HomeMy WebLinkAbout1995-01-19 - Agendas - Final FAYETTEVI LLE
*E CITY OF FAYETTEVILLE, ARKANSAS TRACI PAUL, CITY CLERK
TO : Policemen ' s Pension Board Members
FROM : Traci Paul , City Clerk TP
DATE : January 16 , 1995
SUBJECT : Police Pension Board Meeting
The next Police Pension Board Meeting is Thursday , January 19 ,
1995 , at 2 : 30 p . m . , in room 326 of City Hall . Attached , please
find a copy of the agenda for the upcoming meeting , the minutes
from the October 27 , 1994 , meeting , and the pension list for
January , 1995 .
Attachment
c : Mayor Fred Hanna
Eldon Roberts
Dr . James Mashburn
Jerry Friend
Hollis Spencer
113 WEST MOUNTAIN 72701 601 575-8323
f
•
AGENDA
POLICEMEN ' S PENSION AND RELIEF BOARD
January 19 , 1994
2 : 30 p . m .
City Hall Room 326
Approval of the minutes of the October 27 , 1994 meeting
\2 . Old Business
$ . New Business
• O A . Elaine Longer , Longer Investments
B . Mike Kirkland , Dean Witter
4 . Adjournment
G �
o c
• MINUTES OF A POLICE PENSION BOARD MEETING
A meeting of the Police Pension Board was held on October 27 , 1994 ,
at 2 : 30 p . m . in Room 326 of the City Administration Building , 113
W . Mountain , Fayetteville , Arkansas .
PRESENT : Eldon Roberts , Jerry Friend , Clint Hutchens , Mayor Fred
Hanna , City Clerk Traci Paul , City Treasurer Glyndon
Bunton , and Administrative Services Director Ben Mayes ,
ABSENT : Hollis Spencer , Dr . James Mashburn
CALL TO ORDER
The meeting was called to order by Mayor Hanna ,
MINUTES
Roberts , seconded by Hutchens , made a motion to approve the minutes
of the July 21 , 1994 meeting . The motion passed unanimously .
NEW BUSINESS
LONGER INVESTMENTS REPORT
• Elaine Longer , Longer Investments , explained that the bond market
is down . She stated earnings in the stock market are up about 188
year-to-date versus last year . The strong economy that is creating
good earnings is causing higher interest rates . In the past , when
there was a bad stock market , you usually made money on the bond
side . This year bonds are down in price .
We have tried to build flexibility into the portfolios this year .
There is liquidity both in the bond portfolio and the stock
portfolio . There needs to be a more favorable - interest rate
environment . If the interest rate had been raised in September ,
the investment situation might be better . Rates will probably be
raised in November . At that time , maybe the long term interest
rates will stabilize .
Longer stated in the Combined Portfolio , stocks , as a percentage of
the total , are about 44 . 58 . The largest holdings are Emerson
Electric , Philip Morris , General Electric and Bristol Myers .
Philip Morris has increased their dividend by 258 this quarter .
Corporate bonds make up about 118 of the portfolio . The current
yield on the corporate bonds is about 7 . 58 . Treasuries are about
348 . Treasuries and agencies , together , are about 408 . There is
also a CD that matures in a little over a year . The total
portfolio value is approximately $ 3 , 048 , 000 and the current income
on the portfolio is about $ 148 , 000 per year . That has moved the
• overall portfolio income yield up to 58 . The income yield on the
portfolio has come up this year by about 258 .
October 27 , 1994
•
In the Stock Account , 70 % is invested in stocks . The amount in the
Treasuries is considered purchasing power . By the time the two
year that was purchased in June is sold and converted to cash , the
interest income that we have received will do better than if it had
been a money market fund .
The 30 year bond has been rolled to a 10 year maturity . We
realized the loss on the 30 year bond , but we have gold stocks in
the portfolio as an edge against inflation . We just realized a
gain on one of the gold stocks . The two offset each other and
there is no change to realized gains .
In the report that breaks down the .categories of the stocks , 15 . 5%
of the stock portfolio is invested in Large Capitalization Growth
stocks . The Industrial Goods stocks have done well , even in a bad
market . The Value segment of the portfolio shows stocks with a
high asset value or a high dividend yield .
The Bond Fund has $ 1 . 1 million and the current yield on market
value is about 7 . 3 $ .
In the Performance Summary , the stock account , including the bond
reserves , is still off about 5 . 9% with a combined account based on
market value off 5 . 3 $ . There has been improvement since June 30 .
• _ The stock account is up about 2 . 7 % and the total portfolio up about
1 . 6 $ . The bond part of the portfolio , since June 30 , is still off
one tenth of one percent because interest rates have continued to
rise . The bond portfolio has not dropped much because we have so
much in short maturities . On a combined account basis , based on
book value , the interest income , dividend income , and realized gain
year-to-date , are a positive 4 . 6% and then with interest income for
the next two months it will boost up . It will still show a
positive return .
In the indices year-to-date , S & . P is off about 0 . 8 % and the
Salomon Bros . Treasury Index is down 3 . 7 % . We are at about 6 . 5 %
for the year . That is why the bond portfolio is down 4 . 2 % . The
mutual fund index is down about 3 . 5% .
Nothing has really changed with the Portfolio Parameters . The
earnings reports that are coming out are excellent . The
Price/Earnings Multiple on the portfolio is now 'at 18 . 2 times
earnings . The return on equity is 22 . 4 $ . It was 16 . 8 % a year ago .
You have a very high quality portfolio and yet the price/earnings
multiple is in line with the market . The Debt to Capital Ratio is
23 . 2 $ . That compares to 32 % on the S & P 500 . The Standard &
Poor ' s Rating is still between an A and an A- . The quality of the
portfolio is still the same . The market price flucuations are what
give negative return year-to-date . Most of the Large Cap . and Mid
• Cap . companies have a little growth componenent . There is 16 . 9 % in
-Small Cap . stocks . Realized gains year-to-date are about $76 , 000 .
October 27 , 1994
•
The way that the weighted average debt to capital and return on
equity is calculated is that we take every company that is in the
portfolio and look at each one of their specific investment
criteria . Then , weight them by how much they represent within the
account . With increased exposure to some companies , the weighted
average debt to capital is shifted .
On the Portfolio Income and Yield report , the annual income in
fixed income securities only is $ 113 , 019 with a yield of 6 . 8 $ .
That compares to $80 , 000 with a yield of 6 . 0 % at the end of 1993 .
We have gradually increased the allocation and increased the income
yield on the portfolio so that the total portfolio income yield now
is 5 . 0 $ . The income return on the portfolio is up by 24 % .
The Weighted Average Maturity is 6 . 45 years . That has been a
fairly conservative allocation . Weighted Average Duration is 4 . 2 .
The longer you go out on maturities the more volatility you have
with interest rates . The fixed income part of the portfolio
matures within three years . Those bonds can be converted to cash .
In the Stock Portfolio , we have about 15 . 5 % that can be used for
purchasing power . In the Bond Portfolio , there is almost 45 % that
can be used to increase the income yield further .
• In answer to a question from Friend regarding the Income Summary
Statement , Longer stated it was dividends and interest on bonds .
The Economic Outlook presented in July has not really changed . For
1994 , the S & P earnings estimates have now been increased to about
$ 32 . 00 .
On Friday , we will get the first look at what the third quarter GDP
growth rate is . It may have slowed to about 2 . 5 % growth rate in
the first half of the year . That would start to alleviate some of
the pressure on the Bond Market .
In answer to a question presented at the last meeting , Longer
stated she had spoken to Katherine Henshaw regarding the South
Africa Statute . The law is still in effect . The only thing that
can be done about it is perhaps to petition our representatives up
here to change the law in the next legislative session .
DEAN WITTER INVESTMENT REPORT
Mike Kirkland , Dean Witter , stated both accounts are effected by
interest rates . We have run into one of the worst bond market
declines since 1931 .
•
October 27 , 1994
•
The long bond is down 20% in the last twelve months . The Fed Fund
Rate is up 77 % in the last year . The Prime rate is up 30% , the
three month CD rate is up 44 % , thirty year treasury is up 34 % , the
seven year treasury note is up 58 % and the three month T-Bill is up
61% .
The ten year treasury , over the last twelve months , is down about
12 % . Kirkland reviewed the Madison Report which lists what the
bonds have done in the last year .
In updating the portfolio , we are down . The value as of the end of
September is 1 . 47 % . We are down less than a percent for the year .
In reviewing the Portfolio Appraisal , Kirkland stated two
Government Bonds would mature within the next three months . There
is $ 575 , 000 available in the next three months . There is almost
$50 , 000 in the money market fund .
The portfolio positioning is stable right now .
Bunton asked what would happen short term as we get a change and
people start reinvesting in the longer term bonds .
• Kirkland stated they still think there is more on the other side .
Rates may tick up a little more over the next three to six months .
When rates begin to come back down then bond values will go back
up . We might be able to lock in a pretty good yield and get
capital appreciation as rates begin to come back down . That is
what is happening with the bonds now , you have locked in a decent
yield but in the meantime , the bond value has gone down . If you
hold the maturity , your o . k . , but in the meantime , the total return
is going to be flat to down .
Roberts asked if the performances listed on the footnotes page are
just referring to their fund .
Kirkland agreed .
Roberts stated we are in the negative column .
Kirkland stated for this year , yes . On the short term , this may
not look too good . Even as you stagger maturities , you miss out on
some of those 10 % - 12 % years .
Bunton asked which range of the bonds will the turn-around start .
Would eight be the average maturity?
Kirkland stated if we knew for sure , the thirty year would be the
most attractive . The longer the maturity of the bond , the more
• volatile it is going to be .
5
October 27 , 1994
•
The Stock Market has done what the Bond Market has allowed it to
do . In October of 1993 , the S & P 500 was on the index of 460 . As
of the close just in the last few days , it was around 460 . It did
run up . The Dow and the S & P were at all time highs back at the
first of February ,. 1994 . That is when the Fed began to tighten .
The S & P Index went form 482 to 435 in about two months . It has
recouped since then , but since the first of the year the Dow is a
little bit above where it is . , The Equity portion of the account
has done about the same .
Referring to the Comparative Performance Summary of the TCW
Account , Kirkland stated that in - the current quarter section , the
gross return is up about 3 . 3 % and the S & P is up about 5% . In the
year-to-date section , the total portfolio is down about 2 % and the
S & P is up about 1 . 3 % . In the other indices section , the balanced
indices is a 60/ 30/ 10 mix . A couple longer term bonds were really
effected by rates going up . Based on where we were earlier in the
year , it is basically flat . The bond market is a big part of that .
We have got good holdings . We have got to hold on and take the
long term view . We probably will not have the returns like we had
in the 19801s . Rates may come down the first of the year . The
risk there is that since the Fed had tightened this year , it may be
• too much and choke off earnings next year . We may be sitting still
for another quarter or two .
JERRY SURLES - ADDITIONAL BENEFITS
A letter from Jerry Surles , requesting additional benefits , was
distributed .
Roberts stated the request seems legitimate . There was a law
passed that allowed police officers in the old police pension plans
to purchase military time to allow them to retire early . Two years
was the maximum amount of time that could be purchased . The
original intent was to allow a person with 18 years in the Police
Dept , to buy time . Then a law was passed which added $20 per month
to a police officer ' s pension for every year he stays past his
twenty . For example , if a police officer has in twenty years and
is ready to retire , he may buy two more years of military time and
receive an additional $ 40 in benefits per month .
Friend asked if there was a cap?
Roberts stated the years a person can stay after their twenty is
capped at 5 years .
Roberts stated Surles has been retired since about 1986 .
. Hutchins asked if the law was amended in 1991 .
October 27 , 1994
•
Robert stated yes ,
Roberts suggested that the requested be submitted to Jerry Rose for
his review .
In answer to a question from Hutchins , Roberts stated the first
part of the law addresses who can and who can ' t purchase military
service .
In answer to a question from Friend , Roberts stated with Jerry ' s
purchased military time , he would have 22 years , That would be an
additional $40 per month on his pension check . He did not work
here twenty years but he did have some Sheriff ' s Office time , He
did have to pay to use the time from the Sheriff ' s Department .
Roberts stated he retired using the Sheriff ' s Office time on our
pension plan without paying anything into our plan . Since then ,
the Sunset Policy was established . The policy requires anyone who
uses that time now to contribute to the pension plan . Surles
explained in his letter how many months he was short . He did
participate in our plan for twenty years with the 17 months we let
him buy . He would like to buy two more years now .
• In answer to a question from Bunton , Roberts stated others have the
right to ask to buy two more years also , as long as they meet the
criteria .
Friend asked when the law allowing an extra $ 20 per month came into
effect .
Roberts stated the intention was to entice people to stay past
their twenty years . A twenty year program is hard to fund . In the
past , $ 5 extra was given per month for every year a person stayed
over twenty . That was increased to $ 20 . The law was amended
around 1985 , The law that allows military time to be purchased was
passed around 1981 , The Finance Department is looking into what
Jerry Surles may have to pay . He may have to pay about $ 300 to
start drawing the extra $ 40 per month .
In answer to a question from Roberts , Friend stated he had to pay
$268 for his two years . It is very expensive if you buy time
before twenty years .
Bunton stated the original intent was to entice police officers to
work longer than twenty years .
•
October 27 , 1994
e
Roberts stated there are two laws . One law was going to give a guy
$ 20 per month to stay for every year past twenty . The other law is
for purchasing military time . When they are put together , it is
advantageous to purchase the two years of military to get the
additional $20 . A person could buy , two years instead of working
two years .
Bunton stated Surles is asking for equal treatment . Jerry Rose
should review this request and advise the Board .
Friend expressed concern about laws that get turned around .
Hutchins read the law pertaining to increasing benefits for service
beyond twenty years .
Friend , seconded by Hutchins , made a motion to submit the request
to Jerry Rose for his review . The motion passed unanimously .
STATE INSURANCE TURNBACK FUNDS
Administrative Services Director Ben Mayes stated there is about
$ 173 , 000 that the City invested in a treasury . - It is up to about
$ 185 , 000 now . Based on the cash flow situation , $ 160 , 000 of that
money could be sent to Mike or Elaine for investing .
In answer to a question from Roberts , Mayes stated the majority of
the money is the insurance turnback check .
Friend , seconded by Bunton , made a motion to send the money to
Elaine Longer of Longer Investments . The motion passed
unanimously .
ADJOURNMENT
The meeting adjourned at 4 : 00 p . m .
•
POLICE PENSION FUND
JANUARY 1995
EMP# NAME GROSS FED. TAX ST. TAX NET
131 ARNOLD, R D 838.00 838.00
130 BAYLES , DON 760.73 760.73
107 BLACK, JOE P 539.44 539.44
120 BOWEN, J R 342.33 10.00 332.33
139 BRADLEY, RANDALL 1 ,388.45 1 ,388.45
101 BROOKS, BILL 728.22 728.22
109 COOPER, ADRIAN 310.95 310.95
111 DAY, LUCILLE 250.00 250.00
108 DENNIS, WARREN 666.51 666.51
125 FLOWERS, HAROLD 413.39 413.39
140 FOSTER, BILLIE D. 11563.71 100.00 20.00 1 ,443.71
145 HANNA, MARK 1 ,311 .73 120.00 35.00 1 , 156.73
124 HASKINS, RONALD 374.85 374.85
146 HUTCHENS, BERNICE 874.85 130.00 744.85
143 JOHNSON , CHARLES 1 , 176.74 36.70 1 , 140.04
103 JOHNSON , WENDELL 375.30 375.30
118 JONES, BOB 19581 .67 1 ,581 .67
144 KILGORE, DONALD 980.73 19.72 961 .01
129 LAWSON, FORREST 751 .38 50.00 701 .38
114 LITTLE, LOYD F 250.00 250.00
119 LORCH , EARL 315.00 315.00
128 MCCAWLEY, LARRY 812. 19 70.00 742. 19
116 MCCHRISTIAN, MARIE 250.00 250.00
126 MCWHORTER, KAREN 485.02 485.02
136 MITCHELL, MICHAEL 1 , 104.75 150.00 954.75
a 141 MUELLER, ROSEMARY 989. 10 989. 10
112 MURPHY, JAKE 250.00 250.00
137 PERDUE, LARRY 1 , 113.09 100.00 1 ,013.09
132 PHILLIPS, HOMER GENE 843.00 300.00 543.00
105 PRESTON, GEORGE DAVID 767.43 67.43 700.00
135 RICKMAN , LOREN 1 ,069. 19 169.00 20.00 880. 19
104 RIGGINS, RAYMOND C 806.67 100.00 706.67
115 RITCHIE, LIZZIE 250.00 250.00
122 SKELTON , FRANK 398.70 398.70
123 SPENCER, HOLLIS 659.25 50.00 609. 25
121 STOUT, WAYNE 415.25 415.25 .
133 SURLES, JERRY 1 ,304. 17 138.00 1 , 166. 17
142 TAYLOR, DENNIS 989. 10 60.00 15.00 914. 10
106 UPTON, FRANKLIN 506.58 10.00 496.58 -
110 WATTS, BEULAH 250.00 250.00
138 WILLIAMS, BOBBY 1 ,217.07 217.07 1 ,000.00
134 WITT, DON 846.72 64.00 782.72
127 WOOD, PAUL J 757.62 757.62
$31 ,878.88 $ 1 ,905.50 $146.42 $29,826.96
I - I9 - 95'
LONGER
INVESTMENTS
INCORPORATED
City of Fayetteville
.• Police Pension Board Meeting
January 19, 1995
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Combined Account
December 31 , 1994
Unit Total Market Market Pet . Unit Annual Cur.
Quantity Security Cost Cost Price Valu Assets Income Income Yield
. . . . . . . . . . . . . ..... . . . . .. . . . . . . .. . ....'-- _ . . . . . . . . . . . . . . . . . - - - - _ _ . . . . . . . . .. .. . _ . . _ . _ . . . . . """'-'----
COMMON STOCK
10000 A T 8 T 54.25 54,250.00 50.25 500250.00 1 .6 1 .320 11320.00 2.6
1 ,000 Abbott Labs 31 . 10 31 , 100.00 32.62 32,625 .00 1 .0 0.760 760.00 2.3
10000 Allegheny Ludlum 19.62 19,625.00 18.75 18,750.00 0.6 0.480 480.00 2.6
Corp.
18000 American Barrick 12. 16 12, 165.00 22.25 228250.00 0.7 0. 100 100.00 0.4
Resources
500 Amoco 52.25 268125 .00 59. 12 298562.50 0.9 2.200 11100.00 3.7
10000 Briggs 8 Stratton 34.95 34,946.87 32.75 320750.00 1 .0 0.920 920.00 2.8
10000 Bristol Myers Squibb 57.56 578562.50 57.87 578875.00 1 .8 2.960 20960.00 5 . 1
1 ,500 CML Group, Inc . 10.00 158000.00 10. 12 158187.50 0.5 0.080 120.00 0.8
3,400 Catellus Development 7.57 250738.00 5 .87 19,975.00 0.6 0.000 0.00 0.0
1 ,000 Chrysler Corp. 48.87 480875 .00 49.00 490000.00 1 .5 1 .000 1 ,000.00 2.0
1 ,000 Claire's Stores 13.74 13,759.00 12.00 120000.00 0.4 0. 120 120.00 1 .0
725 Diebold, Inc. 30.51 224122.75 41 . 12 294815 .62 0.9 0.880 638.00 2. 1
700 Dovatron 18.91 13,233.53 25 .75 18,025 .00 0.6 0.000 0.00 0.0
International
900 Edwards, A. G. 21 .00 18,900.00 18.00 164200.00 0.5 0.560 504.00 3. 1
10200 Emerson Electric 47.41 56,889.63 62.37 74,850.00 2.3 1 .560 10872.00 2.5
1 ,300 Ethan Allen 25 .08 32,610.00 24.25 31 ,525 .00 1 .0 0.000 0.00 0.0
18000 Fiserv, Inc. 20. 12 208125 .00 21 .50 21 ,500.00 0.7 0.000 0.00 0.0
• 18000 General Electric 42.58 42,582.57 51 .00 518000.00 1 .6 1 .640 16640.00 3.2
18400 Genuine Parts 33.72 47,211 .75 36.00 50,400.00 1 .6 1 . 150 1 ,610.00 3.2
800 Illinois Tool Works 37. 18 29,742.87 43.75 35,000.00 1 . 1 0.600 480.00 1 .4
800 Inco, Ltd. 27.37 21 ,900.00 28.62 22,900.00 0.7 0.400 320.00 1 .4
800 International 22.87 18,300.00 24.25 190400.00 0.6 0.000 0.00 0.0
Rectifier
625 Molex Inc 23. 15 , 14,467.59 34.50 210562.50 0.7 0.040 25 .00 0. 1
900 Motorola, Inc. 49.97 44,975.00 58.00 52,200.00 1 .6 0.280 252.00 0.5
500 Nestle 35. 16 17,582.50 47.62 23,812.50 0.7 1 .450 725.00 3.0
10000 Newbridge Network 33.67 33,667.00 38.25 38,250.00 1 .2 0.000 0.00 0.0
1 ,000 Newell , Co Inc 18.67 18,675.00 21 .00 21 ,000.00 0.7 0.400 400.00 1 .9
1 ,400 NovaCare 12.70 17,775.50 7.25 100150.00 0.3 0.000 0.00 0.0
10500 Philip Morris 54.03 81 ,038.50 57.50 86,250.00 2.7 3.300 40950.00 5 .7
10100 Rollins, Inc. 23.50 25,850.00 23. 12 25,437.50 0.8 0.500 550.00 2. 2
800 Solectron Corp. 25.94 20,750.00 27.50 22,000.00 0.7 0.000 0.00 0.0
10000 Superior Industry 38.54 38,543.75 26.62 260625.00 0.8 0. 180 180.00 0.7
International
1 ,000 Tyson Foods 20.39 20,387. 18 21 .25 21 ,250.00 0.7 0.080 80.00 0.4
16100 USX-U. S. Steel 34.86 386351 .50 35.50 39,050.00 1 .2 1 .000 16100.00 2.8
Group
18000 Werner Enterprises 21 . 13 21 , 130.00 23.75 238750.00 0.7 0. 100 100.00 0.4
600 Worthington 19.87 11 ,925 .00 20.00 12,000.00 0.4 0.400 240.00 2.0
Industries
_ _ ______ . _ ___ . ... ...... _ _ _ . _
1 ,067,863.00 1 , 1340178. 12 35.5 24,546.00 2 .2
1
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Combined Account
• December 31 , 1994
Unit Total Market Market Pet . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Incase Income Yield
___ _ _ _ _ _ _ _ _ __ ___.. . _ . .. . . . . _ _ _ _ __ _______ _ _ _ __ _ _ _ _ _ _ _ __ _ _ _ _ _ __ _ _ _ _ _ _ _ _ _ _ _ _ __ __ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __________ __ _ _ _
CONVERTIBLEPREFERRED
____________________ _
6 Comptronix Ser, A 0.00 0.00 1 .62 9.72 0.0 0.000 0.00 0.0
Com. Pfd.
0.00 9.72 0.0 0.00 0.0
CORPORATE BONDS
.. . . . . . . . . . .. . .
100,000 Philip Morris 100.54 1008543.50 102.06 1028062.50 3.2 9.250 91250.00 9. 1
(Non-callable) Rated
A2/A
9.250% Due 12-01 -97
55,000 Pepsico 99.31 54,618.30 94.28 510854 .69 1 .6 6. 125 30368.75 6.5
(Non-callable) Rated
A/A1
6. 125% Due 01 - 15-98
1400000 Wal -Mart Stores 101 .83 1428565 .75 89.47 125,256.25 3.9 6.500 90100.00 7.3
(Non-callable) Rated
AAI/AA
6.500% Due 06-01 -03
750000 J.P. Morgan 99.90 740925 .75 76.97 57,726.56 1 .8 5 .750 4,312 .50 7.5
• (Non-callable) Rated
AA2/AA+
5.750% Due 10- 15-08
Accrued Interest 30992.95 0. 1
' _ _ _ _ _ _ _ _ __ _ _ _ _ - - - . _ _ . ........ .. . . . . . . . . . . . . . '... .
372,653.30 340,892.95 10.7 26,031 .25 7.7
2
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Combined Accent
December 31 , 1994
Unit Total Market Market Pct . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Intone Income Yield
. . . . ..... . . . . .... . . . . . . ....... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....... . . . . . . .. . . . .. . . . . . . . . . . . --- - -
GOVERNMENT BONDS `
.. . . . . . . . . . . . . . .
200,000 U: S. Treasury Note 99.94 199,884.00 97.84 1958687.50 6. 1 6. 125 12, 250.00 6.3
6. 125% Due 07-31 -96
1000000 U. S. Treasury Note 99.96 99,958.00 99.25 990250.00 3. 1 7.250 70250.00 7.3
7.250% Due 11 -30-96
350,000 U. S. Treasury Note 99.89 349,605.50 99.66 348,796.87 10.9 7.500 26, 250.00 7.5
7.500% Due 12-31 -96
1500000 U. S. Treasury Note 99.94 149,910.50 98.94 148,406.25 4.6 7.375 11 ,062.50 7.5
7.375% Due 11 - 15-97
1000000 U. S. Treasury Note 99.36 99,359.37 95.34 95,343 .75 3.0 6.000 6,000.00 6.3
6.1100% Due 11 -30-97
1000000 U. S. Treasury Note 99.00 99,000.00 100.81 100,812.50 3.2 8.000 80000.00 7.9
8.000% Due 05- 15-01
100, 000 U. S. Treasury Note 101 .50 101 ,500.00 91 .56 91 ,562.50 2.9 6.375 6,375.00 7.0
6.375% Dire 08- 15-02
155,OOo U. S. Treasury Note 98.34 1520425 .98 96.00 1488800.00 4.7 7.250 11 , 237.50 7.6
7.250% Due 05- 15-04
125,Oo0 U. S. Treasury Note 99.55 1248431 .63 81 .25 101 ,562.50 3.2 6.250 7,812.50 7.7
6.250% Due 08- 15-23
Accrued Interest 15,439.72 0.5
............... .......-- - - - - - - - - - - - - ---"-----" -- - - -
1 ,376,074.98 1 ,345,661 .60 42. 1 96,237.50 7.2
OOVERNXENT AGENCY
. . . . . . . .. . . . . . ...
100;000 Fed Home Loan Mortg 100.00 100,000.00 101 .22 101 , 218.75 3.2 9. 150 9, 150.00 9.0
Corp Call 8-8.95 B
100
9. 150% Due 08-08-00
Accrued Interest 3,634.58 0. 1
. . . . . . . . . . . . . ' - . . . .. .. . . . . . . ... . .. _ _ - - - " -----
1oo,o0o.00 104,853.33 3.3 9, 150.00 9.0
CASH AND EQUIVALENTS
_ _ _ _ ______ __ _ _ _ _____
Dividends Accrued 4, 112.25 40112.25 0. 1 0.000 0.00 0.0
Money Market 164,840.25 1640840.25 5 .2 4.940 8, 143. 11 4.9
. . . . . . . . . . . . . . . - - - - - - . . . . . . . . . -- - - - __. _ .
1680952.50 168,952.50 5 .3 88143. 11 4.8
3
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Combined Account
December 31 , 1994
Unit Total Market Market Pct . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Income Income Yield
. . . . . . . . . .. . . . . . .... . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . .. .. ....."' - - - - - . . . . . . ' . . . . . . . . . . . . - - - - -
CERTIFICATE OF DEPOSIT (MONTHLY PYMT . )
. .. . . . . . . . . . . . .. . . . . . ..... . . . . . . . . . . . .
1000000 First USA Bank 100.00 1006000.00 101 .47 1018475 .00 3.2 8.300 8,300 .00 8.2
Wilmington, DE 8.3%
1 -2-96
8.300% Due 01 -02-96
Accrued Interest 668.61 0.0 .
' . . . . . . - -"- - ' - - - - - - - - . . . . . . . . -- - - - '- ------""' ---
1000000.00 102, 143.61 3.2 88300.00 8.2
- - - - - - - - - - - - - - - .. . . . ... . . . . . . . . . . . . ..-
TOTAL PORTFOLIO 3, 185,543.78 30196,691 .84 100.0 172,407.86 5 .4
4
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Stock Account
December 31 , 1994
Unit Total Market Market Pct. Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Income Income Yield
.. . . . . . . . . . . . .. . . . . ...... . . . . . . . . . . . . . . . .. .. ........... ....... ............... . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
COMMON STOCK
• 18000 A T 8 T 54.25 548250.00 50.25 500250.00 2.6 1 .320 1 ,320.00 2.6
1 ,000 Abbott Labs 31 . 10 31 , 100.00 32.62 32,625.00 1 .7 0.760 760.00 2.3
10000 Allegheny LudLum 19.62 19,625 .00 18.75 18,750.00 1 .0 0.480 480.00 2.6
Corp.
1 ,000 American Barrick 12. 16 12, 165 .00 22.25 22,250.00 1 .2 0. 100 100.00 0.4
Resources
500 Amoco 52.25 264125 .00 59. 12 29,562.50 1 .5 2.200 14100.00 3.7
1 ,000 Briggs & Stratton 34.95 34,946.87 32.75 32,750.00 1 .7 0.920 920.00 2.8
1 ,000 Bristol Myers Squibb 57.56 57,562.50 57.87 57,875 .00 3.0 2.960 2,960.00 5 . 1
1 ,500 CML Group, Inc. 10.00 15,000.00 10. 12 15, 187.50 0.8 0.080 120.00 0.8
30400 CateLLus Development 7.57 25,738.00 5 .87 190975.00 1 .0 0.000 0.00 0.0
10000 Chrysler Corp. 48.87 48,875 .00 49.00 49,000.00 2.6 1 .000 10000.00 2.0
10000 Claire' s Stores 13.74 13,739.00 12.00 12,000.00 0.6 0. 120 120.00 1 .0
725 Diebold, Inc. 30.51 22, 122.75 41 . 12 29,815 .62 1 .6 0.880 638.00 2. 1
700 Dovatron 18.91 130233.53 25 .75 180025 .00 0.9 0.000 0.00 0.0
International
900 Edwards, A. G. 21 .00 188900.00 18.00 168200.00 0.8 0.560 504.00 3 . 1
1 ,200 Emerson Electric 47.41 56,889.63 62.37 74,850.00 3.9 1 .560 1 ,872 .00 2.5
10300 Ethan Allen 25 .08 32,610.00 24.25 31 ,525.00 1 .7 0.000 0.00 0.0
10000 Fiserv, Inc. 20. 12 20, 125 .00 21 .50 21 ,500.00 1 . 1 0.000 0.00 0.0
1 ,000 General Electric 42.58 42,582.57 51 .00 51 ,000.00 2.7 1 .640 18640.00 3.2
• 1 ,400 Genuine Parts 33.72 47,211 .75 36.00 50,400.00 2.6 1 . 150 10610.00 3.2
800 Illinois Tool Works 37. 18 29,742.87 43.75 35,000.00 1 .8 0.600 480.00 1 .4
800 Inco, Ltd. 27.37 21 ,900.00 28.62 22,900.00 1 .2 0.400 320.00 1 .4
800 International 22.87 188300.00 24.25 198400.00 1 .0 0.000 0.00 0.0
Rectifier
625 Mo Lex Inc 23. 15 140467.59 34.50 210562.50 1 . 1 0.040 25 .00 0. 1
900 Motorola, Inc. 49.97 44,975.00 58.00 52,200.00 2.7 0.280 252.00 0.5
500 Nestle 35 . 16 17,582.50 47.62 23,812.50 1 .2 1 .450 725.00 3.0
1 ,000 Newbridge Network 33.67 33,667.00 38.25 38,250.00 2.0 0 .000 0.00 0.0
1 ,000 Newell Co Inc 18.67 18,675.00 21 .00 216000.00 1 . 1 0.400 400.00 1 .9
1 ,400 NovaCare 12.70 17,775.50 7.25 10, 150.00 0.5 0.000 0.00 0.0
18500 Philip Morris 54.03 81 ,038.50 57.50 86,250.00 4 .5 3.300 4,950.00 5 .7
1 , 100 Rollins, Inc. 23.50 25,850.00 23. 12 250437.50 1 .3 0.500 550.00 2.2
800 Solectron Corp. 25.94 208750.00 27.50 22,000.00 1 .2 0.000 0.00 0.0
10000 Superior Industry 38.54 38,543.75 26.62 26,625.00 1 .4 0. 180 180.00 0.7
International
10000 Tyson Foods 20.39 200387. 18 21 .25 210250.00 1 . 1 0.080 80.00 0.4
1 , 100 USX-U. S. Steel 34.86 38,351 .50 35 .50 39,050.00 2.0 1 .000 1 , 100.00 2.8
Group
1 ,000 Werner Enterprises 21 . 13 21 , 130.00 23.75 23,750.00 1 .2 0. 100 100.00 0.4
600 Worthington 19.87 11 ,925 .00 20.00 12,000.00 0.6 0.400 240.00 2.0
Industries
............... . . . . . . . . ..
180670863.00 1 , 1348178. 12 59.4 241546.00 2.2
1
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Stock Account
December 31 , 1994
Unit Total Market Market Pet . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Income Incase Yield
. . . . . . . . . . . . . . . .. . . . . .... . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . M . . ' W . . w . . ---..... - - - - - - - - - - - . . . . . . . . . . . . . . . . - -
CONVERTIBLE PREFERRED
. . . . . . . . . . . . . . . . .. . . .
6 Cwptronix Ser. A 0.00 0.00 1 .62 9.72 0. 0 0.000 0.00 0.0
Com. Pfd.
. . . . . . . . . . . . . . . . . . . .. ......... . . . - - . . . . . . . . . . . . . . . . . .
0.00 9.72 0.0 0.00 0.0
GOVERNMENT BONDS
.. . . . . . . . . . . .. ..
250,000 U. S. Treasury Note 99.88 2490707.50 99.66 249, 140.62 13. 1 7.500 18,750.00 7.5
7.500% Due 12-31 -96
50,000 U. S. Treasury Note 99.96 49,978.50 98.94 49,468.75 2.6 7.375 30687.50 7.5
7.375% Due 11 - 15-97
100,000 U. S. Treasury Note 99.36 996359.37 95.34 956343.75 5 .0 6.000 6,000.00 6.3
6.000% Due 11 -30-97
100,000 U. S. Treasury Note 101 .50 101 ,500.00 91 .56 91 ,562.50 4.8 6.375 6,375.00 7.0
6.375% Due 08- 15-02
110,000 U. S. Treasury Note 97.95 1070747.48 96.00 105,600.00 5.5 7.250 7,975.00 7.6
7.250% Due 05-15-04
258000 U. S. Treasury Note 98.41 24,603.50 81 .25 20,312.50 1 . 1 6.250 1 ,562.50 7.7
6.250% Due 08-15-23
Accrued Interest 4,988.82 0.3
'. . ' . . . . . . . . . . . . . . . . . . . . . . . . . . ..... . . . . . . . . . . . . . ....
• 632,896.35 616,416.94 32.3 44,350.00 7.3
CASH AND EQUIVALENTS
............. . . . . . . .
Dividends Accrued 40112.25 4, 112.25 0.2 0.000 0.00 0.0
Money Market 154,012.64 154,012.64 8. 1 4.940 7,608.22 4.9
. . . . . . . . . . . . . . . - - - - - - - - - - - - ' - - ..... " - . . . . . - " ' . " " '
158, 124.89 158, 124 .89 8.3 7,608.22 4.8
. . . . . - - - - - " " ' . . . . . . . . . . .. ... ---- - - - - - - " " . . . . ' --- '
TOTAL PORTFOLIO 16858,884.24 109080729.68 100.0 768504.22 4.0
2
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Stock Account
December 31 , 1994
Unit Total Market Market Pct . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Income Income Yield
.. . . . . . . . . . . . ..... . . . ... . . . . . .. .. .... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. .......... ... ---
COMMON STOCK
Large Capital Growth
18000 Abbott Labs 31 . 10 310100.00 32.62 320625 .00 1 .7 0.760 760.00 2.3
18000 Bristol Myers Squibb 57.56 570562.50 57.87 570875 .00 3.0 2.960 2,960.00 5. 1
900 Edwards, A. G. 21 .00 180900.00 18.00 160200.00 0.8 0.560 504.00 3. 1
18000 Newell Co Inc 18.67 188675 .00 21 .00 21 ,000.00 1 . 1 0.400 400.00 1 .9
1 ,500 Philip Morris 54 .03 818038.50 57.50 860250.00 4.5 3.300 48950.00 5.7
10000 Tyson Foods 20.39 208387. 18 21 .25 210250.00 1 . 1 0.080 80.00 0.4
.......... - . . . . ----' - - - - - ---"'-- -- - - -
227,663. 18 235,200.00 12.3 9,654.00 4. 1
Small Capital Growth
10000 Briggs & Stratton 34.95 340946.87 32.75 32,750.00 1 .7 0.920 920.00 2.8
1 ,500 CML Group, Inc. 10.00 15,000.00 10.12 15, 187.50 0.8 0 .080 120.00 0.8
1 ,000 Claire's Stores 13.74 13,739.00 12.00 12,000.00 0.6 0. 120 120. 00 1 .0
725 Diebold, Inc. 30.51 22, 122.75 41 . 12 29,815.62 1 .6 0.880 638.00 2. 1
700 Dovetron 18.91 13,233.53 25.75 18,025.00 0.9 0.000 0.00 0.0
International
1 $ 00 Ethan Allen 25.08 320610.00 24.25 31 ,525 .00 1 .7 0.000 0.00 0.0
18000 Fiserv, Inc. 20. 12 20, 125.00 21 .50 21 ,500.00 1 . 1 0.000 0.00 0.0
• 800 International 22.87 18,300.00 24.25 190400.00 1 .0 0.000 0.00 0.0
Rectifier
625 Molex Inc 23. 15 14,467.59 34.50 21 ,562.50 1 . 1 0.040 25 .00 0. 1
1 ,000 Newbridge Network 33.67 33,667.00 38.25 388250.00 2.0 0.000 0.00 0.0
10400 NovaCare 12.70 170775.50 7.25 10, 150.00 0.5 0.000 0.00 0. 0
10100 Rollins, Inc. 23.50 25,850.00 23. 12 25,437.50 1 .3 0.500 550.00 2.2
800 Solectron Corp. 25 .94 20, 750.00 27.50 22,000.00 1 .2 0. 000 0.00 0.0
10000 Werner Enterprises 21 . 13 21 , 130.00 23.75 23,750.00 1 .2 0 . 100 100.00 0.4
. . . . . . . . . . . . . . . - . . . . . . . . . ..
- " " " . - - ---
303,717.25 321 ,353 . 12 16.8 21475.00 0.8
1
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Stock Account
December 31 , 1994
Unit Total Market Market Pct . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Income Income Yield
. . .. ......... . . . . . . . .......... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..... ..... . . . . . . . . . . . . . . . . . . . . . . ..
Industrial Goods
10000 Allegheny Ludlum 19.62 19,625 .00 18.75 184750.00 1 .0 0.480 480.00 2.6
Corp.
1 ,000 Chrysler Corp. 48.87 48,875.00 49.00 - 49,000.00 2.6 1 .000 10000.00 2.0
1 ,200 Emerson Electric 47.41 564889.63 62.37 74,850.00 3.9 1 .560 18872.00 2.5
1 ,000 General Electric 42.58 42,582.57 51 .00 51 ,000.00 2.7 1 .640 1 ,640.00 3.2
1 ,400 Genuine Parts 33.72 47,211 .75 36.00 508400.00 2.6 1 . 150 1 ,610.00 3.2
800 Illinois Tool Works 37. 18 29,742.87 43.75 35,000.00 1 .8 0.600 480 .00 1 .4
800 Inco, Ltd. 27.37 21 ,900.00 28.62 228900.00 1 .2 0.400 320.00 1 .4
900 Motorola, Inc. 49.97 440975 .00 58.00 52,200.00 2.7 0.280 252 .00 0.5
18000 Superior Industry 38.54 388543.75 26.62 26,625.00 1 .4 0. 180 180.00 0.7
International
1 , 100 USX-U. S. Steel 34.86 388351 .50 35 .50 398050.00 2.0 1 .000 18100.00 2.8
Grasp
600 Worthington 19.87 11 ,925 .00 20.00 12,000.00 0.6 0.400 240.00 2.0
Industries
.. . . . . . .. .. . . . . . . . . . . . . . . . . '--'- - - - - - - - - -- --- . - - - -
400,622.07 4310775 .00 22.6 98174 .00 2. 1
Value
1 ,000 A T 8 T 54 .25 54,250.00 50.25 500250.00 2.6 1 .320 1 ,320.00 2.6
1 , 000 American Barrick 12. 16 120165 .00 22.25 22, 250.00 1 . 2 0. 100 100.00 0.4
Resources
• 500 Amoco 52.25 260125.00 59. 12 29,562.50 1 .5 2 .200 10100.00 3.7
3,400 Catellus Development 7.57 25, 738.00 5.87 19,975 .00 1 .0 0.000 0.00 0.0
. .. ............ . ._ ........... _ . _ - - - - - - - -- - - -. _. - - - - -
118,278.00 122,037.50 6.4 2, 520.00 2. 1
Foreign
500 Nestle 35. 16 178582.50 47.62 23,812.50 1 .2 1 .450 725.00 3.0
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . - . .... . . . " ' -- - - . . . _. ' - -
17,582.50 230812.50 1 .2 725 .00 3.0
" " . . . . . . . . . . M - - - - - - - - ... --'-- - - - - - - - - . . " ' - - - - -
COMMON STOCK TOTAL 1 ,0670863.00 14134, 178. 12 59.4 24,546.00 2.2
CONVERTIBLE PREFERRED
- - - - - - - - - - - - - - - - _ ....
6 Comptronix Ser. A 0.00 0.00 1 .62 9.72 0.0 0.000 0.00 0.0
Conv. Pfd.
........ ... .... . . . . . . ....-------- -----
0.00 9.72 0.0 0.00 0.0
2
•
• Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Fund
Stock Account
December 31 , 1994 _
Unit Total Market Market Pct. Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Income Income Yield
. . ........... . .... . . . . ..." ... . . . . . . . . . ............ .. ....... ........ . . . . . . . . . .. . ------ . . . . . . .. . . "' .... .
GOVERNMENT BONDS
. . ............ . .
2500000 U. S. Treasury Note 99.88 2490707.50 99.66 249, 140.62 13. 1 7. 500 18,750.00 7.5
7.500% Due 12-31-96
500000 U. S. Treasury Note 99.96 49,978.50 98.94 490468.75 2.6 7.375 30687.50 7.5
7.375% Due 11 -15-97
1000000 U. S. Treasury Note 99.36 99,359.37 95.34 95,343 .75 5 .0 6.000 6,000.00 6.3
6.000% Due 11 -30-97
100,000 U. S. Treasury Note 101 .50 101 ,500.00 91 .56 91 ,562.50 4.8 6.375 6,375 .00 7.0
6.375% Due 08- 15-02
1108000 U. S. Treasury Note 97.95 107,747.48 96.00 105,600.00 5 .5 7.250 7,975 .00 7.6
7.250% Due 05- 15-04
258000 U. S. Treasury Note 98.41 24,603.50 81 .25 20,312.50 1 . 1 6.250 10562.50 7.7
6.250% Due 08-15-23
Accrued Interest 40988.82 0.3
.............. ............. . . . . . . . . . . . ... ...... . . . _ _
632,896.35 616,416.94 32.3 440350.00 7.3
CASH AND EQUIVALENTS
..... . . . . .. .........
Dividends Accrued 4, 112.25 4, 112.25 0.2 0.000 0.00 0.0
Money Market 154,012.64 154, 012.64 8. 1 4.940 7,608.22 4.9
. . . . . . .". ... . . . . . . . .. ........ . . . . . . . . . . . . . . . . . . ... . .
• 158, 124 .89 1588124.89 8.3 71608.22 4.8
........ ............:.. " " ' . . . . ...... .. . . . ..
TOTAL PORTFOLIO 1 ,858,884.24 18908,729.68 100.0 76, 504 .22 4.0
3
•
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Furl
Bond Account
December 31 , 1994
Unit Total Market Market Pct . Unit Annual Cur.
Quantity Security Cost Cost Price value Assets Income Income Yield
CORPORATE BONDS
. . . . . . . . .. . . . . .
1000000 Philip Morris 100.54 1000543.50 102.06 1020062.50 7.9 9.250 90250.00 9. 1
(Non-callable) Rated
A2/A
9.250% Due 12-01 -97
558000 Pepsico 99.31 540618.30 94.28 510854.69 4.0 6.125 3,368.75 6.5
(Non-callable) Rated
A/A1
6. 125% Due 01 -15-98
140,000 Wal -Mart Stores 101 .83 142,565 .75 89.47 125,256.25 9.7 6.500 90100.00 7.3
(Non-callable) Rated
AA1/AA
6.500% Due 06-01 -03
75,000 J .P. Morgan 99.90 74,925.75 76.97 57,726.56 4 .5 5 . 750 4,312.50 7.5
(Non-callable) Rated
AA2/AA•
5 .750% Due 10- 15-DB
Accrued Interest 3,992.95 0.3
372,653.30 3400892.95 26.5 260031 .25 7.7
GOVERNMENT BONDS
• 20-0- 8000- -U. S. Treasury Note 99.94 199,884.00 97.84 195,687.50 15.2 6. 125 12,250.00 6.3
6. 125% Due 07-31 -96
1008000 U. S. Treasury Note 99.96 998958.00 99.25 99,250.00 7.7 7.250 7,250.00 7.3
7.250% Due 11 -30-96
1000000 U. S. Treasury Note 99.90 990898.00 99.66 99,656. 25 7.7 7.500 7,500.00 7.5
7.500% Due 12-31 -96
100,000 U. S. Treasury Note 99.93 990932.00 98.94 98,937.50 7. 7 7.375 7,375 .00 7.5
7.375% Due 11 - 15-97
100,000 U. S. Treasury Note 99.00 99,000.00 100.81 100,812.50 7.8 8.000 80000. 00 7.9
8.000% Due 05- 15-01
458000 U. S. Treasury Note 99:29 440678.50 96.00 430200.00 3.4 7.250 3, 262.50 7.6
7.250% Due 05-15-04
1008000 U. S. Treasury Note 99.83 99,828. 13 81 .25 810250.00 6.3 6.250 6,250.00 7. 7
6.250% Due 08-15-23
Accrued Interest 10,450.90 0.8
. . . . . . . . . . . . . . . . . . . . . . . . . . . ... ..... . . . . . . .. .. . . . ... - -
743, 178.63 7290244.65 56.6 51 ,887.50 7.2
1
Longer Investments, Incorporated
PORTFOLIO APPRAISAL
City of Fayetteville Police Pension Furl
Bond Account
• December 31 , 1994
Unit Total Market Market Pct . Unit Annual Cur.
Quantity Security Cost Cost Price Value Assets Incase Income Yield
...... ....... ... . . . . ... . . . . . . . ... ... .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... . . . . . . . . .. .... .. . . ' ._ . . . . .'
GOVERNMENT AGENCY
.. . . . . . . . . . . . . . ..
1006000 Fed Hose Loan Mortg 100.00 1000000.00 101 .22 101 ,218.75 7.9 9. 150 90150.00 9.0
Corp Call 8-8-95 B
100
9.150% Due 08-08-00
Accrued Interest 38634 .58 0.3
............... ............... __ _ .. - - - - - - - - - - - - - . . . --
100,000.00 1048853.33 8. 1 9, 150.00 9.0
CASH AND EQUIVALENTS
.............. . . . . . .
Money Market 108827.61 100827.61 0.8 4.940 534.88 4.9
10,827.61 10,827.61 0.8 534.88 4.9
CERTIFICATE OF DEPOSIT (MONTHLY PYMT . )
. . . .. . . . ... . . . MM ..... . . . . ...... . . . . . . .
100,000 First USA Bank 100.00 1000000.00 101 .47 1010475.00 7.9 8.300 81300.00 8.2
Wilmington, DE 8.3%
1 -2-96
8.300% Due 01 -02-96
Accrued Interest 668.61 0. 1
100 000.00 1020143.61 7.9 8,300.00 8.2
..--""'.... . . . . . . . . . . . . ........ . . . . .
TOTAL PORTFOLIO 1 ,326,659.54 1 ,2878962. 16 100.0 95,903.63 7.6
2
City of Fayetteville Police Pension Fund
Performance Summary
December 31, 1994
Equities Fixed Income Total
1990 — 2.4% 7.2% — 0.5%
1991 39.5% 17.2% 28. 1 %
1992 — 0.9% 7.4% 0.6%a
1993 12. 1 % 8.5% 9.3%
1994 —7.8% —5.6% — 5.6%
Average Annual Return 9.0% 7.7% 7. 1%
S & P 500 (Price Basis) 5.9%
S & P 500 (Compounded Dividends) 9.2%
Wilshire 5000 6.8%
• Returns are reported net of all fees and expenses.
City of Fayetteville Police Pension Fund
Portfolio Parameters
S & P500
December 31, 1994 Current
Price/Earnings Multiple 15.8X 14. 1X
Return on Equity 23.3% 11 .8%
Debt to Capital Ratio 23.3% 32.0%
Expected Return 16.0% 7.64%
Beta 1. 11 1.00
Standard & Poor's Rating A, A— A, A—
• Market Capitalization (Percent of Equities)
Large Cap. (Greater than $5 Billion) 46.7%
Mid Cap. ($400 Million — $5 Billion) 47.0%
Small Cap. (Less than $400 Million) 6.3%
1994 Realized Gains $779390.92
* goo 9F fE -gym av gg ; ; - - = mmm 000 oww � � D
ll
a °1 3
rl It
+ ® y >t Q
@D v
Elm
qll
m N
gn N
aoNt�. � � f� Fn � o � � � N � o �+ 1°n
n £ m = uSPOPOPooPooSSSSS 'oSSSSS8S8SSSSS 'oS $ SSoSBSS
n
V �
:Imoma �Im o ,',++ ,+v � m }� om ' ommpp :Ivmoop � pepPm � m �Im �
888So' 18oS $ wICfR9ib" 8 +v HBl� Yeo �r.+ StB $ 88 888r$ ai88
��' p �, oma :1 ,Fb"�' ,C3 � o :I ,Yoo ,B' pp � ,'o ,'m ,'m � woap0' m ,G° o � ,Yaawo :I ,G'' �dm
+ ANVV � � reOAre N144NV + $0 p P � OPO ,u00pe00Qr pP p $0
ppP . IOF
ae E ?2Y8m & EDS 'd' EM988wo 00 S $ S 688 ;° 98 �8e3
8P9S � �
Q � Qy
2C 2Q 2C dCs O (JaNN9N + a + aaNNPO + + + Aa + NaA0090 + A0Aa + 0
tare LS wu :I = N bPPV a + 10"a .l
VE
I
�t X
I
000000000000 + 00 , 00000 � 00000 , P000000091
PPPPPPPNPP + 0000 00000 + Popo + pp + ppoP . +. l
BlR19M lRHHlRa11 *1' 79HOWH A u m
000000000N ;� 0000pa00000000 + 08
aop00000000 ,y,�
WNW
� D< 7R � M: 2� � � D� � bQ � 7R r7Rn 7K 7R F2� � 7� 2� � 2� d� 2'r 7R � 2C � � 2� M D� � dr
0000000 + 00000000000000000 + 000000000a
I
PPPPPIPPPPPIPPPPPPPPIPPIPPPIPPPPPPPP208 2 § 2I
N �
00000 , pp , p , 1PPPOpOPo , PP , PPPIPPPPP , PPPI
City of Fayetteville Police Pension Fund
• Portfolio Income and Yield
December 31, 1994 December 31, 1993
Annual Annual
Income Yield Income Yield
Fixed Income $ 139,719 7.4% $80,094 6.0%
Securities Only
Total Portfolio $172,408 5.4% $1199746 3.7%
(Income + 44%)
Weighted Average Maturity 5.68 Years
Weighted Average Yield — to— Maturity 7.87%
. Weighted Average Duration 3.90
Bonds as a percent of total portfolio in equity fund = 32.3%
Fixed income securities maturing in three years or less:
20.7% of stock portfolio
58. 1% of bond portfolio
Longer Investments , Incorporated
INTEREST , DIVIDENDS , AND EXPENSES
City of Fayetteville Police Pension Fund
Combined Account
From 01-01-94 Through 12 -31-94
Ifte Security Amount
-------- .........--.........-.........--.......--.......---- -------------
COMMON STOCK
01-03 -94 Bristol Myers Squibb 730 . 00
01-03 -94 First Colony 39 . 00
01-03 -94 Stanhome , Inc . 175 . 00
01-03 -94 Superior Industry International 30 . 00
01-04 -94 Werner Enterprises 45 . 00
01-12 -94 Edwards , A . G . 35 . 00
01-19 -94 Camden Property Trust 810 . 29
01-25-94 Schulman , A . 117 . 00
01-26-94 Sensormatic Electric 88 . 00
01-27-94 Claire ' s Stores 50 . 00
01-31-94 Illinois Tool Works 104 . 00
01-31-94 Norfolk Southern 240 . 00
02-01-94 Acme-Cleveland 220 . 00
02 -03 -94 Amoco 275 . 00
02 -04 -94 Kennametal , Inc . 348 . 00
02 - 07 -94 Crompton & Knowles Corp . 120 . 00
02 -14 -94 Allied Signal 170 . 00
02 -14 -94 Bob Evans Farms 81 . 00
02 - 14 -94 Emerson Electric 507 . 00
02 - 14 -94 Newell Cc Inc 135 . 00
02 - 15-94 Piper Jaffrey , Inc . 315 . 00
*18 -94 Briggs & Stratton 230 . 00
18 -94 Minnesota Mining & Mfg . 616 . 00
22 -94 Sherwin Williams Co . 140 . 00
02 -23 -94 United Technologies Corp . 225 . 00
02 -28-94 Placer Dome , Inc . 58 . 50
03 -02 -94 General Electric 576 . 00
03 -02 -94 Genuine Parts 402 . 50
03 -04 -94 Diebold , Inc . L 445 . 50
03 -07 -94 Edwards , A . G . 175 . 00
03 -09 -94 Coca-Cola 273 . 00
03 -09 -94 Philip Morris 621 . 00
03 -30-94 Union Pacific Corp . 300 . 00
03 -15-94 Tyson Foods 40 . 00
03 -25-94 Bristol Myers Squibb 365 . 00
03 -25-94 Molex Inc 13 . 50
04 -11-94 Superior Industry International 30 . 00
04 -25-94 Schulman , A . 121 . 88
04 -28 -94 Claire ' s Stores 60 . 00
04 -28 -94 Sensormatic Electric 55 . 00
05-02 -94 Crompton & Knowles Corp . 108 . 00
05-02 -94 Illinois Tool Works 104 . 00
05-03 -94 Anheuser-Busch 396 . 00
1
•
Longer Investments , Incorporated
INTEREST , DIVIDENDS , AND EXPENSES
City of Fayetteville Police Pension Fund
Combined Account
From 01-01-94 Through 12 -31-94
fate Security Amount
-------- --------.........................-................-- .............
05-05 -94 Amoco 275 . 00
05-06-94 Cemex , SA 300 . 30
05-09 -94 Bob Evans Farms 81 . 00
05-09 -94 Rubbermaid , Inc . 67 . 50
05-09 -94 Werner Enterprises 37 . 50
05-16 -94 Allied Signal 167 . 50
05-16-94 Diebold , Inc . 225 . 50
05-16 -94 Emerson Electric 507 . 00
05-16 -94 Newell Co Inc 150 . 00
05-18 -94 Piper Jaffrey , Inc . 315 . 00
05-23 -94 Placer Dome , Inc . 91 . 00
05-23 -94 Sherwin Williams Co . 140 . 00
05-24 -94 American Barrick Resources 50 . 00
05-27 -94 Edwards , A . G . 126 . 00
06- 02 -94 Genuine Parts 402 . 50
06- 09 -94 Coca-Cola 97 . 50
06- 09 -94 Philip Morris 621 . 00
06- 14 -94 Nestle 1 , 069 . 56
06- 15-94 Tyson Foods 20 . 00
06-24 -94 Molex Inc 10 . 00
06-27-94 Bristol Myers Squibb 365 . 00
06-28 -94 General Electric 360 . 00
07 - 01-94 Southwestern Bell 395 . 00
01-94 Superior Industry International 45 . 00
05 -94 Werner Enterprises 25 . 00
-11-94 McCormick & Co . 120 . 00
07 -12 -94 Reader ' s Digest 315 . 00
07 -19 -94 Micron Technology 25 . 00
07 -25-94 Stewart & Stevenson 42 . 00
07 -28 -94 Claire ' s Stores 75 . 00
07 -29 -94 Inco , Ltd . 80 . 00
08-01-94 Illinois Tool Works 104 . 00
08- 01-94 USX-U . S . Steel Group 375 . 00
08-03 -94 Anheuser-Busch 440 . 00
08-04 -94 Amoco 275 . 00
08-08-94 Boeing Co . 250 . 00
08-09-94 Newell Co Inc 150 . 00
08-12 -94 Diebold , Inc . 225 . 50
08- 15-94 Allied Signal 301 . 50
08- 15-94 Emerson Electric 702 . 00
08 - 15 -94 United Technologies Corp . 250 . 00
08 -22 -94 Placer Dome , Inc . 91 . 00
08 -22 -94 Sherwin Williams Co . 140 . 00
09 -02 -94 Edwards , A . G . 126 . 00
09 -02 -94 Genuine Parts 402 . 50
2
0
Longer Investments , Incorporated
INTEREST , DIVIDENDS , AND EXPENSES
City of Fayetteville Police Pension Fund
Combined Account
From 01-01-94 Through 12 -31-94
Ote Security Amount
-------- ----------------------------...............-........ .............
09-09 -94 Philip Morris 11237 . 50
09 - 09 -94 Motorola , Inc . 63 . 00
09 -09 -94 Safety Kleen 81 . 00
09 - 15-94 Tyson Foods 20 . 00
09 -26-94 General Electric 360 . 00
09 -26-94 Illinois Tool Works 120 . 00
09 -26-94 Molex Inc 5 . 00
09 -26 -94 A T & T 330 . 00
10-03 -94 Bristol Myers Squibb 730 . 00
10-03 -94 Superior Industry International 45 . 00
10-03 -94 Werner Enterprises 25 . 00
10-04 -94 Southwestern Bell 395 . 00
10-07 -94 Abbott Labs 190 . 00
10-18 -94 Reader ' s Digest 360 . 00
10-27 -94 Claire ' s Stores 60 . 00
10-28 -94 Inco , Ltd . 80 . 00
10-31-94 USX-U . S . Steel Group 275 . 00
11-03 -94 Amoco 275 . 00
11-03 -94 Anheuser-Busch 160 . 00
11-04 -94 Rollins , Inc . 137 . 50
11-10-94 Diebold , Inc . 159 . 50
11-14 -94 Allied Signal 134 . 00
11-15-94 Newell Co Inc 150 . 00
1-17 -94 Emerson Electric 516 , 00
22 -94 CML Group , Inc . 30 . 00
23 -94 American Barrick Resources 50 . 00
11-28 -94 Edwards , A . G . 126 . 00
11-29 -94 Briggs & Stratton 250 . 00
12 -05-94 Genuine Parts 402 . 50
12 -09 -94 Chrysler Corp . 400 . 00
12 -09 -94 Philip Morris 1 , 237 . 50
12 -09 -94 Motorola , Inc . 90 . 00
12 -15-94 Tyson Foods 20 . 00
12 -23 -94 General Electric 410 . 00
12 -23 -94 Illinois Tool Works 120 . 00
12 -23 -94 Molex Inc 6 . 25
12 -23 -94 A T & T 330 . 00
12 -30-94 Bristol Myers Squibb 740 . 00
30 , 544 28
3
•
Longer Investments , Incorporated
INTEREST , DIVIDENDS , AND EXPENSES
City of Fayetteville Police Pension Fund
Combined Account
From 01-01-94 Through 12 -31-94
9alte Security Amount
-------- -........................-..................---..... .............
CORPORATE BONDS
..........
01- 15-94 Pepsico (Non-callable ) Rated A/A1 1 , 684 . 38
6 . 125% Due 01- 15-98
04 - 15-94 J . P . Morgan ( Non-callable ) Rated AA2/AA+ 20084 . 38
5 . 750% Due 10- 15- 08
06-01-94 Philip Morris (Non-callable ) Rated A2/A 41625 . 00
9 . 250% Due 12 -01-97
06-01-94 Wal-Mart Stores (Non-callable ) Rated AA1/AA 40550 . 00
6 . 500 % Due 06-01-03
07 -15-94 Pepsico ( Non-callable) Rated A/A1 1 , 684 . 38
6 . 125% Due 01- 15-98
10-15-94 J . P . Morgan (Non-callable) Rated AA2/AA+ 21156 . 25
5 . 750 % Due 10- 15-08
12 -01-94 Philip Morris (Non-callable) Rated A2/A 41625 . 00
9 . 250% Due 12 -01-97
12 -01-94 Wal-Mart Stores (Non-callable) Rated AA1/AA 41550 . 00
6 . 500% Due 06-01-03
----25 , 959 39
GOVERNMENT BONDS
----------------
�20-94 U . S . Treasury Note -2 , 700 . 41
6 . 250% Due 08-15-23
01-20-94 U . S . Treasury Note 246 . 55
4 . 250% Due 12 -31-95
02 -04 -94 U . S . Treasury Note -1 , 494 . 57
6 . 250% Due 08 - 15-23
02 - 15 -94 U . S . Treasury Note 11562 . 50
6 . 250% Due 08 - 15-23
02 -15 -94 U . S . Treasury Note 31125 . 00
6 . 250% Due 08 -15-23
02 - 15-94 U . S . Treasury Note 3 , 187 . 50
6 . 375% Due 08-15 -02
04 - 12 -94 U . S . Treasury Note -2 , 208 . 79
6 . 000% Due 11-30-97
04 -19 -94 U . S . Treasury Note -2 , 423 . 08
6 . 000% Due 11-30-97
04 -19 -94 U . S . Treasury Note - 1 , 211 . 54
6 . 000% Due 11-30-97
04 -22 -94 U . S . Treasury Note -888 . 55
5 . 875% Due 02 - 15-04
4
•