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 811-21370
Oppenheimer International Large-Cap Core Fund
(Exact name of registrant as specified in charter)
6803 South Tucson Way, Centennial, Colorado 80112-3924
(Address of principal executive offices)
(Zip code)
Robert G. Zack, Esq.
OppenheimerFunds, Inc.
Two World Financial Center, New York, New York 10281-1008
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(Name and address of agent for service)
Registrant's telephone number, including area code: (303) 768-3200
--------------
Date of fiscal year end: April 30
Date of reporting period: August 12, 2003 - October 31, 2003
ITEM 1. REPORTS TO STOCKHOLDERS.
STATEMENT OF INVESTMENTS October 31, 2003 / Unaudited
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Market Value
Shares See Note 1
- ----------------------------------------------------------------
Common Stocks--96.9%
- ----------------------------------------------------------------
Consumer Discretionary--11.6%
- ----------------------------------------------------------------
Auto Components--0.4%
Denso Corp. 1,200 $ 22,759
- ----------------------------------------------------------------
Automobiles--3.0%
Honda Motor Co. 1,300 51,321
- ----------------------------------------------------------------
Toyota Motor Corp. 3,900 111,038
-----------
162,359
- ----------------------------------------------------------------
Household Durables--3.9%
Daito Trust Construction Co. Ltd. 600 18,556
- ----------------------------------------------------------------
Electrolux AB, Cl. B 700 14,357
- ----------------------------------------------------------------
Koninklijke (Royal) Philips
Electronics NV 3,620 97,589
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Sony Corp. 2,300 80,129
-----------
210,631
- ----------------------------------------------------------------
Media--1.8%
Antena 3 Television SA 1 38 1,241
- ----------------------------------------------------------------
Elsevier NV 2,160 24,055
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News Corp. Ltd. (The) 6,420 57,169
- ----------------------------------------------------------------
Singapore Press Holdings Ltd. 1,330 15,050
-----------
97,515
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Multiline Retail--0.7%
Marks & Spencer Group plc 8,000 39,064
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Specialty Retail--0.5%
Kingfisher plc 6,000 28,763
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Textiles, Apparel & Luxury Goods--1.3%
Adidas-Salomon AG 150 13,898
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LVMH Moet Hennessey Louis Vuitton 610 42,157
- ----------------------------------------------------------------
Swatch Group AG (The), Cl. B 160 17,044
-----------
73,099
- ----------------------------------------------------------------
Consumer Staples--9.5%
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Beverages--2.0%
Asahi Breweries Ltd. 2,000 16,701
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Diageo plc 7,000 82,319
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Foster's Group Ltd. 4,380 14,203
-----------
113,223
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Food & Staples Retailing--3.2%
Carrefour SA 1,260 66,148
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Ito-Yokado Co. Ltd. 1,000 36,749
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Tesco plc 18,000 72,163
-----------
175,060
Market Value
Shares See Note 1
- ----------------------------------------------------------------
Food Products--3.9%
Cadbury Schweppes plc 6,000 $ 38,461
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Nestle SA 620 136,504
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Unilever NV 660 38,339
-----------
213,304
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Household Products--0.4%
Kao Corp. 1,000 20,558
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Energy--8.4%
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Oil & Gas--8.4%
BP plc 19,000 131,870
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ENI SpA 7,280 115,605
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Royal Dutch Petroleum Co. 1,670 74,102
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Total SA, B Shares 900 139,884
-----------
461,461
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Financials--25.6%
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Capital Markets--4.0%
Deutsche Bank AG 830 54,747
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UBS AG 2,650 162,735
-----------
217,482
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Commercial Banks--16.7%
Banco Santander Central Hispano SA 11,860 113,745
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Bank of Ireland 3,220 40,015
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Barclays plc 16,000 134,941
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DBS Group Holdings Ltd. 2,500 20,535
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HBOS plc 10,000 116,326
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HSBC Holdings plc 6,000 90,108
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Mitsubishi Tokyo Financial Group, Inc. 7 50,302
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National Australia Bank Ltd. 4,130 89,642
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Royal Bank of Scotland Group plc (The) 5,000 133,974
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Societe Generale, Cl. A 820 60,913
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UniCredito Italiano SpA 13,680 67,429
-----------
917,930
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Diversified Financial Services--3.7%
Credit Saison Co. Ltd. 600 12,553
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Deutsche Boerse AG 490 27,239
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ING Groep NV 4,660 96,752
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Nomura Securities Co. Ltd. 4,000 68,695
-----------
205,239
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Insurance--0.8%
Axa SA 2,370 44,909
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Real Estate--0.4%
Sun Hung Kai Properties Ltd. 2,660 22,521
6 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
Market Value
Shares See Note 1
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Health Care--9.4%
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Health Care Equipment & Supplies--0.6%
Smith & Nephew plc 4,000 $ 31,784
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Pharmaceuticals--8.8%
Aventis SA 1,490 78,898
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Eisai Co. Ltd. 1,200 28,162
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GlaxoSmithKline plc 4,000 85,662
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Novartis AG 2,130 81,190
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Roche Holdings AG 970 80,267
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Schering AG 1,220 56,971
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Takeda Chemical Industries Ltd. 2,100 74,308
-----------
485,458
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Industrials--7.2%
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Air Freight & Logistics--0.5%
Yamato Transport Co. Ltd. 2,000 26,579
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Commercial Services & Supplies--1.6%
Brambles Industries Ltd. 8,510 28,199
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DAI Nippon Printing Co. Ltd. 2,000 30,891
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Hays plc 15,000 31,054
-----------
90,144
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Construction & Engineering--0.5%
Grupo Dragados SA 1,230 25,123
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Electrical Equipment--0.3%
Matsushita Electric Works Ltd. 2,000 15,027
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Industrial Conglomerates--3.1%
Hutchison Whampoa Ltd. 5,810 45,077
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Siemens AG 1,510 101,812
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Smiths Group plc 2,000 23,808
-----------
170,697
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Machinery--0.8%
Atlas Copco AB, A Shares 860 30,207
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Mitsubishi Heavy Industries Ltd. 5,000 13,735
-----------
43,942
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Transportation Infrastructure--0.4%
BAA plc 3,000 23,723
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Information Technology--6.3%
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Communications Equipment--2.0%
Nokia Oyj 4,110 69,805
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Telefonaktiebolaget LM Ericsson AB,
B Shares 1 24,560 42,188
-----------
111,993
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Electronic Equipment & Instruments--0.5%
Murata Manufacturing Co. Ltd. 500 28,426
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Office Electronics--1.8%
Canon, Inc. 2,000 96,784
Market Value
Shares See Note 1
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Semiconductors & Semiconductor Equipment--0.7%
Rohm Co. 300 $ 40,442
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Software--1.3%
SAP AG 480 69,834
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Materials--6.7%
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Chemicals--2.3%
BASF AG 900 41,285
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BOC Group plc 2,000 27,270
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Shin-Etsu Chemical Co. 900 33,483
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Syngenta AG 470 25,183
-----------
127,221
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Construction Materials--1.1%
CRH plc 1,470 26,402
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Hanson plc 5,000 34,618
-----------
61,020
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Metals & Mining--2.5%
Broken Hill Proprietary Co. Ltd. 10,120 84,157
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JFE Holdings, Inc. 2,100 53,677
-----------
137,834
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Paper & Forest Products--0.8%
UPM-Kymmene Oyj 2,270 42,486
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Telecommunication Services--8.2%
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Diversified Telecommunication Services--4.6%
BT Group plc 24,000 75,548
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France Telecom SA 1 960 23,235
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Telecom Corp. of New Zealand Ltd. 4,830 14,364
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Telefonica SA 11,400 141,802
-----------
254,949
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Wireless Telecommunication Services--3.6%
NTT Docomo, Inc. 30 64,947
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Vodafone Group plc 63,000 132,298
-----------
197,245
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Utilities--4.0%
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Electric Utilities--3.8%
CLP Holdings Ltd. 5,000 22,599
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Endesa SA 2,460 39,036
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Enel SpA 5,760 36,024
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ScottishPower plc 1 5,000 29,697
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Tohoku Electric Power Co. 1,700 27,556
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Veba AG 1,040 52,567
-----------
207,479
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Gas Utilities--0.2%
Tokyo Gas Co. Ltd. 4,000 13,717
-----------
Total Common Stocks (Cost $4,977,103) 5,327,784
7 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF INVESTMENTS CONTINUED
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Principal Market Value
Amount See Note 1
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Joint Repurchase Agreements--3.1%
Undivided interest of 0.11% in joint
repurchase agreement (Principal
Amount/Market Value $149,808,000,
with a maturity value of $149,820,109)
with Banc One Capital Markets, Inc.,
0.97%, dated 10/31/03, to be repurchased
at $169,014 on 11/3/03, collateralized
by U.S. Treasury Bonds, 3.625%--9%,
3/31/04--8/15/23, with a value
of $152,949,680 (Cost $169,000) $169,000 $ 169,000
- ----------------------------------------------------------------
Total Investments, at Value
(Cost $5,146,103) 100.0% 5,496,784
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Other Assets Net of Liabilities 0.0 784
-----------------------
Net Assets 100.0% $5,497,568
=======================
Footnote to Statement of Investments
1. Non-income producing security.
Distribution of investments representing geographic holdings, as a percentage of
total investments at value, is as follows:
Geographic Holdings Market Value Percent
- -------------------------------------------------------------
Great Britain $1,363,452 24.8%
Japan 1,037,098 18.9
Switzerland 502,917 9.1
France 456,144 8.3
Germany 418,353 7.6
Netherlands (The) 330,839 6.0
Spain 320,946 5.8
Australia 273,370 5.0
Italy 219,057 4.0
United States 169,000 3.1
Finland 112,291 2.0
Hong Kong 90,198 1.6
Sweden 86,753 1.6
Ireland 66,417 1.2
Singapore 35,585 0.7
New Zealand 14,364 0.3
-------------------------
$5,496,784 100.0%
=========================
See accompanying Notes to Financial Statements.
8 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF ASSETS AND LIABILITIES Unaudited
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October 31, 2003
- ---------------------------------------------------------------------------------------------
Assets
Investments, at value (cost $5,146,103)--see accompanying statement $5,496,784
- ---------------------------------------------------------------------------------------------
Cash 654
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Receivables and other assets:
Interest and dividends 7,347
-----------
Total assets 5,504,785
- ---------------------------------------------------------------------------------------------
Liabilities
Payables and other liabilities:
Legal, auditing and other professional fees 4,285
Shareholder reports 1,700
Trustees' compensation 1,142
Other 90
-----------
Total liabilities 7,217
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Net Assets $5,497,568
===========
- ---------------------------------------------------------------------------------------------
Composition of Net Assets
- ---------------------------------------------------------------------------------------------
Par value of shares of beneficial interest $ 510
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Additional paid-in capital 5,099,490
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Accumulated net investment loss (1,169)
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Accumulated net realized gain on investments and foreign currency transactions 47,958
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Net unrealized appreciation on investments and translation of assets
and liabilities denominated in foreign currencies 350,779
-----------
Net Assets $5,497,568
===========
- ---------------------------------------------------------------------------------------------
Net Asset Value Per Share
Class A Shares:
Net asset value and redemption price per share (based on net assets of
$5,497,568 and 510,000 shares of beneficial interest outstanding) $10.78
Maximum offering price per share (net asset value plus sales charge
of 5.75% of offering price) $11.44
See accompanying Notes to Financial Statements.
9 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF OPERATIONS Unaudited
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For the Period Ended October 31, 2003 1
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Investment Income
Dividends (net of foreign withholding taxes of $1,666) $ 17,480
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Interest 1,512
---------
Total investment income 18,992
- ----------------------------------------------------------------------------------------------
Expenses
Management fees 9,979
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Transfer and shareholder servicing agent fees--Class A 7
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Legal, auditing and other professional fees 4,285
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Trustees' compensation 3,698
- ----------------------------------------------------------------------------------------------
Shareholder reports 1,701
- ----------------------------------------------------------------------------------------------
Custodian fees and expenses 800
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Other 299
---------
Total expenses 20,769
Less voluntary reimbursement of expenses (608)
---------
Net expenses 20,161
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Net Investment Loss (1,169)
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Realized and Unrealized Gain
Net realized gain on:
Investments 110
Foreign currency transactions 47,848
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Net realized gain 47,958
- ----------------------------------------------------------------------------------------------
Net change in unrealized appreciation on:
Investments 119,333
Translation of assets and liabilities denominated in foreign currencies 231,446
---------
Net change in unrealized appreciation 350,779
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Net Increase in Net Assets Resulting from Operations $397,568
=========
1. For the period from August 12, 2003 (commencement of operations) to October
31, 2003.
See accompanying Notes to Financial Statements.
10 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF CHANGES IN NET ASSETS
Period
Ended
October 31, 2003 1
(Unaudited)
- ---------------------------------------------------------------------------------------------------------------------------------
Operations
- ---------------------------------------------------------------------------------------------------------------------------------
Net investment loss $ (1,169)
- ---------------------------------------------------------------------------------------------------------------------------------
Net realized gain 47,958
- ---------------------------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation 350,779
------------
Net increase in net assets resulting from operations 397,568
- ---------------------------------------------------------------------------------------------------------------------------------
Beneficial Interest Transactions
Net increase in net assets resulting from beneficial interest transactions--Class A 5,000,000
- ---------------------------------------------------------------------------------------------------------------------------------
Net Assets
Total increase 5,397,568
- ---------------------------------------------------------------------------------------------------------------------------------
Beginning of period 100,000 2
------------
End of period [including accumulated net investment loss of $1,169 for the period ended October 31, 2003] $5,497,568
============
<FN>
1. For the period from August 12, 2003 (commencement of operations) to October
31, 2003.
2. Reflects the value of the Manager's initial seed money investment on July 15,
2003.
</FN>
See accompanying Notes to Financial Statements.
11 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
FINANCIAL HIGHLIGHTS
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Period
Ended
Oct. 31, 2003 1
Class A (Unaudited)
- -------------------------------------------------------------------------------------------------------
Per Share Operating Data
Net asset value, beginning of period $10.00
- -------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income -- 2
Net realized and unrealized gain .78
---------
Total from investment operations .78
- -------------------------------------------------------------------------------------------------------
Net asset value, end of period $10.78
=========
- -------------------------------------------------------------------------------------------------------
Total Return, at Net Asset Value 3 7.80%
- -------------------------------------------------------------------------------------------------------
Ratios/Supplemental Data
Net assets, end of period (in thousands) $5,498
- -------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $5,357
- -------------------------------------------------------------------------------------------------------
Ratios to average net assets: 4
Net investment loss (0.10)%
Total expenses 1.75%
Expenses after expense reimbursement or fee waiver and reduction to custodian expenses 1.70%
- -------------------------------------------------------------------------------------------------------
Portfolio turnover rate 0%
<FN>
1. For the period from August 12, 2003 (commencement of operations) to October
31, 2003.
2. Less than $0.005 per share.
3. Assumes an investment at net asset value on the business day before the first
day of the fiscal period, or with all dividends and distributions reinvested in
additional shares on the reinvestment date, and redemption at the net asset
value calculated on the last business day of the fiscal period. Sales charges
are not reflected in the total returns. Total returns are not annualized for
periods of less than one full year. Returns do not reflect the deduction of
taxes a shareholder would pay on Fund distributions or the redemption of Fund
shares.
4. Annualized for periods of less than one full year.
</FN>
See accompanying Notes to Financial Statements.
12 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
NOTES TO FINANCIAL STATEMENTS Unaudited
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- --------------------------------------------------------------------------------
1. Significant Accounting Policies
Oppenheimer International Large-Cap Core Fund (the Fund), a series of
Oppenheimer International Large-Cap Core Trust, is an open-end management
investment company registered under the Investment Company Act of 1940, as
amended. The Fund's investment objective is to seek long-term capital
appreciation. The Fund's investment advisor is OppenheimerFunds, Inc. (the
Manager). The Sub-Advisor is OFI Institutional Asset Management, Inc., a wholly
owned subsidiary of the Manager.
The Fund currently offers Class A shares only. Class A shares are sold at
their offering price, which is normally net asset value plus a front-end sales
charge. As of October 31, 2003, 500,000 shares of Class A were owned by the
Manager and its affiliates. The Fund assesses a 2% fee on the proceeds of fund
shares that are redeemed (either by selling or exchanging to another Oppenheimer
fund) within 30 days of their purchase. The fee, which is retained by the Fund,
is accounted for as an addition to paid-in capital.
The following is a summary of significant accounting policies consistently
followed by the Fund.
- --------------------------------------------------------------------------------
Securities Valuation. Securities listed or traded on National Stock Exchanges or
other domestic or foreign exchanges are valued based on the last sale price of
the security traded on that exchange prior to the time when the Fund's assets
are valued. Securities traded on NASDAQ are valued based on the closing price
provided by NASDAQ prior to the time when the Fund's assets are valued. In the
absence of a sale, the security is valued at the last sale price on the prior
trading day, if it is within the spread of the closing bid and asked prices, and
if not, at the closing bid price. Securities (including restricted securities)
for which quotations are not readily available are valued primarily using
dealer-supplied valuations, a portfolio pricing service authorized by the Board
of Trustees, or at their fair value. Fair value is determined in good faith
using consistently applied procedures under the supervision of the Board of
Trustees. Short-term "money market type" debt securities with remaining
maturities of sixty days or less are valued at amortized cost (which
approximates market value).
- --------------------------------------------------------------------------------
Foreign Currency Translation. The Fund's accounting records are maintained in
U.S. dollars. Prices of securities denominated in foreign currencies are
translated into U.S. dollars at the closing rates of exchange. Amounts related
to the purchase and sale of foreign securities and investment income are
translated at the rates of exchange prevailing on the respective dates of such
transactions.
The effect of changes in foreign currency exchange rates on investments is
separately identified from the fluctuations arising from changes in market
values of securities held and reported with all other foreign currency gains and
losses in the Fund's Statement of Operations.
- --------------------------------------------------------------------------------
Joint Repurchase Agreements. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, the Fund, along with other affiliated funds
advised by the Manager, may transfer uninvested cash balances into joint trading
accounts on a daily basis. Secured by U.S. government securities, these balances
are invested in one or more repurchase agreements. Securities pledged as
collateral for repurchase agreements are held by a custodian bank until the
agreements mature. Each agreement requires that the market value of the
collateral be sufficient to cover payments of interest and principal. In the
event of default by the other party to the agreement, retention of the
collateral may be subject to legal proceedings.
- --------------------------------------------------------------------------------
Federal Taxes. The Fund intends to comply with provisions of the Internal
Revenue Code applicable to regulated investment companies and to distribute
substantially all of its investment company taxable income, including any net
realized gain on investments not offset by capital loss carryforwards, if any,
to shareholders, therefore, no federal income or excise tax provision is
required.
No distributions were paid during the period ended October 31, 2003.
- --------------------------------------------------------------------------------
Dividends and Distributions to Shareholders. Dividends and distributions to
shareholders, which are determined in accordance with income tax regulations,
are recorded on the ex-dividend date. Income and capital gain distributions, if
any, are declared and paid annually.
13 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
NOTES TO FINANCIAL STATEMENTS Unaudited / Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. Significant Accounting Policies Continued
Investment Income. Dividend income is recorded on the ex-dividend date or upon
ex-dividend notification in the case of certain foreign dividends where the
ex-dividend date may have passed. Non-cash dividends included in dividend
income, if any, are recorded at the fair market value of the securities
received. Interest income, which includes accretion of discount and amortization
of premium, is accrued as earned.
- --------------------------------------------------------------------------------
Security Transactions. Security transactions are recorded on the trade date.
Realized gains and losses on securities sold are determined on the basis of
identified cost.
- --------------------------------------------------------------------------------
Other. The preparation of financial statements in conformity with accounting
principles generally accepted in the United States of America 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 income and
expenses during the reporting period. Actual results could differ from those
estimates.
- --------------------------------------------------------------------------------
2. Shares of Beneficial Interest
The Fund has authorized an unlimited number of $0.001 par value shares of
beneficial interest. Transactions in shares of beneficial interest were as
follows:
Period Ended October 31, 2003 1,2
Shares Amount
- --------------------------------------------------------------------------------
Class A
Sold 500,000 $5,000,000
--------------------------
Net increase 500,000 $5,000,000
==========================
1. For the period from August 12, 2003 (commencement of operations) to October
31, 2003.
2. The Fund sold 10,000 shares to the Manager upon seeding of the Fund on July
15, 2003.
- --------------------------------------------------------------------------------
3. Purchases and Sales of Securities
The aggregate cost of purchases and proceeds from sales of securities, other
than short-term obligations, for the period ended October 31, 2003, were
$4,977,103 and $110, respectively.
- --------------------------------------------------------------------------------
4. Fees and Other Transactions with Affiliates
Management Fees. Management fees paid to the Manager were in accordance with the
investment advisory agreement with the Fund which provides for a fee at an
annual rate of 0.85% of the first $500 million of average annual net assets of
the Fund, 0.75% of the next $500 million and 0.70% of average annual net assets
in excess of $1 billion. The Manager has voluntarily agreed to waive fees and
reimburse expenses such that "Total Annual Operating Expenses" will not exceed
1.70%. The voluntary waivers described above may be amended or withdrawn at any
time. Under the sub-advisory agreement, the Manager pays the Sub-Advisor an
annual fee that is calculated as a percentage of the fee the Fund pays the
Manager. The Manager shall pay the Sub-Advisor a monthly fee equal to 30% of the
investment advisory fee collected by the Manager from the Fund during that
period.
- --------------------------------------------------------------------------------
Transfer Agent Fees. OppenheimerFunds Services (OFS), a division of the Manager,
acts as the transfer and shareholder servicing agent for the Fund. The Fund pays
OFS a per account fee. For the period ended October 31, 2003, the Fund paid $7
to OFS for services to the Fund.
OFS has voluntarily agreed to limit transfer and shareholder servicing agent
fees, up to an annual rate of 0.35% of average net assets of Class A shares.
This undertaking may be amended or withdrawn at any time.
- --------------------------------------------------------------------------------
Offering and Organizational Costs. The Manager paid all offering and
organizational costs associated with the registration and seeding of the Fund.
14 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
- --------------------------------------------------------------------------------
Distribution and Service Plan (12b-1) Fees. Under its General Distributor's
Agreement with the Manager, OppenheimerFunds Distributor, Inc. (the Distributor)
acts as the Fund's principal underwriter in the continuous public offering of
the Class A shares of the Fund.
- --------------------------------------------------------------------------------
Service Plan for Class A Shares. The Fund has adopted a Service Plan for Class A
shares. It reimburses the Distributor for a portion of its costs incurred for
services provided to accounts that hold Class A shares. Reimbursement is made
quarterly at an annual rate of up to 0.25% of the average annual net assets of
Class A shares of the Fund. For the period ended October 31, 2003, expense under
the Class A plan was zero. Any unreimbursed expenses the Distributor incurs with
respect to Class A shares in any fiscal year cannot be recovered in subsequent
years.
- --------------------------------------------------------------------------------
5. Foreign Currency Contracts
A foreign currency contract is a commitment to purchase or sell a foreign
currency at a future date, at a negotiated rate. The Fund may enter into foreign
currency contracts to settle specific purchases or sales of securities
denominated in a foreign currency and for protection from adverse exchange rate
fluctuation. Risks to the Fund include the potential inability of the
counterparty to meet the terms of the contract.
The net U.S. dollar value of foreign currency underlying all contractual
commitments held by the Fund and the resulting unrealized appreciation or
depreciation are determined using prevailing foreign currency exchange rates.
Unrealized appreciation and depreciation on foreign currency contracts are
reported in the Statement of Assets and Liabilities as a receivable or payable
and in the Statement of Operations with the change in unrealized appreciation or
depreciation.
The Fund may realize a gain or loss upon the closing or settlement of the
forward transaction. Contracts closed or settled with the same broker are
recorded as net realized gain or loss. Such realized gains and losses are
reported with all other foreign currency gains and losses in the Statement of
Operations.
As of October 31, 2003, the Fund had no outstanding foreign currency
contracts.
- --------------------------------------------------------------------------------
6. Borrowing and Lending Arrangements
The Fund entered into an "interfund borrowing and lending arrangement" with
other funds in the Oppenheimer funds complex, to allow funds to borrow for
liquidity purposes. The arrangement was initiated pursuant to exemptive relief
granted by the Securities and Exchange Commission to allow these affiliated
funds to lend money to, and borrow money from, each other, in an attempt to
reduce borrowing costs below those of bank loan facilities. Under the
arrangement the Fund may lend money to other Oppenheimer funds and may borrow
from other Oppenheimer funds at a rate set by the Fund's Board of Trustees,
based upon a recommendation by the Manager. The Fund's borrowings, if any, are
subject to asset coverage requirements under the Investment Company Act and the
provisions of the SEC order and other applicable regulations. If the Fund
borrows money, there is a risk that the loan could be called on one day's
notice, in which case the Fund might have to borrow from a bank at higher rates
if a loan were not available from another Oppenheimer fund. If the Fund lends
money to another fund, it will be subject to the risk that the other fund might
not repay the loan in a timely manner, or at all.
The Fund had no interfund borrowings or loans outstanding during the period
ended or at October 31, 2003.
15 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES Unaudited
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
The Fund has adopted Portfolio Proxy Voting Policies and Procedures under which
the Fund votes proxies relating to securities ("portfolio proxies") held by the
Fund. A description of the Fund's Portfolio Proxy Voting Policies and Procedures
is available (i) without charge, upon request, by calling the Fund toll-free at
1.800.225.5677, (ii) on the Fund's website at www.oppenheimerfunds.com, and
(iii) on the SEC's website at www.sec.gov. In addition, the Fund will be
required to file new Form N-PX, with its complete proxy voting record for the 12
months ended June 30th, no later than August 31st of each year. The first such
filing is due no later than August 31, 2004, for the twelve months ended June
30, 2004. Once filed, the Fund's Form N-PX filing will be available (i) without
charge, upon request, by calling the Fund toll-free at 1.800.225.5677, and (ii)
on the SEC's website at www.sec.gov.
16 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
ITEM 2. CODE OF ETHICS
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT
The Board of Trustees of the Fund has determined that Joseph M. Wikler, the
Chairman of the Board's Audit Committee, possesses the technical attributes
identified in Instruction 2(b) of Item 3 to Form N-CSR to qualify as an "audit
committee financial expert," and has designated Mr. Wikler as the Audit
Committee's financial expert. Mr. Wikler is an "independent" Trustee pursuant to
paragraph (a)(2) of Item 3 to Form N-CSR.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES - NOT REQUIRED
ITEM 5. NOT APPLICABLE
ITEM 6. RESERVED
ITEM 7. NOT APPLICABLE
ITEM 8. RESERVED
ITEM 9. CONTROLS AND PROCEDURES
(a) Based on their evaluation of registrant's disclosure controls and
procedures (as defined in rule 30a-2(c) under the Investment Company
Act of 1940 (17 CFR 270.30a-2(c)) as of October 31, 2003, registrant's
principal executive officer and principal financial officer found
registrant's disclosure controls and procedures to be appropriately
designed to ensure that information required to be disclosed by
registrant in the reports that it files under the Securities Exchange
Act of 1934 (a) is accumulated and communicated to registrant's
management, including its principal executive officer and principal
financial officer, to allow timely decisions regarding required
disclosure, and (b) is recorded, processed, summarized and reported,
within the time periods specified in the rules and forms adopted by the
U.S. Securities and Exchange Commission.
(b) There have been no significant changes in registrant's internal
controls or in other factors that could significantly affect
registrant's internal controls subsequent to the date of the most
recent evaluation as indicated, including no significant deficiencies
or material weaknesses that required corrective action.
ITEM 10. EXHIBITS.
(A) EXHIBIT ATTACHED HERETO. (ATTACH CODE OF ETHICS AS EXHIBIT)
(B) EXHIBITS ATTACHED HERETO. (ATTACH CERTIFICATIONS AS EXHIBITS)