Statements of Operations—Year Ended September 30, 2003
| The Oakmark Fund |
The Oakmark Select Fund |
The Oakmark Small Cap Fund |
|
| Investment Income: | |||
| Dividends from unaffiliated securities | $59,602,137 | $44,753,904 | $2,129,441 |
| Dividends from affiliated securities | 2,241,682 | 6,736,252 | 0 |
| Interest Income | 4,037,177 | 4,522,097 | 182,668 |
| Securities lending income | 0 | 0 | 0 |
| Other income | 89,785 | 35,751 | 0 |
| Foreign taxes withheld | (255,528) | 0 | 0 |
| Total investment income | 65,715,253 | 56,048,004 | 2,312,109 |
| Expenses: | |||
| Investment advisory fee | 37,074,474 | 38,938,068 | 3,492,495 |
| Transfer and dividend disbursing agent fees | 2,825,387 | 1,661,800 | 418,413 |
| Other shareholder servicing fees | 3,073,278 | 2,731,432 | 239,250 |
| Service fee—Class II | 31,136 | 193,129 | 1,674 |
| Reports to shareholders | 2,142,621 | 1,259,823 | 297,125 |
| Custody and accounting fees | 434,075 | 469,750 | 50,691 |
| Registration and blue sky expenses | 147,168 | 77,419 | 37,320 |
| Trustee fees | 69,818 | 79,240 | 27,628 |
| Deferred trustee compensation | 179,772 | 191,415 | 71,267 |
| Legal fees | 53,468 | 56,404 | 21,291 |
| Audit fees | 55,910 | 64,005 | 12,996 |
| Other | 243,537 | 262,021 | 57,493 |
| Total expenses | 46,330,644 | 45,984,506 | 4,727,643 |
| Expense reimbursement | 0 | 0 | (654) |
| Expense offset arrangements | (170) | (51) | (9) |
| Net expenses | 46,330,474 | 45,984,455 | 4,726,980 |
| Net Investment Income (Loss): | 19,384,779 | 10,063,549 | (2,414,871) |
| Net realized and unrealized gain (loss) on investments and foreign currency transactions: | |||
| Net realized gain (loss) on unaffiliated securities | (150,513,441) | (103,743,922) | (10,678,339) |
| Net realized loss on affiliated securities | 0 | (5,847,345) | (970,575) |
| Net realized gain (loss) on options | 12,672,486 | 7,892,086 | 326,790 |
| Net realized gain on short sales | 153,209 | 2,021 | 0 |
| Net realized gain (loss) on foreign currency transactions | 0 | 0 | 0 |
| Net change in unrealized appreciation of investments and foreign currencies | 867,321,548 | 1,121,320,614 | 80,258,968 |
| Net change in appreciation (depreciation)—other | 0 | 0 | 0 |
| Net realized and unrealized gain on investments and foreign currency transactions: | 729,633,802 | 1,019,623,454 | 68,936,844 |
| Net increase in net assets resulting from operations | $749,018,581 | $1,029,687,003 | $66,521,973 |
| The Oakmark Equity and Income Fund |
The Oakmark Global Fund |
The Oakmark International Fund |
The Oakmark International Small Cap Fund |
|
| Investment Income: | ||||
| Dividends from unaffiliated securities | $23,518,559 | $3,650,525 | $43,137,392 | $9,195,319 |
| Dividends from affiliated securities | 0 | 661,483 | 5,858,702 | 1,576,048 |
| Interest Income | 41,360,992 | 236,693 | 872,451 | 142,837 |
| Securities lending income | 0 | 38,886 | 1,118,106 | 0 |
| Other income | 6,277 | 0 | 0 | 0 |
| Foreign taxes withheld | (228,206) | (460,738) | (5,707,195) | (1,242,916) |
| Total investment income | 64,657,622 | 4,126,849 | 45,279,456 | 9,671,288 |
| Expenses: | ||||
| Investment advisory fee | 23,468,519 | 2,982,092 | 19,015,386 | 4,626,713 |
| Transfer and dividend disbursing agent fees | 1,161,063 | 267,441 | 941,105 | 212,442 |
| Other shareholder servicing fees | 3,446,666 | 149,118 | 1,903,171 | 331,936 |
| Service fee—Class II | 423,874 | 5,196 | 209,143 | 803 |
| Reports to shareholders | 915,859 | 183,647 | 722,282 | 143,097 |
| Custody and accounting fees | 356,560 | 225,992 | 1,835,731 | 389,671 |
| Registration and blue sky expenses | 209,265 | 121,133 | 129,664 | 37,788 |
| Trustee fees | 64,182 | 27,876 | 48,026 | 28,893 |
| Deferred trustee compensation | 154,035 | 71,226 | 119,153 | 72,553 |
| Legal fees | 46,562 | 20,340 | 35,759 | 21,472 |
| Audit fees | 47,139 | 11,562 | 32,729 | 8,905 |
| Other | 189,829 | 51,789 | 129,236 | 57,848 |
| Total expenses | 30,483,553 | 4,117,412 | 25,121,385 | 5,932,121 |
| Expense reimbursement | 0 | 0 | 0 | 0 |
| Expense offset arrangements | (1) | (9) | (68) | (9) |
| Net expenses | 30,483,552 | 4,117,403 | 25,121,317 | 5,932,112 |
| Net Investment Income (Loss): | 34,174,070 | 9,446 | 20,158,139 | 3,739,176 |
| Net realized and unrealized gain (loss) on investments and foreign currency transactions: | ||||
| Net realized gain (loss) on unaffiliated securities | 7,108,734 | 4,193,675 | (194,022,549) | (30,903,635) |
| Net realized loss on affiliated securities | 0 | (151,560) | (114,714) | (2,571,782) |
| Net realized gain (loss) on options | 2,453,329 | (227,233) | 0 | 0 |
| Net realized gain on short sales | 0 | 0 | 0 | 0 |
| Net realized gain (loss) on foreign currency transactions | 370,636 | (168,173) | (659,981) | (58,650) |
| Net change in unrealized appreciation of investments and foreign currencies | 517,697,982 | 114,576,882 | 712,978,826 | 160,461,142 |
| Net change in appreciation (depreciation)—other | 87,469 | (43,405) | 294,152 | 36,163 |
| Net realized and unrealized gain on investments and foreign currency transactions: | 527,718,150 | 118,180,186 | 518,475,734 | 126,963,238 |
| Net increase in net assets resulting from operations | $561,892,220 | $118,189,632 | $538,633,873 | $130,702,414 |
See accompanying notes to financial statements.