund's custody charges. Total expenses in
the accompanying statement of operations are presented before reduction for
rebates and credits, which totaled $25,000 and $0, respectively, for the
six months ended June 30, 2003.
Other
Income and expenses are recorded on the accrual basis. Investment
transactions are accounted for on the trade date. Realized gains and losses
are reported on the identified cost basis. Dividend income and
distributions to shareholders are recorded by the fund on the ex-dividend
date.
NOTE 2 - INVESTMENT TRANSACTIONS
Consistent with its investment objective, the fund engages in the following
practices to manage exposure to certain risks or enhance performance. The
investment objective, policies, program, and risk factors of the fund are
described more fully in the fund's prospectus and Statement of Additional
Information.
Affiliated Companies
The fund may invest in certain securities that are considered affiliated
companies. As defined by the 1940 Act, an affiliated company is one in
which the fund owns 5% or more of the outstanding voting securities. At
June 30, 2003, the value of affiliated companies totaled $416,165,000,
representing 18.6% of the value of the fund's investments in securities.
For the six months then ended, $50,000 (0.3%) of dividend income, and
$1,462,000 (13.6%) of interest income reflected in the accompanying
financial statements resulted from transactions with affiliated companies.
Other
Purchases and sales of portfolio securities, other than short-term
securities, aggregated $213,610,000 and $230,291,000, respectively, for the
six months ended June 30, 2003.
NOTE 3 - FEDERAL INCOME TAXES
No provision for federal income taxes is required since the fund intends to
continue to qualify as a regulated investment company and distribute to
shareholders all of its taxable income and gains. Federal income tax
regulations differ from generally accepted accounting principles;
therefore, distributions determined in accordance with tax regulations may
differ in amount or character from net investment income and realized gains
for financial reporting purposes. Financial reporting records are adjusted
for permanent book/tax differences to reflect tax character. Temporary
differences are not adjusted. The amount and character of tax-basis
distributions and composition of net assets are finalized at fiscal
year-end; accordingly, tax-basis balances have not been determined as of
June 30, 2003.
For tax purposes, the fund has elected to treat net capital losses realized
between November 1 and December 31 of each year as occurring on the first
day of the following tax year; consequently, $108,000 of realized losses
recognized for financial reporting purposes in the year ended December 31,
2002 were recognized for tax purposes on January 1, 2003.
At June 30, 2003, the cost of investments for federal income tax purposes
was $1,984,733,000. Net unrealized gain aggregated $251,239,000 at
period-end, of which $337,149,000 related to appreciated investments and
$85,910,000 related to depreciated investments.
NOTE 4 - RELATED PARTY TRANSACTIONS
The fund is managed by T. Rowe Price Associates, Inc. (the manager or Price
Associates), a wholly owned subsidiary of T. Rowe Price Group, Inc. The
investment management agreement between the fund and the manager provides
for an annual investment management fee, which is computed daily and paid
monthly. The fee consists of an individual fund fee, equal to 0.30% of the
fund's average daily net assets, and the fund's pro-rata share of a group
fee. The group fee is calculated based on the combined net assets of
certain mutual funds sponsored by Price Associates (the group) applied to a
graduated fee schedule, with rates ranging from 0.48% for the first $1
billion of assets to 0.295% for assets in excess of $120 billion. The
fund's portion of the group fee is determined by the ratio of its net
assets to those of the group. At June 30, 2003, the effective annual group
fee rate was 0.32%, and investment management fee payable totaled
$1,111,000.
In addition, the fund has entered into service agreements with Price
Associates and two wholly owned subsidiaries of Price Associates
(collectively, Price). Price Associates computes the daily share price and
maintains the financial records of the fund. T. Rowe Price Services, Inc.
provides shareholder and administrative services in its capacity as the
fund's transfer and dividend disbursing agent. T. Rowe Price Retirement
Plan Services, Inc. provides subaccounting and recordkeeping services for
certain retirement accounts invested in the fund. Expenses incurred
pursuant to these service agreements totaled $1,555,000 for the six months
ended June 30, 2003, of which $301,000 was payable at period-end.
The fund may invest in the T. Rowe Price Reserve Investment Fund and T.
Rowe Price Government Reserve Investment Fund (collectively, the Reserve
Funds), open-end management investment companies managed by Price
Associates. The Reserve Funds are offered as cash management options only
to mutual funds, trusts, and other accounts managed by Price Associates
and/or its affiliates, and are not available to the public. The Reserve
Funds pay no investment management fees. Distributions from the Reserve
Funds to the fund for the six months ended June 30, 2003, totaled
$1,462,000.
Item 2. Code of Ethics.
Not required at this time.
Item 3. Audit Committee Financial Expert.
Not required at this time.
Item 4. Principal Accountant Fees and Services.
Not required at this time.
Item 5. Audit Committee of Listed Registrants.
Not required at this time.
Item 6. [Reserved]
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies.
Not applicable.
Item 8. [Reserved]
Item 9. Controls and Procedures
(a) The registrant's principal executive officer and principal financial officer
have evaluated the registrant's disclosure controls and procedures within 90
days of this filing and have concluded that the registrant's disclosure controls
and procedures were effective, as of that date, in ensuring that information
required to be disclosed by the registrant in this Form N-CSR was recorded,
processed, summarized, and reported timely.
(b) The registrant's principal executive officer and principal financial officer
are aware of no changes in the registrant's internal control over financial
reporting that occurred during the registrant's most recent fiscal half-year
that has materially affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting.
Item 10. Exhibits.
(a)(1) Not required at this time.
(a)(2) Separate certifications by the registrant's principal executive officer
and principal financial officer, pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002 and required by Rule 30a-2(a) under the Investment Company Act of
1940, are attached.
(b) A certification by the registrant's principal executive officer and
principal financial officer, pursuant to Section 906 of the Sarbanes-Oxley Act
of 2002 and required by Rule 30a-2(b) under the Investment Company Act of 1940,
is attached.
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.
T. Rowe Price Capital Appreciation Fund
By /s/ James S. Riepe
James S. Riepe
Principal Executive Officer
Date August 22, 2003
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By /s/ James S. Riepe
James S. Riepe
Principal Executive Officer
Date August 22, 2003
By /s/ Joseph A. Carrier
Joseph A. Carrier
Principal Financial Officer
Date August 22, 2003