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HomeMy WebLinkAbout2012-08-28; City Council; 20987; Report on City Investments June 30, 201211 CITY OF CARLSBAD - AGENDA BILL AB# 20.987 REPORT ON CITY INVESTMENTS DEPT. HEAD ^ MTG. 8/28/12 ASOF JUNE 30, 2012 CITYATTY. DEPT. TRS CITY MGR. RECOMMENDED ACTION: Accept and file report. ITEM EXPLANATION: The City's Investment Policy requires the City Treasurer to report to the City Council on a monthly basis the status of the City's pooled investment portfolio. A quarteriy report is also required for the investments of bond proceeds held separately. The City's pooled investment portfolio as of the month ended June 30, 2012 is summarized below. Pooled Investment Portfolio (Cash and Securities) Current Month Prior Month Par Value 620,564,676 620,693,982 Cost of Investments 628,587,917 628,852,346 Amortized Cost (1) 625,255,175 625,096,375 Market Value (2) 629,098,686 629,190,082 (1) The cost of investments adjusted for amortized premiums and discounts. (2) The amount at which the investments could be sold. Source of market values is Union Bank of California's custodial report as of 06/30/12. The equity portion ofthe various funds in the total portfolio is summarized in the graph below. Fund balances are restricted for various purposes. See Exhibit 8 for a more detailed breakdown. FUND EQUITY IN POOLED INVESTMENTS (Dollar Amounts in Millions) General $80 Internal Service $33 Agency/Other Enterprise $145 Special Revenue $52 Capital Projects $298 Total Treasurer's Investment Portfolio at Amortized Cost June 30,2012 $625 million FOR CITY CLERKS USE ONLY. COUNCIL ACTION: APPROVED • CONTINUED TO DATE SPECIFIC • DENIED • CONTINUED TO DATE UNKNOWN • CONTINUED • RETURNED TO STAFF • WITHDRAWN • OTHER-SEE MINUTES AMENDED • COUNCIL RECEIVED THE REPORT/PRESENTATON DEPARTMENT CONTACT: Nancy Sullivan (760) 602-2473 NancvSullivan@carlsbaaca.gov PAGE 2 OF AB REPORT ON CITY INVESTMENTS AS OF JUNE 30. 2012 Pooled Investment Interest Income Current Month FYTD Prior Month FYTD Current Month Income Cash Income Fiscal Year-to-Date * 12,365,589 11,409,585 956,004 'The cash income received is adjusted for any accrued interest purchased. Pooled Investment Performance/Measurement Average Life (Years) Average Yield To Maturity Modified Duration April 2012 2.12 1.50% 2.033 May 2012 2.13 1.43% 2.050 June 2012 2.21 1.36% 2.128 All pooled investments have been made in accordance with the City's Investment Policy adopted January 2, 1985 and last revised June 21, 2011. All investments were initially made in accordance with the City's Investment Policy. Events subsequent to the purchase might have resulted in some investments not being in compliance with the current policy. These events are typically a change in the City's Investment Policy, a change in the credit rating subsequent to a purchase, or a temporary reduction in total portfolio assets. See Exhibit 9 for details. The pooled investment portfolio has the ability to meet the City's cash flow demands for the next six (6) months. Investment Portfolio for Bond Proceeds Current Quarter Prior Quarter Par Value 17,707,241 17,705,458 Cost 17,707,241 17,705,458 EXHIBITS FOR POOLED INVESTMENTS: 1. Investment Portfolio Breakdown By Amortized Cost, Market Value, Cash Income, and Average Yield 2. Investment Portfolio Breakdown Of Maturities 3. Yield Comparison Graph 4. Market Yield Curve 5. Cumulative Cash Income Graph 6. Fourth Quarter Transactions 7. Detailed Investment Report 8. Fund Equity in Pooled Investments 9. Corporate Note and Commercial Paper Ratings 10. Percentage Weightings By Corporate Note Issuer EXHIBIT FOR INVESTMENTS OF BOND PROCEEDS HELD SEPARATELY: 11. Detailed Investment Report - Quarteriy Report EXHIBIT FOR SUMMARY OF OUTSTANDING HOUSING LOANS: 12. Detail Of Outstanding Housing Loans - Quarterly Report CITY OF CARLSBAD INVESTMENT PORTFOLIO AS OF JUNE 30, 2012 BREAKDOWN BY AMORTIZED COST, MARKET VALUE, CASH INCOME, AND AVERAGE YIELD BY CLASS AMORTIZED COST MARKET VALUE AVERAGE YIELD Cash Income Class Current Month Prior Month Current Month Prior Month Year to Date Current Month Prior Month CD 8,689,693 7,944,601 8,720,001 7,974,279 70.456 0.84 0.85 FN 16,082,103 16,064,145 16,155,347 16,157.385 0 1.20 1.20 CP 0 0 0 0 0 0.00 0.00 TR 2,015,477 2,016,530 2,068,400 2,074,180 142.500 2.44 2.44 FA 295,919,697 295,631,188 298,435,170 298,384,734 8.088,394 1.53 1.66 CN 162,476,530 161,593,928 163,648,092 162,753,522 3.617,399 1.92 1.97 LAIF 136,673,563 137,969,563 136,673,563 137,969,563 445.724 0.36 0.37 CUSTODY 108,268 -108,268 0 17 0.00 0.00 SWEEP 2,890,207 2,620,244 2,890,207 2,620,244 1,100 0.02 0.02 BANK ACCT 399,638 1,256,175 399,638 1.256,175 0 0.02 0.02 TOTALS $625,255,175 $625,096,375 $629,098,686 $629,190,082 12,365.589 1.36% 1.43% CD - Certificate of Deposit FN - Federal Discount Notes CP - Corporate Paper TR - US Treasury FA - Federal Agency CN - Corporate Notes LAIF - Local Agency Investment Fund Custody - Investment Cash account SWEEP - General Fund Ovemight Cash acccount Bank Account - General Fund Cash account W X ffl H td H CITY OF CARLSBAD INVESTMENT PORTFOLIO AS OF JUNE 30, 2012 BREAKDOWN OF MATURITIES BY CLASSIFICATION AND LENGTH OF TIME CLASS CD FN CP TR FA CN LAIF CUSTODY SWEEP BANK ACCT TOTALS % TOTALS Total within One Year WITHIN 6 MONTHS 0 1,793,820 0 0 50,326,055 9,162,219 136,673,563 108,268 2,890,207 399,638 $201,353,769 (1) 32.0% 7 MONTHS TO 1 YEAR 0 0 0 0 16,447,942 14,443,800 0 0 0 0_ $30,891,741 (1) 4.9% $232,245,510 (1) 37.0% 1 TO 5 YEARS 8,689,526 13,862,925 0 2,062,109 231,711,117 140,016,730 0 0 0 0_ $396,342,407 63.1% TOTAL 8,689,526 15,656,745 0 2,062,109 298,485,113 163,622,749 136,673,563 108,268 2,890,207 399,638 $628,587,917 100.0% POLICY: (1) Not less than $129,000,000 to mature within one year. (2/3rds of current year operating budget of $193,817,000.00) (2) Policy states that not more than 30% of portfolio is to be invested in corporate notes. % TOTAL 1.4% 2.5% 0.0% 0.3% 47.5% 26.0% (2) 21.7% 0.0% 0.5% 0.1% 100.0% M X ffl H dd H NJ YIELD COMPARISON PORTFOLIO EX-LAIF VS. LAIF JULY 1998-JUNE 2012 X ffl H dd H MARKET YIELD CURVE 6/30/10,6/30/11,6/30/12 Market Rates 10 Yr 3 Mth 2 Yr 5 Yr 10 Yr -^06/30/2010 .17 .60 1.77 2.93 06/30/2011 .01 .46 1.76 3.16 -«..06/30/2012 .07 .25 0.62 1.45 td X ffl H dd H 4^ Cumulative Cash Income FYll-12 Cumulative Millions $ (June 2012) Monthly Interest Income Millions $ 14 12 10 8 4 2 1.238^ f1.078 ^1.143 1-145 0.835 0.97 0.83 ""f^^ 0.745 0.96 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Interest Income "»"Budget -ii-Actual 8 7 6 5 4 3 2 1 M » H ta H 1-3 City of Cartsbad TRANSACTIONS FOR PERIOD: 04/01/12 TO 06/30/12 4TH QUARTER 2011-2012 Trans Investment Date Date Typt BUYS APRIL 03/30/2012 04/04/2012 CN 04/02/2012 04/05/2012 CN 04/10/2012 04/13/2012 CN 04/10/2012 04/11/2012 CN 04/11/2012 04/16/2012 CD 04/11/2012 04/16/2012 CD 04/12/2012 04/17/2012 CN 04/18/2012 04/23/2012 CN 04/17/2012 04/20/2012 CD 04/25/2012 04/26/2012 FA 04/25/2012 04/26/2012 FA 04/26/2012 04/27/2012 FA 04/25/2012 04/30/2012 CD MAY 04/27/2012 05/02/2012 CN 05/02/2012 05/03/2012 FA 05/01/2012 05/04/2012 CD 05/07/2012 05/08/2012 FA 05/01/2012 05/09/2012 CD 04/25/2012 05/10/2012 FA 05/10/2012 05/15/2012 CN 05/08/2012 05/18/2012 CD 05/18/2012 05/21/2012 FA 05/08/2012 05/22/2012 CD 05/02/2012 05/24/2012 FA 05/11/2012 05/30/2012 FA 05/16/2012 05/31/2012 CD 05/23/2012 05/24/2012 FA 05/21/2012 05/29/2012 FA JUNE 05/30/2012 06/08/2012 CD 06/12/2012 06/20/2012 CD 06/06/2012 06/13/2012 CD 06/19/2012 06/20/2012 FA 05/31/2012 06/04/2012 FA 06/19/2012 06/20/2012 FA 06/01/2012 06/04/2012 FA 05/31/2012 06/01/2012 FA 06/05/2012 06/06/2012 FA Securitv MET LIFE INSTITUTIONAL BERKSHIRE HATAWAY PROCTER & GAMBLE FNMA CAPAHA BANK BANK OF GEORGETOWN PROCTER & GAMBLE WAL-MART STORES PLUS INTERNATIONAL FNMA FFCB FFCB STERLING SAVINGS BANK TOYOTA FNMA HERITAGE BANK OF COMM FNMA GEORGIA BANK & TRUST FNMA WAL-MART STORES NORTH JERSEY COMMUNIT FNMA STATE BANK & TRUST CO FHLMC FHLMC CRESCENT BANK & TRUST FNMA FNMA HUNTINGTON NATL BANK FIRST NATL BANK OMAHA SOVEREIGN BANK FNMA FNMA FNMA FFCB FNMA FNMA Call Par Amount Return Date Value CouDon (Cost) Rate Interest N/A 2,000,000.00 1.48% FLOAT 2,014,740.00 0.950% 44,500.00 N/A 2,000,000.00 5.500% 2,236,460.00 0.700% 37,317.78 N/A 1,000,000.00 4.850% 1,147,830.00 0.760% 30,272.78 01/30/2013 4,000,000.00 0.75% STEP 3,998,000.00 1.528% 296,083.33 N/A 249,000.00 1.100% 249,000.00 1.100% 5,503.55 N/A 249,000.00 1.000% 249,000.00 1.000% 5,402.96 N/A 3.000,000.00 3.150% 3,242.427.56 0.720% 76,247.44 N/A 3,000,000.00 5.375% 3,568,354.19 1.400% 229,833.31 N/A 249,000.00 0.850% 249,000.00 0.850% 6,520.35 03/08/2013 4,000,000.00 1.200% 4,000,000.00 1.200% 233,600.00 04/25/2013 3,000,000.00 1.200% 2.998,200.00 1.212% 181,700.00 07/18/2012 2,400,000.00 0.950% 2,400,000.00 0.950% 90,630.00 N/A 248,000.00 0.750% 248,000.00 0.750% 4,749.36 N/A 4,000.000.00 0.5% STEP 4,000,000.00 1.000% 119.888.89 03/28/2013 1,655,000.00 1.01% STEP 1,655,000.00 1.304% 106,280.88 N/A 249,000.00 0.800% 248,004.00 0.900% 8,953.05 02/27/2014 3,000,000.00 0.550% 3,002,700.00 0.518% 43,545.83 N/A 248,000.00 0.700% 247,628.00 0.750% 5,589.51 05/10/2013 5,000,000.00 1.300% 5,000,000.00 1.300% 325,000.00 N/A 2,630,000.00 1.500% 2.696.944.02 0.750% 68,939.31 N/A 248,000.00 0.850% 247.008.00 0.950% 9,429.77 02/21/2013 4,000,000.00 1.100% 3.988,000.00 1.165% 221,000.00 N/A 249,000.00 0.800% 248,004.00 0.900% 8,974.88 05/24/2013 5,000,000.00 1.200% 4,995,000.00 1.221% 305,000.00 05/30/2014 5,000,000.00 1.200% 5,000,000.00 1.200% 300,000.00 N/A 249,000.00 0.900% 248,502.00 0.950% 9,468.06 02/28/2014 2,050,000.00 1.150% 2,050,000.00 1.150% 112,243.19 05/29/2013 5,000,000.00 0.650% 5,000,000.00 0.650% 97,500.00 N/A 248,000.00 0.750% 248,000.00 0.750% 4,652.55 N/A 249,000.00 0.700% 249,000.00 0.700% 3,486.00 N/A 248,000.00 0.650% 248,000.00 0.650% 3,224.00 N/A 5,000,000.00 2.250% 5,285,278.17 0.700% 135,034.33 06/14/2013 3,900,000.00 0.710% 3.900,000.00 0.710% 96,915.00 N/A 4,000,000.00 2.000% 4,186,600.00 0.660% 95,622.22 08/01/2012 3,000,000.00 0.770% 3,000,000.00 0.770% 84,507.50 05/17/2013 4,000,000.00 0.5% STEP 3,999,800.00 1.102% 164,422.22 05/23/2013 2,000,000.00 1.000% 1,999,000.00 1.011% 90,277.78 Investment Return 2,059 2,273 1,178 4,294 254, 254, 3,318, 3,798, 255, 4,233 3,179 2,490 252 240.00 777.78 ,102.78 ,083.33 ,503.55 ,402.96 ,675.00 ,187.50 ,520.35 ,600.00 900.00 630.00 ,749.36 4,119 1,761 256 3,046 253 5,325, 2.765, 256, 4,209, 256, 5,300. 5,300 257 2,162 5,097, .888.89 ,280.88 ,957.05 ,245.83 ,217.51 ,000.00 ,883.33 ,437.77 ,000.00 ,978.88 ,000.00 ,000.00 ,970.06 ,243.19 500.00 252,652.55 252,486.00 251.224.00 5,420,312.50 3,996,915.00 4,282,222.22 3.084,507.50 4,164,222.22 2,089,277.78 td X ffl H dd M City of Carisbad TRANSACTIONS FOR PERIOD: 04/01/12 TO 06/30/12 4TH QUARTER 2011-2012 Trans Investment Call Par Amount Return Investment Date Date Type Security Date Value Coupon (Cost) Rate Interest Return 06/01/2012 06/04/2012 FA FNMA 05/17/2013 4,000,000.00 0.625% STEP 4,000,000.00 1.566% 313,819.44 4,313,819.44 05/16/2012 06/07/2012 FA FHLMC 06/07/2013 4,000,000.00 1.300% 4,000,000.00 1.300% 260.000.00 4,260,000.00 06/26/2012 06/27/2012 FA FFCB 06/21/2013 5,000,000.00 0.800% 5,002,500.00 0.786% 146.833.33 5,149,333.33 05/24/2012 06/05/2012 CN HSBC BANK USA N/A 5,000,000.00 1.925% FLOAT 5,000,000.00 1.507% 380,000.00 5,380,000.00 TOTAL FOURTH QUARTER 2011-2012 104,618,000.00 106,345,979.94 1.039% 4,762.968.60 111,108,948.54 MATURITIES APRIL 05/21/2007 FA FFCB 2,000,000.00 4.875% 1,987,880.00 5.015% 489,057.50 2,476,937.50 04/21/2009 CN BERKSHIRE HATAWAY N/A 1,000,000.00 4.000% 1,022,563.95 3.200% 96,769.38 1,119,333.33 04/23/2009 CN BERKSHIRE HATAWAY N/A 2,000,000.00 4.000% 2,039,340.00 3.300% 198,882.22 2,238,222.22 04/30/2008 CN PRINCIPAL LIFE INC N/A 1,000,000.00 4.500% 1,000,000.00 4.500% 178,375.00 1,178,375.00 MAY 07/25/2007 FA TVA N/A 2,000,000.00 6.790% 2,130,980.00 5.235% 524,632.22 2,655,612.22 10/19/2009 FA TVA N/A 3,000,000.00 6.790% 3,399,498.48 1.534% 128,989.85 3,528,488.33 02/18/2009 FN FICO N/A 1,000,000.00 0.000% 916.713.56 2.710% 83,286.44 1,000,000.00 02/25/2009 FN FICO N/A 2,000,000.00 0.000% 1.826,280.00 2.850% 173,720.00 2,000,000.00 03/02/2009 FN FICO N/A 2,000,000.00 0.000% 1,818,680.00 3.000% 181.320.00 2,000,000.00 JUNE 07/25/2007 FA FHLB N/A 1,000,000.00 5.375% 1,005,040.00 5.255% 256,692.64 1,261,732.64 07/25/2007 FA FHLB N/A 1,000,000.00 5.375% 1,005.254.43 5.250% 256,478.21 1,261,732.64 07/15/2008 FA FHLB N/A 3,000,000.00 4.375% 3.050,958.11 3.900% 460,552.31 3,511,510.42 05/20/2010 FA FHLB N/A 5,000,000.00 1.375% 5,036,422.30 1.015% 104,515.20 5,140,937.50 10/20/2009 FA FFCB N/A 3,000.000.00 2.125% 3,049,023.21 1.496% 120,622.62 3,169,645.83 11/25/2009 FA FFCB N/A 2,000,000.00 5.450% 2,210,347.28 1.280% 70,024.94 2,280,372.22 08/31/2007 CN GENERAL ELECTRIC N/A 1,000,000.00 6.000% 1,033,437.31 5.200% 253,896.02 1,287,333.33 05/30/2008 CN GENERAL ELECTRIC N/A 1,000,000.00 6.000% 1,052,958.51 4.550% 189,541.49 1,242.500.00 02/08/2010 CN GENERAL ELECTRIC N/A 2,000,000.00 6.000% 2,174,860.00 2.167% 107,473.33 2,282.333.33 TOTAL FOURTH QUARTER 2011-2012 35,000,000.00 35,760,237.14 2.903% 3,874,829.37 39,635.066.51 CALLS APRIL 07/20/2011 FA FNMA 04/13/2012 2,000,000.00 2.000% 2,019,620.00 1.730% 129,602.22 2,149,222.22 04/18/2011 FA FHLB 04/18/2012 2,000,000.00 2.700% 2,000,000.00 2.700% 270,000.00 2,270,000.00 10/19/2011 FA FHLMC 04/19/2012 5,000,000.00 0.500% 5,000,000.00 2.585% 659,375.00 5.659,375.00 05/10/2011 FA FHLB 04/20/2012 2,000,000.00 2.000% 2,011,380.00 1.850% 146,397.78 2,157,777.78 10/03/2011 FA FFCB 04/24/2012 5,000,000.00 1.480% 5,000,000.00 1.480% 370,000.00 5,370,000.00 04/25/2011 FA FNMA 04/25/2012 2,000,000.00 2.650% 1,999,000.00 2.661% 266,000.00 2,265.000.00 10/27/2011 FA FHLB 04/27/2012 5,000,000.00 0.5% STEP 4,996,250.00 1.870% 472,500.00 5,468,750.00 City of Carisbad TRANSACTIONS FOR PERIOD: 04/01/12 TO 06/30/12 4TH QUARTER 2011-2012 Trans Investment Call Par Date Date Type Securitv Date Value MAY 05/03/2011 FA FAMCA 05/02/2012 2,000,000.00 11/16/2011 FA FNMA 05/16/2012 5,000,000.00 11/16/2011 FA FNMA 05/16/2012 5,000,000.00 08/10/2011 FA FNMA 05/23/2012 5,000,000.00 11/23/2010 FA FFCB 05/23/2012 2,000,000.00 02/28/2011 FA FHLB 05/29/2012 2,235,000.00 JUNE 2,235,000.00 06/29/2011 FA FHLMC 06/29/2012 2,000,000.00 06/29/2011 FA FFCB 06/29/2012 2,000,000.00 09/09/2011 FA FHLB 06/09/2012 5,000,000.00 09/29/2011 FA FNMA 06/28/2012 5,000,000.00 06/29/2011 FA FNMA 06/29/2012 4,000,000.00 06/29/2011 FA FHLMC 06/29/2012 2,000,000.00 Coupon 2.550% 1.350% 1.800% 2.000% 2.000% 2.000% 1.250% 1.600% 0.625% STEP 1.25% STEP 1.5% STEP 2.100% Amount (Cost) 2,000,000.00 4,962,500.00 5,000,000.00 5,039,000.00 2.000,000.00 2,235,000.00 2.000.000.00 2.000,000.00 4,990,000.00 5,000,000.00 4,000,000.00 2,000,000.00 Return Rate 2.550% 1.506% 1.800% 1.809% 2.000% 2.000% 1.250% 1.600% 1.988% 1.445% 2.250% 2.100% Interest 254,858.33 375,000.00 450.000.00 389.611.11 200,000.00 190,099.17 87,500.00 128,000.00 503.750.00 362.326.39 450,000.00 210,000.00 Investment Return 2,254,858.33 5,337,500.00 5,450,000.00 5,428,611.11 2,200,000.00 2,425,099.17 2,087,500.00 2,128,000.00 5,493,750.00 5,362,326.39 4,450,000.00 2,210,000.00 TOTAL FOURTH QUARTER 2011-2012 64,235,000.00 64,252,750.00 1.911% 5,915,020.00 70,167.770.00 INVESTMENT REPORT AS OF JUNE 30,2012 ESTMENT PAR INVESTED RETURN INVESTMENT TERM DATE TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Days) 01/20/2010 FA FHLMC 5.125% NON-CALL 1,000,000.00 1,092,760.00 1.320% 34,653.19 1,127,413.19 907 08/05/2008 FA FFCB 3.950% NON-CALL 2,000,000.00 2,002,900.00 3.910% 310,466.67 2,313,366.67 1,448 03/24/2010 FA FHLB 1.25% NON-CALL 2,000,000.00 2,000,352.89 1.243% 58,188.78 2,058,541.67 856 06/04/2010 FA FHLMC 1.125% NON-CALL 5,000,000.00 5,004,198.09 1.085% 116,583.16 5,120.781.25 784 12/24/2009 FA FNMA 5.00% NON-CALL 1,037,000.00 1,127,519.73 1.567% 44,578.33 1.172,098.06 952 01/25/2010 FA FAMCA 2.1% NON-CALL 1,000,000.00 1,015,908.69 1.460% 37,466.31 1,053,375.00 928 01/20/2010 FA FNMA 1.75% NON-CALL 1,000,000.00 1,009,004.81 1.390% 35,717.41 1,044,722.22 933 03/16/2010 FA FNMA 1.75% NON-CALL 3,000.000.00 3,034,050.00 1.268% 91,950.00 3,126,000.00 878 01/29/2009 FA FHLB 4.625% NON-CALL 2.000.000.00 2,150,960.00 2.391% 176,901.11 2,327,861.11 1,294 12/24/2009 FA FHLB 4.625% NON-CALL 1,000,000.00 1,078,810.00 1.567% 43,367.08 1,122,177.08 965 06/04/2010 FA FHLB 2.4% NON-CALL 1.000,000.00 1,027.049.96 1.150% 25,683.37 1,052,733.33 803 06/04/2010 FA FHLB 1.1 % NON-CALL 4,000,000.00 4,000,013.10 1.100% 98,253.57 4.098.266.67 816 05/05/2008 FA FHLB 5.00% NON-CALL 1,175,000.00 1,238,814.19 3.640% 192.237.89 1.431,052.08 1,593 08/22/2008 FA FHLB 4.5% NON-CALL 1,000,000.00 1,022,730.00 3.889% 160.020.00 1,182,750.00 1,484 06/04/2010 FA FHLB 2.00% NON-CALL 5.000.000.00 5,091,850.00 1.180% 135,927.78 5,227,777.78 833 03/08/2010 FA FHLMC 2.125% NON-CALL 3.000.000.00 3,058,800.00 1.336% 102,877.08 3,161,677.08 928 10/01/2009 FA FFCB 1.80% NON-CALL 1,000,000.00 1,003,470.00 1.680% 50,180.00 1,053,650.00 1,089 11/25/2009 FA FFCB 1.80% NON-CALL 3,000.000.00 3,032,750.01 1.405% 120,099.99 3,152,850.00 1,034 05/11/2009 FA FHLMC 3.875% NON-CALL 1.000.000.00 1,063,510.00 1.928% 67,701.81 1,131,211.81 1,238 12/10/2007 FA FFCB 4.5% NON-CALL 2,000,000.00 2,034,780.00 4.100% 401,970.00 2,436,750.00 1,773 06/04/2010 FA FHLB 1.375% NON-CALL 3,000,000.00 3,012,394.24 1.200% 86,720.34 3,099,114.58 878 06/03/2008 FA FNMA 6.41% NON-CALL 1,807,000.00 1,990,388.82 3.890% 331,405.40 2,321,794.22 1,624 07/01/2010 FA FHLMC 4.125% NON-CALL 3,000,000.00 3,233,040.00 0.939% 72,897.50 3,305,937.50 904 01/14/2008 FA FHLB 4.25% CALL 10/14/08 3,000,000.00 3,000,000.00 4.250% 637,500.00 3,637,500.00 1,827 10/20/2009 FA FFCB 5.15% NON-CALL 1,000,000.00 1,102,490.00 1.926% 67,316.94 1,169,806.94 1,206 10/07/2010 FA FFCB 3.4% NON-CALL 1,065,000.00 1.133,986.44 0.600% 15,503.56 1,149,490.00 854 03/10/2008 FA FHLB 3.50% NON-CALL 3,000,000.00 2,963,940.00 3.765% 560,476.67 3,524,416.67 1,824 10/20/2009 FA FHLMC 4.25% NON-CALL 500,000.00 536,967.86 2.100% 39,296.03 576,263.89 1,310 10/20/2009 FA FHLMC 4.0% NON-CALL 500,000.00 532,794.50 2.120% 40,094.39 572,888.89 1,331 11/10/2008 FA FHLB 5.375% NON-CALL 1,000,000.00 1,065,788.37 3.800% 181,163.02 1,246,951.39 1,677 08/13/2009 FA FHLB 4.25% NON-CALL 2,000,000.00 2,130,988.03 2.450% 195,081.41 2,326,069.44 1,401 05/25/2010 FA FFCB 1.375% NON-CALL 2.000,000.00 1,993,760.00 1.479% 91,031.67 2,084,791.67 1,127 12/28/2009 FA FHLB 1.85% NON-CALL 2,000,000.00 1,987,226.45 2.040% 142,273.55 2,129,500.00 1,278 08/27/2008 FA FNMA 4.375% NON-CALL 2,000,000.00 2,035,600.00 3.970% 392,177.78 2,427,777.78 1,785 08/19/2009 FA FFCB 2.7% NON-CALL 1,000,000.00 1,005,669.88 2.550% 102,330.12 1,108,000.00 1,461 11/12/2008 FA FHLB 4.0% NON-CALL 1,000,000.00 1,007,890.00 3.818% 184,776.67 1,192,666.67 1,759 12/17/2008 FA FHLB 4.375% NON-CALL 2,000.000.00 2,154,940.00 2.625% 259,712.78 2,414,652.78 1,731 03/24/2010 FA FHLMC 4.125% NON-CALL 3.000.000.00 3,222,330.00 1.930% 211,826.25 3.434.156.25 1,283 02/23/2010 FA FFCB 3.875% NON-CALL 1,000,000.00 1,065,180.00 2.000% 75,181.11 1,140,361.11 1,322 10/19/2011 FA FNMA 1.125% NON-CALL 5,000,000.00 5,061,150.00 0.500% 49,631.25 5,110,781.25 720 td X ffl H dd H 1^ INVESTMENT REPORT AS OF JUNE 30,2012 INVESTMENT DATE 04/15/2010 10/19/2009 01/20/2009 02/12/2010 09/17/2010 03/24/2010 10/20/2009 08/01/2011 03/24/2010 09/08/2010 03/24/2010 03/24/2010 11/07/2011 01/23/2012 05/08/2012 06/04/2010 02/23/2012 05/29/2012 07/27/2011 03/30/2011 04/04/2011 09/14/2010 09/21/2010 10/28/2010 06/04/2012 06/20/2012 06/04/2012 03/01/2012 06/01/2012 02/22/2012 02/24/2012 06/20/2012 06/27/2012 04/27/2012 04/27/2011 08/15/2011 08/22/2011 08/29/2011 10/06/2011 10/11/2011 10/12/2011 TYPE PAR INVESTED RETURN INVESTMENT TERM TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Davs) FA FHLB 2.00% NON-CALL 2,000,000.00 2,000,000.00 2.000% 140.000.00 2,140,000.00 1,279 FA FFCB 5.350% NON-CALL 2,000,000.00 2,235,072.36 2.264% 193.522.08 2,428,594.44 1,463 FA FHLB 3.125% NON-CALL 2,000,000.00 2,047,941.08 2.600% 258,135.31 2,306,076.39 1,788 FA FFCB 3.00% NON-CALL 1,000,000.00 1,028.536.49 2.250% 91,463.51 1,120,000.00 1,461 FA FNMA 1.3% CALL 3/17/11 2,000,000.00 2,000,000.00 1.300% 91,000.00 2,091,000.00 1,277 FA FHLB 2.5% NON-CALL 3,000,000.00 3,016,423.52 2.363% 300,034.82 3,316,458.34 1,542 FA FFCB 4.375% NON-CALL 3,000,000.00 3,234,480.00 2.595% 381,665.83 3,616,145.83 1,714 FA FFCB 1.0% CALL 8/1/12 CONT 5,000,000.00 5,000,000.00 1.000% 150,000.00 5,150.000.00 1,096 FA FHLB 5.5% NON-CALL 3,000,000.00 3,395,255.41 2.323% 328,452.92 3,723,708.33 1,603 FA FNMA 1.50% CALL 3/8/11 2,000,000.00 2,000,000.00 1.500% 120,000.00 2,120,000.00 1.461 FA FHLB 5.25% NON-CALL 2,000,000.00 2,231,960.00 2.490% 237,040.00 2,469,000.00 1,633 FA FFCB 3.0% NON-CALL 2,000,000.00 2,047,400.80 2.440% 222,265.87 2.269.666.67 1,643 FA FNMA .80% CALL 10/24/12 3,000,000.00 3,000,937.50 0.789% 70,195.83 3,071,133.33 1,082 FA FHLB .52% NON-CALL 5,000,000.00 5,000,000.00 0.520% 78,000.00 5,078,000.00 1,096 FA FNMA .55% CALL 2/27/14 ONE TIME 3,000,000.00 3,002,700.00 0.518% 43,545.83 3,046,245.83 1,025 FA FNMA 2.00% CALL 10/29/12 STEP 2,000,000.00 2,018,771.34 2.780% 277,339.77 2,296,111.11 1,790 FA FHLB .55% NON-CALL 5,000,000.00 5,000,000.00 0.550% 88,763.89 5,088,763.89 1,177 FA FNMA .65% CALL 5/29/13 ONE TIME 5,000,000.00 5,000,000.00 0.650% 97,500.00 5,097,500.00 1,095 FA FFCB 1.550% CALL 7/2712 CONT 3,500,000.00 3,500,000.00 1.550% 217,000.00 3,717,000.00 1,461 FA FHLB 2.0% NON-CALL 2,000.000.00 1,999,000.00 2.012% 174,333.33 2,173,333.33 1,583 FA FHLB 2.0% NON-CALL 2.000.000.00 2,000,000.00 2.000% 176,000.00 2,176,000.00 1,607 FA FHLB 1.74% CALL 9/14/12 2.000.000.00 2,000,000.00 1.740% 174,000.00 2,174,000.00 1,826 FA FNMA 2.0% CALL 3/21/11 2,000,000.00 2,000,000.00 2.000% 200,000.00 2,200,000.00 1,826 FA FNMA 1.50% CALL 4/28/11 2,000,000.00 1,999,000.00 1.510% 151,000.00 2,150,000.00 1,826 FA FNMA .71% CALL 6/4/13 QRTLY 3,900,000.00 3,900,000.00 0.710% 96,915.00 3,996,915.00 1,278 FA FNMA 2.00% NON-CALL 4,000,000.00 4,186,600.00 0.660% 95,622.22 4,282,222.22 1,288 FA FFCB .77% CALL 8/1/12 CONT 3,000,000.00 3,000,000.00 0.770% 84,507.50 3,084,507.50 1,337 FA FNMA .50% QRTLY CALL STEP 3,000,000.00 2,999,700.00 1.317% 156,841.67 3,156,541.67 1,439 FA FNMA .50% CALL 5/17/13 QRTLY STEP 4,000,000.00 3,999,800.00 1.102% 164,422.22 4,164,222.22 1,356 FA FFCB .85% CALL 2/22/13 5,000,000.00 5,000,000.00 0.850% 170,000.00 5.170,000.00 1,461 FA FHLMC .85% ONE CALL 2/24/14 3,000,000.00 2,995,500.00 0.890% 106,500.00 3,102,000.00 1,461 FA FNMA 2.25% NON-CALL 5,000,000.00 5,285,278.17 0.700% 135,034.33 5,420,312.50 1,364 FA FFCB .80% CALL 6/21/13 CONTINOUS 5,000,000.00 5,002,500.00 0.786% 146,833.33 5,149,333.33 1,363 FA FFCB .95% CALL 7/18/12 2,400,000.00 2,400,000.00 0.950% 90,630.00 2,490,630.00 1,452 FA FHLB 2.5% NON-CALL 2,000,000.00 2,000.000.00 2.500% 250,000.00 2,250,000.00 1,827 FA FFCB 1.75% CALL 8/15/12 CONT 2,000,000.00 2.000,000.00 1.750% 175,000.00 2,175,000.00 1,827 FA FFCB 1.5% CALL 8/22/12 CONT 2,000,000.00 2,000,000.00 1.500% 150,000.00 2,150,000.00 1,827 FA FHLB 1.0% CALL 8/24/12 QRTLY STEP 3,000,000.00 3,000,000.00 1.735% 262,083.33 3,262,083.33 1,822 FA FFCB 1.30% NON-CALL 5,000,000.00 5,000,000.00 1.300% 325,000.00 5,325,000.00 1,827 FA FFCB 1.370% CALL 10/11/12 CONT 5,000,000.00 5,000,000.00 1.370% 342,500.00 5,342,500.00 1,827 FA FNMA 1.25% CALL 4/12/12 QRTLY 4,000,000.00 3.990,400.00 1.250% 259,600.00 4,250,000.00 1,827 INVESTMENT REPORT AS OF JUNE 30,2012 INVESTMENT DATE 10/24/2011 10/26/2011 11/23/2011 06/06/2012 01/25/2012 01/30/2012 04/11/2012 02/06/2012 02/21/2012 05/21/2012 05/24/2012 03/08/2012 04/26/2012 03/13/2012 05/03/2012 04/26/2012 05/10/2012 06/04/2012 05/24/2012 05/30/2012 06/07/2012 03/02/2009 03/09/2010 10/04/2011 01/18/2011 11/24/2010 03/09/2011 07/25/2011 11/10/2008 11/12/2008 TYPE FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FA FN FN FN FN FN FN FN TR TR SECURITY FNMA 1.70% CALL 10/24/12 QRTLY FNMA 1.125% CALL 10/26/12 QRTLY STEP FNMA 1.25% STEP QRTLY CALLS FNMA 1.0% CALL 5/23/13 QRTLY FNMA 1.65% QRTLY CALLS FNMA 1.30% QRTLY CALL 1/30/13 FNMA .75% ANNUAL CALL STEP FNMA .75% QRTLY CALL 2/6/13 STEP FNMA 1.10% QRTLY CALL FNMA 1.10% QRTLY CALL FNMA 1.150% ONE CALL 2/28/14 FNMA 1.375% QRTLY CALL FNMA 1.2% QRTLY CALL FNMA 1.150% ONE CALL 3/13/14 FNMA 1.01% STEP CALL 3/28/13 ANNUAL FFCB 1.20% CALL 4/25/13 CONTINUOUS FNMA 1.30% CALL 5/10/13 QRTLY FNMA .625% CALL 5/17/13 ANNUAL STEP FHLMC 1.2% CALL 5/24/13 QRTLY FHLMC 1.2% CALL 5/30/14 QRTLY FHLMC 1.30% CALL 6/7/13 QRTLY FICO 0.0% NON-CALL FICO 0.0% NON-CALL TENNESSEE VALLEY AUTHORITY 0.00% NON-CALL FICO 0.00% NON-CALL FNMAO% NON-CALL FNMA .00% NON-CALL FNMA 00% NON-CALL SUB-TOTAL 16,376,000.00 Federal Investments Total 310,915,000.00 US TREASURY 3.125% US TREASURY 4.0% SUB-TOTAL 1,000,000.00 1,000,000.00 2,000,000.00 15,656,744.63 314,141,857.36 1,031,328.00 1,030,781.25 2,062,109.25 1.203% 2.430% 2.452% 2.441% 1,034,235.74 20,396,788.09 118,792.86 121,777.13 240,569.99 16,690,980.37 334,538,645.45 1,150,120.86 1,152,558.38 2,302,679.24 PAR INVESTED RETURN INVESTMENT TERM VALUE AMOUNT RATE INTEREST RETURN (Davs) 5,000,000.00 5,000,000.00 1.700% 425,000.00 5,425,000.00 1,827 5,000,000.00 5,000,000.00 1.810% 462,500.00 5,462,500.00 1,827 5,000,000.00 5,000,000.00 1.688% 425,000.00 5,425,000.00 1,827 2,000.000.00 1,999,000.00 1.011% 90,277.78 2,089,277.78 1,631 5,000,000.00 5,030,800.00 1.519% 372,304.17 5,403,104.17 1,785 5,000,000.00 5,000,000.00 1.300% 325,000.00 5,325,000.00 1,827 4,000,000.00 3,998,000.00 1.528% 296,083.33 4,294.083.33 1,755 5,000,000.00 5,000,000.00 1.682% 425,000.00 5.425.000.00 1,827 5,000,000.00 4,985,000.00 1.162% 290.000.00 5.275.000.00 1,827 4,000,000.00 3,988,000.00 1.165% 221.000.00 4.209.000.00 1,737 2,050,000.00 2,050,000.00 1.150% 112,243.19 2,162,243.19 1,741 5,000,000.00 5,000,000.00 1.375% 343,750.00 5,343.750.00 1,826 4,000,000.00 4,000,000.00 1.200% 233,600.00 4,233,600.00 1,777 3,950,000.00 3,942,100.00 1.191% 235,025.00 4,177,125.00 1,826 1,655,000.00 1,655,000.00 1.304% 106,280.88 1,761,280.88 1,790 3,000,000.00 2,998,200.00 1.200% 181,700.00 3.179.900.00 1,825 5,000,000.00 5,000,000.00 1.300% 325,000.00 5,325.000.00 1,826 4,000,000.00 4,000,000.00 1.566% 313,819.44 4.313,819.44 1,808 5.000,000.00 4,995,000.00 1.221% 305.000.00 5,300,000.00 1,826 5,000,000.00 5,000,000.00 1.200% 300,000.00 5,300,000.00 1,826 4,000,000.00 4,000,000.00 1.300% 260,000.00 4,260,000.00 1,826 94,539,000.00 298,485,112.73 1.530% 19,362,552.35 317,847,665.08 - 2,000,000.00 1,793,820.00 3.050% 206,180.00 2,000,000.00 1,314 2,000,000.00 1,882,080.00 1.850% 117,920.00 2,000,000.00 1,206 4,143,000.00 4,099,415.64 0.510% 87,168.72 4,186,584.36 759 1,076,000.00 1,027,655.32 1.370% 96,689.36 1,124,344.68 1,228 2,000,000.00 1,922,260.00 1.100% 155,480.00 2,077.740.00 1,319 2,657,000.00 2,511,688.67 1.700% 290,622.66 2.802.311.33 1,214 2,500,000.00 2,419,825.00 1.020% 80,175.00 2.500,000.00 1,171 1,173 1,173 1,755 1,783 1,769 07/17/2008 CN PROTECTIVE LIFE 5.050% NON-CALL 3,000,000.00 3,000,000.00 5.050% 605,158.33 3,605,158.33 1,459 INVESTMENT DATE TYPE 08/31/2007 CN 10/31/2007 CN 11/23/2007 CN 01/30/2008 CN 03/18/2011 CN 12/28/2010 CN 04/24/2008 CN 05/07/2008 CN 05/12/2009 CN 05/30/2008 CN 05/09/2008 CN 02/11/2011 CN 12/23/2008 CN 05/12/2009 CN 07/18/2011 CN 10/28/2011 CN 04/04/2012 CN 12/27/2011 CN 05/27/2011 CN 05/29/2009 CN 05/20/2010 CN 10/07/2011 CN 12/23/2011 CN 10/05/2011 CN 04/05/2012 CN 01/17/2012 CN 02/01/2012 CN 09/16/2011 CN 05/02/2012 CN 02/17/2012 CN 10/04/2011 CN 04/17/2012 CN 02/09/2011 CN 05/06/2011 CN 10/06/2011 CN 05/15/2012 CN 02/10/2012 CN 12/15/2010 CN 12/15/2010 CN 04/13/2012 CN 10/31/2011 CN INVESTMENT REPORT AS OF JUNE 30,2012 SECURITY JOHNSON & JOHNSON 5.15% NON-CALL GENERAL ELECTRIC 5.250% NON-CALL GENERAL ELECTRIC 5.250% NON-CALL WELLS FARGO 5.250% NON-CALL MET LIFE OF CONNECTICUT 5.01% NON-CALL ROYAL BANK OF CANADA 2.25% NON-CALL MET LIFE GLOBAL FUNDING 5.125% NON-CALL MET LIFE GLOBAL FUNDING 5.125% NON-CALL WAL-MART 4.250% NON-CALL ALLSTATE LIFE 5.375% NON-CALL NEW YORK LIFE 4.650% NON-CALL NEW YORK LIFE 4.650% NON-CALL BERKSHIRE HATHWWY 4.60% NON-CALL 3 M 4.375% NON-CALL GENERAL ELECTRIC 2.10% NON-CALL METLIFE GLOBAL 2.00% NON-CALL METLIFE GLOBAL 1.481% NON-CALL FLOATING MASS MUTUAL GLOB 2.875% NON-CALL WAL-MART 3.20% NON-CALL WAL-MART 3.20% NON-CALL MICROSOFT 2.95% NON-CALL METLIFE GLOBAL 5.125% NON-CALL GENERAL ELECTRIC CAPITAL .696% FLOATING PROVEDENCE HEALTH 5.05% CALL @ MAKEWHOLE BERKSHIRE HATHAWAY 5.50% NON-CALL NEW YORK LIFE 1.30% NON-CALL GENERAL ELECTRIC 1.375% FLOATER BERKSHIRE HATHAWAY 3.20% NON-CALL TOYOTA .50% STEP CALL 4/3/013 QRTLY SHELL INTERNATIONAL FIN 3.1% NON-CALL MERCK & CO 4.0% NON-CALL PROCTER & GAMBLE 3.150% NON-CALL MET LIFE GLOBAL FUNDING 2.5% NON-CALL MET LIFE GLOBAL FUNDING 2.5% NON-CALL WAL-MART 1.50% NON-CALL WAL-MART 1.50% NON-CALL PROCTER & GAMBLE 1.80% NON-CALL BARCLAYS BANK 3.10% NON-CALL ROYAL BANK OF CANADA 2.625% NON-CALL PROCTER & GAMBLE 4.85% NON-CALL MET LIFE GLOBAL FUNDING 3.125% NON-CALL PAR INVESTED RETURN INVESTMENT TERM VALUE AMOUNT RATE INTEREST RETURN (Davs) 1,000,000.00 1,017,457.28 4.750% 237,753.83 1,255,211.11 1,811 2,000,000.00 2,036,663.70 4.830% 484,836.30 2,521,500.00 1,815 2,000,000.00 2,065,283.50 4.500% 449,799.83 2,515.083.33 1,792 1,000,000.00 1,042,814.41 4.240% 205,539.76 1,248,354.17 1,728 2,000.000.00 2,121,360.00 1.561% 58,165.00 2,179,525.00 657 2,000,000.00 2,047,930.00 1.150% 51,695.00 2,099,625.00 808 1,000,000.00 1,003,232.48 5.050% 251,024.46 1,254,256.94 1,812 2,000,000.00 2,019.402.04 4.900% 485,410.46 2,504,812.50 1,799 1,000,000.00 1,047,829.91 2.950% 118,982.59 1.166.812.50 1,434 2,000,000.00 2,023,559.81 5.100% 504,981.86 2.528.541.67 1,796 1,000,000.00 1,006,649.66 4.500% 225,850.34 1,232,500.00 1,826 2,000,000.00 2,150,000.00 1.250% 58,733.33 2,208,733.33 818 1,000,000.00 1,023,835.68 4.000% 177,542.10 1,201,377.78 1,604 2,000,000.00 2,121,417.76 2.850% 251,186.41 2,372,604.17 1,556 2,000,000.00 2,037,760.00 1.320% 65,956.67 2,103,716.67 904 1,475,000.00 1,490,888.40 1.500% 49,011.60 1,539,900.00 1,078 2,000,000.00 2,014,740.00 0.950% 39,986.00 2,054.726.00 730 2,500,000.00 2,583,739.37 1.400% 82,771.05 2,666,510.42 846 2,500,000.00 2,645,275.00 1.200% 92,058.33 2,737,333.33 1,084 1,000,000.00 1,003,190.00 3.130% 155,565.56 1,158,755.56 1,812 2,000,000.00 2,072,820.00 2.005% 164.982.78 2,237,802.78 1,473 1,500,000.00 1,625,547.72 1.900% 80,092.90 1,705,640.62 977 2,000,000.00 1,914,520.00 2.250% 123,464.31 2,037,984.31 997 2,000,000.00 2,237,929.50 1.000% 63,948.28 2,301,877.78 1,092 2,000,000.00 2,236,460.00 0.700% 37,317.78 2,273,777.78 909 5,000,000.00 5,021,951.16 1.150% 172,146.06 5,194,097.22 1,091 5,000,000.00 5,000,000.00 1.375% 206,059.03 5,206,059.03 1.094 3,000,000.00 3,175,710.00 1.430% 150,956.67 3,326,666.67 1,244 4,000,000.00 4,000,000.00 1.000% 119.888.89 4,119,888.89 1,093 5,000,000.00 5,384,350.00 0.780% 137.052.78 5,521,402.78 1,227 5,000,000.00 5,498,750.00 1.260% 249.027.78 5,747,777.78 1,365 3,000,000.00 3,242,427.56 0.720% 76.247.44 3,318,675.00 1,232 1,000,000.00 978,478.42 3.000% 137.493.80 1,115,972.22 1,693 1,000,000.00 993,799.11 2.650% 116.131.45 1,109,930.56 1,607 3,000,000.00 3,049,826.34 1.080% 132.548.66 3,182,375.00 1,480 2,630,000.00 2,696,944.02 0.750% 68.939.31 2,765,883.33 1,258 2,844,000.00 2,965,410.36 0.650% 71.270.64 3,036,681.00 1,374 2,000,000.00 2,000,000.00 3.100% 310.000.00 2,310,000.00 1,826 2,000,000.00 2,038,220.00 2.220% 225.009.16 2,263,229.16 1,826 1,000,000.00 1,147,830.00 0.760% 30.272.78 1,178,102.78 1,341 1,635,000.00 1,695,247.73 2.200% 154,062.17 1,849,309.90 1,533 INVESTMENT REPORT AS OF JUNE 30,2012 INVESTMENT PAR DATE TYPE SECURITY VALUE 12/28/2011 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 2,000,000.00 01/25/2012 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 5,000,000.00 03/09/2012 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 3,000,000.00 02/08/2012 CN GENERAL ELECTRIC 1.55% NON-CALL FLOATER 5,000.000.00 05/06/2011 CN MASS MUTUAL GLOB 3.125% NON-CALL 1,000,000.00 05/16/2011 CN GENERAL ELECTRIC 2.95% NON-CALL 2,000.000.00 06/17/2011 CN GENERAL ELECTRIC 2.95% NON-CALL 2,000,000.00 09/12/2011 CN GENERAL ELECTRIC 2.95% NON-CALL 1,400,000.00 10/27/2011 CN PROCTERS GAMBLE 1.45% NON-CALL 5,000,000.00 10/11/2011 CN BERKSHIRE HATHAWAY 2.20% NON-CALL 5,000,000.00 09/22/2011 CN TOYOTA 2.0% NON-CALL 5,000,000.00 11/10/2011 CN NEW YORK LIFE 2.45% NON-CALL 3,55o!oOO.OO 01/31/2012 CN BERSHIRE HATHAWAY 1.90% NON-CALL 5,000,000.00 01/31/2012 CN HSBC BANK USA 2.5% FLOATING RATE 5,000,000.00 03/05/2012 CN BERSHIRE HATHAWAY 1.90% NON-CALL 2,850,000.00 02/16/2012 CN WESTPAC BANKING CORP 2.3% NON-CALL 5,000,000.00 04/18/2012 CN WAL-MART STORES 5.375% NON-CALL 3,000,000.00 06/05/2012 CN HSBC BANK USA 1.925% FLOATER 5,000,000.00 INVESTED AMOUNT 2,063,239.83 5,189,924.57 3,169,646.15 5,000,000.00 1,024,175.57 2,000,912.32 2,009,952.38 1,427,513.33 5,011,536.25 5,022,855.25 5,023,645.00 3,669,194.08 5,047,739.83 5,000,000.00 2,914,809.00 5,000,000.00 3,568,354.19 5,000,000.00 RETURN RATE 2.300% 2.120% 1.600% . 1.390% 3.125% 2.940% 2.840% 2.500% 1.400% 2.100% 1.900% 1.700% 1.700% 1.748% 1.418% 2.300% 1.400% 1.507% INTEREST 189,017.11 428,999.04 190,249.68 227,500.00 130,164.71 292,940.46 278,819.84 164,875.84 336,463.75 510,033.64 474,410.56 287,655.64 427,260.17 425,000.00 200,676.42 574,680.56 229,833.31 380,000.00 INVESTMENT RETURN 2,252,256.94 5,618,923.61 3.359,895.83 5,227,500.00 1,154,340.28 2,293,852.78 2,288,772.22 1,592,389.17 5,348.000.00 5,532,888.89 5,498,055.56 3,956,849.72 5,475,000.00 5,425,000.00 3,115,485.42 5,574,680.56 3,798,187.50 5,380,000.00 TERM mays) 1,475 1,447 1,403 1,461 1,805 1,820 1,788 1,701 1,754 1,770 1,820 1,708 1,827 1,827 1,793 1,826 1,813 1,826 SUB-TOTAL 158,884,000.00 163,622,748.67 1.924% 13,227,502.21 176,850,250.88 1,502 09/16/2011 CD SAFRA NATIONAL BANK .80% 248,000.00 248,000.00 0.800% 3,973.43 251,973.43 731 09/16/2011 CD MERRICK BANK .70% 249,000.00 249,000.00 0.700% 3,490.83 252,490.83 731 09/30/2011 CD COMPASS BANK 1.0% 248,000.00 248,000.00 1.000% 4,966.80 252,966.80 731 10/07/2011 CD DORAL BANK 1.0% 248,000.00 248,000.00 1.000% 4,966.80 252,966.80 731 10/18/2011 CD MEDALLION BANK .75% 249,000.00 249,000.00 0.750% 3,740.11 252,740.11 731 04/16/2012 CD CAPAHA BANK 1.1% 249,000.00 249,000.00 1.100% 5,503.55 254,503.55 764 06/13/2012 CD SOVEREIGN BANK .65% 248,000.00 248,000.00 0.650% 3,224.00 251,224.00 730 04/16/2012 CD BANK OF GEORGETOWN 1.0% 249,000.00 249,000.00 1.000% 5,402.96 254,402.96 792 06/20/2012 CD FIRST NATL BANK OMAHA NEB .70% 249,000.00 249,000.00 0.700% 3,486.00 252,486.00 730 08/17/2011 CD AMERICAN EXPRES CENTURION BANK 1.20% 248,000.00 248,000.00 1.200% 8,887.23 256,887.23 1,090 08/17/2011 CD CIT BANK 1.10% 248,000.00 248.000.00 1.100% 8,198.94 256,198.94 1,097 08/17/2011 CD DISCOVER BANK 1.15% 248,000.00 248.000.00 1.150% 8,571.62 256,571.62 1,097 08/17/2011 CD ALLY BANK 1.15% 248,000.00 248.000.00 1.150% 8,579.43 256,579.43 1,097 08/17/2011 CD GE MONEY BANK 1.15% 248,000.00 248.000.00 1.150% 8,563.81 256.563.81 1,098 08/19/2011 CD GE CAPITAL FINANCIAL INC 1.15% 248,000.00 248,000.00 1.150% 8,563.81 256,563.81 1,096 08/24/2011 CD GOLDMAN SACHS BANK 1.15% 248,000.00 248,000.00 1.150% 8,571.62 256,571.62 1,097 09/21/2011 CD TRANSPORTATION ALLIANCE BANK INC .75% 249,000.00 249,000.00 0.750% 5,612.71 254,612.71 1,097 09/23/2011 CD STATE BANK OF INDIA 1.30% 248,000.00 248,000.00 1.300% 9,680.83 257,680.83 1.096 09/23/2011 CD BMW BANK OF NORTH AMERICA 1.35% 248,000.00 248,000.00 1.350% 10,053.17 258,053.17 1.096 04/30/2012 CD STERLING SAVINGS BANK .75% 248,000.00 248,000.00 0.750% 4,749.36 252,749.36 932 INVESTMENT REPORT AS OF JUNE 30,2012 INVESTMENT DATE TYPE SECURITY 04/20/2012 CD PLUS INTERNATIONAL .85% 06/08/2012 CD HUNTINGTON NATL BANK .75% 01/11/2012 CD SALLIE MAE BANK 1.35% 01/11/2012 CD BARCLAYS BANK DELAWARE 1.25% 05/09/2012 CD GEORGIA BANK & TRUST .70% 01/23/2012 CD LCA BANK CORPORATION .85% 09/15/2011 CD BANK OF THE WEST 1.4% 12/02/2011 CD MIDLAND STATES BANK 1.25% 01/25/2012 CD NATIONAL REPUBLIC BANK 1.0% 02/10/2012 CD CARDINAL BANK MCLEAN VA .90% 05/04/2012 CD HERITAGE BANK OF COMMERCE .80% 05/18/2012 CD NORTH JERSEY COMMUNITY .85% 05/22/2012 CD STATE BANK & TRUST CO MACON, GA .80% 05/31/2012 CD CRESCENT BANKS TRUST .90% 02/28/2012 CD MERCANTILE BANK OF MICHIGAN .15% PAR VALUE 249,000.00 248,000.00 248,000.00 248,000.00 248,000.00 248,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 248,000.00 249,000.00 249,000.00 248,000.00 INVESTED AMOUNT 249,000.00 248,000.00 248,000.00 248,000.00 247,628.00 248,000.00 249,000.00 249,000.00 249.000.00 249,000.00 248,004.00 247.008.00 248.004.00 248.502.00 247,380.00 RETURN RATE 0.850% 0.750% 1.350% 1.250% 0.750% 0.850% 1.400% 1.250% 1.000% 0.900% 0.900% 0.950% 0.900% 0.950% 1.150% INTEREST 5,520.35 4,652.55 9,869.73 9,308.49 5,589.51 7,375.11 13,943.96 12,450.00 9,966.87 8,970.06 8,953.05 9,429.77 8,974.88 9,468.06 14,895.62 INVESTMENT RETURN 254,520.35 252,652.55 257,869.73 257,308.49 253,217.51 255,375.11 262,943.96 261,450.00 258,966.87 257,970.06 256,957.05 256,437.77 256,978.88 257,970.06 262,275.62 TERM (Davs) 952 913 1,076 1,096 1,097 1,277 1.460 1.461 1,461 1,461 1,459 1,461 1,462 1,461 • 1,827 SUB-TOTAL 8,694,000.00 8,689,526.00 0.839% 268,155.02 8,957,681.02 1,111 0 WELLS FARGO BANK 399,162.00 399,162.00 0.020% 0.22 399,162.22 1 0 CORPORATE CASH MANAGEMENT ACCOUNT 2,890,207.33 2,890,207.33 0.020% 1.58 2,890,208.91 1 o LIBRARY ACCOUNT 475.51 475.51 0.000% -475.51 1 o UNION TRUST 108,268.36 108,268.36 0.000% 0.00 108,268.36 1 0 LAI F WATER DISTRICT 34,607,000.00 34,607.000.00 0.360% 346.07 34,607,346.07 1 0 LAIF PUBLIC IMPROVEMENT CORPORATION 26,567,505.97 26.567,505.97 0.360% 265.68 26,567,771.65 1 o LAIF PUBLIC FINANCING CORPORATION 31,495,199.08 31,495,199.08 0.360% 314.95 31,495,514.03 1 0 LAIF CITY OF CARLSBAD 44,003,857.50 44,003,857.50 0.360% 440.04 44,004.297.54 1 SUB-TOTAL 140,071,675.75 140,071,675.75 0.352% 1,368.54 140.073,044.29 GRAND TOTAL 620,564,675.75 628,587,917.03 1.355% 34,134,383.85 662,722,300.88 CITY OF CARLSBAD Fund Equity in Pooled Investments AS OF JUNE 30, 2012 EXHIBIT 8 Cash Balance by Fund: General Special Revenue Debt Service Capital Projects: General Capital Construction Traffic Impact Fees Public Facilities Fees Park Development Transnet Taxes Drainage Fees Special Districts Infrastructure Replacement Redevelopment Other Capital Construction Enterprise: Carlsbad Municipal Water District Sewer Fund Solid Waste Storm Water Golf Course Internal Service Agency Funds Misc. Special Funds Total General Ledger Balance ** Reconciling Adjustments (1) Total Treasurer's Investment Portfolio at Amortized Cost Total Total 53,789,129 19,747,099 49,099,438 3,909,225 6,914,600 5,545,487 79,784,964 68,977,428 7,528,152 2,720,893 82,602,931 52,324,293 7,187,635 2,864,138 116,193 80,625,034 51,880,649 0 298,016,416 145,095,190 33,716,820 17,577,001 0 626,911,109 (1,655,934) 625,266,176 (1) The Reconciling Adjustments consist of differences between the General Ledger which is prepared on an accrual basis and the Treasurer's report which is prepared on the cash basis. Accrued Interest, amortized premium or discounts and outstanding checks and deposits in transit are not included in the Treasurer's summary. Differences between the time journal entries are posted and the time this report is produced may also be a component of the adjustment. ** Figures based on best estimate at the time report run on 7/11/12 EXHIBIT 9 CITY OF CARLSBAD INVESTMENT PORTFOLIO As of June 30, 2012 CORPORATE NOTE AND COMMERCIAL PAPER RATINGS Corporate Note Investments Meeting the Current Investment Policy: (Ratings must be AA or better by both Moody's and S&P) Moody's S&P BERKSHIRE HATHAWAY AA2 AA+ HSBC BANK USA AAS AA- JOHNSON & JOHNSON AAA AAA MASS MUTUAL GLOBAL AA2 AA+ MERCK AA3 AA MET LIFE GLOBAL AA3 AA- MET LIFE OF CONNECTICUT AA3 AA- MICROSOFT AAA AAA NEW YORK LIFE AAA AA+ PROCTER & GAMBLE AAS AA- PROVIDENCE HEALTH AA2 AA ROYAL BANK OF CANADA AAI AA- 3M AA2 AA- SHELL INTERNATIONAL AAI AA TOYOTA AA3 AA- WAL-MART AA2 AA WESTPAC BANKING CORP AA2 AA- Commercial Paper Investments Meeting the Current Investment Policy: (Ratings must be A1/P1 or better by both Moody's and S&P) (Ratings of other debt must be AA or better by Moody's and S&P) NONE Investments with Subsequent Changes in Credit Rating * Moody's S&P Latest Maturitv Date Carrying Value Market Value ALL STATE LIFE Al A+ 04/30/2013 2,003,980 2,080,820 BARCLAYS BANK AA3 A+ 12/15/2015 2,000,000 1,940,460 GENERAL ELECTRIC Al AA+ 05/09/2016 23,391,601 23,513,602 PROTECTIVE LIFE A2 AA-07/15/2012 3,000,000 2,998,890 WELLS FARGO A2 A+ 10/23/2012 1,002,816 1,014,370 * The City's Investment Policy allows the City Treasurer to determine the course of action that would correct exceptions to the policy. All of these investments are paying interest at the required times. The principal of all investments are considered secure. It is the intent of the City Treasurer to hold these assets in the portfolio until maturity unless events indicate they should be sold. EXHIBIT 10 CITY OF CARLSBAD INVESTMENT PORTFOLIO AS OF JUNE 30, 2012 WEIGHTINGS FOR CORPORATE AND FEDERAL AGENCY ISSUERS PERCENTAGE WEIGHTINGS BY CORPORATE NOTE ISSUER Investment Cost Percent of Portfolio* ALL STATE LIFE 2,023,559.81 0.32% BARCLAYS BANK 2,000,000.00 0.32% BERKSHIRE HATHAWAY 19,421,409.77 3.09% GENERAL ELECTRIC CAP 23,492,605.25 3.74% HSBC BANK USA 10,000,000.00 1.59% JOHNSON & JOHNSON 1,017,457.28 0.16% MASS MUTUAL 3,607,914.95 0.57% MERCK & CO 5,498,750.00 0.87% MET LIFE GLOBAL FUND 22,244,146.45 3.54% MET LIFE OF CONNECTICUT 2,121,360.00 0.34% MICROSOFT 2,072,820.00 0.33% NEW YORK LIFE 11,847,794.90 1.88% PROTECTIVE LIFE 3,000,000.00 0.48% PROTER & GAMBLE 12,367,204.17 1.97% PROVIDENCE HEALTH 2,237,929.50 0.36% ROYAL BAN K OF CANADA 4,086,150.00 0.65% 3M 2,121,417.76 0.34% SHELL INTERNATIONAL FIN 5,384,350.00 0.86% TOYOTA 9,023,645.00 1.44% WAL-MART 14,011,419.46 2.23% WELLS FARGO 1,042,814.41 0.17% WESTPAC BANKING CORP 5,000,000.00 0.80% PERCENTAGE WEIGHTINGS BY FEDERAL AGENCY ISSUER Investment Cost Percent of Portfolio** FAMCA 1,016,908.69 0.16% FICO 4,703,555.32 0.75% FEDERAL FARM CREDIT BANK 63,821,175.98 10.15% FEDERAL HOME LOAN BANK 68,624,327.24 10.92% FEDERAL HOME LOAN MORTGAGE CORP 34,734,900.45 5.53% FEDERAL NATIONAL MORTGAGE ASSOC 137,142,574.01 21.82% TVA 4,099,415.64 0.65% U.S.TREASURY 2,062,109.25 0.33% Total Portfolio $628,587,917.03 * No more than 5% may be invested with a single corporate issuer. **There are no percentage limits on federal agency issuers. (^0 City of Carlsbad Bond Proceeds investment Report June 30, 2012 Fund Type Investments Stated Int. Rate Maturity Date Par Value Cost Source Assessment District 03-01 (College/Cannon) Fiscal Agent: BNY Mellon Project Fund Invesco Prime-Cash Money Market N/A N/A $ 927,125 $ 927,125 Invesco Reserve Fund BNY Dreyfus Money Market various N/A $ 1,200,421 $ 1,200,421 BNY Mellon Re-Assessment District 97-01 (Alga Road & College Blvd) Fiscal Agent: US Bank Imprvmnt Fund - Alga Invesco Prime-Cash Money Market N/A N/A $ 278,139 $ 278,139 Invesco Assessment District 95-01 (Carlsbad Ranch) Fiscal Agent: BNY Mellon Reserve Fund Repub Natl Bank Repo Agreement: HSBC (GIC) 5.83% N/A $ 1,033,569 $ 1,033,569 HSBC Bank of New York Assessment District 96-01 (Rancho Carrillo) Fiscal Agent: BNY Mellon Reserve Fund Repub Natl Bank Repo Agreement: HSBC (GIC) 6.03% 09/02/28 $ 1,292,770 $ 1.292,770 HSBC Bank of New York Assessment District 02-01 (Poinsettia Lane) Fiscal Agent: BNY Mellon Improvement Fund Invesco Prime-Cash Money Market N/A N/A $ 4,448,443 $ 4,448,443 Invesco Reserve Fund BNY Dreyfus Money Market various N/A $ 2,498,393 $ 2,498,393 BNY Mellon EFJPA Fiscal Agent: BNY Mellon Reserve Fund AIG Investment Agreement (GIC) 5.36% 08/01/14 $ 953,706 $ 953,706 GIC Communities Facilities District #3 Improvement Area 1 Fiscal Agent: BNY Mellon Project Fund Invesco Prime-Cash Money Market N/A N/A $ 1,838,831 $ 1,838,831 Invesco Reserve Fund BNY Dreyfus Money Market various 09/01/36 $ 777,965 $ 777,965 BNY Mellon Other BNY Dreyfus Money Market various N/A $ -$ -BNY Mellon Communities Facilities District #3 Improvement Area 2 Fiscal Agent: BNY Mellon Reserve Fund BNY Dreyfus Money Market various 09/01/38 $ 1,068,180 $ 1,068,180 BNY Mellon Other BNY Dreyfus Money Market various N/A $ 86,282 $ 86,282 BNY Mellon CPFA Golf Course Bonds Fiscal Agent: BNY Mellon Reserve Fund BNY Mellon (GIC) various N/A $ 1,303,417 $ 1,303,417 BNY Mellon $ 17,707.241 $ 17,707,241 tfl X ffl H dd H H:\Long Term DebtVQuarterly Investment Reports\Qtr Inv Rpt.xlsx City of Carisbad Summary of Outstanding Housing Loans As of June 30, 2012 Updated on: 07/18/2012 Borrower Developn)ent Purpose First date issued # of loans issued Loans issued by City to developers/ homeowners Loans issued by Developer to homeowners # of loans outstanding Developer City loan repaid loan repaid to to City City Loan amount due to City (recorded as AR) Developer loan amount due to City (not on City's books) Type of Loan Individual homebuyers City-wide (CHAP) Sale 06/28/99 133 $1,680,000 $ 34 ($1,483,394) $ $196,606.14 $ 196,606 Payment deferred IS years. No interest is due unless home is sokj tiefore 16th year Individual homebuyers Calavera Hills Sale 10/15/99 5 75,000 150,000 1 (60,000) (120,000) 15,000 30,000 45,000 Payment deferred 30 years. No interest is due unless home is sold before 31th year Individual homebuyers Chen7 Tree Walk Sale 06/28/99 42 453,600 452,600 14 (313,200) (283,250) 140,400 169,350 309,750 Payment deferred 30 years. No interest is due unless home is sokl before 31th year Individual homebuyers Serrano Sale 05/25/01 90 1,350,000 4,050,000 33 (900,133) (2,610,000) 449,867 1,440,000 1,889,867 Payment deferred 30 years. No interest is due unless home is sokl before 31th year Individual homebuyers Rancho Carlsbad Sale 05/20/99 22 752,533 -10 (404,370) -348,163 -348,163 Principal is due when home is sokt Individual homebuyers Solamar Sale 09/26/88 9 147,726 -1 (135,065) -12,661 -12.661 Principal is due when home is sokl Catholic Charities Homeless shelter Shelter 09/19/97 1 200,000 -1 --200,000 -200,000 Principal is due when property is sokj CB Laurel Tree Apartments Laurel Tree Rentals 12/24/98 2 1,134,000 -2 (728,396) -405,604 -405,604 Principal and 3% interest each year for 30 years when surplus cash is available CB Housing Partnership Rancho Canillo Rentals 03/05/01 1 1,157,584 -1 --1,157,584 -1,157,584 Principal and 3% interest each year for 55 years when surplus cash is available Pacific Vista Las Flores Vista Las Flores Rentals 02/27/01 1 363,948 -1 --363,948 -363,948 Principal and 3% interest each year for 55 years when surplus cash is available Poinsettia Housing Assoc Poinsettia Station Rentals 10/21/99 1 920,000 -1 (83,177) -836,823 -836,823 Principal and 3% interest each year for 55 years when surplus cash is available Bridge Housing Corp Villa Loma Rentals 11/04/94 2 2,212,000 -0 (2,212,000) ---Principal and 3% interest each year for 15 years when surplus cash is available Dove Family Housing La Costa Paloma Rentals 07/15/03 1 2,070,000 -1 (1,341,360) -728,640 -728,640 Principal and 3% interest each year for 55 years when surplus cash is available CIC Calavera LP Mariposa Apts Rentals 09/15/04 1 1,060,000 -1 --1,060,000 -1,060,000 Principal and 3% interest each year for 55 years when surplus cash is available Individual homebuyers Mult>erry at Bressi Ranch Sale 04/29/05 100 1,840,000 19,660,200 100 --1,840,000 19,660,200 21,500,200 Payment deferred 30 years. No interest is due unless home is sokl before 31th year Individual homebuyers Village by the Sea Sale 10/28/05 11 220,000 4,087,200 7 --220,000 4,087,200 4,307.200 Payment deferred 30 years. No interest is due unless home is sold before 31th year El Camino Family Housing Cassia Heights Rentals 03/07/06 1 1.454,276 -1 --1,454,276 -1,454,276 Principal and 3% interest each year for 55 years when surplus cash is available Individual homebuyers Laguna Point Sale 07/06/06 3 210.000 3 -210,000 -210,000 Payment deferred 45 years. No interest is due unless home is sokl twfore 46th year Individual homebuyers The Bluffs Sale 06/14/07 8 200,000 8 200,000 -200,000 Payment deferred 30 years. No interest is due unless home is sold before 31th year Individual homebuyers Roosevelt Gardens Sale 08/30/07 11 797.539 11 797,539 -797,539 Refer to Agenda Bill 18,569 / Resolution 2006- 131 & AB 19,183 / R2007-255 CIC La Costa Hunter's Point Rentals 08/19/08 1 1.932,000 -1 --1,932,000 -1,932,000 Refer to ABI 8,251 / Resolution 2005-264 Down Payment & Closing Cost Assistance Various Assistance 06/25/09 13 166,450 13 --166,450 -166,450 Refer to Agenda Bill 19,415 / Resolution 2008- 121 CIC Glen Ridge. LP Glen Ridge Rentals 10/05/09 1 1,014,000 -1 1,014,000 -1,014,000 Refer to Agenda Bill 397 / Resolution 435 Tavarua Senior Apartments, LP Tavarua Rentals 12/14/11 1 3,223,238 -1 3,223,238 3,223,238 Refer to Agenda Bill 418 / Resolution 475 North County Solutions for Change Property Acguisition Rentals 06/28/12 1 780,000 -1 -780.000 -780.000 Refer to Agenda Bill 20,936/Resolution 2012-136 462 $ 25,413,894 $ 28,400,000 248 $ (7,661,094) $(3,013,250) $ 17,752,800 $ 25,386,750 $ 43,139,550 During the 4th quarter of FY2011-12, approximately $14,216 in CHAP loan payments were received; issued a $11,750 DPCCA loan; transfen-ed the remaining Village Low-Mod toan balances to the Successor Housing Agency (Fund 133) due to the dissolution of the RDA issued $764,178 in loans related to the Tavanja development; issued a $780,000 loan to North County Solutions for Change; received a $121,172 principal payment related to the La Costa Paloma development; received a $61,339 principal payment related to the Poinsettia Station td x ffl H dd H NJ