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 811-21474
OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL 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: JULY 31
Date of reporting period: AUGUST 1, 2004 THROUGH JULY 31, 2005
ITEM 1. REPORTS TO STOCKHOLDERS.
TOP HOLDINGS AND ALLOCATIONS
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
TOP TEN INDUSTRIES
- --------------------------------------------------------------------------------
Tobacco Settlement Payments 24.3%
- --------------------------------------------------------------------------------
Special Tax 15.9
- --------------------------------------------------------------------------------
Special Assessment 10.0
- --------------------------------------------------------------------------------
Marine/Aviation Facilities 9.0
- --------------------------------------------------------------------------------
Municipal Leases 8.7
- --------------------------------------------------------------------------------
General Obligation 6.9
- --------------------------------------------------------------------------------
Hospital/Health Care 4.4
- --------------------------------------------------------------------------------
Multifamily Housing 3.9
- --------------------------------------------------------------------------------
Single Family Housing 3.5
- --------------------------------------------------------------------------------
Pollution Control 2.7
Portfolio holdings and allocations are subject to change. Percentages are as of
July 31, 2005, and are based on total market value of investments.
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
CREDIT ALLOCATION
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
AAA 29.0%
AA 5.0
A 12.0
BBB 49.9
BB 0.2
NR 3.9
Portfolio holdings and allocations are subject to change. Percentages are as of
July 31, 2005, and are dollar-weighted based on total market value of
investments. Securities rated by any rating organization are included in the
equivalent Standard & Poor's rating category. The allocation includes rated
securities and those not rated by a national rating organization but to which
the ratings above have been assigned by the Manager for internal purposes as
being comparable, in the Manager's judgment, to securities rated by a rating
agency in the same category.
- --------------------------------------------------------------------------------
11 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FUND PERFORMANCE DISCUSSION
- --------------------------------------------------------------------------------
HOW HAS THE FUND PERFORMED? BELOW IS A DISCUSSION BY OPPENHEIMERFUNDS, INC., OF
THE FUND'S PERFORMANCE DURING ITS FISCAL YEAR ENDED JULY 31, 2005, FOLLOWED BY A
GRAPHICAL COMPARISON OF THE FUND'S PERFORMANCE TO AN APPROPRIATE BROAD-BASED
MARKET INDEX.
MANAGEMENT'S DISCUSSION OF FUND PERFORMANCE. The Fund's distributions and
share-price appreciation have combined to produce superior performance during
this report period. As of July 31, 2005, the Fund's Class A shares generated
1-year total return of 12.78% without sales charge and 8.83% with sales charge.
By comparison, the Lehman Brothers Municipal Bond index produced a total return
of 6.35%. 1 Yields generated by the Fund's holdings, representing a wide variety
of credit qualities and industry sectors, generated approximately 37% of the
Fund's total return for the period. Price appreciation in the Fund's lower-rated
and unrated holdings, and in its Master Settlement Agreement ("MSA") bonds,
accounted for the remainder or the period's total return. MSA bonds are backed
by the issuing State's (or U.S. territory's) share of proceeds from a national
litigation settlement with tobacco manufacturers. These bonds generated
attractive yields and share price appreciation for shareholders during this
period.
Across the municipal bond market, the difference between yields on
lower-rated and higher-rated municipal securities decreased, as the price of
lower-rated municipal bonds rose more than that of high-grade bonds during this
report period. The "Rochester style" of municipal bond fund investment
management focuses on identifying advantageous but generally under-appreciated
municipal securities. Oppenheimer Limited Term California Municipal Fund
maintains a minimum of 95% of assets invested in investment-grade municipal
bonds. We actively seek out such securities that we believe offer attractive,
risk-adjusted returns at prices and yields that we believe represent good value.
We have also sought to offset the Fund's interest-rate sensitivity by investing
in premium-coupon, callable bonds whose market prices are less sensitive to
short-term interest-rate movements.
Increasing prices in the Fund's lower-rated holdings, sometimes known as
"credit-spread tightening," has been a significant driver of the Fund's total
return during this report period. The Fund's net asset value increased in this
period, largely through price appreciation in bonds that we had selected for
their yield and structural characteristics.
Special Tax and Special Assessment bonds, sometimes referred to as "dirt
bonds," added to performance during this report period. These are bonds issued
to support
1. The Lehman Brothers Municipal Bond Index is an unmanaged index of a broad
range of investment grade municipal bonds. The index cannot be purchased
directly by investors. Index performance is for illustrative purposes only and
does not predict or depict the performance of a fund.
12 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
housing and commercial development projects. Special Tax and Special Assessment
bonds comprised approximately 25.9% of investments during this report period,
contributing to yield and NAV appreciation.
In accordance with the Fund's Prospectus, the average effective maturity
of the Fund's portfolio must be limited to five years or less. To help meet this
goal, we maintain a portfolio holding bonds with effective maturities generally
ranging from less than six months to twelve years. During this report period
bond yields at the five-year maturity have not been significantly affected by
higher short-term interest rates. As a result, our preference for
longer-maturity bonds with prices more reflective of shorter-term redemption
dates has rewarded shareholders with attractive yield and limited price
volatility. Longer-term bond price increases have helped to offset price
decreases on shorter-maturity bonds, to the Fund's advantage.
A small percentage of the Fund's holdings are currently exposed to
"taxability risk," meaning the possibility that income from these bonds might be
deemed federally taxable by the Internal Revenue Service ("IRS"). The IRS is
currently investigating the structure of a small number of the Fund's holdings
in this regard, but we have not learned of any findings as of the date of this
report. As of July 31, 2005, these bonds do not figure prominently in the Fund's
portfolio.
As of July 31, 2005, tobacco bonds backed by the national Master
Settlement Agreement ("MSA") accounted for 24.3% of investments, making it the
Fund's largest single industry sector. MSA bond prices have increased
significantly during this report period. Virginia MSA bonds issued in May 2005
were the first new tobacco bonds to be paid solely from tobacco settlement
revenues since early 2003. Also during this report period, Westchester County,
New York pre-refunded its MSA-backed bonds in June, and other municipalities
announced plans to pre-refund many of their MSA-backed bonds, as well. In a
pre-refunding, a new bond issue generates proceeds that are earmarked to pay off
another previously-issued--but not yet callable--bond. When a municipal bond is
pre-refunded, its price generally rises significantly. The market reacted
favorably to the issuance of new MSA bonds, and prices of MSA-backed tobacco
bonds rose as speculation of additional new issuance to refund outstanding,
higher coupon MSA-backed bonds increased.
Positive news on tobacco litigation also contributed to the large price
rally in MSA-backed bonds. One significant event during this period was the
ruling of a federal appeals court in Washington, D.C. that the U.S. government
could not seek disgorgement of $280 billion in past profits from the tobacco
industry under the Racketeer Influenced Corrupt Organizations Act ("RICO"). On
February 4, 2005, in a 2-1 decision, the United States
13 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FUND PERFORMANCE DISCUSSION
- --------------------------------------------------------------------------------
Court of Appeals for the District of Columbia held that, because the applicable
RICO statute limits remedies to those that "prevent and restrain" future acts,
disgorgement based on PAST profits is not a remedy available to the government.
Investors viewed dismissal of this claim as good news, and MSA bond prices rose.
On April 20, 2005, the United States Court of Appeals for the District of
Columbia denied the Department of Justice's request to reconsider the February
decision. However, on July 18, 2005, the Government filed its petition for
certiorari seeking further review on this issue by the United States Supreme
Court. During final arguments in this case, the U.S. government reduced its
demand for damages from the tobacco industry to $14 billion--a significant
reduction from the original claim for $280 billion. It is not clear when the
trial judge will make a final decision. However, developments during this report
period have been positive for the tobacco industry and, by extension, for MSA
bonds.
Our approach to municipal bond investing is flexible and responsive to
market conditions; our strategies are intended to balance many different types
of risk to reduce overall portfolio risk. We continue to comb the market for
bonds that offer attractive yields, and to monitor developing market conditions.
These conditions have not affected the Fund's investment strategies, or caused
it to pay any distributions of capital.
COMPARING THE FUND'S PERFORMANCE TO THE MARKET. The graphs that follow show the
performance of a hypothetical $10,000 investment in each class of shares of the
Fund held until July 31, 2005. For all share classes, performance is measured
from the Fund's inception on February 25, 2004. The Fund's performance reflects
the deduction of the maximum initial sales charge on Class A shares, the
applicable contingent deferred sales charge on Class B and Class C shares, and
reinvestments of all dividends and capital gains distributions.
The Fund's performance is compared to the performance of the Lehman
Brothers Municipal Bond Index, an unmanaged index of a broad range of investment
grade municipal bonds that is widely regarded as a measure of the performance of
the general municipal bond market. Index performance reflects the reinvestment
of dividends but does not consider the effect of capital gains or transaction
costs, and none of the data in the graphs that follow shows the effect of taxes.
The Fund's performance reflects the effects of Fund business and operating
expenses. While index comparisons may be useful to provide a benchmark for the
Fund's performance, it must be noted that the Fund's investments are not limited
to the securities in the index.
14 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
CLASS A SHARES
COMPARISON OF CHANGE IN VALUE OF $10,000 HYPOTHETICAL INVESTMENTS IN:
Oppenheimer Limited Term California Municipal Fund (Class A)
Lehman Brothers Municipal Bond Index
[THE FOLLOWING TABLE WAS REPRESENTED BY A LINE GRAPH IN THE PRINTED MATERIAL.]
Oppenheimer Limited Term California Lehman Brothers
Date Municipal Fund (Class A) Municipal Bond Index
02/25/2004 9,650 10,000
04/30/2004 9,660 9,729
07/31/2004 9,705 9,857
10/31/2004 10,079 10,195
01/31/2005 10,345 10,330
04/30/2005 10,583 10,392
07/31/2005 10,945 10,483
AVERAGE ANNUAL TOTAL RETURNS OF CLASS A SHARES WITH SALES CHARGE OF THE FUND
AT 7/31/05
1-Year 8.83% Since Inception (2/25/04) 6.51%
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE, WHICH DOES NOT
GUARANTEE FUTURE RESULTS. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN
INVESTMENT IN THE FUND WILL FLUCTUATE SO THAT AN INVESTOR'S SHARES, WHEN
REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE QUOTED. FOR PERFORMANCE
DATA CURRENT TO THE MOST RECENT MONTH END, VISIT US AT WWW.OPPENHEIMERFUNDS.COM,
OR CALL US AT 1.800.525.7048. FUND RETURNS INCLUDE CHANGES IN SHARE PRICE,
REINVESTED DISTRIBUTIONS, AND THE APPLICABLE SALES CHARGE: FOR CLASS A SHARES,
THE CURRENT MAXIMUM INITIAL SALES CHARGE OF 3.50%; FOR CLASS B SHARES, AND THE
CONTINGENT DEFERRED SALES CHARGE OF 4% (1-YEAR); AND FOR CLASS C SHARES, THE 1%
CONTINGENT DEFERRED SALES CHARGE FOR THE 1-YEAR PERIOD. SEE PAGE 18 FOR FURTHER
INFORMATION.
15 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FUND PERFORMANCE DISCUSSION
- --------------------------------------------------------------------------------
CLASS B SHARES
COMPARISON OF CHANGE IN VALUE OF $10,000 HYPOTHETICAL INVESTMENTS IN:
Oppenheimer Limited Term California Municipal Fund (Class B)
Lehman Brothers Municipal Bond Index
[THE FOLLOWING TABLE WAS REPRESENTED BY A LINE GRAPH IN THE PRINTED MATERIAL.]
Oppenheimer Limited Term California Lehman Brothers
Date Municipal Fund (Class B) Municipal Bond Index
02/25/2004 10,000 10,000
04/30/2004 10,170 9,729
07/31/2004 10,194 9,857
10/31/2004 10,590 10,195
01/31/2005 10,845 10,330
04/30/2005 11,068 10,392
07/31/2005 11,120 10,483
AVERAGE ANNUAL TOTAL RETURNS OF CLASS B SHARES WITH SALES CHARGE OF THE FUND
AT 7/31/05
1-Year 8.03% Since Inception (2/25/04) 7.69%
16 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
CLASS C SHARES
COMPARISON OF CHANGE IN VALUE OF $10,000 HYPOTHETICAL INVESTMENTS IN:
Oppenheimer Limited Term California Municipal Fund (Class C)
Lehman Brothers Municipal Bond Index
[THE FOLLOWING TABLE WAS REPRESENTED BY A LINE GRAPH IN THE PRINTED MATERIAL.]
Oppenheimer Limited Term California Lehman Brothers
Date Municipal Fund (Class C) Municipal Bond Index
02/25/2004 10,000 10,000
04/30/2004 9,993 9,729
07/31/2004 10,017 9,857
10/31/2004 10,384 10,195
01/31/2005 10,641 10,330
04/30/2005 10,866 10,392
07/31/2005 11,219 10,483
AVERAGE ANNUAL TOTAL RETURNS OF CLASS C SHARES WITH SALES CHARGE OF THE FUND
AT 7/31/05
1-Year 11.00% Since Inception (2/25/04) 8.35%
THE PERFORMANCE DATA QUOTED REPRESENTS PAST PERFORMANCE, WHICH DOES NOT
GUARANTEE FUTURE RESULTS. THE INVESTMENT RETURN AND PRINCIPAL VALUE OF AN
INVESTMENT IN THE FUND WILL FLUCTUATE SO THAT AN INVESTOR'S SHARES, WHEN
REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE QUOTED. FOR PERFORMANCE
DATA CURRENT TO THE MOST RECENT MONTH END, VISIT US AT WWW.OPPENHEIMERFUNDS.COM,
OR CALL US AT 1.800.525.7048. FUND RETURNS INCLUDE CHANGES IN SHARE PRICE,
REINVESTED DISTRIBUTIONS, AND THE APPLICABLE SALES CHARGE: FOR CLASS A SHARES,
THE CURRENT MAXIMUM INITIAL SALES CHARGE OF 3.50%; FOR CLASS B SHARES, AND THE
CONTINGENT DEFERRED SALES CHARGE OF 4% (1-YEAR); AND FOR CLASS C SHARES, THE 1%
CONTINGENT DEFERRED SALES CHARGE FOR THE 1-YEAR PERIOD. SEE PAGE 18 FOR FURTHER
INFORMATION.
17 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
NOTES
- --------------------------------------------------------------------------------
TOTAL RETURNS AND THE ENDING ACCOUNT VALUES IN THE GRAPHS INCLUDE CHANGES IN
SHARE PRICE AND REINVESTMENT OF DIVIDENDS AND CAPITAL GAINS DISTRIBUTIONS IN A
HYPOTHETICAL INVESTMENT FOR THE PERIODS SHOWN. THE FUND'S TOTAL RETURNS SHOWN DO
NOT REFLECT THE DEDUCTION OF INCOME TAXES ON AN INDIVIDUAL'S INVESTMENT. TAXES
MAY REDUCE YOUR ACTUAL INVESTMENT RETURNS ON ANY GAINS YOU MAY REALIZE IF YOU
SELL YOUR SHARES.
THIS ANNUAL REPORT MUST BE PRECEDED OR ACCOMPANIED BY THE CURRENT PROSPECTUS FOR
OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND. INVESTORS SHOULD CONSIDER
THE FUND'S INVESTMENT OBJECTIVES, RISKS, AND OTHER CHARGES AND EXPENSES
CAREFULLY BEFORE INVESTING. THE FUND'S PROSPECTUS CONTAINS THIS AND OTHER
INFORMATION ABOUT THE FUND, AND MAY BE OBTAINED BY ASKING YOUR FINANCIAL
ADVISOR, CALLING US AT 1.800.525.7048 OR VISITING OUR WEBSITE AT
WWW.OPPENHEIMERFUNDS.COM. READ THE PROSPECTUS CAREFULLY BEFORE INVESTING.
THE FUND'S INVESTMENT STRATEGY AND FOCUS CAN CHANGE OVER TIME. THE MENTION OF
SPECIFIC FUND HOLDINGS DOES NOT CONSTITUTE A RECOMMENDATION BY OPPENHEIMERFUNDS,
INC.
PLEASE REMEMBER THIS FUND HAS A LIMITED OPERATING HISTORY.
CLASS A shares of the Fund were first publicly offered on 2/25/04. The average
annual total returns are shown net of the applicable 3.50% maximum initial sales
charge.
CLASS B shares of the Fund were first publicly offered on 2/25/04. The average
annual total returns are shown net of the applicable contingent deferred sales
charge of 4% (1-year). Class B shares are subject to an annual 0.75% asset-based
sales charge.
CLASS C shares of the Fund were first publicly offered on 2/25/04. The average
annual total returns are shown net of the applicable 1% contingent deferred
sales charge for the one-year period. Class C shares are subject to an annual
0.75% asset-based sales charge.
An explanation of the calculation of performance is in the Fund's Statement of
Additional Information.
18 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL 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 July 31, 2005.
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), or a $12.00 fee imposed annually
on accounts valued at less than $500.00 (subject to exceptions described in
19 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FUND EXPENSES
- --------------------------------------------------------------------------------
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 EXPENSES
ACCOUNT ACCOUNT PAID DURING
VALUE VALUE 6 MONTHS ENDED
(2/1/05) (7/31/05) JULY 31, 2005
- --------------------------------------------------------------------------------
Class A Actual $1,000.00 $1,058.00 $4.09
- --------------------------------------------------------------------------------
Class A Hypothetical 1,000.00 1,020.83 4.02
- --------------------------------------------------------------------------------
Class B Actual 1,000.00 1,053.10 7.92
- --------------------------------------------------------------------------------
Class B Hypothetical 1,000.00 1,017.11 7.78
- --------------------------------------------------------------------------------
Class C Actual 1,000.00 1,054.30 7.92
- --------------------------------------------------------------------------------
Class C Hypothetical 1,000.00 1,017.11 7.78
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 181/365
(to reflect the one-half year period). Those annualized expense ratios based on
the 6-month period ended July 31, 2005 are as follows:
CLASS EXPENSE RATIOS
- ---------------------------
Class A 0.80%
- ---------------------------
Class B 1.55
- ---------------------------
Class C 1.55
- --------------------------------------------------------------------------------
The expense ratios reflect voluntary waivers or reimbursements of expenses by
the Fund's Manager 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.
20 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS July 31, 2005
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS AND NOTES--110.9%
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA--108.2%
$ 25,000 ABAG Finance Authority for NonProfit
Corporations COP 5.600% 11/01/2023 11/01/2005 1 $ 25,080
- ----------------------------------------------------------------------------------------------------------------------
10,000 ABAG Finance Authority for NonProfit
Corporations COP 5.800 03/01/2023 09/01/2005 1 10,012
- ----------------------------------------------------------------------------------------------------------------------
250,000 ABAG Finance Authority for NonProfit
Corporations COP (Lytton Gardens) 4 6.000 02/15/2019 02/15/2008 1 265,143
- ----------------------------------------------------------------------------------------------------------------------
335,000 ABAG Finance Authority for NonProfit
Corporations, Series A 4 0.000 5 04/20/2019 04/20/2012 1 152,301
- ----------------------------------------------------------------------------------------------------------------------
115,000 Adelanto Improvement Agency, Series B 4 5.500 12/01/2023 12/01/2005 1 115,981
- ----------------------------------------------------------------------------------------------------------------------
50,000 Adelanto Public Financing Authority 6.300 09/01/2028 09/01/2005 1 51,134
- ----------------------------------------------------------------------------------------------------------------------
75,000 Adelanto Public Financing Authority, Series B 4 7.250 09/15/2015 09/15/2005 1 75,119
- ----------------------------------------------------------------------------------------------------------------------
20,000 Alameda County COP
(Alameda County Medical Center) 5.300 06/01/2026 12/01/2005 1 20,048
- ----------------------------------------------------------------------------------------------------------------------
110,000 Alum Rock Union Elementary School District 5.300 09/01/2021 09/01/2005 1 110,219
- ----------------------------------------------------------------------------------------------------------------------
25,000 Angels Improvement Bond Act (Greenhorn Creek) 5.600 09/02/2021 03/02/2006 1 25,276
- ----------------------------------------------------------------------------------------------------------------------
10,000 Apple Valley Improvement Bond Act 1915 6.900 09/02/2015 09/02/2005 1 10,328
- ----------------------------------------------------------------------------------------------------------------------
70,000 Atwater Redevel. Agency 5.875 06/01/2022 06/01/2006 1 72,858
- ----------------------------------------------------------------------------------------------------------------------
15,000 Atwater Redevel. Agency (Downtown Redevel.) 5.500 06/01/2019 06/01/2010 1 15,645
- ----------------------------------------------------------------------------------------------------------------------
25,000 Azusa COP 4 5.750 08/01/2020 08/01/2005 1 25,605
- ----------------------------------------------------------------------------------------------------------------------
25,000 Bakersfield City School District 5.125 08/01/2011 08/01/2005 1 25,301
- ----------------------------------------------------------------------------------------------------------------------
55,000 Bay Area Governments Association, Series A 4 5.800 12/15/2008 12/15/2005 1 56,194
- ----------------------------------------------------------------------------------------------------------------------
55,000 Bay Area Governments Association, Series A 4 6.000 12/15/2014 12/15/2005 1 56,235
- ----------------------------------------------------------------------------------------------------------------------
15,000 Bay Area Governments Association, Series A1 5.750 09/03/2019 09/03/2005 1 15,340
- ----------------------------------------------------------------------------------------------------------------------
20,000 Bay Area Governments Association, Series B1 7.000 09/03/2019 09/03/2005 1 20,454
- ----------------------------------------------------------------------------------------------------------------------
45,000 Beaumont Financing Authority, Series A 6.000 09/01/2021 09/01/2015 1 47,309
- ----------------------------------------------------------------------------------------------------------------------
15,000 Beaumont Financing Authority, Series A 6.875 09/01/2027 09/01/2013 1 16,657
- ----------------------------------------------------------------------------------------------------------------------
50,000 Beaumont Financing Authority, Series A 4 7.000 09/01/2023 09/01/2005 1 50,174
- ----------------------------------------------------------------------------------------------------------------------
60,000 Beaumont Financing Authority, Series A 7.375 09/01/2032 09/01/2010 1 66,018
- ----------------------------------------------------------------------------------------------------------------------
15,000 Beaumont Financing Authority, Series B 6.000 09/01/2034 09/01/2015 1 15,651
- ----------------------------------------------------------------------------------------------------------------------
50,000 Bell Community Hsg. Authority
(Mobile Home Parks) 4 6.400 10/01/2025 10/01/2005 1 51,256
- ----------------------------------------------------------------------------------------------------------------------
135,000 Berkeley GO 5.625 09/01/2027 09/01/2005 1 137,985
- ----------------------------------------------------------------------------------------------------------------------
750,000 Blythe Redevel. Agency
(Redevel. Project No. 1 Tax Allocation) 4 6.200 05/01/2031 05/01/2011 1 809,633
- ----------------------------------------------------------------------------------------------------------------------
25,000 Brawley Union High School District 5.000 08/01/2028 08/01/2007 1 26,181
21 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 110,000 CA County Tobacco Securitization
Agency (TASC) 5.500% 06/01/2033 06/01/2012 1 $ 114,209
- ----------------------------------------------------------------------------------------------------------------------
100,000 CA County Tobacco Securitization
Agency (TASC) 5.750 06/01/2027 06/01/2012 1 105,267
- ----------------------------------------------------------------------------------------------------------------------
1,380,000 CA County Tobacco Securitization
Agency (TASC) 5.750 06/01/2029 06/01/2012 1 1,452,685
- ----------------------------------------------------------------------------------------------------------------------
450,000 CA County Tobacco Securitization
Agency (TASC) 5.750 06/01/2030 06/01/2012 1 473,702
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA County Tobacco Securitization
Agency (TASC) 5.875 06/01/2027 06/01/2012 1 26,333
- ----------------------------------------------------------------------------------------------------------------------
135,000 CA County Tobacco Securitization
Agency (TASC) 5.875 06/01/2035 06/01/2012 1 141,840
- ----------------------------------------------------------------------------------------------------------------------
100,000 CA County Tobacco Securitization
Agency (TASC) 4 5.875 06/01/2043 06/01/2012 1 105,928
- ----------------------------------------------------------------------------------------------------------------------
590,000 CA County Tobacco Securitization
Agency (TASC) 6.000 06/01/2029 06/01/2012 1 629,577
- ----------------------------------------------------------------------------------------------------------------------
180,000 CA County Tobacco Securitization
Agency (TASC) 6.000 06/01/2035 06/01/2012 1 190,379
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA County Tobacco Securitization
Agency (TASC) 6.000 06/01/2038 06/01/2012 1 10,578
- ----------------------------------------------------------------------------------------------------------------------
165,000 CA County Tobacco Securitization
Agency (TASC) 6.000 06/01/2042 06/01/2012 1 174,544
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA Department of Veterans Affairs
Home Purchase 4 5.100 12/01/2019 12/01/2005 1 25,019
- ----------------------------------------------------------------------------------------------------------------------
60,000 CA Department of Veterans Affairs
Home Purchase 4 5.500 12/01/2019 01/09/2012 1 63,592
- ----------------------------------------------------------------------------------------------------------------------
120,000 CA Department of Water Resources
(Center Valley) 4 5.250 07/01/2022 01/01/2006 1 121,270
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Department of Water Resources
(Center Valley) 4 5.400 07/01/2012 01/01/2006 1 20,046
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Educational Facilities Authority
(Cedars-Sinai Medical Center) 4 6.125 12/01/2019 12/01/2009 1 10,945
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Educational Facilities Authority
(College & University Financing) 6.125 06/01/2009 06/01/2006 1 10,081
- ----------------------------------------------------------------------------------------------------------------------
5,000 CA Educational Facilities Authority
(College & University Financing) 4 6.250 06/01/2018 12/01/2005 1 5,043
- ----------------------------------------------------------------------------------------------------------------------
85,000 CA Educational Facilities Authority
(College of Osteopathic Medicine) 4 5.750 06/01/2018 12/01/2005 1 86,907
- ----------------------------------------------------------------------------------------------------------------------
40,000 CA Educational Facilities Authority
(Student Loan Program) 6.000 03/01/2016 03/01/2007 1 41,925
- ----------------------------------------------------------------------------------------------------------------------
40,000 CA Educational Facilities Authority
(University La Verne) 6.300 04/01/2009 04/01/2006 1 40,175
- ----------------------------------------------------------------------------------------------------------------------
90,000 CA Educational Facilities Authority
(University of Redlands) 4 6.000 10/01/2025 10/01/2005 1 92,316
22 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 15,000 CA GO 4.750% 09/01/2018 09/01/2005 1 $ 15,008
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA GO 5.000 02/01/2023 02/01/2008 1 52,096
- ----------------------------------------------------------------------------------------------------------------------
100,000 CA GO 5.000 10/01/2023 10/01/2009 1 102,853
- ----------------------------------------------------------------------------------------------------------------------
40,000 CA GO 5.000 10/01/2023 10/01/2008 1 40,885
- ----------------------------------------------------------------------------------------------------------------------
60,000 CA GO 5.100 03/01/2010 09/02/2005 1 60,115
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA GO 5.125 10/01/2017 10/01/2005 1 25,091
- ----------------------------------------------------------------------------------------------------------------------
90,000 CA GO 4 5.125 10/01/2017 10/01/2005 1 90,327
- ----------------------------------------------------------------------------------------------------------------------
85,000 CA GO 5.150 10/01/2019 10/01/2005 1 85,203
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA GO 5.150 10/01/2019 10/01/2005 1 50,183
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA GO 5.250 04/01/2018 10/01/2005 1 25,033
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA GO 5.250 04/01/2019 10/01/2005 1 10,013
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA GO 5.500 03/01/2009 09/01/2005 1 10,123
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA GO 5.500 04/01/2019 10/01/2005 1 10,045
- ----------------------------------------------------------------------------------------------------------------------
35,000 CA GO 5.500 03/01/2020 09/01/2005 1 35,442
- ----------------------------------------------------------------------------------------------------------------------
5,000 CA GO 5.500 03/01/2020 09/01/2005 1 5,061
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA GO 5.500 10/01/2022 10/01/2005 1 15,046
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA GO 5.625 10/01/2023 10/01/2006 1 25,995
- ----------------------------------------------------------------------------------------------------------------------
5,000 CA GO 5.625 09/01/2024 09/01/2006 1 5,156
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA GO 5.750 03/01/2015 09/01/2005 2 15,188
- ----------------------------------------------------------------------------------------------------------------------
35,000 CA GO 5.750 11/01/2017 11/01/2005 1 35,256
- ----------------------------------------------------------------------------------------------------------------------
35,000 CA GO 5.750 11/01/2017 11/01/2005 1 35,256
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA GO 5.800 06/01/2013 12/01/2005 1 25,063
- ----------------------------------------------------------------------------------------------------------------------
105,000 CA GO 5.900 04/01/2023 10/01/2005 1 105,536
- ----------------------------------------------------------------------------------------------------------------------
75,000 CA GO 4 5.900 03/01/2025 09/01/2005 1 75,932
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA GO 4 6.000 08/01/2015 08/01/2005 1 20,517
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA GO 6.000 05/01/2018 11/01/2005 1 20,331
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA GO 6.000 10/01/2021 10/01/2005 1 15,079
- ----------------------------------------------------------------------------------------------------------------------
605,000 CA GO 6.250 10/01/2019 10/01/2005 1 605,333
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA GO 6.800 11/01/2008 11/01/2005 1 10,200
- ----------------------------------------------------------------------------------------------------------------------
125,000 CA Golden State Tobacco Securitization Corp. 5.500 06/01/2019 06/01/2007 1 131,021
- ----------------------------------------------------------------------------------------------------------------------
700,000 CA Golden State Tobacco Securitization Corp. 4 5.750 06/01/2021 06/01/2008 1 753,865
- ----------------------------------------------------------------------------------------------------------------------
4,280,000 CA Golden State Tobacco Securitization Corp. 4 6.250 06/01/2033 09/11/2012 2 4,774,340
- ----------------------------------------------------------------------------------------------------------------------
815,000 CA Golden State Tobacco Securitization Corp. 6.625 06/01/2040 06/01/2013 1 931,920
- ----------------------------------------------------------------------------------------------------------------------
2,125,000 CA Golden State Tobacco Securitization Corp. 6.750 06/01/2039 06/01/2013 1 2,447,575
- ----------------------------------------------------------------------------------------------------------------------
300,000 CA Golden State Tobacco Securitization Corp. 7.800 06/01/2042 06/01/2013 1 372,723
23 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 1,555,000 CA Golden State Tobacco Securitization Corp. 7.900% 06/01/2042 06/01/2013 1 $ 1,942,273
- ----------------------------------------------------------------------------------------------------------------------
1,160,000 CA Golden State Tobacco Securitization
Corp. (TASC) 7.875 06/01/2042 06/01/2013 1 1,446,972
- ----------------------------------------------------------------------------------------------------------------------
500,000 CA Golden State Tobacco Securitization
Corp. (TASC) 7.875 06/01/2042 06/01/2013 1 623,695
- ----------------------------------------------------------------------------------------------------------------------
40,000 CA Health Facilities Financing Authority
(Catholic Healthcare West) 4 5.000 07/01/2021 01/01/2006 1 40,462
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Health Facilities Financing Authority
(Catholic Healthcare West), Series A 4 6.000 07/01/2025 07/01/2008 1 20,913
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA Health Facilities Financing Authority
(Catholic Healthcare West) 5.125 07/01/2024 07/01/2007 1 15,783
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Health Facilities Financing Authority
(Children's Hospital) 4 5.375 07/01/2016 07/01/2006 1 10,410
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Health Facilities Financing Authority
(Children's Hospital) 4 5.750 07/01/2023 09/01/2005 1 10,031
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Health Facilities Financing Authority
(Community Program) 4 7.200 01/01/2012 08/01/2005 1 20,293
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA Health Facilities Financing Authority
(Fellowship Homes) 6.000 09/01/2019 09/01/2006 1 26,143
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Health Facilities Financing Authority
(Mercy Senior Hsg.) 4 5.800 12/01/2018 12/01/2005 1 20,111
- ----------------------------------------------------------------------------------------------------------------------
5,000 CA Health Facilities Financing Authority
(Small Facilities Loan), Series A 4 6.700 03/01/2011 09/01/2005 1 5,012
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA HFA 4 5.650 02/01/2008 08/01/2006 1 10,380
- ----------------------------------------------------------------------------------------------------------------------
30,000 CA HFA 4 5.900 02/01/2009 08/01/2005 1 30,644
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA HFA (Multifamily Hsg.) 5.400 08/01/2018 08/01/2008 1 15,598
- ----------------------------------------------------------------------------------------------------------------------
30,000 CA HFA (Multifamily Hsg.) 4 5.450 08/01/2028 08/01/2010 1 31,030
- ----------------------------------------------------------------------------------------------------------------------
145,000 CA HFA (Multifamily Hsg.) 4 5.950 08/01/2028 02/01/2009 1 149,942
- ----------------------------------------------------------------------------------------------------------------------
130,000 CA HFA (Multifamily Hsg.) 4 6.050 08/01/2016 08/01/2006 1 135,723
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA HFA (Multifamily Hsg.) 4 6.050 08/01/2027 08/01/2006 1 26,169
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA HFA (Multifamily Hsg.) 4 6.050 08/01/2038 02/01/2009 1 10,340
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA HFA (Multifamily Hsg.) 4 6.150 08/01/2022 08/01/2006 1 15,507
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA HFA (Multifamily Hsg.) 4 6.300 08/01/2026 02/01/2008 1 25,663
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA HFA (Single Family Mtg.), Series A 4 5.300 08/01/2018 02/01/2010 1 10,100
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA HFA (Single Family Mtg.), Series B 4 6.200 08/01/2014 10/01/2007 1 10,083
- ----------------------------------------------------------------------------------------------------------------------
1,000,000 CA HFA, Series A 4.800 08/01/2012 08/01/2009 1 1,012,670
- ----------------------------------------------------------------------------------------------------------------------
5,000 CA HFA, Series B 7.000 08/01/2014 02/01/2006 1 5,109
- ----------------------------------------------------------------------------------------------------------------------
465,000 CA HFA, Series B 4 7.125 08/01/2024 08/01/2005 1 481,842
- ----------------------------------------------------------------------------------------------------------------------
5,000 CA HFA, Series B-1 4 5.200 08/01/2011 08/01/2009 1 5,030
- ----------------------------------------------------------------------------------------------------------------------
45,000 CA Loan Purchasing Finance Authority 4 5.600 10/01/2014 10/01/2005 1 45,215
24 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 30,000 CA Maritime Infrastructure Authority
(San Diego Unified Port District
Airport-Lindbergh Field) 5.000% 11/01/2020 11/01/2007 1 $ 30,422
- ----------------------------------------------------------------------------------------------------------------------
35,000 CA Maritime Infrastructure Authority
(San Diego Unified Port District
Airport-Lindbergh Field) 5.250 11/01/2015 11/01/2005 1 35,842
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Maritime Infrastructure Authority
(Santa Cruz Port District) 5.750 05/01/2024 05/01/2014 1 10,119
- ----------------------------------------------------------------------------------------------------------------------
535,000 CA Pollution Control Financing Authority
(General Motors Corp.) 5.500 04/01/2008 04/01/2008 535,696
- ----------------------------------------------------------------------------------------------------------------------
30,000 CA Pollution Control Financing Authority
(Sacramento Biosolids Facility) 4 5.300 12/01/2017 12/01/2012 1 31,607
- ----------------------------------------------------------------------------------------------------------------------
130,000 CA Pollution Control Financing Authority
(San Diego Gas & Electric Company) 4 5.850 06/01/2021 12/01/2005 1 130,296
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Pollution Control Financing Authority
(Southern California Edison Company) 4 5.550 09/01/2031 09/01/2011 1 21,465
- ----------------------------------------------------------------------------------------------------------------------
375,000 CA Pollution Control Financing Authority
(Southern California Edison Company) 4 6.000 07/01/2027 01/01/2006 1 376,163
- ----------------------------------------------------------------------------------------------------------------------
700,000 CA Pollution Control Financing Authority
(Southern California Edison Company) 4 6.400 12/01/2024 12/01/2005 1 702,688
- ----------------------------------------------------------------------------------------------------------------------
550,000 CA Pollution Control Financing Authority
(Southern California Edison Company) 4 6.400 12/01/2024 12/01/2005 1 558,250
- ----------------------------------------------------------------------------------------------------------------------
225,000 CA Pollution Control Financing Authority
(Southern California Edison Company) 4 6.400 12/01/2024 12/01/2005 1 230,090
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Pollution Control Financing Authority
(Southern California Edison Company) 4 6.900 12/01/2017 12/01/2005 1 10,142
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Pollution Control Financing Authority
(Southern California Water Company) 4 5.500 12/01/2026 12/01/2005 1 20,138
- ----------------------------------------------------------------------------------------------------------------------
380,000 CA Public Works (Department of Corrections) 5.250 01/01/2021 01/01/2006 1 383,576
- ----------------------------------------------------------------------------------------------------------------------
1,015,000 CA Public Works (Department of Corrections) 5.500 01/01/2017 01/01/2006 1 1,046,475
- ----------------------------------------------------------------------------------------------------------------------
35,000 CA Public Works (Department of Corrections) 4 5.500 06/01/2019 06/01/2006 1 35,428
- ----------------------------------------------------------------------------------------------------------------------
200,000 CA Public Works (Department of Corrections) 4 5.500 06/01/2019 12/01/2005 1 202,448
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA Public Works
(Department of Corrections-State Prison) 4 5.500 06/01/2019 06/01/2006 1 15,168
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA Public Works
(Department of Food & Agriculture) 4 5.400 06/01/2013 12/01/2005 1 50,100
- ----------------------------------------------------------------------------------------------------------------------
345,000 CA Public Works
(Department of Justice Building) 4 5.625 05/01/2020 11/01/2005 1 349,233
- ----------------------------------------------------------------------------------------------------------------------
70,000 CA Public Works (State Universities) 5.000 06/01/2023 06/01/2006 1 70,036
- ----------------------------------------------------------------------------------------------------------------------
85,000 CA Public Works (State Universities) 5.375 10/01/2017 10/01/2006 1 89,077
25 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 120,000 CA Public Works (State Universities) 4 5.500% 12/01/2018 12/01/2005 1 $ 120,632
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA Public Works (State Universities) 4 5.500 06/01/2021 12/01/2005 1 25,032
- ----------------------------------------------------------------------------------------------------------------------
230,000 CA Public Works (State Universities) 5.500 06/01/2021 12/01/2005 1 230,492
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA Resource Efficiency Financing Authority 4 6.000 07/01/2017 01/01/2006 1 15,191
- ----------------------------------------------------------------------------------------------------------------------
100,000 CA Statewide CDA (Bouquet Canyon) 4 5.300 07/01/2018 07/01/2010 1 103,328
- ----------------------------------------------------------------------------------------------------------------------
95,000 CA Statewide CDA (CA Odd Fellow Hsg.) 4 5.375 10/01/2013 10/01/2005 1 95,220
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA Statewide CDA (CA Odd Fellow Hsg.) 4 5.500 10/01/2023 10/01/2005 1 25,048
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA Statewide CDA (Cedars-Sinai Medical Center) 5.250 11/01/2017 11/01/2005 1 50,108
- ----------------------------------------------------------------------------------------------------------------------
400,000 CA Statewide CDA (East Valley Tourist) 4 11.000 10/01/2020 03/01/2007 2 411,812
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA Statewide CDA (Eastfield Ming Quong) 5.625 06/01/2020 06/01/2006 1 52,050
- ----------------------------------------------------------------------------------------------------------------------
20,000 CA Statewide CDA (Escrow Term) 6.750 09/01/2037 09/01/2014 1 20,656
- ----------------------------------------------------------------------------------------------------------------------
400,000 CA Statewide CDA (Fairfield Apartments) 4 6.500 01/01/2016 10/10/2011 2 407,704
- ----------------------------------------------------------------------------------------------------------------------
250,000 CA Statewide CDA (Live Oak School) 4 6.750 10/01/2030 10/01/2011 1 267,128
- ----------------------------------------------------------------------------------------------------------------------
100,000 CA Statewide CDA (Quail Ridge Apartments) 5.375 07/01/2032 07/01/2014 1 102,560
- ----------------------------------------------------------------------------------------------------------------------
500,000 CA Statewide CDA (Rio Bravo) 4 6.300 12/01/2018 12/01/2005 1 510,205
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA Statewide CDA
(Sutter Health Obligated Group) 4 5.500 08/15/2022 08/15/2005 1 25,550
- ----------------------------------------------------------------------------------------------------------------------
335,000 CA Statewide CDA (Sycamore) 4 6.000 03/20/2038 03/20/2017 1 368,798
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA Statewide CDA (United Airlines) 4,6,7 5.700 10/01/2033 10/01/2033 32,589
- ----------------------------------------------------------------------------------------------------------------------
155,000 CA Statewide CDA COP
(Motion Picture & TV Fund) 4 5.375 01/01/2020 01/01/2006 1 156,474
- ----------------------------------------------------------------------------------------------------------------------
105,000 CA Statewide CDA COP
(Salk Institute for Biological Studies) 6.100 07/01/2014 07/01/2006 1 107,039
- ----------------------------------------------------------------------------------------------------------------------
180,000 CA Statewide CDA COP
(Salk Institute for Biological Studies) 4 6.200 07/01/2024 01/01/2006 1 182,315
- ----------------------------------------------------------------------------------------------------------------------
500,000 CA Statewide CDA COP INFLOS 4 9.100 8 10/01/2011 03/15/2010 3 593,990
- ----------------------------------------------------------------------------------------------------------------------
950,000 CA Statewide Financing Authority
Tobacco Settlement (TASC) 4 5.625 05/01/2029 04/04/2011 2 992,741
- ----------------------------------------------------------------------------------------------------------------------
635,000 CA Statewide Financing Authority
Tobacco Settlement (TASC) 5.625 05/01/2029 07/30/2010 2 663,569
- ----------------------------------------------------------------------------------------------------------------------
250,000 CA Statewide Financing Authority
Tobacco Settlement (TASC) 6.000 05/01/2037 05/01/2012 1 264,308
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Universities & Colleges 5.800 09/01/2007 09/01/2005 1 10,021
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA University & Colleges Student Union 5.400 03/01/2016 03/01/2006 1 51,729
- ----------------------------------------------------------------------------------------------------------------------
30,000 CA University & Colleges Student Union 5.400 03/01/2021 03/01/2006 1 31,010
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA University
(California State University Institute) 5.375 10/01/2027 10/01/2005 1 25,588
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA University (Northridge) 5.000 11/01/2022 11/01/2007 1 26,360
- ----------------------------------------------------------------------------------------------------------------------
45,000 CA Valley Health System COP 4 6.875 05/15/2023 11/15/2005 1 45,067
- ----------------------------------------------------------------------------------------------------------------------
425,000 CA Valley Health System, Series A 4 6.500 05/15/2025 05/15/2008 1 444,550
26 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 100,000 CA Veterans GO 4.700% 12/01/2012 12/01/2005 1 $ 100,044
- ----------------------------------------------------------------------------------------------------------------------
90,000 CA Veterans GO 5.125 12/01/2019 12/01/2005 1 90,039
- ----------------------------------------------------------------------------------------------------------------------
1,000,000 CA Veterans GO, Series B 4 5.450 12/01/2017 12/01/2005 1 1,022,020
- ----------------------------------------------------------------------------------------------------------------------
90,000 CA Veterans GO, Series BH 5.500 12/01/2024 12/01/2005 1 90,875
- ----------------------------------------------------------------------------------------------------------------------
135,000 CA Veterans GO, Series BH 4 5.600 12/01/2032 12/01/2005 1 136,169
- ----------------------------------------------------------------------------------------------------------------------
105,000 CA Veterans GO, Series BP 4 5.500 12/01/2026 12/01/2005 1 105,082
- ----------------------------------------------------------------------------------------------------------------------
10,000 CA Veterans GO, Series BT 4 5.100 12/01/2013 12/01/2006 1 10,175
- ----------------------------------------------------------------------------------------------------------------------
790,000 CA Veterans GO, Series BT 5.375 12/01/2016 12/01/2005 1 804,560
- ----------------------------------------------------------------------------------------------------------------------
140,000 CA Veterans GO, Series BX 4 5.500 12/01/2031 06/01/2007 1 142,822
- ----------------------------------------------------------------------------------------------------------------------
15,000 CA Veterans GO, Series BZ 5.350 12/01/2021 06/01/2008 1 15,323
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA Water Resource Devel. GO, Series N 4 5.500 06/01/2011 12/02/2005 1 50,114
- ----------------------------------------------------------------------------------------------------------------------
25,000 CA Water Resource Devel. GO, Series P 5.800 06/01/2014 12/01/2005 1 25,063
- ----------------------------------------------------------------------------------------------------------------------
50,000 CA Water Resource Devel. GO, Series Q 5.000 03/01/2016 09/02/2005 1 50,053
- ----------------------------------------------------------------------------------------------------------------------
10,000 Calabasas Special Tax 6.250 09/01/2018 09/01/2011 1 10,662
- ----------------------------------------------------------------------------------------------------------------------
45,000 Calabasas Special Tax 6.250 09/01/2031 09/01/2013 1 47,644
- ----------------------------------------------------------------------------------------------------------------------
730,000 Calaveras County Special Tax Community
Facilities District No. 2 7.000 09/01/2026 09/01/2011 1 809,475
- ----------------------------------------------------------------------------------------------------------------------
50,000 Calleguas-Las Virgines Public Financing
Authority Municipal Water District 5.000 11/01/2023 07/30/2010 2 52,701
- ----------------------------------------------------------------------------------------------------------------------
30,000 Camarillo Hsg. (Park Glenn Apartments) 5.400 03/01/2028 03/01/2008 1 30,490
- ----------------------------------------------------------------------------------------------------------------------
60,000 Camrosa Water District 5.500 01/15/2011 01/15/2011 61,340
- ----------------------------------------------------------------------------------------------------------------------
130,000 Carlsbad Hsg. & Redevel. Commission
Tax Allocation 5.250 09/01/2019 09/01/2005 1 130,265
- ----------------------------------------------------------------------------------------------------------------------
110,000 Carson Improvement Bond Act 7.375 09/02/2022 09/02/2005 1 118,525
- ----------------------------------------------------------------------------------------------------------------------
85,000 Castaic Union School District 4 8.500 10/01/2013 10/01/2005 1 85,315
- ----------------------------------------------------------------------------------------------------------------------
5,000 Central CA Joint Powers Health Financing
Authority COP (FCH/CCH/SCH/CALC/SMCH
Obligated Group) 4 5.500 02/01/2015 08/01/2005 1 5,004
- ----------------------------------------------------------------------------------------------------------------------
25,000 Central Valley Financing Authority
Cogeneration Project (Carson Ice) 4 5.200 07/01/2020 01/01/2006 1 25,046
- ----------------------------------------------------------------------------------------------------------------------
60,000 Chico (Walker Senior Hsg. Corp.) 4 5.700 11/01/2023 11/01/2005 1 60,208
- ----------------------------------------------------------------------------------------------------------------------
40,000 Chino Hills Improvement Bond Act 1915 7.500 09/02/2016 09/02/2005 1 41,293
- ----------------------------------------------------------------------------------------------------------------------
45,000 Chula Vista Improvement Bond Act 1915 6.150 09/02/2029 09/02/2005 1 46,484
- ----------------------------------------------------------------------------------------------------------------------
500,000 Chula Vista Redevel. Agency (Bayfront) 4 8.250 05/01/2024 11/01/2005 1 532,250
- ----------------------------------------------------------------------------------------------------------------------
60,000 Chula Vista Special Tax 7.625 09/01/2029 09/01/2009 1 70,823
- ----------------------------------------------------------------------------------------------------------------------
15,000 Clayton Redevel. Agency 4 5.500 08/01/2024 08/01/2005 1 15,186
- ----------------------------------------------------------------------------------------------------------------------
570,000 Coalinga Regional Medical Center COP 4 5.000 09/01/2014 09/01/2008 3 567,834
- ----------------------------------------------------------------------------------------------------------------------
100,000 Colton Joint Unified School District 5.700 09/01/2034 09/01/2013 1 101,517
- ----------------------------------------------------------------------------------------------------------------------
30,000 Colton Public Financing Authority 5.300 08/01/2027 08/01/2008 1 32,071
- ----------------------------------------------------------------------------------------------------------------------
500,000 Compton Community Redevel. Agency
Tax Allocation 6.500 08/01/2013 08/01/2006 1 511,595
27 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 95,000 Contra Costa County Multifamily Hsg.
(Crescent Park Apartments) 4 7.800% 12/20/2014 12/20/2005 1 $ 99,010
- ----------------------------------------------------------------------------------------------------------------------
15,000 Contra Costa Water District 5.000 10/01/2022 10/01/2007 1 15,535
- ----------------------------------------------------------------------------------------------------------------------
30,000 Crescent City Public Financing Authority 7.750 09/15/2012 09/15/2005 1 30,076
- ----------------------------------------------------------------------------------------------------------------------
20,000 Culver City Unified School District GO 4 5.700 08/01/2025 08/01/2007 1 21,128
- ----------------------------------------------------------------------------------------------------------------------
25,000 Davis Joint Unified School District 6.100 08/15/2023 08/15/2005 1 25,209
- ----------------------------------------------------------------------------------------------------------------------
235,000 Duarte COP (Hope National Medical Center) 5.250 04/01/2024 04/01/2009 1 241,439
- ----------------------------------------------------------------------------------------------------------------------
15,000 Duarte Hsg. (Heritage Park Apartments) 5.850 05/01/2030 11/01/2007 1 15,620
- ----------------------------------------------------------------------------------------------------------------------
25,000 East Bay Municipal Utility District 5.000 06/01/2013 06/01/2006 1 25,949
- ----------------------------------------------------------------------------------------------------------------------
10,000 East Bay Municipal Utility District 5.000 06/01/2026 06/01/2006 1 10,331
- ----------------------------------------------------------------------------------------------------------------------
125,000 Eastern CA Municipal Water District 4 5.875 09/01/2034 09/01/2005 1 127,528
- ----------------------------------------------------------------------------------------------------------------------
10,000 El Cajon Redevel. Agency (El Cajon Redevel.) 5.350 10/01/2022 10/01/2005 1 10,239
- ----------------------------------------------------------------------------------------------------------------------
15,000 El Centro Redevel. Agency 4 5.500 11/01/2026 11/01/2008 1 15,692
- ----------------------------------------------------------------------------------------------------------------------
50,000 El Monte Public Financing Authority 5.750 06/01/2028 06/01/2010 1 51,213
- ----------------------------------------------------------------------------------------------------------------------
25,000 El Monte Public Financing Authority
(El Monte Community Redevel.) 5.750 06/01/2028 06/01/2010 1 25,607
- ----------------------------------------------------------------------------------------------------------------------
10,000 Elk Grove Special Tax (East Franklin Community) 5.850 08/01/2036 08/01/2009 1 10,220
- ----------------------------------------------------------------------------------------------------------------------
75,000 Elk Grove Special Tax (East Franklin Community) 6.000 08/01/2033 08/01/2007 1 79,676
- ----------------------------------------------------------------------------------------------------------------------
25,000 Emeryville Public Financing Authority 6.100 09/01/2012 09/01/2005 1 25,557
- ----------------------------------------------------------------------------------------------------------------------
145,000 Emeryville Public Financing Authority 4 6.200 09/01/2025 09/01/2006 1 148,289
- ----------------------------------------------------------------------------------------------------------------------
1,000,000 Escondido Joint Powers Financing
Authority (California Center for the Arts) 6.000 09/01/2018 09/01/2005 1 1,025,710
- ----------------------------------------------------------------------------------------------------------------------
50,000 Etiwanda School District Facilities
District No. 7 Special Tax 4 5.900 09/01/2031 09/01/2011 1 52,003
- ----------------------------------------------------------------------------------------------------------------------
20,000 Folsom Special Tax Community Facilities
District No. 7 4 6.000 09/01/2024 09/01/2011 1 21,345
- ----------------------------------------------------------------------------------------------------------------------
25,000 Foster City Community Devel. Agency
(Metro Center Senior Homes) 6.750 09/01/2020 09/01/2005 1 25,576
- ----------------------------------------------------------------------------------------------------------------------
25,000 Fullerton Community Facilities
District No. 1 Special Tax (Amerige Heights) 4 6.200 09/01/2032 09/01/2012 1 25,998
- ----------------------------------------------------------------------------------------------------------------------
80,000 Fullerton School District Special Tax 6.300 09/01/2023 09/01/2013 1 86,974
- ----------------------------------------------------------------------------------------------------------------------
30,000 Garden Grove COP
(Bahia Village/Emerald Isle) 4 5.700 08/01/2023 08/01/2005 1 30,005
- ----------------------------------------------------------------------------------------------------------------------
880,000 Hawthorne Community Redevel.
Agency Special Tax 4 6.750 10/01/2025 10/01/2005 1 935,660
- ----------------------------------------------------------------------------------------------------------------------
45,000 Hayward Improvement Bond Act 1915 7.100 09/02/2018 09/02/2005 1 45,987
- ----------------------------------------------------------------------------------------------------------------------
5,000 Horicon Elementary School District 6.100 08/01/2021 08/01/2007 1 5,203
- ----------------------------------------------------------------------------------------------------------------------
10,000 Indian Wells Redevel. Agency Tax Allocation 5.375 12/01/2022 12/01/2005 1 10,275
- ----------------------------------------------------------------------------------------------------------------------
150,000 Irvine GO 5.550 09/02/2026 09/02/2013 1 154,373
28 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 20,000 Irvine Improvement Bond Act 1915 5.600% 09/02/2022 09/02/2014 1 $ 20,420
- ----------------------------------------------------------------------------------------------------------------------
15,000 Irvine Improvement Bond Act 1915 5.625 09/02/2024 09/02/2013 1 15,145
- ----------------------------------------------------------------------------------------------------------------------
50,000 Kern County (Fire Department) COP 5.250 05/01/2015 05/01/2007 1 52,375
- ----------------------------------------------------------------------------------------------------------------------
30,000 La Habra Redevel. Agency 5.300 09/01/2007 09/02/2005 1 30,039
- ----------------------------------------------------------------------------------------------------------------------
30,000 La Habra Redevel. Agency Community
Facilities District 6.000 09/01/2014 09/02/2005 1 30,038
- ----------------------------------------------------------------------------------------------------------------------
15,000 La Quinta Redevel. Agency Tax Allocation 5.200 09/01/2028 09/01/2007 1 15,808
- ----------------------------------------------------------------------------------------------------------------------
530,000 Lake Elsinore Public Financing Authority,
Series F 4 7.100 09/01/2020 09/01/2007 1 572,156
- ----------------------------------------------------------------------------------------------------------------------
25,000 Lake Elsinore Redevel. Agency 6.050 10/01/2024 10/01/2011 1 26,284
- ----------------------------------------------------------------------------------------------------------------------
90,000 Lake Elsinore Unified School District 6.000 09/01/2034 09/01/2005 1 91,809
- ----------------------------------------------------------------------------------------------------------------------
15,000 Lakeside Union Elementary School District 4 6.750 09/01/2026 09/01/2005 1 15,180
- ----------------------------------------------------------------------------------------------------------------------
35,000 Lancaster Community Facilities District
Special Tax 6.000 10/01/2016 10/01/2008 1 36,661
- ----------------------------------------------------------------------------------------------------------------------
20,000 Lancaster Redevel. Agency
(Desert Sands Mobile Home Park) 6.375 11/01/2027 11/01/2009 1 20,339
- ----------------------------------------------------------------------------------------------------------------------
250,000 Lathrop Financing Authority (Water Supply) 6.000 06/01/2035 06/01/2013 1 262,968
- ----------------------------------------------------------------------------------------------------------------------
25,000 Lathrop Improvement Bond (Mossdale Village) 6.125 09/02/2028 09/02/2005 1 25,755
- ----------------------------------------------------------------------------------------------------------------------
10,000 Lincoln IBA Public Financing Authority
(Twelve Bridges) 6.200 09/02/2025 09/02/2009 1 10,583
- ----------------------------------------------------------------------------------------------------------------------
250,000 Lincoln Special Tax 5.900 09/01/2024 09/01/2015 1 266,115
- ----------------------------------------------------------------------------------------------------------------------
20,000 Livermore Community Facilities District
Special Tax 6.400 09/01/2026 09/01/2010 1 21,039
- ----------------------------------------------------------------------------------------------------------------------
10,000 Loma Linda Collateralized Loan (Redlands) 4 7.375 06/01/2009 12/01/2005 1 10,120
- ----------------------------------------------------------------------------------------------------------------------
185,000 Loma Linda Hospital
(Loma Linda University Medical Center) 4 5.375 12/01/2022 12/01/2005 1 188,929
- ----------------------------------------------------------------------------------------------------------------------
10,000 Loma Linda Hospital
(Loma Linda University Medical Center) 6.000 12/01/2023 12/01/2005 1 10,019
- ----------------------------------------------------------------------------------------------------------------------
50,000 Long Beach Airport COP 4 5.000 06/01/2016 12/01/2005 1 50,084
- ----------------------------------------------------------------------------------------------------------------------
25,000 Long Beach Special Tax Community
Facilities District No. 6 4 6.250 10/01/2026 10/01/2012 1 25,984
- ----------------------------------------------------------------------------------------------------------------------
25,000 Long Beach Unified School District 5.250 08/01/2029 08/01/2007 1 26,383
- ----------------------------------------------------------------------------------------------------------------------
150,000 Los Angeles Community Facilities District
Special Tax (Cascade Business Park) 4 6.400 09/01/2022 09/01/2007 1 157,539
- ----------------------------------------------------------------------------------------------------------------------
95,000 Los Angeles County COP 4 5.800 12/01/2023 12/01/2005 1 95,479
- ----------------------------------------------------------------------------------------------------------------------
10,000 Los Angeles County MTA 5.000 07/01/2023 07/01/2009 1 10,564
- ----------------------------------------------------------------------------------------------------------------------
40,000 Los Angeles County Public Works
Financing Authority, Series B 5.250 09/01/2014 09/01/2006 1 41,848
- ----------------------------------------------------------------------------------------------------------------------
140,000 Los Angeles Department of Airports
(Los Angeles International Airport) 4 5.500 05/15/2009 11/15/2005 1 141,688
29 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 100,000 Los Angeles Department of Airports
(Ontario International Airport) 5.900% 05/15/2011 05/15/2006 1 $ 103,191
- ----------------------------------------------------------------------------------------------------------------------
85,000 Los Angeles Department of Airports
(Ontario International Airport) 4 6.000 05/15/2026 05/15/2006 1 87,689
- ----------------------------------------------------------------------------------------------------------------------
15,000 Los Angeles Department of Water & Power 4.750 08/15/2017 08/15/2005 1 15,022
- ----------------------------------------------------------------------------------------------------------------------
30,000 Los Angeles Department of Water & Power 4 5.000 10/15/2011 10/15/2005 1 30,132
- ----------------------------------------------------------------------------------------------------------------------
10,000 Los Angeles Harbor Department, Series B 5.375 11/01/2023 11/01/2006 1 10,318
- ----------------------------------------------------------------------------------------------------------------------
1,000,000 Los Angeles Harbor Department, Series B 4 6.000 08/01/2014 08/01/2006 1 1,038,540
- ----------------------------------------------------------------------------------------------------------------------
50,000 Los Angeles Harbor Department, Series B 6.000 08/01/2015 08/01/2006 1 51,921
- ----------------------------------------------------------------------------------------------------------------------
150,000 Los Angeles Harbor Department, Series B 4 5.375 11/01/2015 11/01/2006 1 154,943
- ----------------------------------------------------------------------------------------------------------------------
10,000 Los Angeles Mtg. (Section 8) 4 5.350 07/01/2022 01/01/2006 1 10,007
- ----------------------------------------------------------------------------------------------------------------------
100,000 Los Angeles Regional Airports
Improvement Corp. (Laxfuel Corp.) 4 5.250 01/01/2023 01/01/2012 1 103,603
- ----------------------------------------------------------------------------------------------------------------------
145,000 Los Angeles Regional Airports
Improvement Corp. (Laxfuel Corp.) 4 6.375 01/01/2024 01/01/2006 1 146,850
- ----------------------------------------------------------------------------------------------------------------------
95,000 Los Angeles Single Family Mtg.
(Government National Mortgage Assn.-
GNMA & FNMA Mtg. Backed), Series A 4 6.875 06/01/2025 12/01/2005 1 95,043
- ----------------------------------------------------------------------------------------------------------------------
50,000 Los Angeles USD GO 5.000 07/01/2023 07/01/2008 1 53,475
- ----------------------------------------------------------------------------------------------------------------------
45,000 Los Angeles Wastewater System 4 4.700 11/01/2017 11/01/2005 1 45,077
- ----------------------------------------------------------------------------------------------------------------------
35,000 M-S-R Public Power Agency (San Juan) 4 6.000 07/01/2022 01/01/2006 1 35,459
- ----------------------------------------------------------------------------------------------------------------------
40,000 Madera County COP
(Valley Children's Hospital) 4 5.750 03/15/2028 09/15/2005 1 40,925
- ----------------------------------------------------------------------------------------------------------------------
100,000 Merced Irrigation District 5.350 09/01/2009 09/01/2005 1 102,141
- ----------------------------------------------------------------------------------------------------------------------
50,000 Merced Irrigation District 4 6.200 09/01/2016 09/01/2005 1 51,078
- ----------------------------------------------------------------------------------------------------------------------
75,000 Mill Valley COP (The Redwoods) 5.750 12/01/2020 12/01/2006 1 79,202
- ----------------------------------------------------------------------------------------------------------------------
10,000 Milpitas Improvement Bond Act 1915 5.700 09/02/2018 09/02/2005 1 10,311
- ----------------------------------------------------------------------------------------------------------------------
440,000 Modesto Irrigation District COP 4 5.300 07/01/2022 01/01/2006 1 440,827
- ----------------------------------------------------------------------------------------------------------------------
10,000 Montclair Redevel. Agency
(Augusta Homes Villa Del Arroyo) 4 6.100 11/15/2037 11/15/2014 1 10,465
- ----------------------------------------------------------------------------------------------------------------------
25,000 Montclair Redevel. Agency Mobile Home
Park (Hacienda Mobile Home Park) 6.000 11/15/2029 11/15/2014 1 26,111
- ----------------------------------------------------------------------------------------------------------------------
115,000 Montclair Redevel. Agency Tax Allocation
(Redevel. Project Area III) 4 5.500 12/01/2027 12/01/2006 1 120,491
- ----------------------------------------------------------------------------------------------------------------------
10,000 Montebello Community Redevel. Agency
(South Montebello) 5.500 09/01/2022 09/01/2011 1 10,204
- ----------------------------------------------------------------------------------------------------------------------
10,000 Monterey County COP (Sheriffs Facility) 5.000 12/01/2014 12/01/2005 1 10,070
- ----------------------------------------------------------------------------------------------------------------------
10,000 Monterey Joint Powers Financing Authority
(Materials Recovery Facilities) 4 5.500 03/01/2010 09/01/2005 1 10,141
- ----------------------------------------------------------------------------------------------------------------------
45,000 Monterey Joint Powers Financing Authority
(Materials Recovery Facilities) 4 5.600 03/01/2012 09/01/2005 1 45,849
- ----------------------------------------------------------------------------------------------------------------------
50,000 Monterey Joint Powers Financing Authority
(Materials Recovery Facilities) 4 5.600 03/01/2013 09/01/2005 1 51,064
30 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 65,000 Monterey Joint Powers Financing
Authority (Materials Recovery Facilities) 5.700% 03/01/2015 09/01/2005 1 $ 66,702
- ----------------------------------------------------------------------------------------------------------------------
20,000 Monterey Joint Powers Financing
Authority (Materials Recovery Facilities) 4 5.700 03/01/2016 09/01/2005 1 20,573
- ----------------------------------------------------------------------------------------------------------------------
10,000 Moorpark Mobile Home (Villa Del Arroyo) 7.050 05/15/2035 08/17/2029 3 9,999
- ----------------------------------------------------------------------------------------------------------------------
55,000 Moreno Valley Special Tax
(Towngate Community Facilities) 4 6.125 12/01/2021 12/01/2005 1 55,626
- ----------------------------------------------------------------------------------------------------------------------
50,000 Morgan Hill Improvement Bond Act 1915 5.600 09/02/2018 09/02/2005 1 50,322
- ----------------------------------------------------------------------------------------------------------------------
100,000 Morgan Hill Improvement Bond Act 1915 4 6.100 09/02/2010 09/02/2005 1 102,287
- ----------------------------------------------------------------------------------------------------------------------
25,000 Morgan Hill Redevel. Agency
(LaCrosse Village) 4 6.450 12/01/2027 12/01/2005 1 25,874
- ----------------------------------------------------------------------------------------------------------------------
25,000 Murieta Valley Unified School District 6.300 09/01/2024 03/01/2012 1 27,366
- ----------------------------------------------------------------------------------------------------------------------
10,000 Murrieta Community Facilities District
(Bluestone) 6.300 09/01/2031 09/01/2013 1 10,589
- ----------------------------------------------------------------------------------------------------------------------
50,000 Murrieta Improvement Bond Act 1915 6.375 09/01/2031 09/01/2011 1 53,378
- ----------------------------------------------------------------------------------------------------------------------
25,000 Murrieta Improvement Bond Act 1915 6.500 09/02/2030 09/02/2005 1 25,767
- ----------------------------------------------------------------------------------------------------------------------
10,000 Needles Public Utility Authority 6.650 02/01/2032 02/01/2009 1 10,242
- ----------------------------------------------------------------------------------------------------------------------
250,000 Norco Special Tax 7.000 09/01/2033 09/01/2012 1 280,570
- ----------------------------------------------------------------------------------------------------------------------
75,000 Northern CA Power Agency (Hydroelectric) 5.125 07/01/2023 07/01/2008 1 79,033
- ----------------------------------------------------------------------------------------------------------------------
15,000 Northern CA Tobacco Securitization
Authority (TASC), Series A 5.250 06/01/2031 04/26/2010 2 15,225
- ----------------------------------------------------------------------------------------------------------------------
120,000 Northern CA Tobacco Securitization
Authority (TASC), Series B 5.000 06/01/2028 04/26/2010 2 121,598
- ----------------------------------------------------------------------------------------------------------------------
195,000 Norwalk Community Facilities Financing
Authority, Series B 4 7.400 09/15/2025 09/15/2005 1 199,604
- ----------------------------------------------------------------------------------------------------------------------
35,000 Novato GO 5.000 08/01/2012 08/01/2005 1 35,889
- ----------------------------------------------------------------------------------------------------------------------
250,000 Oakland Unified School District 4 5.000 08/01/2013 08/01/2005 1 252,980
- ----------------------------------------------------------------------------------------------------------------------
50,000 Olivenhain Municipal Water District
Bond Act 1915 4 5.450 09/02/2027 09/02/2009 1 51,597
- ----------------------------------------------------------------------------------------------------------------------
50,000 Olivenhain Municipal Water District COP 5.125 06/01/2028 06/01/2006 1 51,223
- ----------------------------------------------------------------------------------------------------------------------
25,000 Orange County Community Facilities
District (Ladera Ranch) 5.550 08/15/2033 08/15/2012 1 25,755
- ----------------------------------------------------------------------------------------------------------------------
25,000 Orange County Recovery COP 4 5.875 07/01/2019 07/01/2006 1 26,167
- ----------------------------------------------------------------------------------------------------------------------
250,000 Orange County Recovery COP 4 6.000 07/01/2026 07/01/2006 1 261,513
- ----------------------------------------------------------------------------------------------------------------------
1,415,000 Oxnard Harbor District 5.550 08/01/2013 08/01/2007 1 1,485,524
- ----------------------------------------------------------------------------------------------------------------------
40,000 Oxnard School District COP 5.550 08/01/2021 08/01/2005 1 40,818
- ----------------------------------------------------------------------------------------------------------------------
40,000 Palm Desert Financing Authority Various
Assessment & Community Facilities Districts 6.000 10/01/2020 10/01/2009 1 41,221
- ----------------------------------------------------------------------------------------------------------------------
40,000 Palm Springs Unified School District GO 4 5.300 02/01/2017 08/01/2005 1 40,882
- ----------------------------------------------------------------------------------------------------------------------
100,000 Palo Alto Improvement Bond Act 1915
(University Ave. Area) 5.100 09/02/2024 09/02/2005 1 102,143
- ----------------------------------------------------------------------------------------------------------------------
100,000 Palo Alto Improvement Bond Act 1915
(University Ave. Area) 5.125 09/02/2025 09/02/2005 1 102,160
31 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 15,000 Paramount Multifamily Hsg.
(Prince Twin Towers Property) 4 5.700% 02/20/2033 08/20/2009 1 $ 15,419
- ----------------------------------------------------------------------------------------------------------------------
25,000 Perris Community Facilities District
Special Tax 6.375 09/01/2032 09/01/2013 1 26,833
- ----------------------------------------------------------------------------------------------------------------------
170,000 Perris Public Financing Authority 7.875 09/01/2025 09/01/2005 1 174,112
- ----------------------------------------------------------------------------------------------------------------------
125,000 Pittsburg Infrastructure Financing
Authority, Series B 4 6.000 09/02/2024 09/02/2010 1 128,753
- ----------------------------------------------------------------------------------------------------------------------
10,000 Placentia Public Financing Authority 5.450 09/01/2015 09/01/2006 1 10,468
- ----------------------------------------------------------------------------------------------------------------------
10,000 Pleasant Hill Special Tax Downtown
Community Facilities District No. 1 5.875 09/01/2025 09/01/2012 1 10,291
- ----------------------------------------------------------------------------------------------------------------------
10,000 Poway Unified School District 6.100 09/01/2031 09/01/2008 1 10,257
- ----------------------------------------------------------------------------------------------------------------------
25,000 R.E. Badger Water Facilities Financing
Authority 4 5.750 10/01/2024 10/01/2007 1 26,591
- ----------------------------------------------------------------------------------------------------------------------
45,000 Rancho Mirage Redevel. Agency
Tax Allocation 5.200 04/01/2014 04/01/2006 1 45,545
- ----------------------------------------------------------------------------------------------------------------------
75,000 Rancho Mirage Redevel. Agency
Tax Allocation (Whitewater Redevel.) 4 5.000 04/01/2024 10/01/2005 1 75,867
- ----------------------------------------------------------------------------------------------------------------------
10,000 Rancho Santa Fe Community Services
District Special Tax 6.600 09/01/2020 09/01/2010 1 10,610
- ----------------------------------------------------------------------------------------------------------------------
100,000 Redwood City Special Tax 5.750 09/01/2027 09/01/2011 1 103,123
- ----------------------------------------------------------------------------------------------------------------------
50,000 Reedley COP (Sierra View Homes) 4 5.850 03/01/2021 03/01/2006 1 51,843
- ----------------------------------------------------------------------------------------------------------------------
500,000 Richmond Improvement Bond Act 1915 4 7.000 09/02/2017 09/02/2008 1 536,365
- ----------------------------------------------------------------------------------------------------------------------
10,000 River Highlands Community Services District 8.125 09/02/2020 03/02/2007 1 10,017
- ----------------------------------------------------------------------------------------------------------------------
80,000 River Islands Public Financing Authority 6.000 09/01/2027 09/01/2010 1 80,884
- ----------------------------------------------------------------------------------------------------------------------
25,000 River Islands Public Financing Authority 6.150 09/01/2035 09/01/2010 1 25,142
- ----------------------------------------------------------------------------------------------------------------------
505,000 Riverside County Public Financing
Authority COP 4 5.750 05/15/2019 05/15/2009 1 527,801
- ----------------------------------------------------------------------------------------------------------------------
590,000 Riverside County Public Financing
Authority Improvement Bond Act
of 1915 (Rancho Village) 6.250 09/02/2013 08/12/2010 2 626,031
- ----------------------------------------------------------------------------------------------------------------------
10,000 Riverside Unified School District 5.000 02/01/2027 02/01/2012 1 10,507
- ----------------------------------------------------------------------------------------------------------------------
90,000 Riverside Unified School District 5.450 09/01/2025 09/01/2014 1 92,713
- ----------------------------------------------------------------------------------------------------------------------
100,000 Rocklin Unified School District 5.750 09/01/2018 09/01/2006 1 104,993
- ----------------------------------------------------------------------------------------------------------------------
10,000 Rosemead Redevel. Agency 4 5.500 10/01/2018 10/01/2005 1 10,017
- ----------------------------------------------------------------------------------------------------------------------
175,000 Rosemead Redevel. Agency 4 5.600 10/01/2033 10/01/2005 1 175,275
- ----------------------------------------------------------------------------------------------------------------------
10,000 Roseville Special Tax 6.000 09/01/2031 09/01/2011 1 10,539
- ----------------------------------------------------------------------------------------------------------------------
750,000 Roseville Woodcreek West Community Facility 4 6.700 09/01/2025 09/01/2011 1 856,500
- ----------------------------------------------------------------------------------------------------------------------
10,000 Sacramento Cogeneration Authority 5.200 07/01/2021 01/01/2006 1 10,018
- ----------------------------------------------------------------------------------------------------------------------
40,000 Sacramento County Airport System 4 5.750 07/01/2024 01/01/2006 1 40,097
- ----------------------------------------------------------------------------------------------------------------------
50,000 Sacramento County Airport System, Series A 4 5.900 07/01/2024 07/01/2006 1 52,194
32 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 5,000 Sacramento County Airport System,
Series B 5.750% 07/01/2024 07/01/2006 1 $ 5,046
- ----------------------------------------------------------------------------------------------------------------------
250,000 Sacramento County Sanitation District,
Series A 4 5.875 12/01/2027 12/01/2005 1 254,983
- ----------------------------------------------------------------------------------------------------------------------
15,000 Sacramento Improvement Bond Act 1915 6.350 09/02/2011 09/02/2005 1 15,477
- ----------------------------------------------------------------------------------------------------------------------
60,000 Sacramento Improvement Bond Act 1915
(Willowcreek II) 4 6.700 09/02/2022 09/02/2005 1 61,892
- ----------------------------------------------------------------------------------------------------------------------
15,000 Sacramento Municipal Utility District 5.125 07/01/2022 07/01/2007 1 15,812
- ----------------------------------------------------------------------------------------------------------------------
250,000 Sacramento Power Authority (Cogeneration) 4 6.000 07/01/2022 07/01/2006 1 262,538
- ----------------------------------------------------------------------------------------------------------------------
10,000 Sacramento Special Tax
(Community Facilities District No. 97-1) 5.700 12/01/2020 12/01/2009 1 10,240
- ----------------------------------------------------------------------------------------------------------------------
405,000 Sacramento Special Tax
(Community Facilities District No. 97-1) 4 6.750 09/01/2027 09/01/2005 1 414,214
- ----------------------------------------------------------------------------------------------------------------------
80,000 Saddleback Community College District 5.500 06/01/2021 06/01/2006 1 83,191
- ----------------------------------------------------------------------------------------------------------------------
50,000 Salinas Improvement Bond Act 5.450 09/02/2013 09/02/2005 1 51,573
- ----------------------------------------------------------------------------------------------------------------------
85,000 Salinas Redevel. Agency Tax Allocation
(Central City Revitalization) 4 5.500 11/01/2023 11/01/2008 1 89,146
- ----------------------------------------------------------------------------------------------------------------------
50,000 San Bernardino County COP
(Medical Center Financing) 5.500 08/01/2019 08/01/2005 1 50,547
- ----------------------------------------------------------------------------------------------------------------------
280,000 San Bernardino County COP (Medical Center) 4 5.500 08/01/2024 08/01/2006 1 282,954
- ----------------------------------------------------------------------------------------------------------------------
75,000 San Bernardino Joint Powers Financing
Authority (California Department of
Transportation Lease) 4 5.500 12/01/2020 12/01/2007 1 76,798
- ----------------------------------------------------------------------------------------------------------------------
25,000 San Bernardino Joint Powers Financing
Authority (Department of Transportation) 4 5.500 12/01/2020 12/01/2005 1 25,708
- ----------------------------------------------------------------------------------------------------------------------
150,000 San Bernardino Joint Powers Financing
Authority (Tax Allocation) 4,9 6.625 04/01/2026 04/01/2012 1 164,064
- ----------------------------------------------------------------------------------------------------------------------
40,000 San Buenaventura Public Facilities
Financing Authority 4 5.750 06/01/2014 12/01/2005 1 41,209
- ----------------------------------------------------------------------------------------------------------------------
25,000 San Clemente Improvement Bond 6.050 09/02/2028 09/02/2005 1 25,800
- ----------------------------------------------------------------------------------------------------------------------
20,000 San Diego County Hsg.
(Orange Glen Apartments) 4 6.150 08/01/2020 08/01/2005 1 20,423
- ----------------------------------------------------------------------------------------------------------------------
225,000 San Diego Industrial Devel.
(San Diego Gas & Electric Company) 4 5.900 06/01/2018 12/01/2005 1 227,399
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Diego Industrial Devel.
(San Diego Gas & Electric Company) 4 5.900 09/01/2018 09/01/2005 1 15,032
- ----------------------------------------------------------------------------------------------------------------------
200,000 San Diego Industrial Devel.
(San Diego Gas & Electric Company) 5.900 09/01/2018 09/01/2005 1 200,478
- ----------------------------------------------------------------------------------------------------------------------
50,000 San Diego Mtg. (Mariners Cove) 5.800 09/01/2015 09/01/2005 1 50,870
- ----------------------------------------------------------------------------------------------------------------------
30,000 San Diego Open Space Park Facilities
District No. 1 5.750 01/01/2007 01/01/2006 1 30,078
33 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 65,000 San Diego Public Facilities Financing Authority 5.000% 05/15/2015 05/15/2006 1 $ 66,407
- ----------------------------------------------------------------------------------------------------------------------
225,000 San Diego Public Facilities Financing Authority 5.000 05/15/2020 11/15/2005 1 227,617
- ----------------------------------------------------------------------------------------------------------------------
200,000 San Diego Public Facilities Financing
Authority 4 5.000 05/15/2025 05/15/2007 1 202,272
- ----------------------------------------------------------------------------------------------------------------------
70,000 San Diego Public Facilities Financing
Authority 4 5.250 05/15/2020 11/15/2005 1 70,307
- ----------------------------------------------------------------------------------------------------------------------
40,000 San Diego Sewer 4 5.000 05/15/2023 11/15/2005 1 40,066
- ----------------------------------------------------------------------------------------------------------------------
310,000 San Diego Sewer, Series A 4 5.250 05/15/2020 11/15/2005 1 312,629
- ----------------------------------------------------------------------------------------------------------------------
50,000 San Francisco Bay Area Rapid Transit District 4 5.500 07/01/2015 01/01/2006 1 50,614
- ----------------------------------------------------------------------------------------------------------------------
10,000 San Francisco Building Authority
(San Francisco Civic Center Complex) 5.250 12/01/2021 12/01/2006 1 10,480
- ----------------------------------------------------------------------------------------------------------------------
20,000 San Francisco City & County
(77th Street Property) COP 5.300 09/01/2022 09/01/2007 1 21,188
- ----------------------------------------------------------------------------------------------------------------------
20,000 San Francisco City & County Airports Commission 5.000 05/01/2019 05/01/2008 1 20,534
- ----------------------------------------------------------------------------------------------------------------------
25,000 San Francisco City & County Airports Commission 5.000 05/01/2022 01/01/2010 1 25,591
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Francisco City & County Airports Commission 5.000 05/01/2023 05/01/2009 1 15,422
- ----------------------------------------------------------------------------------------------------------------------
100,000 San Francisco City & County Airports Commission 5.000 05/01/2025 01/01/2010 1 102,122
- ----------------------------------------------------------------------------------------------------------------------
90,000 San Francisco City & County Airports Commission 5.000 05/01/2028 01/01/2010 1 91,874
- ----------------------------------------------------------------------------------------------------------------------
25,000 San Francisco City & County Airports Commission 5.300 05/01/2008 05/01/2006 25,901
- ----------------------------------------------------------------------------------------------------------------------
55,000 San Francisco City & County Airports
Commission 4 5.500 05/01/2015 05/01/2008 1 58,057
- ----------------------------------------------------------------------------------------------------------------------
25,000 San Francisco City & County Airports Commission 5.500 05/01/2016 05/01/2012 1 27,222
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Francisco City & County Airports
Commission 4 5.500 05/01/2024 05/01/2010 1 15,945
- ----------------------------------------------------------------------------------------------------------------------
45,000 San Francisco City & County Airports
Commission 5.500 05/01/2026 05/01/2007 1 46,121
- ----------------------------------------------------------------------------------------------------------------------
50,000 San Francisco City & County Airports
Commission 4 5.500 05/01/2026 05/01/2007 1 51,246
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Francisco City & County Airports
Commission 5.625 05/01/2011 05/01/2006 1 15,431
- ----------------------------------------------------------------------------------------------------------------------
50,000 San Francisco City & County Airports
Commission 4 5.625 05/01/2015 05/01/2006 1 51,349
- ----------------------------------------------------------------------------------------------------------------------
20,000 San Francisco City & County Airports Commission 5.625 05/01/2016 05/01/2006 1 20,539
34 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 100,000 San Francisco City & County Airports
Commission 4 5.625% 05/01/2017 05/01/2006 1 $ 103,672
- ----------------------------------------------------------------------------------------------------------------------
415,000 San Francisco City & County Airports
Commission 4 5.625 05/01/2021 05/01/2008 1 430,239
- ----------------------------------------------------------------------------------------------------------------------
55,000 San Francisco City & County Airports
Commission 5.625 05/01/2021 05/01/2006 1 56,483
- ----------------------------------------------------------------------------------------------------------------------
1,000,000 San Francisco City & County Airports
Commission 5.700 05/01/2014 05/01/2006 1 1,029,350
- ----------------------------------------------------------------------------------------------------------------------
10,000 San Francisco City & County Airports
Commission 5.700 05/01/2026 05/01/2006 1 10,376
- ----------------------------------------------------------------------------------------------------------------------
135,000 San Francisco City & County Airports
Commission 4 5.800 05/01/2021 05/01/2006 1 138,939
- ----------------------------------------------------------------------------------------------------------------------
150,000 San Francisco City & County Airports
Commission (SFO Fuel Company) 5.125 01/01/2017 01/01/2008 1 154,533
- ----------------------------------------------------------------------------------------------------------------------
1,000,000 San Francisco City & County COP
(San Bruno Jail) 5.250 10/01/2033 10/01/2008 1 1,066,450
- ----------------------------------------------------------------------------------------------------------------------
115,000 San Francisco City & County Redevel.
Agency 4 6.750 07/01/2025 01/01/2006 1 118,608
- ----------------------------------------------------------------------------------------------------------------------
10,000 San Francisco City & County Redevel.
Agency (FHA Insured-Section 8) 4 6.850 07/01/2024 01/01/2006 1 10,026
- ----------------------------------------------------------------------------------------------------------------------
65,000 San Francisco City & County Redevel.
Agency (South Beach) 5.700 03/01/2029 03/01/2006 1 65,374
- ----------------------------------------------------------------------------------------------------------------------
75,000 San Jose Finance Authority, Series B 4 5.625 11/15/2018 11/15/2005 1 75,173
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Jose Redevel. Agency 5.000 08/01/2021 02/01/2006 1 15,142
- ----------------------------------------------------------------------------------------------------------------------
30,000 San Jose Redevel. Agency Tax Allocation 5.000 08/01/2020 02/01/2006 1 30,352
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Jose State University (Student Union) 5.875 11/01/2019 11/01/2005 1 15,414
- ----------------------------------------------------------------------------------------------------------------------
150,000 San Jose-Santa Clara Water Financing
Authority 4 5.250 11/15/2012 11/15/2005 1 152,594
- ----------------------------------------------------------------------------------------------------------------------
5,000 San Jose-Santa Clara Water Financing
Authority 5.375 11/15/2020 11/15/2005 1 5,084
- ----------------------------------------------------------------------------------------------------------------------
190,000 San Leandro Community Facilities
District No. 1 Special Tax 6.400 09/01/2019 09/01/2008 1 207,028
- ----------------------------------------------------------------------------------------------------------------------
1,045,000 San Marcos Special Tax 5.900 09/01/2028 03/01/2012 1 1,105,297
- ----------------------------------------------------------------------------------------------------------------------
1,665,000 San Marcos Special Tax 10 5.950 09/01/2035 03/01/2012 1 1,770,012
- ----------------------------------------------------------------------------------------------------------------------
40,000 San Mateo Foster City School District 5.000 08/01/2023 08/01/2008 1 41,988
- ----------------------------------------------------------------------------------------------------------------------
15,000 San Pablo Redevel. Agency 4 6.000 12/01/2017 12/01/2005 1 15,341
- ----------------------------------------------------------------------------------------------------------------------
10,000 San Pablo Redevel. Agency
(Tax Allocation-Merged Project Area) 5.250 12/01/2023 12/01/2006 1 10,218
- ----------------------------------------------------------------------------------------------------------------------
15,000 Sanger Public Financing Authority, Series A 7.125 08/01/2009 08/01/2005 1 15,035
- ----------------------------------------------------------------------------------------------------------------------
20,000 Santa Clara County Financing Authority 5.000 11/15/2022 11/15/2007 1 21,097
- ----------------------------------------------------------------------------------------------------------------------
65,000 Santa Clara County Hsg. Authority
(Rivertown Apartments) 5.700 08/01/2021 02/01/2013 1 67,493
- ----------------------------------------------------------------------------------------------------------------------
50,000 Santa Cruz Sewer
(Secondary Wastewater Treatment) 4 5.700 11/01/2023 11/01/2005 1 50,120
35 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 10,000 Santa Nella County Water District 6.250% 09/02/2028 09/02/2010 1 $ 10,353
- ----------------------------------------------------------------------------------------------------------------------
40,000 Santa Rosa Improvement Bond Act 5.750 09/02/2020 03/02/2006 1 41,218
- ----------------------------------------------------------------------------------------------------------------------
25,000 Santa Rosa Improvement Bond Act
(Nielson Ranch) 6.700 09/02/2022 09/02/2005 1 25,779
- ----------------------------------------------------------------------------------------------------------------------
990,000 Santaluz Special Tax Community Facilities
District No. 2 6.375 09/01/2030 09/01/2007 1 1,009,256
- ----------------------------------------------------------------------------------------------------------------------
50,000 Sausalito School District COP 5.650 04/01/2008 10/01/2005 1 50,712
- ----------------------------------------------------------------------------------------------------------------------
50,000 Sausalito School District COP 5.750 04/01/2009 10/01/2005 1 50,709
- ----------------------------------------------------------------------------------------------------------------------
20,000 Sequoia Union High School District 5.250 07/01/2027 07/01/2006 1 20,752
- ----------------------------------------------------------------------------------------------------------------------
70,000 South Tahoe Joint Powers Financing
Authority 5.750 10/01/2025 10/01/2005 1 71,696
- ----------------------------------------------------------------------------------------------------------------------
230,000 South Tahoe Joint Powers Financing
Authority 6.000 10/01/2028 10/01/2005 1 235,877
- ----------------------------------------------------------------------------------------------------------------------
20,000 South Tahoe Redevel. Agency 6.700 10/01/2031 10/01/2013 1 20,940
- ----------------------------------------------------------------------------------------------------------------------
500,000 Southern CA Public Power Authority 4 5.000 07/01/2015 01/01/2006 1 500,995
- ----------------------------------------------------------------------------------------------------------------------
5,000 Southern CA Public Power Authority 4 5.500 07/01/2020 01/01/2006 1 5,006
- ----------------------------------------------------------------------------------------------------------------------
100,000 Southern CA Public Power Authority
Linked SAVRS & RIBS 4 6.000 07/01/2012 01/01/2006 1 100,291
- ----------------------------------------------------------------------------------------------------------------------
120,000 Southern CA Tobacco Securitization
Authority (TASC) 5.500 06/01/2036 06/01/2012 1 123,781
- ----------------------------------------------------------------------------------------------------------------------
25,000 Stockton Health Facilities
(Dameron Hospital Association) 5.700 12/01/2014 12/01/2007 1 26,250
- ----------------------------------------------------------------------------------------------------------------------
15,000 Stockton Improvement Bond Act 1915 6.625 09/02/2027 09/02/2005 1 15,463
- ----------------------------------------------------------------------------------------------------------------------
35,000 Stockton Improvement Bond Act 1915 6.800 09/02/2023 09/02/2005 1 36,099
- ----------------------------------------------------------------------------------------------------------------------
55,000 Stockton Public Financing Authority,
Series B 4 6.350 09/02/2010 09/02/2005 1 57,824
- ----------------------------------------------------------------------------------------------------------------------
25,000 Susanville Public Facilities COP 9 5.750 05/01/2011 05/01/2006 1 25,481
- ----------------------------------------------------------------------------------------------------------------------
750,000 Tejon Ranch Public Facilities
Finance Authority Special Tax
(Community Facilities District No. 1) 7.200 09/01/2030 09/01/2005 1 773,213
- ----------------------------------------------------------------------------------------------------------------------
40,000 Temple City Unified School District 5.000 08/01/2023 08/01/2008 1 42,034
- ----------------------------------------------------------------------------------------------------------------------
40,000 Tracy Community Facilities District 5.625 08/01/2027 08/01/2005 1 41,207
- ----------------------------------------------------------------------------------------------------------------------
55,000 Tracy Community Facilities District 5.625 08/01/2028 08/01/2005 1 56,658
- ----------------------------------------------------------------------------------------------------------------------
50,000 Tracy Community Facilities District 6.100 09/01/2015 09/02/2005 1 51,557
- ----------------------------------------------------------------------------------------------------------------------
10,000 Tracy Community Facilities District 6.100 09/01/2030 09/01/2005 1 10,305
- ----------------------------------------------------------------------------------------------------------------------
65,000 Tracy Community Facilities District
Special Tax (Plan C Properties) 4 5.700 08/01/2023 08/02/2010 1 66,864
- ----------------------------------------------------------------------------------------------------------------------
30,000 Tracy COP
(Community Park & Civic Center) 4 6.625 03/01/2018 09/01/2005 1 30,082
- ----------------------------------------------------------------------------------------------------------------------
50,000 Tri-City Hospital District 4 5.750 02/01/2015 02/01/2006 1 50,644
- ----------------------------------------------------------------------------------------------------------------------
20,000 Tri-City Hospital District 4 6.000 02/01/2022 08/01/2005 1 20,313
- ----------------------------------------------------------------------------------------------------------------------
45,000 Upland COP
(San Antonio Community Hospital) 5.000 01/01/2018 01/01/2006 1 45,630
36 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
CALIFORNIA Continued
$ 250,000 Vacaville Public Financing Authority 4 5.400% 09/01/2022 09/01/2005 1 $ 250,043
- ----------------------------------------------------------------------------------------------------------------------
110,000 Vacaville Redevel. Agency
(Vacaville Community Hsg.) 4 6.000 11/01/2024 11/01/2010 1 115,837
- ----------------------------------------------------------------------------------------------------------------------
150,000 Vallejo COP (Marine World Foundation) 4,9 7.000 02/01/2017 02/01/2007 1 157,611
- ----------------------------------------------------------------------------------------------------------------------
50,000 Ventura Port District COP 4 6.375 08/01/2028 08/01/2010 1 52,565
- ----------------------------------------------------------------------------------------------------------------------
150,000 Vista Community Devel. Commission
(Vista Redevel.) 6.000 09/01/2025 09/01/2005 1 153,459
- ----------------------------------------------------------------------------------------------------------------------
25,000 Washington Township Hospital District 5.500 07/01/2009 01/01/2006 1 25,057
- ----------------------------------------------------------------------------------------------------------------------
175,000 Washington Township Hospital District 4 5.500 07/01/2018 01/01/2006 1 175,158
- ----------------------------------------------------------------------------------------------------------------------
50,000 Washington Township Hospital District 4 5.500 07/01/2018 01/01/2006 1 50,108
- ----------------------------------------------------------------------------------------------------------------------
25,000 West Contra Costa Unified School District 5.000 08/01/2023 08/01/2009 1 26,423
- ----------------------------------------------------------------------------------------------------------------------
25,000 West Contra Costa Unified School District 7.125 01/01/2024 07/01/2006 1 25,319
- ----------------------------------------------------------------------------------------------------------------------
50,000 West Patterson Financing Authority
Special Tax 4 6.600 09/01/2033 03/01/2008 1 50,971
- ----------------------------------------------------------------------------------------------------------------------
40,000 West Patterson Financing Authority
Special Tax 6.750 09/01/2036 03/01/2008 1 40,928
- ----------------------------------------------------------------------------------------------------------------------
20,000 West Sacramento Improvement Bond
Act 1915 8.500 09/02/2017 11/01/2015 3 20,261
- ----------------------------------------------------------------------------------------------------------------------
60,000 West Sacramento Special Tax Community
Facilities District 6.650 09/01/2019 03/01/2010 1 64,401
- ----------------------------------------------------------------------------------------------------------------------
50,000 West Sacramento Special Tax Community
Facilities District No. 14 6.125 09/01/2021 03/01/2011 1 51,921
- ----------------------------------------------------------------------------------------------------------------------
50,000 West Sacramento Special Tax Community
Facilities District No. 16 6.000 09/01/2033 09/01/2013 1 51,661
- ----------------------------------------------------------------------------------------------------------------------
20,000 Western Hills Water District
(Diablo Grande) 6.000 09/01/2024 09/01/2014 1 20,698
- ----------------------------------------------------------------------------------------------------------------------
15,000 Western Municipal Water Districts 7.125 09/02/2014 09/02/2005 1 15,482
- ----------------------------------------------------------------------------------------------------------------------
25,000 Yucaipa Redevel. Agency
(Eldorado Palms Mobile Home) 6.000 05/01/2030 05/01/2010 1 25,709
-----------
72,951,645
- ----------------------------------------------------------------------------------------------------------------------
U.S. POSSESSIONS--2.7%
225,000 Puerto Rico HBFA 4 6.250 04/01/2029 04/01/2006 1 230,767
- ----------------------------------------------------------------------------------------------------------------------
5,000 Puerto Rico HFC 4 7.300 10/01/2006 10/01/2005 1 5,013
- ----------------------------------------------------------------------------------------------------------------------
5,000 Puerto Rico HFC 4 7.500 10/01/2015 10/01/2005 1 5,009
- ----------------------------------------------------------------------------------------------------------------------
225,000 Puerto Rico Highway &
Transportation Authority 4 5.000 07/01/2022 01/01/2006 1 225,333
- ----------------------------------------------------------------------------------------------------------------------
100,000 Puerto Rico ITEMECF
(Cogeneration Facilities) 4 6.625 06/01/2026 06/01/2010 1 108,516
- ----------------------------------------------------------------------------------------------------------------------
40,000 Puerto Rico Port Authority, Series D 4 6.000 07/01/2021 01/01/2006 1 40,051
- ----------------------------------------------------------------------------------------------------------------------
580,000 Puerto Rico Port Authority, Series D 4 7.000 07/01/2014 01/01/2006 1 589,100
- ----------------------------------------------------------------------------------------------------------------------
225,000 University of Puerto Rico, Series O 4 5.375 06/01/2030 06/01/2006 1 227,655
- ----------------------------------------------------------------------------------------------------------------------
250,000 V.I. Public Finance Authority, Series A 4 5.250 10/01/2024 10/01/2014 1 266,365
37 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
EFFECTIVE
PRINCIPAL MATURITY* VALUE
AMOUNT COUPON MATURITY (UNAUDITED) SEE NOTE 1
- ----------------------------------------------------------------------------------------------------------------------
U.S. POSSESSIONS Continued
$ 160,000 V.I. Public Finance Authority, Series A 4 5.500% 10/01/2022 10/01/2010 1 $ 166,421
-----------
1,864,230
- ----------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS, AT VALUE (COST $72,712,633)-110.9% 74,815,875
- ----------------------------------------------------------------------------------------------------------------------
LIABILITIES IN EXCESS OF OTHER ASSETS-(10.9) (7,377,473)
-----------
NET ASSETS-100.0% $67,438,402
===========
FOOTNOTES TO STATEMENT OF INVESTMENTS
* Call Date, Put Date or Average Life of Sinking Fund, if applicable, as
detailed.
1. Optional call date; corresponds to the most conservative yield calculation.
2. Average life due to mandatory, or expected, sinking fund principal payments
prior to the applicable optional call date.
3. Average life due to mandatory, or expected, sinking fund principal payments
prior to maturity.
4. Security has been segregated for collateral to cover borrowings. See Note 6
of Notes to Financial Statements.
5. Represents a zero coupon bond.
6. Issue is in default. See Note 1 of Notes to Financial Statements.
7. Non-income producing security.
8. Represents the current interest rate for a variable rate bond known as an
"inverse floater." See Note 1 of Notes to Financial Statements.
9. Illiquid security. The aggregate value of illiquid securities as of July 31,
2005 was $347,156, which represents 0.51% of the Fund's net assets. See Note 5
of Notes to Financial Statements.
10. When-issued security or forward commitment to be delivered and settled after
July 31, 2005. See Note 1 of Notes to Financial Statements.
TO SIMPLIFY THE LISTINGS OF SECURITIES, ABBREVIATIONS ARE USED PER THE TABLE
BELOW:
ABAG Association of Bay Area Governments
CALC Community Alzheimer's Living Center
CCH Clovis Community Hospital
CDA Communities Development Authority
COP Certificates of Participation
FCH Fresno Community Hospital
FHA Federal Housing Agency
FNMA Federal National Mortgage Association
GO General Obligation
HBFA Housing Bank and Finance Agency
HFA Housing Finance Agency/Authority
HFC Housing Finance Corp.
IBA Improvement Bond Act 1915
INFLOS Inverse Floating Rate Securities
ITEMECF Industrial,Tourist,Educational,Medical
and Environmental Community Facilities
MSR Modesto Irrigation District of the City of
Santa Clara and the City of Redding
MTA Metropolitan Transportation Authority
RIBS Residual Interest Bonds
SAVRS Select Auction Variable Rate Securities
SCH Sierra Community Hospital
SMCH Sierra Meadows Convalescent Hospital
TASC Tobacco Settlement Asset-Backed Bonds
USD Unified School District
V.I. United States Virgin Islands
38 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
- --------------------------------------------------------------------------------
INDUSTRY CONCENTRATIONS July 31, 2005 / Unaudited
- --------------------------------------------------------------------------------
DISTRIBUTION OF INVESTMENTS BY INDUSTRY OF ISSUE, AS A PERCENTAGE OF TOTAL
INVESTMENTS AT VALUE, IS AS FOLLOWS:
INDUSTRY VALUE PERCENT
- --------------------------------------------------------------------------------
Tobacco Settlement Payments $ 18,145,760 24.3%
Special Tax 11,904,565 15.9
Special Assessment 7,504,808 10.0
Marine/Aviation Facilities 6,720,732 9.0
Municipal Leases 6,502,463 8.7
General Obligation 5,177,109 6.9
Hospital/Health Care 3,288,865 4.4
Multifamily Housing 2,904,945 3.9
Single Family Housing 2,632,022 3.5
Pollution Control 1,995,619 2.7
Electric Utilities 1,836,350 2.5
Sewer Utilities 1,417,924 1.9
Higher Education 717,705 1.0
Water Utilities 678,083 0.9
Adult Living Facilities 608,120 0.8
Gas Utilities 573,204 0.8
Sales Tax Revenue 551,393 0.7
Manufacturing, Durable Goods 535,696 0.7
Hotels, Restaurants & Leisure 411,812 0.6
Highways/Railways 286,511 0.4
Education 282,307 0.3
Student Loans 87,140 0.1
Airlines 32,589 --
Resource Recovery 10,141 --
Not-for-Profit Organization 10,012 --
------------------------------------
Total $ 74,815,875 100.0%
====================================
39 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF INVESTMENTS Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
SUMMARY OF RATINGS July 31, 2005 / Unaudited
- --------------------------------------------------------------------------------
DISTRIBUTION OF INVESTMENTS BY RATINGS CATEGORY, AS A PERCENTAGE OF TOTAL
INVESTMENTS AT VALUE, IS AS FOLLOWS:
RATING PERCENT
- --------------------------------------------------------------------------------
AAA 29.0%
AA 5.0
A 12.0
BBB 49.9
B 0.2
Not Rated 3.9
----------
Total 100.0%
==========
Bonds rated by any nationally recognized statistical rating organization are
included in the equivalent Standard & Poor's rating category. As a general
matter, unrated bonds may be backed by mortgage liens or equipment liens on the
underlying property, and also may be guaranteed. Bonds which are backed by a
letter of credit or by other financial institutions or agencies may be assigned
an investment-grade rating by the Manager, which reflects the quality of the
guarantor, institution or agency. Unrated bonds may also be assigned a rating
when the issuer has rated bonds outstanding with comparable credit
characteristics, or when, in the opinion of the Manager, the bond itself
possesses credit characteristics which allow for rating. The unrated bonds in
the portfolio are predominantly smaller issuers which have not applied for a
bond rating. Only those unrated bonds which subsequent to purchase have not been
designated investment grade by the Manager are included in the "Not Rated"
category.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
40 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF ASSETS AND LIABILITIES July 31, 2005
- --------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
ASSETS
- ----------------------------------------------------------------------------------------------------------
Investments, at value (cost $72,712,633)--see accompanying statement of investments $ 74,815,875
- ----------------------------------------------------------------------------------------------------------
Cash 600,156
- ----------------------------------------------------------------------------------------------------------
Receivables and other assets:
Shares of beneficial interest sold 2,138,957
Investments sold 1,598,950
Interest 1,213,740
Other 2,148
---------------
Total assets 80,369,826
- ----------------------------------------------------------------------------------------------------------
LIABILITIES
- ----------------------------------------------------------------------------------------------------------
Payables and other liabilities:
Payable on borrowings (See Note 6) 7,200,000
Investments purchased (including $1,808,359 purchased on a when-issued basis
or forward commitment) 5,571,118
Shares of beneficial interest redeemed 43,515
Dividends 40,304
Interest expense 23,813
Distribution and service plan fees 11,398
Shareholder communications 9,583
Transfer and shareholder servicing agent fees 1,575
Trustees' compensation 359
Other 29,759
---------------
Total liabilities 12,931,424
- ----------------------------------------------------------------------------------------------------------
NET ASSETS $ 67,438,402
===============
- ----------------------------------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS
- ----------------------------------------------------------------------------------------------------------
Par value of shares of beneficial interest $ 18,922
- ----------------------------------------------------------------------------------------------------------
Additional paid-in capital 65,179,544
- ----------------------------------------------------------------------------------------------------------
Accumulated net investment income 161,656
- ----------------------------------------------------------------------------------------------------------
Accumulated net realized loss on investments (24,962)
- ----------------------------------------------------------------------------------------------------------
Net unrealized appreciation on investments 2,103,242
---------------
NET ASSETS $ 67,438,402
===============
41 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF ASSETS AND LIABILITIES Continued
- --------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------
NET ASSET VALUE PER SHARE
- ---------------------------------------------------------------------------------------------------------
Class A Shares:
Net asset value and redemption price per share (based on net assets of $44,553,545 and
12,499,699 shares of beneficial interest outstanding) $ 3.56
Maximum offering price per share (net asset value plus sales charge of 3.50% of offering price) $ 3.69
- ---------------------------------------------------------------------------------------------------------
Class B Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge)
and offering price per share (based on net assets of $1,295,436 and 356,760 shares of
beneficial interest outstanding) $ 3.63
- ---------------------------------------------------------------------------------------------------------
Class C Shares:
Net asset value, redemption price (excludes applicable contingent deferred sales charge)
and offering price per share (based on net assets of $21,589,421 and 6,065,103 shares
of beneficial interest outstanding) $ 3.56
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
42 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF OPERATIONS For the Year Ended July 31, 2005
- --------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
- ----------------------------------------------------------------------------------------------------------
Interest $ 1,807,379
- ----------------------------------------------------------------------------------------------------------
EXPENSES
- ----------------------------------------------------------------------------------------------------------
Management fees 161,938
- ----------------------------------------------------------------------------------------------------------
Distribution and service plan fees:
Class A 36,727
Class B 8,327
Class C 97,837
- ----------------------------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees:
Class A 4,582
Class B 683
Class C 3,637
- ----------------------------------------------------------------------------------------------------------
Shareholder communications:
Class A 17,560
Class B 3,154
Class C 12,038
- ----------------------------------------------------------------------------------------------------------
Interest expense 210,456
- ----------------------------------------------------------------------------------------------------------
Legal, auditing and other professional fees 47,534
- ----------------------------------------------------------------------------------------------------------
Trustees' compensation 9,395
- ----------------------------------------------------------------------------------------------------------
Custodian fees and expenses 3,508
- ----------------------------------------------------------------------------------------------------------
Other 20,503
---------------
Total expenses 637,879
Less reduction to custodian expenses (2,415)
Less waivers and reimbursements of expenses (295,035)
---------------
Net expenses 340,429
- ----------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME 1,466,950
- ----------------------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
- ----------------------------------------------------------------------------------------------------------
Net realized loss on investments (5,629)
- ----------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation on investments 2,261,355
- ----------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 3,722,676
===============
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
43 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
YEAR ENDED JULY 31, 2005 2004 1
- --------------------------------------------------------------------------------------------------------------------
OPERATIONS
- --------------------------------------------------------------------------------------------------------------------
Net investment income $ 1,466,950 $ 220,274
- --------------------------------------------------------------------------------------------------------------------
Net realized loss (5,629) (19,333)
- --------------------------------------------------------------------------------------------------------------------
Net change in unrealized appreciation (depreciation) 2,261,355 (158,113)
----------------------------------
Net increase in net assets resulting from operations 3,722,676 42,828
- --------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND/OR DISTRIBUTIONS TO SHAREHOLDERS
- --------------------------------------------------------------------------------------------------------------------
Dividends from net investment income:
Class A (956,961) (147,367)
Class B (30,123) (4,128)
Class C (362,033) (27,988)
- --------------------------------------------------------------------------------------------------------------------
BENEFICIAL INTEREST TRANSACTIONS
- --------------------------------------------------------------------------------------------------------------------
Net increase in net assets resulting from beneficial interest transactions:
Class A 31,329,937 11,680,834
Class B 723,518 509,182
Class C 16,796,002 4,060,025
- --------------------------------------------------------------------------------------------------------------------
NET ASSETS
- --------------------------------------------------------------------------------------------------------------------
Total increase 51,223,016 16,113,386
- --------------------------------------------------------------------------------------------------------------------
Beginning of period 16,215,386 102,000 2
----------------------------------
End of period (including accumulated net investment income
of $161,656 and $43,823, respectively) $ 67,438,402 $ 16,215,386
==================================
1. For the period from February 25, 2004 (commencement of operations) to July
31, 2004.
2. Reflects the value of the Manager's initial seed money investment on February
9, 2004.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
44 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
STATEMENT OF CASH FLOWS For the Year Ended July 31, 2005
- --------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------
CASH FLOWS FROM OPERATING ACTIVITIES
- ----------------------------------------------------------------------------------------------------------
Net increase in net assets from operations $ 3,722,676
- ----------------------------------------------------------------------------------------------------------
Adjustments to reconcile net increase in net assets from operations
to net cash used in operating activities:
Purchase of investment securities (32,271,400)
Proceeds from disposition of investment securities 808,457
Short-term investment securities, net (21,267,484)
Premium amortization 554,874
Discount accretion (8,042)
Net realized loss on investments 5,629
Net change in unrealized depreciation on investments (2,261,355)
Increase in interest receivable (900,965)
Increase in receivable for securities sold (1,497,365)
Increase in other assets (258)
Increase in payable for securities purchased 5,168,879
Increase in payable for accrued expenses 47,486
---------------
Net cash used in operating activities (47,898,868)
- ----------------------------------------------------------------------------------------------------------
CASH FLOWS FROM FINANCING ACTIVITIES
- ----------------------------------------------------------------------------------------------------------
Proceeds from bank borrowing 39,600,000
Payments on bank borrowing (37,000,000)
Proceeds from shares sold 58,163,168
Payment on shares redeemed (11,981,425)
Cash distributions paid (671,279)
---------------
Net cash provided by financing activities 48,110,464
- ----------------------------------------------------------------------------------------------------------
Net increase in cash 211,596
- ----------------------------------------------------------------------------------------------------------
Cash, beginning balance 388,560
---------------
Cash, ending balance $ 600,156
===============
Supplemental disclosure of cash flow information:
Noncash financing activities not included herein consist of reinvestment of
dividends and distributions of $644,645.
Cash paid for interest on bank borrowings--$187,185.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
45 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
CLASS A YEAR ENDED JULY 31, 2005 2004 1
- -------------------------------------------------------------------------------
PER SHARE OPERATING DATA
- -------------------------------------------------------------------------------
Net asset value, beginning of period $ 3.30 $ 3.35
- -------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .16 2 .07
Net realized and unrealized gain (loss) .25 (.06)
---------------------------
Total from investment operations .41 .01
- -------------------------------------------------------------------------------
Dividends and/or distributions to shareholders:
Dividends from net investment income (.15) (.06)
- -------------------------------------------------------------------------------
Net asset value, end of period $ 3.56 $ 3.30
===========================
- -------------------------------------------------------------------------------
TOTAL RETURN, AT NET ASSET VALUE 3 12.78% 0.21%
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA
- -------------------------------------------------------------------------------
Net assets, end of period (in thousands) $ 44,554 $ 11,627
- -------------------------------------------------------------------------------
Average net assets (in thousands) $ 21,877 $ 8,381
- -------------------------------------------------------------------------------
Ratios to average net assets: 4
Net investment income 4.76% 4.99%
Total expenses 1.66% 1.92%
Expenses after payments and waivers and
reduction to custodian expenses 0.80% 0.76%
- -------------------------------------------------------------------------------
Portfolio turnover rate 4% 2%
1. For the period from February 25, 2004 (commencement of operations) to July
31, 2004.
2. Per share amounts calculated based on the average shares outstanding during
the period.
3. 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 return. Total returns are not annualized for
periods of less than one full year. Returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or the redemption of
Fund shares.
4. Annualized for periods of less than one full year.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
46 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
CLASS B YEAR ENDED JULY 31, 2005 2004 1
- --------------------------------------------------------------------------------
PER SHARE OPERATING DATA
- --------------------------------------------------------------------------------
Net asset value, beginning of period $ 3.36 $ 3.35
- --------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .14 2 .05
Net realized and unrealized gain (loss) .26 -- 3
----------------------------
Total from investment operations .40 .05
- --------------------------------------------------------------------------------
Dividends and/or distributions to shareholders:
Dividends from net investment income (.13) (.04)
- --------------------------------------------------------------------------------
Net asset value, end of period $ 3.63 $ 3.36
============================
- --------------------------------------------------------------------------------
TOTAL RETURN, AT NET ASSET VALUE 4 12.03% 1.60%
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA
- --------------------------------------------------------------------------------
Net assets, end of period (in thousands) $ 1,295 $ 510
- --------------------------------------------------------------------------------
Average net assets (in thousands) $ 836 $ 297
- --------------------------------------------------------------------------------
Ratios to average net assets: 5
Net investment income 4.11% 3.96%
Total expenses 2.86% 2.86%
Expenses after payments and waivers and
reduction to custodian expenses 1.55% 1.55%
- --------------------------------------------------------------------------------
Portfolio turnover rate 4% 2%
1. For the period from February 25, 2004 (commencement of operations) to July
31, 2004.
2. Per share amounts calculated based on the average shares outstanding during
the period.
3. Less than $0.005 per share.
4. 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 return. Total returns are not annualized for
periods of less than one full year. Returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or the redemption of
Fund shares.
5. Annualized for periods of less than one full year.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
47 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FINANCIAL HIGHLIGHTS Continued
- -------------------------------------------------------------------------------
CLASS C YEAR ENDED JULY 31, 2005 2004 1
- -------------------------------------------------------------------------------
PER SHARE OPERATING DATA
- -------------------------------------------------------------------------------
Net asset value, beginning of period $ 3.30 $ 3.35
- -------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .14 2 .05
Net realized and unrealized gain (loss) .25 (.06)
---------------------------
Total from investment operations .39 (.01)
- -------------------------------------------------------------------------------
Dividends and/or distributions to shareholders:
Dividends from net investment income (.13) (.04)
- -------------------------------------------------------------------------------
Net asset value, end of period $ 3.56 $ 3.30
===========================
- -------------------------------------------------------------------------------
TOTAL RETURN, AT NET ASSET VALUE 3 12.00% (0.16)
- -------------------------------------------------------------------------------
- -------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA
- -------------------------------------------------------------------------------
Net assets, end of period (in thousands) $ 21,589 $ 4,079
- -------------------------------------------------------------------------------
Average net assets (in thousands) $ 9,836 $ 2,044
- -------------------------------------------------------------------------------
Ratios to average net assets: 4
Net investment income 3.98% 3.92%
Total expenses 2.55% 2.93%
Expenses after payments and waivers and
reduction to custodian expenses 1.55% 1.55%
- -------------------------------------------------------------------------------
Portfolio turnover rate 4% 2%
1. For the period from February 25, 2004 (commencement of operations) to July
31, 2004.
2. Per share amounts calculated based on the average shares outstanding during
the period.
3. 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 return. Total returns are not annualized for
periods of less than one full year. Returns do not reflect the deduction of
taxes that a shareholder would pay on Fund distributions or the redemption of
Fund shares.
4. Annualized for periods of less than one full year.
SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS.
48 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
NOTES TO FINANCIAL STATEMENTS
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES
Oppenheimer Limited Term California Municipal Fund (the Fund) is a
non-diversified, open-end management investment company registered under the
Investment Company Act of 1940, as amended. The Fund's investment objective is
to seek as high a level of income exempt from federal income tax and California
individual income taxes as is consistent with its investment policies and
prudent investment management. The Fund's investment advisor is
OppenheimerFunds, Inc. (the Manager).
The Fund offers Class A, Class B and Class C shares. Class A shares are
sold at their offering price, which is normally net asset value plus a front-end
sales charge. Class B and Class C shares are sold without a front-end sales
charge but may be subject to a contingent deferred sales charge (CDSC). All
classes of shares have identical rights and voting privileges with respect to
the Fund in general and exclusive voting rights on matters that affect that
class alone. Earnings, net assets and net asset value per share may differ due
to each class having its own expenses, such as transfer and shareholder
servicing agent fees and shareholder communications, directly attributable to
that class. Class A, B and C have separate distribution and/or service plans.
Class B shares will automatically convert to Class A shares six years after the
date of purchase.
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 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 traded on foreign exchanges are valued based on the last sale price
on the principal exchange on which the security is traded, in the country that
is identified by the portfolio pricing service, prior to the time when the
Fund's assets are valued. In the absence of a sale, the security is valued at
the official closing price on the principal exchange. Corporate, government and
municipal debt instruments having a remaining maturity in excess of sixty days
and all mortgage-backed securities will be valued at the mean between the "bid"
and "asked" prices. Futures contracts traded on a commodities or futures
exchange will be valued at the final settlement price or official closing price
on the principal exchange as reported by such principal exchange at its trading
session ending at, or most recently prior to, the time when the Fund's assets
are valued. 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
49 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
NOTES TO FINANCIAL STATEMENTS Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES Continued
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).
- --------------------------------------------------------------------------------
INVERSE FLOATING RATE SECURITIES. The Fund invests in inverse floating rate
securities that pay interest at a rate that varies inversely with short-term
interest rates. Certain of these securities may be leveraged, whereby the
interest rate varies inversely at a multiple of the change in short-term rates.
As interest rates rise, inverse floaters produce less current income. The price
of such securities is more volatile than comparable fixed rate securities. The
Fund will invest no more than 20% of its total assets in inverse floaters.
Inverse floaters amount to $593,990 as of July 31, 2005, which represents 0.74%
of the Fund's total assets.
- --------------------------------------------------------------------------------
SECURITIES ON A WHEN-ISSUED BASIS OR FORWARD COMMITMENT. Delivery and payment
for securities that have been purchased by the Fund on a when-issued basis or
forward commitment can take place up to ten days or more after the trade date.
Normally the settlement date occurs within six months after the trade date;
however, the Fund may, from time to time, purchase securities whose settlement
date extends six months or more beyond trade date. During this period, such
securities do not earn interest, are subject to market fluctuation and may
increase or decrease in value prior to their delivery. The Fund maintains
internally designated assets with a market value equal to or greater than the
amount of its purchase commitments. The purchase of securities on a when-issued
basis or forward commitment may increase the volatility of the Fund's net asset
value to the extent the Fund executes such transactions while remaining
substantially fully invested. The Fund may also sell securities that it
purchased on a when-issued basis or forward commitment prior to settlement of
the original purchase. As of July 31, 2005, the Fund had purchased $1,808,359 of
securities issued on a when-issued basis or forward commitment.
- --------------------------------------------------------------------------------
SECURITY CREDIT RISK. The Fund invests in high-yield securities, which may be
subject to a greater degree of credit risk, market fluctuations and loss of
income and principal, and may be more sensitive to economic conditions than
lower-yielding, higher-rated fixed-income securities. The Fund may acquire
securities in default, and is not obligated to dispose of securities whose
issuers subsequently default. As of July 31, 2005, securities with an aggregate
market value of $32,589, representing 0.05% of the Fund's net assets, were in
default.
There are certain risks arising from geographic concentration in any
state. Certain revenue or tax related events in a state may impair the ability
of certain issuers of municipal securities to pay principal and interest on
their obligations.
50 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
- --------------------------------------------------------------------------------
ALLOCATION OF INCOME, EXPENSES, GAINS AND LOSSES. Income, expenses (other than
those attributable to a specific class), gains and losses are allocated on a
daily basis to each class of shares based upon the relative proportion of net
assets represented by such class. Operating expenses directly attributable to a
specific class are charged against the operations of that class.
- --------------------------------------------------------------------------------
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.
The tax components of capital shown in the table below represent distribution
requirements the Fund must satisfy under the income tax regulations, losses the
Fund may be able to offset against income and gains realized in future years and
unrealized appreciation or depreciation of securities and other investments for
federal income tax purposes.
NET UNREALIZED
APPRECIATION
BASED ON COST OF
SECURITIES AND
UNDISTRIBUTED UNDISTRIBUTED ACCUMULATED OTHER INVESTMENTS
NET INVESTMENT LONG-TERM LOSS FOR FEDERAL INCOME
INCOME GAIN CARRYFORWARD 1,2,3,4 TAX PURPOSES
--------------------------------------------------------------------------
$201,960 $-- $24,962 $2,103,242
1. As of July 31, 2005, the Fund had $17,565 of net capital loss carryforwards
available to offset future realized capital gains, if any, and thereby reduce
future taxable gain distributions. As of July 31, 2005, details of the capital
loss carryforward were as follows:
EXPIRING
-------------------------------
2013 $17,565
2. As of July 31, 2005, the Fund had $7,397 of post-October losses available to
offset future realized capital gains, if any. Such losses, if unutilized, will
expire in 2014.
3. During the fiscal year ended July 31, 2005, the Fund did not utilize any
capital loss carryforward.
4. During the fiscal year ended July 31, 2004, the Fund did not utilize any
capital loss carryforward.
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.
51 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
NOTES TO FINANCIAL STATEMENTS Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES Continued
The tax character of distributions paid during the years ended July 31, 2005 and
July 31, 2004 was as follows:
YEAR ENDED PERIOD ENDED
JULY 31, 2005 JULY 31, 2004 1
------------------------------------------------------------------
Distributions paid from:
Exempt-interest dividends $1,349,117 $179,483
1. For the period from February 25, 2004 (commencement of operations) to July
31, 2004.
The aggregate cost of securities and other investments and the composition of
unrealized appreciation and depreciation of securities and other investments for
federal income tax purposes as of July 31, 2005 are noted below. The primary
difference between book and tax appreciation or depreciation of securities and
other investments, if applicable, is attributable to the tax deferral of losses
or tax realization of financial statement unrealized gain or loss.
Federal tax cost of securities $ 72,712,633
===============
Gross unrealized appreciation $ 2,211,113
Gross unrealized depreciation (107,871)
---------------
Net unrealized appreciation $ 2,103,242
===============
- --------------------------------------------------------------------------------
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 distributions, if any, are declared
daily and paid monthly. Capital gain distributions, if any, are declared and
paid annually.
- --------------------------------------------------------------------------------
INVESTMENT INCOME. 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. Such cash overdrafts may result from the
effects of failed trades in portfolio securities and from cash outflows
resulting from unanticipated shareholder redemption activity. 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
52 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
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 of each class. Transactions in shares of beneficial interest
were as follows:
YEAR ENDED JULY 31, 2005 PERIOD ENDED JULY 31, 2004 1,2
SHARES AMOUNT SHARES AMOUNT
- ------------------------------------------------------------------------------------------------------
CLASS A
Sold 11,730,494 $ 40,958,956 3,598,439 $ 12,034,579
Dividends and/or
distributions reinvested 119,522 417,556 3,629 11,929
Redeemed (2,871,399) (10,046,575) (110,836) (365,674)
-----------------------------------------------------------------------
Net increase 8,978,617 $ 31,329,937 3,491,232 $ 11,680,834
=======================================================================
- ------------------------------------------------------------------------------------------------------
CLASS B
Sold 257,816 $ 906,437 288,947 $ 970,279
Dividends and/or
distributions reinvested 5,781 20,386 829 2,769
Redeemed (58,443) (203,305) (138,468) (463,866)
-----------------------------------------------------------------------
Net increase 205,154 $ 723,518 151,308 $ 509,182
=======================================================================
- ------------------------------------------------------------------------------------------------------
CLASS C
Sold 5,277,247 $ 18,364,343 1,230,617 $ 4,042,094
Dividends and/or
distributions reinvested 59,643 206,703 5,467 17,931
Redeemed (508,169) (1,775,044) -- --
-----------------------------------------------------------------------
Net increase 4,828,721 $ 16,796,002 1,236,084 $ 4,060,025
=======================================================================
1. For the period from February 25, 2004 (commencement of operations) to July
31, 2004.
2. The Fund sold 29,850 shares of Class A and 298 shares each of Class B and
Class C to the Manager upon seeding of the Fund on February 9, 2004.
- --------------------------------------------------------------------------------
3. PURCHASES AND SALES OF SECURITIES
The aggregate cost of purchases and proceeds from sales of securities, other
than short-term obligations, for the year ended July 31, 2005, were as follows:
PURCHASES SALES
-----------------------------------------------------------
Investment securities $32,271,400 $808,457
- --------------------------------------------------------------------------------
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 0.50% of the first $100 million of average daily net assets,
0.45% of the next $150 million of average daily net assets, 0.40% of the next
$1,750 million of average daily net assets, and 0.39% of average daily net
assets in excess of $2 billion.
53 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
NOTES TO FINANCIAL STATEMENTS Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES Continued
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 year ended July 31, 2005, the Fund paid $7,642 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 Fund's classes of shares.
- --------------------------------------------------------------------------------
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. The Distributor currently uses all of those fees to
pay dealers, brokers, banks and other financial institutions quarterly for
providing personal services and maintenance of accounts of their customers that
hold Class A shares. Any unreimbursed expenses the Distributor incurs with
respect to Class A shares in any fiscal year cannot be recovered in subsequent
years. Fees incurred by the Fund under the Plan are detailed in the Statement of
Operations.
- --------------------------------------------------------------------------------
DISTRIBUTION AND SERVICE PLANS FOR CLASS B AND CLASS C SHARES. The Fund has
adopted Distribution and Service Plans for Class B and Class C shares to
compensate the Distributor for its services in connection with the distribution
of those shares and servicing accounts. Under the plans, the Fund pays the
Distributor an annual asset-based sales charge of 0.75% per year on Class B and
Class C shares. The Distributor also receives a service fee of up to 0.25% per
year under each plan. If either the Class B or Class C plan is terminated by the
Fund or by the shareholders of a class, the Board of Trustees and its
independent trustees must determine whether the Distributor shall be entitled to
payment from the Fund of all or a portion of the service fee and/or asset-based
sales charge in respect to shares sold prior to the effective date of such
termination. The Distributor's aggregate uncompensated expenses under the plan
at July 31, 2005 for Class B and Class C shares were $15,315 and $223,755,
respectively. Fees incurred by the Fund under the plans are detailed in the
Statement of Operations.
- --------------------------------------------------------------------------------
SALES CHARGES. Front-end sales charges and contingent deferred sales charges
(CDSC) do not represent expenses of the Fund. They are deducted from the
proceeds of sales of Fund shares prior to investment or from redemption proceeds
prior to remittance, as applicable. The sales charges retained by the
Distributor from the sale of shares and the CDSC retained by the Distributor on
the redemption of shares is shown in the following table for the period
indicated.
54 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
CLASS A CLASS B CLASS C
CLASS A CONTINGENT CONTINGENT CONTINGENT
FRONT-END DEFERRED DEFERRED DEFERRED
SALES CHARGES SALES CHARGES SALES CHARGES SALES CHARGES
RETAINED BY RETAINED BY RETAINED BY RETAINED BY
YEAR ENDED DISTRIBUTOR DISTRIBUTOR DISTRIBUTOR DISTRIBUTOR
- -------------------------------------------------------------------------------
July 31, 2005 $48,249 $-- $9,888 $3,513
- -------------------------------------------------------------------------------
WAIVERS AND REIMBURSEMENTS OF EXPENSES. The Manager has voluntarily agreed to
waive management fees and/or reimburse the Fund for certain expenses so that
"Total Annual Fund Operating Expenses" will not exceed 0.80% for Class A shares
and 1.55% for Class B, and Class C shares, respectively. During the year ended
July 31, 2005, the Manager waived management fees and/or reimbursed fees of the
Fund in the amounts of $186,081, $10,876 and $98,078 for Class A, Class B and
Class C shares, respectively. The voluntary waivers described above may be
amended or withdrawn at any time.
OFS has voluntarily agreed to limit transfer and shareholder servicing
agent fees for all classes to 0.35% of average annual net assets per class. This
undertaking may be amended or withdrawn at any time.
- --------------------------------------------------------------------------------
5. ILLIQUID SECURITIES
As of July 31, 2005, investments in securities included issues that are
illiquid. A security may be considered illiquid if it lacks a readily available
market or if its valuation has not changed for a certain period of time. The
Fund will not invest more than 15% of its net assets (determined at the time of
purchase and reviewed periodically) in illiquid securities. Securities that are
illiquid are marked with the applicable footnote on the Statement of
Investments.
- --------------------------------------------------------------------------------
6. BORROWINGS
The Fund can borrow money from banks in amounts up to one-third of its total
assets (including the amount borrowed) less all liabilities and indebtedness
other than borrowings to purchase portfolio securities, to meet redemption
obligations or for temporary and emergency purposes. The purchase of securities
with borrowed funds creates leverage in the Fund. Until terminated on January
21, 2005, the Fund had entered into an agreement which enabled it to participate
with certain other Oppenheimer funds in a committed, unsecured line of credit
with a bank, which permitted borrowings up to $540 million, collectively.
Interest was charged to each fund, based on its borrowings, at a rate equal to
the Federal Funds Rate plus 0.75%. The Fund also paid a commitment fee equal to
its pro rata share of the average unutilized amount of the credit facility at a
rate of 0.09% per annum.
Effective January 21, 2005 the Fund entered into a Revolving Credit and
Security Agreement (the "Agreement") with a conduit lender and a bank which
enables it to participate with certain other Oppenheimer funds in a committed,
secured borrowing facility that permits borrowings of up to $800 million,
collectively. To secure the loan,
55 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
NOTES TO FINANCIAL STATEMENTS Continued
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
6. BORROWINGS Continued
the Fund pledges investment securities in accordance with the terms of the
Agreement. Interest is charged to the Fund, based on its borrowings, at current
commercial paper issuance rates (3.3439% as of July 31, 2005). The Fund pays
additional fees of 0.30% per annum on its outstanding borrowings to manage and
administer the facility and is allocated its pro-rata share of a 0.13% per annum
commitment fee for a liquidity backstop facility with respect to the $800
million facility size.
For the year ended July 31, 2005, the average daily loan balance was
$7,420,822 at an average daily interest rate of 2.752%. The Fund had borrowings
outstanding of $7,200,000 at July 31, 2005 at an interest rate of 3.3439%. The
Fund had gross borrowings and gross loan repayments of $39,600,000 and
$37,000,000, respectively, during the year ended July 31, 2005. The maximum
amount of borrowings outstanding at any month-end during the year ended July 31,
2005 was $14,000,000. The Fund paid $16,147 in fees and $187,185 in interest
during the year ended July 31, 2005.
- --------------------------------------------------------------------------------
7. LITIGATION
A consolidated amended complaint has been filed as putative derivative and class
actions against the Manager, OFS and the Distributor, as well as 51 of the
Oppenheimer funds (as "Nominal Defendants") excluding the Fund, 30 present and
former Directors or Trustees and 8 present and former officers of the funds.
This complaint, initially filed in the U.S. District Court for the Southern
District of New York on January 10, 2005 and amended on March 4, 2005,
consolidates into a single action and amends six individual previously filed
putative derivative and class action complaints. Like those prior complaints,
the complaint alleges 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 assets of the funds to make
those payments in violation of the Investment Company Act of 1940 and the
Investment Advisers Act of 1940. Also, like those prior complaints, the
complaint further alleges that by permitting and/or participating in those
actions, the Directors/Trustees and the Officers breached their fiduciary duties
to shareholders of the funds under the Investment Company Act of 1940 and at
common law. The complaint seeks unspecified compensatory and punitive damages,
rescission of the funds' investment advisory agreements, an accounting of all
fees paid, and an award of attorneys' fees and litigation expenses.
The defendants believe that the allegations contained in the Complaints
are without merit and that they have meritorious defenses against the claims
asserted. The defendants intend to defend these lawsuits vigorously and to
contest any claimed liability. The defendants believe that it is premature to
render any opinion as to the likelihood of an outcome unfavorable to them and
that no estimate can yet be made with any degree of certainty as to the amount
or range of any potential loss.
56 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
TO THE SHAREHOLDERS AND BOARD OF TRUSTEES OF
OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
We have audited the accompanying statement of assets and liabilities of
Oppenheimer Limited Term California Municipal Fund (the "Fund"), including the
statement of investments, as of July 31, 2005, and the related statements of
operations and cash flows for the year then ended, the statements of changes in
net assets for the year then ended and for the period from February 25, 2004
(commencement of operations) to July 31, 2004 and the financial highlights for
each of the periods indicated therein. These financial statements and financial
highlights are the responsibility of the Fund's management. Our responsibility
is to express an opinion on these financial statements and financial highlights
based on our audit.
We conducted our audits in accordance with the standards of the Public
Company Accounting Oversight Board (United States). Those standards require that
we plan and perform the audits to obtain reasonable assurance about whether the
financial statements and financial highlights are free of material misstatement.
We were not engaged to perform an audit of the Fund's internal control over
financial reporting. Our audits included consideration of internal control over
financial reporting as a basis for designing audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Fund's internal control over financial
reporting. Accordingly, we express no such opinion. An audit includes examining,
on a test basis, evidence supporting the amounts and disclosures in the
financial statements. Our procedures included confirmation of securities owned
as of July 31, 2005, by correspondence with the custodian or by other
appropriate auditing procedures where replies from brokers were not received. An
audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position of
Oppenheimer Limited Term California Municipal Fund at July 31, 2005, the results
of its operations and cash flows for the year then ended, and the changes in net
assets for the year then ended and for the period from February 25, 2004
(commencement of operations) to July 31, 2004 and the financial highlights for
each of the periods indicated therein in conformity with U.S. generally accepted
accounting principles.
/s/ Ernst & Young LLP
New York, New York
August 30, 2005
57 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
FEDERAL INCOME TAX INFORMATION Unaudited
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
In early 2006, if applicable, shareholders of record will receive information
regarding all dividends and distributions paid to them by the Fund during
calendar year 2005. Regulations of the U.S. Treasury Department require the Fund
to report this information to the Internal Revenue Service.
None of the dividends paid by the Fund during the year ended July 31, 2005
are eligible for the corporate dividend-received deduction. The dividends were
derived from interest on municipal bonds and are not subject to federal income
taxes. To the extent a shareholder is subject to any state or local tax laws,
some or all of the dividends received may be taxable.
The foregoing information is presented to assist shareholders in reporting
distributions received from the Fund to the Internal Revenue Service. Because of
the complexity of the federal regulations which may affect your individual tax
return and the many variations in state and local tax regulations, we recommend
that you consult your tax advisor for specific guidance.
58 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
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
http://www.sec.gov. Those forms may be reviewed and copied and the SEC's Public
Reference Room in Washington D.C and information on the operation of the Public
Reference Room may be obtained by calling 1-800-SEC-0330.
59 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
BOARD APPROVAL OF THE FUND'S INVESTMENT
ADVISORY AGREEMENT Unaudited
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
The Investment Company Act requires that the Board request and evaluate, and
that the Manager provide, such information as may be reasonably necessary to
evaluate the terms of the advisory agreement. For the initial approval of the
Fund's investment advisory agreement, the Board considered the factors discussed
below.
NATURE AND EXTENT OF SERVICES. In considering the initial approval of the
Fund's advisory agreement, the Board evaluated the nature and extent of the
services to be provided by the Manager and its affiliates. The investment
advisory agreement requires the Manager, at its expense, to provide the Fund
with office space, facilities and equipment; administrative, clerical, legal and
compliance personnel; marketing and sales support; securities trading services;
oversight of third party service providers and the services of the Manager's
Asset Allocation Team, who will provide advisory services in regard to the
Fund's investments. The Manager selects securities for the Fund and handles its
day-to-day business. Other members of the Manager's Rochester Division provide
the portfolio manager with counsel and support in managing the Fund. The
portfolio manager and the other members of the portfolio management team are
employed by the Manager. The Fund pays expenses not expressly assumed by the
Manager under the investment advisory agreement.
QUALITY OF SERVICES. The Board also considered the quality of the services
to be provided and the quality of the Manager's resources that will be available
to the Fund. The Board noted that the Manager has had over forty years of
experience as an investment adviser and that its assets under management rank it
among the top mutual fund managers in the United States. The Board evaluated the
Manager's administrative, accounting, legal and compliance services based on
information it has received regarding the experience and professional
qualifications of the Manager's personnel and the size and functions of its
staff. The Board also considered their own experiences as directors or trustees
of other funds advised by the Manager. The Board has also received and reviewed
information regarding the quality of services provided by affiliates of the
Manager at other times during the year, in connection with the renewal of those
affiliates' service agreements with other funds. The Board considered that the
relatively low redemption rate for funds advised by the Manager provided an
indication of shareholder satisfaction with the overall level of services
provided by the Manager.
PORTFOLIO MANAGEMENT SERVICES AND PERFORMANCE. In its evaluation of the
quality of the portfolio management services to be provided, the Board
considered the experience of Ronald H. Fielding and the Manager's Rochester
Division investment team and analysts. A portfolio management team comprised of
Mr. Fielding and other investment professionals from the Manager's Rochester
Division are primarily responsible for the
60 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
day-to-day management of the Fund's portfolio. Mr. Fielding has had over 27
years of experience managing municipal bond/tax-exempt investments. He has been
a Senior Vice President of the Manager since January 1996 and is a Vice
President of the Fund. Mr. Fielding serves in a similar capacity for other
Oppenheimer funds. The Board also considered the historical performance of other
funds advised by the Manager.
MANAGEMENT FEES AND EXPENSES. The Board considered information regarding
the fees to be paid to the Manager and its affiliates. The Board also considered
the other expenses that will be borne both directly and indirectly by the Fund
and the comparability of the fees and services of the Fund to the fees and
services of other types of entities advised by the Manager.
PROFITABILITY OF THE MANAGER AND AFFILIATES. The Board also considered the
cost of services to be provided by the Manager and its affiliates. The Board
considered that the Manager must be able to pay and retain experienced
professional personnel at competitive rates to provide services to the Fund and
that maintaining the financial viability of the Manager is important in order
for the Manager to continue to provide significant services to the Fund and its
shareholders. In addition the Board considered the potential direct and indirect
benefits the Manager may receive as a result of its relationship with the Fund,
including compensation to be paid to the Manager's affiliates and research that
may be provided to the Manger in connection with permissible brokerage
arrangements (soft dollar arrangements).
ECONOMIES OF SCALE. The Board reviewed the extent to which the Manager may
realize economies of scale in managing and supporting the Fund and the Fund's
breakpoint schedule, which provides that the advisory fee will decline on
additional assets as the Fund grows.
CONCLUSIONS. These factors were also considered by the independent
Trustees meeting separately from the full Board. Based on its review and
evaluations described above, the Board, including a majority of the independent
Trustees, concluded that the nature, extent and quality of the services to be
provided to the Fund by the Manager would be a benefit to the Fund and would be
in the best interest of the Fund's shareholders and that the amount and
structure of the compensation to be received by the Manager and its affiliates
are reasonable in relation to the services to be provided. Accordingly, the
Board approved the Fund's investment advisory agreement. In arriving at a
decision, the Board did not single out any one factor or group of factors as
being more important than other factors, but considered all factors together.
The Board judged the terms and conditions of the advisory agreement, including
the management fee, in light of all of the surrounding circumstances.
61 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
TRUSTEES AND OFFICERS Unaudited
- --------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------
NAME, POSITION(S) HELD WITH PRINCIPAL OCCUPATION(S) DURING PAST 5 YEARS; OTHER TRUSTEESHIPS/DIRECTORSHIPS HELD
FUND, LENGTH OF SERVICE, AGE BY TRUSTEE; NUMBER OF PORTFOLIOS IN FUND COMPLEX CURRENTLY OVERSEEN BY TRUSTEE
INDEPENDENT THE ADDRESS OF EACH INDEPENDENT TRUSTEE AND INTERESTED TRUSTEE IN THE CHARTS BELOW
TRUSTEES IS 6803 S. TUCSON WAY, CENTENNIAL, CO 80112-3924. EACH TRUSTEE SERVES FOR AN
INDEFINITE TERM OR UNTIL HIS OR HER RESIGNATION, RETIREMENT, DEATH OR REMOVAL.
PETER I. WOLD, President of Wold Oil Properties, Inc. (oil and gas exploration and production
Chairman of the Board company) (since 1994); Vice President, Secretary and Treasurer of Wold Trona
and Trustee (since 2004) Company, Inc. (soda ash processing and production) (since 1996); Vice President
Age: 57 of Wold Talc Company, Inc. (talc mining) (since 1999); Managing Member of
Hole-in-the-Wall Ranch (cattle ranching) (since 1979); Director and Chairman
of the Denver Branch of the Federal Reserve Bank of Kansas City (1993-1999);
and Director of PacifiCorp. (electric utility) (1995-1999). Oversees 39 portfolios
in the OppenheimerFunds complex.
RONALD J. ABDOW, Chairman of Abdow Corporation (operator of restaurants) (since 1959); Trustee of
Trustee (since 2004) the following real estate businesses (owners and operators of restaurants): G&R
Age: 73 Realty Co. (since 1973), G&R Trust Co. (since 1973), Abdow Partnership (since
1975), Auburn Associates (since 1983) and Hazard Associates (since 1985); Trustee
of the following open-end investment companies: MML Series Investment Fund II
(since 2005), MassMutual Premier Funds (since 2004), MML Series Investment Fund
(1993-2005) and of MassMutual Select Funds (formerly MassMutual Institutional
Funds) (1994-2004); Trustee of Bay State Health System (health services) (since
1994); Chairman of Western Mass Development Corp. (non-profit land development)
(since 1996); and Chairman of American International College (non-profit college)
(since 1991). Oversees 15 portfolios in the OppenheimerFunds complex.
JOSEPH M. WIKLER, Director of the following medical device companies: Medintec (since 1992)
Trustee (since 2004) and Cathco (since 1996); Director of Lakes Environmental Association (since
Age: 64 1996); Member of the Investment Committee of the Associated Jewish Charities
of Baltimore (since 1994); Director of Fortis/Hartford mutual funds (1994-
December 2001). Oversees 39 portfolios in the OppenheimerFunds complex.
- -----------------------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE
EUSTIS WALCOTT, Principal with Ardsley Associates (consulting firm) (since 2000); Director of
Trustee (since 2004) Cornerstone Real Estate Advisors LLC (real estate equity investment management
Age: 67 services) (affiliate of the Manager) (since October 2000); Director of MML Investors
Services (individual retirement, insurance, investment, and life event planning
products and services company) (affiliate of the Manager) (since October 2000);
Trustee of OFI Trust Company (affiliate of the Manager) (since 2001); Trustee of the
American International College (1995-December 2003); Senior Vice President of
Massachusetts Mutual Life Insurance Company (insurance and annuity products)
(Manager's indirect parent company) (May 1990-July 2000); Member of the Board of
MassMutual Foundation for Hartford, Inc. (charitable organization) (since 1996);
Vice President of MassMutual Foundation for Hartford, Inc. (since 1997). Oversees 15
port- folios in the OppenheimerFunds complex.
62 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
- -----------------------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE THE ADDRESS OF MR. MURPHY IS TWO WORLD FINANCIAL CENTER, 225 LIBERTY STREET, NEW
AND OFFICER YORK, NY 10281-1008. MR. MURPHY SERVES AS TRUSTEE FOR AN INDEFINITE TERM AND AS AN
OFFICER FOR AN ANNUAL TERM, OR UNTIL HIS RESIGNATION, DEATH OR REMOVAL.
JOHN V. MURPHY, Chairman, Chief Executive Officer and Director (since June 2001) and President
President and Trustee (since September 2000) of the Manager; President and Director or Trustee of other
(since 2004) Oppenheimer funds; President and Director of Oppenheimer Acquisition Corp. ("OAC")
Age: 56 (the Manager's parent holding company) (since July 2001) and of Oppenheimer
Partnership Holdings, Inc. (holding company subsidiary of the Manager) (since July
2001); Director of OppenheimerFunds Distributor, Inc. (subsidiary of the Manager)
(since November 2001); Chairman and Director of Shareholder Services, Inc. and of
Shareholder Financial Services, Inc. (transfer agent subsidiaries of the Manager)
(since July 2001); President and Director of OppenheimerFunds Legacy Program
(charitable trust program established by the Manager) (since July 2001); Director of
the following investment advisory subsidiaries of the Manager: OFI Institutional
Asset Management, Inc., Centennial Asset Management Corporation, Trinity Investment
Management Corporation and Tremont Capital Management, Inc. (since November 2001),
HarbourView Asset Management Corporation and OFI Private Investments, Inc. (since
July 2001); President (since November 1, 2001) and Director (since July 2001) of
Oppenheimer Real Asset Management, Inc.; Executive Vice President of Massachusetts
Mutual Life Insurance Company (OAC's parent company) (since February 1997); Director
of DLB Acquisition Corporation (holding company parent of Babson Capital Management
LLC) (since June 1995); Member of the Investment Company Institute's Board of
Governors (since October 3, 2003); Chief Operating Officer of the Manager (September
2000-June 2001); President and Trustee of MML Series Investment Fund and MassMutual
Select Funds (open-end investment companies) (November 1999-November 2001); Director
of C.M. Life Insurance Company (September 1999-August 2000); President, Chief
Executive Officer and Director of MML Bay State Life Insurance Company (September
1999-August 2000); Director of Emerald Isle Bancorp and Hibernia Savings Bank
(wholly-owned subsidiary of Emerald Isle Bancorp) (June 1989-June 1998). Oversees 67
portfolios as a trustee or director and 20 additional portfolios as officer in the
OppenheimerFunds complex.
- -----------------------------------------------------------------------------------------------------------------------
OFFICERS THE ADDRESSES OF THE OFFICERS IN THE CHART BELOW ARE AS FOLLOWS: FOR MR. ZACK, TWO
WORLD FINANCIAL CENTER, 225 LIBERTY STREET, NEW YORK, NY 10281-1008; FOR MR. WIXTED
AND MR. VANDEHEY, 6803 S. TUCSON WAY, CENTENNIAL, CO 80112-3924 AND FOR MR. FIELDING,
350 LINDEN OAKS, ROCHESTER, NY 14625. EACH OFFICER SERVES FOR AN ANNUAL TERM OR UNTIL
HIS RESIGNATION, DEATH OR REMOVAL.
RONALD H. FIELDING, Senior Vice President of the Manager (since January 1996); Chairman of the
Vice President (since 2002) Rochester Division of the Manager (since January 1996). An officer of 10 portfolios
Age: 56 in the OppenheimerFunds complex.
BRIAN W. WIXTED, Senior Vice President and Treasurer of the Manager (since March 1999);
Treasurer and Principal Treasurer of the following: HarbourView Asset Management Corporation,
Financial Accounting Officer Shareholder Financial Services, Inc., Shareholder Services, Inc., Oppenheimer
(since 2004) Real Asset Management Corporation, and Oppenheimer Partnership Holdings,
Age: 45 Inc. (since March 1999), OFI Private Investments, Inc. (since March 2000),
OppenheimerFunds International Ltd. (since May 2000), OppenheimerFunds
plc (since May 2000), OFI Institutional Asset Management, Inc. (since November
2000), and OppenheimerFunds Legacy Program (charitable trust program
established by the Manager) (since June 2003); Treasurer and Chief Financial
Officer of OFI Trust Company (trust company subsidiary of the Manager)
(since May 2000); Assistant Treasurer of the following: OAC (since March 1999),
63 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
TRUSTEES AND OFFICERS Unaudited / Continued
- --------------------------------------------------------------------------------
BRIAN W. WIXTED, Centennial Asset Management Corporation (March 1999-October 2003) and
Continued OppenheimerFunds Legacy Program (April 2000-June 2003); Principal and Chief
Operating Officer of Bankers Trust Company-Mutual Fund Services Division
(March 1995-March 1999). An officer of 87 portfolios in the OppenheimerFunds
complex.
ROBERT G. ZACK, Executive Vice President (since January 2004) and General Counsel (since
Secretary (since 2004) March 2002) of the Manager; General Counsel and Director of the Distributor
Age: 56 (since December 2001); General Counsel of Centennial Asset Management
Corporation (since December 2001); Senior Vice President and General Counsel
of HarbourView Asset Management Corporation (since December 2001);
Secretary and General Counsel of OAC (since November 2001); Assistant
Secretary (since September 1997) and Director (since November 2001) of
OppenheimerFunds International Ltd. and OppenheimerFunds plc; Vice
President and Director of Oppenheimer Partnership Holdings, Inc. (since
December 2002); Director of Oppenheimer Real Asset Management, Inc.
(since November 2001); Senior Vice President, General Counsel and Director
of Shareholder Financial Services, Inc. and Shareholder Services, Inc. (since
December 2001); Senior Vice President, General Counsel and Director of OFI
Private Investments, Inc. and OFI Trust Company (since November 2001); Vice
President of OppenheimerFunds Legacy Program (since June 2003); Senior Vice
President and General Counsel of OFI Institutional Asset Management, Inc.
(since November 2001); Director of OppenheimerFunds (Asia) Limited (since
December 2003); Senior Vice President (May 1985-December 2003), Acting
General Counsel (November 2001-February 2002) and Associate General
Counsel (May 1981-October 2001) of the Manager; Assistant Secretary of
the following: Shareholder Services, Inc. (May 1985-November 2001), Shareholder
Financial Services, Inc. (November 1989-November 2001), and OppenheimerFunds
International Ltd. (September 1997-November 2001). An officer of 87 portfolios in
the OppenheimerFunds complex.
MARK S. VANDEHEY, Senior Vice President and Chief Compliance Officer of the Manager (since
Vice President and March 2004); Vice President of OppenheimerFunds Distributor, Inc., Centennial
Chief Compliance Asset Management Corporation and Shareholder Services, Inc. (since June 1983).
Officer (since 2004) Former Vice President and Director of Internal Audit of the Manager (1997-
Age: 54 February 2004). An officer of 87 portfolios in the OppenheimerFunds complex.
THE FUND'S STATEMENT OF ADDITIONAL INFORMATION CONTAINS ADDITIONAL INFORMATION
ABOUT THE FUND'S TRUSTEES AND IS AVAILABLE WITHOUT CHARGE UPON REQUEST.
64 | OPPENHEIMER LIMITED TERM CALIFORNIA MUNICIPAL FUND
ITEM 2. CODE OF ETHICS.
The registrant has adopted a code of ethics that applies to the registrant's
principal executive officer, principal financial officer, principal accounting
officer or controller or persons performing similar functions.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The Board of Trustees of the registrant 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.
(a) Audit Fees
The principal accountant for the audit of the registrant's annual financial
statements billed $19,450 in fiscal 2005 and $22,250 in fiscal 2004.
(b) Audit-Related Fees
The principal accountant for the audit of the registrant's annual financial
statements billed no such fees during the last two fiscal years.
The principal accountant for the audit of the registrant's annual financial
statements billed no such fees during the last two fiscal years to the
registrant's investment adviser or any entity controlling, controlled by, or
under common control with the adviser that provides ongoing services to the
registrant.
(c) Tax Fees
The principal accountant for the audit of the registrant's annual financial
statements billed no such fees to the registrant during the last two fiscal
years.
The principal accountant for the audit of the registrant's annual financial
statements billed no such fees during the last two fiscal years to the
registrant's investment adviser or any entity controlling, controlled by, or
under common control with the adviser that provides ongoing services to the
registrant.
(d) All Other Fees
The principal accountant for the audit of the registrant's annual financial
statements billed no such fees to the registrant during the last two fiscal
years.
The principal accountant for the audit of the registrant's annual financial
statements billed $144,658 in fiscal 2005 and no such fees during fiscal 2004 to
the registrant's investment adviser or any entity controlling, controlled by, or
under common control with the adviser that provides ongoing services to the
registrant.
Such fees would include the cost related to the development and customization of
software.
(e) (1) During its regularly scheduled periodic meetings, the registrant's
audit committee will pre-approve all audit, audit-related, tax and other
services to be provided by the principal accountants of the registrant.
The audit committee has delegated pre-approval authority to its Chairman
for any subsequent new engagements that arise between regularly scheduled
meeting dates provided that any fees such pre-approved are presented to
the audit committee at its next regularly scheduled meeting.
Under applicable laws, pre-approval of non-audit services maybe waived
provided that: 1) the aggregate amount of all such services provided
constitutes no more than five percent of the total amount of fees paid by
the registrant to it principal accountant during the fiscal year in which
services are provided 2) such services were not recognized by the
registrant at the time of engagement as non-audit services and 3) such
services are promptly brought to the attention of the audit committee of
the registrant and approved prior to the completion of the audit.
(2) 100%
(f) Not applicable as less than 50%.
(g) The principal accountant for the audit of the registrant's annual
financial statements billed $144,658 in fiscal 2005 and no such fees
during fiscal 2004 to the registrant and the registrant's investment
adviser or any entity controlling, controlled by, or under common control
with the adviser that provides ongoing services to the registrant related
to non-audit fees. Those billings did not include any prohibited non-audit
services as defined by the Securities Exchange Act of 1934.
(h) The registrant's audit committee of the board of trustees has considered
whether the provision of non-audit services that were rendered to the
registrant's investment adviser, and any entity controlling, controlled
by, or under common control with the investment adviser that provides
ongoing services to the registrant that were not pre-approved pursuant to
paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with
maintaining the principal accountant's independence.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
Not applicable.
ITEM 6. SCHEDULE OF INVESTMENTS.
Not applicable
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
THE FUNDS' AUDIT COMMITTEE PROVISIONS WITH RESPECT TO NOMINATIONS OF
DIRECTORS/TRUSTEES TO THE RESPECTIVE BOARDS
1. The Funds' Audit Committee (the "Committee") will evaluate potential Board
candidates to assess their qualifications. The Committee shall have the
authority, upon approval of the Board, to retain an executive search firm to
assist in this effort. The Committee may consider recommendations by business
and personal contacts of current Board members and by executive search firms
which the Committee may engage from time to time and may also consider
shareholder recommendations. The Committee may consider the advice and
recommendation of the Funds' investment manager and its affiliates in making the
selection.
2. The Committee shall screen candidates for Board membership. The Committee has
not established specific qualifications that it believes must be met by a
trustee nominee. In evaluating trustee nominees, the Committee considers, among
other things, an individual's background, skills, and experience; whether the
individual is an "interested person" as defined in the Investment Company Act of
1940; and whether the individual would be deemed an "audit committee financial
expert" within the meaning of applicable SEC rules. The Committee also considers
whether the individual's background, skills, and experience will complement the
background, skills, and experience of other nominees and will contribute to the
Board. There are no differences in the manner in which the Committee evaluates
nominees for trustees based on whether the nominee is recommended by a
shareholder.
3. The Committee may consider nominations from shareholders for the Board at
such times as the Committee meets to consider new nominees for the Board. The
Committee shall have the sole discretion to determine the candidates to present
to the Board and, in such cases where required, to shareholders. Recommendations
for trustee nominees should, at a minimum, be accompanied by the following:
o the name, address, and business, educational, and/or other pertinent
background of the person being recommended;
o a statement concerning whether the person is an "interested person"
as defined in the Investment Company Act of 1940;
o any other information that the Funds would be required to include in
a proxy statement concerning the person if he or she was nominated;
and
o the name and address of the person submitting the recommendation
and, if that person is a shareholder, the period for which that
person held Fund shares.
The recommendation also can include any additional information which the person
submitting it believes would assist the Committee in evaluating the
recommendation.
4. Shareholders should note that a person who owns securities issued by
Massachusetts Mutual Life Insurance Company (the parent company of the Funds'
investment adviser) would be deemed an "interested person" under the Investment
Company Act of 1940. In addition, certain other relationships with Massachusetts
Mutual Life Insurance Company or its subsidiaries, with registered
broker-dealers, or with the Funds' outside legal counsel may cause a person to
be deemed an "interested person."
5. Before the Committee decides to nominate an individual as a trustee,
Committee members and other directors customarily interview the individual in
person. In addition, the individual customarily is asked to complete a detailed
questionnaire which is designed to elicit information which must be disclosed
under SEC and stock exchange rules and to determine whether the individual is
subject to any statutory disqualification from serving as a trustee of a
registered investment company.
ITEM 11. CONTROLS AND PROCEDURES.
Based on their evaluation of the registrant's disclosure controls and procedures
(as defined in rule 30a-3(c) under the Investment Company Act of 1940 (17 CFR
270.30a-3(c)) as of July 31, 2005, the registrant's principal executive officer
and principal financial officer found the registrant's disclosure controls and
procedures to provide reasonable assurances that information required to be
disclosed by the 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.
There have been no changes in the registrant's internal controls over financial
reporting that occurred during the registrant's second fiscal quarter of the
period covered by this report that have materially affected, or are reasonably
likely to materially affect, the registrant's internal control over financial
reporting.
ITEM 12. EXHIBITS.
(a) (1) Exhibit attached hereto.
(2) Exhibits attached hereto.
(3) Not applicable.
(b) Not applicable.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
Oppenheimer Limited Term California Municipal Fund
By: /s/ John V. Murphy
------------------
John V. Murphy
Principal Executive Officer
Date: September 13, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By: /s/ John V. Murphy
------------------
John V. Murphy
Principal Executive Officer
Date: September 13, 2005
By: /s/ Brian W. Wixted
-------------------
Brian W. Wixted
Principal Financial Officer
Date: September 13, 2005