Item 1. Report to Shareholders
T. Rowe Price International Equity Index Fund
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April 30, 2004
Certified Semiannual Report
This report is certified under the Sarbanes-Oxley Act of 2002, which requires
that public companies, including mutual funds, affirm that the information
provided in their annual and semiannual shareholder reports fully and fairly
represents their financial position.
T. Rowe Price International Equity Index Fund
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Certified Semiannual Report (Unaudited)
Financial Highlights For a share outstanding throughout each period
6 Months Year 11/30/00
Ended Ended Through
4/30/04 10/31/03 10/31/02 10/31/01
NET ASSET VALUE
Beginning of period $ 8.38 $ 6.68 $ 7.78 $ 10.00
Investment activities
Net investment
income (loss) 0.08 0.13 0.09 0.10
Net realized and
unrealized gain (loss) 0.83 1.67 (1.12) (2.32)
Total from investment
activities 0.91 1.80 (1.03) (2.22)
Distributions
Net investment income (0.13) (0.10) (0.07) -
Net realized gain (0.01) - - -
Total distributions (0.14) (0.10) (0.07) -
NET ASSET VALUE
End of period $ 9.15 $ 8.38 $ 6.68 $ 7.78
---------------------------------------------
Ratios/Supplemental Data
Total return^ 10.95% 27.37% (13.38)% (22.20)%
Ratio of total expenses
to average net assets 0.50%! 0.50% 0.50% 0.50%!
Ratio of net investment income
(loss) to average net assets 2.14%! 2.09% 1.59% 1.51%!
Portfolio turnover rate 58.7%! 39.4% 49.0% 63.1%!
Net assets, end of
period (in thousands) $ 35,480 $ 20,622 $ 12,031 $ 7,502
^ Total return reflects the rate that an investor would have earned on an
investment in the fund during each period, assuming reinvestment of all
distributions.
! Annualized
The accompanying notes are an integral part of these financial statements.
T. Rowe Price International Equity Index Fund
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Certified Semiannual Report (Unaudited) April 30, 2004
Portfolio of Investments (ss.) ++ Shares Value
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(Cost and value in $ 000s)
EUROPE/FAR EAST 2.0%
Common Stocks 2.0%
iShares MSCI EAFE (USD) 5,100 698
Total Europe/Far East (Cost $688) 698
FOREIGN/EUROPE 1.3%
Common Stocks 1.3%
iShares MSCI EMU (USD) 7,800 463
Total Foreign/Europe (Cost $461) 463
FOREIGN/PACIFIC EX-JAPAN 0.3%
Common Stocks 0.3%
iShares Pacific ex-Japan Index (USD) 1,400 101
Total Foreign/Pacific ex-Japan (Cost $104) 101
AUSTRALIA 4.8%
Common Stocks 4.5%
Adelaide Bank 211 1
Adelaide Brighton 521 1
Alinta 508 2
Alumina 4,584 17
Amcor 3,255 16
AMP Limited 7,417 31
Ansell Limited 518 3
APN News & Media 664 2
Aristocrat Leisure 1,877 5
Austereo Group 1,422 1
Australand Property Group 1,505 2
Australia & New Zealand Banking 7,199 96
Australian Foundation Investment 4,047 9
Australian Gas Light 1,794 15
Australian Leisure and Hospitality Group * 1,367 2
Australian Pharmaceutical Industries 883 2
Australian Stock Exchange 401 5
AWB 1,336 5
AXA Asia Pacific 5,289 12
Bank of Queensland 353 3
Bendigo Bank 292 2
BHP Billiton 15,036 124
Billabong International 547 3
Bluescope Steel 2,926 12
Boral 2,413 10
Brambles Industries LTD 3,538 14
Brickworks 406 2
Burns, Philip & Company * 5,903 3
Caltex Australia 618 3
Centro Properties Group, REIT 2,623 7
CFS Gandel Retail Trust 6,139 6
Challenger Financial Services Group * 7,175 3
Coca Cola Amatil 2,119 10
Cochlear Limited 130 2
Coles Myer 4,939 30
Commonwealth Bank of Australia 4,982 112
Computershare 2,413 5
Corporate Express Australia 886 3
CSL 755 12
CSR 3,559 5
Downer EDI 1,133 3
Envestra 2,638 2
Flight Centre 167 2
Foodland Associated 777 10
Foster's Group 7,786 27
Futuris 2,438 3
General Property Trust 7,816 17
Gunns 301 3
GWA International 1,182 2
Harvey Norman 2,608 5
Hills Motorway Group 443 2
Iluka Resources 547 2
Incitec Pivot * 68 1
Insurance Australia Group 6,794 24
James Hardie Industries 1,670 8
John Fairfax 671 2
Leighton Holdings 444 3
Lend Lease 1,640 13
Lion Nathan 1,558 7
Macquarie Airports 1,686 2
Macquarie Bank 805 20
Macquarie Goodman Management * 527 1
Macquarie Infrastructure Group 8,305 16
Mayne Group 3,986 9
Metcash Trading 1,101 2
Minara Resources * 1,346 2
Mirvac 2,885 9
National Australia Bank 6,016 128
National Foods 1,928 6
Newcrest Mining 1,387 11
News Corporation 6,136 56
Novogen Limited * 374 2
Nufarm 614 3
OneSteel 2,008 3
Orica 1,451 15
Origin Energy 2,350 10
Oxiana Limited * 4,625 3
Pacifica Group 329 1
Paperlinx 1,811 6
Patrick Corporation 2,015 7
Perpetual Trust Australia 128 4
Promina Group 4,099 11
Publishing & Broadcasting 547 5
Qantas Airways 2,823 7
QBE Insurance 2,541 21
Rinker Group 3,578 18
Rio Tinto 1,530 36
Rural Press 140 1
Santos 4,453 21
SFE Corporation 514 2
Sigma 529 3
Simsmetal Group 345 3
Smorgon Steel Group 2,081 1
Sonic Healthcare 829 5
Southcorp 3,076 8
Southern Cross Broadcasting 139 1
Spotless Group 493 2
St. George Bank 2,077 30
Stockland 4,814 18
Suncorp Metway 2,138 21
TAB 1,687 6
Tabcorp 1,597 15
Telstra 8,775 30
Ten Network Holdings 923 2
Toll Holdings 1,447 11
Transurban * 1,898 6
UNiTAB 527 3
Virgin Blue Holdings * 1,194 2
Washington H. Soul Pattinson & Company 503 2
Wesfarmers 1,446 30
West Australian Newspapers 151 1
Westfield Holdings 1,627 17
Westfield Trust 8,849 26
Westpac Banking 7,291 92
WMC Resorces 3,768 13
Woodside Petroleum 1,867 22
Woolworths 4,143 35
1,577
Preferred Stocks 0.3%
News Corporation 11,904 101
Rural Press 297 2
103
Total Australia (Cost $1,419) 1,680
AUSTRIA 0.2%
Common Stocks 0.2%
Dest Electrizitas, Class A * 18 3
Erste Bank 162 24
EVN 7 0
Immofinanz Immobilien Anlagen * 1,265 10
OMV 48 9
Telekom Austria * 1,397 20
Wienerberger 267 9
Total Austria (Cost $48) 75
BELGIUM 1.0%
Common Stocks 1.0%
Agfa Gevaert 520 12
Almanij 215 13
CNP 17 2
Colruyt 62 7
Delhaize Group 344 17
Dexia 3,445 56
Electrabel 163 53
Fortis 2,741 59
Groupe Bruxelles Lambert 240 14
Interbrew 649 19
KBC Bank * 336 19
Mobistar * 170 11
RTL Group 161 10
SES Global (1 FDR Represents 1 A share) 893 9
Solvay 144 12
UCB 393 16
Umicore 122 7
Total Belgium (Cost $292) 336
CHINA 0.4%
Common Stocks 0.4%
Brilliance China Automotive (HKD) 6,000 2
China Insurance (HKD) 2,000 1
China Mobile (Hong Kong) (HKD) 23,500 61
China Overseas Land (HKD) 6,000 1
China Resources Enterprise (HKD) 10,000 12
China Unicom (HKD) 12,000 9
Citic Pacific (HKD) 4,000 10
Cnooc (HKD) 50,000 18
Global Bio-chem Technology (HKD) 6,000 4
Global Bio-chem Technology,
Warrants, 5/07 (HKD) * 750 0
Guangzhou Investment Company (HKD) * 10,000 1
Semiconductor Manufacturing International (HKD) * 21,000 5
Shanghai Industrial Holdings (HKD) 14,000 26
TCL (HKD) 4,000 2
TPV Technology (HKD) 2,000 1
Total China (Cost $182) 153
DENMARK 0.6%
Common Stocks 0.6%
A P Moller-Maersk, Series B 4 25
Carlsberg * 27 1
Carlsberg, Series B 111 6
Coloplast 58 5
Danisco 200 9
Danske Bank 2,830 63
Group 4 Falck 187 5
H. Lundbeck 553 11
ISS 139 7
Jyske * 203 11
Novo Nordisk, Series B 943 45
Novozymes, Series B 245 10
TDC 610 21
Vestas Wind Systems * 373 6
William Demant * 113 4
Total Denmark (Cost $205) 229
FINLAND 1.2%
Common Stocks 1.2%
Fortum 2,018 23
Kone 168 10
Metso 490 6
Nokia 19,456 272
Sampo, Series A 1,515 14
Stora Enso 2,652 36
TietoEnator 246 7
UPM-Kymmene 2,125 39
Total Finland (Cost $555) 407
FRANCE 8.9%
Common Stocks 8.9%
Accor 779 33
Air France 700 12
Alcatel * 5,139 76
Arcelor 1,583 26
Assurances Generales de France 206 13
Autoroutes du Sud de la France 240 9
Aventis * 3,175 241
AXA 7,052 147
BNP Paribas 3,614 216
Bouygues 950 32
Cap Gemini * 528 19
Carrefour 2,867 132
Casino Guichard-Perrachon 172 15
Christian Dior 254 16
Ciments Francais 27 2
CNP Assurances 135 8
Compagnie de Saint-Gobain 1,390 70
Credit Agricole 2,677 66
Dassault Systemes 253 10
Essilor International 364 21
Eurazeo * 63 4
France Telecom * 4,857 116
Gecina 132 10
Groupe Danone 533 89
Imerys 27 6
JC Decaux * 275 6
Klepierre 108 7
L'Air Liquide 401 70
L'Oreal 1,365 102
Lafarge 659 55
Lagardere S.C.A. 540 32
LVMH 1,484 104
Michelin 415 19
Natexis Banques Populaires * 31 3
Pernod-Ricard 281 35
Peugeot 725 39
Pinault Printemps Redoute 370 38
Publicis 522 16
Renault 877 65
Rexel 67 3
Sagem 55 6
Sanofi-Synthelabo 1,462 92
Schneider Electric 928 62
Societe BIC 99 4
Societe Generale * 1,746 145
Societe Television Francaise 1 643 20
Sodexho Alliance 462 13
Suez 4,393 87
Thales 416 15
Thomson 1,139 22
Total, Series B 2,616 481
Unibail 185 17
Valeo 305 12
Veolia Environnement 1,209 32
Vinci 343 33
Vivendi Universal * 4,352 109
Wanadoo * 2,259 22
Total France (Cost $2,958) 3,155
GERMANY 6.5%
Common Stocks 6.4%
Adidas-Salomon 166 19
Allianz * 1,531 161
Altana 258 16
AMB 53 4
BASF 2,335 120
Bayer * 2,883 78
Bayerische Hypo-und Vereinsbank * 2,026 35
Beiersdorf, Series A 65 7
BMW 1,223 53
Celesio 98 5
Commerzbank 1,809 31
Continental 596 26
DaimlerChrysler 3,860 172
Degussa 182 6
Deutsche Bank 2,364 194
Deutsche Boerse 446 24
Deutsche Lufthansa 767 12
Deutsche Post 1,778 39
Deutsche Telekom * 12,553 216
E.On 2,751 182
Fresenius Medical Care 137 10
Hannover Reckversicherungs 223 8
Heidelberger Druckmaschinen * 146 5
Heidelberger Zement 158 7
Henkel 213 17
HVB Group * 84 1
Hypo Real Estate * 21 1
Hypo Real Estate (Spin off shares) * 566 15
Infineon Technologies * 2,809 36
Karstadt 344 7
Linde 328 18
MAN 437 16
METRO 626 28
MLP * 436 6
Munich Re 690 74
RWE 1,608 70
SAP 944 142
Schering 798 42
Siemens 3,576 257
Suedzucker * 435 8
T-Online International * 1,443 16
ThyssenKrupp 1,513 26
TUI 564 12
Volkswagen 945 41
2,263
Preferred Stocks 0.1%
Fresenius Medical Care 122 6
Henkel (Non-voting shares) 240 20
Porsche 34 21
47
Total Germany (Cost $2,257) 2,310
GREECE 0.4%
Common Stocks 0.4%
Alpha Bank 787 24
Bank of Piraeus 642 8
Coca-Cola Hellenic Bottling 419 11
Commercial Bank of Greece * 167 5
Cosmote 520 8
EFG Eurobank Ergasias 947 20
Greek Organization of Football Prognostics 660 13
Hellenic Petroleum 322 3
Hellenic Telecommunications Organization 1,473 21
National Bank of Greece 682 20
Public Power 560 14
Titan Cement 110 5
Total Greece (Cost $122) 152
HONG KONG 2.1%
Common Stocks 2.1%
Asia Aluminum Holdings 8,000 1
Asia Satellite Telecommunications 500 1
ASM Pacific Technology 1,500 6
Bank of East Asia 6,000 17
Beijing Enterprises Holdings 2,000 2
BOC Hong Kong 16,000 27
Cafe De Coral 2,000 2
Cathay Pacific Airways 5,000 9
Chaoda Modern Agriculture 2,100 1
Cheung Kong Holdings 7,000 53
Cheung Kong Infrastructure Holdings 4,000 9
China Everbright * 2,000 1
China Merchants Holdings 4,000 5
China National Aviation 4,000 1
China Resources Power Holdings * 4,000 2
China Travel International Investment * 6,000 1
CITIC International Financial * 4,000 2
CLP 7,200 38
CNPC Hong Kong * 10,000 1
COFCO International 2,000 1
Cosco Pacific 4,000 5
Dah Sing Financial 400 3
Dairy Farm International (USD) 4,500 9
Denway Motors * 20,000 9
Esprit Holdings 2,000 8
First Pacific * 6,000 1
Fountain Set Holdings 2,000 1
Giordano 4,000 2
Great Eagle 1,000 1
Guangdong Investment * 4,000 1
Guoco Group 1,000 8
Hang Lung Development 3,000 4
Hang Lung Properties 5,000 7
Hang Seng Bank 3,000 38
Henderson Investor 3,000 4
Henderson Land Development 3,000 13
Hengan International Group 4,000 2
Hong Kong & China Gas 16,930 29
Hong Kong & Shanghai Hotels 5,000 3
Hong Kong Aircraft Engineering 400 2
Hong Kong Electric 6,000 26
Hong Kong Exchanges & Clearing 4,000 8
Hong Kong Land (USD) 6,000 10
Hopewell Highway Infrastructure 3,500 2
Hopewell Holdings 4,000 7
Hung Hing Printing Group 2,000 1
Hutchison Harbour Ring 6,000 1
Hutchison Whampoa 13,000 87
Hysan Development 2,000 3
i-Cable Communication 2,200 1
Industrial & Commercial Bank of China 1,000 1
Interchina Holdings * 10,000 0
International Bank of Asia 2,000 1
iShares MSCI Hong Kong (USD) 3,000 29
Jardine Matheson (USD) 1,200 12
Jardine Strategic (USD) 1,500 8
JCG Holdings 2,000 1
Johnson Electric 5,500 5
Kerry Properties 1,500 2
Kingboard Chemical Holdings 2,000 4
Kowloon Motor Bus Holdings 2,000 10
Legend 16,000 5
Li & Fung 8,000 12
Liu Chong Hing Bank 1,000 1
Mandarin Oriental International (USD) * 6,000 4
MTR 5,000 8
New World Development 8,000 6
Next Media * 2,000 1
NWS Holdings 3,000 4
Oriental Press Group 2,000 1
PCCW Limited * 13,200 9
SCMP Group 6,000 3
Shangri-La Asia 4,000 4
Shenzhen International, REIT 22,500 1
Shenzhen Investment, REIT 2,000 0
Shun Tak Holdings 4,000 2
Sino Land 8,000 5
Skyworth Digital Holdings 6,000 2
Smartone Telecommunications 1,000 1
Sun Hung Kai Properties 7,000 60
Swire Pacific, Series A 3,000 20
Swire Pacific, Series B 7,500 8
Techtronic Industries 3,000 8
Television Broadcast 1,000 5
Texwinca Holdings 2,000 1
Tingyi Holding 6,000 2
Wharf 5,000 14
Wheelock 2,000 2
Wing Hang Bank 500 3
Wing Lung Bank 300 2
Yue Yuen Industrial 5,500 15
Total Hong Kong (Cost $744) 758
IRELAND 0.6%
Common Stocks 0.6%
Allied Irish Banks 3,387 49
Anglo Irish Bank 1,136 19
Bank of Ireland (Dublin Listing) 3,729 45
CRH 2,026 43
DEPFA Bank 125 19
Irish Life & Permanent 1,321 20
Kerry 811 15
Ryanair * 726 4
Total Ireland (Cost $184) 214
ITALY 3.8%
Common Stocks 3.8%
AEM * 2,255 4
Alleanza Assicurazioni 1,703 19
Assicurazioni Generali 5,134 135
Autogrill * 458 7
Banca Antonveneta 997 19
Banca Carige * 1,867 7
Banca Fideuram 1,594 9
Banca Intesa 18,173 60
Banca Lombarda 1,096 14
Banca Monte dei Paschi di Siena 4,414 14
Banca Popolare di Lodi 1,131 10
Banche Poplari Unite * 1,269 21
Banco Popolare di Verona e Novara 1,334 22
Benetton 429 5
BNL * 5,851 13
Bulgari 561 5
Capitalia * 5,940 16
Edison * 5,167 8
Enel 9,430 75
ENI 11,972 242
Fiat * 2,110 15
FinecoGroup * 1,548 8
Finmeccanica 26,384 20
Fondiaria-Sai 344 8
Gruppo Editoriale L'Espresso 831 5
Ifil (Ordinary shares) * 2,055 7
Italcementi 359 4
Italcementi-RNC * 382 3
Luxottica Group 529 9
Mediaset 2,252 25
Mediobanca 1,553 18
Mediolanum 957 6
Pirelli 8,190 8
RAS 1,227 22
RCS MediaGroup * 2,041 8
Saipem 2,550 24
San Paolo IMI 4,335 50
Seat Pagine Gialle 14,880 7
Snam Rete Gas 3,531 16
Telecom Italia * 41,981 134
Telecom Italia Media * 13,105 6
Telecom Italia Mobile * 16,954 96
Telecom Italia-RNC * 22,539 52
UniCredito Italiano 18,430 86
Total Italy (Cost $1,265) 1,342
JAPAN 22.5%
Common Stocks 22.5%
77 Bank 1,000 6
ACOM 400 28
Advantest 300 23
AEON 900 39
AEON Credit Service 100 6
AIFUL 100 10
Aioi Insurance 2,000 9
Aisin Seiki 1,000 18
Ajinomoto 4,000 47
All Nippon Airways 9,000 27
ALPS ELECTRIC 1,000 14
Amada 1,000 6
Asahi Breweries 2,000 22
Asahi Glass 4,000 42
Asahi Kasei 4,000 22
Asatsu-DK 100 3
Bandai 200 5
Bank of Fukuoka 1,000 5
Bank of Kyoto 1,000 6
Bank of Nagoya 2,000 11
Bank of Yokohama 3,000 16
Benesse 300 8
Bridgestone 3,000 51
Brother Industries 1,000 10
C&S 100 2
Canon 4,000 208
Casio Computer 1,000 11
Central Japan Railway 3 24
Chiba Bank 2,000 11
Chubu Electric 2,200 46
Chugai Pharmaceutical 1,900 29
Chugoku Electric Power 800 13
Citizen Watch 1,000 10
Coca-Cola West Japan 100 2
Credit Saison 500 14
CSK 100 4
Dai Nippon Printing 2,000 30
Daido Steel 1,000 2
Daihatsu Motor 1,000 6
Daiichi Pharmaceutical 600 10
Daikin Industries 1,000 23
Daimaru 1,000 9
Dainippon Ink & Chemicals 9,000 22
Dainippon Pharmaceutical 1,000 8
Daishi Bank 1,000 4
Daito Trust Construction 600 20
Daiwa House Industry 2,000 22
Daiwa Securities 5,000 37
Denki Kagaku Kogyo Kabushiki Kaisha 1,000 3
Denso 1,700 36
Dentsu 2 6
Dentsu (New shares) * 2 6
Dowa Mining 1,000 6
East Japan Railway 12 61
Eisai 700 18
FamilyMart 200 6
Fanuc 800 49
Fast Retailing 200 16
Fuji Electric 5,000 13
Fuji Heavy Industries 4,000 19
Fuji Photo Film 2,000 64
Fuji Television Network 1 3
Fuji Television Network (New shares) * 1 3
Fujikura 1,000 5
Fujisawa Pharmaceutical 1,000 23
Fujitsu 5,000 34
Fukuyama Transporting 1,000 5
Furukawa Electric 1,000 4
Futaba 100 3
Gunma Bank 1,000 5
Hachijuni Bank 1,000 6
Hamamatsu Photonics 100 2
Hankyu * 2,000 8
Hankyu Department Stores 1,000 8
Hanshin Electric Railway 1,000 3
Heiwa 700 10
Hirose Electric 100 11
Hiroshima Bank 1,000 4
Hitachi 12,000 84
Hitachi Cable 1,000 5
Hitachi Capital 100 2
Hitachi Chemical 300 5
Hokkaido Electric Power 500 8
Hokkoku Bank 1,000 5
Hokugin Financial Group 15,000 33
Hokuriku Electric Power 500 8
Honda 2,800 112
Hoya 300 32
Hyakujushi Bank 1,000 6
Ibiden 200 3
Isetan 300 4
iShares MSCI Japan (USD) 32,700 332
Ishikawajima Harima Heavy Industries 6,000 9
Isuzu Motors * 1,000 3
Ito 100 4
Ito-Yokado 1,000 41
Itochu * 4,000 17
Itochu Techno-Science 100 4
Iyo Bank 1,000 7
Jafco 100 8
Japan Airlines System * 1,000 3
Japan Tobacco 3 24
JFE Holdings 1,500 33
JGC 1,000 9
Joyo Bank 3,000 12
Jsat 1 3
JSR 1,000 21
Juroku Bank 1,000 4
Kajima 11,000 38
Kamigumi 1,000 7
Kanebo * 1,000 1
Kansai Electric Power 2,800 49
Kansai Paint 1,000 5
Kao 3,000 71
Katokichi 100 2
Kawasaki Heavy Industries 6,000 9
Kawasaki Kisen Kaisha 5,000 21
KDDI 13 78
Keihin Electric Express Railway 1,000 6
Keio Electric Railway 1,000 6
Keyence 100 24
Kikkoman 1,000 8
Kinki Nippon Railways 5,000 18
Kirin Brewery 3,000 30
Kobe Steel 5,000 7
Koei 1,000 34
Komatsu 4,000 23
Komeri 100 3
Konami 200 5
Konica Minolta Holdings 2,000 27
Kubota 2,000 9
Kuraray 1,000 7
Kuraya Sanseido 500 6
Kyocera 700 57
Kyowa Hakko Kogyo 1,000 7
Kyushu Electric Power 1,100 19
Lawson 200 7
Mabuchi Motor 100 7
Makita 1,000 14
Marubeni 6,000 15
Marui 2,000 31
Maruichi Steel Tube 2,000 30
Matsushita Electric Industrial 10,000 146
Matsushita Electric Works 671 6
Mazda Motor 3,000 9
Meitec 100 4
Millea 6 85
Minebea 1,000 5
Mitsubishi 6,000 57
Mitsubishi Chemical 7,000 19
Mitsubishi Electric 7,000 35
Mitsubishi Estate 4,000 47
Mitsubishi Gas Chemical 1,000 4
Mitsubishi Heavy Industries 12,000 33
Mitsubishi Logistics 1,000 9
Mitsubishi Materials 2,000 4
Mitsubishi Rayon 1,000 3
Mitsubishi Securities 1,000 13
Mitsubishi Tokyo Financial 15 132
Mitsui 5,000 41
Mitsui Chemical 2,000 11
Mitsui Engineering & Shipbuilding 3,000 5
Mitsui Fudosan 3,000 33
Mitsui Mining & Smelting 1,000 4
Mitsui O.S.K. Lines 4,000 17
Mitsui Sumitomo Insurance 6,000 56
Mitsui Trust Holdings 2,000 14
Mitsukoshi 1,000 5
Mitsumi Electric 400 4
Mizuho Financial Group 34 160
Mizuho Investors Securities * 2,000 5
Mizuho Trust & Banking 14,000 33
Murata Manufacturing 900 59
Musashino Bank 100 4
Nagoya Railroad 1,000 4
NEC 6,000 47
Net One Systems 1 4
Net One Systems (New shares) * 1 4
NGK Insulators 1,000 7
Nichicon 200 2
Nidec 100 11
Nikko Cordial 6,000 34
Nikon 1,000 12
Nintendo 400 38
Nippon Express 3,000 17
Nippon Meat Packer 1,000 12
Nippon Mining Holdings 3,500 15
Nippon Oil 5,000 27
Nippon Sheet Glass 1,000 3
Nippon Shokubai 1,000 7
Nippon Steel 18,000 37
Nippon Telegraph & Telephone 21 110
Nippon Television Network 10 2
Nippon Unipac 3 15
Nippon Yusen 3,000 12
Nipponkoa Insurance 2,000 12
Nishi-Nippon Bank 1,000 4
Nishi-Nippon Railroad 1,000 3
Nissan Motor 8,900 98
Nissay Dowa General Insurance 1,000 5
Nisshin Seifun Group 1,000 9
Nisshin Steel 2,000 4
Nissin Food Products 400 10
Nitori 50 3
Nitto Denko 500 28
NOK 1,000 38
Nomura Holdings 8,000 129
Nomura Research Institute 100 10
NSK 1,000 5
NTN 1,000 4
NTT Data 6 23
NTT DoCoMo 79 156
Obayashi 1,000 5
Odakyu Electric Railway 2,000 10
Ogaki Kyoritsu Bank 1,000 6
Oji Paper 5,000 31
Oki Electric Industry * 3,000 12
Olympus Optical 1,000 19
Omron 1,000 24
Ono Pharmaceutical 300 13
Onward Kashiyama 1,000 15
Oracle Japan 100 6
Oriental Land 300 19
Orix 300 32
Osaka Gas 5,000 14
Pioneer 500 14
Promise 350 23
Q.P. Corporation 300 3
Resona Holdings * 18,000 36
Ricoh 2,000 40
Rinnai 100 3
Rohm 500 62
Sagami Railway * 1,000 3
Sammy 100 4
Sanken Electric 1,000 13
Sankyo 1,000 18
Sankyo Co. Limited 100 4
Sanyo Electric 5,000 22
Sapporo Breweries 1,000 3
Sapporo Hokuyo 1 6
Secom 500 21
Sega * 400 4
Seibu Railway 1,000 13
Seiko Epson 600 23
Seino Transportation 1,000 10
Seiyu * 1,000 4
Sekisui Chemical 1,000 7
Sekisui House 2,000 21
Seven-Eleven Japan 1,000 34
SFCG 30 6
Sharp 3,000 54
Shikoku Bank 1,000 6
Shikoku Electric Power 500 9
Shima Seiki Manufacturing 100 4
Shimachu 100 3
Shimano 1,500 35
Shimizu 1,000 4
Shin-Etsu Chemical 1,800 72
Shinko Securities 1,000 4
Shinsei Bank 4,000 27
Shionogi & Co. 1,000 16
Shiseido 1,000 12
Shizuoka Bank 2,000 17
Showa Denko 5,000 11
Skylark 100 2
SMC 200 23
Softbank 900 40
Softbank Investment 3 4
Sohgo Security Services 2,100 28
Sompo Japan Insurance 3,000 27
Sony 3,600 138
Square Enix 100 3
Stanley Electric 300 6
Sumisho Computer Systems 1,100 33
Sumitomo 3,000 23
Sumitomo Chemicals 5,000 23
Sumitomo Electric Industries 2,000 18
Sumitomo Forestry 1,000 10
Sumitomo Metal Industries 14,000 17
Sumitomo Metal Mining 2,000 12
Sumitomo Mitsui Financial 17 128
Sumitomo Osaka Cement 3,000 7
Sumitomo Realty & Development 2,000 22
Sumitomo Trust & Banking 5,000 30
Suzuken 120 4
Suzuki Motor 2,000 31
T&D Holdings * 820 33
Taiheiyo Cement 6,000 15
Taisei 3,000 10
Taisho Pharmaceutical 1,000 19
Taiyo Yuden 1,000 17
Takara Holdings 1,000 8
Takashimaya 1,000 12
Takeda Chemical Industries 2,600 104
Takefuji 190 12
Tanabe Seiyaku 1,000 10
TDK 400 28
Teijin 1,000 3
TEPCO 3,900 84
Terumo 700 15
The Chugoku Bank 1,000 10
THK 300 6
Tobu Railway 3,000 13
Toho 600 9
Toho Gas 1,000 3
Tohoku Electric Power 1,200 19
Tokyo Electron 500 30
Tokyo Gas 7,000 26
Tokyo Style 1,000 11
Tokyu 4,000 20
Tonen General Sekiyu 1,000 8
Toppan Forms 100 1
Toppan Printing 3,000 35
Toray Industries 3,000 14
Toshiba 11,000 50
Tosoh 1,000 4
Tostem Inax Holding 1,000 19
Toto 1,000 11
Toyo Seikan Kaisha 1,000 18
Toyobo 3,000 6
Toyoda Gosei 1,100 30
Toyota Industries 500 11
Toyota Motor 10,800 389
Toyota Tsusho 1,000 10
Trend Micro 500 19
TV Asahi 1 2
Ube Industries 3,000 5
UFJ Holdings 15 92
UFJ Tsubasa Securities 1,000 5
Uni-Charm 100 5
Uny 1,000 12
Ushio 1,000 19
USS 50 4
Vodafone Holdings K.K. 3 7
West Japan Railway 6 23
World Company 100 3
Yahoo Japan * 2 22
Yahoo Japan (New shares) * 2 22
Yakult Honsha 1,000 15
Yamada Denki 200 7
Yamaha 500 9
Yamaha Motor 1,000 14
Yamanouchi Pharmaceutical 1,300 43
Yamato Transport 2,000 30
YASKAWA Electric * 1,000 8
Yokogawa Electric 1,000 13
Yoshinoya D&C 1 2
Total Japan (Cost $7,173) 7,996
NETHERLANDS 4.7%
Common Stocks 4.7%
ABN Amro 6,549 142
Aegon 6,028 78
Akzo Nobel 1,112 40
ASML * 1,947 31
DSM 321 15
Euronext 599 17
European Aeronautic Defense & Space 1,354 34
Fortis (Unified shares) 2,516 55
Gucci Group * 155 13
Heineken 767 32
Heineken (Class A shares) * 411 15
ING Groep GDS 7,941 169
Koninklijke Numico GDS * 669 18
Philips Electronics 5,286 143
Reed Elsevier 2,959 41
Rodamco Europe, REIT 296 17
Royal Ahold * 6,070 47
Royal Dutch Petroleum 8,461 410
Royal KPN 9,687 70
STMicroelectronics * 2,680 58
TPG 1,455 31
Unilever GDS 2,317 152
VNU 1,008 28
Wolters Kluwer GDS 1,167 20
Total Netherlands (Cost $1,792) 1,676
NEW ZEALAND 0.3%
Common Stocks 0.3%
Air New Zealand * 1,979 1
Auckland International Airport 892 4
Briscoe Group 95 0
Carter Holt Harvey 5,039 7
Contact Energy 1,048 4
Fisher & Paykel Appliances 136 0
Fisher & Paykel Healthcare 197 2
Fletcher Building 1,065 3
Independent Newspapers 6,498 20
Infratil Limited 1,016 2
Kiwi Income Property Trust 6,039 4
NGC Holdings 1,302 2
Port of Tauranga 94 0
Ports of Auckland 30 0
Sanford 733 2
Sky City 2,054 6
Sky Network Television * 136 0
Telecom Corporation of New Zealand 7,565 27
Tower * 2,200 2
Warehouse Group 1,391 4
Westpac Trust Investments 165 2
92
Preferred Stocks 0.0%
Fletcher Challenge Forests * 877 1
1
Total New Zealand (Cost $76) 93
NORWAY 0.4%
Common Stocks 0.4%
DnB Holding 4,062 26
Norsk Hydro 807 47
Norske Skogsindustrier 480 9
Orkla, Series A 895 22
Statoil ASA 1,824 23
Storebrand ASA 817 5
Telenor 3,134 20
Yara International (Spin off shares) * 752 5
Total Norway (Cost $130) 157
PORTUGAL 0.4%
Common Stocks 0.4%
Banco BPI * 2,303 9
Banco Comercial Portugues 9,646 22
Banco Espirito Santo 374 6
Brisa-Auto Estradas de Portugal 1,439 10
CIMPOR 907 5
Electricidade de Portugal 9,040 25
Portugal Telecom 5,061 54
PT Multimedia-Servicos de
Telecomunicacoes e Multimedia 255 6
Total Portugal (Cost $119) 137
SINGAPORE 0.9%
Common Stocks 0.9%
Allgreen Properties 1,000 1
BIL International * 9,500 4
CapitaLand 2,000 2
Capitamall Trust, REIT 2,000 2
Chartered Semiconductor Manufacturing * 3,000 3
China Aviation Oil Singapore Corporation * 1,000 1
City Developments 3,000 11
ComfortDelGro Corporation 7,012 5
Creative Technology 350 4
Datacraft Asia (USD) * 3,000 3
DBS 5,000 42
Elec & Eltek (USD) 1,400 4
Fortune, REIT (HKD) * 2,000 1
Great Eastern 1,000 7
Haw Par 1,103 3
Hong Leong Finance 1,000 2
iShares MSCI Singapore (USD) 2,400 15
Keppel 2,000 8
MobileOne Limited 5,000 4
NatSteel 4,000 5
Neptune Orient Lines 4,000 4
Noble Group 1,000 2
Overseas Chinese Banking 3,000 21
Pacific Century Regional Developments * 3,600 1
Parkway 2,000 1
People's Food Holdings 2,000 1
Sembcorp 2,000 2
Sembcorp Logistics 2,000 2
Sembcorp Marine 7,000 4
Singapore Airlines 2,000 13
Singapore Exchange 4,000 4
Singapore Land 1,000 2
Singapore Post * 6,000 3
Singapore Press 1,000 12
Singapore Technologies Engineering 6,000 7
Singapore Telecommunications 26,000 36
Singapore Telecommunications CUFS
(1 CDR represents 1 ordinary share) (AUD) 1,333 2
SMRT 2,000 1
ST Assembly Test Services * 4,000 4
United Industrial 1,000 0
United Overseas Bank 4,520 36
Venture Manufacturing 1,000 11
Want Want Holdings (USD) 8,000 8
Wing Tai Holdings * 1,000 0
Total Singapore (Cost $284) 304
SPAIN 3.5%
Common Stocks 3.5%
Acciona 93 6
Acerinox 226 12
ACS 454 22
Alba 159 5
Albertis Infraestructuras 1,715 29
Altadis, Series A 1,176 33
Amadeus Global Travel Distribution 1,866 11
Banco Bilbao Vizcaya Argentaria 14,197 186
Banco de Sabadell 1,024 21
Banco Popular Espanol 762 42
Banco Santander Central Hispano 18,654 199
Bankinter 280 10
Cia Espanola de Petroleos 347 11
Endesa 4,119 75
FCC 281 10
Gas Natural 874 21
Grupo Ferrovial 201 8
Iberdrola 3,534 69
Inditex 1,130 24
NH Hoteles * 460 5
Repsol 4,714 99
Telefonica 20,463 302
Terra Networks * 1,811 11
Union Electrica Fenosa 1,171 24
Zardoya Otis 399 8
Total Spain (Cost $1,091) 1,243
SWEDEN 2.4%
Common Stocks 2.4%
Assa Abloy 1,438 17
Atlas Copco, Series A 456 16
Atlas Copco, Series B 244 8
Electrolux, Series B 1,264 25
Electrolux, Rights, 8/04 * 1,264 0
Eniro 686 6
Eniro, Rights, 7/04 * 686 0
ForeningsSparbanken, Series A 1,540 29
Gambro, Series A 995 9
Gambro, Series B 455 4
Hennes & Mauritz, Series B 1,136 28
Holmen, Series B 302 8
Industrivarden, Series A 591 10
Industrivarden, Series C 174 3
Investor, Series A 915 9
Investor, Series B 2,175 22
iShares MSCI Sweden (USD) 4,400 73
LM Ericsson, Series B * 63,381 169
NORDEA 11,560 78
Sandvik 1,042 34
Scania, Series B * 387 12
SEB, Series A 2,625 38
Securitas, Series B 1,353 19
Skandia Forsakrings 4,093 16
Skanska 1,237 10
SKF, Series B 296 10
SKF, Series A 101 4
SSAB Svenskt Stal, Series B 203 3
SSAB Svenskt Stal, Series A 292 5
Svenska Cellulosa 765 30
Svenska Handelsbanken, Series A 2,528 49
Swedish Match 1,791 18
Tele2 AB, Series B * 510 23
TeliaSonera 4,111 17
TeliaSonera (EUR) 1,303 5
Volvo, Series A * 645 21
Volvo, Series B * 1,056 36
Total Sweden (Cost $782) 864
SWITZERLAND 6.9%
Common Stocks 6.9%
ABB * 7,940 44
Adecco * 544 24
Baloise 193 8
Ciba Specialty Chemicals * 246 17
Clariant 924 12
Compagnie Financiere Richemont 2,057 53
Converium Holding 138 7
Credit Suisse Group 4,773 167
Givaudan 29 14
Holcim 545 28
iShares MSCI Switzerland (USD) 5,900 88
Julius Baer * 41 11
Lonza Group 178 9
Nestle 1,572 396
Nobel Biocare Holding * 99 13
Novartis 11,376 504
Pargesa Holdings 12 32
Roche Holding (Bearer shares) 115 17
Roche Holding (Participation certificates) 2,848 298
Schindler Holding 16 5
Schindler Holding (Participation certificates) 20 6
Serono 30 18
Societe Generale de Surveillance 22 12
Swatch (Bearer shares) 123 16
Swatch (Registered shares) 455 12
Swiss Life Holding * 81 11
Swiss Re 1,272 83
Swisscom 97 30
Syngenta 448 36
Synthes-Stratec 17 18
UBS 4,998 353
Zurich Financial Services * 598 94
Total Switzerland (Cost $2,257) 2,436
THAILAND 0.0%
Common Stocks 0.0%
Total Access Communications (USD) * 400 1
Total Thailand (Cost $1) 1
UNITED KINGDOM 23.8%
Common Stocks 23.8%
3i Group 2,434 26
Abbey National 5,646 45
Aegis 3,766 6
Alliance & Leicester 1,868 28
Alliance Trust 186 9
Alliance UniChem 951 10
Allied Domecq 4,367 35
Amvescap 3,207 21
Anglo American 5,978 120
Antofagasta * 242 4
Associated British Foods 1,648 18
Associated British Ports 1,280 10
AstraZeneca 6,827 319
Aviva 9,051 88
AWG * 648 7
Barclays 26,626 239
BBA 1,798 8
BG Group 13,950 80
BHP Billiton PLC 9,846 78
BOC 1,982 32
Boots Group 3,056 33
BP 89,162 768
BPB 1,963 13
Bradford & Bingley 3,369 17
Brambles Industries PLC 2,773 10
British Aerospace 11,770 44
British Airport Authorities 4,228 39
British Airways * 2,031 10
British America Tobacco 6,205 94
British Land 1,843 21
British Sky Broadcast 5,834 69
BT Group 34,560 109
Bunzl 1,598 13
Cable & Wireless * 9,357 20
Cadbury Schweppes 8,560 68
Canary Wharf Group * 2,264 12
Capita 2,539 14
Carnival 836 37
Centrica 17,016 66
Compass 8,398 53
Daily Mail & General Trust 1,141 14
Diageo 12,215 164
Dixons 7,193 20
Electrocomponents 2,235 14
EMAP 895 14
EMI 3,077 14
Enterprise Inns * 1,202 13
Exel 1,190 15
Foreign and Colonial Investment Trust 3,403 11
Friends Provident 6,801 17
Gallaher 2,868 34
GKN 2,809 11
GlaxoSmithKline 24,224 500
GUS 4,030 56
Hammerson 1,084 13
Hanson 2,922 22
Hays 6,777 14
HBOS 15,446 199
HHG * 8,706 7
Hilton Group 5,938 26
HSBC 44,219 632
Imperial Chemical 4,737 18
Imperial Tobacco Group 2,960 65
InterContinental Hotels 2,887 27
International Power * 4,441 11
Invesys * 19,576 7
iShares MSCI United Kingdom (USD) 22,400 349
ITV 16,214 35
ITV (Ordinary shares) * 370 1
J Sainsbury 5,692 28
Jardine Lloyd Thomson Group 556 5
Johnson Matthey 919 15
Kelda Group 1,605 13
Kesa Electricals 2,179 11
Kingfisher 9,135 46
Land Securities 1,849 36
Legal & General Group 25,471 42
Liberty International 1,338 18
Lloyds TSB 22,124 165
Logica 2,889 11
Lonmin 562 10
Man Group 1,200 36
Marks & Spencer 8,812 43
Matalan 423 1
Misys 1,828 7
Mitchells & Butlers 2,033 9
mm02 * 34,706 61
National Grid Group 12,291 93
Next Group 1,026 25
Northern Rock 2,002 26
Old Mutual 17,468 30
Pearson 3,160 37
Peninsular & Oriental Steam Navigation 2,516 10
Persimmon 1,178 14
Premier Farnell 1,471 7
Provident Financial 1,112 14
Prudential 8,381 66
Rank 2,306 13
Reckitt Benckiser 2,815 73
Reed Elsevier (Ordinary shares) 5,014 47
Rentokil Initial 7,188 24
Reuters 5,468 36
Rexam 2,044 17
Rio Tinto (Ordinary shares) 4,248 93
RMC 878 9
Rolls-Royce Group 6,049 25
Rolls-Royce Group, Class B * 302,450 0
Royal & Sun Alliance 11,387 16
Royal Bank of Scotland Group 11,804 353
SABMiller 3,919 43
Sage Group 5,224 16
Schroders 568 6
Schroders (Non-Voting Shares) 434 4
Scottish & Newcastle 3,539 26
Scottish & Southern Energy 3,287 40
Scottish Mortgage Investment Trust 2,117 12
Scottish Power 7,279 49
Severn Trent 1,362 19
Shell Transport & Trading 39,499 272
Shire Pharmaceuticals * 2,021 18
Signet Group 6,913 14
Slough Estates 1,503 12
Smith & Nephew 3,581 36
Smiths 2,108 26
Standard Chartered 4,835 74
Tate & Lyle 2,089 11
Tesco 30,311 133
TI Automotive * 270 0
Tomkins 3,327 16
Travis Perkins 400 10
Trinity Mirror 1,205 13
Unilever (Ordinary shares) 11,637 109
United Business Media 2,023 16
United Utilities 2,352 22
United Utilities, Class A 984 6
Vodafone ADR (USD) 700 17
Vodafone Group 267,941 648
WH Smith 1,394 9
Whitbread 1,093 14
William Morrison Supermarkets 9,983 42
Witan Investment Trust 1,564 8
Wolseley 2,484 36
WPP Group 4,690 46
Xstrata 1,904 21
Total United Kingdom (Cost $8,064) 8,445
SHORT-TERM INVESTMENTS 0.2%
Money Market Funds 0.2%
T. Rowe Price Reserve Investment Fund, 1.09% # 86,221 86
Total Short-Term Investments (Cost $86) 86
SECURITIES LENDING COLLATERAL 9.7%
Money Market Pooled Account 9.7%
Investment in money market pooled account managed
by JP Morgan Chase Bank, London, (USD) 1.06% # 3,458,074 3,458
Total Securities Lending Collateral (Cost $3,458) 3,458
Total Investments in Securities
109.8% of Net Assets (Cost $36,797) $ 38,969
---------
(ss.) Denominated in currency of country of incorporation unless
otherwise noted
++ At April 30, 2004, a substantial number of the fund's international
securities were valued by the T. Rowe Price Valuation Committee,
established by the fund's Board of Directors. See Note 1.
# Seven-day yield
* Non-income producing
ADR American Depository Receipts
AUD Australian dollar
EUR Euro
FDR Fiduciary Depository Receipts
GDS Global Depository Shares
HKD Hong Kong dollar
REIT Real Estate Investment Trust
USD U.S. dollar
The accompanying notes are an integral part of these financial statements.
T. Rowe Price International Equity Index Fund
- --------------------------------------------------------------------------------
Certified Semiannual Report (Unaudited) April 30, 2004
Statement of Assets and Liabilities
- --------------------------------------------------------------------------------
(Amounts in $ 000s except shares and per share amounts)
Assets
Investments in securities, at value (cost $36,797) $ 38,969
Other assets 255
Total assets 39,224
Liabilities
Obligation to return securities lending collateral 3,458
Other liabilities 286
Total liabilities 3,744
NET ASSETS $ 35,480
---------
Net Assets Consist of:
Undistributed net investment income (loss) $ 260
Undistributed net realized gain (loss) (529)
Net unrealized gain (loss) 2,171
Paid-in-capital applicable to 3,877,628 shares of
$0.01 par value capital stock outstanding;
1,000,000,000 shares of the Corporation authorized 33,578
NET ASSETS $ 35,480
---------
NET ASSET VALUE PER SHARE $ 9.15
---------
The accompanying notes are an integral part of these financial statements.
T. Rowe Price International Equity Index Fund
- --------------------------------------------------------------------------------
Certified Semiannual Report (Unaudited)
Statement of Operations
- --------------------------------------------------------------------------------
($ 000s)
6 Months
Ended
4/30/04
Investment Income (Loss)
Income
Dividend (net of foreign taxes of $42) $ 369
Securities lending 6
Total income 375
Investment management and administrative expense 71
Net investment income (loss) 304
Realized and Unrealized Gain (Loss)
Net realized gain (loss)
Securities 1
Foreign currency transactions (9)
Net realized gain (loss) (8)
Change in net unrealized gain (loss)
Securities 1,869
Other assets and liabilities
denominated in foreign currencies (3)
Change in net unrealized gain (loss) 1,866
Net realized and unrealized gain (loss) 1,858
INCREASE (DECREASE) IN NET
ASSETS FROM OPERATIONS $ 2,162
----------
The accompanying notes are an integral part of these financial statements.
T. Rowe Price International Equity Index Fund
- --------------------------------------------------------------------------------
Certified Semiannual Report (Unaudited)
Statement of Changes in Net Assets
- --------------------------------------------------------------------------------
($ 000s)
6 Months Year
Ended Ended
4/30/04 10/31/03
Increase (Decrease) in Net Assets
Operations
Net investment income (loss) $ 304 $ 306
Net realized gain (loss) (8) (79)
Change in net unrealized gain (loss) 1,866 3,692
Increase (decrease) in net assets from operations 2,162 3,919
Distributions to shareholders
Net investment income (338) (174)
Net realized gain (26) -
Decrease in net assets from distributions (364) (174)
Capital share transactions *
Shares sold 15,562 7,951
Distributions reinvested 310 133
Shares redeemed (2,814) (3,239)
Redemption fees 2 1
Increase (decrease) in net assets from capital
share transactions 13,060 4,846
Net Assets
Increase (decrease) during period 14,858 8,591
Beginning of period 20,622 12,031
End of period $ 35,480 $ 20,622
--------- ---------
(Including undistributed net investment income of
$260 at 4/30/04 and $294 at 10/31/03)
*Share information
Shares sold 1,689 1,104
Distributions reinvested 36 20
Shares redeemed (309) (462)
Increase (decrease) in shares outstanding 1,416 662
The accompanying notes are an integral part of these financial statements.
T. Rowe Price International Equity Index Fund
- --------------------------------------------------------------------------------
Certified Semiannual Report (Unaudited) April 30, 2004
Notes to Financial Statements
NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES
T. Rowe Price International Index Fund, Inc. (the corporation) is registered
under the Investment Company Act of 1940 (the 1940 Act). The T. Rowe Price
International Equity Index Fund (the fund), a diversified, open-end management
investment company, is one portfolio established by the corporation and
commenced operations on November 30, 2000. The fund seeks to provide long-term
capital growth, using the FTSE(TM) International Limited Developed ex North
America Index.
The accompanying financial statements were prepared in accordance with
accounting principles generally accepted in the United States of America, which
require the use of estimates made by fund management.
Valuation
The fund values its investments and computes its net asset value per share at
the close of the New York Stock Exchange (NYSE), normally 4 p.m. ET, each day
that the NYSE is open for business. Equity securities listed or regularly traded
on a securities exchange or in the over-the-counter market are valued at the
last quoted sale price or, for certain markets, the official closing price at
the time the valuations are made, except for OTC Bulletin Board securities,
which are valued at the mean of the latest bid and asked prices. A security that
is listed or traded on more than one exchange is valued at the quotation on the
exchange determined to be the primary market for such security. Listed
securities not traded on a particular day are valued at the mean of the latest
bid and asked prices for domestic securities and the last quoted sale price for
international securities.
Investments in mutual funds are valued at the mutual fund's closing net asset
value per share on the day of valuation.
Other investments and those for which the above valuation procedures are
inappropriate or are deemed not to reflect fair value are stated at fair value
as determined in good faith by the T. Rowe Price Valuation Committee,
established by the fund's Board of Directors.
Most foreign markets close before the close of trading on the NYSE. If the fund
determines that developments between the close of a foreign market and the close
of the NYSE will, in its judgment, materially affect the value of some or all of
its portfolio securities, which in turn will affect the fund's share price, the
fund will adjust the previous closing prices to reflect the fair value of
the securities as of the close of the NYSE, as determined in good faith by the
T. Rowe Price Valuation Committee, established by the fund's Board of Directors.
A fund may also fair value securities in other situations, such as when a
particular foreign market is closed but the fund is open. In deciding whether to
make fair value adjustments, the fund reviews a variety of factors, including
developments in foreign markets, the performance of U.S. securities markets, and
the performance of instruments trading in U. S. markets that represent foreign
securities and baskets of foreign securities. The fund uses outside pricing
services to provide it with closing market prices and information used for
adjusting those prices. The fund cannot predict how often it will use closing
prices and how often it will adjust those prices. As a means of evaluating its
fair value process, the fund routinely compares closing market prices, the next
day's opening prices in the same markets, and adjusted prices.
Currency Translation
Assets, including investments, and liabilities denominated in foreign currencies
are translated into U.S. dollar values each day at the prevailing exchange rate,
using the mean of the bid and asked prices of such currencies against U.S.
dollars as quoted by a major bank. Purchases and sales of securities, income,
and expenses are translated into U.S. dollars at the prevailing exchange rate on
the date of the transaction. The effect of changes in foreign currency exchange
rates on realized and unrealized security gains and losses is reflected as a
component of security gains and losses.
Redemption Fees
A 1% fee is assessed on redemptions of fund shares held less than 6 months to
deter short-term trading and protect the interests of long-term shareholders.
Redemption fees are withheld from proceeds that shareholders receive from the
sale or exchange of fund shares. The fees are paid to the fund, and have the
primary effect of increasing paid-in capital.
Investment Transactions, Investment Income, and Distributions
Income and expenses are recorded on the accrual basis. Dividends received from
mutual fund investments are reflected as dividend income; capital gain
distributions are reflected as realized gain/loss. Dividend income and capital
gain distributions are recorded on the ex-dividend date. Investment transactions
are accounted for on the trade date. Realized gains and losses are reported on
the identified cost basis. Distributions to shareholders are recorded on the
ex-dividend date. Income distributions are declared and paid on an annual basis.
Capital gain distributions, if any, are declared and paid by the fund, typically
on an annual basis.
Other
In the normal course of business, the fund enters into contracts that provide
general indemnifications. The fund's maximum exposure under these arrangements
is dependent on claims that may be made against the fund in the future and,
therefore, cannot be estimated; however, based on experience, the risk of
material loss from such claims is considered remote.
NOTE 2 - INVESTMENT TRANSACTIONS
Consistent with its investment objective, the fund engages in the following
practices to manage exposure to certain risks or enhance performance. The
investment objective, policies, program, and risk factors of the fund are
described more fully in the fund's prospectus and Statement of Additional
Information.
Securities Lending
The fund lends its securities to approved brokers to earn additional income. It
receives as collateral cash and U.S. government securities valued at 102% to
105% of the value of the securities on loan. Cash collateral is invested in a
money market pooled account managed by the fund's lending agent in accordance
with investment guidelines approved by fund management. Collateral is maintained
over the life of the loan in an amount not less than the value of loaned
securities, as determined at the close of fund business each day; any additional
collateral required due to changes in security values is delivered to the fund
the next business day. Although risk is mitigated by the collateral, the fund
could experience a delay in recovering its securities and a possible loss of
income or value if the borrower fails to return the securities. Securities
lending revenue recognized by the fund consists of earnings on invested
collateral and borrowing fees, net of any rebates to the borrower and
compensation to the lending agent. At April 30, 2004, the value of loaned
securities was $3,259,000; aggregate collateral consisted of $3,458,000 in the
money market pooled account and U.S. government securities valued at $23,000.
Other
Purchases and sales of portfolio securities, other than short-term securities,
aggregated $21,277,000 and $8,316,000, respectively, for the six months ended
April 30, 2004.
NOTE 3 - FEDERAL INCOME TAXES
No provision for federal income taxes is required since the fund intends to
continue to qualify as a regulated investment company under Subchapter M of the
Internal Revenue Code and distribute to shareholders all of its taxable income
and gains. Federal income tax regulations differ from generally accepted
accounting principles; therefore, distributions determined in accordance with
tax regulations may differ in amount or character from net investment income and
realized gains for financial reporting purposes. Financial reporting records are
adjusted for permanent book/tax differences to reflect tax character. Financial
records are not adjusted for temporary differences. The amount and character of
tax-basis distributions and composition of net assets are finalized at fiscal
year-end; accordingly, tax-basis balances have not been determined as of April
30, 2004.
The fund intends to retain realized gains to the extent of available capital
loss carryforwards. As of October 31, 2003, the fund had $495,000 of unused
capital loss carryforwards, of which $125,000 expire in fiscal 2009, $285,000
expire in fiscal 2010, and $85,000 expire in fiscal 2011.
At April 30, 2004, the cost of investments for federal income tax purposes was
$36,797,000. Net unrealized gain aggregated $2,171,000 at period-end, of which
$3,668,000 related to appreciated investments and $1,497,000 related to
depreciated investments.
NOTE 4 - FOREIGN TAXES
The fund is subject to foreign income taxes imposed by certain countries in
which it invests. Foreign income taxes are accrued by the fund as a reduction of
income.
NOTE 5 - RELATED PARTY TRANSACTIONS
The fund is managed by T. Rowe Price International, Inc. (the manager), a wholly
owned subsidiary of T. Rowe Price Associates, Inc. (Price Associates), which is
wholly owned by T. Rowe Price Group, Inc. The investment management and
administrative agreement between the fund nd the manager provides
for an all-inclusive annual fee equal to 0.50% of the fund's average daily net
assets. The fee is computed daily and paid monthly. The agreement provides that
investment management, shareholder servicing, transfer agency, accounting, and
custody services are provided to the fund, and interest, taxes, brokerage
commissions, directors' fees and expenses, and extraordinary expenses are paid
directly by the fund. At April 30, 2004, $15,000 was payable under the
agreement.
The fund may invest in the T. Rowe Price Reserve Investment Fund and the T. Rowe
Price Government Reserve Investment Fund (collectively, the Reserve Funds),
open-end management investment companies managed by Price Associates. The
Reserve Funds are offered as cash management options to mutual funds, trusts,
and other accounts managed by Price Associates and/or its affiliates, and are
not available for direct purchase by members of the public. The Reserve Funds
pay no investment management fees. During the six months ended April 30, 2004,
dividend income from the Reserve Funds totaled $1,000.
T. Rowe Price International Equity Index Fund
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Certified Semiannual Report
Information on Proxy Voting
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A description of the policies and procedures that the T. Rowe Price
International Equity Index Fund uses to determine how to vote proxies relating
to portfolio securities is available, without charge, upon request by calling
1-800-225-5132. It also appears in the fund's Statement of Additional
Information (Form 485B), which can be found on the SEC's Web site, www.sec.gov.
Item 2. Code of Ethics.
A code of ethics, as defined in Item 2 of Form N-CSR, applicable to its
principal executive officer, principal financial officer, principal accounting
officer or controller, or persons performing similar functions is filed as an
exhibit to the registrant's annual Form N-CSR. No substantive amendments were
approved or waivers were granted to this code of ethics during the registrant's
most recent fiscal half-year.
Item 3. Audit Committee Financial Expert.
Disclosure required in registrant's annual Form N-CSR.
Item 4. Principal Accountant Fees and Services.
Disclosure required in registrant's annual Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Schedule of Investments.
Not applicable. The complete schedule of investments is included in Item 1 of
this Form N-CSR.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies.
Not applicable.
Item 8. Purchases of Equity Securities by Closed-End Management Investment
Company and Affiliated Purchasers.
Not applicable.
Item 9. Submission of Matters to a Vote of Security Holders.
Not applicable.
Item 10. Controls and Procedures.
(a) The registrant's principal executive officer and principal financial officer
have evaluated the registrant's disclosure controls and procedures within 90
days of this filing and have concluded that the registrant's disclosure controls
and procedures were effective, as of that date, in ensuring that information
required to be disclosed by the registrant in this Form N-CSR was recorded,
processed, summarized, and reported timely.
(b) The registrant's principal executive officer and principal financial officer
are aware of no changes in the registrant's internal control over financial
reporting that occurred during the registrant's most recent fiscal half-year
that has materially affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting.
Item 11. Exhibits.
(a)(1) The registrant's code of ethics pursuant to Item 2 of Form N-CSR is filed
with the registrant's annual Form N-CSR.
(2) Separate certifications by the registrant's principal executive officer
and principal financial officer, pursuant to Section 302 of the Sarbanes-Oxley
Act of 2002 and required by Rule 30a-2(a) under the Investment Company Act of
1940, are attached.
(3) Written solicitation to repurchase securities issued by closed-end
companies: not applicable.
(b) A certification by the registrant's principal executive officer and
principal financial officer, pursuant to Section 906 of the Sarbanes-Oxley Act
of 2002 and required by Rule 30a-2(b) under the Investment Company Act of 1940,
is attached.
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.
T. Rowe Price International Index Fund, Inc.
By /s/ James S. Riepe
James S. Riepe
Principal Executive Officer
Date June 15, 2004
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By /s/ James S. Riepe
James S. Riepe
Principal Executive Officer
Date June 15, 2004
By /s/ Joseph A. Carrier
Joseph A. Carrier
Principal Financial Officer
Date June 15, 2004