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
(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: May 1, 2004 - October 31, 2004
ITEM 1. REPORTS TO STOCKHOLDERS.
TOP HOLDINGS AND ALLOCATIONS
- --------------------------------------------------------------------------------
TOP TEN GEOGRAPHICAL HOLDINGS
- --------------------------------------------------------------------------------
United Kingdom 25.4%
- --------------------------------------------------------------------------------
Japan 20.2
- --------------------------------------------------------------------------------
France 10.1
- --------------------------------------------------------------------------------
Switzerland 8.4
- --------------------------------------------------------------------------------
Germany 7.4
- --------------------------------------------------------------------------------
Italy 5.8
- --------------------------------------------------------------------------------
Spain 5.8
- --------------------------------------------------------------------------------
The Netherlands 5.0
- --------------------------------------------------------------------------------
Australia 4.6
- --------------------------------------------------------------------------------
Sweden 1.7
Portfolio holdings and allocations are subject to change. Percentages are as of
October 31, 2004, and are based on total investments.
TOP TEN COMMON STOCK HOLDINGS
- --------------------------------------------------------------------------------
Total SA, B Shares 2.9%
- --------------------------------------------------------------------------------
Vodafone Group plc 2.9
- --------------------------------------------------------------------------------
BP plc 2.9
- --------------------------------------------------------------------------------
ENI SpA 2.6
- --------------------------------------------------------------------------------
Barclays plc 2.4
- --------------------------------------------------------------------------------
Telefonica SA 2.4
- --------------------------------------------------------------------------------
Toyota Motor Corp. 2.4
- --------------------------------------------------------------------------------
UBS AG 2.3
- --------------------------------------------------------------------------------
ING Groep NV 1.9
- --------------------------------------------------------------------------------
Nestle SA 1.9
Portfolio holdings and allocations are subject to change. Percentages are as of
October 31, 2004, and are based on net assets.
- --------------------------------------------------------------------------------
REGIONAL ALLOCATION
Europe 47.1%
Asia 27.3
United Kingdom 25.4
United States/Canada 0.2
Portfolio holdings and allocations are subject to change. Percentages are as of
October 31, 2004, and are based on total investments.
- --------------------------------------------------------------------------------
6 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
FUND EXPENSES
- --------------------------------------------------------------------------------
FUND EXPENSES. As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, which may include sales charges (loads) on purchase payments,
contingent deferred sales charges on redemptions; and redemption fees, if any;
and (2) ongoing costs, including management fees; distribution and service fees;
and other Fund expenses. These examples are intended to help you understand your
ongoing costs (in dollars) of investing in the Fund and to compare these costs
with the ongoing costs of investing in other mutual funds.
The examples are based on an investment of $1,000.00 invested at the beginning
of the period and held for the entire 6-month period ended October 31, 2004.
ACTUAL EXPENSES. The "actual" lines of the table provide information about
actual account values and actual expenses. You may use the information on this
line for the class of shares you hold, together with the amount you invested, to
estimate the expense that you paid over the period. Simply divide your account
value by $1,000.00 (for example, an $8,600.00 account value divided by $1,000.00
- - 8.60), then multiply the result by the number in the "actual" line under the
heading entitled "Expenses Paid During Period" to estimate the expenses you paid
on your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES. The "hypothetical" lines of the
table provide information about hypothetical account values and hypothetical
expenses based on the Fund's actual expense ratio for each class of shares, and
an assumed rate of return of 5% per year before expenses, which is not the
Fund's actual return. The hypothetical account values and expenses may not be
used to estimate the actual ending account balance or expenses you paid for the
period. You may use this information to compare the ongoing costs of investing
in the Fund and other funds. To do so, compare this 5% hypothetical example for
the class of shares you hold with the 5% hypothetical examples that appear in
the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your
ongoing costs only and do not reflect any transactional costs, such as front-end
or contingent deferred sales charges (loads), redemption fees, or a $12.00 fee
imposed annually on accounts valued at less than $500.00 (subject to exceptions
described in the Statement of Additional Information). Therefore, the
"hypothetical" lines of the table are useful in comparing ongoing costs only,
and will not help you determine the relative total costs of owning different
funds. In addition, if these transactional costs were included, your costs would
have been higher.
BEGINNING ENDING
ACCOUNT ACCOUNT EXPENSES PAID
VALUE VALUE DURING 6 MONTHS
(5/1/04) (10/31/04) ENDED OCTOBER 31, 2004
- --------------------------------------------------------------------------------
Class A Actual $1,000.00 $1,057.30 $7.94
- --------------------------------------------------------------------------------
Class A Hypothetical 1,000.00 1,017.44 7.79
Hypothetical assumes 5% annual return before expenses.
Expenses are equal to the Fund's annualized expense ratio for that class,
multiplied by the average account value over the period, multiplied by 184/366
(to reflect the one-half year period). Those annualized expense ratios based on
the 6-month period ended October 31, 2004 are as follows:
CLASS EXPENSE RATIO
- --------------------------------
Class A 1.53%
The expense ratios reflect voluntary waivers or reimbursements of expenses by
the Fund's Manager and Transfer Agent that can be terminated at any time,
without advance notice. The "Financial Highlights" tables in the Fund's
financial statements, included in this report, also show the gross expense
ratios, without such waivers or reimbursements.
7 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF INVESTMENTS October 31, 2004 / Unaudited
- --------------------------------------------------------------------------------
VALUE
SHARES SEE NOTE 1
- --------------------------------------------------------------------------------
COMMON STOCKS--96.9%
- --------------------------------------------------------------------------------
CONSUMER DISCRETIONARY--11.5%
- --------------------------------------------------------------------------------
AUTO COMPONENTS--0.5%
Denso Corp. 1,200 $ 28,800
- --------------------------------------------------------------------------------
AUTOMOBILES--2.4%
Toyota Motor Corp. 3,900 152,190
- --------------------------------------------------------------------------------
HOTELS, RESTAURANTS & LEISURE--0.2%
Compass Group plc 2,870 11,867
- --------------------------------------------------------------------------------
HOUSEHOLD DURABLES--4.0%
Daito Trust Construction Co. Ltd. 900 38,097
- --------------------------------------------------------------------------------
Koninklijke (Royal) Philips
Electronics NV 3,620 85,900
- --------------------------------------------------------------------------------
Pioneer Corp. 1,100 19,945
- --------------------------------------------------------------------------------
Sony Corp. 1,500 52,298
- --------------------------------------------------------------------------------
Thomson SA 2,580 58,548
--------
254,788
- --------------------------------------------------------------------------------
MEDIA--2.6%
British Sky Broadcasting Group plc 3,510 32,799
- --------------------------------------------------------------------------------
Elsevier NV 2,160 28,460
- --------------------------------------------------------------------------------
News Corp. Ltd. (The) 6,420 51,757
- --------------------------------------------------------------------------------
Singapore Press Holdings Ltd. 5,652 15,973
- --------------------------------------------------------------------------------
Vivendi Universal SA 1 1,450 39,712
--------
168,701
- --------------------------------------------------------------------------------
SPECIALTY RETAIL--0.5%
Kingfisher plc 6,000 33,326
- --------------------------------------------------------------------------------
TEXTILES, APPAREL & LUXURY GOODS--1.3%
Adidas-Salomon AG 150 21,011
- --------------------------------------------------------------------------------
LVMH Moet Hennessey Louis Vuitton 610 41,903
- --------------------------------------------------------------------------------
Swatch Group AG (The), Cl. B 160 21,508
--------
84,422
- --------------------------------------------------------------------------------
CONSUMER STAPLES--10.0%
- --------------------------------------------------------------------------------
BEVERAGES--2.7%
Asahi Breweries Ltd. 2,000 20,636
- --------------------------------------------------------------------------------
Diageo plc 7,000 93,711
- --------------------------------------------------------------------------------
Foster's Group Ltd. 4,380 16,557
- --------------------------------------------------------------------------------
INBEV 1,100 39,188
--------
170,092
- --------------------------------------------------------------------------------
FOOD & STAPLES RETAILING--2.9%
Carrefour SA 1,260 55,333
- --------------------------------------------------------------------------------
Ito-Yokado Co. Ltd. 1,000 35,905
- --------------------------------------------------------------------------------
Tesco plc 18,000 94,933
--------
186,171
- --------------------------------------------------------------------------------
FOOD PRODUCTS--3.7%
Cadbury Schweppes plc 6,000 49,892
- --------------------------------------------------------------------------------
Nestle SA 510 120,986
- --------------------------------------------------------------------------------
Nissin Food Products Co. Ltd. 1,200 29,310
- --------------------------------------------------------------------------------
Unilever NV 660 38,499
--------
238,687
- --------------------------------------------------------------------------------
HOUSEHOLD PRODUCTS--0.7%
Kao Corp. 2,000 46,204
- --------------------------------------------------------------------------------
ENERGY--8.9%
- --------------------------------------------------------------------------------
OIL & GAS--8.9%
BP plc 19,000 184,179
- --------------------------------------------------------------------------------
ENI SpA 7,280 165,764
- --------------------------------------------------------------------------------
Repsol YPF SA 1,470 31,948
- --------------------------------------------------------------------------------
Total SA, B Shares 900 187,659
--------
569,550
- --------------------------------------------------------------------------------
FINANCIALS--25.3%
- --------------------------------------------------------------------------------
CAPITAL MARKETS--3.3%
Deutsche Bank AG 830 63,492
- --------------------------------------------------------------------------------
UBS AG 2,060 148,893
--------
212,385
- --------------------------------------------------------------------------------
COMMERCIAL BANKS--15.1%
Banco Bilbao Vizcaya Argentaria SA 6,770 106,520
- --------------------------------------------------------------------------------
Bank of Ireland 3,220 44,279
- --------------------------------------------------------------------------------
Barclays plc 16,000 156,421
- --------------------------------------------------------------------------------
DBS Group Holdings Ltd. 2,500 23,451
- --------------------------------------------------------------------------------
HBOS plc 5,480 73,463
- --------------------------------------------------------------------------------
HSBC Holdings plc 6,000 96,973
- --------------------------------------------------------------------------------
Lloyds TSB Group plc 7,290 57,739
- --------------------------------------------------------------------------------
Mitsubishi Tokyo Financial Group, Inc. 9 76,534
- --------------------------------------------------------------------------------
Royal Bank of Scotland Group plc (The) 3,900 115,028
- --------------------------------------------------------------------------------
Societe Generale, Cl. A 820 76,258
- --------------------------------------------------------------------------------
UniCredito Italiano SpA 13,680 73,673
- --------------------------------------------------------------------------------
Westpac Banking Corp. Ltd. 4,840 68,402
--------
968,741
- --------------------------------------------------------------------------------
DIVERSIFIED FINANCIAL SERVICES--3.8%
Credit Saison Co. Ltd. 1,400 44,843
- --------------------------------------------------------------------------------
Deutsche Boerse AG 490 24,514
- --------------------------------------------------------------------------------
ING Groep NV 4,660 123,692
- --------------------------------------------------------------------------------
Nomura Securities Co. Ltd. 4,000 49,133
--------
242,182
- --------------------------------------------------------------------------------
INSURANCE--2.2%
Allianz AG 510 54,442
- --------------------------------------------------------------------------------
Aviva plc 3,190 31,948
- --------------------------------------------------------------------------------
Axa SA 2,370 51,145
--------
137,535
8 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
VALUE
SHARES SEE NOTE 1
- --------------------------------------------------------------------------------
REAL ESTATE--0.9%
Mitsui Fudosan Co. Ltd. 3,000 $ 31,889
- --------------------------------------------------------------------------------
Sun Hung Kai Properties Ltd. 2,660 24,606
--------
56,495
- --------------------------------------------------------------------------------
HEALTH CARE--9.4%
- --------------------------------------------------------------------------------
HEALTH CARE EQUIPMENT & SUPPLIES--0.5%
Smith & Nephew plc 4,000 33,997
- --------------------------------------------------------------------------------
PHARMACEUTICALS--8.9%
Eisai Co. Ltd. 1,700 48,991
- --------------------------------------------------------------------------------
GlaxoSmithKline plc 4,000 84,311
- --------------------------------------------------------------------------------
Novartis AG 2,130 101,862
- --------------------------------------------------------------------------------
Roche Holdings AG 970 99,437
- --------------------------------------------------------------------------------
Sanofi-Synthelabo SA 1,241 90,963
- --------------------------------------------------------------------------------
Schering AG 620 39,893
- --------------------------------------------------------------------------------
Takeda Pharmaceutical Co. Ltd. 2,100 101,592
--------
567,049
- --------------------------------------------------------------------------------
INDUSTRIALS--8.6%
- --------------------------------------------------------------------------------
AEROSPACE & DEFENSE--0.6%
BAE Systems plc 8,560 37,477
- --------------------------------------------------------------------------------
AIR FREIGHT & LOGISTICS--0.5%
TPG NV 1,360 32,950
- --------------------------------------------------------------------------------
COMMERCIAL SERVICES & SUPPLIES--1.7%
Brambles Industries Ltd. 8,510 45,164
- --------------------------------------------------------------------------------
DAI Nippon Printing Co. Ltd. 2,000 27,420
- --------------------------------------------------------------------------------
Hays plc 15,000 35,490
--------
108,074
- --------------------------------------------------------------------------------
CONSTRUCTION & ENGINEERING--0.5%
ACS, Actividades De Construccion
y Servicios SA 1,788 34,743
- --------------------------------------------------------------------------------
ELECTRICAL EQUIPMENT--0.5%
Matsushita Electric Works Ltd. 4,000 33,033
- --------------------------------------------------------------------------------
INDUSTRIAL CONGLOMERATES--2.9%
Hutchison Whampoa Ltd. 5,810 44,600
- --------------------------------------------------------------------------------
Siemens AG 1,510 112,998
- --------------------------------------------------------------------------------
Smiths Group plc 2,000 27,399
--------
184,997
- --------------------------------------------------------------------------------
MACHINERY--0.6%
Atlas Copco AB, A Shares 860 35,686
- --------------------------------------------------------------------------------
TRADING COMPANIES & DISTRIBUTORS--0.8%
Mitsui & Co. Ltd. 6,000 50,513
- --------------------------------------------------------------------------------
TRANSPORTATION INFRASTRUCTURE--0.5%
BAA plc 3,000 31,617
INFORMATION TECHNOLOGY--4.8%
- --------------------------------------------------------------------------------
COMMUNICATIONS EQUIPMENT--2.1%
Nokia Oyj 4,110 63,563
- --------------------------------------------------------------------------------
Telefonaktiebolaget LM Ericsson,
B Shares 1 24,560 71,531
--------
135,094
- --------------------------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS--1.1%
Keyence Corp. 200 45,127
- --------------------------------------------------------------------------------
TDK Corp. 400 27,817
--------
72,944
- --------------------------------------------------------------------------------
OFFICE ELECTRONICS--1.6%
Canon, Inc. 2,000 98,833
- --------------------------------------------------------------------------------
MATERIALS--6.0%
- --------------------------------------------------------------------------------
CHEMICALS--1.9%
BASF AG 900 56,470
- --------------------------------------------------------------------------------
BOC Group plc 2,000 32,232
- --------------------------------------------------------------------------------
Shin-Etsu Chemical Co. 900 34,270
--------
122,972
- --------------------------------------------------------------------------------
CONSTRUCTION MATERIALS--1.6%
CRH plc 1,470 35,164
- --------------------------------------------------------------------------------
Hanson plc 5,000 36,937
- --------------------------------------------------------------------------------
Holcim Ltd. 570 30,553
--------
102,654
- --------------------------------------------------------------------------------
METALS & MINING--2.5%
Broken Hill Proprietary Co. Ltd. 10,120 104,918
- --------------------------------------------------------------------------------
JFE Holdings, Inc. 2,100 56,451
--------
161,369
- --------------------------------------------------------------------------------
TELECOMMUNICATION SERVICES--7.9%
- --------------------------------------------------------------------------------
DIVERSIFIED TELECOMMUNICATION SERVICES--4.2%
France Telecom SA 960 27,557
- --------------------------------------------------------------------------------
Telecom Corp. of New Zealand Ltd. 4,830 19,080
- --------------------------------------------------------------------------------
Telecom Italia SpA 19,890 66,407
- --------------------------------------------------------------------------------
Telefonica SA 9,250 153,114
--------
266,158
- --------------------------------------------------------------------------------
WIRELESS TELECOMMUNICATION SERVICES--3.7%
KDDI Corp. 11 53,007
- --------------------------------------------------------------------------------
Vodafone Group plc 72,850 186,753
--------
239,760
9 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF INVESTMENTS Unaudited / Continued
- --------------------------------------------------------------------------------
VALUE
SHARES SEE NOTE 1
- --------------------------------------------------------------------------------
UTILITIES--4.5%
- --------------------------------------------------------------------------------
ELECTRIC UTILITIES--3.2%
CLP Holdings Ltd. 5,000 $ 28,715
- --------------------------------------------------------------------------------
E.ON AG 1,040 85,144
- --------------------------------------------------------------------------------
Enel SpA 5,760 52,240
- --------------------------------------------------------------------------------
ScottishPower plc 5,000 40,405
-----------
206,504
- --------------------------------------------------------------------------------
GAS UTILITIES--0.8%
Tokyo Gas Co. Ltd. 13,000 48,519
- --------------------------------------------------------------------------------
WATER UTILITIES--0.5%
Sociedad General de Aguas de
Barcelona SA, Cl. A 1,770 31,404
-----------
Total Common Stocks (Cost $5,135,070) 6,198,483
PRINCIPAL
AMOUNT
- --------------------------------------------------------------------------------
JOINT REPURCHASE AGREEMENTS--0.2%
- --------------------------------------------------------------------------------
Undivided interest of 0.002% in joint repurchase
agreement (Principal Amount/Value $595,058,000,
with a maturity value of $595,147,755) with UBS
Warburg LLC, 1.81%, dated 10/29/04, to be
repurchased at $13,002 on 11/1/04, collateralized
by Federal National Mortgage Assn., 5.50%,
1/1/34--4/1/34, with a value of
$607,720,116 (Cost $13,000) $13,000 13,000
- --------------------------------------------------------------------------------
TOTAL INVESTMENTS, AT VALUE
(COST $5,148,070) 97.1% 6,211,483
- --------------------------------------------------------------------------------
OTHER ASSETS NET OF LIABILITIES 2.9 188,207
-------------------------
NET ASSETS 100.0% $6,399,690
=========================
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 VALUE PERCENT
- --------------------------------------------------------------------------------
United Kingdom $1,578,897 25.4%
Japan 1,251,357 20.2
France 629,078 10.1
Switzerland 523,239 8.4
Germany 457,964 7.4
Italy 358,084 5.8
Spain 357,729 5.8
The Netherlands 309,501 5.0
Australia 286,798 4.6
Sweden 107,217 1.7
Hong Kong 97,921 1.6
Ireland 79,443 1.3
Finland 63,563 1.0
Singapore 39,424 0.6
Belgium 39,188 0.6
New Zealand 19,080 0.3
United States 13,000 0.2
--------------------------
Total $6,211,483 100.0%
==========================
10 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF ASSETS AND LIABILITIES Unaudited
- --------------------------------------------------------------------------------
October 31, 2004
- ----------------------------------------------------------------------------------------------------------------
ASSETS
- ----------------------------------------------------------------------------------------------------------------
Investments, at value (cost $5,148,070)--see accompanying statement of investments $6,211,483
- ----------------------------------------------------------------------------------------------------------------
Cash 200,247
- ----------------------------------------------------------------------------------------------------------------
Receivables and other assets:
Interest and dividends 15,278
Other 75
-----------
Total assets 6,427,083
- ----------------------------------------------------------------------------------------------------------------
LIABILITIES
- ----------------------------------------------------------------------------------------------------------------
Payables and other liabilities:
Legal, auditing and other professional fees 17,829
Shareholder communications 8,827
Trustees' compensation 410
Transfer and shareholder servicing agent fees 8
Other 319
-----------
Total liabilities 27,393
- ----------------------------------------------------------------------------------------------------------------
NET ASSETS $6,399,690
===========
- ----------------------------------------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS
- ----------------------------------------------------------------------------------------------------------------
Par value of shares of beneficial interest $ 511
- ----------------------------------------------------------------------------------------------------------------
Additional paid-in capital 5,105,235
- ----------------------------------------------------------------------------------------------------------------
Accumulated net investment income 51,586
- ----------------------------------------------------------------------------------------------------------------
Accumulated net realized gain on investments and foreign currency transactions 178,254
- ----------------------------------------------------------------------------------------------------------------
Net unrealized appreciation on investments and translation of assets and liabilities
denominated in foreign currencies 1,064,104
-----------
NET ASSETS $6,399,690
===========
- ----------------------------------------------------------------------------------------------------------------
NET ASSET VALUE PER SHARE
- ----------------------------------------------------------------------------------------------------------------
Class A Shares:
Net asset value and redemption price per share (based on net assets of $6,399,690
and 510,509 shares of beneficial interest outstanding) $12.54
Maximum offering price per share (net asset value plus sales charge of 5.75% of offering price) $13.31
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
11 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENT OF OPERATIONS Unaudited
- --------------------------------------------------------------------------------
For the Six Months Ended October 31, 2004
- ---------------------------------------------------------------------------------------
INVESTMENT INCOME
- ---------------------------------------------------------------------------------------
Dividends (net of foreign withholding taxes of $10,068) $ 72,773
- ---------------------------------------------------------------------------------------
Interest 1,350
----------
Total investment income 74,123
- ---------------------------------------------------------------------------------------
EXPENSES
- ---------------------------------------------------------------------------------------
Management fees 26,124
- ---------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees--Class A 47
- ---------------------------------------------------------------------------------------
Shareholder communications--Class A 3,261
- ---------------------------------------------------------------------------------------
Legal, auditing and other professional fees 12,070
- ---------------------------------------------------------------------------------------
Trustees' compensation 3,910
- ---------------------------------------------------------------------------------------
Custodian fees and expenses 1,335
- ---------------------------------------------------------------------------------------
Other 1,396
----------
Total expenses 48,143
Less reduction to custodian expenses (19)
Less payments and waivers of expenses (1,191)
----------
Net expenses 46,933
- ---------------------------------------------------------------------------------------
NET INVESTMENT INCOME 27,190
- ---------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
- ---------------------------------------------------------------------------------------
Net realized gain on:
Investments 69,980
Foreign currency transactions 28,744
----------
Net realized gain 98,724
- ---------------------------------------------------------------------------------------
Net change in unrealized appreciation on:
Investments (35,081)
Translation of assets and liabilities denominated in foreign currencies 254,796
----------
Net change in unrealized appreciation 219,715
- ---------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 345,629
==========
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
12 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
SIX MONTHS PERIOD
ENDED ENDED
OCTOBER 31, 2004 APRIL 30,
(UNAUDITED) 2004 1
- -----------------------------------------------------------------------------------------------------------------------------------
OPERATIONS
- -----------------------------------------------------------------------------------------------------------------------------------
Net investment income $ 27,190 $ 19,910
- -----------------------------------------------------------------------------------------------------------------------------------
Net realized gain 98,724 127,378
- -----------------------------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation 219,715 844,389
-----------------------------
Net increase in net assets resulting from operations 345,629 991,677
- -----------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND/OR DISTRIBUTIONS TO SHAREHOLDERS
- -----------------------------------------------------------------------------------------------------------------------------------
Dividends from net investment income--Class A -- (43,381)
- -----------------------------------------------------------------------------------------------------------------------------------
BENEFICIAL INTEREST TRANSACTIONS
- -----------------------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from beneficial interest transactions--Class A -- 5,005,765
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS
- -----------------------------------------------------------------------------------------------------------------------------------
Total increase 345,629 5,954,061
- -----------------------------------------------------------------------------------------------------------------------------------
Beginning of period 6,054,061 100,000 2
-----------------------------
End of period (including accumulated net investment income of $51,586 and $24,396,
respectively) $6,399,690 $ 6,054,061
=============================
1. For the period from August 12, 2003 (commencement of operations) to April 30,
2004.
2. Reflects the value of the Manager's initial seed money investment on July 16,
2003.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
13 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
SIX MONTHS PERIOD
ENDED ENDED
OCT. 31, 2004 APRIL 30,
CLASS A (UNAUDITED) 2004 1
- -------------------------------------------------------------------------------------------------
PER SHARE OPERATING DATA
- -------------------------------------------------------------------------------------------------
Net asset value, beginning of period $11.86 $10.00
- -------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .05 .04
Net realized and unrealized gain .63 1.91
--------------------
Total from investment operations .68 1.95
- -------------------------------------------------------------------------------------------------
Dividends and/or distributions to shareholders:
Dividends from net investment income -- (.09)
- -------------------------------------------------------------------------------------------------
Net asset value, end of period $12.54 $11.86
====================
- -------------------------------------------------------------------------------------------------
TOTAL RETURN, AT NET ASSET VALUE 2 5.73% 19.50%
- -------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA
- -------------------------------------------------------------------------------------------------
Net assets, end of period (in thousands) $6,400 $6,054
- -------------------------------------------------------------------------------------------------
Average net assets (in thousands) $6,115 $5,824
- -------------------------------------------------------------------------------------------------
Ratios to average net assets: 3
Net investment income 0.88% 0.48%
Total expenses 1.57% 2.26%
Expenses after payments and waivers and reduction to custodian expenses 1.53% 1.70%
- -------------------------------------------------------------------------------------------------
Portfolio turnover rate 9% 15%
1. For the period from August 12, 2003 (commencement of operations) to April 30,
2004.
2. Assumes an investment at net asset value on the business day before the first
day of the fiscal period, 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.
3. Annualized for periods of less than one full year.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
14 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
NOTES TO FINANCIAL STATEMENTS Unaudited
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
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, 2004, 510,000 shares of Class A were owned by the
Manager and its affiliates, which represents 99.90% of the Fund's total shares
outstanding. 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. The Fund calculates the net asset value of its shares as
of the close of The New York Stock Exchange (the Exchange), normally 4:00 P.M.
Eastern time, on each day the Exchange is open for business. 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.
Corporate, government and municipal debt instruments having a remaining maturity
in excess of 60 days and all mortgage-backed securities will be valued at the
mean between the "bid" and "asked" prices. Securities may be valued primarily
using dealer-supplied valuations or a portfolio pricing service authorized by
the Board of Trustees. Securities (including restricted securities) for which
market quotations are not readily available are valued at their fair value.
Foreign and domestic securities whose values have been materially affected by
what the Manager identifies as a significant event occurring before the Fund's
assets are valued but after the close of their respective exchanges will be fair
valued. 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 as of the close of The New York Stock Exchange (the
Exchange), normally 4:00 P.M. Eastern time, on each day the Exchange is open for
business. 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. Foreign exchange rates may be valued
primarily using dealer supplied valuations or a portfolio pricing service
authorized by the Board of Trustees.
Reported net realized foreign exchange gains or losses arise from sales of
portfolio securities, sales and maturities of short-term securities, sales of
foreign currencies, currency gains or losses realized between the trade and
settlement dates on securities transactions, and the difference between the
amounts of dividends, interest, and foreign withholding taxes recorded on the
Fund's books and the U.S. dollar equivalent of the amounts actually received or
paid. Net unrealized foreign exchange gains and losses arise from changes in the
values of assets and liabilities, including investments in securities at fiscal
period end, resulting from changes in exchange rates.
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. These balances are invested in one or more repurchase
agreements. Securities
15 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
NOTES TO FINANCIAL STATEMENTS Unaudited / Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES Continued
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.
Net investment income (loss) and net realized gain (loss) may differ for
financial statement and tax purposes. The character of dividends and
distributions made during the fiscal year from net investment income or net
realized gains may differ from their ultimate characterization for federal
income tax purposes. Also, due to timing of dividends and distributions, the
fiscal year in which amounts are distributed may differ from the fiscal year in
which the income or net realized gain was recorded by the Fund.
As of October 31, 2004, and the period ended April 30, 2004, the Fund had
no capital loss carryforward to offset realized capital gains.
- --------------------------------------------------------------------------------
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.
- --------------------------------------------------------------------------------
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.
- --------------------------------------------------------------------------------
CUSTODIAN FEES. Custodian Fees and Expenses in the Statement of Operations may
include interest expense incurred by the Fund on any cash overdrafts of its
custodian account during the period. The Fund pays interest to its custodian on
such cash overdrafts at a rate equal to the Federal Funds Rate plus 0.50%. The
Reduction to Custodian Expenses line item, if applicable, represents earnings on
cash balances maintained by the Fund during the period. Such interest expense
and other custodian fees may be paid with these earnings..
- --------------------------------------------------------------------------------
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 U.S. generally
accepted accounting principles 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:
SIX MONTHS ENDED OCTOBER 31, 2004 PERIOD ENDED APRIL 30, 2004 1,2
SHARES AMOUNT SHARES AMOUNT
- -----------------------------------------------------------------------------------------------------------------
CLASS A
Sold -- $-- 500,506 $5,005,729
Dividends and/or distributions reinvested -- -- 3 36
Redeemed -- -- -- --
-------------------------------------------------
Net increase -- $-- 500,509 $5,005,765
=================================================
1. For the period from August 12, 2003 (commencement of operations) to April 30,
2004.
2. The Fund sold 10,000 shares to the Manager upon seeding of the Fund on July
16, 2003.
16 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
- --------------------------------------------------------------------------------
3. PURCHASES AND SALES OF SECURITIES
The aggregate cost of purchases and proceeds from sales of securities, other
than short-term obligations, for the six months ended October 31, 2004, were
$525,562 and $506,071, 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. 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 share- holder servicing agent for the Fund. The Fund
pays OFS a per account fee. For the six months ended October 31, 2004, the Fund
paid $47 to OFS for services to the Fund.
- --------------------------------------------------------------------------------
OFFERING AND ORGANIZATIONAL COSTS. The Manager paid all offering and
organizational costs associated with the registration and seeding of the Fund.
- --------------------------------------------------------------------------------
DISTRIBUTION AND SERVICE PLAN (12B-1) FEES. Under its General Distributor's
Agreement with the Fund, 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. Any unreimbursed expenses the Distributor incurs
with respect to Class A shares in any fiscal year cannot be recovered in
subsequent years.
- --------------------------------------------------------------------------------
PAYMENTS AND WAIVERS OF EXPENSES. The Manager has voluntarily agreed to waive
fees and/or reimburse the Fund for certain expenses such that the "Total Annual
Operating Expenses" will not exceed 1.70%. The voluntary waiver and/or expense
reimbursement described above may be amended or withdrawn at any time. For the
six months ended October 31, 2004, management fees in the amount of $1,191 were
voluntarily waived by the Manager.
OFS has voluntarily agreed to limit transfer and shareholder servicing
agent fees to 0.35% of average annual net assets of the Fund. This undertaking
may be amended or withdrawn at any time.
- --------------------------------------------------------------------------------
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
foreign transaction. Contracts closed or settled with the same broker are
recorded as net realized gains or losses. Such realized gains and losses are
reported with all other foreign currency gains and losses in the Statement of
Operations.
As of October 31, 2004, the Fund had no outstanding foreign currency
contracts.
17 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
NOTES TO FINANCIAL STATEMENTS Unaudited / Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
6. LITIGATION
Six complaints have been filed as putative derivative and class actions against
the Manager, OFS and the Distributor (collectively, "OppenheimerFunds"), as well
as 51 of the Oppenheimer funds (collectively, the "Funds") excluding this Fund,
and nine Directors/Trustees of certain of the Funds other than this Fund
(collectively, the "Directors/Trustees"). The complaints allege that the Manager
charged excessive fees for distribution and other costs, improperly used assets
of the Funds in the form of directed brokerage commissions and 12b-1 fees to pay
brokers to promote sales of the Funds, and failed to properly disclose the use
of Fund assets to make those payments in violation of the Investment Company Act
of 1940 and the Investment Advisers Act of 1940. The complaints further allege
that by permitting and/or participating in those actions, the Directors/Trustees
breached their fiduciary duties to Fund shareholders under the Investment
Company Act of 1940 and at common law. By order dated October 27, 2004, these
six actions, and future related actions, were consolidated by the U.S. District
Court for the Southern District of New York into a single consolidated
proceeding in contemplation of the filing of a superseding consolidated and
amended complaint.
OppenheimerFunds believes that it is premature to render any opinion as to
the likelihood of an outcome unfavorable to them, the Funds or the
Directors/Trustees and that no estimate can yet be made with any degree of
certainty as to the amount or range of any potential loss. However,
OppenheimerFunds, the Funds and the Directors/Trustees believe that the
allegations contained in the complaints are without merit and intend to defend
these lawsuits vigorously.
PORTFOLIO PROXY VOTING POLICIES AND PROCEDURES;
UPDATES TO STATEMENTS OF INVESTMENTS 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
1.800.525.7048, (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 is 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 Fund's Form N-PX
filing is available (i) without charge, upon request, by calling the Fund
toll-free at 1.800.525.7048, and (ii) on the SEC's website at www.sec.gov.
The Fund files its complete schedule of portfolio holdings with the SEC
for the first quarter and the third quarter of each fiscal year on Form N-Q. The
Fund's Form N-Q filings are available on the SEC's website at www.sec.gov. Those
forms may be reviewed and copied at the SEC's Public Reference Room in
Washington D.C. Information on the operation of the Public Reference Room may
be obtained by calling 1-800-SEC-0330.
18 | OPPENHEIMER INTERNATIONAL LARGE-CAP CORE FUND
ITEM 2. CODE OF ETHICS
Not applicable to semiannual reports.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT
Not applicable to semiannual reports.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES
Not applicable to semiannual reports.
ITEM 5. NOT APPLICABLE
ITEM 6. SCHEDULE OF INVESTMENTS
Not applicable
ITEM 7. NOT APPLICABLE
ITEM 8. NOT APPLICABLE
ITEM 9. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The Board is responsible for approving nominees for election as trustees.
To assist in this task, the Board has designated the Audit Committee as the
nominating committee for the Board. It reviews and recommends nominees to the
Board. The Committee is comprised entirely of disinterested trustees as defined
in Section 2(a)(19) of the Investment Company Act of 1940.
The Audit Committee charter describes the responsibilities of the
Committee in nominating candidates for election as independent Trustees of the
Registrant. The Registrant's Board has adopted a written charter for the
Committee. A current copy of the Audit Committee charter is available to
shareholders on the OppenheimerFunds website at WWW.OPPENHEIMERFUNDS.COM.
Under the current policy, if the Board determines that a vacancy exists or
is likely to exist on the Board, the Audit Committee of the Board will consider
candidates for Board membership including recommended by Registrant
shareholders. The Audit Committee will consider nominees recommended by
independent Board members or recommended by any other Board members including
Board members affiliated with the Registrant's investment advisors. The
Committee may, upon Board approval, retain an executive search firm to assist in
screening potential candidates. Upon Board approval, the Audit Committee may
also use the services of legal, financial, or other external counsel that it
deems necessary or desirable in the screening process. Shareholders wishing to
submit a nominee for election to the Board may do so by mailing their submission
to the offices of OppenheimerFunds, Inc., 6803 South Tucson Way, Centennial, CO
80112, to the attention of the Board of Trustees of the named Registrant, c/o
the Secretary of the Registrant.
The Committee's process for identifying and evaluating nominees for
trustees includes a number of factors. In screening candidates for board
membership, whether the candidate is suggested by Board members, shareholders or
others, the Committee considers the candidate's professional experience,
soundness of judgment, integrity, ability to make independent, analytical
inquiries, collegiality, willingness and ability to devote the time required to
perform Board activities adequately, ability to represent the interests of all
shareholders of the Registrant, and diversity relative to the board's
composition. Candidates are expected to provide a mix of attributes, experience,
perspective and skills necessary to effectively advance the interests of
shareholders.
ITEM 10. 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, 2004,
registrant's principal executive officer and principal financial
officer found registrant's disclosure controls and procedures to
provide reasonable assurances 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 over financial reporting that occurred during the
registrant's last fiscal half-year that has materially affected, or
is reasonably likely to materially affect, the registrant's internal
control over financial reporting.
ITEM 11. EXHIBITS.
(A) EXHIBIT ATTACHED HERETO. (ATTACH CODE OF ETHICS AS EXHIBIT)(NOT
APPLICABLE TO SEMIANNUAL REPORTS)
(B) EXHIBITS ATTACHED HERETO. (ATTACH CERTIFICATIONS AS EXHIBITS)