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 No. 811-08921
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CREDIT SUISSE LARGE CAP BLEND FUND, INC.
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(Exact Name of Registrant as Specified in Charter)
466 Lexington Avenue, New York, New York 10017-3140
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(Address of Principal Executive Offices) (Zip Code)
J. Kevin Gao, Esq.
Credit Suisse Large Cap Blend Fund, Inc.
466 Lexington Avenue
New York, New York 10017-3140
Registrant's telephone number, including area code: (212) 875-3500
Date of fiscal year end: December 31
Date of reporting period: January 1, 2005 to June 30, 2005
ITEM 1. REPORTS TO STOCKHOLDERS.
CREDIT | ASSET
SUISSE | MANAGEMENT
CREDIT SUISSE FUNDS
Semiannual Report
June 30, 2005
(unaudited)
o CREDIT SUISSE
LARGE CAP BLEND FUND
The Fund's investment objectives, risks, charges and expenses (which should be
considered carefully before investing), and more complete information about the
Fund, are provided in the PROSPECTUS, which should be read carefully before
investing. You may obtain additional copies by calling 800-927-2874 or by
writing to Credit Suisse Funds, P.O. Box 55030, Boston, MA 02205-5030.
Credit Suisse Asset Management Securities, Inc., Distributor, is located at 466
Lexington Ave., New York, NY 10017-3140. Credit Suisse Funds are advised by
Credit Suisse Asset Management, LLC.
INVESTORS IN THE CREDIT SUISSE FUNDS SHOULD BE AWARE THAT THEY MAY BE ELIGIBLE
TO PURCHASE COMMON CLASS AND/OR ADVISOR CLASS SHARES (WHERE OFFERED) DIRECTLY OR
THROUGH CERTAIN INTERMEDIARIES. SUCH SHARES ARE NOT SUBJECT TO A SALES CHARGE
BUT MAY BE SUBJECT TO AN ONGOING SERVICE AND DISTRIBUTION FEE OF UP TO 0.50% OF
AVERAGE DAILY NET ASSETS. INVESTORS IN THE CREDIT SUISSE FUNDS SHOULD ALSO BE
AWARE THAT THEY MAY BE ELIGIBLE FOR A REDUCTION OR WAIVER OF THE SALES CHARGE
WITH RESPECT TO CLASS A, B OR C SHARES. FOR MORE INFORMATION, PLEASE REVIEW THE
RELEVANT PROSPECTUSES OR CONSULT YOUR FINANCIAL REPRESENTATIVE.
THE VIEWS OF THE FUND'S MANAGEMENT ARE AS OF THE DATE OF THE LETTER AND THE FUND
HOLDINGS DESCRIBED IN THIS DOCUMENT ARE AS OF JUNE 30, 2005; THESE VIEWS AND
FUND HOLDINGS MAY HAVE CHANGED SUBSEQUENT TO THESE DATES. NOTHING IN THIS
DOCUMENT IS A RECOMMENDATION TO PURCHASE OR SELL SECURITIES.
FUND SHARES ARE NOT DEPOSITS OR OTHER OBLIGATIONS OF CREDIT SUISSE ASSET
MANAGEMENT, LLC ("CSAM") OR ANY AFFILIATE, ARE NOT FDIC-INSURED AND ARE NOT
GUARANTEED BY CSAM OR ANY AFFILIATE. FUND INVESTMENTS ARE SUBJECT TO INVESTMENT
RISKS, INCLUDING LOSS OF YOUR INVESTMENT.
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT
June 30, 2005 (unaudited)
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July 22, 2005
Dear Shareholder:
PERFORMANCE SUMMARY
1/01/05 - 6/30/05
SHARE CLASS/BENCHMARK PERFORMANCE
Common 1,2 (1.29)%
Class A 1,2 (1.28)%
Class B 1,2 (1.64)%
Class C 1,2 (1.65)%
S&P500 Index 3 (0.81)%
Performance for the Fund's Class A, Class B and Class C Shares is without
the maximum sales charge of 5.75%, 4.00% and 1.00%, respectively. 2
Effective August 8, 2005, the Fund's name will be changed fromCreditSuisse
Select Equity Fund, Inc. to Credit Suisse Large Cap Blend Fund. With its new
policies, the Fund will focus on striving to identify companies with favorable
growth or value characteristics using both fundamental and quantitative stock
analyses. The portfolio managers will assemble what they believe is an optimal
blend of growth and value stocks that is well diversified and presents a desired
capital appreciation potential and risk level relative to the Fund's S&P500
Index benchmark. The portion of the Fund's assets invested in growth and value
stocks will vary over time, and, depending on market conditions the Fund may be
predominantly invested in one or the other.
Stephen J. Kaszynski, Jeffrey T. Rose and William D. Butler will manage
the Fund and comprise the Credit Suisse Large Cap Core Team.
THE MARKET: FIGHTING HEADWINDS
The overall US equity market struggled in the first half of 2005, though
performance improved in the year's second quarter. Higher energy prices and
gradually tightening monetary policy seemed to top the list of investor
concerns. Although these headwinds slowed the US economy, growth continued at a
moderate pace. Somewhat surprisingly, intermediate- and long-term interest rates
remained quite low by historical standards and kept mortgage rates attractive
for borrowers. Housing remained robust, and the stimulus of housing-related
demand offset at least some of the burden caused by higher energy prices.
1
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
June 30, 2005 (unaudited)
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In the market, high energy prices helped drive the outperformance of
energy-related stocks, which outpaced all other economic sectors in the period.
This was reflected in theoutperformance of value stocks over growth stocks, as
energy companies comprise a relatively large share of the value universe.
Large-capitalization stocks outperformed small-cap stocks, reversing a trend in
which small caps had outperformed for several years.
STRATEGIC REVIEW: FOCUS ON COMPANY FUNDAMENTALS
The Fund had a loss, hindered by the lackluster environment for equities
in general for the period, and underperformed its benchmark. Stocks that
contributed negatively to the Fund's performance included its utilities
holdings. Our holdings in the sector modestly declined, while the Fund didn't
own certain utilities stocks that investors favored for their dividends in a
low-interest-rate environment, but which had limited appeal to us based on their
long-term prospects. The Fund's materials stocks lagged as well.
On the positive side, the Fund's consumer discretionary holdings performed
relatively well, with solid showings from its retail companies. The Fund's
consumer staples stocks performed well in both relative and absolute terms.
With respect to noteworthy recent portfolio activity, our purchases
included Boeing (2.3% of the Fund's portfolio as of June 30, 2005), which we
think could benefit from rising commercial aerospace orders, strengthening
aircraft lease rates, and general productivity improvements. We also added
Dominion Resources (1.7% of the Fund's portfolio as of June 30, 2005), a
utilities company whose operating profit could improve going forward, in our
view, as unfavorable oil and gas hedges expire. And in addition to generating
and distributing energy, the company has exploration and production activities
that could benefit if high energy prices persist. Our sales included Alcoa,
based on our view that the aluminum company faces rising input costs along with
a potential slowdown in the building construction and auto production areas.
Credit Suisse Large Cap Core Team
Hugh M. Neuburger
William D. Butler
2
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
THE FUND IS PERMITTED TO INVEST A GREATER PROPORTION OF ITS ASSETS IN THE
SECURITIES OF A SMALLER NUMBER OF ISSUERS. AS A RESULT, THE FUND MAY BE SUBJECT
TO GREATER VOLATILITY.
IN ADDITION TO HISTORICAL INFORMATION, THIS REPORT CONTAINS
FORWARD-LOOKING STATEMENTS, WHICH MAY CONCERN, AMONG OTHER THINGS, DOMESTIC AND
FOREIGN MARKET, INDUSTRY AND ECONOMIC TRENDS AND DEVELOPMENTS AND GOVERNMENT
REGULATION AND THEIR POTENTIAL IMPACT ON THE FUND'S INVESTMENT PORTFOLIO. THESE
STATEMENTS ARE SUBJECT TO RISKS AND UNCERTAINTIES AND ACTUAL TRENDS,
DEVELOPMENTS AND REGULATIONS IN THE FUTURE AND THEIR IMPACT ON THE FUND COULD BE
MATERIALLY DIFFERENT FROM THOSE PROJECTED, ANTICIPATED OR IMPLIED. THE FUND HAS
NO OBLIGATION TO UPDATE OR REVISE FORWARD-LOOKING STATEMENTS.
3
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
June 30, 2005 (unaudited)
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AVERAGE ANNUAL RETURNS AS OF JUNE 30, 2005 1
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SINCE INCEPTION
1 YEAR 5 YEARS INCEPTION DATE
------ ------- --------- ---------
Common Class 4.99% (4.97)% 3.38% 10/30/98
Class A Without Sales Charge 4.98% -- (1.82)% 7/31/01
Class A With Maximum Sales Charge (1.03)% -- (3.30)% 7/31/01
Class B Without CDSC 4.29% -- (2.57)% 7/31/01
Class B With CDSC 0.38% -- (2.81)% 7/31/01
Class C Without CDSC 4.30% -- (2.63)% 7/31/01
Class C With CDSC 3.32% -- (2.63)% 7/31/01
RETURNS REPRESENT PAST PERFORMANCE AND INCLUDE CHANGES IN SHARE PRICE AND
REINVESTMENT OF DIVIDENDS AND CAPITAL GAINS. PAST PERFORMANCE CANNOT GUARANTEE
FUTURE RESULTS. THE CURRENT PERFORMANCE OF THE FUND MAY BE LOWER OR HIGHER THAN
THE FIGURES SHOWN. RETURNS AND SHARE PRICE WILL FLUCTUATE, AND REDEMPTION VALUE
MAY BE MORE OR LESS THAN ORIGINAL COST. THE PERFORMANCE RESULTS DO NOT REFLECT
THE DEDUCTION OF TAXES THAT A SHAREHOLDER WOULD PAY ON FUND DISTRIBUTIONS OR THE
REDEMPTION OF FUND SHARES. PERFORMANCE INFORMATION CURRENT TO THE MOST RECENT
MONTH-END IS AVAILABLE AT WWW.CSAM.COM/US.
______________
1 Fee waivers and/or expense reimbursements reduced expenses for the Fund,
without which performance would be lower. Waivers and/or reimbursements
may be discontinued at any time.
2 Total return for Class A shares for the reporting period, based on
offering price (with maximum sales charge of 5.75%) was down 6.95%. Total
return for Class B shares for the reporting period, based on redemption
value (including contingent deferred sales charge of 4.00%), was down
5.58%. Total return for Class C shares for the reporting period, based on
redemption value (including contingent deferred sales charge of 1.00%),
was down 2.63%.
3 The Standard & Poor's 500 Index is an unmanaged index (with no defined
investment objective) of common stocks. It includes reinvestment of
dividends, and is a registered trademark of McGraw-Hill Co., Inc.
Investors cannot invest directly in an index.
4
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
June 30, 2005 (unaudited)
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INFORMATION ABOUT YOUR FUND'S EXPENSES
As an investor of the Fund, you incur two types of costs: ongoing expenses
and transaction costs. Ongoing expenses include management fees, distribution
and service (12b-1) fees and other Fund expenses. Examples of transaction costs
include sales charges (loads), redemption fees and account maintenance fees,
which are not shown in this section and which would result in higher total
expenses. The following table is intended to help you understand your ongoing
expenses of investing in the Fund and to help you compare these expenses with
the ongoing expenses of investing in other mutual funds. The table is based on
an investment of $1,000 made at the beginning of the six month period ended June
30, 2005.
The table illustrates your Fund's expenses in two ways:
o ACTUAL FUND RETURN. This helps you estimate the actual dollar amount
of ongoing expenses paid on a $1,000 investment in the Fund using the
Fund's actual return during the period. To estimate the expenses you
paid over the period, simply divide your account value by $1,000 (for
example, an $8,600 account value divided by $1,000 = 8.6), then
multiply the result by the number in the "Expenses Paid per $1,000"
line under the share class you hold.
o HYPOTHETICAL 5% FUND RETURN. This helps you to compare your Fund's
ongoing expenses with those of other mutual funds using the Fund's
actual expense ratio and a hypothetical rate of return of 5% per year
before expenses. Examples using a 5% hypothetical fund return may be
found in the shareholder reports of other mutual funds. The
hypothetical account values and expenses may not be used to estimate
the actual ending account balance or expenses you paid for the period.
Please note that the expenses shown in these tables are meant to highlight
your ongoing expenses only and do not reflect any transaction costs, such as
sales charges (loads) or redemption fees. If these transaction costs had been
included, your costs would have been higher. The "Expenses Paid per $1,000" line
of the tables is useful in comparing ongoing expenses only and will not help you
determine the relative total expenses of owning different funds.
5
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
June 30, 2005 (unaudited)
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EXPENSES AND VALUE OF A $1,000 INVESTMENT
FOR THE SIX MONTH PERIOD ENDED JUNE 30, 2005
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COMMON
ACTUAL FUND RETURN CLASS CLASS A CLASS B CLASS C
--------- --------- --------- ---------
Beginning Account Value 1/1/05 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account Value 6/30/05 $ 987.10 $ 987.20 $ 983.60 $ 983.50
Expenses Paid per $1,000* $ 6.40 $ 6.41 $ 10.08 $ 10.08
HYPOTHETICAL 5% FUND RETURN
Beginning Account Value 1/1/05 $1,000.00 $1,000.00 $1,000.00 $1,000.00
Ending Account Value 6/30/05 $1,018.35 $1,018.35 $1,014.63 $1,014.63
Expenses Paid per $1,000* $ 6.51 $ 6.51 $ 10.24 $ 10.24
COMMON
CLASS CLASS A CLASS B CLASS C
--------- --------- --------- ---------
ANNUALIZED EXPENSE RATIOS* 1.30% 1.30% 2.05% 2.05%
__________________
* EXPENSES ARE EQUAL TO THE FUND'S ANNUALIZED EXPENSE RATIO FOR EACH SHARE
CLASS, MULTIPLIED BY THE AVERAGE ACCOUNT VALUE OVER THE PERIOD, MULTIPLIED
BY THE NUMBER OF DAYS IN THE MOST RECENT FISCAL HALF YEAR PERIOD, THEN
DIVIDED BY 365.
THE "EXPENSE PAID PER $1,000" AND THE "ANNUALIZED EXPENSE RATIOS" IN THE
TABLES ARE BASED ON ACTUAL EXPENSES PAID BY THE FUND DURING THE PERIOD,
NET OF FEE WAIVERS AND/OR EXPENSE REIMBURSEMENTS. IF THOSE FEE WAIVERS
AND/OR EXPENSE REIMBURSEMENTS HAD NOT BEEN IN EFFECT, THE FUND'S ACTUAL
EXPENSES WOULD HAVE BEEN HIGHER.
For more information, please refer to the Fund's prospectus.
6
CREDIT SUISSE LARGE CAP BLEND FUND
SEMIANNUAL INVESTMENT ADVISER'S REPORT (CONTINUED)
June 30, 2005 (unaudited)
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SECTOR BREAKDOWN*
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Financial Services 19.4%
Industrials 18.4%
Information Technology 14.0%
Health Care 13.6%
Consumer Staples 10.0%
Consumer Discretionary 8.9%
Energy 8.6%
Utilities 3.2%
Materials 2.8%
Short - Term Investments 1.1%
- --------------------------------------------------------------------------------
__________________
* Expressed as a percentage of total investments and may vary over time.
7
CREDIT SUISSE LARGE CAP BLEND FUND
SCHEDULE OF INVESTMENTS
June 30, 2005 (unaudited)
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NUMBER OF
SHARES VALUE
----------- ------------
COMMON STOCKS (98.6%)
AEROSPACE & DEFENSE (6.3%)
Boeing Co. 24,800 $ 1,636,800
L-3 Communications Holdings, Inc. 16,100 1,232,938
United Technologies Corp. 33,600 1,725,360
------------
4,595,098
------------
BANKS (6.3%)
Mellon Financial Corp. 25,000 717,250
North Fork Bancorporation, Inc. 48,050 1,349,725
U.S. Bancorp 36,200 1,057,040
Wachovia Corp. 29,500 1,463,200
------------
4,587,215
------------
BEVERAGES (0.8%)
Coca-Cola Enterprises, Inc. 27,600 607,476
------------
BIOTECHNOLOGY (1.3%)
Gilead Sciences, Inc.* 21,400 941,386
------------
BUILDING PRODUCTS (1.0%)
American Standard Companies, Inc. 17,300 725,216
------------
CHEMICALS (2.8%)
Du Pont (E. I.) de Nemours & Co. 20,300 873,103
PPG Industries, Inc. 18,500 1,161,060
------------
2,034,163
------------
COMMERCIAL SERVICES & SUPPLIES (0.8%)
Avery Dennison Corp. 10,800 571,968
------------
COMMUNICATIONS EQUIPMENT (2.2%)
Cisco Systems, Inc.* 56,500 1,079,715
Qualcomm, Inc. 16,500 544,665
------------
1,624,380
------------
COMPUTERS & PERIPHERALS (3.4%)
Dell, Inc.* 21,900 865,269
EMC Corp.* 64,300 881,553
International Business Machines Corp. 9,600 712,320
------------
2,459,142
------------
DIVERSIFIED FINANCIALS (5.2%)
Citigroup, Inc. 31,771 1,468,773
Goldman Sachs Group, Inc. 10,400 1,061,008
JPMorgan Chase & Co. 34,500 1,218,540
------------
3,748,321
------------
See Accompanying Notes to Financial Statements.
8
CREDIT SUISSE LARGE CAP BLEND FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NUMBER OF
SHARES VALUE
----------- ------------
COMMON STOCKS
ELECTRIC UTILITIES (3.2%)
Dominion Resources, Inc. 16,300 $ 1,196,257
Exelon Corp. 21,700 1,113,861
------------
2,310,118
------------
ELECTRONIC EQUIPMENT & INSTRUMENTS (1.1%)
Broadcom Corp. Class A* 23,300 827,383
------------
FOOD & DRUG RETAILING (2.9%)
CVS Corp. 73,500 2,136,645
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FOOD PRODUCTS (3.1%)
Campbell Soup Co. 36,600 1,126,182
Kellogg Co. 25,600 1,137,664
------------
2,263,846
------------
HEALTHCARE EQUIPMENT & SUPPLIES (2.5%)
Baxter International, Inc. 19,400 719,740
Beckman Coulter, Inc. 17,600 1,118,832
------------
1,838,572
------------
HEALTHCARE PROVIDERS & SERVICES (2.5%)
UnitedHealth Group, Inc. 34,100 1,777,974
------------
HOTELS, RESTAURANTS & LEISURE (1.0%)
McDonald's Corp. 26,200 727,050
------------
HOUSEHOLD PRODUCTS (3.1%)
Kimberly-Clark Corp. 13,300 832,447
Procter & Gamble Co. 26,100 1,376,775
------------
2,209,222
------------
INDUSTRIAL CONGLOMERATES (7.3%)
General Electric Co. 68,700 2,380,455
Honeywell International, Inc. 21,700 794,871
Textron, Inc. 9,600 728,160
Tyco International, Ltd. 48,400 1,413,280
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5,316,766
------------
INSURANCE (7.9%)
Allstate Corp. 29,700 1,774,575
American International Group, Inc. 12,900 749,490
Hartford Financial Services Group, Inc. 10,800 807,624
Lincoln National Corp. 35,400 1,660,968
St. Paul Travelers Companies, Inc. 18,800 743,164
------------
5,735,821
------------
See Accompanying Notes to Financial Statements.
9
CREDIT SUISSE LARGE CAP BLEND FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
June 30, 2005 (unaudited)
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NUMBER OF
SHARES VALUE
----------- ------------
COMMON STOCKS
MACHINERY (2.9%)
Caterpillar, Inc. 15,100 $ 1,439,181
Eaton Corp. 10,700 640,930
------------
2,080,111
------------
MEDIA (2.9%)
Viacom, Inc. Class B 34,200 1,095,084
Walt Disney Co. 39,000 982,020
------------
2,077,104
------------
MULTILINE RETAIL (2.0%)
J.C. Penney Company, Inc. 14,700 772,926
May Department Stores Co. 16,900 678,704
------------
1,451,630
------------
OIL & GAS (8.6%)
Apache Corp. 17,600 1,136,960
Burlington Resources, Inc. 29,100 1,607,484
Devon Energy Corp. 15,300 775,404
Exxon Mobil Corp. 46,900 2,695,343
------------
6,215,191
------------
PHARMACEUTICALS (7.3%)
Hospira, Inc.* 21,600 842,400
Johnson & Johnson 19,300 1,254,500
Medco Health Solutions, Inc.* 15,400 821,744
Sepracor, Inc.* 15,100 906,151
Wyeth 32,800 1,459,600
------------
5,284,395
------------
SEMICONDUCTOR EQUIPMENT & PRODUCTS (1.7%)
Intel Corp. 47,900 1,248,274
------------
SOFTWARE (5.5%)
Activision, Inc.* 21,300 351,876
Adobe Systems, Inc. 23,500 672,570
Electronic Arts, Inc.* 20,200 1,143,522
Microsoft Corp. 72,500 1,800,900
------------
3,968,868
------------
SPECIALTY RETAIL (3.0%)
Ross Stores, Inc. 40,200 1,162,182
TJX Companies, Inc. 41,200 1,003,220
------------
2,165,402
------------
TOTAL COMMON STOCKS (Cost $61,651,270) 71,528,737
------------
See Accompanying Notes to Financial Statements.
10
CREDIT SUISSE LARGE CAP BLEND FUND
SCHEDULE OF INVESTMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
PAR
(000) VALUE
----------- ------------
SHORT-TERM INVESTMENT (1.1%)
State Street Bank and Trust Co. Euro Time
Deposit, 2.100%, 7/01/05 (Cost $762,000) $ 762 $ 762,000
------------
TOTAL INVESTMENTS AT VALUE (99.7%)
(Cost $62,413,270) 72,290,737
OTHER ASSETS IN EXCESS OF LIABILITIES (0.3%) 253,894
------------
NET ASSETS (100.0%) $ 72,544,631
============
- --------------------------------------------------------------------------------
* Non-income producing security.
See Accompanying Notes to Financial Statements.
11
CREDIT SUISSE LARGE CAP BLEND FUND
STATEMENT OF ASSETS AND LIABILITIES
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
ASSETS
Investments at value (Cost $62,413,270) (Note 2) $ 72,290,737
Cash 894
Receivable for investments sold 656,614
Dividend and interest receivable 62,281
Receivable for fund shares sold 298
Prepaid expenses and other assets 25,909
------------
Total Assets 73,036,733
------------
LIABILITIES
Advisory fee payable (Note 3) 31,373
Administrative services fee payable (Note 3) 3,857
Distribution fee payable (Note 3) 22,496
Payable for investments purchased 364,071
Payable for fund shares redeemed 3,728
Other accrued expenses payable 66,577
------------
Total Liabilities 492,102
------------
NET ASSETS
Capital stock, $0.001 par value (Note 6) 5,915
Paid-in capital (Note 6) 67,088,053
Undistributed net investment income 382,762
Accumulated net realized loss on investments (4,809,566)
Net unrealized appreciation from investments 9,877,467
------------
Net Assets $ 72,544,631
============
COMMON SHARES
Net assets $ 3,019,583
Shares outstanding 245,686
------------
Net asset value, offering price, and redemption price
per share $ 12.29
============
A SHARES
Net assets $ 57,998,877
Shares outstanding 4,707,004
------------
Net asset value and redemption price per share $ 12.32
============
Maximum offering price per share (net asset value/(1-5.75%)) $ 13.07
============
B SHARES
Net assets $ 10,137,979
Shares outstanding 846,478
------------
Net asset value and offering price per share $ 11.98
============
C SHARES
Net assets $ 1,388,192
Shares outstanding 116,211
------------
Net asset value and offering price per share $ 11.95
============
See Accompanying Notes to Financial Statements.
12
CREDIT SUISSE LARGE CAP BLEND FUND
STATEMENT OF OPERATIONS
For the Six Months Ended June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
INVESTMENT INCOME (Note 2)
Dividends $ 588,089
Interest 8,018
Securities lending 282
------------
Total investment income 596,389
------------
EXPENSES
Investment advisory fees (Note 3) 286,614
Administrative services fees (Note 3) 45,862
Distribution fees (Note 3)
Common Class 4,018
Class A 75,238
Class B 57,158
Class C 7,970
Transfer agent fees (Note 3) 69,850
Legal fees 20,905
Registration fees 20,353
Custodian fees 12,847
Audit fees 10,694
Printing fees (Note 3) 10,482
Directors' fees 8,147
Insurance expense 3,476
Commitment fees (Note 4) 1,021
Miscellaneous expense 5,526
------------
Total expenses 640,161
Less: fees waived (Note 3) (94,517)
------------
Net expenses 545,644
------------
Net investment income 50,745
------------
NET REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENTS
Net realized gain from investments 1,511,900
Net change in unrealized appreciation (depreciation) from
investments (2,695,380)
------------
Net realized and unrealized loss from investments (1,183,480)
------------
Net decrease in net assets resulting from operations $ (1,132,735)
============
See Accompanying Notes to Financial Statements.
13
CREDIT SUISSE LARGE CAP BLEND FUND
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
FOR THE FOR THE PERIOD
SIX MONTHS SEPTEMBER 1, FOR THE
ENDED 2004 TO YEAR ENDED
JUNE 30, 2005 DECEMBER 31, AUGUST 31,
(UNAUDITED) 2004 1 2004
------------- ------------- -------------
FROM OPERATIONS
Net investment income $ 50,745 $ 332,103 $ 80,646
Net realized gain from investments 1,511,900 1,756,240 14,143,446
Net change in unrealized appreciation (depreciation)
from investments (2,695,380) 6,219,001 (16,515,698)
------------- ------------- -------------
Net increase (decrease) in net assets resulting
from operations (1,132,735) 8,307,344 (2,291,606)
------------- ------------- -------------
FROM DIVIDENDS
Dividends from net investment income
Common Class shares -- (4,071) (4,482)
Class A shares -- (73,821) (1,625)
Distributions from net realized gains
Common Class shares -- (214,769) --
Class A shares -- (3,950,170) --
Class B shares -- (885,822) --
Class C shares -- (120,536) --
------------- ------------- -------------
Net decrease in net assets resulting
from dividends and distributions -- (5,249,189) (6,107)
------------- ------------- -------------
FROM CAPITAL SHARE TRANSACTIONS (Note 6)
Proceeds from sale of shares 1,214,739 1,038,674 3,060,914
Exchange value of shares due to merger -- -- 88,620,976
Reinvestment of dividends and distributions -- 4,593,125 5,774
Net asset value of shares redeemed (9,746,704) (8,854,717) (15,996,481)
------------- ------------- -------------
Net increase (decrease) in net assets
from capital share transactions (8,531,965) (3,222,918) 75,691,183
------------- ------------- -------------
Net increase (decrease) in net assets (9,664,700) (164,763) 73,393,470
NET ASSETS
Beginning of period 82,209,331 82,374,094 8,980,624
------------- ------------- -------------
End of period $ 72,544,631 $ 82,209,331 $ 82,374,094
============= ============= =============
UNDISTRIBUTED NET INVESTMENT INCOME $ 382,762 $ 332,017 $ 77,863
============= ============= =============
- --------------------------------------------------------------------------------
1 The Fund changed its fiscal year end from August 31 to December 31.
See Accompanying Notes to Financial Statements.
14
CREDIT SUISSE LARGE CAP BLEND FUND
FINANCIAL HIGHLIGHTS
(For a Common Class Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE SIX
MONTHS FOR THE PERIOD
ENDED SEPTEMBER 1, 2004 FOR THE YEAR ENDED AUGUST 31,
JUNE 30, 2005 TO ----------------------------------------------------------
(UNAUDITED) DECEMBER 31, 2004 1 2004 2003 2002 2001 2000
----------- ------------------- ------- ------- -------- --------- --------
PER SHARE DATA
Net asset value,
beginning of period $ 12.45 $ 12.01 $ 11.42 $ 10.66 $ 13.39 $ 19.13 $ 20.11
----------- ----------- ------- ------- -------- --------- --------
INVESTMENT OPERATIONS
Net investment income 0.02 2 0.05 2 0.03 2 0.01 0.01 2 0.02 0.03 2
Net gain (loss) on
investments
(both realized
and unrealized) (0.18) 1.21 0.57 0.76 (2.71) (4.48) 4.76
----------- ----------- ------- ------- -------- --------- --------
Total from investment
operations (0.16) 1.26 0.60 0.77 (2.70) (4.46) 4.79
----------- ----------- ------- ------- -------- --------- --------
LESS DIVIDENDS
AND DISTRIBUTIONS
Dividends from net
investment income -- (0.01) (0.01) (0.01) (0.01) (0.03) (0.07)
Distributions from net
realized gains -- (0.81) -- -- (0.02) (1.25) (5.70)
----------- ----------- ------- ------- -------- --------- --------
Total dividends and
distributions -- (0.82) (0.01) (0.01) (0.03) (1.28) (5.77)
----------- ----------- ------- ------- -------- --------- --------
NET ASSET VALUE, END
OF PERIOD $ 12.29 $ 12.45 $ 12.01 $ 11.42 $ 10.66 $ 13.39 $ 19.13
=========== =========== ======= ======= ======== ========= ========
Total return 3 (1.29)% 10.70% 5.25% 7.26% (20.21)% (24.68)% 33.42%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period
(000s omitted) $ 3,020 $ 3,471 $ 4,383 $ 5,653 $ 4,545 $ 7,696 $ 2,758
Ratio of expenses to
average net assets 1.30% 4 1.30% 4 1.30% 1.25% 1.19% 1.22% 1.29%
Ratio of net investment
income to
average net assets 0.26% 4 1.37% 4 0.23% 0.17% 0.12% 0.09% 0.18%
Decrease reflected in
above operating expense
ratios due to waivers/
reimbursements 0.25% 4 0.32% 4 0.40% 2.87% 2.24% 1.98% 1.83%
Portfolio turnover rate 38% 34% 168% 155% 122% 141% 235%
- --------------------------------------------------------------------------------
1 The Fund changed its fiscal year end from August 31 to December 31.
2 Per share information is calculated using the average shares outstanding
method.
3 Total returns are historical and assume changes in share price and
reinvestment of all dividends and distributions. Had certain expenses not
been reduced during the periods shown, total returns would have been
lower. Total returns for periods less than one year are not annualized.
4 Annualized.
See Accompanying Notes to Financial Statements.
15
CREDIT SUISSE LARGE CAP BLEND FUND
FINANCIAL HIGHLIGHTS
(For a Class A Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
PERIOD
FOR THE SIX SEPTEMBER
MONTHS ENDED 1, 2004 FOR THE YEAR ENDED AUGUST 31,
JUNE 30, 2005 TO DECEMBER --------------------------------------------------
(UNAUDITED) 31, 2004 1 2004 2003 2002 2001 2
------------- ------------ ---------- --------- --------- ---------
PER SHARE DATA
Net asset value, beginning of period $ 12.48 $ 12.04 $ 11.44 $ 10.67 $ 13.39 $ 14.19
------------ ------------ ---------- --------- --------- ---------
INVESTMENT OPERATIONS
Net investment income 0.02 3 0.06 3 0.04 3 0.01 0.01 3 0.01
Net gain (loss) on investments
(both realized and unrealized) (0.18) 1.20 0.57 0.77 (2.70) (0.81)
------------ ------------ ---------- --------- --------- ---------
Total from investment operations (0.16) 1.26 0.61 0.78 (2.69) (0.80)
------------ ------------ ---------- --------- --------- ---------
LESS DIVIDENDS AND DISTRIBUTIONS
Dividends from net investment income -- (0.01) (0.01) (0.01) (0.01) --
Distributions from net realized gains -- (0.81) -- -- (0.02) --
------------ ------------ ---------- --------- --------- ---------
Total dividends and distributions -- (0.82) (0.01) (0.01) (0.03) --
------------ ------------ ---------- --------- --------- ---------
NET ASSET VALUE, END OF PERIOD $ 12.32 $ 12.48 $ 12.04 $ 11.44 $ 10.67 $ 13.39
============ ============ ========== ========= ========= =========
Total return 4 (1.28)% 10.67% 5.33% 7.28% (20.13)% (5.64)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period
(000s omitted) $ 57,999 $ 63,160 $ 61,089 $ 1,778 $ 566 $ 64
Ratio of expenses to average
net assets 1.30% 5 1.30% 5 1.30% 1.25% 1.19% 1.19% 5
Ratio of net investment income to
average net assets 0.26% 5 1.37% 5 0.32% 0.22% 0.09% 0.77% 5
Decrease reflected in above
operating expense ratios due
to waivers/reimbursements 0.25% 5 0.32% 5 0.39% 2.90% 2.30% 6.44% 5
Portfolio turnover rate 38% 34% 168% 155% 122% 141%
- --------------------------------------------------------------------------------
1 The Fund changed its fiscal year end from August 31 to December 31.
2 For the period July 31, 2001 (inception date) through August 31, 2001.
3 Per share information is calculated using the average shares outstanding
method.
4 Total returns are historical and assume changes in share price,
reinvestment of all dividends and distributions, and no sales charge. Had
certain expenses not been reduced during the periods shown, total returns
would have been lower. Total returns for periods less than one year are
not annualized.
5 Annualized.
See Accompanying Notes to Financial Statements.
16
CREDIT SUISSE LARGE CAP BLEND FUND
FINANCIAL HIGHLIGHTS
(For a Class B Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
PERIOD
FOR THE SIX SEPTEMBER
MONTHS ENDED 1, 2004 FOR THE YEAR ENDED AUGUST 31,
JUNE 30, 2005 TO DECEMBER --------------------------------------------------
(UNAUDITED) 31, 2004 1 2004 2003 2002 2001 2
------------- ------------ ---------- --------- --------- ---------
PER SHARE DATA
Net asset value, beginning of period $ 12.18 $ 11.78 $ 11.27 $ 10.59 $ 13.38 $ 14.19
------------ ------------ ---------- --------- --------- ---------
INVESTMENT OPERATIONS
Net investment income (loss) (0.03) 3 0.02 3 (0.05) 3 (0.06) 3 (0.06) 3 0.00 4
Net gain (loss) on investments
(both realized and unrealized) (0.17) 1.19 0.56 0.74 (2.71) (0.81)
------------ ------------ ---------- --------- --------- ---------
Total from investment operations (0.20) 1.21 0.51 0.68 (2.77) (0.81)
------------ ------------ ---------- --------- --------- ---------
LESS DISTRIBUTIONS
Distributions from net realized gains -- (0.81) -- -- (0.02) --
------------ ------------ ---------- --------- --------- ---------
NET ASSET VALUE, END OF PERIOD $ 11.98 $ 12.18 $ 11.78 $ 11.27 $ 10.59 $ 13.38
============ ============ ========== ========= ========= =========
Total return 5 (1.64)% 10.44% 4.53% 6.42% (20.75)% (5.71)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period
(000s omitted) $ 10,138 $ 13,714 $ 14,745 $ 1,109 $ 518 $ 1
Ratio of expenses to average
net assets 2.05% 6 2.05% 6 2.05% 2.00% 1.94% 1.94% 6
Ratio of net investment income
(loss) to average net assets (0.49)% 6 0.62% 6 (0.45)% (0.55)% (0.67)% (0.31)% 6
Decrease reflected in above
operating expense ratios due
to waivers/reimbursements 0.25% 6 0.32% 6 0.39% 2.90% 2.25% 6.47% 6
Portfolio turnover rate 38% 34% 168% 155% 122% 141%
- --------------------------------------------------------------------------------
1 The Fund changed its fiscal year end from August 31 to December 31.
2 For the period July 31, 2001 (inception date) through August 31, 2001.
3 Per share information is calculated using the average shares outstanding
method.
4 This amount represents less than $0.01 per share.
5 Total returns are historical and assume changes in share price,
reinvestment of all dividends and distributions, and no sales charge. Had
certain expenses not been reduced during the periods shown, total returns
would have been lower. Total returns for periods less than one year are
not annualized.
6 Annualized.
See Accompanying Notes to Financial Statements.
17
CREDIT SUISSE LARGE CAP BLEND FUND
FINANCIAL HIGHLIGHTS
(For a Class C Share of the Fund Outstanding Throughout Each Period)
- --------------------------------------------------------------------------------
FOR THE
PERIOD
FOR THE SIX SEPTEMBER
MONTHS ENDED 1, 2004 FOR THE YEAR ENDED AUGUST 31,
JUNE 30, 2005 TO DECEMBER --------------------------------------------------
(UNAUDITED) 31, 2004 1 2004 2003 2002 2001 2
------------- ------------ ---------- --------- --------- ---------
PER SHARE DATA
Net asset value, beginning of period $ 12.15 $ 11.75 $ 11.24 $ 10.56 $ 13.39 $ 14.19
------------ ------------ ---------- --------- --------- ---------
INVESTMENT OPERATIONS
Net investment income (loss) (0.03) 3 0.03 3 (0.06) 3 (0.06) 3 (0.06) 3 0.00 4
Net gain (loss) on investments
(both realized and unrealized) (0.17) 1.18 0.57 0.74 (2.75) (0.80)
------------ ------------ ---------- --------- --------- ---------
Total from investment operations (0.20) 1.21 0.51 0.68 (2.81) (0.80)
------------ ------------ ---------- --------- --------- ---------
LESS DISTRIBUTIONS
Distributions from net realized gains -- (0.81) -- -- (0.02) --
------------ ------------ ---------- --------- --------- ---------
NET ASSET VALUE, END OF PERIOD $ 11.95 $ 12.15 $ 11.75 $ 11.24 $ 10.56 $ 13.39
============ ============ ========== ========= ========= =========
Total return 5 (1.65)% 10.47% 4.54% 6.44% (21.03)% (5.64)%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period
(000s omitted) $ 1,388 $ 1,864 $ 2,156 $ 441 $ 271 $ 102
Ratio of expenses to average
net assets 2.05% 6 2.05% 6 2.05% 2.00% 1.94% 1.94% 6
Ratio of net investment income
(loss) to average net assets (0.49)% 6 0.62% 6 (0.47)% (0.55)% (0.65)% (0.25)% 6
Decrease reflected in above
operating expense ratios due
to waivers/reimbursements 0.25% 6 0.32% 6 0.39% 2.90% 2.25% 6.43% 6
Portfolio turnover rate 38% 34% 168% 155% 122% 141%
- --------------------------------------------------------------------------------
1 The Fund changed its fiscal year end from August 31 to December 31.
2 For the period July 31, 2001 (inception date) through August 31, 2001.
3 Per share information is calculated using the average shares outstanding
method.
4 This amount represents less than $0.01 per share.
5 Total returns are historical and assume changes in share price,
reinvestment of all dividends and distributions, and no sales charge. Had
certain expenses not been reduced during the periods shown, total returns
would have been lower. Total returns for periods less than one year are
not annualized.
6 Annualized.
See Accompanying Notes to Financial Statements.
18
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 1. ORGANIZATION
Credit Suisse Large Cap Blend Fund, Inc. (the "Fund") is registered under
the Investment Company Act of 1940, as amended (the "1940 Act"), as a
diversified, open-end management investment company. The Fund's investment
objective is long-term capital appreciation. The Fund was incorporated under the
laws of the State of Maryland on July 31, 1998. The name of the Fund was changed
from Credit Suisse Select Equity Fund, Inc. effectiveAugust 8, 2005.
The Fund is authorized to offer six classes of shares: Common Class
shares, Advisor Class shares, Institutional Class shares, Class Ashares, Class B
shares and Class C shares. Each class of shares represents an equal pro rata
interest in the Fund, except that they bear different expenses which reflect the
differences in the range of services provided to them. The Fund currently offers
Common Class shares, Class A shares, Class B shares and Class C shares. The
Fund's Common Class shares are closed to new investors, other than (1) investors
in employee retirement, stock, bonus, pension or profit-sharing plans, (2)
investment advisory clients of Credit Suisse Asset Management, LLC ("CSAM"), (3)
certain registered investment advisers ("RIA"), (4) certain broker-dealers and
RIAs with clients participating in comprehensive fee programs and (5) employees
of CSAM or its affiliates and current and former Directors or Trustees of funds
advised by CSAM or its affiliates. Any Common Class shareholder as of the close
of business on December 12, 2001 can continue to buy Common Class shares of the
Fund and open new accounts under the same social security number. Effective
October 24, 2002, Institutional Class shares ceased operations. Class A shares
are sold subject to a front-end sales charge of up to 5.75%. Class B shares are
sold subject to a contingent deferred sales charge which declines from 4.00% to
zero depending on the period of time the shares are held. Class C shares are
sold subject to a contingent deferred sales charge of 1.00% if redeemed within
the first year of purchase.
Effective as of the close of business on January 9, 2004, the Fund
acquired all of the net assets ofthe Credit Suisse Tax Efficient Fund ("Tax
Efficient") in a tax-free exchange of shares. The Fund was also the accounting
survivor in the tax-free exchange. The shares exchanged were 58,722 Class A
shares (valued at $731,097) of the Fund for 47,899 Common Class shares of Tax
Efficient, 5,280,784 Class Ashares (valued at $65,745,895) of the Fund for
4,294,302 Class Ashares of Tax Efficient, 1,563,233 Class B shares (valued at
$19,133,980) of the Fund for 1,320,686 Class B shares of Tax Efficient, and
246,518 Class C shares (valued at
19
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 1. ORGANIZATION
$3,010,004) of the Fund for 207,812 Class C shares of Tax Efficient. Tax
Efficient's net assets of $88,620,976 at that date, which included $21,904,658
of unrealized appreciation, were combined with those of the Fund. The aggregate
net assets of Tax Efficient and the Fund immediately before the acquisition were
$88,620,976 and $9,412,634, respectively, and the combined net assets of the
Fund after the acquisition were $98,033,610.
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
A) SECURITY VALUATION -- The net asset value of the Fund is determined
daily as of the close of regular trading on the New York Stock Exchange, Inc.
(the "Exchange") on each day the Exchange is open for business. The Fund's
equity investments are valued at market value, which is generally determined
using the closing price on the exchange or market on which the security is
primarily traded at the time of valuation (the "Valuation Time"). If no sales
are reported, equity investments are generally valued at the most recent bid
quotation as of the Valuation Time or at the lowest asked quotation in the case
of a short sale of securities. Debt securities with a remaining maturity greater
than 60 days are valued in accordance with the price supplied by a pricing
service, which may use a matrix, formula or other objective method that takes
into consideration market indices, yield curves and other specific adjustments.
Debt obligations that will mature in 60 days or less are valued on the basis of
amortized cost, which approximates market value, unless it is determined that
using this method would not represent fair value. Securities and other assets
for which market quotations are not readily available, or whose values have been
materially affected by events occurring before the Fund's Valuation Time but
after the close of the securities' primary markets, are valued at fair value as
determined in good faith by, or under the direction of, the Board of Directors
under procedures established by the Board of Directors. The Fund may utilize a
service provided by an independent third party which has been approved by the
Board of Directors to fair value certain Fund securities.
B) SECURITYTRANSACTIONS AND INVESTMENT INCOME -- Security transactions are
accounted for on a trade date basis. Interest income is recorded on the accrual
basis. Dividends are recorded on the ex-dividend date. Certain expenses are
class-specific expenses and vary by class. Income, expenses (excluding
class-specific expenses) and realized/unrealized gains/losses are allocated
proportionately to each class of shares based upon the relative net
20
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
asset value of the outstanding shares of that class. The cost of investments
sold is determined by use of the specific identification method for both
financial reporting and income tax purposes.
C) DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS -- Dividends from net
investment income and distributions of net realized capital gains, if any, are
declared and paid at least annually. However, to the extent that a net realized
capital gain can be reduced by a capital loss carryforward, such gain will not
be distributed. Income and capital gain distributions are determined in
accordance with federal income tax regulations, which may differ from accounting
principles generally accepted in the United States of America ("GAAP").
D) FEDERAL INCOME TAXES -- No provision is made for federal taxes as it is
the Fund's intention to continue to qualify for and elect the tax treatment
applicable to regulated investment companies under the Internal Revenue Code of
1986, as amended, and to make the requisite distributions to its shareholders,
which will be sufficient to relieve it from federal income and excise taxes.
E) 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 disclosure of
contingent 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 these estimates.
F) SHORT-TERM INVESTMENTS -- The Fund, together with other
funds/portfolios advised by Credit Suisse Asset Management, LLC ("CSAM"), an
indirect, wholly-owned subsidiary of Credit Suisse Group, pools available cash
into either a short-term variable rate time deposit issued by State Street Bank
and Trust Company ("SSB"), the Fund's custodian, or a money market fund advised
by CSAM. The short-term time deposit issued by SSB is a variable rate account
classified as a short-term investment.
G) SECURITIES LENDING -- Loans of securities are required at all times to
be secured by collateral at least equal to 102% of the market value of domestic
securities on loan (including any accrued interest thereon) and 105% of the
market value of foreign securities on loan (including any accrued interest
thereon). Cash collateral received by the Fund in connection with securities
21
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
lending activity may be pooled together with cash collateral for other
funds/portfolios advised by CSAM and may be invested in a variety of
investments, including certain CSAM-advised funds, funds advised by SSB, the
Fund's securities lending agent,or money market instruments. However, in the
event of default or bankruptcy by the other party to the agreement, realization
and/or retention of the collateral may be subject to legal proceedings. The Fund
had no securities out on loan at June 30, 2005.
SSB has been engaged by the Fund to act as the Fund's securities lending
agent. The Fund's securities lending arrangement provides that the Fund and SSB
will share the net income earned from securities lending activities. During the
six months ended June 30, 2005, total earnings from the Fund's investment in
cash collateral received in connection with security lending arrangements was
$10,217, of which $9,816 was rebated to borrowers (brokers). The Fund retained
$282 from the cash collateral investment, and SSB, as lending agent, was paid
$119. The Fund may also be entitled to certain minimum amounts of income from
its securities lending activities. Securities lending income is accrued as
earned.
NOTE 3. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
CSAM serves as investment adviser for the Fund. For its investment
advisory services, CSAM is entitled to receive a fee from the Fund at an annual
rate of 0.75% of the Fund's average daily net assets. For the six months ended
June 30, 2005, investment advisory fees earned and voluntarily waived were
$286,614 and $94,517, respectively.
Credit Suisse Asset Management Securities, Inc. ("CSAMSI"), an affiliate
of CSAM, and SSB serve as co-administrators to the Fund.
For its co-administrative services, CSAMSI currently receives a fee
calculated at an annual rate of 0.05% of the Fund's average daily net assets.
For the six months ended June 30, 2005, co-administrative services fees earned
by CSAMSI were $19,108.
For its co-administrative services, SSB receives a fee, exclusive of
out-of-pocket expenses, calculated in total for all the Credit Suisse
funds/portfolios co-administered by SSB and allocated based upon relative
average net assets of each fund/portfolio, subject to an annual minimum fee. For
the six months
22
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 3. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
ended June 30, 2005, co-administrative services fees earned by SSB (including
out-of-pocket expenses) were $26,754.
In addition to serving as the Fund's co-administrator, CSAMSI currently
serves as distributor of the Fund's shares. Pursuant to distribution plans
adopted by the Fund pursuant to Rule 12b-1 under the 1940 Act, CSAMSI receives
fees for its distribution services. For the Common Class and Class A shares of
the Fund, the fee is calculated at an annual rate of 0.25% of the average daily
net assets. For Class B and Class C shares of the Fund, the fee is calculated at
an annual rate of 1.00% of average daily net assets.
Certain brokers, dealers and financial representatives provide transfer
agent related services to the Fund, and receive compensation from CSAM. CSAM is
then reimbursed by the Fund. For the six months ended June 30, 2005, the Fund
reimbursed CSAM $499, which is included in the Fund's transfer agent expense.
For the six months ended June 30, 2005, CSAMSI and its affiliates advised the
Fund that they retained $222 from commissions earned on the sale of the Fund's
Class Ashares.
Merrill Corporation ("Merrill"), an affiliate of CSAM, has been engaged by
the Fund to provide certain financial printing and fulfillment services. For the
six months ended June 30, 2005, Merrill was paid $13,208 for its services to the
Fund.
NOTE 4. LINE OF CREDIT
The Fund, together with other funds/portfolios advised by CSAM
(collectively, the "Participating Funds"), participates in a $75 million
committed, unsecured line of credit facility ("Credit Facility") for temporary
or emergency purposes with Deutsche Bank, A.G. as administrative agent and
syndication agent and SSB as operations agent. Under the terms of the Credit
Facility, the Participating Funds pay an aggregate commitment fee at a rate of
0.10% per annum on the average unused amount of the Credit Facility, which is
allocated among the Participating Funds in such manner as is determined by the
governing Boards of the Participating Funds. In addition, the Participating
Funds pay interest on borrowings at the Federal Funds rate plus 0.50%. At June
30, 2005, and during the six months ended June 30, 2005, the Fund had no
borrowings under the Credit Facility.
23
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 5. PURCHASES AND SALES OF SECURITIES
For the six months ended June 30, 2005, purchases and sales of investment
securities (excluding short-term investments) were $29,064,774 and $38,208,579,
respectively.
At June 30, 2005, the identified cost for federal income tax purposes, as
well as the gross unrealized appreciation from investments for those securities
having an excess of value over cost, gross unrealized depreciation from
investments for those securities having an excess of cost over value and the net
unrealized appreciation from investments were $62,413,270, $11,184,569,
$(1,307,102) and $9,877,467, respectively.
NOTE 6. CAPITAL SHARE TRANSACTIONS
The Fund is authorized to issue six billion full and fractional shares of
capital stock, $.001 par value per share. Transactions in capital shares for
each class were as follows:
COMMON CLASS
-------------------------------------------------------------------------------------------
FOR THE PERIOD
FOR THE SIX MONTHS ENDED SEPTEMBER 1, 2004 TO FOR THE YEAR ENDED
JUNE 30, 2005 (UNAUDITED) DECEMBER 31, 2004 1 AUGUST 31, 2004
------------------------- -------------------------- ---------------------------
SHARES VALUE SHARES VALUE SHARES VALUE
-------- ----------- -------- ------------ --------- ------------
Shares sold 745 $ 9,137 1,230 $ 15,506 28,860 $ 339,653
Shares issued in
reinvestment of
dividends and
distributions -- -- 17,807 217,154 358 4,437
Shares redeemed (33,820) (415,084) (105,147) (1,287,413) (159,529) (1,923,821)
-------- ----------- -------- ------------ --------- ------------
Net decrease (33,075) $ (405,947) (86,110) $ (1,054,753) (130,311) $ (1,579,731)
======== =========== ======== ============ ========= ============
CLASS A
-------------------------------------------------------------------------------------------
FOR THE PERIOD
FOR THE SIX MONTHS ENDED SEPTEMBER 1, 2004 TO FOR THE YEAR ENDED
JUNE 30, 2005 (UNAUDITED) DECEMBER 31, 2004 1 AUGUST 31, 2004
------------------------- -------------------------- ---------------------------
SHARES VALUE SHARES VALUE SHARES VALUE
-------- ----------- -------- ------------ --------- ------------
Shares sold 91,390 $ 1,126,710 75,840 $ 966,295 155,404 $ 1,901,131
Shares exchanged
due to merger -- -- -- -- 5,339,506 66,476,992
Shares issued in
reinvestment of
dividends and
distributions -- -- 286,271 3,499,528 108 1,337
Shares redeemed (433,325) (5,448,975) (375,995) (4,701,043) (577,634) (7,092,219)
-------- ----------- -------- ------------ --------- ------------
Net increase
(decrease) (341,935) $(4,322,265) (13,884) $ (235,220) 4,917,384 $ 61,287,241
======== =========== ======== ============ ========= ============
24
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 6. CAPITAL SHARE TRANSACTIONS
CLASS B
-------------------------------------------------------------------------------------------
FOR THE PERIOD
FOR THE SIX MONTHS ENDED SEPTEMBER 1, 2004 TO FOR THE YEAR ENDED
JUNE 30, 2005 (UNAUDITED) DECEMBER 31, 2004 1 AUGUST 31, 2004
------------------------- -------------------------- ---------------------------
SHARES VALUE SHARES VALUE SHARES VALUE
-------- ----------- -------- ------------ --------- ------------
Shares sold 3,644 $ 43,526 2,407 $ 28,945 20,107 $ 240,576
Shares exchanged
due to merger -- -- -- -- 1,563,233 19,133,980
Shares issued in
reinvestment of
dividends and
distributions -- -- 66,383 790,622 -- --
Shares redeemed (283,090) (3,405,044) (194,227) (2,373,273) (430,337) (5,170,229)
-------- ----------- -------- ------------ --------- ------------
Net increase
(decrease) (279,446) $(3,361,518) (125,437) $ (1,553,706) 1,153,003 $ 14,204,327
======== =========== ======== ============ ========= ============
CLASS C
-------------------------------------------------------------------------------------------
FOR THE PERIOD
FOR THE SIX MONTHS ENDED SEPTEMBER 1, 2004 TO FOR THE YEAR ENDED
JUNE 30, 2005 (UNAUDITED) DECEMBER 31, 2004 1 AUGUST 31, 2004
------------------------- -------------------------- ---------------------------
SHARES VALUE SHARES VALUE SHARES VALUE
-------- ----------- -------- ------------ --------- ------------
Shares sold 2,975 $ 35,366 2,351 $ 27,928 48,452 $ 579,554
Shares exchanged
due to merger -- -- -- -- 246,518 3,010,004
Shares issued in
reinvestment of
dividends and
distributions -- -- 7,224 85,821 -- --
Shares redeemed (40,217) (477,601) (39,558) (492,988) (150,796) (1,810,212)
-------- ----------- -------- ------------ --------- ------------
Net increase
(decrease) (37,242) $ (442,235) (29,983) $ (379,239) 144,174 $ 1,779,346
======== =========== ======== ============ ========= ============
- --------------------------------------------------------------------------------
1 The Fund changed its fiscal year end date from August 31 to December 31.
On June 30, 2005, the number of shareholders that held 5% or more of the
outstanding shares of each class of the Fund was as follows:
NUMBER OF APPROXIMATE PERCENTAGE
SHAREHOLDERS OF OUTSTANDING SHARES
------------ ---------------------
Common Class 2 36%
Class C 3 49%
Some of the shareholders are omnibus accounts, which hold shares on behalf
of individual shareholders.
25
CREDIT SUISSE LARGE CAP BLEND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
June 30, 2005 (unaudited)
- --------------------------------------------------------------------------------
NOTE 7. CONTINGENCIES
In the normal course of business, the Fund may provide general
indemnifications pursuant to certain contracts and organizational documents. The
Fund's maximum exposure under these arrangements is dependent on future claims
that may be made against the Fund and, therefore, cannot be estimated; however,
based on experience, the risk of loss from such claims is considered remote.
26
CREDIT SUISSE LARGE CAP BLEND FUND
PRIVACY POLICY NOTICE (UNAUDITED)
- --------------------------------------------------------------------------------
IMPORTANT PRIVACY CHOICES FOR CONSUMERS
---------------------------------------
We are committed to maintaining the privacy of every current and
prospective customer. We recognize that you entrust important personal
information to us, and we wish to assure you that we take seriously our
responsibilities in protecting and safeguarding this information.
In connection with making available investment products and services to
current and potential customers, we may obtain nonpublic personal information
about you. This information may include your name, address, e-mail address,
social security number, account number, assets, income, financial situation,
transaction history and other personal information.
We may collect nonpublic information about you from the following sources:
o Information we receive on applications, forms, questionnaires, web
sites, agreements or in the course of establishing or maintaining a
customer relationship; and
o Information about your transactions with us, our affiliates, or
others.
We do not disclose any nonpublic personal information about our customers
or former customers to anyone, except with your consent or as otherwise
permitted by law.
RESTRICT INFORMATION SHARING WITH AFFILIATES: In cases where we believe
that additional products and services may be of interest to you, we may share
the information described above with our affiliates unless you say "No."
|_| No, please do not share personal and financial information with your
affiliated companies. [If you check this box, you must send this notice
back to us with your name, address and account number to Credit Suisse
Funds, 466 Lexington Avenue, New York, New York 10017.]
We may also disclose this information to firms that perform services on
our behalf. These agents and service providers are required to treat the
information confidentially and use it only for the purpose for which it is
provided.
We restrict access to nonpublic personal information about you to those
employees, agents or other parties who need to know that information to provide
products or services to you or in connection with your investments with or
through us. We maintain physical, electronic and procedural safeguards that
comply with federal standards to guard your nonpublic personal information.
NOTE: THIS NOTICE IS PROVIDED TO CLIENTS AND PROSPECTIVE CLIENTS OF CREDIT
SUISSE ASSET MANAGEMENT, LLC ("CSAM"), AND CREDIT SUISSE ASSET MANAGEMENT
SECURITIES, INC., AND SHAREHOLDERS AND PROSPECTIVE SHAREHOLDERS IN
CSAM-SPONSORED AND ADVISED INVESTMENT COMPANIES, INCLUDING CREDIT SUISSE FUNDS,
AND OTHER CONSUMERS AND CUSTOMERS, AS APPLICABLE. THIS NOTICE IS NOT INTENDED TO
BE INCORPORATED IN ANY OFFERING MATERIALS BUT IS MERELY A STATEMENT OF OUR
CURRENT PRIVACY POLICY, AND MAY BE AMENDED FROM TIME TO TIME UPON NOTICE TO YOU.
THIS NOTICE IS DATED AS OF MAY 17, 2005.
27
CREDIT SUISSE LARGE CAP BLEND FUND
PROXY VOTING AND PORTFOLIO HOLDINGS INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
Information regarding how the Fund voted proxies related to its portfolio
securities during the 12-month period ended June 30ofeachyearas well as the
policies and procedures that the Fund uses to determine how to vote proxies
relating to its portfolio securities are available:
o By calling 1-800-927-2874
o On the Fund's website, www.csam.com/us
o On the website of the Securities and Exchange Commission,
http://www.sec.gov.
The Fund files a complete schedule of its portfolio holdings for the first
and third quarters of its fiscal year with the SEC on Form N-Q. The Fund's Forms
N-Q are available on the SEC's website at http://www.sec.gov and may be reviewed
and copied at the SEC's Public Reference Room in Washington, DC. Information on
the operation of the SEC's Public Reference Room may be obtained by calling
1-800-SEC-0330.
28
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P.O. BOX 55030, BOSTON, MA 02205-5030 CREDIT | ASSET
800-927-2874 o www.csam.com/us SUISSE | MANAGEMENT
[logo]
CREDIT SUISSE ASSET MANAGEMENT SECURITIES, INC., DISTRIBUTOR. LCB-SAR-0605
ITEM 2. CODE OF ETHICS.
This item is inapplicable to a semi-annual report on Form N-CSR.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
This item is inapplicable to a semi-annual report on Form N-CSR.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
This item is inapplicable to a semi-annual report on Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
This item is not applicable to the registrant.
ITEM 6. SCHEDULE OF INVESTMENTS
Included as part of the report to shareholders filed under Item 1 of this Form.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
This item is not applicable to the registrant.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
This item is not applicable to the registrant.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
This item is not applicable to the registrant.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The Nominating Committee recommends Board member candidates. Shareholders of the
registrant may also submit nominees that will be considered by the Committee.
Recommendations should be mailed to the registrant's Secretary, c/o Credit
Suisse Asset Management, LLC, 466 Lexington Avenue, New York, NY 10017. Any
submission should include at a minimum the following information: the name, age,
business address, residence address and principal occupation or employment of
such individual; the class, series and number of shares of the registrant that
are beneficially owned by such individual; the date such shares were acquired
and the investment intent of such acquisition; whether such shareholder believes
such individual is, or is not, an "interested person" of the registrant (as
defined in the Investment Company Act of 1940) and information regarding such
individual that is sufficient, in the Committee's discretion, to make such
determination; and all other information relating to such individual that is
required to be disclosed in solicitation of proxies for election of directors in
an election contest (even if an election contest is not involved) or is
otherwise required pursuant to the rules for proxy materials under the
Securities Exchange Act of 1934.
ITEM 11. CONTROLS AND PROCEDURES.
(a) As of a date within 90 days from the filing date of this report, the
principal executive officer and principal financial officer concluded that the
registrant's disclosure controls and procedures (as defined in Rule 30a-3(c)
under the Investment Company Act of 1940 (the "Act")) were effective based on
their evaluation of the disclosure controls and procedures required by Rule
30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities
Exchange Act of 1934.
(b) There were no changes in registrant's internal control over financial
reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the
registrant's last fiscal half-year that have materially affected, or are
reasonably likely to materially affect, the registrant's internal control over
financial reporting.
Item 12. Exhibits.
(a)(1) Not applicable.
(a)(2) The certifications of the registrant as required by Rule 30a-2(a) under
the Act are exhibits to this report.
(a)(3) Not applicable.
(b) The certifications of the registrant as required by Rule 30a-2(b) under the
Act are an exhibit to this report.
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.
CREDIT SUISSE LARGE CAP BLEND FUND, INC.
/s/ Steven Plump
----------------
Name: Steven Plump
Title: Chief Executive Officer
Date: September 1, 2005
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.
/s/ Steven Plump
----------------
Name: Steven Plump
Title: Chief Executive Officer
Date: September 1, 2005
/s/ Michael A. Pignataro
------------------------
Name: Michael A. Pignataro
Title: Chief Financial Officer
Date: September 1, 2005