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HomeMy WebLinkAbout2013-01-29; City Council; 21109; Report on City Investments as of December 31, 2012CITY OF CARLSBAD - AGENDA BILL AB# 21,109 REPORT ON CITY INVESTMENTS DEPT. HEAD , , MTG. 1/29/13 AS OF DECEMBER 31, 2012 CITY ATTY. /M DEPT. TRS CITY MGR. l/viL^ 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 quarterly report is also required for the investments of bond proceeds held separately. The city's pooled investment portfolio as of the month ended December 31, 2012 is summarized below. Pooled Investment Portfolio (Cash and Securities) Current Month Prior Month Par Value 610,558,564 601,755,821 Cost of Investments 617,941,835 609,128,672 Amortized Cost (1) 614,825,024 605,921,812 Market Value (2) 618,778,356 610,328,498 (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 12/31/12. The equity portion of the various funds in the total portfolio is summarized in the graph on the next page. Fund balances are restricted for various purposes. See Exhibit 8 for a more detailed breakdown. The $8 million increase between the November and December 2012 reports is due to the receipt of property taxes. FOR CITY CLERKS USE ONLY. COUNCIL ACTION: APPROVED DENIED • CONTINUED • WITHDRAWN • AMENDED • CONTINUED TO DATE SPECIFIC • CONTINUED TO DATE UNKNOWN • RETURNED TO STAFF • OTHER - SEE MINUTES • DEPARTMENT CONTACT: Nancy Sullivan (760) 602-2473 Nancv.Sullivan(a)carlsbadca.qov PAGE 2 OF AB REPORT ON CITY INVESTMENTS AS OF DECEMBER 31. 2012 FUND EQUITY IN POOLED INVESTMENTS (Dollar Amounts in Millions) General Special Revenue $70 $ 49 Internal Service $34 Agency/Trust $11 Enterprise $150 Capital Projects $301 Total Treasurer's Investment Portfolio at Amortized Cost December 31,2012 $615 million Pooled Investment Interest Income Current Month FYTD Prior Month FYTD Current Month Income Cash Income Fiscal Year-to-Date * 5,341,843 4,498,691 843,152 'The cash income received is adjusted for any accrued interest purchased. Pooled Investment Performance/Measurement Average Life (Years) Average Yield To Maturity Modified Duration October 2012 2.19 1.175% 2.125 November 2012 2.16 1.155% 2.097 December 2012 2.20 1.147% 2.136 All pooled investments have been made in accordance with the City's Investment Policy adopted January 2, 1985 and last revised August 28, 2012. 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 17,500,304 17,531,563 Cost 17,500,304 17,531,563 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. Second 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 - Quarterly Report EXHIBIT FOR SUMMARY OF OUTSTANDING HOUSING LOANS: 12. Detail Of Outstanding Housing Loans - Quarterly Report CITY OF CARLSBAD INVESTMENT PORTFOLIO AS OF DECEMBER 31, 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 14,152,181 12,414,367 14,228,929 12,466,436 44,380 0.64 0.72 FN 14,178,591 14,164,899 14,234,837 14,225,267 0 0.96 0.96 CP 0 0 0 0 0 0.00 0.00 TR 2,009,016 2,010,104 2,041,290 2,045,900 31,250 2.44 2.44 FA 261,866,012 250,618,403 263,896,283 252,884,985 2,684,086 1.31 1.35 CN 172,668,660 172,510,217 174,426,452 174,502,088 2,348,369 1.64 1.64 LAIF 147,210,488 147,694,488 147,210,488 147,694,488 233,386 0.33 0.33 CUSTODY 206,419 652 206,419 652 8 0.00 0.00 SWEEP 2,058,222 2,188,335 2,058,222 2,188,336 365 0.02 0.02 BANK ACCT 475,435 4,320,345 475,435 4,320,345 0 0.02 0.02 TOTALS $614,825,024 $605,921,811 $618,778,356 $610,328,497 5,341,843 1.15% 1.15% 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 X H td H H3 CITY OF CARLSBAD INVESTMENT PORTFOLIO AS OF DECEMBER 31,2012 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 1,882,080 0 0 16,447,942 14,443,800 147,210,488 206,419 2,058,222 475,435 $182,724,386 (1) 29.6% 7 MONTHS TO 1 YEAR 1,736,000 4,099,416 0 2,062,109 21,835,773 2,121,418 0 0 0 0_ $31,854,716 (1) 5.2% $214,579,101 (1) 34.7% 1 TO 5 YEARS 12,415,048 7,881,429 0 0 225,279,247 157,787,009 0 0 0 0_ $403,362,733 65.3% TOTAL % TOTAL 14,151,048 13,862,925 0 2,062,109 263,562,962 174,352,226 147,210,488 206,419 2,058,222 475,435 $617,941,835 100.0% POLICY: (1) Not less than $133,000,000 to mature within one year. (2/3rds of current year operating budget of $199,430,000.00) (2) Policy states that not more than 30% of portfolio is to be invested in corporate notes. 2.3% 2.2% 0.0% 0.3% 42.7% 28.2% (2) 23.8% 0.0% 0.3% 0.1% 100.0% X H W H 1-3 ro 6.75 6.50 6.25 6.00 5.75 5.50 5.25 5.00 4.75 4.50 4.25 4.00 3.75 3.50 3.25 3.00 2.75 2.50 2.25 2.00 1.75 1.50 1.25 1.00 0.75 0.50 0.25 YIELD COMPARISON PORTFOLIO EX-LAIF VS. LAIF JULY 1998 - DECEMBER 2012 -^EX-LAIF ^LAIF I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I M I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I ^ td X H3 u> MARKET YIELD CURVE 6/30/11,6/30/12, 12/31/12 Market Rates 3 Mth 2 Yr 5Yr 10 Yr 3 Mth 2 Yr 5 Yr 10 Yr -^06/30/2011 .01 .46 1.76 3.16 06/30/2012 .07 .25 0.62 1.45 -•-12/31/2012 .04 .25 0.72 1.76 M X ffi H dd •1^ Cumulative Cash Income Cumulative Millions $ FY12-13 (December 2012) Monthly Interest Income Millions $ Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Interest Income --^-Budget Actual M X ffi H w H cn City of Carlsbad TRANSACTIONS FOR PERIOD: 10/01/12 TO 12/31/12 2ND QUARTER 2012-2013 Trans Investment Call Par Amount Return Investment Date Rl lY^ Date Type Securitv Date Value Coupon (Cost) Rate Interest Return OCTOBER 09/27/2012 10/02/2012 CN COCA COLA CO N/A 3,000.000.00 1.800% 3,133,106.35 0.650% 78.243.65 3,211,350.00 10/02/2012 10/09/2012 CN GENERAL ELECTRIC COMPANY N/A 5,000,000.00 0.850% 5.022,225.00 0.700% 105.275.00 5,127,500.00 10/03/2012 10/17/2012 CD FIRST STATE BANK/MENDOTA N/A 249,000.00 0.500% 248.701.20 0.550% 3.636.09 252,337.29 10/03/2012 10/17/2012 CD COMENITY CAP BANK SALT LAKE N/A 249,000.00 0.500% 248,601.60 0.550% 4.233.74 252,835.34 09/27/2012 10/18/2012 FA FNMA 10/18/2013 5,000,000.00 0.7%STEP 5.000,000.00 1.100% 275.000.00 5,275,000.00 10/15/2012 10/18/2012 FA FFCB 01/18/2013 5,000,000.00 0.500% 4.996,250.00 0.522% 91.250.00 5,087,500.00 10/16/2012 10/18/2012 FA FFCB 10/18/2013 5,000,000.00 0.870% 4.998,500.00 0.876% 219.000.00 5,217,500.00 10/17/2012 10/22/2012 CD NATIONAL BANK OF COMMERCE N/A 249,000.00 0.500% 248,551.80 0.550% 4.791.87 253,343.67 10/04/2012 10/24/2012 CD INDEPENDENCE BANK OF KENTUCK N/A 249,000.00 0.500% 248,751.00 0.550% 2.739.00 251,490.00 10/10/2012 10/24/2012 CD APPLE BANK FOR SAVINGS N/A 248,000.00 0.500% 248,000.00 0.500% 2.480.00 250,480.00 NOVEMBER 10/24/2012 11/07/2012 CD EAGLE BANK N/A 249.000.00 0.600% 249,000.00 0.600% 4.490.30 253,490.30 11/19/2012 11/27/2012 FA FHLB N/A 5,000.000.00 0.550% 5,000,000.00 0.550% 112.291.67 5.112,291.67 11/19/2012 11/27/2012 FA FNMA 11/17/2013 4,000,000.00 0.900% 4,000,000.00 0.900% 180.000.00 4.180.000.00 11/26/2012 11/29/2012 CD UNITED BANKERS BANK N/A 249,000.00 0.500% 248,676.30 0.550% 3.436.20 252,112.50 11/19/2012 11/30/2012 CD SYNOVUS BANK N/A 248,000.00 0.500% 248,000.00 0.500% 2.473.11 250,473.11 DECEMBER 01/24/2012 12/03/2012 FA FHLB N/A 3,000,000.00 2.625% 3,270,090.00 0.790% 124.753.75 3,394.843.75 11/29/2012 12/04/2012 CN JOHNSON & JOHNSON N/A 2,000,000.00 2.150% 2,104,120.00 0.621% 44,110.56 2.148.230.56 12/04/2012 12/05/2012 FA FFCB 01/24/2013 2,266,000.00 0.650% 2,265,433.50 0.657% 57,805.03 2.323,238.53 12/12/2012 12/17/2012 CD FIRST AMERICAN BANK 12/07/2013 249,000.00 1.000% 248.253.00 1.062% 13,128.78 261.381.78 12/06/2012 12/11/2012 CD BANCO POPULAR DE PR N/A 248,000.00 1.100% 248.000.00 1.100% 13,595.16 261.595.16 12/14/2012 12/28/2012 FA FHLB 06/28/2013 5,000,000.00 0.950% 5.000.000.00 0.950% 237,500.00 5.237.500.00 12/18/2012 12/27/2012 FA FFCB N/A 3,000.000.00 0.600% 3.000.000.00 0.600% 90,000.00 3,090,000.00 12/19/2012 12/24/2012 CD PACIFIC CONTL BAN EUGENE 05/21/2013 249.000.00 0.900% 248.452.20 0.946% 11,556.33 260.008.53 12/19/2012 12/24/2012 CD DELTA NATL BANK & TRUST 03/07/2013 249,000.00 0.900% 248.377.50 0.952% 11,624.88 260,002.38 12/11/2012 12/19/2012 CD MIZUHO CORPORATE BANK N/A 247,000.00 0.500% 247.000.00 0.500% 1,235.00 248.235.00 12/18/2012 12/19/2012 FA FHLB 05/09/2013 3.000.000.00 1.000% 2.999.400.00 1.004% 147,266.67 3,146.666.67 12/07/2012 12/14/2012 CD BANKERS BANK KANSAS 06/14/2013 249.000.00 1.000% 248.502.00 1.041% 12,948.00 261.450.00 12/06/2012 12/14/2012 CD FIRST BANK OF PUERTO RICO N/A 249.000.00 • 1.250% 249.000.00 1.250% 15,562.50 264,562.50 12/10/2012 12/11/2012 FA FNMA 08/22/2013 2,800.000.00 0.700% 2.803.889.20 1.006% 132,976.36 2.936,865.56 TOTAL SECOND QUARTER 2012-2013 56,796,000.00 57,318,880.65 0.784% 2.003,403.65 59.322,284.30 MATURITIES OCTOBER NOVEMBER 10/10/2007 FA FFCB N/A 2,000,000.00 4.500% 2,034,780.00 4.100% 401,970.00 2,436,750.00 06/04/2010 FA FHLB N/A 3,000,000.00 1.375% 3,012,394.24 1.200% 86,720.34 3,099,114.58 03/02/2009 FN FICO N/A 2,000,000.00 0.000% 1,793,820.00 3.050% 206,180.00 2,000,000.00 10/31/2007 CN GENERAL ELECTRIC N/A 2,000,000.00 5.250% 2,036,663.70 4.830% 484,836.30 2,521,500.00 11/23/2007 CN GENERAL ELECTRIC N/A 2,000,000.00 5.250% 2,065,283.50 4.500% 449,799.83 2,515,083.33 01/30/2008 CN WELLS FARGO N/A 1,000,000.00 5.250% 1,042,814.41 4.240% 205,539.76 1,248,354.17 06/03/2008 FA FNMA N/A 1,807,000.00 6.410% 1,990,388.82 3.890% 331,405.40 2,321,794.22 M X ffi H ro H City of Carlsbad TRANSACTIONS FOR PERIOD: 10/01/12 TO 12/31/12 2ND QUARTER 2012-2013 Trans Date DECEMBER Investment Date Type 07/01/2010 FA FHLMC TOTAL SECOND QUARTER 2012-2013 CALLS OCTOBER 06/01/2012 10/03/2011 11/04/2011 10/17/2011 10/12/2011 06/03/2010 NOVEMBER 11/23/2011 DECEMBER 01/24/2012 07/02/2012 06/04/2012 10/11/2011 10/07/2011 10/24/2011 10/26/2011 06/04/2010 11/23/2012 01/25/2012 07/09/2012 FA FA FA FA FA FA FFCB FFCB FNMA FNMA FNMA FNMA FA FNMA FA CN Security FNMA CHEVRON TOTAL SECOND QUARTER 2012-2013 Call Par Amount Return Investment Date Value Coupon (Cost) Rate Interest Return N/A 3,000,000.00 4.125% 3.233.040.00 0.939% 72.897.50 3,305,937.50 16,807,000.00 17.209.184.67 3.008% 2.239.349.13 19,448,533.80 10/03/2012 3,000,000.00 0.770% 3.000.000.00 0.770% 48,507.50 3,048,507.50 10/11/2012 5.000,000.00 1.370% 5.000.000.00 1.370% 342,500.00 5.342.500.00 10/24/2012 3.000,000.00 0.800% 3,000.937.50 0.789% 70,195.83 3.071.133.33 10/24/2012 5.000,000.00 1.700% 5.000.000.00 1.700% 425,000.00 5.425.000.00 10/26/2012 5.000,000.00 1.250% 5,000.000.00 1.810% 462,500.00 5.462.500.00 10/29/2012 2.000.000.00 2%STEP 2,018.771.34 2.780% 277,339.77 2,296,111.11 11/23/2012 5.000,000.00 1.25% STEP 5,000.000.00 1.688% 425,000.00 5,425,000.00 12/14/2012 5,000,000.00 1.650% 5,030.800.00 1.519% 399,304.17 5,430,104.17 12/28/2012 1,750,000.00 3.950% 1,850.257.50 0.460% 13,798.75 1,864,056.25 34.750,000.00 34,900.766.34 1.479% 2,464,146.02 37,364,912.36 INVESTMENT REPORT AS OF DECEMBER 31,2012 ESTMENT PAR INVESTED RETURN INVESTMENT TERM DATE TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Davs) 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 04/15/2010 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 10/19/2009 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 01/20/2009 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 02/12/2010 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 09/17/2010 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 03/24/2010 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 10/20/2009 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 03/24/2010 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 09/08/2010 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 03/24/2010 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 03/24/2010 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 01/23/2012 FA FHLB .52% NON-CALL 5.000.000.00 5,000,000.00 0.520% 78.000.00 5,078,000.00 1.096 05/08/2012 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 02/23/2012 FA FHLB .55% NON-CALL 5.000.000.00 5,000,000.00 0.550% 88.763.89 5,088,763.89 1,177 05/29/2012 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 08/08/2012 FA FAMCA .55% NON-CALL 5.000.000.00 5,011,500.00 0.470% 68.250.00 5,079,750.00 1,058 03/30/2011 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 08/27/2012 FA FNMA .52% CALL 8/27/13 5.000.000.00 5.000.000.00 0.520% 78.000.00 5,078,000.00 1,095 04/04/2011 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 09/21/2010 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 10/28/2010 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 06/04/2012 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 06/20/2012 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 M X ffi H ro H 1-3 INVESTMENT REPORT AS OF DECEMBER 31,2012 INVESTMENT DATE 03/01/2012 06/01/2012 02/22/2012 02/24/2012 06/20/2012 06/27/2012 10/18/2012 04/27/2011 10/06/2011 12/05/2012 06/06/2012 11/27/2012 12/27/2012 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 07/05/2012 08/16/2012 07/12/2012 08/14/2012 12/11/2012 09/27/2012 12/19/2012 10/18/2012 10/18/2012 11/27/2012 12/03/2012 «. 12/28/2012 TYPE SECURITY FA FNMA .50% QRTLY CALL STEP FA FNMA .50% CALL 5/17/13 QRTLY STEP FA FFCB .85% CALL 2/22/13 FA FHLMC .85% ONE CALL 2/24/14 FA FNMA 2.25% NON-CALL FA FFCB .80% CALL 6/21/13 CONTINUOUS FA FFCB .50% CALL 1/18/13 CONTINUOUS FA FHLB 2.5% NON-CALL FA FFCB 1.30% NON-CALL FA FFCB .65% CALL 1/24/13 CONTINUOUS FA FNMA 1.0% CALL 5/23/13 QRTLY FA FHLB .55% BULLET FA FFCB .60% BULLET FA FNMA 1.30% QRTLY CALL 1 /30/13 FA FNMA .75% ANNUAL CALL STEP FA FNMA .75% QRTLY CALL 2/6/13 STEP FA FNMA 1.10% QRTLY CALL FA FNMA 1.10% QRTLY CALL FA FNMA 1.150% ONE CALL 2/28/14 FA FNMA 1.375% QRTLY CALL FA FNMA 1.2% QRTLY CALL FA FNMA 1.150% ONE CALL 3/13/14 FA FNMA 1.01 % STEP CALL 3/28/13 ANNUAL FA FFCB 1.20% CALL 4/25/13 CONTINUOUS FA FNMA 1.30% CALL 5/10/13 QRTLY FA FNMA .625% CALL 5/17/13 ANNUAL STEP FA FHLMC 1.2% CALL 5/24/13 QRTLY FA FHLMC 1.2% CALL 5/30/14 QRTLY FA FHLMC 1.30% CALL 6/7/13 QRTLY FA FHLMC 1.150% CALL 6/7/13 QRTLY FA FHLB .875% NON-CALL FA FNMA 1.1% CALL 7/11 /14 QRTLY FA FNMA 1.0% CALL 8/14/13 QRTLY FA FNMA .70% CALL8/22/13 QRTLY STEP FA FNMA 0.70% CALL 9/27/13 QRTLY STEP FA FHLB 1.0% CALL 5/9/13 MONTHLY FA FFCB .87% CALL 10/18/13 CONT FA FNMA 0.70% CALL 10/18/13 QRTLY STEP FA FNMA 0.90% CALL 11 /27/13 QRTLY FA FHLB 2.625% NON-CALL FA FHLB .95% CALL 6/28/13 MONTHLY PAR VALUE 3,000,000.00 4,000,000.00 5,000,000.00 3,000,000.00 5,000,000.00 5.000.000.00 5.000.000.00 2.000,000.00 5,000,000.00 2,266,000.00 2,000.000.00 5,000,000.00 3,000,000.00 5,000.000.00 4,000,000.00 5,000.000.00 5.000,000.00 4,000,000.00 2,050,000.00 5,000,000.00 4.000,000.00 3,950,000.00 1,655,000.00 3,000,000.00 5,000,000.00 4.000,000.00 5,000,000.00 5,000,000.00 4,000,000.00 1,000,000.00 4,000,000.00 4,000.000.00 5.000.000.00 2,800,000.00 5,000,000.00 3,000.000.00 5.000.000.00 5,000.000.00 4,000.000.00 3,000,000.00 5,000,000.00 INVESTED AMOUNT 2,999,700.00 3,999,800.00 5,000,000.00 2,995,500.00 5,285,278.17 5,002,500.00 4,996,250.00 2,000,000.00 5,000,000.00 2,265,433.50 1,999,000.00 5,000,000.00 3,000,000.00 5,000,000.00 3,998,000.00 5,000,000.00 4,985,000.00 3,988,000.00 2,050,000.00 5,000,000.00 4,000,000.00 3.942,100.00 1.655.000.00 2.998.200.00 5.000.000.00 4.000.000.00 4.995.000.00 5.000.000.00 4.000.000.00 999.750.00 4.000.000.00 4.000.000.00 5.000.000.00 2.803.889.20 5.000.000.00 2,999.400.00 4.998.500.00 5,000,000.00 4,000,000.00 3,270,090.00 5,000,000.00 RETURN RATE 1.317% 1.102% 0.850% 0.890% 0.700% 0.786% 0.522% 2.500% 1.300% 0.657% 1.011% 0.550% 0.600% 1.300% 1.528% 1.682% 1.162% 1.165% 1.150% 1.375% 1.200% 1.191% 1.304% 1.200% 1.300% 1.566% 1.221% 1.200% 1.300% 1.155% 0.875% 1.100% 1.000% 0.700% 1.165% 1.000% 0.876% 1.100% 1.100% 0.790% 0.950% INTEREST 156.841.67 164.422.22 170.000.00 106.500.00 135,034.33 146,833.33 91,250.00 250,000.00 325,000.00 57,805.03 90,277.78 112,291.67 90,000.00 325,000.00 296,083.33 425,000.00 290,000.00 221,000.00 112,243.19 343,750.00 233,600.00 235,025.00 106,280.88 181,700.00 325,000.00 313,819.44 305,000.00 300,000.00 260,000.00 56,855.56 169,166.67 219,877.78 250.000.00 132.976.36 293.750.00 147.266.67 219.000.00 275.000.00 1,275.000.00 124.753.75 237.500.00 INVESTMENT RETURN 3.156.541.67 4.164.222.22 5.170.000.00 3.102.000.00 5.420.312.50 5.149,333.33 5,087,500.00 2,250,000.00 5,325.000.00 2,323,238.53 2,089,277.78 5,112,291.67 3,090.000.00 5,325,000.00 4,294,083.33 5,425,000.00 5,275,000.00 4,209,000.00 2,162,243.19 5,343,750.00 4,233,600.00 4,177,125.00 1,761,280.88 3,179,900.00 5,325,000.00 4,313,819.44 5,300,000.00 5,300,000.00 4,260,000.00 1,056,605.56 4,169,166.67 4,219,877.78 5,250,000.00 2,936,865.56 5,293,750.00 3,146,666.67 5,217,500.00 5,275,000.00 5,275,000.00 3.394,843.75 5,237,500.00 TERM (Days) 1.439 1.356 1.461 1.461 1.364 1.363 1,278 1,827 1,827 1,419 1,631 1,491 1,461 1,827 1,755 1,827 1,827 1,737 1,741 1,826 1,777 1,826 1,790 1.825 1.826 1,808 1.826 1.826 1.826 1.798 1.765 1.825 1.826 1.715 1.826 1.786 1.826 1.826 1,826 1,831 1,826 INVESTMENT REPORT AS OF DECEMBER 31,2012 INVESTMENT PAR INVESTED RETURN INVESTMENT TERM DATE TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Davs) SUB-TOTAL 260,686,000.00 263.562.962.06 1.312% 16,527,788.47 280,090,750.53 - 03/09/2010 FN FICO 0.0% NON-CALL 2.000.000.00 1,882.080.00 1.850% 117,920.00 2,000,000.00 1,206 10/04/2011 FN TENNESSEE VALLEY AUTHORITY 0.00% NON-CALL 4.143.000.00 4.099,415.64 0.510% 87,168.72 4,186,584.36 759 01/18/2011 FN FICO 0.00% NON-CALL 1.076.000.00 1.027.655.32 1.370% 96,689.36 1,124,344.68 1.228 11/24/2010 FN FNMAO% NON-CALL 2.000.000.00 1.922,260.00 1.100% 155,480.00 2,077,740.00 1.319 03/09/2011 FN FNMA .00% NON-CALL 2.657,000.00 2,511,688.67 1.700% 290,622.66 2,802,311.33 1.214 07/25/2011 FN FNMA 00% NON-CALL 2.500,000.00 2,419,825.00 1.020% 80,175.00 2,500,000.00 1.171 SUB-TOTAL 14.376.000.00 13,862,924.63 0.964% 828,055.74 14,690,980.37 1.150 Federal Investments Total 275,062,000.00 277,425,886.69 17,355,844.21 294,781,730.90 1,150 11/10/2008 TR US TREASURY 3.125% 1,000,000.00 1,031,328.00 2.430% 118,792.86 1,150,120.86 1.755 11/12/2008 TR US TREASURY 4.0% 1,000,000.00 1,030,781.25 2.452% 121.777.13 1,152,558.38 1.783 SUB-TOTAL 2,000,000.00 2,062.109.25 2.441% 240.569.99 2.302.679.24 1.769 03/18/2011 CN MET LIFE OF CONNECTICUT 5.01% NON-CALL 2.000.000.00 2,121.360.00 1.561% 58.165.00 2.179.525.00 657 12/28/2010 CN ROYAL BANK OF CANADA 2.25% NON-CALL 2.000,000.00 2.047.930.00 1.150% 51.695.00 2.099.625.00 808 04/24/2008 CN MET LIFE GLOBAL FUNDING 5.125% NON-CALL 1.000.000.00 1.003,232.48 5.050% 251.024.46 1.254.256.94 1,812 05/07/2008 CN MET LIFE GLOBAL FUNDING 5.125% NON-CALL 2.000.000.00 2.019.402.04 4.900% 485.410.46 2.504.812.50 1,799 05/12/2009 CN WAL-MART 4.250% NON-CALL 1.000.000.00 1,047,829.91 2.950% 118,982.59 1,166.812.50 1,434 05/30/2008 CN ALLSTATE LIFE 5.375% NON-CALL 2.000,000.00 2.023,559.81 5.100% 504,981.86 2.528.541.67 1,796 05/09/2008 CN NEW YORK LIFE 4.650% NON-CALL 1,000,000.00 1.006,649.66 4.500% 225,850.34 1,232.500.00 1,826 02/11/2011 CN NEW YORK LIFE 4.650% NON-CALL 2,000,000.00 2,150,000.00 1.250% 58,733.33 2,208.733.33 818 12/23/2008 CN BERKSHIRE HATHWWY 4.60% NON-CALL 1.000,000.00 1,023,835.68 4.000% 177,542.10 1.201.377.78 1,604 05/12/2009 CN 3 M 4.375% NON-CALL 2.000,000.00 2,121,417.76 2.850% 251,186.41 2,372,604.17 1,556 07/18/2011 CN GENERAL ELECTRIC 2.10% NON-CALL 2.000,000.00 2.037,760.00 1.320% 65,956.67 2.103.716.67 904 04/04/2012 CN METLIFE GLOBAL 1.481% NON-CALL FLOATING 2,000,000.00 2,014,740.00 0.950% 39,986.00 2.054.726.00 730 12/27/2011 CN MASS MUTUAL GLOB 2.875% NON-CALL 2.500,000.00 2.583,739.37 1.400% 82,771.05 2.666.510.42 846 05/27/2011 CN WAL-MART 3.20% NON-CALL 2.500,000.00 2,645,275.00 1.200% 92,058.33 2.737.333.33 1,084 05/29/2009 CN WAL-MART 3.20% NON-CALL 1.000.000.00 1.003,190.00 3.130% 155,565.56 1,158.755.56 1,812 05/20/2010 CN MICROSOFT 2.95% NON-CALL 2.000.000.00 2,072,820.00 2.005% 164,982.78 2.237.802.78 1,473 10/07/2011 CN METLIFE GLOBAL 5.125% NON-CALL 1.500,000.00 1,625,547.72 1.900% 80,092.90 1,705,640.62 977 12/23/2011 CN GENERAL ELECTRIC CAPITAL .696% FLOATING 2.000,000.00 1.914,520.00 2.250% 123,464.31 2.037.984.31 997 10/05/2011 CN PROVEDENCE HEALTH 5.05% CALL @ MAKEWHOLE 2.000.000.00 2,237,929.50 1.000% 63,948.28 2.301.877.78 1,092 04/05/2012 CN BERKSHIRE HATHAWAY 5.50% NON-CALL 2.000,000.00 2.236,460.00 0.700% 37,317.78 2,273,777.78 909 10/28/2011 CN METLIFE GLOBAL 2.00% NON-CALL 1.475.000.00 1,490,888.40 1.500% 49,011.60 1,539,900.00 1,078 01/17/2012 CN NEW YORK LIFE 1.30% NON-CALL 5.000.000.00 5,021,951.16 1.150% 172,146.06 5,194,097.22 1,091 ^ 02/01/2012 CN GENERAL ELECTRIC 1.375% FLOATER 5.000.000.00 5.000,000.00 1.375% 206,059.03 5,206,059.03 1,094 DIVESTMENT REPORT AS OF DECEMBER 31,2012 INVESTMENT PAR INVESTED RETURN INVESTMENT TERM DATE TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Davs) 08/13/2012 CN IBM CORP .55% NON-CALL 3,500,000.00 3,504,305.00 0.500% 43,445.69 3,547,750.69 907 09/16/2011 CN BERKSHIRE HATHAWAY 3.20% NON-CALL 3,000,000.00 3,175,710.00 1.430% 150,956.67 3,326,666.67 1,244 05/02/2012 CN TOYOTA .50% STEP CALL 4/3/013 QRTLY 4,000,000.00 4,000,000.00 1.000% 119,888.89 4.119,888.89 1,093 02/17/2012 CN SHELL INTERNATIONAL FIN 3.1% NON-CALL 5,000,000.00 5,384,350.00 0.780% 137,052.78 5.521,402.78 1,227 10/04/2011 CN MERCK & CO 4.0% NON-CALL 5,000,000.00 5,498,750.00 1.260% 249,027.78 5,747,777.78 1,365 04/17/2012 CN PROCTERS GAMBLE 3.150% NON-CALL 3.000,000.00 3,242,427.56 0.720% 76,247.44 3,318,675.00 1,232 02/09/2011 CN MET LIFE GLOBAL FUNDING 2.5% NON-CALL 1.000.000.00 978,478.42 3.000% 137,493.80 1.115,972.22 1,693 05/06/2011 CN MET LIFE GLOBAL FUNDING 2.5% NON-CALL 1.000.000.00 993.799.11 2.650% 116.131.45 1.109.930.56 1,607 10/09/2012 CN GENERAL ELECTRICT COMPANY .85% NON-CALL 5.000.000.00 5.022.225.00 0.700% 105.275.00 5.127.500.00 1,095 10/06/2011 CN WAL-MART 1.50% NON-CALL 3,000,000.00 3,049.826.34 1.080% 132,548.66 3.182,375.00 1,480 05/15/2012 CN WAL-MART 1.50% NON-CALL 2.630.000.00 2.696.944.02 0.750% 68.939.31 2.765,883.33 1,258 02/10/2012 CN PROCTERS GAMBLE 1.80% NON-CALL 2,844,000.00 2,965.410.36 0.650% 71,270.64 3,036,681.00 1,374 12/15/2010 CN BARCLAYS BANK 3.10% NON-CALL 2,000.000.00 2.000.000.00 3.100% 310.000.00 2.310,000.00 1,826 12/15/2010 CN ROYAL BANK OF CANADA 2.625% NON-CALL 2,000.000.00 2.038,220.00 2.220% 225.009.16 2,263,229.16 1,826 04/13/2012 CN PROCTER & GAMBLE 4.85% NON-CALL 1,000.000.00 1,147,830.00 0.760% 30,272.78 1,178,102.78 1,341 10/31/2011 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 1,635,000.00 1,695,247.73 2.200% 154,062.17 1.849.309.90 1,533 12/28/2011 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 2,000,000.00 2,063,239.83 2.300% 189.017.11 2,252,256.94 1,475 01/25/2012 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 5,000,000.00 5,189,924.57 2.120% 428,999.04 5,618.923.61 1,447 03/09/2012 CN MET LIFE GLOBAL FUNDING 3.125% NON-CALL 3,000.000.00 3,169,646.15 1.600% 190,249.68 3,359,895.83 1,403 02/08/2012 CN GENERAL ELECTRIC 1.55% NON-CALL FLOATER 5,000.000.00 5,000,000.00 1.390% 227,500.00 5,227,500.00 1,461 05/06/2011 CN MASS MUTUAL GLOB 3.125% NON-CALL 1,000.000.00 1,024,175.57 3.125% 130.164.71 1.154.340.28 1.805 05/16/2011 CN GENERAL ELECTRIC 2.95% NON-CALL 2,000.000.00 2,000,912.32 2.940% 292.940.46 2.293.852.78 1,820 06/17/2011 CN GENERAL ELECTRIC 2.95% NON-CALL 2,000,000.00 2,009,952.38 2.840% 278,819.84 2,288,772.22 1,788 09/12/2011 CN GENERAL ELECTRIC 2.95% NON-CALL 1,400,000.00 1,427,513.33 2.500% 164.875.84 1.592.389.17 1,701 12/04/2012 CN JOHNSONS JOHNSON 2.15% NON-CALL 2,000.000.00 2,104,120.00 0.621% 44.110.56 2.148.230.56 1.258 09/04/2012 CN GOOGLE 2.125% NON-CALL 1,000.000.00 1.050,940.00 2.125% 6.197.92 1,057.137.92 1,353 10/27/2011 CN PROCTERS GAMBLE 1.45% NON-CALL 5,000,000.00 5,011,536.25 1.400% 336.463.75 5.348.000.00 1.754 10/11/2011 CN BERKSHIRE HATHAWAY 2.20% NON-CALL 5.000.000.00 5.022.855.25 2.100% 510.033.64 5.532.888.89 1,770 10/02/2012 CN COCA COLA CA 1.8% NON-CALL 3,000,000.00 3,133,106.35 0.650% 78.243.65 3.211.350.00 1,430 09/22/2011 CN TOYOTA 2.0% NON-CALL 5,000.000.00 5.023.645.00 1.900% 474,410.56 5,498,055.56 1,820 11/10/2011 CN NEW YORK LIFE 2.45% NON-CALL 3,550.000.00 3.669.194.08 1.700% 287.655.64 3.956.849.72 1,708 01/31/2012 CN BERSHIRE HATHAWAY 1.90% NON-CALL 5,000.000.00 5.047.739.83 1.700% 427.260.17 5.475.000.00 1.827 01/31/2012 CN HSBC BANK USA 2.5% FLOATING RATE 5,000.000.00 5,000,000.00 1.748% 425.000.00 5.425,000.00 1,827 03/05/2012 CN BERSHIRE HATHAWAY 1.90% NON-CALL 2,850,000.00 2.914,809.00 1.418% 200.676.42 3.115.485.42 1.793 08/06/2012 CN IBM CORP 1.250% NON-CALL 5,000.000.00 5.077.000.00 0.900% 204.250.00 5.281,250.00 1,645 02/16/2012 CN WESTPAC BANKING CORP 2.3% NON-CALL 5,000,000.00 5.000,000.00 2.300% 574.680.56 5.574.680.56 1.826 04/18/2012 CN WAL-MART STORES 5.375% NON-CALL 3,000.000.00 3.568.354.19 1.400% 229.833.31 3.798.187.50 1.813 06/05/2012 CN HSBC BANK USA 1.925% FLOATER 5.000.000.00 5.000.000.00 1.507% 380.000.00 5.380,000.00 1,826 SUB-TOTAL 169,384.000.00 174.352.226.13 1.644% 11.725.936.98 186.078,163.11 1,464 INVESTMENT REPORT AS OF DECEMBER 31,2012 INVESTMENT PAR INVESTED RETURN INVESTMENT TERM DATE TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Days) 09/20/2012 CD BEAL BANK USA .50% 247,000.00 247,000.00 0.500% 1,136.85 248.136.85 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 12/19/2012 CD MIZUHO CORPORATE BANK .50% 247,000.00 247.000.00 0.500% 1,235.00 248,235.00 365 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 09/21/2012 CD CITIZENS STATE BANK .50% 249.000.00 248,751.00 0.550% 2,742.46 251,493.46 731 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 10/24/2012 CD INDEPENDENCE BANK OF KENTUCKY .50% 249,000,00 248,751.00 0.500% 2,739.00 251,490.00 730 10/24/2012 CD APPLE BANK FOR SAVINGS .50% 248,000.00 248.000.00 0.500% 2,480.00 250.480.00 730 04/30/2012 CD STERLING SAVINGS BANK .75% 248,000.00 248.000.00 0.750% 4.749.36 252,749.36 932 04/20/2012 CD PLUS INTERNATIONAL .85% 249,000.00 249,000.00 0.850% 5.520.35 254,520.35 952 11/30/2012 CD SYNOVUS BANK .5% 248,000.00 248,000.00 0.500% 2.473.11 250,473.11 728 06/08/2012 CD HUNTINGTON NATL BANK .75% 248,000.00 248,000.00 0.750% 4,652.55 252,652.55 913 01/11/2012 CD SALLIE MAE BANK 1.35% 248,000.00 248,000.00 1.350% 9,869.73 257,869.73 1,076 01/11/2012 CD BARCLAYS BANK DELAWARE 1.25% 248,000.00 248.000.00 1.250% 9,308.49 257,308.49 1.096 10/17/2012 CD FIRST STATE BANK/MENDOA .50% 249,000.00 248.701.20 0.550% 3,636.09 252,337.29 825 08/24/2012 CD BLC COMMUNITY BANK .50% 249,000.00 248,690.24 0.550% 3,427.40 252.117.64 914 08/30/2012 CD TRIUMPH BANK .50% 249,000.00 249,000.00 0.500% 3.107.41 252,107.41 911 05/09/2012 CD GEORGIA BANK S TRUST .70% 248.000.00 247,628.00 0.750% 5.589.51 253,217.51 1,097 11/29/2012 CD UNITED BANKERS BANK .50% 249,000.00 248,676.30 0.550% 3.436.20 252,112.50 911 01/23/2012 CD LCA BANK CORPORATION .85% 248,000.00 248,000.00 0.850% 7,375.11 255,375.11 1,277 07/27/2012 CD FLUSHING SAVINGS BANK.75% 248,000.00 247.628.00 0.800% 5,951.97 253,579.97 1,095 09/15/2011 CD BANK OF THE WEST 1.4% 249,000.00 249.000.00 1.400% 13,943.96 262,943.96 1,460 ^ 10/17/2012 CD COMENITY CAP BANK SALT LAKE CITY .50% 249,000.00 248,601.60 0.550% 4,233.74 252,835.34 1,094 (W 11/07/2012 V 12/02/2011 CD EAGLE BANK .60% 249,000.00 249,000.00 0.600% 4,490.30 253,490.30 1,097 (W 11/07/2012 V 12/02/2011 CD MIDLAND STATES BANK 1.25% 249,000.00 249,000.00 1.250% 12.450.00 261,450.00 1,461 INVESTMENT REPORT AS OF DECEMBER 31,2012 INVESTMENT PAR INVESTED RETURN INVESTMENT TERM DATE TYPE SECURITY VALUE AMOUNT RATE INTEREST RETURN (Days) 01/25/2012 CD NATIONAL REPUBLIC BANK 1.0% 249,000.00 249.000.00 1.000% 9.966.87 258,966.87 1,461 02/10/2012 CD CARDINAL BANK MCLEAN VA .90% 249,000.00 249,000.00 0.900% 8,970.06 257,970.06 1,461 08/24/2012 CD FIRST BUSINESS BANK .60% 248,000.00 247,578.40 0.600% 5,635.72 253,214.12 1,279 10/22/2012 CD NATIONAL BANK OF COMMERCE .50% 249,000.00 248.551.80 0.550% 4.791.87 253.343.67 1.274 05/04/2012 CD HERITAGE BANK OF COMMERCE .80% 249,000.00 248,004.00 0.900% 8.953.05 256,957.05 1,459 05/18/2012 CD NORTH JERSEY COMMUNITY .85% 248,000.00 247,008.00 0.950% 9,429.77 256,437.77 1,461 05/22/2012 CD STATE BANK S TRUST CO MACON. GA .80% 249.000.00 248.004.00 0.900% 8,974.88 256.978.88 1,462 05/31/2012 CD CRESCENT BANK S TRUST .90% 249,000.00 248.502.00 0.950% 9,468.06 257,970.06 1,461 08/15/2012 CD EVERBANK .90% 248,000.00 247.008.00 0.900% 9,926.11 256,934.11 1,461 02/28/2012 CD MERCANTILE BANK OF MICHIGAN 1.15% 248.000.00 247.380.00 1.150% 14,895.62 262,275.62 1,827 12/24/2012 CD DELTA NATL BANK S TRUST .90% 249.000.00 248.377.50 0.952% 11,624.88 260,002.38 1,792 12/24/2012 CD PACIFIC CONTL BANK .90% 249,000.00 248.452.20 0.946% 11.556.33 260,008.53 1,793 12/11/2012 CD BANCO POPULAR DE PR HATO 1.1% 248,000.00 248.000.00 1.100% 13,595.16 261,595.16 1,820 12/17/2012 CD FIRST AMERICAN BANK 1.0% 249,000.00 248.253.00 1.000% 13,128.78 261,381.78 1,816 12/14/2012 CD FIRST BANK OF PUERTO RICO 1.25% 249,000.00 249,000.00 1.250% 15,562.50 264.562.50 1,826 12/14/2012 CD BANKERS BANK KANSAS 1.0% 249,000.00 248,502.00 1.000% 12.948.00 261,450.00 1,826 SUB-TOTAL 14,162.000.00 14,151.048.24 0.640% 408,013.90 14.559.062.14 1.134 0 WELLS FARGO BANK 474,583.00 474.583.00 0.020% 0.26 474.583.26 1 0 CORPORATE CASH MANAGEMENT ACCOUNT 2,058,222.25 2.058.222.25 0.020% 1.13 2.058.223.38 1 0 LIBRARY ACCOUNT 851.97 851.97 0.000% -851.97 1 0 UNION TRUST 206.418.89 206.418.89 0.000% 0.00 206.418.89 1 0 LAIF WATER DISTRICT 32.620.000.00 32.620.000.00 0.330% 299.02 32,620,299.02 1 O LAIF PUBLIC IMPROVEMENT CORPORATION 42.334.096.11 42.334,096.11 0.330% 388.06 42,334,484.17 1 0 LAIF PUBLIC FINANCING CORPORATION 34.440.392.00 34,440,392.00 0.330% 315.70 34,440,707.70 1 0 LAIF CITY OF CARLSBAD 37.816.000.05 37,816.000.05 0.330% 346.65 37,816,346.70 SUB-TOTAL 149,950.564.27 149,950,564.27 0.324% 1.350.82 149,951,915.09 GRAND TOTAL 610.558.564.27 617,941,834.58 1.147% 29.731,715.90 647,673,550.48 EXHIBIT 8 CITY OF CARLSBAD Fund Equity in Pooled Investments AS OF DECEMBER 31, 2012 Cash Balance by Fund: General 69,863,812 Special Revenue 48,686,894 Debt Service 0 Capital Projects: General Capital Construction 51,333,590 Traffic Impact Fees 20,041,028 Public Facilities Fees 46,719,165 Park Development 4,006,741 Transnet Taxes 9,259,069 Drainage Fees 5,547,730 Special Districts 85,220,910 Infrastructure Replacement 76,305,695 Redevelopment (see Trust Funds) 0 Other Capital Construction 2,520,703 Total 300,954,632 Enterprise: Carlsbad Municipal Water District 88,446,435 Sewer Fund 51,645,333 Solid Waste 7,182,297 Storm Water 2,980,038 Golf Course 182,060 Total 150,436,164 Internal Service 34,764,121 Agency Funds 7,001,679 Trust Funds 3,596,397 Total General Ledger Balance ** 615,303,698 Reconciling Adjustments (1) (478,675) Total Treasurer's Investment Portfolio at Amortized Cost 614,826,024 (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 01/08/13 /7 EXHIBIT 9 CITY OF CARLSBAD INVESTMENT PORTFOLIO As of December 31, 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) Moodv's S&P BERKSHIRE HATHAWAY AA2 AA+ COCA COLA AA3 AA- GENERAL ELECTRIC COMPANY AA3 AA+ GOOGLE INC AA2 AA- IBM CORP AA3 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 AA3 AA- PROVIDENCE HEALTH AA2 AA ROYAL BANK OF CANADA AA3 AA- 3M AA2 AA- SHELL INTERNATIONAL AA1 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 * Moodv's S&P Latest Maturitv Date Carrying Value Market Value ALL STATE LIFE A1 A+ 04/30/2013 2,001,584 2,033,120 BARCLAYS BANK A2 A+ 12/15/2015 2,000,000 1,960,660 GENERAL ELECTRIC A1 AA+ 05/09/2016 19,389,356 19,586,168 HSBC BANK USA A1 AA-06/05/2017 10,000,000 9,764,000 * 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 DECEMBER 31, 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 0.33% BARCLAYS BANK 2,000,000.00 0.32% BERKSHIRE HATHAWAY 19,421.409.77 3.14% COCA COLA CO 3,133,106.35 0.51% GENERAL ELECTRIC CAP 19.390.658.05 3.14% GENERAL ELECTRIC COMPANY 5.022.225.00 0.81% GOOGLE 1.050.940.00 0.17% HSBC BANK USA 10,000,000.00 1.62% IBM CORP 8,581,305.00 1.39% JOHNSON & JOHNSON 2.104.120.00 0.34% MASS MUTUAL 3,607,914.95 0.58% MERCK & CO 5.498.750.00 0.89% MET LIFE GLOBAL FUND 22,244,146.45 3.60% MET LIFE OF CONNECTICUT 2.121.360.00 0.34% MICROSOFT 2,072,820.00 0.34% NEW YORK LIFE 11.847.794.90 1.92% PROTER & GAMBLE 12,367,204.17 2.00% PROVIDENCE HEALTH 2,237,929.50 0.36% ROYAL BANK OF CANADA 4,086,150.00 0.66% 3M 2.121.417.76 0.34% SHELL INTERNATIONAL FIN 5,384.350.00 0.87% TOYOTA 9.023.645.00 1.46% WAL-MART 14,011,419.46 2.27% WESTPAC BANKING CORP 5,000,000.00 0.81% PERCENTAGE WEIGHTINGS BY FEDERAL AGENCY ISSUER Investment Cost Percent of Portfolio** FAMCA 5,011,500.00 0.81% FICO 2,909,735.32 0.47% FEDERAL FARM CREDIT BANK 48,107,459.47 7.79% FEDERAL HOME LOAN BANK 63,270,842.86 10.24% FEDERAL HOME LOAN MORTGAGE CORP 22.282.342.36 3.61% FEDERAL NATIONAL MORTGAGE ASSOC 131.744.591.03 21.32% TVA 4,099.415.64 0.66% U.S.TREASURY 2,062.109.25 0.33% Total Portfolio $617,941,834.58 * No more than 5% may be invested with a single corporate issuer. **There are no percentage limits on federal agency issuers. /^ City of Carlsbad Bond Proceeds Investment Report December 31, 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 $ 927,320 $ 927,320 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 $ 278,197 $ 278,197 Invesco Assessment District 95-01 (Carlsbad Ranch) Fiscal Agent: BNY Mellon Reserve Fund Repub Natl Bank Repo Agreement: HSBC (QIC) 5.83% N/A $ 862,510 $ 862,510 HSBC Bank of New York Assessment District 96-01 (Rancho Carrillo) Fiscal Agent: BNY Mellon Reserve Fund Repub Natl Bank Repo Agreement: HSBC (QIC) 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 $ 4,449,381 $ 4,449,381 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 $ 1,834,218 $ 1,834,218 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 $ 1,270,961 $ 1,270,961 BNY Mellon M X! ffi H ro o H:\Long Temri Debt\Quarterly Investment Reports\Qtr Inv Rpt.xisx $ 17.500,304 $ 17,500,304 City of Carlsbad Summary of Outstanding Housing Loans As of December 31, 2012 Updated on: 01/10/2013 Borrower Development Purpose First date issued Loans issued by City # of loans to developers/ issued homeowners Loan amount Developer loan Loans issued by due to City amount due to CHy Developer to # of loans City loan repaid to Developer loan (recorded as (not on City's homeowners outstanding City repaid to City AR) books) Type of Loan Payment deferred 15 years. No Interest is due 170,014 unless home Is sold before 16th year Payment deferred 30 years. No interest Is due 30,000 45,000 unless home Is sold before 31th year Payment deferred 30 years. No Interest is due 169,350 309,750 unless home Is sold before 31th year Payment deferred 30 years. No Interest Is due 1,440,000 1,859,867 unless home Is sold before 31th year 348,163 Principal Is due when home Is sold 12,661 Principal Is due virtien home Is sold 200,000 Principal is due when property is sold Principal and 3% Interest each year for 30 years 127,089 when surplus cash is available Principal and 3% interest each year for 55 years 1,157,584 when surplus cash is available Principal and 3% interest each year for 55 years 363,948 vtrhen surplus cash Is available Principal and 3% Interest each year for 55 years 836,823 when surplus cash Is available Principal and 3% interest each year for 15 years when surplus cash is available Principal and 3% interest each year for 55 years 583,796 when surplus cash Is available Knnapai ana;)% imerest eacn year tor years 1,060,000 when surplus cash Is available Payment deferred 30 years. No interest Is due 19,660,200 21,500,200 unless home Is sold before 31th year Payment deferred 30 years. No interest Is due 4,087,200 4,307,200 unless home Is sold before 31th year Principal and 3% interest each year for 55 years 1,454,276 when surplus cash Is available Payment deferred 45 years. No interest Is due 210,000 unless home Is sold before 46th year Payment deferred 30 years. No Interest Is due 200,000 unless home Is sold before 31ih year Refer to Agenda Bill 18,569 / Resolution 2006- 1,583,423 131 & AB 19,183 / R2007-255 1.932.000 Refer to AB18.251 /Resolution 2005-264 Individual homebuyers Individual homebuyers Individual homebuyers Individual homebuyers Individual homebuyers Individual homebuyers Catholic Charities City-wide (CHAP) Sale Calavera Hills Sale Cherry Tree Walk Sale Serrano Sale Rancho Carisbad Sale Solamar Sale Homeless shelter Shelter CB Laurel Tree Apartments Laurel Tree Rentals CB Housing Partnership Rancho Carrillo Rentals Pacific Vista Las Flores Vista Las Flores Rentals 06/28/99 10/15/99 06/28/99 05/25/01 05/20/99 09/26/88 09/19/97 12/24/98 03/05/01 02/27/01 Poinsettia Housing Assoc Poinsettia Station Rentals 10/21/99 Bridge Housing Corp Dove Family Housing CIC Calavera LP Individual homebuyers Individual homebuyers El Camino Family Housing Cassia Heights Individual homebuyers Laguna Point Individual homebuyers Individual homebuyers CIC La Costa Villa Loma Rentals La Costa Paloma Rentals Mariposa Apts Rentals Mult>erry at Bressi Ranch Sale Village by the Sea Sale Rentals Sale The Bluffs Sale Roosevelt Gardens Sale Hunter's Point Rentals 11/04/94 07/15/03 09/15/04 Down Payment & Closing Cost Assistance Various CIC Glen Ridge, LP Glen Ridge Tavarua Senior Apartments, LP Tavarua Rentals North County Solutions for Change Property Acquisition Rentals 04/29/05 10/28/05 03/07/06 07/06/06 06/14/07 08/30/07 08/19/08 Assistance 06/25/09 Rentals 10/05/09 Catholic Charities Individual homeowners Allowances Homeless shelter Shelter Minor N/A Home 12/14/11 06/28/12 03/01/10 05/20/10 133 5 42 90 22 9 1 2 1 1 1 2 1 1 100 11 1 3 8 11 1 18 3 TBD $1,680,000 S 75,000 453,600 1,350,000 752,533 147,726 200,000 1,134,000 1,157,584 363,948 920,000 2,212,000 2,070,000 1,060,000 1,840,000 220,000 1,454,276 210,000 200,000 1,583.423 1,932,000 213,950 1,014,000 3,750,000 780,000 493,810 42,510 (79,616) 150,000 452.600 4,050,000 19,660,200 4,087.200 29 1 14 33 10 1 1 2 1 1 1 0 1 1 100 7 1 3 8 11 1 18 1 1 1 3 TBD ($1,509,986) $ - $170,013.84 $ (60,000) (120,000) 15,000 (313,200) (283,250) 140,400 (930,133) (2,610,000) (404,370) (135,065) (1,006,911) (83,177) (2,212,000) (1,486,204) 419,867 348,163 12,661 200,000 127,089 1,157,584 363,948 836,823 583,796 1,060,000 1,840,000 220,000 1,454,276 210,000 200,000 1.583,423 1.932,000 213,950 1,014,000 3,750,000 780,000 493,810 42,510 (79,616) Refer to Agenda Bill 19,415 / Resolution 2008- 213,950 121 1,014,000 Refer to Agenda Bill 397 / Resolution 435 3,750,000 Refer to Agenda Bill 418 / Resolution 475 780,000 Refer to Agenda Bill 20,936/Resolulion 2012-136 Refer to AB19,768/R2009-068; AB20,530/R2011- 493,810 081; AB20,764/R2011-288 42,510 Refer to AB19,415 / Resolution 2008-121 27,230,745 $ 28,400,000 251 $ (8,141,045) $ (3,013,250) $ 19,089,699 $ 25,386,750 $ 44,556,065 During the 2nd Qtr of FY2012-13, $13,328 in CHAP loan payments were received; $42,510 in Minor Home Repair Program forgivable loans were recorded along with the related allowances; a $287,515 payment was received related to the Laurel Tree development; Issued $2,287 in CDBG funds to Catholic Charities as a forgivable loan and recorded the related allowance; received $30,000 in loan pay-offs related to the Serrano development; issued $26,200 in DPCCA prtjgram loans. td X ffi H ro H 1-3