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 811-09541
Ameriprime Advisors Trust (Exact name of registrant as specified
in charter)
431 N. Pennsylvania St. Indianapolis, IN 46204 (Address of
principal executive offices) (Zip code)
Timothy Ashburn, Unified Funds Services 431 N. Pennsylvania St.
Indianapolis, IN
46204 (Name and address of agent for service)
Registrant's telephone number, including area code: 317-917-7000
Date of fiscal year end: 12/31
Date of reporting period: 12/31/02
Form N-CSR is to be used by management investment companies to
file reports with the Commission not later than 10 days after the
transmission to stockholders of any report that is required to be
transmitted to stockholders under Rule 30e-1 under the Investment
Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the
information provided on Form N-CSR in its regulatory, disclosure
review, inspection and policymaking roles.
A registrant is required to disclose the information specified by
Form N-CSR, and the Commission will make this information public. A
registrant is not required to respond to the collection of information
contained in Form N-CSR unless the Form displays a currently valid
Office of Management and Budget ("OMB") control number. Please direct
comments concerning the accuracy of the information collection burden
estimate and any suggestions for reducing the burden to Secretary,
Securities and Exchange Commission, 450 Fifth Street, NW, Washington,
DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. 3507.
<page>
Item 1. Reports to Stockholders.
Management Discussion and Analysis
Investment Results Period Ended December 31, 2002
As indicated by the following chart, the Institutional Short-Term
Government Bond Fund (the Fund) outperformed the 1-Year Constant
Maturity Treasury Index (the Index) in fiscal year 2002. In 2002, the
Fund maintained an effective duration between .5 and .9 years while
the duration of the Index was 1.0 year. The primary reason for
outperforming the Index was utilizing a barbell portfolio strategy.
This strategy combines bonds with longer and shorter durations to
construct a desired overall portfolio duration. The steep yield curve
assisted in making this a very effective investment strategy for 2002.
We are pleased with the overall results of the Fund. In a year of
extreme uncertainty, we have been able to maintain stability of
principal for the shareholder. The Fund began 2002 with an NAV of
$10.00 and ended the year at $10.00. The fund returned 2.5% in the
form of share dividends. The client base of the Fund, namely Florida
local governments, should be pleased. The return on our shareholders'
main investment alternative, the Florida State Board of
Administration's Local Government Surplus Funds Trust Fund Investment
Pool, was approximately 1.91% for 2002.
Last year was a period of historically low interest rates. The
factors encouraging the Federal Reserve to produce this low rate
environment are well known-fear of a sluggish economy or double-dip
recession, threat of war/terrorism and low inflation. The extent that
these factors remain in 2003 will determine the interest rate
environment and fund performance.
We believe that the current interest rate environment will remain
unchanged for most of 2003. It is our sense that the economy will
continue to struggle with GDP growing at approximately 2%. Inflation
remains in check in the overall economy and should remain so for the
year. While it is impossible to predict the actions of the Federal
Reserve with certainty, it is our position that rates will remain
unchanged for at least the first three quarters of 2003. The first
rate increase may occur in the fourth quarter. However, the situation
in the Middle East could affect the movement in interest rates
depending on the extent and duration of any conflict.
While market conditions will have the greatest effect on the
return of the fund in 2003, we will continue place stability of
principal as the top priority and strive to maintain a competitive
return.
<table>
<s> <c> <c> <c>
Total Return
One Month Six Month Since Inception
Total Return Total Return (January 9, 2002)
--------------------------------------------------------
Institutional Short-Term
Government Bond Fund 0.45% 1.63% 2.52%
1-Year Constant Maturity
Treasury Index 0.12% 0.82% 1.98%
</table>
<table>
<s> <c> <c>
Inst ML Index
1/9/02 250,000.00 250,000.00
1/31/02 250,000.00 251,152.14
2/28/02 250,500.00 252,397.51
3/31/02 249,820.00 250,658.60
4/30/02 250,755.87 253,563.36
5/31/02 251,696.10 254,701.24
6/30/02 252,175.69 256,798.24
7/31/02 252,891.86 259,808.29
8/31/02 253,733.21 260,874.33
9/30/02 254,346.46 262,805.17
10/31/02 255,006.52 263,551.51
11/30/02 255,156.10 262,861.66
12/31/02 256,291.65 265,266.84
</table>
*This chart shows the value of a hypothetical initial investment
of $250,000 in the Fund and the 1-Year Constant Maturity Treasury
Index on January 9, 2002 (commencement of operations) and held through
December 31, 2002. The 1-Year Constant Maturity Treasury Index is an
unmanaged index of US Treasury bonds. Performance figures reflect the
change in value of the bonds in the index and reinvestment of
dividends. The index returns do not reflect expenses, which have been
deducted from the Fund's return. The returns shown do not reflect
deduction of taxes that a shareholder would pay on Fund distributions
or the redemption of Fund shares. THE FUND'S RETURN REPRESENTS PAST
PERFORMANCE AND IS NOT PREDICTIVE OF FUTURE RESULTS.
For a prospectus and more information, including charges and
expenses call 1-877-411-1167. The prospectus should be read carefully
before investing. The Fund is distributed by Unified Financial
Securities, Inc.
Institutional Short Term Government Bond Fund
Schedule of Investments
December 31, 2002
<table>
<s> <c> <c>
Principal
Amount Value
Certificate of Deposit - 0.2%
Western State Bank, Kansas, 3.000%, 4/11/03 100,000 100,185
----------------
TOTAL CERTIFICATE OF DEPOSIT (Cost $100,000) 100,185
----------------
U.S. Government Agency Obligations - 82.8%
Federal Home Loan Mortgage Corp - 26.5%
3.250%, 6/26/06 2,000,000 2,015,988
3.500%, 5/23/07 1,250,000 1,260,635
3.750%, 11/27/07 2,200,000 2,214,397
Pool#M90727, 6.000%, 5/1/07 697,883 724,367
Pool#M90747, 5.500%, 8/1/07 1,748,201 1,820,532
Pool#M90714, 5.000%, 4/1/07 853,713 889,104
Pool#M80753, 6.500%, 5/1/09 1,259,789 1,306,192
Series#2494, 6.000%, 4/15/26 1,000,000 1,047,797
Pool#M80692, 6.500%, 7/1/08 1,453,248 1,506,243
Series#2444, 5.500%, 8/15/20 2,000,000 2,070,240
Series#2430, 5.000%, 4/15/15 1,000,000 1,019,339
----------------
15,874,834
----------------
Federal Home Loan Bank - 39.5%
3.040%, 7/10/06 (b) 3,000,000 3,003,834
3.210%, 6/16/06 2,000,000 2,000,000
3.125%, 9/6/06 2,000,000 2,000,384
3.080%, 12/27/05 2,000,000 2,011,524
3.100%, 3/21/07 500,000 501,974
3.600%, 5/26/06 5,000,000 5,014,435
3.300%, 1/10/06 5,000,000 5,001,530
5.083%, 9/29/08 (a) 1,000,000 1,057,159
3.755%, 11/27/07 2,030,000 2,036,807
1.748%, 4/2/04 (a) 1,000,000 1,000,202
----------------
23,627,849
----------------
Federal National Mortgage Association - 13.4%
3.040%, 10/4/05 2,000,000 2,001,944
2.500%, 5/27/05 2,350,000 2,357,204
4.000%, 10/4/07 1,000,000 1,006,458
Pool#252268, 5.500%, 1/1/09 1,731,948 1,809,482
Series#2002-57, 5.500%, 11/25/13 828,564 854,425
----------------
8,029,513
----------------
GNMA - 3.4%
Series#2002-19, 5.500%, 3/20/25 2,000,000 2,049,826
----------------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS (Cost $49,378,886) 49,582,022
----------------
Money Market Securities - 21.7%
Capital One Money Market, 2.35%, (Cost $1,024,375.22) (a) 1,024,375 1,024,375
Etrade Bank Money Market Plus, 2.47% (Cost $8,976,593.33) (a) 8,976,593 8,976,393
Nations Cash Reserves - Institutional, 1.40% (Cost 2,959,779.37) (a) 2,959,779 2,959,779
----------------
12,960,547
----------------
TOTAL MONEY MARKET SECURITIES (Cost $12,960,548) 12,960,547
----------------
TOTAL INVESTMENTS - 104.7% (Cost $62,439,434) 62,642,754
----------------
----------------
Liabilities in excess of other assets - (4.7)%
(2,794,805)
----------------
----------------
$
TOTAL NET ASSETS - 100.00% 59,847,949
================
(a) Variable rate security; the coupon rate shown represents the
rate at December 31, 2002. (b) Security traded on a when-issued basis.
Actual settlement is to occur January 10, 2003.
</table>
<page>
Institutional Short-Term Government Bond Fund
Statement of Assets and Liabilities
December 31, 2002
<table>
<s> <c>
Assets
$
Investments in securities, at value (cost $62,439,434) 62,642,754
Interest receivable 262,499
-----------------
Total assets 62,905,253
-----------------
Liabilities
Accrued advisory fees 26,606
Other payables and accrued expenses 30,698
Payable for investments purchased 3,000,000
-----------------
Total liabilities 3,057,304
-----------------
$
Net Assets 59,847,949
=================
Net Assets consist of:
Paid in capital 59,767,558
Accumulated net realized gain (loss) on investments (122,929)
Net unrealized appreciation (depreciation) on investments 203,320
-----------------
$
Net Assets, for 5,986,298 shares 59,847,949
=================
Net Asset Value
$
Offering price and redemption price per share ($59,847,949 / 5,986,298) 10.00
=================
</table>
<page>
Institutional Short-Term Government Bond Fund
Statement of Operations
For the period January 9, 2002 (commencement of operations)
through December 31, 2002
<table>
<s> <c>
Investment Income
$
Interest income 1,640,929
----------------
Total Income 1,640,929
----------------
Expenses
Investment adviser fee 517,354
Trustee expenses 2,508
----------------
Total Expenses 519,862
Reimbursed expenses (206,941)
----------------
Total operating expenses 312,921
----------------
Net Investment Income (Loss) 1,328,008
----------------
Realized & Unrealized Gain (Loss)
Net realized gain (loss) on investment securities (122,929)
Change in net unrealized appreciation (depreciation)
on investment securities 203,320
----------------
Net realized and unrealized gain (loss) on investment securities 80,391
----------------
Net increase (decrease) in net assets resulting from operations $
1,408,399
================
</table>
<page>
Institutional Short-Term Government Bond Fund
Statement of Changes In Net Assets
<table>
<s> <c>
Period ended
Increase (Decrease) in Net Assets Dec. 31, 2002 (a)
--------------------
Operations
$
Net investment income (loss) 1,328,008
Net realized gain (loss) on investment securities (122,929)
Change in net unrealized appreciation (depreciation) 203,320
--------------------
Net increase (decrease) in net assets resulting from operations 1,408,399
--------------------
Distributions
From net investment income (1,329,784)
From net realized gain -
--------------------
Total distributions (1,329,784)
--------------------
Capital Share Transactions
Proceeds from shares sold 98,238,029
Reinvestment of distributions 1,098,140
Amount paid for shares repurchased (39,566,835)
--------------------
Net increase (decrease) in net assets resulting
from share transactions 59,769,334
--------------------
Total Increase (Decrease) in Net Assets 59,847,949
--------------------
Net Assets
Beginning of period -
--------------------
$
End of period 59,847,949
====================
Capital Share Transactions
Shares sold 9,837,397
Shares issued in reinvestment of distributions 110,014
Shares repurchased (3,961,113)
--------------------
Net increase (decrease) from capital transactions 5,986,298
====================
</table>
(a) For the period January 9, 2002 (commencement of operations)
through December 31, 2002.
<page>
Institutional Short-Term Government Bond Fund
Financial Highlights
<table>
<s> <c>
Period ended
Dec. 31, 2002 (c)
-------------------
Selected Per Share Data
$
Net asset value, beginning of period 10.00
-------------------
Income from investment operations
Net investment income (loss) 0.25
Net realized and unrealized gain (loss) 0.00
-------------------
Total from investment operations
0.25
-------------------
Less Distributions to shareholders:
From net investment income (0.25)
From net realized gain 0.00
-------------------
Total distributions (0.25)
-------------------
$
Net asset value, end of period 10.00
===================
Total Return 2.52%(b)
Ratios and Supplemental Data
$
Net assets, end of period (000) 59,848
Ratio of expenses to average net assets 0.60% (a)
Ratio of expenses to average net assets
before waiver & reimbursement 1.00% (a)
Ratio of net investment income to
average net assets 2.57% (a)
Ratio of net investment income to
average net assets before waiver & reimbursement 2.17% (a)
Portfolio turnover rate 241.11%
</table>
(a) Annualized. (b) For periods of less than a full year, total
return is not annualized. (c) For the period January 9, 2002
(commencement of operations) to December 31, 2002.
<page>
Institutional Short-Term Government Bond Fund
Notes to Financial Statements
December 31, 2002
NOTE 1. ORGANIZATION
The Institutional Short-Term Government Bond Fund (the "Fund")
was organized as a diversified series of the AmeriPrime Advisers Trust
(the "Trust") on September 20, 2001 and commenced operations January
9, 2002. The Trust is an open-end investment company established under
the laws of Ohio by an Agreement and Declaration of Trust dated August
3, 1999 (the "Trust Agreement"). The Trust Agreement permits the Board
of Trustees to issue an unlimited number of shares of beneficial
interest of series without par value. The Fund is one of a series of
funds currently authorized by the Trustees. The investment objective
of the Fund is a high level of income over the long-term consistent
with the preservation of capital. The investment adviser to the Fund
is Wertz York Capital Management Group, L.L.C. (the "Adviser").
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies
followed by the Fund in the preparation of its financial statements.
Securities Valuations- Securities that are traded on any exchange
or on the NASDAQ over-the-counter market are valued at the last quoted
sale price. Lacking a last sale price, a security is valued at its
last bid price except when, in the Adviser's opinion, the last bid
price does not accurately reflect the current value of the security.
All other securities for which over-the-counter market quotations are
readily available are valued at their last bid price. When market
quotations are not readily available, when the Adviser determines the
last bid price does not accurately reflect the current value or when
restricted securities are being valued, such securities are valued as
determined in good faith by the Adviser, in conformity with guidelines
adopted by and subject to review of the Board of Trustees.
Fixed income securities generally are valued by using market
quotations, but may be valued on the basis of prices furnished by a
pricing service when the Adviser believes such prices accurately
reflect the fair market value of such securities. A pricing service
utilizes electronic data processing techniques based on yield spreads
relating to securities with similar characteristics to determine
prices for normal institutional-size trading units of debt securities
without regard to sale or bid prices. If the Adviser decides that a
price provided by the pricing service does not accurately reflect the
fair market value of the securities, when prices are not readily
available from a pricing service or when restricted or illiquid
securities are being valued, securities are valued at fair value as
determined in good faith by the Adviser, in conformity with guidelines
adopted by and subject to review of the Board of Trustees. Short-term
investments in fixed income securities with maturities of less than 60
days when acquired, or which subsequently are within 60 days of
maturity, are valued by using the amortized cost method of valuation,
which the Board of Trustees has determined will represent fair value.
Federal Income Taxes- The Fund intends to qualify each year as a
'regulated investment company' under the Internal Revenue Code of
1986, as amended. By so qualifying, the Fund will not be subject to
federal income taxes to the extent that it distributes substantially
all of its net investment income and any realized capital gains.
Dividends and Distributions- The Fund intends to distribute
substantially all of its net investment income as dividends to its
shareholders on at least an annual basis. The Fund intends to
distribute its net long-term capital gains and its net short-term
capital gains at least once a year.
Other- The Fund follows industry practice and records security
transactions on the trade date. The specific identification method is
used for determining gains or losses for financial statements and
income tax purposes. Generally accepted accounting principles require
that permanent financial reporting tax differences relating to
shareholder distributions be reclassified to paid in capital.
<page>
Institutional Short-Term Government Bond Fund
Notes to Financial Statements
December 31, 2002
NOTE 3. FEES AND OTHER TRANSACTIONS WITH AFFILIATES
The Fund retains Wertz York Capital Management Group, L.L.C.,
3434 Colwell Ave., Suite 100, Tampa, FL 33614, to manage the Fund's
investments. Mitchell P. York and M. Brent Wertz are primarily
responsible for the day-to-day management of the Fund.
Under the terms of the management agreement, (the "Agreement"),
the Adviser manages the Fund's investments subject to approval of the
Board and pays all of the expenses of the Fund except brokerage fees
and commissions, taxes, borrowing costs (such as interest and dividend
expense on securities sold short), Rule 12b-1 expenses, fees and
expenses of non-interested person trustees and extraordinary expenses.
As compensation for its management services and agreement to pay the
Fund's expenses, the Fund is obligated to pay the Adviser a fee of
1.00% of the average value of the daily net assets of the Fund. It
should be noted that most investment companies pay their own operating
expenses directly, while the Fund's expenses, except those specified
above, are paid by the Adviser. For the period ended December 31,
2002, the Adviser earned a fee of $517,354 from the Fund. The Adviser
has contractually agreed to waive fees and/or reimburse fees to
maintain total operating expenses at 0.60% of net assets. For the
period ended December 31, 2002, the Adviser reimbursed fees and
expenses of $206,941.
The Fund retains Unified Fund Services, Inc. ("Unified"), a
wholly owned subsidiary of Unified Financial Services, Inc., to manage
the Fund's business affairs and to provide the Fund with
administrative, transfer agency, and fund accounting services,
including all regulatory reporting and necessary office equipment and
personnel. The Adviser paid all administrative, transfer agency, and
fund accounting fees on behalf of the Fund per the Agreement. A
Trustee and the officers of the Trust are members of management and/or
employees of Unified.
The Fund retains Unified Financial Securities, Inc., a wholly
owned subsidiary of Unified Financial Services, Inc. to act as the
principle distributor of its shares. There were no payments made to
Unified Financial Securities, Inc. during the period ended December
31, 2002. Timothy L. Ashburn (a Trustee and officer of the Trust) and
Thomas G. Napurano (an officer of the Trust) are a director and
officer, respectively, of the Distributor and of Unified Financial
Services, Inc. (the parent company of the Distributor), and may be
deemed to be affiliates of the Distributor.
NOTE 4. INVESTMENTS
For the period ended December 31, 2002, purchases and sales of
investment securities, other than short-term investments, aggregated
$138,244,210 and $88,701,704, respectively. As of December 31, 2002,
the gross unrealized appreciation for all securities totaled $222,672
and the gross depreciation for all securities totaled $19,352 for a
net unrealized appreciation at $203,320. The aggregate cost of
securities for federal income tax purpose at December 31, 2002 was
$62,439,434.
NOTE 5. ESTIMATES
Preparation of financial statements in accordance with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and the reported amounts of revenues and expenses during
the reporting period. Actual results could differ from those
estimates.
<page>
Institutional Short-Term Government Bond Fund
Notes to Financial Statements
December 31, 2002
NOTE 6. RELATED PARTY TRANSACTIONS
The beneficial ownership, either directly or indirectly, of more
than 25% of the voting securities of a fund creates a presumption of
control of the fund, under Section 2(a)(9) of the Investment Company
Act of 1940. As of December 31, 2002, Suntrust Bank held accounts for
the benefit of others amounting to more than 63% of the Fund.
NOTE 7. CAPITAL LOSS CARRYFORWARDS
At December 31, 2002, the Fund had available for federal tax
purposes an unused capital loss carryforward of $122,929 which expires
in 2010. Capital loss carryforwards are available to offset future
realized capital gains. To the extent that these carryforwards are
used to offset future capital gains, it is probable that the amount,
which is offset, will not be distributed to shareholders.
NOTE 8. DISTRIBUTIONS TO SHAREHOLDERS
The Fund paid monthly distributions of net investment income
totaling $0.25 for the period of January 2, 2002 (commencement of
operations) through December 31, 2002.
The tax character of distributions paid during the fiscal year
2002 is as follows:
<table>
<s> <c>
Distributions paid from: 2002
--------------
Ordinary Income $ 1,329,784
Short-Term Capital Gain 0
Long-Term Capital Gain 0
--------------
$ 1,329,784
==============
</table>
As of December 31, 2002, the components of
distributable earnings on a tax basis were as follows:
<table>
<s> <c>
Undistributable ordinary income $(122,929)
Undistributable long-term capital gain 0
Unrealized appreciation/(depreciation) 203,320
-------------
$ 80,391
=============
</table>
There were no differences between book basis and
tax basis unrealized appreciation.
<page>
ELECTION OF TRUSTEES - UNAUDITED
At a special meeting of the shareholders held on November 22,
2002, a vote was held to elect members to serve on the Board of
Trustees. The vote tally for each Trustee is as follows:
<table>
<s> <c> <c> <c> <c>
For Against Withheld Total
Timothy L. Ashburn 20,758,655.572 12,686.845 15,821,784.991 36,593,127.408
Ronald C. Tritschler 20,758,655.572 12,686.845 15,821,784.991 36,593,127.408
Gary E. Hippenstiel 20,758,655.572 12,686.845 15,821,784.991 36,593,127.408
Stephen A. Little 20,758,655.572 12,686.845 15,821,784.991 36,593,127.408
Daniel Condon 20,758,655.572 12,686.845 15,821,784.991 36,593,127.408
</table>
TRUSTEES AND OFFICERS
The Board of Trustees supervises the business activities of the
Trust. Each Trustee serves as a trustee until termination of the Trust
unless the Trustee dies, resigns, retires, or is removed.
The following table provides information regarding each Trustee
who is an "interested person" of the Trust, as defined in the
Investment Company Act of 1940, and each officer of the Trust.
<table>
<s> <c> <c> <c>
- ----------------------------- ----------------------------------- ---------------------------- --------------------
Number of
Name, Age and Address Position(s) Held with the Fund Length of Time Served Portfolios in Fund
Complex1 Complex1 Overseen
by Trustee
- ----------------------------- ----------------------------------- ---------------------------- --------------------
- ----------------------------- ----------------------------------- ---------------------------- --------------------
Timothy Ashburn2 Trustee, Secretary and Trustee President and Secretary 27
1104 Buttonwood Court since October 2002;
Lexington, KY 40515 Trustee of AmeriPrime
Advisors Trust since
Year of Birth: 1950 November 2002, AmeriPrime
Funds since December 2002,
and Unified Series Trust
since October 2002
- ----------------------------- ----------------------------------- ---------------------------- --------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
Chairman of Unified Financial Services, Inc. since 1989 and Unified Financial Services, Inc.
Chief Executive Officer from 1989 to 1992 and 1994 to April since 1989
2002; President of Unified Financial Services from November
1997 to April 2000.
- ----------------------------------------------------------------- -------------------------------------------------
</table>
<table>
<s> <c> <c> <c>
- ----------------------------- ----------------------------------- ------------------------- -----------------------
Number of Portfolios
Name, Age and Address Position(s) Held with the Fund Length of Time Served in Fund Complex1
Complex1 Overseen by Trustee
- ----------------------------- ----------------------------------- ------------------------- -----------------------
- ----------------------------- ----------------------------------- ------------------------- -----------------------
Ronald C. Tritschler3 Trustee Trustee of AmeriPrime 27
2361 Old Hickory Lane Funds and Unified
Lexington, KY 40515 Series Trust since
December 2002 and
Year of Birth: 1952 AmeriPrime Advisors
Trust since November
2002
- ----------------------------- ----------------------------------- ------------------------- -----------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
Chief Executive Officer, Director and legal counsel of The Webb None
Companies, a national real estate company, from 2001 to
present; Executive Vice President and Director of The Webb
Companies from 1990 to 2000; Director, The Lexington Bank, from
1998 to present; Director, Vice President and legal counsel for
The Traxx Companies, an owner and operator of convenience
stores, from 1989 to present.
- ----------------------------------------------------------------- -------------------------------------------------
</table>
<table>
<s> <c> <c> <c>
- ----------------------------- ----------------------------------- ------------------------- -----------------------
Position(s) Held with the Fund Length of Time Served Number of Portfolios
Name, Age and Address Complex1 in Fund Complex1
Overseen by Trustee
- ----------------------------- ----------------------------------- ------------------------- -----------------------
- ----------------------------- ----------------------------------- ------------------------- -----------------------
Thomas G. Napurano Treasurer and Chief Financial Since October 2002 for N/A
2424 Harrodsburg Road Officer AmeriPrime Funds and
Lexington, KY 40503 AmeriPrime Advisors
Trust; since December
Year of Birth: 1941 2002 for Unified Series
Trust
- ----------------------------- ----------------------------------- ------------------------- -----------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
Chief Financial Officer and Executive Vice President of Unified N/A
Financial Services, Inc., the parent company of the Trust's
administrator and principal underwriter; member of the board of
directors of Unified Financial Services, Inc. from 1989 to
March 2002.
- ----------------------------------------------------------------- -------------------------------------------------
</table>
<table>
<s> <c> <c> <c>
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Number of Portfolios
Name, Age and Address Position(s) Held Length of Time Served in Fund Complex1
with Trust Overseen by Trustee
- ------------------------------ ---------------------------------- ----------------------- -------------------------
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Carol Highsmith Assistant Secretary Since December 2002 N/A
431 N. Pennsylvania St. for AmeriPrime Funds;
Indianapolis, IN 46204 since November 2002
for AmeriPrime
Year of Birth: 1964 Advisors Trust and
Unified Series Trust
- ------------------------------ ---------------------------------- ----------------------- -------------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
Employed by Unified Fund Services, Inc. (November 1994 to None
present); Vice President and Asst. Secretary of Lindbergh
Funds; Asst. Secretary of AmeriPrime Funds and AmeriPrime
Advisors Trust (October 2002 to present).
- ----------------------------------------------------------------- -------------------------------------------------
</table>
1 The terms "Fund Complex" refers to AmeriPrime Funds, AmeriPrime
Advisors Trust, and Unified Series Trust. 2 Mr. Ashburn is an
"interested person" of the Trust because he is an officer of the
Trust. In addition, he may be deemed to be an "interested person" of
the Trust because he is Chairman and a director of Unified Financial
Securities, Inc., the principal underwriter for certain funds in the
Fund Complex. 3 Mr. Tritschler may be deemed to be an "interested
person" of the Trust because he has an ownership interest in Unified
Financial Services, Inc., the principal underwriter for certain funds
in the Fund Complex.
<page>
The following table provides information regarding each Trustee
who is not an "interested person" of the Trust, as defined in the
Investment Company Act of 1940.
<table>
<s> <c> <c> <c>
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Name, Age and Address Position(s) Held with the Fund Length of Time Served Number of Portfolios in
Complex1 Fund Complex1 Overseen
by Trustee
- ------------------------------ ---------------------------------- ----------------------- -------------------------
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Gary E. Hippenstiel Trustee Trustee of AmeriPrime 27
600 Jefferson Street Funds since 1995,
Suite 350 AmeriPrime Advisors
Houston, TX 77002 Trust since July 2002
and Unified Series
Year of Birth: 1947 Trust since December
2002
- ------------------------------ ---------------------------------- ----------------------- -------------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
Director, Vice President and Chief Investment Officer of Legacy None
Trust Company since 1992.
- ----------------------------------------------------------------- -------------------------------------------------
</table>
<table>
<s> <c> <c> <c>
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Position(s) Held Length of Time Served Number of Portfolios in
Name, Age and Address with the Fund Complex1 Fund Complex1
Overseen by Trustee
- ------------------------------ ---------------------------------- ----------------------- -------------------------
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Stephen A. Little Trustee Trustee of AmeriPrime 27
3647 Totem Lane Funds and Unified
Indianapolis, IN 46208 Series Trust since
Year of Birth: 1946 December 2002 and
AmeriPrime Advisors
Trust since November
2002
- ------------------------------ ---------------------------------- ----------------------- -------------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
President and founder, The Rose, Inc., a registered investment None
advisor, since April 1993.
- ----------------------------------------------------------------- -------------------------------------------------
</table>
<table>
<s> <c> <c> <c>
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Position(s) Held with the Fund Number of Portfolios in
Name, Age and Address Complex1 Length of Time Served Fund Complex1 Overseen
by Trustee
- ------------------------------ ---------------------------------- ----------------------- -------------------------
- ------------------------------ ---------------------------------- ----------------------- -------------------------
Daniel Condon Trustee Trustee of AmeriPrime 27
2385 The Woods Lane Funds and Unified
Lexington, KY 40502 Series Trust since
December 2002 and
Year of Birth: 1950 AmeriPrime Advisors
Trust since November
2002
- ------------------------------ ---------------------------------- ----------------------- -------------------------
</table>
<table>
<s> <c>
- ----------------------------------------------------------------- -------------------------------------------------
Principal Occupations During Past 5 Years Other Directorships Held by Trustee
- ----------------------------------------------------------------- -------------------------------------------------
- ----------------------------------------------------------------- -------------------------------------------------
Vice President and General Manager, International Crankshaft None
Inc., an automotive equipment manufacturing company, 1990 to
present; Trustee, The Unified Funds, from 1994 to 2002;
Trustee, Star Select Funds, a REIT mutual fund, from 1997 to
2000.
- ----------------------------------------------------------------- -------------------------------------------------
</table>
1 The terms "Fund Complex" refers to AmeriPrime Funds, AmeriPrime
Advisors Trust and Unified Series Trust.
<page>
INDEPENDENT AUDITOR'S REPORT
To The Shareholders and
Board of Trustees
Institutional Short Term Government Bond Fund
(a series of AmeriPrime Advisor Trust)
We have audited the accompanying statement of assets and
liabilities of Institutional Short Term Government Bond Fund,
including the schedule of portfolio investments, as of December 31,
2002, and the related statement of operations, changes in net assets,
and the financial highlights for the period from January 2, 2002
(commencement of operations) to December 31, 2002 in the period then
ended. 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 audit in accordance with auditing standards
generally accepted in the United States of America. Those standards
require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. Our procedures included
confirmation of investments and cash held as of December 31, 2002 by
correspondence with the custodian and brokers. 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 audit provides 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 Institutional Short Term Government Bond Fund as
of December 31, 2002, the results of its operations, the changes in
its net assets and the financial highlights for the period from
January 2, 2002 (commencement of operations) to December 31, 2002, in
the period then ended, in conformity with accounting principles
generally accepted in the United States of America.
McCurdy & Associates CPA's, Inc.
Westlake, Ohio
January 23, 2003
<page>
Item 2. Code of Ethics. Not applicable to Annual Reports for the
period ended December 31, 2002.
Item 3. Audit Committee Financial Expert. Not applicable to
Annual Reports for the period ended December 31, 2002.
Items 4-8. Reserved
Item 9. Controls and Procedures. Not applicable to Annual Reports
for the period ended December 31, 2002.
Item 10. Exhibits. Certifications required by Item 10(b) of Form
N-CSR are filed herewith.
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.
(Registrant) Ameriprime Advisors Trust
By /s/ Timothy Ashburn
[Timothy Ashburn, President]
Date 3/3/03
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/ Timothy Ashburn
[Timothy Ashburn, President]
Date 3/3/03
By /s/ Thomas Napurano
[Thomas Napurano, Chief Financial Officer]
Date 3/3/03
<page>