UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-CSR/A
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-04550
THE MAINSTAY FUNDS
(Exact name of Registrant as specified in charter)
51 Madison Avenue, New York, NY 10010
(Address of principal executive offices) (Zip code)
Marguerite E.H. Morrison, Esq.
169 Lackawanna Avenue
Parsippany, NJ 07054
(Name and address of agent for service)
Registrant's telephone number, including area code: (973) 394-4437
Date of fiscal year end: October 31
Date of reporting period: October 31, 2007
Explanatory Note
The Registrant is filing this amendment to its Form N-CSR for the period ended
October 31, 2007, originally filed with the Securities and Exchange Commission
on January 7, 2008 (Accession Number 0000950123-08-000133) to amend Item 4,
"Audit Fees." The purpose of the amendment to Item 4 is to amend information
related to the fiscal year ended 2007.
Items 1, 2, 3, and 5 through 11 to this Form N-CSR are incorporated by reference
to the Form N-CSR filed on EDGAR on January 7, 2008 (Accession Number
0000950123-08-000133).
FORM N-CSR/A
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Audit Fees
The aggregate fees billed for the fiscal year ended October 31, 2007 for
professional services rendered by KPMG LLP ("KPMG") for the audit of the
Registrant's annual financial statements or services that are normally provided
by KPMG in connection with statutory and regulatory filings or engagements for
that fiscal year were $747,000.
The aggregate fees billed for the fiscal year ended October 31, 2006 for
professional services rendered by KPMG for the audit of the Registrant's annual
financial statements or services that are normally provided by KPMG in
connection with statutory and regulatory filings or engagements for that fiscal
year were $812,750.
(b) Audit Related Fees
The aggregate fees billed for assurance and related services by KPMG that are
reasonably related to the performance of the audit of the Registrant's financial
statements and are not reported under paragraph (a) of this Item were: (i)
$5,000 for the fiscal year ended October 31, 2007, and (ii) $0 for the fiscal
year ended October 31, 2006. These audit-related services include review of
financial highlights for Registrant's registration statements and issuance of
consents to use of the auditor's reports.
(c) Tax Fees
The aggregate fees billed for professional services rendered by KPMG for tax
compliance, tax advice, and tax planning were: (i) $98,450 during the fiscal
year ended October 31, 2007, and (ii) $90,100 during the fiscal year ended
October 31, 2006. These services primarily included preparation of federal,
state and local income tax returns and excise tax returns, as well as services
relating to excise tax distribution requirements.
(d) All Other Fees
The aggregate fees billed for products and services provided by KPMG, other than
the services reported in paragraphs (a) through (c) of this Item were: (i)
$0 during the fiscal year ended October 31, 2007, and (ii) $0 during the
fiscal year ended October 31, 2006.
(e) Pre-Approval Policies and Procedures
(1) The Registrant's Audit and Compliance Committee has adopted
pre-approval policies and procedures (the "Procedures") to govern the
Committee's pre-approval of (i) all audit services and permissible
non-audit services to be provided to the Registrant by its independent
accountant, and (ii) all permissible non-audit services to be provided by
such independent accountant to the Registrant's investment adviser and to
any entity controlling, controlled by or under common control with the
investment adviser that provides ongoing services to the Registrant
(collectively, the "Service Affiliates") if the services directly relate to
the Registrant's operations and financial reporting. In accordance with the
Procedures, the Audit and Compliance Committee is responsible for the
engagement of the independent accountant to certify the Registrant's
financial statements for each fiscal year. With respect to the pre-approval
of non-audit services provided to the Registrant and its Service
Affiliates, the Procedures provide that the Audit and Compliance Committee
may annually pre-approve a list of the types of services that may be
provided to the Registrant or its Service Affiliates, or the Audit and
Compliance Committee may pre-approve such services on a project-by-project
basis as they arise. Unless a type of service has received general
pre-approval, it will require specific pre-approval by the Audit and
Compliance Committee if it is to be provided by the independent accountant.
The Procedures also permit the Audit and Compliance Committee to delegate
authority to one or more of its members to pre-approve any proposed
non-audit services that have not been previously pre-approved by the Audit
and Compliance Committee, subject to the ratification by the full Audit and
Compliance Committee no later than its next scheduled meeting. To date, the
Audit and Compliance Committee has not delegated such authority.
(2) With respect to the services described in paragraphs (b) through (d) of
this Item 4, no amount was approved by the Audit and Compliance Committee
pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) There were no hours expended on KPMG's engagement to audit the Registrant's
financial statements for the most recent fiscal year attributable to work
performed by persons other than KPMG's full-time, permanent employees.
(g) All non-audit fees billed by KPMG for services rendered to the Registrant
for the fiscal years ended October 31, 2007 and October 31, 2006 are disclosed
in 4(b)-(d) above.
The aggregate non-audit fees billed by KPMG for services rendered to the
Registrant's investment adviser (not including any sub-adviser whose role is
primarily portfolio management and is subcontracted with or overseen by another
investment adviser), and any entity controlling, controlled by, or under common
control with the adviser that provides ongoing services to the Registrant were
approximately: (i) $33,750 for the fiscal year ended October 31, 2007, and
(ii) $25,000 for the fiscal year ended October 31, 2006.
(h) The Registrant's Audit and Compliance Committee has determined that the
non-audit services rendered by KPMG for the fiscal year ended October 31, 2007
to the Registrant's investment adviser and any entity controlling, controlled
by, or under common control with the Registrant's investment adviser that
provides ongoing services to the Registrant that were not required to be
pre-approved by the Audit and Compliance Committee because they did not relate
directly to the operations and financial reporting of the registrant were
compatible with maintaining the respective independence of KPMG during the
relevant time period.
ITEM 12. EXHIBITS.
(a)(1) Code of Ethics
(a)(2) Certifications of principal executive officer and principal financial
officer as required by Rule 30a-2 under the Investment Company Act of 1940.
(b) Certifications of principal executive officer and principal financial
officer as required by Section 906 of the Sarbanes-Oxley Act of 2002.
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.
THE MAINSTAY FUNDS
By: /s/ Stephen P. Fisher
---------------------------------
Stephen P. Fisher
President
Date: March 5, 2008
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/ Stephen P. Fisher
---------------------------------
Stephen P. Fisher
President
Date: March 5, 2008
By: /s/ Jack R. Benintende
---------------------------------
Jack R. Benintende
Treasurer and Principal Financial
and Accounting Officer
Date: March 5, 2008
EXHIBIT INDEX
(a)(1) Code of Ethics - filed as Exhibit (a)(1) to Form N-CSR filed on EDGAR on
January 7, 2008 (Accession Number 0000950123-08-000133).
(a)(2) Certifications of principal executive officer and principal financial
officer as required by Rule 30a-2 under the Investment Company Act of 1940.
(b) Certification of principal executive officer and principal financial officer
as required by Section 906 of the Sarbanes-Oxley Act of 2002.