U.S. SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 24F-2

                        Annual Notice of Securities Sold
                             Pursuant to Rule 24f-2

                        Read instructions at end of Form
                          before preparing Form. Please
                                 print or type.


1.       Name and address of issuer:    The AAL Mutual Funds
                                        222 West College Avenue
                                        Appleton, WI  54919-0007

2.       Name of each series or class of funds for which this notice is filed:
               The AAL International Fund  A&B, The AAL Mid Cap Stock Fund A&B,
               The AAL Capital Growth Fund A&B, The AAL Utilities Fund A&B, The 
               AAL Bond Fund A&B, The AAL Municipal Bond Fund A&B, The AAL Money
               Market Fund A&B, The AAL High Yield Bond Fund A&B, The AAL Small 
               Cap Stock Fund A&B, The AAL U.S. Government Zero Coupon Target 
               Fund Series 2001 and The AAL U.S. Government Zero Coupon Target 
               Fund Series 2006

3.       Investment Company Act File Number: 811-5075

         Securities Act File Number: 33-12911

4.       Last day of fiscal year for which this notice is filed: April 30, 1997

5.       Check box if this  notice is being  filed  more than 180 days after the
         close of the issuer's fiscal year for purposes of reporting  securities
         sold after the close of the fiscal year but before  termination  of the
         issuer's 24f-2 declaration:

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6.       Date of termination of issuer's declaration under rule 24f-2(a)(1), if
         applicable (see Instruction A.6):

7.       Number and amount of  securities  of the same class or series which had
         been registered under the Securities Act of 1933 other than pursuant to
         rule 24f-2 in a prior fiscal  year,  but which  remained  unsold at the
         beginning of the fiscal year:  0

8.       Number and amount of securities registered during the fiscal year other
         than pursuant to rule 24f-2: 0

9.       Number and aggregate sale price of securities sold during the fiscal
         year:
                  348,835,093                        $996,679,342

10.      Number and aggregate sale price of securities sold during the fiscal
         year in reliance upon registration pursuant to rule 24f-2:
                  348,835,093                        $996,679,342

11.      Number and aggregate sale price of securities  issued during the fiscal
         year in connection with dividend reinvestment plans, if applicable (see
         Instruction B.7):
                  22,387,278                         $220,874,735

12.      Calculation of registration fee:

         (I)Aggregate sale price of securities sold during the fiscal year in
         reliance on rule 24f-2(from Item 10):  996,679,342

         (ii)Aggregate price of shares issued in connection with dividend
         reinvestment plans (from Item 11, if applicable):  220,874,735

         (iii)Aggregate price of shares redeemed or repurchased during the
         fiscal year (if applicable):  598,771,091

<PAGE>

         (iv)Aggregate price of shares redeemed or repurchased and previously
         applied as a reduction to filing fees pursuant to rule 24e-2 (if
         applicable): 0

         (v)Net  aggregate price of securities sold and issued during the fiscal
         year in  reliance on rule 24f-2  [line (I),  plus line (ii),  less line
         (iii), plus line (iv)] (if applicable): 618,782,986

         (vi)Multiplier prescribed by Section 6(b) of the Securities Act of 1933
         or other applicable law or regulation (see Instruction C.6):  1/3300

         (vii)Fee due [line(I) or line(v) multiplied by line (vi)]:  $187,510

Instruction: Issuers should complete lines (ii), (iii), (iv), and (v) only if
the forms being filed within 60 days after the close of the issuer's fiscal
year.  See Instruction C.3.

13.      Check  box if fees  are  being  remitted  to the  Commission's  lockbox
         depository  as  described  in section 3a of the  Commission's  Rules of
         Informal and Other Procedures (17 CFR 202.3a).     [x]

Date of mailing or wire  transfer  of filing  fees to the  Commission's  lockbox
depository:
                           187,510           6/23/97

                                   SIGNATURES

This  report has been  signed  below by the  following  persons on behalf of the
issuer and in the capacities and on the dates indicated.

By(Signature and Title)*  /s/ Joseph F. Wreschnig
                          Assistant Secretary, The AAL Mutual Funds

Date:  6/24/97

*Please print the name and title of the signing officer below the signature.