Exhibit 99.1



|                
|----------------
|Securities Held 
|As Of 12/31/2008



|                        |                                  |                  |            |             
|----------------------- | -------------------------------- | ---------------- | ---------- | ------------
|                        |                                  |                  |            |             
|CUSIP                   | Security Description             | Par Value/Shares | Book Value | Market Value
|                        |                                  |                  |            |             
|US Government Bonds     |                                  |                  |           
|912795-K7-5             | US Treasury Bill                 | $6,000,000       | $5,945,852 | $5,999,520  
|912795-S3-6             | US Treasury Bill                 | 4,175,000        | 4,128,721  | 4,168,654   
|912827-7B-2             | US Treasury Note                 | 500,000          | 501,182    | 556,680     
|912828-CL-2             | US Treasury Note                 | 2,000,000        | 2,016,086  | 2,033,900   
|912828-EM-8             | US Treasury Note                 | 1,000,000        | 992,780    | 1,073,670   
|912828-FD-7             | US Treasury Note                 | 1,000,000        | 998,721    | 1,096,330   
|912828-FN-5             | US Treasury                      | 300,000          | 302,395    | 331,101     
|912828-FX-3             | US Treasury Note                 | 1,000,000        | 997,973    | 1,036,290   
|912828-GE-4             | US Treasury Note                 | 2,000,000        | 2,004,961  | 2,007,100   
|912828-GG-9             | US Treasury Note                 | 1,000,000        | 998,240    | 1,047,620   
|912828-GJ-3             | US Treasury Note                 | 2,000,000        | 2,008,701  | 2,014,300   
|912828-GM-6             | US Treasury Note                 | 1,000,000        | 996,181    | 1,105,080   
|912828-GR-5             | US Treasury Note                 | 1,500,000        | 1,490,876  | 1,583,970   
|912828-GT-1             | US Treasury Note                 | 1,000,000        | 999,974    | 1,019,060   
|912828-GU-8             | US Treasury Note                 | 1,000,000        | 992,928    | 1,119,300   
|912828-HW-3             | US Treasury Inflation Protection | 4,900,000        | 4,850,750  | 4,800,229   
|                        |                                  | 30,375,000       | 30,226,322 | 30,992,804  
|                        |                                  |                  |            |             
|Government Agency Bonds |                                  |                  |           
|3128X5-4D-7             | FHLMC Agency Note DC             | 2,000,000        | 2,006,446  | 2,025,580   
|3128X7-3F-9             | FHLMC Agency Note CC             | 2,000,000        | 1,998,036  | 2,005,840   
|3128X7-MP-6             | FHLMC Agency Step-Up DC          | 1,000,000        | 997,710    | 1,002,550   
|31331S-NF-6             | FFCB Agency Note NC              | 500,000          | 499,725    | 500,625     
|3133XC-TF-0             | FHLB Agency Note NC              | 1,000,000        | 1,009,615  | 1,026,560   
|3133XF-EQ-5             | FHLB Agency Note NC              | 1,000,000        | 1,000,101  | 1,009,690   
|3133XF-LG-9             | FHLB Agency Note NC              | 1,000,000        | 1,000,209  | 1,021,560   
|3133XH-RK-0             | FHLB Agency Note NC              | 1,000,000        | 984,872    | 1,090,630   
|3133XL-HQ-9             | FHLB Agency Note NC              | 2,000,000        | 2,002,435  | 2,195,620   
|3133XL-ME-0             | FHLB Agency Note 1xC             | 1,000,000        | 1,000,000  | 1,025,000   
|3133XL-UM-3             | FHLB Agency Note NC              | 1,000,000        | 1,014,763  | 1,027,500   
|3133XP-PN-8             | FHLB Agency Note CC              | 2,000,000        | 1,997,714  | 2,000,620   
|3133XQ-GA-4             | FHLB Agency Note 1xC             | 2,500,000        | 2,500,000  | 2,511,725   
|3134A4-US-1             | FHLMC Agency Note NC             | 1,000,000        | 1,008,805  | 1,020,310   
|31359M-EY-5             | FNMA Agency Note NC              | 2,000,000        | 2,055,152  | 2,081,880   
|3136F6-DJ-5             | FNMA Agency Note NC              | 1,000,000        | 993,060    | 1,023,130   
|3136F9-VH-3             | FNMA Agency Step-Up DC           | 1,844,000        | 1,835,929  | 1,846,305   
|                        |                                  | 23,844,000       | 23,904,571 | 24,415,125  





---



|                |                                |                  |            |             
|--------------- | ------------------------------ | ---------------- | ---------- | ------------
|CUSIP           | Security Description           | Par Value/Shares | Book Value | Market Value
|                |                                |                  |            |             
|Corporate Bonds |                                |                  |            |             
|002819-AA-8     | Abbott Laboratories NC         | 1,000,000        | 1,030,815  | 1,067,250   
|084664-AD-3     | Berkshire Hathaway Fin NC      | 1,000,000        | 1,005,440  | 992,280     
|14912L-2Y-6     | Caterpillar Fin Serv Corp NC   | 500,000          | 501,123    | 475,795     
|36962G-3F-9     | General Electric Cap Corp NC   | 1,000,000        | 1,010,107  | 1,001,440   
|377372-AC-1     | GlaxoSmithKline Cap Inc. NC    | 1,000,000        | 1,005,672  | 1,003,060   
|478160-AQ-7     | Johnson & Johnson NC           | 1,000,000        | 1,048,176  | 1,141,610   
|53079E-AS-3     | Liberty Mutual Group           | 200,000          | 209,838    | 170,480     
|72447X-AA-5     | Pitney Bowes Inc MTN NC        | 1,000,000        | 956,671    | 926,390     
|931422-AD-1     | Walgreen Co. NC                | 1,000,000        | 1,016,334  | 1,029,860   
|                |                                | 7,700,000        | 7,784,176  | 7,808,165   
|                |                                |                  |            |             
|Municipal Bonds |                                |                  |            |             
|012122-3E-5     | Albany Cnty NY GO CC           | 1,000,000        | 985,878    | 912,420     
|017086-EA-3     | Allegany Cnty NY GO DC         | 1,070,000        | 1,080,103  | 978,108     
|121403-WL-9     | Burleson ISD TX GO NC          | 1,960,000        | 1,994,144  | 1,979,659   
|162375-3G-2     | Chattanooga TN GO CC SNK       | 1,060,000        | 1,035,606  | 955,526     
|199491-YQ-8     | Columbus OH GO CC              | 1,900,000        | 1,857,492  | 1,749,558   
|373028-PV-5     | Georgetown TX GO CC            | 410,000          | 415,188    | 418,836     
|386137-4G-5     | Grand Prairie TX GO CC         | 345,000          | 338,931    | 305,794     
|40727E-S5-7     | Hamilton Cnty OH GO CC         | 1,205,000        | 1,192,331  | 1,169,019   
|40727E-T9-8     | Hamilton Cnty OH GO CC         | 500,000          | 501,455    | 516,130     
|442330-T6-3     | Houston TX GO CC               | 1,000,000        | 1,034,724  | 1,051,720   
|442403-BV-2     | Houston ISD TX GO CC           | 1,000,000        | 968,778    | 948,750     
|478718-ZH-5     | Johnson Cnty USD KS GO CC      | 1,000,000        | 935,772    | 898,380     
|528828-SJ-6     | Lewisville ISD TX GO CC        | 1,000,000        | 953,140    | 840,370     
|590759-N5-1     | Mesquite ISD TX GO CC          | 1,065,000        | 1,091,046  | 958,234     
|642169-5J-1     | New Bedford MA GO NC           | 1,600,000        | 1,680,745  | 1,608,560   
|667027-A2-2     | Northside ISD TX GO CC         | 1,000,000        | 968,134    | 862,540     
|667825-TW-3     | Northwest ISD TX GO CC         | 1,000,000        | 1,069,905  | 1,048,620   
|702333-N5-0     | Pasadena ISD TX GO CC          | 1,000,000        | 1,029,610  | 1,085,230   
|731197-UL-1     | Polk Cnty IA GO CC             | 500,000          | 487,470    | 500,685     
|83710D-D5-4     | South Carolina State SC GO CC  | 1,440,000        | 1,414,223  | 1,357,949   
|83710D-D7-0     | South Carolina State SC GO CC  | 1,125,000        | 1,114,357  | 1,043,235   
|889855-TE-2     | Tomball ISD TX GO CC           | 1,000,000        | 954,570    | 940,520     
|902307-HK-6     | Tyler Jr. College TX REV CC    | 425,000          | 414,583    | 354,748     
|915137-E9-0     | University of Tx TX REV CC     | 400,000          | 429,200    | 445,824     
|947100-MF-7     | Weatherford TX GO CC           | 1,000,000        | 990,396    | 984,780     
|95308R-AL-3     | West Harris Cnty TX REV CC SNK | 500,000          | 526,172    | 530,200     
|969887-SD-1     | Williamson Cnty TX GO CC       | 265,000          | 264,301    | 270,329     
|974450-RS-9     | Winnebago Cnty IL GO CC SNK    | 845,000          | 836,266    | 730,334     
|                |                                | 26,615,000       | 26,564,518 | 25,446,057  





---



|                      |                      |                  |            |             
|--------------------- | -------------------- | ---------------- | ---------- | ------------
|CUSIP                 | Security Description | Par Value/Shares | Book Value | Market Value
|                      |                      |                  |            |             
|Mortgage-Backed Bonds |                      |                  |           
|31283K-N4-6           | FHLMC Pool #G11311   | 177,819          | 176,126    | 184,122     
|3128GV-BY-5           | FHLMC Pool #E90955   | 116,030          | 114,926    | 120,143     
|3128GV-BZ-2           | FHLMC Pool #E90956   | 122,898          | 121,725    | 127,254     
|3128H4-E8-8           | FHLMC Pool #E96459   | 614,759          | 608,540    | 634,629     
|3128KL-GN-1           | FHLMC Pool #A57405   | 1,765,922        | 1,747,625  | 1,809,494   
|3128MJ-A4-2           | FHLMC Pool #G08026   | 1,036,103        | 1,003,854  | 1,060,592   
|3128MJ-AQ-3           | FHLMC Pool #G08014   | 1,314,884        | 1,273,975  | 1,345,963   
|31292J-BG-4           | FHLMC Pool #C01839   | 1,977,064        | 1,915,621  | 2,023,794   
|31294K-KT-1           | FHLMC Pool #E01206   | 201,392          | 199,459    | 208,119     
|31294K-KU-8           | FHLMC Pool #E01207   | 193,926          | 192,070    | 200,401     
|31296W-NK-9           | FHLMC Pool #A20394   | 1,011,671        | 980,262    | 1,035,583   
|31297P-JS-1           | FHLMC Pool #A33873   | 981,406          | 950,120    | 1,004,297   
|31371K-GB-1           | FNMA Pool # 254094   | 206,508          | 204,856    | 212,680     
|31371K-UK-5           | FNMA Pool #254486    | 201,272          | 199,347    | 208,406     
|31371K-WE-7           | FNMA Pool #254545    | 212,382          | 210,344    | 219,911     
|31371M-3X-3           | FNMA Pool #256514    | 799,331          | 793,213    | 823,845     
|31371M-KF-3           | FNMA Pool #255994    | 763,095          | 760,050    | 784,172     
|31371M-PJ-0           | FNMA Pool #256125    | 813,088          | 793,441    | 832,981     
|31371M-RT-6           | FNMA Pool #256198    | 713,646          | 710,116    | 733,245     
|31371M-SX-6           | FNMA Pool #256234    | 1,469,042        | 1,461,772  | 1,509,386   
|31371M-T5-6           | FNMA Pool #256272    | 1,108,805        | 1,103,321  | 1,139,257   
|31371N-CL-7           | FNMA Pool #256675    | 872,753          | 848,609    | 893,651     
|31371N-CM-5           | FNMA Pool #256676    | 822,313          | 812,337    | 844,633     
|31371N-EW-1           | FNMA Pool #256749    | 1,288,365        | 1,275,576  | 1,327,804   
|31387A-W6-8           | FNMA Pool #578569    | 338,706          | 337,091    | 350,416     
|31387C-P3-9           | FNMA Pool #580142    | 206,470          | 204,821    | 212,641     
|31390K-3W-6           | FNMA Pool #648913    | 130,571          | 129,333    | 135,200     
|31402D-C4-0           | FNMA Pool #725591    | 1,890,566        | 1,831,055  | 1,934,071   
|31404J-3Y-9           | FNMA Pool #770415    | 795,989          | 770,932    | 814,305     
|31406N-RB-2           | FNMA Pool #815082    | 698,033          | 691,536    | 716,386     
|31409G-GX-8           | FNMA Pool #870614    | 1,547,710        | 1,496,127  | 1,582,115   
|31411D-S7-5           | FNMA Pool #905142    | 1,402,854        | 1,388,249  | 1,439,659   
|31411L-5E-7           | FNMA Pool #911745    | 1,749,771        | 1,728,353  | 1,799,491   
|31413A-WS-8           | FNMA Pool #939957    | 893,735          | 883,336    | 921,093     
|36202E-AY-5           | GNMA II Pool #3623   | 1,206,977        | 1,171,792  | 1,239,116   
|                      |                      | 29,645,854       | 29,089,906 | 30,428,854  





---



|            |                      |                  |            |             
|----------- | -------------------- | ---------------- | ---------- | ------------
|CUSIP       | Security Description | Par Value/Shares | Book Value | Market Value
|            |                      |                  |            |             
|CMO's       |                      |                  |            |             
|000780-KN-5 | AMAC 2003-7 A2       | 670,946          | 666,608    | 655,011     
|05946X-FF-5 | BAFC 2003-3 2A2      | 1,208,189        | 1,175,929  | 1,094,921   
|05948K-4E-6 | BOAA 2006-3 2CB1     | 771,953          | 370,055    | 370,055     
|05948P-AV-0 | BOAMS 2003-1 2A1     | 300,529          | 297,807    | 280,830     
|05948X-HJ-3 | BOAMS 2003-4 1A67    | 530,072          | 514,932    | 483,539     
|05948X-VR-9 | BOAMS 2003-8 1A1     | 568,268          | 567,240    | 499,677     
|12637H-AV-0 | CSMC 2006-4 6A2      | 1,980,629        | 1,305,978  | 1,305,978   
|12667F-7S-8 | CWALT 2005-4 B1      | 3,208,277        | 328,763    | 328,763     
|126694-HU-5 | CWHL 2005-25 A15     | 2,210,000        | 1,916,954  | 2,342,508   
|126694-XX-1 | CWHL 2006-J1 3A1     | 658,700          | 660,222    | 507,492     
|12669D-LJ-5 | CWHL 2002-32 3A1     | 89,867           | 89,287     | 91,336      
|12669E-JN-7 | CWHL 2003-J5 1A3     | 312,274          | 310,307    | 299,144     
|12669E-XB-7 | CWHL 2003-J7 1A1     | 554,918          | 550,518    | 507,101     
|12669F-PW-7 | CWHL 2004-3 A22      | 180,917          | 180,791    | 152,360     
|16162T-4J-2 | Chase 2003-S4 1A6    | 36,476           | 36,346     | 34,407      
|16162T-5L-6 | Chase 2003-S5 A5     | 613,935          | 606,729    | 575,387     
|16162W-FP-9 | Chase 2003-S15 2A9   | 233,855          | 232,227    | 221,424     
|16162W-HL-6 | Chase 2004-S1 A7     | 509,971          | 492,690    | 495,628     
|172973-UJ-6 | CMSI 2003-11 2A2     | 407,102          | 403,186    | 357,307     
|22541S-HE-1 | CSFB 2004-3 DB2      | 1,951,190        | 292,678    | 292,679     
|22541S-VQ-8 | CSFB 2004-4 DB2      | 1,870,205        | 785,486    | 785,486     
|22541S-X2-9 | CSFB 2004-8 6A1      | 618,545          | 596,433    | 523,547     
|22541S-Z7-6 | CSFB 2004-8 DB2      | 1,647,654        | 370,722    | 403,675     
|225458-BS-6 | CSFB 2005-1 3A2      | 755,383          | 732,219    | 539,045     
|225458-G4-4 | CSFB 2005-7 4A2      | 818,410          | 804,807    | 717,132     
|225458-LV-8 | CSFB 2005-3 DB2      | 2,957,566        | 295,757    | 295,757     
|2254W0-HF-5 | CSFB 2004-6 3A2      | 837,707          | 822,504    | 747,486     
|23244E-AK-3 | CWALT 2006-J6 B1     | 486,134          | 26,786     | 26,786      
|31392E-FG-0 | FNR 2002-55 AD       | 6,040            | 6,040      | 6,028       
|31392H-C9-2 | FNR 2003-9 BJ        | 912,540          | 901,119    | 915,123     
|31392H-RQ-8 | FNR 2003-4 AD        | 753,712          | 743,991    | 764,860     
|31392J-3M-9 | FNR 2003-21 PJ       | 365,131          | 357,343    | 366,865     
|31392J-Y5-2 | FNR 2003-21 OV       | 584,471          | 554,931    | 587,767     
|31393C-AR-4 | FNR 2003-34 VD       | 419,589          | 409,326    | 417,294     
|31393E-AE-9 | FNR 2003-74 PJ       | 553,146          | 504,880    | 524,505     
|31393E-BF-5 | FNR 2003-74 AE       | 750,395          | 721,028    | 736,033     
|31393E-FX-2 | FNR 2003-79 NL       | 638,299          | 622,572    | 641,076     
|31393F-6H-4 | FHR 2522 AH          | 1,228,000        | 1,198,697  | 1,234,925   
|31393F-JK-3 | FHR 2527 LG          | 127,805          | 125,803    | 128,460     
|31393G-Y6-5 | FHR 2541 LM          | 229,072          | 225,677    | 230,291     
|31393H-S4-5 | FHR 2558 JS          | 641,710          | 629,233    | 652,778     
|31393J-4D-7 | FHR 2554 JW          | 405,791          | 403,486    | 411,579     
|31393K-U2-9 | FHR 2575 QP          | 105,957          | 104,806    | 106,432     
|31393L-JD-6 | FHR 2564 GC          | 451,016          | 445,307    | 453,401     
|31393M-RM-5 | FHR 2586 HL          | 823,421          | 780,373    | 814,154     
|31393Q-WR-9 | FHR 2610 DG          | 799,015          | 767,092    | 789,329     
|31393R-4P-2 | FHR 2617 BG          | 425,099          | 414,152    | 423,209     
|31393U-UC-5 | FNR 2003-134 ME      | 477,277          | 463,314    | 480,633     
|31393V-P9-6 | FHR 2628 LE          | 1,162,096        | 1,109,750  | 1,143,889   
|31393W-6K-0 | FHR 2640 AL          | 801,475          | 781,775    | 815,005     
|31393W-EZ-8 | FHR 2643 HJ          | 1,100,000        | 1,056,598  | 1,101,802   
|31393W-N5-4 | FHR 2644 EC          | 372,901          | 357,416    | 364,819     
|31394E-JC-3 | FNR 2005-55 LC       | 611,332          | 613,032    | 625,368     





---



|                  |                      |                  |            |             
|----------------- | -------------------- | ---------------- | ---------- | ------------
|CUSIP             | Security Description | Par Value/Shares | Book Value | Market Value
|                  |                      |                  |            |             
|CMO's (continued) |                      |                  |            |             
|31394E-MW-5       | FNR 2005-62 DT       | 1,000,000        | 981,513    | 1,014,990   
|31394K-ZA-5       | FHR 2692 QT          | 992,056          | 982,657    | 1,000,398   
|31394T-RH-0       | FHR 2762 XC          | 388,727          | 366,744    | 388,816     
|31394U-GN-6       | FNR 2005-98 SX       | 281,629          | 268,606    | 280,162     
|31394U-HX-3       | FNR 2005-102 SD      | 742,481          | 703,032    | 761,511     
|31394W-G5-1       | FHR 2779 YA          | 705,810          | 671,094    | 705,551     
|31394X-K5-4       | FHR 2772 QA          | 1,324,277        | 1,289,505  | 1,334,577   
|31395A-C8-6       | FHR 2806 AC          | 1,965,000        | 1,950,182  | 2,002,906   
|31395C-Q3-8       | FHR 2825 LE          | 1,000,000        | 985,734    | 1,014,960   
|31395D-BP-3       | FNR 2006-40 VA       | 1,209,314        | 1,213,590  | 1,255,776   
|31395H-3S-7       | FHR 2874 LC          | 1,000,000        | 997,890    | 1,027,419   
|31395L-XA-4       | FHR 2916 YE          | 510,693          | 506,989    | 519,418     
|31395M-QS-1       | FHR 2935 LM          | 608,922          | 597,052    | 618,954     
|31395N-QR-1       | FHR 2006 QD          | 1,000,000        | 1,001,546  | 1,032,320   
|31395P-XB-3       | FHR 2950 ON          | 976,389          | 969,689    | 992,447     
|31395P-ZJ-4       | FHR 2949 BV          | 950,888          | 949,054    | 950,719     
|31395T-LX-0       | FHR 2963 BK          | 818,301          | 784,615    | 819,004     
|31395U-SY-8       | FHR 2977 PC          | 1,400,000        | 1,381,119  | 1,432,366   
|31395V-KF-5       | FHR 2984 NA          | 409,696          | 409,457    | 416,950     
|31395W-DD-6       | FHR 3010 SL          | 662,943          | 595,549    | 630,973     
|31396C-SQ-4       | FHR 3048 QA          | 715,822          | 709,278    | 726,129     
|31396F-HS-5       | FHR 3072 AE          | 1,090,698        | 1,081,026  | 1,111,617   
|31396G-AV-3       | FHR 3087 JB          | 637,251          | 639,675    | 652,543     
|31396G-UG-4       | FHR 3099 PB          | 1,000,000        | 1,003,343  | 1,035,040   
|31396H-F8-7       | FHR 3107 ME          | 1,199,196        | 1,189,154  | 1,216,404   
|31396H-VV-8       | FHR 3117 PC          | 1,500,000        | 1,478,481  | 1,538,793   
|31396J-A3-9       | FHR 3133 PB          | 2,000,000        | 2,003,399  | 2,057,674   
|31396N-7C-4       | FHR 3138 QA          | 303,137          | 302,846    | 309,047     
|31396N-CW-4       | FHR 3145 KC          | 2,000,000        | 1,960,984  | 2,049,192   
|31396N-M2-9       | FHR 3147 YE          | 666,909          | 668,904    | 683,405     
|31396R-NN-3       | FHR 3154 PJ          | 589,989          | 589,486    | 604,192     
|31396U-NL-0       | FHR 3188 CK          | 809,833          | 802,082    | 822,136     
|31397A-HX-4       | FHR 3200 MX          | 1,460,000        | 1,438,998  | 1,489,835   
|31397A-HY-2       | FHR 3200 NA          | 887,869          | 888,871    | 902,069     
|31397A-QG-1       | FHR 3203 MA          | 753,268          | 746,377    | 764,356     
|31397G-B9-0       | FHR 3310 A           | 838,031          | 828,241    | 851,409     
|31397G-J5-0       | FHR 3306 PB          | 1,400,000        | 1,381,674  | 1,443,051   
|31397J-GE-8       | FHR 3330 PB          | 1,000,000        | 987,789    | 1,030,903   
|32051D-YH-9       | FHASI 2003-5 1A14    | 840,390          | 833,499    | 747,127     
|32051D-Z2-1       | FHASI 2004-3 1A1     | 525,914          | 520,495    | 471,107     
|32051G-LE-3       | FHASI 2005-2 2A2     | 703,440          | 691,265    | 593,554     
|36242D-6G-3       | GSR 2005-5F 2A12     | 378,601          | 296,838    | 360,084     
|38374F-H4-9       | GNR 2004-17 HG       | 542,191          | 521,090    | 553,732     
|38374M-EQ-8       | GNR 2005-84 SC       | 730,471          | 705,830    | 704,403     
|55265K-3H-0       | MASTR 2003-11 5A2    | 650,702          | 637,449    | 586,396     
|55265K-3M-9       | MASTR 2003-12 3A1    | 475,376          | 471,595    | 434,273     
|55265K-QU-6       | MASTR 2003-1 3A2     | 248,632          | 244,537    | 244,040     
|55265K-T2-5       | MASTR 2003-10 1A2    | 1,192,212        | 1,167,688  | 1,099,007   
|576434-QT-4       | MALT 2004-4 B1       | 1,678,537        | 868,122    | 881,232     
|76111X-GN-7       | RFMSI 2004-S3 A1     | 429,144          | 418,718    | 418,952     
|76111X-HC-0       | RFMSI 2004-S4 1A5    | 451,718          | 448,105    | 378,931     
|929227-C5-3       | WAMU 2002-S8 2A7     | 281,159          | 278,216    | 281,072     





---



|                  |                                  |                  |            |             
|----------------- | -------------------------------- | ---------------- | ---------- | ------------
|CUSIP             | Security Description             | Par Value/Shares | Book Value | Market Value
|                  |                                  |                  |            |             
|CMO's (continued) |                                  |                  |            |             
|92922F-GA-0       | WAMU 2003-S10 A2                 | 874,244          | 859,973    | 862,223     
|939336-HZ-9       | WAMMS 2002-MS8 2A1               | 234,270          | 232,062    | 229,446     
|949780-AA-8       | WFMBS 2003-6 1A1                 | 673,754          | 658,187    | 657,752     
|94982N-AG-9       | WFMBS 2005-4 A7                  | 1,171,154        | 983,506    | 1,188,468   
|94983F-AC-4       | WFMBS 2006-1 A3                  | 1,472,822        | 1,446,793  | 1,069,637   
|                  |                                  | 92,088,827       | 78,321,891 | 78,919,535  
|                  |                                  |                  |            |             
|Common Stocks     |                                  |                  |            |             
|001055-10-2       | Aflac Inc.                       | 331              | 14,370     | 15,173      
|00206R-10-2       | AT&T Inc                         | 364              | 14,718     | 10,374      
|002824-10-0       | Abbott Laboratories              | 455              | 24,567     | 24,283      
|00724F-10-1       | Adobe Systems Inc                | 1,138            | 29,661     | 24,228      
|009363-10-2       | Airgas Inc                       | 415              | 19,782     | 16,180      
|025537-10-1       | American Electric Power Co.      | 5,000            | 143,663    | 166,400     
|025816-10-9       | American Express Co.             | 3,120            | 91,930     | 57,876      
|037411-10-5       | Apache Corp                      | 254              | 25,742     | 18,931      
|037833-10-0       | Apple Computer Inc               | 279              | 40,762     | 23,813      
|038222-10-5       | Applied Materials Inc            | 8,225            | 142,012    | 83,319      
|053015-10-3       | Automatic Data Processing Inc    | 2,790            | 119,342    | 109,759     
|053611-10-9       | Avery Dennison Corp              | 3,550            | 200,536    | 116,192     
|075887-10-9       | Becton Dickinson & Co            | 360              | 27,013     | 24,620      
|075896-10-0       | Bed, Bath & Beyond, Inc.         | 800              | 24,264     | 20,336      
|125071-10-0       | CDI Corp                         | 2,490            | 32,221     | 32,221      
|126650-10-0       | CVS Corp                         | 1,011            | 36,053     | 29,056      
|12673P-10-5       | CA Inc.                          | 1,013            | 18,265     | 18,771      
|143130-10-2       | Carmax Inc.                      | 1,475            | 20,501     | 11,623      
|151020-10-4       | Celgene Corp                     | 432              | 27,270     | 23,881      
|17275R-10-2       | Cisco Systems Inc                | 1,483            | 39,705     | 24,173      
|172908-10-5       | Cintas Corp                      | 850              | 17,859     | 19,746      
|191216-10-0       | Coca-Cola Co                     | 3,176            | 161,699    | 143,778     
|194162-10-3       | Colgate Palmolive Co             | 2,461            | 163,229    | 168,677     
|209115-10-4       | Consolidated Edison Inc.         | 50,000           | 2,091,819  | 1,946,500   
|232572-10-7       | Cymer Inc.                       | 850              | 22,920     | 18,624      
|24702R-10-1       | Dell Inc.                        | 6,200            | 99,985     | 63,488      
|249030-10-7       | DentSply International Inc.      | 882              | 23,931     | 24,908      
|25243Q-20-5       | Diageo PLC-Sponsored ADR         | 455              | 36,754     | 25,817      
|25459L-10-6       | DirecTV Group Inc.               | 1,030            | 26,430     | 23,597      
|254687-10-6       | Disney, Walt                     | 2,185            | 54,919     | 49,577      
|257651-10-9       | Donaldson Co. Inc.               | 704              | 23,503     | 23,690      
|263534-10-9       | EI Dupont De Nemours & Co        | 2,705            | 128,504    | 68,437      
|26441C-10-5       | Duke Energy Corp                 | 35,000           | 633,326    | 525,350     
|26483E-10-0       | Dun & Bradstreet Corp.           | 310              | 22,716     | 23,932      
|291011-10-4       | Emerson Electric Co              | 525              | 16,452     | 19,220      
|302182-10-0       | Express Scripts Inc.             | 404              | 25,478     | 22,212      
|302491-30-3       | FMC Corp                         | 357              | 15,366     | 15,969      
|302571-10-4       | FPL Group Inc.                   | 491              | 29,219     | 24,712      
|303075-10-5       | Factset Research Systems Inc.    | 566              | 21,239     | 25,040      
|31428X-10-6       | FedEx Corp                       | 835              | 60,025     | 53,565      
|33734X-18-4       | 1st Trust Utilities AlphaDEX ETF | 86,500           | 1,346,243  | 1,121,040   
|36467W-10-9       | Gamestop Corp. Class A           | 851              | 23,857     | 18,432      
|369550-10-8       | General Dynamics Corp            | 435              | 39,129     | 25,052      
|369604-10-3       | General Electric                 | 5,450            | 156,024    | 88,290      
|370334-10-4       | General Mills Inc                | 255              | 14,846     | 15,491      





---



|                         |                                |                  |            |             
|------------------------ | ------------------------------ | ---------------- | ---------- | ------------
|CUSIP                    | Security Description           | Par Value/Shares | Book Value | Market Value
|                         |                                |                  |            |             
|Common Stocks (continued |                                |                  |           
|372917-10-4              | Genzyme Corp                   | 391              | 25,894     | 25,951      
|375558-10-3              | Gilead Sciences Inc.           | 475              | 25,593     | 24,292      
|38259P-50-8              | Google Inc.                    | 77               | 39,289     | 23,689      
|413875-10-5              | Harris Corp                    | 658              | 24,118     | 25,037      
|42222L-10-7              | HealthTronics Inc.             | 48,565           | 109,271    | 109,271     
|423074-10-3              | HJ Heinz Co.                   | 625              | 26,841     | 23,500      
|423452-10-1              | Helmerich & Payne Inc          | 2,100            | 44,961     | 47,775      
|428236-10-3              | Hewlett-Packard Co             | 748              | 33,469     | 27,145      
|452308-10-9              | Illinois Tool Works Inc        | 2,495            | 124,978    | 87,450      
|456788-10-8              | Infosys Technologies-Sp ADR    | 927              | 41,525     | 22,776      
|458140-10-0              | Intel Corp                     | 5,523            | 108,527    | 80,967      
|464287-22-6              | IShares Lehman Aggr. Bond Fund | 10,000           | 1,004,573  | 1,042,000   
|464288-41-4              | Ishares S&P National Municipal | 5,000            | 506,582    | 497,700     
|522015-10-6              | Learning Tree Int'l Inc        | 1,295            | 14,530     | 11,033      
|524660-10-7              | Leggett & Platt Inc            | 3,490            | 77,515     | 53,013      
|539830-10-9              | Lockheed Martin Corp           | 280              | 22,817     | 23,542      
|552676-10-8              | MDC Holdings Inc.              | 2,380            | 73,414     | 72,114      
|571748-10-2              | Marsh & McLennan Co            | 3,045            | 89,188     | 73,902      
|57636Q-10-4              | MasterCard Inc. - Class A      | 119              | 16,839     | 17,009      
|577767-10-6              | Maxwell Technologies, Inc      | 3,220            | 40,314     | 16,325      
|580135-10-1              | McDonald's Corp                | 352              | 20,886     | 21,891      
|594918-10-4              | Microsoft Corp                 | 12,427           | 347,465    | 241,581     
|595017-10-4              | Microchip Technology Inc.      | 1,310            | 42,677     | 25,585      
|608190-10-4              | Mohawk Industries Inc.         | 415              | 16,606     | 17,833      
|61166W-10-1              | Monsanto Co.                   | 215              | 18,125     | 15,126      
|631103-10-8              | NASDAQ OMX Group               | 623              | 19,297     | 15,394      
|637071-10-1              | National Oilwell Varco Inc.    | 740              | 35,691     | 18,086      
|651229-10-6              | Newell Rubbermaid Inc          | 3,880            | 97,649     | 37,946      
|65248E-10-4              | News Corp - Class A            | 5,250            | 64,887     | 47,723      
|654106-10-3              | Nike Inc. - Class B            | 384              | 23,027     | 19,584      
|655044-10-5              | Noble Energy Inc.              | 350              | 27,802     | 17,227      
|68389X-10-5              | Oracle Corp                    | 1,379            | 30,564     | 24,450      
|69840W-10-8              | Panera Bread Company-Class A   | 395              | 16,754     | 20,635      
|704549-10-4              | Peabody Energy Corp            | 729              | 22,372     | 16,585      
|736508-84-7              | Portland General Electric Co.  | 10,000           | 212,533    | 194,700     
|740189-10-5              | Precision Castparts Corp       | 382              | 23,823     | 22,721      
|74267C-10-6              | ProAssurance Corp              | 5,800            | 273,578    | 306,124     
|742718-10-9              | Procter & Gamble               | 960              | 59,799     | 59,347      
|778296-10-3              | Ross Stores Inc.               | 625              | 18,145     | 18,581      
|790849-10-3              | Saint Jude Medical Inc.        | 750              | 30,859     | 24,720      
|81369Y-60-5              | Sector Spdr Trust (Financial)  | 6,115            | 76,560     | 76,560      
|847560-10-9              | Spectra Energy Corp            | 5,000            | 137,532    | 78,700      
|871829-10-7              | Sysco  Corp                    | 1,095            | 25,267     | 25,119      
|882508-10-4              | Texas Instruments Inc.         | 2,075            | 37,473     | 32,204      
|88579Y-10-1              | 3M Company                     | 2,095            | 160,121    | 120,546     
|907818-10-8              | Union Pacific Corp             | 486              | 28,472     | 23,231      
|911312-10-6              | United Parcel Service Class B  | 1,360            | 83,961     | 75,018      
|91324P-10-2              | UnitedHealth Group Inc.        | 5,725            | 181,527    | 152,285     
|920253-10-1              | Valmont Industries Inc         | 391              | 22,980     | 23,992      
|931142-10-3              | Wal-Mart Stores Inc            | 4,119            | 196,790    | 230,911     
|931422-10-9              | Walgreen Company               | 5,525            | 225,995    | 136,302     





---



|                         |                      |                  |              |             
|------------------------ | -------------------- | ---------------- | ------------ | ------------
|CUSIP                    | Security Description | Par Value/Shares | Book Value   | Market Value
|                         |                      |                  |              |             
|Common Stocks (continued |                      |                  |             
|949746-10-1              | Wells Fargo Co.      | 4,515            | 139,437      | 133,102     
|98385X-10-6              | XTO Energy Inc       | 473              | 16,141       | 16,683      
|G1150G-11-1              | Accenture Ltd. CL-A  | 766              | 30,031       | 25,117      
|FEMPTN-RS-4              | FemPartners          | 449,617          | 55,000       | 55,000      
|H8817H-10-0              | TransOcean Ltd.      | 365              | 34,566       | 17,246      
|                         |                      | 866,563          | 11,652,479   | 10,098,697  
|                         |                      |                  |              |             
|Grand Total:             |                      | $207,543,864     | $208,109,236