<Page>
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 811-6529
---------------------------------------------
Columbia Funds Trust VI
- -------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
One Financial Center, Boston, Massachusetts 02111
- -------------------------------------------------------------------------------
(Address of principal executive offices) (Zip code)
Vincent Pietropaolo, Esq.
Columbia Management Group, Inc.
One Financial Center
Boston, MA 02111
- -------------------------------------------------------------------------------
(Name and address of agent for service)
Registrant's telephone number, including area code: 1-617-772-3698
----------------------------
Date of fiscal year end: August 31, 2004
--------------------------
Date of reporting period: February 29, 2004
-------------------------
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. Section 3507.
<Page>
ITEM 1. REPORTS TO STOCKHOLDERS.
<Page>
[GRAPHIC]
COLUMBIA NEWPORT
ASIA PACIFIC FUND
SEMIANNUAL REPORT
FEBRUARY 29, 2004
[COLUMBIAFUNDS(R) LOGO]
A MEMBER OF COLUMBIA MANAGEMENT GROUP
<Page>
TABLE OF CONTENTS
<Table>
FUND PROFILE 1
PERFORMANCE INFORMATION 2
ECONOMIC UPDATE 3
PORTFOLIO MANAGERS' REPORT 4
FINANCIAL STATEMENTS 6
INVESTMENT PORTFOLIO 7
STATEMENT OF ASSETS AND LIABILITIES 12
STATEMENT OF OPERATIONS 13
STATEMENT OF CHANGES IN NET ASSETS 14
NOTES TO FINANCIAL STATEMENTS 16
FINANCIAL HIGHLIGHTS 21
IMPORTANT INFORMATION ABOUT THIS REPORT 25
</Table>
Economic and market conditions change frequently. There is no assurance that the
trends described in this report will continue or commence.
NOT FDIC MAY LOSE VALUE
INSURED NO BANK GUARANTEE
TO OUR FELLOW SHAREHOLDERS
COLUMBIA NEWPORT ASIA PACIFIC FUND
DEAR SHAREHOLDER:
We are pleased to let you know that FleetBoston Financial Corporation and Bank
of America Corporation have merged, effective April 1, 2004. As as a result of
the merger, Columbia Management Group became part of the Bank of America family
of companies. Looking ahead, we believe this merger will be a real benefit to
our shareholders. Preserving and leveraging our strengths, the combined
organization will deliver additional research, management, and product
capabilities to you.
There are no immediate changes planned for fund names, product lines, or
customer service contacts. As always, we will provide you with updates at
www.columbiafunds.com or through other communications, such as newsletters and
shareholder reports.
As you might know, on March 15, 2004, FleetBoston Financial announced an
agreement in principle with the staff of the Securities and Exchange Commission
("SEC") and the New York Attorney General to settle charges involving market
timing in Columbia Management mutual funds. (Bank of America came to a similar
settlement in principle at the same time.) The agreement will require the final
approval of the SEC. This action reflects our full cooperation with the
investigation and our strong wish to put this regrettable situation behind us.
Columbia Management has taken and will continue to take steps to strengthen
policies, procedures and oversight to curb frequent trading of Columbia fund
shares.
We also want you to know that your fund's Board of Trustees has been energetic
over the past year in strengthening its capacity to oversee the Columbia funds.
Recently, the Board of Trustees:
- ELECTED AN INDEPENDENT TRUSTEE TO CHAIR THE TWELVE-PERSON BOARD. IN
ADDITION, EACH COMMITTEE OF THE BOARD IS COMPRISED OF TRUSTEES WHO ARE
COMPLETELY INDEPENDENT OF THE ADVISOR AND ITS AFFILIATES.
- APPOINTED A CHIEF COMPLIANCE OFFICER OF THE COLUMBIA FUNDS, WHO REPORTS
DIRECTLY TO EACH FUND'S AUDIT COMMITTEE. TRUSTEES WERE ALSO ASSIGNED TO
FOUR SEPARATE INVESTMENT OVERSIGHT COMMITTEES, EACH BETTER ABLE TO
MONITOR PERFORMANCE OF INDIVIDUAL FUNDS.
- VOTED TO DOUBLE THE REQUIRED INVESTMENT BY EACH TRUSTEE IN THE COLUMBIA
FUNDS -- TO FURTHER ALIGN THE INTERESTS OF THE TRUSTEES WITH THOSE OF
OUR FUND SHAREHOLDERS. AT THE SAME TIME, NEW POLICIES WERE INSTITUTED
REQUIRING ALL INVESTMENT PERSONNEL AND TRUSTEES TO HOLD THEIR COLUMBIA
FUND SHARES FOR A MINIMUM OF ONE YEAR (UNLESS EXTRAORDINARY
CIRCUMSTANCES WARRANT AN EXCEPTION TO BE GRANTED BY A BOARD DESIGNATED
COMMITTEE).
Both your fund's trustees and Columbia Management are committed to serving the
interests of our shareholders, and we will continue to work hard to help you
achieve your financial goals.
In the pages that follow, you'll find valuable information about the economic
environment and the performance of your Columbia fund. The "Economic Update"
provides an overview of the investing environment during the past six months. In
the "Portfolio Managers' Report," your fund's management team discusses
investment performance and the impact of decisions made during the period. This
discussion is followed by financial statements for your fund. We hope that you
will take time to read this report and discuss it with your financial advisor if
you have any questions.
If you have any questions about your account, please feel free to call
Columbia's shareholder services department at 800-345-6611.
As always, thank you for choosing Columbia funds. It is a privilege to play a
role in your financial future.
Sincerely,
/s/ Thomas C. Theobald /s/ J. Kevin Connaughton
Thomas C. Theobald J. Kevin Connaughton
Chairman, Board of Trustees President, Columbia Funds
J. Kevin Connaughton was named president of Columbia Funds on February 27, 2004.
<Page>
FUND PROFILE
COLUMBIA NEWPORT ASIA PACIFIC FUND
The information below gives you a snapshot of your fund at the end of the
reporting period. Your fund is actively managed and the composition of its
portfolio will change over time.
TOP 5 COUNTRIES AS OF 02/29/04 (%)
<Table>
Japan 48.5
Australia 10.6
Hong Kong 7.9
Taiwan 6.5
Singapore 5.9
</Table>
TOP 5 SECTORS AS OF 02/29/04 (%)
<Table>
Financials 23.6
Consumer discretionary 22.9
Information technology 17.8
Industrials 9.3
Consumer staples 7.4
</Table>
TOP 10 HOLDINGS AS OF 02/29/04 (%)
<Table>
Toyota Motor 4.2
Taiwan Semiconductor Manufacturing 2.9
Canon 2.8
Millea Holdings 2.7
China Mobile 2.5
NTT DoCoMo 2.4
Sun Hung Kai Properties 2.3
Matsushita Electric Industrial 2.2
United Overseas Bank 2.2
Samsung Electronic 2.1
</Table>
Country and sector breakdowns and portfolio holdings are calculated as a
percentage of net assets.
(C) 2004 Morningstar, Inc. All Rights Reserved. The information contained
herein: (1) is proprietary to Morningstar and/or its content providers; (2)
may not be copied or distributed; and (3) is not warranted to be accurate,
complete or timely. Neither Morningstar nor its content providers are
responsible for any damages or losses arising from any use of this
information. Past performance is no guarantee of future results.
The Morningstar Style Box(TM) reveals a fund's investment strategy. For
equity funds the vertical axis shows the market capitalization of the stocks
owned and the horizontal axis shows investment style (value, blend or
growth). For fixed-income funds the vertical axis shows the average credit
quality of the bonds owned, and the horizontal axis shows interest rate
sensitivity as measured by a bond's duration (short, intermediate or long).
All of these numbers are drawn from the data most recently provided by the
fund and entered into Morningstar's database as of month-end. Although the
data are gathered from reliable sources, Morningstar cannot guarantee
completeness and accuracy. As of 02/29/2004.
[SIDENOTE]
SUMMARY
- - FOR THE SIX-MONTH PERIOD ENDED FEBRUARY 29, 2004, THE FUND'S CLASS A SHARES
RETURNED 13.81% WITHOUT SALES CHARGE.
- - THE FUND'S RETURN WAS LOWER THAN THE RETURNS OF ITS BENCHMARK, THE MSCI AC
ASIA PACIFIC INDEX AND ITS PEER GROUP, THE LIPPER PACIFIC REGION FUNDS
CATEGORY.
- - A FOCUS ON HIGHER-QUALITY JAPANESE COMPANIES, WHICH UNDERPERFORMED
LOWER-QUALITY COMPANIES DURING THE PERIOD, WAS LARGELY RESPONSIBLE FOR THE
FUND'S PERFORMANCE SHORTFALL.
[CHART]
<Table>
<Caption>
MSCI AC ASIA
CLASS A SHARES PACIFIC INDEX
13.81% 20.42%
</Table>
OBJECTIVE
Seeks long-term growth by investing primarily in equity securities of
companies located in Asia or the Pacific Basin
TOTAL NET ASSETS
$15.9 million
[CHART]
MORNINGSTAR STYLE BOX
1
<Page>
PERFORMANCE INFORMATION
COLUMBIA NEWPORT ASIA PACIFIC FUND
[CHART]
VALUE OF A $10,000 INVESTMENT 08/19/98 - 02/29/04
<Table>
<Caption>
CLASS A SHARES CLASS A SHARES MSCI AC ASIA
WITHOUT SALES CHARGE WITH SALES CHARGE PACIFIC INDEX
8/19/98 $ 10,000 $ 9,425 $ 10,000
8/31/98 $ 9,470 $ 8,925 $ 8,785
9/30/98 $ 10,200 $ 9,614 $ 8,818
10/31/98 $ 12,130 $ 11,433 $ 10,316
11/30/98 $ 12,870 $ 12,130 $ 10,880
12/31/98 $ 13,297 $ 12,533 $ 11,216
1/31/99 $ 12,914 $ 12,172 $ 11,306
2/28/99 $ 13,105 $ 12,352 $ 11,064
3/31/99 $ 14,960 $ 14,100 $ 12,447
4/30/99 $ 17,177 $ 16,189 $ 13,381
5/31/99 $ 16,299 $ 15,362 $ 12,688
6/30/99 $ 19,161 $ 18,059 $ 14,017
7/31/99 $ 20,654 $ 19,466 $ 14,890
8/31/99 $ 21,459 $ 20,225 $ 14,833
9/30/99 $ 21,702 $ 20,454 $ 15,255
10/31/99 $ 22,709 $ 21,403 $ 15,811
11/30/99 $ 26,379 $ 24,862 $ 16,659
12/31/99 $ 29,444 $ 27,751 $ 17,755
1/31/2000 $ 27,562 $ 25,977 $ 17,130
2/29/2000 $ 27,871 $ 26,268 $ 16,709
3/31/2000 $ 28,933 $ 27,269 $ 17,778
4/30/2000 $ 26,540 $ 25,014 $ 16,439
5/31/2000 $ 24,775 $ 23,351 $ 15,499
6/30/2000 $ 26,093 $ 24,593 $ 16,582
7/31/2000 $ 24,478 $ 23,071 $ 15,035
8/31/2000 $ 25,222 $ 23,772 $ 15,667
9/30/2000 $ 23,628 $ 22,270 $ 14,647
10/31/2000 $ 21,599 $ 20,357 $ 13,723
11/30/2000 $ 20,525 $ 19,345 $ 13,229
12/31/2000 $ 20,043 $ 18,890 $ 12,706
1/31/2001 $ 20,921 $ 19,718 $ 13,048
2/28/2001 $ 19,527 $ 18,404 $ 12,453
3/31/2001 $ 17,991 $ 16,956 $ 11,739
4/30/2001 $ 19,144 $ 18,043 $ 12,387
5/31/2001 $ 19,012 $ 17,918 $ 12,365
6/30/2001 $ 18,112 $ 17,071 $ 11,831
7/31/2001 $ 17,047 $ 16,067 $ 11,082
8/31/2001 $ 16,214 $ 15,281 $ 10,864
9/30/2001 $ 14,129 $ 13,316 $ 9,648
10/31/2001 $ 14,656 $ 13,813 $ 9,837
11/30/2001 $ 15,643 $ 14,744 $ 10,306
12/31/2001 $ 15,709 $ 14,806 $ 10,073
1/31/2002 $ 15,489 $ 14,599 $ 9,699
2/28/2002 $ 15,412 $ 14,526 $ 9,964
3/31/2002 $ 16,279 $ 15,343 $ 10,687
4/30/2002 $ 16,599 $ 15,644 $ 10,928
5/31/2002 $ 16,620 $ 15,664 $ 11,356
6/30/2002 $ 15,884 $ 14,971 $ 10,779
7/31/2002 $ 14,809 $ 13,957 $ 10,099
8/31/2002 $ 14,644 $ 13,802 $ 10,022
9/30/2002 $ 13,502 $ 12,726 $ 9,417
10/31/2002 $ 13,776 $ 12,984 $ 9,166
11/30/2002 $ 14,248 $ 13,429 $ 9,547
12/31/2002 $ 13,700 $ 12,912 $ 9,233
1/31/2003 $ 13,216 $ 12,456 $ 9,043
2/28/2003 $ 12,974 $ 12,228 $ 8,971
3/31/2003 $ 12,699 $ 11,969 $ 8,677
4/30/2003 $ 12,732 $ 12,000 $ 8,806
5/31/2003 $ 13,424 $ 12,652 $ 9,293
6/30/2003 $ 14,126 $ 13,314 $ 9,906
7/31/2003 $ 14,839 $ 13,986 $ 10,340
8/31/2003 $ 15,893 $ 14,979 $ 11,231
9/30/2003 $ 16,463 $ 15,517 $ 11,730
10/31/2003 $ 17,044 $ 16,064 $ 12,437
11/30/2003 $ 16,693 $ 15,734 $ 12,166
12/31/2003 $ 17,725 $ 16,706 $ 13,009
1/31/2004 $ 18,032 $ 16,995 $ 13,345
2/29/2004 $ 18,091 $ 17,051 $ 13,523
</Table>
The graph and table do not reflect the deduction of taxes that a shareholder
would pay on fund distributions or the redemption of fund shares. The Morgan
Stanley Capital International (MSCI) All Country (AC) Asia Pacific Index is an
unmanaged index that tracks the performance of stock traded on stock exchanges
in Pacific Basin countries, including Australia, Hong Kong, India, Indonesia,
Japan, Malaysia, New Zealand, the People's Republic of China, the Philippines,
Singapore, South Korea, Taiwan and Thailand. Unlike the fund, indices are not
investments, do not incur fees or expenses, and are not professionally managed.
It is not possible to invest directly in an index. Securities in the fund may
not match those in an index.
Index performance is from August 31, 1998.
AVERAGE ANNUAL TOTAL RETURN AS OF 02/29/04 (%)
<Table>
<Caption>
SHARE CLASS A B C Z
- --------------------------------------------------------------------------------------
INCEPTION 8/19/98 8/19/98 8/19/98 2/1/01
- --------------------------------------------------------------------------------------
SALES CHARGE WITHOUT WITH WITHOUT WITH WITHOUT WITH WITHOUT
- --------------------------------------------------------------------------------------
6-MONTH (CUMULATIVE) 13.81 7.27 13.44 8.44 13.45 12.45 13.97
1-YEAR 39.42 31.41 38.48 33.48 38.52 37.52 39.83
5-YEAR 6.66 5.41 5.90 5.58 5.89 5.89 6.87
LIFE 11.32 10.13 10.52 10.41 10.51 10.51 11.51
</Table>
AVERAGE ANNUAL TOTAL RETURN AS OF 12/31/03 (%)
<Table>
<Caption>
SHARE CLASS A B C Z
- --------------------------------------------------------------------------------------
SALES CHARGE WITHOUT WITH WITHOUT WITH WITHOUT WITH WITHOUT
- --------------------------------------------------------------------------------------
6-MONTH (CUMULATIVE) 25.49 18.27 24.98 19.98 25.08 24.08 25.67
1-YEAR 29.41 21.97 28.49 23.49 28.60 27.60 29.78
5-YEAR 5.92 4.68 5.16 4.83 5.16 5.16 6.12
LIFE 11.26 10.04 10.45 10.33 10.45 10.45 11.45
</Table>
All results shown assume reinvestment of distributions. The " with sales charge"
returns include the maximum 5.75% charge for class A shares, the appropriate
maximum class B contingent deferred sales charge for the holding period after
purchase as follows: first year -- 5%, second year -- 4%, third year -- 3%,
fourth year -- 3%, fifth year -- 2%, sixth year -- 1%, thereafter -- 0%, and
the class C contingent deferred sales charge of 1% for the first year only.
Performance for different share classes will vary based on differences in sales
charges and fees associated with each class.
Performance results reflect any voluntary waivers or reimbursement of fund
expenses by the advisor or its affiliates. Absent these waivers or reimbursement
arrangements, performance results would have been lower.
Class Z share (newer class shares) performance includes returns of the fund's
class A shares (the oldest existing fund class) for periods prior to the
inception dates of the newer class shares. Returns are not restated to reflect
any expense differential, e.g., 12b-1 fees, between class A and the newer class
shares. Had the expense differential been reflected, the returns for the periods
prior to the inception of class Z shares would have been higher.
[SIDENOTE]
PERFORMANCE OF A $10,000 INVESTMENT 08/19/98 - 02/29/04 ($)
<Table>
<Caption>
SALES CHARGE: WITHOUT WITH
- -------------------------------------
Class A 18,091 17,051
Class B 17,388 17,288
Class C 17,378 17,378
Class Z 18,267 n/a
</Table>
Performance data quoted represents past performance and current performance may
be lower or higher. Past performance is no guarantee of future results. The
investment return and principal value will fluctuate so that shares may be worth
more or less than the original cost. Please visit www.columbiafunds.com for
daily and most recent month-end performance updates.
2
<Page>
ECONOMIC UPDATE
COLUMBIA NEWPORT ASIA PACIFIC FUND
During the period that began September 1, 2003 and ended February 29, 2004, the
economies of Asia and the Pacific regions participated in a recovery that
prevailed around the world. Most Asian economies benefited as consumer and
business spending increased. Exporting countries, such as Hong Kong and Taiwan,
also benefited from a worldwide increase in demand for products manufactured in
Asia. Japan's economy experienced its fastest growth in almost 14 years. Stock
market performance reflected Asia's robust economic growth. For the six-month
reporting period, the MSCI AC Asia Pacific Index returned 20.42%.
STOCK MARKETS LIFTED BY FAVORABLE ECONOMIC NEWS
Equity market performance reflected the region's robust economic growth. In
Japan, the outlook for improved corporate earnings was reflected in the 24.50%
return of the Nikkei 225 in 2003. The Nikkei 225 tracks the investment returns
of 225 of Japan's top-rated companies. Solid performance continued into 2004,
with the Nikkei up 3.42% through February.
Throughout the region known as Greater China (People's Republic of China, Hong
Kong and Taiwan), stocks tied to domestic consumption, business expansion and
construction spending were market leaders. In the smaller markets of Thailand,
Malaysia, and Indonesia, investors were also rewarded with solid returns.
However, some of the strongest performers in 2003--namely Thailand and
India--gave back some of their outsized returns early in 2004.
JAPAN TURNED A CORNER
While a rising yen limited exports of Japanese products, GDP growth in Japan was
reported at 7% for 2003. This robust rate raised hopes that Japan is finally on
a steady path to sustainable recovery. Growth was buoyed by a resolution to
lingering bad load problems, an upturn in industrial production and machinery
orders and a boom in exports. However, job growth was lackluster and consumers
remain cautious about spending.
GROWTH RANGES FROM MODEST TO ROBUST IN GREATER CHINA
In Greater China, GDP growth during the reporting period ranged from modest in
Hong Kong and Taiwan to robust in China. In Hong Kong, unemployment declined and
domestic retail sales moved higher as the economy continued to recover. In
Taiwan, sustained demand for consumer goods, a recovery in capital goods
expenditures, a pickup in construction activity and increased government
spending in an election year contributed to a strengthening economy. Taiwan also
benefited from the global recovery in the technology sector because it is a
major exporter of computer-related goods.
In China, growth exceeded 9% in 2003. Estimates for growth in 2004 are somewhat
lower, because the government has taken steps to cool down an economy on the
verge of overheating. The People's Bank of China (PBOC) began to limit the
number of loans it generates for construction and land development projects. As
a result, credit growth slowed over the last year. Forecasts call for growth
between 7.2% to 8.5% for 2004.
[SIDENOTE]
SUMMARY
FOR THE SIX-MONTH PERIOD ENDED FEBRUARY 29, 2004
- - THE STOCK MARKETS OF ASIA REFLECTED ROBUST ECONOMIC GROWTH THROUGHOUT THE
REGION. THE MSCI AC ASIA PACIFIC INDEX RETURNED 20.42%.
[CHART]
<Table>
<Caption>
MSCI AC ASIA PACIFIC INDEX
20.42%
</Table>
- - IN GREATER CHINA, STOCKS TIED TO DOMESTIC CONSUMPTION, BUSINESS EXPANSION AND
CONSTRUCTION SPENDING WERE MARKET LEADERS EXPORTING COUNTRIES, SUCH AS HONG
KONG AND TAIWAN, ALSO BENEFITED FROM INCREASED WORLDWIDE DEMAND.
- - IN JAPAN, A RESOLUTION TO BAD LOAN PROBLEMS, AN UPTURN IN INDUSTRIAL
PRODUCTION, MACHINERY ORDERS AND EXPORTS BUOYED GROWTH.
The MSCI AC Asia Pacific Index is an unmanaged index that tracks the performance
of stocks traded on stock exchanges in Pacific Basin countries.
3
<Page>
PORTFOLIO MANAGERS' REPORT
COLUMBIA NEWPORT ASIA PACIFIC FUND
For the six-month period ended February 29, 2004, class A shares of Columbia
Newport Asia Pacific Fund returned 13.81% without sales charge. That was less
than the return of the fund's benchmark, the MSCI AC Asia Pacific Index, which
was 20.42% for the same period. The fund also underperformed the 19.61% average
return of its peer group, the Lipper Pacific Region Funds Category.(1)
HIGHER-QUALITY COMPANIES UNDERPERFORMED
As many lower-quality Japanese companies went from bad to better, due to their
improved balance sheets and their potential for earnings growth, investors bid
up their stock prices and the higher-quality companies that the fund emphasized
came up short by comparison. The rising value of the yen was also instrumental
in the fund's performance shortfall. As the yen strengthened, investors grew
concerned that higher prices on technology products sold outside Japan would
cause sales and earnings growth to slow and stock prices to fall.
JAPANESE COMPANIES PROSPEROUS AS ECONOMY IMPROVED
At 49% of the portfolio, Japan was the fund's largest country position. As the
Japanese economy improved, we became enthusiastic about the prospects for
companies positioned to benefit from increased consumer spending. We sold some
of our export-related companies, particularly in the technology sector. We also
added banks, such as UFJ Holdings, which helped total return. Mitsubishi Tokyo
Financial, which was in the portfolio for several months, also aided the fund's
return. Our investments in Aoyama Trading, a specialty men's retailer, and
Yoshinoya D&C, a fast food restaurant, also contributed to return.
FOCUS ON NEW OPPORTUNITIES
We sold some holdings in China to invest in new opportunities. Because China's
economic growth has been extraordinary, the government has become concerned
about the prospects for rising inflation and has taken steps to tighten the
availability of credit, which could have a negative impact on stocks. While
China's economic growth should be robust by global standards, we expect it to
slow in response to this move.
In re-allocating assets, we favored countries with strong growth in domestic
consumption and infrastructure development, such as India. The Indian economy
has benefited from relatively low interest rates and expansion in the
manufacturing and service sectors. To capitalize on rising consumer spending, we
purchased Maruti Udyog, a manufacturer of low cost automobiles for the domestic
population.
We also added to the fund's stake in Taiwan. Although the Taiwan market trailed
other Asian markets in 2003, we believe Taiwan could do well in 2004 if its
economy improves. Stock valuations and the prospects
(1) Lipper Inc., a widely respected data provider in the industry, calculates
an average total return for mutual funds with similar investment objectives
as those of the fund.
[SIDENOTE]
NET ASSET VALUE PER SHARE AS OF 02/29/04 ($)
<Table>
Class A 16.48
Class B 15.87
Class C 15.86
Class Z 16.64
</Table>
HOLDINGS DISCUSSED IN THIS REPORT AS OF 02/29/04 (%)
<Table>
UFJ Holdings 0.8
Mitsubishi Tokyo Financial 2.0
Aoyama Trading 0.4
Yoshinoya D&C 0.7
Maruti Udyog 0.6
Chinatrust Financial Holding 0.5
</Table>
Your fund is actively managed and the composition of its portfolio changes over
time. Information provided is calculated as a percentage of net assets.
4
<Page>
for relatively strong corporate earnings are attractive. In Taiwan, we favored
the financials sector and purchased Chinatrust Financial Holding, which controls
Taiwan's largest private sector bank.
LOOKING TOWARD ECONOMIC EXPANSION ACROSS ASIA
Our outlook for the next several months is positive. We expect economic growth
throughout Asia to improve and, while inflation may rise slightly, we believe
interest rates will remain relatively low. We have positioned the portfolio to
take advantage of consumer trends that we believe could benefit from growing
domestic economies. We also continue to own export-driven companies that should
do well in a stronger global economy.
[PHOTO OF JAMIE CHUI]
Jamie Chui has co-managed Columbia Newport Asia Pacific Fund since July 2002 and
has been with the advisor and its predecessors since November 2000.
/s/ Jamie Chui
[PHOTO OF ERIC SANDLUND]
Eric Sandlund has co-managed the fund since March 2004 and has been with the
advisor and its predecessors since June 2002.
/s/ Eric Sandlund
There are specific risks involved when investing in foreign stocks, such as
currency exchange rate fluctuations, economic change, instability of emerging
countries and political developments. In addition, concentration of investments
in a single region or country may result in greater volatility.
[SIDENOTE]
WE HAVE POSITIONED THE PORTFOLIO TO TAKE ADVANTAGE OF CONSUMER TRENDS THAT WE
BELIEVE COULD BENEFIT FROM GROWING DOMESTIC ECONOMIES.
5
<Page>
FINANCIAL STATEMENTS
FEBRUARY 29, 2004 COLUMBIA NEWPORT ASIA PACIFIC FUND
A GUIDE TO UNDERSTANDING YOUR FUND'S FINANCIAL STATEMENTS
INVESTMENT PORTFOLIO
The investment portfolio details all of the fund's holdings and their market
value as of the last day of the reporting period. Portfolio holdings are
organized by type of asset, industry, country or geographic region (if
applicable) to demonstrate areas of concentration and diversification.
STATEMENT OF ASSETS AND LIABILITIES
This statement details the fund's assets, liabilities, net assets and share
price for each share class. Net assets are calculated by subtracting all the
fund's liabilities (including any unpaid expenses) from the total of the fund's
investment and non-investment assets. The share price for each class is
calculated by dividing net assets for that class by the number of shares
outstanding in that class as of the last day of the reporting period.
STATEMENT OF OPERATIONS
This statement details income earned by the fund and the expenses charged to the
fund. The Statement of Operations also shows any net gain or loss the fund
realized on the sales of its holdings during the period, as well as any
unrealized gains or losses recognized over the period. The total of these
results represents the fund's net increase or decrease in net assets from
operations.
STATEMENT OF CHANGES IN NET ASSETS
This statement demonstrates how the fund's net assets were affected by its
operating results, distributions to shareholders and shareholder transactions
(e.g., subscriptions, redemptions and dividend reinvestments). The Statement of
Changes in Net Assets also reconciles changes in the number of shares
outstanding.
FINANCIAL HIGHLIGHTS
The financial highlights demonstrate how the fund's net asset value per share
was affected by the fund's operating results. The financial highlights table
also discloses certain key fund ratios (e.g., fund expenses and net investment
income as a percentage of average net assets).
NOTES TO FINANCIAL STATEMENTS
These notes disclose the organizational background of the fund, its significant
accounting policies (including those surrounding security valuation, income
recognition and distributions to shareholders), federal tax information, fees
and compensation paid to affiliates and significant risk and contingencies.
6
<Page>
INVESTMENT PORTFOLIO
FEBRUARY 29, 2004 (UNAUDITED) COLUMBIA NEWPORT ASIA PACIFIC FUND
<Table>
<Caption>
SHARES VALUE ($)
- ------------------------------------------ ---------------------------------------------------------------------------------
COMMON STOCKS - 97.6%
CONSUMER DISCRETIONARY - 22.9%
AUTO COMPONENTS - 2.2% DENSO CORP. 12,900 269,931
Stanley Electric 5,000 85,165
Auto Components Total 355,096
---------------------------------------------------------------------------------
AUTOMOBILES - 6.6% Bajaj Auto Ltd. 1,700 34,045
Honda Motor Co., Ltd. 4,000 174,359
Maruti Udyog Ltd. (a) 8,472 93,703
PT Astra International 116,000 74,086
Toyota Motor Corp. 19,400 669,762
Automobiles Total 1,045,955
---------------------------------------------------------------------------------
DISTRIBUTORS - 2.1% Doshisha Co., Ltd. 1,600 43,956
Li & Fung Ltd. 150,000 292,901
Distributors Total 336,857
---------------------------------------------------------------------------------
HOTELS, RESTAURANTS & LEISURE - 1.8% Genting Berhad 33,600 168,000
Yoshinoya D&C Co., Ltd. 76 114,835
Hotels, Restaurants & Leisure Total 282,835
---------------------------------------------------------------------------------
HOUSEHOLD DURABLES - 4.1% Matsushita Electric Industrial Co., Ltd. 24,000 350,110
Pioneer Corp. 4,000 110,989
Rinnai Corp. 1,400 34,872
Sharp Corp. 10,000 165,934
Household Durables Total 661,905
---------------------------------------------------------------------------------
LEISURE EQUIPMENT & PRODUCTS - 0.7% Shimano, Inc. 5,100 112,555
Leisure Equipment & Products Total 112,555
---------------------------------------------------------------------------------
MEDIA - 1.4% Singapore Press Holdings Ltd. 20,400 223,397
Media Total 223,397
---------------------------------------------------------------------------------
MULTILINE RETAIL - 1.2% Don Quijote Co., Ltd. 1,100 60,037
Seiyu (a) 38,000 125,275
Multiline Retail Total 185,312
---------------------------------------------------------------------------------
SPECIALTY RETAIL - 2.5% Aoyama Trading Co., Ltd. 3,500 70,352
Uss Co., Ltd. 2,820 207,368
Yamada Denki Co., Ltd. 3,900 123,929
Specialty Retail Total 401,649
---------------------------------------------------------------------------------
TEXTILES, APPAREL & LUXURY GOODS - 0.3% Sanyo Shokai Ltd. 8,200 46,482
Textiles, Apparel & Luxury Goods Total 46,482
-----------
CONSUMER DISCRETIONARY TOTAL 3,652,043
CONSUMER STAPLES - 7.4%
BEVERAGES - 2.4% Coca-Cola Amatil Ltd. 32,227 164,262
Fosters Group Ltd. 66,102 223,423
Beverages Total 387,685
---------------------------------------------------------------------------------
FOOD & STAPLES RETAILING - 2.3% Seven-Eleven Japan Co., Ltd. 3,000 94,780
Sugi Pharmacy Co., Ltd. 2,200 73,938
Woolworths Ltd. 22,496 204,097
Food & Staples Retailing Total 372,815
</Table>
See notes to investment portfolio.
7
<Page>
<Table>
<Caption>
SHARES VALUE ($)
- ------------------------------------------ ---------------------------------------------------------------------------------
COMMON STOCKS - (CONTINUED)
CONSUMER STAPLES - (CONTINUED)
FOOD PRODUCTS - 1.2% Katokichi Co., Ltd. 7,900 134,633
Thai Union Frozen Products Public Co., Ltd. 70,000 48,122
Food Products Total 182,755
---------------------------------------------------------------------------------
HOUSEHOLD PRODUCTS - 1.5% Kao Corp. 11,000 232,189
Household Products Total 232,189
-----------
CONSUMER STAPLES TOTAL 1,175,444
FINANCIALS - 23.6%
COMMERCIAL BANKS - 12.6% Bangkok Bank Public Co., NVDR (a) 123,700 299,211
Chinatrust Financial Holding Co., Ltd. 67,000 80,198
Commonwealth Bank of Australia 5,650 138,441
DBS Group Holdings 20,000 173,094
Hang Seng Bank Ltd. 8,700 123,500
Hong Leong Bank Berhad 21,000 32,053
Kookmin Bank 6,620 275,810
Mitsubishi Tokyo Financial Corp., Ltd. 41 315,385
PT Bank Rakyat (a) 529,500 97,070
UFJ Holdings, Inc. 27 121,154
United Overseas Bank Ltd. 42,000 348,661
Commercial Banks Total 2,004,577
---------------------------------------------------------------------------------
DIVERSIFIED FINANCIAL SERVICES - 3.3% Housing Development Finance Corp., Ltd. 12,051 162,357
Macquarie Bank Ltd. 5,295 135,558
Nomura Holdings, Inc. 14,000 222,436
Diversified Financial Services Total 520,351
---------------------------------------------------------------------------------
INSURANCE - 2.7% Millea Holdings, Inc. 34 435,897
Insurance Total 435,897
---------------------------------------------------------------------------------
REAL ESTATE - 5.0% City Developments Ltd. 39,000 153,842
Henderson Land Development Co., Ltd. 30,000 152,231
Mitsubishi Estate Co., Ltd. 10,000 116,484
Sun Hung Kai Properties Ltd. 38,000 373,449
Real Estate Total 796,006
-----------
FINANCIALS TOTAL 3,756,831
HEALTH CARE - 6.2%
HEALTH CARE EQUIPMENT & SUPPLIES - 1.8% Cochlear Ltd. 15,784 281,398
Health Care Equipment & Supplies Total 281,398
---------------------------------------------------------------------------------
PHARMACEUTICALS - 4.4% Chugai Pharmaceutical Co., Ltd. 7,600 112,121
Dr Reddy's Laboratories Ltd., ADR 5,800 147,610
Ranbaxy Laboratories Ltd., ADR 3,000 62,339
Rohto Pharmaceutical Co., Ltd. 5,000 41,209
Sawai Pharmaceutical Co., Ltd. 2,400 86,813
Takeda Chemical Industries Ltd. 6,000 247,253
Pharmaceuticals Total 697,345
-----------
HEALTH CARE TOTAL 978,743
</Table>
See notes to investment portfolio.
8
<Page>
<Table>
<Caption>
SHARES VALUE ($)
- ------------------------------------------ ---------------------------------------------------------------------------------
COMMON STOCKS - (CONTINUED)
INDUSTRIALS - 9.3%
COMMERCIAL SERVICES & SUPPLIES - 1.6% Dai Nippon Printng Co., Ltd. 16,000 249,084
Commercial Services & Supplies Total 249,084
---------------------------------------------------------------------------------
CONSTRUCTION & ENGINEERING - 1.7% JGC Corp. 14,000 140,256
Land & Houses Public Co., Ltd. 413,100 135,053
Construction & Engineering Total 275,309
---------------------------------------------------------------------------------
ELECTRICAL EQUIPMENT - 1.8% Fanuc Ltd. 2,200 138,205
Nitto Denko Corp. 3,100 153,297
Electrical Equipment Total 291,502
---------------------------------------------------------------------------------
INDUSTRIAL CONGLOMERATES - 3.3% Hutchison Whampoa Ltd. 34,000 286,092
Kasikornbank Public Co., Ltd., NVDR (a) 99,500 129,204
MFS Technology Ltd. 45,000 35,502
Wesfarmers Ltd. 3,756 79,890
Industrial Conglomerates Total 530,688
---------------------------------------------------------------------------------
MACHINERY - 0.3% Osg Corp. 4,000 38,462
Machinery Total 38,462
---------------------------------------------------------------------------------
TRANSPORTATION INFRASTRUCTURE - 0.6% Zhejiang Expressway Co., Ltd., Class H 118,000 95,501
Transportation Infrastructure Total 95,501
-----------
INDUSTRIALS TOTAL 1,480,546
INFORMATION TECHNOLOGY - 17.8%
COMPUTERS & PERIPHERALS - 1.7% Ambit Microsystems Corp. 38,700 112,899
Asustek Computer, Inc. 57,750 151,974
Computers & Peripherals Total 264,873
---------------------------------------------------------------------------------
ELECTRONIC EQUIPMENT & INSTRUMENTS - 3.3% Hoya Corp. 1,800 168,956
Keyence Corp. 300 61,896
Kuroda Electric Co., Ltd. 1,200 42,198
Synnex Technology International Corp. 36,000 62,797
TDK Corp. 2,800 195,385
Electronic Equipment & Instruments Total 531,232
---------------------------------------------------------------------------------
INTERNET SOFTWARE & SERVICES - 0.2% NCSoft Corp. (a) 560 36,351
Internet Software & Services Total 36,351
---------------------------------------------------------------------------------
IT SERVICES - 1.8% Infosys Technologies Ltd. 2,636 295,329
IT Services Total 295,329
---------------------------------------------------------------------------------
OFFICE ELECTRONICS - 3.3% Brother Industries Ltd. 9,000 84,890
Canon, Inc. 9,000 439,286
Office Electronics Total 524,176
---------------------------------------------------------------------------------
SEMICONDUCTORS & SEMICONDUCTOR Nikon Corp. 9,000 111,016
EQUIPMENT - 7.2% Realtek Semiconductor, Inc. 36,000 67,128
Rohm Co., Ltd. 1,500 169,643
Samsung Electronic Co., Ltd. 730 337,590
Taiwan Semiconductor Manufacturing Co., Ltd. (a) 239,408 457,215
Semiconductors & Semiconductor Equipment Total 1,142,592
</Table>
See notes to investment portfolio.
9
<Page>
<Table>
<Caption>
SHARES VALUE ($)
- ------------------------------------------ ---------------------------------------------------------------------------------
COMMON STOCKS - (CONTINUED)
INFORMATION TECHNOLOGY - (CONTINUED)
SOFTWARE - 0.3% Sumisho Computer Systems Corp. 1,700 44,757
Software Total 44,757
-----------
INFORMATION TECHNOLOGY TOTAL 2,839,310
MATERIALS - 3.6%
CHEMICALS - 0.7% Shin-Etsu Chemical Co., Ltd. 3,000 116,758
Chemicals Total 116,758
---------------------------------------------------------------------------------
CONTAINERS & Packaging - 0.9% Amcor Ltd. 22,250 132,683
Containers & Packaging Total 132,683
---------------------------------------------------------------------------------
METALS & Mining - 2.0% BHP Billiton Ltd. 33,946 321,893
Metals & Mining Total 321,893
-----------
MATERIALS TOTAL 571,334
TELECOMMUNICATION SERVICES - 5.5%
WIRELESS TELECOMMUNICATION SERVICES - 5.5% China Mobile Ltd. 111,500 392,474
NTT DoCoMo, Inc. 183 380,412
Taiwan Cellular Corp. 106,000 102,653
Wireless Telecommunication Services Total 875,539
-----------
TELECOMMUNICATION SERVICES TOTAL 875,539
UTILITIES - 1.3%
GAS UTILITIES - 1.3% Hong Kong & China Gas Co., Ltd. 12,613 21,793
Tokyo Gas Co., Ltd. 51,000 189,615
Gas Utilities Total 211,408
-----------
UTILITIES TOTAL 211,408
-----------
TOTAL COMMON STOCKS (COST OF $12,997,134) 15,541,198
</Table>
See notes to investment portfolio.
10
<Page>
<Table>
<Caption>
PAR ($) VALUE ($)
- ------------------------------------------ ---------------------------------------------------------------------------------
SHORT-TERM OBLIGATION - 2.1%
Repurchase agreement with State
Street Bank & Trust Co., dated
02/27/04, due 03/01/04 at 0.930%,
collateralized by a U.S. Treasury
Bond maturing 05/15/06, market value
$342,063 (repurchase proceeds
$333,026) (cost of $333,000) 333,000 333,000
TOTAL INVESTMENTS - 99.7%
(COST OF $13,330,134) (b) 15,874,198
OTHER ASSETS & LIABILITIES, NET - 0.3% 46,666
NET ASSETS - 100.0% 15,920,864
</Table>
NOTES TO INVESTMENT PORTFOLIO:
(a) Non-Income producing.
(b) Cost for both financial statement and federal income tax purposes is the
same.
<Table>
<Caption>
ACRONYM NAME
---------------------------------------------------------------------------------
ADR American Depositary Receipt
NVDR Non-Voting Depositary Receipt
</Table>
<Table>
<Caption>
SUMMARY OF SECURITIES % OF TOTAL
BY COUNTRY (UNAUDITED) VALUE ($) INVESTMENTS
---------------------------------------------------------------------------------
Japan 7,724,317 48.7%
Australia 1,681,646 10.6
Hong Kong 1,249,967 7.9
Taiwan 1,034,864 6.5
Singapore 934,495 5.9
India 795,383 5.0
South Korea 649,751 4.1
Thailand 611,590 3.8
China 487,976 3.1
United States 333,000 2.1
Malaysia 200,053 1.2
Indonesia 171,156 1.1
---------- -----
15,874,198 100.0%
========== =====
</Table>
Certain securities are listed by country of underlying exposure but may trade
predominantly on other exchanges.
See notes to financial statements.
11
<Page>
STATEMENT OF ASSETS AND LIABILITIES
FEBRUARY 29, 2004 (UNAUDITED) COLUMBIA NEWPORT ASIA PACIFIC FUND
<Table>
<Caption>
($)
- ------------------------------------------ ---------------------------------------------------------------------------------
ASSETS Investments, at cost 13,330,134
Investments, at value 15,874,198
Cash 689
Foreign currency (cost of $47,255) 47,842
Receivable for:
Fund shares sold 122,504
Interest 26
Dividends 21,608
Expense reimbursement due from Investment Advisor 4,463
Deferred Trustees' compensation plan 5,921
-----------
Total Assets 16,077,251
---------------------------------------------------------------------------------
LIABILITIES Payable for:
Investments purchased 8,058
Fund shares repurchased 3,509
Investment advisory fee 11,982
Administration fee 129
Transfer agent fee 16,418
Pricing and bookkeeping fees 656
Trustees' fees 162
Custody fee 2,626
Reports to shareholders 51,933
Distribution and service fees 6,172
Foreign capital gains tax payable 21,846
Deferred Trustees' fees 5,921
Other liabilities 26,975
-----------
Total Liabilities 156,387
NET ASSETS 15,920,864
---------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS Paid-in capital 21,374,772
Accumulated net investment loss (93,870)
Accumulated net realized loss (7,882,649)
Net unrealized appreciation/depreciation on:
Investments 2,544,064
Foreign currency translations 393
Foreign capital gains tax (21,846)
-----------
NET ASSETS 15,920,864
---------------------------------------------------------------------------------
CLASS A Net assets 8,128,430
Shares outstanding 493,123
Net asset value per share 16.48(a)
Maximum offering price per share ($16.48/0.9425) 17.49(b)
---------------------------------------------------------------------------------
CLASS B Net assets 4,736,697
Shares outstanding 298,540
Net asset value and offering price per share 15.87(a)
---------------------------------------------------------------------------------
CLASS C Net assets 1,867,418
Shares outstanding 117,758
Net asset value and offering price per share 15.86(a)
---------------------------------------------------------------------------------
Class Z Net assets 1,188,319
Shares outstanding 71,421
Net asset value, offering and redemption price per share 16.64(c)
</Table>
(a) Redemption price per share is equal to net asset value less any applicable
contingent deferred sale.
(b) On sales of $50,000 or more the offering price is reduced.
(c) Redemption price per share is equal to net asset value less any applicable
redemption fee.
See notes to financial statements.
12
<Page>
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED
FEBRUARY 29, 2004 (UNAUDITED) COLUMBIA NEWPORT ASIA PACIFIC FUND
<Table>
<Caption>
($)
- ------------------------------------------ ---------------------------------------------------------------------------------
INVESTMENT INCOME Dividends 76,993
Interest 2,248
-----------
Total Investment Income (net of foreign taxes withheld of $4,603) 79,241
---------------------------------------------------------------------------------
EXPENSES Investment advisory fee 65,443
Administration fee 4,923
Distribution fee:
Class B 16,719
Class C 5,377
Service fee:
Class A 8,431
Class B 5,573
Class C 1,783
Transfer agent fee 38,272
Pricing and bookkeeping fees 6,765
Trustees' fees 3,882
Custody fee 13,938
Registration fee 30,600
Reports to shareholders 49,686
Other expenses 18,600
-----------
Total Expenses 269,992
Fees and expenses waived or reimbursed by Investment Advisor (103,176)
Custody earnings credit (20)
-----------
Net Expenses 166,796
-----------
Net Investment Loss (87,555)
---------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON Net realized gain (loss) on:
INVESTMENTS AND FOREIGN CURRENCY Investments 585,998
Foreign currency transactions (7,151)
-----------
Net realized gain 578,847
Net change in unrealized appreciation/depreciation on:
Investments 1,164,373
Foreign currency translations 625
Foreign capital gains tax (4,796)
-----------
Net change in unrealized appreciation/depreciation 1,160,202
-----------
Net Gain 1,739,049
-----------
Net Increase in Net Assets from Operations 1,651,494
</Table>
See notes to financial statements.
13
<Page>
STATEMENTS OF CHANGES IN NET ASSETS
COLUMBIA NEWPORT ASIA PACIFIC FUND
<Table>
<Caption>
(UNAUDITED)
SIX MONTH
ENDED PERIOD ENDED YEAR ENDED
FEBRUARY 29, AUGUST 31, JUNE 30,
INCREASE (DECREASE) IN NET ASSETS: 2004 ($) 2003 ($) (a) 2003 ($)
- ---------------------------------- ------------------------------------------------------------------------------------------
OPERATIONS Net investment loss (87,555) (11,326) (52,546)
Net realized gain (loss) on investments
and foreign currency transactions 578,847 (191,247) (1,097,136)
Net change in unrealized appreciation/
depreciation on investments, foreign
currency translations and foreign
capital gains tax 1,160,202 1,384,536 (198,991)
------------------------------------------
Net Increase (Decrease) from Operations 1,651,494 1,181,963 (1,348,673)
------------------------------------------------------------------------------------------
SHARE TRANSACTIONS Class A:
Subscriptions 2,460,009 310,109 28,630,724
Redemptions (524,816) (172,220) (30,054,165)
Redemption fees 1,084 -- --
------------------------------------------
Net Increase (Decrease) 1,936,277 137,889 (1,423,441)
Class B:
Subscriptions 1,267,518 377,399 1,206,593
Redemptions (859,584) (232,132) (2,252,380)
Redemption fees 779 -- --
------------------------------------------
Net Increase (Decrease) 408,713 145,267 (1,045,787)
Class C:
Subscriptions 1,852,213 784,900 10,662,175
Redemptions (939,880) (792,425) (10,999,756)
Redemption fees 259 -- --
------------------------------------------
Net Increase (Decrease) 912,592 (7,525) (337,581)
Class Z (formerly Class S) (b):
Subscriptions 486,252 1,950 1,868,968
Proceeds received in combination
with original Class Z -- -- 13
Redemptions (132,284) (189,566) (1,271,675)
Redemption fees 149 -- --
------------------------------------------
Net Increase (Decrease) 354,117 (187,616) 597,306
Class Z (through 7/29/02):
Proceeds combined into former Class S -- -- (13)
------------------------------------------
Net Decrease -- -- (13)
Net Increase (Decrease) from Share
Transactions 3,611,699 88,015 (2,209,516)
------------------------------------------
Total Increase (Decrease) in Net Assets 5,263,193 1,269,978 (3,558,189)
------------------------------------------------------------------------------------------
</Table>
(a) The Fund has changed its fiscal year end from June 30 to August 31.
(b) On July 29, 2002, the Fund's existing Class Z shares were combined into the
Fund's Class S shares, which were subsequently redesignated as Class Z
shares.
See notes to financial statements.
14
<Page>
<Table>
<Caption>
(UNAUDITED)
SIX MONTH
ENDED PERIOD ENDED YEAR ENDED
FEBRUARY 29, AUGUST 31, JUNE 30,
INCREASE (DECREASE) IN NET ASSETS: 2004 ($) 2003 ($) (a) 2003 ($)
- ---------------------------------- ------------------------------------------------------------------------------------------
NET ASSETS Beginning of period 10,657,671 9,387,693 12,945,882
End of period (including accumulated
net investment loss of ($93,870),
($6,315) and ($12,839) respectively) $ 15,920,864 $ 10,657,671 $ 9,387,693
------------------------------------------------------------------------------------------
CHANGES IN SHARES Class A:
Subscriptions 156,879 22,631 2,287,361
Redemptions (32,775) (12,561) (2,398,752)
------------------------------------------
Net Increase (Decrease) 124,104 10,070 (111,391)
Class B:
Subscriptions 84,247 28,619 99,602
Redemptions (56,035) (17,494) (184,634)
------------------------------------------
Net Increase (Decrease) 28,212 11,125 (85,032)
Class C:
Subscriptions 123,507 59,050 871,959
Redemptions (63,280) (58,976) (890,657)
------------------------------------------
Net Increase (Decrease) 60,227 74 (18,698)
Class Z (formerly Class S) (b):
Subscriptions 29,927 141 147,874
Issued in connection with original Class Z -- -- 1
Redemptions (8,474) (13,841) (99,198)
------------------------------------------
Net Increase (Decrease) 21,453 (13,700) 48,677
Class Z (though 7/29/02):
Shares combined into former Class S -- -- (1)
------------------------------------------
Net Decrease -- -- (1)
</Table>
(a) The Fund has changed its fiscal year end from June 30 to August 31.
(b) On July 29, 2002, the Fund's existing Class Z shares were combined into the
Fund's Class S shares, which were subsequently redesignated as Class Z
shares.
See notes to financial statements.
15
<Page>
NOTES TO FINANCIAL STATEMENTS
FEBRUARY 29, 2004 (UNAUDITED) COLUMBIA NEWPORT ASIA PACIFIC FUND
NOTE 1. ORGANIZATION
Columbia Newport Asia Pacific Fund (the "Fund"), a series of Columbia Funds
Trust VI (the "Trust"), is a diversified portfolio. The Trust is a Massachusetts
business trust registered under the Investment Company Act of 1940, as amended,
as an open-end management investment company.
INVESTMENT GOAL
The Fund seeks long-term growth by investing primarily in equity securities of
companies located in Asia or the Pacific Basin.
FUND SHARES
The Fund may issue an unlimited number of shares and offers four classes of
shares: Class A, Class B, Class C and Class Z. Each share class has its own
sales charge and expense structure.
Class A shares are subject to a maximum front-end sales charge of 5.75% based on
the amount of initial investment. Class A shares purchased without an initial
sales charge are subject to a 1.00% contingent deferred sales charge ("CDSC") on
shares sold within eighteen months on an original purchase of $1 million to $25
million. Class B shares are subject to a maximum CDSC of 5.00% based upon the
holding period after purchase. Class B shares will convert to Class A shares in
a certain number of years after purchase, depending on the program under which
shares were purchased. Class C shares are subject to a 1.00% CDSC on shares sold
within one year after purchase. Class Z shares are offered continuously at net
asset value. There are certain restrictions on the purchase of Class Z shares,
as described in the Fund's prospectus.
Effective October 13, 2003, the Fund changed its name from Liberty Newport Asia
Pacific Fund to Columbia Newport Asia Pacific Fund. Also on that date, the Trust
changed its name from Liberty Funds Trust VI to Columbia Funds Trust VI.
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES
USE OF ESTIMATES
The preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America ("GAAP") requires management
to make estimates and assumptions that affect the reported amounts of assets and
liabilities, the disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenue and expenses during
the reporting period. Actual results could differ from those estimates. The
following is a summary of significant accounting policies consistently followed
by the Fund in the preparation of its financial statements.
SECURITY VALUATION
Foreign securities are generally valued at the closing price on the foreign
exchange or market on which they trade. If any foreign share prices are not
readily available as a result of limited share activity, the securities are
valued at the last sale price of the local shares in the principal market in
which such securities are normally traded.
Short-term debt obligations maturing within 60 days are valued at amortized
cost, which approximates market value.
Generally, trading in foreign securities is substantially completed each day at
various times prior to the close of the New York Stock Exchange ("NYSE"). The
values of such securities used in computing the net asset value of the Fund's
shares are determined as of such times. Foreign currency exchange rates are
generally determined at 2:00 p.m. Eastern (U.S.) time. Occasionally, events
affecting the values of such foreign securities and such exchange rates may
occur between the times at which they are determined and the close of the
customary trading session of the NYSE, which would not be reflected in the
computation of the Fund's net asset value. If events materially affecting the
values of such foreign securities occur and it is determined that market
quotations are not readily available, then these foreign securities will be
valued at their fair value using procedures approved by the Board of Trustees.
SECURITY TRANSACTIONS
Security transactions are accounted for on the trade date. Cost is determined
and gains (losses) are based upon the specific identification method for both
financial statement and federal income tax purposes.
REPURCHASE AGREEMENTS
The Fund may engage in repurchase agreement transactions with institutions that
the Fund's investment advisor has determined are creditworthy. The Fund, through
its custodian, receives delivery of underlying securities collateralizing a
repurchase agreement. Collateral is at least equal, at all times, to the value
of the repurchase obligation including interest. A repurchase agreement
transaction involves
16
<Page>
certain risks in the event of default or insolvency of the counterparty. These
risks include possible delays or restrictions upon the Fund's ability to dispose
of the underlying securities and a possible decline in the value of the
underlying securities during the period while the Fund seeks to assert its
rights.
INCOME RECOGNITION
Interest income is recorded on the accrual basis. Corporate actions and dividend
income are recorded on the ex-date, except for certain foreign securities which
are recorded as soon after ex-date as the Fund becomes aware of such, net of
non-reclaimable tax withholdings.
FOREIGN CURRENCY TRANSACTIONS
The values of all assets and liabilities quoted in foreign currencies are
translated into U.S. dollars at that day's exchange rates. Net realized and
unrealized gains (losses) on foreign currency transactions include gains
(losses) arising from the fluctuation in exchange rates between trade and
settlement dates on securities transactions, gains (losses) arising from the
disposition of foreign currency and currency gains (losses) between the accrual
and payment dates on dividends, interest income and foreign withholding taxes.
For financial statement purposes, the Fund does not distinguish that portion of
gains (losses) on investments which is due to changes in foreign exchange rates
from that which is due to changes in market prices of the investments. Such
fluctuations are included with the net realized and unrealized gains (losses) on
investments.
DETERMINATION OF CLASS NET ASSET VALUES
All income, expenses (other than class-specific expenses, as shown on the
Statement of Operations), and realized and unrealized gains (losses), are
allocated to each class of the Fund on a daily basis, based on the relative net
assets of each class, for purposes of determining the net asset value of each
class.
FOREIGN CAPITAL GAINS TAXES
Realized gains in certain countries may be subject to foreign taxes at the fund
level, at rates ranging from approximately 10% to 30%. The Fund accrues for such
foreign taxes on net realized and unrealized gains at the appropriate rate for
each jurisdiction.
FEDERAL INCOME TAX STATUS
The Fund intends to qualify each year as a "regulated investment company" under
Subchapter M of the Internal Revenue Code, as amended, and will distribute
substantially all of its taxable income, if any, for its tax year, and as such
will not be subject to federal income taxes. In addition, by distributing in
each calendar year substantially all of its net investment income, capital gains
and certain other amounts, if any, the Fund will not be subject to federal
excise tax. Therefore, no federal income or excise tax provision is recorded.
DISTRIBUTIONS TO SHAREHOLDERS
Distributions to shareholders are recorded on ex-date. Net realized capital
gains, if any, are distributed at least annually.
NOTE 3. FEDERAL TAX INFORMATION
Unrealized appreciation and depreciation at February 29, 2004, based on cost of
investments for federal income tax purposes and excluding any unrealized
appreciation and depreciation from changes in the value of assets and
liabilities resulting from changes in exchange rates, was:
<Table>
Unrealized appreciation $ 3,130,526
Unrealized depreciation (586,462)
Net unrealized appreciation $ 2,544,064
</Table>
The following capital loss carryforwards, determined as of August 31, 2003, may
be available to reduce taxable income arising from future net realized gains on
investments, if any, to the extent permitted by the Internal Revenue Code:
<Table>
<Caption>
YEAR OF EXPIRATION CAPITAL LOSS CARRYFORWARD
- -----------------------------------------------------------------------------------
2005 $ 2,391,127
2009 3,676,821
2010 1,404,163
2011 953,897
$ 8,426,008
</Table>
NOTE 4. FEES AND COMPENSATION PAID TO AFFILIATES
INVESTMENT ADVISORY FEE
Columbia Management Advisors, Inc. ("Columbia") is the investment advisor to the
Fund. Prior to April 1, 2004, Columbia was an indirect, wholly owned subsidiary
of FleetBoston Financial Corporation ("FleetBoston"). Effective April 1, 2004,
FleetBoston
17
<Page>
was acquired by Bank of America Corporation ("BOA"), see note 10. Columbia
receives a monthly investment advisory fee based on the Fund's average daily net
assets at the following annual rates:
<Table>
<Caption>
AVERAGE DAILY NET ASSETS FEE RATE
- ----------------------------------------------------------------------------
First $1 billion 0.95%
Next $500 million 0.90%
Over $1.5 billion 0.85%
</Table>
Prior to November 1, 2003, Columbia was entitled to receive a monthly investment
advisory fee at the annual rate of 1.00% of the Fund's average daily net assets.
For the six months ended February 29, 2004, the Fund's annualized effective
investment advisory fee rate was 0.96%.
ADMINISTRATION FEES
Columbia provides administrative and other services to the Fund. Effective
November 1, 2003, the Board of Trustees approved an administration fee reduction
for the Fund. As a result of the fee reduction, Columbia no longer receives fees
from the Fund for its administration services.
Prior to November 1, 2003, Columbia was entitled to receive a monthly
administration fee at the annual rate of 0.25% of the Fund's average daily net
assets.
For the six months ended February 29, 2004, the Fund's annualized effective
administration fee rate was 0.07%.
PRICING AND BOOKKEEPING FEES
Columbia is responsible for providing pricing and bookkeeping services to the
Fund under a pricing and bookkeeping agreement. Under a separate agreement (the
"Outsourcing Agreement"), Columbia has delegated those functions to State Street
Corporation ("State Street"). Columbia pays the total fees collected to State
Street under the Outsourcing Agreement.
Under its pricing and bookkeeping agreement with the Fund, Columbia receives
from the Fund an annual flat fee of $10,000 paid monthly, and in any month that
the Fund's average daily net assets exceed $50 million, an additional monthly
fee. The additional fee rate is calculated by taking into account the fees
payable to State Street under the Outsourcing Agreement. This rate is applied to
the average daily net assets of the Fund for that month. The Fund also pays
additional fees for pricing services. For the six months ended February 29,
2004, the Fund's annualized effective pricing and bookkeeping fee rate was
0.100%.
TRANSFER AGENT FEES
Columbia Funds Services, Inc. (the "Transfer Agent"), formerly Liberty Funds
Services, Inc., an indirect, wholly owned subsidiary of BOA, provides
shareholder services to the Fund. For such services, the Transfer Agent receives
a fee, paid monthly, at the annual rate of $28.00 per open account. The Transfer
Agent also receives reimbursement for certain out-of-pocket expenses.
Prior to November 1, 2003, the Transfer Agent was entitled to receive a monthly
transfer agent fee, in addition to reimbursement for certain out-of-pocket
expenses, at the annual rate of 0.06% of the Fund's average daily net assets
plus flat-rate charges based on the number of shareholder accounts and
transactions. For the six months ended February 29, 2004, the Fund's annualized
effective transfer agent fee rate, exclusive of out-of-pocket fees, was 0.39%.
UNDERWRITING DISCOUNTS, SERVICE AND DISTRIBUTION FEES
Columbia Funds Distributor, Inc. (the "Distributor"), an indirect, wholly owned
subsidiary of BOA, is the principal underwriter of the Fund. Prior to October
13, 2003, Columbia Funds Distributor, Inc. was known as Liberty Funds
Distributor, Inc. For the six months ended February 29, 2004, the Distributor
has retained net underwriting discounts of $9,947 on sales of the Fund's Class A
shares and received CDSC fees of $5, $1,746 and $252 on Class A, Class B and
Class C share redemptions, respectively.
The Fund has adopted a 12b-1 plan (the "Plan") which requires the payment of a
monthly service fee to the Distributor at the annual rate of 0.25% of the
average daily net assets attributable to Class A, Class B and Class C shares of
the Fund. The Plan also requires the payment of a monthly distribution fee to
the Distributor at the annual rate of 0.75% of the average daily net assets
attributable to Class B and Class C shares only.
The CDSC and the fees received from the Plan are used principally as repayment
to the Distributor for amounts paid by the Distributor to dealers who sold such
shares.
18
<Page>
EXPENSE LIMITS AND FEE REIMBURSEMENTS
Columbia has voluntarily agreed to waive certain fees to the extent that total
expenses (exclusive of distribution and service fees, brokerage commissions,
interest, taxes and extraordinary expenses, if any) exceed 1.90% annually of the
Fund's average daily net assets. This arrangement may be revised or discontinued
by Columbia at any time.
CUSTODY CREDITS
The Fund has an agreement with its custodian bank under which custody fees may
be reduced by balance credits. The Fund could have invested a portion of the
assets utilized in connection with the expense offset arrangement in an
income-producing asset if it had not entered into such an agreement.
FEES PAID TO OFFICERS AND TRUSTEES
The Fund pays no compensation to its officers, all of whom are employees of
Columbia or its affiliates.
The Fund's Trustees may participate in a deferred compensation plan which may be
terminated at any time. Obligations of the plan will be paid solely out of the
Fund's assets.
NOTE 5. PORTFOLIO INFORMATION
For the six months ended February 29, 2004, the cost of purchases and proceeds
from sales of securities, excluding short-term obligations, were $6,428,374 and
$3,042,355, respectively.
NOTE 6. REDEMPTION FEES
Effective February 10, 2003, the Fund began imposing a 2.00% redemption fee to
shareholders of Class Z shares who redeem shares held for 60 days or less.
Redemption fees, which are retained by the Fund, are accounted for as an
addition to paid in capital and are allocated to each class proportionately for
purposes of determining the net asset value of each class. Prior to October 9,
2003, redemption fees were recorded as a component of paid in capital on Class Z
shares. For the six months ended February 29, 2004, the redemption fees for the
Class Z shares of the Fund amounted to $2,271.
NOTE 7. LINE OF CREDIT
The Fund and other affiliated funds participate in a $350,000,000 credit
facility, which is used for temporary or emergency purposes to facilitate
portfolio liquidity. Interest is charged to the Fund based on its borrowings. In
addition, the Fund has agreed to pay commitment fees on its pro-rata portion of
the unutilized line of credit. The commitment fee is included in "Other
expenses" on the Statement of Operations. For the six months ended February 29,
2004, the Fund did not borrow under these arrangements.
NOTE 8. DISCLOSURE OF SIGNIFICANT RISKS AND CONTINGENCIES
GEOGRAPHIC CONCENTRATION
Because the Fund's investments are concentrated in Asia and the Pacific Basin,
events within the region will have a greater effect on the Fund than if the Fund
were more geographically diversified. In addition, events in any one country
within the region may impact the other countries or the region as a whole.
Markets in the region can experience significant volatility due to social,
regulatory and political uncertainties.
FOREIGN SECURITIES
There are certain additional risks involved when investing in foreign securities
that are not inherent with investments in domestic securities. These risks may
involve foreign currency exchange rate fluctuations, adverse political and
economic developments and the possible prevention of currency exchange or other
foreign governmental laws or restrictions. In addition, the liquidity of foreign
securities may be more limited than that of domestic securities.
Investments in emerging market countries are subject to additional risk. The
risk of foreign investments is typically increased in less developed countries.
These countries are also more likely to experience high levels of inflation,
deflation or currency devaluation which could hurt their economies and
securities markets.
INDUSTRY FOCUS
The Fund may focus its investments in certain industries, subjecting it to
greater risk than a fund that is more diversified.
19
<Page>
LEGAL PROCEEDINGS
Columbia, the Distributor, and certain of their affiliates (collectively, "The
Columbia Group") have received information requests and subpoenas from various
regulatory and law enforcement authorities in connection with their
investigations of late trading and market timing in mutual funds. The Columbia
Group has not uncovered any instances where Columbia or the Distributor were
knowingly involved in late trading of mutual fund shares.
On February 24, 2004, the Securities and Exchange Commission ("SEC") filed a
civil complaint in the United States District Court for the District of
Massachusetts against Columbia and the Distributor, alleging that they had
violated certain provisions of the federal securities laws in connection with
trading activity in mutual fund shares. Also on February 24, 2004, the New York
Attorney General ("NYAG") filed a civil complaint in New York Supreme Court,
County of New York against Columbia and the Distributor alleging that Columbia
and the Distributor had violated certain New York anti-fraud statutes. If either
Columbia or the Distributor is unsuccessful in its defense of these proceedings,
it could be barred from serving as an investment advisor or distributor for any
investment company registered under the Investment Company Act of 1940, as
amended (a "registered investment company"). Such results could prevent
Columbia, the Distributor or any company that is an affiliated person of
Columbia and the Distributor from serving as an investment advisor or
distributor for any registered investment company, including your fund. Your
fund has been informed by Columbia and the Distributor that, if these results
occur, they will seek exemptive relief from the SEC to permit them to continue
to serve as your fund's investment advisor and distributor. There is no
assurance that such exemptive relief will be granted. On March 15, 2004,
Columbia and the Distributor entered into agreements in principle with the SEC
Division of Enforcement and NYAG in settlement of the charges. Under the
agreements, Columbia and the Distributor agreed, inter alia, to the following
conditions: payment of $70 million in disgorgement; payment of $70 million in
civil penalties; an order requiring Columbia and the Distributor to cease and
desist from violations of the antifraud provisions and other provisions of the
federal securities laws; governance changes designed to maintain the
independence of the mutual fund boards of trustees and ensure compliance with
securities laws and their fiduciary duties; and retention of an independent
consultant to review Columbia's and the Distributor's compliance policies and
procedures. The agreement requires the final approval of the SEC. In a separate
agreement with the NYAG, the Columbia Group has agreed to reduce mutual fund
fees by $80 million over a five-year period.
As a result of these matters or any adverse publicity or other developments
resulting from them, there may be increased redemptions or reduced sales of fund
shares, which could increase transaction costs or operating expenses, or have
other adverse consequences for the funds.
NOTE 9. COMPARABILITY OF FINANCIAL STATEMENTS
The Fund has changed its fiscal year end from June 30 to August 31.
NOTE 10. SUBSEQUENT EVENT
On April 1, 2004, FleetBoston, including the Fund's investment advisor and
distributor, was acquired by BOA. The merger did not change the way the Fund is
managed, the investment personnel assigned to manage the Fund or the fees paid
by the Fund.
20
<Page>
FINANCIAL HIGHLIGHTS COLUMBIA NEWPORT ASIA PACIFIC FUND
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD IS AS FOLLOWS:
<Table>
<Caption>
(UNAUDITED)
SIX MONTHS PERIOD
ENDED ENDED
FEBRUARY 29, AUGUST 31, YEAR ENDED JUNE 30,
CLASS A SHARES 2004 2003 (a) 2003 2002 2001
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE,
BEGINNING OF PERIOD $ 14.48 $ 12.87 $ 14.47 $ 16.50 $ 24.55
- ------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss (c) (0.08) (0.01) (0.03) (0.08) (0.04)
Net realized and
unrealized gain (loss)
on investments, foreign
currency and foreign
capital gains tax 2.08 1.62 (1.57) (1.95) (7.38)
------------ ------------ ------------ ------------ ------------
Total from Investment
Operations 2.00 1.61 (1.60) (2.03) (7.42)
- ------------------------------------------------------------------------------------------------------------------------------
LESS DISTRIBUTIONS
DECLARED TO SHAREHOLDERS:
From net investment
income -- -- -- -- --
From net realized gains -- -- -- -- (0.18)
In excess of net
realized gains -- -- -- -- (0.45)
------------ ------------ ------------ ------------ ------------
Total Distributions
Declared to
Shareholders -- -- -- -- (0.63)
- ------------------------------------------------------------------------------------------------------------------------------
REDEMPTION FEES:
Redemption fees added to
paid-in capital --(c)(e) -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 16.48 $ 14.48 $ 12.87 $ 14.47 $ 16.50
Total return (f)(g) 13.81%(h) 12.51%(h) (11.06)% (12.30)% (30.60)%
- ------------------------------------------------------------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS/
SUPPLEMENTAL DATA:
Operating expenses (i) 2.15%(j) 2.15%(j) 2.15% 2.15% 2.15%
Interest expense -- -- --%(k) --%(k) --
Net investment loss (i) (0.98)%(j) (0.36)%(j) (0.24)% (0.55)% (0.22)%
Waiver/reimbursement 1.52%(j) 2.16%(j) 1.40% 1.74% 1.26%
Portfolio turnover rate 23%(h) 8%(h) 42% 24% 43%
Net assets, end of
period (000's) $ 8,128 $ 5,343 $ 4,620 $ 6,804 $ 9,222
<Caption>
PERIOD
ENDED
JUNE 30,
CLASS A SHARES 2000 1999 (b)
- ------------------------------------------------------------------------
NET ASSET VALUE,
BEGINNING OF PERIOD $ 19.01 $ 10.00
- ------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss (c) (0.16)(d) (0.02)(d)
Net realized and
unrealized gain (loss)
on investments, foreign
currency and foreign
capital gains tax 7.03 9.14
------------ ------------
Total from Investment
Operations 6.87 9.12
- ------------------------------------------------------------------------
LESS DISTRIBUTIONS
DECLARED TO SHAREHOLDERS:
From net investment
income (0.50) (0.11)
From net realized gains (0.83) --
In excess of net
realized gains -- --
------------ ------------
Total Distributions
Declared to
Shareholders (1.33) (0.11)
- ------------------------------------------------------------------------
REDEMPTION FEES:
Redemption fees added to
paid-in capital -- --
- ------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 24.55 $ 19.01
Total return (f)(g) 36.18% 91.64%(h)
- ------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS/
SUPPLEMENTAL DATA:
Operating expenses (i) 2.15% 2.15%(j)
Interest expense -- --
Net investment loss (i) (0.65)% (0.15)%(j)
Waiver/reimbursement 0.96% 3.10%(j)
Portfolio turnover rate 31% 26%(h)
Net assets, end of
period (000's) $ 10,213 $ 4,606
</Table>
(a) The Fund has changed its fiscal year end from June 30 to August 31.
(b) The Fund commenced investment operations on August 19, 1998. Per share
data, total return and portfolio turnover rate reflect activity from that
date.
(c) Per share data was calculated using average shares outstanding during the
period.
(d) Net of fees and expenses waived or borne by the Investment
Advisor/Administrator which amounted to $0.233 and $0.365 per share for the
periods ended June 30, 2000 and 1999, respectively.
(e) Rounds to less than $0.01 per share.
(f) Total return at net asset value assuming all distributions reinvested and
no initial sales charge or contingent deferred sales charge.
(g) Had the Investment Advisor/Administrator not waived a portion of expenses,
total return would have been reduced.
(h) Not annualized.
(i) The benefits derived from custody credits and directed brokerage
arrangements, if applicable, had an impact of less than 0.01%.
(j) Annualized.
(k) Rounds to less than 0.01%.
21
<Page>
<Table>
<Caption>
(UNAUDITED)
SIX MONTHS PERIOD
ENDED ENDED
FEBRUARY 29, AUGUST 31, YEAR ENDED JUNE 30,
CLASS B SHARES 2004 2003 (a) 2003 2002 2001
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE,
BEGINNING OF PERIOD $ 13.99 $ 12.45 $ 14.09 $ 16.19 $ 24.31
- ------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss (c) (0.13) (0.02) (0.11) (0.19) (0.15)
Net realized and
unrealized gain (loss)
on investments, foreign
currency and foreign
capital gains tax 2.01 1.56 (1.53) (1.91) (7.34)
------------ ------------ ------------ ------------ ------------
Total from Investment
Operations 1.88 1.54 (1.64) (2.10) (7.49)
- ------------------------------------------------------------------------------------------------------------------------------
LESS DISTRIBUTIONS
DECLARED TO SHAREHOLDERS:
From net investment
income -- -- -- -- --
From net realized gains -- -- -- -- (0.18)
In excess of net
realized gains -- -- -- -- (0.45)
------------ ------------ ------------ ------------ ------------
Total Distributions
Declared to
Shareholders -- -- -- -- (0.63)
- ------------------------------------------------------------------------------------------------------------------------------
REDEMPTION FEES:
Redemption fees added to
paid-in capital --(c)(e) -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 15.87 $ 13.99 $ 12.45 $ 14.09 $ 16.19
Total return (f)(g) 13.44%(h) 12.37%(h) (11.64)% (12.97)% (31.20)%
- ------------------------------------------------------------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS/
SUPPLEMENTAL DATA:
Operating expenses (i) 2.90%(j) 2.90%(j) 2.90% 2.90% 2.90%
Interest expense -- -- --(k) --(k) --
Net investment loss (i) (1.70)%(j) (1.10)%(j) (0.87)% (1.30)% (0.80)%
Waiver/reimbursement 1.52%(j) 2.16%(j) 1.45% 1.74% 1.38%
Portfolio turnover rate 23%(h) 8%(h) 42% 24% 43%
Net assets, end of
period (000's) $ 4,737 $ 3,781 $ 3,227 $ 4,851 $ 6,903
<Caption>
PERIOD
ENDED
JUNE 30,
CLASS B SHARES 2000 1999 (b)
- ------------------------------------------------------------------------
NET ASSET VALUE,
BEGINNING OF PERIOD $ 18.90 $ 10.00
- ------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss (c) (0.34)(d) (0.11)(d)
Net realized and
unrealized gain (loss)
on investments, foreign
currency and foreign
capital gains tax 7.03 9.10
------------ ------------
Total from Investment
Operations 6.69 8.99
- ------------------------------------------------------------------------
LESS DISTRIBUTIONS
DECLARED TO SHAREHOLDERS:
From net investment
income (0.45) (0.09)
From net realized gains (0.83) --
In excess of net
realized gains -- --
------------ ------------
Total Distributions
Declared to
Shareholders (1.28) (0.09)
- ----------------------------------------------------------- ------------
REDEMPTION FEES: -
Redemption fees added to
paid-in capital -- --
- ------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 24.31 $ 18.90
Total return (f)(g) 35.43% 90.36%(h)
- ------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS/
SUPPLEMENTAL DATA:
Operating expenses (i) 2.90% 2.90%(j)
Interest expense -- --
Net investment loss (i) (1.40)% (0.90)%(j)
Waiver/reimbursement 0.96% 3.10%(j)
Portfolio turnover rate 31% 26%(h)
Net assets, end of
period (000's) $ 5,836 $ 515
</Table>
(a) The Fund has changed its fiscal year end from June 30 to August 31.
(b) The Fund commenced investment operations on August 19, 1998. Per share
data, total return and portfolio turnover rate reflect activity from that
date.
(c) Per share data was calculated using average shares outstanding during the
period.
(d) Net of fees and expenses waived or borne by the Investment
Advisor/Administrator which amounted to $0.233 and $0.365 per share for the
periods ended June 30, 2000 and 1999, respectively.
(e) Rounds to less than $0.01 per share.
(f) Total return at net asset value assuming all distributions reinvested and
no contingent deferred sales charge.
(g) Had the Investment Advisor/Administrator not waived a portion of expenses,
total return would have been reduced.
(h) Not annualized.
(i) The benefits derived from custody credits and directed brokerage
arrangements, if applicable, had an impact of less than 0.01%.
(j) Annualized.
(k) Rounds to less than 0.01%.
22
<Page>
<Table>
<Caption>
(UNAUDITED)
SIX MONTHS PERIOD
ENDED ENDED
FEBRUARY 29, AUGUST 31, YEAR ENDED JUNE 30,
CLASS C SHARES 2004 2003 (a) 2003 2002 2001
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE,
BEGINNING OF PERIOD $ 13.98 $ 12.44 $ 14.09 $ 16.18 $ 24.28
- ------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss (c) (0.14) (0.03) (0.11) (0.19) (0.18)
Net realized and
unrealized gain (loss)
on investments, foreign
currency and foreign
capital gains tax 2.02 1.57 (1.54) (1.90) (7.29)
------------ ------------ ------------ ------------ ------------
Total from Investment
Operations 1.88 1.54 (1.65) (2.09) (7.47)
- ------------------------------------------------------------------------------------------------------------------------------
LESS DISTRIBUTIONS
DECLARED TO SHAREHOLDERS:
From net investment
income -- -- -- -- --
From net realized gains -- -- -- -- (0.18)
In excess of net
realized gains -- -- -- -- (0.45)
------------ ------------ ------------ ------------ ------------
Total Distributions
Declared to
Shareholders -- -- -- -- (0.63)
- ------------------------------------------------------------------------------------------------------------------------------
REDEMPTION FEES:
Redemption fees add to
paid-in capital --(c)(e) -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 15.86 $ 13.98 $ 12.44 $ 14.09 $ 16.18
Total return (f)(g) 13.45%(h) 12.38%(h) (11.71)% (12.92)% (31.15)%
- ------------------------------------------------------------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS/
SUPPLEMENTAL DATA:
Operating expenses (i) 2.90%(j) 2.90%(j) 2.90% 2.90% 2.90%
Interest expense -- -- --(k) --(k) --
Net investment loss (i) (1.82)%(j) (1.14)%(j) (0.87)% (1.30)% (0.92)%
Waiver/reimbursement 1.52%(j) 2.16%(j) 1.46% 1.74% 1.29%
Portfolio turnover rate 23%(h) 8%(h) 42% 24% 43%
Net assets, end of
period (000's) $ 1,867 $ 804 $ 715 $ 1,073 $ 1,109
<Caption>
PERIOD
ENDED
JUNE 30,
CLASS C SHARES 2000 1999 (b)
- ------------------------------------------------------------------------
NET ASSET VALUE,
BEGINNING OF PERIOD $ 18.90 $ 10.00
- ------------------------------------------------------------------------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment loss (c) (0.34)(d) (0.11)(d)
Net realized and
unrealized gain (loss)
on investments, foreign
currency and foreign
capital gains tax 7.00 9.10
------------ ------------
Total from Investment
Operations 6.66 8.99
- ------------------------------------------------------------------------
LESS DISTRIBUTIONS
DECLARED TO SHAREHOLDERS:
From net investment
income (0.45) (0.09)
From net realized gains (0.83) --
In excess of net
realized gains -- --
------------ ------------
Total Distributions
Declared to
Shareholders (1.28) (0.09)
- ------------------------------------------------------------------------
REDEMPTION FEES:
Redemption fees add to
paid-in capital -- --
- ------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 24.28 $ 18.90
Total return (f)(g) 35.27% 90.36%(h)
- ------------------------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS/
SUPPLEMENTAL DATA:
Operating expenses (i) 2.90% 2.90%(j)
Interest expense -- --
Net investment loss (i) (1.40)% (0.90)%(j)
Waiver/reimbursement 0.96% 3.10%(j)
Portfolio turnover rate 31% 26%(h)
Net assets, end of
period (000's) $ 1,383 $ 202
</Table>
(a) The Fund has changed its fiscal year end from June 30 to August 31.
(b) The Fund commenced investment operations on August 19, 1998. Per share
data, total return and portfolio turnover rate reflect activity from that
date.
(c) Per share data was calculated using average shares outstanding during the
period.
(d) Net of fees and expenses waived or borne by the Investment
Advisor/Administrator which amounted to $0.233 and $0.365 per share for the
periods ended June 30, 2000 and 1999, respectively.
(e) Rounds to less than $0.01 per share.
(f) Total return at net asset value assuming all distributions reinvested and
no contingent deferred sales charge.
(g) Had the Investment Advisor/Administrator not waived a portion of expenses,
total return would have been reduced.
(h) Not annualized.
(i) The benefits derived from custody credits and directed brokerage
arrangements, if applicable, had an impact of less than 0.01%.
(j) Annualized.
(k) Rounds to less than 0.01%.
23
<Page>
<Table>
<Caption>
(UNAUDITED)
SIX MONTHS PERIOD PERIOD
ENDED ENDED ENDED
FEBRUARY 29, AUGUST 31, YEAR ENDED JUNE 30, JUNE 30,
CLASS Z SHARES 2004 2003 (a) 2003 (b) 2002 2001 (c)
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE, BEGINNING OF PERIOD $ 14.60 $ 12.97 $ 14.55 $ 16.54 $ 19.06
- ------------------------------------------------------------------------------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income (loss) (d) (0.06) --(e) (0.01) (0.04) 0.08
Net realized and unrealized gain
(loss) on investments, foreign
currency and foreign capital gains tax 2.10 1.63 (1.57) (1.95) (2.60)
------------ ------------ ------------ ------------ ------------
Total from Investment Operations 2.04 1.63 (1.58) (1.99) (2.52)
- ------------------------------------------------------------------------------------------------------------------------------
REDEMPTION FEES:
Redemption fees added to
paid-in capital --(d)(e) -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 16.64 $ 14.60 $ 12.97 $ 14.55 $ 16.54
Total return (f)(g) 13.97%(h) 12.57%(h) (10.86)% (12.03)% (13.22)%(h)
- ------------------------------------------------------------------------------------------------------------------------------
RATIOS TO AVERAGE NET
ASSETS/SUPPLEMENTAL DATA:
Operating expenses (i) 1.90%(j) 1.90%(j) 1.90% 1.90% 1.90%(j)
Interest expense -- -- --%(k) --%(k) --
Net investment income (loss) (i) (0.72)%(j) (0.13)%(j) (0.06)% (0.30)% 1.08%(j)
Waiver/reimbursement 1.52%(j) 2.16%(j) 1.95% 1.74% 1.99%(j)
Portfolio turnover rate 23%(h) 8%(h) 42% 24% 43%
Net assets, end of period (000's) $ 1,188 $ 729 $ 826 $ 218 $ 305
</Table>
(a) The Fund has changed its fiscal year end from June 30 to August 31.
(b) On July 29, 2002, the Fund's existing Class Z shares were combined into the
Fund's Class S shares, which were subsequently redesignated as Class Z
shares.
(c) Class S shares were initially offered on February 1, 2001. Per share data
and total return reflect activity from that date.
(d) Per share data was calculated using average shares outstanding during the
period.
(e) Rounds to less than $0.01 per share.
(f) Total return at net asset value assuming all distributions reinvested.
(g) Had the Investment Advisor/Administrator not waived or reimbursed a portion
of expenses, total return would have been reduced.
(h) Not annualized.
(i) The benefits derived from custody credits and directed brokerage
arrangements, if applicable, had an impact of less than 0.01%.
(j) Annualized.
(k) Rounds to less than 0.01%.
24
<Page>
IMPORTANT INFORMATION ABOUT THIS REPORT
COLUMBIA NEWPORT ASIA PACIFIC FUND
TRANSFER AGENT
Columbia Funds Services, Inc.
P.O. Box 8081
Boston MA 02266-8081
800.345.6611
DISTRIBUTOR
Columbia Funds Distributor, Inc.
One Financial Center
Boston MA 02111
INVESTMENT ADVISOR
Columbia Management Advisors, Inc.
100 Federal Street
Boston MA 02111
The fund mails one shareholder report to each shareholder address. If you would
like more than one report, please call shareholder services at 800-345-6611 and
additional reports will be sent to you.
This report has been prepared for shareholders of Columbia Newport Asia Pacific
Fund. This report may also be used as sales literature when preceded or
accompanied by the current prospectus which provides details of sales charges,
investment objectives and operating policies of the fund and with the most
recent copy of the Columbia Funds Performance Update.
A description of the policies and procedures that the fund uses to determine how
to vote proxies relating to its portfolio securities is available (i) without
charge, upon request, by calling 800-345-6611 and (ii) on the Securities and
Exchange Commission's website at http://www.sec.gov.
25
<Page>
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COLUMBIA NEWPORT ASIA PACIFIC FUND SEMIANNUAL REPORT, FEBRUARY 29, 2004
PRSRT STD
U.S. POSTAGE
PAID
HOLLISTON, MA
PERMIT NO. 20
[COLUMBIAFUNDS(R) LOGO]
A MEMBER OF COLUMBIA MANAGEMENT GROUP
(C) 2004 COLUMBIA FUNDS DISTRIBUTOR, INC.
ONE FINANCIAL CENTER, BOSTON, MA 02111-2621
800.345.6611 www.columbiafunds.com
737-03/315R-0204 (04/04) 04/0799
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ITEM 2. CODE OF ETHICS.
Not applicable at this time.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable at this time.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable at this time.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable.
ITEM 6. SCHEDULE OF INVESTMENTS
Not applicable at this time.
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ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 8. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 9. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
The registrant has not filed Schedule 14A subsequent to the effective date of
that Schedule's Item 7(d)(2)(ii)(G). However, it is the registrant's policy
to consider candidates for the Board of Trustees/Directors who are recommend
by shareholders. A Fund shareholder who wishes to nominate a candidate to
the Board may send information regarding prospective candidates to the Fund's
Governance Committee, care of the Fund's Secretary. The information should
include evidence of the shareholder's Fund ownership, a full listing of the
proposed candidate's education, experience, current employment, date of
birth, names and addresses of at least three professional references,
information as to whether the candidate is not an "interested person" under
the 1940 Act and "independent" under NYSE Listing Standards in relation to
the Fund, and such other information as may be helpful to the independent
trustees/directors in evaluating the candidate. All satisfactorily completed
information packages regarding a candidate will be forwarded to an
independent trustee/director for consideration.
ITEM 10. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive officer and principal financial
officer, based on his evaluation of the registrant's disclosure
controls and procedures as of a date within 90 days of the filing of
this report, has concluded that such controls and procedures are
adequately designed to ensure that information required to be
disclosed by the registrant in Form N-CSR is accumulated and
communicated to the registrant's management, including the principal
executive officer and principal financial officer, or persons
performing similar functions, as appropriate to allow timely decisions
regarding required disclosure.
(b) There were no changes in the registrant's internal control over
financial reporting that occurred during the registrant's last fiscal
half-year (the registrant's second fiscal half-year in the case of an
annual report) that has materially affected, or is reasonably likely
to materially affect, the registrant's internal control over financial
reporting.
ITEM 11. EXHIBITS.
(a)(1) Code of ethics required to be disclosed under Item 2 of Form N-CSR:
Not applicable at this time.
(a)(2) Certifications pursuant to Rule 30a-2(a) under the Investment Company
Act of 1940 (17 CFR 270.30a-2(a)) attached hereto as Exhibit 99.CERT.
(a)(3) Not applicable.
(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act
of 1940 (17 CFR 270.30a-2(b)) attached hereto as Exhibit 99.906CERT.
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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) Columbia Funds Trust VI
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By (Signature and Title) /s/ J. Kevin Connaughton
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J. Kevin Connaughton, President and Treasurer
Date May 6, 2004
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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 (Signature and Title) /s/ J. Kevin Connaughton
----------------------------------------------------
J. Kevin Connaughton, President and Treasurer
Date May 6, 2004
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