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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: 811-10533
Exact name of registrant as specified
in charter: Reserve Municipal Money Market Trust
Address of principal executive offices: 1250 Broadway
New York, NY 10001-3701
Name and address of agent for service: Amy W. Bizar
1250 Broadway
New York, NY 10001-3701
Registrant's telephone number, including
area code: 212-401-5500
Date of fiscal year end: May 31
Date of reporting period: November 30, 2004
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ITEM 1. SEMI-ANNUAL REPORTS TO SHAREHOLDERS
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[THE RESERVE FUNDS(R) LOGO]
FOUNDERS OF
"THE WORLD'S FIRST MONEY-MARKET FUND"(R)
EST. 1970
SEMI-ANNUAL REPORT
RESERVE TAX-EXEMPT TRUST
INTERSTATE TAX-EXEMPT FUND
CALIFORNIA TAX-EXEMPT FUND
CONNECTICUT TAX-EXEMPT FUND
FLORIDA TAX-EXEMPT FUND
MASSACHUSETTS TAX-EXEMPT FUND
MICHIGAN TAX-EXEMPT FUND
NEW JERSEY TAX-EXEMPT FUND
OHIO TAX-EXEMPT FUND
PENNSYLVANIA TAX-EXEMPT FUND
VIRGINIA TAX-EXEMPT FUND
RESERVE NEW YORK TAX-EXEMPT TRUST
NEW YORK TAX-EXEMPT FUND
RESERVE MUNICIPAL MONEY-MARKET TRUST
LOUISIANA MUNICIPAL MONEY-MARKET FUND
MINNESOTA MUNICIPAL MONEY-MARKET FUND
NOVEMBER 30, 2004
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RESERVE TAX-EXEMPT TRUST--INTERSTATE TAX-EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--99.1%
ARIZONA--1.8%
$ 5,100,000 Apache County IDA for Tucson Electric Power Co., 1.68% - 1.72%, 12/15/18(a) $ 5,100,000
2,000,000 Apache County IDA for Tucson Electric Power Co., 1.72%, 12/1/20(a) 2,000,000
3,700,000 Arizona HCF for Royal Oaks, 1.67%, 3/1/27(a) 3,700,000
1,000,000 Phoenix IDR for Del Mar Terrace, 1.66%, 10/1/29(a) 1,000,000
3,400,000 Pima County IDA for Tucson Electric Power Co., Series A, 1.68%, 12/1/22(a) 3,400,000
1,000,000 Yuma IDA for El Encanto Apt., MFH, 1.68%, 4/15/33(a) 1,000,000
---------------
16,200,000
---------------
CALIFORNIA--6.1%
7,800,000 California Statewide for Covenant Retirement Community, 1.65%, 12/1/25(a) 7,800,000
18,700,000 California Water Department Reserve Powersupply, Series B-6, 1.60%, 5/1/22(a) 18,700,000
1,000,000 Hemet MFHR for Sunwest Retirement, Series 99-A, 1.65%, 1/1/25(a) 1,000,000
600,000 Kern County COP, Series A, 1.63%, 8/1/06(a) 600,000
6,100,000 Orange County HDC for the Lakes, Series A, 1.65%, 12/1/06(a) 6,100,000
1,100,000 Orange County HDC for Nigel Summit, Series B, 1.57%, 11/2/09(a) 1,100,000
18,300,000 Riverside CFD, Special Tax # 88-4, 1.66%, 9/1/14(a) 18,300,000
154,770 Santa Ana USD, 1.65%, 7/1/15(a) 154,770
---------------
53,754,770
---------------
COLORADO--2.4%
700,000 Arapahoe County for Sratford State, 1.68%, 11/1/17(a) 700,000
600,000 Broomfield IDA for Buckeye Investments, 1.71%, 12/1/09(a) 600,000
1,250,000 Colorado ECFA for Denver Art Museum, 1.67%, 1/1/34(a) 1,250,000
1,045,000 Colorado ECFA for YMCA Metropolitan Denver, 1.69%, 7/1/18(a) 1,045,000
15,000,000 Colorado HFA for Adventist Health Sunbelt, Series B, 1.67%, 11/15/34(a) 15,000,000
2,800,000 University of Colorado, Series B, 1.80%, 11/15/35(a) 2,800,000
---------------
21,395,000
---------------
CONNECTICUT--7.2%
1,760,000 Connecticut DAR for Independent Living, 1.65%, 7/1/15(a) 1,760,000
360,000 Connecticut DAR for Pierce Memorial Baptist, 1.62%, 10/1/28(a) 360,000
26,200,000 Connecticut HEFA for Hotchkiss School, Series A, 1.64%, 7/1/30(a) 26,200,000
1,100,000 Connecticut HEFA for Klingberg Family Center, 1.60% - 1.67%, 7/1/32(a) 1,100,000
200,000 Connecticut HEFA for Middlesex Hospital, Series J, 1.66%, 7/1/26(a) 200,000
800,000 Connecticut HEFA for Raphael Hospital, Series J, 1.65%, 7/1/22(a) 800,000
245,000 Connecticut HEFA for United Methodist Homes, Series A, 1.65%, 7/1/31(a) 245,000
25,000,000 Connecticut HEFA for Yale University, Series T-2, 1.58%, 7/1/29(a) 25,000,000
1,100,000 Connecticut HFA, Series D-3, 1.60%, 5/15/18(a) 1,100,000
1,300,000 Connecticut Special Tax for Transportation Infrastructure, Series 1, 1.70%, 9/1/20(a) 1,300,000
2,600,000 Connecticut State GO, Series 1-A, 1.73%, 2/15/21(a) 2,600,000
1,200,000 Connecticut State GO, Series 97-B, 1.60%, 5/15/14(a) 1,200,000
200,000 Hartford Redev. Agency MHR for Underwood Towers Project, 1.66%, 6/1/20(a) 200,000
1,050,000 New Canaan Housing Authority for Village at Waveny Care Center, 1.65%, 1/1/22(a) 1,050,000
500,000 North Canaan HFA for Geer Woods, 1.66%, 8/1/31(a) 500,000
---------------
63,615,000
---------------
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PRINCIPAL VALUE
AMOUNT (NOTE 1)
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TAX-EXEMPT OBLIGATIONS (CONTINUED)
DISTRICT OF COLUMBIA--0.4%
$ 3,000,000 District of Columbia GO, Series D-2, 1.70%, 6/1/26(a) $ 3,000,000
---------------
FLORIDA--7.7%
5,100,000 Alachua County HFA for Oak Hammock University, 1.67%, 10/1/32(a) 5,100,000
210,000 Broward County HFA for Jacaranda Village Apartments, 1.69%, 9/1/22(a) 210,000
400,000 Broward County HFA for Multi-Family Margate, 1.69%, 11/1/05(a) 400,000
8,200,000 Capital Finance Authority for Glenridge Palmer Ranch, 1.67%, 6/1/12(a) 8,200,000
1,200,000 Dade County IDA for Florida Power & Light, 1.69%, 06/1/21(a) 1,200,000
13,410,000 Dade County Water Service, 1.64%, 10/5/22(a) 13,410,000
300,000 Duval County HFA for Lighthouse Bay Apartments, 1.68%, 12/1/32(a) 300,000
5,950,000 Florida State Municipal Power for Stanton, 1.67%, 10/1/19(a) 5,950,000
19,300,000 Jacksonville Florida District Energy System Series A, 1.62%, 10/1/34(a) 19,300,000
1,500,000 Lakeland Energy System Revenue, 1.66%, 10/1/37(a) 1,500,000
30,000 Lee County HFA for Cypress Cove Healthpark, Series B, 1.71%, 10/1/07(a) 30,000
800,000 Manatee County PCR for Florida Power & Light Co., 1.70%, 9/1/24(a) 800,000
1,205,000 Orange County for YMCA, Series A, 1.74%, 5/1/27(a) 1,205,000
8,500,000 Palm Beach County for Morse Obligation Group, 1.70%, 5/1/33(a) 8,500,000
500,000 Palm Beach County for Norton Gallery School of Art, 1.67%, 5/1/30(a) 500,000
300,000 Palm Beach County for Raymond F Kravis Center, 1.60%, 7/1/32(a) 300,000
200,000 Pinellas County HFA for Foxbridge Apartments, 1.63%, 6/15/25(a) 200,000
500,000 Sarasota County HFA for Bay Village, 1.74%, 12/1/23(a) 500,000
200,000 University of Florida Athletic Association Stadium Project, 1.74%, 2/1/20(a) 200,000
---------------
67,805,000
---------------
GEORGIA--0.1%
1,213,165 Georgia Muni Assoc. Pool Bd. COP, 1.74%, 12/15/20(a) 1,213,165
---------------
HAWAII--1.3%
11,700,000 Honolulu City & County GO, Series 2001-C, 1.18%, 12/1/13(b) 11,700,000
---------------
IDAHO--0.7%
6,250,000 Idaho HCF for St Lukes Medical Center Project, 1.67%, 5/1/22(a) 6,250,000
---------------
ILLINOIS--1.7%
1,000,000 Chicago WSR, 1.66%, 11/1/30(a) 1,000,000
2,400,000 Illinois DFA for Diamond Stars Motors, 1.69%, 12/1/08(a) 2,400,000
2,900,000 Illinois DFA for Jewish Council Youth Services, 1.73%, 9/1/28(a) 2,900,000
5,000,000 Illinois DFA for Learning Charter School, 1.73%, 9/1/33(a) 5,000,000
700,000 Illinois DFA for WBEZ Alliance, 1.68%, 3/1/29(a) 700,000
400,000 Illinois HCF for Memorial Health Systems, 1.72%, 10/1/22(a) 400,000
1,700,000 McCook County for Saint Andrews, 1.71%, 12/1/21(a) 1,700,000
1,265,000 Streamwood for Olde Church Centre, 1.85%, 12/1/14(a) 1,265,000
---------------
15,365,000
---------------
INDIANA--0.1%
500,000 Marshall County EDA for Culver Foundation, 1.68%, 1/1/35(a) 500,000
---------------
IOWA--0.1%
1,000,000 Des Moines HRB for Iowa Methodist Medical Center, 1.67%, 8/1/15(a) 1,000,000
---------------
KENTUCKY--1.3%
11,500,000 Ashland PCR for Ashland Oil, 1.60%, 4/1/09(a) 11,500,000
---------------
</Table>
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PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
LOUISIANA--2.6%
$ 1,720,000 East Baton Rouge for Rhone-Poulenc Inc., 1.69%, 12/1/11(a) $ 1,720,000
986,000 Lake Charles District Revenue for Conoco, Series A, 1.68%, 9/1/29(a) 986,000
979,000 Lake Charles HRB & Term. District Revenue for CITGO Corp., 1.68%, 8/1/07(a) 979,000
979,000 Louisiana Environmental Facilities Community DAR, Series A, 1.69%, 11/1/34(a) 979,000
90,000 Louisiana Offshore Term. Auth. Deepwater Port Rev. for Loop LLC, Series A, 1.69%, 9/1/14(a) 90,000
3,993,000 Louisiana Offshore Term. Auth. Deepwater Port Rev. for Loop LLC, Series A 1.68%, 9/1/17(a) 3,993,000
190,000 Louisiana PFA for Kenner Hotel Ltd., 1.62%,12/1/15(a) 190,000
7,690,000 Louisiana PFA, Multi-family, 1.69%, 6/15/31(a) 7,690,000
1,390,000 Louisiana University for Agriculture & Mechanical College, 1.70%, 7/1/30(a) 1,390,000
4,990,000 South Louisiana Port Marine Term. for Occidental Petroleum Corp., 1.66%, 7/1/18(a) 4,990,000
90,000 South Louisiana Port Marine Term. for Occidental Petroleum Corp., 1.68%, 7/1/21(a) 90,000
---------------
23,097,000
---------------
MARYLAND--2.5%
1,000,000 Anne Arundel County Multi-family Rev. for Mill Pond Apt., 1.57%, 10/1/33(a) 1,000,000
1,000,000 Baltimore Housing for Spring Hill, 1.67%, 9/20/28(a) 1,000,000
1,000,000 Baltimore IDA City Council, 1.67%, 8/1/16(a) 1,000,000
4,000,000 Howard County for Vantage House Facility, Series A, 1.67% 6/1/32(a) 4,000,000
1,200,000 Howard County Multi-Family for Sherwood Crossing Apt., 1.68% 7/15/33(a) 1,200,000
1,300,000 Maryland HEFA Pooled Loan Program, Series 1985, 1.66%, 4/1/35(a) 1,300,000
1,370,000 Maryland HEFA Pooled Loan Program, Series D, 1.67%, 1/1/29(a) 1,370,000
1,000,000 Maryland State Health & Higher Education for Carnegie Institute, 1.67%, 10/1/37(a) 1,000,000
1,975,000 Maryland State Health & Higher Education for Trinity College, 1.68%, 11/1/26(a) 1,975,000
5,000,000 Maryland State HEFA for Adventist Health Care, Series A, 1.69%, 1/1/35(a) 5,000,000
2,000,000 Maryland State Trans. Auth. for Baltimore/Washington Airport, Series A, 1.60%, 7/1/13(a) 2,000,000
1,000,000 Montgomery County EDA for Riderwood Village Inc., 1.70%, 3/1/34(a) 1,000,000
---------------
21,845,000
---------------
MASSACHUSETTS--14.6%
1,940,000 Massachusetts DFA for Bedford Notre Dame Health Care, 1.75%, 10/1/29(a) 1,940,000
6,200,000 Massachusetts DFA for Briarwood Retirement, Series A, 1.68%, 1/1/35(a) 6,200,000
500,000 Massachusetts DFA for Jewish High School Project, 1.67% - 1.68%, 6/1/32(a) 500,000
600,000 Massachusetts DFA for Ocean Spray Cranberry, 1.67%, 10/15/11(a) 600,000
10,669,000 Massachusetts DFA for Smith College, 1.66%, 7/1/24(a) 10,669,000
10,000,000 Massachusetts GO, Series 97, 1.64%, 8/1/15(a) 10,000,000
24,250,000 Massachusetts GO, Series 97-B, 1.63%, 9/1/16(a) 24,250,000
135,000 Massachusetts HEFA for Becker College, Series A-2, 1.78%, 7/1/09(a) 135,000
100,000 Massachusetts HEFA for Berklee College of Music, Series D, 1.59%, 10/1/27(a) 100,000
10,000,000 Massachusetts HEFA for Harvard University, 1.50%, 1/1/24(a) 10,000,000
27,600,000 Massachusetts HEFA for Harvard University, Series Y, 1.53%, 7/1/35(a) 27,600,000
10,000,000 Massachusetts HEFA for Massachusetts Institute of Technology, Series J-2, 1.53%, 7/1/31(a) 10,000,000
5,300,000 Massachusetts HEFA for University of Massachusetts, Series A, 1.62%, 11/1/30(a) 5,300,000
600,000 Massachusetts HEFA for Wellesley College, Series E, 1.62%, 7/1/22(a) 600,000
200,000 Massachusetts HEFA for Williams College, Series E, 1.65%, 8/1/14(a) 200,000
300,000 Massachusetts HFA for Multifamily Housing, 1.65%, 1/15/10(a) 300,000
130,000 Massachusetts IFA for Lowell Mills Association, Series 95, 1.78%, 12/1/20(a) 130,000
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
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<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
MASSACHUSETTS (CONTINUED)
$ 10,900,000 Massachusetts WRA, Series 99-B, 1.60%, 8/1/28(a) $ 10,900,000
5,200,000 Massachusetts WRA, Series B, 1.64%, 4/1/28(a) 5,200,000
2,600,000 Massachusetts WRA, Series C, 1.64%, 8/1/37(a) 2,600,000
1,100,000 Massachusetts WSR, Series A, 1.58% 11/1/24(a) 1,100,000
---------------
128,324,000
---------------
MICHIGAN--4.2%
10,550,000 Detroit Sewage District Revenue, Series B, 1.57%, 7/1/23(a) 10,550,000
200,000 Garden City Hospital Finance Authority, Series 96-A, 1.71%, 9/1/26(a) 200,000
95,000 Gaylord Hospital for Otsego Memorial Hospital, 1.69%, 12/1/26(a) 95,000
1,500,000 Jackson County EDC for Thrifty Leoni Inc., 1.66% - 1.68%, 12/1/14(a) 1,500,000
900,000 Jackson County EDC for Vista Grande Villa, Series A, 1.69%, 11/1/31(a) 900,000
5,200,000 Michigan HDA for Berrien Woods, Series A, 1.77%, 7/1/32(a) 5,200,000
250,000 Michigan HDA for Parks of Taylor Apt., Series A, 1.68%, 8/15/32(a) 250,000
700,000 Michigan HDA for Pine Ridge Obligation Ltd., 1.67%, 10/1/07(a) 700,000
100,000 Michigan HDA for United Jewish Foundation, 1.68%, 6/1/25(a) 100,000
795,000 Michigan HDA, Series B, 1.66%, 4/1/19(a) 795,000
7,025,000 Michigan State University Revenue, Series A, 1.68%, 8/15/32(a) 7,025,000
400,000 Michigan Strategic Fund for Clark Retirement Community, 1.68%, 6/1/31(a) 400,000
2,795,000 Michigan Strategic Fund for Haven Christian Services, 1.69%, 11/15/34(a) 2,795,000
4,600,000 Michigan Strategic Fund for Henry Ford Museum Village, 1.70%, 12/1/33(a) 4,600,000
1,040,000 Michigan Strategic Fund for Peachwood Center Association, 1.67%, 6/1/16(a) 1,040,000
400,000 Oakland University, 1.70%, 3/1/31(a) 400,000
600,000 Woodhaven Brownstown School District, Series B, 1.76%, 5/1/34(a) 600,000
---------------
37,150,000
---------------
MINNESOTA--1.9%
160,000 Andover Senior Housing for Presbyterian Homes, 1.68%, 11/15/33(a) 160,000
400,000 Arden Hills Housing HCF for Presbyterian Homes, 1.72%, 9/1/29(a) 400,000
327,000 Brooklyn Center for Brookdale Corp., Series II, 1.72%, 12/1/14(a) 327,000
4,329,000 Cohasset for Minnesota Power & Light, 1.67%, 6/1/13(a) 4,329,000
600,000 Cohasset for Minnesota Power & Light, Project A, 1.67%, 6/1/20(a) 600,000
2,220,000 Duluth Tax for Lake Superior Paper, 1.65%, 9/1/10(a) 2,220,000
219,000 Hennepin County, Series B, 1.54%, 12/1/20(a) 219,000
497,000 Hennepin County, Series C, 1.54%, 12/1/10(a) 497,000
927,000 Mankato Multi-family Revenue for Highland Park, 1.72%, 5/1/27(a) 927,000
310,000 Mankato Revenue for Bethany Lutheran College, 1.72%, 11/1/15(a) 310,000
1,270,000 Minneapolis for Seven Corners, 1.64%, 11/1/31(a) 1,270,000
2,525,000 Minnesota HEFA for St. Olaf College, Series 5-H, 1.67%, 10/1/30(a) 2,525,000
115,000 Minnesota HEFA for St. Olaf College, Series 5-M1, 1.67%, 10/1/32(a) 115,000
211,000 Regents University, Series A, 1.73%, 7/1/08(a) 211,000
180,000 Roseville Commercial Development for Berger Transfer & Storage, 1.64%, 12/1/15(a) 180,000
1,175,000 Roseville Private School Facility Revenue for Northwestern College, 1.72%, 11/1/22(a) 1,175,000
60,000 St. Louis Park Revenue for Catholic Finance Corp., 1.71%, 10/1/25(a) 60,000
70,000 St. Paul Housing & Redev. Authority District Heating Revenue, 1.68%, 12/1/12(a) 70,000
955,000 St. Paul Housing & Redev. Authority MHR for Highland Ridge, 1.68%, 10/1/33(a) 955,000
---------------
16,550,000
---------------
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
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<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
MISSOURI--0.0%
$ 225,000 Platte County IDR for Platte Care Facility, 2.04%, 10/1/10(a) $ 225,000
---------------
NEVADA--2.0%
18,000,000 Carson City Tahoe Hospital Project, Series B, 1.67%, 9/1/33(a) 18,000,000
---------------
NEW HAMPSHIRE--0.4%
3,160,000 New Hampshire HEFA for Exeter Hospital, Series B, 1.70%, 10/1/23(a) 3,160,000
---------------
NEW JERSEY--6.1%
1,000,000 Atlantic County Pooled Government Loan Program, 1.65%, 7/1/26(a) 1,000,000
175,000 Jersey City IDA for Dixon Mills Apartments, 1.65%, 5/15/30(a) 175,000
700,000 New Jersey EDA for Bayonne Dock, 1.67%, 12/1/27(a) 700,000
305,000 New Jersey EDA for Church & Dwight, 1.66%, 12/1/08(a) 305,000
200,000 New Jersey EDA for Crowley Liner, 1.64%, 4/1/13(a) 200,000
7,150,000 New Jersey EDA for Foreign Trade, Series 98, 1.68%, 12/1/07(a) 7,150,000
2,800,000 New Jersey EDA for Geriatric Services Housing Project, 1.64%, 11/1/31(a) 2,800,000
500,000 New Jersey EDA for RJB Associates, ERN, 1.64%, 8/1/08(a) 500,000
2,900,000 New Jersey for Hospital Capital Asset, Series C, 1.59%, 7/1/35(a) 2,900,000
5,330,000 New Jersey Sports Authority Expo, Series C, 1.60%, 9/1/24(a) 5,330,000
1,150,000 New Jersey Turnpike Authority, Series 91-D, 1.63%, 1/1/18(a) 1,150,000
31,200,000 New Jersey Turnpike Authority, Series C-1, 1.64%, 1/1/24(a) 31,200,000
315,000 Port Authority of New York & New Jersey Special Obligation Revenue, 1.67%, 8/1/24(a) 315,000
---------------
53,725,000
---------------
NEW YORK--13.8%
970,000 Franklin County IDA Civic Facility for Trudeau Institute, 1.65%, 12/1/20(a) 970,000
2,600,000 Guilderland IDA for Eastern Industrial Park, 1.65%, 12/1/08(a) 2,600,000
5,985,000 Long Island Power Authority Electric System Revenue, Series 7-A, 1.58%, 4/1/25(a) 5,985,000
3,400,000 New York City Cultural Revenue for Alvin Ailey Dance Foundation, 1.59%,7/1/33(a) 3,400,000
4,000,000 New York City GO, Series A-2, 1.61%, 8/1/31(a) 4,000,000
4,000,000 New York City GO, Series A-4, 1.67%, 8/1/23(a) 4,000,000
500,000 New York City GO, Series A-5, 1.67%, 8/1/31(a) 500,000
2,000,000 New York City GO, Series A-8, 1.61%, 11/1/23(a) 2,000,000
28,350,000 New York City GO, Series C-4, 1.61%, 8/1/20(a) 28,350,000
8,850,000 New York City GO Series E-4, 1.67%, 8/1/21(a) 8,850,000
1,600,000 New York City GO, Series F-4, 1.67%, 2/15/20(a) 1,600,000
6,445,000 New York City GO, Series H-2, 1.61%, 8/1/10(a) 6,445,000
11,475,000 New York City HDC for Monterey, Series A, 1.63%, 11/15/19(a) 11,475,000
3,100,000 New York City IDA for American Civil Liberties, 1.65%, 6/1/12(a) 3,100,000
1,000,000 New York City IDA for Childrens Oncology Society, 1.66%, 5/1/21(a) 1,000,000
15,600,000 New York City LGAC, Series B, C, D & F, 1.57% - 1.64%, 4/1/25(a) 15,600,000
5,050,000 New York City MWFA WSR, Series G, 1.64%, 6/15/24(a) 5,050,000
2,300,000 New York City WSA Rev, 1.67%, 6/15/25(a) 2,300,000
6,400,000 New York State GO, Series A, 1.80%, 3/13/20(a) 6,400,000
2,010,000 New York State HFA for Bleecker Terrace Apt., 1.70%, 7/1/15(a) 2,010,000
2,300,000 New York State HFA for Liberty View, Series A, 1.63%, 11/15/19(a) 2,300,000
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
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<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
NEW YORK (CONTINUED)
$ 3,650,000 New York State HFA, Series C, 1.63%, 3/15/26(a) $ 3,650,000
400,000 Yonkers IDA Civic Facility for Consumers Union, 1.67%, 7/1/21(a) 400,000
---------------
121,985,000
---------------
NORTH CAROLINA--0.2%
700,000 North Carolina EFA for Cardinal Gibbons, 1.69%, 8/1/14(a) 700,000
1,100,000 North Carolina Medical Care Community for Stanley Total Living Center, 1.73%, 4/1/18(a) 1,100,000
---------------
1,800,000
---------------
OHIO--5.8%
4,400,000 Akron Bath Copley HDR for Summa Health System, Series B, 1.69%, 11/1/34(a) 4,400,000
200,000 Centerville Health for Bethany Lutheran, 1.71%, 5/1/08(a) 200,000
4,000,000 Cuyahoga County EDA for Cleveland Botanical Gardens, 1.71%, 7/1/31(a) 4,000,000
3,000,000 Cuyahoga County for Cleveland Health Education Museum, 1.68%, 3/1/32(a) 3,000,000
500,000 Cuyahoga County HCF for Devon Oaks, 1.67%, 2/1/34(a) 500,000
7,600,000 Evandale County IDR for SHV Realty, Inc., 1.72%, 9/1/15(a) 7,600,000
15,100,000 Franklin County Hospital Revenue for U.S. Health Corp., 1.66%, 12/1/20(a) 15,100,000
890,000 Franklin County Hospital Revenue for U.S. Health Corp., Series 96, 1.66%, 12/1/21(a) 890,000
325,000 Greene County IDA for Fairview Extended Care, Series B, 1.65%, 1/1/11(a) 325,000
1,810,000 Hamilton County HRB, 1.65%, 1/1/22(a) 1,810,000
1,500,000 Licking County HCF, 1.67%, 11/1/33(a) 1,500,000
280,000 Lucas County for Toledo, 1.68%, 10/1/05(a) 280,000
100,000 Marion County Hospital Improvement, Pooled Lease Program, 1.70%, 11/1/21(a) 100,000
1,345,000 Middleburgh Heights for Southwest General Hospital, 1.71%, 8/15/22(a) 1,345,000
7,100,000 Ohio Air Quality DAR for Columbus Southern, Series C, 1.69%, 12/1/38(a) 7,100,000
100,000 Ohio Air Quality DAR for Ohio Edison, Series A, 1.67%, 2/1/14(a) 100,000
1,400,000 Ohio Higher EFA for Ashland University, 1.73%, 9/1/24(a) 1,400,000
900,000 Ohio WDA PCR for Cleveland Electric, Series B, 1.68%, 8/1/20(a) 900,000
500,000 Toledo City Services Special Assessment, 1.68%, 12/1/06(a) 500,000
---------------
51,050,000
---------------
OKLAHOMA--0.1%
500,000 Oklahoma City for Christian College, 1.92%, 7/1/15(a) 500,000
---------------
OREGON--0.1%
500,000 Portland MFH for South Park, 1.57%, 12/1/11(a) 500,000
---------------
PENNSYLVANIA--7.5%
1,050,000 Allegheny HDA for Dialysis Clinic, 1.69%, 12/1/19(a) 1,050,000
1,765,000 Allegheny HDA for Presbyterian University Hospital, 1.68%, 3/1/18(a) 1,765,000
110,000 Blair County IDR for Village of Penn State, Series C, 1.60%, 1/1/11(a) 110,000
3,925,000 Bucks County IDA, 1.69%, 5/1/33(a) 3,925,000
3,400,000 Bucks County IDA, 1.72%, 7/1/15(a) 3,400,000
800,000 Chester County HEFA for Simpsons Meadows, 1.68%, 10/1/30(a) 800,000
1,450,000 Delaware County IDR for Sun, Inc., 1.69%, 11/1/33(a) 1,450,000
100,000 Delaware Valley Finance Authority, Series A, 1.66%, 12/1/17(a) 100,000
2,900,000 Delaware Valley Finance Authority, Series B, 1.66%, 12/1/20(a) 2,900,000
1,000,000 Emmaus General Authority Revenue, 1.68%, 12/1/28(a) 1,000,000
10,900,000 Emmaus General Authority Revenue, Series G-18, 1.70%, 3/1/24(a) 10,900,000
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
6
<Page>
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
PENNSYLVANIA (CONTINUED)
$ 625,000 Lancaster County HRB for Brethren Village, 1.73%, 6/15/20(a) $ 625,000
2,385,000 Lawrence County for Villa Maria, 1.68%, 7/1/33(a) 2,385,000
1,160,000 Lebanon County HCF for ECC Retirement Village, 1.73%, 10/15/25(a) 1,160,000
3,300,000 Lehigh County IDA, 1.72%, 12/1/15(a) 3,300,000
200,000 Montgomery County for Forge Gate Apartments, Series A, 1.62%, 8/15/31(a) 200,000
1,855,000 Montgomery County for Higher Ed. William Penn Charter, 1.72%, 9/15/31(a) 1,855,000
14,200,000 North Hampton County IDA for First Mortgage Kirkland Vilalge, 1.67%, 11/1/30(a) 14,200,000
1,000,000 Philadelphia Housing Revenue Authority, Series A, 1.73%, 6/1/25(a) 1,000,000
4,110,000 Philadelphia IDR for Fox Chase Cancer Center Project, 1.68%, 7/1/25(a) 4,110,000
1,600,000 Quakertown HDA for Hospital Group, 1.66%, 7/1/05(a) 1,600,000
3,185,000 Schuylkill County IDA for Northeastern Power, 1.68%, 12/1/22(a) 3,185,000
770,000 Scranton-Lackawanna HWA for University of Scranton, 1.60%, 5/1/18(a) 770,000
4,015,000 Wilkens Area IDA for Fairview Extended Care, Series B, 1.68%, 1/1/21(a) 4,015,000
---------------
65,805,000
---------------
PUERTO RICO--2.5%
21,100,000 Puerto Rico Commonwealth TRAN, 3.00%, 7/29/05(b) 21,284,529
195,000 Puerto Rico Government Development Bank, 1.58%, 12/1/15(b) 195,000
244,000 Puerto Rico Highway & Transportation Authority, Series A, 1.63%, 7/1/28(b) 244,000
---------------
21,723,529
---------------
TENNESSEE--0.3%
695,000 Chattanooga IDA for Baylor School, 1.68%, 11/1/16(a) 695,000
1,770,000 Metropolitan Government Nashville & Davidson County IDA for YMCA, 1.69%,12/1/18(a) 1,770,000
---------------
2,465,000
---------------
TEXAS--1.5%
13,200,000 Harris County IDA for Baytank Houston, Inc., 1.68%, 2/1/20(a) 13,200,000
---------------
UTAH--0.2%
2,000,000 Utah Transit Authority Sales Tax Revenue, Series B, 1.65%, 9/1/32(a) 2,000,000
---------------
VIRGINIA--1.9%
800,000 Alexandria County IDA Pooled Loan, Series A, 1.69%, 7/1/26(a) 800,000
560,000 Alexandria Redev. HFA for Residential Care, Series B, 1.66%, 10/1/06(a) 560,000
6,050,000 Arlington County Virginia Rev for Ballston Public Parking, 1.57%, 8/1/17(a) 6,050,000
700,000 Chesapeake County IDA for Cheaspeake General Hospital, Series B, 1.68%, 7/1/31(a) 700,000
675,000 Hampton County MFH for Avalon Apartments, 1.65%, 6/15/26(a) 675,000
660,000 Hampton County MFH for Shoreline Apartments, 1.68%, 12/1/19(a) 660,000
535,000 Hanover County IDA for Covenent Woods, 1.70%, 7/1/29(a) 535,000
650,000 Henrico County EDA for Westminster Centerbury, Series B, 1.66% - 1.68%, 7/1/08(a) 650,000
550,000 James City & County IDA for Chambrel, 1.68%, 11/15/32(a) 550,000
400,000 Norfolk IDR for Hospital Facilities-Children, 1.69%, 6/1/20(a) 400,000
1,550,000 Peninsula Port Authority for Dominion Terminal, 1.64% - 1.68%, 7/1/16(a) 1,550,000
2,230,000 Roanoke IDA for Carilion Health Systems, Series-B, 1.68%, 7/1/27(a) 2,230,000
1,100,000 University of Virginia, Series A, 1.65%, 6/1/34(a) 1,100,000
---------------
16,460,000
---------------
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
7
<Page>
<Table>
<Caption>
VALUE
(NOTE 1)
--------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
TOTAL INVESTMENTS (COST* $872,862,464) 99.1% $ 872,862,464
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (8,000)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (1,549)
OTHER ASSETS 0.9 8,118,406
----- ---------------
NET ASSETS 100.0% $ 880,971,321
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE OF EACH
CLASS BASED ON SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE
OUTSTANDING AND EQUIVALENT TO THE NET ASSETS OF EACH CLASS:
280,928,582 SHARES CLASS R $ 1.00
==============
28,764,263 SHARES CLASS TREASURER'S TRUST $ 1.00
==============
100 SHARES CLASS 75 $ 1.00
==============
1,710,566 SHARES CLASS 70 $ 1.00
==============
10,087 SHARES CLASS 45 $ 1.00
==============
16,012,777 SHARES CLASS 25 $ 1.00
==============
101,840 SHARES CLASS 15 $ 1.00
==============
553,443,106 SHARES CLASS 8 $ 1.00
==============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
8
<Page>
RESERVE TAX-EXEMPT TRUST--CALIFORNIA TAX-EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--99.6%
CALIFORNIA--95.3%
$ 485,000 Alameda Contra Costa Capital Improvements, Series A, 1.70%, 6/1/22(a) $ 485,000
495,000 Alameda Contra Costa Capital Improvements, Series F, 1.75%, 8/1/23(a) 495,000
3,720,000 California Infrastructure & Economic Development, Series A, 1.68%, 9/1/28(a) 3,720,000
1,200,000 California Pollution Control Finance Auth, 1.67%, 11/1/26(a) 1,200,000
870,000 California School Facilities for Capital Improvements, Series C, 1.64%, 7/1/22(a) 870,000
1,100,000 California Statewide CDA for Biola University, Series B, 1.66%, 10/1/32(a) 1,100,000
3,100,000 California Statewide CDA for Covenant Retirement Community, 1.65%, 12/1/25(a) 3,100,000
3,000,000 California Statewide CDA for Early Education Community Center COP, 1.67%, 9/1/31(a) 3,000,000
1,200,000 California Statewide CDA for House Ear Institute COP, 1.66%, 12/1/18(a) 1,200,000
4,600,000 California Water Department Reserve Powersupply, Series B-4, 1.62%, 5/1/22(a) 4,600,000
2,150,000 California Water Department Reserve Powersupply, Series B-6, 1.64%, 5/1/22(a) 2,150,000
3,748,000 California Water Department Reserve Powersupply, Series C-15, 1.63%, 5/1/22(a) 3,748,000
2,500,000 California Water Department Reserve Powersupply, Series D-19 1.60%, 5/1/22(a) 2,500,000
2,175,000 Chula Vista Charter City for Home Depot, Inc., 1.63%, 12/1/10(a) 2,175,000
1,800,000 Contra Costa County MFH for Delta Square Apt., 1.65%, 10/15/29(a) 1,800,000
2,500,000 Elsinore Valley for Water District COP, Series A, 1.63%, 7/1/29(a) 2,500,000
1,000,000 Fremont for Family Resource Center, Series 88, 1.67%, 8/1/30(a) 1,000,000
1,400,000 Fremont for Family Resource Center, Series 98, 1.67%, 8/1/28(a) 1,400,000
2,000,000 Fresno Sewer & Water, Series A, 1.63%, 9/1/25(a) 2,000,000
4,429,000 Irvine Improvement Bond Act of 1915 Assessment District 00-18, 1.63%, 9/2/26(a) 4,429,000
2,800,000 Irvine Improvement Bond Act of 1915 Assessment District 85-7, 1.66%, 9/2/11(a) 2,800,000
1,900,000 Irvine Improvement Bond Act of 1915 Assessment District 94-13, 1.66%, 9/2/22(a) 1,900,000
600,000 Irvine Ranch Water District Capital Improvements, 1.64%, 8/1/16(a) 600,000
2,100,000 Irvine Ranch Water District, Series A, 1.64%, 10/1/10(a) 2,100,000
2,500,000 Irvine Ranch Water District, Series B, 1.74%, 10/1/09(a) 2,500,000
1,100,000 Los Angeles MFHR for Malibu Meadow Project, Series 91-A, 1.65%, 4/15/28(a) 1,100,000
2,200,000 Orange County HDC for Capistrano Pointe, Series A, 1.65%, 12/1/29(a) 2,200,000
800,000 Orange County HDC for Florence Crittendoc Services, 1.63%, 3/1/16(a) 800,000
4,351,000 Orange County HDC for Niguel Summit Ser B , 1.57%, 11/2/09(a) 4,351,000
900,000 Orange County HDC for the Lakes Project, Series A, 1.65%, 12/1/06(a) 900,000
500,000 Orange County HDC for Trabuco Woods, 1.65%, 11/15/28(a) 500,000
1,300,000 Orange County MFH for Heritage, 1.63%, 5/1/22(a) 1,300,000
4,200,000 Orange County Sanitation Authority, 1.62%, 8/1/13(a) 4,200,000
1,700,000 Redlands USD for School Facility, 1.62%, 9/1/34(a) 1,700,000
3,400,000 Riverside CFD, Special Tax 88-4, 1.66%, 9/1/14(a) 3,400,000
400,000 Riverside County for Tyler Spring Apartments, Series C, 1.65%, 1/15/27(a) 400,000
4,000,000 San Francisco Community Facilities for District 4, 1.67%, 8/1/31(a) 4,000,000
2,700,000 San Francisco MFHR for Filmore Center, Series B-1, 1.69%, 12/1/17(a) 2,700,000
800,000 San Leandro MFHR, 1.63%, 7/15/18(a) 800,000
1,458,868 Santa Ana USD, 1.65%, 7/1/15(a) 1,458,868
3,600,000 Stockton HCF for Dameron Hosp., Series A, 1.63%, 12/1/32(a) 3,600,000
3,000,000 Turlock Irrigation District for Transportation, Series A, 1.65%, 1/1/31(a) 3,000,000
---------------
89,781,868
---------------
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
9
<Page>
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
PUERTO RICO--4.3%
$ 4,000,000 Puerto Rico Commonwealth TRAN, 3.00%, 7/29/05(b) $ 4,034,981
---------------
TOTAL INVESTMENTS (COST* $93,816,849) 99.6% 93,816,849
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (2,065)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (516)
OTHER ASSETS 0.4 397,810
----- ---------------
NET ASSETS 100.0% $ 94,212,078
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON 94,212,078
SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE OUTSTANDING. $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
10
<Page>
RESERVE TAX-EXEMPT TRUST--CONNECTICUT TAX-EXEMPT FUND
SCHEDULE OF INVESTMENTS---NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--92.2%
CONNECTICUT--82.2%
$ 900,000 Connecticut DAR for Independent Living, 1.65%, 7/1/15(a) $ 900,000
930,000 Connecticut DAR for Pierce Memorial Baptist, 1.62%, 10/1/28(a) 930,000
1,800,000 Connecticut HEFA for Hotchkiss School, Series A, 1.64%, 7/1/30(a) 1,800,000
900,000 Connecticut HEFA for Klingberg Family Center, 1.67%, 7/1/32(a) 900,000
1,700,000 Connecticut HEFA for Raphael Hospital, Series J, 1.65%, 7/1/22(a) 1,700,000
115,000 Connecticut HEFA for United Methodist Homes, Series A, 1.66%, 7/1/31(a) 115,000
500,000 Connecticut HEFA for Yale University, Series V-2, 1.72%, 7/1/36(a) 500,000
200,000 Connecticut HEFA for Yale University, Series X-3, 1.60%, 7/1/37(a) 200,000
300,000 Connecticut HFA, Sub Series 4, 1.60%, 11/15/34(a) 300,000
485,000 Connecticut HFA, Sub Series D-3, 1.60%, 5/15/18(a) 485,000
900,000 Connecticut Special Tax Obligation for Transportation Infrastructure, 1.70%, 9/1/20(a) 900,000
1,600,000 Connecticut State GO, Series 1-A, 1.73%, 2/15/21(a) 1,600,000
900,000 Connecticut State GO, Series 97-B, 1.60%, 5/15/14(a) 900,000
1,800,000 Hartford Redev. Agency MHR for Underwood Towers Project, 1.66%, 6/1/20(a) 1,800,000
900,000 New Canaan Housing Authority for Village at Waveny Care Center, 1.65%, 1/1/22(a) 900,000
1,635,000 Shelton County HFA for Crosby Commons Project, 1.71%, 1/1/31(a) 1,635,000
---------------
15,565,000
---------------
PUERTO RICO--10.0%
1,008,745 Puerto Rico Highway & Transportation Authority, 3.00%,7/29/5(b) 1,008,745
900,000 Puerto Rico Government Development Bank, 1.58%, 12/1/15(b) 900,000
---------------
1,908,745
---------------
TOTAL INVESTMENTS (COST* $17,473,745) 92.2% 17,473,745
OTHER ASSETS, LESS LIABILITIES 7.8 1,470,006
----- ---------------
NET ASSETS 100.0% $ 18,943,751
===== ===============
</Table>
RESERVE TAX-EXEMPT TRUST--CONNECTICUT TAX-EXEMPT FUND
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 2004 (UNAUDITED)
<Table>
ASSETS
Investments in securities, at value (Cost $17,473,745) $ 17,473,745
Cash 1,446,753
Interest receivable 25,873
---------------
Total Assets 18,946,371
---------------
LIABILITIES
Comprehensive management fees payable 2096
Distribution (12b-1) fees payable 524
---------------
Total Liabilities 2,620
---------------
NET ASSETS $ 18,943,751
===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON
18,943,751 SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE
OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
11
<Page>
RESERVE TAX-EXEMPT TRUST--FLORIDA TAX EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--99.4%
$ 2,000,000 Alachua County HFA for Oak Hammock University, 1.67%, 10/1/32(a) $ 2,000,000
1,800,000 Broward County HFA for Jacaranda Village Apartments, 1.69%, 9/1/22(a) 1,800,000
1,600,000 Broward County HFA for Margate Project, 1.69%, 11/1/05(a) 1,600,000
2,000,000 Broward County Florida Educational Facs Auth, City College
Project, 1.67%, 11/1/31(a) 2,000,000
2,000,000 Capital Finance Authority for Glenride Palmer Ranch, 1.67%, 6/1/12(a) 2,000,000
1,400,000 Collier County for Clevland Health Clinic, 1.67%, 1/1/35(a) 1,400,000
1,625,000 Dade County IDA for Dolphins Stadium, Series C, 1.67%, 1/1/16(a) 1,625,000
800,000 Dade County IDA for Florida Power & Light, 1.69%, 06/1/21(a) 800,000
1,800,000 Dade County Water Service, 1.64%, 10/5/22(a) 1,800,000
1,200,000 Duval County HFA for Lighthouse Bay Apartments, 1.68%, 12/1/32(a) 1,200,000
1,800,000 Florida HFA for Kings Colony, 1.73%, 8/1/06(a) 1,800,000
900,000 Florida HFA for River Oaks, Series 85-TT, 1.68%, 12/1/29(a) 900,000
1,000,000 Florida Housing Finance Corp for Reflections, Series 5, 1.68%, 7/1/31(a) 1,000,000
500,000 Florida State Municipal Power for Stanton Project, 1.67%, 10/1/19(a) 500,000
2,000,000 Jacksonville Florida Dist Energy System Ser A, 1.62%, 10/1/34(a) 2,000,000
1,500,000 Lakeland County Energy System Revenue, 1.66%, 10/1/37(a) 1,500,000
1,385,000 Lee County IDA for Bonita Community Health Services, Series A, 1.69%, 12/1/29(a) 1,385,000
270,000 Lee County IDA HFA for Cypress Cove Healthpark, Series B, 1.71%, 10/1/07(a) 270,000
500,000 Manatee County PCR for Florida Power & Light, 1.70%, 9/1/24(a) 500,000
1,300,000 Orange County YMCA, Series A, 1.74%, 5/1/27(a) 1,300,000
1,700,000 Palm Beach County for Raymond F Kravis Center Project, 1.65%, 7/1/32(a) 1,700,000
3,200,000 Palm Beach County for School Board, Series B, 1.65%, 8/1/27 (a) 3,200,000
500,000 Palm Beach County for Norton Gallery School of Art, 1.67%, 5/1/30(a) 500,000
1,500,000 Palm Beach County for Morse Obligation Group, 1.70%, 5/1/33(a) 1,500,000
1,100,000 Pinellas County HFA, 1.68%, 11/1/15(a) 1,100,000
1,800,000 Pinellas County MFH for Foxbridge Apartments Series A, 1.63%, 6/15/25(a) 1,800,000
1,050,000 Pinellas County Florida Health Facs Auth - Pooled Hosp Ser 85, 1.67%, 12/1/15(a) 1,050,000
2,000,000 Port Orange for Palmer College, 1.67%, 10/1/32(a) 2,000,000
580,000 Putnam County Dev. Authority PCR for Florida Power & Light, 1.70%, 9/1/24(a) 580,000
200,000 Seminole County IDA HCF for Florida Living Nursing, 1.87%, 2/1/11(a) 200,000
1,400,000 University of Florida Athletic Association Stadium Project, 1.74%, 2/1/20 1,400,000
400,000 University of North Florida Capital Improvements Project, 1.73%, 11/1/24(a) 400,000
700,000 Volusia County IDR for Easter Seal Society of Volusia, 1.78%, 9/1/21(a) 700,000
---------------
TOTAL INVESTMENTS (COST* $43,510,000) 99.4% 43,510,000
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (4,924)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (1,231)
OTHER ASSETS 0.6 282,029
----- ---------------
NET ASSETS 100.0% $ 43,785,874
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON 43,785,874
SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE OUTSTANDING. $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
12
<Page>
RESERVE TAX-EXEMPT TRUST--MASSACHUSETTS TAX-EXEMPT FUND
SCHEDULE OF INVESTMENTS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--84.9%
MASSACHUSETTS--79.8%
$ 500,000 Massachusetts DFA for Bedford Notre Dame Health Care, 1.75%, 10/1/29(a) $ 500,000
500,000 Massachusetts DFA for Jewish High School Project, 1.64%, 6/1/32(a) 500,000
500,000 Massachusetts DFA for Smith College, 1.66%, 7/1/24(a) 500,000
600,000 Massachusetts DFA IDR for Ocean Spray Cranberry, 1.67%, 10/15/11(a) 600,000
550,000 Massachusetts GO, Series 97-B, 1.63%, 9/1/16(a) 550,000
700,000 Massachusetts HEFA for Berklee College of Music, Series B, 1.59%, 10/1/27(a) 700,000
800,000 Massachusetts HEFA for Cap Asset Program, Series E, 1.68%, 1/1/35(a) 800,000
800,000 Massachusetts HEFA for Harvard University, Series Y, 1.53%, 7/1/35(a) 800,000
800,000 Massachusetts HEFA for MIT, Series J-2, 1.53%, 7/1/31(a) 800,000
500,000 Massachusetts HEFA for University of Massachusetts, Series A, 1.62%, 11/1/30(a) 500,000
500,000 Massachusetts HEFA for Wellesley College, Series E, 1.62%, 7/1/22(a) 500,000
800,000 Massachusetts HEFA for Williams College, Series E, 1.65%, 8/1/14(a) 800,000
800,000 Massachusetts HFA for Multifamily Housing, 1.65%, 1/15/10(a) 800,000
800,000 Massachusetts IFA for Lowell Mills Association, Series 95, 1.78%, 12/1/20(a) 800,000
500,000 Massachusetts WRA, Series 99-B, 1.60%, 8/1/28(a) 500,000
400,000 Massachusetts WRA, Series B, 1.60%, 4/1/28(a) 400,000
800,000 Massachusetts WRA, Series C, 1.64%, 8/1/37(a) 800,000
1,000,000 Massachusetts WRA, Series D, 1.68%, 8/1/17(a) 1,000,000
600,000 Massachusetts WSR, Series A, 1.58% 11/1/24(a) 600,000
---------------
12,450,000
---------------
PUERTO RICO--5.1%
800,000 Puerto Rico Highway & Transportation Authority, 3.00%,7/29/5(b) 806,996
---------------
TOTAL INVESTMENTS (COST* $13,256,996) 84.9% 13,256,996
OTHER ASSETS, LESS LIABILITIES 15.1 2,353,787
----- ---------------
NET ASSETS 100.0% $ 15,610,783
===== ===============
</Table>
RESERVE TAX-EXEMPT TRUST--MASSACHUSETTS TAX-EXEMPT FUND
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 2004 (UNAUDITED)
<Table>
ASSETS
Investments in securities, at value (Cost $13,256,996) $ 13,256,996
Cash 2,332,383
Interest receivable 23,596
---------------
Total Assets 15,612,975
---------------
LIABILITIES
Comprehensive management fees payable 1,754
Distribution (12b-1) fees payable 438
---------------
Total Liabilities 2,192
---------------
NET ASSETS $ 15,610,783
===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON
15,610,783 SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE
OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
13
<Page>
RESERVE TAX-EXEMPT TRUST--MICHIGAN TAX-EXEMPT FUND
SCHEDULE OF INVESTMENTS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--93.5%
MICHIGAN--80.9%
$ 753,000 Detroit EDC for Water Front Reclamation, Series A, 1.69%, 5/1/09(a) $ 753,000
125,000 Detroit EDC for Water Front Reclamation, Series C, 1.84%, 5/1/09(a) 125,000
400,000 Garden City Hospital Finance Authority, Series 96-A, 1.71%, 9/1/26(a) 400,000
400,000 Jackson County for Vista Grande Villa, Series A, 1.69%, 11/1/31(a) 400,000
750,000 Michigan HDA for Berrien Woods, Series A, 1.77%, 7/1/32(a) 750,000
750,000 Michigan HDA for Parks of Taylor Apt., Series A, 1.68%, 8/15/32(a) 750,000
400,000 Michigan HDA for Pine Ridge Ltd., 1.67%, 10/1/07(a) 400,000
400,000 Michigan HDA, Series B, 1.66%, 4/1/19(a) 400,000
425,000 Michigan State University Revenue, Series A, 1.68%, 8/15/32(a) 425,000
400,000 Michigan Strategic Fund for Haven Christian Services, 1.69%, 11/15/34(a) 400,000
800,000 Michigan Strategic Fund for Henry Ford Museum Village, 1.70%, 12/1/33(a) 800,000
700,000 Michigan Strategic Fund for Peachwood Center Association, 1.67%, 6/1/16(a) 700,000
400,000 Oakland University, 1.70%, 3/1/31(a) 400,000
400,000 Woodhaven Brownstown School District GO, Series B, 1.50%, 5/1/34(b) 400,000
---------------
7,103,000
---------------
PUERTO RICO--12.6%
300,000 Puerto Rico Commonwealth TRAN, 3.00%, 7/29/05(b) 302,623
400,000 Puerto Rico Government Development Bank, 1.58%, 12/1/15(a) 400,000
400,000 Puerto Rico Highway & Transportation Authority, Series A, 1.63%, 7/1/28(b) 400,000
---------------
1,102,623
---------------
TOTAL INVESTMENTS (COST* $8,205,623) 93.5% 8,205,623
OTHER ASSETS, LESS LIABILITIES 6.5 567,721
----- ---------------
NET ASSETS 100.0% $ 8,773,344
===== ===============
</Table>
RESERVE TAX-EXEMPT TRUST--MICHIGAN TAX-EXEMPT FUND
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 2004 (UNAUDITED)
<Table>
ASSETS
Investments in securities, at value (Cost $8,205,623) $ 8,205,623
Cash 557,594
Interest receivable 11,357
---------------
Total Assets 8,774,574
---------------
LIABILITIES
Comprehensive management fees payable 984
Distribution (12b-1) fees payable 246
---------------
Total Liabilities 1,230
---------------
NET ASSETS $ 8,773,344
===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON
8,773,344 SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE
OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
14
<Page>
RESERVE TAX-EXEMPT TRUST--NEW JERSEY TAX-EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--96.2%
NEW JERSEY--91.2%
$ 2,250,000 Atlantic County Pooled Government Loan Program, 1.65%, 7/1/26(a) $ 2,250,000
500,000 Essex County Improvement Authority for the Children's Institute, 1.74%, 2/1/20(a) 500,000
2,400,000 Jersey City IDA for Dixon Mills Apartments, 1.65%, 5/15/30(a) 2,400,000
4,800,000 New Jersey EDA for Bayonne Dock, 1.67%, 12/1/27(a) 4,800,000
400,000 New Jersey EDA for Catholic Community Services, 1.74%, 11/1/13(a) 400,000
2,200,000 New Jersey EDA for Church & Dwight, 1.66%, 12/1/08(a) 2,200,000
2,000,000 New Jersey EDA for Crowley Liner, 1.64%, 4/1/13(a) 2,000,000
880,000 New Jersey EDA for Economic Growth, Series F, 1.68%, 8/1/14(a) 880,000
2,400,000 New Jersey EDA for Foreign Trade, Series 98, 1.68%, 12/1/07(a) 2,400,000
2,000,000 New Jersey EDA for Geriatrics Housing Services Series P-J, 1.64%, 1/1/31(a) 2,000,000
2,050,000 New Jersey EDA for International Drive Partners, 1.62%, 9/1/05(a) 2,050,000
2,355,000 New Jersey EDA for Princeton University, Series B, 1.72%, 7/1/21(a) 2,355,000
2,000,000 New Jersey EDA for RJB Associates, ERN, 1.64%, 8/1/08(a) 2,000,000
2,500,000 New Jersey EDA for US Golf Association, 1.64%, 5/1/23(a) 2,500,000
2,100,000 New Jersey HCF Financing Authority Revenue, Series B, 1.59%, 7/1/35(a) 2,100,000
1,400,000 New Jersey HCF for Community Hospital Group, Series A-1, 1.64%, 7/1/20(a) 1,400,000
2,045,000 New Jersey Sports Authority Expo, Series C, 1.60%, 9/1/24(a) 2,045,000
4,500,000 New Jersey Turnpike Authority, Series 91-D, 1.63%, 1/1/18(a) 4,500,000
4,500,000 New Jersey Turnpike Authority, Series C-1, 1.64%, 1/1/24(a) 4,500,000
2,400,000 Port Authority of New York & New Jersey Special Obligation Revenue, 1.67%, 8/1/24(a) 2,400,000
---------------
45,680,000
---------------
PUERTO RICO--5.0%
2,500,000 Puerto Rico Commonwealth TRAN 3.00%, 7/29/05(b) 2,521,956
---------------
TOTAL INVESTMENTS (COST* $48,201,956) 96.2% 48,201,956
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (5,591)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (1,398)
OTHER ASSETS 3.8 1,896,174
----- ---------------
NET ASSETS 100.0% $ 50,091,141
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON
50,091,141 SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE
OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
15
<Page>
RESERVE TAX-EXEMPT TRUST--OHIO TAX-EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--102.2%
OHIO--98.1%
$ 600,000 Akron Bath Copley HDR for Summa Health System, Series B, 1.69%, 11/1/34(a) $ 600,000
375,000 Allen County HCF for Mennonite Home, 1.69%, 2/1/18(a) 375,000
1,000,000 Butler County HCF for Lifesphere, 1.68%, 5/1/27(a) 1,000,000
500,000 Centerville HCR for Bethany Lutheran, 1.71%, 5/1/08(a) 500,000
1,000,000 Cleveland Airport Systems Revenue, Series C, 1.65%, 1/1/31(a) 1,000,000
500,000 Cleveland Income Tax Revenue, 1.60%, 5/15/24(a) 500,000
500,000 Clinton County for Wilmington Airport, 1.68%, 6/1/11(a) 500,000
550,000 Cuyahoga County for S&R Playhouse, 1.75%, 12/1/09(a) 550,000
500,000 Cuyahoga County HCF for Devon Oaks, 1.67%, 2/1/34(a) 500,000
500,000 Cuyahoga County HRB EDA for Cleveland Botanical Gardens, 1.71%, 7/1/31(a) 500,000
600,000 Evandale County IDR for SHV Realty Inc., 1.72%, 9/1/15(a) 600,000
300,000 Franklin County Hospital Revenue for U.S. Health Corp., Series A, 1.66%, 12/1/21(a) 300,000
600,000 Franklin County Hospital Revenue for U.S .Health Corp., Series B, 1.66%, 12/1/20(a) 600,000
100,000 Franklin County MFR for Housing Network, 1.69%, 12/1/20(a) 100,000
500,000 Greene County IDA for Fairview, Series B, 1.65%, 1/1/11(a) 500,000
500,000 Hamilton County HRB for Alliance Health, Series A, 1.60%, 1/1/18(a) 500,000
100,000 Indian Hill EDA for Cincinnati Country Day School, 1.77%, 5/1/19(a) 100,000
500,000 Licking County HCF, 1.67%, 11/1/33(a) 500,000
350,000 Middleburg Heights HR for Southwest General Hospital, 1.71%, 8/15/22(a) 350,000
400,000 Ohio Air Quality DAR for Columbus Southern, Series C, 1.69%, 12/1/38(a) 400,000
300,000 Ohio Air Quality DAR PCR for Ohio Edison, Series C, 1.68%, 6/1/23(a) 300,000
600,000 Ohio State Higher Educational Facility Reenue for Ashland Univ. 1.73%, 9/1/24(a) 600,000
500,000 Ohio WDA PCR for Cleveland Electric, Series B, 1.68%, 8/1/20(a) 500,000
500,000 Toledo City Services Special Assessment, 1.68%, 12/1/06(a) 500,000
---------------
11,875,000
---------------
PUERTO RICO--4.1%
500,000 Puerto Rico Commonwealth TRAN, 3.00%, 7/29/05(b) 504,372
---------------
504,372
---------------
TOTAL INVESTMENTS (COST* $12,379,372) 102.2% 12,379,372
DUE TO CUSTODIAN (2.4) (290,612)
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (1,417)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (354)
OTHER ASSETS 0.2 20,185
----- ---------------
NET ASSETS 100.0% $ 12,107,174
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE BASED ON
12,107,174 SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE
OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
16
<Page>
RESERVE TAX-EXEMPT TRUST--PENNSYLVANIA TAX-EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--98.1%
PENNSYLVANIA--93.4
$ 50,000 Allegheny HDA for Dialysis Clinic, 1.69%, 12/1/19(a) $ 50,000
2,000,000 Allegheny HDA for Presbyterian University Hospital, Series A, 1.71%, 6/1/19(a) 2,000,000
800,000 Allegheny HDA for Presbyterian University Hospital, Series B-3, 1.68%, 3/1/18(a) 800,000
1,900,000 Allegheny IDA for UPMC Health Systems, Series C, 1.70%, 3/1/15(a) 1,900,000
995,000 Berks County IDR for Visiting Nurse Services, Series A, 1.78% - 1.93%, 12/1/15(a) 995,000
1,235,000 Blair County IDR for Village of Penn State, Series C, 1.60%, 1/1/11(a) 1,235,000
2,100,000 Bucks County IDA, 1.72%, 7/1/15(a) 2,100,000
900,000 Bucks County IDA, 1.69%, 5/1/33(a) 900,000
459,000 Chartiers Valley IDA for 1133 Penn Ave. Associates, Series A, 1.70%, 8/1/07(a) 459,000
1,135,000 Chester County HEFA for Simpsons Meadows, 1.68%, 10/1/30(a) 1,135,000
30,000 Chester County IDA for Archdiocese of Philadelphia, 1.69%, 7/1/31(a) 30,000
1,000,000 Delaware County IDA for Scotfoam Corp., 1.90%, 10/1/05(a) 1,000,000
1,000,000 Delaware County IDR for Sun, Inc., 1.69%, 11/1/33(a) 1,000,000
500,000 Delaware Valley Finance Authority, Series 85-A, 1.66%, 12/1/19(a) 500,000
500,000 Delaware Valley Finance Authority, Series A, 1.66%, 12/1/17(a) 500,000
1,100,000 Delaware Valley Finance Authority, Series B, 1.66%, 12/1/20(a) 1,100,000
2,100,000 Emmaus General Authority Revenue, Series G-18, 1.70%, 3/1/24(a) 2,100,000
2,000,000 Lancaster County HRB for Brethren Village, 1.73%, 6/15/20(a) 2,000,000
2,075,000 Lebanon County HCF for ECC Retirement Village, 1.73%, 10/15/25(a) 2,075,000
2,100,000 Lehigh County IDA, 1.72%, 12/1/15(a) 2,100,000
45,000 Montgomery County Higher Education & Health Authority, 1.72%, 9/15/31(a) 45,000
430,000 Montgomery County IDR for Girl Scouts of Southeastern PA, 1.78%, 2/1/25(a) 430,000
2,100,000 Montgomery County Kingswood Apts, Series A, 1.62%, 8/15/31(a) 2,100,000
1,800,000 Northhampton County IDR, 1.67%,11/1/30(a) 1,800,000
1,745,000 Pennsylvania HEFA for Temple University, 1.64%, 10/1/09(a) 1,745,000
645,000 Philadelphia Housing Revenue Authority, Series A, 1.73%, 6/1/25(a) 645,000
1,200,000 Philadelphia IDR for Fox Chase Cancer Center Project, 1.67%, 7/1/25(a) 1,200,000
3,820,000 Schuylkill County IDA for Northeastern Power, 1.68%, 12/1/22(a) 3,820,000
1,000,000 Scranton Redevelopment Authority Revenue for Parking Facility, 1.73%, 06/1/33(a) 1,000,000
1,900,000 Scranton-Lackawanna Health & Welfare Authority for Univ. of Scranton,
RAW, 1.80%, 5/1/18(b) 1,900,000
1,300,000 Wilkins Area IDA for Fairview Extended Care, Series B, 1.65%, 1/1/21(a) 1,300,000
---------------
$ 39,964,000
---------------
PUERTO RICO--4.7%
2,000,000 Puerto Rico Highway & Transportation Authority, 3.00%,7/29/05(b) 2,017,490
---------------
TOTAL INVESTMENTS (COST* $41,981,490) 98.1% 41,981,490
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (4,651)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (1,163)
OTHER ASSET 1.9 812,997
----- ---------------
NET ASSETS 100.0% $ 42,788,673
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON 42,788,673
SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
17
<Page>
RESERVE TAX-EXEMPT TRUST--VIRGINIA TAX EXEMPT FUND
SCHEDULE OF INVESTMENTS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--80.7%
VIRGINIA--68.4%
$ 500,000 Alexandria County IDR, Pooled Loan Program, Series A, 1.69%, 7/1/26(a) $ 500,000
1,000,000 Arlington County for Ballston Public Parking, 1.57%, 8/1/17(a) 1,000,000
600,000 Charlottesville IDA for Seminole, Series B, 1.70%, 12/1/13(a) 600,000
500,000 Chesapeake County IDA for Chesapeake General Hospital, Series B, 1.68%, 7/1/31(a) 500,000
500,000 Hampton MFH for Avalon, 1.65%, 6/15/26(a) 500,000
800,000 Hampton MFH for Shoreline Apartments, 1.68%, 12/1/19(a) 800,000
500,000 Henrico County EDA for Westminster Centerbury, Series B, 1.68%, 7/1/08(a) 500,000
950,000 James City County IDA for Chambrel, 1.68%, 11/15/32(a) 950,000
500,000 Norfolk IDR for Hospital Facilities-Children, 1.69%, 6/1/20(a) 500,000
950,000 Peninsula Port Authority for Dominion Terminal, 1.68%, 7/1/16(a) 950,000
500,000 Roanoke IDA for Carilion Health Systems, Series B, 1.68%, 7/1/27(a) 500,000
500,000 University of Virginia Revenue, Series A, 1.65%, 6/1/34(a) 500,000
---------------
7,800,000
---------------
PUERTO RICO--12.3%
1,100,000 Puerto Rico Highway & Transportation Authority, Series A, 1.63%, 7/1/28(b) 1,100,000
300,000 Puerto Rico Highway & Transportation Authority, 3.00%,7/19/5(b) 302,623
---------------
1,402,623
---------------
TOTAL INVESTMENTS (COST* $9,202,623) 80.7% 9,202,623
OTHER ASSETS, LESS LIABILITIES 19.3 2,205,611
----- ---------------
NET ASSETS 100.0% $ 11,408,234
===== ===============
</Table>
RESERVE TAX-EXEMPT TRUST--VIRGINIA TAX EXEMPT FUND
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 2004 (UNAUDITED)
<Table>
ASSETS
Investments in securities, at value (Cost* $9,202,623) $ 9,202,623
Cash 2,192,312
Interest receivable 14,834
---------------
Total Assets 11,409,769
---------------
LIABILITIES
Comprehensive management fees payable 1,229
Distribution (12b-1) fees payable 306
---------------
Total Liabilities 1,535
---------------
NET ASSETS $ 11,408,234
===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON 11,408,234
SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
18
<Page>
RESERVE NEW YORK TAX-EXEMPT TRUST--NEW YORK TAX-EXEMPT FUND
STATEMENT OF NET ASSETS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--98.7%
NEW YORK--94.4%
$ 3,700,000 Cattarausus County IDA for YMCA, 1.73%, 9/1/28(a) $ 3,700,000
1,700,000 Franklin County IDA Civic Facility for Trudeau Institute, 1.65%, 12/1/20(a) 1,700,000
1,000,000 Glens Falls IDA for Broad St. Prof. Center, 1.66%, 8/1/05(a) 1,000,000
8,000,000 Jay Street Development Corp., Series A-1, 1.63%, 5/1/22(a) 8,000,000
4,300,000 Jay Street Development Corp., Series A-3, 1.63%, 5/1/21(a) 4,300,000
5,000,000 Long Island Power Authority Electric System Revenue, Series 2-A, 1.63%, 5/1/33(a) 5,000,000
6,000,000 Long Island Power Authority Electric System Revenue, Series 7-A, 1.58%, 4/1/25(a) 6,000,000
1,500,000 Monroe County for St. Ann's Home, 1.65%, 7/1/30(a) 1,500,000
8,000,000 New York City Cultural Revenue for Alvin Ailey Dance Foundation, 1.59%,7/1/33(a) 8,000,000
6,400,000 New York City GO, Series A-1, 1.80%, 3/13/20(a) 6,400,000
3,000,000 New York City GO, Series A-2, 1.61%, 8/1/31(a) 3,000,000
6,900,000 New York City GO, Series A-4, 1.67%, 8/1/21(a) 6,900,000
350,000 New York City GO, Series A-4, 1.67%, 8/1/22(a) 350,000
1,300,000 New York City GO, Series A-4, 1.67%, 8/1/23(a) 1,300,000
2,365,000 New York City GO, Series A-5, 1.62%, 8/1/15(a) 2,365,000
3,785,000 New York City GO, Series A-5, 1.62%, 8/1/16(a) 3,785,000
6,500,000 New York City GO, Series A-5, 1.67%, 8/1/31(a) 6,500,000
1,500,000 New York City GO, Series A-7, 1.64%, 8/1/20(a) 1,500,000
7,545,000 New York City GO, Series A-8, 1.61%, 11/1/23(a) 7,545,000
2,500,000 New York City GO, Series A-8, 1.62%, 8/1/17(a) 2,500,000
3,045,000 New York City GO, Series B-8, 1.64%, 8/15/24(a) 3,045,000
2,800,000 New York City GO, Series C-4, 1.61%, 8/1/20(a) 2,800,000
8,100,000 New York City GO, Series E-4, 1.64%, 8/1/21(a) 8,100,000
3,000,000 New York City GO, Series F-4, 1.67%, 2/15/20(a) 3,000,000
3,350,000 New York City GO, Series F-5, 1.64%, 2/15/16(a) 3,350,000
7,500,000 New York City GO, Series H-2, 1.61%, 8/1/10(a) 7,500,000
4,400,000 New York City HDC for Monterey, Series A, 1.63%, 11/15/19(a) 4,400,000
1,000,000 New York City IDA for Abraham Joshua Heschel, 1.70%, 4/1/32(a) 1,000,000
560,000 New York City IDA for American Civil Liberties, 1.65%, 6/1/12(a) 560,000
5,300,000 New York City IDA for American Society for Technion, 1.61%, 10/1/33(a) 5,300,000
3,200,000 New York City IDA for Childrens Oncology Society, 1.66%, 5/1/21(a) 3,200,000
1,415,000 New York City IDA for Church of the Heavenly Rest, 1.65%, 7/1/21(a) 1,415,000
1,500,000 New York City Muni Water, Series C-A, 1.67%, 6/15/18(a) 1,500,000
200,000 New York City MWFA WSR, Series G, 1.64%, 6/15/24(a) 200,000
4,000,000 New York City WSA Rev, 1.67%, 6/15/25(a) 4,000,000
2,000,000 New York State HFA for 10 Liberty Street, 1.63%, 11/1/35(a) 2,000,000
3,600,000 New York State HFA for Liberty View, Series A, 1.63%, 11/15/19(a) 3,600,000
1,880,000 New York State HFA for Normandie Court, Series I, 1.62%, 5/15/15(a) 1,880,000
4,800,000 New York State HFA, Series B, 1.63%, 3/15/26(a) 4,800,000
10,640,000 New York State LGAC., Series C, D, E & F, 1.57% - 1.64%, 4/1/25(a) 10,640,000
3,810,000 Schenectady County IDA for Sunnyview Hospital & Rehab, Series A, 1.68%, 8/1/33(a) 3,810,000
4,760,000 Tompkins County IDA for Kendal Ithaca Community Care, Series B, 1.63%, 7/1/24(a) 4,760,000
3,600,000 Yonkers IDA Civic Facility for Consumers Union, 1.67%, 7/1/21(a) 3,600,000
---------------
165,805,000
---------------
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
19
<Page>
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS (CONTINUED)
PUERTO RICO--4.3%
$ 7,500,000 Puerto Rico Commonwealth TRAN, 3.00%, 7/29/05(b) $ 7,565,591
---------------
TOTAL INVESTMENTS (COST* $173,370,591) 98.7% 173,370,591
COMPREHENSIVE MANAGEMENT FEES PAYABLE 0.0 (3,849)
DISTRIBUTION (12b-1) FEES PAYABLE 0.0 (962)
OTHER ASSETS, LESS LIABILITIES 1.3 2,243,990
----- ---------------
NET ASSETS 100.0% $ 175,609,770
===== ===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE BASED ON 175,609,770
SHARES OF BENEFICIAL INTEREST, $.001 PAR VALUE OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
20
<Page>
RESERVE MUNICIPAL MONEY-MARKET TRUST--LOUISIANA MUNICIPAL MONEY-MARKET FUND
SCHEDULE OF INVESTMENTS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--80.9%
LOUISIANA--61.4%
$ 10,000 East Baton Rouge for Rhone-Poulenc Inc., 1.69%, 12/1/11(a) $ 10,000
14,000 Lake Charles HRB District Revenue for Conoco, Project A, 1.68%, 9/1/29(a) 14,000
21,000 Lake Charles HRB & Term. District Revenue for CITGO Corp., 1.68%, 8/1/07(a) 21,000
21,000 Louisiana Environment Facilities Community DAR, Series A, 1.69%, 11/1/34(a) 21,000
10,000 Louisiana Offshore Term. Auth. Deepwater Port Rev. for Loop LLC, Series A, 1.69%,
9/1/14(a) 10,000
7,000 Louisiana Offshore Term. Auth. Deepwater Port Rev. for Loop LLC, Series A, 1.68%,
9/1/17(a) 7,000
10,000 Louisiana PFA for Kenner Hotel Limited, 1.62%,12/1/15(a) 10,000
10,000 Louisiana PFA, Multi-family, 1.69%, 6/15/31(a) 10,000
10,000 Louisiana University Agriculture & Mechanical College, 1.70%, 7/1/30(a) 10,000
10,000 South Louisiana Port Marine Term. for Occidental Petroleum Corp., 1.68%, 7/1/21(a) 10,000
10,000 South Louisiana Port Marine Term. for Occidental Petroleum Corp., 1.66%, 7/1/18(a) 10,000
---------------
133,000
---------------
PUERTO RICO--19.5%
21,000 Puerto Rico Government Development Bank, 1.58%, 12/1/15(b) 21,000
21,000 Puerto Rico Highway & Transportation Authority, Series A, 1.63%, 07/1/28(b) 21,000
---------------
42,000
---------------
TOTAL INVESTMENTS (COST* $175,000) 80.9% 175,000
OTHER ASSETS, LESS LIABILITIES 19.1 41,450
----- ---------------
NET ASSETS 100.0% $ 216,450
===== ===============
</Table>
RESERVE MUNICIPAL MONEY-MARKET TRUST--LOUISIANA MUNICPAL MONEY-MARKET FUND
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 2004 (UNAUDITED)
<Table>
ASSETS
Investments in securities, at value (Cost $175,000) $ 175,000
Cash 41,054
Interest receivable 426
---------------
Total Assets 216,480
---------------
LIABILITIES
Comprehensive management fees payable 24
Distribution (12b-1) fees payable 6
---------------
Total Liabilities 30
---------------
NET ASSETS $ 216,450
===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON 216,450 SHARES OF
BENEFICIAL INTEREST, $.0001 PAR VALUE OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
21
<Page>
RESERVE MUNICIPAL MONEY-MARKET TRUST--MINNESOTA MUNICIPAL MONEY-MARKET FUND
SCHEDULE OF INVESTMENTS--NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
PRINCIPAL VALUE
AMOUNT (NOTE 1)
--------- --------
TAX-EXEMPT OBLIGATIONS--83.3%
MINNESOTA--75.9%
$ 40,000 Andover Senior Housing for Presbyterian Homes, 1.68%, 11/15/33(a) $ 40,000
73,000 Brooklyn Center for Brookdale Corp II, 1.72%, 12/1/14(a) 73,000
71,000 Cohasset for Minnesota Power & Light, Project B, 1.67%, 6/1/13(a) 71,000
40,000 Duluth Tax for Lake Superior Paper, 1.65%, 9/1/10(a) 40,000
73,000 Hennepin County, Series B, 1.54%, 12/1/20(a) 73,000
41,000 Hennepin County, Series C, 1.54%, 12/1/10(a) 41,000
73,000 Mankato Multi-family Revenue for Highland Park, 1.72%, 5/1/27(a) 73,000
5,000 Minnesota HEFA for St. Olaf College, Series 5-H, 1.67%, 10/1/30(a) 5,000
40,000 Minnesota HEFA for St. Olaf College, Series 5-M1, 1.67%, 10/1/32(a) 40,000
45,000 Roseville Private School Facility Revenue for Northwestern
College, 1.72%, 11/1/22(a) 45,000
40,000 St. Louis Park Revenue for Catholic Finance Corp., 1.71%, 10/1/25(a) 40,000
40,000 St. Paul Housing & Redev. Authority District Heating Revenue, 1.68%, 12/1/12(a) 40,000
45,000 St. Paul Housing & Redev. Authority MHR for Highland Ridge, 1.68%, 10/1/33(a) 45,000
89,000 University of Minnesota, Series A, 1.73%, 7/1/08(a) 89,000
---------------
715,000
---------------
PUERTO RICO--7.4%
35,000 Puerto Rico Government Development Bank, 1.58%, 12/1/15(b) 35,000
35,000 Puerto Rico Highway & Transportation Authority, Series A, 1.63%, 7/1/28(b) 35,000
70,000
---------------
TOTAL INVESTMENTS (COST* $785,000) 83.3% 785,000
OTHER ASSETS, LESS LIABILITIES 16.7 157,666
----- ---------------
NET ASSETS 100.0% $ 942,666
===== ===============
</Table>
MINNESOTA MUNICIPAL MONEY-MARKET FUND--RESERVE MUNICIPAL MONEY-MARKET TRUST
STATEMENT OF ASSETS AND LIABILITIES
NOVEMBER 30, 2004 (UNAUDITED)
<Table>
ASSETS
Investments in securities at value (Cost $785,000) $ 785,000
Cash 155,821
Receivable for securities sold 968
Interest receivable 1,013
---------------
Total Assets 942,802
---------------
LIABILITIES
Comprehensive management fees payable 109
Distribution (12b-1) fees payable 27
---------------
Total Liabilities 136
---------------
NET ASSETS $ 942,666
===============
NET ASSET VALUE, OFFERING AND REDEMPTION PRICE PER SHARE, BASED ON 942,666 SHARES OF
BENEFICIAL INTEREST, $.0001 PAR VALUE OUTSTANDING $ 1.00
===============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
22
<Page>
SECURITY TYPE ABBREVIATIONS
BAN -- Bond Anticipation Notes
CDA -- Community Development Authority
CFD -- Community Facility District
COP -- Certificate of Participation
DAR -- Development Authority Revenue Bonds
DFA -- Development Finance Agency
ECC -- Evangelical Congregation Church
ECFA -- Education Culture Facility Authority
EDA -- Economic Development Authority Revenue Bonds
EDC -- Economic Development Corporation
EFA -- Education Facilities Authority
ERN -- Economic Recovery Notes
GO -- General Obligation Bonds
HCF -- Health Care Facilities Revenue Bonds
HCR -- Health Care Revenue
HDA -- Hospital Development Authority
HDC -- Housing Development Corporation Bonds
HDR -- Housing Development Revenue
HEFA -- Health & Education Facilities Authority
HFA -- Housing Finance Authority Revenue Bonds
HRB -- Hospital Revenue Bonds
HWA -- Health and Welfare Authority
IDA -- Industrial Development Authority Revenue Bonds
IDR -- Industrial Development Agency Revenue Bonds
IFA -- Industrial Finance Authority
LGAC -- Local Government Assistance Corp.
MFH -- Multifamily Housing Revenue Bonds
MFR -- Multifamily Revenue Bonds
MFHR -- Multifamily Facilities Housing Revenue Bonds
MHR -- Multifamily Housing Revenue Bonds
MWFA -- Municipal Water Finance Authortiy
PCR -- Pollution Control Revenue Bonds
PFA -- Public Finance Authority
RAW -- Revenue Anticipation Warrants
TAN -- Tax Anticipation Notes
TRAN -- Tax Revenue Anticipation Notes
USD -- United School District
WDA -- Water Development Authority
WRA -- Water Resource Authority
WSR -- Water & Sewer System Revenue Bonds
- ----------
(a) Variable rate securities. The interest rates shown are as reported on
November 30, 2004, are subject to change periodically. Securities payable
on demand are collateralized by bank letters of credit or other credit
agreements.
(b) Securities are collateralized by bank letters of credit or other credit
agreements.
* The cost of investments for federal income tax purposes is the same as the
cost for financial reporting purposes.
SEE NOTES TO FINANCIAL STATEMENTS.
23
<Page>
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED NOVEMBER 30, 2004 (UNAUDITED)
<Table>
<Caption>
RESERVE NEW YORK
TAX-EXEMPT TRUST RESERVE TAX-EXEMPT TRUST
---------------- -------------------------------------------------------------
NEW YORK CALIFORNIA CONNECTICUT FLORIDA MASSACHUSETTS
FUND FUND FUND FUND FUND
---------------- ------------- ------------- ------------- -------------
INTEREST INCOME (Note 1) $ 1,164,254 $ 645,684 $ 137,325 $ 285,136 $ 115,969
------------- ------------- ------------- ------------- -------------
EXPENSES (Note 2)
Comprehensive management fees 713,438 401,533 84,986 170,943 71,975
Distribution (12b-1) fees 178,360 100,383 21,246 42,736 17,994
Interest expense 1,087 1,365 600 373 405
Trustee fees 294 172 36 67 31
------------- ------------- ------------- ------------- -------------
Total expenses before waiver 893,179 503,453 106,868 214,119 90,405
Less: expenses waived (Note 2) (10,280) (6,457) (1,022) (1,407) (881)
------------- ------------- ------------- ------------- -------------
Net Expenses 882,899 496,996 105,846 212,712 89,524
------------- ------------- ------------- ------------- -------------
NET INVESTMENT INCOME, representing Net Increase in
Net Assets from Investment Operations $ 281,355 $ 148,688 $ 31,479 $ 72,424 $ 26,445
============= ============= ============= ============= =============
<Caption>
RESERVE TAX-EXEMPT TRUST
-----------------------------------------------------------------------------
MICHIGAN NEW JERSEY OHIO PENNSYLVANIA VIRGINIA
FUND FUND FUND FUND FUND
------------- ------------- ------------- ------------- -------------
INTEREST INCOME (Note 1) $ 62,931 $ 335,472 $ 86,593 $ 284,436 $ 69,011
------------- ------------- ------------- ------------- -------------
EXPENSES (Note 2)
Comprehensive management fees 38,677 208,187 50,877 170,603 41,793
Distribution (12b-1) fees 9,669 52,047 12,719 42,650 10,449
Interest expense 283 177 84 165 --
Trustee fees 20 86 19 78 19
------------- ------------- ------------- ------------- -------------
Total expenses before waiver 48,649 260,497 63,699 213,496 52,261
Less: expenses waived (Note 2) (206) (3,951) (77) (453) (477)
------------- ------------- ------------- ------------- -------------
Net Expenses 48,443 256,546 63,622 213,043 51,784
------------- ------------- ------------- ------------- -------------
NET INVESTMENT INCOME, representing Net Increase in
Net Assets from Investment Operations $ 14,488 $ 78,926 $ 22,971 $ 71,393 $ 17,227
============= ============= ============= ============= =============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
24
<Page>
<Table>
<Caption>
RESERVE MUNICIPAL
MONEY MARKET TRUST
-----------------------------
LOUISIANA MINNESOTA
MUNICIPAL MUNICIPAL
MONEY-MARKET MONEY-MARKET
FUND FUND
------------- -------------
INTEREST INCOME (Note 1) $ 1,272 $ 4,842
------------- -------------
EXPENSES (Note 2)
Comprehensive management fees 820 3,057
Distribution (12b-1) fees 205 742
Interest expense -- 13
Trustee fees 1 --
------------- -------------
Total expenses 1,026 3,812
Less: expenses waived (Note 2) (24) (51)
------------- -------------
Net Expenses 1,002 3,761
------------- -------------
NET INVESTMENT INCOME, representing Net Increase in Net Assets from
Investment Operations $ 270 $ 1,081
============= =============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
25
<Page>
<Table>
INTEREST INCOME (Note 1) $ 5,136,864
-------------
EXPENSES (Note 2)
COMPREHENSIVE MANAGEMENT FEES:
Class R 1,123,936
Class Treasurer's Trust 62,056
Class 75 --
Class 70 3,489
Class 45 22
Class 25 20,150
Class 15 77
Class 8 170,414
DISTRIBUTION (12b-1) FEES:
Class R 280,984
Class 70 1,395
Interest expense 10,229
Trustee fees 651
-------------
Total expenses before waiver 1,673,403
Less: expenses waived (Note 2) (12,553)
-------------
Net Expenses 1,660,850
-------------
NET INVESTMENT INCOME, representing Net Increase in Net Assets from Investment Operations $ 3,476,014
=============
</Table>
RESERVE TAX-EXEMPT TRUST--INTERSTATE TAX-EXEMPT FUND
STATEMENT OF CHANGES IN NET ASSETS (UNAUDITED)
<Table>
<Caption>
SIX MONTHS ENDED YEAR ENDED
NOVEMBER 30, 2004 MAY 31, 2004
----------------- ------------
INCREASE IN NET ASSETS
FROM INVESTMENT OPERATIONS:
Net investment income $ 3,476,014 $ 927,612
--------------- --------------
DIVIDENDS PAID TO SHAREHOLDERS FROM
NET INVESTMENT INCOME (Note 1):
Class R (453,609) (265,314)
Class Treasurer's Trust (76,644) (96,414)
Class 75 -- --
Class 70 (6,615) --
Class 45 (42) (45)
Class 25 (85,072) (127,864)
Class 15 (587) (857)
Class 8 (2,853,445) (437,118)
--------------- --------------
Total dividends to shareholders (3,476,014) (927,612)
--------------- --------------
FROM CAPITAL SHARE TRANSACTIONS (NOTE 6)
(at net asset value of $1.00 per
share):
Proceeds from sale of shares 2,852,795,170 1,725,177,076
Dividends reinvested 3,476,014 927,612
Cost of shares redeemed (2,363,566,419) (1,665,413,585)
--------------- --------------
492,704,765 60,691,103
--------------- --------------
Net increase in net assets 492,704,765 60,691,103
NET ASSETS:
Beginning of period 388,266,556 327,575,453
--------------- --------------
End of period $ 880,971,321 $ 388,266,556
=============== ==============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
26
<Page>
STATEMENTS OF CHANGES IN NET ASSETS (UNAUDITED)
<Table>
<Caption>
RESERVE NEW YORK
TAX-EXEMPT TRUST RESERVE TAX-EXEMPT TRUST
---------------------------- ----------------------------------------------------------
NEW YORK FUND CALIFORNIA FUND CONNECTICUT FUND
---------------------------- ---------------------------- ----------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED ENDED ENDED
NOVEMBER 30, YEAR ENDED NOVEMBER 30, YEAR ENDED NOVEMBER 30, YEAR ENDED
2004 MAY 31, 2004 2004 MAY 31, 2004 2004 MAY 31, 2004
------------- ------------- ------------- ------------- ------------- -------------
INCREASE (DECREASE) IN NET ASSETS:
FROM INVESTMENT OPERATIONS:
Net investment income $ 281,355 $ 121,640 $ 148,688 $ 65,151 $ 31,479 $ 17,239
------------- ------------- ------------- ------------- ------------- -------------
DIVIDENDS PAID TO SHAREHOLDERS FROM:
Net Investment Income (Note 1): (281,355) (121,640) (148,688) (65,151) (31,479) (17,239)
------------- ------------- ------------- ------------- ------------- -------------
FROM CAPITAL SHARE TRANSACTIONS
(at net asset value of $1.00 per
share):
Proceeds from sale of shares 253,126,427 649,496,561 212,062,728 505,853,333 31,820,664 79,082,035
Dividends reinvested 281,355 121,640 148,688 65,151 31,479 17,239
Cost of shares redeemed (250,379,714) (705,449,514) (219,213,995) (513,696,593) (34,373,181) (94,017,695)
------------- ------------- ------------- ------------- ------------- -------------
3,028,068 (55,831,313) (7,002,579) (7,778,109) (2,521,038) (14,918,421)
------------- ------------- ------------- ------------- ------------- -------------
Net increase (decrease) in net assets 3,028,068 (55,831,313) (7,002,579) (7,778,109) (2,521,038) (14,918,421)
NET ASSETS:
Beginning of period 172,581,702 228,413,015 101,214,657 108,992,766 21,464,789 36,383,210
------------- ------------- ------------- ------------- ------------- -------------
End of period $ 175,609,770 $ 172,581,702 $ 94,212,078 $ 101,214,657 $ 18,943,751 $ 21,464,789
============= ============= ============= ============= ============= =============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
27
<Page>
<Table>
<Caption>
RESERVE TAX-EXEMPT TRUST
----------------------------------------------------------------------------------------
FLORIDA FUND MASSACHUSETTS FUND MICHIGAN FUND
---------------------------- ---------------------------- ----------------------------
SIX MONTHS SIX MONTHS SIX MONTHS
ENDED ENDED ENDED
NOVEMBER 30, YEAR ENDED NOVEMBER 30, YEAR ENDED NOVEMBER 30, YEAR ENDED
2004 MAY 31, 2004 2004 MAY 31, 2004 2004 MAY 31, 2004
------------- ------------- ------------- ------------- ------------- -------------
INCREASE (DECREASE) IN NET ASSETS:
FROM INVESTMENT OPERATIONS:
Net investment income $ 72,424 $ 26,892 $ 26,445 $ 10,897 $ 14,488 $ 4,956
------------- ------------- ------------- ------------- ------------- -------------
DIVIDENDS PAID TO SHAREHOLDERS FROM:
Net investment income (Note 1) (72,424) (26,892) (26,445) (10,897) (14,488) (4,956)
------------- ------------- ------------- ------------- ------------- -------------
FROM CAPITAL SHARE TRANSACTIONS
(at net asset value of $1.00
per share):
Proceeds from sale of shares 95,547,482 187,577,015 24,998,579 79,829,238 15,571,879 36,464,490
Dividends reinvested 72,424 26,892 26,445 10,897 14,488 4,956
Cost of shares redeemed (91,287,421) (194,025,813) (27,233,479) (82,799,552) (18,887,392) (32,253,120)
------------- ------------- ------------- ------------- ------------- -------------
4,332,485 (6,421,906) (2,208,455) (2,959,417) (3,301,025) 4,216,326
------------- ------------- ------------- ------------- ------------- -------------
Net increase (decrease) in net assets 4,332,485 (6,421,906) (2,208,455) (2,959,417) (3,301,025) 4,216,326
NET ASSETS:
Beginning of period 39,453,389 45,875,295 17,819,238 20,778,655 12,074,369 7,858,043
------------- ------------- ------------- ------------- ------------- -------------
End of period $ 43,785,874 $ 39,453,389 $ 15,610,783 $ 17,819,238 $ 8,773,344 $ 12,074,369
============= ============= ============= ============= ============= =============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
28
<Page>
<Table>
<Caption>
RESERVE TAX-EXEMPT TRUST
--------------------------------------------------------------------
NEW JERSEY FUND OHIO FUND
-------------------------------- --------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
NOVEMBER 30, MAY 31, NOVEMBER 30, MAY 31,
2004 2004 2004 2004
-------------- -------------- -------------- --------------
INCREASE (DECREASE) IN NET ASSETS
FROM INVESTMENT OPERATIONS:
Net investment income $ 78,926 $ 31,405 $ 22,971 $ 7,585
-------------- -------------- -------------- --------------
DIVIDENDS PAID TO SHAREHOLDERS FROM:
Net investment income (Note 1) (78,926) (31,405) (22,971) (7,585)
-------------- -------------- -------------- --------------
FROM CAPITAL SHARE TRANSACTIONS
(at net asset value of $1.00 per share):
Proceeds from sale of shares 149,875,073 194,005,843 42,771,953 64,441,135
Dividends reinvested 78,926 31,405 22,971 7,585
Cost of shares redeemed (150,108,776) (199,812,677) (41,599,560) (63,946,823)
-------------- -------------- -------------- --------------
(154,777) (5,775,429) 1,195,364 501,897
-------------- -------------- -------------- --------------
Net increase (decrease)
in net assets (154,777) (5,775,429) 1,195,364 501,897
NET ASSETS:
Beginning of period 50,245,918 56,021,347 10,911,810 10,409,913
-------------- -------------- -------------- --------------
End of period $ 50,091,141 $ 50,245,918 $ 12,107,174 $ 10,911,810
============== ============== ============== ==============
<Caption>
RESERVE TAX-EXEMPT TRUST
--------------------------------------------------------------------
PENNSYLVANIA FUND VIRGINIA FUND
-------------------------------- --------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
NOVEMBER 30, MAY 31, NOVEMBER 30, MAY 31,
2004 2004 2004 2004
-------------- -------------- -------------- --------------
INCREASE (DECREASE) IN NET ASSETS
FROM INVESTMENT OPERATIONS:
Net investment income $ 71,393 $ 30,826 $ 17,227 $ 7,292
-------------- -------------- -------------- --------------
DIVIDENDS PAID TO SHAREHOLDERS FROM:
Net investment income (Note 1) (71,393) (30,826) (17,227) (7,292)
-------------- -------------- -------------- --------------
FROM CAPITAL SHARE TRANSACTIONS
(at net asset value of $1.00 per share):
Proceeds from sale of shares 63,878,807 151,857,837 31,968,567 73,535,462
Dividends reinvested 71,393 30,826 17,227 7,292
Cost of shares redeemed (67,221,622) (146,420,903) (31,626,628) (73,753,730)
-------------- -------------- -------------- --------------
(3,271,423) 5,467,760 359,166 (210,976)
-------------- -------------- -------------- --------------
Net increase (decrease)
in net assets (3,271,423) 5,467,760 359,166 (210,976)
NET ASSETS:
Beginning of period 46,060,096 40,592,336 11,049,068 11,260,044
-------------- -------------- -------------- --------------
End of period $ 42,788,673 $ 46,060,096 $ 11,408,234 $ 11,049,068
============== ============== ============== ==============
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
29
<Page>
RESERVE MUNICIPAL MONEY-MARKET TRUST
<Table>
<Caption>
LOUISIANA MUNICIPAL MINNESOTA MUNICIPAL
MONEY-MARKET FUND MONEY-MARKET FUND
--------------------------------- ----------------------------------
SIX MONTHS SIX MONTHS
ENDED YEAR ENDED ENDED YEAR ENDED
NOVEMBER 30, 2004 MAY 31, 2004 NOVEMBER 30, 2004 MAY 31, 2004
----------------- ------------ ----------------- ------------
INCREASE (DECREASE) IN NET ASSETS:
FROM INVESTMENT OPERATIONS:
Net investment income $ 270 $ 106 $ 1,081 $ 227
----------- ----------- ----------- -----------
DIVIDENDS PAID TO SHAREHOLDERS FROM:
Net investment income (Note 1) (270) (106) (1,081) (227)
----------- ----------- ----------- -----------
FROM CAPITAL SHARE TRANSACTIONS (at net asset
value of $1.00 per share):
Proceeds from sale of shares 486,960 538,385 2,016,224 1,910,895
Dividends reinvested 270 106 1,081 227
Cost of shares redeemed (456,666) (463,107) (1,720,486) (1,450,296)
----------- ----------- ----------- -----------
Net increase in net assets 30,564 75,384 296,819 460,826
NET ASSETS:
Beginning of period 185,886 110,502 645,847 185,021
----------- ----------- ----------- -----------
End of period $ 216,450 $ 185,886 $ 942,666 $ 645,847
=========== =========== =========== ===========
</Table>
SEE NOTES TO FINANCIAL STATEMENTS.
30
<Page>
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
(1) SIGNIFICANT ACCOUNTING POLICIES:
Reserve New York Tax-Exempt Trust, Reserve Tax-Exempt Trust and Reserve
Municipal Money-Market Trust (collectively the "Trusts") are registered
with the Securities Exchange Commission ("SEC") under the Investment
Company Act of 1940, as amended ("the Investment Company Act"), as
nondiversified, open-end management investment companies. The policies
summarized below are consistently followed in the preparation of each
Trust's financial statements in conformity with generally accepted
accounting principles.
A. The Trusts' authorized shares of beneficial interest are unlimited. As
of November 30, 2004, there were eleven (11) separate series of Reserve
Tax-Exempt Trust authorized (Interstate Tax-Exempt Fund, California
Tax-Exempt Fund, Connecticut Tax-Exempt Fund, Florida Tax-Exempt Fund,
Massachusetts Tax-Exempt Fund, Michigan Tax-Exempt Fund, New Jersey
Tax-Exempt Fund, Ohio Tax-Exempt Fund, Pennsylvania Tax-Exempt Fund,
Virginia Tax-Exempt Fund and Interstate II Tax-Exempt Fund (which has not
commenced operations)); one (1) series of Reserve New York Tax-Exempt Trust
(New York Tax-Exempt Fund) and two (2) separate series of Reserve Municipal
Money-Market Trust (Louisiana Municipal Money-Market Fund and Minnesota
Municipal Money-Market Fund) (each a "Fund", and collectively the "Funds").
The Funds each offer a single class of shares, except for the Interstate
Tax-Exempt Fund, which currently offers twelve classes of shares as
follows: Class 8, Class 12, Class 15, Class 20, Class 25, Class 35, Class
45, Treasurer's Trust, Class 70, Class 75, Class 95 and Class R. These
financial statements and notes apply to all above mentioned series of all
Trusts, except for the Interstate II Tax-Exempt Fund.
B. Securities are valued at amortized cost, which approximates market
value. The amortized cost method values a security at cost plus accrued
interest at the time of purchase and thereafter assumes a constant
amortization to maturity of any discount or premium, irrespective of
intervening changes in interest rates or market values. For purposes of
compliance with Rule 2a-7 of the Investment Company Act, and for computing
the portfolios' average weighted life to maturity, the maturity of floating
or variable rate instruments in which the Funds may invest will be deemed
to be for floating rate instruments (1) the notice period required before
the Funds are entitled to receive payment of the principal amount of the
instrument; and for variable rate instruments the longer of (1) above or
(2) the period remaining until the instrument's next rate adjustment.
C. It is each Fund's policy to comply with Subchapter M of the Internal
Revenue Code and to distribute all income to its shareholders. Accordingly,
no Federal income tax provision is required.
D. Security transactions are recorded on a trade date basis. Interest
income is accrued daily and security premium or discount is amortized or
accreted daily. The Interstate Tax-Exempt Fund allocates investment income
and fund level expenses (expenses other than the comprehensive management
fee and distribution fee) on a daily basis based upon the relative
proportion of net assets of each class.
E. Net investment income is distributed to shareholders daily and
automatically reinvested in additional Fund shares, unless the shareholder
has elected in writing to receive cash.
F. The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities on
the date of the financial statements and the reported amounts of income and
expenses during the reporting periods. Actual results could differ from
those estimates.
G. During the six months ended November 30, 2004, the Funds incurred
overdraft positions with their custodian bank. Any related interest charges
are shown in each Fund's statement of operations.
(2) MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
Pursuant to an investment management agreement (the "Agreement") between
Reserve Management Company, Inc. ("RMCI") and each Trust on behalf of each
of its series, RMCI serves as each Fund's Investment Adviser, subject to
the policies adopted by the Board of Trustees. Under the Agreement, RMCI is
responsible for the supervision of the day-to-day operations, manages each
Fund's investments, effects purchases and sales thereof, and absorbs
certain promotional expenses. The Funds, with the exception of Interstate
Tax-Exempt Fund, pay RMCI a comprehensive management fee, which is accrued
daily at the annual rate of 0.80% of the average daily net assets of each
Fund. The Interstate Tax-Exempt Fund pays RMCI a comprehensive management
fee, accrued daily, at an annual rate based on the average daily net assets
of each class of the Fund's shares according to the following schedule:
Class 8, 0.08%; Class 12, 0.12%; Class 15, 0.15%; Class 20, 0.20%; Class
25, 0.25%; Class 35, 0.35%; Class 45, 0.45%; Treasurer's Trust, 0.60%;
Class 70, 0.50%; Class 75, 0.55%; Class 95, 0.75%; Class R, 0.80%. The
comprehensive management fee includes the investment advisory fee, all
administrative and customary operating expenses of each Fund, as well as
shareholder liaison services (such as, responding to customer inquiries and
providing information on their investments), recordkeeping charges,
accounting expenses, transfer agent costs and the expenses of preparing,
printing and mailing shareholder reports and prospectuses. Excluded from
the definition of customary operating expenses are: interest charges,
taxes, brokerage fees and commissions, extraordinary legal and accounting
fees and other extraordinary expenses, payments under the Trust's
Distribution Plan and the fees of the Trustees who are not interested
persons, as defined in the
31
<Page>
Investment Company Act (the "non-interested Trustees"), for which each Fund
pays its direct or allocated share. The Louisiana and Minnesota Municipal
Money-Market Funds also pay the state (blue sky) and SEC registration fees
applicable to those Funds. For the six months ended November 30, 2004, RMCI
voluntarily waived a portion of its comprehensive management fee in the
amounts listed below:
<Table>
<Caption>
FUND AMOUNT
---- --------
New York Tax-Exempt Fund $ 10,280
Interstate Tax-Exempt Fund 12,553
California Tax-Exempt Fund 6,457
Connecticut Tax-Exempt Fund 1,022
Florida Tax-Exempt Fund 1,407
Massachusetts Tax-Exempt Fund 881
Michigan Tax-Exempt Fund 206
New Jersey Tax-Exempt Fund 3,951
Ohio Tax-Exempt Fund 77
Pennsylvania Tax-Exempt Fund 453
Virginia Tax-Exempt Fund 477
Louisiana Municipal Money-Market Fund 24
Minnesota Municipal Money-Market Fund 51
</Table>
Certain Officers and Trustees of the Trusts are also Officers of RMCI.
As of November 30, 2004, RMCI owned 51% of the Louisiana and 12% of the
Minnesota Municipal-Money Market Funds.
DISTRIBUTION ASSISTANCE:
The Funds have adopted a Rule 12b-1 Distribution Plan and entered into a
Distribution Agreement with Resrv Partners, Inc., an affiliate of RMCI,
which allows the Funds to pay fees for certain shareholder services and for
expenses related to the sale of its shares for the Funds that offer a
single class of shares and of Interstate Tax-Exempt Fund Class R, Class 95,
Class 75 and Class 70 Shares. The rate of distribution expenses may not
exceed 0.20% per year of the Classes' average daily net assets. The
Distribution Plan requires RMCI to pay at least an equal amount from its
own resources.
(3) CONCENTRATION OF CREDIT RISK:
Total assets of the Connecticut Tax-Exempt Fund, Massachusetts Tax-Exempt
Fund, Michigan Tax-Exempt Fund, Virginia Tax-Exempt Fund, Louisiana
Municipal Money-Market Fund and the Minnesota Municipal Money-Market Fund
each include a concentration of cash that is held in accounts with the
Funds' Custodian.
(4) INVESTMENT CONCENTRATION:
The Funds invest substantially all of their assets in portfolios of
tax-exempt obligations issued by states, territories and possessions of the
United States and their subdivisions. The issuers' ability to meet their
obligations may be affected by economic, regional or political
developments. In order to reduce the credit risks associated with such
factors, the Funds invest substantially all of their portfolio assets in
obligations backed by letters of credit, bond insurance of financial
institutions, financial guaranty assurance agencies and/or other credit
enhancement arrangements as shown below as a percentage of each Fund's net
assets at November 30, 2004:
<Table>
NEW YORK TAX-EXEMPT FUND 94.4%
LETTER OF CREDIT
Allied Irish Bank, PLC 3.6%
Bank of America NA 3.8%
Bank of New York 4.6%
Bank of Nova Scotia 4.3%
Bayerische Landesbank Girozentrale 3.8%
BNP Paribas 4.3%
Citibank, NA 4.6%
DEPFA Bank, PLC 4.6%
Dexia Bank 3.6%
FNMA 4.5%
HSBC Bank 4.6%
* BOND INSURANCE
AMBAC 4.3%
FGIC 2.4%
JPMorganChase Bank 3.2%
KBC Bank NV 3.5%
Keybank NA 4.3%
Landesbank Baden - Wurttenberg 3.9%
Landesbank Hessen - Thueringen Girozentrale 4.3%
Societe Generale 4.6%
State Street Bank & Trust Co. 4.9%
Suntrust Bank 0.6%
Toronto - Dominion Bank 2.4%
Wachovia Bank NA 2.7%
Westdeutsche Landesbank AG 3.6%
MBIA 3.4%
</Table>
32
<Page>
<Table>
INTERSTATE TAX-EXEMPT FUND 87.8%
LETTER OF CREDIT
ABN-AMRO Bank NV 1.7%
Allied Irish Bank, PLC 1.4%
Bank of America NA 3.4%
Bank of New York 1.8%
Bank of Nova Scotia 3.7%
Barclays Bank PLC 0.1%
Bayerische Landesbank Girozentrale 0.6%
BNP Paribas 4.8%
Branch Banking & Trust Co. 0.1%
Citibank, NA 3.3%
Comerica Bank 3.3%
Credit Suisse First Boston 0.6%
Danske Bank 1.5%
DEPFA Bank, PLC 3.1%
Dexia Bank 2.9%
FHLB 0.6%
Fifth Third Bank 0.6%
FNMA 3.0%
Harris Trust & Savings Bank 2.1%
HBOS PLC 1.1%
HSBC Bank USA 1.2%
JPMorganChase Bank 3.3%
Keybank NA 1.5%
Kredietbank NV 2.5%
Landesbank Baden - Wurternberg 1.0%
Landesbank Hessen - Thuerinigen Girozentrale 4.1%
* BOND INSURANCE
AMBAC 1.0%
FGIC 4.4%
FRMC 1.2%
CALIFORNIA TAX-EXEMPT FUND 95.3%
LETTER OF CREDIT
Allied Irish Bank, PLC 4.6%
Bank of America NA 4.2%
Bank of New York 4.7%
Bank of Nova Scotia 4.2%
Bayerische Landesbank Girozentrale 4.0%
BNP Paribas 2.7%
Citibank, NA 4.9%
Comercia Bank 3.6%
Credit Suisse First Boston 2.9%
FNMA 4.9%
JPMorganChase Bank 2.6%
* BOND INSURANCE
AMBAC 4.4%
FGIC 4.8%
LaSalle Bank, NA 2.1%
Lloyds TSB Bank PLC 0.3%
Massachussets Institute of Technology 1.1%
M & I Bank 0.1%
Manufacturers and Traders Trust Co. 0.7%
Natexis Banques Populaires 0.1%
National City Bank 0.1%
Northern Trust Co. 3.4%
PNC Bank, NA 0.5%
Rabobank Nederland 0.4%
Regions Bank 0.1%
Societe Generale 0.5%
Standard Federal Bank, NA 0.1%
State Street Bank & Trust Co. 2.6%
Suntrust Bank 3.6%
Toronto-Dominion Bank 0.7%
University of Minnesota 0.0%
University of Virginia 0.1%
US Bank NA 2.2%
Wachovia Bank NA 0.7%
Wells Fargo Bank NA 0.7%
Westdeutsche Landesbank AG 0.5%
FSA 4.0%
MBIA 3.3%
Kredietbank NV, Brussels 2.9%
Landesbank Baden - Wurttenberg 3.3%
Landesbank Hessen - Thuerinigen Girozentrale 2.2%
LaSalle Bank, NA 3.3%
Northern Trust Co. 4.6%
Societe Generale 3.2%
State Street Bank & Trust Co. 4.3%
Union Bank of Switzerland 0.8%
US Bank NA 3.8%
Wachovia Bank NA 2.3%
Wells Fargo Bank NA 4.0%
FRMC 3.3%
FSA 4.8%
</Table>
33
<Page>
<Table>
CONNECTICUT TAX-EXEMPT FUND 83.3%
LETTER OF CREDIT
Allied Irish Bank, PLC 4.8%
Bank of America 4.8%
Bayerische Landesbank Girozentrale 4.8%
JPMorganChase Bank 4.8%
KBC Bank NV 8.9%
* BOND INSURANCE
AMBAC 4.1%
FGIC 4.8%
FLORIDA TAX-EXEMPT FUND 95.1%
LETTER OF CREDIT
Bank of America NA 4.6%
BNP Paribas 4.6%
Credit Suisse First Boston 4.1%
Citibank, NA 4.6%
Fifth Third Bank 3.2%
FHLB 3.7%
FNMA 4.1%
HBOS PLC 4.6%
* BOND INSURANCE
AMBAC 2.4%
FGIC 4.1%
FRMC 7.0%
MASSACHUSETTS TAX-EXEMPT FUND 58.0%
LETTER OF CREDIT
Allied Irish Bank, PLC 3.2%
Bank of America 5.1%
Comercia Bank, Detroit 5.1%
DEPFA Bank, PLC 3.5%
Dexia Bank 3.2%
FNMA 5.1%
KBC Bank NV 3.2%
* BOND INSURANCE
AMBAC 2.6%
FGIC 5.1%
LaSalle Bank, NA 4.9%
Landesbank Hessen - Thueringen Girozentrale 8.4%
Northern Trust Co. 9.5%
Wachovia Bank NA 9.2%
FSA 9.5%
MBIA 4.8%
JPMorganChase Bank 3.2%
Keybank NA 4.0%
LaSalle Bank NA 4.6%
Northern Trust Co. 3.9%
HSBC Bank USA 4.1%
Societe Generale 3.7%
State Street Bank & Trust Co. 4.6%
Suntrust Bank 6.6%
Wachovia Bank NA 5.0%
FSA 7.3%
MBIA 1.1%
Landesbank Baden - Wurttenberg 6.4%
Landesbank Hessen - Thueringen Girozentrale 3.2%
State Street Bank & Trust Co. 3.9%
Wachovia Bank NA 3.9%
MBIA 4.5%
</Table>
34
<Page>
<Table>
MICHIGAN TAX-EXEMPT FUND 90.1%
LETTER OF CREDIT
Bank of America, NA 8.5%
Comerica Bank 9.1%
Dexia Bank 4.8%
FHLB 8.5%
Fifth Third Bank 4.6%
FNMA 8.5%
JPMorganChase Bank 4.6%
* BOND INSURANCE
AMBAC 4.6%
FGIC 4.6%
NEW JERSEY TAX-EXEMPT FUND 86.5%
LETTER OF CREDIT
Bank of America 1.7%
Bank of New York 4.8%
Bank of Nova Scotia 4.4%
Barclays Bank PLC 4.1%
Bayerische Landesbank Girozentrale 4.8%
Citibank, NA 4.0%
FNMA 4.8%
* BOND INSURANCE
FGIC 9.0%
FSA 9.0%
OHIO TAX-EXEMPT FUND 98.0%
LETTER OF CREDIT
ABN-AMRO Bank NV 5.0%
Allied Irish Bank, PLC 4.1%
Bank One, NA 4.1%
Barclays Bank PLC 4.1%
BNP Paribas 3.3%
Citibank, NA 7.4%
Fifth Third Bank 4.5%
HBOS PLC 4.1%
JPMorganChase Bank 5.0%
* BOND INSURANCE
AMBAC 4.1%
FSA 8.3%
Keybank NA 1.4%
Kredietbank NV 4.6%
Landesbank Hessen-Thuerinigen Girozentrale 4.6%
LaSalle Bank, NA 4.6%
National City Bank 4.6%
Northern Trust Co. 0.0%
Standard Federal Bank, NA 7.9%
MBIA 4.6%
JPMorganChase Bank 4.2%
KBC Bank NV 4.5%
Lloyds TSB Bank PLC 4.0%
PNC Bank, NA 9.0%
Suntrust Bank 9.5%
Wachovia Bank NA 4.6%
MBIA 4.1%
Keybank NA 5.0%
LaSalle Bank, NA 4.1%
National City Bank 4.1%
HSBC Bank USA 4.6%
State Street Bank & Trust Co. 4.1%
US Bank NA 8.3%
Wachovia Bank NA 6.6%
Wells Fargo Bank NA 3.1%
MBIA 4.1%
</Table>
35
<Page>
<Table>
PENNSYLVANIA TAX-EXEMPT FUND 93.4%
LETTER OF CREDIT
ABN-AMRO Bank NV 4.9%
Allied Irish Bank, PLC 4.8%
Bank of America NA 5.5%
Bank of Nova Scotia 2.3%
BNP Paribas 2.9%
Comerica Bank 4.4%
DEPFA Bank, PLC 4.9%
Dexia Bank 8.9%
FNMA 4.9%
* BOND INSURANCE
FSA 4.7%
VIRGINIA TAX-EXEMPT FUND 73.6%
LETTER OF CREDIT
Bank of America NA 4.4%
BB&T NA 5.2%
Citibank, NA 8.8%
Credit Suisse First Boston 4.4%
FNMA 8.3%
JPMorganChase Bank 4.4%
* BOND INSURANCE
AMBAC 9.6%
LOUISIANA MUNICIPAL MONEY-MARKET FUND 80.8%
LETTER OF CREDIT
Bank of America NA 4.7%
Bank of New York 4.6%
Bayerische Landesbank Girozentrale 4.6%
BNP Paribas 4.6%
FNMA 4.6%
* BOND INSURANCE
AMBAC 9.7%
FGIC 4.6%
MINNESOTA MUNICIPAL MONEY-MARKET FUND 73.8%
LETTER OF CREDIT
ABN-AMRO Bank NV 7.5%
Allied Irish Bank, PLC 4.2%
Dexia Bank 4.2%
FNMA 4.2%
Harris Trust & Savings Bank 4.8%
Landesbank Hessen - Thuerinigen Girozentrale 4.4%
* BOND INSURANCE
AMBAC 3.7%
FRMC 4.8%
JPMorganChase Bank 4.7%
Kredietbank NV 4.2%
Landesbank Hessen - Thuerinigen Girozentrale 4.1%
Northern Trust Co. 4.8%
PNC Bank, NA 8.0%
Rabobank Nederland 4.9%
Suntrust Bank 4.7%
Toronto - Dominion Bank 4.9%
Wachovia Bank NA 4.9%
MBIA 0.0%
KBC Bank NV 4.4%
Suntrust Bank 4.4%
US Bank NA 8.3%
Wachovia Bank NA 4.4%
FRMC 7.0%
JPMorganChase Bank 9.7%
Natexis Banques Populaires 9.7%
Regions Bank 9.7%
Suntrust Bank 4.6%
MBIA 9.7%
LaSalle Bank, NA 7.8%
M&I Bank 4.8%
US Bank NA 7.8%
Wells Fargo Bank NA 4.2%
Westdeutsche Landesbank AG 7.7%
MBIA 3.7%
</Table>
* Some securities may be backed by both a line of credit and bond insurance.
36
<Page>
(5) COMPOSITION OF NET ASSETS
At November 30, 2004, the composition of each Fund's net assets was as
follows:
<Table>
<Caption>
INTERSTATE CALIFORNIA CONNECTICUT FLORIDA MASSACHUSETTS
FUND FUND FUND FUND FUND
-------------- -------------- -------------- -------------- --------------
Par Value $ 880,971 $ 94,212 $ 18,944 $ 43,786 $ 15,611
Additional-Paid-in-Capital 880,090,350 94,117,866 18,924,807 43,742,088 15,595,172
-------------- -------------- -------------- -------------- --------------
Net Assets $ 880,971,321 $ 94,212,078 $ 18,943,751 $ 43,785,874 $ 15,610,783
============== ============== ============== ============== ==============
</Table>
<Table>
<Caption>
MICHIGAN NEW JERSEY OHIO PENNSYLVANIA VIRGINIA
FUND FUND FUND FUND FUND
-------------- -------------- -------------- -------------- --------------
Par Value $ 8,773 $ 50,091 $ 12,107 $ 42,789 $ 11,408
Additional-Paid-in-Capital 8,764,571 50,041,050 12,095,067 42,745,884 11,396,826
-------------- -------------- -------------- -------------- --------------
Net Assets $ 8,773,344 $ 50,091,141 $ 12,107,174 $ 42,788,673 $ 11,408,234
============== ============== ============== ============== ==============
</Table>
<Table>
<Caption>
NEW YORK LOUISIANA MINNESOTA
FUND FUND FUND
-------------- -------------- --------------
Par Value $ 175,610 $ 22 $ 94
Additional-Paid-in-Capital 175,434,160 216,428 942,572
-------------- -------------- --------------
Net Assets $ 175,609,770 $ 216,450 $ 942,666
============== ============== ==============
</Table>
The tax basis of each Fund's assets is the same as the basis for financial
reporting at November 30, 2004.
(6) CAPITAL SHARE TRANSACTIONS:
For the six months ended November 30, 2004 and the year ended May 31, 2004,
the capital share transactions of each class of the Interstate Tax-Exempt
Fund, each at a net asset value of $1 per share, were as follows:
<Table>
<Caption>
OCTOBER 1, OCTOBER 1,
SIX MONTHS ENDED NOVEMBER 30, 2004 2004 * 2004 *
---------------------------------- TO NOVEMBER 30, TO NOVEMBER 30,
TREASURER'S 2004 2004
CLASS R TRUST CLASS 75 CLASS 70
-------------- -------------- -------------- ---------------
Sold 516,505,158 85,724,970 100 29,507,620
Reinvested 453,609 76,644 -- 6,615
Redeemed (519,579,967) (79,571,265) -- (27,803,669)
-------------- -------------- -------------- ---------------
Net Increase (Decrease) (2,621,200) 6,230,349 100 1,710,566
============== ============== ============== ===============
</Table>
<Table>
<Caption>
SIX MONTHS ENDED NOVEMBER 30, 2004
-----------------------------------------------------------------
CLASS 45 CLASS 25 CLASS 15 CLASS 8
-------------- -------------- -------------- --------------
Sold 4 16,152,191 0 2,204,897,996
Reinvested 42 85,072 587 2,853,445
Redeemed (5) (16,095,799) (0) (1,720,508,584)
-------------- -------------- -------------- --------------
Net Increase (Decrease) 41 141,465 587 487,242,857
============== ============== ============== ==============
</Table>
37
<Page>
<Table>
<Caption>
YEAR ENDED MAY 31, 2004
-----------------------------------------------------------------
TREASURER'S
CLASS R TRUST CLASS 45 CLASS 25
-------------- -------------- -------------- --------------
Sold 956,117,978 204,132,027 10,000 42,163,525
Reinvested 265,314 96,414 45 127,864
Redeemed (953,227,161) (210,879,759) -- (44,215,837)
-------------- -------------- -------------- --------------
Net Increase (Decrease) 3,156,131 (6,651,318) 10,045 (1,924,448)
============== ============== ============== ==============
</Table>
<Table>
<Caption>
YEAR ENDED MAY 31, 2004
-------------------------------
CLASS 15 CLASS 8
-------------- --------------
Sold 2 522,753,544
Reinvested 857 437,118
Redeemed -- (457,090,828)
-------------- --------------
Net Increase (Decrease) 859 66,099,834
============== ==============
</Table>
- ----------
* Commencement of Class operations.
38
<Page>
(7) FINANCIAL HIGHLIGHTS:
Contained below is per share operating performance data for a share of
beneficial interest outstanding for each of the periods as indicated.
<Table>
<Caption>
CLASS R
---------------------------------------------------------------------------
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, -------------------------------------------------------------
2004 2004 2003 2002 2001 2000
--------- --------- --------- --------- --------- ---------
INTERSTATE TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- --------- --------- --------- ---------
Net investment income 0.0016 0.0010 0.0034 0.0108 0.0289 0.0267
Dividends from net investment income (0.0016) (0.0010) (0.0034) (0.0108) (0.0289) (0.0267)
--------- --------- --------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= ========= ========= ========= =========
Total Return 0.16% 0.10% 0.34% 1.09% 2.95% 2.67%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 280.9 $ 283.5 $ 280.4 $ 295.7 $ 296.2 $ 271.9
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.01% 1.01% 1.00%
Ratio of net investment income to average
net assets 0.31%(a) 0.00% 0.32% 1.08% 2.89% 2.60%
Ratio of expenses to average net assets net of
fee waivers 0.99%(a) 0.90% 0.99% 1.01% 1.01% 1.00%
Ratio of net investment income to average net
assets net of fee waivers 0.32%(a) 0.10% 0.33% 1.08% 2.89% 2.60%
</Table>
<Table>
<Caption>
TREASURER'S TRUST
CLASS 70 CLASS 75 -----------------------------------------------------------
--------- --------- SIX
AUG. 16, SEPT. 23, MONTHS YEAR YEAR YEAR APRIL 17,
2004* TO 2004* TO ENDED ENDED ENDED ENDED 2002* TO
NOV. 30, NOV. 30, NOV. 30, MAY 31, MAY 31, MAY 31, MAY 31,
2004 2004 2004 2004 2003 2002 2001
--------- --------- --------- --------- --------- --------- ---------
Net asset value at
beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- --------- --------- --------- --------- ---------
Net investment income 0.0016 0.0016 0.0037 0.0040 0.0074 0.0149 0.0002
Dividends from net
investment income (0.0016) (0.0016) (0.0037) (0.0040) (0.0074) (0.0149) (0.0002)
--------- --------- --------- --------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= ========= ========= ========= ========= =========
Total Return 0.16% 0.16% 0.36% 0.40% 0.74% 1.50% 0.02%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period
(millions) $ 1.7 $ 0.0 $ 28.8 $ 22.5 $ 29.2 $ 20.5 $ 85.4
Ratio of expenses to average
net assets 0.90%(a) 0.00%(a) 0.60%(a) 0.60% 0.60% 0.61% 0.60%(a)
Ratio of net investment income
to average net assets 0.96%(a) 0.59%(a) 0.74%(a) 0.37% 0.71% 1.59% 2.56%(a)
</Table>
39
<Page>
<Table>
<Caption>
CLASS 45 CLASS 25
------------------------- ----------------------------------------------------------
SIX SIX
MONTHS AUGUST 7, MONTHS YEAR YEAR YEAR MAY 29,
ENDED 2003* TO ENDED ENDED ENDED ENDED 2001* TO
NOV. 30, MAY 31, NOV. 30, MAY 31, MAY 31, MAY 31, MAY 31,
2004 2004 2004 2004 2003 2002 2001
---------- ---------- ---------- ---------- --------- --------- ---------
Net asset value at beginning
of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
---------- ---------- ---------- ---------- --------- --------- ---------
Net investment income 0.0042 0.0044 0.0053 0.0075 0.0109 0.0184 0.0002
Dividends from net investment
income (0.0042) (0.0044) (0.0053) (0.0075) (0.0109) (0.0184) (0.0002)
---------- ---------- ---------- ---------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========== ========== ========== ========== ========= ========= =========
Total Return 0.42% 0.45% 0.53% 0.75% 1.09% 1.86% 0.02%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period
(millions) $ -- $ -- $ 16.0 $ 15.9 $ 17.8 $ 16.3 $ 45.7
Ratio of expenses to average
net assets 0.45%(a) 0.44%(a) 0.25%(a) 0.25% 0.25% 0.26% 0.25%(a)
Ratio of net investment income
to average net assets 0.84%(a) 0.55%(a) 1.06%(a) 0.74% 1.07% 1.96% 2.91%(a)
</Table>
<Table>
<Caption>
CLASS 15 CLASS 8
------------------------------------- -------------------------------------
SIX SIX
MONTHS YEAR JANUARY 13, MONTHS YEAR JANUARY 13,
ENDED ENDED 2003* TO ENDED ENDED 2003* TO
NOV. 30, MAY 31, MAY 31, NOV. 30, MAY 31, MAY 31,
2004 2004 2003 2004 2004 2003
--------- --------- ----------- ---------- --------- -----------
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- ----------- ---------- --------- -----------
Net investment income 0.0058 0.0085 0.0039 0.0062 0.0092 0.0042
Dividends from net investment income (0.0058) (0.0085) (0.0039) (0.0062) (0.0092) (0.0042)
--------- --------- ----------- ---------- --------- -----------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= =========== ========== ========= ===========
Total Return 0.58% 0.86% 0.39% 0.62% 0.93% 0.42%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 0.1 $ 0.1 $ 0.1 $ 553.4 $ 66.2 $ 0.1
Ratio of expenses to average net assets 0.15%(a) 0.15% 0.15%(a) 0.08%(a) 0.08% 0.08%(a)
Ratio of net investment income to average
net assets 1.15%(a) 0.85% 1.03%(a) 1.34%(a) 0.92% 1.10%(a)
</Table>
40
<Page>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, --------------------------------------------------------------
2004 2004 2003 2002 2001 2000
---------- ---------- ---------- ---------- ---------- ----------
NEW YORK TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
---------- ---------- ---------- ---------- ---------- ----------
Net investment income 0.0016 0.0006 0.0034 0.0095 0.0281 0.0258
Dividends from net investment income (0.0016) (0.0006) (0.0034) (0.0095) (0.0281) (0.0258)
---------- ---------- ---------- ---------- ---------- ----------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========== ========== ========== ========== ========== ==========
Total Return 0.16% 0.06% 0.34% 0.95% 2.87% 2.58%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 175.6 $ 172.6 $ 228.4 $ 234.4 $ 281.6 $ 228.4
Ratio of expenses to average net assets 1.00%(a) 1.02% 1.00% 1.01% 1.01% 1.00%
Ratio of net investment income (loss) to
average net assets 0.31%(a) (0.07)% 0.33% 0.94% 2.81% 2.55%
Ratio of expenses to average net assets net of
fee waivers 0.99%(a) 0.89% 0.99% 1.01% 1.01% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.32%(a) 0.06% 0.34% 0.94% 2.81% 2.55%
</Table>
41
<Page>
<Table>
<Caption>
SIX
MONTHS JULY 2,
ENDED YEARS ENDED MAY 31, 1999* TO
NOV. 30, ----------------------------------------------- MAY 31,
2004 2004 2003 2002 2001 2000
--------- --------- --------- --------- --------- ---------
CALIFORNIA TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- --------- --------- --------- ---------
Net investment income 0.0015 0.0006 0.0033 0.0098 0.0236 0.0208
Dividends from net investment income (0.0015) (0.0006) (0.0033) (0.0098) (0.0236) (0.0208)
--------- --------- --------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= ========= ========= ========= =========
Total Return 0.15% 0.06% 0.33% 0.98% 2.42% 2.27%(a)
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 94.2 $ 101.2 $ 109.0 $ 109.3 $ 136.2 $ 91.4
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.01% 1.00% 1.00%(a)
Ratio of net investment income (loss) to
average net assets 0.28%(a) (0.05)% 0.31% 1.00% 2.36% 2.27%(a)
Ratio of expenses to average net assets net of
fee waivers 0.98%(a) 0.89% 0.99% 1.01% 1.00% 0.96%(a)
Ratio of net investment income to average
net assets net of fee waivers 0.30%(a) 0.06% 0.32% 1.00% 2.36% 2.31%(a)
</Table>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, -------------------------------------------------------------
2004 2004 2003 2002 2001 2000
--------- --------- --------- --------- --------- ---------
CONNECTICUT TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- --------- --------- --------- ---------
Net investment income 0.0015 0.0006 0.0025 0.0092 0.0273 0.0248
Dividends from net investment income (0.0015) (0.0006) (0.0025) (0.0092) (0.0273) (0.0248)
--------- --------- --------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= ========= ========= ========= =========
Total Return 0.15% 0.06% 0.25% 0.92% 2.75% 2.48%
RATIOS/SUPPLEMENTAL DATA
Net assets end of year (millions) $ 18.9 $ 21.5 $ 36.4 $ 41.2 $ 40.2 $ 51.1
Ratio of expenses to average net assets 1.01%(a) 1.00% 1.00% 1.01% 1.01% 1.00%
Ratio of net investment income (loss) to
average net assets 0.29%(a) (0.08)% 0.23% 0.92% 2.73% 2.42%
Ratio of expenses to average net assets net of
fee waivers 1.00%(a) 0.86% 0.98% 1.01% 1.01% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.30%(a) 0.06% 0.25% 0.92% 2.73% 2.42%
</Table>
42
<Page>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, -------------------------------------------------------------
2004 2004 2003 2002 2001 2000
--------- --------- --------- --------- --------- ---------
FLORIDA TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- --------- --------- --------- ---------
Net investment income 0.0016 0.0006 0.0036 0.0105 0.0294 0.0272
Dividends from net investment income (0.0016) (0.0006) (0.0036) (0.0105) (0.0294) (0.0272)
--------- --------- --------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= ========= ========= ========= =========
Total Return 0.16% 0.06% 0.36% 1.05% 2.98% 2.72%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 43.8 $ 39.5 $ 45.9 $ 32.1 $ 28.9 $ 28.9
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.00% 1.01% 1.00%
Ratio of net investment income (loss) to
average net assets 0.33%(a) (0.03)% 0.34% 0.99% 2.94% 2.68%
Ratio of expenses to average net assets net of
fee waivers 1.00%(a) 0.91% 0.99% 1.00% 1.01% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.33%(a) 0.06% 0.35% 0.99% 2.94% 2.68%
</Table>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, -------------------------------------------------------------
2004 2004 2003 2002 2001 2000
--------- --------- --------- --------- --------- ---------
MASSACHUSETTS TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
--------- --------- --------- --------- --------- ---------
Net investment income 0.0015 0.0006 0.0030 0.0099 0.0279 0.0256
Dividends from net investment income (0.0015) (0.0006) (0.0030) (0.0099) (0.0279) (0.0256)
--------- --------- --------- --------- --------- ---------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
========= ========= ========= ========= ========= =========
Total Return 0.15% 0.06% 0.30% 0.99% 2.85% 2.56%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 15.6 $ 17.8 $ 20.8 $ 21.0 $ 18.8 $ 16.1
Ratio of expenses to average net assets 1.00%(a) 1.01% 1.00% 1.00% 1.00% 1.00%
Ratio of net investment income (loss) to
average net assets 0.29%(a) (0.07)% 0.28% 0.99% 2.79% 2.55%
Ratio of expenses to average net assets net of
fee waivers 1.00%(a) 0.88% 0.98% 1.00% 1.00% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.29%(a) 0.06% 0.30% 0.99% 2.79% 2.55%
</Table>
43
<Page>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, ------------------------------------------------------------
2004 2004 2003 2002 2001 2000
-------- -------- -------- -------- -------- --------
MICHIGAN TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- -------- -------- --------
Net investment income 0.0015 0.0006 0.0029 0.0080 0.0276 0.0263
Dividends from net investment income (0.0015) (0.0006) (0.0029) (0.0080) (0.0276) (0.0263)
-------- -------- -------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ======== ======== ========
Total Return 0.15% 0.06% 0.29% 0.81% 2.83% 2.63%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 8.8 $ 12.1 $ 7.9 $ 8.5 4.8 $ 2.2
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.01% 1.00% 1.00%
Ratio of net investment income (loss) to
average net assets 0.30%(a) (0.03)% 0.27% 0.63% 2.76% 2.60%
Ratio of expenses to average net assets net
of fee waivers 1.00%(a) 0.91% 0.98% 1.00% 1.00% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.30%(a) 0.06% 0.29% 0.64% 2.76% 2.60%
</Table>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, ------------------------------------------------------------
2004 2004 2003 2002 2001 2000
-------- -------- -------- -------- -------- --------
NEW JERSEY TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- -------- -------- --------
Net investment income 0.0015 0.0006 0.0029 0.0101 0.0277 0.0249
Dividends from net investment income (0.0015) (0.0006) (0.0029) (0.0101) (0.0277) (0.0249)
-------- -------- -------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ======== ======== ========
Total Return 0.15% 0.06% 0.29% 1.01% 2.83% 2.49%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 50.1 $ 50.2 $ 56.0 $ 57.5 $ 52.9 $ 44.4
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.01% 1.01% 1.05%
Ratio of net investment income (loss) to
average net assets 0.29%(a) (0.07)% 0.25% 0.94% 2.77% 2.46%
Ratio of expenses to average net assets net
of fee waivers 0.99%(a) 0.87% 0.97% 1.01% 1.01% 1.05%
Ratio of net investment income to average
net assets net of fee waivers 0.30%(a) 0.06% 0.28% 0.94% 2.77% 2.46%
</Table>
44
<Page>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, ------------------------------------------------------------
2004 2004 2003 2002 2001 2000
-------- -------- -------- -------- -------- --------
OHIO TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- -------- -------- --------
Net investment income 0.0017 0.0006 0.0030 0.0082 0.0281 0.0256
Dividends from net investment income (0.0017) (0.0006) (0.0030) (0.0082) (0.0281) (0.0256)
-------- -------- -------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ======== ======== ========
Total Return 0.17% 0.06% 0.30% 0.83% 2.88% 2.56%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 12.1 $ 10.9 $ 10.4 $ 5.7 $ 8.1 $ 8.9
Ratio of expenses to average net assets 1.00%(a) 1.01% 1.00% 1.01% 1.00% 1.00%
Ratio of net investment income (loss) to
average net assets 0.35%(a) (0.03)% 0.28% 0.81% 2.81% 2.95%
Ratio of expenses to average net assets net
of fee waivers 1.00%(a) 0.92% 0.99% 1.01% 1.00% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.35%(a) 0.06% 0.29% 0.81% 2.81% 2.95%
</Table>
<Table>
<Caption>
SIX
MONTHS
ENDED YEARS ENDED MAY 31,
NOV. 30, ------------------------------------------------------------
2004 2004 2003 2002 2001 2000
-------- -------- -------- -------- -------- --------
PENNSYLVANIA TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- -------- -------- --------
Net investment income 0.0017 0.0007 0.0036 0.0097 0.0287 0.0276
Dividends from net investment income (0.0017) (0.0007) (0.0036) (0.0097) (0.0287) (0.0276)
-------- -------- -------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ======== ======== ========
Total Return 0.17% 0.07% 0.36% 0.97% 2.97% 2.76%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 42.8 $ 46.1 $ 40.6 $ 51.5 $ 34.1 $ 21.1
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.01% 1.00% 1.00%
Ratio of net investment income (loss) to
average net assets 0.33%(a) (0.01)% 0.34% 0.89% 2.87% 2.73%
Ratio of expenses to average net assets net
of fee waivers 1.00%(a) 0.93% 1.00% 1.01% 1.00% 1.00%
Ratio of net investment income to average
net assets net of fee waivers 0.33%(a) 0.07% 0.34% 0.89% 2.87% 2.73%
</Table>
45
<Page>
<Table>
<Caption>
SIX
MONTHS MARCH 3,
ENDED YEARS ENDED MAY 31, 2000* TO
NOV. 30, ----------------------------------------------- MAY 31,
2004 2004 2003 2002 2001 2000
-------- -------- -------- -------- -------- --------
VIRGINIA TAX-EXEMPT FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- -------- -------- --------
Net investment income 0.0016 0.0006 0.0025 0.0069 0.0253 0.0075
Dividends from net investment income (0.0016) (0.0006) (0.0025) (0.0069) (0.0253) (0.0075)
-------- -------- -------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ======== ======== ========
Total Return 0.16% 0.06% 0.25% 0.69% 2.77% 3.08%(a)
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 11.4 $ 11.0 $ 11.3 $ 13.0 $ 6.7 $ 2.1
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.01% 1.00% 1.01%(a)
Ratio of net investment income (loss) to
average net assets 0.32%(a) (0.04)% 0.19% 0.58% 2.53% 3.19%(a)
Ratio of expenses to average net assets net
of fee waivers 0.99%(a) 0.90% 0.95% 0.99% 1.00% 0.97%(a)
Ratio of net investment income to average
net assets net of fee waivers 0.33%(a) 0.06% 0.24% 0.60% 2.53% 3.23%(a)
</Table>
<Table>
<Caption>
SIX
MONTHS APRIL 17
ENDED YEARS ENDED MAY 31, 2002* TO
NOV. 30, --------------------- MAY 31,
2004 2004 2003 2002
-------- -------- -------- --------
LOUISIANA MUNICIPAL MONEY-MARKET FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- --------
Net investment income 0.0014 0.0007 0.0032 0.0014
Dividends from net investment income (0.0014) (0.0007) (0.0032) (0.0014)
-------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ========
Total Return 0.14% 0.07% 0.32% 0.14%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 0.2 $ 0.2 $ 0.1 $ 0.1
Ratio of expenses to average net assets 1.00%(a) 1.00% 1.00% 1.04%(a)
Ratio of net investment income (loss) to average net assets 0.24%(a) (0.30)% (0.11)% 0.36%(a)
Ratio of expenses to average net assets net of fee waivers 0.98%(a) 0.64% 0.57% 0.00%(a)
Ratio of net investment income to average net assets net of 0.26%(a) 0.06% 0.32% 1.15%(a)
fee waivers
</Table>
46
<Page>
<Table>
<Caption>
SIX
MONTHS APRIL 17
ENDED YEARS ENDED MAY 31, 2002* TO
NOV. 30, --------------------- MAY 31,
2004 2004 2003 2002
-------- -------- -------- --------
MINNESOTA MUNICIPAL MONEY-MARKET FUND
Net asset value at beginning of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
-------- -------- -------- --------
Net investment income 0.0014 0.0006 0.0044 0.0017
Dividends from net investment income (0.0014) (0.0006) (0.0044) (0.0017)
-------- -------- -------- --------
Net asset value at end of period $ 1.0000 $ 1.0000 $ 1.0000 $ 1.0000
======== ======== ======== ========
Total Return 0.14% 0.06% 0.44% 0.17%
RATIOS/SUPPLEMENTAL DATA
Net assets end of period (millions) $ 0.9 $ 0.6 $ 0.2 $ 0.1
Ratio of expenses to average net assets 1.00%(a) 1.01% 1.00% 1.04%(a)
Ratio of net investment income (loss) to average net assets 0.27%(a) (0.17)% 0.12% 0.36%(a)
Ratio of expenses to average net assets net of fee waivers 0.98%(a) 0.78% 0.69% 0.00%(a)
Ratio of net investment income to average net assets net of 0.28%(a) 0.06% 0.43% 1.40%(a)
fee waivers
</Table>
- ----------
* Inception of Class Operations.
(a) Annualized.
47
<Page>
EXPENSE EXAMPLE
As a shareholder of a Fund, you incur two types of costs: (1)
transaction/redemption fees; and (2) ongoing costs, including management fees;
distribution and/or service (12b-1) fees; and other Fund expenses. This Example
is intended to help you understand your ongoing costs (in dollars) of investing
in a Fund and to compare these costs with the ongoing costs of investing in
other mutual funds.
The Example is based on an investment of $1,000 invested at June 1, 2004 and
held for the entire period ending November 30, 2004.
ACTUAL EXPENSES
The first line of the table below provides information about actual account
values and actual expenses. You may use the information in this line, together
with the amount you invested, to estimate the expenses that you paid over the
period. Simply divide your account value by $1,000 (for example, an $8,600
account value divided by $1,000 = 8.6), then multiply the result by the number
in the first line under the heading entitled "Expenses Paid During Period" to
estimate the expenses you paid on your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The second line of the table below provides information about hypothetical
account values and hypothetical expenses based on each Fund's actual expense
ratio and an assumed rate of return of 5% per year before expenses, which is not
the actual return for any of the Funds. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in each Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your
ongoing costs only and do not reflect any transactional costs, such as sales
charges (loads), redemption fees, or exchange fees. Therefore, the second line
of the table is useful in comparing ongoing costs only, and will not help you
determine the relative total costs of owning different funds. In addition, if
these transactional costs were included, your costs would have been higher.
<Table>
<Caption>
BEGINNING ACCOUNT VALUE ENDING ACCOUNT VALUE
JUNE 1, 2004 NOVEMBER 30, 2004 EXPENSES PAID DURING PERIOD*
----------------------- ----------------------- ----------------------------
INTERSTATE TAX-EXEMPT CLASS R
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
INTERSTATE TAX-EXEMPT TREASURER'S TRUST
Actual $ 1,000.00 $ 997.00 $ 3.00
Hypothetical $ 1,000.00 $ 1,022.00 $ 3.03
* Expenses are equal to the Fund's annualized expense ratio of 0.60%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
INTERSTATE TAX-EXEMPT CLASS 75
Actual $ 1,000.00 $ 996.25 $ 3.75
Hypothetical $ 1,000.00 $ 1,021.25 $ 3.79
* Expenses are equal to the Fund's annualized expense ratio of 0.75%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
INTERSTATE TAX-EXEMPT CLASS 70
Actual $ 1,000.00 $ 1,000.00 $ 0.00
Hypothetical $ 1,000.00 $ 1,025.00 $ 0.00
* Expenses are equal to the Fund's annualized expense ratio of 0.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
</Table>
48
<Page>
<Table>
<Caption>
BEGINNING ACCOUNT VALUE ENDING ACCOUNT VALUE
JUNE 1, 2004 NOVEMBER 30, 2004 EXPENSES PAID DURING PERIOD*
----------------------- ----------------------- ----------------------------
INTERSTATE TAX-EXEMPT CLASS 45
Actual $ 1,000.00 $ 997.75 $ 2.25
Hypothetical $ 1,000.00 $ 1,022.75 $ 2.28
* Expenses are equal to the Fund's annualized expense ratio of 0.45%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
INTERSTATE TAX-EXEMPT CLASS 25
Actual $ 1,000.00 $ 998.75 $ 1.25
Hypothetical $ 1,000.00 $ 1,023.75 $ 1.26
* Expenses are equal to the Fund's annualized expense ratio of 0.25%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
INTERSTATE TAX-EXEMPT CLASS 15
Actual $ 1,000.00 $ 999.25 $ 0.75
Hypothetical $ 1,000.00 $ 1,024.25 $ 0.76
* Expenses are equal to the Fund's annualized expense ratio of 0.15%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
INTERSTATE TAX-EXEMPT CLASS 8
Actual $ 1,000.00 $ 999.60 $ 0.40
Hypothetical $ 1,000.00 $ 1,024.60 $ 0.40
* Expenses are equal to the Fund's annualized expense ratio of 0.08%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
CALIFORNIA TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
CONNECTICUT TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
FLORIDA TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
MASSACHUSETTS TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
MICHIGAN TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
</Table>
49
<Page>
<Table>
<Caption>
BEGINNING ACCOUNT VALUE ENDING ACCOUNT VALUE
JUNE 1, 2004 NOVEMBER 30, 2004 EXPENSES PAID DURING PERIOD*
----------------------- ----------------------- ----------------------------
NEW JERSEY TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
OHIO TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
PENNSYLVANIA TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
VIRGINIA TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
NEW YORK TAX-EXEMPT
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
LOUISIANA MUNICIPAL MONEY-MARKET FUND
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
MINNESOTA MUNICIPAL MONEY-MARKET FUND
Actual $ 1,000.00 $ 995.00 $ 5.00
Hypothetical $ 1,000.00 $ 1,020.00 $ 5.05
* Expenses are equal to the Fund's annualized expense ratio of 1.00%,
multiplied by the average account value over the period, multiplied by
183/366 (to reflect the one-half year period).
</Table>
50
<Page>
AVAILABILITY OF PROXY VOTING INFORMATION
The day-to-day investment management decisions of each Fund are the
responsibility of that Fund's investment adviser, RMCI. RMCI is primarily
responsible for determining how to vote proxies with respect to companies in
which the respective Fund invests and for the ongoing review and evaluation of
its own proxy voting policies and corresponding compliance with applicable law.
RMCI's proxy voting policies and procedures, as well as information about how a
particular proxy was voted, may be obtained without charge by calling
800-637-1700 to request a copy or by visiting the SEC's website at www.sec.gov.
Information regarding how each Fund voted proxies relating to portfolio
securities during the 12-month period ended June 30, 2004 is available on the
SEC's website or by calling the toll-free number listed above.
AVAILABILITY OF QUARTERLY PORTFOLIO SCHEDULE
The Funds file a complete schedule of portfolio holdings with the SEC for the
first and third quarters of each fiscal year on Form N-Q. The Forms N-Q are
available on the SEC's website at www.sec.gov and may be reviewed and copied at
the SEC's Public Reference Room in Washington, DC. Information on the operation
of the Public Reference Room may be obtained by calling 1-800-SEC-0330.
51
<Page>
[THE RESERVE FUNDS(R) LOGO]
"The World's First Money-Market Fund"(R)
1250 Broadway, New York, NY 10001-3701
(212) 401-5500
GENERAL INFORMATION AND 24-HOUR YIELD AND BALANCE
INFORMATION
800-637-1700 - www.reservefunds.com
This literature is not authorized for distribution to prospective investors
unless preceded or accompanied by an appropriate current prospectus.
Distributor--Resrv Partners, Inc.
RTET/SEMI-ANNUAL 11/04
<Page>
ITEM 2. CODE OF ETHICS.
Not applicable to semi-annual reports.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to semi-annual reports.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to semi-annual reports.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable
ITEM 6. SCHEDULE OF INVESTMENTS.
Not applicable, as the schedule of investments in securities of unaffiliated
issuers as of the close of the reporting period is included as part of the
report to shareholders filed under Item 1 of this Form.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT
COMPANY AND AFFILIATES.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Not applicable.
<Page>
ITEM 11. CONTROLS AND PROCEDURES.
(a) Based on an evaluation of the disclosure controls and procedures (as
defined in rule 30a-3(c) under the Investment Company Act of 1940, as amended
(the "Act") as of a date within 90 days of the filing of this report, the
Chairman (principal executive officer) and Treasurer (principal financial
officer) of the Registrant have concluded that such disclosure controls and
procedures are effectively designed to ensure that information required to be
disclosed by the Registrant is recorded, processed, summarized and reported
within the required time periods and is accumulated and communicated to the
Registrant's management to allow timely decisions regarding required disclosure.
(b) There has been no change in the Registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred
during the second fiscal quarter of the period covered by this report that has
materially affected, or is reasonably likely to materially affect, the
Registrant's internal control over financial reporting.
ITEM 12. EXHIBITS.
(a) Certification of chief executive officer and chief financial officer
pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 are attached as
Exhibit 99.CERT.
(b) Certification of chief executive officer and chief financial officer
pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 is attached as Exhibit
99.906CERT.
<Page>
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.
Reserve Municipal Money Market Trust
By: /s/ Bruce R. Bent
-----------------
Name: Bruce R. Bent
Title: Chairman and CEO
Date: February 3, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed by the following
persons on behalf of the registrant and in the capacities and on the dates
indicated.
By: /s/ Bruce R. Bent
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Name: Bruce R. Bent
Title: Chairman and CEO
Date: February 3, 2005
By: /s/ Arthur T. Bent III
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Name: Arthur T. Bent III
Title: Treasurer (Principal Financial Officer)
Date: February 3, 2005