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HomeMy WebLinkAbout1996-10-24 - Agendas - Final MINUTES OF A POLICE PENSION BOARD MEETING A special meeting of the Police Pension Board was held on October 24 , 1996 at 10 : 00 a . m . in room 326 of the City Administration Building , 113 West Mountain , Fayetteville , Arkansas . PRESENT : Mayor Fred Hanna , Eldon Roberts , Jerry Friend , Hollis Spencer , Dr . James Mashburn , Randy Bradley , and City Clerk/Treasurer Traci Paul CALL TO ORDER Mayor Hanna called the meeting to order and explained that the meeting was a continuation of the October 17 meeting . CHANGES IN ALLOCATION OF FUNDS Mashburn made a motion to leave the Madison Account with Dean Witter , move the TCW Account to Morgan Keegan for Mike Kirkland ' s proposal to have two managers as presented at the October 17 meeting , invest the available turnback funds of $ 155 , 000 and the $279 , 814 that is in the Dean Witter Cash Account with Elaine Longer . In answer to a question from Friend regarding the need for a cash • account , Administrative Services Director Ben Mayes stated we do not need that much in the cash account . Over time it has built up to $ 279 , 814 . We try to maintain a minimum of three months of pension payments which would be approximately $ 100 , 000 . Mashburn stated he would change his motion . He proposed to move $ 150 , 000 of the cash account plus the turnback funds of $ 155 , 000 to Elaine Longer . Roberts asked who oversees the fact that we keep a little cash on hand . , Mayes explained that the Accounting Department monitors that . Mayes stated we keep the money at Dean Witter because they can earn a better interest rate on their cash account than we can . We just draw money as we need it . Roberts asked how Dean Witter comes up with cash if they start running short . Mayes stated their are several things that bring money into the Fund throughout the year . Mashburn asked if the Board wanted to leave $ 100 , 000 with Dean Witter in a cash account or transfer the cash account over to • Longer Investments . 1 • October 24 , 1996 Mayor Hanna asked if the funds for pension payments comes from Dean Witter or from City held investments . Mayes stated both . The City held investments is usually only around $ 2 , 000 . Bradley suggested the Board should extend its risk in equities by changing the equity percentage from 20 % - 40 % to 25 % - 45 % . Roberts suggested inviting Elaine Longer to the next meeting to work with the Board on what we can do to increase our exposure to the equity market . Paul asked if Elaine Longer would be reviewing the investment policy . The Board said yes . Friend stated we should send Elaine Longer an invitation to attend the meeting to review the policy and copy of the investment policy . Roberts suggested sending a copy of the actuary and a list of total investments might be helpful . Mashburn suggested sending a letter soon asking Elaine Longer to make a presentation at the January meeting and asking her to • request any documents that she may need to help make a presentation . Mayor Hanna asked how changing the investment policy would reflect how the other managers operate . Mayes stated when all of the managers were hired they were given a copy of the policy . You hired Madison to be nothing but a fixed account . You hired TCW to be a balanced account . Mike was the Board hired counselor to keep TCW within parameters that balanced between stock and balanced between equity . Elaine Longer was hired as a balanced manager . The Board did everything the way it should have been done with one exception . The policy states that the Board should review its investment methodology , including its investment policy , semi - annually . Mayes suggested leaving the basic guidelines the same with the exception of increasing the equity . Mayes stated the Board could set separate policies for each individual manager on the maximum equity percentage . The Board can discuss the structuring with Elaine Longer at the January meeting . Roberts commented that the Board has preached conservatism but now we have enough safe investments that we can afford to take a little risk . • 2 October 24 , 1996 Mayes stated the Board asked him to research about the South African . It is no longer a State Statute . It was repealed so it can be deleted from the policy in January . Mayes stated it was estimated that $ 155 , 000 was available for investment from the turnback funds but we are down to $ 152 , 000 so the motion needs to be changed to $ 150 , 000 on the turnback . Mashburn agreed to change the amount of turnback funds invested to $ 150 , 000 . Roberts stated $ 150 , 000 from the Dean Witter cash account plus the $ 150 , 000 in turnback funds will be transferred to Elaine Longer . Mayor Hanna stated Dr . Mashburn ' s motion is to leave the Madison Account with Dean Witter , transfer the TCW account to Mike Kirkland at Morgan • Keegan , take $ 150 , 000 out of the Dean Witter cash account plus $ 150 , 000 in turnback funds and give to Elaine Longer . Roberts seconded the motion . The motion passed unanimously . Roberts stated we need to send a letter to Mike Kirkland and ask to manage the account like he mentioned at the October 17 meeting . Mayor Hanna asked if the Board wanted Mike Kirkland and Jim Wood to • attend the meeting in January or just send a written report . Roberts stated lets just let them send a written report because ' that meeting will be time consuming . Mayes reported that the City has the turnback money invested until next Thursday . Mayes stated it will be wired on Thursday or Friday of next week . We will get with Dean Witter next week also . Roberts commented that historically , for the long term , the stock market is where the money is . Mayor Hanna stated the Board ' s main charge is to preserve the money while making as good a return as possible . There is a risk to everything . Mashburn stated prior to the July thing , Elaine anticipated what was going to happen and was prepared . She is a very sharp money manager . Mayes stated for your information on a cost basis you have $ 7 . 6 million . on a market basis you have $ 8 , 136 , 000 . On a cost basis your equity percentage is 30 and on a market basis it is 35 . 1 . There is a big difference in cost and market calculations . • 3 • October 24 , 1996 Mayes stated we will pull the Actuary Study and see where they projected you to be by the end on 1996 . In answer to a question from Bradley , .Mayes stated he . would write a letter to TCW notifying them to halt trading . The meeting adjourned at 10 : 28 a . m . • • 4 Morgan Keegan Morgan Keegan & Company, Inc. Halsted Circle, Suite 5 lWogers, Arkansas 72756 501/936-7774 WATS 800/758-4008 Members New York Stock Exchange, Inc. - December 3, 1996 - Traci Paul 4310 Chaparral Lane Fayetteville, Arkansas 72704 Dear Traci: I wanted to let you know the status of the TCW account transfer from Dean Witter. The entire • TCW account was transferred to Morgan Keegan on November 15, 1996. I immediately sold two of the bonds with longer maturities as I recommended. On November 19, 1996 approximately $700,000 in stocks and cash was journalled to each equity account (Flippin, Bruce, Porter, and NWQ). On November 21 , 1996, I joumalled an additional $50,000 cash to each account after checking with Ben and Emma about the current stock allocation. The current value of the three accounts at Morgan Keegan, as of November 27, 1996, is as follows: Bond Account (47001946) Bonds $472,914.00 Cash 15 046.00 $4872960.00 FBP Equity (47002001) Stocks $423,412.00 Cash 335-601 .00 $759,013 .00 NWQ Equity (47002019) Stocks $709,650.00 Cash 51 . 118.00 $7607768.00 • Total $2,007,741 .00 • Page 2 Thank you again for the opportunity to continue working with you; I look forward to our meeting in January. Please call if you have any questions, comments or suggestions. Sincerely, Mike Kirkland Associate Vice President MK:ls • Morgan Keegan Morgan Keegan & Comparry, Inc. Investment Management consulting Group Morgan Keegan Tower, 2: Front Street Memphis, Tennessee 38103 901/5244100 WATS 800/366-7426 - Members New York Stock Exchange, Inc. DEC December 15, 1996 City of Fayetteville Police Pension & Relief Fund I B west Mountain Fayetteville, AR 72701 Ref. Account #470020191 ' Annual Offer of Disclosure Documents • As a participant in Morgan Keegan's Preferred Managers .program, you receive the , investment services of an investment advisor registered with the Securities and Exchange Commission under the Investment Advisors Act of 1940. Additionally, Morgan Keegan is registered with the SEC as an investment advisor. In accordance with regulatory requirement of the Investment Advisors Act, Morgan Keegan offers to provide to you, upon written request and without charge, a copy of the primary disclosure document filed with the SEC for your respective advisor and for Morgan Keegan. If you wish to receive a copy of the disclosure document for your respective advisor and Morgan Keegan, please notify me in writing. Your request should specify to whom the document is to be directed. - - Sincerely, J. B akeTaylorJ' . . ' First Vice President cc: Mike Kirkland • NWQ DEAN WITTER REYNOLDS INC. 112 West Center, Suite 100, Fayetteville, AR 72701 Telephone 1501) 575-1400 D' tC 17 . - (800) 487-4880 December 16, 1996 City of Fayetteville Police Pension & Relief Fund Attn:Ben Mayes 113 W Mountain Fayetteville AR 72701 Dear Mr. Mayes: Enclosed please find a letter of instruction which requires Mr. Hanna's signature. The current letter is good for a period of one year and expires on January 7th. Please let me know if you have any questions. Sincerely, L oore Registered Sales Assistant • s ` s • Dean Witter Reynolds Inc. 112 W Center Suite 100 Fayetteville AR 72701 RE: City of Fayetteville Police Pension & Relief Fund Madison Investment Advisors Account #342-015178-046 Dear Sir: Madison Investment Advisors have informed me that they will be billing you directly for their quarterly management fee. Please use this letter as authorization to pay Madison directly out of our account with you as you receive these bills quarterly. Make checks payable to Madison Investment Advisors Attn: J.T. Batstone 6411 Mineral Point Rd Madison WI 53705-4341 I understand that Dean Witter requires yearly updates on this authorization. Please take note of the date on this request. Sincerely, 4Freawnna Date Branch Manager Approval: James T Wood • r. E" C I' VE Longer Investments, Incorporated NOV 0 41996 • INCOME AND EXPENSES City of Fayetteville Police Pension Fund CITY CLERK'S OFFICE Combined Account From 01-01-96 Through 10-31-96 Trade Settle Security Amount COMMON STOCK 01-10-96 02- 15-96 Abbott Labs 210.00 01 -31-96 03-04-96 Weyerhaeuser 200.00 02-01-96 03-11 -96 Mobil Corp. 19202.50 02-07-96 02-23-96 Kennametal, Inc. 60.00 02-07-96 03-01 -96 Rubbermaid, Inc. 84.00 02-15-96 03-01 -96 Federal Signal 145.00 02-15-96 03-01 -96 Ingersoll-Rand 185.00 02-16-96 03-09-96 USX-U. S. Steel Group 250.00 02-21 -96 03-11 -96 Emerson Electric 563.50 02-26-96 03-13-96 Newell Co Inc 154.00 03-04-96 04-25-96 General Electric 747.50 03-06-96 03-29-96 Diebold, Inc. 184.79 03-06-96 03-25-96 Placer Dome, Inc. 112.50 03-06-96 04-01-96 Varian Associates 80.00 03-07-96 04-01 -96 Northern Trust Corp. 217.00 03-07-96 03-28-96 Watkins Johnson 120.00 03-13-96 04-10-96 Philip Morris 1 ,500.00 03-13-96 04- 15-96 Motorola, Inc. 8000 03-15-96 03- 15-96 Tyson Foods 42.00 03-27-96 05-01 -96 AT & T 462.00 04-01-96 04-17-96 Clayton Homes 3200 04-02-96 05-01 -96 Bristol Myers Squibb 450.00 04-12-96 05-14-96 Park Electrochemical 88.00 04-29-96 06-01 -96 Intel Corp 32.00 05-01 -96 05-17-96 Commonwealth Aluminum 50.00 05-08-96 06- 10-96 Mobil Corp. 19300.00 05-10-96 06-04-96 Federal Signal 145.00 05-13-96 06-07-96 L.T.V. Corp. 48.00 05-14-96 06-03-96 Ingersoll-Rand 185.00 05-15-96 06-07-96 Diebold, Inc. 184.79 05-15-96 06-10-96 Emerson Electric 441 .00 05-15-96 06-06-96 Inco, Ltd. 150.00 05-22-96 06-17-96 International Paper Co. 175.00 05-22-96 06-24-96 Placer Dome, Inc. 112.50 05-29-96 06-14-96 Barrick Gold Corp. 126.00 05-29-96 06-15-96 Dover Corp. 135.00 06-05-96 07-01 -96 Varian Associates 80.00 06.06-96 07-01 -96 Northern Trust Corp. 372.00 06-12-96 07-10-96 Philip Moms 15450.00 06-12-96 07-15-96 Motorola, Inc. 96.00 06-24-96 07-17-96 Clayton Homes 32.00 06-26-96 08-01 -96 AT & T 544.50 07-01 -96 07-25-96 General Electric 563.50 07-02-96 08-01 -96 Bristol Myers Squibb 825.00 • 1 Longer Investments, Incorporated INCOME AND EXPENSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10-31-96 Trade Settle Security Amount 07-30-96 09-01-96 Intel Corp 40.00 07-30-96 09-03-96 Inco, Ltd. 150.00 08-01 -96 09-10-96 Mobil Corp. 1 ,300.00 08-14-96 09-06-96 Diebold, Inc. 184.79 08-14-96 09-10-96 Emerson Electric 686.00 08-21-96 09-23-96 Placer Dome, Inc. 112.50 08-28-96 09-15-96 Dover Corp. 153.00 08-29-96 10-07-96 Walmart Stores 147.00 09-06-96 10-01 -96 Northern Trust Corp. 372.00 09-10-96 11-01 -96 AT & T 544.50 09-11 -96 10-01 -96 JLG Industries 10.00 09-11 -96 10-15-96 Motorola, Inc. 96.00 09-12-96 10-10-96 Philip Morris 1,020.00 09-23-96 10-16-96 Clayton Homes 22.00 09-26-96 11-01-96 Dillards Dept. Stores 36.00 09-26-96 10-25-96 General Electric 563.50 10-02-96 11 -01-96 Bristol Myers Squibb 825.00 10-30-96 12-01-96 Intel Corp 50.00 • 10-30-96 12-02-96 Inco, Ltd. 200.00 20,729.37 CORPORATE BONDS 01 -15-96 01-15-96 Pepsico (Non-callable) Rated AI/A 1 ,684.38 6. 125% Due 01 -15-98 04- 15-96 04-15-96 J.P. Morgan (Non-callable) Rated AA3/AA 2,156.25 5.750% Due 10-15-08 06-01 -96 06-01-96 Philip Morris (Non-callable) Rated A2/A 4,625.00 9.250% Due 12-01 -97 06-01 -96 06-01-96 Wal-Mart Stores (Non-callable) Rated AAI /AA 4,550.00 6.500% Due 06-01 -03 07-15-96 07-15-96 Pepsico (Non-callable) Rated Al/A 1 ,684.38 6. 125% Due Ol -15-98 10-15-96 10-15-96 J.P. Morgan (Non-callable) Rated AA3/AA 22156.25 5.750% Due 10-15-08 10-22-96 10-25-96 J.P. Morgan (Non-callable) Rated AA3/AA 119.79 5.750% Due 10-15-08 16,976.05 GOVERNMENTBONDS 01-31-96 01 -31 -96 U. S. Treasury Note 6,[ 25.00 6. 125% Due 07-31 -96 02-15-96 02- 15-96 U. S. Treasury Note 15562.50 6.250a/a Due 08-15-23 02-.15-96 02-15-96 U. S. Treasury Note 3,187.50 • 6.375% Due 08-15-02 2 z Longer Investments, Incorporated INCOME AND EXPENSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10-31-96 Trade Settle Security Amount 02-15-96 02-15-96 U. S. Treasury Note 1 ,625.00 6.500% Due 08-15-05 02-20-96 02-23-96 U. S. Treasury Note -1 ,581 .73 5.875% Due 11-15-05 02-29-96 02-29-96 U. S. Treasury Note 1 ,562.50 6.250% Due 08-31 -00 05-15-96 05-15-96 U. S. Treasury Note 43000.00 8.000% Due 05-15-01 05-15-96 05-15-96 U. S. Treasury Note 3,987.50 7.250% Due 05-15-04 05-15-96 05-15-96 U. S. Treasury Note 1 ,631 .25 7.250% Due 05-15-04 05-15-96 05-15-96 U. S. Treasury Note 1 ,843.75 7.375% Due 11 -15-97 05-15-96 05-15-96 U. S. Treasury Note 3,687.50 7.375% Due 11 -15-97 05-15-96 05-15-96 U. S. Treasury Note 1 ,968.75 7.875% Due 11 -15-04 • 05-15-96 05-15-96 U. S. Treasury Note 2,937.50 5.875% Due 11 - 15-05 05-30-96 05-30-96 U. S. Treasury Note 3,625.00 7.2500/c Due 11 -30-96 05-31 -96 05-31 -96 U. S. Treasury Note 3,000.00 6.000% Due 11 -30-97 06-30-96 06-30-96 U. S. Treasury Note 4,687.50 7.500% Due 12-31 -96 06-30-96 06-30-96 U. S. Treasury Note 3,750.00 7.500% Due 12-31 -96 06-30-96 06-30-96 U. S. Treasury Note 1 ,947. 11 5.250% Due 12-31 -97 07-31 -96 07-31-96 U. S. Treasury Note 61125.00 6. 125% Due 07-31 -96 08-15-96 08-15-96 U. S. Treasury Note 1 ,562.50 6.250% Due 08-15-23 08-15-96 08-15-96 U. S. Treasury Note 3,187.50 6.375% Due 08-15-02 08-15-96 08-15-96 U. S. Treasury Note 1 ,625.00 6.500% Due 08-15-05 08-31 -96 08-31 -96 U. S. Treasury Note 1 ,562.50 6.250% Due 08-31 -00 10-22-96 10-23-96 U. S. Treasury Note 29570.31 5.875% Due 11 -15-05 66,179.44 • 3 r - • Longer Investments, Incorporated INCOME AND EXPENSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10.31-96 Trade Settle Security Amount GOVERNMENT AGENCY 06-14-96 06-14-96 Federal Home Loan Bank (Call 6-14-96 @ 100) 2,205.00 7.350% Due 06-14-05 2,205.00 CASH AND EQUIVALENTS 02-01 -96 02-01-96 Money Market 756.86 02-01 -96 02-01-96 Money Market 389.89 02-05-96 02-05-96 Margin Account -1 .21 03-01-96 03-01 -96 Money Market 274.07 03-01-96 03-01 -96 Money Market 447. 16 03-31-96 03-31 -96 Money Market 592.89 03-31-96 03-31 -96 Money Market 58.80 05-01 -96 05-01 -96 Money Market 13132.26 05-01-96 05-01 -96 Money Market 68.86 06-03-96 06-03-96 Money Market 978.87 06-03-96 06-03-96 Money Market 105. 15 06-30-96 06-30-96 Money Market 797.76 • 06-30-96 06-30-96 Money Market 157.64 08-01 -96 08-01 -96 Money Market 11376.26 09-03-96 09-03-96 Money Market 477.86 09-03-96 09-03-96 Money Market 58.76 09-30-96 09-30-96 Money Market 384.78 09-30-96 09-30-96 Money Market 87.93 8,144.59 CERTIFICATE OF DEPOSIT (MONTHLY PYMT,) O1-02-96 01-02-96 First USA Bank Wihnington, DE 8.3% 1 -2-96 760.83 8.300% Due O l -02-96 760.83 EXPENSE ACCOUNTS 02-01-96 02-01 -96 Automated Cash Mgmt. 22.35 02-01-96 02-01 -96 Automated Cash Mgmt. 11 .52 03-01 -96 03-01 -96 Automated Cash Mgmt. 8.39 03-01 -96 03-01 -96 Automated Cash Mgmt. 13.68 03-25-96 03-25-96 Foreign Tax on Dividends 16.87 03-31 -96 03-31-96 Automated Cash Mgmt. 18.53 03-31 -96 03-31-96 Automated Cash Mgmt. 1 .84 05-01 -96 05-01-96 Automated Cash Mgmt. 35.70 05-01 -96 05-01-96 Automated Cash Mgmt. 2.17 06-03-96 06-03-96 Automated Cash Mgmt. 30.67 06-03-96 06-03-96 Automated Cash Mgmt. 3.30 06-06-96 06-06-96 Foreign Tax on Dividends 22.50 • 4 \ • Longer Investments, Incorporated INCOME AND EXPENSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10-31-96 Trade Settle Security Amount 06-17-96 06-17-96 Foreign Tax on Dividends 18.90 06-24-96 06-24-96 Foreign Tax on Dividends 16.87 06-30-96 06-30-96 Automated Cash Mgmt. 24.81 06-30-96 06-30-96 Automated Cash Mgmt. 4.90 08-01 -96 08-01 -96 Automated Cash Mgmt. 42.69 09-03-96 09-03-96 Automated Cash Mgmt. 14.84 09-03-96 09-03-96 Automated Cash Mgmt. 1 .82 09-03-96 09-03-96 Foreign Tax on Dividends 22.50 09-23-96 09-23-96 Foreign Tax on Dividends 16.87 09-30-96 09-30-96 Automated Cash Mgmt 11 .93 09-30-96 09-30-96 Automated Cash Mgmt. 2.73 366.38 AFTER FEE PERFORMANCE EXPENSE ACCOUNTS 01-16-96 01 -16-96 Management Fee 5,866. 15 01 -16-96 01 - 16-96 Management Fee 3,421 .72 03-29-96 03-29-96 Northern Trust Fee 562.75 03-29-96 03-29-96 Northern Trust Fee 305.75 • 04-12-96 04-12-96 Management Fee 5,758.36 04-12-96 04-12-96 Management Fee 3,381 .90 06-28-96 06-28-96 Northern Trust Fee 569.23 06-28-96 06-28-96 Northern Trust Fee 309.27 07-08-96 07-08-96 Management Fee 5,961 .53 07-08-96 07-08-96 Management Fee 3,367.94 09-30-96 09-30-96 Northern Trust Fee 464. 13 09-30-96 09-30-96 Northern Trust Fee 252. 12 10-08-96 10-08-96 Management Fee 6,053.98 10-08-96 10-08-96 Management Fee 3,420. 17 39,695.00 NET INCOME 74033.90 5 RECEINED Longer Investments, Incorporated NOV 0 4 9996 . REALIZED GAINS AND LOSSES City of Fayetteville Police Pension Fund CITY CL�E36t`S OFFICE Combined Account From 01-01-96 Through 10-31-96 Cost Date Quantity Security Basis Proceeds Gain Or Loss 01 -02-96 100,000 First USA Bank Wilmington, 1002000.00 100,000.00 0.00 DE 8.3% 1 -2-96 8.300 % Due 01 -02-96 01 -04-96 300 Arrow Electronics 122764. 11 12,128.59 -635.52 01 -04-96 250 Emerson Electric 132767.88 20,011 .83 6,243.95 01 -04-96 400 Illinois Tool Works 143871 .44 23,113.22 8,241 .78 01 -04-96 300 Starbucks Corp. 43135.50 5,162.50 12027.00 01 -04-96 500 U. S. Filter Corp. 11,062.50 13,143.30 22080.80 01 -04-96 700 Varian Associates 29,481 .08 33,248.88 32767.80 01 -05-96 -7 Intel Corp. Feb. 60 calls 2,118.97 1 ,387.05 -731 .92 01 -09-96 300 Intel Corp 17,587.50 160441 .50 -11146.00 01 -09-96 900 International Rectifier 10,964.78 18561 .87 71597.09 01 -10-96 4 Motorola Jan. 55 calls 88.50 1 ,456.78 11368.28 01 -10-96 900 JLG Industries 9,207.00 24,462.00 157255.00 01 -10-96 700 Robert Half International 19,337.50 28,075.62 8,738.12 01 -10-96 800 U. S. Filter Corp. 17,700.00 20,299.32 2,599.32 • 01 - 10-96 1,000 Utah Medical Products 17,392.50 18,795.00 1 ,402.50 01 - 11 -96 300 International Rectifier 3,654.93 6,549.78 2,894.85 01 -12-96 500 Arrow Electronics 21 ,273.52 18,832.70 -2,440.82 01 -12-96 400 Cemer Corp. 10,200.00 7,150.00 -31050.00 01 -12-96 375 Clayton Homes 4,920.00 71168.50 21248.50 01 -12-96 300 Compaq 11 ,845.32 13,899.53 2,054.21 01 -12-96 500 DII Group (Formerly 15,577.24 142937.50 -639.74 Dovatron Int'l.) 01 -12-96 500 Dover Corp. 19,722.50 19, 186.85 -535.65 01 -12-96 1 ,300 General Nutrition 26,045.50 27,787.50 1 ,742.00 01 -12-96 400 Intel Corp 232450.00 22,200.00 -1 ,250.00 01 -12-96 500 Kennametal, Inc. 18,987.50 15,776.97 -3,210.53 01 -12-96 1 ,000 Hanna, M. A. 28,250.00 26,499. 11 -1 ,750.89 01-12-96 500 Mercury Finance 52627.62 5,562.31 -65.31 01 -12-96 300 Mueller Industries 6,774.00 8,087.22 1,313.22 01 -12-96 700 Starbucks Corp. 9,649.50 113987.50 2,338.00 01 - 12-96 1,000 Sofamor Danek Group 25,350.00 24,124. 19 -1 ,225.81 01 -12-96 500 AT & T 27,091 .25 323436.41 5,345.16 01 -12-96 800 Varian Associates 339692.67 352598.81 1 ,906. 14 01 -12-96 900 VeriFone, Inc. 229173.49 24,411 .68 2,238. 19 01 -15-96 600 Cemer Corp. 15,300.00 10,953.24 4,346.76 01-15-96 1 ,000 Estee Lauder 355750.00 343553.84 -1 ,196. 16 01 -15-96 500 Newell Co Inc 103466.25 12,687.07 2,220.82 01 -15-96 600 Watkins Johnson 27,142.69 23,204.22 -32938.47 01 -16-96 600 Gannett Inc. 36,792.00 36,298.78 -493.22 01 -16-96 500 GreentreeFinancial 135847.50 12,027.09 -15820.41 01 -16-96 1 ,000 Mercury Finance 113255.24 11 ,429.61 174.37 • 1 Longer Investments, Incorporated REALIZED GAINS AND LOSSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10-31-96 Cost Date Quantity Security Basis Proceeds Gain Or Loss 01-17-96 275 Clayton Homes 35608.00 5,140.45 1 ,532.45 01-17-96 600 Compaq 23,690.64 27,149.09 32458.45 01 -17-96 500 Greentree Financial 13,847.50 12,124.59 -1 ,722.91 01 -17-96 12000 Stewart & Stevenson 23,820.00 243000.00 180.00 01 -19-96 -5 Philip Morris Jan. 85 calls 3,900.25 1 ,452. 10 -2,448. 15 01 -19-96 8 Motorola Jan. 50 puts 1 ,258.92 0.00 -11258.92 01 -25-96 600 Kennametal, Inc. 22,785.00 183988.00 -33797.00 02-06-96 400 Rubbermaid, Inc. 11 ,550.00 102999.63 -550.37 02-06-96 500 Varian Associates 23,673.33 25,420.88 12747.55 02-08-96 800 Gandalf Technologies 11 ,800.00 92736.00 -21064.00 02-13-96 400 Kennametal, Inc. 15,190.00 12,349.58 -21840.42 02-15-96 1 ,200 WMX Technologies 34,223.57 349048.86 -174.71 02-27-96 500 JLG Industries 13,535.00 18,000.00 4,465.00 02-27-96 700 Mueller Industries 15,806.00 20,736.80 47930.80 02-28-96 500 Tyson Foods 11 ,337.31 113171 .88 -165.43 02-29-96 1 ,000 USX-U. S. Steel Group 33,125.00 329873.90 -251 . 10 • 03-04-96 500 Arrow Electronics 21 ,273.52 23,577.87 2,304.35 03-04-96 500 Compaq 25,472.50 20,822.09 -47650.41 03-04-96 600 Watkins Johnson 25$ 91 .55 223574.24 -27817.31 03-06-96 0 Diebold, Inc. 10.17 19.25 9.08 03-07-96 1 ,000 Utah Medical Products 19,171 .90 15,603.70 -3,568.20 03-08-96 600 Coherent, Inc. 27,512.50 25,350.00 -2,162.50 03-08-96 1,000 Fiserv, Inc. 26,875.00 267930.00 55.00 03-08-96 400 General Nutrition 8,750:00 91578. 12 828. 12 03-08-96 500 Utah Medical Products 9,585.95 71125.00 -2,460.95 03-11 -96 500 JLG Industries 13,535.00 18,786.64 5,251 .64 03-11 -96 500 Sun Microsystems 24,180.80 23,375.00 -805.80 03-12-96 300 Tyson Foods 6,802.38 6,550.00 -25238 03-12-96 300 Watkins Johnson 12,695.78 10,899.63 -1 ,796. 15 03-12-96 2,795.498 Vanguard Small Capitalization 513828.35 53,226.32 19397.97 Stock Fund 03-25-96 1 ,000 Abbott Labs 415125.00 40,498.64 -626.36 03-25-96 500 ADT Limited 6,785.00 83499.71 15714.71 03-25-96 600 Informix, Corp. 193148.22 17, 127.00 -2,021 .22 03-25-96 1 ,000 Ingersoll-Rand 382320.00 42,498.57 42178.57 03-25-96 500 Weyerhaeuser 202000.00 23,499.21 35499.21 03-28-96 250 Emerson Electric 13,767.88 20,574.31 6,806.43 04-04-96 800 DSC Communications 231656.00 19,500.00 -43156.00 04-08-96 800 hiformix, Corp. 21 ,966.64 19,900.00 -2,066.64 04-08-96 8 Informix April 25 Puts 850.00 0.00 -850.00 04-10-96 600 Tyson Foods 13,604.77 13,350.00 -254.77 04-11-96 500 International Rectifier 71559.66 91937.16 2,377.50 04-11-96 300 VeriFone, hie. 7,391 . 16 115289.62 3,898.46 • 2 9 - � • Longer Investments, Incorporated REALIZED GAINS AND LOSSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10-31-96 Cost Date Quantity Security Basis Proceeds Gain Or Loss 04-12-96 800 Molex Inc 25,700.00 252700.00 0.00 04-15-96 350 Philip Morris 18,908.98 31 ,288.95 12,379.97 04-16-96 1 ,300 Esterline Technology 28,692.50 29,574.00 881 .50 04-16-96 700 Gandalf Technologies 10,762.50 11 ,025.00 262.50 04-16-96 1,000 Mercury Finance 13,500.00 11 ,874.60 -11625.40 04-16-96 700 Watkins Johnson 29,623.48 23,118.26 -6,505.22 04-18-96 1 ,150 Cemer Corp. 252846.25 23,143.75 -2,702.50 04- 19-96 -3 Lam Research April 35 calls 324.98 324.98 0.00 04-19-96 -8 Philip Moms April 95 Calls 0.00 1 ,996.48 1 ,996.48 04-19-96 300 Lam Research 102717.50 10,774.98 57.48 04-22-96 300 Newell Cc Inc 62279.75 71524.74 12244.99 04-22-96 300 Park Electrochemical 102022.73 6,662.27 -3,360.46 04-23-96 800 Newell Co Inc 16,746.00 21 ,199.29 4,453.29 04-23-96 350 Personnel Group of America 59270.42 7,518.49 2,248.07 04-26-96 800 Micron Technology 28,864.00 31 ,498.94 2,634.94 05-01 -96 700 Lam Research 25,007.50 28,962.50 3,955.00 • 05-01 -96 300 Park Electrochemical 10,022.73 7,412.25 -22610.48 05-01 -96 600 Rubbermaid, Inc. 172325.00 162949.43 -375.57 05-20-96 400 Periphonics Corp. 99811 .98 11 ,750.00 1 ,938.02 05-21 -96 500 Park Electrochemical 163704.55 12,312.08 42392.47 06-04-96 400 Barrick Gold Corp. 71705.22 12,349.58 4,644.36 06-10-96 2,000 Aeroflex, Inc. 91166.67 12,249.58 32082.91 06-12-96 600 General Nutrition 133125.00 9,777.00 -32348.00 06-12-96 700 International Paper Co. 28,700.00 27,474.08 -1 ,225.92 06-12-96 500 Starbucks Corp. 9,801 .82 130500.00 3,698. 18 06-13-96 1 ,500 Interdigital Communications 157223.50 149999.49 -224.01 06-13-96 500 Ingersoll-Rand 207000.00 20,843.05 843.05 06-13-96 600 Personnel Group of America 9,035.00 153449.48 6,414.48 06-13-96 11000 Utah Medical Products 15,375.00 133921 .60 -11453.40 06-13-96 400 Varian Associates 18,938.67 22,371 .25 31432.58 06-17-96 1 ,000 Commonwealth Aluminum 18,580.00 15,987.50 -21592.50 06-17-96 500 Ingersoll-Rand 20,000.00 21 ,311 .78 1 ,311 .78 06-17-96 1 ,600 L.T.V. Corp. 23,802.68 20,199.32 -31603.36 06-17-96 600 Starbucks Corp. 11 ,762. 18 15,499.98 3,737.80 06-17-96 600 Varian Associates 28,408.00 33,823.87 52415.87 06-17-96 300 VeriFone, Inc. 7,391 . 16 14,069. 14 6,677.98 06-20-96 400 General Electric 21 ,138.29 34,048.86 12,910.57 06-20-96 500 VeriFone, Inc. 12,318.61 22,578.98 10,260.37 06-26-96 900 DII Group (Formerly 27,651 .91 23,062.50 4,589.41 Dovatron Intl.) 06-26-96 1 ,000 International Rectifier 15,119.31 16,124.45 11005. 14 06-26-96 1 ,000 Lifeline Systems, Inc. 11 ,250.00 13,461 .20 2,211 .20 06-26-96 800 Periphonics Corp. 192623.96 252944.00 6,320.04 • 3 • Longer Investments, Incorporated REALIZED GAINS AND LOSSES City of Fayetteville Police Pension Fund Combined Account From 01-01-96 Through 10-31-96 Cost Date Quantity Security Basis Proceeds Gain Or Loss 07-05-96 500 Clayton Homes 8,653.75 9,891 .33 12237.58 07-05-96 1 ,000 Lifeline Systems, Inc. 112250.00 13,086.20 13836.20 07-05-96 500 Periphonics Corp. 122264.98 17,162.50 41897.52 07-05-96 300 Personnel Group of America 4,517.50 7,099.76 2,582.26 07-10-96 800 Innovex hie. 18,400.00 13,744.00 -4,656.00 07-10-96 500 Periphonics Corp. 12,264.98 163090.00 3,825.02 07-10-96 550 Personnel Group of America 82282.08 13,436.05 5,153.97 07-12-96 1 ,500 Micron Technology 31 ,687.50 32,155. 17 467.67 07-17-96 1 ,600 JLG Industries 273980.00 302773.28 22793.28 07-18-96 -8 Intel Corporation July 70 Calls 21230.04 12364.95 -865.09 07-31 -96 -8 Phillip Morris August 105 1 ,200.00 12699. 19 499. 19 Calls 07-31 -96 200,000 U. S. Treasury Note 199,884.00 200,000.00 116.00 6.125 % Due 07-31 -96 08-05-96 500 Coherent, Inc. 20,165.00 22,089.65 1 ,924.65 08-09-96 1 ,000 Federal Signal 22,500.00 232874.20 1 ,374.20 • 08-13-96 500 Intemational Rectifier 8,812.50 91947.56 13135.06 08-13-96 600 Philip Morris 38,236.35 54,658. 17 162421 .82 08-13-96 500 Micron Technology 9,921 .87 11,999.59 2,077.71 08-19-96 600 DU Group (Formerly 162604.99 17,625.00 1 ,020.01 Dovatron Int'I.) 08-22-96 1 ,000 DII Group (Formerly 27,674.98 29,375.00 1 ,700.02 Dovatron Intl.) 08-23-96 600 Amgen Inc. 332792.00 37,650.00 3,858.00 08-26-96 700 JLG Industries 11 ,783.38 14,469.00 2,685.62 08-26-96 400 Staples, Inc. 6,338.30 7,900.00 1 ,561 .70 08-27-96 500 Lam Research 12,042.35 11 , 187.50 -854.85 08-28-96 400 Staples, Inc. 6,338.30 8,100.00 1 ,761 .70 09-11 -96 500 Micron Technology 9,921 .87 105812. 13 890.25 09-20-96 8 Motorola September 50 Puts 840.00 0.00 -840.00 09-24-96 400 JLG Industries 79008.02 72371 .75 363.73 09-24-96 500 Micron Technology 9,921 .87 15,061 .99 52140. 11 10-04-96 1 ,500 Lam Research 365127.05 383062.50 1 ,935.45 10-04-96 800 Motorola, Inc. 46,800.00 393298.68 -7,501 .32 10-10-96 1 Lucent Technologies 37.02 31 .72 -5.30 10-15-96 600 JLG Industries 10,512.03 81984.50 -1 ,527.53 10-16-96 1 ,000 JLG Industries 17,520.05 14,929.50 -21590.55 10-22-96 75,000 J.P. Morgan (Non-callable) 74,925.75 67,031 .25 -7,894.50 Rated AA3/AA 5.750 % Due 10-15-08 10-22-96 100,000 U. S. Treasury Note 1002093.75 95,590.00 -41503.75 5.875 % Due 11 - 15-05 10-23-96 1 ,100 Clayton Homes 19,038.25 18,424.38 -613.87 • 4 s C • Longer Investments, Incorporated REALIZED GAINS AND LOSSES City ofFayetteville Police Pension Fund Combined Account From 01-01-96 Through 10.31-96 Cost Date Quantity Security Basis Proceeds Gain Or Loss 10-23-96 500 AT & T 202893.65 18,811 .87 -2,081 .78 10-28-96 600 Coherent, Inc. 233775.00 21 ,262.50 -2,512.50 10-30-96 900 Dillards Dept. Stores 302712.50 270786.57 -2,925.93 TOTAL GAINS 302,709.68 TOTAL LOSSES -1502220.56 39130027.71 3,283,416.83 1529489.12 • • 5 C '"T • Longer Investments, Incorporated NOV ® 4 1996 PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund CffyCLERWS OFFICE Combined Account October 31, 1996 Unit Total Market Market Pct Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield COMMON STOCK 1 ,150 AT & T 41 .79 48,055.38 35.00 40,250.00 0.9 1 .320 1 ,518.00 3.8 1,500 ADT Limited 13.57 20,355.00 19.75 29,625.00 0.7 0.000 0.00 0.0 1 ,300 Baldor Electric 19.55 25,418.75 20.12 262162.50 0.6 0.400 520.00 2.0 1 ,400 Barrick Gold Corp. 19.26 26,968.28 26.12 361575.00 0.8 0.120 168.00 0.5 900 Bed Bath & Beyond 21.75 19,575.00 25.25 222725.00 0.5 0.000 0.00 0.0 1 ,100 Bristol Myers Squibb 86.13 94,747.32 105.75 116,325.00 2.6 3.000 3,300.00 2.8 500 Cleveland Cliffs 39.37 197687.50 41 .00 20,500.00 0.5 1 .300 650.00 3.2 1 ,087 Diebold, Inc. 20.34 22,112.58 57.50 62,502.50 1 .4 0.680 739.16 1 .2 1,400 Dover Corp. 43.64 617090.00 51 .37 719925.00 1 .6 0.600 840.00 1 .2 12400 Emerson Electric 66.25 92,751 .87 89.00 1243600.00 2.8 1 .960 2,744.00 2.2 1,225 General Electric 52.85 64,736.02 96.75 118,518.75 2.7 1 .840 22254.00 1 .9 1,200 Hanna, M. A. 21 .85 26,225.00 21 .25 252500.00 0.6 0.400 480.00 1 .9 2,000 Inco, Ltd. 33.08 66,165.00 31 .75 63,500.00 1 A 0.400 800.00 1 .3 1 ,000 Intel Corp 71 .65 71,650.00 109.87 109,875.00 2.5 0.160 160.00 0.1 1 ,500 Intimate Brands, Inc. 18.87 28r312.50 18.25 27,375.00 0.6 0.480 720.00 2.6 1 ,200 Jacobs Engineering 28.12 33,750.00 22.12 26,550.00 0.6 0.000 0.00 0.0 1 ,200 Leggett and Platt 30.12 362150.00 29.87 352850.00 0.8 0.480 576.00 1 .6 1 ,500 Lojack Corporation 10.69 162031 .25 10.37 15,562.50 0.4 0.000 0.00 0.0 534 Lucent Technologies 50.12 26,763.20 47.25 25,231 .50 0.6 0.300 160.20 0.6 • 500 Micron Technology 19.84 9,921 .87 25.00 127500.00 0.3 0.200 100.00 0.8 1 ,300 Mobil Corp. 101 .76 1329293.00 116.75 1517775.00 3.4 4.000 59200.00 3.4 1 ,200 Northern Trust Corp. 47.38 56,853.08 69.25 83,100.00 1 .9 1 .240 19488.00 1 .8 850 Philip Mortis 63.73 54,168.16 92.37 78,518.75 1 .8 4.800 4,080.00 5.2 1,500 Placer Dome, Inc. 26.44 39,667.50 24.00 362000.00 0.8 0.300 450.00 1 .2 1,500 Snap-On. Inc. 32.75 492125.00 32.12 48,187.50 1 .1 1 .080 1 ,620.00 3.4 2,250 Staples, Inc. 16.59 37r335.90 18.62 41 ,906.25 0.9 0.000 0.00 0.0 2,800 Walmart Stores 25.91 72,555.00 26.50 74,200.00 1 .7 0.210 588.00 0.8 1,252,464.17 1 ,525,340.25 34.4 29,155.36 1.9 CORPORATEBONDS 100,000 Philip Morris 100.54 1002543.50 103.31 103,312.50 2.3 9.250 9,250.00 9.0 (Non-callable) Rated A2/A 9.250 % Due 12-01-97 55,000 Pepsico (Non-callable) 99.31 54,618.30 100.19 55,103.39 1 .2 6.125 3,368.75 6.1 Rated Al/A 6.125 % Due 01-15-98 140,000 Wal-Mart Stores 101 .83 142,565.75 99.75 139,650.00 3.1 6.500 9,100.00 6.5 (Non-callable) Rated AAI/AA 6.500 % Due 06-01-03 Accrued Interest .8,637.74 0.2 2972727.55 306,703.64 6.9 21,718.75 7.3 GOVERNMENT BONDS 100,000 U. S. TreasuryNote 99.96 992958.00 100.16 100,156.25 2.3 7.250 77250.00 7.2 7.250 % Due 11-30-96 225,000 U. S. Treasury Note 99.89 224,751 .75 100.37 2252843.75 5.1 7.500 162875.00 7.5 • 7.500 % Due 12-31.96 1 • Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Combined Account October 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield 150,000 U. S. Treasury Note 99.94 149,910.50 101 .81 1522718.75 3.4 7.375 11 ,062.50 7.2 7.375 % Due 11-15-97 100,000 U. S. Treasury Note 99.36 992359.37 100.44 1002437.50 2.3 6.000 6,000.00 6.0 6.000 % Due 11-30-97 75,000 U. S. Treasury Note 99.99 74,99525 99.62 74,718.75 1 .7 5.250 3,937.50 5.3 5.250 % Due 12-31-97 50,000 U. S. Treasury Note 99.99 492996.00 100.50 50250.00 1 .1 6.000 31000.00 6.0 6.000 % Due 05-31-98 250,000 U. S. Treasury Note 99.93 2495820.00 100.91 252265.62 5.7 6.250 15,625.00 6.2 6.250 % Due 06-30-98 240,000 U. S. Treasury Note 99.95 2395882.00 100.87 242,100.00 5.5 6.250 15,000.00 6.2 6.250 % Due 07-31.98 50,000 U.S. Treasury Note 100.06 50,030.00 101 . 19 50,593.75 1 . 1 6.375 32187.50 6.3 6.375 % Due 05-15-99 50,000 U. S. Treasury Note 99.56 49,781.50 100.72 50,359.37 1.1 6.250 3,125:00 6.2 6.250 % Due 08-31-00 100,000 U. S. Treasury Note 99.00 99,000.00 107.50 107,500.00 2.4 8.000 8,000.00 7A 8.000 % Due 05-15-01 1002000 U. S. Treasury Note 101 .50 101,500.00 101 .09 1012093.75 2.3 6.375 6,375.00 6.3 6.375 % Due 08-15-02 155,000 U. S. Treasury Note 98.34 152,425.98 105.62 163,718.75 3.7 7.250 11 ,237.50 6.9 • 7.250 % Due 05-15-04 50,000 U. S. Treasury Note 99.97 492984.38 109.75 54,875.00 1 .2 7.875 37937.50 7.2 7.875 % Due 11-15-04 50,000 U. S. Treasury Note 99.87 49,937.50 101 .03 50,515.62 1 .1 6.500 3,250.00 6.4 6.500 % Due 08-15-05 50,000 U. S. Treasury Note 99.83 495914.06 93.94 469968.75 1 .1 6.250 37125.00 6.7 6.250 % Due 08-15-23 Accrued interest 432136.25 1 .0 1 ,791 ,246.30 12867,251 .87 42.1 1202987.50 6.6 GOVERNMENT AGENCY 100,000 Federal Home Loan Bank 100.31 10012.50 101 .56 101,562.50 2.3 6.690 6,690.00 6.6 (Non-callable) 6.690 % Due 05-16-01 60,000 Federal Home Loan Bank 100.06 60,035.00 99.44 59,662.50 1 .3 7.350 4,410.00 7.4 (Call 6-14.96 @ 100) 7.350 % Due 06-14-05 Accrued Interest 4,744.50 0.1 _ 1605347.50 165,969.50 3.7 11 ,100.00 6.9 CASH AND EQUIVALENTS Dividends Accrued 1 ,655.50 1 ,655.50 0.0 0.000 0.00 0.0 Money Market 572,801 .00 572,801 .00 12.9 4.760 27,265.33 4.8 574,456.50 574,456.50 12.9 27,265.33 4.7 TOTAL PORTFOLIO 4,076,242.02 41439,721.76 100.0 210,226.94 4.8 2 � . 4. C JE Longer Investments, Incorporated NOV 0 4 9996 PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund UTY CLEWS 0FROF Bond Account October 31, 1996 Unit Total Market Market Pct Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield CORPORATE BONDS 100,000 Philip Moms 100.54 100,543.50 103.31 103,312.50 6.9 9.250 97250.00 9.0 (Non-callable) Rated A2/A 9.250 % Due 12-01-97 55,000 Pepsieo (Non-callable) 99.31 542618.30 100.19 557103.39 3.7 6.125 3r368.75 6.1 Rated Al/A 6.125 % Due 01-15-98 140,000 Wal-Mart Stores 101 .83 142565.75 99.75 139,650.00 9.4 6.500 9,100.00 6.5 (Non-callable) Rated AAI/AA 6.500 % Due 06-01-03 Accrued Interest 8,637.74 0.6 297,727.55 3062703.64 20.5 21,718.75 7.3 GOVERNMENT BONDS 100,000 U. S. Treasury Note 99.96 992958.00 100.16 100,15625 6.7 7.250 7,250.00 7.2 7.250 % Due 11-30-96 100,000 U. S. Treasury Note 99.90 99,898.00 100.37 100,375.00 6.7 7.500 71500.00 7.5 • 7.500 % Due 12-31-96 100,000 U. S. Treasury Note 99.93 99,932.00 101 .81 101 ,812.50 6.8 7.375 7,375.00 7.2 7.375 % Due 11-15.97 75,000 U. S. Treasury Note 99.99 74,995.25 99.62 74,718.75 5.0 5.250 3,937.50 5.3 5250 % Due 12-31-97 240,000 U. S. Treasury Note 99.95 239,882.00 100.87 2422100.00 16.2 6.250 159000.00 6.2 6.250 % Due 07-31-98 50,000 U. S. Treasury Note 99.56 49,781 .50 100.72 50}59.37 3.4 6.250 3,125.00 62 6250 % Due 08-31-00 100,000 U. S. Treasury Note 99.00 99,000.00 107.50 107,500.00 7.2 8.000 8,000.00 7.4 8.000 % Due 05-15-01 45,000 U. S. Treasury Note 99.29 44,678.50 105.62 47,531 .25 3.2 7.250 37262.50 6.9 7.250 % Due 05-15-04 50,000 U. S. Treasury Note 99.87 49,937.50 101 .03 50,515.62 3.4 6.500 32250.00 6.4 6.500 % Due 08-15-05 50,000 U. S. Treasury Note 99.83 49,914.06 93.94 46,968.75 3.1 6.250 31125.00 6.7 6.250 % Due 08-15.23 Accrued Interest 21 ,043.96 1 .4 9079976.81 943,081 .46 63.2 61 ,825.00 6.7 GOVERNMENT AGENCY 60,000 Federal Home Loan Bank 100.06 60,035.00 99.44 59,662.50 4.0 7.350 4,410.00 7.4 (Call 6-14-96 Q 100) 7.350 % Due 06.14-05 Accrued Interest 17678.25 0.1 60,035.00 61 ,340.75 4.1 47410.00 7.4 • 1 • Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Bond Account October 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield CASH AND EQUIVALENTS Money Market 181 ,433.08 181 ,433.08 12.2 64.760 8,636.21 4.8 181,433.08 181 ,433.08 12.2 82636.21 4.8 TOTAL PORTFOLIO 11447,172.44 194929558.92 100.0 96,589.96 6.6 • • 2 All. ` B Longer Investments, Incorporated N®m ® 4 W6 • PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund offer' ARK'S OFF=[ir��t= Stock Account October 31, 1996 Unit Total Market Market Pct Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield COMMON STOCK 1,150 AT & T 41 .79 48,055.38 35.00 40,250.00 1 .4 1.320 1,518.00 3.8 1,500 ADT Limited 13.57 2055.00 19.75 29,625.00 1 .0 0.000 0.00 0.0 1,300 Baidor Electric 19.55 25,418.75 20.12 26,162.50 0.9 0.400 520.00 2.0 1,400 Barrick Gold Corp. 19.26 267968.28 26.12 365575.00 1 .2 0.120 168.00 0.5 900 Bed Bath & Beyond 21 .75 19,575.00 25.25 22,725.00 0.8 0.000 0.00 0.0 1 ,100 Bristol Myers Squibb 86.13 94,747.32 105.75 116,325.00 3.9 3.000 3,300.00 2.8 500 Cleveland Cliffs 39.37 19,687.50 41.00 20,500.00 0.7 1.300 650.00 3.2 1 ,087 Diebold, Inc. 20.34 22,112.58 57.50 629502.50 2.1 0.680 739.16 1 .2 1 ,400 Dover Corp. 43.64 61,090.00 51.37 71 ,925.00 2.4 0.600 840.00 1 .2 1 ,400 Emerson Electric 66.25 92,751 .87 89.00 124,600.00 4.2 1 .960 2,744.00 2.2 1,225 General Electric 52.85 642736.02 96.75 1185518.75 4.0 1.840 2,254.00 1 .9 1 ,200 Hanna, M. A. 21 .85 26,225.00 21.25 257500.00 0.9 0.400 480.00 1 .9 2,000 Ineo, Ltd. 33.08 66,165.00 31.75 637500.00 2.2 0.400 800.00 1 .3 1 ,000 Intel Corp 71 .65 71,650.00 109.87 109,875.00 3.7 0.160 160.00 0.1 1,500 Intimate Brands, Inc. 18.87 28,312.50 18.25 27,375.00 0.9 0.480 720.00 2.6 1,200 Jacobs Engineering 28.12 33,750.00 22.12 26,550.00 0.9 0.000 0.00 0.0 1,200 Leggett and Platt 30.12 360150.00 29.87 35,850.00 1 .2 0.480 576.00 1 .6 1 ,500 Lojack Corporation 10.69 16,031 .25 10.37 15,562.50 0.5 0.000 0.00 0.0 534 Lucent Technologies 50.12 26,763.20 47.25 25,231 .50 0.9 0.300 160.20 0.6 • 500 Micron Technology 19.84 9,921 .87 25.00 12,500.00 0.4 0.200 100.00 0.8 1,300 Mobil Corp. 101 .76 132,293.00 116.75 151 ,775.00 5.1 4.000 5,200.00 3.4 19200 Northern Trust Corp. 47.38 567853.08 69.25 83,100.00 2.8 1 .240 1 ,488.00 1 .8 850 Philip Morris 63.73 54,168.16 92.37 78,518.75 2.7 4.800 4,080.00 5.2 1,500 Placer Dome, Inc. 26.44 39,667.50 24.00 36,000.00 1 .2 0.300 450.00 1 .2 1,500 Snap-On, Inc. 32.75 49,125.00 32.12 48,187.50 1.6 1 .080 1 ,620.00 3.4 2,250 Staples, Inc. 16.59 3735.90 18.62 41,906.25 1 .4 0.000 0.00 0.0 2,800 Walmart Stores 25.91 72,555.00 26.50 74,200.00 2.5 0.210 588.00 0.8 1 ,252,464.17 11525,340.25 51 .8 29,155.36 1 .9 GOVERNMENT BONDS 125,000 U. S. Treasury Note 99.88 124,853.75 100.37 1252468.75 4.3 7.500 93375.00 7.5 7.500 % Due 12-31-96 50,000 U. S. Treasury Note 99.96 49,978.50 101 .81 50,906.25 1 .7 7.375 3,687.50 72 7.375 % Due 11-15-97 100,000 U. S. Treasury Note 99.36 99,359.37 100.44 100,437.50 3.4 6.000 6,1100.00 6.0 6.000 % Due 11-30-97 50,000 U. S. Treasury Note 99.99 49,996.00 100.50 50,250.00 1 .7 6.000 32000.00 6.0 6.000 % Due 05-31-98 250,000 U. S. Treasury Note 99.93 249,820.00 100.91 252,265.62 8.6 6.250 15,625.00 6.2 6.250 % Due 06-30-98 50,000 U.S. Treasury Note 100.06 50,030.00 101 .19 502593.75 1 .7 6.375 3,187.50 6.3 6.375 % Due 05-15-99 100,000 U. S. Treasury Note 101 .50 101,500.00 101 .09 101 ,093.75 3.4 6.375 6,375.00 6.3 6.375 % Due 08.15-02 110,000 U. S. Treasury Note 97.95 1072747.48 105.62 116,187.50 3.9 7.250 71975.00 6.9 7.250 % Due 05-15-04 50,000 U. S. TreasuryNote 99.97 49,984.38 109.75 54,875.00 1 .9 7.875 3,937.50 7.2 7.875 % Due 11-15-04 1 Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Stock Account October 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield Accrued Interest 22,092.29 0.7 883,269.48 9243170.42 31 .4 59,162.50 6.6 GOVERNMENT AGENCY 100,000 Fcdcml Home Loan Bank 100.31 100,312.50 101.56 101 ,562.50 3.4 6.690 6,690.00 6.6 (Non-callable) 6.690 % Due 05-16-01 Accrued Interest - 3066.25 0.1 _ 100,312.50 104,628.75 3.6 6,690.00 6.6 CASH AND EQUIVALENTS Dividends Accrued 11655.50 1,655.50 0.1 0.000 0.00 0.0 Money Market 391,367.92 391 ,367.92 13.3 4.760 18,629.11 4.8 393,023.42 3937023.42 13.3 18,629.11 4.7 TOTAL PORTFOLIO 21629,069.57 239473162.84 100.0 113,636.97 3.9 • 2