<Page> UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-CSR CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES Investment Company Act file number: 811-7167 Prudential Europe Growth Fund, Inc. _______________________________________________________________________________ (Exact name of registrant as specified in charter) Gateway Centre 3, 100 Mulberry Street, Newark, New Jersey 07102 ________________________________________________________________________________ (Address of principal executive offices) (Zip code) Jonathan Shain Gateway Centre 3 100 Mulberry Street Newark, New Jersey 07102 ________________________________________________________________________________ (Name and address of agent for service) Registrant's telephone number, including area code: 973-802-6469 Date of fiscal year end: 4/30/03 Date of reporting period: 4/30/03 <Page> Item 1. Reports to Stockholders <Page> ANNUAL REPORT APRIL 30, 2003 PRUDENTIAL EUROPE GROWTH FUND, INC. FUND TYPE Global/International stock OBJECTIVE Long-term growth of capital This report is not authorized for distribution to prospective investors unless preceded or accompanied by a current prospectus. The views expressed in this report and information about the Fund's portfolio holdings are for the period covered by this report and are subject to change thereafter. Prudential Financial is a service mark of The Prudential Insurance Company of America, Newark, NJ, and its affiliates. PRUDENTIAL FINANCIAL (LOGO) <Page> Prudential Europe Growth Fund, Inc. Performance at a Glance FUND OBJECTIVE The investment objective of the Prudential Europe Growth Fund (the Fund) is long-term growth of capital. There can be no assurance that the Fund will achieve its investment objective. Cumulative Total Returns1 As of 4/30/03 One Year Five Years Since Inception2 Class A -18.65% -33.03% 36.61% Class B -19.26 -35.59 27.18 Class C -19.22 -35.57 27.39 Class Z -18.35 -32.21 18.03 MSCI Europe Index3 -15.17 -25.05 *** Lipper European Region Funds Avg.4 -15.93 -20.24 **** Average Annual Total Returns1 As of 3/31/03 One Year Five Years Since Inception2 Class A -33.39% -10.53% 1.45% Class B -33.91 -10.44 1.24 Class C -31.85 -10.49 1.13 Class Z -29.71 -9.38 0.44 MSCI Europe Index3 -25.82 -7.61 *** Lipper European Region Funds Avg.4 -25.41 -6.88 **** Past performance is not indicative of future results. Principal value and investment return will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. 1Source: Prudential Investments LLC and Lipper Inc. The cumulative total returns do not take into account applicable sales charges. The average annual total returns do take into account applicable sales charges. Without the distribution and service (12b-1) fee waiver of 0.05% for Class A shares, the returns would have been lower. The Fund charges a maximum front-end sales charge of 5% for Class A shares in most circumstances, and a 12b-1 fee of up to 0.30% annually. In some circumstances, Class A shares may not be subject to a front-end sales charge, but may be subject to a 1% contingent deferred sales charge (CDSC) for the first year. Class B shares are subject to a declining CDSC of 5%, 4%, 3%, 2%, 1%, and 1% for the first six years respectively after purchase, and a 12b-1 fee of 1.00% annually. Approximately seven years after purchase, Class B shares will automatically convert to Class A shares on a quarterly basis. Class C shares are subject to a front-end sales charge of 1%, a CDSC of 1% for shares redeemed within 18 months of purchase, and a 12b-1 fee of 1.00% annually. Class Z shares are not subject to a sales charge or 12b-1 fee. The returns in the tables do not reflect the deduction of taxes that a shareholder would pay on fund distributions or following the redemption of fund shares. 2Inception dates: Class A, B, and C, 7/13/94; Class Z, 4/15/96. 3The Morgan Stanley Capital International (MSCI) Europe IndexSM is a free float-adjusted market capitalization index that is designed to measure developed market equity performance in Europe. As of September 2002, the MSCI Europe Index consisted of the following 16 developed market country indexes: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the United Kingdom. 4The Lipper European Region Funds Average (Lipper Average) represents returns based on an average <Page> www.prudential.com (800) 225-1852 Annual Report April 30, 2002 return of all funds in the Lipper European Region Funds category for the periods noted. Funds in the Lipper Average concentrate their investment in equity securities whose primary trading markets or operations are concentrated in the European region or in a single country within this region. Investors cannot invest directly in an index. The returns for the MSCI Europe Index and Lipper Average would be lower if they included the effects of sales charges, operating expenses of a mutual fund, or taxes. Returns for the Lipper Average reflect the deduction of operating expenses, but not sales charges or taxes. ***MSCI Europe Index Since Inception cumulative total returns as of 4/30/03 are 76.37% for Class A, B, and C, and 31.91% for Class Z. MSCI Europe Index Since Inception average annual total returns as of 3/31/03 are 5.17% for Class A, B, and C, and 2.20% for Class Z. ****Lipper Average Since Inception cumulative total returns as of 4/30/03 are 62.36% for Class A, B, and C, and 26.13% for Class Z. Lipper Average Since Inception average annual total returns as of 3/31/03 are 3.85% for Class A, B, and C, and 1.03% for Class Z. Top 10 Industries Expressed as a percentage of net assets as of 4/30/03. 13.6% Telecommunication Service & Equipment 12.9 Financial Services 12.8 Oil & Natural Gas Production 11.3 Pharmaceuticals 9.4 Banking 5.1 Foods 4.1 Retail 3.1 Automobiles & Auto Parts 3.0 Building & Construction 2.9 Diversified Operations Top 10 industries are subject to change. Geographic Concentration Expressed as a percentage of net assets as of 4/30/03. 34.2% United Kingdom 14.2 France 10.0 The Netherlands 9.1 Switzerland 8.9 Germany 5.7 Italy 5.0 Spain 3.7 Finland 3.4 Sweden 2.3 Ireland 2.2 Belgium 1.3 Cash & Equivalents Geographic concentration is subject to change. 1 <Page> PRUDENTIAL FINANCIAL (LOGO) June 16, 2003 DEAR SHAREHOLDER, After fighting in Iraq ended in April 2003, U.S. consumer confidence rose significantly and a more optimistic tone pervaded the financial markets. Major stock market indexes have continued to improve, even as the long-standing bond market rally persisted. While we welcome these developments, it is important to remember that a wise investor plans for tomorrow's needs today regardless of the direction of financial markets. Whether you are investing for your retirement, your children's education, or for a new home for your family, Prudential mutual funds offer advantages that may help you reach your financial goals. Experienced asset managers, working closely with research analysts, employ time-tested investment processes that were honed under a variety of market conditions. We recommend that you consult a financial professional who can help you strike the right balance between your desire to obtain a particular return from an investment and your tolerance for risk. I was named president of the Prudential Europe Growth Fund, Inc. in March 2003. On behalf of the Prudential Financial family, I would like to thank you for your continued confidence in Prudential mutual funds. We look forward to serving your future investment needs. Sincerely, Judy A. Rice, President Prudential Europe Growth Fund, Inc. 2 <Page> Prudential Europe Growth Fund, Inc. Annual Report April 30, 2003 INVESTMENT ADVISER'S REPORT OVERVIEW OF THE MARKET AND FUND PERFORMANCE European stock markets fell far more than U.S. stocks in the steep slide that dominated the Fund's fiscal year. However, U.S. investors in European securities benefited from a substantial gain of European currencies against the U.S. dollar. This increased the dollar value of European assets. As a result, the 15.17% decline of the U.S. dollar-denominated MSCI Europe Index--the Fund's benchmark--was only a few percentage points below the Standard & Poor's 500 Composite Stock Price Index (S&P 500 Index). European markets did not participate in the rebound of oversold growth stocks. The Fund trailed its benchmark and the Lipper European Region Funds Average. The Fund's substantial decline was in part due to the poor performance of its financial stocks and its exposure to large oil companies whose performance was affected by the war in Iraq. In addition, small positions in Ahold (the Netherlands) and Imperial Chemical Industries (ICI, United Kingdom) faced unexpected accounting controversies. Their share prices plummeted and we sold both positions. The Fund's performance was also hurt by holdings in the semiconductor industry, where demand continued to be poor. (Demand for semiconductors has picked up recently.) On the positive side, the volatile markets during this reporting period created opportunities to purchase growth companies at what we considered bargain prices. (Some of these positions have already contributed to the Fund's return during this reporting period.) Gains came primarily on telecommunications-related holdings, a varied group of financial companies, and some consumer products and retail firms. FALLING SHARE PRICES HURT FINANCIAL COMPANIES Financial firms are required by regulators to maintain certain levels of capital to support the risks inherent in lending and insuring. The steep decline in share prices eroded the value of these firms' capital during this 3 <Page> Prudential Europe Growth Fund, Inc. Annual Report April 30, 2003 period. Insurance companies were particularly hurt because European insurance companies had, on average, a much larger part of their investment portfolios in equities than U.S. companies, and also faced substantial underwriting losses. We had focused on Munich Reinsurance (Germany) and Swiss Reinsurance (Switzerland) in part because we thought their balance sheets were stronger than the industry average, but even they had to raise capital as the markets continued to fall. Despite their negative impact on this period's return, we continue to have confidence in their prospects because both demand and premiums for reinsurance are rising rapidly. When Zurich Financial Services (Switzerland) issued shares to bolster its capital, we bought at an attractive price and have already had a significant gain on the position. Among bank stocks, capital adequacy concerns hurt several of the Fund's positions in commercial bank stocks--including Lloyds TSB Group (United Kingdom), Credit Suisse Group (Switzerland), and Barclays (United Kingdom)--but we benefited from opportunistic purchases when we thought other investors overreacted to some banks' risk exposures. Several positions made positive contributions to the Fund's return, including holdings in Deutsche Pfandbrief (DePfa) Bank (Germany), which specializes in public financing; Skand Enskilda (Sweden), a savings and investment bank that was more exposed to economic slowdown than some other Nordic banks; BBV (Spain), which was hurt by its exposure to Latin America; and Bank of Ireland (Ireland), whose position as one of only two major banks in the rapidly growing Irish economy has been undervalued. These banks' share prices rose as investors reassessed their risks and weighed them against European banks' strong growth potential. OUR OIL AND GAS EXPOSURE HURT The giant integrated oil companies BP (United Kingdom), Royal Dutch Petroleum (the Netherlands, see Comments on Largest Holdings for both), 4 <Page> www.prudential.com (800) 225-1852 and TotalFinaElf were among the larger detractors from the Fund's return. Royal Dutch fell when many professional asset managers sold the stock after the S&P 500 Index excluded nondomestic companies, including Royal Dutch. We believe the decline was not due to the company's fundamentals, and we took advantage of the price decline to add to our position. In general, oil stocks did not share in the April 2003 market rise. We think many investors expected war-related oil shortages and looked to other industries for short-term gains when these did not materialize. TELECOMMUNICATIONS-RELATED STOCKS REBOUNDED Telecommunications-related stocks were depressed for several years because heavy investment in infrastructure and licenses caused almost universally weak balance sheets in the telecommunication services industry. Delays in introducing new technologies exacerbated the financial stress and also hurt wireless handset companies. We added to our position in Vodafone (United Kingdom, see Comments on Largest Holdings) at favorable prices because we believed it had a relatively strong financial structure and it is the world leader in wireless services. By the end of the Fund's reporting period, its share price had risen substantially. The Fund had a smaller gain on its position in Nokia (Finland), which maintained its leading market share during this difficult period. The introduction of color screens in wireless handsets is boosting its sales. The Fund also had gains on smaller telecommunication positions, including Telefonica (Spain) and Telecom Italia (Italy). CONSUMER SPENDING DROVE SOME GAINS Consumer spending remained the strong point of the global economy, and the Fund benefited from a varied group of positions in clothing, food, tobacco, and media companies. We purchased a position in the fashionable shoe and apparel company PUMA (Germany) at an attractively low valuation. Its share price spiked upward as analysts upgraded their earnings forecasts for the firm. Unilever (United Kingdom) also contributed to the Fund's return as 5 <Page> Prudential Europe Growth Fund, Inc. Annual Report April 30, 2003 investors were attracted to its dependable earnings. An attempt to take over the U.K. department store chain Selfridges raised its share price. Other contributors included the publisher Reed Elsevier (the Netherlands) and Imperial Tobacco (United Kingdom). Prudential Europe Growth Fund Management Team - ----------------------------------------------------- The Portfolio of Investments following this report shows the size of the Fund's positions at period-end. 6 <Page> Prudential Europe Growth Fund, Inc. Holdings expressed as a percentage of the Fund's net assets Comments on Largest Holdings As of 4/30/03 - ------------------------------------------------------------ 4.0% Royal Dutch Petroleum Co. (the Netherlands)/Oil & Gas Royal Dutch owns 60% of the Royal Dutch/Shell Group, one of the world's largest integrated oil and gas companies. We expect stronger oil and natural gas prices and improved refining margins to drive positive earnings surprises. First quarter 2003 profits were nearly double those of first quarter 2002, while the firm's market valuation has been below the Europe oil and gas sector average. Royal Dutch continues to buy back its shares, has not cut its dividend since 1945, and yielded a 4.5% dividend at period-end. 3.8% Vodafone Group PLC (United Kingdom)/Telecommunications Vodafone is the world's largest mobile phone network operator. We expect new applications, such as photomessaging, e-mail, videophones, mobile Internet, games, betting, and online shopping, to drive increased spending on mobile phones. We believe that Vodafone's global franchise and market-leading positions in several countries put it in the strongest position to profit from these developments. 3.5% BP PLC (formerly BP Amoco) (United Kingdom)/Oil & Gas BP, like Royal Dutch, is among the world's largest integrated oil and gas companies and should benefit from rising prices and improved refining margins. First quarter 2003 earnings were 136% above first quarter 2002. BP continues to buy back its shares. (We are underweight in BP relative to the MSCI Europe Index, preferring Royal Dutch because of its lower valuation and greater exposure to refining margins.) 3.2% GlaxoSmithKline PLC (United Kingdom)/Pharmaceuticals GlaxoSmithKline is a major pharmaceutical and health- related consumer product company. We think its shares are inexpensive primarily because its pipeline is perceived to be weak; however, it has at least 177 projects in development. It has partnered with a generic drug firm to minimize the impact of generic competition to Paxil (its biggest seller by revenue). Productivity improvements are raising its earnings. Share buy-backs also support its share price, which currently is attractive compared with similar firms. 2.9% HSBC Holdings PLC (United Kingdom)/Banks HSBC is a banking and financial services group offering a full range of personal, business, corporate, and institutional services. Its acquisition of U.S. lending giant Household International adds geographic and business-line diversity. We expect it to drive strong growth and produce positive earnings surprises. Holdings are subject to change. 7 <Page> Prudential Europe Growth Fund, Inc. Portfolio of Investments as of April 30, 2003 <Table> <Caption> Shares Description Value (Note 1) - ---------------------------------------------------------------------------------------- LONG-TERM INVESTMENTS 98.7% Common Stocks 98.2% - ------------------------------------------------------------------------------------- Belgium 2.2% 41,292 Dexia $ 473,261 54,365 Fortis 912,497 20,153 UCB SA 557,771 -------------- 1,943,529 - ------------------------------------------------------------------------------------- Finland 3.7% 55,801 Fortum Oyj 400,422 123,470 Nokia Oyj 2,088,935 28,605 TietoEnator Oyj 474,059 25,542 UPM-Kymmene Oyj 373,414 -------------- 3,336,830 - ------------------------------------------------------------------------------------- France 14.2% 56,045 Arcelor(a) 634,219 22,727 Aventis SA 1,154,286 26,310 BNP Paribas SA 1,234,964 23,827 Carrefour SA 1,036,249 11,399 France Telecom SA 263,331 10,811 France Telecom SA(a) 248,661 4,800 Groupe Danone 679,242 10,947 L'Oreal SA 782,490 14,349 Lafarge SA 964,012 39,575 Orange SA(a) 317,110 15,376 PSA Peugeot Citroen 719,675 8,542 Sanofi-Synthelabo SA 509,532 11,505 Societe Generale 703,609 32,359 Thomson(a) 474,159 18,007 TotalFinaElf SA 2,361,259 8,797 Vinci SA 572,849 -------------- 12,655,647 - ------------------------------------------------------------------------------------- Republic of Germany 8.4% 25,147 Bayer AG 458,847 16,267 Bayerische Motoren Werke AG 542,259 </Table> 8 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Portfolio of Investments as of April 30, 2003 Cont'd. <Table> <Caption> Shares Description Value (Note 1) - ---------------------------------------------------------------------------------------- 33,549 Continental AG(a) $ 600,174 14,330 Deutsche Bank AG 741,083 65,095 Deutsche Telekom AG 870,300 25,559 E.ON AG 1,223,388 12,888 Puma AG Rudolf Dassler Sport 1,237,515 3,034 SAP AG 310,830 19,754 Siemens AG 984,771 26,991 Singulus Technologies AG(a) 466,891 -------------- 7,436,058 - ------------------------------------------------------------------------------------- Ireland 2.3% 64,115 Bank of Ireland 790,654 12,075 Depfa Bank PLC 660,309 47,975 Irish Life & Permanent PLC 556,817 -------------- 2,007,780 - ------------------------------------------------------------------------------------- Italy 5.7% 69,462 ENI SpA 989,926 49,608 Merloni Elettrodomestici SpA 603,452 60,660 Permasteelisa SpA 1,103,454 60,568 Telecom Italia Mobile SpA 285,246 58,600 Telecom Italia SpA 288,404 168,785 Telecom Italia SpA 1,378,825 99,199 UniCredito Italiano SpA 433,968 -------------- 5,083,275 - ------------------------------------------------------------------------------------- Netherlands 10.0% 33,410 ABN AMRO Holdings N.V. 564,504 32,279 Aegon N.V. 328,173 18,909 Akzo Nobel N.V. 420,361 33,238 ASML Holdings N.V.(a) 287,105 10,429 DSM N.V. 456,240 10,996 Heineken N.V. 408,274 67,274 ING Groep N.V. 1,092,382 68,115 Koninklijke (Royal) KPN N.V.(a) 453,057 23,835 Koninklijke (Royal) Philips Electronics N.V. 443,420 </Table> See Notes to Financial Statements 9 <Page> Prudential Europe Growth Fund, Inc. Portfolio of Investments as of April 30, 2003 Cont'd. <Table> <Caption> Shares Description Value (Note 1) - ---------------------------------------------------------------------------------------- 31,962 Koninklijke Vendex KBB N.V. $ 313,892 50,223 Reed Elsevier N.V. 571,699 87,376 Royal Dutch Petroleum Co. 3,573,802 -------------- 8,912,909 - ------------------------------------------------------------------------------------- Spain 5.0% 70,389 Banco Bilbao Vizcaya Argentaria SA 708,558 67,587 Banco Santander Central Hispano SA 531,007 41,964 Endesa SA 595,233 159,324 Iberia Lineas Aereas de Espana SA 279,155 18,320 Industria de Diseno Textil SA 365,150 24,156 Repsol YPF SA 351,803 112,288 Telefonica SA(a) 1,241,859 2,245 Telefonica SA(a) 24,829 31,181 Vallehermoso SA 322,230 -------------- 4,419,824 - ------------------------------------------------------------------------------------- Sweden 3.4% 30,951 AB SKF (Class 'B' Shares) 896,779 45,499 Assa Abloy AB (Class 'B' Shares) 433,869 19,566 Getinge AB (Class 'B' Shares) 442,524 50,627 Skandinaviska Enskilda Banken AB (Class 'A' Shares) 526,095 12,639 Tele2 AB (Class 'B' Shares)(a) 421,831 337,037 Telefonaktiebolaget LM Ericsson (Class 'B' Shares)(a) 306,970 -------------- 3,028,068 - ------------------------------------------------------------------------------------- Switzerland 9.1% 35,488 Credit Suisse Group(a) 847,756 8,906 Nestle SA 1,815,608 64,972 Novartis AG 2,562,856 16,053 Roche Holdings AG 1,021,436 7,522 Swiss Reinsurance 491,373 27,946 UBS AG 1,325,905 -------------- 8,064,934 - ------------------------------------------------------------------------------------- United Kingdom 34.2% 86,481 Allied Domecq PLC 485,146 26,104 Anglo American PLC 373,818 </Table> 10 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Portfolio of Investments as of April 30, 2003 Cont'd. <Table> <Caption> Shares Description Value (Note 1) - ---------------------------------------------------------------------------------------- 36,852 AstraZeneca PLC $ 1,445,964 67,938 Aviva PLC 477,761 112,871 Barclays PLC 779,762 485,871 BP PLC 3,078,996 66,475 British Sky Broadcasting Group PLC(a) 688,991 186,506 BT Group PLC 534,314 239,998 Centrica PLC 637,697 94,311 Compass Group PLC 434,110 75,831 Debenhams PLC 393,890 67,618 Diageo PLC 750,009 145,530 GKN PLC 479,143 141,470 GlaxoSmithKline PLC 2,835,351 74,130 HBOS PLC 868,446 238,620 HSBC Holdings PLC 2,614,323 29,059 Imperial Tobacco Group PLC 486,264 239,074 Lloyds TSB Group PLC 1,572,342 181,799 Matalan PLC 547,706 171,095 MFI Furniture Group PLC 360,958 117,871 Premier Farnell PLC 382,182 31,707 Reckitt Benckiser PLC 559,207 72,539 Royal Bank of Scotland Group PLC 1,902,502 32,037 Severn Trent PLC 366,103 313,630 Tesco PLC 992,494 160,757 Tomkins PLC 544,692 163,528 Unilever PLC 1,607,356 1,705,924 Vodafone Group PLC 3,367,221 38,974 Whitbread PLC 385,888 67,163 WPP Group PLC 477,946 -------------- 30,430,582 -------------- Total common stocks (cost $87,194,383) 87,319,436 -------------- </Table> See Notes to Financial Statements 11 <Page> Prudential Europe Growth Fund, Inc. Portfolio of Investments as of April 30, 2003 Cont'd. <Table> <Caption> Shares Description Value (Note 1) - ---------------------------------------------------------------------------------------- Preferred Stocks 0.5% - ------------------------------------------------------------------------------------- Republic of Germany 1,189 Porsche AG (cost $421,945) $ 437,885 -------------- Total Investments 98.7% (cost $87,616,328; Note 5) 87,757,321 Other assets in excess of liabilities 1.3% 1,192,024 -------------- Net Assets 100% $ 88,949,345 -------------- -------------- </Table> - ------------------------------ (a) Non-income producing security. The following abbreviations are used in portfolio descriptions: AB--Aktiebolag (Swedish Stock Company). AG--Aktiengesellschaft (German Stock Company). N.V.--Naamloze Vennootschap (Dutch Corporation). Oyj--Osakehio (Finnish Corporation). PLC--Public Limited Company (British Corporation). SA--Sociedad Anomia (Spanish Corporation) or Societe Anonyme (French Corporation). SpA--Societa per Azioni (Italian Corporation). 12 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Portfolio of Investments as of April 30, 2003 Cont'd. The industry classification of portfolio holdings and other assets in excess of liabilities shown as a percentage of net assets as of April 30, 2003 was as follows: <Table> Telecommunication Service & Equipment.................................. 13.6% Financial Services..................................................... 12.9 Oil & Natural Gas Production........................................... 12.8 Pharmaceuticals........................................................ 11.3 Banking................................................................ 9.4 Foods.................................................................. 5.1 Retail................................................................. 4.1 Automobiles & Auto Parts............................................... 3.1 Building & Construction................................................ 3.0 Diversified Operations................................................. 2.9 Electrical Power....................................................... 2.0 Electronic Components.................................................. 2.0 Beverages.............................................................. 1.9 Household Products..................................................... 1.7 Chemicals.............................................................. 1.5 Insurance.............................................................. 1.5 Apparel................................................................ 1.4 Media.................................................................. 1.2 Metals................................................................. 1.0 Computer Products & Services........................................... 0.9 Cosmetics & Toiletries................................................. 0.9 Television............................................................. 0.8 Steel.................................................................. 0.7 Tobacco................................................................ 0.6 Healthcare Equipment & Supplies........................................ 0.5 Public Works Construction.............................................. 0.5 Minerals............................................................... 0.4 Paper.................................................................. 0.4 Semiconductor Equipment & Devices...................................... 0.3 Transport Services..................................................... 0.3 ----- 98.7% Other assets in excess of liabilities.................................. 1.3 ----- 100.0% ----- ----- </Table> See Notes to Financial Statements 13 <Page> Prudential Europe Growth Fund, Inc. Statement of Assets and Liabilities <Table> <Caption> April 30, 2003 - ---------------------------------------------------------------------------------------- ASSETS Investments, at value (cost $87,616,328) $ 87,757,321 Foreign currency, at value (cost $107,340) 108,410 Receivable for investments sold 1,341,809 Dividends and interest receivable 501,667 Receivable for Fund shares sold 357,260 Foreign tax reclaim receivable 259,240 Prepaid expenses 648 -------------- Total assets 90,326,355 -------------- LIABILITIES Payable for investments purchased 437,277 Payable for Fund shares reacquired 389,904 Payable to custodian 240,902 Accrued expenses 209,513 Management fee payable 52,155 Distribution fee payable 34,672 Deferred directors' fees 12,587 -------------- Total liabilities 1,377,010 -------------- $ 88,949,345 -------------- -------------- NET ASSETS Net assets were comprised of: Common stock, at par $ 8,699 Paid-in capital in excess of par 127,459,395 -------------- 127,468,094 Undistributed net investment income 518,436 Accumulated net realized loss on investments and foreign currency transactions (39,214,628) Net unrealized appreciation on investments and foreign currencies 177,443 -------------- Net assets, April 30, 2003 $ 88,949,345 -------------- -------------- </Table> 14 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Statement of Assets and Liabilities Cont'd. <Table> <Caption> April 30, 2003 - ---------------------------------------------------------------------------------------- Class A: Net asset value and redemption price per share ($53,019,192 / 5,062,813 shares of common stock issued and outstanding) $10.47 Maximum sales charge (5% of offering price) .55 Maximum offering price to public $11.02 -------------- -------------- Class B: Net asset value, offering price and redemption price per share ($26,346,564 / 2,695,390 shares of common stock issued and outstanding) $9.77 -------------- -------------- Class C: Net asset value and redemption price per share ($4,677,207 / 477,705 shares of common stock issued and outstanding) $9.79 Sales charge (1% of offering price) .10 Offering price to public $9.89 -------------- -------------- Class Z: Net asset value, offering price and redemption price per share ($4,906,382 / 463,520 shares of common stock issued and outstanding) $10.59 -------------- -------------- </Table> See Notes to Financial Statements 15 <Page> Prudential Europe Growth Fund, Inc. Statement of Operations <Table> <Caption> Year Ended April 30, 2003 - ---------------------------------------------------------------------------------------- NET INVESTMENT INCOME Income Dividends (net of foreign withholding taxes of $375,843) $ 2,763,988 Interest 5,961 -------------- Total income 2,769,949 -------------- Expenses Management fee 766,403 Distribution fee--Class A 142,226 Distribution fee--Class B 339,887 Distribution fee--Class C 55,665 Transfer agent's fees and expenses 435,000 Custodian's fees and expenses 243,000 Reports to shareholders 65,000 Registration fees 65,000 Audit fee 39,000 Legal fees and expenses 30,000 Directors' fees 7,000 Miscellaneous 7,418 -------------- Total operating expenses 2,195,599 -------------- Loan interest expense (Note 7) 789 -------------- Total expenses 2,196,388 -------------- Net investment income 573,561 -------------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCY TRANSACTIONS Net realized gain (loss) on: Investment transactions (27,462,306) Foreign currency transactions 16,187 -------------- (27,446,119) -------------- Net change in unrealized appreciation on: Investments 1,632,795 Foreign currencies 23,375 -------------- 1,656,170 -------------- Net loss on investments and foreign currencies (25,789,949) -------------- NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS $ (25,216,388) -------------- -------------- </Table> 16 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Statement of Changes in Net Assets <Table> <Caption> Year Ended April 30, ------------------------------- 2003 2002 - ---------------------------------------------------------------------------------- DECREASE IN NET ASSETS Operations Net investment gain (loss) $ 573,561 $ (260,975) Net realized loss on investment and foreign currency transactions (27,446,119) (6,065,433) Net change in unrealized appreciation (depreciation) on investments and foreign currencies 1,656,170 (22,728,484) -------------- ------------- Net decrease in net assets resulting from operations (25,216,388) (29,054,892) -------------- ------------- Fund share transactions (net of share conversions) (Note 6) Net proceeds from shares sold 66,479,862 85,853,844 Cost of shares reacquired (90,336,475) (124,070,829) -------------- ------------- Net decrease in net assets from Fund share transactions (23,856,613) (38,216,985) -------------- ------------- Total decrease (49,073,001) (67,271,877) NET ASSETS Beginning of year 138,022,346 205,294,223 -------------- ------------- End of year(a) $ 88,949,345 $ 138,022,346 -------------- ------------- -------------- ------------- - ------------------------------ (a) Includes undistributed net investment income of: $ 518,436 -- -------------- ------------- </Table> See Notes to Financial Statements 17 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Prudential Europe Growth Fund, Inc. (the 'Fund') is registered under the Investment Company Act of 1940 as a diversified, open-end management investment company. The investment objective of the Fund is to seek long-term capital growth by investing primarily in equity securities of companies domiciled in Europe. The Fund was incorporated in Maryland on March 18, 1994 and commenced investment operations on July 13, 1994. Note 1. Accounting Policies The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements. Securities Valuation: Securities listed on a securities exchange or Nasdaq (whether domestic or foreign) are valued at the last sale price on such exchange or system on the day of valuation or, if there was no sale on such day, at the mean between the last reported bid and asked price or at the last bid price on such day in the absence of an asked price. Securities that are actively traded in the over-the-counter market, including securities listed on exchanges whose primary market is believed to be over-the-counter, are valued at market value using prices provided by an independent pricing agent or principal market maker. Securities for which reliable market quotations are not readily available or for which the pricing agent or principal market maker does not provide a valuation or methodology, or provides a valuation or methodology that, in the judgment of the manager or subadviser, does not represent fair value, are valued at fair value by a Valuation Committee appointed by the Board of Directors in consultation with the manager and subadviser. Short-term securities which mature in more than 60 days are valued at current market quotations. Short-term securities which mature in 60 days or less are valued at amortized cost, which approximates market value. Repurchase Agreements: In connection with transactions in repurchase agreements, it is the Fund's policy that its custodian or designated subcustodians under triparty repurchase agreements, as the case may be, take possession of the underlying collateral securities, the value of which exceeds the principal amount of the repurchase transaction, including accrued interest. To the extent that any repurchase transaction exceeds one business day, the value of the collateral is marked-to-market on a daily basis to maintain the adequacy of the collateral. If the seller defaults and the value of the collateral declines or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Fund may be delayed or limited. 18 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Cont'd. Foreign Currency Translation: The books and records of the Fund are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars on the following basis: (i) market value of investment securities, other assets and liabilities--at the closing daily rates of exchange; (ii) purchases and sales of investment securities, income and expenses--at the rates of exchange prevailing on the respective dates of such transactions. Although the net assets of the Fund are presented at the foreign exchange rates and market values at the close of the fiscal year, the Fund does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of securities held at the end of the fiscal year. Similarly, the Fund does not isolate the effect of changes in foreign exchange rates from the fluctuations arising from changes in the market prices of portfolio securities sold during the year. Accordingly, such realized foreign currency gains and losses are included in the reported net realized gain (loss) on investment transactions. Net realized gains (losses) on foreign currency transactions represent net foreign exchange gains or losses from foreign currency contracts, disposition of foreign currencies, currency gains or losses realized between the trade and settlement dates on security transactions, and the difference between the amounts of interest, dividends and foreign taxes recorded on the Fund's books and the U.S. dollar equivalent amounts actually received or paid. Net currency gains and losses from valuing foreign currency denominated assets and liabilities at year end exchange rates are reflected as a component of net unrealized appreciation (depreciation) on investments and foreign currencies. Foreign security and currency transactions may involve certain considerations and risks not typically associated with those of domestic origin as a result of, among other factors, the possibility of political and economic instability and the level of governmental supervision and regulation of foreign securities markets. Securities Transactions and Net Investment Income: Securities transactions are recorded on the trade date. Realized and unrealized gains and losses from security and currency transactions are calculated on the identified cost basis. Dividend income is recorded on the ex-dividend date, and interest income, including amortization of premium and accretion of discount on debt securities, as required is recorded on the accrual basis. Expenses are recorded on the accrual basis which may require the use of certain estimates by management. 19 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Cont'd. Net investment income or loss (other than distribution fees, which are charged directly to the respective class) and unrealized and realized gains and losses are allocated daily to each class of shares based upon the relative proportion of net assets of each class at the beginning of the day. Dividends and Distributions: The Fund expects to pay dividends of net investment income and distributions of net realized capital and currency gains, if any, annually. Dividends and distributions to shareholders, which are determined in accordance with federal income tax regulations and which may differ from generally accepted accounting principles, are recorded on the ex-dividend date. Permanent book/tax differences relating to income and gains are reclassified to paid in capital when they arise. Taxes: For federal income tax purposes, it is the Fund's policy to continue to meet the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable net income and capital gains, if any, to shareholders. Therefore, no federal income tax provision is required. Withholding taxes on foreign dividends are recorded, net of reclaimable amounts, at the time the related income is earned. Note 2. Agreements The Fund has a management agreement with Prudential Investments LLC ('PI'). Pursuant to a subadvisory agreement between PI and Gartmore Global Partners ('Gartmore'), Gartmore furnishes investment advisory services in connection with the management of the Fund. Under the subadvisory agreement, Gartmore, subject to the supervision of PI, is responsible for managing the assets of the Fund in accordance with its objectives and policies. PI pays for the services of Gartmore, the compensation of officers of the Fund, occupancy and certain clerical and bookkeeping costs of the Fund. The Fund bears all other costs and expenses. The management fee paid to PI is computed daily and payable monthly, at an annual rate of .75 of 1% of the Fund's average daily net assets. The Fund has a distribution agreement with Prudential Investments Management Services LLC ('PIMS'), which acts as the distributor of the Class A, Class B, Class C and Class Z shares. The Fund compensates PIMS for distributing and servicing the Fund's Class A, Class B and Class C shares, pursuant to plans of distribution (the 'Class A, B and C Plans'), regardless of expenses actually incurred by PIMS. The distribution fees are accrued daily and payable monthly. No distribution or service fees are paid to PIMS as distributor of the Class Z shares of the Fund. Pursuant to the Class A, B and C Plans, the Fund compensates PIMS for distribution-related activities at an annual rate of up to .30 of 1%, 1% and 1%,of the 20 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Cont'd. average daily net assets of the Class A, B and C shares, respectively. PIMS has contractually agreed to limit such fees to .25% on the average daily net assets of the Class A shares. PIMS has advised the Fund that it has received approximately $11,600 and $3,500 in front-end sales charges resulting from sales of Class A shares and Class C shares, respectively, during the year ended April 30, 2003. From these fees, PIMS paid such sales charges to affiliated broker-dealers, which in turn paid commissions to salespersons and incurred other distribution costs. PIMS has also advised the Fund that for the year ended April 30, 2003, it has received approximately $73,300 and $5,000 in contingent deferred sales charges imposed upon certain redemptions by Class B and Class C shareholders, respectively. PI and PIMS are indirect, wholly-owned subsidiaries of Prudential Financial, Inc. ('Prudential'). Note 3. Other Transactions With Affiliates Prudential Mutual Fund Services LLC ('PMFS'), an affiliate of PI and an indirect, wholly-owned subsidiary of Prudential, serves as the Fund's transfer agent. During the year ended April 30, 2003, the Fund incurred fees of approximately $284,000 for the services of PMFS. As of April 30, 2003 approximately $21,000 of such fees were due to PMFS. Transfer agent's fees and expenses in the Statement of Operations include certain out-of-pocket expenses paid to nonaffiliates. The Fund pays networking fees to affiliated and unaffiliated broker/dealers. These networking fees are payments made to broker/dealers that clear mutual fund transactions through a national clearing system. The Fund incurred approximately $46,100 in total networking fees, of which the amount relating to the services of Prudential Securities, Inc. ('PSI'), an affiliate of PI and an indirect, wholly-owned subsidiary of Prudential was approximately $34,300 for the year ended April 30, 2003. As of April 30, 2003, approximately $2,500 of such fees were due to PSI. These amounts are included in transfer agent's fees and expenses in the Statement of Operations. Note 4. Portfolio Securities Purchases and sales of investment securities, other than short-term investments, for the year ended April 30, 2003 were $109,212,795 and $132,453,527, respectively. Note 5. Tax Information In order to present undistributed net investment income (loss) and accumulated net realized gains (losses) on the Statement of Assets and Liabilities that more closely 21 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Cont'd. represent their tax character, certain adjustments have been made to paid-in-capital in excess of par, undistributed net investment income (loss) and accumulated net realized gain (loss) on investments. For the year ended April 30, 2003, the adjustments were to increase net investment income and increase accumulated net realized loss on investments by $16,187 due to reclassification of net foreign currency gain. Net investment income, net realized losses and net assets were not affected by this change. As of April 30, 2003, the Fund had distributable earnings of $518,436 on a tax basis. In addition, the approximate capital loss carryforward was $21,367,000 which expires in 2011. Accordingly, no capital gain distribution is expected to be paid to shareholders until net gains have been realized in excess of such carryforward. The tax basis differs from the amount shown on the Statement of Assets and Liabilities primarily due to the deferral for federal tax purposes of post-October capital losses of approximately $11,445,000 and other cumulative timing differences. The United States federal income tax basis of the Fund's investments and the net unrealized appreciation as of April 30, 2003 were as follows: <Table> <Caption> Other Cost Tax Basis Basis Net Unrealized of Investments Appreciation Depreciation Adjustments Depreciation - -------------- ------------ ------------ ----------- -------------- $ 94,019,169 $ 3,987,821 $(10,249,669) $36,450 $ (6,225,398) </Table> The differences between book and tax basis are primarily attributable to deferred losses on wash sales. Note 6. Capital The Fund offers Class A, Class B, Class C and Class Z shares. Class A shares are sold with a front-end sales charge of up to 5%. Class B shares are sold with a contingent deferred sales charge which declines from 5% to zero depending on the period of time the shares are held. Class C shares are sold with a front-end sales charge of 1% and a contingent deferred sales charge of 1% during the first 18 months. Class B shares will automatically convert to Class A shares on a quarterly basis approximately seven years after purchase. A special exchange privilege is also available for shareholders who qualify to purchase Class A shares at net asset value. Class Z shares are not subject to any sales or redemption charge and are offered exclusively for sale to a limited group of investors. 22 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Cont'd. There are 2 billion shares of $.001 par value common stock authorized and divided into four classes, designated Class A, Class B, Class C and Class Z Shares, each consisting of 500,000,000 authorized shares. Transactions in shares of beneficial interest were as follows: <Table> <Caption> Class A Shares Amount - ---------------------------------------------------------- ----------- ------------- Year ended April 30, 2003: Shares sold 4,038,386 $ 41,634,586 Shares reacquired (5,186,116) (54,080,349) ----------- ------------- Net decrease in shares outstanding before conversion (1,147,730) (12,445,763) Shares issued upon conversion from Class B 586,256 6,129,468 ----------- ------------- Net decrease in shares outstanding (561,474) $ (6,316,295) ----------- ------------- ----------- ------------- Year ended April 30, 2002: Shares sold 4,714,359 $ 61,890,072 Shares reacquired (6,223,329) (81,908,680) ----------- ------------- Net decrease in shares outstanding before conversion (1,508,970) (20,018,608) Shares issued upon conversion from Class B 2,564,679 31,344,411 ----------- ------------- Net increase in shares outstanding 1,055,709 $ 11,325,803 ----------- ------------- ----------- ------------- <Caption> Class B - ---------------------------------------------------------- Year ended April 30, 2003: Shares sold 721,357 $ 7,089,117 Shares reacquired (1,530,900) (15,174,516) ----------- ------------- Net decrease in shares outstanding before conversion (809,543) (8,085,399) Shares reacquired upon conversion into Class A (625,705) (6,129,468) ----------- ------------- Net decrease in shares outstanding (1,435,248) $ (14,214,867) ----------- ------------- ----------- ------------- Year ended April 30, 2002: Shares sold 575,785 $ 7,052,165 Shares reacquired (1,810,833) (22,212,729) ----------- ------------- Net decrease in shares outstanding before conversion (1,235,048) (15,160,564) Shares reacquired upon conversion into Class A (2,715,664) (31,344,411) ----------- ------------- Net decrease in shares outstanding (3,950,712) $ (46,504,975) ----------- ------------- ----------- ------------- <Caption> Class C - ---------------------------------------------------------- Year ended April 30, 2003: Shares sold 824,684 $ 7,969,331 Shares reacquired (968,242) (9,417,156) ----------- ------------- Net decrease in shares outstanding (143,558) $ (1,447,825) ----------- ------------- ----------- ------------- Year ended April 30, 2002: Shares sold 569,403 $ 6,971,944 Shares reacquired (720,046) (8,872,616) ----------- ------------- Net decrease in shares outstanding (150,643) $ (1,900,672) ----------- ------------- ----------- ------------- </Table> 23 <Page> Prudential Europe Growth Fund, Inc. Notes to Financial Statements Cont'd. <Table> <Caption> Class Z Shares Amount - ---------------------------------------------------------- ----------- ------------- Year ended April 30, 2003: Shares sold 929,494 $ 9,786,828 Shares reacquired (1,093,443) (11,664,454) ----------- ------------- Net decrease in shares outstanding (163,949) $ (1,877,626) ----------- ------------- ----------- ------------- Year ended April 30, 2002: Shares sold 774,843 $ 9,939,663 Shares reacquired (853,995) (11,076,804) ----------- ------------- Net decrease in shares outstanding (79,152) $ (1,137,141) ----------- ------------- ----------- ------------- </Table> Note 7. Borrowings The Fund, along with other affiliated registered investment companies ('the Funds'), is a party to a syndicated credit agreement ('SCA') with a group of banks. For the year ended April 30, 2003, the amount of the commitment was $500 million from May 1, 2002 through May 2, 2002. On May 3, 2002, the Funds renewed and amended the SCA, which effectively increased the banks' commitment to $800 million and allows the Funds to increase the commitment to $1 billion, if necessary. Interest on any borrowings under the SCA will be incurred at market rates. The Funds pay a commitment fee of .08 of 1% of the unused portion of the SCA. The commitment fee is accrued and paid quarterly and is allocated to the Funds pro rata, based on net assets. The purpose of the SCA is to serve as an alternative source of funds to facilitate capital share redemptions. The expiration date of the SCA is May 2, 2003. On May 2, 2003, the SCA was renewed under the same terms and conditions ('May 2003 renewal'). The expiration date of the May 2003 renewal is April 30, 2004. The Fund utilized the line of credit during the year ended April 30, 2003. The average daily balances for the 4 days the Fund had debt outstanding during the year ended was approximately $4,047,500 at a weighted average interest rate of approximately 1.75%. Note 8. Plan of Reorganization On May 29, 2003, the Directors of the Fund approved an Agreement and Plan of Reorganization and Liquidation (the 'Plan'), under which Europe Growth Fund will transfer all of its assets to, and all of its liabilities will be assumed by Prudential Global Growth Fund (which is a series of Prudential World Fund, Inc.). Prudential Global Growth Fund will be the surviving fund, and each whole and fractional share of each class of Europe Growth Fund will be exchanged for whole and fractional shares of equal net asset value of the same class of Global Growth Fund. The Plan is subject to approval by the shareholders of Prudential Europe Growth Fund at a shareholder meeting scheduled for September 17, 2003. If the Plan is approved, it is expected that the reorganization will occur in September 2003. Europe Growth Fund will bear its proportional share of the costs of the reorganization, including the cost of proxy solicitation. 24 <Page> ANNUAL REPORT APRIL 30, 2003 PRUDENTIAL EUROPE GROWTH FUND, INC. - -------------------------------------------------------------------------------- FINANCIAL HIGHLIGHTS <Page> Prudential Europe Growth Fund, Inc. Financial Highlights <Table> <Caption> Class A -------------- Year Ended April 30, 2003 - ---------------------------------------------------------------------------------------- PER SHARE OPERATING PERFORMANCE:(a) Net asset value, beginning of year $ 12.87 -------------- Income from investment operations Net investment income (loss) .09 Net realized and unrealized gain (loss) on investments and foreign currency transactions (2.49) -------------- Total from investment operations (2.40) -------------- Less distributions Distributions in excess of net investment income -- Distributions from net realized gains on investments and foreign currency transactions -- -------------- Total distributions -- -------------- Net asset value, end of year $ 10.47 -------------- -------------- TOTAL RETURN(b) (18.65)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of year (000) $ 53,019 Average net assets (000) $ 56,891 Ratios to average net assets: Expenses, including distribution and service (12b-1) fees(c) 1.87% Expenses, excluding distribution and service (12b-1) fees 1.62% Net investment income (loss) .84% For Class A, B, C and Z shares: Portfolio turnover rate 107% </Table> - ------------------------------ (a) Based on weighted average shares outstanding, by class. (b) Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of shares on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions. (c) For the year ended April 30, 2003, the distributor of the Fund contractually agreed to limit its distribution and service (12b-1) fees to .25 of 1% of the average net assets of Class A shares. 26 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class A - ------------------------------------------------------------------------------------- Year Ended April 30, - ------------------------------------------------------------------------------------- 2002 2001 2000 1999 - ------------------------------------------------------------------------------------- $ 15.03 $ 21.63 $ 18.80 $ 19.91 -------- -------- ---------------- -------- .02 (.05) (.04) .03 (2.18) (4.61) 3.83 .28 -------- -------- ---------------- -------- (2.16) (4.66) 3.79 .31 -------- -------- ---------------- -------- -- -- -- (.24) -- (1.94) (.96) (1.18) -------- -------- ---------------- -------- -- (1.94) (.96) (1.42) -------- -------- ---------------- -------- $ 12.87 $ 15.03 $ 21.63 $ 18.80 -------- -------- ---------------- -------- -------- -------- ---------------- -------- (14.37)% (21.66)% 20.27% 2.03% $ 72,367 $ 68,664 $104,031 $ 78,074 $ 66,709 $ 85,358 $ 85,317 $ 67,286 1.63% 1.43% 1.37% 1.43% 1.38% 1.18% 1.12% 1.18% .17% (.27)% (.18)% .15% 212% 39% 79% 62% </Table> See Notes to Financial Statements 27 <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class B -------------- Year Ended April 30, 2003 - ---------------------------------------------------------------------------------------- PER SHARE OPERATING PERFORMANCE:(a) Net asset value, beginning of year $ 12.10 -------------- Income from investment operations Net investment income (loss) .01 Net realized and unrealized gain (loss) on investments and foreign currency transactions (2.34) -------------- Total from investment operations (2.33) -------------- Less distributions Distributions in excess of net investment income -- Distributions from net realized gains on investments and foreign currency transactions -- -------------- Total distributions -- -------------- Net asset value, end of year $ 9.77 -------------- -------------- TOTAL RETURN(b) (19.26)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of year (000) $ 26,347 Average net assets (000) $ 33,989 Ratios to average net assets: Expenses, including distribution and service (12b-1) fees 2.62% Expenses, excluding distribution and service (12b-1) fees 1.62% Net investment income (loss) .08% </Table> - ------------------------------ (a) Based on weighted average shares outstanding, by class. (b) Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of shares on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions. 28 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class B - ------------------------------------------------------------------------------------- Year Ended April 30, - ------------------------------------------------------------------------------------- 2002 2001 2000 1999 - ------------------------------------------------------------------------------------- $ 14.23 $ 20.82 $ 18.26 $ 19.35 -------- ---------------- ---------------- ---------------- (.06) (.17) (.18) (.11) (2.07) (4.48) 3.70 .30 -------- ---------------- ---------------- ---------------- (2.13) (4.65) 3.52 .19 -------- ---------------- ---------------- ---------------- -- -- -- (.10) -- (1.94) (.96) (1.18) -------- ---------------- ---------------- ---------------- -- (1.94) (.96) (1.28) -------- ---------------- ---------------- ---------------- $ 12.10 $ 14.23 $ 20.82 $ 18.26 -------- ---------------- ---------------- ---------------- -------- ---------------- ---------------- ---------------- (14.97)% (22.50)% 19.38% 1.39% $ 49,985 $114,966 $198,260 $196,247 $ 74,536 $153,025 $193,811 $191,220 2.38% 2.18% 2.12% 2.18% 1.38% 1.18% 1.12% 1.18% (.49)% (1.00)% (.92)% (.57)% </Table> See Notes to Financial Statements 29 <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class C -------------- Year Ended April 30, 2003 - ---------------------------------------------------------------------------------------- PER SHARE OPERATING PERFORMANCE:(a) Net asset value, beginning of year $12.12 ------- Income from investment operations Net investment income (loss) .01 Net realized and unrealized gain (loss) on investments and foreign currency transactions (2.34) ------- Total from investment operations (2.33) ------- Less distributions Distributions in excess of net investment income -- Distributions from net realized gains on investments and foreign currency transactions -- ------- Total distributions -- ------- Net asset value, end of year $ 9.79 ------- ------- TOTAL RETURN(b) (19.22)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of year (000) $4,677 Average net assets (000) $5,567 Ratios to average net assets: Expenses, including distribution and service (12b-1) fees 2.62% Expenses, excluding distribution and service (12b-1) fees 1.62% Net investment income (loss) .10% </Table> - ------------------------------ (a) Based on weighted average shares outstanding, by class. (b) Total return does not consider the effects of sales loads. Total return is calculated assuming a purchase of shares on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions. 30 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class C - ------------------------------------------------------------------------------------- Year Ended April 30, - ------------------------------------------------------------------------------------- 2002 2001 2000 1999 - ------------------------------------------------------------------------------------- $14.25 $ 20.83 $ 18.25 $ 19.38 ------- -------- -------- -------- (.07) (.18) (.18) (.11) (2.06) (4.46) 3.72 .26 ------- -------- -------- -------- (2.13) (4.64) 3.54 .15 ------- -------- -------- -------- -- -- -- (.10) -- (1.94) (.96) (1.18) ------- -------- -------- -------- -- (1.94) (.96) (1.28) ------- -------- -------- -------- $12.12 $ 14.25 $ 20.83 $ 18.25 ------- -------- -------- -------- ------- -------- -------- -------- (14.95)% (22.40)% 19.45% 1.18% $7,531 $ 10,996 $ 17,501 $ 15,073 $8,573 $ 14,393 $ 15,974 $ 13,465 2.38% 2.18% 2.12% 2.18% 1.38% 1.18% 1.12% 1.18% (.54)% (1.02)% (.93)% (.61)% </Table> See Notes to Financial Statements 31 <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class Z -------------- Year Ended April 30, 2003 - ---------------------------------------------------------------------------------------- PER SHARE OPERATING PERFORMANCE:(a) Net asset value, beginning of year $12.97 ------- Income from investment operations Net investment income (loss) .11 Net realized and unrealized gain (loss) on investments and foreign currency transactions (2.49) ------- Total from investment operations (2.38) ------- Less distributions Distributions in excess of net investment income -- Distributions from net realized gains on investments and foreign currency transactions -- ------- Total distributions -- ------- Net asset value, end of year $10.59 ------- ------- TOTAL RETURN(b) (18.35)% RATIOS/SUPPLEMENTAL DATA: Net assets, end of year (000) $4,906 Average net assets (000) $5,741 Ratios to average net assets: Expenses, including distribution and service (12b-1) fees 1.62% Expenses, excluding distribution and service (12b-1) fees 1.62% Net investment income (loss) 1.05% </Table> - ------------------------------ (a) Based on weighted average shares outstanding, by class. (b) Total return is calculated assuming a purchase of shares on the first day and a sale on the last day of each year reported and includes reinvestment of dividends and distributions. 32 See Notes to Financial Statements <Page> Prudential Europe Growth Fund, Inc. Financial Highlights Cont'd. <Table> <Caption> Class Z - ------------------------------------------------------------------------------------- Year Ended April 30, - ------------------------------------------------------------------------------------- 2002 2001 2000 1999 - ------------------------------------------------------------------------------------- $15.10 $ 21.74 $ 18.83 $ 19.93 ------- -------- -------- -------- .06 (.01) .01 .05 (2.19) (4.69) 3.86 .31 ------- -------- -------- -------- (2.13) (4.70) 3.87 .36 ------- -------- -------- -------- -- -- -- (.28) -- (1.94) (.96) (1.18) ------- -------- -------- -------- -- (1.94) (.96) (1.46) ------- -------- -------- -------- $12.97 $ 15.10 $ 21.74 $ 18.83 ------- -------- -------- -------- ------- -------- -------- -------- (14.11)% (21.74)% 20.67% 2.35% $8,140 $ 10,668 $ 15,516 $ 10,972 $8,486 $ 13,144 $ 12,455 $ 8,572 1.38% 1.18% 1.12% 1.18% 1.38% 1.18% 1.12% 1.18% .46% (.03)% .08% .25% </Table> See Notes to Financial Statements 33 <Page> Prudential Europe Growth Fund, Inc. Report of Independent Auditors To the Shareholders and Board of Directors of Prudential Europe Growth Fund, Inc. In our opinion, the accompanying statement of assets and liabilities, including the portfolio of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Prudential Europe Growth Fund, Inc. (the 'Fund') at April 30, 2003, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as 'financial statements') are the responsibility of the Fund's management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with auditing standards generally accepted in the United States of America, which require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at April 30, 2003 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion. PricewaterhouseCoopers LLP New York, New York June 23, 2003 34 <Page> Prudential Europe Growth Fund, Inc. Federal Income Tax Information (Unaudited) The Fund has elected to give the benefit of foreign tax credits to its shareholders. Accordingly, shareholders who must report their gross income dividends and distributions in a federal income tax return will be entitled to a foreign tax credit, or an itemized deduction in computing their U.S. income tax liability. It is generally more advantageous to claim rather than take a deduction. For the fiscal year ended April 30, 2003 the Fund intends on passing through $.04 per share of ordinary income distributions as a foreign tax credit. For the purpose of preparing your annual federal income tax return, however, you should report the amounts as reflected on the appropriate Form 1099-DIV or substitute 1099-DIV. 35 <Page> Prudential Europe Growth Fund, Inc. www.prudential.com (800) 225-1852 Management of the Fund (Unaudited) Information pertaining to the Directors of the Fund is set forth below. Directors who are not deemed to be 'interested persons' of the Fund as defined in the Investment Company Act of 1940, as amended (the 1940 Act) are referred to as 'Independent Directors.' Directors who are deemed to be 'interested persons' of the Fund are referred to as 'Interested Directors.' 'Fund Complex' consists of the Fund and any other investment companies managed by Prudential Investments LLC (PI). Independent Directors1 <Table> <Caption> Number of Term of Portfolios in Office*** Fund ComplexD Other Position and Length of Principal Occupations Overseen by Directorships Held Name, Address** and Age With Fund Time Served During Past Five Years Director by the Director**** - ------------------------------------------------------------------------------------------------------------------------------------ Delayne Dedrick Gold (64) Director since 1996 Marketing Consultant 129 -- (1982-present); formerly Senior Vice President and Member of the Board of Directors, Prudential Bache Securities, Inc. Robert E. La Blanc (69) Director since 1996 President (since 1981) of 108 Director of Storage Robert E. La Blanc Associates, Technology Corporation Inc. (telecommunications); (technology) (since formerly General Partner at 1979), Chartered Salomon Brothers and Semiconductor Vice-Chairman of Continental Manufacturing, Ltd. Telecom; Trustee of Manhattan (Singapore) (since College. 1998), Titan Corporation (electronics) (since 1995), Computer Associates International, Inc. (since 2002) (software company); Director (since 1999) of First Financial Fund, Inc. and Director (since April 1999) of The High Yield Plus Fund, Inc. Robin B. Smith (63) Director since 1994 Chairman of the Board (since 100 Director of BellSouth January 2003) of Publishers Corporation (since Clearing House (direct 1992). marketing), formerly Chairman and Chief Executive Officer (August 1996-December 2002) of Publishers Clearing House. Stephen Stoneburn (59) Director since 1996 President and Chief Executive 106 -- Officer (since June 1996) of Quadrant Media Corp. (a publishing company); formerly President (June 1995 - June 1996) of Argus Integrated Media, Inc.; Senior Vice President and Managing Director (January 1993 - 1995) of Cowles Business Media and Senior Vice President of Fairchild Publications, Inc. (1975 - 1989). </Table> 36 37 <Page> Prudential Europe Growth Fund, Inc. www.prudential.com (800) 225-1852 Management of the Fund (Unaudited) Cont'd. <Table> <Caption> Number of Term of Portfolios in Office*** Fund ComplexD Other Position and Length of Principal Occupations Overseen by Directorships Held Name, Address** and Age With Fund Time Served During Past Five Years Director by the Director**** - ------------------------------------------------------------------------------------------------------------------------------------ Clay T. Whitehead (64) Director since 1999 President (since 1983) of 125 Director (since 2000) National Exchange Inc. (new of First Financial business development firm). Fund, Inc., and Director (since 2000) of The High Yield Plus Fund, Inc. </Table> Interested Directors -------------------- <Table> <Caption> Number of Term of Portfolios in Office*** Fund ComplexD Other Position and Length of Principal Occupations Overseen by Directorships Held Name, Address** and Age With Fund Time Served During Past Five Years Director by the Director**** - ------------------------------------------------------------------------------------------------------------------------------------ *Robert F. Gunia (56) Director and since 1996 Executive Vice President and 188 Vice President and Vice Chief Administrative Officer Director (since May President (since June 1999) of PI; 1989) and Treasurer Executive Vice President and (since 1999) of The Treasurer (since January 1996) Asia Pacific Fund, Inc. of PI; President (since April 1999) of Prudential Investment Management Services LLC (PIMS); Corporate Vice President (since September 1997) of The Prudential Insurance Company of America; Director, Executive Vice President and Chief Administrative Officer (since May 2003) of American Skandia Investment Services, Inc.; Director, Executive Vice President and Chief Administrative Officer (since May 2003) of American Skandia Advisory Services, Inc.; Director and Executive Vice President (since May 2003) of American Skandia Fund Services, Inc.; formerly Senior Vice President (March 1987-May 1999) of Prudential Securities Incorporated (PSI). *Judy A. Rice (55) Director since 2000 President, Chief Executive 129 -- and Officer, Chief Operating President since 2003 Officer and Officer-in-Charge (since 2003) of PI; Director, Officer-in-Charge, President, Chief Executive Officer and Chief Operating Officer (since May 2003) of American Skandia Advisory Services, Inc.; Director, Officer-in-Charge, </Table> 38 39 <Page> Prudential Europe Growth Fund, Inc. www.prudential.com (800) 225-1852 Management of the Fund (Unaudited) Cont'd. <Table> <Caption> Number of Term of Portfolios in Office*** Fund ComplexD Other Position and Length of Principal Occupations Overseen by Directorships Held Name, Address** and Age With Fund Time Served During Past Five Years Director by the Director**** - ------------------------------------------------------------------------------------------------------------------------------------ President, Chief Executive Officer and Chief Operating Officer (since May 2003) of American Skandia Investment Services, Inc.; Director, Officer-in-Charge, President, Chief Executive Officer (since May 2003) of American Skandia Fund Services, Inc.; formerly various positions to Senior Vice President (1992-1999) of PSI; and various positions to Managing Director (1975-1992) of Salomon Smith Barney; Member of Board of Governors of the Money Management Institute. </Table> Information pertaining to the Officers of the Fund who are not also Directors is set forth below. Officers -------- <Table> <Caption> Term of Office*** Position and Length of Principal Occupations Name, Address** and Age With Fund Time Served During Past Five Years - -------------------------------------------------------------------------------------------- Marguerite E.H. Morrison (47) Chief Legal since 2003 Vice President and Chief Legal Officer Officer - Mutual Funds and and Unit Investment Trusts (since Assistant since 2002 August 2000) of Prudential; Secretary Senior Vice President and Secretary (since April 2003) of PI; Senior Vice President and Secretary (since May 2003) of American Skandia Investment Services, Inc.; Senior Vice President and Secretary (since May 2003) of American Skandia Advisory Services, Inc.; Senior Vice President and Secretary (since May 2003) of American Skandia Fund Services, Inc.; Vice President and Assistant Secretary of PIMS (since October 2001), previously Senior Vice President and Assistant Secretary (February 2001-April 2003) of PI; Vice President and Associate General Counsel (December 1996-February 2001) of PI and Vice President and Associate General Counsel (September 1987-September 1996) of PSI. </Table> 40 41 <Page> Prudential Europe Growth Fund, Inc. www.prudential.com (800) 225-1852 Management of the Fund (Unaudited) Cont'd. <Table> <Caption> Term of Office*** Position and Length of Principal Occupations Name, Address** and Age With Fund Time Served During Past Five Years - -------------------------------------------------------------------------------------------- Grace C. Torres (44) Treasurer since 1995 Senior Vice President (since and January 2000) of PI; Senior Principal Vice President and Assistant Financial Treasurer (since May 2003) of and American Skandia Investment Accounting Services, Inc. and American Officer Skandia Advisory Services, Inc.; formerly First Vice President (December 1996-January 2000) of PI and First Vice President (March 1993-1999) of PSI. Jonathan D. Shain (44) Secretary since 2001 Vice President and Corporate Counsel (since August 1998) of Prudential; Vice President and Assistant Secretary (since May 2003) of American Skandia Investment Services, Inc.; Vice President and Assistant Secretary (since May 2003) of American Skandia Fund Services, Inc.; formerly Attorney with Fleet Bank, N.A. (January 1997 - July 1998) and Associate Counsel (August 1994 -January 1997) of New York Life Insurance Company. Maryanne Ryan (38) Anti-Money Since 2002 Vice President, Prudential Laundering (since November 1998); First Compliance Vice President, PSI (March Officer 1997-May 1998); Anti-Money Laundering Officer of American Skandia Investment Services, Inc., American Skandia Advisory Services, Inc. and American Skandia Marketing, Inc. </Table> 42 43 <Page> Prudential Europe Growth Fund, Inc. www.prudential.com (800) 225-1852 Management of the Fund (Unaudited) Cont'd. <Table> 1 Effective April 23, 2003, Nancy H. Teeters assumed the position of Trustee Emeritus and David R. Odenath, Jr. resigned as Trustee of the Fund. * 'Interested' Director, as defined in the 1940 Act, by reason of employment with the Manager (Prudential Investments LLC or PI), the Subadviser (Gartmore Global Partners or GGP) or the Distributor (Prudential Investment Management Services LLC or PIMS). ** Unless otherwise noted, the address of the Directors and Officers is c/o: Prudential Investments LLC, Gateway Center Three, 100 Mulberry Street, Newark, NJ 07102. *** There is no set term of office for Directors and Officers. The Independent Directors have adopted a retirement policy, which calls for the retirement of Directors on December 31 of the year in which they reach the age of 75. The table shows the individual's length of service as Director and/or Officer. D The Fund Complex consists of all investment companies managed by PI. Effective May 1, 2003, the Funds for which PI serves as manager include The Prudential Mutual Funds, Strategic Partners Funds, American Skandia Advisor Funds, Inc., The Prudential Variable Contract Accounts 2, 10, 11, The Target Portfolio Trust. The Prudential Series Fund, Inc., American Skandia Trust, and Prudential's Gibraltar Fund. **** This column includes only directorships of companies required to register, or file reports with the Commission under the Securities and Exchange Act of 1934 (i.e., 'public companies') or other investment companies registered under the 1940 Act. </Table> Additional information about the Fund's Directors is included in the Fund's Statement of Additional Information which is available without charge, upon request, by calling (800) 521-7466 or (732) 482-7555 (Calling from outside the U.S.) 44 45 <Page> Prudential Europe Growth Fund, Inc. Growth of a $10,000 Investment (CHART) Average Annual Total Returns (With Sales Charge) As of 4/30/03 One Year Five Years Since Inception Class A -22.72% -8.65% 3.01% Class B -23.29% -8.57% 2.77% Class C -20.83% -8.60% 2.67% Class Z -18.35% -7.48% 2.38% Average Annual Total Returns (Without Sales Charge) As of 4/30/03 One Year Five Years Since Inception Class A -18.65% -7.71% 3.61% Class B -19.26% -8.42% 2.77% Class C -19.22% -8.42% 2.79% Class Z -18.35% -7.48% 2.38% Past performance is not indicative of future results. Principal value and investment return will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Source: Prudential Investments LLC and Lipper Inc. Inception dates: Class A, B, and C, 7/13/94; Class Z, 4/15/96. The graph compares a $10,000 investment in the Prudential Europe Growth Fund, Inc. (Class A shares) with a similar investment in the Morgan Stanley Capital International Europe IndexSM (MSCI Europe Index) by portraying the initial account values at the commencement of operations of Class A shares (July 13, 1994) and the account values at the end of the current fiscal year (April 30, 2003), as measured on a quarterly basis. For purposes of the graph, and unless otherwise indicated, it has been assumed that (a) the maximum applicable front-end sales charge was deducted from the initial $10,000 investment in Class A shares; (b) all recurring fees (including management fees) were deducted; and (c) all dividends and distributions were reinvested. The line graph provides information for Class A shares only. As indicated in the tables, performance for Class B, Class C, and Class Z shares will vary due <Page> www.prudential.com (800) 225-1852 to the differing charges and expenses applicable to each class (as indicated below). Without the distribution and service (12b-1) fee waiver of 0.05% for Class A shares, the returns on investment in the graph and returns for Class A shares in the tables would have been lower. The MSCI Europe Index is a free float-adjusted market capitalization index that is designed to measure developed market equity performance in Europe. As of September 2002, the MSCI Europe Index consisted of the following 16 developed market country indexes: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the United Kingdom. The MSCI Europe Index's total returns include the reinvestment of all dividends, but do not include the effects of sales charges, operating expenses of a mutual fund, or taxes. These returns would be lower if they included the effects of sales charges, operating expenses, or taxes. The securities that comprise the MSCI Europe Index may differ substantially from the securities in the Fund. The MSCI Europe Index is not the only index that may be used to characterize performance of global/international stock funds. Other indexes may portray different comparative performance. Investors cannot invest directly in an index. This graph is furnished to you in accordance with Securities and Exchange Commission regulations. The Fund charges a maximum front-end sales charge of 5% for Class A shares in most circumstances, and a 12b-1 fee of up to 0.30% annually. In some circumstances, Class A shares may not be subject to a front-end sales charge, but may be subject to a 1% contingent deferred sales charge (CDSC) for the first year. Class B shares are subject to a declining CDSC of 5%, 4%, 3%, 2%, 1%, and 1% for the first six years respectively after purchase, and a 12b-1 fee of 1.00% annually. Approximately seven years after purchase, Class B shares will automatically convert to Class A shares on a quarterly basis. Class C shares are subject to a front-end sales charge of 1%, a CDSC of 1% for shares redeemed within 18 months of purchase, and a 12b-1 fee of 1.00% annually. Class Z shares are not subject to a sales charge or 12b-1 fee. The returns in the graph and the tables do not reflect the deduction of taxes that a shareholder would pay on fund distributions or following the redemption of fund shares. <Page> FOR MORE INFORMATION Prudential Mutual Funds Gateway Center Three 100 Mulberry Street Newark, NJ 07102-4077 (800) 225-1852 Visit Prudential's website at: www.prudential.com Directors Delayne Dedrick Gold Robert F. Gunia Robert E. La Blanc Judy A. Rice Robin B. Smith Stephen Stoneburn Clay T. Whitehead Officers Judy A. Rice, President Robert F. Gunia, Vice President Grace C. Torres, Treasurer Marguerite E.H. Morrison, Chief Legal Officer and Assistant Secretary Jonathan D. Shain, Secretary Maryanne Ryan, Anti-Money Laundering Compliance Officer Manager Prudential Investments LLC Gateway Center Three 100 Mulberry Street Newark, NJ 07102-4077 Investment Adviser Gartmore Global Partners 1200 River Road Conshohocken, PA 19428 Distributor Prudential Investment Management Services LLC Gateway Center Three, 14th Floor Newark, NJ 07102-4077 Custodian State Street Bank and Trust Company One Heritage Drive North Quincy, MA 02171 Transfer Agent Prudential Mutual Fund Services LLC PO Box 8098 Philadelphia, PA 19101 Independent Auditors PricewaterhouseCoopers LLP 1177 Avenue of the Americas New York, NY 10036 Legal Counsel Sullivan & Cromwell LLP 125 Broad Street New York, NY 10004-2498 Mutual funds are not insured by the FDIC or any federal government agency, are not a deposit of or guaranteed by any bank or any bank affiliate, and may lose value. Fund Symbols Nasdaq CUSIP Class A PRAEX 74431N103 Class B PRBEX 74431N202 Class C PEUCX 74431N301 Class Z PIEUX 74431N400 MF160E IFS-A080886 <Page> Item 2. Code of Ethics -- Not required in this filing Item 3. Audit Committee Financial Expert -- Not required in this filing Item 4. Principal Accountant Fees and Services -- Not required in this filing Item 5. Reserved Item 6. Reserved Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies -- Not required in this filing Item 8. Reserved Item 9. Controls and Procedures (a) It is the conclusion of the registrant's principal executive officer and principal financial officer that the effectiveness of the registrant's current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant has been recorded, processed, summarized and reported within the time period specified in the Commission's rules and forms and that the information required to be disclosed by the registrant has been accumulated and communicated to the registrant's principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure. (b) There have been no significant changes in the registrant's internal controls or in other factors that could significantly affect these controls subsequent to the date of their evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses. Item 10. Exhibits (a) Code of Ethics. -- Not required in this filing (b) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act -- Attached hereto <Page> 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. Prudential Europe Growth Fund, Inc. /s/ Jonathan Shain - -------------------------------- Jonathan Shain Secretary of the Fund Prudential Europe Growth Fund Date: June 30, 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. /s/ Judy A. Rice - -------------------------------- Judy A. Rice President of Prudential Europe Growth Fund, Inc. Date: June 30, 2003 /s/ Grace C. Torres - -------------------------------- Grace C. Torres Treasurer of Prudential Europe Growth Fund, Inc. Date: June 30, 2003 Attached hereto as an exhibit are the certifications pursuant to Section 906 of the Sarbanes-Oxley Act.