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Northern Funds – ‘N-Q’ for 6/30/07

On:  Monday, 8/27/07, at 12:13pm ET   ·   Effective:  8/27/07   ·   For:  6/30/07   ·   Accession #:  950137-7-13046   ·   File #:  811-08236

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  As Of                Filer                Filing    For·On·As Docs:Size              Issuer               Agent

 8/27/07  Northern Funds                    N-Q         6/30/07    2:5.1M                                   Bowne Boc/FA
          → Active M International Equity Fund ⇒ NMIEX
          → Arizona Tax-Exempt Fund ⇒ NOAZX
          → Bond Index Fund ⇒ NOBOX
          → California Intermediate Tax-Exempt Fund ⇒ NCITX
          → California Tax-Exempt Fund ⇒ NCATX
          → Emerging Markets Equity Index Fund ⇒ NOEMX
          → Fixed Income Fund ⇒ NOFIX
          → Global Real Estate Index Fund ⇒ NGREX
          → High Yield Fixed Income Fund ⇒ NHFIX
          → High Yield Municipal Fund ⇒ NHYMX
          → Income Equity Fund ⇒ NOIEX
          → Intermediate Tax-Exempt Fund ⇒ NOITX
          → International Equity Fund ⇒ NOIGX
          → International Equity Index Fund ⇒ NOINX
          → Large Cap Core Fund ⇒ NOLCX
          → Large Cap Value Fund ⇒ NOLVX
          → Limited Term U.S. Government Fund ⇒ NSIUX
          → Mid Cap Index Fund ⇒ NOMIX
          → Northern California Municipal Money Market Fund ⇒ NOCXX
          → Northern Global Fixed Income Fund ⇒ NOIFX
          → Northern Large Cap Equity Fund ⇒ NOGEX
          → Northern Large Cap Growth Fund ⇒ NOEQX
          → Northern Mid Cap Growth Fund ⇒ NOMCX
          → Northern Money Market Fund ⇒ NORXX
          → Northern Multi-Manager Mid Cap Fund ⇒ NMMCX
          → Northern Multi-Manager Small Cap Fund ⇒ NMMSX
          → Northern Municipal Money Market Fund ⇒ NOMXX
          → Northern Technology Fund ⇒ NTCHX
          → Small Cap Core Fund ⇒ Northern Small Cap Core Fund (NSGRX)
          → Small Cap Index Fund ⇒ NSIDX
          → Small Cap Value Fund ⇒ NOSGX
          → Stock Index Fund ⇒ NOSIX
          → Tax-Exempt Fund ⇒ NOTEX
          → U.S. Government Fund ⇒ NOUGX
          → U.S. Government Money Market Fund ⇒ NOGXX
          → U.S. Government Select Money Market Fund ⇒ NOSXX

Quarterly Schedule of Portfolio Holdings of a Management Investment Company   —   Form N-Q
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: N-Q         Quarterly Schedule of Portfolio Holdings            HTML   3.81M 
 2: EX-99.CERT  Miscellaneous Exhibit                               HTML     18K

N-Q   —   Quarterly Schedule of Portfolio Holdings
Document Table of Contents

Page (sequential) | (alphabetic) Top
 
11st Page   -   Filing Submission
"Table of Contents
"Item 1. Schedule of Investments
"Item 3. Exhibits
"Signatures

This is an HTML Document rendered as filed.  [ Alternative Formats ]

  nvq  
Table of Contents

 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-08236
Northern Funds
(Exact name of registrant as specified in charter)
50 South LaSalle Street
Chicago, IL 60603
 
(Address of principal executive offices) (Zip code)
Lloyd A. Wennlund, President
Northern Funds
50 South LaSalle Street
Chicago, IL 60603
 
(Name and address of agent for service)
Registrant’s telephone number, including area code: (312) 557-2790
Date of fiscal year end: March 31
Date of reporting period: June 30, 2007
 
 

 

TABLE OF CONTENTS

Item 1. Schedule of Investments
Item 3. Exhibits
SIGNATURES
Certification

Table of Contents

Item 1. Schedule of Investments.
The registrant’s schedule of investments pursuant to Rule 30b1-5 under the Investment Company Act of 1940, as amended (the “1940 Act”), is as follows:
EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7%
                
Argentina - 0.1%
                
BBVA Banco Frances S.A. ADR
     10,200     $ 109  
Telecom Argentina S.A. ADR *
     22,820       569  
 
 
             678  
 
Bermuda - 0.2%
                
China Agri-Industries Holdings Ltd. *
     318,000       216  
Credicorp Ltd.
     20,825       1,274  
 
 
             1,490  
 
Brazil - 4.4%
                
All America Latina Logistica S.A.
     79,300       1,085  
Banco Nossa Caixa S.A.
     4,600       73  
Brasil Telecom Participacoes S.A.
     8,454       236  
Centrais Eletricas Brasileiras S.A.
     23,438,600       705  
Cia de Bebidas das Americas
     17,703       13  
Cia de Concessoes Rodoviarias
     25,700       473  
Cia de Saneamento Basico do Estado de Sao Paulo
     23,983       522  
Cia Energetica de Minas Gerais
     57,636       1,226  
Cia Energetica de Sao Paulo *
     30,783,400       562  
Cia Siderurgica Nacional S.A.
     24,700       1,278  
Cia Vale do Rio Doce
     138,927       6,207  
Cosan S.A. Industria e Comercio *
     11,600       189  
Cyrela Brazil Realty S.A.
     36,300       450  
Diagnosticos da America S.A.
     6,100       135  
EDP — Energias do Brasil S.A.
     11,300       232  
Empresa Brasileira de Aeronautica S.A.
     93,600       1,136  
Gafisa S.A.
     18,215       285  
Gerdau S.A.
     10,200       216  
Lojas Renner S.A.
     25,600       482  
Natura Cosmeticos S.A.
     19,200       279  
Perdigao S.A.
     18,342       347  
Petroleo Brasileiro S.A. — Petrobras
     234,866       7,157  
Petroleo Brasileiro S.A ADR
     25,900       281  
Souza Cruz S.A.
     14,900       358  
Submarino S.A.
     10,000       416  
Tele Norte Leste Participacoes S.A.
     12,900       514  
Tractebel Energia S.A.
     23,700       264  
Unibanco — Uniao de Bancos Brasileiros S.A.
     223,000       2,536  
 
 
             27,657  
 
Chile - 1.5%
                
Banco de Credito e Inversiones
     5,712       188  
Banco Santander Chile S.A.
     6,166,829       296  
Banco Santander Chile S.A. ADR
     3,400       168  
CAP S.A.
     15,527       358  
Centros Comerciales Sudamericanos S.A.
     164,110       675  
Cia Cervecerias Unidas S.A. ADR
     1,900       70  
Cia de Telecomunicaciones de Chile S.A. ADR
     10,100       96  
Cia de Telecomunicaciones de Chile S.A., Class A
     65,039       153  
Cia Sudamericana de Vapores S.A. *
     73,082       157  
Colbun S.A.
     1,194,799       273  
Compania Cervecerias Unidas S.A.
     16,066       118  
CorpBanca S.A.
     15,176,234       95  
Cristalerias de Chile S.A.
     4,983       69  
Distribucion y Servicio D&S S.A.
     321,782       172  
Distribucion y Servicio D&S S.A. ADR
     3,300       106  
Empresa Nacional de Electricidad S.A. ADR
     7,800       379  
Empresa Nacional de Electricidad S.A.
     439,460       713  
Empresa Nacional de Telecomunicaciones S.A.
     19,649       335  
Empresas CMPC S.A.
     18,556       686  
Empresas COPEC S.A.
     93,487       1,364  
Empresas Iansa S.A.
     243,229       28  
Enersis S.A. ADR
     18,700       375  
Enersis S.A.
     1,749,997       703  
Inversiones Aguas Metropolitanas S.A.
     82,308       104  
Lan Airlines S.A.
     18,325       308  
Lan Airlines S.A. ADR
     1,500       126  
Madeco S.A. *
     566,281       80  
Masisa S.A.
     553,522       156  
Parque Arauco S.A.
     67,431       96  
SACI Falabella
     59,606       307  
Sociedad Quimica y Minera de Chile S.A.
     16,020       277  
Sociedad Quimica y Minera de Chile S.A. ADR
     800       138  
Vina Concha y Toro S.A.
     83,014       206  
 
 
             9,375  
 
China - 7.4%
                
Air China Ltd.
     528,000       403  
Aluminum Corp. of China Ltd.
     646,000       1,089  
Angang New Steel Co. Ltd.
     188,000       387  
Anhui Conch Cement Co. Ltd.
     92,000       647  
Bank of China Ltd.
     4,596,146       2,281  
Bank of Communications Co. Ltd. *
     1,215,000       1,294  
Beijing Capital International Airport Co. Ltd.
     320,000       450  
Byd Co. Ltd.
     26,000       149  
EQUITY FUNDS      1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
China - 7.4% – (continued)
                
China Communications Construction Co. Ltd.
     884,000     $ 1,583  
China Construction Bank
     5,115,643       3,520  
China Eastern Airlines Corp. Ltd. *
     236,000       113  
China Life Insurance Co. Ltd.
     1,457,502       5,238  
China Petroleum & Chemical Corp.
     3,468,751       3,838  
China Shenhua Energy Co. Ltd.
     650,000       2,270  
China Shipping Container Lines Co. Ltd.
     390,000       266  
China Shipping Development Co. Ltd.
     280,000       647  
China Southern Airlines Co. Ltd. *
     176,000       118  
China Telecom Corp. Ltd., Class H
     2,842,000       1,672  
COSCO Holdings
     555,250       797  
Datang International Power Generation Co. Ltd. *
     336,000       519  
Dongfeng Motor Group Co. Ltd.
     614,000       327  
FU JI Food and Catering Services Holdings Ltd.
     34,000       117  
Guangshen Railway Co. Ltd.
     288,000       229  
Huadian Power International Co.
     216,000       112  
Huaneng Power International, Inc.
     628,000       713  
Hunan Non-Ferrous Metal Corp. Ltd.
     208,000       129  
Industrial & Commercial Bank of China
     6,018,000       3,341  
Jiangsu Express
     268,000       271  
Jiangxi Cooper Co. Ltd.
     305,000       513  
Maanshan Iron & Steel
     352,000       275  
Motech Industries, Inc.
     14,000       183  
PetroChina Co. Ltd.
     3,913,038       5,766  
PICC Property & Casualty Co., Ltd. *
     438,000       357  
Ping An Insurance Group Co. of China Ltd.
     293,000       2,071  
Semiconductor Manufacturing International Corp. *
     3,481,000       476  
Shanghai Electric Group Co. Ltd.
     530,000       239  
Shanghai Forte Land Co.
     140,000       79  
Shenzhen Expressway Co. Ltd.
     106,000       82  
Shimao Property Holdings Ltd
     305,000       682  
Sinopec Shanghai Petrochemical Co. Ltd.
     456,000       299  
Sinopec Yizheng Chemical Fibre Co. Ltd. *
     220,000       103  
Sinotrans Ltd.
     228,000       108  
Travelsky Technology Ltd.
     72,000       62  
Tsingtao Brewery Co. Ltd.
     52,000       126  
Weichai Power Co. Ltd.
     20,000       130  
Weiqiao Textile Co.
     69,000       155  
Xinao Gas Holdings Ltd.
     104,000       131  
Yanzhou Coal Mining Co. Ltd.
     376,000       574  
Zhejiang Expressway Co. Ltd.
     297,000       319  
Zijin Mining Group Co. Ltd.
     840,000       494  
ZTE Corp.
     29,800       142  
 
 
             45,886  
 
Colombia - 0.3%
                
BanColombia S.A.
     57,300       1,881  
 
Czech Republic - 0.7%
                
Central European Media Enterprises Ltd. *
     5,600       544  
CEZ
     42,470       2,191  
Komercni Banka A/S
     3,110       579  
Philip Morris CR A/S
     100       52  
Telefonica O2 Czech Republic A/S
     23,140       650  
Unipetrol *
     12,630       170  
Zentiva N.V.
     4,560       309  
 
 
             4,495  
 
Egypt - 0.7%
                
Alexandria Mineral Oils Co.
     2,889       43  
Commercial International Bank
     32,150       344  
Credit Agricole Egypt *
     9,223       28  
Eastern Tobacco
     2,336       168  
Egyptian Co. for Mobile Services
     6,941       219  
Egyptian Financial Group-Hermes Holding
     39,982       323  
Egyptian International Pharmaceutical Industrial Co.
     5,728       30  
EL Ezz Aldekhela Steel Alexandria
     532       98  
El Ezz Steel Rebars SAE
     16,255       156  
El Watany Bank of Egypt
     11,773       94  
Medinet Nasr Housing
     1,116       60  
Misr Beni Suef Cement Co.
     2,363       42  
Olympic Group Financial Investments
     7,178       82  
Orascom Construction Industries
     16,578       1,085  
Orascom Hotels & Development *
     17,627       184  
Orascom Telecom Holding SAE
     101,527       1,296  
Oriental Weavers
     3,320       41  
Sidi Kerir Petrochemcials Co.
     26,431       82  
Telecom Egypt
     69,161       213  
 
 
             4,588  
 
Hong Kong - 4.6%
                
Agile Property Holdings Ltd.
     324,000       424  
Beijing Enterprises Holdings Ltd.
     50,000       190  
Brilliance China Automotive Holdings Ltd. *
     322,000       81  
Chaoda Modern Agriculture
     390,000       301  
China Citic Bank *
     960,000       734  
NORTHERN FUNDS QUARTERLY REPORT     2     EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
Hong Kong - 4.6% – (continued)
                
China Everbright Ltd. *
     158,000     $ 331  
China Mengniu Dairy Co. Ltd.
     200,000       690  
China Merchants Holdings International Co. Ltd.
     217,300       1,052  
China Mobile Ltd.
     1,024,486       11,001  
China Overseas Land & Investment Ltd.
     740,000       1,155  
China Resources Enterprise Ltd., Class H
     248,000       933  
China Resources Land Ltd.
     344,000       520  
China Resources Power Holdings Co.
     240,000       573  
China Travel International Inv HK
     640,000       336  
Citic Pacific Ltd.
     233,000       1,170  
CNOOC Ltd.
     3,138,604       3,557  
Cofco International Ltd.
     130,000       88  
Cosco Pacific Ltd.
     242,000       635  
Denway Motors Ltd.
     1,076,000       509  
Global Bio-Chem Technology Group Co. Ltd.
     192,000       79  
GOME Electrical Appliances Holdings Ltd.
     228,000       349  
Guangdong Investment Ltd.
     540,000       315  
Guangzhou Investment Co. Ltd.
     598,000       152  
Guangzhou R&F Properties Co. Ltd.
     204,800       627  
Hengan International Group Co. Ltd.
     132,000       469  
Hopson Development Holdings Ltd.
     126,000       354  
Li Ning Co. Ltd.
     142,000       344  
Nine Dragons Paper Holdings Ltd.
     258,000       601  
Shanghai Industrial Holdings Ltd.
     92,000       353  
Shenzhen Investment Ltd.
     226,000       171  
Sinochem Hong Kong Holding Ltd.
     302,000       214  
TPV Technology Ltd.
     220,000       152  
 
 
             28,460  
 
Hungary - 1.1%
                
Gedeon Richter Nyrt.
     2,801       563  
Magyar Telekom Telecommunications PLC
     93,966       512  
MOL Hungarian Oil and Gas Nyrt.
     16,811       2,551  
OTP Bank PLC
     54,519       3,166  
 
 
             6,792  
 
India - 6.2%
                
ABB Ltd. India *
     10,950       295  
ACC Ltd.
     10,501       241  
Aditya Birla Nuvo Ltd.
     7,816       257  
Ashok Leyland Ltd.
     84,716       79  
Asian Paints Ltd.
     4,993       99  
Bajaj Auto Ltd.
     5,993       315  
Bharat Electronics Ltd.
     2,662       120  
Bharat Forge Ltd.
     17,026       129  
Bharat Heavy Electricals Ltd.
     23,973       906  
Bharat Petroleum Corp. Ltd.
     17,170       144  
Cipla Ltd.
     66,014       337  
Dish TV India Ltd. *
     37,093       97  
Dr Reddy’s Laboratories Ltd.
     5,913       95  
Dr. Reddy’s Laboratories Ltd. ADR
     17,180       277  
GAIL India Ltd.
     52,085       397  
GlaxoSmithKline Pharmaceuticals Ltd.
     4,484       140  
Glenmark Pharmaceuticals Ltd.
     9,717       157  
Grasim Industries Ltd.
     7,485       485  
Gujarat Ambuja Cements Ltd.
     126,729       388  
HDFC Bank Ltd.
     12,244       345  
HDFC Bank Ltd. ADR
     10,270       865  
Hero Honda Motors Ltd.
     16,224       276  
Hindalco Industries Ltd.
     108,556       427  
Hindustan Lever Ltd.
     184,759       856  
Hindustan Petroleum Corp. Ltd.
     12,682       84  
Housing Development Finance Corp.
     37,983       1,898  
ICICI Bank Ltd.
     28,268       663  
ICICI Bank Ltd. ADR
     46,464       2,284  
Indiabulls Financial Services Ltd.
     25,967       377  
Indiabulls Real Estate Ltd. *
     30,065       309  
Indian Hotels Co. Ltd.
     51,503       191  
Indian Petrochemicals Co.
     20,560       173  
Infosys Technologies Ltd.
     25,545       1,210  
Infosys Technologies Ltd. ADR
     61,349       3,091  
Infrastructure Development Finance Co. Ltd.
     122,258       395  
ITC Ltd.
     218,787       831  
Jaiprakash Associates Ltd.
     19,051       347  
Jindal Steel & Power Ltd.
     2,258       192  
Kotak Mahindra Bank Ltd.
     23,286       385  
Larsen & Toubro Ltd.
     21,735       1,174  
Mahanagar Telephone Nigam
     6,515       26  
Mahanagar Telephone Nigam ADR
     15,400       119  
Mahindra & Mahindra Ltd.
     28,832       512  
Maruti Udyog Ltd.
     14,604       267  
Nestle India Ltd.
     5,107       145  
Oil & Natural Gas Corp. Ltd.
     52,764       1,174  
Ranbaxy Laboratories Ltd. GDR
     30,357       265  
Reliance Capital Ltd.
     21,968       588  
Reliance Communications Ltd. *
     127,096       1,616  
EQUITY FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
India - 6.2% – (continued)
                
Reliance Energy Ltd.
     20,277     $ 306  
Reliance Industries Ltd.
     33,125       1,384  
Reliance Industries Ltd., GDR (London Exchange) (1) (2)
     44,845       3,789  
Reliance Industries Ltd., GDR (OTC Exchange)(1)
     4,000       334  
Satyam Computer Services Ltd.
     22,218       255  
Satyam Computer Services Ltd. ADR
     33,060       818  
Siemens India Ltd.
     8,722       299  
State Bank of India Ltd.
     11,222       421  
Sun Pharma Advanced Research Co. Ltd. *
     8,946       29  
Sun Pharmaceuticals Industries Ltd.
     11,545       291  
Tata Consultancy Services Ltd.
     25,389       717  
Tata Motors Ltd.
     10,682       176  
Tata Motors Ltd. ADR
     27,750       456  
Tata Power Company Ltd.
     12,417       205  
Tata Steel Ltd.
     28,579       419  
Tata Tea Ltd.
     5,089       107  
Ultra Tech Cement Ltd.
     5,978       132  
Unitech Ltd.
     34,589       429  
UTI Bank Ltd.
     27,552       410  
Videocon Industries Ltd.
     12,390       128  
Videsh Sanchar Nigam Ltd.
     9,892       114  
Wipro Ltd.
     23,758       303  
Wipro Ltd. ADR
     28,240       439  
Zee Entertainment Enterprises Ltd.
     41,439       303  
 
 
             38,307  
 
Indonesia - 1.5%
                
Aneka Tambang TbK PT
     133,500       185  
Astra Agro Lestari Tbk PT
     72,500       110  
Astra International Tbk PT
     417,004       780  
Bank Central Asia Tbk PT
     1,257,500       759  
Bank Danamon Indonesia Tbk PT
     344,500       263  
Bank Internasional Indonesia Tbk PT
     3,656,000       72  
Bank Mandiri Persero Tbk PT
     1,476,000       511  
Bank Pan Indonesia Tbk PT *
     1,151,000       82  
Bank Rakyat Indonesia
     1,128,000       718  
Berlian Laju Tanker Tbk PT
     431,000       98  
Bumi Resources Tbk PT
     3,594,500       905  
Energi Mega Persada Tbk PT *
     741,000       66  
Gudang Garam Tbk PT
     116,000       143  
Indocement Tunggal Prakarsa Tbk PT
     168,500       117  
Indofood Sukses Makmur Tbk PT
     856,500       192  
Indosat Tbk PT
     500,500       360  
International Nickel Indonesia Tbk PT
     41,500       255  
Kalbe Farma Tbk PT
     971,500       149  
Perusahaan Gas Negara PT
     422,500       442  
Ramayana Lestari Sentosa TbK PT
     387,500       43  
Semen Gresik Persero Tbk PT
     29,000       166  
Telekomunikasi Indonesia Tbk PT
     2,067,821       2,254  
Unilever Indonesia Tbk PT
     317,000       235  
United Tractors Tbk PT
     264,000       241  
 
 
             9,146  
 
Israel - 2.2%
                
Africa Israel Investments Ltd.
     2,615       263  
Aladdin Knowledge Systems Ltd. *
     2,001       42  
Alvarion Ltd. *
     11,280       105  
AudioCodes Ltd. *
     4,300       24  
Bank Hapoalim BM
     194,927       949  
Bank Leumi Le-Israel BM
     175,396       686  
Bezeq Israeli Telecommunication Corp. Ltd.
     217,568       356  
Check Point Software Technologies *
     39,360       898  
Clal Industries and Investments
     10,200       60  
Clal Insurance *
     3,701       101  
Discount Investment Corp.
     5,005       158  
ECI Telecom Ltd. *
     12,599       115  
Elbit Systems Ltd.
     4,719       198  
Given Imaging Ltd. *
     2,391       75  
Harel Insurance Investments Ltd.
     1,339       74  
IDB Development Corp. Ltd.
     3,569       134  
Israel (The) Corp. Ltd
     460       316  
Israel Chemicals Ltd.
     106,243       842  
Israel Discount Bank Ltd. *
     85,993       177  
Koor Industries Ltd. *
     1,775       118  
Makhteshim-Agan Industries Ltd.
     59,499       431  
Migdal Insurance Holdings Ltd.
     49,482       82  
Mizrahi Tefahot Bank Ltd.
     22,914       168  
Nice Systems Ltd. *
     10,624       376  
Orbotech Ltd. *
     6,227       139  
Partner Communications
     15,356       244  
RADWARE Ltd. *
     2,592       38  
Retalix Ltd. *
     2,544       50  
Strauss-Elite Ltd.
     4,468       53  
Super-Sol Ltd. *
     13,878       54  
Syneron Medical Ltd. *
     4,488       112  
NORTHERN FUNDS QUARTERLY REPORT     4     EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
Israel - 2.2% – (continued)
                
Teva Pharmaceutical Industries Ltd.
     154,361     $ 6,373  
 
 
             13,811  
 
Luxembourg - 0.5%
                
Tenaris S.A. ADR
     64,699       3,168  
 
Malaysia - 2.8%
                
AirAsia Bhd. *
     179,000       99  
AMMB Holdings Bhd.
     286,100       358  
Astro All Asia Networks PLC
     82,300       107  
Berjaya Sports Toto Bhd.
     152,600       232  
British American Tobacco Malaysia Bhd.
     27,200       355  
Bumiputra-Commerce Holdings Bhd.
     499,100       1,692  
Bursa Malaysia Bhd.
     64,000       211  
DRB-Hicom Bhd.
     100,000       53  
Gamuda Bhd.
     146,400       341  
Genting Bhd
     382,000       913  
Golden Hope Plantations Bhd.
     123,400       304  
Guinness Anchor Bhd.
     21,000       36  
Highlands & Lowlands Bhd.
     27,000       60  
Hong Leong Bank Bhd.
     91,600       169  
Hong Leong Financial Group Bhd.
     34,000       64  
IGB Corp. Bhd.
     156,000       122  
IJM Corp. Bhd.
     113,500       275  
IOI Corp. Bhd
     711,000       1,071  
IOI Properties Bhd.
     15,000       58  
KLCC Property Holdings Bhd.
     76,000       80  
Kuala Lumpur Kepong Bhd.
     90,150       337  
Lafarge Malayan Cement Bhd.
     236,000       119  
Magnum Corp. Bhd.
     153,000       154  
Malayan Banking Bhd.
     399,700       1,389  
MISC. Bhd.
     232,600       667  
Malaysian Airline System Bhd. *
     42,000       72  
Malaysian Bulk Carriers Bhd.
     43,750       44  
Malaysian Pacific Industries
     13,000       37  
Malaysian Resources Corp Bhd. *
     142,000       111  
Maxis Communications Bhd.
     201,900       889  
Media Prima Bhd.
     129,000       113  
MMC Corp. Bhd.
     58,200       132  
Mulpha International Bhd. *
     164,000       85  
Multi-Purpose Holdings Bhd.
     95,000       61  
Petronas Dagangan Bhd.
     53,600       124  
Petronas Gas Bhd.
     100,900       307  
PLUS Expressways Bhd.
     317,000       294  
POS Malaysia & Services Holdings Bhd.
     55,000       67  
PPB Group Bhd.
     92,000       203  
Proton Holdings Bhd.
     53,000       92  
Public Bank Bhd.
     217,000       625  
Resorts World Bhd
     523,500       525  
RHB Capital Bhd.
     129,000       180  
Scomi Group Bhd.
     109,000       52  
Shell Refining Co. Federation of Malaya Bhd.
     30,000       90  
Sime Darby Bhd.
     311,200       865  
SP Setia Bhd.
     104,400       262  
Star Publications Malaysia Bhd.
     82,000       82  
TA Enterprise Bhd.
     133,000       69  
Tanjong PLC
     42,600       238  
Telekom Malaysia Bhd.
     209,100       624  
Tenaga Nasional Bhd.
     267,400       883  
Transmile Group Bhd.
     29,000       38  
UEM World Bhd
     116,000       127  
UMW Holdings Bhd.
     49,000       179  
YTL Corp. Bhd.
     173,400       414  
 
 
             17,150  
 
Mexico - 5.7%
                
Alfa S.A. de C.V., Class A
     68,000       535  
America Movil S.A. de C.V., Series L
     3,774,417       11,682  
Carso Infraestructura y Construccion S.A. de C.V. *
     120,000       120  
Cemex S.A. de C.V., CPO *
     1,458,840       5,373  
Coca-Cola Femsa S.A. de C.V., Series L
     51,000       226  
Consorcio ARA SAB de C.V.
     157,000       254  
Controladora Comercial Mexicana S.A. de C.V., UBC
     61,000       156  
Corp. GEO S.A. de C.V., Series B *
     88,000       482  
Desarrolladora Homex S.A. de C.V. *
     31,000       312  
Empresas ICA Sociedad Controladora S.A. de C.V. *
     71,000       360  
Fomento Economico Mexicano S.A. de C.V., UBD
     441,000       1,731  
Grupo Aeroportuario del Pacifico S.A. de C.V., Class B
     98,000       483  
Grupo Aeroportuario del Sureste S.A. de C.V., Class B
     46,000       241  
Grupo Bimbo S.A. de C.V., Series A
     57,000       351  
Grupo Carso S.A. de C.V., Series A1
     121,000       468  
EQUITY FUNDS     5     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
Mexico - 5.7% – (continued)
                
Grupo Financiero Banorte S.A. de C.V.
     272,000     $ 1,248  
Grupo Mexico SAB de C.V., Series B
     263,000       1,606  
Grupo Modelo S.A., Series C
     107,000       579  
Grupo Televisa S.A., Series CPO
     508,612       2,804  
Industrias Penoles S.A. de C.V.
     19,000       227  
Kimberly-Clark de Mexico S.A. de C.V., Class A
     101,000       439  
Telefonos de Mexico S.A. de C.V., Series L
     1,554,388       2,949  
TV Azteca S.A. de C.V., CPO
     222,000       198  
Urbi Desarrollos Urbanos S.A. de C.V.*
     72,000       329  
Wal-Mart de Mexico S.A. de C.V., Series V
     637,971       2,420  
 
 
             35,573  
 
Morocco - 0.3%
                
Attijariwafa Bank
     583       191  
Banque Marocaine du Commerce Exterieur
     802       271  
Brasseries Maroc
     100       22  
Douja Promotion Groupe Addoha S.A. *
     930       313  
Holcim Maroc S.A.
     323       112  
Lafarge Ciments
     131       89  
Managem
     366       23  
Marco Telecom
     26,611       424  
ONA S.A.
     857       162  
Samir
     524       55  
Societe Nationale d’Investissement
     257       50  
Sonasid
     227       79  
 
 
             1,791  
 
Pakistan - 0.2%
                
Engro Chemical Pakistan Ltd.
     17,600       74  
Fauji Fertilizer Co Ltd.
     39,300       79  
Faysal Bank Ltd.
     24,500       30  
HUB Power Co.
     96,195       58  
Lucky Cement Ltd
     31,900       73  
MCB Bank Ltd.
     50,675       306  
National Bank Of Pakistan
     32,150       139  
Nishat Mills Ltd.
     12,500       27  
Oil & Gas Development Co Ltd.
     112,851       223  
Pakistan Petroleum Ltd.
     12,000       52  
Pakistan State Oil Co Ltd.
     17,635       114  
Pakistan Telecommunication Co. Ltd.
     94,122       89  
SUI Northern Gas Pipeline
     21,044       25  
United Bank Ltd.
     31,762       115  
 
 
             1,404  
 
Philippines - 0.6%
                
Ayala Corp.
     29,740       351  
Ayala Land, Inc.
     1,068,580       404  
Banco de Oro Universal Bank
     115,100       173  
Bank of the Philippine Islands
     222,640       330  
Filinvest Land, Inc. *
     1,465,000       68  
First Philippine Holdings Corp.
     46,800       91  
Globe Telecom, Inc.
     5,180       152  
Jollibee Foods Corp.
     70,400       80  
Manila Electric Co.
     66,800       166  
Megaworld Corp.
     1,645,000       142  
Metropolitan Bank & Trust
     107,400       166  
Petron Corp.
     334,000       39  
Philippine Long Distance Telephone Co.
     11,620       666  
PNOC Energy Development Corp.
     1,166,000       141  
San Miguel Corp., Class B
     48,600       86  
SM Investments Corp.
     30,947       284  
SM Prime Holdings
     742,500       189  
 
 
             3,528  
 
Poland - 1.8%
                
Agora S.A.
     7,992       121  
Asseco Poland S.A.
     5,728       175  
Bank BPH
     1,780       604  
Bank Pekao S.A.
     15,447       1,430  
Bank Zachodni WBK S.A.
     4,339       451  
Bioton S.A. *
     249,810       170  
Boryszew S.A. *
     2,975       31  
BRE Bank S.A. *
     1,783       349  
Budimex S.A. *
     2,105       94  
Computerland
     1,026       31  
Debica
     923       45  
Echo Investment S.A. *
     5,250       206  
Globe Trade Centre S.A. *
     24,824       435  
Grupa Kety S.A.
     1,810       150  
KGHM Polska Miedz S.A.
     24,695       953  
Mondi Packaging Paper Swiecie S.A.
     2,328       84  
Orbis S.A.
     5,412       162  
PBG S.A. *
     1,758       238  
Polish Oil & Gas Co.
     237,631       432  
Polska Grupa Farmaceutycz
     1,854       76  
Polski Koncern Naftowy Orlen *
     65,972       1,302  
Powszechna Kasa Oszczednosci Bank Polski S.A.
     102,659       2,022  
NORTHERN FUNDS QUARTERLY REPORT     6     EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
Poland - 1.8% – (continued)
                
Prokom Software S.A.
     2,263     $ 122  
Telekomunikacja Polska S.A.
     143,990       1,261  
TVN S.A.
     32,416       263  
 
 
             11,207  
 
Russia - 8.9%
                
Comstar United Telesystems, GDR (1)
     33,831       313  
LUKOIL
     7,380       566  
LUKOIL ADR (London Exchange)
     63,640       4,849  
LUKOIL ADR (OTC Exchange)
     24,800       1,879  
Mechel
     6,169       225  
MMC Norilsk Nickel
     2,688       562  
MMC Norilsk Nickel ADR
     14,865       3,309  
Mobile Telesystems ADR
     41,275       2,500  
NovaTek OAO, GDR (Registered) (1)
     15,352       798  
Novolipetsk Steel, GDR (London Exchange) (1)
     9,200       270  
Novolipetsk Steel, GDR (Registered) (1)
     7,117       209  
OAO Gazprom
     188,236       1,971  
OAO Gazprom ADR (London Exchange) (1)
     420,720       17,628  
OAO Gazprom ADR (OTC Exchange) (1)
     18,300       766  
Polyus Gold Co. ADR
     14,667       616  
Polyus Gold Co.
     929       39  
Rostelecom
     4,594       44  
Rostelecom ADR
     11,710       667  
Sberbank RF
     1,775       6,923  
Severstal
     2,846       39  
Severstal GDR (1)
     38,330       540  
Sibirtelecom
     862,632       96  
Sistema JSFC (1)
     19,904       565  
Surgutneftegaz
     97,535       107  
Surgutneftegaz ADR (London Exchange)
     600       33  
Surgutneftegaz ADR (OTC Exchange)
     26,555       1,454  
Tatneft
     20,539       94  
Tatneft, GDR
     12,895       1,180  
Unified Energy System *
     49,909       68  
Unified Energy System GDR (Registered) (1)*
     1,300       176  
Unified Energy System ADR *
     16,584       2,247  
Uralsvyazinform ADR
     11,600       142  
Vimpel-Communications ADR
     18,866       1,988  
VolgaTelecom
     15,348       79  
VTB Bank GDR (1) (2)*
     5,276       58  
VTB Bank OJSC *
     328,606,391       1,796  
Wimm-Bill-Dann Foods OJSC ADR
     3,350       348  
 
 
             55,144  
 
South Africa - 7.1%
                
African Bank Investments Ltd.
     95,468       404  
Alexander Forbes Ltd. *
     60,224       146  
Allan Gray Property Trust
     174,820       161  
Anglo Platinum Corp. Ltd.
     14,233       2,343  
Anglogold Ashanti Ltd.
     31,718       1,198  
Aspen Pharmacare Holdings Ltd. *
     37,779       198  
Aveng Ltd.
     79,252       560  
AVI Ltd.
     56,765       158  
Barloworld Ltd.
     42,315       1,179  
Bidvest Group Ltd.
     54,507       1,110  
Ellerine Holdings Ltd.
     18,847       186  
FirstRand Ltd.
     581,829       1,860  
Foschini Ltd.
     42,538       367  
Gold Fields Ltd.
     125,618       1,943  
Grindrod Ltd.
     60,053       187  
Harmony Gold Mining Co. Ltd. *
     71,002       1,007  
Hulamin Ltd. *
     9,540       44  
Impala Platinum Holdings Ltd.
     110,479       3,375  
Imperial Holdings Ltd.
     37,269       768  
Investec Ltd.
     33,237       429  
JD Group Ltd.
     37,282       374  
Kumba Iron Ore Ltd.
     15,218       398  
Lewis Group Ltd.
     15,851       138  
Liberty Group Ltd.
     21,853       277  
Massmart Holdings Ltd.
     42,419       518  
Metropolitan Holdings Ltd.
     105,849       222  
Mittal Steel South Africa Ltd.
     41,068       740  
MTN Group Ltd.
     306,370       4,177  
Murray & Roberts Holdings Ltd.
     59,308       537  
Nampak Ltd.
     99,783       309  
Naspers Ltd.
     71,069       1,829  
Nedbank Group Ltd.
     41,552       776  
Network Healthcare Holdings Ltd. *
     244,965       500  
Pick’n Pay Stores Ltd.
     39,617       199  
Pretoria Portland Cement Co. Ltd.
     2,871       199  
Reunert Ltd.
     34,924       375  
Sanlam Ltd.
     475,597       1,513  
Sappi Ltd.
     40,774       742  
Sasol Ltd.
     122,220       4,598  
EQUITY FUNDS     7     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
South Africa - 7.1% – (continued)
                
Shoprite Holdings Ltd.
     90,679     $ 419  
Spar Group (The) Ltd.
     31,047       233  
Standard Bank Group Ltd.
     252,654       3,512  
Steinhoff International Holdings Ltd.
     205,150       702  
Super Group Ltd.
     44,499       95  
Telkom S.A. Ltd.
     60,033       1,515  
Tiger Brands Ltd.
     34,199       878  
Truworths International Ltd.
     98,837       510  
Woolworths Holdings Ltd.
     167,895       508  
 
 
             44,416  
 
South Korea - 14.6%
                
Amorepacific Corp.
     689       546  
Asiana Airlines
     12,390       112  
Cheil Communications, Inc.
     576       177  
Cheil Industries, Inc.
     9,870       474  
CJ Corp.
     3,747       454  
Daegu Bank
     23,930       420  
Daelim Industrial Co.
     5,990       891  
Daewoo Engineering & Construction Co. Ltd.
     31,610       907  
Daewoo International Corp.
     8,730       413  
Daewoo Securities Co. Ltd.
     24,140       745  
Daewoo Shipbuilding & Marine Engineering Co. Ltd.
     19,850       1,124  
Daishin Securities Co. Ltd.
     7,090       229  
Daum Communications Corp. *
     1,417       118  
Dongbu Insurance Co. Ltd.
     7,470       251  
Dongkuk Steel Mill Co. Ltd.
     7,990       260  
Doosan Heavy Industries and Construction Co. Ltd.
     6,890       661  
Doosan Infracore Co. Ltd.
     16,830       565  
GS Engineering & Construction Corp.
     7,400       885  
Hana Financial Group, Inc.
     24,820       1,210  
Hanjin Heavy Industries & Construction Co. Ltd.
     8,350       593  
Hanjin Heavy Industries and Construction Co. Ltd.
     11,840       522  
Hankook Tire Co. Ltd.
     20,770       373  
Hanmi Pharm Co. Ltd.
     943       145  
Hanwha Chem Corp.
     9,350       231  
Hanwha Corp.
     8,470       493  
Hite Brewery Co. Ltd.
     2,524       328  
Honam Petrochemical Corp.
     2,990       299  
Hyosung Corp.
     3,730       200  
Hyundai Autonet Co. Ltd.
     15,140       126  
Hyundai Department Store Co. Ltd.
     2,560       302  
Hyundai Development Co.
     13,300       947  
Hyundai Engineering & Construction Co. Ltd. *
     9,330       683  
Hyundai Heavy Industries
     8,692       3,246  
Hyundai Marine & Fire Insurance Co. Ltd.
     13,360       241  
Hyundai Merchant Marine Co. Ltd.
     6,930       270  
Hyundai Mipo Dockyard
     2,470       687  
Hyundai Mobis
     11,872       1,128  
Hyundai Motor Co. Ltd.
     32,072       2,534  
Hyundai Securities Co.
     22,530       562  
Hyundai Steel Co.
     11,230       620  
Kangwon Land, Inc.
     22,220       516  
KCC Corp.
     970       441  
KIA Motors Corp. *
     41,610       649  
Kookmin Bank
     69,395       6,092  
Korea Electric Power Corp.
     53,616       2,379  
Korea Exchange Bank
     29,930       445  
Korea Investment Holdings Co. Ltd.
     8,150       558  
Korea Zinc Co. Ltd.
     2,310       393  
Korean Air Lines Co. Ltd.
     7,888       448  
Korean Reinsurance Co.
     11,450       179  
KT Corp.
     27,510       1,286  
KT Freetel Co. Ltd.
     16,860       520  
KT&G Corp.
     23,298       1,639  
LG Chem Ltd.
     8,900       752  
LG Electronics, Inc. *
     19,804       1,638  
LG Fashion Corp.
     3,137       113  
LG Household & Health Care Ltd.
     2,084       302  
LG International Corp.
     4,902       165  
LG Petrochemical Co. Ltd.
     6,510       254  
LG.Philips LCD Co. Ltd. *
     22,970       1,022  
Lotte Chilsung Beverage Co. Ltd.
     90       116  
Lotte Confectionery Co. Ltd.
     150       200  
Lotte Shopping Co. Ltd.
     1,824       711  
LS Cable Ltd.
     3,320       233  
Mirae Asset Securities Co. Ltd.
     3,652       329  
NCSoft Corp. *
     2,640       253  
NHN Corp. *
     7,844       1,431  
Nong Shim Co. Ltd.
     518       147  
Orion Corp.
     590       176  
Pacific Corp.
     320       59  
Poongsan Corp.
     3,380       103  
NORTHERN FUNDS QUARTERLY REPORT     8     EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
South Korea - 14.6% – (continued)
                
POSCO
     15,269     $ 7,330  
Pusan Bank
     24,410       353  
S-Oil Corp.
     9,220       710  
S1 Corp. of Korea
     2,960       160  
Samsung Corp.
     28,110       1,378  
Samsung Electro-Mechanics Co. Ltd.
     12,390       679  
Samsung Electronics Co. Ltd.
     22,698       13,906  
Samsung Engineering Co. Ltd.
     6,400       676  
Samsung Fine Chemicals Co. Ltd.
     2,180       85  
Samsung Fire & Marine Insurance Co. Ltd.
     7,738       1,491  
Samsung Heavy Industries Co. Ltd.
     36,420       1,782  
Samsung SDI Co. Ltd.
     6,740       438  
Samsung Securities Co. Ltd.
     11,524       927  
Samsung Techwin Co. Ltd.
     10,150       535  
Shinhan Financial Group Co. Ltd.
     67,200       4,088  
Shinsegae Co. Ltd.
     2,965       1,932  
SK Corp.
     17,477       2,544  
SK Telecom Co. Ltd.
     8,355       1,926  
Tong Yang Investment Bank
     14,438       286  
Woongjin Coway Co. Ltd.
     8,000       271  
Woori Investment & Securities Co. Ltd.
     18,610       570  
Yuhan Corp.
     1,546       289  
 
 
             90,877  
 
Taiwan - 12.0%
                
Acer, Inc.
     473,280       965  
Advanced Semiconductor Engineering, Inc. *
     688,000       937  
Advantech Co Ltd.
     39,219       125  
Asia Cement Corp.
     310,520       409  
Asia Optical Co., Inc.
     38,450       185  
Asustek Computer, Inc.
     605,900       1,667  
AU Optronics Corp.
     1,261,180       2,149  
Benq Corp. *
     402,000       152  
Catcher Technology Co. Ltd.
     80,161       750  
Cathay Financial Holding Co. Ltd.
     1,132,720       2,705  
Cathay Real Estate Development Co. Ltd. *
     113,000       66  
Chang Hwa Commercial Bank *
     781,000       494  
Cheng Shin Rubber Industry Co. Ltd.
     119,750       153  
Cheng Uei Precision Industry Co. Ltd.
     52,159       168  
Chi Mei Optoelectronics Corp.
     798,048       947  
China Airlines *
     168,034       76  
China Development Financial Holding Corp.
     1,827,690       792  
China Motor Corp.
     71,390       69  
China Steel Corp.
     1,727,668       2,103  
Chinatrust Financial Holding Co.
     1,404,480       1,094  
Chunghwa Picture Tubes Ltd. *
     1,163,000       313  
Chunghwa Telecom Co. Ltd. ADR
     31,915       602  
Chunghwa Telecom Co. Ltd.
     682,000       1,301  
CMC Magnetics Corp. *
     479,000       162  
Compal Communications, Inc.
     26,900       73  
Compal Electronics, Inc.
     637,758       689  
Compeq Manufacturing Co. *
     101,000       47  
D-Link Corp.
     133,600       317  
Delta Electronics, Inc. *
     291,900       1,150  
E.Sun Financial Holding Co. Ltd.
     511,200       296  
Epistar Corp.
     57,000       233  
Eternal Chemical Co. Ltd.
     70,300       111  
Eva Airways Corp.
     164,000       66  
Evergreen Marine Corp. Tawain Ltd.
     220,180       146  
Far Eastern Textile Co. Ltd.
     572,620       586  
First Financial Holding Co. Ltd.
     887,250       632  
Formosa Chemicals & Fibre Co.
     565,520       1,304  
Formosa Petrochemical Corp.
     393,000       981  
Formosa Plastics Corp.
     836,390       2,122  
Formosa Taffeta Co. Ltd.
     147,540       162  
Foxconn Technology Co. Ltd.
     73,900       888  
Fu Sheng Industrial Co. Ltd. *
     134,560       152  
Fubon Financial Holding Co. Ltd.
     715,000       653  
Fuhwa Financial Holdings Co. Ltd. *
     1,173,285       666  
Gigabyte Technology Co. Ltd.
     64,000       48  
HannStar Display Corp. *
     1,126,000       279  
High Tech Computer Corp.
     73,400       1,311  
HON HAI Precision Industry Co. Ltd.
     838,894       7,249  
Hua Nan Financial Holdings Co. Ltd.
     687,000       482  
InnoLux Display Corp. *
     390,000       1,614  
Inotera Memories, Inc. *
     581,000       734  
Inventec Appliances Corp.
     24,100       51  
Inventec Co. Ltd.
     321,080       243  
Kinpo Electronics
     110,740       45  
Kinsus Interconnect Technology Corp.
     34,000       134  
Largan Precision Co. Ltd.
     21,500       302  
Lite-On Technology Corp.
     557,993       719  
Macronix International *
     471,000       223  
MediaTek, Inc.
     161,200       2,511  
Mega Financial Holding Co. Ltd.
     1,769,000       1,198  
EQUITY FUNDS     9     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
Taiwan - 12.0% – (continued)
                
Micro-Star International Co. Ltd.
     87,310     $ 65  
Mitac International
     220,743       280  
Mosel Vitelic, Inc.
     147,000       194  
Nan Ya Plastics Corp.
     1,032,800       2,275  
Nan Ya Printed Circuit Board Corp.
     35,000       214  
Nanya Technology Corp.
     365,000       333  
Novatek Microelectronics Corp. Ltd.
     91,527       479  
Oriental Union Chemical Corp.
     59,000       50  
Phoenix Precision Technology Corp. *
     83,761       109  
Polaris Securities Co. Ltd. *
     288,012       149  
POU Chen Corp.
     361,646       407  
Powerchip Semiconductor Corp.
     1,398,000       851  
Powertech Technology, Inc.
     59,000       246  
President Chain Store Corp.
     104,000       296  
ProMOS Technologies, Inc. *
     1,177,000       494  
Quanta Computer, Inc.
     402,684       627  
Realtek Semiconductor Corp.
     70,225       348  
Ritek Corp. *
     278,000       83  
Shin Kong Financial Holding Co. Ltd.
     671,828       782  
Siliconware Precision Industries Co.
     499,752       1,061  
Sinopac Financial Holdings Co. Ltd.
     1,159,000       554  
Synnex Technology International Corp.
     150,900       228  
Taishin Financial Holdings Co. Ltd. *
     858,000       474  
Taiwan Cement Corp.
     530,014       614  
Taiwan Fertilizer Co Ltd.
     144,000       302  
Taiwan Glass Industrial Corp.
     98,080       94  
Taiwan Mobile Co. Ltd.
     464,343       569  
Taiwan Secom Co. Ltd.
     34,100       58  
Taiwan Semiconductor Manufacturing Co. Ltd.
     4,269,267       9,210  
Tatung Co. Ltd. *
     706,000       316  
Teco Electric and Machinery Co. Ltd.
     348,000       198  
Tripod Technology Corp.
     50,000       255  
U-Ming Marine Transport Corp.
     94,000       184  
Uni-President Enterprises Corp.
     525,000       526  
Unimicron Technology Corp.
     128,000       196  
United Microelectronics Corp.
     3,585,489       2,165  
Vanguard International Semiconductor Corp. *
     130,000       130  
Via Technologies, Inc. *
     156,000       165  
Walsin Lihwa Corp.
     583,000       344  
Wan Hai Lines Ltd.
     222,200       178  
Waterland Financial Holdings
     180,000       58  
Winbond Electronics Corp. *
     574,000       217  
Wintek Corp.
     140,508       152  
Wistron Corp.
     212,000       396  
Ya Hsin Industrial Co. Ltd.
     121,548       22  
Yageo Corp. *
     454,000       218  
Yang Ming Marine Transport
     249,000       193  
Yieh Phui Enterprise
     101,960       46  
Yuen Foong Yu Paper Manufacturing Co. Ltd.
     145,748       64  
Yulon Motor Co. Ltd.
     151,705       187  
Zyxel Communications Corp.
     52,080       96  
 
 
             74,553  
 
Thailand - 1.3%
                
Advanced Info Service PCL (Registered)
     179,900       451  
Airports of Thailand PCL
     88,600       151  
Aromatics Thailand PCL
     40,600       78  
Bangkok Bank PCL
     82,100       278  
Bangkok Bank PCL (Registered)
     192,700       681  
Bangkok Expressway PCL
     61,600       42  
Banpu PCL
     5,500       43  
Banpu PCL (Registered)
     25,100       196  
BEC World PCL (Registered)
     177,000       118  
Central Pattana PCL (Registered)
     132,900       102  
Charoen Pokphand Foods PCL
     536,100       81  
CP Seven Eleven PCL
     440,700       126  
Electricity Generating PCL (Registered)
     13,900       43  
Electricity Generating PCL
     22,400       78  
Glow Energy PCL
     100,200       89  
Hana Microelectronics PCL
     101,000       83  
IRPC PCL
     1,979,700       347  
Kasikornbank PCL
     101,000       216  
Kasikornbank PCL (Registered)
     237,100       525  
Krung Thai Bank Public Co. Ltd.
     559,800       193  
Land and Houses PCL
     390,000       77  
Land and Houses PCL (Registered)
     444,100       96  
Precious Shipping PCL (Registered)
     76,800       59  
PTT Chemical PCL (Registered)
     72,700       189  
PTT Exploration & Production PCL (Registered)
     236,800       741  
PTT PCL (Registered)
     162,100       1,268  
PTT PCL NVDR
     10,700       84  
Ratchaburi Electricity Generating Holding PCL (Registered)
     74,900       100  
Rayong Refinery PCL (Registered)
     274,300       154  
Siam Cement PCL
     27,200       205  
NORTHERN FUNDS QUARTERLY REPORT     10     EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 88.7% – CONTINUED
                
Thailand - 1.3% – (continued)
                
Siam Cement PCL (Registered)
     61,000     $ 474  
Siam City Cement PCL
     14,200       113  
Siam Commercial Bank PCL (Registered)
     202,100       427  
Siam Makro PCL (Registered)
     15,600       40  
Thai Airways International PCL
     105,500       132  
Thanachart Capital PCL
     122,900       52  
True Corp. PCL *
     334,200       73  
 
 
             8,205  
 
Turkey - 1.5%
                
Adana Cimento
     6,474       42  
Akbank TAS
     185,062       1,029  
Akcansa Cimento A.S.
     8,755       54  
Aksigorta A.S.
     24,101       145  
Anadolu Efes Biracilik Ve Malt Sanayii A.S.
     11,487       459  
Arcelik
     20,148       173  
Aygaz A.S.
     16,176       68  
Cimsa Cimento Sanayi VE Tica
     5,499       38  
Dogan Sirketler Grubu Holdings *
     107,809       217  
Dogan Yayin Holding *
     44,713       180  
Eregli Demir ve Celik Fabrikalari TAS
     87,120       531  
Ford Otomotiv Sanayi A.S.
     13,832       129  
Haci Omer Sabanci Holding A.S.
     91,534       456  
Hurriyet Gazetecilik A.S. *
     36,782       102  
Is Gayrimenkul Yatirim Ortakligi AS *
     33,893       55  
KOC Holding A.S. *
     71,478       286  
Migros Turk TAS
     19,881       333  
Petkim Petrokimya Holding *
     17,144       117  
Tofas Turk Otomobil Fabrikasi A.S.
     25,295       122  
Trakya Cam Sanayi A.S.
     17,910       65  
Tupras Turkiye Petrol Rafine
     25,830       620  
Turk Hava Yollari *
     13,446       99  
Turk Sise ve Cam Fabrikalari A.S.
     28,223       116  
Turkcell Iletisim Hizmet A.S.
     113,326       764  
Turkiye Garanti Bankasi A.S.
     215,809       1,208  
Turkiye Is Bankasi
     198,496       930  
Turkiye Vakiflar Bankasi Tao
     149,480       385  
Ulker Gida Sanayi ve Ticaret A.S.
     11,686       51  
Vestel Elektronik Sanayi *
     13,190       31  
Yapi ve Kredi Bankasi *
     126,873       282  
 
 
             9,087  
 
United States - 0.5%
                
Lenovo Group Ltd.
     704,000       415  
Southern Copper Corp.
     27,365       2,580  
 
 
             2,995  
 
Total Common Stocks
                
 
(Cost $464,756)
             551,664  
 
                
PREFERRED STOCKS - 7.0%
                
Brazil - 6.3%
                
Aracruz Celulose S.A., Class B
     95,600       638  
Banco Bradesco S.A.
     196,126       4,752  
Banco Itau Holding Financeira S.A.
     100,082       4,462  
Braskem S.A., Class A
     28,200       252  
Brasil Telecom Participacoes S.A.
     45,542       558  
Centrais Eletricas Brasileiras S.A., Class B
     18,541,327       548  
Cia Brasileira de Distribuicao Grupo Pao de Acucar
     6,007,332       234  
Cia de Bebidas das Americas
     3,851,734       2,711  
Cia de Tecidos do Norte de Minas — Coteminas
     506,800       80  
Cia Paranaense de Energia, Class B
     21,321,500       368  
Cia Vale do Rio Doce, Class A
     197,367       7,417  
Duratex S.A.
     13,300       383  
Eletropaulo Metropolitana de Sao Paulo S.A., Class A
     160,000       11  
Eletropaulo Metropolitana de Sao Paulo S.A., Class B
     3,961,700       261  
Gerdau S.A.
     62,300       1,599  
Gol Linhas Aereas Inteligentes S.A.
     9,900       327  
Klabin S.A.
     92,300       325  
Lojas Americanas S.A.
     5,925,008       473  
Net Servicos de Comunicacao S.A. (Sao Paolo Exchange) *
     25,125       417  
Petroleo Brasileiro S.A. — Petrobras
     322,033       8,621  
Sadia S.A.
     73,900       344  
Tam S.A.
     14,100       469  
Tele Norte Leste Participacoes S.A.
     55,300       1,059  
Tim Participacoes S.A.
     121,310,378       419  
Usinas Siderurgicas de Minas Gerais S.A., Class A
     23,700       1,351  
Vivo Participacoes S.A.
     104,700       523  
Votorantim Celulose e Papel S.A.
     18,700       424  
 
 
             39,026  
 
Chile - 0.0%
                
Embotelladora Andina S.A.
     20,158       67  
EQUITY FUNDS     11     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
PREFERRED STOCKS - 7.0%– CONTINUED
                
Chile - 0.0% – (continued)
                
Embotelladora Andina S.A., Class B
     33,774     $ 115  
 
 
             182  
 
Russia - 0.3%
                
Surgutneftegaz
     104,735       70  
Surgutneftegaz ADR (Preferred)
     13,130       867  
Transneft OAO
     299       498  
Unified Energy System *
     206,302       243  
 
 
             1,678  
 
South Korea - 0.4%
                
Hyundai Motor Co.
     6,590       316  
LG Electronics, Inc.
     2,540       117  
Samsung Electronics Co. Ltd.
     4,211       1,971  
 
 
             2,404  
 
Total Preferred Stocks
                
 
(Cost $34,835)
             43,290  
 
                
RIGHTS - 0.0%
                
Byd Co. Ltd.
     8,666       —  
Engro Chemical
     1,935       4  
 
Total Rights
                
 
(Cost $ -)
             4  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT- 2.8%
                
Dexia Bank Belgium, Brussels, Eurodollar Time Deposit 5.44%, 7/2/07
   $ 17,427       17,427  
 
Total Short-Term Investment
                
 
(Cost $17,427)
             17,427  
 
                
 
Total Investments - 98.5%
                
 
(Cost $517,018)
             612,385  
Other Assets less Liabilities - 1.5%
             9,499  
 
NET ASSETS - 100.0%
           $ 621,884  
*   Non-Income Producing Security
 
    Percentages shown are based on Net Assets.
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available, in accordance with procedures established by the Trustees of Northern Funds.
 
(2)   Restricted security that has been deemed illiquid. At June  , 2007, the value of these restricted illiquid securities amounted to approximately $3,847,000 or 0.6% of net assets. Additional information on each restricted illiquid security is as follows:
             
        ACQUISITION
    ACQUISITION   COST
SECURITY   DATE   (000S)
Reliance Industries Ltd. GDR
            
(London Exchange)
   11/1/06-3/20/07   $ 2,554  
VTB Bank GDR
   5/11/07     56  
 
At June 30, 2007, the Emerging Markets Equity Fund had open futures contracts as follows:
                                         
            NOTIONAL                   UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   GAIN (LOSS)
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
DAX Index
     18     $ 4,921     Long     9/07     $ 132  
Hang Seng
Index
     12       1,679     Long     7/07       (5 )
JSE All Share
Index
     203       7,405     Long     9/07       (188 )
MSCI Taiwan
SGX
     129       4,475     Long     7/07       (33 )
Nikkei 225
CME
     20       1,818     Long     9/07       29  
SPI 200 Index
     31       4,124     Long     9/07       (26 )
 
Total
                                   $ (91 )
NORTHERN FUNDS QUARTERLY REPORT     12     EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  EMERGING MARKETS EQUITY FUND (continued)
At June 30, 2007, the Emerging Markets Equity Fund’s investments were denominated in the following currencies:
         
    % OF LONG-TERM
CONCENTRATION BY CURRENCY   INVESTMENTS
South Korean Won
     15.6 %
U.S. Dollar
     13.3  
Hong Kong Dollar
     12.6  
Taiwan Dollar
     12.5  
Brazilian Real
     11.2  
South African Rand
     7.5  
Mexican Peso
     6.0  
All other currencies less than 5%
     21.3  
 
Total
     100.0 %
At June 30, 2007, the industry sectors for the Emerging Markets Equity Fund were:
         
    % OF LONG-TERM
INDUSTRY SECTOR   INVESTMENTS
Consumer Discretionary
     5.4 %
Consumer Staples
     4.5  
Energy
     15.8  
Financials
     20.5  
Health Care
     1.8  
Industrials
     13.2  
Information Technology
     13.1  
Materials
     13.4  
Telecommunication Services
     8.9  
Utilities
     3.4  
 
Total
     100.0 %
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 517,018  
 
Gross tax appreciation of investments
   $ 103,544  
Gross tax depreciation of investments
     (8,177 )
 
Net tax appreciation of investments
   $ 95,367  
 
EQUITY FUNDS     13     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   ENHANCED LARGE CAP FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.9%
                
Aerospace/Defense - 3.1%
                
Boeing (The) Co.
     11,300     $ 1,087  
Lockheed Martin Corp.
     13,600       1,280  
Northrop Grumman Corp.
     15,700       1,222  
Raytheon Co.
     21,600       1,164  
United Technologies Corp.
     9,059       643  
 
 
             5,396  
 
Agriculture - 1.5%
                
Altria Group, Inc.
     38,400       2,693  
 
Banks - 5.1%
                
Bank of America Corp.
     67,903       3,320  
Huntington Bancshares, Inc. of Ohio
     4,800       109  
M&T Bank Corp.
     7,700       823  
Mellon Financial Corp.
     500       22  
Regions Financial Corp.
     21,700       718  
U.S. Bancorp
     47,000       1,549  
Wachovia Corp.
     7,900       405  
Wells Fargo & Co.
     56,700       1,994  
 
 
             8,940  
 
Beverages - 1.5%
                
Coca-Cola (The) Co.
     8,900       466  
Pepsi Bottling Group, Inc.
     400       13  
PepsiCo, Inc.
     34,100       2,211  
 
 
             2,690  
 
Biotechnology - 1.0%
                
Amgen, Inc. *
     30,300       1,675  
Chemicals - 1.8%
                
Ashland, Inc.
     14,900       953  
Dow Chemical (The) Co.
     16,700       738  
du Pont (E.I.) de Nemours & Co.
     10,300       524  
Sherwin-Williams (The) Co.
     14,400       957  
 
 
             3,172  
 
Commercial Services - 0.5%
                
Convergys Corp. *
     34,500       836  
 
Computers - 4.3%
                
Apple, Inc. *
     4,000       488  
Hewlett-Packard Co.
     45,900       2,048  
IBM Corp.
     25,100       2,642  
Lexmark International, Inc., Class A *
     5,400       266  
NCR Corp. *
     18,800       988  
Sun Microsystems, Inc. *
     210,000       1,105  
 
 
             7,537  
 
Cosmetics/Personal Care - 1.9%
                
Procter & Gamble Co.
     54,400       3,329  
 
Diversified Financial Services - 7.8%
                
American Express Co.
     13,050       798  
Citigroup, Inc.
     57,000       2,923  
Goldman Sachs Group, Inc.
     9,200       1,994  
JPMorgan Chase & Co.
     61,200       2,965  
Lehman Brothers Holdings, Inc.
     18,300       1,364  
Merrill Lynch & Co., Inc.
     21,100       1,764  
Morgan Stanley
     23,200       1,946  
 
 
             13,754  
 
Electric - 3.4%
                
AES Corp. *
     22,400       490  
CMS Energy Corp.
     52,200       898  
Dynegy, Inc. *
     38,000       359  
Edison International
     11,168       627  
Entergy Corp.
     10,500       1,127  
FirstEnergy Corp.
     1,900       123  
PG&E Corp.
     21,700       983  
Progress Energy, Inc.
     22,000       1,003  
TXU Corp.
     4,800       323  
 
 
             5,933  
 
Environmental Control - 0.6%
                
Waste Management, Inc.
     28,701       1,121  
 
Food - 2.3%
                
Dean Foods Co.
     28,900       921  
Kellogg Co.
     19,900       1,031  
Kroger Co.
     39,500       1,111  
Safeway, Inc.
     31,000       1,055  
 
 
             4,118  
 
Forest Products & Paper - 0.6%
                
International Paper Co.
     28,200       1,101  
 
Gas - 0.5%
                
NiSource, Inc.
     45,400       940  
 
Hand/Machine Tools - 0.5%
                
Black & Decker Corp.
     10,500       927  
 
Healthcare — Products - 2.7%
                
Baxter International, Inc.
     4,357       245  
Johnson & Johnson
     44,100       2,717  
Medtronic, Inc.
     31,382       1,628  
Zimmer Holdings, Inc. *
     1,200       102  
 
 
             4,692  
 
EQUITY FUNDS      1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.9% – CONTINUED
                
Healthcare — Services - 1.5%
                
Laboratory Corp. of America Holdings *
     11,400     $ 892  
UnitedHealth Group, Inc.
     6,300       322  
WellPoint, Inc. *
     18,500       1,477  
 
 
             2,691  
 
Household Products/Wares - 0.6%
                
Avery Dennison Corp.
     2,700       180  
Kimberly-Clark Corp.
     14,000       936  
 
 
             1,116  
 
Insurance - 6.1%
                
Allstate (The) Corp.
     21,600       1,329  
AMBAC Financial Group, Inc.
     11,300       985  
American International Group, Inc.
     35,600       2,493  
Assurant, Inc.
     3,500       206  
CIGNA Corp.
     19,200       1,003  
MBIA, Inc.
     15,500       965  
Metlife, Inc.
     22,700       1,464  
MGIC Investment Corp.
     14,000       796  
SAFECO Corp.
     15,200       946  
Travelers Cos. (The), Inc.
     11,800       631  
 
 
             10,818  
 
Internet - 1.5%
                
eBay, Inc. *
     30,800       991  
Google, Inc., Class A *
     1,200       628  
IAC/InterActiveCorp *
     27,400       949  
 
 
             2,568  
 
Iron/Steel - 1.1%
                
Nucor Corp.
     16,700       980  
United States Steel Corp.
     9,300       1,011  
 
 
             1,991  
 
Leisure Time - 1.1%
                
Carnival Corp.
     19,200       936  
Harley-Davidson, Inc.
     17,658       1,053  
 
 
             1,989  
 
Lodging - 0.5%
                
Marriott International, Inc., Class A
     19,700       852  
 
Machinery — Construction & Mining - 0.6%
                
Caterpillar, Inc.
     12,500       979  
 
Machinery — Diversified - 0.6%
                
Rockwell Automation, Inc.
     14,400       1,000  
 
Media - 3.7%
                
CBS Corp., Class B
     35,300       1,176  
Media - 3.7% – (continued)
                
Comcast Corp., Class A *
     34,216       962  
DIRECTV Group (The), Inc. *
     36,000       832  
Disney (Walt) Co.
     43,900       1,499  
Gannett Co., Inc.
     12,000       659  
McGraw-Hill Cos. (The), Inc.
     17,000       1,157  
News Corp., Class A
     1,400       30  
Time Warner, Inc.
     10,400       219  
Tribune Co.
     1,039       31  
 
 
             6,565  
 
Miscellaneous Manufacturing - 4.0%
                
3M Co.
     10,849       942  
General Electric Co.
     107,200       4,104  
ITT Corp.
     14,900       1,017  
Parker Hannifin Corp.
     700       68  
Tyco International Ltd. *
     29,000       980  
 
 
             7,111  
 
Office/Business Equipment - 0.6%
                
Xerox Corp. *
     58,300       1,077  
 
Oil & Gas - 9.2%
                
Chevron Corp.
     37,600       3,167  
ConocoPhillips
     32,049       2,516  
ENSCO International, Inc.
     16,200       988  
Exxon Mobil Corp. Com
     81,700       6,853  
Marathon Oil Corp.
     23,000       1,379  
Sunoco, Inc.
     500       40  
Valero Energy Corp.
     18,600       1,374  
 
 
             16,317  
 
Oil & Gas Services - 1.0%
                
Halliburton Co.
     10,600       366  
National-Oilwell Varco, Inc. *
     10,400       1,084  
Schlumberger Ltd.
     4,100       348  
 
 
             1,798  
 
Packaging & Containers - 0.5%
                
Pactiv Corp. *
     28,400       906  
 
Pharmaceuticals - 5.5%
                
Abbott Laboratories
     3,675       197  
AmerisourceBergen Corp.
     19,600       970  
Forest Laboratories, Inc. *
     23,066       1,053  
King Pharmaceuticals, Inc. *
     44,700       914  
Lilly (Eli) & Co.
     21,100       1,179  
Merck & Co., Inc.
     43,000       2,141  
Pfizer, Inc.
     123,500       3,158  
NORTHERN FUNDS QUARTERLY REPORT      2      EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   ENHANCED LARGE CAP FUND ( continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.9% – CONTINUED
                
Pharmaceuticals - 5.5% – (continued)
                
Wyeth
     691     $ 40  
 
 
             9,652  
 
Real Estate Investment Trusts - 0.6%
                
Apartment Investment & Management Co., Class A
     9,200       464  
Boston Properties, Inc.
     5,700       582  
 
 
             1,046  
 
Retail - 3.5%
                
Big Lots, Inc. *
     30,300       891  
Home Depot (The), Inc.
     3,300       130  
Macy’s, , Inc.
     27,800       1,106  
Penney (J.C.) Co., Inc.
     5,700       413  
RadioShack Corp.
     27,600       915  
Target Corp.
     6,800       432  
TJX Cos., Inc.
     37,400       1,028  
Wal-Mart Stores, Inc.
     27,200       1,309  
 
 
             6,224  
 
Savings & Loans - 0.7%
                
Washington Mutual, Inc.
     30,800       1,313  
 
Semiconductors - 3.0%
                
Applied Materials, Inc.
     61,800       1,228  
Intel Corp.
     71,300       1,694  
Novellus Systems, Inc. *
     30,300       860  
Texas Instruments, Inc.
     41,100       1,546  
 
 
             5,328  
 
Software - 4.1%
                
Automatic Data Processing, Inc.
     24,200       1,173  
BMC Software, Inc. *
     30,900       936  
Compuware Corp. *
     79,700       945  
Microsoft Corp.
     115,200       3,395  
Oracle Corp. *
     39,000       769  
 
 
             7,218  
 
Telecommunications - 5.7%
                
Alltel Corp.
     2,800       189  
AT&T, Inc.
     56,527       2,346  
CenturyTel, Inc.
     18,900       927  
Cisco Systems, Inc. *
     109,200       3,041  
Embarq Corp.
     10,300       653  
Motorola, Inc.
     35,400       627  
Qualcomm, Inc.
     1,764       77  
Qwest Communications International, Inc. *
     95,900       930  
Sprint Nextel Corp.
     2,500       52  
Telecommunications - 5.7% – (continued)
                
Verizon Communications, Inc.
     32,047       1,319  
 
 
             10,161  
 
Toys, Games & Hobbies - 0.5%
                
Hasbro, Inc.
     29,400       923  
 
Transportation - 1.6%
                
Norfolk Southern Corp.
     10,900       573  
Union Pacific Corp.
     4,200       484  
United Parcel Service, Inc., Class B
     25,400       1,854  
 
 
             2,911  
 
Total Common Stocks
                
 
(Cost $163,161)
             171,408  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 4.8%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit
5.44%, 7/2/07
   $ 8,188       8,188  
U.S. Treasury Bill,(1)
5.01%, 8/9/07
     395       393  
 
Total Short-Term Investments
                
 
(Cost $8,581)
             8,581  
 
                
 
Total Investments - 101.7%
                
 
(Cost $171,742)
             179,989  
Liabilities less Other Assets — (1.7)%
             (3,018 )
NET ASSETS - 100.0%
           $ 176,971  
 
     
(1)   Security pledged as collateral to cover margin requirements for open futures contracts.
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
EQUITY FUNDS       3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
At June 30, 2007, the Enhanced Large Cap Fund had open futures contracts as follows:
                                         
            NOTIONAL                   UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   (LOSS)
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
E-Mini S&P500
     72     $ 5,455     Long     9/07     $ (7 )
 
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 171,742  
 
Gross tax appreciation of investments
   $ 10,593  
Gross tax depreciation of investments
     (2,346 )
 
Net tax appreciation of investments
   $ 8,247  
 
NORTHERN FUNDS QUARTERLY REPORT      4       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   GROWTH EQUITY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1%
                
Aerospace/Defense - 4.4%
                
Boeing (The) Co.
     68,375     $ 6,575  
Lockheed Martin Corp.
     47,550       4,476  
Northrop Grumman Corp.
     126,400       9,843  
Raytheon Co.
     90,100       4,855  
 
 
             25,749  
 
Banks - 1.3%
                
Bank of America Corp.
     152,000       7,431  
 
Beverages - 0.5%
                
Diageo PLC ADR
     37,975       3,164  
 
Biotechnology - 1.3%
                
Biogen Idec, Inc. *
     144,125       7,711  
 
Commercial Services - 1.1%
                
McKesson Corp.
     112,375       6,702  
 
Computers - 4.4%
                
Cadence Design Systems, Inc. *
     206,050       4,525  
Electronic Data Systems Corp.
     199,000       5,518  
IBM Corp.
     152,900       16,093  
 
 
             26,136  
 
Cosmetics/Personal Care - 1.9%
                
Colgate-Palmolive Co.
     87,850       5,697  
Procter & Gamble Co.
     87,525       5,356  
 
 
             11,053  
 
Diversified Financial Services - 8.4%
                
Bear Stearns Cos. (The), Inc.
     27,900       3,906  
Citigroup, Inc.
     195,150       10,009  
Countrywide Financial Corp.
     143,950       5,233  
Goldman Sachs Group, Inc.
     64,175       13,910  
JPMorgan Chase & Co.
     115,525       5,597  
Lehman Brothers Holdings, Inc.
     65,700       4,896  
Morgan Stanley
     73,400       6,157  
 
 
             49,708  
 
Electric - 1.3%
                
Alliant Energy Corp.
     72,200       2,805  
Edison International
     87,300       4,899  
 
 
             7,704  
 
Food - 4.9%
                
Campbell Soup Co.
     207,300       8,045  
General Mills, Inc.
     146,300       8,547  
Heinz (H.J.) Co.
     125,200       5,943  
Kroger Co.
     218,000       6,133  
 
 
             28,668  
 
Gas - 0.4%
                
NiSource, Inc.
     124,250       2,573  
 
Healthcare — Products - 1.3%
                
Baxter International, Inc.
     134,350       7,569  
 
Healthcare — Services - 1.7%
                
Humana, Inc. *
     80,775       4,920  
UnitedHealth Group, Inc.
     103,875       5,312  
 
 
             10,232  
 
Home Furnishings - 1.0%
                
Matsushita Electric Industrial Co. Ltd. ADR
     298,700       5,917  
 
Household Products/Wares - 0.9%
                
Clorox Co.
     89,875       5,581  
 
Insurance - 9.2%
                
Allstate (The) Corp.
     85,525       5,261  
AMBAC Financial Group, Inc.
     80,325       7,004  
American International Group, Inc.
     203,975       14,284  
Chubb Corp.
     80,500       4,358  
Hartford Financial Services Group, Inc.
     63,525       6,258  
Prudential Financial, Inc.
     66,600       6,475  
Travelers Cos Inc. (The)
     115,550       6,182  
XL Capital Ltd., Class A
     56,300       4,746  
 
 
             54,568  
 
Internet - 1.1%
                
eBay, Inc. *
     194,250       6,251  
 
Iron/Steel - 1.9%
                
United States Steel Corp.
     103,250       11,228  
 
Machinery — Diversified - 1.5%
                
Deere & Co.
     71,100       8,585  
 
Media - 2.2%
                
Citadel Broadcasting Corp.
     28,202       182  
Disney (Walt) Co.
     367,325       12,540  
 
 
             12,722  
 
Miscellaneous Manufacturing - 6.9%
                
Eaton Corp.
     107,775       10,023  
General Electric Co.
     174,050       6,663  
ITT Corp.
     83,350       5,691  
Tyco International Ltd.
     545,000       18,415  
 
 
             40,792  
 
Oil & Gas - 10.7%
                
Chevron Corp.
     96,150       8,100  
Exxon Mobil Corp. Com
     435,350       36,517  
Marathon Oil Corp.
     215,150       12,901  
EQUITY FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Oil & Gas - 10.7% – (continued)
                
Occidental Petroleum Corp.
     97,500     $ 5,643  
 
 
             63,161  
 
Pharmaceuticals - 9.1%
                
Cardinal Health, Inc.
     78,125       5,519  
Lilly (Eli) & Co.
     199,400       11,142  
Merck & Co., Inc.
     88,925       4,428  
Pfizer, Inc.
     432,600       11,062  
Sanofi-Aventis ADR
     243,575       9,809  
Schering-Plough Corp.
     245,450       7,471  
Shire PLC
     55,775       4,135  
 
 
             53,566  
 
Retail - 5.3%
                
Kohl’s Corp. *
     103,275       7,336  
McDonald’s Corp.
     215,775       10,953  
Nordstrom, Inc.
     156,750       8,013  
TJX Cos., Inc.
     189,475       5,210  
 
 
             31,512  
 
Semiconductors - 4.5%
                
Applied Materials, Inc.
     366,025       7,273  
ASML Holding N.V. *
     293,275       8,050  
National Semiconductor Corp.
     162,600       4,597  
Taiwan Semiconductor Manufacturing Co. Ltd. ADR
     615,563       6,851  
 
 
             26,771  
 
Software - 3.6%
                
Adobe Systems, Inc. *
     69,050       2,772  
BMC Software, Inc. *
     131,925       3,997  
Microsoft Corp.
     193,300       5,697  
Oracle Corp. *
     458,425       9,036  
 
 
             21,502  
 
Telecommunications - 7.3%
                
Cisco Systems, Inc. *
     871,500       24,271  
Embarq Corp.
     82,250       5,212  
Nokia OYJ ADR
     328,125       9,224  
Verizon Communications, Inc.
     110,725       4,559  
 
 
             43,266  
 
Total Common Stocks
                
 
(Cost $494,865)
             579,822  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 1.7%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit
5.44%, 7/2/07
   $ 10,314     $ 10,314  
 
Total Short-Term Investment
                
 
(Cost $10,314)
             10,314  
 
                
 
Total Investments - 99.8%
                
 
(Cost $505,179)
            590,136  
Other Assets less Liabilities - 0.2%
             1,140  
 
NET ASSETS - 100.0%
           $ 591,276  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 505,179  
 
Gross tax appreciation of investments
   $ 94,148  
Gross tax depreciation of investments
     (9,191 )
 
Net tax appreciation of investments
   $ 84,957  
 
NORTHERN FUNDS QUARTERLY REPORT       2       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   INCOME EQUITY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 54.1%
                
Agriculture - 1.0%
                
UST, Inc.
     105,000     $ 5,640  
 
Banks - 1.4%
                
Bank of America Corp.
     150,000       7,333  
 
Beverages - 2.8%
                
Anheuser-Busch Cos., Inc.
     150,000       7,824  
Diageo PLC ADR
     90,000       7,498  
 
 
             15,322  
 
Chemicals - 1.4%
                
Dow Chemical (The) Co.
     170,000       7,517  
Commercial Services - 4.0%
                
Accenture Ltd., Class A
     190,000       8,149  
Coinmach Service Corp.
     403,000       8,008  
Macquarie Infrastructure Co. LLC
     135,000       5,600  
 
 
             21,757  
 
Computers - 1.4%
                
Hewlett-Packard Co.
     175,000       7,808  
Food - 4.1%
                
B&G Food Holdings Corp.
     300,000       6,063  
Kraft Foods, Inc., Class A
     220,000       7,755  
SUPERVALU, Inc.
     180,000       8,338  
 
 
             22,156  
 
Healthcare — Products - 1.4%
                
Johnson & Johnson
     125,000       7,702  
 
Housewares - 0.8%
                
Newell Rubbermaid, Inc.
     140,000       4,120  
 
Insurance - 5.5%
                
Chubb Corp.
     134,511       7,283  
Old Republic International Corp.
     340,000       7,228  
Prudential Financial, Inc.
     73,500       7,146  
Travelers Cos. (The), Inc.
     145,000       7,758  
 
 
             29,415  
 
Investment Companies - 2.7%
                
Allied Capital Corp.
     245,000       7,585  
American Capital Strategies Ltd.
     165,000       7,016  
 
 
             14,601  
 
Machinery — Diversified - 1.9%
                
Cummins, Inc.
     100,000       10,121  
 
Media - 3.3%
                
Citadel Broadcasting Corp.
     450,000       2,903  
Disney (Walt) Co.
     225,000       7,681  
Gannett Co., Inc.
     130,000       7,144  
Media - 3.3% – (continued)
                
Idearc, Inc.
     6,750       238  
 
 
             17,966  
 
Miscellaneous Manufacturing - 1.5%
                
3M Co.
     90,000       7,811  
 
Oil & Gas - 6.0%
                
ConocoPhillips
     103,284       8,108  
Devon Energy Corp.
     75,000       5,872  
EnCana Corp.
     60,000       3,687  
Marathon Oil Corp.
     144,000       8,634  
Occidental Petroleum Corp.
     100,000       5,788  
 
 
             32,089  
 
Pharmaceuticals - 3.9%
                
GlaxoSmithKline PLC ADR
     127,000       6,651  
King Pharmaceuticals, Inc. *
     250,000       5,115  
Merck & Co., Inc.
     50,000       2,490  
Pfizer, Inc.
     255,000       6,520  
 
 
             20,776  
 
Real Estate Investment Trusts - 1.9%
                
HRPT Properties Trust
     560,000       5,824  
iStar Financial, Inc.
     100,000       4,433  
 
 
             10,257  
 
Retail - 1.4%
                
Home Depot (The), Inc.
     195,000       7,673  
 
Savings & Loans - 0.8%
                
New York Community Bancorp, Inc.
     250,000       4,255  
 
Semiconductors - 1.3%
                
Taiwan Semiconductor Manufacturing Co. Ltd. ADR 650,734
             7,243  
 
Telecommunications - 5.6%
                
Nokia OYJ ADR
     285,000       8,012  
RF Micro Devices, Inc. *
     350,000       2,184  
Verizon Communications, Inc.
     190,000       7,822  
Vodafone Group PLC ADR
     196,875       6,621  
Windstream Corp.
     375,000       5,535  
 
 
             30,174  
 
Total Common Stocks
                
 
(Cost $241,839)
             291,736  
 
                
CONVERTIBLE PREFERRED STOCKS - 9.6%
                
Auto Manufacturers - 0.5%
                
Ford Motor Co. Capital Trust II, 6.50%
     70,000       2,699  
 
EQUITY FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
CONVERTIBLE PREFERRED STOCKS - 9.6% – CONTINUED
                
Chemicals - 3.5%
                
Celanese Corp., 4.25%
     225,000     $ 11,286  
Huntsman Corp., 5.00%
     160,000       7,840  
 
 
             19,126  
 
Commercial Services - 0.6%
                
United Rentals Trust I, 6.50%
     65,857       3,235  
 
Diversified Financial Services - 1.5%
                
Citigroup Funding, Inc., 5.02%
     165,000       5,198  
Lehman Brothers Holdings, Inc., 6.25%
     100,000       2,706  
 
 
             7,904  
 
Insurance - 1.5%
                
Fortis Insurance N.V., 7.75% (1) (2)
     3,250       4,836  
Metlife, Inc., 6.38%
     100,000       3,236  
 
 
             8,072  
 
Retail - 0.6%
                
Retail Ventures, Inc., 6.63%
     55,100       3,409  
 
Savings & Loans - 1.4%
                
Sovereign Capital Trust II, 4.38%
     100,000       4,700  
Washington Mutual, Inc., 5.38%
     50,000       2,750  
 
 
             7,450  
 
Total Convertible Preferred Stocks
                
 
(Cost $43,349)
             51,895  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CONVERTIBLE BONDS - 23.0%
                
Aerospace/Defense - 2.0%
                
L-3 Communications Corp.,
3.00%, 8/1/35
   $ 2,290       2,579  
Lockheed Martin Corp.,
5.16%, 8/15/33
     6,276       8,426  
 
 
             11,005  
 
Apparel - 1.1%
                
Kellwood, Co.,
3.50%, 6/15/34
     6,400       5,840  
 
Commercial Services - 0.5%
                
CBIZ, Inc.,
3.13%, 6/1/26
     3,000       2,925  
 
Computers - 2.5%
                
CACI International Inc., (1) (2)
2.13%, 5/1/14
     6,000       6,413  
Computers - 2.5% – (continued)
                
Electronic Data Systems Corp.,
3.88%, 7/15/23
   $ 7,000     $ 7,157  
 
 
             13,570  
 
Environmental Control - 0.7%
                
Allied Waste Industries,
4.25%, 4/15/34
     4,000       3,845  
 
Healthcare — Products - 0.7%
                
Conmed Corp.,
2.50%, 11/15/24
     3,500       3,526  
 
Healthcare — Services - 0.9%
                
LifePoint Hospitals, Inc.,
3.50%, 5/15/14
     5,000       5,081  
 
Insurance - 1.5%
                
American Equity Investment Life Holding Co.,
5.25%, 12/6/24
     7,050       7,984  
 
Machinery — Diversified - 1.9%
                
AGCO Corp.,
1.75%, 12/31/33
     5,000       10,019  
 
Media - 0.9%
                
Liberty Media Corp., (1)
0.75%, 3/30/23
     4,000       4,910  
 
Pharmaceuticals - 2.1%
                
Mylan Laboratories, Inc.,
1.25%, 3/15/12
     5,000       4,813  
Watson Pharmaceuticals, Inc.,
1.75%, 3/15/23
     7,000       6,746  
 
 
             11,559  
 
Retail - 1.4%
                
Sonic Automotive, Inc.,
4.25%, 11/30/15
     5,500       7,356  
Semiconductors - 1.4%
                
Intel Corp., (1)
2.95%, 12/15/35
     8,000       7,620  
Software - 2.6%
                
Fair Isaac Corp.,(1)
1.50%, 8/15/23
     7,000       7,341  
Sybase, Inc.,
1.75%, 2/22/25
     6,000       6,570  
 
 
             13,911  
 
Telecommunications - 1.0%
                
RF Micro Devices, Inc., (1) (2)
0.75%, 4/15/12
     5,250       5,125  
 
NORTHERN FUNDS QUARTERLY REPORT       2       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   INCOME EQUITY FUND ( continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CONVERTIBLE BONDS - 23.0% – CONTINUED
                
Transportation - 1.8%
                
YRC Worldwide, Inc.,
5.00%, 8/8/23
   $ 8,000     $ 9,780  
 
Total Convertible Bonds
                
 
(Cost $116,008)
             124,056  
 
                
SHORT-TERM INVESTMENT - 12.6%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit
5.44%, 7/2/07
     67,830       67,830  
 
Total Short-Term Investment
                
 
(Cost $67,830)
             67,830  
 
 
                
Total Investments - 99.3%
                
 
(Cost $469,026)
             535,517  
Other Assets less Liabilities - 0.7%
             3,782  
 
NET ASSETS - 100.0%
           $ 539,299  
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available, in accordance with procedures established by the Trustees of Northern Funds.
 
(2)   Restricted security has been deemed illiquid. At June 30, 2007, the value of these restricted illiquid securities amounted to approximately $16,374,000 or 3.0 % of net assets. Additional information on each restricted illiquid security is as follows:
             
        ACQUISITION
    ACQUISITION   COST
SECURITY   DATE   (000S)
CACI International Inc.
   5/11/07   $ 6,094  
Fortis Insurance NV, 7.75%
   1/20/05-2/15/06     3,523  
RF Micro Devices, Inc.,
   3/29/07     5,231  
 
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 469,026  
 
Gross tax appreciation of investments
   $ 72,549  
Gross tax depreciation of investments
     (6,058 )
 
Net tax appreciation of investments
   $ 66,491  
 
EQUITY FUNDS       3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   INTERNATIONAL GROWTH EQUITY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.5%
                
Australia - 3.9%
                
Boral Ltd.
     1,329,754     $ 9,887  
Cochlear Ltd.
     332,529       17,197  
Suncorp-Metway Ltd.
     1,245,275       21,294  
 
 
             48,378  
 
Canada - 1.1%
                
Bombardier, Inc., Class B *
     2,206,800       13,260  
 
China - 0.7%
                
Bank of China Ltd.
     18,113,000       8,989  
 
Finland - 2.4%
                
Nokia OYJ
     1,064,601       29,988  
 
France - 6.7%
                
Accor S.A.
     121,094       10,772  
Alstom
     125,444       21,093  
AXA S.A.
     566,805       24,559  
Gemalto N.V. *
     169,275       3,936  
L’Oreal S.A.
     194,961       23,170  
 
 
             83,530  
 
Germany - 14.7%
                
DaimlerChrysler A.G. (Registered)
     296,216       27,502  
Deutsche Bank A.G. (Registered)
     114,730       16,743  
Deutsche Telekom A.G. (Registered)
     1,281,428       23,746  
E.ON A.G.
     110,533       18,596  
Linde A.G.
     187,369       22,636  
MAN A.G.
     89,021       12,864  
Merck KGaA
     148,858       20,563  
Metro A.G.
     239,925       19,966  
Siemens A.G. (Registered)
     68,202       9,838  
ThyssenKrupp A.G.
     196,828       11,757  
 
 
             184,211  
 
Greece - 1.5%
                
National Bank of Greece S.A.
     324,612       18,630  
 
Ireland - 1.6%
                
Allied Irish Banks PLC
     738,541       20,204  
 
Italy - 8.2%
                
ENI S.p.A.
     615,574       22,414  
Finmeccanica S.p.A.
     627,894       19,404  
Lottomatica S.p.A.
     492,591       19,676  
UniCredito Italiano S.p.A. (Milan Exchange)
     2,762,230       24,789  
Unione di Banche Italiane SCPA
     664,640       16,959  
 
 
             103,242  
 
Japan - 13.0%
                
East Japan Railway Co.
     2,653       20,478  
Fanuc Ltd.
     193,200       19,967  
Kirin Holdings Co. Ltd.
     1,232,000       18,448  
Mizuho Financial Group, Inc.
     3,337       23,127  
Nippon Telegraph & Telephone Corp.
     3,734       16,595  
Shiseido Co. Ltd.
     862,000       18,420  
Sony Corp.
     253,600       13,043  
Toyota Motor Corp.
     520,300       32,974  
 
 
             163,052  
 
Netherlands - 3.5%
                
Qiagen N.V. *
     1,050,548       18,913  
Royal Dutch Shell PLC, Class B (London Exchange)
     599,029       25,054  
 
 
             43,967  
 
Norway - 0.9%
                
Petroleum Geo-Services ASA *
     452,950       11,311  
 
Singapore - 1.4%
                
CapitaLand Ltd.
     1,554,000       8,225  
Cosco Corp. Singapore Ltd.
     3,808,000       9,307  
 
 
             17,532  
 
Spain - 1.3%
                
Banco Santander Central Hispano S.A.
     894,614       16,578  
 
Sweden - 2.6%
                
Assa Abloy AB, Class B
     759,482       16,825  
Autoliv, Inc. SDR
     269,290       15,376  
 
 
             32,201  
 
Switzerland - 11.4%
                
Julius Baer Holding A.G. (Registered)
     192,826       13,879  
Logitech International S.A. (Registered) *
     311,779       8,361  
Nestle S.A. (Registered)
     73,712       28,127  
Roche Holding A.G. (Genusschein)
     151,667       27,000  
Schindler Holding A.G.
     149,663       9,988  
Swiss Life Holding (Registered)
     75,771       20,103  
Syngenta A.G. (Registered)
     112,774       22,089  
Xstrata PLC
     225,313       13,513  
 
 
             143,060  
 
United Kingdom - 22.6%
                
Barclays PLC
     1,208,958       16,895  
BHP Billiton PLC
     722,789       20,173  
BP PLC
     865,927       10,484  
BT Group PLC
     3,483,192       23,255  
Carillion PLC
     1,092,182       8,838  
EQUITY FUNDS      1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.5% – CONTINUED
                
United Kingdom - 22.6% – (continued)
                
Carnival PLC
     87,129     $ 4,172  
Centrica PLC
     2,700,084       21,063  
Diageo PLC
     1,124,253       23,409  
GlaxoSmithKline PLC
     881,199       23,090  
ITV PLC
     8,218,423       18,845  
Lloyds TSB Group PLC
     2,294,078       25,611  
Lonmin PLC
     118,980       9,604  
Marks & Spencer Group PLC
     810,311       10,218  
Prudential PLC
     910,781       13,057  
Smith & Nephew PLC
     1,494,087       18,570  
Vodafone Group PLC
     7,426,135       25,021  
WPP Group PLC
     690,080       10,371  
 
 
             282,676  
 
Total Common Stocks
                
 
(Cost $995,550)
             1,220,809  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 0.3%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit
5.44%, 7/2/07
   $ 4,397       4,397  
 
Total Short-Term Investment
                
 
(Cost $4,397)
             4,397  
 
                
 
Total Investments - 97.8%
                
 
(Cost $999,947)
             1,225,206  
Other Assets less Liabilities - 2.2%
             27,399  
 
NET ASSETS - 100.0%
           $ 1,252,605  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
At June 30, 2007, the International Growth Equity Fund had outstanding forward foreign currency exchange contracts as follows:
                                 
    AMOUNT   IN   AMOUNT        
CONTRACTS   (LOCAL   EXCHANGE   (LOCAL       UNREALIZED
TO DELIVER   CURRENCY)   FOR   CURRENCY)   SETTLEMENT   GAIN/(LOSS)
CURRENCY   (000S)   CURRENCY   (000S)   DATE   (000S)
Australian
Dollar
    5,906     U.S.
Dollar 		    5,000     7/2/07   $ (7 )
Australian
Dollar
    8,491     British
Pound 		    3,600     7/3/07     30  
Japanese
Yen
    371,265     British
Pound 		    1,500     7/3/07     (6 )
 
Total
                          $ 17  
At June 30, 2007, the International Growth Equity Fund’s investments were denominated in the following currencies:
         
    % OF LONG-TERM
CONCENTRATION BY CURRENCY   INVESTMENTS
Euro
     38.9 %
British Pound
     26.3  
Japanese Yen
     13.4  
Swiss Franc
     10.6  
All other currencies less than 5%
     10.8  
 
Total
     100.0 %
At June 30, 2007, the industry sectors for the International Growth Equity Fund were:
         
    % OF LONG-TERM
INDUSTRY SECTOR   INVESTMENTS
Consumer Discretionary
     13.3 %
Consumer Staples
     10.8  
Energy
     5.7  
Financials
     23.8  
Health Care
     10.3  
Industrials
     13.2  
Information Technology
     3.5  
Materials
     9.0  
Telecommunication Services
     7.2  
Utilities
     3.2  
 
Total
     100.0 %
NORTHERN FUNDS QUARTERLY REPORT       2       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   INTERNATIONAL GROWTH EQUITY FUND ( continued )
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 999,947  
 
Gross tax appreciation of investments
   $ 233,338  
Gross tax depreciation of investments
     (8,079 )
 
Net tax appreciation of investments
   $ 225,259  
 
EQUITY FUNDS       3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   LARGE CAP VALUE FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.4%
                
Banks - 1.9%
                
Wachovia Corp.
     449,000     $ 23,011  
 
Beverages - 4.7%
                
Anheuser-Busch Cos., Inc.
     497,000       25,924  
Coca-Cola (The) Co.
     600,000       31,386  
 
 
             57,310  
 
Chemicals - 3.8%
                
Dow Chemical (The) Co.
     505,000       22,331  
du Pont (E.I.) de Nemours & Co.
     486,000       24,708  
 
 
             47,039  
 
Commercial Services - 1.1%
                
H&R Block, Inc.
     563,000       13,157  
 
Diversified Financial Services - 5.9%
                
Citigroup, Inc.
     622,000       31,902  
Fannie Mae
     271,000       17,705  
JPMorgan Chase & Co.
     471,000       22,820  
 
 
             72,427  
 
Food - 7.9%
                
Hershey Co.
     463,000       23,437  
Kraft Foods, Inc., Class A
     727,000       25,627  
Sara Lee Corp.
     1,741,000       30,293  
Wrigley (Wm.) Jr. Co.
     311,000       17,202  
 
 
             96,559  
 
Forest Products & Paper - 4.3%
                
MeadWestvaco Corp.
     795,000       28,080  
Weyerhaeuser Co.
     311,000       24,547  
 
 
             52,627  
 
Healthcare — Products - 2.6%
                
Johnson & Johnson
     511,000       31,488  
 
Home Builders - 1.1%
                
D.R. Horton, Inc.
     713,000       14,210  
 
Insurance - 3.7%
                
Lincoln National Corp.
     330,000       23,413  
XL Capital Ltd., Class A
     257,000       21,663  
 
 
             45,076  
 
Leisure Time - 1.9%
                
Carnival Corp.
     483,000       23,556  
 
Media - 8.8%
                
CBS Corp., Class B
     775,000       25,823  
Clear Channel Communications, Inc.
     692,000       26,171  
Gannett Co., Inc.
     405,000       22,255  
New York Times Co., Class A
     976,000       24,790  
Tribune Co.
     329,851       9,698  
 
 
             108,737  
 
Mining - 2.2%
                
Alcoa, Inc.
     683,000       27,682  
 
Miscellaneous Manufacturing - 7.2%
                
3M Co.
     330,000       28,641  
Eastman Kodak Co.
     986,000       27,440  
General Electric Co.
     840,000       32,155  
 
 
             88,236  
 
Office/Business Equipment - 2.2%
                
Pitney Bowes, Inc.
     568,000       26,594  
 
Pharmaceuticals - 10.8%
                
Abbott Laboratories
     316,000       16,922  
Bristol-Myers Squibb Co.
     1,065,000       33,611  
Lilly (Eli) & Co.
     426,000       23,805  
Pfizer, Inc.
     1,219,000       31,170  
Wyeth
     478,000       27,408  
 
 
             132,916  
 
Retail - 2.0%
                
Home Depot (The), Inc.
     624,000       24,554  
 
Savings & Loans - 2.0%
                
New York Community Bancorp, Inc.
     1,428,000       24,305  
 
Semiconductors - 8.9%
                
Analog Devices, Inc.
     565,000       21,267  
Intel Corp.
     1,423,000       33,810  
Linear Technology Corp.
     809,000       29,270  
Maxim Integrated Products, Inc.
     768,000       25,659  
 
 
             110,006  
 
Telecommunications - 13.5%
                
AT&T, Inc.
     956,700       39,703  
Deutsche Telekom A.G. ADR
     1,500,000       27,615  
Embarq Corp.
     549,000       34,790  
NTT DoCoMo, Inc.
     1,181,000       18,660  
Verizon Communications, Inc.
     787,000       32,401  
Windstream Corp.
     882,000       13,018  
 
 
             166,187  
 
Transportation - 1.9%
                
United Parcel Service, Inc., Class B
     324,000       23,652  
 
Total Common Stocks
                
 
(Cost $1,036,751)
             1,209,329  
EQUITY FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL        
    AMOUNT     VALUE  
    (000S)     (000S)  
SHORT-TERM INVESTMENT - 1.4%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit
5.44%, 7/2/07
   $ 17,469     $ 17,469  
Total Short-Term Investment
                
(Cost $17,469)
             17,469  
 
                
Total Investments - 99.8%
                
(Cost $1,054,220)
             1,226,798  
Other Assets less Liabilities - 0.2%
             1,822  
 
NET ASSETS - 100.0%
           $ 1,228,620  
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 1,054,220  
 
Gross tax appreciation of investments
   $ 180,911  
Gross tax depreciation of investments
     (8,333 )
 
Net tax appreciation of investments
   $ 172,578  
 
NORTHERN FUNDS QUARTERLY REPORT       2      EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   MID CAP GROWTH FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3%
                
Aerospace/Defense - 1.8%
                
Rockwell Collins, Inc.
     48,600     $ 3,433  
 
Apparel - 2.6%
                
Coach, Inc. *
     45,900       2,175  
Phillips-Van Heusen Corp.
     45,017       2,727  
 
 
             4,902  
 
Banks - 1.6%
                
TCF Financial Corp.
     112,300       3,122  
 
Biotechnology - 1.6%
                
Charles River Laboratories International, Inc. *
     59,200       3,056  
 
Chemicals - 2.4%
                
Albemarle Corp.
     49,800       1,919  
FMC Corp.
     29,400       2,628  
 
 
             4,547  
 
Commercial Services - 6.5%
                
DeVry, Inc.
     65,300       2,221  
Dun & Bradstreet Corp.
     19,600       2,018  
Gartner, Inc. *
     108,400       2,666  
Quanta Services, Inc. *
     90,200       2,766  
Robert Half International, Inc.
     76,400       2,789  
 
 
             12,460  
 
Computers - 3.9%
                
Cadence Design Systems, Inc. *
     101,400       2,227  
Logitech International S.A. *
     73,500       1,940  
Micros Systems, Inc. *
     60,500       3,291  
 
 
             7,458  
 
Cosmetics/Personal Care - 2.3%
                
Avon Products, Inc.
     50,300       1,848  
Estee Lauder Cos. (The), Inc., Class A
     57,300       2,608  
 
 
             4,456  
 
Diversified Financial Services - 4.2%
                
Ameriprise Financial, Inc.
     45,000       2,860  
CIT Group, Inc.
     45,800       2,511  
Jefferies Group, Inc.
     103,400       2,790  
 
 
             8,161  
 
Electronics - 5.2%
                
Amphenol Corp., Class A
     54,000       1,925  
Dolby Laboratories, Inc., Class A *
     59,700       2,114  
Trimble Navigation Ltd. *
     98,500       3,172  
Waters Corp. *
     48,100       2,855  
 
 
             10,066  
 
Engineering & Construction - 2.4%
                
Chicago Bridge & Iron Co. N.V. (N.Y. Registered Shares)
     73,426       2,771  
Jacobs Engineering Group, Inc. *
     33,500       1,927  
 
 
             4,698  
 
Entertainment - 1.2%
                
International Game Technology
     60,400       2,398  
 
Environmental Control - 1.5%
                
Stericycle, Inc. *
     65,300       2,903  
 
Food - 1.2%
                
Hain Celestial Group, Inc. *
     88,200       2,394  
 
Healthcare — Products - 1.7%
                
Dentsply International, Inc.
     83,900       3,210  
 
Healthcare — Services - 5.4%
                
Coventry Health Care, Inc. *
     52,800       3,044  
Laboratory Corp. of America Holdings *
     30,200       2,364  
Pediatrix Medical Group, Inc. *
     35,900       1,980  
Psychiatric Solutions, Inc. *
     80,622       2,923  
 
 
             10,311  
 
Insurance - 1.0%
                
AMBAC Financial Group, Inc.
     22,500       1,962  
 
Iron/Steel - 1.5%
                
Carpenter Technology Corp.
     21,900       2,854  
 
Lodging - 1.7%
                
Starwood Hotels & Resorts Worldwide, Inc.
     47,400       3,179  
 
Machinery — Construction & Mining - 1.2%
                
Joy Global, Inc.
     38,400       2,240  
 
Machinery — Diversified - 1.5%
                
AGCO Corp. *
     64,858       2,815  
 
Media - 4.4%
                
Grupo Televisa S.A. ADR
     69,200       1,911  
Liberty Global, Inc., Class A *
     157,700       6,472  
 
 
             8,383  
 
Miscellaneous Manufacturing - 6.7%
                
Aptargroup, Inc.
     83,000       2,952  
ITT Corp.
     31,400       2,144  
Roper Industries, Inc.
     53,700       3,066  
SPX Corp.
     21,700       1,905  
Textron, Inc.
     26,200       2,885  
 
 
             12,952  
 
Oil & Gas - 4.6%
                
Cabot Oil & Gas Corp.
     91,200       3,364  
EQUITY FUNDS      1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Oil & Gas - 4.6% – (continued)
                
ENSCO International, Inc.
     46,900     $ 2,861  
Noble Energy, Inc.
     41,100       2,564  
 
 
             8,789  
 
Oil & Gas Services - 5.3%
                
Cameron International Corp. *
     59,300       4,238  
Grant Prideco, Inc. *
     53,000       2,853  
National-Oilwell Varco, Inc. *
     29,571       3,083  
 
 
             10,174  
 
Pharmaceuticals - 4.4%
                
Express Scripts, Inc. *
     75,800       3,791  
Shire PLC
     37,600       2,787  
VCA Antech, Inc. *
     50,000       1,884  
 
 
             8,462  
 
Real Estate - 1.0%
                
CB Richard Ellis Group, Inc., Class A *
     50,736       1,852  
 
Retail - 6.5%
                
Family Dollar Stores, Inc.
     56,000       1,922  
GameStop Corp., Class A *
     62,600       2,448  
Nordstrom, Inc.
     37,100       1,896  
Petsmart, Inc.
     97,100       3,151  
Tiffany & Co.
     58,000       3,077  
 
 
             12,494  
 
Semiconductors - 5.9%
                
Intersil Corp., Class A
     83,300       2,621  
MEMC Electronic Materials, Inc. *
     43,400       2,653  
National Semiconductor Corp.
     66,400       1,877  
Nvidia Corp. *
     44,300       1,830  
ON Semiconductor Corp. *
     216,000       2,315  
 
 
             11,296  
 
Software - 4.0%
                
Activision, Inc. *
     108,100       2,018  
Autodesk, Inc. *
     61,300       2,886  
Fiserv, Inc. *
     50,700       2,880  
 
 
             7,784  
 
Telecommunications - 2.1%
                
Millicom International Celluiar S.A. *
     20,900       1,915  
Polycom, Inc. *
     60,875       2,046  
 
 
             3,961  
 
Total Common Stocks
                
 
(Cost $169,464)
             186,772  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT- 3.3%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 6,399     $ 6,399  
Total Short-Term Investment
                
(Cost $6,399)
             6,399  
 
                
Total Investments - 100.6%
                
(Cost $175,863)
             193,171  
Liabilities less Other Assets — (0.6)%
             (1,137 )
 
NET ASSETS - 100.0%
           $ 192,034  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 175,863  
 
Gross tax appreciation of investments
   $ 19,754  
Gross tax depreciation of investments
     (2,446 )
 
Net tax appreciation of investments
   $ 17,308  
 
NORTHERN FUNDS QUARTERLY REPORT     2      EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
   SCHEDULE OF INVESTMENTS
   SELECT EQUITY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.1%
                
Advertising - 1.5%
                
Omnicom Group, Inc.
     51,400     $ 2,720  
 
Aerospace/Defense - 7.1%
                
Boeing (The) Co.
     52,500       5,048  
Lockheed Martin Corp.
     24,000       2,259  
Raytheon Co.
     54,900       2,959  
Rockwell Collins, Inc.
     30,900       2,183  
 
 
             12,449  
 
Auto and Truck Manufacturers- 1.9%
                
PACCAR, Inc.
     39,100       3,403  
 
Auto Parts & Equipment - 2.1%
                
Johnson Controls, Inc.
     31,800       3,681  
 
Beverages - 3.7%
                
Anheuser-Busch Cos., Inc.
     65,400       3,411  
Diageo PLC ADR
     38,200       3,183  
 
 
             6,594  
 
Commercial Services - 4.0%
                
Accenture Ltd., Class A
     83,600       3,585  
McKesson Corp.
     59,300       3,537  
 
 
             7,122  
 
Computers - 6.6%
                
Cadence Design Systems, Inc. *
     119,300       2,620  
Hewlett-Packard Co.
     101,300       4,520  
IBM Corp.
     42,000       4,420  
 
 
             11,560  
 
Cosmetics/Personal Care - 1.7%
                
Colgate-Palmolive Co.
     44,900       2,912  
 
Diversified Financial Services - 1.2%
                
Morgan Stanley
     25,000       2,097  
 
Electrical Components & Equipment - 1.6%
                
Energizer Holdings, Inc. *
     28,700       2,859  
 
Engineering & Construction - 2.4%
                
ABB Ltd. ADR
     187,300       4,233  
 
Healthcare — Products - 4.4%
                
Baxter International, Inc.
     91,900       5,178  
Stryker Corp.
     40,200       2,536  
 
 
             7,714  
 
Insurance - 4.8%
                
AMBAC Financial Group, Inc.
     25,800       2,250  
Prudential Financial, Inc.
     36,000       3,500  
Travelers Cos Inc. (The)
     52,000       2,782  
 
 
             8,532  
 
Internet - 1.4%
                
eBay, Inc. *
     75,900     $ 2,442  
 
Iron/Steel - 1.6%
                
Nucor Corp.
     15,800       927  
United States Steel Corp.
     17,600       1,914  
 
 
             2,841  
 
Machinery - Diversified - 1.8%
                
Deere & Co.
     26,500       3,200  
 
Media - 2.0%
                
Comcast Corp., Class A *
     71,750       2,018  
Grupo Televisa S.A. ADR
     55,100       1,521  
 
 
             3,539  
 
Mining - 1.5%
                
Southern Copper Corp.
     27,500       2,592  
 
Office/Business Equipment - 1.8%
                
Xerox Corp. *
     173,100       3,199  
 
Oil & Gas - 7.4%
                
Chevron Corp.
     33,600       2,830  
Exxon Mobil Corp. Com
     47,800       4,010  
Marathon Oil Corp.
     69,800       4,185  
Noble Energy, Inc.
     31,000       1,934  
 
 
             12,959  
 
Oil & Gas Services - 1.7%
                
Cameron International Corp. *
     41,900       2,995  
 
Pharmaceuticals - 9.1%
                
Merck & Co., Inc.
     70,200       3,496  
Schering-Plough Corp.
     159,000       4,840  
Shire PLC
     43,600       3,232  
Wyeth
     76,500       4,386  
 
 
             15,954  
 
Retail - 5.5%
                
GameStop Corp., Class A *
     63,700       2,491  
Kohl’s Corp. *
     37,800       2,685  
McDonald’s Corp.
     57,200       2,903  
TJX Cos., Inc.
     60,700       1,669  
 
 
             9,748  
 
Semiconductors - 3.8%
                
MEMC Electronic Materials, Inc. *
     39,000       2,384  
Nvidia Corp. *
     65,800       2,718  
Taiwan Semiconductor Manufacturing Co. Ltd. ADR
     136,415       1,518  
 
 
             6,620  
 
EQUITY FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.1% – CONTINUED
                
Software - 8.4%
                
Dun & Bradstreet Corp.
     27,900     $ 2,873  
Microsoft Corp.
     231,400       6,820  
Oracle Corp. *
     254,600       5,018  
 
 
             14,711  
 
Telecommunications - 8.1%
                
America Movil S.A. de C.V. ADR, Series L
     69,700       4,317  
Cisco Systems, Inc. *
     203,600       5,670  
Nokia OYJ ADR
     153,300       4,309  
 
 
             14,296  
 
Total Common Stocks
                
(Cost $145,503)
             170,972  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT- 2.7%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 4,749       4,749  
Total Short-Term Investment
                
(Cost $4,749)
             4,749  
 
                
Total Investments - 99.8%
                
(Cost $150,252)
             175,721  
Other Assets less Liabilities - 0.2%
             279  
 
NET ASSETS - 100.0%
           $ 176,000  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 150,252  
 
Gross tax appreciation of investments
   $ 25,876  
Gross tax depreciation of investments
     (407 )
 
Net tax appreciation of investments
   $ 25,469  
 
NORTHERN FUNDS QUARTERLY REPORT       2       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
SCHEDULE OF INVESTMENTS
SMALL CAP GROWTH FUND
                 
    NUMBER    
    OF   VALUE
    SHARES   (000S)
COMMON STOCKS - 98.6%
                
Advertising - 0.8%
                
inVentiv Health, Inc. *
     11,950     $ 438  
 
Aerospace/Defense - 3.7%
                
BE Aerospace, Inc. *
     17,100       706  
Kaman Corp.
     15,725       490  
Orbital Sciences Corp. *
     19,800       416  
Teledyne Technologies, Inc. *
     7,500       345  
 
 
             1,957  
 
Apparel - 5.5%
                
Guess?, Inc.
     6,900       331  
Gymboree Corp. *
     10,100       398  
Maidenform Brands, Inc. *
     19,875       395  
Phillips-Van Heusen Corp.
     8,600       521  
Steven Madden Ltd. *
     12,900       423  
Warnaco Group (The), Inc. *
     10,225       402  
Wolverine World Wide, Inc.
     15,975       443  
 
 
             2,913  
 
Biotechnology - 0.6%
                
Savient Pharmaceuticals, Inc. *
     24,912       309  
 
Building Materials - 1.2%
                
Genlyte Group, Inc. *
     7,900       620  
 
Chemicals - 0.8%
                
Spartech Corp.
     15,100       401  
 
Commercial Services - 7.9%
                
Arbitron, Inc.
     5,275       272  
Chemed Corp.
     3,975       264  
Consolidated Graphics, Inc. *
     5,225       362  
DeVry, Inc.
     19,700       670  
Forrester Research, Inc. *
     15,600       439  
Gartner, Inc. *
     23,200       571  
Heidrick & Struggles International, Inc. *
     10,700       548  
Korn/Ferry International *
     20,500       538  
Strayer Education, Inc.
     3,350       441  
 
 
             4,105  
 
Computers - 6.3%
                
Brocade Communications Systems, Inc. *
     55,549       434  
COMSYS IT Partners, Inc. *
     26,900       614  
Factset Research Systems, Inc.
     5,000       342  
IHS, Inc., Class A *
     10,400       478  
Limelight Networks, Inc. *
     5,209       103  
Manhattan Associates, Inc. *
     14,399       402  
Micros Systems, Inc. *
     11,000       599  
SYKES Enterprises, Inc. *
     18,500       351  
 
 
             3,323  
 
Diversified Financial Services - 2.0%
                
Advanta Corp., Class B
     18,900       588  
World Acceptance Corp. *
     10,900       466  
 
 
             1,054  
 
Electrical Components & Equipment - 2.5%
                
Advanced Energy Industries, Inc. *
     21,300       483  
General Cable Corp. *
     10,725       812  
 
 
             1,295  
 
Electronics - 2.2%
                
Rofin-Sinar Technologies, Inc. *
     8,400       580  
Varian, Inc. *
     11,000       603  
 
 
             1,183  
 
Engineering & Construction - 3.2%
                
EMCOR Group, Inc. *
     7,050       514  
Infrasource Services, Inc. *
     19,600       727  
URS Corp. *
     9,400       457  
 
 
             1,698  
 
Entertainment - 1.0%
                
Vail Resorts, Inc. *
     8,900       542  
 
Forest Products & Paper - 0.6%
                
Mercer International, Inc. *
     33,300       340  
 
Hand/Machine Tools - 1.1%
                
Baldor Electric Co.
     11,900       586  
 
Healthcare - Products - 3.5%
                
ICU Medical, Inc. *
     10,500       451  
Immucor, Inc. *
     10,248       287  
LCA-Vision, Inc.
     8,775       415  
Meridian Bioscience, Inc.
     18,234       395  
Palomar Medical Technologies, Inc. *
     9,000       312  
 
 
             1,860  
 
Healthcare - Services - 2.4%
                
Nighthawk Radiology Holdings, Inc. *
     22,815       412  
Psychiatric Solutions, Inc. *
     14,800       537  
Sunrise Senior Living, Inc. *
     7,463       298  
 
 
             1,247  
 
Home Furnishings - 0.9%
                
Universal Electronics, Inc. *
     12,950       470  
EQUITY FUNDS      1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER    
    OF   VALUE
    SHARES   (000S)
COMMON STOCKS - 98.6% – CONTINUED
                
Household Products/Wares - 0.9%
                
Playtex Products, Inc. *
     32,000     $ 474  
 
Insurance - 5.0%
                
American Equity Investment Life Holding Co.
     41,375       500  
CNA Surety Corp. *
     29,725       562  
Delphi Financial Group, Inc., Class A
     12,200       510  
Ohio Casualty Corp.
     12,100       524  
Selective Insurance Group, Inc.
     19,800       532  
 
 
             2,628  
 
Internet - 5.4%
                
Authorize.Net Holdings, Inc. *
     27,800       498  
Digital River, Inc. *
     10,967       496  
j2 Global Communications, Inc. *
     7,984       279  
Liquidity Services, Inc. *
     20,400       383  
Priceline.com, Inc. *
     6,750       464  
ValueClick, Inc. *
     9,275       273  
Vasco Data Security International, Inc. *
     20,700       471  
 
 
             2,864  
 
Iron/Steel - 2.5%
                
Carpenter Technology Corp.
     3,000       391  
Chaparral Steel Co.
     7,600       546  
Cleveland-Cliffs, Inc.
     4,600       357  
 
 
             1,294  
 
Leisure Time - 1.2%
                
Ambassadors Group, Inc.
     17,000       604  
 
Machinery - Diversified - 3.2%
                
Kadant, Inc. *
     20,200       630  
Middleby Corp. *
     7,400       443  
Wabtec Corp.
     17,200       628  
 
 
             1,701  
 
Metal Fabrication/Hardware - 2.5%
                
Kaydon Corp.
     13,000       678  
RBC Bearings, Inc. *
     15,625       644  
 
 
             1,322  
 
Miscellaneous Manufacturing - 0.8%
                
Smith & Wesson Holding Corp. *
     24,875       417  
 
Office Furnishings - 1.0%
                
Knoll, Inc.
     23,700       531  
 
Oil & Gas - 1.7%
                
Atwood Oceanics, Inc. *
     5,975       410  
Cabot Oil & Gas Corp.
     13,200       487  
 
 
             897  
 
Oil & Gas Services - 3.5%
                
Input/Output, Inc. *
     17,375     $ 271  
Matrix Service Co. *
     19,450       483  
NATCO Group, Inc., Class A *
     8,425       388  
Trico Marine Services, Inc. *
     8,600       352  
Universal Compression Holdings, Inc. *
     5,100       370  
 
 
             1,864  
 
Pharmaceuticals - 5.8%
                
Cypress Bioscience, Inc. *
     16,359       217  
KV Pharmaceutical Co., Class A *
     18,742       510  
Medicis Pharmaceutical Corp., Class A
     17,000       519  
MGI Pharma, Inc. *
     10,950       245  
Noven Pharmaceuticals, Inc. *
     10,900       256  
Perrigo Co.
     18,200       356  
Pharmion Corp. *
     8,799       255  
Santarus, Inc. *
     55,781       288  
Sciele Pharma, Inc. *
     17,850       421  
 
 
             3,067  
 
Retail - 2.9%
                
Aeropostale, Inc. *
     14,800       617  
Jos. A. Bank Clothiers, Inc. *
     9,375       388  
Men’s Wearhouse, Inc.
     10,100       516  
 
 
             1,521  
 
Savings & Loans - 0.5%
                
First Place Financial Corp. of Ohio
     12,900       272  
 
Semiconductors - 3.8%
                
Cirrus Logic, Inc. *
     49,200       408  
Emulex Corp. *
     15,800       345  
Integrated Device Technology, Inc. *
     27,100       414  
Tessera Technologies, Inc. *
     8,593       349  
Varian Semiconductor Equipment Associates, Inc. *
     12,012       481  
 
 
             1,997  
 
Software - 4.4%
                
Actuate Corp. *
     51,264       348  
Informatica Corp. *
     34,600       511  
Omnicell, Inc. *
     30,000       623  
Phase Forward, Inc. *
     28,376       478  
THQ, Inc. *
     11,600       354  
 
 
             2,314  
 
Telecommunications - 5.6%
                
Anixter International, Inc. *
     8,800       662  
Arris Group, Inc. *
     44,900       790  
NORTHERN FUNDS QUARTERLY REPORT      2       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP GROWTH FUND (continued)
                 
    NUMBER        
    OF     VALUE  
    SHARES     (000S)  
COMMON STOCKS - 98.6% – CONTINUED
                
Telecommunications - 5.6% – (continued)
                
C-COR, Inc. *
     25,754     $ 362  
CommScope, Inc. *
     12,925       754  
Polycom, Inc. *
     10,900       366  
 
 
             2,934  
 
Transportation - 1.7%
                
Gulfmark Offshore, Inc. *
     8,900       456  
Horizon Lines, Inc., Class A
     12,800       419  
 
 
             875  
 
Total Common Stocks
                
 
(Cost $43,848)
             51,917  
                 
    PRINCIPAL        
    AMOUNT     VALUE  
    (000S)     (000S)  
SHORT-TERM INVESTMENT- 1.0%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 551       551  
Total Short-Term Investment
                
(Cost $551)
             551  
 
                
Total Investments - 99.6%
                
(Cost $44,399)
             52,468  
Other Assets less Liabilities - 0.4%
             204  
 
NET ASSETS - 100.0%
           $ 52,672  
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 44,399  
 
Gross tax appreciation of investments
   $ 8,829  
Gross tax depreciation of investments
     (760 )
 
Net tax appreciation of investments
   $ 8,069  
 
EQUITY FUNDS      3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP VALUE FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6%
                
Advertising - 0.0%
                
inVentiv Health, Inc. *
     6,600     $ 242  
 
Aerospace/Defense - 1.9%
                
Curtiss-Wright Corp.
     76,300       3,556  
Ducommun, Inc. *
     10,836       279  
Esterline Technologies Corp. *
     173,363       8,375  
Heico Corp.
     13,860       583  
Moog, Inc., Class A *
     134,350       5,926  
MTC Technologies, Inc. *
     6,000       147  
Orbital Sciences Corp. *
     45,431       955  
Sequa Corp., Class A *
     8,900       997  
 
 
             20,818  
 
Airlines - 0.8%
                
Republic Airways Holdings, Inc. *
     41,750       850  
Skywest, Inc.
     335,438       7,993  
 
 
             8,843  
 
Apparel - 1.3%
                
Deckers Outdoor Corp. *
     15,600       1,574  
Kellwood Co.
     56,250       1,582  
Oxford Industries, Inc.
     38,553       1,710  
Perry Ellis International, Inc. *
     19,187       617  
Skechers U.S.A., Inc., Class A *
     52,000       1,518  
Stride Rite Corp.
     141,675       2,870  
Warnaco Group (The), Inc. *
     101,189       3,981  
Wolverine World Wide, Inc.
     22,207       615  
 
 
             14,467  
 
Auto Parts & Equipment - 0.5%
                
Accuride Corp. *
     36,946       569  
Aftermarket Technology Corp. *
     80,760       2,397  
ArvinMeritor, Inc.
     4,900       109  
Commercial Vehicle Group, Inc. *
     22,584       421  
Modine Manufacturing Co.
     64,496       1,457  
Standard Motor Products, Inc.
     19,609       295  
 
 
             5,248  
 
Banks - 11.1%
                
1st Source Corp.
     96,015       2,393  
Alabama National Bancorp
     36,347       2,248  
Amcore Financial, Inc.
     52,731       1,529  
Ameris Bancorp
     12,814       288  
Bancfirst Corp.
     31,144       1,334  
BancorpSouth, Inc.
     113,310       2,772  
Bank Mutual Corp.
     7,600       88  
Banner Corp.
     12,803       436  
Berkshire Bancorp, Inc.
     5,906       93  
Boston Private Financial Holdings, Inc.
     68,985       1,854  
Capitol Bancorp Ltd.
     17,941       490  
Central Pacific Financial Corp.
     116,559       3,848  
Chemical Financial Corp.
     60,566       1,567  
Chittenden Corp.
     21,400       748  
Citizens Republic Bancorp, Inc.
     21,757       398  
City Holding Co.
     27,774       1,065  
Community Bancorp of Nevada *
     10,951       306  
Community Bank System, Inc.
     241,676       4,838  
Community Trust Bancorp, Inc.
     49,511       1,599  
Farmers Capital Bank Corp.
     7,366       213  
First Citizens BancShares, Inc.
     150       31  
First Citizens BancShares, Inc. of North Carolina, Class A
     26,091       5,072  
First Commonwealth Financial Corp.
     260,056       2,840  
First Community Bancorp, Inc. of California
     56,703       3,244  
First Community Bancshares, Inc. of Virginia
     30,029       937  
First Financial Corp. of Indiana
     60,840       1,786  
First Indiana Corp.
     38,680       856  
First M & F Corp.
     15,877       296  
First Merchants Corp.
     69,980       1,682  
First Republic Bank of California
     51,220       2,749  
First State Bancorporation of New Mexico
     52,368       1,115  
FirstMerit Corp.
     175,300       3,669  
FNB Corp. of Pennsylvania
     29,300       491  
FNB Corp. of Virginia
     6,197       223  
GB&T Bancshares, Inc.
     20,043       335  
Greater Bay Bancorp
     161,654       4,500  
Hanmi Financial Corp.
     89,240       1,522  
Harleysville National Corp.
     52,254       842  
IBERIABANK Corp.
     13,619       673  
Independent Bank Corp. of Michigan
     58,338       1,004  
International Bancshares Corp.
     75,775       1,941  
Intervest Bancshares Corp.
     7,805       220  
ITLA Capital Corp.
     42,803       2,231  
Lakeland Bancorp, Inc.
     39,415       524  
Macatawa Bank Corp.
     27,612       439  
MainSource Financial Group, Inc.
     19,566       329  
MB Financial, Inc.
     57,980       2,014  
Mercantile Bank Corp.
     9,531       258  
EQUITY FUNDS       1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Banks - 11.1% – (continued)
                
National Penn Bancshares, Inc.
     110,264     $ 1,839  
Old National Bancorp of Indiana
     174,434       2,897  
Park National Corp.
     13,300       1,128  
Peoples Bancorp, Inc. of Ohio
     27,985       758  
Prosperity Bancshares, Inc.
     57,722       1,891  
Provident Bankshares Corp.
     61,054       2,001  
Renasant Corp.
     18,873       429  
Republic Bancorp, Inc. of Kentucky, Class A
     62,089       1,030  
Royal Bancshares of Pennsylvania, Inc., Class A
     8,794       173  
S & T Bancorp, Inc.
     35,900       1,181  
Security Bank Corp. of Georgia
     30,258       608  
Simmons First National Corp., Class A
     72,203       1,992  
Southwest Bancorp, Inc. of Oklahoma
     31,054       747  
Sterling Financial Corp. of Pennsylvania
     51,396       541  
Sterling Financial Corp. of Washington
     169,328       4,900  
Sun Bancorp, Inc. of New Jersey *
     9,086       153  
Susquehanna Bancshares, Inc.
     166,790       3,731  
Taylor Capital Group, Inc.
     11,756       324  
Trustmark Corp.
     100,400       2,596  
UCBH Holdings, Inc.
     81,300       1,485  
UMB Financial Corp.
     139,956       5,160  
Umpqua Holdings Corp.
     218,418       5,135  
Union Bankshares Corp. of Virginia
     18,423       427  
United Bankshares, Inc.
     49,950       1,588  
Univest Corp. of Pennsylvania
     54,479       1,227  
Virginia Financial Group, Inc.
     8,923       198  
Webster Financial Corp.
     26,402       1,127  
WesBanco, Inc.
     76,260       2,250  
Wintrust Financial Corp.
     62,584       2,744  
Yardville National Bancorp
     18,101       618  
 
 
             120,808  
 
Beverages - 0.1%
                
PepsiAmericas, Inc.
     50,500       1,240  
 
Biotechnology - 0.2%
                
Bio-Rad Laboratories, Inc., Class A *
     24,045       1,817  
 
Building Materials - 0.7%
                
Comfort Systems USA, Inc.
     17,400       247  
LSI Industries, Inc.
     64,936       1,162  
NCI Building Systems, Inc. *
     61,599       3,039  
Simpson Manufacturing Co., Inc.
     40,500       1,366  
Universal Forest Products, Inc.
     52,168       2,205  
 
 
             8,019  
 
Chemicals - 2.8%
                
Arch Chemicals, Inc.
     109,771       3,857  
Cytec Industries, Inc.
     22,328       1,424  
Fuller (H.B.) Co.
     170,913       5,108  
Minerals Technologies, Inc.
     94,172       6,305  
NewMarket Corp.
     25,235       1,221  
Schulman (A.), Inc.
     105,858       2,575  
Sensient Technologies Corp.
     150,279       3,816  
Spartech Corp.
     42,600       1,131  
Terra Industries, Inc. *
     176,200       4,479  
Westlake Chemical Corp.
     30,642       862  
 
 
             30,778  
 
Commercial Services - 3.2%
                
ABM Industries, Inc.
     29,800       769  
CBIZ, Inc. *
     286,205       2,104  
Coinstar, Inc. *
     39,100       1,231  
Consolidated Graphics, Inc. *
     7,700       533  
Cross Country Healthcare, Inc. *
     109,275       1,823  
Dollar Thrifty Automotive Group *
     92,600       3,782  
Electro Rent Corp.
     47,739       694  
Exponent, Inc. *
     16,008       358  
First Advantage Corp., Class A *
     11,872       273  
ICT Group, Inc. *
     16,646       311  
Kelly Services, Inc., Class A
     38,451       1,056  
MAXIMUS, Inc.
     11,456       497  
MPS Group, Inc. *
     676,034       9,039  
On Assignment, Inc. *
     26,982       289  
PeopleSupport, Inc. *
     24,805       282  
PRA International *
     19,915       504  
Providence Service (The) Corp. *
     10,500       281  
Rent-A-Center, Inc. *
     161,864       4,246  
Startek, Inc.
     1,700       18  
Stewart Enterprises, Inc., Class A
     254,389       1,982  
TeleTech Holdings, Inc. *
     22,863       743  
United Rentals, Inc. *
     68,700       2,235  
Viad Corp.
     35,463       1,495  
Volt Information Sciences, Inc. *
     24,694       455  
 
 
             35,000  
 
Computers - 2.6%
                
Agilysys, Inc.
     30,604       689  
CACI International, Inc., Class A *
     41,200       2,013  
CIBER, Inc. *
     123,905       1,014  
Hutchinson Technology, Inc. *
     36,242       682  
NORTHERN FUNDS QUARTERLY REPORT      2       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP VALUE FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Computers - 2.6% – (continued)
                
Imation Corp.
     158,419     $ 5,839  
Integral Systems, Inc. of Maryland
     10,900       265  
Komag, Inc. *
     44,200       1,409  
MTS Systems Corp.
     23,215       1,037  
Ness Technologies, Inc. *
     39,443       513  
Palm, Inc. *
     280,194       4,486  
Perot Systems Corp., Class A *
     497,021       8,469  
Radisys Corp. *
     984       12  
SI International, Inc. *
     42,760       1,412  
 
 
             27,840  
 
Cosmetics/Personal Care - 0.1%
                
Alberto-Culver Co.
     44,186       1,048  
 
Distribution/Wholesale - 0.7%
                
Brightpoint, Inc. *
     51,062       704  
Central European Distribution Corp. *
     16,600       575  
Owens & Minor, Inc.
     46,600       1,628  
United Stationers, Inc. *
     75,000       4,998  
 
 
             7,905  
 
Diversified Financial Services - 1.6%
                
Advanta Corp., Class B
     43,652       1,359  
AmeriCredit Corp. *
     54,948       1,459  
CompuCredit Corp. *
     143,217       5,016  
Credit Acceptance Corp. *
     43,788       1,175  
Federal Agricultural Mortgage Corp., Class C
     20,233       692  
Financial Federal Corp.
     74,861       2,232  
Ocwen Financial Corp. *
     256,045       3,413  
Stifel Financial Corp. *
     12,800       754  
SWS Group, Inc.
     58,182       1,258  
 
 
             17,358  
 
Electric - 1.8%
                
Central Vermont Public Service Corp.
     16,000       603  
CH Energy Group, Inc.
     18,387       827  
Empire District Electric (The) Co.
     33,123       741  
Idacorp, Inc.
     45,993       1,474  
MGE Energy, Inc.
     14,263       466  
Otter Tail Corp.
     63,581       2,039  
PNM Resources, Inc.
     42,095       1,170  
UIL Holdings Corp.
     112,815       3,734  
Unisource Energy Corp.
     129,900       4,272  
Westar Energy, Inc.
     163,300       3,965  
 
 
             19,291  
 
Electrical Components & Equipment - 0.8%
                
Belden, Inc.
     33,000       1,827  
Encore Wire Corp.
     110,838       3,263  
Greatbatch, Inc. *
     44,800       1,451  
Littelfuse, Inc. *
     16,800       567  
Molex, Inc., Class A
     39,612       1,052  
 
 
             8,160  
 
Electronics - 4.5%
                
Analogic Corp.
     42,489       3,123  
AVX Corp.
     67,500       1,130  
Bel Fuse, Inc., Class B
     33,858       1,152  
Benchmark Electronics, Inc. *
     428,135       9,684  
Brady Corp., Class A
     48,300       1,794  
Checkpoint Systems, Inc. *
     96,103       2,427  
Coherent, Inc. *
     18,205       555  
CTS Corp.
     217,336       2,751  
Cymer, Inc. *
     70,000       2,814  
Electro Scientific Industries, Inc. *
     142,959       2,974  
Excel Technology, Inc. *
     34,635       968  
FEI Co. *
     36,579       1,187  
Multi-Fineline Electronix, Inc. *
     25,853       444  
Newport Corp. *
     42,887       664  
Park Electrochemical Corp.
     38,824       1,094  
PerkinElmer, Inc.
     38,800       1,011  
Plexus Corp. *
     48,795       1,122  
Rofin-Sinar Technologies, Inc. *
     23,846       1,645  
Rogers Corp. *
     18,627       689  
Stoneridge, Inc. *
     25,618       316  
Technitrol, Inc.
     14,806       425  
Tektronix, Inc.
     38,161       1,288  
TTM Technologies, Inc. *
     199,822       2,598  
Varian, Inc. *
     25,800       1,415  
Watts Water Technologies, Inc., Class A
     137,151       5,139  
Zygo Corp. *
     19,558       279  
 
 
             48,688  
 
Engineering & Construction - 0.5%
                
Dycom Industries, Inc. *
     43,190       1,295  
EMCOR Group, Inc. *
     33,554       2,446  
URS Corp. *
     24,591       1,194  
 
 
             4,935  
 
Entertainment - 1.1%
                
Bluegreen Corp. *
     68,712       803  
Churchill Downs, Inc.
     58,258       3,052  
EQUITY FUNDS      3 NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Entertainment - 1.1% – (continued)
                
Pinnacle Entertainment, Inc. *
     140,582     $ 3,957  
Speedway Motorsports, Inc.
     92,900       3,714  
 
 
             11,526  
 
Environmental Control - 0.2%
                
Metal Management, Inc.
     35,600       1,569  
Waste Industries USA, Inc.
     15,992       546  
 
 
             2,115  
 
Food - 2.2%
                
Flowers Foods, Inc.
     101,875       3,398  
Hain Celestial Group, Inc. *
     133,706       3,629  
Imperial Sugar Co.
     12,349       380  
Lance, Inc.
     49,863       1,175  
Nash Finch Co.
     6,179       306  
Performance Food Group Co. *
     57,858       1,880  
Ralcorp Holdings, Inc. *
     25,857       1,382  
Ruddick Corp.
     261,616       7,880  
Weis Markets, Inc.
     97,308       3,942  
 
 
             23,972  
 
Forest Products & Paper - 0.1%
                
Mercer International, Inc. *
     38,195       390  
Rock-Tenn Co., Class A
     31,886       1,011  
 
 
             1,401  
 
Gas - 1.9%
                
Laclede Group (The), Inc.
     33,441       1,066  
Northwest Natural Gas Co.
     71,367       3,296  
Piedmont Natural Gas Co., Inc.
     90,500       2,231  
South Jersey Industries, Inc.
     92,072       3,258  
Southwest Gas Corp.
     132,791       4,490  
Vectren Corp.
     47,100       1,268  
WGL Holdings, Inc.
     152,800       4,987  
 
 
             20,596  
 
Hand/Machine Tools - 0.8%
                
Hardinge, Inc.
     11,754       400  
Regal-Beloit Corp.
     171,472       7,980  
 
 
             8,380  
 
Healthcare — Products - 1.0%
                
Cantel Medical Corp. *
     10,000       170  
Conmed Corp. *
     108,357       3,173  
Cooper Cos., Inc.
     14,300       762  
Datascope Corp.
     48,020       1,838  
E-Z-Em-Inc. *
     2,600       42  
Haemonetics Corp. of Massachusetts *
     6,500       342  
Merit Medical Systems, Inc. *
     24,800       297  
OraSure Technologies, Inc. *
     11,200       92  
STERIS Corp.
     75,300       2,304  
Symmetry Medical, Inc. *
     31,900       511  
Thoratec Corp. *
     12,600       232  
Vital Signs, Inc.
     12,000       666  
Wright Medical Group, Inc. *
     8,500       205  
Young Innovations, Inc.
     2,200       64  
 
 
             10,698  
 
Healthcare — Services - 3.0%
                
Amedisys, Inc. *
     29,100       1,057  
AMERIGROUP Corp. *
     174,900       4,163  
Amsurg Corp. *
     40,500       978  
Apria Healthcare Group, Inc. *
     44,400       1,277  
Centene Corp. *
     9,600       206  
Genesis HealthCare Corp. *
     31,614       2,163  
Gentiva Health Services, Inc. *
     12,666       254  
Kindred Healthcare, Inc. *
     104,100       3,198  
LifePoint Hospitals, Inc. *
     138,229       5,347  
Magellan Health Services, Inc. *
     138,700       6,445  
Matria Healthcare, Inc. *
     24,200       733  
Molina Healthcare, Inc. *
     32,800       1,001  
National Healthcare Corp.
     11,300       583  
Odyssey HealthCare, Inc. *
     39,309       466  
Option Care, Inc.
     55,157       849  
Res-Care, Inc. *
     91,395       1,932  
Symbion, Inc. *
     39,619       860  
Universal Health Services, Inc., Class B
     17,200       1,058  
 
 
             32,570  
 
Home Builders - 0.3%
                
Lennar Corp., Class B
     70,252       2,470  
Skyline Corp.
     26,613       799  
 
 
             3,269  
 
Home Furnishings - 0.2%
                
Ethan Allen Interiors, Inc.
     40,300       1,380  
Kimball International, Inc., Class B
     66,550       933  
 
 
             2,313  
 
Household Products/Wares - 0.5%
                
American Greetings Corp., Class A
     40,946       1,160  
Blyth, Inc.
     76,588       2,036  
NORTHERN FUNDS QUARTERLY REPORT      4       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP VALUE FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Household Products/Wares - 0.5% – (continued)
                
Ennis, Inc.
     103,799     $ 2,441  
 
 
             5,637  
 
Insurance - 7.4%
                
21st Century Insurance Group
     81,700       1,786  
Alfa Corp.
     164,483       2,561  
Alleghany Corp. *
     3,200       1,301  
American Equity Investment Life Holding Co.
     28,400       343  
American Physicians Capital, Inc. *
     21,643       877  
Argonaut Group, Inc.
     49,731       1,552  
CNA Surety Corp. *
     87,400       1,653  
Commerce Group, Inc.
     146,010       5,069  
Donegal Group, Inc., Class A
     45,565       679  
EMC Insurance Group, Inc.
     28,585       709  
FBL Financial Group, Inc., Class A
     43,950       1,728  
FPIC Insurance Group, Inc. *
     26,349       1,074  
Great American Financial Resources, Inc.
     62,992       1,524  
Hanover Insurance Group (The), Inc.
     23,961       1,169  
Harleysville Group, Inc.
     76,149       2,540  
Horace Mann Educators Corp.
     134,025       2,847  
Independence Holding Co.
     22,504       460  
Infinity Property & Casualty Corp.
     35,476       1,800  
LandAmerica Financial Group, Inc.
     27,423       2,646  
Meadowbrook Insurance Group, Inc. *
     32,030       351  
Midland (The) Co.
     54,431       2,555  
Nationwide Financial Services, Inc., Class A
     23,770       1,503  
Navigators Group, Inc. *
     36,310       1,957  
Presidential Life Corp.
     2,300       45  
ProAssurance Corp. *
     162,470       9,045  
RLI Corp.
     128,700       7,201  
Safety Insurance Group, Inc.
     44,727       1,852  
SeaBright Insurance Holdings, Inc. *
     21,895       383  
Selective Insurance Group, Inc.
     336,299       9,040  
State Auto Financial Corp.
     97,470       2,987  
Stewart Information Services Corp.
     59,505       2,370  
Triad Guaranty, Inc. *
     29,067       1,161  
United America Indemnity Ltd., Class A *
     37,173       924  
United Fire & Casualty Co.
     50,001       1,769  
Unitrin, Inc.
     26,200       1,288  
Universal American Financial Corp. *
     35,587       757  
Zenith National Insurance Corp.
     69,200       3,259  
 
 
             80,765  
 
Internet - 1.7%
                
Authorize.Net Holdings, Inc. *
     13,100       234  
Avocent Corp. *
     63,409       1,839  
Checkfree Corp. *
     40,886       1,644  
Harris Interactive, Inc. *
     323,846       1,733  
iPass, Inc. *
     20,466       111  
RealNetworks, Inc. *
     162,465       1,327  
TIBCO Software, Inc. *
     1,073,693       9,717  
United Online, Inc.
     41,100       678  
Vignette Corp. *
     49,350       946  
 
 
             18,229  
 
Investment Companies - 0.2%
                
MCG Capital Corp.
     161,299       2,584  
Iron/Steel - 0.3%
                
Gibraltar Industries, Inc.
     87,304       1,934  
Schnitzer Steel Industries, Inc., Class A
     20,454       980  
 
 
             2,914  
 
Leisure Time - 0.3%
                
Brunswick Corp.
     42,347       1,382  
Callaway Golf Co.
     77,600       1,382  
Nautilus, Inc.
     33,000       397  
 
 
             3,161  
 
Lodging - 0.2%
                
Marcus Corp.
     111,888       2,659  
Machinery — Diversified - 1.7%
                
Albany International Corp., Class A
     45,364       1,835  
Briggs & Stratton Corp.
     67,760       2,138  
Cascade Corp.
     33,401       2,620  
Cognex Corp.
     26,017       586  
Gehl Co. *
     9,619       292  
Gerber Scientific, Inc. *
     19,700       229  
NACCO Industries, Inc., Class A
     20,883       3,247  
Sauer-Danfoss, Inc.
     211,685       6,300  
Tennant Co.
     21,600       788  
 
 
             18,035  
 
Media - 0.6%
                
Belo Corp., Class A
     140,416       2,891  
Hearst-Argyle Television, Inc.
     44,686       1,077  
Journal Communications, Inc., Class A
     132,502       1,724  
Scholastic Corp. *
     32,004       1,150  
 
 
             6,842  
 
EQUITY FUNDS       5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Metal Fabrication/Hardware - 1.9%
                
CIRCOR International, Inc.
     67,345     $ 2,723  
Lawson Products, Inc.
     21,545       834  
Mueller Industries, Inc.
     18,111       623  
Quanex Corp.
     154,581       7,528  
Worthington Industries, Inc.
     430,661       9,324  
 
 
             21,032  
 
Mining - 0.3%
                
Coeur D’alene Mines Corp. *
     293,341       1,053  
USEC, Inc. *
     119,908       2,636  
 
 
             3,689  
 
Miscellaneous Manufacturing - 2.2%
                
Ameron International Corp.
     45,605       4,113  
Aptargroup, Inc.
     124,800       4,438  
Barnes Group, Inc.
     18,300       580  
ESCO Technologies, Inc. *
     23,518       853  
Federal Signal Corp.
     69,193       1,097  
Griffon Corp. *
     105,861       2,306  
Lancaster Colony Corp.
     14,800       620  
Myers Industries, Inc.
     92,099       2,036  
Smith (A.O.) Corp.
     173,623       6,926  
Standex International Corp.
     49,773       1,415  
 
 
             24,384  
 
Oil & Gas - 2.8%
                
Bill Barrett Corp. *
     60,801       2,239  
Brigham Exploration Co. *
     62,900       369  
Callon Petroleum Co. *
     7,287       103  
Comstock Resources, Inc. *
     28,308       848  
Edge Petroleum Corp. *
     47,000       658  
Encore Acquisition Co. *
     151,404       4,209  
Forest Oil Corp. *
     154,280       6,520  
Grey Wolf, Inc. *
     183,728       1,514  
Petrohawk Energy Corp. *
     223,939       3,552  
Pogo Producing Co.
     27,302       1,387  
Sunsco Logistics Partners L.P.
     20,600       1,238  
Swift Energy Co. *
     120,994       5,174  
Toreador Resources Corp. *
     27,384       411  
Whiting Petroleum Corp. *
     50,814       2,059  
 
 
             30,281  
 
Oil & Gas Services - 1.8%
                
Allis-Chalmers Energy, Inc. *
     36,456       838  
Gulf Island Fabrication, Inc.
     8,100       281  
Horizon Offshore, Inc. *
     29,600       568  
Hornbeck Offshore Services, Inc. *
     61,842       2,397  
Oil States International, Inc. *
     251,527       10,398  
SEACOR Holdings, Inc. *
     11,398       1,064  
Trico Marine Services, Inc. *
     15,718       643  
Universal Compression Holdings, Inc. *
     46,800       3,392  
 
 
             19,581  
 
Packaging & Containers - 0.5%
                
Greif, Inc., Class A
     84,234       5,021  
Pharmaceuticals - 1.2%
                
Alpharma, Inc., Class A
     131,500       3,420  
Bradley Pharmaceuticals, Inc. *
     33,300       723  
Hi-Tech Pharmacal Co., Inc. *
     2,800       34  
Neogen Corp. *
     2,300       66  
Nutraceutical International Corp. *
     30,600       507  
Perrigo Co.
     200,784       3,931  
Salix Pharmaceuticals Ltd. *
     42,700       525  
Sciele Pharma, Inc. *
     40,300       950  
Viropharma, Inc. *
     190,796       2,633  
 
 
             12,789  
 
Pipelines - 0.0%
                
Kinder Morgan Management LLC (Fractional Shares) *
     15,147       —  
TC Pipelines LP
     6,398       252  
 
 
             252  
 
Real Estate - 0.2%
                
Avatar Holdings, Inc. *
     15,318       1,178  
Stratus Properties, Inc. *
     4,516       156  
W.P. Carey & Co. LLC
     28,900       909  
 
 
             2,243  
 
Real Estate Investment Trusts - 5.7%
                
Acadia Realty Trust
     24,523       636  
Alesco Financial, Inc.
     50,200       408  
American Land Lease, Inc.
     26,088       652  
Anthracite Capital, Inc.
     254,259       2,975  
BioMed Realty Trust, Inc.
     77,600       1,949  
BRT Realty Trust
     11,650       303  
Capital Trust, Inc. of New York, Class A
     50,951       1,740  
Cedar Shopping Centers, Inc.
     50,900       731  
EastGroup Properties, Inc.
     18,265       800  
Entertainment Properties Trust
     31,166       1,676  
Equity Inns, Inc.
     64,600       1,447  
First Potomac Realty Trust
     28,300       659  
NORTHERN FUNDS QUARTERLY REPORT      6       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP VALUE FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Real Estate Investment Trusts - 5.7% – (continued)
                
Gramercy Capital Corp. of New York
     22,000     $ 606  
Highland Hospitality Corp.
     70,900       1,361  
Home Properties, Inc.
     15,600       810  
Inland Real Estate Corp.
     76,100       1,292  
Innkeepers USA Trust
     51,900       920  
Investors Real Estate Trust
     47,936       495  
LTC Properties, Inc.
     103,400       2,352  
National Health Investors, Inc.
     94,276       2,991  
National Retail Properties, Inc.
     151,927       3,321  
Newcastle Investment Corp.
     206,286       5,172  
NorthStar Realty Finance Corp.
     64,628       809  
Parkway Properties, Inc. of Maryland
     31,042       1,491  
Pennsylvania Real Estate Investment Trust
     89,900       3,985  
Potlatch Corp.
     45,700       1,967  
RAIT Financial Trust
     243,535       6,337  
Ramco-Gershenson Properties
     19,981       718  
Realty Income Corp.
     119,300       3,005  
Redwood Trust, Inc.
     79,571       3,850  
Senior Housing Properties Trust
     167,183       3,402  
Sovran Self Storage, Inc.
     20,961       1,010  
Universal Health Realty Income Trust
     46,100       1,535  
Winston Hotels, Inc.
     34,700       521  
Winthrop Realty Trust
     99,900       690  
 
 
             62,616  
 
Retail - 6.3%
                
Asbury Automotive Group, Inc.
     56,426       1,408  
Bob Evans Farms, Inc.
     79,916       2,945  
Bon-Ton Stores (The), Inc.
     10,200       409  
Brown Shoe Co., Inc.
     123,383       3,001  
Buckle (The), Inc.
     53,534       2,109  
Cabela’s, Inc. *
     64,425       1,426  
Cash America International, Inc.
     79,583       3,155  
CBRL Group, Inc.
     45,700       1,941  
Charlotte Russe Holding, Inc. *
     73,339       1,971  
Charming Shoppes, Inc. *
     536,455       5,810  
Fred’s, Inc.
     83,155       1,113  
Guitar Center, Inc. *
     9,800       586  
Insight Enterprises, Inc. *
     135,083       3,049  
Kenneth Cole Productions, Inc., Class A
     27,208       672  
Landry’s Restaurants, Inc.
     100,123       3,030  
Longs Drug Stores Corp.
     28,300       1,486  
Luby’s, Inc. *
     92,992       898  
MarineMax, Inc. *
     63,903       1,279  
Men’s Wearhouse, Inc.
     26,301       1,343  
Movado Group, Inc.
     42,599       1,437  
O’Charleys, Inc.
     13,670       275  
Pantry (The), Inc. *
     43,792       2,019  
PC Connection, Inc. *
     37,389       495  
Regis Corp.
     146,693       5,611  
Rush Enterprises, Inc., Class A *
     19,362       420  
Shoe Carnival, Inc. *
     27,744       763  
Sonic Automotive, Inc., Class A
     64,648       1,873  
Stage Stores, Inc.
     202,754       4,250  
Steak n Shake (The) Co. *
     70,380       1,175  
Stein Mart, Inc.
     64,953       796  
Systemax, Inc.
     57,454       1,196  
Talbots, Inc.
     47,700       1,194  
United Auto Group, Inc. *
     263,859       5,617  
Zale Corp. *
     161,396       3,843  
 
 
             68,595  
 
Savings & Loans - 2.8%
                
Anchor BanCorp Wisconsin, Inc.
     27,200       713  
Citizens First Bancorp, Inc.
     4,688       102  
Dime Community Bancshares
     68,256       900  
Downey Financial Corp.
     110,966       7,322  
First Defiance Financial Corp.
     20,825       621  
First Place Financial Corp. of Ohio
     32,392       684  
FirstFed Financial Corp. *
     121,605       6,899  
Flagstar Bancorp, Inc.
     14,200       171  
Flushing Financial Corp.
     60,351       969  
MAF Bancorp, Inc.
     59,698       3,239  
Partners Trust Financial Group, Inc.
     11,945       126  
PFF Bancorp, Inc.
     72,439       2,023  
Provident Financial Holdings, Inc.
     3,243       81  
Provident New York Bancorp
     20,073       271  
TierOne Corp.
     37,221       1,120  
United Community Financial Corp. of Ohio
     228,597       2,282  
Washington Federal, Inc.
     106,796       2,596  
Willow Grove Bancorp, Inc.
     7,846       102  
 
 
             30,221  
 
Semiconductors - 2.8%
                
Actel Corp. *
     35,900       499  
ATMI, Inc. *
     17,000       510  
Axcelis Technologies, Inc. *
     106,726       693  
EQUITY FUNDS      7       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.6% – CONTINUED
                
Semiconductors - 2.8% – (continued)
                
Brooks Automation, Inc. *
     68,500     $ 1,243  
Cohu, Inc.
     36,000       801  
Cree, Inc. *
     115,539       2,987  
DSP Group, Inc. *
     89,041       1,823  
Emulex Corp. *
     119,300       2,606  
Entegris, Inc. *
     171,315       2,035  
Fairchild Semiconductor International, Inc. *
     57,812       1,117  
International Rectifier Corp. *
     33,891       1,263  
Lattice Semiconductor Corp. *
     103,800       594  
Mattson Technology, Inc. *
     139,140       1,350  
MKS Instruments, Inc. *
     279,357       7,738  
Omnivision Technologies, Inc. *
     24,000       435  
Photronics, Inc. *
     23,600       351  
Rudolph Technologies, Inc. *
     8,786       146  
Semitool, Inc. *
     19,073       183  
Silicon Image, Inc. *
     79,400       681  
Standard Microsystems Corp. *
     52,166       1,791  
TriQuint Semiconductor, Inc. *
     133,248       674  
Veeco Instruments, Inc. *
     32,837       681  
 
 
             30,201  
 
Software - 1.4%
                
Digi International, Inc. *
     39,733       586  
EPIQ Systems, Inc. *
     102,916       1,663  
Inter-Tel, Inc.
     28,130       673  
JDA Software Group, Inc. *
     117,662       2,310  
Lawson Software, Inc. *
     671,230       6,638  
Mantech International Corp., Class A *
     14,800       456  
MSC.Software Corp. *
     15,300       207  
Packeteer, Inc. *
     37,854       296  
Quest Software, Inc. *
     86,800       1,405  
Schawk, Inc.
     42,383       849  
SYNNEX Corp. *
     16,900       348  
 
 
             15,431  
 
Telecommunications - 2.7%
                
Aeroflex, Inc. *
     387,047       5,484  
Anaren, Inc. *
     25,153       443  
Arris Group, Inc. *
     50,623       890  
Atlantic Tele-Network, Inc.
     5,961       171  
Black Box Corp.
     26,000       1,076  
CT Communications, Inc.
     138,667       4,231  
EMS Technologies, Inc. *
     25,985       573  
Foundry Networks, Inc. *
     172,200       2,869  
Golden Telecom, Inc.
     120,789       6,645  
Hypercom Corp. *
     56,125       332  
Iowa Telecommunications Services, Inc.
     16,344       372  
Oplink Communications, Inc. *
     23,415       351  
Premiere Global Services, Inc. *
     174,822       2,276  
RF Micro Devices, Inc. *
     174,713       1,090  
SureWest Communications
     11,391       310  
Symmetricom, Inc. *
     27,400       230  
Syniverse Holdings, Inc. *
     71,731       923  
Tekelec *
     50,795       732  
USA Mobility, Inc. *
     28,765       770  
 
 
             29,768  
 
Textiles - 0.6%
                
G&K Services, Inc., Class A
     89,134       3,522  
Unifirst Corp. of Massachusetts
     78,986       3,479  
 
 
             7,001  
 
Toys, Games & Hobbies - 0.6%
                
Jakks Pacific, Inc. *
     74,621       2,100  
RC2 Corp. *
     99,306       3,973  
 
 
             6,073  
 
Transportation - 1.7%
                
Alexander & Baldwin, Inc.
     32,300       1,715  
Arkansas Best Corp.
     84,532       3,294  
Genesee & Wyoming, Inc., Class A *
     86,574       2,583  
Gulfmark Offshore, Inc. *
     45,516       2,331  
Marten Transport Ltd. *
     50,948       918  
P.A.M. Transportation Services, Inc. *
     4,900       90  
Saia, Inc. *
     64,032       1,746  
U.S. Xpress Enterprises, Inc., Class A *
     9,842       183  
USA Truck, Inc. *
     4,400       73  
Werner Enterprises, Inc.
     281,757       5,677  
 
 
             18,610  
 
Trucking & Leasing - 0.2%
                
Greenbrier Cos., Inc.
     16,907       511  
Interpool, Inc.
     70,237       1,889  
 
 
             2,400  
 
Total Common Stocks
                
 
(Cost $911,036)
             1,030,359  
NORTHERN FUNDS QUARTERLY REPORT       8       EQUITY FUNDS

 

Table of Contents

EQUITY FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP VALUE FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
OTHER - 0.0%
                
Escrow DLB Oil & Gas *
     2,100     $ —  
 
Total Other
                
 
(Cost $-)
             —  
 
                
WARRANTS - 0.0%
                
American Banknote Corp., Exp. 10/1/07, Strike $10.00 *
     9       —  
American Banknote Corp., Exp. 10/1/07, Strike $12.50 *
     9       —  
American Satellite Network *
     255       —  
 
Total Warrants
                
 
(Cost $-)
             —  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 3.9%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 39,709       39,709  
U.S. Treasury Bill,
5.01%, 8/9/07
     2,600       2,586  
Total Short-Term Investments
                
(Cost $42,295)
             42,295  
 
                
Total Investments - 98.5%
                
(Cost $953,331)
             1,072,654  
Other Assets less Liabilities - 1.5%
             16,985  
 
NET ASSETS - 100.0%
           $ 1,089,639  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
At June 30, 2007, the Small Cap Value Fund had open futures contracts as follows:
                                         
            NOTIONAL                   UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   LOSS
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
E-Mini Russell
2000
     376     $ 31,663     Long     6/07     $ (164 )
 
                                        
E-Mini S&P
500
     197       14,927     Long     6/07       (40 )
Total
                                   $ (204 )
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 953,331  
 
Gross tax appreciation of investments
   $ 142,805  
Gross tax depreciation of investments
     (23,482 )
 
Net tax appreciation of investments
   $ 119,323  
 
EQUITY FUNDS       9       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY FUNDS
    SCHEDULE OF INVESTMENTS
    TECHNOLOGY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8%
                
Aerospace/Defense - 3.5%
                
Lockheed Martin Corp.
     30,920     $ 2,910  
Raytheon Co.
     40,427       2,179  
 
 
             5,089  
 
Biotechnology - 5.4%
                
Amgen, Inc. *
     23,900       1,321  
Biogen Idec, Inc. *
     75,000       4,013  
Celgene Corp. *
     44,843       2,571  
 
 
             7,905  
 
Commercial Services - 4.8%
                
Accenture Ltd., Class A
     72,607       3,114  
Forrester Research, Inc. *
     66,900       1,882  
Gartner, Inc. *
     82,850       2,037  
 
 
             7,033  
 
Computers - 23.2%
                
Apple, Inc. *
     34,880       4,257  
Brocade Communications Systems, Inc. *
     326,519       2,553  
Cadence Design Systems, Inc. *
     175,800       3,861  
Dell, Inc. *
     100,859       2,880  
Electronic Data Systems Corp.
     96,100       2,665  
Hewlett-Packard Co.
     120,695       5,385  
IBM Corp.
     44,239       4,656  
Mentor Graphics Corp. *
     158,036       2,081  
Micros Systems, Inc. *
     70,058       3,811  
Western Digital Corp. *
     92,800       1,796  
 
 
             33,945  
 
Electronics - 1.3%
                
Waters Corp. *
     31,833       1,890  
 
Healthcare — Products - 4.6%
                
Alcon, Inc.
     17,700       2,388  
Medtronic, Inc.
     41,175       2,135  
Zimmer Holdings, Inc. *
     25,880       2,197  
 
 
             6,720  
 
Internet - 9.8%
                
Digital River, Inc. *
     58,632       2,653  
eBay, Inc. *
     78,375       2,522  
j2 Global Communications, Inc. *
     42,828       1,495  
McAfee, Inc. *
     67,800       2,386  
TIBCO Software, Inc. *
     161,100       1,458  
VeriSign, Inc. *
     120,270       3,816  
 
 
             14,330  
 
Pharmaceuticals - 1.2%
                
Pharmion Corp. *
     63,867       1,849  
 
Semiconductors - 16.0%
                
ASML Holding N.V. *
     80,013       2,196  
Emulex Corp. *
     164,400       3,590  
Intersil Corp., Class A
     48,843       1,537  
Lam Research Corp. *
     27,400       1,408  
MEMC Electronic Materials, Inc. *
     24,600       1,504  
National Semiconductor Corp.
     75,376       2,131  
ON Semiconductor Corp. *
     203,512       2,182  
Taiwan Semiconductor Manufacturing Co. Ltd. ADR
    389,999       4,341  
Tessera Technologies, Inc. *
     39,375       1,597  
Texas Instruments, Inc.
     80,584       3,032  
 
 
             23,518  
 
Software - 15.7%
                
Adobe Systems, Inc. *
     34,900       1,401  
Autodesk, Inc. *
     63,584       2,994  
Automatic Data Processing, Inc.
     64,000       3,102  
BMC Software, Inc. *
     82,384       2,496  
Cognos, Inc. *
     45,025       1,786  
Fiserv, Inc. *
     25,441       1,445  
Microsoft Corp.
     157,796       4,650  
Oracle Corp. *
     260,800       5,141  
 
 
             23,015  
 
Telecommunications - 12.3%
                
Amdocs Ltd. *
     74,809       2,979  
Arris Group, Inc. *
     220,000       3,870  
Cisco Systems, Inc. *
     203,559       5,669  
Nokia OYJ ADR
     195,521       5,496  
 
 
             18,014  
 
Total Common Stocks
                
 
(Cost $120,637)
             143,308  
EQUITY FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT- 1.8%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 2,671     $ 2,671  
 
Total Short-Term Investment
                
 
(Cost $2,671)
             2,671  
 
                
 
Total Investments - 99.6%
                
 
(Cost $123,308)
             145,979  
Other Assets less Liabilities - 0.4%
             594  
 
NET ASSETS - 100.0%
           $ 146,573  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 123,308  
 
Gross tax appreciation of investments
   $ 23,762  
Gross tax depreciation of investments
     (1,091 )
 
Net tax appreciation of investments
   $ 22,671  
 
NORTHERN FUNDS QUARTERLY REPORT     2     EQUITY FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
    SCHEDULE OF INVESTMENTS
    GLOBAL REAL ESTATE INDEX FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.6%
                
Australia - 11.9%
                
Abacus Property Group NPV
     623,895     $ 1,047  
Australand Property Group
     504,697       911  
Babcock & Brown Japan Property Trust
     532,202       799  
Bunnings Warehouse Property Trust
     316,465       620  
Centro Properties Group
     947,216       6,826  
Centro Retail Group
     1,234,027       1,773  
Centro Shopping America Trust *
     1,124,064       1,148  
CFS Retail Property Trust
     1,782,237       3,248  
Commonwealth Property Office Fund
     1,811,690       2,573  
DB RREEF Trust
     3,232,808       5,385  
FKP Property Group
     290,947       1,801  
GPT Group
     2,286,172       9,032  
ING Industrial Fund
     1,236,775       2,453  
ING Office Fund
     1,335,023       1,981  
Investa Property Group
     1,705,787       4,223  
Macquarie CountryWide Trust
     1,469,568       2,517  
Macquarie DDR Trust
     1,010,686       1,075  
Macquarie Goodman Group
     1,869,909       10,653  
Macquarie Office Trust
     2,215,457       3,137  
Macquarie ProLogis Trust
     943,574       1,144  
Mirvac Group
     1,132,907       5,475  
Multiplex Group
     707,192       2,950  
Stockland
     7,095       53  
Stockland — New
     1,546,811       10,688  
Sunland Group Ltd.
     260,116       900  
Tishman Speyer Office Fund
     369,603       743  
Valad Property Group
     1,563,251       2,631  
Westfield Group
     1,978,248       33,476  
 
 
             119,262  
 
Austria - 2.0%
                
CA Immobilien Anlagen A.G. *
     97,687       2,884  
Conwert Immobilien Invest A.G. *
     95,000       1,839  
Immoeast A.G. *
     467,072       6,619  
IMMOFINANZ A.G. *
     501,215       7,334  
Sparkassen Immobilien A.G. *
     72,934       1,042  
 
 
             19,718  
 
Belgium - 0.4%
                
Befimmo SCA Sicafi
     14,441       1,476  
Cofinimmo S.A.
     8,892       1,697  
Intervest Offices
     7,258       285  
Leasinvest Real Estate SCA
     2,014       213  
Warehouses De Pauw SCA
     7,009       452  
Wereldhave Belgium N.V.
     2,275       176  
 
 
             4,299  
 
Bermuda - 0.3%
                
Orient-Express Hotels Ltd.
     47,643       2,544  
 
Canada - 2.7%
                
Allied Properties Real Estate Investment Trust
     26,278       532  
Boardwalk Real Estate Investment Trust
     57,765       2,638  
Calloway Real Estate Investment Trust
     84,098       1,985  
Canadian Apartment Properties Real Estate Investment Trust
     66,520       1,220  
Canadian Hotel Income Properties REIT
     39,087       569  
Canadian Real Estate Investment Trust
     64,900       1,775  
Chartwell Seniors Housing Real Estate Investment Trust
     100,800       1,418  
Cominar Real Estate Investment Trust
     49,543       1,002  
Dundee Real Estate Investment Trust
     45,967       1,985  
Extendicare Real Estate Investment Trust
     67,109       986  
H&R Real Estate Investment Trust
     150,561       3,243  
InnVest Real Estate Investment Trust
     60,800       699  
Legacy Hotels Real Estate Investment Trust
     128,895       1,440  
Morguard Real Estate Investment Trust
     48,900       640  
Northern Property Real Estate Investment Trust
     19,300       418  
Primaris Retail Real Estate Investment Trust
     63,292       1,158  
RioCan Real Estate Investment Trust
     231,712       5,145  
 
 
             26,853  
 
Cayman Islands - 0.3%
                
Shimao Property Holdings Ltd.
     1,469,500       3,286  
 
Denmark - 0.1%
                
Keops A/S *
     56,051       242  
TK Development *
     31,221       724  
 
 
             966  
 
Finland - 0.3%
                
Citycon OYJ
     160,327       1,035  
Sponda OYJ
     92,912       1,355  
Technopolis PLC
     43,313       408  
 
 
             2,798  
 
France - 3.7%
                
Acanthe Developpement S.A.
     45,493       209  
Affine S.A.
     1,424       270  
Fonciere Des Regions
     15,881       2,333  
Gecina S.A.
     13,926       2,338  
Icade
     29,788       2,310  
EQUITY INDEX FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.6% — CONTINUED
                
France - 3.7% — (continued)
                
Klepierre
     25,684     $ 4,378  
Mercialys
     32,468       1,123  
Societe de la Tour Eiffel
     5,645       833  
Societe Immobiliere de Location pour l’Industrie et le Commerce
     14,481       2,342  
Unibail — Rodamco
     82,412       21,212  
 
 
             37,348  
 
Germany - 0.9%
                
Alstria Office A.G. *
     29,972       619  
Colonia Real Estate A.G. *
     24,160       1,020  
Deutsche Euroshop A.G.
     19,123       1,359  
Deutsche Wohnen A.G.
     20,782       1,079  
IVG Immobilien A.G.
     96,648       3,784  
Patrizia Immobilien AG
     28,036       498  
Vivacon A.G.
     21,002       849  
 
 
             9,208  
 
Greece - 0.2%
                
Babis Vovos International Construction S.A. *
     28,507       922  
Eurobank Properties Real Estate Investment Co.
     7,430       163  
Lamda Development S.A.
     14,290       303  
 
 
             1,388  
 
Guernsey - 0.3%
                
Assura Group Ltd.
     260,871       1,045  
Invista Foundation Property Trust Ltd.
     402,597       962  
Mapeley Ltd.
     12,965       730  
 
 
             2,737  
 
Hong Kong - 9.1%
                
Agile Property Holdings Ltd.
     1,650,000       2,161  
Champion REIT
     1,465,000       839  
China Overseas Land & Investment Ltd.
     3,945,000       6,156  
China Resources Land Ltd.
     1,656,000       2,504  
Great Eagle Holdings Ltd.
     330,625       1,149  
Hang Lung Properties Ltd.
     2,319,000       7,994  
Henderson Land Development Co. Ltd.
     871,000       5,932  
Hongkong Land Holdings Ltd.
     1,927,000       8,671  
Hopson Development Holdings Ltd.
     424,000       1,190  
Hysan Development Co. Ltd.
     867,000       2,307  
Kerry Properties Ltd.
     579,301       3,638  
Kowloon Development Co. Ltd.
     633,500       1,266  
Link REIT (The)
     2,385,000       5,277  
New World China Land Ltd.
     1,252,000       1,065  
New World Development Ltd.
     3,100,000       7,756  
Shenzhen Investment Ltd.
     1,544,000       1,169  
Shui On Land Ltd.
     1,363,000       1,222  
Sino Land Co.
     2,574,000       5,360  
Sun Hung Kai Properties Ltd.
     2,088,000       25,131  
 
 
             90,787  
 
Italy - 0.4%
                
Aedes S.p.A.
     81,075       608  
Beni Stabili S.p.A.
     1,461,817       2,139  
Immobiliare Grande Distribuzione
     134,544       553  
Risanamento S.p.A. *
     122,120       902  
 
 
             4,202  
 
Japan - 12.6%
                
Aeon Mall Co. Ltd.
     24,700       761  
Daibiru Corp.
     60,100       835  
Diamond City Co. Ltd.
     31,400       760  
Goldcrest Co Ltd.
     14,640       750  
Heiwa Real Estate Co. Ltd.
     153,500       1,125  
Japan Prime Realty Investment Corp.
     695       2,716  
Japan Real Estate Investment Corp.
     463       5,455  
Japan Retail Fund Investment Corp.
     439       3,816  
Kenedix Realty Investment Corp.
     224       1,680  
Mitsubishi Estate Co Ltd.
     1,151,000       31,328  
Mitsui Fudosan Co. Ltd.
     987,000       27,747  
Mori Trust Sogo REIT, Inc.
     82       933  
Nippon Building Fund, Inc.
     569       7,905  
Nippon Commercial Investment Corp.
     293       1,276  
Nomura Real Estate Office Fund, Inc.
     299       3,231  
NTT Urban Development Corp.
     1,482       2,878  
Orix JREIT, Inc.
     256       2,042  
Premier Investment Co.
     105       1,015  
Shoei Co. Ltd.
     31,560       663  
Sumitomo Realty & Development Co. Ltd.
     534,000       17,442  
TOC Co. Ltd.
     106,500       1,099  
Tokyo Tatemono Co. Ltd.
     270,000       3,372  
Tokyu Land Corp.
     449,000       4,790  
Tokyu REIT, Inc.
     140       1,354  
United Urban Investment Corp.
     182       1,371  
 
 
             126,344  
 
Luxembourg - 0.1%
                
GAGFAH S.A.
     50,307       1,100  
 
Netherlands - 1.9%
                
Corio N.V.
     75,165       5,919  
NORTHERN FUNDS QUARTERLY REPORT     2     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
    SCHEDULE OF INVESTMENTS
    GLOBAL REAL ES TATE INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.6% — CONTINUED
                
Netherlands - 1.9% — (continued)
                
Eurocommercial Properties N.V. — CVA
     39,480     $ 2,048  
Nieuwe Steen Investments Funds N.V.
     39,255       1,106  
Plaza Centers N.V. *
     120,129       482  
Rodamco Europe N.V.
     29,927       4,019  
Vastned Offices/Industrial
     23,318       865  
Vastned Retail N.V.
     18,406       1,610  
Wereldhave N.V.
     23,241       3,255  
 
 
             19,304  
 
New Zealand - 0.1%
                
Kiwi Income Property Trust
     776,330       987  
 
Norway - 0.1%
                
Norwegian Property ASA
     80,122       1,002  
 
Poland - 0.2%
                
Globe Trade Centre S.A. *
     121,056       2,120  
 
Singapore - 2.7%
                
Allgreen Properties Ltd.
     860,000       1,175  
Ascendas Real Estate Investment Trust
     1,449,000       2,784  
CapitaCommercial Trust
     1,160,000       2,221  
CapitaLand Ltd.
     1,559,000       8,252  
CapitaMall Trust
     1,308,000       3,607  
Guocoland Ltd.
     355,000       1,127  
Keppel Land Ltd.
     403,000       2,304  
Mapletree Logistics Trust
     899,000       834  
Singapore Land Ltd.
     177,000       1,319  
Suntec Real Estate Investment Trust
     1,608,000       2,038  
Wing Tai Holdings Ltd.
     591,000       1,537  
 
 
             27,198  
 
Spain - 0.1%
                
Renta Corp Real Estate S.A.
     10,600       416  
 
Sweden - 0.9%
                
Castellum AB
     191,541       2,318  
Fabege AB
     223,012       2,462  
Hufvudstaden AB
     89,990       1,039  
Klovern AB
     133,518       531  
Kungsleden AB
     152,717       1,915  
Wihlborgs Fastigheter AB
     42,531       754  
 
 
             9,019  
 
Switzerland - 0.5%
                
Allreal Holding A.G. (Registered)
     5,247       590  
PSP Swiss Property A.G. (Registered) *
     52,395       2,943  
Swiss Prime Site AG * (Registered)
     21,498       1,257  
Zueblin Immobilien Holding A.G. (Registered) *
     35,159       343  
 
 
             5,133  
 
United Kingdom - 8.6%
                
Big Yellow Group PLC
     95,089       1,004  
British Land Co. PLC
     579,438       15,590  
Brixton PLC
     300,475       2,646  
Capital & Regional PLC
     81,705       1,908  
CLS Holdings PLC *
     60,846       721  
Daejan Holdings
     5,025       402  
Derwent London PLC
     112,323       4,138  
Development Securities PLC
     42,825       523  
Freeport PLC *
     37,047       250  
Grainger Plc
     109,868       1,245  
Great Portland Estates PLC
     202,676       2,696  
Hammerson PLC
     325,026       9,359  
Helical Bar PLC
     107,143       996  
Land Securities Group PLC
     525,976       18,408  
Liberty International PLC
     405,991       9,334  
Marylebone Warwick Balfour Group PLC *
     39,233       216  
Minerva PLC *
     178,164       1,265  
Mucklow (A&J) Group PLC
     23,663       195  
Primary Health Properties PLC
     31,531       259  
Quintain Estates & Development PLC
     145,004       2,360  
Sergo PLC
     525,343       6,593  
Shaftesbury PLC
     148,887       1,764  
St. Modwen Properties PLC
     102,746       1,215  
Unite Group PLC
     139,582       1,128  
Workspace Group PLC
     195,089       1,568  
 
 
             85,783  
 
United States - 38.2%
                
Acadia Realty Trust
     32,596       846  
Affordable Residential Communities, Inc. *
     39,370       465  
Agree Realty Corp.
     5,474       171  
Alexander’s, Inc. *
     2,035       823  
Alexandria Real Estate Equities, Inc.
     33,457       3,239  
AMB Property Corp.
     111,370       5,927  
American Campus Communities, Inc.
     22,541       638  
American Financial Realty Trust
     144,990       1,496  
Apartment Investment & Management Co.
     102,974       5,192  
Archstone-Smith Trust
     251,254       14,852  
Ashford Hospitality Trust, Inc.
     141,770       1,667  
Associated Estates Realty Corp.
     14,239       222  
EQUITY INDEX FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.6% — CONTINUED
                
United States - 38.2% — (continued)
                
AvalonBay Communities, Inc.
     88,775     $ 10,554  
BioMed Realty Trust, Inc.
     76,170       1,913  
Boston Properties, Inc.
     134,125       13,698  
Brandywine Realty Trust
     99,845       2,854  
BRE Properties, Inc.
     56,696       3,361  
Brookfield Properties Corp.
     334,228       8,155  
Camden Property Trust
     64,231       4,302  
CBL & Associates Properties, Inc.
     74,064       2,670  
Cedar Shopping Centers, Inc.
     43,501       624  
Colonial Properties Trust
     52,414       1,910  
Corporate Office Properties Trust SBI MD
     53,461       2,192  
Corrections Corp. of America *
     69,141       4,363  
Cousins Properties, Inc.
     44,601       1,294  
Crescent Real Estate EQT Co.
     117,919       2,646  
DCT Industrial Trust, Inc.
     190,599       2,051  
Developers Diversified Realty Corp.
     141,012       7,433  
DiamondRock Hospitality Co.
     108,396       2,068  
Digital Realty Trust, Inc.
     68,625       2,586  
Douglas Emmett Inc.
     64,593       1,598  
Duke Realty Corp.
     154,240       5,502  
EastGroup Properties, Inc.
     24,618       1,079  
Education Realty Trust, Inc.
     25,290       355  
Entertainment Properties Trust
     30,315       1,630  
Equity Inns, Inc.
     58,090       1,301  
Equity Lifestyle Properties, Inc.
     28,110       1,467  
Equity One, Inc.
     38,133       974  
Equity Residential
     328,249       14,978  
Essex Property Trust, Inc.
     27,908       3,246  
Extra Space Storage, Inc.
     66,890       1,104  
Federal Realty Investment Trust
     63,729       4,924  
FelCor Lodging Trust, Inc.
     70,740       1,841  
First Industrial Realty Trust, Inc.
     51,692       2,004  
First Potomac Realty Trust
     23,447       546  
Forest City Enterprises, Inc.
     86,821       5,338  
General Growth Properties, Inc.
     276,259       14,628  
Getty Realty Corp.
     17,285       454  
Glimcher Realty Trust
     38,581       964  
GMH Communities Trust
     37,670       365  
Health Care Property Investors, Inc.
     231,023       6,683  
Health Care REIT, Inc.
     90,312       3,645  
Healthcare Realty Trust, Inc.
     52,702       1,464  
Hersha Hospitality Trust
     39,180       463  
Highland Hospitality Corp.
     71,342       1,370  
Highwoods Properties, Inc.
     64,458       2,417  
Home Properties, Inc.
     38,047       1,976  
Hospitality Properties Trust
     106,618       4,424  
Host Hotels & Resorts, Inc.
     590,649       13,656  
HRPT Properties Trust
     238,353       2,479  
Inland Real Estate Corp.
     68,233       1,159  
Innkeepers USA Trust
     49,013       869  
Investors Real Estate Trust
     46,626       482  
Kilroy Realty Corp.
     37,241       2,638  
Kimco Realty Corp.
     281,865       10,731  
Kite Realty Group Trust
     27,170       517  
LaSalle Hotel Properties
     44,747       1,943  
Lexington Realty Trust
     74,770       1,555  
Liberty Property Trust
     104,455       4,589  
LTC Properties, Inc.
     22,257       506  
Macerich (The) Co.
     80,722       6,653  
Mack-Cali Realty Corp.
     76,580       3,330  
Maguire Properties, Inc.
     53,390       1,833  
Medical Properties Trust, Inc.
     51,015       675  
Mid-America Apartment Communities, Inc.
     28,014       1,470  
National Healthcare Corp.
     9,710       501  
National Retail Properties, Inc.
     75,174       1,643  
Nationwide Health Properties, Inc.
     101,086       2,749  
Omega Healthcare Investors, Inc.
     69,098       1,094  
Parkway Properties, Inc.
     15,935       765  
Pennsylvania Real Estate Investment Trust
     42,864       1,900  
Post Properties, Inc.
     49,929       2,603  
Prologis
     288,650       16,424  
PS Business Parks, Inc.
     16,537       1,048  
Public Storage
     144,090       11,069  
Ramco-Gershenson Properties
     17,460       627  
Realty Income Corp.
     114,320       2,880  
Regency Centers Corp.
     77,690       5,477  
Republic Property Trust
     22,523       276  
Saul Centers, Inc.
     13,001       590  
Senior Housing Properties Trust
     92,617       1,885  
Simon Property Group, Inc.
     251,288       23,380  
SL Green Realty Corp.
     66,026       8,180  
Sovran Self Storage, Inc.
     21,361       1,029  
Spirit Finance Corp.
     131,073       1,908  
Strategic Hotels & Resorts, Inc.
     85,370       1,920  
NORTHERN FUNDS QUARTERLY REPORT     4     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
    SCHEDULE OF INVESTMENTS
    GLOBAL REAL ESTATE INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.6% — CONTINUED
                
United States - 38.2% — (continued)
                
Sun Communities, Inc.
     17,909     $ 533  
Sunstone Hotel Investors, Inc.
     71,250       2,023  
Tanger Factory Outlet Centers
     32,900       1,232  
Taubman Centers, Inc.
     45,232       2,244  
U-Store-It Trust
     58,790       964  
UDR, Inc.
     153,846       4,046  
Universal Health Realty Income Trust
     10,714       357  
Urstadt Biddle Properties, Inc.
     16,149       275  
Ventas, Inc.
     150,225       5,446  
Vornado Realty Trust
     169,983       18,671  
Washington Real Estate Investment Trust
     49,949       1,698  
Weingarten Realty Investors
     97,807       4,020  
Winston Hotels, Inc.
     26,932       404  
Winthrop Realty Trust
     43,710       302  
 
 
             382,200  
 
Total Common Stocks
                
 
(Cost $1,026,761)
             986,002  
INVESTMENT COMPANIES - 0.6%
                
F&C Commercial Property Trust Ltd.
     325       810  
ING UK Real Estate Income Trust Ltd.
     372       794  
Invesco Property Income Trust Limited
     157       384  
ISIS Property Ltd.
     51       139  
ISIS Property Trust 2 Ltd
     78       196  
ProLogis European Properties
     62       1,089  
Sparkassen Immo Invest Genusscheine
     2       312  
Standard Life Investment Property Income Trust PLC
     102       242  
Teesland Advantage Property Income Trust Ltd.
     142       301  
UK Balanced Property Trust (The) Ltd.
     208       658  
UK Commercial Property Trust Ltd.
     284       492  
Westbury Property (The) Fund Ltd.
     98       290  
 
Total Investment Companies
                
 
(Cost $6,097)
             5,707  
RIGHTS - 0.0%
                
Acanthe Developpement S.A.
     40,048       15  
Affine S.A.
     1,249       —  
Westfield Group
     167,082       65  
 
Total Rights
                
 
(Cost$-)
             80  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 0.0%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 282     $ 282  
 
Total Short-Term Investment
                
 
(Cost $282)
             282  
 
                
 
Total Investments - 99.2%
                
 
(Cost $1,033,140)
             992,071  
Other Assets less Liabilities - 0.8%
             7,749  
 
NET ASSETS - 100.0%
           $ 999,820  
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
At June 30, 2007, the industry sectors for the Global Real Estate Index Fund were:
         
    % OF LONG-TERM
INDUSTRY SECTOR   INVESTMENTS
Capital Markets
     0.2 %
Commercial Service & Supply
     0.5  
Hotels Restaurants & Leisure
     0.3  
Household Durables
     0.1  
Healthcare Providers & Services
     0.1  
Industrial Conglomerates
     6.6  
Real Estate
     0.2  
Real Estate Investment Trusts
     63.9  
Real Estate Management/Development
     28.1  
 
Total
     100.0 %
EQUITY INDEX FUNDS     5     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
At June 30, 2007, the Global Real Estate Index Fund’s investments were denominated in the following currencies:
         
    % OF LONG-TERM
CONCENTRATION BY CURRENCY        INVESTMENTS
U.S. Dollar
     38.9 %
Japanese Yen
     12.7  
Australian Dollar
     12.0  
Euro
     10.2  
British Pound
     9.4  
Hong Kong Dollar
     8.6  
All other currencies less than 5%
     8.2  
 
Total
     100.0 %
At June 30, 2007, the Global Real Estate Index Fund had outstanding forward foriegn currency exchange contracts as follows:
                                     
    AMOUNT   IN   AMOUNT            
CONTRACTS   (LOCAL   EXCHANGE   (LOCAL           UNREALIZED
TO DELIVER   CURRENCY)   FOR   CURRENCY)   SETTLEMENT   GAIN
CURRENCY   (000S)   CURRENCY   (000S)   DATE   (000S)
 
           British                        
U.S. Dollar
     351     Pound     175       7/3/07     $ —  
 
                                    
 
           Canadian                        
U.S. Dollar
     393     Dollar     419       7/3/07       —  
 
                                    
 
           Japanese                        
U.S. Dollar
     338     Yen     41,616       7/3/07       —  
 
                                    
 
           New Zealand                        
U.S. Dollar
     7     Dollar     9       7/3/07       —  
 
                                    
 
           Swedish                        
U.S. Dollar
     33     Krona     226       7/3/07       —  
 
                                    
 
           Singapore                        
U.S. Dollar
     151     Dollar     231       7/3/07       —  
 
                                    
 
           Hong Kong                        
U.S. Dollar
     224     Dollar     1,752       7/5/07       —  
 
                                    
 
Total
                               $ —  
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 1,033,140  
 
Gross tax appreciation of investments
   $ 28,222  
Gross tax depreciation of investments
     (69,291 )
 
Net tax depreciation of investments
   $ (41,069 )
 
NORTHERN FUNDS QUARTERLY REPORT     6     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
    SCHEDULE OF INVESTMENTS
    INTERNATIONAL EQUITY INDEX FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8%
                
Australia - 6.0%
                
ABC Learning Centres Ltd.
     32,918     $ 193  
AGL Energy Ltd.
     57,195       736  
Alinta Ltd.
     55,594       717  
Alumina Ltd.
     138,362       914  
Amcor Ltd.
     105,253       667  
AMP Ltd.
     222,568       1,910  
Ansell Ltd.
     5,525       57  
APN News & Media Ltd.
     9,689       48  
Aristocrat Leisure Ltd.
     44,804       546  
Asciano Group *
     64,332       552  
ASX Ltd.
     20,330       839  
Australia & New Zealand Banking Group Ltd.
     214,820       5,280  
AXA Asia Pacific Holdings Ltd.
     94,494       595  
Babcock & Brown Ltd.
     25,119       683  
BHP Billiton Ltd.
     409,817       12,171  
Billabong International Ltd.
     11,476       175  
BlueScope Steel Ltd.
     95,984       841  
Boral Ltd.
     68,251       507  
Brambles Ltd. *
     183,295       1,893  
Caltex Australia Ltd.
     15,266       306  
Centro Properties Group
     109,709       791  
CFS Retail Property Trust
     183,099       334  
Challenger Financial Services Group Ltd.
     4,771       24  
Coca-Cola Amatil Ltd.
     69,954       566  
Cochlear Ltd.
     6,748       349  
Coles Group Ltd.
     135,181       1,847  
Commonwealth Bank of Australia
     152,138       7,126  
Commonwealth Property Office Fund
     175,086       249  
Computershare Ltd.
     68,630       657  
CSL Ltd.
     22,690       1,693  
CSR Ltd.
     100,346       296  
DB RREEF Trust
     307,075       512  
Downer EDI Ltd.
     26,445       165  
Fairfax Media Ltd.
     151,461       603  
Fortescue Metals Group Ltd. *
     7,831       224  
Foster’s Group Ltd.
     254,369       1,376  
Futuris Corp. Ltd.
     8,966       21  
Goodman Group
     163,592       932  
Goodman Fielder Ltd.
     111,815       230  
GPT Group
     256,841       1,015  
Harvey Norman Holdings Ltd.
     64,926       291  
Iluka Resources Ltd.
     5,578       29  
ING Industrial Fund
     8,381       17  
Insurance Australia Group Ltd.
     204,198       987  
Investa Property Group
     172,891       428  
Leighton Holdings Ltd.
     16,893       591  
Lend Lease Corp. Ltd.
     45,018       708  
Lion Nathan Ltd.
     31,803       250  
Macquarie Airports Management Ltd.
     36,653       125  
Macquarie Bank Ltd.
     30,874       2,225  
Macquarie Communications Infrastructure Group
     35,666       191  
Macquarie Infrastructure Group
     310,196       947  
Macquarie Office Trust
     202,135       286  
Mirvac Group
     119,922       579  
Multiplex Group
     19,763       82  
National Australia Bank Ltd.
     188,301       6,548  
Newcrest Mining Ltd.
     39,701       769  
OneSteel Ltd.
     44,038       240  
Orica Ltd.
     38,503       973  
Origin Energy Ltd.
     99,905       842  
Pacific Brands Ltd.
     15,776       46  
Paladin Resources Ltd. *
     28,883       202  
PaperlinX Ltd.
     10,058       32  
Perpetual Ltd.
     4,700       313  
Publishing & Broadcasting Ltd.
     56,404       937  
Qantas Airways Ltd.
     104,098       494  
QBE Insurance Group Ltd.
     98,357       2,602  
Rinker Group Ltd.
     103,689       1,656  
Rio Tinto Ltd.
     33,880       2,838  
Santos Ltd.
     76,000       898  
Sonic Healthcare Ltd.
     33,298       425  
Stockland
     177,668       1,228  
Stockland — New
     3,438       25  
Suncorp-Metway Ltd.
     110,632       1,892  
Symbion Health Ltd.
     74,475       258  
TABCORP Holdings Ltd.
     63,197       919  
Tattersall’s Ltd.
     141,878       565  
Telstra Corp. Ltd.
     344,087       1,339  
Telstra Corp. Ltd. — Installment Receipts
     181,572       479  
Toll Holdings Ltd.
     64,332       790  
Transurban Group
     133,104       904  
Wesfarmers Ltd.
     45,233       1,754  
Westfield Group
     189,383       3,205  
Westpac Banking Corp.
     215,950       4,698  
EQUITY INDEX FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Australia - 6.0% — (continued)
                
Woodside Petroleum Ltd.
     55,248     $ 2,143  
Woolworths Ltd.
     142,388       3,259  
WorleyParsons Ltd.
     20,219       583  
Zinifex Ltd.
     62,408       996  
 
 
             101,228  
 
Austria - 0.6%
                
Andritz A.G.
     4,120       273  
bwin Interactive Entertainment A.G. *
     1,650       55  
Erste Bank der Oesterreichischen Sparkassen A.G.
     22,130       1,732  
Flughafen Wien A.G.
     530       53  
Immoeast A.G. *
     43,400       615  
IMMOFINANZ A.G. *
     57,704       844  
Mayr-Melnhof Karton A.G.
     420       96  
Meinl European Land Ltd. *
     38,088       1,093  
OMV A.G.
     19,750       1,323  
Raiffeisen International Bank Holding A.G.
     4,170       664  
RHI A.G. *
     800       44  
Telekom Austria A.G.
     44,340       1,110  
Verbund — Oesterreichische Elektrizitaetswirtschafts A.G., Class A
     9,110       467  
Voestalpine A.G.
     14,210       1,202  
Wiener Staedtische Versicherung A.G.
     3,360       240  
Wienerberger A.G.
     8,280       613  
 
 
             10,424  
 
Belgium - 1.2%
                
AGFA-Gevaert N.V.
     12,924       335  
Barco N.V.
     789       73  
Bekaert S.A.
     1,703       251  
Belgacom S.A.
     19,676       875  
Cofinimmo
     718       137  
Colruyt S.A.
     1,885       395  
Compagnie Maritime Belge S.A.
     1,010       71  
D’ieteren S.A.
     176       79  
Delhaize Group
     9,356       923  
Dexia S.A.
     61,366       1,928  
Euronav N.V.
     1,367       50  
Fortis
     145,132       6,190  
Groupe Bruxelles Lambert S.A.
     8,545       1,068  
InBev N.V.
     21,937       1,747  
KBC Groep N.V.
     21,361       2,892  
Mobistar S.A.
     3,255       278  
Omega Pharma S.A.
     2,138       186  
Solvay S.A., Class A
     7,684       1,215  
UCB S.A.
     13,320       791  
Umicore
     2,890       631  
 
             20,115  
 
Bermuda - 0.1%
                
Frontline Ltd.
     6,550       304  
SeaDrill Ltd. *
     32,800       708  
 
 
             1,012  
 
Cayman Islands - 0.0%
                
Belle International Holdings Ltd. *
     235,000       259  
 
China - 0.1%
                
Foxconn International Holdings Ltd. *
     248,000       711  
Tencent Holdings Ltd.
     100,000       403  
Tingyi Cayman Islands Holding Corp.
     136,000       158  
 
 
             1,272  
 
Denmark - 0.8%
                
A.P. Moller — Maersk A/S
     130       1,572  
Bang & Olufsen A/S, Class B
     1,176       141  
Carlsberg A/S, Class B
     4,200       509  
Coloplast A/S, Class B
     2,956       241  
D/S Torm A/S
     1,100       41  
Danisco A/S
     6,101       457  
Danske Bank A/S
     53,499       2,199  
DSV A/S
     23,090       455  
East Asiatic Co. Ltd. A/S
     1,740       96  
FLSmidth & Co. A/S
     6,897       544  
GN Store Nord *
     23,702       280  
H. Lundbeck A/S
     4,702       120  
Jyske Bank (Registered) *
     6,888       498  
NKT Holding A/S
     1,907       190  
Novo-Nordisk A/S, Class B
     28,183       3,076  
Novozymes A/S, Class B
     5,382       626  
Sydbank A/S
     4,897       235  
Topdanmark A/S *
     2,152       369  
TrygVesta A/S
     3,524       278  
Vestas Wind Systems A/S *
     21,463       1,421  
William Demant Holding *
     3,763       374  
 
 
             13,722  
 
Finland - 1.6%
                
Amer Sports OYJ
     5,250       130  
Cargotec Corp., Class B
     4,349       269  
NORTHERN FUNDS QUARTERLY REPORT     2     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
    SCHEDULE OF INVESTMENTS
    INTERNATIONAL EQUITY INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Finland - 1.6% — (continued)
                
Elisa OYJ, Class A
     17,150       469  
Fortum OYJ
     52,708       1,655  
KCI Konecranes OYJ
     3,474       146  
Kesko OYJ, Class B
     8,459       565  
Kone OYJ, Class B
     9,882       626  
Metso OYJ
     15,752       934  
Neste Oil OYJ
     16,046       633  
Nokia OYJ
     478,482       13,478  
Nokian Renkaat OYJ
     11,355       400  
OKO Bank PLC, Class A
     7,680       143  
Orion OYJ, Class B
     9,541       239  
Outokumpu OYJ
     14,400       488  
Rautaruukki OYJ
     10,484       675  
Sampo OYJ, Class A
     51,441       1,487  
Sanoma-WSOY OYJ
     7,399       235  
Stora Enso OYJ (Registered)
     67,320       1,274  
TietoEnator OYJ
     8,300       269  
UPM-Kymmene OYJ
     60,874       1,508  
Uponor OYJ
     6,300       246  
Wartsila OYJ, Class B
     7,829       518  
YIT OYJ
     13,900       439  
 
 
             26,826  
 
France - 9.5%
                
Accor S.A.
     21,140       1,881  
Aeroports de Paris
     3,716       433  
Air France-KLM
     14,834       694  
Air Liquide
     28,539       3,764  
Alcatel-Lucent
     268,477       3,772  
Alstom
     12,165       2,045  
Atos Origin S.A. *
     7,746       486  
AXA S.A.
     183,636       7,957  
BNP Paribas
     98,028       11,724  
Bouygues
     25,298       2,130  
Business Objects S.A. *
     8,541       338  
Cap Gemini S.A.
     16,358       1,204  
Carrefour S.A.
     70,373       4,967  
Casino Guichard Perrachon S.A.
     4,511       458  
Cie de Saint-Gobain
     39,011       4,402  
Cie Generale d’Optique Essilor International S.A.
     11,689       1,398  
CNP Assurances
     5,134       660  
Credit Agricole S.A.
     75,220       3,074  
Dassault Systemes S.A.
     7,412       469  
France Telecom S.A.
     194,912       5,382  
Gaz de France S.A.
     21,507       1,091  
Gecina S.A.
     1,699       285  
Groupe Danone
     51,302       4,168  
Hermes International
     7,524       855  
Icade
     1,447       112  
Imerys S.A.
     2,766       281  
Klepierre
     2,900       494  
L’Oreal S.A.
     29,543       3,511  
Lafarge S.A.
     17,694       3,243  
Lagardere S.C.A.
     14,255       1,244  
LVMH Moet Hennessy Louis Vuitton S.A.
     28,919       3,348  
M6-Metropole Television
     4,527       148  
Michelin Compagnie Generale des Establissements, Class B
     17,069       2,399  
Neopost S.A.
     3,349       492  
PagesJaunes Groupe S.A.
     13,903       293  
Pernod-Ricard S.A.
     10,726       2,380  
Peugeot S.A.
     17,700       1,432  
PPR
     9,076       1,592  
Publicis Groupe
     16,854       745  
Renault S.A.
     21,855       3,526  
Safran S.A.
     18,349       472  
Sanofi-Aventis
     119,146       9,693  
Schneider Electric S.A.
     25,564       3,603  
SCOR
     9,931       271  
Societe BIC S.A.
     2,621       194  
Societe Des Autoroutes Paris-Rhin-Rhone
     2,163       220  
Societe Generale
     43,180       8,038  
Societe Television Francaise 1
     12,912       449  
Sodexho Alliance S.A.
     10,249       737  
Suez S.A.
     119,700       6,884  
Suez S.A. (Strip VVPR) *
     8,460       —  
Technip S.A.
     11,892       987  
Thales S.A.
     9,953       611  
Thomson
     26,904       515  
Total S.A.
     250,782       20,456  
Unibail — Rodamco
     8,792       2,263  
Valeo S.A.
     6,840       369  
Vallourec
     5,609       1,809  
Veolia Environment
     36,476       2,865  
Vinci S.A.
     46,988       3,529  
EQUITY INDEX FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
France - 9.5% — (continued)
                
Vivendi
     135,694     $ 5,861  
Zodiac S.A.
     2,141       165  
 
 
             158,868  
 
Germany - 7.8%
                
Adidas A.G.
     23,894       1,513  
Allianz S.E. (Registered)
     52,779       12,401  
Altana A.G.
     7,989       193  
KarstadtQuelle A.G. *
     5,818       197  
BASF A.G.
     58,576       7,710  
Bayer A.G.
     84,956       6,451  
Beiersdorf A.G.
     9,810       702  
Bilfinger & Berger A.G.
     4,676       417  
Celesio A.G.
     9,719       633  
Commerzbank A.G.
     73,428       3,527  
Continental A.G.
     15,266       2,158  
DaimlerChrysler A.G. (Registered)
     107,679       9,997  
Deutsche Bank A.G. (Registered)
     60,660       8,852  
Deutsche Boerse A.G.
     24,054       2,727  
Deutsche Lufthansa A.G. (Registered)
     26,618       748  
Deutsche Post A.G. (Registered)
     91,473       2,975  
Deutsche Postbank A.G.
     8,830       778  
Deutsche Telekom A.G. (Registered)
     331,755       6,148  
Douglas Holding A.G.
     3,770       246  
E.ON A.G.
     72,653       12,223  
Fresenius Medical Care A.G. & Co. KGaA
     20,769       959  
Heidelberger Druckmaschinen
     6,784       330  
Hochtief A.G.
     5,132       561  
Hypo Real Estate Holding A.G.
     15,135       984  
Infineon Technologies A.G. *
     88,049       1,467  
IVG Immobilien A.G.
     9,670       379  
Linde A.G.
     13,334       1,611  
MAN A.G.
     13,166       1,903  
Merck KGaA
     7,405       1,023  
Metro A.G.
     19,002       1,581  
MLP A.G.
     4,394       85  
Muenchener Rueckversicherungs A.G. (Registered)
     25,356       4,674  
Premiere A.G. *
     6,348       151  
Puma A.G. Rudolf Dassler Sport A.G.
     1,455       650  
Rheinmetall A.G.
     4,535       423  
RWE A.G.
     52,104       5,571  
Salzgitter A.G.
     4,759       924  
SAP A.G.
     103,900       5,354  
Siemens A.G. (Registered)
     99,242       14,316  
Solarworld A.G.
     5,630       261  
Suedzucker A.G.
     5,958       133  
ThyssenKrupp A.G.
     41,998       2,509  
TUI A.G. *
     24,574       683  
Volkswagen A.G.
     20,081       3,210  
Wincor Nixdorf A.G.
     3,410       318  
 
 
             130,656  
 
Gibraltar - 0.0%
                
PartyGaming PLC *
     84,282       52  
 
Greece - 0.7%
                
Alpha Bank A.E.
     45,948       1,449  
Coca Cola Hellenic Bottling Co. S.A.
     14,170       652  
Cosmote Mobile Telecommunications S.A.
     13,790       427  
EFG Eurobank Ergasias S.A.
     31,341       1,027  
Folli-Follie S.A. (Registered)
     320       13  
Hellenic Exchanges Holding S.A.
     3,790       100  
Hellenic Petroleum S.A.
     12,050       194  
Hellenic Technodomiki Tev S.A.
     14,160       186  
Hellenic Telecommunications Organization S.A.
     37,200       1,153  
Motor Oil Hellas Corinth Refineries S.A.
     2,130       56  
National Bank of Greece S.A.
     47,480       2,725  
OPAP S.A.
     26,480       939  
Piraeus Bank S.A.
     31,032       1,137  
Public Power Corp. S.A.
     13,610       385  
Titan Cement Co. S.A.
     6,840       396  
Viohalco
     11,820       184  
 
 
             11,023  
 
Hong Kong - 1.6%
                
ASM Pacific Technology
     20,000       145  
Bank of East Asia Ltd.
     172,973       973  
BOC Hong Kong Holdings Ltd.
     447,000       1,065  
Cathay Pacific Airways Ltd.
     156,000       388  
Cheung Kong Holdings Ltd.
     177,000       2,318  
Cheung Kong Infrastructure Holdings Ltd.
     45,000       166  
CLP Holdings Ltd.
     156,000       1,046  
Esprit Holdings Ltd
     126,000       1,599  
Giordano International Ltd.
     46,000       23  
Hang Lung Properties Ltd.
     259,000       893  
Hang Seng Bank Ltd.
     89,000       1,204  
Henderson Land Development Co. Ltd.
     112,000       763  
NORTHERN FUNDS QUARTERLY REPORT     4     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   INTERNATIONAL EQUITY INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Hong Kong - 1.6% – (continued)
                
Hong Kong & China Gas Co. Ltd.
     446,900     $ 942  
Hong Kong Electric Holdings Ltd.
     168,000       848  
Hong Kong Exchanges and Clearing Ltd.
     126,000       1,781  
Hopewell Holdings Ltd.
     87,000       355  
Hutchison Telecommunications International Ltd.
     169,000       218  
Hutchison Whampoa Ltd.
     255,000       2,533  
Hysan Development Co. Ltd.
     73,140       195  
Johnson Electric Holdings Ltd.
     157,000       87  
Kerry Properties Ltd.
     55,821       351  
Kingboard Chemicals Holdings Ltd.
     57,000       262  
Li & Fung Ltd.
     264,800       953  
Link REIT (The)
     257,500       570  
Melco International Development
     45,000       67  
MTR Corp.
     152,672       362  
New World Development Ltd.
     288,844       723  
Noble Group Ltd.
     122,000       137  
Orient Overseas International Ltd.
     15,700       153  
PCCW Ltd.
     445,000       274  
Shangri-La Asia Ltd.
     142,000       343  
Sino Land Co.
     172,866       360  
Sun Hung Kai Properties Ltd.
     165,000       1,986  
Swire Pacific Ltd., Class A
     101,500       1,128  
Techtronic Industries Co.
     117,000       156  
Television Broadcasts Ltd.
     32,000       225  
Wharf Holdings Ltd.
     160,000       639  
Wing Hang Bank Ltd.
     11,000       122  
Yue Yuen Industrial Holdings
     90,000       279  
 
 
             26,632  
 
Ireland - 0.9%
                
Allied Irish Banks PLC
     101,639       2,781  
Bank of Ireland
     117,062       2,367  
C&C Group PLC
     41,701       563  
CRH PLC
     63,475       3,147  
DCC PLC
     9,296       314  
Depfa Bank PLC
     39,692       704  
Elan Corp. PLC *
     57,524       1,254  
Experian Group Ltd.
     119,738       1,514  
Grafton Group PLC *
     28,618       412  
Greencore Group PLC
     3,313       25  
Iaws Group PLC
     13,646       286  
Independent News & Media PLC
     65,416       332  
Irish Life & Permanent PLC
     32,040       811  
Kerry Group PLC, Class A
     16,717       468  
Kingspan Group PLC (Dublin Exchange)
     14,636       411  
Paddy Power PLC
     3,333       104  
Ryanair Holdings PLC ADR *
     5,370       203  
 
 
             15,696  
 
Italy - 3.7%
                
Alleanza Assicurazioni S.p.A.
     50,094       656  
Arnoldo Mondadori Editore S.p.A.
     13,201       130  
Assicurazioni Generali S.p.A.
     124,105       4,999  
Atlantia S.p.A
     31,260       1,042  
Autogrill S.p.A.
     12,161       258  
Banca Monte dei Paschi di Siena S.p.A.
     120,569       819  
Banca Popolare di Milano Scarl
     48,767       747  
Banco Popolare di Verona e Novara Scrl
     61,774       1,784  
Bulgari S.p.A.
     15,522       250  
Capitalia S.p.A.
     190,055       1,896  
Enel S.p.A.
     506,583       5,469  
ENI S.p.A.
     304,384       11,083  
Fiat S.p.A.
     84,650       2,529  
Finmeccanica S.p.A.
     34,145       1,055  
Fondiaria-Sai S.p.A.
     6,011       292  
Intesa Sanpaolo S.p.A.
     903,559       6,764  
Intesa S.p.A. (RNC)
     115,295       810  
Italcementi S.p.A.
     5,715       177  
Lottomatica S.p.A.
     6,116       244  
Luxottica Group S.p.A.
     17,268       673  
Mediaset S.p.A.
     88,726       919  
Mediobanca S.p.A.
     59,715       1,363  
Mediolanum S.p.A.
     26,828       224  
Parmalat S.p.A.
     164,368       699  
Pirelli & C. S.p.A. *
     309,841       371  
Seat Pagine Gialle S.p.A.
     426,520       257  
Snam Rete Gas S.p.A.
     109,502       650  
Telecom Italia S.p.A.
     1,257,119       3,454  
Telecom Italia S.p.A. (RNC)
     712,183       1,584  
Terna S.p.A.
     133,735       463  
UniCredito Italiano S.p.A. (Milan Exchange)
     915,292       8,214  
Unione di Banche Italiane SCPA
     68,040       1,736  
 
 
             61,611  
 
Japan - 20.6%
                
77 Bank (The) Ltd.
     18,000       117  
EQUITY INDEX FUNDS      5     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Japan - 20.6% – (continued)
                
Access Co. Ltd. *
     11     $ 33  
Acom Co. Ltd.
     8,120       292  
Aderans Co. Ltd.
     2,400       51  
Advantest Corp.
     19,000       829  
Aeon Co. Ltd.
     74,900       1,394  
Aeon Credit Service Co. Ltd.
     9,100       144  
Aiful Corp.
     9,950       286  
Aisin Seiki Co Ltd.
     22,500       828  
Ajinomoto Co., Inc.
     72,000       831  
Alfresa Holdings Corp.
     2,000       140  
All Nippon Airways Co. Ltd.
     78,000       297  
Alps Electric Co. Ltd.
     18,600       186  
Amada Co. Ltd.
     43,000       538  
Aoyama Trading Co. Ltd.
     7,300       225  
Asahi Breweries Ltd.
     50,000       776  
Asahi Glass Co. Ltd.
     111,000       1,501  
Asahi Kasei Corp.
     140,000       921  
Asatsu-DK, Inc.
     3,200       108  
Asics Corp.
     20,000       247  
Astellas Pharma, Inc.
     63,100       2,748  
Autobacs Seven Co. Ltd.
     2,400       75  
Bank of Kyoto (The) Ltd.
     34,000       408  
Bank of Yokohama (The) Ltd.
     139,000       976  
Benesse Corp.
     7,400       215  
Bridgestone Corp.
     72,500       1,555  
Canon Marketing Japan, Inc.
     9,700       199  
Canon, Inc.
     124,600       7,319  
Casio Computer Co. Ltd.
     28,300       442  
Central Glass Co Ltd.
     12,000       67  
Central Japan Railway Co.
     186       1,965  
Chiba Bank (The) Ltd.
     91,000       809  
Chiyoda Corp.
     17,000       325  
Chubu Electric Power Co., Inc.
     78,600       2,088  
Chugai Pharmaceutical Co. Ltd.
     32,800       590  
Circle K Sunkus Co. Ltd.
     2,000       35  
Citizen Holdings Co. Ltd.
     40,000       361  
Coca-Cola West Holdings Co. Ltd.
     4,700       109  
COMSYS Holdings Corp.
     13,000       151  
Credit Saison Co. Ltd.
     19,000       496  
CSK Holdings Corp.
     7,800       275  
Dai Nippon Printing Co. Ltd.
     73,000       1,091  
Daicel Chemical Industries Ltd.
     33,000       215  
Daido Steel Co. Ltd.
     38,000       260  
Daiichi Sankyo Co Ltd.
     80,900       2,149  
Daikin Industries Ltd.
     31,200       1,138  
Daimaru (The), Inc.
     28,000       335  
Dainippon Ink & Chemicals, Inc.
     73,000       282  
Dainippon Screen Manufacturing Co. Ltd.
     23,000       174  
Daito Trust Construction Co. Ltd.
     9,900       472  
Daiwa House Industry Co. Ltd.
     60,000       859  
Daiwa Securities Group, Inc.
     158,000       1,686  
Denki Kagaku Kogyo KK
     60,000       271  
Denso Corp.
     56,600       2,217  
Dentsu, Inc.
     235       666  
Dowa Mining Co. Ltd.
     34,000       363  
E*Trade Securities Co. Ltd.
     166       177  
eAccess Ltd.
     14       8  
East Japan Railway Co.
     400       3,087  
Ebara Corp.
     46,000       212  
EDION Corp.
     3,000       39  
Eisai Co. Ltd.
     29,500       1,289  
Electric Power Development Co.
     17,900       713  
Elpida Memory, Inc. *
     11,600       512  
FamilyMart Co. Ltd.
     7,400       195  
Fanuc Ltd.
     22,300       2,305  
Fast Retailing Co. Ltd.
     6,200       442  
Fuji Electric Holdings Co. Ltd.
     66,000       336  
FUJIFILM Holdings Co. Ltd.
     57,600       2,579  
Fuji Soft, Inc.
     1,900       45  
Fuji Television Network, Inc.
     64       129  
Fujikura Ltd.
     43,000       320  
Fujitsu Ltd.
     221,000       1,630  
Fukuoka Financial Group, Inc. *
     77,000       509  
Furukawa Electric (The) Co. Ltd.
     77,000       426  
Glory Ltd.
     6,000       132  
Goodwill Group, Inc. (The) *
     61       21  
Gunma Bank (The) Ltd.
     44,000       296  
Hachijuni Bank (The) Ltd.
     44,523       314  
Hakuhodo DY Holdings, Inc.
     2,770       183  
Hankyu Department Stores
     3,000       32  
Hankyu Hanshin Holdings, Inc.
     146,800       776  
Haseko Corp. *
     125,000       371  
Hikari Tsushin, Inc.
     2,200       93  
Hino Motors Ltd.
     25,000       150  
NORTHERN FUNDS QUARTERLY REPORT      6      EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
  INTERNATIONAL EQUITY INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Japan - 20.6% – (continued)
                
Hirose Electric Co. Ltd.
     4,000     $ 527  
Hiroshima Bank (The) Ltd.
     57,000       316  
Hitachi Chemical Co. Ltd.
     13,700       311  
Hitachi Construction Machinery Co. Ltd.
     12,100       422  
Hitachi High-Technologies Corp.
     8,000       208  
Hitachi Ltd.
     396,000       2,815  
Hokkaido Electric Power Co., Inc.
     18,800       409  
Hokuhoku Financial Group, Inc.
     146,000       473  
Honda Motor Co. Ltd.
     182,300       6,665  
House Foods Corp.
     9,000       138  
Hoya Corp.
     49,100       1,632  
Ibiden Co. Ltd.
     15,500       1,002  
Idemitsu Kosan Co. Ltd.
     3,000       336  
Inpex Holdings, Inc.
     100       934  
Isetan Co. Ltd.
     23,500       387  
Ishikawajima-Harima Heavy Industries Co. Ltd.
     163,000       596  
Ito En Ltd.
     6,500       214  
Itochu Corp.
     178,000       2,065  
Itochu Techno-Solutions Corp.
     3,000       118  
Jafco Co. Ltd.
     3,600       166  
Japan Airlines Corp. *
     66,000       124  
Japan Petroleum Exploration Co.
     1,000       71  
Japan Prime Realty Investment Corp.
     71       277  
Japan Real Estate Investment Corp.
     48       565  
Japan Retail Fund Investment Corp.
     44       383  
Japan Steel Works Ltd.
     43,000       657  
Japan Tobacco, Inc.
     530       2,618  
JFE Holdings, Inc.
     66,200       4,125  
JGC Corp.
     26,000       488  
Joyo Bank (The) Ltd.
     82,000       510  
JS Group Corp.
     32,000       650  
JSR Corp.
     22,000       532  
JTEKT Corp.
     23,400       424  
Jupiter Telecommunications Co. Ltd. *
     247       205  
Kajima Corp.
     113,000       474  
Kamigumi Co. Ltd.
     26,000       226  
Kaneka Corp.
     36,000       302  
Kansai Electric Power Co., Inc.
     91,000       2,155  
Kansai Paint Co. Ltd.
     27,000       237  
Kao Corp.
     61,000       1,581  
Kawasaki Heavy Industries Ltd.
     162,000       663  
Kawasaki Kisen Kaisha Ltd.
     64,000       784  
KDDI Corp.
     286       2,122  
Keihin Electric Express Railway Co. Ltd.
     51,000       337  
Keio Corp.
     71,000       473  
Keisei Electric Railway Co. Ltd.
     29,000       170  
Keyence Corp.
     4,200       919  
Kikkoman Corp.
     20,000       298  
Kinden Corp.
     10,000       87  
Kintetsu Corp.
     201,000       606  
Kirin Holdings Co. Ltd.
     92,000       1,378  
Kobe Steel Ltd.
     312,000       1,186  
Kokuyo Co. Ltd.
     10,000       117  
Komatsu Ltd.
     105,700       3,075  
Komori Corp.
     1,000       23  
Konami Corp.
     11,400       262  
Konica Minolta Holdings, Inc.
     57,000       842  
Kose Corp.
     2,800       79  
Kubota Corp.
     133,000       1,081  
Kuraray Co. Ltd.
     42,500       499  
Kurita Water Industries Ltd.
     14,200       446  
Kyocera Corp.
     19,000       2,028  
Kyowa Hakko Kogyo Co. Ltd.
     37,000       350  
Kyushu Electric Power Co., Inc.
     44,600       1,170  
Lawson, Inc.
     8,100       280  
Leopalace21 Corp.
     15,400       527  
Mabuchi Motor Co. Ltd.
     2,200       135  
Makita Corp.
     14,000       623  
Marubeni Corp.
     187,000       1,542  
Marui Co. Ltd.
     36,400       460  
Matsui Securities Co. Ltd.
     8,600       77  
Matsumotokiyoshi Co. Ltd.
     3,300       73  
Matsushita Electric Industrial Co. Ltd.
     230,000       4,569  
Matsushita Electric Works Ltd.
     46,000       589  
Mediceo Paltac Holdings Co. Ltd.
     18,200       279  
Meiji Dairies Corp.
     32,000       204  
Meiji Seika Kaisha Ltd.
     34,000       156  
Meitec Corp.
     3,200       92  
Millea Holdings, Inc.
     94,000       3,865  
Minebea Co. Ltd.
     40,000       227  
Mitsubishi Chemical Holdings Corp.
     138,500       1,274  
Mitsubishi Corp.
     158,400       4,157  
Mitsubishi Electric Corp.
     225,000       2,088  
Mitsubishi Estate Co. Ltd.
     138,000       3,756  
EQUITY INDEX FUNDS      7     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Japan - 20.6% – (continued)
                
Mitsubishi Gas Chemical Co., Inc.
     49,000     $ 449  
Mitsubishi Heavy Industries Ltd.
     378,000       2,429  
Mitsubishi Logistics Corp.
     6,000       99  
Mitsubishi Materials Corp.
     135,000       738  
Mitsubishi Rayon Co. Ltd.
     68,000       486  
Mitsubishi UFJ Financial Group, Inc.
     941       10,398  
Mitsubishi UFJ Lease & Finance Co. Ltd.
     1,000       45  
Mitsubishi UFJ Securities Co.
     32,000       360  
Mitsui & Co. Ltd.
     183,000       3,650  
Mitsui Chemicals, Inc.
     78,000       594  
Mitsui Engineering & Shipbuilding Co. Ltd.
     88,000       471  
Mitsui Fudosan Co. Ltd.
     99,000       2,783  
Mitsui Mining & Smelting Co. Ltd.
     69,000       323  
Mitsui O.S.K. Lines Ltd.
     129,000       1,755  
Mitsui Sumitomo Insurance Co. Ltd.
     143,000       1,838  
Mitsui Trust Holdings, Inc.
     76,000       663  
Mitsukoshi Ltd.
     45,000       226  
Mitsumi Electric Co. Ltd.
     2,400       86  
Mizuho Financial Group, Inc.
     1,109       7,686  
Murata Manufacturing Co. Ltd.
     24,900       1,879  
Namco Bandai Holdings, Inc.
     25,800       408  
NEC Corp.
     239,000       1,239  
NEC Electronics Corp. *
     2,800       74  
NGK Insulators Ltd.
     33,000       812  
NGK Spark Plug Co. Ltd.
     22,000       383  
NHK Spring Co. Ltd.
     17,000       164  
Nichirei Corp.
     28,000       144  
Nidec Corp.
     12,800       753  
Nikko Cordial Corp.
     47,200       618  
Nikon Corp.
     35,000       978  
Nintendo Co. Ltd.
     11,600       4,251  
Nippon Building Fund, Inc.
     54       750  
Nippon Electric Glass Co. Ltd.
     41,500       733  
Nippon Express Co. Ltd.
     97,000       552  
Nippon Meat Packers, Inc.
     22,000       266  
Nippon Mining Holdings, Inc.
     106,000       1,018  
Nippon Oil Corp.
     149,000       1,387  
Nippon Paper Group, Inc.
     105       350  
Nippon Sheet Glass Co. Ltd.
     77,000       352  
Nippon Shokubai Co. Ltd.
     3,000       27  
Nippon Steel Corp.
     678,000       4,782  
Nippon Telegraph & Telephone Corp.
     598       2,658  
Nippon Yusen Kabushiki Kaisha
     130,000       1,195  
Nishi-Nippon City Bank (The) Ltd.
     67,000       246  
Nissan Chemical Industries Ltd.
     18,000       212  
Nissan Motor Co. Ltd.
     266,000       2,855  
Nisshin Seifun Group, Inc.
     25,000       248  
Nisshin Steel Co. Ltd.
     97,000       444  
Nisshinbo Industries, Inc.
     17,000       238  
Nissin Food Products Co. Ltd.
     10,400       349  
Nitori Co Ltd.
     4,400       220  
Nitto Denko Corp.
     19,900       1,006  
NOK Corp.
     14,600       308  
Nomura Holdings, Inc.
     207,400       4,044  
Nomura Real Estate Holdings, Inc.
     7,000       228  
Nomura Real Estate Office Fund, Inc.
     28       303  
Nomura Research Institute Ltd.
     14,100       416  
NSK Ltd.
     51,000       529  
NTN Corp.
     48,000       415  
NTT Data Corp.
     149       708  
NTT DoCoMo, Inc.
     1,927       3,053  
NTT Urban Development Corp.
     135       262  
Obayashi Corp.
     78,000       426  
Obic Co. Ltd.
     970       192  
Odakyu Electric Railway Co. Ltd.
     73,000       451  
OJI Paper Co. Ltd.
     104,000       506  
Oki Electric Industry Co. Ltd. *
     50,000       93  
Okuma Corp.
     18,000       285  
Okumura Corp.
     13,000       67  
Olympus Corp.
     27,000       1,055  
Omron Corp.
     25,700       677  
Onward Kashiyama Co. Ltd.
     16,000       204  
Oracle Corp. Japan
     4,700       208  
Oriental Land Co. Ltd.
     6,100       319  
ORIX Corp.
     10,680       2,816  
Osaka Gas Co. Ltd.
     224,000       834  
Otsuka Corp.
     1,900       181  
Park24 Co. Ltd.
     9,400       95  
Pioneer Corp.
     17,400       237  
Promise Co. Ltd.
     9,600       296  
QP Corp.
     5,000       48  
Rakuten, Inc.
     854       288  
Resona Holdings, Inc.
     665       1,594  
Ricoh Co. Ltd.
     78,000       1,806  
NORTHERN FUNDS QUARTERLY REPORT      8     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  INTERNATIONAL EQUITY INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Japan - 20.6% – (continued)
                
Rohm Co. Ltd.
     11,900     $ 1,059  
Round One Corp.
     17       31  
Ryohin Keikaku Co. Ltd.
     2,800       174  
Sanken Electric Co. Ltd.
     10,000       97  
Sankyo Co. Ltd.
     5,800       245  
Santen Pharmaceutical Co. Ltd.
     6,000       146  
Sanwa Shutter Corp.
     18,000       104  
Sanyo Electric Co. Ltd. *
     178,000       292  
Sapporo Hokuyo Holdings, Inc.
     31       343  
Sapporo Holdings Ltd.
     31,000       197  
SBI Holdings, Inc.
     1,163       370  
Secom Co. Ltd.
     24,700       1,166  
Sega Sammy Holdings, Inc.
     23,400       379  
Seiko Epson Corp.
     15,800       458  
Seino Holdings Corp.
     12,000       114  
Sekisui Chemical Co. Ltd.
     58,000       449  
Sekisui House Ltd.
     59,000       789  
Seven & I Holdings Co. Ltd.
     96,900       2,771  
Sharp Corp.
     118,000       2,243  
Shimachu Co. Ltd.
     4,900       132  
Shimamura Co. Ltd.
     2,800       299  
Shimano, Inc.
     8,700       299  
Shimizu Corp.
     71,000       412  
Shin-Etsu Chemical Co. Ltd.
     48,200       3,450  
Shinko Electric Industries
     4,700       102  
Shinko Securities Co. Ltd.
     67,000       347  
Shinsei Bank Ltd.
     170,000       688  
Shionogi & Co. Ltd.
     35,000       572  
Shiseido Co. Ltd.
     40,000       855  
Shizuoka Bank (The) Ltd.
     67,000       680  
Showa Denko K.K.
     139,000       504  
Showa Shell Sekiyu K.K.
     22,700       282  
SMC Corp. of Japan
     6,800       906  
Softbank Corp.
     87,500       1,891  
Sojitz Corp.
     118,900       533  
Sompo Japan Insurance, Inc.
     95,000       1,165  
Sony Corp.
     117,200       6,028  
Stanley Electric Co. Ltd.
     18,800       409  
Sumco Corp.
     13,700       689  
Sumitomo Bakelite Co. Ltd.
     22,000       154  
Sumitomo Chemical Co. Ltd.
     185,000       1,245  
Sumitomo Corp.
     126,000       2,303  
Sumitomo Electric Industries Ltd.
     86,200       1,286  
Sumitomo Heavy Industries Ltd.
     68,000       772  
Sumitomo Metal Industries Ltd.
     481,000       2,837  
Sumitomo Metal Mining Co. Ltd.
     64,000       1,391  
Sumitomo Mitsui Financial Group, Inc.
     768       7,176  
Sumitomo Realty & Development Co. Ltd.
     45,000       1,470  
Sumitomo Rubber Industries, Inc.
     18,800       225  
Sumitomo Titanium Corp.
     2,100       197  
Sumitomo Trust & Banking (The) Co. Ltd.
     147,000       1,403  
Suruga Bank (The) Ltd.
     15,000       189  
Suzuken Co. Ltd.
     8,100       253  
T&D Holdings, Inc.
     23,000       1,557  
Taiheiyo Cement Corp.
     105,000       466  
Taisei Corp.
     113,000       383  
Taisho Pharmaceutical Co. Ltd.
     18,000       358  
Taiyo Nippon Sanso Corp.
     31,000       240  
Taiyo Yuden Co. Ltd.
     10,000       232  
Takara Holdings, Inc.
     19,000       127  
Takashimaya Co. Ltd.
     37,000       468  
Takeda Pharmaceutical Co. Ltd.
     98,800       6,390  
Takefuji Corp.
     13,260       446  
Tanabe Seiyaku Co Ltd.
     25,000       298  
TDK Corp.
     14,800       1,433  
Teijin Ltd.
     100,000       548  
Terumo Corp.
     19,800       766  
THK Co. Ltd.
     15,800       397  
TIS, Inc.
     4,100       94  
Tobu Railway Co. Ltd.
     99,000       448  
Toho Co. Ltd. of Tokyo
     14,800       268  
Tohoku Electric Power Co., Inc.
     48,600       1,092  
Tokai Rika Co. Ltd.
     3,000       82  
Tokuyama Corp.
     27,000       352  
Tokyo Broadcasting System, Inc.
     2,000       61  
Tokyo Electric Power Co., Inc.
     142,600       4,588  
Tokyo Electron Ltd.
     20,100       1,483  
Tokyo Gas Co. Ltd.
     260,000       1,234  
Tokyo Seimitsu Co. Ltd.
     4,600       178  
Tokyo Steel Manufacturing Co. Ltd.
     13,700       215  
Tokyo Tatemono Co. Ltd.
     35,000       437  
Tokyu Corp.
     127,000       850  
Tokyu Land Corp.
     52,000       555  
TonenGeneral Sekiyu K.K.
     37,000       362  
EQUITY INDEX FUNDS      9     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% — CONTINUED
                
Japan - 20.6% – (continued)
                
Toppan Printing Co. Ltd.
     68,000     $ 732  
Toray Industries, Inc.
     157,000       1,162  
Toshiba Corp.
     360,000       3,144  
Tosoh Corp.
     56,000       312  
Toto Ltd.
     32,000       277  
Toyo Seikan Kaisha Ltd.
     20,000       387  
Toyo Suisan Kaisha Ltd.
     9,000       162  
Toyobo Co. Ltd.
     67,000       192  
Toyoda Gosei Co. Ltd.
     7,100       201  
Toyota Industries Corp.
     21,200       987  
Toyota Motor Corp.
     315,300       19,982  
Toyota Tsusho Corp.
     25,700       595  
Trend Micro, Inc.
     12,000       388  
Ube Industries Ltd. of Japan
     109,000       337  
Uni-Charm Corp.
     5,400       307  
UNY Co. Ltd.
     24,000       285  
Ushio, Inc.
     14,400       320  
USS Co. Ltd.
     2,950       188  
Wacoal Holdings Corp.
     9,000       111  
West Japan Railway Co.
     205       956  
Yahoo! Japan Corp.
     1,768       601  
Yakult Honsha Co. Ltd.
     12,800       324  
Yamada Denki Co. Ltd.
     10,200       1,067  
Yamaha Corp.
     22,100       460  
Yamaha Motor Co. Ltd.
     22,600       657  
Yamato Holdings Co. Ltd.
     47,000       666  
Yamazaki Baking Co. Ltd.
     5,000       43  
Yaskawa Electric Corp.
     21,000       240  
Yokogawa Electric Corp.
     26,800       360  
Zeon Corp.
     20,000       213  
 
 
             345,006  
 
Luxembourg - 0.0%
                
Oriflame Cosmetics S.A. SDR
     3,700       174  
Netherlands - 5.7%
                
ABN AMRO Holding N.V.
     212,139       9,777  
Aegon N.V.
     170,068       3,370  
Akzo Nobel N.V.
     32,269       2,794  
Arcelor Mittal
     106,297       6,701  
ASML Holding N.V. *
     55,684       1,545  
Corporate Express
     9,280       143  
Corio N.V.
     4,947       390  
European Aeronautic Defence & Space Co. N.V.
     39,497       1,289  
Fugro N.V. — CVA
     5,991       382  
Hagemeyer N.V.
     45,629       237  
Heineken N.V.
     28,565       1,682  
ING Groep N.V. — CVA
     216,908       9,627  
James Hardie Industries N.V.
     52,064       385  
Koninklijke Ahold N.V. *
     184,854       2,334  
Koninklijke DSM N.V.
     16,457       814  
Koninklijke Philips Electronics N.V.
     134,213       5,733  
OCE N.V.
     5,837       114  
Qiagen N.V. *
     13,987       252  
Randstad Holdings N.V.
     6,202       494  
Reed Elsevier N.V.
     85,697       1,640  
Royal Dutch Shell PLC, Class A
     427,064       17,442  
Royal Dutch Shell PLC, Class B
     319,876       13,379  
Royal KPN N.V.
     227,609       3,796  
Royal Numico N.V.
     19,835       1,034  
SBM Offshore N.V.
     16,070       616  
TNT N.V.
     52,041       2,355  
Unilever N.V. — CVA
     197,511       6,165  
Vedior N.V. — CVA
     21,492       646  
Wereldhave N.V.
     1,852       259  
Wolters Kluwer N.V.
     33,827       1,037  
 
 
             96,432  
 
New Zealand - 0.1%
                
Auckland International Airport Ltd.
     113,851       288  
Contact Energy Ltd.
     36,081       251  
Fisher & Paykel Appliances Holdings Ltd.
     29,635       79  
Fisher & Paykel Healthcare Corp.
     53,015       138  
Fletcher Building Ltd.
     61,098       582  
Kiwi Income Property Trust
     75,449       96  
Sky City Entertainment Group Ltd.
     46,176       181  
Sky Network Television Ltd.
     22,190       96  
Telecom Corp. of New Zealand Ltd.
     235,299       832  
Vector Ltd.
     24,079       50  
 
 
             2,593  
 
Norway - 0.9%
                
Aker Kvaerner ASA
     20,250       515  
DNB Nor ASA
     85,600       1,106  
Marine Harvest *
     307,850       335  
Norsk Hydro ASA
     83,100       3,213  
Norske Skogindustrier ASA
     18,771       271  
NORTHERN FUNDS QUARTERLY REPORT      10     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
  INTERNATIONAL EQUITY INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% – CONTINUED
                
Norway - 0.9% – (continued)
                
Orkla ASA
     99,750     $ 1,895  
Petroleum Geo-Services ASA *
     21,450       536  
ProSafe ASA
     21,950       352  
Renewable Energy Corp. A/S *
     20,600       804  
Schibsted ASA
     3,850       176  
Statoil ASA
     75,700       2,356  
Storebrand ASA
     26,650       416  
Tandberg ASA
     12,050       271  
Telenor ASA *
     100,100       1,965  
TGS Nopec Geophysical Co. ASA *
     14,000       287  
Tomra Systems ASA
     22,050       194  
Yara International ASA
     22,950       693  
 
 
             15,385  
 
Portugal - 0.4%
                
Banco BPI S.A. (Registered)
     24,618       219  
Banco Comercial Portugues S.A. (Registered)
     259,928       1,457  
Banco Espirito Santo S.A. (Registered)
     27,015       603  
Brisa-Auto Estradas de Portugal S.A.
     35,602       480  
Cimpor Cimentos de Portugal S.A.
     23,050       218  
Energias de Portugal S.A.
     245,013       1,356  
Jeronimo Martins SGPS S.A.
     11,165       66  
Portugal Telecom, SGPS, S.A. (Registered)
     94,636       1,310  
PT Multimedia Servicos de Telecomunicacoes e Multimedia SGPS S.A.
     8,050       130  
Sonae Industria SGPS S.A. *
     5,252       76  
Sonae SGPS S.A.
     92,494       263  
 
 
             6,178  
 
Singapore - 1.0%
                
Ascendas Real Estate Investment Trust
     135,200       260  
CapitaCommercial Trust
     110,000       211  
CapitaLand Ltd.
     188,000       995  
CapitaMall Trust
     152,000       419  
Chartered Semiconductor Manufacturing Ltd. *
     115,000       101  
City Developments Ltd.
     59,000       667  
ComfortDelgro Corp. Ltd.
     251,000       358  
Cosco Corp. Singapore Ltd.
     87,000       213  
DBS Group Holdings Ltd.
     136,000       2,026  
Fraser and Neave Ltd.
     110,000       392  
Jardine Cycle & Carriage Ltd.
     12,283       126  
Keppel Corp. Ltd.
     137,000       1,119  
Keppel Land Ltd.
     46,000       263  
Neptune Orient Lines Ltd.
     53,000       184  
Olam International Ltd.
     66,000       133  
Oversea-Chinese Banking Corp.
     287,400       1,718  
Parkway Holdings Ltd.
     64,050       167  
SembCorp Industries Ltd.
     101,600       378  
SembCorp Marine Ltd.
     61,000       195  
Singapore Airlines Ltd.
     66,000       811  
Singapore Exchange Ltd.
     100,000       640  
Singapore Land Ltd.
     6,000       45  
Singapore Post Ltd.
     138,000       115  
Singapore Press Holdings Ltd.
     177,000       537  
Singapore Technologies Engineering Ltd.
     176,000       414  
Singapore Telecommunications Ltd.
     945,600       2,101  
Suntec Real Estate Investment Trust
     113,000       143  
United Overseas Bank Ltd.
     145,000       2,084  
UOL Group Ltd.
     66,700       253  
Venture Corp. Ltd.
     27,000       277  
Want Want Holdings Ltd.
     50,000       115  
Wing Tai Holdings Ltd.
     12,000       31  
 
 
             17,491  
 
Spain - 3.9%
                
Abertis Infraestructuras S.A.
     27,611       861  
Acciona S.A.
     3,516       963  
Acerinox S.A.
     20,688       508  
ACS Actividades Cons y Serv
     25,179       1,613  
Altadis S.A.
     30,208       2,012  
Antena 3 de Television S.A. *
     8,862       185  
Banco Bilbao Vizcaya Argentaria S.A.
     415,582       10,238  
Banco Popular Espanol S.A.
     95,437       1,785  
Banco Santander Central Hispano S.A.
     730,616       13,539  
Cintra Concesiones de Infraestructuras de Transporte S.A.
     23,049       368  
Mapfre S.A.
     64,082       319  
Ebro Puleva S.A.
     6,195       134  
Endesa S.A.
     75,047       4,085  
Fomento de Construcciones y Contratas S.A.
     5,026       455  
Gamesa Corp. Tecnologica S.A.
     18,642       681  
Gas Natural SDG S.A.
     19,016       1,162  
Gestevision Telecinco S.A.
     12,913       368  
Grupo Ferrovial S.A.
     7,825       774  
Iberdrola S.A.
     101,145       5,686  
Iberia (Lineas Aereas de Espana)
     39,853       200  
EQUITY INDEX FUNDS      11     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% – CONTINUED
                
Spain - 3.9% – (continued)
                
Inditex S.A.
     25,541     $ 1,513  
Indra Sistemas S.A.
     14,331       359  
Promotora de Informaciones S.A. (Prisa)
     6,248       138  
Repsol YPF S.A.
     92,477       3,661  
Sacyr Vallehermoso S.A.
     11,180       541  
Sociedad General de Aguas de Barcelona S.A., Class A
     3,665       135  
Sociedad General de Aguas de Barcelona S.A.* — New
     22       1  
Sogecable S.A. *
     4,542       191  
Telefonica S.A.
     521,486       11,675  
Union Fenosa S.A.
     11,684       627  
Zardoya Otis S.A.
     9,330       367  
Zeltia S.A. *
     10,140       96  
 
 
             65,240  
 
Sweden - 2.5%
                
Alfa Laval AB
     10,300       625  
Assa Abloy AB, Class B
     38,200       846  
Atlas Copco AB, Class A
     79,200       1,332  
Atlas Copco AB, Class B
     48,600       767  
Axfood AB
     1,900       68  
Billerud AB
     1,200       18  
Boliden AB
     34,400       718  
Castellum AB
     17,200       208  
D Carnegie AB
     4,700       83  
Electrolux AB, Class B
     30,700       732  
Elekta AB, Class B
     9,400       164  
Eniro AB
     20,900       267  
Fabege AB
     18,600       205  
Getinge AB, Class B
     20,000       434  
Hennes & Mauritz AB, Class B
     55,900       3,323  
Hoganas AB, Class B
     2,700       80  
Holmen AB, Class B
     5,800       246  
Husqvarna AB, Class B
     32,200       459  
Kungsleden AB
     14,300       179  
Lundin Petroleum AB *
     25,100       251  
Modern Times Group AB, Class B
     6,400       415  
Nobia AB
     13,200       165  
Nordea Bank AB
     243,900       3,834  
OMX AB
     10,400       312  
Sandvik AB
     110,727       2,251  
SAS AB *
     6,500       151  
Scania AB, Class B
     42,800       1,051  
Securitas AB, Class B
     37,234       593  
Securitas Direct AB, Class B *
     31,900       86  
Securitas Systems AB, Class B
     31,900       109  
Skandinaviska Enskilda Banken AB, Class A
     54,280       1,762  
Skanska AB, Class B
     44,200       953  
SKF AB, B Shares
     49,200       1,040  
Ssab Svenskt Stal AB, Class A
     17,600       727  
Ssab Svenskt Stal AB, Class B
     8,250       316  
Svenska Cellulosa AB, Class B
     67,900       1,142  
Svenska Handelsbanken AB, Class A
     58,885       1,657  
Swedish Match AB
     34,700       672  
Tele2 AB, Class B
     37,300       612  
Telefonaktiebolaget LM Ericsson, Class B
     1,733,800       6,962  
TeliaSonera AB
     262,391       1,938  
Trelleborg AB, Class B
     4,700       130  
Volvo AB, Class A
     56,200       1,159  
Volvo AB, Class B
     128,600       2,576  
Wihlborgs Fastigheter AB
     1,440       26  
 
 
             41,644  
 
Switzerland - 6.8%
                
ABB Ltd. (Registered)
     243,523       5,544  
Adecco S.A. (Registered)
     15,521       1,207  
Ciba Specialty Chemicals A.G. (Registered)
     7,741       505  
Clariant A.G. (Registered) *
     24,793       404  
Compagnie Financiere Richemont A.G., Class A (Bearer)
     61,394       3,695  
Credit Suisse Group (Registered)
     127,619       9,128  
Geberit A.G. (Registered)
     4,557       780  
Givaudan S.A. (Registered)
     786       779  
Holcim Ltd. (Registered)
     23,373       2,542  
Kudelski S.A. (Bearer)
     2,130       75  
Kuehne & Nagel International A.G. (Registered)
    6,326       584  
Kuoni Reisen Holding A.G. (Registered)
     229       138  
Logitech International S.A. (Registered) *
     19,582       525  
Lonza Group A.G. (Registered)
     4,750       438  
Nestle S.A. (Registered)
     46,703       17,821  
Nobel Biocare Holding A.G. (Bearer)
     2,832       929  
Novartis A.G. (Registered)
     270,435       15,280  
OC Oerlikon Corp. A.G. (Registered) *
     668       356  
Phonak Holding A.G. (Registered)
     5,468       493  
PSP Swiss Property A.G. (Registered) *
     4,573       257  
Rieter Holding A.G. (Registered)
     415       218  
NORTHERN FUNDS QUARTERLY REPORT      12     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  INTERNATIONAL EQUITY INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% – CONTINUED
                
Switzerland - 6.8% – (continued)
                
Roche Holding A.G. (Genusschein)
     81,678     $ 14,540  
Schindler Holding A.G.
     5,559       371  
SGS S.A. (Registered)
     570       678  
STMicroelectronics N.V.
     80,523       1,564  
Straumann Holding A.G. (Registered)
     697       196  
Sulzer A.G. (Registered)
     366       475  
Swatch Group A.G. (Bearer)
     3,787       1,082  
Swatch Group A.G. (Registered)
     4,910       279  
Swiss Life Holding (Registered)
     3,700       982  
Swiss Reinsurance (Registered)
     41,812       3,831  
Swisscom A.G. (Registered)
     2,714       931  
Syngenta A.G. (Registered)
     12,318       2,413  
Synthes, Inc.
     6,770       814  
UBS A.G. (Registered)
     232,499       14,012  
Xstrata PLC
     70,691       4,240  
Zurich Financial Services A.G. (Registered)
     16,954       5,265  
 
 
             113,371  
 
United Kingdom - 20.3%
                
3I Group PLC
     52,892       1,237  
Acergy S.A.
     22,800       518  
Aegis Group PLC
     90,919       251  
Aggreko PLC
     28,042       323  
Amec PLC
     39,479       467  
Anglo American PLC
     172,122       10,178  
ARM Holdings PLC
     153,951       453  
Arriva PLC
     22,412       311  
AstraZeneca PLC
     176,738       9,521  
Aviva PLC
     310,787       4,640  
BAE Systems PLC
     393,992       3,204  
Balfour Beatty PLC
     49,298       439  
Barclays PLC
     757,688       10,589  
Barratt Developments PLC
     34,485       688  
BBA Aviation PLC
     42,547       233  
Bellway PLC
     12,326       312  
Berkeley Group Holdings PLC *
     10,745       384  
BG Group PLC
     394,092       6,501  
BHP Billiton PLC
     283,934       7,925  
Biffa PLC
     34,839       190  
Bovis Homes Group PLC
     11,970       215  
BP PLC
     2,263,477       27,405  
British Airways PLC *
     65,339       549  
British American Tobacco PLC
     178,731       6,094  
British Energy Group PLC
     117,260       1,274  
British Land Co. PLC
     60,882       1,638  
British Sky Broadcasting PLC
     131,071       1,684  
Brixton PLC
     29,855       263  
BT Group PLC
     957,877       6,395  
Bunzl PLC
     37,109       518  
Burberry Group PLC
     50,491       696  
Cable & Wireless PLC
     268,204       1,047  
Cadbury Schweppes PLC
     242,738       3,314  
Capita Group PLC
     73,122       1,066  
Carnival PLC
     21,761       1,042  
Carphone Warehouse Group PLC
     49,180       326  
Cattles PLC
     45,207       356  
Centrica PLC
     421,823       3,291  
Charter PLC *
     20,477       454  
Close Brothers Group PLC
     13,261       229  
Cobham PLC
     130,983       535  
Compass Group PLC
     235,884       1,638  
Cookson Group PLC
     19,828       282  
CSR PLC *
     12,382       195  
Daily Mail & General Trust, Class A
     31,695       487  
Davis Service Group PLC
     15,886       199  
De La Rue PLC
     16,220       254  
Diageo PLC
     321,414       6,692  
DSG International PLC
     217,165       692  
Electrocomponents PLC
     48,718       259  
Emap PLC
     23,538       389  
EMI Group PLC
     85,577       461  
Enterprise Inns PLC
     66,188       916  
First Choice Holidays PLC
     52,392       336  
FirstGroup PLC
     51,630       693  
FKI PLC
     53,448       136  
Friends Provident PLC
     198,549       714  
Galiform PLC *
     56,332       154  
GKN PLC
     83,765       670  
GlaxoSmithKline PLC
     671,532       17,596  
Great Portland Estates PLC
     16,315       217  
G4S PLC
     136,741       581  
Hammerson PLC
     33,908       976  
Hanson PLC
     81,089       1,755  
Hays PLC
     174,773       601  
HBOS PLC
     435,905       8,626  
EQUITY INDEX FUNDS      13     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% – CONTINUED
                
United Kingdom - 20.3% – (continued)
                
Home Retail Group
     102,601     $ 946  
HSBC Holdings PLC
     1,357,071       24,933  
ICAP PLC
     62,666       622  
IMI PLC
     36,858       441  
Imperial Chemical Industries PLC
     137,507       1,717  
Imperial Tobacco Group PLC
     78,278       3,626  
Inchcape PLC
     49,530       498  
Intercontinental Hotels Group PLC
     35,147       878  
International Power PLC
     197,703       1,705  
Intertek Group PLC
     18,406       364  
Invensys PLC *
     94,997       731  
Investec PLC
     38,566       498  
Invesco PLC
     93,478       1,213  
ITV PLC
     460,082       1,055  
Johnson Matthey PLC
     24,357       827  
Kelda Group PLC
     30,090       569  
Kelda Group PLC, Class B
     39,118       165  
Kesa Electricals PLC
     62,459       395  
Kingfisher PLC
     274,560       1,249  
Ladbrokes PLC
     67,883       590  
Land Securities Group PLC
     54,743       1,916  
Legal & General Group PLC
     758,453       2,286  
Liberty International PLC
     30,561       703  
Lloyds TSB Group PLC
     652,232       7,281  
LogicaCMG PLC
     168,139       512  
London Stock Exchange Group PLC
     17,883       487  
Man Group PLC
     212,631       2,600  
Marks & Spencer Group PLC
     196,675       2,480  
Meggitt PLC
     80,662       499  
Michael Page International PLC
     38,465       406  
Michells & Butlers PLC
     46,827       827  
Misys PLC
     50,315       237  
National Express Group PLC
     15,984       343  
National Grid PLC
     311,900       4,622  
Next PLC
     26,786       1,081  
Old Mutual PLC
     595,332       2,019  
Pearson PLC
     92,695       1,569  
Persimmon PLC
     32,591       758  
Premier Farnell PLC
     35,671       143  
Provident Financial PLC
     29,908       422  
Prudential PLC
     281,749       4,039  
Punch Taverns PLC
     31,659       782  
Rank Group PLC
     49,456       185  
Reckitt Benckiser PLC
     71,575       3,931  
Reed Elsevier PLC
     148,082       1,922  
Rentokil Initial PLC
     214,537       691  
Resolution PLC
     79,881       1,004  
Reuters Group PLC
     160,542       1,995  
Rexam PLC
     76,908       770  
Rio Tinto PLC
     117,180       9,004  
Rolls-Royce Group PLC *
     209,701       2,267  
Rolls-Royce Group PLC, Class B
     11,282,750       23  
Royal & Sun Alliance Insurance Group PLC
     368,834       1,078  
Royal Bank of Scotland Group PLC
     1,096,724       13,939  
SABMiller PLC
     104,530       2,657  
Sage Group PLC
     156,083       735  
Sainsbury (J.) PLC
     176,591       2,072  
Schroders PLC
     14,039       361  
Scottish & Newcastle PLC
     88,702       1,141  
Scottish & Southern Energy PLC
     99,710       2,901  
Segro Estates PLC
     54,101       679  
Serco Group PLC
     57,233       519  
Severn Trent PLC
     25,806       717  
Signet Group PLC
     197,982       413  
Smith & Nephew PLC
     110,751       1,377  
Smiths Group PLC
     44,794       1,066  
SSL International PLC
     17,784       156  
Stagecoach Group PLC
     50,847       187  
Standard Life PLC
     239,395       1,587  
Stolt-Nielsen S.A.
     3,100       103  
Tate & Lyle PLC
     52,235       595  
Taylor Woodrow PLC
     68,053       493  
Tesco PLC
     932,335       7,834  
Thomas Cook Group PLC *
     50,760       330  
Tomkins PLC
     96,650       505  
Travis Perkins PLC
     13,997       534  
Trinity Mirror PLC
     30,240       321  
Tullet Prebon PLC
     19,798       178  
Unilever PLC
     151,152       4,901  
United Business Media PLC
     26,689       426  
United Utilities PLC
     102,694       1,463  
Vodafone Group PLC
     6,176,541       20,810  
Whitbread PLC
     22,246       790  
William Hill PLC
     38,599       477  
NORTHERN FUNDS QUARTERLY REPORT      14     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
  INTERNATIONAL EQUITY INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 96.8% – CONTINUED
                
United Kingdom - 20.3% – (continued)
                
Wimpey (George) PLC
     46,357     $ 468  
Wolseley PLC
     76,744       1,852  
WPP Group PLC
     137,347       2,064  
Yell Group PLC
     92,705       860  
 
 
             339,689  
 
Total Common Stocks
                
 
(Cost $1,215,506)
             1,622,599  
 
                
PREFERRED STOCKS - 0.3%
                
Germany - 0.3%
                
Henkel KGaA
     20,793       1,100  
Porsche A.G.
     994       1,779  
ProSieben SAT.1 Media A.G.
     10,433       414  
RWE A.G.
     3,658       367  
Volkswagen A.G.
     12,633       1,319  
 
 
             4,979  
 
Italy - 0.0%
                
Unipol S.p.A.
     109,013       375  
 
Total Preferred Stocks
                
 
(Cost $3,050)
             5,354  
 
                
RIGHTS - 0.0%
                
New World Development
     1,587       —  
Unipol S.p.A.
     109,013       —  
Veolia Environnement
     35,805       41  
Westfield Group
     16,468       6  
Zardoya Otis S.A.
     5,571       21  
 
Total Rights
                
 
(Cost $-)
             68  
                 
    NUMBER   VALUE
    OF WARRANTS   (000S)
WARRANTS - 0.0%
                
Dowa Holding Co. Ltd.,Exp. 1/29/10, Strike 1.00 Yen*
     30,000       —  
 
Total Warrants
                
 
(Cost $-)
             -  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 3.0%
                
Dexia Bank Belgium, Brussels, Eurodollar Time Deposit, 5.44%, 7/2/07
   $ 50,836     $ 50,836  
 
Total Short-Term Investment
                
 
(Cost $50,836)
             50,836  
 
                
 
Total Investments - 100.1%
                
 
(Cost $1,269,392)
             1,678,857  
Liabilities less Other Assets — (0.1)%
             (1,822 )
NET ASSETS - 100.0%
           $ 1,677,035  
 
*   Non-Income Producing Security Percentages shown are based on Net Assets.
At June 30, 2007, the International Equity Index Fund had open futures contract as follows:
                                         
            NOTIONAL                   UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   GAIN (LOSS)
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
DJ Euro Stoxx 50
     380     $ 17,157     Long     9/07     $ 470  
FTSE 100 Index
     87       5,775     Long     9/07       101  
Hang Seng Index
     10       10,938     Long     7/07       —  
SPI 200
     25       3,923     Long     9/07       (68 )
TOPIX Index
     73       1,295,750     Long     9/07       (5 )
 
Total
                                   $ 498  
EQUITY INDEX FUNDS      15     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
At June 30, 2007, the International Equity Index Fund’s investments were diversified as follows:
         
    % OF LONG-TERM
INDUSTRY SECTOR   INVESTMENTS
Consumer Discretionary
     11.7 %
Consumer Staples
     7.8  
Energy
     7.5  
Financials
     28.8  
Health Care
     6.3  
Industrials
     12.1  
Information Technology
     5.5  
Materials
     9.6  
Telecommunication Services
     5.4  
Utilities
     5.3  
Total
     100.0 %
At June 30, 2007, the International Equity Index Fund’s investments were denominated in the following currencies:
         
CONCENTRATION BY CURRENCY   PERCENTAGE
Euro
     35.5 %
British Pound
     23.1  
Japanese Yen
     21.1  
Swiss Franc
     6.6  
Australian Dollar
     6.2  
All other currencies less than 5%
     7.5  
Total
     100.0 %
At June 30, 2007, the International Equity Index Fund had outstanding foreign currency contracts as follows:
                                     
    AMOUNT   IN   AMOUNT            
CONTRACTS   (LOCAL   EXCHANGE   (LOCAL           UNREALIZED
TO DELIVER   CURRENCY)   FOR   CURRENCY)   SETTLEMENT   GAIN (LOSS)
CURRENCY   (000S)   CURRENCY   (000S)   DATE   (000S)
 
           Australian                        
U.S. Dollar
     1,609     Dollar     1,900       7/2/07     $ 2  
 
           British                        
U.S. Dollar
     5,606     Pound     2,800       7/2/07       16  
 
           Danish                        
U.S. Dollar
     36     Krone     200       7/2/07       —  
U.S. Dollar
     8,081     Euro     6,000       7/2/07       41  
 
           Japanese                        
U.S. Dollar
     5,347     Yen     658,000       7/2/07       —  
 
           Norwegian                        
U.S. Dollar
     254     Krone     1,500       7/2/07       —  
 
           Singapore                        
U.S. Dollar
     261     Dollar     400       7/2/07       —  
 
           Swedish                        
U.S. Dollar
     146     Krona     1,000       7/2/07       —  
 
           Swiss                        
U.S. Dollar
     1,628     Franc     2,000       7/2/07       10  
 
           Hong Kong                        
U.S. Dollar
     397     Dollar     3,100       7/3/07       —  
Australian Dollar
     1,900     U.S. Dollar     1,605       9/19/07       (2 )
British Pound
     2,800     U.S. Dollar     5,600       9/19/07       (16 )
Euro
     6,000     U.S. Dollar     8,101       9/19/07       (41 )
Hong Kong Dollar
     3,100     U.S. Dollar     397       9/19/07       —  
Japanese Yen
     658,000     U.S. Dollar     5,401       9/19/07       —  
 
           Australian                        
U.S. Dollar
     2,000     Dollar     2,385       9/19/07       17  
 
           Australian                        
U.S. Dollar
     800     Dollar     949       9/19/07       2  
 
           Australian                        
U.S. Dollar
     630     Dollar     744       9/19/07       —  
 
           British                        
U.S. Dollar
     8,220     Pound     4,163       9/19/07       130  
 
           British                        
U.S. Dollar
     1,000     Pound     502       9/19/07       7  
 
           British                        
U.S. Dollar
     780     Pound     392       9/19/07       6  
 
           British                        
U.S. Dollar
     440     Pound     220       9/19/07       2  
U.S. Dollar
     16,900     Euro     12,598       9/19/07       198  
U.S. Dollar
     2,700     Euro     2,006       9/19/07       23  
U.S. Dollar
     1,020     Euro     759       9/19/07       10  
NORTHERN FUNDS QUARTERLY REPORT      16     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   INTERNATIONAL EQUITY INDEX FUND (continued)
                                     
    AMOUNT   IN   AMOUNT            
CONTRACTS   (LOCAL   EXCHANGE   (LOCAL           UNREALIZED
TO DELIVER   CURRENCY)   FOR   CURRENCY)   SETTLEMENT   GAIN (LOSS)
CURRENCY   (000S)   CURRENCY   (000S)   DATE   (000S)
U.S. Dollar
     1,270     Euro     941       9/19/07       7  
 
           Hong Kong                        
U.S. Dollar
     1,300     Dollar     10,142       9/19/07       —  
 
           Japanese                        
U.S. Dollar
     9,700     Yen     1,184,091       9/19/07       21  
 
           Japanese                        
U.S. Dollar
     700     Yen     85,543       9/19/07       2  
 
           Japanese                        
U.S. Dollar
     600     Yen     73,351       9/19/07       2  
 
           Japanese                        
U.S. Dollar
     410     Yen     50,259       9/19/07       3  
 
Total
                               $ 440  
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
                 
Federal tax cost of investments
   $ 1,269,392          
Gross tax appreciation of investments
   $ 421,311          
Gross tax depreciation of investments
     (11,846 )        
 
Net tax appreciation of investments
   $ 409,465          
 
EQUITY INDEX FUNDS      17     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  MID CAP INDEX FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8%
                
Advertising - 0.2%
                
Catalina Marketing Corp.
     10,900     $ 343  
Harte-Hanks, Inc.
     12,300       316  
 
 
             659  
 
Aerospace/Defense - 0.5%
                
Alliant Techsystems, Inc. *
     9,989       990  
DRS Technologies, Inc.
     11,400       653  
Sequa Corp., Class A *
     1,800       202  
 
 
             1,845  
 
Agriculture - 0.1%
                
Universal Corp. of Virginia
     8,100       493  
Airlines - 0.3%
                
Airtran Holdings, Inc. *
     27,100       296  
Alaska Air Group, Inc. *
     12,100       337  
JetBlue Airways Corp. *
     50,850       598  
 
 
             1,231  
 
Apparel - 0.6%
                
Hanesbrands, Inc. *
     28,700       776  
Phillips-Van Heusen Corp.
     16,100       975  
Timberland (The) Co., Class A *
     14,300       360  
 
 
             2,111  
 
Auto Manufacturers - 0.4%
                
Oshkosh Truck Corp.
     22,100       1,391  
Auto Parts & Equipment - 0.8%
                
ArvinMeritor, Inc.
     21,000       466  
BorgWarner, Inc.
     16,900       1,454  
Lear Corp. *
     21,100       752  
Modine Manufacturing Co.
     8,800       199  
 
 
             2,871  
 
Banks – 2.8%
                
Associated Banc-Corp.
     35,282       1,154  
Bank of Hawaii Corp.
     13,000       671  
Cathay General Bancorp
     13,500       453  
City National Corp. of California
     12,300       936  
Colonial BancGroup (The), Inc.
     43,900       1,096  
Cullen/Frost Bankers, Inc.
     18,000       962  
First Community Bancorp, Inc. of California
     7,500       429  
FirstMerit Corp.
     25,600       536  
Greater Bay Bancorp
     16,300       454  
SVB Financial Group *
     10,700       568  
TCF Financial Corp.
     34,100       948  
Webster Financial Corp.
     14,872       635  
Banks - 2.8% – (continued)
                
Westamerica Bancorporation
     7,800       345  
Wilmington Trust Corp.
     18,000       747  
 
 
             9,934  
 
Beverages - 0.3%
                
Hansen Natural Corp. *
     18,000       774  
PepsiAmericas, Inc.
     16,000       393  
 
 
             1,167  
 
Biotechnology - 1.5%
                
Affymetrix, Inc. *
     20,800       518  
Charles River Laboratories International, Inc. *
     19,964       1,031  
Invitrogen Corp. *
     14,000       1,032  
Millennium Pharmaceuticals, Inc. *
     93,400       987  
PDL BioPharma, Inc. *
     32,616       760  
Vertex Pharmaceuticals, Inc. *
     38,800       1,108  
 
 
             5,436  
 
Building Materials - 0.8%
                
Florida Rock Industries, Inc.
     13,800       932  
Martin Marietta Materials, Inc.
     12,186       1,974  
 
 
             2,906  
 
Chemicals - 3.4%
                
Airgas, Inc.
     21,600       1,035  
Albemarle Corp.
     23,900       921  
Cabot Corp.
     19,000       906  
Chemtura Corp.
     66,400       738  
Cytec Industries, Inc.
     12,700       810  
Ferro Corp.
     11,900       297  
FMC Corp.
     11,600       1,037  
Lubrizol Corp.
     20,400       1,317  
Lyondell Chemical Co.
     62,100       2,305  
Minerals Technologies, Inc.
     5,400       361  
Olin Corp.
     22,100       464  
RPM International, Inc.
     33,300       769  
Sensient Technologies Corp.
     12,200       310  
Valspar Corp.
     29,400       835  
 
 
             12,105  
 
Coal - 0.4%
                
Arch Coal, Inc.
     40,700       1,416  
Commercial Services - 4.9%
                
Alliance Data Systems Corp. *
     18,800       1,453  
Avis Budget Group, Inc. *
     27,920       794  
Career Education Corp. *
     27,900       942  
EQUITY INDEX FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8% – CONTINUED
                
Commercial Services - 4.9% – (continued)
                
ChoicePoint, Inc. *
     21,900     $ 930  
Corinthian Colleges, Inc. *
     27,000       440  
Corporate Executive Board Co.
     11,300       733  
Deluxe Corp.
     15,000       609  
DeVry, Inc.
     16,800       572  
Gartner, Inc. *
     14,600       359  
ITT Educational Services, Inc. *
     9,400       1,103  
Kelly Services, Inc., Class A
     5,200       143  
Korn/Ferry International *
     13,200       347  
Laureate Education, Inc. *
     15,100       931  
Manpower, Inc.
     24,800       2,288  
MPS Group, Inc. *
     26,500       354  
Navigant Consulting, Inc. *
     9,020       167  
Pharmaceutical Product Development, Inc.
     30,600       1,171  
Quanta Services, Inc. *
     33,900       1,040  
Rent-A-Center, Inc. *
     21,300       559  
Rollins, Inc.
     7,900       180  
Sotheby’s
     16,100       741  
Strayer Education, Inc.
     4,400       579  
TravelCenters of America LLC — Fractional Share *
     80,000       —  
United Rentals, Inc. *
     19,700       641  
Valassis Communications, Inc. *
     13,000       223  
 
 
             17,299  
 
Computers - 2.9%
                
BISYS Group (The), Inc. *
     36,800       435  
Cadence Design Systems, Inc. *
     81,600       1,792  
Ceridian Corp. *
     42,500       1,487  
Diebold, Inc.
     20,000       1,044  
DST Systems, Inc. *
     16,020       1,269  
Henry (Jack) & Associates, Inc.
     20,800       536  
Imation Corp.
     10,200       376  
Mentor Graphics Corp. *
     26,300       346  
Palm, Inc. *
     30,400       487  
SRA International, Inc., Class A *
     11,800       298  
Synopsys, Inc. *
     40,400       1,068  
Western Digital Corp. *
     63,000       1,219  
 
 
             10,357  
 
Cosmetics/Personal Care - 0.2%
                
Alberto-Culver Co.
     23,900       567  
Distribution/Wholesale - 1.3%
                
CDW Corp. *
     18,100       1,538  
Fastenal Co.
     37,300       1,561  
Ingram Micro, Inc., Class A *
     39,000       847  
Tech Data Corp. *
     16,500       635  
 
 
             4,581  
 
Diversified Financial Services - 2.4%
                
AmeriCredit Corp. *
     32,800       871  
Eaton Vance Corp.
     35,600       1,573  
Edwards (A.G.), Inc.
     22,300       1,886  
IndyMac Bancorp, Inc.
     21,700       633  
Jefferies Group, Inc.
     30,400       820  
Nuveen Investments, Inc., Class A
     22,500       1,398  
Raymond James Financial, Inc.
     25,100       776  
Waddell & Reed Financial, Inc., Class A
     23,700       616  
 
 
             8,573  
 
Electric - 5.1%
                
Alliant Energy Corp.
     34,400       1,337  
Aquila, Inc. *
     97,700       400  
Black Hills Corp.
     11,700       465  
DPL, Inc.
     33,700       955  
Energy East Corp.
     47,100       1,229  
Great Plains Energy, Inc.
     22,500       655  
Hawaiian Electric Industries, Inc.
     20,600       488  
Idacorp, Inc.
     13,600       436  
MDU Resources Group, Inc.
     51,150       1,434  
Northeast Utilities
     45,700       1,296  
NSTAR
     28,600       928  
OGE Energy Corp.
     24,800       909  
Pepco Holdings, Inc.
     57,900       1,633  
PNM Resources, Inc.
     22,785       633  
Puget Energy, Inc.
     30,700       742  
SCANA Corp.
     35,000       1,340  
Sierra Pacific Resources *
     61,300       1,076  
Westar Energy, Inc.
     27,300       663  
Wisconsin Energy Corp.
     34,900       1,544  
 
 
             18,163  
 
Electrical Components & Equipment - 1.1%
                
Ametek, Inc.
     29,750       1,181  
Energizer Holdings, Inc. *
     16,600       1,653  
Hubbell, Inc., Class B
     17,400       943  
 
 
             3,777  
 
Electronics - 2.4%
                
Amphenol Corp., Class A
     52,948       1,887  
Arrow Electronics, Inc. *
     34,400       1,322  
NORTHERN FUNDS QUARTERLY REPORT     2     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  MID CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8% – CONTINUED
                
Electronics - 2.4% – (continued)
                
Avnet, Inc. *
     37,100     $ 1,471  
Gentex Corp.
     42,600       839  
Kemet Corp. *
     22,500       159  
National Instruments Corp.
     15,300       498  
Thomas & Betts Corp. *
     15,000       870  
Varian, Inc. *
     9,100       499  
Vishay Intertechnology, Inc. *
     51,100       808  
 
 
             8,353  
 
Engineering & Construction - 1.2%
                
Dycom Industries, Inc. *
     12,400       372  
Granite Construction, Inc.
     9,900       635  
Jacobs Engineering Group, Inc. *
     34,500       1,984  
KBR, Inc. *
     48,800       1,280  
 
 
             4,271  
 
Entertainment - 0.5%
                
International Speedway Corp., Class A
     10,000       527  
Macrovision Corp. *
     16,200       487  
Scientific Games Corp., Class A *
     20,000       699  
 
 
             1,713  
 
Environmental Control - 0.8%
                
Mine Safety Appliances Co.
     7,600       333  
Republic Services, Inc.
     48,950       1,500  
Stericycle, Inc. *
     25,200       1,120  
 
 
             2,953  
 
Food - 1.0%
                
Hormel Foods Corp.
     22,000       822  
JM Smucker (The) Co.
     17,000       1,082  
Ruddick Corp.
     9,100       274  
Smithfield Foods, Inc. *
     35,200       1,084  
Tootsie Roll Industries, Inc.
     6,883       191  
 
 
             3,453  
 
Forest Products & Paper - 0.3%
                
Bowater, Inc.
     17,300       432  
Louisiana-Pacific Corp.
     30,700       581  
 
             1,013  
Gas - 0.5%
                
AGL Resources, Inc.
     22,000       890  
Vectren Corp.
     19,300       520  
WGL Holdings, Inc.
     12,400       405  
 
 
             1,815  
 
Hand/Machine Tools - 0.5%
                
Kennametal, Inc.
     11,600       951  
Lincoln Electric Holdings, Inc.
     12,200       906  
 
 
             1,857  
 
Healthcare — Products - 3.8%
                
Advanced Medical Optics, Inc. *
     16,300       569  
Beckman Coulter, Inc.
     18,600       1,203  
Cytyc Corp. *
     33,600       1,448  
Dentsply International, Inc.
     44,800       1,714  
Edwards Lifesciences Corp. *
     16,600       819  
Gen-Probe, Inc. *
     15,800       955  
Henry Schein, Inc. *
     26,600       1,421  
Hillenbrand Industries, Inc.
     17,200       1,118  
Intuitive Surgical, Inc. *
     10,700       1,485  
Resmed, Inc. *
     21,900       904  
STERIS Corp.
     18,400       563  
Techne Corp. *
     10,700       612  
Ventana Medical Systems, Inc. *
     10,200       788  
 
 
             13,599  
 
Healthcare — Services - 3.2%
                
Apria Healthcare Group, Inc. *
     13,600       391  
Community Health Systems, Inc. *
     26,700       1,080  
Covance, Inc. *
     19,100       1,310  
Health Management Associates, Inc., Class A
     73,600       836  
Health Net, Inc. *
     33,300       1,758  
Kindred Healthcare, Inc. *
     10,100       310  
LifePoint Hospitals, Inc. *
     17,200       666  
Lincare Holdings, Inc. *
     25,500       1,016  
Psychiatric Solutions, Inc. *
     16,600       602  
Triad Hospitals, Inc. *
     25,203       1,355  
Universal Health Services, Inc., Class B
     16,389       1,008  
WellCare Health Plans, Inc. *
     9,600       869  
 
 
             11,201  
 
Holding Companies — Diversified - 0.5%
                
Leucadia National Corp.
     46,900       1,653  
Home Builders - 1.1%
                
Beazer Homes USA, Inc.
     11,500       284  
Hovnanian Enterprises, Inc., Class A *
     11,700       193  
MDC Holdings, Inc.
     10,800       522  
NVR, Inc. *
     1,400       952  
Ryland Group, Inc.
     12,900       482  
Thor Indu stries, Inc.
     9,400       424  
EQUITY INDEX FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8% – CONTINUED
                
Home Builders - 1.1% – (continued)
                
Toll Brothers, Inc. *
     35,300     $ 882  
 
 
             3,739  
 
Home Furnishings - 0.1%
                
Furniture Brands International, Inc.
     15,500       220  
Household Products/Wares - 0.7%
                
American Greetings Corp., Class A
     18,000       510  
Blyth, Inc.
     6,500       173  
Church & Dwight, Inc.
     18,800       911  
Scotts Miracle-Gro (The) Co., Class A
     12,300       528  
Tupperware Brands Corp.
     18,600       534  
 
 
             2,656  
 
Insurance - 5.3%
                
American Financial Group, Inc. of Ohio
     18,600       635  
Brown & Brown, Inc.
     32,900       827  
Commerce Group, Inc.
     12,700       441  
Everest Re Group Ltd.
     18,800       2,043  
Fidelity National Financial, Inc., Class A
     66,077       1,566  
First American Corp.
     28,821       1,427  
Gallagher (Arthur J.) & Co.
     29,600       825  
Hanover Insurance Group (The), Inc.
     14,128       689  
HCC Insurance Holdings, Inc.
     34,000       1,136  
Horace Mann Educators Corp.
     10,900       232  
Mercury General Corp.
     9,000       496  
Ohio Casualty Corp.
     17,900       775  
Old Republic International Corp.
     63,500       1,350  
PMI Group (The), Inc.
     26,100       1,166  
Protective Life Corp.
     21,100       1,009  
Radian Group, Inc.
     23,600       1,274  
Stancorp Financial Group, Inc.
     15,000       787  
Unitrin, Inc.
     10,600       521  
W.R. Berkley Corp.
     51,075       1,662  
 
 
             18,861  
 
Internet - 1.6%
                
Avocent Corp. *
     15,000       435  
Checkfree Corp. *
     26,200       1,053  
Digital River, Inc. *
     11,600       525  
F5 Networks, Inc. *
     11,800       951  
McAfee, Inc. *
     45,500       1,602  
NetFlix, Inc. *
     17,800       345  
ValueClick, Inc. *
     27,800       819  
 
 
             5,730  
 
Iron/Steel - 0.9%
                
Carpenter Technology Corp.
     7,500       977  
Reliance Steel & Aluminum Co.
     18,400       1,035  
Steel Dynamics, Inc.
     25,500       1,069  
 
 
             3,081  
 
Leisure Time - 0.1%
                
Callaway Golf Co.
     19,200       342  
Lodging - 0.2%
                
Boyd Gaming Corp.
     12,500       615  
Machinery — Construction & Mining - 0.5%
                
Joy Global, Inc.
     31,750       1,852  
Machinery — Diversified - 1.2%
                
AGCO Corp. *
     25,900       1,124  
Flowserve Corp.
     16,300       1,167  
Graco, Inc.
     20,400       822  
Nordson Corp.
     10,500       527  
Zebra Technologies Corp., Class A *
     20,100       778  
 
 
             4,418  
 
Media - 1.0%
                
Belo Corp., Class A
     27,000       556  
Entercom Communications Corp.
     8,000       199  
Lee Enterprises, Inc.
     12,700       265  
Media General, Inc., Class A
     7,900       263  
Scholastic Corp. *
     8,400       302  
Washington Post (The), Co., Class B
     1,540       1,195  
Westwood One, Inc.
     17,900       129  
Wiley (John) & Sons, Inc., Class A
     11,700       565  
 
 
             3,474  
 
Metal Fabrication/Hardware - 0.7%
                
Commercial Metals Co.
     33,000       1,115  
Timken Co.
     26,900       971  
Worthington Industries, Inc.
     20,700       448  
 
 
             2,534  
 
Miscellaneous Manufacturing - 3.1%
                
Brink’s (The) Co.
     14,400       891  
Carlisle Cos., Inc.
     18,100       842  
Crane Co.
     13,700       623  
Donaldson Co., Inc.
     18,500       658  
Federal Signal Corp.
     12,600       200  
Harsco Corp.
     24,200       1,258  
Lancaster Colony Corp.
     6,100       255  
Matthews International Corp., Class A
     9,000       392  
NORTHERN FUNDS QUARTERLY REPORT     4     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  MID CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8% – CONTINUED
                
Miscellaneous Manufacturing - 3.1% – (continued)
                
Pentair, Inc.
     29,600     $ 1,142  
Roper Industries, Inc.
     24,800       1,416  
SPX Corp.
     17,000       1,493  
Teleflex, Inc.
     10,600       867  
Trinity Industries, Inc.
     22,850       995  
 
 
             11,032  
 
Office Furnishings - 0.3%
                
Herman Miller, Inc.
     18,900       597  
HNI Corp.
     12,700       521  
 
 
             1,118  
 
Oil & Gas - 5.7%
                
Cimarex Energy Co.
     22,700       895  
Denbury Resources, Inc. *
     36,300       1,361  
Encore Acquisition Co. *
     16,500       459  
Forest Oil Corp. *
     22,900       968  
Frontier Oil Corp.
     31,900       1,396  
Helmerich & Payne, Inc.
     29,100       1,031  
Newfield Exploration Co. *
     37,500       1,708  
Noble Energy, Inc.
     48,808       3,045  
Patterson-UTI Energy, Inc.
     46,700       1,224  
Pioneer Natural Resources Co.
     35,300       1,720  
Plains Exploration & Production Co. *
     21,400       1,023  
Pogo Producing Co.
     17,600       894  
Pride International, Inc. *
     46,900       1,757  
Quicksilver Resources, Inc. *
     15,100       673  
Southwestern Energy Co. *
     48,100       2,140  
 
 
             20,294  
 
Oil & Gas Services - 2.1%
                
Cameron International Corp. *
     31,600       2,259  
FMC Technologies, Inc. *
     19,600       1,553  
Grant Prideco, Inc. *
     36,400       1,959  
Hanover Compressor Co. *
     28,600       682  
Superior Energy Services, Inc. *
     23,600       942  
 
 
             7,395  
 
Packaging & Containers - 0.5%
                
Packaging Corp. of America
     25,500       646  
Sonoco Products Co.
     27,900       1,194  
 
 
             1,840  
 
Pharmaceuticals - 2.4%
                
Cephalon, Inc. *
     18,800       1,511  
Endo Pharmaceuticals Holdings, Inc. *
     38,400       1,314  
Medicis Pharmaceutical Corp., Class A
     16,600       507  
NBTY, Inc. *
     15,800       683  
Omnicare, Inc.
     34,100       1,230  
Par Pharmaceutical Cos., Inc. *
     10,000       282  
Perrigo Co.
     23,500       460  
Sepracor, Inc. *
     31,100       1,276  
Valeant Pharmaceuticals International
     25,600       427  
VCA Antech, Inc. *
     23,100       871  
 
 
             8,561  
 
Pipelines - 1.3%
                
Equitable Resources, Inc.
     36,400       1,804  
National Fuel Gas Co.
     25,500       1,104  
Oneok, Inc.
     33,200       1,674  
 
 
             4,582  
 
Real Estate Investment Trusts - 3.7%
                
AMB Property Corp.
     27,900       1,485  
Cousins Properties, Inc.
     11,600       336  
Equity One, Inc.
     10,300       263  
Highwoods Properties, Inc.
     16,400       615  
Hospitality Properties Trust
     26,938       1,118  
Liberty Property Trust
     27,000       1,186  
Macerich (The) Co.
     20,849       1,718  
Mack-Cali Realty Corp.
     18,800       818  
Nationwide Health Properties, Inc.
     26,800       729  
Potlatch Corp.
     10,428       449  
Rayonier, Inc.
     23,650       1,067  
Regency Centers Corp.
     20,366       1,436  
UDR, Inc.
     40,300       1,060  
Weingarten Realty Investors
     23,318       958  
 
 
             13,238  
 
Retail - 7.4%
                
99 Cents Only Stores *
     14,100       185  
Advance Auto Parts, Inc.
     29,950       1,214  
Aeropostale, Inc. *
     15,600       650  
American Eagle Outfitters, Inc.
     56,400       1,447  
AnnTaylor Stores Corp. *
     20,200       715  
Applebee’s International, Inc.
     21,600       521  
Barnes & Noble, Inc.
     15,500       596  
BJ’s Wholesale Club, Inc. *
     18,600       670  
Bob Evans Farms, Inc.
     10,000       369  
Borders Group, Inc.
     18,800       358  
Brinker International, Inc.
     31,800       931  
EQUITY INDEX FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8% – CONTINUED
                
Retail - 7.4% – (continued)
                
Carmax, Inc. *
     61,400     $ 1,566  
CBRL Group, Inc.
     8,044       342  
Charming Shoppes, Inc. *
     36,504       395  
Cheesecake Factory (The), Inc. *
     21,700       532  
Chico’s FAS, Inc. *
     50,200       1,222  
Coldwater Creek, Inc. *
     17,896       416  
Copart, Inc. *
     20,500       627  
Dick’s Sporting Goods, Inc. *
     11,000       640  
Dollar Tree Stores, Inc. *
     30,100       1,311  
Foot Locker, Inc.
     42,800       933  
GameStop Corp., Class A *
     43,600       1,705  
MSC Industrial Direct Co., Class A
     14,700       809  
O’Reilly Automotive, Inc. *
     31,700       1,159  
Pacific Sunwear of California, Inc. *
     20,600       453  
Payless Shoesource, Inc. *
     19,400       612  
Petsmart, Inc.
     40,600       1,317  
Regis Corp.
     11,800       451  
Ross Stores, Inc.
     41,000       1,263  
Ruby Tuesday, Inc.
     15,200       400  
Saks, Inc.
     41,800       892  
Urban Outfitters, Inc. *
     31,200       750  
Williams-Sonoma, Inc.
     31,100       982  
 
 
             26,433  
 
Savings & Loans - 0.9%
                
Astoria Financial Corp.
     25,200       631  
First Niagara Financial Group, Inc.
     34,582       453  
New York Community Bancorp, Inc.
     83,208       1,416  
Washington Federal, Inc.
     22,200       540  
 
 
             3,040  
 
Semiconductors - 3.3%
                
Atmel Corp. *
     123,200       685  
Cree, Inc. *
     25,000       646  
Cypress Semiconductor Corp. *
     43,200       1,006  
Fairchild Semiconductor International, Inc. *
     34,300       663  
Integrated Device Technology, Inc. *
     57,130       872  
International Rectifier Corp. *
     20,000       745  
Intersil Corp., Class A
     40,100       1,262  
Lam Research Corp. *
     39,200       2,015  
Lattice Semiconductor Corp. *
     36,400       208  
Micrel, Inc.
     17,900       228  
Microchip Technology, Inc.
     63,000       2,333  
Semtech Corp. *
     20,500       355  
Silicon Laboratories, Inc. *
     16,500       571  
Triquint Semiconductor, Inc. *
     36,300       184  
 
 
             11,773  
 
Software - 3.2%
                
Activision, Inc. *
     71,244       1,330  
Acxiom Corp.
     20,575       544  
Advent Software, Inc. *
     4,800       156  
Broadridge Financial Solutions, Inc.
     38,900       744  
Cerner Corp. *
     19,300       1,070  
CSG Systems International, Inc. *
     13,500       358  
Dun & Bradstreet Corp.
     17,087       1,760  
Fair Isaac Corp.
     17,100       686  
Global Payments, Inc.
     19,800       785  
MoneyGram International, Inc.
     23,100       646  
Parametric Technology Corp. *
     34,100       737  
SEI Investments Co.
     38,400       1,115  
Sybase, Inc. *
     27,713       662  
Transaction Systems Architects, Inc. *
     11,600       390  
Wind River Systems, Inc. *
     19,700       217  
 
 
             11,200  
 
Telecommunications - 2.9%
                
3Com Corp. *
     118,600       490  
ADC Telecommunications, Inc. *
     34,000       623  
Adtran, Inc.
     18,400       478  
Andrew Corp. *
     46,000       664  
Cincinnati Bell, Inc. *
     74,700       432  
CommScope, Inc. *
     17,900       1,044  
Harris Corp.
     39,700       2,165  
NeuStar, Inc., Class A *
     19,500       565  
Plantronics, Inc.
     12,500       328  
Polycom, Inc. *
     27,000       907  
Powerwave Technologies, Inc. *
     38,200       256  
RF Micro Devices, Inc. *
     57,000       356  
Telephone & Data Systems, Inc.
     30,300       1,896  
UTStarcom, Inc. *
     27,600       155  
 
 
             10,359  
 
Textiles - 0.4%
                
Mohawk Industries, Inc. *
     15,200       1,532  
Transportation - 2.1%
                
Alexander & Baldwin, Inc.
     12,100       643  
Con-way, Inc.
     13,791       693  
Expeditors International Washington, Inc.
     60,600       2,503  
NORTHERN FUNDS QUARTERLY REPORT     6     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  MID CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.8% – CONTINUED
                
Transportation - 2.1% – (continued)
                
Hunt (J.B.) Transport Services, Inc.
     30,700     $ 900  
Overseas Shipholding Group
     6,800       553  
Tidewater, Inc.
     17,100       1,212  
Werner Enterprises, Inc.
     15,400       310  
YRC Worldwide, Inc. *
     16,900       622  
 
 
             7,436  
 
Trucking & Leasing - 0.2%
                
GATX Corp.
     15,400       758  
Water - 0.2%
                
Aqua America, Inc.
     39,466       888  
 
Total Common Stocks
                
 
(Cost $294,460)
             347,764  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 2.1%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/02/07
   $ 6,751       6,751  
U.S. Treasury Bill, (1)
4.99%, 8/9/07
     565       562  
 
Total Short-Term Investments
                
 
(Cost $7,313)
             7,313  
 
                
 
Total Investments - 99.9%
                
 
(Cost $301,773)
             355,077  
Other Assets less Liabilities - 0.1%
             304  
NET ASSETS - 100.0%
           $ 355,381  
 
(1)   Security pledged as collateral to cover margin requirements for open futures contracts.
 
*   Non-Income Producing Security
 
    Percentages shown are based on Net Assets.
At June 30, 2007, the Mid Cap Index Fund had open futures contracts as follows:
                                         
            NOTIONAL                   UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   LOSS
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
S&P Midcap
400 E-Mini
     85     $ 7,685     Long     9/07     $ (23 )
 
Federal Tax Information:
                                        
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
 
Federal tax cost of investments   $ 301,773  
Gross tax appreciation of investments                           $ 62,382  
Gross tax depreciation of investments                             (9,078 )
 
Net tax appreciation of investments                           $ 53,304  
 
EQUITY INDEX FUNDS      7      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
     SMALL CAP INDEX FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3%
                
Advertising - 0.3%
                
Catalina Marketing Corp.
     9,400     $ 296  
Gaiam, Inc., Class A *
     4,400       80  
Greenfield Online, Inc. *
     6,600       105  
inVentiv Health, Inc. *
     8,000       293  
Marchex, Inc., Class B
     6,300       103  
ValueVision Media, Inc., Class A *
     9,500       108  
 
 
             985  
 
Aerospace/Defense - 1.1%
                
AAR Corp. *
     9,800       323  
Aerovironment, Inc. *
     1,079       22  
Argon ST, Inc. *
     3,640       84  
Curtiss-Wright Corp.
     11,500       536  
EDO Corp.
     4,500       148  
Esterline Technologies Corp. *
     6,800       328  
GenCorp, Inc. *
     14,500       190  
Heico Corp.
     6,200       261  
Innovative Solutions & Support, Inc. *
     3,300       77  
Kaman Corp.
     6,600       206  
Moog, Inc., Class A *
     9,962       439  
MTC Technologies, Inc. *
     2,800       69  
Orbital Sciences Corp. *
     15,400       324  
Sequa Corp., Class A *
     1,800       202  
Teledyne Technologies, Inc. *
     9,100       418  
TransDigm Group, Inc. *
     2,582       104  
Triumph Group, Inc.
     4,300       282  
United Industrial Corp. of New York
     2,200       132  
 
 
             4,145  
 
Agriculture - 0.3%
                
Alico, Inc.
     1,100       67  
Alliance One International, Inc. *
     24,800       249  
Andersons (The), Inc.
     3,900       177  
Cadiz, Inc. *
     1,900       43  
Maui Land & Pineapple Co., Inc. *
     1,100       40  
Tejon Ranch Co. *
     3,000       133  
Universal Corp. of Virginia
     7,000       426  
Vector Group Ltd.
     7,645       172  
 
 
             1,307  
 
Airlines - 0.5%
                
Airtran Holdings, Inc. *
     23,700       259  
Alaska Air Group, Inc. *
     10,700       298  
Allegiant Travel Co. *
     828       25  
ExpressJet Holdings, Inc. *
     13,600       81  
JetBlue Airways Corp. *
     46,900       551  
Midwest Air Group, Inc. *
     5,600       84  
Pinnacle Airlines Corp. *
     5,900       111  
Republic Airways Holdings, Inc. *
     10,100       206  
Skywest, Inc.
     17,200       410  
 
 
             2,025  
 
Apparel - 1.3%
                
Carter’s, Inc. *
     14,400       374  
Cherokee, Inc.
     2,600       95  
Columbia Sportswear Co.
     3,600       247  
Deckers Outdoor Corp. *
     3,200       323  
G-III Apparel Group Ltd. *
     2,600       41  
Gymboree Corp. *
     8,500       335  
Heelys, Inc. *
     1,200       31  
Iconix Brand Group, Inc. *
     13,900       309  
K-Swiss, Inc., Class A
     7,100       201  
Kellwood Co.
     6,750       190  
Maidenform Brands, Inc. *
     5,300       105  
Oxford Industries, Inc.
     4,100       182  
Perry Ellis International, Inc. *
     3,500       113  
Quiksilver, Inc. *
     32,300       456  
Skechers U.S.A., Inc., Class A *
     4,700       137  
Steven Madden Ltd.
     5,700       187  
Stride Rite Corp.
     10,100       205  
Timberland (The) Co., Class A *
     12,200       307  
True Religion Apparel, Inc. *
     4,300       87  
Volcom, Inc. *
     4,094       205  
Warnaco Group (The), Inc. *
     12,000       472  
Weyco Group, Inc.
     1,900       51  
Wolverine World Wide, Inc.
     14,100       391  
 
 
             5,044  
 
Auto Manufacturers - 0.2%
                
A.S.V., Inc. *
     5,600       97  
Force Protection, Inc. *
     18,100       374  
Wabash National Corp.
     7,900       115  
 
 
             586  
 
Auto Parts & Equipment - 1.1%
                
Accuride Corp. *
     6,200       96  
Aftermarket Technology Corp. *
     5,700       169  
American Axle & Manufacturing Holdings, Inc.
     11,600       344  
Amerigon, Inc. *
     5,900       106  
ArvinMeritor, Inc.
     18,500       411  
EQUITY INDEX FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Auto Parts & Equipment - 1.1% – (continued)
                
Commercial Vehicle Group, Inc. *
     5,800     $ 108  
Cooper Tire & Rubber Co.
     16,000       442  
Exide Technologies *
     14,500       135  
Hayes Lemmerz International, Inc. *
     22,800       122  
Keystone Automotive Industries, Inc. *
     4,400       182  
Lear Corp. *
     19,900       709  
Miller Industries, Inc. of Tennessee *
     2,600       65  
Modine Manufacturing Co.
     8,400       190  
Noble International Ltd.
     3,150       64  
Spartan Motors, Inc.
     7,800       133  
Standard Motor Products, Inc.
     3,200       48  
Superior Industries International, Inc.
     5,900       128  
Tenneco, Inc. *
     12,200       427  
Titan International, Inc.
     5,800       183  
Visteon Corp. *
     33,600       272  
 
 
             4,334  
 
Banks - 6.0%
                
1st Source Corp.
     3,608       90  
Alabama National Bancorp
     4,300       266  
Amcore Financial, Inc.
     5,982       173  
AmericanWest Bancorp
     3,220       59  
Ameris Bancorp
     3,520       79  
Bancfirst Corp.
     1,928       83  
Banco Latinoamericano de Exportaciones S.A., Class E
     6,100       115  
Bancorp, Inc. of Delaware *
     2,985       67  
Bank Mutual Corp.
     14,306       165  
Bank of the Ozarks, Inc.
     3,300       92  
Banner Corp.
     3,400       116  
Boston Private Financial Holdings, Inc.
     9,500       255  
Capital City Bank Group, Inc.
     3,508       110  
Capital Corp. of the West
     2,640       63  
Capitol Bancorp Ltd.
     3,700       101  
Cascade Bancorp
     5,856       136  
Cass Information Systems, Inc.
     1,650       60  
Cathay General Bancorp
     13,300       446  
Centennial Bank Holdings, Inc. *
     16,200       137  
Center Financial Corp.
     3,400       58  
Central Pacific Financial Corp.
     8,180       270  
Chemical Financial Corp.
     6,404       166  
Chittenden Corp.
     11,916       416  
Citizens Republic Bancorp, Inc.
     19,623       359  
City Holding Co.
     4,400       169  
CityBank Lynwood of Washington
     3,600       113  
CoBiz, Inc.
     4,050       73  
Columbia Banking System, Inc.
     4,366       128  
Community Bancorp of Nevada *
     1,800       50  
Community Bank System, Inc.
     7,800       156  
Community Banks, Inc.
     6,604       213  
Community Trust Bancorp, Inc.
     4,135       134  
Corus Bankshares, Inc.
     10,100       174  
CVB Financial Corp.
     17,154       191  
Enterprise Financial Services Corp.
     2,400       60  
First Bancorp of North Carolina
     3,400       64  
First BanCorp of Puerto Rico
     20,000       220  
First Busey Corp.
     4,150       83  
First Charter Corp.
     8,900       173  
First Commonwealth Financial Corp.
     19,028       208  
First Community Bancorp, Inc. of California
     6,202       355  
First Community Bancshares, Inc. of Virginia
     2,759       86  
First Financial Bancorp
     9,224       138  
First Financial Bankshares, Inc.
     5,661       220  
First Financial Corp. of Indiana
     3,606       106  
First Indiana Corp.
     3,477       77  
First Merchants Corp.
     5,127       123  
First Midwest Bancorp, Inc. of Illinois
     12,900       458  
First Regional Bancorp of California *
     2,200       56  
First Republic Bank of California
     7,550       405  
First South Bancorp, Inc. of North Carolina
     2,300       62  
First State Bancorporation of New Mexico
     4,800       102  
FirstMerit Corp.
     20,900       437  
FNB Corp. of Pennsylvania
     15,529       260  
Fremont General Corp.
     17,800       192  
Frontier Financial Corp.
     10,150       229  
Glacier Bancorp, Inc.
     13,944       284  
Great Southern Bancorp, Inc.
     2,800       76  
Greater Bay Bancorp
     13,300       370  
Green Bankshares, Inc.
     2,300       72  
Hancock Holding Co.
     6,924       260  
Hanmi Financial Corp.
     10,500       179  
Harleysville National Corp.
     7,970       128  
Heartland Financial USA, Inc.
     4,000       97  
Heritage Commerce Corp.
     3,200       76  
Home Bancshares, Inc.
     3,100       70  
NORTHERN FUNDS QUARTERLY REPORT       2       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Banks - 6.0% – (continued)
                
Horizon Financial Corp.
     3,500     $ 76  
IBERIABANK Corp.
     3,511       174  
Independent Bank Corp. of Massachusetts
     4,100       121  
Independent Bank Corp. of Michigan
     6,310       109  
Integra Bank Corp.
     4,743       102  
International Bancshares Corp.
     13,260       340  
Irwin Financial Corp.
     4,900       73  
ITLA Capital Corp.
     1,500       78  
Lakeland Bancorp, Inc.
     5,373       71  
Lakeland Financial Corp.
     3,400       72  
Macatawa Bank Corp.
     4,334       69  
MainSource Financial Group, Inc.
     4,370       73  
MB Financial, Inc.
     8,372       291  
Midwest Banc Holdings, Inc.
     4,800       70  
Nara Bancorp, Inc.
     5,800       92  
National Penn Bancshares, Inc.
     12,418       207  
NBT Bancorp, Inc.
     8,804       199  
Old National Bancorp of Indiana
     17,195       286  
Old Second Bancorp, Inc.
     3,838       112  
Omega Financial Corp.
     3,378       91  
Oriental Financial Group, Inc.
     5,947       65  
Pacific Capital Bancorp
     12,233       330  
Park National Corp.
     3,225       273  
Peoples Bancorp, Inc. of Ohio
     2,860       77  
Pinnacle Financial Partners, Inc. *
     4,300       126  
Preferred Bank of California
     1,800       72  
Premierwest Bancorp
     1       —  
PrivateBancorp, Inc.
     4,800       138  
Prosperity Bancshares, Inc.
     9,200       301  
Provident Bankshares Corp.
     8,356       274  
Renasant Corp.
     4,400       100  
Republic Bancorp, Inc. of Kentucky, Class A
     2,197       36  
Royal Bancshares of Pennsylvania, Inc., Class A
     1,274       25  
S & T Bancorp, Inc.
     6,400       211  
Sandy Spring Bancorp, Inc.
     4,100       129  
Santander BanCorp
     1,379       21  
SCBT Financial Corp.
     2,506       91  
Seacoast Banking Corp. of Florida
     4,020       87  
Security Bank Corp. of Georgia
     4,200       84  
Sierra Bancorp
     1,600       45  
Signature Bank of New York *
     7,900       269  
Simmons First National Corp., Class A
     3,900       108  
South Financial Group (The), Inc.
     17,600       398  
Southside Bancshares, Inc.
     3,077       67  
Southwest Bancorp, Inc. of Oklahoma
     4,000       96  
Sterling Bancorp of New York
     5,129       82  
Sterling Bancshares, Inc. of Texas
     18,787       213  
Sterling Financial Corp. of Pennsylvania
     6,957       73  
Sterling Financial Corp. of Washington
     12,482       361  
Suffolk Bancorp
     2,900       93  
Sun Bancorp, Inc. of New Jersey *
     4,117       69  
Superior Bancorp *
     6,500       67  
Susquehanna Bancshares, Inc.
     13,479       302  
SVB Financial Group *
     8,900       473  
SY Bancorp, Inc.
     3,485       83  
Taylor Capital Group, Inc.
     1,600       44  
Texas Capital Bancshares, Inc. *
     6,400       143  
Tompkins Financial Corp.
     1,853       69  
Trico Bancshares
     3,800       85  
Trustco Bank Corp. of New York
     19,494       193  
Trustmark Corp.
     12,700       328  
UCBH Holdings, Inc.
     26,000       475  
UMB Financial Corp.
     8,012       295  
Umpqua Holdings Corp.
     15,131       356  
Union Bankshares Corp. of Virginia
     3,700       86  
United Bankshares, Inc.
     9,300       296  
United Community Banks, Inc. of Georgia
     9,300       241  
United Security Bancshares of California
     2,000       41  
Univest Corp. of Pennsylvania
     3,250       73  
USB Holding Co., Inc.
     3,374       64  
USB Holdings Co., Inc. — Fractional Shares *
     50,000       —  
Vineyard National Bancorp
     1       —  
Virginia Commerce Bancorp *
     4,712       80  
W. Holding Co., Inc.
     29,900       79  
Washington Trust Bancorp, Inc.
     3,300       83  
WesBanco, Inc.
     6,000       177  
West Coast Bancorp of Oregon
     4,207       128  
Westamerica Bancorporation
     7,800       345  
Western Alliance Bancorp *
     3,600       107  
Wilshire Bancorp, Inc.
     4,200       51  
Wintrust Financial Corp.
     6,300       276  
Yardville National Bancorp
     2,700       92  
 
 
             23,161  
 
EQUITY INDEX FUNDS       3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Beverages - 0.1%
                
Boston Beer Co., Inc., Class A *
     2,600     $ 103  
Coca-Cola Bottling Co. Consolidated
     1,327       67  
Farmer Bros. Co.
     2,000       45  
Green Mountain Coffee Roasters, Inc. *
     1,400       110  
Jones Soda Co. *
     7,000       98  
National Beverage Corp. *
     2,760       32  
Overland Beverage Distributing *
     20       —  
Peet’s Coffee & Tea, Inc. *
     3,900       96  
 
 
             551  
 
Biotechnology - 2.1%
                
Acorda Therapeutics, Inc. *
     6,000       102  
Advanced Magnetics, Inc. *
     3,400       198  
Affymax, Inc. *
     659       18  
Affymetrix, Inc. *
     17,800       443  
Alexion Pharmaceuticals, Inc. *
     9,500       428  
American Oriental Bioengineering, Inc. *
     12,300       110  
Applera Corp. — Celera Group *
     20,800       258  
Arena Pharmaceuticals, Inc. *
     14,500       159  
Ariad Pharmaceuticals, Inc. *
     20,200       111  
Arqule, Inc. *
     10,000       71  
Bio-Rad Laboratories, Inc., Class A *
     4,800       363  
BioMimetic Therapeutics, Inc. *
     3,400       53  
Cambrex Corp.
     7,300       97  
Cell Genesys, Inc. *
     14,300       48  
CryoLife, Inc. *
     5,100       66  
Cytokinetics, Inc. *
     7,400       42  
Digene Corp. *
     5,300       318  
Encysive Pharmaceuticals, Inc. *
     20,200       36  
Enzo Biochem, Inc. *
     7,507       112  
Enzon Pharmaceuticals, Inc. *
     12,000       94  
Exelixis, Inc. *
     26,500       321  
Genomic Health, Inc. *
     4,200       79  
GenVec, Inc. *
     20,600       48  
Geron Corp. *
     18,100       127  
GTX, Inc. *
     3,400       55  
Halozyme Therapeutics, Inc. *
     15,500       143  
Human Genome Sciences, Inc. *
     35,533       317  
Illumina, Inc. *
     13,536       549  
Immunomedics, Inc. *
     17,400       72  
Incyte Corp. *
     23,000       138  
Integra LifeSciences Holdings Corp. *
     4,700       232  
InterMune, Inc. *
     7,100       184  
Keryx Biopharmaceuticals, Inc. *
     12,600       123  
Kosan Biosciences, Inc. *
     9,000       47  
Lifecell Corp. *
     8,800       269  
Martek Biosciences Corp. *
     8,400       218  
Maxygen, Inc. *
     8,100       69  
Medivation, Inc. *
     6,100       125  
Momenta Pharmaceuticals, Inc. *
     6,200       63  
Myriad Genetics, Inc. *
     11,127       414  
Nektar Therapeutics *
     24,200       230  
Novacea, Inc. *
     2,600       25  
Omrix Biopharmaceuticals, Inc. *
     4,000       126  
Orexigen Therapeutics, Inc. *
     1,248       19  
Protalix BioTherapeutics, Inc. *
     5,200       140  
Regeneration Technologies, Inc. *
     6,600       74  
Regeneron Pharmaceuticals, Inc. *
     15,800       283  
Savient Pharmaceuticals, Inc. *
     14,752       183  
Seattle Genetics, Inc. *
     12,100       119  
SuperGen, Inc. *
     15,800       88  
Telik, Inc. *
     14,400       49  
Tercica, Inc. *
     6,300       32  
Xoma Ltd. *
     36,500       111  
 
 
             8,199  
 
Building Materials - 0.9%
                
AAON, Inc.
     2,600       83  
Apogee Enterprises, Inc.
     7,700       214  
Builders FirstSource, Inc. *
     4,200       67  
Comfort Systems USA, Inc.
     11,100       157  
Drew Industries, Inc. *
     5,100       169  
Genlyte Group, Inc. *
     7,100       558  
Gibraltar Industries, Inc.
     6,650       147  
Goodman Global, Inc. *
     8,900       198  
Interline Brands, Inc. *
     7,430       194  
LSI Industries, Inc.
     5,912       106  
NCI Building Systems, Inc. *
     5,200       256  
PGT, Inc. *
     2,900       32  
Simpson Manufacturing Co., Inc.
     10,000       337  
Texas Industries, Inc.
     7,100       557  
Trex Co., Inc. *
     3,300       65  
U.S. Concrete, Inc. *
     9,200       80  
Universal Forest Products, Inc.
     4,300       182  
 
 
             3,402  
 
NORTHERN FUNDS QUARTERLY REPORT       4       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
     SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Chemicals - 2.0%
                
American Vanguard Corp.
     5,000     $ 72  
Arch Chemicals, Inc.
     6,300       221  
Balchem Corp.
     4,950       90  
CF Industries Holdings, Inc.
     14,400       862  
Ferro Corp.
     11,550       288  
Fuller (H.B.) Co.
     15,900       475  
Georgia Gulf Corp.
     8,900       161  
Grace (W.R.) & Co. *
     18,200       446  
Hercules, Inc. *
     30,200       593  
Innophos Holdings, Inc.
     4,300       62  
Innospec, Inc.
     3,400       201  
Kronos Worldwide, Inc.
     778       20  
Landec Corp. *
     4,300       58  
Metabolix, Inc. *
     3,200       80  
Minerals Technologies, Inc.
     4,900       328  
NewMarket Corp.
     4,000       193  
NL Industries, Inc.
     2,300       23  
Olin Corp.
     19,500       410  
OM Group, Inc. *
     7,700       408  
Pioneer Cos., Inc. *
     3,300       113  
PolyOne Corp. *
     24,100       173  
Rockwood Holdings, Inc. *
     9,097       333  
Schulman (A.), Inc.
     6,600       161  
Sensient Technologies Corp.
     12,200       310  
Spartech Corp.
     8,300       220  
Stepan Co.
     1,700       51  
Symyx Technologies, Inc. *
     9,100       105  
Terra Industries, Inc. *
     24,100       613  
Tronox, Inc., Class B
     11,400       160  
UAP Holding Corp.
     13,300       401  
Zoltek Cos., Inc. *
     5,400       224  
 
 
             7,855  
 
Coal - 0.1%
                
Alpha Natural Resources, Inc. *
     16,170       336  
International Coal Group, Inc. *
     31,200       187  
 
 
             523  
 
Commercial Services - 6.2%
                
Aaron Rents, Inc.
     11,850       346  
ABM Industries, Inc.
     11,248       290  
Administaff, Inc.
     6,200       208  
Advance America Cash Advance Centers, Inc.
     18,310       325  
Advisory Board (The) Co. *
     5,100       283  
Albany Molecular Research, Inc. *
     6,900       102  
AMN Healthcare Services, Inc. *
     8,900       196  
Arbitron, Inc.
     8,100       417  
Arrowhead Research Corp. *
     10,300       52  
Bankrate, Inc. *
     2,800       134  
Barrett Business Services
     1,900       49  
BearingPoint, Inc. *
     50,300       368  
Bowne & Co., Inc.
     8,200       160  
Bright Horizons Family Solutions, Inc. *
     6,800       265  
Capella Education Co. *
     2,457       113  
CBIZ, Inc. *
     14,900       110  
CDI Corp.
     3,600       116  
Cenveo, Inc. *
     13,970       324  
Chemed Corp.
     6,600       437  
Clayton Holdings, Inc. *
     2,600       30  
Coinmach Service Corp., Class A
     7,500       99  
Coinstar, Inc. *
     7,600       239  
Consolidated Graphics, Inc. *
     2,700       187  
Corinthian Colleges, Inc. *
     22,500       367  
Cornell Cos., Inc. *
     3,200       79  
Corvel Corp. *
     2,125       56  
CoStar Group, Inc. *
     4,600       243  
CPI Corp.
     1,200       83  
CRA International, Inc. *
     3,100       149  
Cross Country Healthcare, Inc. *
     8,800       147  
Deluxe Corp.
     14,000       569  
DeVry, Inc.
     15,600       531  
Diamond Management & Technology Consultants, Inc.
     8,300       110  
Dollar Financial Corp. *
     4,600       131  
Dollar Thrifty Automotive Group *
     6,100       249  
DynCorp International, Inc., Class A *
     6,900       152  
Electro Rent Corp.
     5,374       78  
Emergency Medical Services Corp., Class A *
     2,100       82  
Euronet Worldwide, Inc. *
     12,300       359  
ExlService Holdings, Inc. *
     5,156       97  
Exponent, Inc. *
     4,100       92  
First Advantage Corp., Class A *
     2,000       46  
Forrester Research, Inc. *
     3,900       110  
FTI Consulting, Inc. *
     10,925       415  
Gartner, Inc. *
     18,700       460  
Geo Group (The), Inc. *
     13,100       381  
Gevity HR, Inc.
     7,200       139  
EQUITY INDEX FUNDS       5       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Commercial Services - 6.2% – (continued)
                
Global Cash Access Holdings, Inc. *
     10,200     $ 163  
Great Lakes Dredge & Dock Corp. *
     3,500       33  
H&E Equipment Services, Inc. *
     4,000       111  
Healthcare Services Group
     7,525       222  
Healthspring, Inc. *
     11,200       213  
Heartland Payment Systems, Inc.
     4,000       117  
Heidrick & Struggles International, Inc. *
     4,700       241  
HMS Holdings Corp. *
     4,700       90  
Home Solutions of America, Inc. *
     11,800       71  
Hudson Highland Group, Inc. *
     6,700       143  
Huron Consulting Group, Inc. *
     5,100       372  
ICT Group, Inc. *
     1,800       34  
Integrated Electrical Services, Inc. *
     4,000       132  
Interactive Data Corp.
     9,700       260  
Jackson Hewitt Tax Service, Inc.
     8,400       236  
Kelly Services, Inc., Class A
     5,529       152  
Kendle International, Inc. *
     3,400       125  
Kenexa Corp. *
     7,000       264  
Kforce, Inc. *
     8,000       128  
Korn/Ferry International *
     11,100       291  
Labor Ready, Inc. *
     12,000       277  
Landauer, Inc.
     2,500       123  
LECG Corp. *
     6,700       101  
Live Nation, Inc. *
     17,000       380  
MAXIMUS, Inc.
     5,700       247  
McGrath Rentcorp
     5,964       201  
Midas, Inc. *
     4,400       100  
Monro Muffler, Inc.
     3,300       124  
Morningstar, Inc. *
     3,800       179  
MPS Group, Inc. *
     26,600       356  
Multi-Color Corp.
     900       35  
Navigant Consulting, Inc. *
     11,700       217  
Net 1 UEPS Technologies, Inc. *
     11,600       280  
Odyssey Marine Exploration, Inc. *
     12,200       73  
On Assignment, Inc. *
     7,900       85  
Parexel International Corp. *
     7,400       311  
PeopleSupport, Inc. *
     7,100       81  
PharmaNet Development Group, Inc. *
     4,950       158  
PHH Corp. *
     13,900       434  
PRA International *
     4,900       124  
Pre-Paid Legal Services, Inc. *
     2,700       174  
Premier Exhibitions, Inc. *
     8,200       129  
Providence Service (The) Corp. *
     3,330       89  
Rent-A-Center, Inc. *
     18,200       477  
Resources Connection, Inc. *
     13,000       431  
Rollins, Inc.
     8,100       184  
RSC Holdings, Inc. *
     4,400       88  
SAIC, Inc. *
     24,500       443  
Senomyx, Inc. *
     8,640       117  
Sotheby’s
     17,200       792  
Source Interlink Cos., Inc. *
     11,300       56  
Spherion Corp. *
     14,630       137  
Standard Parking Corp. *
     1,400       49  
Steiner Leisure Ltd. *
     3,900       192  
Stewart Enterprises, Inc., Class A
     28,900       225  
Strayer Education, Inc.
     3,900       514  
Team, Inc. *
     1,900       85  
TeleTech Holdings, Inc. *
     11,300       367  
TNS, Inc.
     6,600       95  
Universal Technical Institute, Inc. *
     6,300       160  
Valassis Communications, Inc. *
     12,427       214  
Vertrue, Inc. *
     2,000       98  
Viad Corp.
     6,000       253  
VistaPrint Ltd. *
     10,800       413  
Volt Information Sciences, Inc. *
     3,375       62  
Watson Wyatt Worldwide, Inc., Class A
     11,100       560  
Wright Express Corp. *
     10,890       373  
 
 
             24,036  
 
Computers - 2.3%
               
3D Systems Corp. *
     4,100       102  
Agilysys, Inc.
     8,387       189  
Ansoft Corp. *
     4,500       133  
BISYS Group (The), Inc. *
     31,500       373  
CACI International, Inc., Class A *
     8,000       391  
CIBER, Inc. *
     15,000       123  
COMSYS IT Partners, Inc. *
     4,500       103  
Comtech Group, Inc. *
     4,100       68  
Covansys Corp. *
     7,700       261  
Cray, Inc. *
     9,800       75  
Echelon Corp. *
     8,800       137  
Electronics for Imaging, Inc. *
     14,700       415  
Gateway, Inc. *
     74,871       119  
Henry (Jack) & Associates, Inc.
     21,500       554  
Hutchinson Technology, Inc. *
     7,015       132  
NORTHERN FUNDS QUARTERLY REPORT       6       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Computers - 2.3% – (continued)
                
iGate Corp. *
     6,000     $ 48  
IHS, Inc., Class A *
     7,700       354  
Imation Corp.
     9,100       335  
Immersion Corp. *
     7,800       117  
Integral Systems, Inc. of Maryland
     3,050       74  
InterVoice, Inc. *
     10,600       88  
Isilon Systems, Inc. *
     1,404       22  
Komag, Inc. *
     7,200       230  
Limelight Networks, Inc. *
     310       6  
LivePerson, Inc. *
     7,700       41  
Magma Design Automation, Inc. *
     10,500       147  
Manhattan Associates, Inc. *
     7,000       195  
Mentor Graphics Corp. *
     21,700       286  
Mercury Computer Systems, Inc. *
     5,900       72  
Micros Systems, Inc. *
     10,500       571  
MTS Systems Corp.
     5,000       223  
Ness Technologies, Inc. *
     7,500       98  
Palm, Inc. *
     26,006       416  
Perot Systems Corp., Class A *
     22,600       385  
Quantum Corp. *
     52,400       166  
Rackable Systems, Inc. *
     7,600       94  
Radiant Systems, Inc. *
     7,200       95  
Radisys Corp. *
     5,800       72  
Rimage Corp. *
     2,100       66  
SI International, Inc. *
     3,600       119  
Sigma Designs, Inc. *
     6,200       162  
Silicon Graphics, Inc. *
     1,200       32  
Silicon Storage Technology, Inc. *
     24,900       93  
Smart Modular Technologies WWH, Inc. *
     12,000       165  
SRA International, Inc., Class A *
     10,500       265  
STEC, Inc. *
     9,800       63  
Stratasys, Inc. *
     2,850       134  
Super Micro Computer, Inc. *
     669       7  
SYKES Enterprises, Inc. *
     8,000       152  
Synaptics, Inc. *
     6,600       236  
Syntel, Inc.
     2,800       85  
Tyler Technologies, Inc. *
     10,800       134  
 
 
             9,023  
 
Cosmetics/Personal Care - 0.1%
                
Chattem, Inc. *
     4,400       279  
Elizabeth Arden, Inc. *
     7,100       172  
Inter Parfums, Inc.
     1,400       37  
Revlon, Inc., Class A *
     55,000       76  
 
 
             564  
 
Distribution/Wholesale - 0.8%
                
Beacon Roofing Supply, Inc. *
     12,000       204  
Beijing Med-Pharm Corp. *
     5,900       63  
BlueLinx Holdings, Inc.
     3,700       39  
Brightpoint, Inc. *
     13,150       181  
Building Material Holding Corp.
     7,900       112  
Central European Distribution Corp. *
     8,650       299  
Core-Mark Holding Co., Inc. *
     2,800       101  
Houston Wire & Cable Co. *
     3,900       111  
LKQ Corp. *
     12,100       298  
MWI Veterinary Supply, Inc. *
     1,600       64  
NuCo2, Inc. *
     4,200       108  
Owens & Minor, Inc.
     10,462       365  
Scansource, Inc. *
     6,900       221  
United Stationers, Inc. *
     7,192       479  
Watsco, Inc.
     5,950       324  
 
 
             2,969  
 
Diversified Financial Services - 2.1%
                
Accredited Home Lenders Holding Co. *
     5,870       80  
Advanta Corp., Class B
     9,050       282  
Asset Acceptance Capital Corp. *
     4,300       76  
Asta Funding, Inc.
     3,300       127  
Calamos Asset Management, Inc., Class A
     6,200       158  
Centerline Holding Co.
     14,300       257  
Cityscape Financial Corp. *
     3,800       —  
Cohen & Steers, Inc.
     4,900       213  
CompuCredit Corp. *
     5,600       196  
Cowen Group, Inc. *
     3,300       59  
Credit Acceptance Corp. *
     2,052       55  
Delta Financial Corp.
     5,200       64  
Encore Capital Group, Inc. *
     3,100       39  
eSpeed, Inc., Class A *
     5,600       48  
Evercore Partners, Inc., Class A
     1,700       51  
FCStone Group, Inc. *
     1,800       103  
Federal Agricultural Mortgage Corp., Class C
     3,100       106  
Financial Federal Corp.
     7,400       221  
Friedman Billings Ramsey Group, Inc., Class A
     39,700       217  
GAMCO Investors, Inc., Class A
     1,600       90  
GFI Group, Inc. *
     4,520       328  
Greenhill & Co., Inc.
     4,800       330  
EQUITY INDEX FUNDS       7       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER     VALUE  
    OF SHARES     (000S)  
COMMON STOCKS - 97.3% – CONTINUED
                
Diversified Financial Services - 2.1% – (continued)
                
Interactive Brokers Group, Inc., Class A *
     9,700     $ 263  
International Securities Exchange Holdings, Inc.
     10,100       660  
KBW, Inc. *
     7,068       208  
Knight Capital Group, Inc., Class A *
     26,900       447  
LaBranche & Co., Inc. *
     14,600       108  
Ladenburg Thalmann Financial Services, Inc. *
     22,200       51  
MarketAxess Holdings, Inc. *
     8,700       156  
National Financial Partners Corp.
     9,799       454  
Nelnet, Inc., Class A
     3,900       95  
NewStar Financial, Inc. *
     3,757       53  
Ocwen Financial Corp. *
     9,400       125  
optionsXpress Holdings, Inc.
     12,030       309  
Penson Worldwide, Inc. *
     3,200       78  
Piper Jaffray Cos. *
     4,991       278  
Portfolio Recovery Associates, Inc.
     4,500       270  
Sanders Morris Harris Group, Inc.
     3,800       44  
Stifel Financial Corp. *
     3,633       214  
SWS Group, Inc.
     6,415       139  
Thomas Weisel Partners Group, Inc. *
     4,700       78  
TradeStation Group, Inc. *
     8,800       103  
US Global Investors, Inc., Class A
     3,500       79  
W.P. Stewart & Co., Ltd.
     3,900       42  
Waddell & Reed Financial, Inc., Class A
     21,800       567  
World Acceptance Corp. *
     5,000       214  
 
 
             8,135  
 
Electric - 1.6%
                
Allete, Inc.
     6,800       320  
Aquila, Inc. *
     97,200       398  
Avista Corp.
     13,500       291  
Black Hills Corp.
     9,800       390  
Central Vermont Public Service Corp.
     2,100       79  
CH Energy Group, Inc.
     4,300       193  
Cleco Corp.
     15,300       375  
El Paso Electric Co. *
     11,900       292  
Empire District Electric (The) Co.
     8,200       183  
EnerNOC, Inc. *
     645       25  
Idacorp, Inc.
     11,500       368  
ITC Holdings Corp.
     11,300       459  
MGE Energy, Inc.
     5,625       184  
NorthWestern Corp.
     9,600       305  
Ormat Technologies, Inc.
     2,900       109  
Otter Tail Corp.
     8,100       260  
Pike Electric Corp. *
     4,300       96  
PNM Resources, Inc.
     19,900       553  
Portland General Electric Co.
     7,400       203  
UIL Holdings Corp.
     6,733       223  
Unisource Energy Corp.
     9,120       300  
Westar Energy, Inc.
     23,100       561  
 
 
             6,167  
 
Electrical Components & Equipment - 0.9%
                
Advanced Energy Industries, Inc. *
     9,600       218  
American Superconductor Corp. *
     9,800       189  
Belden, Inc.
     11,512       637  
Coleman Cable, Inc. *
     2,700       70  
Color Kinetics, Inc. *
     5,000       167  
Encore Wire Corp.
     6,000       177  
Energy Conversion Devices, Inc. *
     10,500       324  
EnerSys *
     6,900       126  
GrafTech International Ltd. *
     26,900       453  
Greatbatch, Inc. *
     6,000       194  
Insteel Industries, Inc.
     3,900       70  
Lamson & Sessions (The) Co. *
     3,800       101  
Littelfuse, Inc. *
     6,100       206  
Medis Technologies Ltd. *
     6,696       98  
Powell Industries, Inc. *
     2,200       70  
Power-One, Inc. *
     19,200       76  
Superior Essex, Inc. *
     5,550       207  
Universal Display Corp. *
     6,500       102  
Vicor Corp.
     5,400       72  
 
 
             3,557  
 
Electronics - 2.6%
                
American Science & Engineering, Inc. *
     2,500       142  
Analogic Corp.
     3,600       265  
Badger Meter, Inc.
     3,900       110  
Bel Fuse, Inc., Class B
     2,800       95  
Benchmark Electronics, Inc. *
     17,863       404  
Brady Corp., Class A
     12,438       462  
Checkpoint Systems, Inc. *
     10,700       270  
Cogent, Inc. *
     11,900       175  
Coherent, Inc. *
     8,100       247  
CTS Corp.
     9,880       125  
Cubic Corp.
     4,200       127  
Cymer, Inc. *
     9,373       377  
Daktronics, Inc.
     8,300       178  
NORTHERN FUNDS QUARTERLY REPORT       8       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Electronics - 2.6% – (continued)
                
Dionex Corp. *
     5,100     $ 362  
Eagle Test Systems, Inc. *
     2,200       35  
Electro Scientific Industries, Inc. *
     8,000       166  
Excel Technology, Inc. *
     3,400       95  
FARO Technologies, Inc. *
     3,400       108  
FEI Co. *
     8,700       282  
Flir Systems, Inc. *
     17,200       796  
II-VI, Inc. *
     6,300       171  
Ionatron, Inc. *
     9,040       35  
Itron, Inc. *
     7,800       608  
Kemet Corp. *
     21,800       154  
L-1 Identity Solutions, Inc. *
     15,824       324  
LoJack Corp. *
     5,100       114  
Measurement Specialties, Inc. *
     3,900       92  
Methode Electronics, Inc.
     10,242       160  
Multi-Fineline Electronix, Inc. *
     2,300       39  
Newport Corp. *
     9,100       141  
OSI Systems, Inc. *
     4,200       115  
OYO Geospace Corp. *
     1,100       82  
Park Electrochemical Corp.
     5,500       155  
Plexus Corp. *
     12,000       276  
Rofin-Sinar Technologies, Inc. *
     4,200       290  
Rogers Corp. *
     4,700       174  
Sonic Solutions, Inc. *
     7,000       88  
Taser International, Inc. *
     16,100       225  
Technitrol, Inc.
     11,000       315  
TTM Technologies, Inc. *
     11,500       150  
Varian, Inc. *
     7,900       433  
Watts Water Technologies, Inc., Class A
     7,600       285  
Woodward Governor Co.
     8,100       435  
X-Rite, Inc.
     6,900       102  
Zygo Corp. *
     5,100       73  
 
 
             9,857  
 
Energy — Alternate Sources - 0.3%
                
Aventine Renewable Energy Holdings, Inc. *
     8,317       141  
Comverge, Inc. *
     949       29  
Evergreen Energy, Inc. *
     19,500       118  
Evergreen Solar, Inc. *
     23,200       216  
FuelCell Energy, Inc. *
     15,600       124  
Headwaters, Inc. *
     10,200       176  
MGP Ingredients, Inc.
     2,600       44  
Pacific Ethanol, Inc. *
     10,300       136  
US BioEnergy Corp. *
     3,118       35  
VeraSun Energy Corp. *
     7,665       111  
Verenium Corp. *
     8,300       42  
 
 
             1,172  
 
Engineering & Construction - 0.9%
                
Aecom Technology Corp. *
     9,646       239  
Baker (Michael) Corp. *
     2,300       86  
Dycom Industries, Inc. *
     10,600       318  
EMCOR Group, Inc. *
     8,300       605  
ENGlobal Corp. *
     4,800       58  
Granite Construction, Inc.
     9,362       601  
Infrasource Services, Inc. *
     10,100       375  
Insituform Technologies, Inc., Class A *
     7,500       164  
Layne Christensen Co. *
     3,300       135  
Perini Corp. *
     6,700       412  
Stanley, Inc. *
     1,262       22  
Washington Group International, Inc. *
     7,600       608  
 
 
             3,623  
 
Entertainment - 0.9%
                
Bally Technologies, Inc. *
     14,100       373  
Bluegreen Corp. *
     5,800       68  
Carmike Cinemas, Inc.
     3,500       77  
Churchill Downs, Inc.
     2,400       126  
Cinemark Holdings, Inc. *
     6,000       107  
Dover Downs Gaming & Entertainment, Inc.
     3,995       60  
Great Wolf Resorts, Inc. *
     7,360       105  
Isle of Capri Casinos, Inc. *
     4,300       103  
Lakes Entertainment, Inc. *
     6,500       77  
Macrovision Corp. *
     14,000       421  
Magna Entertainment Corp., Class A *
     11,000       32  
National CineMedia, Inc. *
     10,900       305  
Pinnacle Entertainment, Inc. *
     15,500       436  
Shuffle Master, Inc. *
     9,350       155  
Six Flags, Inc. *
     18,300       111  
Speedway Motorsports, Inc.
     4,000       160  
Steinway Musical Instruments
     2,000       69  
Vail Resorts, Inc. *
     8,200       499  
 
 
             3,284  
 
Environmental Control - 0.7%
                
American Ecology Corp.
     4,300       92  
Calgon Carbon Corp. *
     10,900       126  
Casella Waste Systems, Inc., Class A *
     6,000       65  
EQUITY INDEX FUNDS       9       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Environmental Control - 0.7% – (continued)
                
Clean Harbors, Inc. *
     4,300     $ 212  
Darling International, Inc. *
     20,300       186  
Fuel Tech, Inc. *
     5,000       171  
Metal Management, Inc.
     6,600       291  
Mine Safety Appliances Co.
     7,300       319  
Rentech, Inc. *
     46,600       121  
Tetra Tech, Inc. *
     15,091       325  
Waste Connections, Inc. *
     17,775       538  
Waste Industries USA, Inc.
     2,100       72  
Waste Services, Inc. *
     7,666       93  
 
 
             2,611  
 
Food - 1.5%
                
Arden Group, Inc., Class A
     400       55  
Cal-Maine Foods, Inc.
     2,400       39  
Chiquita Brands International, Inc. *
     11,000       209  
Flowers Foods, Inc.
     13,225       441  
Fresh Del Monte Produce, Inc.
     6,600       165  
Great Atlantic & Pacific Tea Co. *
     5,300       178  
Hain Celestial Group, Inc. *
     9,500       258  
Imperial Sugar Co.
     3,200       99  
Ingles Markets, Inc., Class A
     3,300       114  
J & J Snack Foods Corp.
     3,800       143  
Lance, Inc.
     8,300       196  
M & F Worldwide Corp. *
     2,900       193  
Nash Finch Co.
     3,600       178  
Pathmark Stores, Inc. *
     9,400       122  
Performance Food Group Co. *
     9,300       302  
Pilgrims Pride Corp.
     10,500       401  
Ralcorp Holdings, Inc. *
     7,100       379  
Ruddick Corp.
     10,700       322  
Sanderson Farms, Inc.
     4,400       198  
Seaboard Corp.
     120       281  
Spartan Stores, Inc.
     5,800       191  
Tootsie Roll Industries, Inc.
     9,269       257  
TreeHouse Foods, Inc. *
     8,100       216  
United Natural Foods, Inc. *
     11,100       295  
Village Super Market, Class A
     800       38  
Weis Markets, Inc.
     2,600       105  
Wild Oats Markets, Inc. *
     7,950       133  
Winn-Dixie Stores, Inc. *
     8,500       249  
 
 
             5,757  
 
Forest Products & Paper - 0.4%
                
Bowater, Inc.
     14,600       364  
Buckeye Technologies, Inc. *
     10,300       159  
Deltic Timber Corp.
     2,800       154  
Glatfelter
     12,200       166  
Mercer International, Inc. *
     7,400       76  
Neenah Paper, Inc.
     4,000       165  
Rock-Tenn Co., Class A
     8,740       277  
Schweitzer-Mauduit International, Inc.
     4,200       130  
Wausau Paper Corp.
     12,342       165  
Xerium Technologies, Inc.
     5,400       41  
 
 
             1,697  
 
Gas - 0.8%
                
Cascade Natural Gas Corp.
     3,100       82  
EnergySouth, Inc.
     1,850       94  
Laclede Group (The), Inc.
     5,900       188  
New Jersey Resources Corp.
     7,550       385  
Nicor, Inc.
     11,700       502  
Northwest Natural Gas Co.
     7,450       344  
Piedmont Natural Gas Co., Inc.
     20,600       508  
SEMCO Energy, Inc. *
     6,400       50  
South Jersey Industries, Inc.
     8,026       284  
Southwest Gas Corp.
     10,800       365  
WGL Holdings, Inc.
     12,800       418  
 
 
             3,220  
 
Hand/Machine Tools - 0.4%
                
Baldor Electric Co.
     11,953       589  
Franklin Electric Co., Inc.
     5,300       250  
Hardinge, Inc.
     3,300       113  
Raser Technologies, Inc. *
     6,800       50  
Regal-Beloit Corp.
     8,341       388  
 
 
             1,390  
 
Healthcare — Products - 3.5%
                
Abaxis, Inc. *
     5,500       115  
Abiomed, Inc. *
     6,400       69  
Accuray, Inc. *
     4,336       96  
Align Technology, Inc. *
     15,800       382  
American Medical Systems Holdings, Inc. *
     19,700       355  
Angiodynamics, Inc. *
     6,100       110  
Arrow International, Inc.
     6,200       237  
Arthrocare Corp. *
     7,000       307  
Aspect Medical Systems, Inc. *
     4,400       66  
Biosite, Inc. *
     3,900       361  
NORTHERN FUNDS QUARTERLY REPORT       10       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Healthcare — Products - 3.5% – (continued)
                
Bruker BioSciences Corp. *
     15,664     $ 141  
Cantel Medical Corp. *
     2,100       36  
Cepheid, Inc. *
     14,900       218  
Conceptus, Inc. *
     6,900       134  
Conmed Corp. *
     7,325       215  
Cutera, Inc. *
     3,100       77  
Cyberonics, Inc. *
     5,900       99  
Cynosure, Inc., Class A *
     2,300       84  
Datascope Corp.
     3,600       138  
DJO, Inc. *
     6,200       256  
ev3, Inc. *
     4,500       76  
Foxhollow Technologies, Inc. *
     5,400       115  
Haemonetics Corp. of Massachusetts *
     6,900       363  
Hansen Medical, Inc., *
     1,837       35  
Hologic, Inc. *
     14,000       774  
ICU Medical, Inc. *
     3,900       167  
Immucor, Inc. *
     18,380       514  
Insulet Corp. *
     298       4  
Invacare Corp.
     7,412       136  
Inverness Medical Innovations, Inc. *
     11,800       602  
Kensey Nash Corp. *
     3,100       83  
Kyphon, Inc. *
     11,900       573  
LCA-Vision, Inc.
     5,550       262  
Luminex Corp. *
     8,800       108  
Medical Action Industries, Inc. *
     3,900       70  
Mentor Corp.
     9,800       399  
Meridian Bioscience, Inc.
     9,325       202  
Merit Medical Systems, Inc. *
     7,467       89  
Micrus Endovascular Corp. *
     4,400       108  
Minrad International, Inc. *
     9,700       58  
Natus Medical, Inc. *
     5,800       92  
Northstar Neuroscience, Inc. *
     3,900       45  
NuVasive, Inc. *
     9,000       243  
NxStage Medical, Inc. *
     6,400       83  
Oakley, Inc.
     6,400       182  
OraSure Technologies, Inc. *
     12,600       103  
Orthofix International N.V. *
     3,900       175  
Palomar Medical Technologies, Inc. *
     4,700       163  
PolyMedica Corp.
     6,300       257  
PSS World Medical, Inc. *
     17,450       318  
Quidel Corp. *
     8,300       146  
Sirona Dental Systems, Inc. *
     4,800       182  
Sonic Innovations, Inc. *
     5,400       47  
SonoSite, Inc. *
     4,500       141  
Spectranetics Corp. *
     9,500       109  
Stereotaxis, Inc. *
     6,400       84  
STERIS Corp.
     16,900       517  
SurModics, Inc. *
     4,300       215  
Symmetry Medical, Inc. *
     9,570       153  
Thoratec Corp. *
     13,785       254  
TomoTherapy, Inc. *
     2,200       48  
Ventana Medical Systems, Inc. *
     7,800       603  
Visicu, Inc. *
     2,900       27  
Vital Images, Inc. *
     3,700       101  
Vital Signs, Inc.
     2,400       133  
Volcano Corp. *
     5,400       109  
West Pharmaceutical Services, Inc.
     8,552       403  
Wright Medical Group, Inc. *
     9,400       227  
Zoll Medical Corp. *
     5,200       116  
 
 
             13,510  
 
Healthcare — Services - 1.7%
                
Air Methods Corp. *
     2,900       106  
Alliance Imaging, Inc. *
     4,500       42  
Amedisys, Inc. *
     6,134       223  
American Dental Partners, Inc. *
     2,500       65  
AMERIGROUP Corp. *
     14,000       333  
Amsurg Corp. *
     8,200       198  
Apria Healthcare Group, Inc. *
     11,400       328  
Assisted Living Concepts, Inc., Class A *
     13,900       148  
Bio-Reference Labs, Inc. *
     2,800       77  
Capital Senior Living Corp. *
     6,200       58  
Centene Corp. *
     11,600       248  
Emeritus Corp. *
     1,100       34  
Genesis HealthCare Corp. *
     5,150       352  
Gentiva Health Services, Inc. *
     7,400       148  
Healthsouth Corp. *
     21,200       384  
Healthways, Inc. *
     9,300       440  
Hythiam, Inc. *
     7,200       62  
Kindred Healthcare, Inc. *
     7,800       240  
LHC Group, Inc. *
     3,200       84  
Magellan Health Services, Inc. *
     10,000       465  
Matria Healthcare, Inc. *
     5,700       173  
Medcath Corp. *
     3,100       99  
Molina Healthcare, Inc. *
     3,300       101  
EQUITY INDEX FUNDS       11       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Healthcare — Services - 1.7% – (continued)
                
National Healthcare Corp.
     1,700     $ 88  
Nighthawk Radiology Holdings, Inc. *
     6,200       112  
Odyssey HealthCare, Inc. *
     9,475       112  
Option Care, Inc.
     7,400       114  
Psychiatric Solutions, Inc. *
     14,500       526  
Radiation Therapy Services, Inc. *
     3,400       89  
RehabCare Group, Inc. *
     4,700       67  
Res-Care, Inc. *
     6,100       129  
Skilled Healthcare Group, Inc., Class A *
     6,900       107  
Sun Healthcare Group, Inc. *
     12,000       174  
Sunrise Senior Living, Inc. *
     11,600       464  
Symbion, Inc. *
     5,100       111  
 
 
             6,501  
 
Holding Companies — Diversified - 0.2%
                
Energy Infrastructure Acquisition Corp. *
     3,600       35  
Freedom Acquisition Holding, Inc. *
     14,300       157  
Information Services Group, Inc. *
     6,000       46  
Marathon Acquisition Corp. *
     7,100       56  
NTR Acquisition Co. *
     4,300       41  
Resource America, Inc., Class A
     4,300       89  
Star Maritime Acquisition Corp. *
     5,200       64  
Walter Industries, Inc.
     12,900       373  
 
 
             861  
 
Home Builders - 0.6%
                
Amrep Corp.
     400       19  
Beazer Homes USA, Inc.
     9,600       237  
Brookfield Homes Corp.
     3,267       95  
Champion Enterprises, Inc. *
     19,908       196  
Fleetwood Enterprises, Inc. *
     17,500       158  
Hovnanian Enterprises, Inc., Class A *
     9,700       160  
M/I Homes, Inc.
     3,300       88  
Meritage Homes Corp. *
     6,100       163  
Monaco Coach Corp.
     7,300       105  
Palm Harbor Homes, Inc. *
     2,812       40  
Skyline Corp.
     1,900       57  
Standard-Pacific Corp.
     15,900       279  
WCI Communities, Inc. *
     8,000       133  
Williams Scotsman International, Inc. *
     8,200       195  
Winnebago Industries, Inc.
     8,200       242  
 
 
             2,167  
 
Home Furnishings - 0.5%
                
American Woodmark Corp.
     3,300       114  
Audiovox Corp., Class A *
     4,600       60  
DTS, Inc. *
     4,800       104  
Ethan Allen Interiors, Inc.
     6,900       236  
Furniture Brands International, Inc.
     12,400       176  
Hooker Furniture Corp.
     2,900       65  
Kimball International, Inc., Class B
     6,756       95  
La-Z-Boy, Inc.
     13,300       152  
Sealy Corp.
     10,200       168  
Tempur-Pedic International, Inc.
     20,800       539  
TiVo, Inc. *
     22,200       129  
Universal Electronics, Inc. *
     4,200       153  
 
 
             1,991  
 
Household Products/Wares - 0.8%
                
ACCO Brands Corp. *
     13,100       302  
American Greetings Corp., Class A
     14,400       408  
Blyth, Inc.
     6,600       176  
Central Garden and Pet Co., Class A *
     17,400       204  
CSS Industries, Inc.
     1,900       75  
Ennis, Inc.
     7,000       165  
Fossil, Inc. *
     11,300       333  
Helen of Troy Ltd. *
     7,200       194  
Playtex Products, Inc. *
     15,300       227  
Prestige Brands Holdings, Inc. *
     9,110       118  
Russ Berrie & Co., Inc. *
     3,200       60  
Spectrum Brands, Inc. *
     10,100       68  
Standard Register (The) Co.
     4,900       56  
Tupperware Brands Corp.
     15,900       457  
WD-40 Co.
     4,570       150  
 
 
             2,993  
 
Housewares - 0.1%
                
Libbey, Inc.
     3,200       69  
Lifetime Brands, Inc.
     3,100       63  
National Presto Industries, Inc.
     1,300       81  
 
 
             213  
 
Insurance - 3.7%
                
21st Century Insurance Group
     9,000       197  
Alfa Corp.
     8,800       137  
American Equity Investment Life Holding Co.
     15,300       185  
American Physicians Capital, Inc. *
     2,700       109  
Amerisafe, Inc. *
     5,800       114  
Amtrust Financial Services, Inc.
     7,300       137  
Argonaut Group, Inc.
     8,400       262  
NORTHERN FUNDS QUARTERLY REPORT       12       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
   SCHEDULE OF INVESTMENTS
   SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Insurance - 3.7% – (continued)
                
Aspen Insurance Holdings Ltd.
     21,700     $ 609  
Assured Guaranty Ltd.
     16,400       485  
Baldwin & Lyons, Inc., Class B
     2,250       59  
Bristol West Holdings, Inc.
     4,300       96  
Citizens, Inc. of Texas *
     6,100       43  
CNA Surety Corp. *
     4,400       83  
Commerce Group, Inc.
     14,700       510  
Crawford & Co., Class B
     6,400       43  
Darwin Professional Underwriters, Inc. *
     1,100       28  
Delphi Financial Group, Inc., Class A
     11,167       467  
Donegal Group, Inc., Class A
     3,577       53  
eHealth, Inc. *
     4,100       78  
EMC Insurance Group, Inc.
     1,600       40  
Employers Holdings, Inc.
     15,300       325  
Enstar Group Ltd. *
     1,600       193  
FBL Financial Group, Inc., Class A
     3,700       146  
First Acceptance Corp. *
     4,721       48  
First Mercury Financial Corp. *
     3,160       66  
Flagstone Reinsurance Holdings Ltd. *
     1,700       23  
FPIC Insurance Group, Inc. *
     2,900       118  
Great American Financial Resources, Inc.
     2,360       57  
Greenlight Capital Re Ltd. *
     1,400       32  
Harleysville Group, Inc.
     3,700       123  
Hilb, Rogal & Hobbs Co.
     9,600       412  
Horace Mann Educators Corp.
     11,600       246  
Independence Holding Co.
     1,480       30  
Infinity Property & Casualty Corp.
     5,600       284  
IPC Holdings Ltd.
     15,400       497  
James River Group, Inc.
     2,300       76  
Kansas City Life Insurance Co.
     1,100       51  
LandAmerica Financial Group, Inc.
     4,400       425  
Max Capital Group Ltd.
     14,600       413  
Meadowbrook Insurance Group, Inc. *
     6,900       76  
Midland (The) Co.
     3,200       150  
Montpelier Re Holdings Ltd.
     27,500       510  
National Interstate Corp.
     2,400       63  
National Western Life Insurance Co., Class A
     600       152  
Navigators Group, Inc. *
     3,600       194  
NYMAGIC, Inc.
     1,600       64  
Odyssey Re Holdings Corp.
     7,700       330  
Ohio Casualty Corp.
     15,600       676  
Phoenix Companies (The), Inc.
     30,400       456  
Platinum Underwriters Holdings Ltd.
     14,600       507  
PMA Capital Corp., Class A *
     9,100       97  
Presidential Life Corp.
     5,900       116  
Primus Guaranty Ltd. *
     10,100       108  
ProAssurance Corp. *
     8,946       498  
PXRE Group Ltd. *
     11,600       54  
RAM Holdings Ltd. *
     3,300       52  
RLI Corp.
     6,026       337  
Safety Insurance Group, Inc.
     3,900       162  
Scottish Re Group Ltd. *
     15,200       74  
SeaBright Insurance Holdings, Inc. *
     6,600       115  
Security Capital Assurance Ltd.
     5,300       164  
Selective Insurance Group, Inc.
     15,800       425  
State Auto Financial Corp.
     3,900       120  
Stewart Information Services Corp.
     4,700       187  
Tower Group, Inc.
     5,900       188  
Triad Guaranty, Inc. *
     3,100       124  
United America Indemnity Ltd., Class A *
     5,300       132  
United Fire & Casualty Co.
     5,700       202  
Universal American Financial Corp. *
     10,300       219  
Zenith National Insurance Corp.
     9,600       452  
 
 
             14,304  
 
Internet - 3.4%
                
1-800 Contacts, Inc. *
     5,685       133  
1-800-FLOWERS.COM, Inc., Class A *
     7,200       68  
24/7 Real Media, Inc. *
     13,300       156  
Agile Software Corp. *
     15,400       124  
Ariba, Inc. *
     20,454       203  
Art Technology Group, Inc. *
     30,600       81  
AsiaInfo Holdings, Inc. *
     6,900       67  
Authorize.Net Holdings, Inc. *
     7,384       132  
Avocent Corp. *
     13,100       380  
Blue Coat Systems, Inc. *
     3,300       163  
Blue Nile, Inc. *
     3,600       217  
Chordiant Software, Inc. *
     9,320       146  
CMGI, Inc. *
     126,900       247  
CNET Networks, Inc. *
     39,200       321  
Cogent Communications Group, Inc. *
     13,400       400  
comScore, Inc. *
     701       16  
CyberSource Corp. *
     8,400       101  
DealerTrack Holdings, Inc. *
     8,200       302  
Digital River, Inc. *
     10,700       484  
EQUITY INDEX FUNDS       13       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% — CONTINUED
                
Internet - 3.4% — (continued)
                
Earthlink, Inc. *
     32,000     $ 239  
eCollege.com, Inc. *
     5,100       113  
Equinix, Inc. *
     8,401       768  
eResearch Technology, Inc. *
     13,475       128  
FTD Group, Inc.
     3,680       68  
Global Sources Ltd. *
     3,600       82  
GSI Commerce, Inc. *
     5,800       132  
Harris Interactive, Inc. *
     14,900       80  
i2 Technologies, Inc. *
     3,900       73  
Ibasis, Inc. *
     7,200       72  
Imergent, Inc.
     3,600       88  
Infospace, Inc.
     8,600       200  
Internap Network Services Corp. *
     13,490       195  
Internet Capital Group, Inc. *
     10,700       133  
Interwoven, Inc. *
     11,700       164  
iPass, Inc. *
     17,700       96  
j2 Global Communications, Inc. *
     12,800       447  
Keynote Systems, Inc. *
     2,900       48  
Knot (The), Inc. *
     7,800       157  
Lionbridge Technologies *
     16,400       97  
Liquidity Services, Inc. *
     2,300       43  
LoopNet, Inc. *
     6,300       147  
Move, Inc. *
     27,500       123  
NetFlix, Inc. *
     12,200       237  
NIC, Inc.
     10,500       72  
On2 Technologies, Inc. *
     32,200       97  
Online Resources Corp. *
     6,200       68  
Openwave Systems, Inc.
     21,433       134  
Opsware, Inc. *
     22,500       214  
Overstock.com, Inc. *
     4,900       90  
Perficient, Inc. *
     8,100       168  
Priceline.com, Inc. *
     9,566       658  
RealNetworks, Inc. *
     26,500       217  
RightNow Technologies, Inc. *
     5,600       92  
S1 Corp. *
     16,400       131  
Safeguard Scientifics, Inc. *
     33,000       93  
Sapient Corp. *
     21,100       163  
Secure Computing Corp. *
     13,200       100  
Shutterfly, Inc. *
     3,269       70  
Sohu.com, Inc. *
     7,100       227  
SonicWALL, Inc. *
     17,700       152  
Stamps.com, Inc. *
     5,250       72  
TechTarget, Inc. *
     1,147       15  
Terremark Worldwide, Inc. *
     11,400       74  
TheStreet.com, Inc.
     5,100       55  
TIBCO Software, Inc. *
     54,100       490  
Travelzoo, Inc. *
     1,500       40  
TriZetto Group, Inc. *
     11,800       228  
United Online, Inc.
     17,600       290  
ValueClick, Inc. *
     25,900       763  
Vasco Data Security International, Inc. *
     7,300       166  
Vignette Corp. *
     8,200       157  
Vocus, Inc. *
     3,900       98  
Websense, Inc. *
     11,700       249  
 
 
             13,114  
 
Investment Companies - 0.6%
                
Apollo Investment Corp.
     27,943       601  
Ares Capital Corp.
     18,200       307  
Capital Southwest Corp.
     700       109  
Compass Diversified Trust
     6,800       121  
Gladstone Capital Corp.
     3,200       69  
Hercules Technology Growth Capital, Inc.
     6,800       92  
Kayne Anderson Energy Development Co.
     2,300       58  
Kohlberg Capital Corp.
     2,800       52  
MCG Capital Corp.
     15,400       247  
MVC Capital, Inc.
     6,100       115  
NexCen Brands, Inc. *
     9,800       109  
NGP Capital Resources Co.
     4,900       82  
Patriot Capital Funding, Inc.
     6,400       95  
PennantPark Investment Corp.
     3,100       43  
Prospect Capital Corp.
     4,000       70  
Technology Investment Capital Corp.
     5,500       87  
 
 
             2,257  
 
Iron/Steel - 0.2%
                
Claymont Steel, Inc. *
     1,500       32  
Olympic Steel, Inc.
     2,300       66  
Ryerson, Inc.
     6,832       257  
Schnitzer Steel Industries, Inc., Class A
     5,700       274  
Universal Stainless & Alloy *
     2,100       74  
Wheeling-Pittsburgh Corp. *
     2,900       55  
 
 
             758  
 
Leisure Time - 0.6%
                
Ambassadors Group, Inc.
     4,900       174  
Ambassadors International, Inc.
     2,800       93  
NORTHERN FUNDS QUARTERLY REPORT     14     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% — CONTINUED
                
Leisure Time - 0.6% — (continued)
                
Arctic Cat, Inc.
     3,525     $ 70  
Callaway Golf Co.
     18,700       333  
K2, Inc. *
     12,900       196  
Life Time Fitness, Inc. *
     8,200       436  
Marine Products Corp.
     3,300       27  
Multimedia Games, Inc. *
     7,800       100  
Nautilus, Inc.
     8,137       98  
Polaris Industries, Inc.
     9,301       504  
Town Sports International Holdings, Inc. *
     3,500       68  
WMS Industries, Inc. *
     10,500       303  
 
 
             2,402  
 
Lodging - 0.4%
                
Ameristar Casinos, Inc.
     6,600       229  
Gaylord Entertainment Co. *
     10,600       569  
Lodgian, Inc. *
     5,570       84  
Marcus Corp.
     5,525       131  
Monarch Casino & Resort, Inc. *
     2,800       75  
Morgans Hotel Group Co. *
     5,100       124  
MTR Gaming Group, Inc. *
     6,400       99  
Riviera Holdings Corp. *
     3,000       109  
Trump Entertainment Resorts, Inc. *
     8,500       107  
 
 
             1,527  
 
Machinery — Construction & Mining - 0.2%
                
Astec Industries, Inc. *
     4,600       194  
Bucyrus International, Inc., Class A
     9,500       673  
 
 
             867  
 
Machinery — Diversified - 1.3%
                
Albany International Corp., Class A
     7,367       298  
Applied Industrial Technologies, Inc.
     11,153       329  
Briggs & Stratton Corp.
     12,800       404  
Cascade Corp.
     3,100       243  
Chart Industries, Inc. *
     3,900       111  
Cognex Corp.
     11,443       258  
Columbus McKinnon Corp. of New York *
     5,000       161  
Flow International Corp. *
     8,400       106  
Gehl Co. *
     2,940       89  
Gerber Scientific, Inc. *
     6,200       72  
Gorman-Rupp (The) Co.
     3,187       102  
Hurco Cos., Inc. *
     1,700       85  
Intermec, Inc. *
     14,900       377  
Intevac, Inc. *
     6,200       132  
iRobot Corp. *
     4,600       91  
Kadant, Inc. *
     3,820       119  
Lindsay Corp.
     3,055       135  
Middleby Corp. *
     3,600       216  
NACCO Industries, Inc., Class A
     1,500       233  
Nordson Corp.
     8,200       411  
Robbins & Myers, Inc.
     3,600       191  
Sauer-Danfoss, Inc.
     2,900       86  
Tecumseh Products Co., Class A *
     4,700       74  
Tennant Co.
     4,500       164  
TurboChef Technologies, Inc. *
     5,900       82  
Twin Disc, Inc.
     1,400       101  
Wabtec Corp.
     12,574       460  
 
 
             5,130  
 
Media - 1.4%
                
Acacia Research — Acacia Technologies *
     7,600       123  
Belo Corp., Class A
     22,000       453  
Charter Communications, Inc., Class A *
     103,700       420  
Citadel Broadcasting Corp.
     47,300       305  
CKX, Inc. *
     11,200       155  
Courier Corp.
     2,825       113  
Cox Radio, Inc., Class A *
     8,600       122  
Crown Media Holdings, Inc., Class A *
     4,000       29  
Cumulus Media, Inc., Class A *
     9,176       86  
DG FastChannel, Inc. *
     4,000       81  
Emmis Communications Corp., Class A
     8,871       82  
Entercom Communications Corp., Class A
     8,600       214  
Entravision Communications Corp., Class A *
     18,400       192  
Fisher Communications, Inc. *
     2,100       107  
GateHouse Media, Inc.
     4,450       82  
Gemstar-TV Guide International, Inc. *
     65,000       320  
Gray Television, Inc.
     11,800       109  
Journal Communications, Inc., Class A
     12,000       156  
Lee Enterprises, Inc.
     11,900       248  
Lin TV Corp., Class A *
     7,100       133  
Lodgenet Entertainment Corp. *
     5,400       173  
Martha Stewart Living Omnimedia, Inc., Class A
     6,800       117  
Media General, Inc., Class A
     6,000       200  
Mediacom Communications Corp., Class A *
     15,200       147  
Nexstar Broadcasting Group, Inc., Class A *
     600       8  
Playboy Enterprises, Inc., Class B *
     5,800       66  
Primedia, Inc. *
     72,900       208  
Radio One, Inc., Class D *
     19,800       140  
EQUITY INDEX FUNDS     15     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% — CONTINUED
                
Media - 1.4% — (continued)
                
Salem Communications Corp., Class A
     2,900     $ 32  
Scholastic Corp. *
     8,900       320  
Sinclair Broadcast Group, Inc., Class A
     12,500       178  
Spanish Broadcasting System, Inc., Class A *
     12,600       54  
Sun-Times Media Group, Inc., Class A
     18,071       95  
Value Line, Inc.
     400       17  
Westwood One, Inc.
     19,300       139  
World Wrestling Entertainment, Inc., Class A
     5,800       93  
 
 
             5,517  
 
Metal Fabrication/Hardware - 1.0%
                
Ampco-Pittsburgh Corp.
     2,100       84  
Castle (A.M.) & Co.
     2,800       101  
CIRCOR International, Inc.
     4,400       178  
Dynamic Materials Corp.
     3,300       124  
Foster (L.B.) Co., Class A *
     3,300       95  
Haynes International, Inc. *
     2,900       245  
Kaydon Corp.
     7,313       381  
Ladish Co., Inc. *
     3,800       163  
Lawson Products, Inc.
     1,040       40  
Mueller Industries, Inc.
     9,600       331  
Mueller Water Products, Inc., Class A
     29,800       508  
Northwest Pipe Co. *
     1,700       60  
Quanex Corp.
     9,600       467  
RBC Bearings, Inc. *
     5,600       231  
Sun Hydraulics, Inc.
     2,300       113  
Trimas Corp. *
     2,900       35  
Valmont Industries, Inc.
     4,900       357  
Worthington Industries, Inc.
     17,900       388  
 
 
             3,901  
 
Mining - 1.0%
                
AMCOL International Corp.
     6,014       164  
Apex Silver Mines Ltd. *
     15,900       321  
Brush Engineered Materials, Inc. *
     5,300       222  
Century Aluminum Co. *
     6,300       344  
Coeur D’alene Mines Corp. *
     72,300       260  
Compass Minerals International, Inc.
     8,300       288  
Hecla Mining Co. *
     31,700       271  
Idaho General Mines, Inc. *
     14,200       90  
Kaiser Aluminum Corp. *
     4,100       299  
Royal Gold, Inc.
     5,300       126  
RTI International Metals, Inc. *
     6,000       452  
Stillwater Mining Co. *
     11,350       125  
U.S. Gold Corp. *
     14,200       78  
Uranium Resources, Inc. *
     14,500       160  
USEC, Inc. *
     22,700       499  
 
 
             3,699  
 
Miscellaneous Manufacturing - 1.9%
                
Actuant Corp., Class A
     7,055       445  
Acuity Brands, Inc.
     11,300       681  
American Railcar Industries, Inc.
     2,500       97  
Ameron International Corp.
     2,400       216  
Aptargroup, Inc.
     17,900       637  
AZZ, Inc. *
     2,600       87  
Barnes Group, Inc.
     11,264       357  
Blount International, Inc. *
     10,400       136  
Ceradyne, Inc. *
     7,050       521  
Clarcor, Inc.
     13,324       499  
EnPro Industries, Inc. *
     5,600       240  
ESCO Technologies, Inc. *
     6,700       243  
Federal Signal Corp.
     12,400       197  
Freightcar America, Inc.
     3,400       163  
GenTek, Inc. *
     2,800       99  
Griffon Corp. *
     7,763       169  
Hexcel Corp. *
     24,507       516  
Koppers Holdings, Inc.
     4,000       135  
Lancaster Colony Corp.
     5,800       243  
LSB Industries, Inc. *
     4,500       96  
Matthews International Corp., Class A
     8,700       379  
Myers Industries, Inc.
     7,306       162  
Park-Ohio Holdings Corp. *
     1,400       38  
Raven Industries, Inc.
     4,400       157  
Reddy Ice Holdings, Inc.
     4,600       131  
Smith & Wesson Holding Corp. *
     8,300       139  
Smith (A.O.) Corp.
     5,300       211  
Standex International Corp.
     3,500       100  
Sturm Ruger & Co., Inc. *
     4,900       76  
Tredegar Corp.
     8,950       191  
 
 
             7,361  
 
Office Furnishings - 0.3%
                
Herman Miller, Inc.
     17,400       550  
Interface, Inc., Class A
     13,100       247  
Knoll, Inc.
     11,860       266  
 
 
             1,063  
 
NORTHERN FUNDS QUARTERLY REPORT     16     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% — CONTINUED
                
Office/Business Equipment - 0.1%
                
IKON Office Solutions, Inc.
     27,900     $ 436  
Oil & Gas - 2.8%
                
Alon USA Energy, Inc.
     3,800       167  
APCO Argentina, Inc.
     200       17  
Arena Resources, Inc. *
     3,200       186  
Atlas America, Inc.
     6,460       347  
ATP Oil & Gas Corp. *
     6,000       292  
Atwood Oceanics, Inc. *
     7,100       487  
Berry Petroleum Co., Class A
     9,700       365  
Bill Barrett Corp. *
     7,670       282  
Bois d’Arc Energy, Inc. *
     4,600       78  
BPZ Energy, Inc. *
     9,500       53  
Brigham Exploration Co. *
     12,500       73  
Bronco Drilling Co., Inc. *
     7,600       125  
Callon Petroleum Co. *
     5,500       78  
Carrizo Oil & Gas, Inc. *
     5,900       245  
Clayton Williams Energy, Inc. *
     1,500       40  
Comstock Resources, Inc. *
     11,600       348  
Contango Oil & Gas Co. *
     3,300       120  
Crosstex Energy, Inc.
     10,489       301  
Delek US Holdings, Inc.
     2,800       75  
Delta Petroleum Corp. *
     18,000       361  
Edge Petroleum Corp. *
     8,500       119  
Encore Acquisition Co. *
     13,800       384  
Energy Partners Ltd. *
     7,367       123  
EXCO Resources, Inc. *
     17,100       298  
FX Energy, Inc. *
     10,700       98  
GeoGlobal Resources, Inc. *
     8,600       44  
GeoMet, Inc. *
     2,988       23  
GMX Resources, Inc. *
     2,600       90  
Goodrich Petroleum Corp. *
     3,500       121  
Grey Wolf, Inc. *
     48,000       396  
Gulfport Energy Corp. *
     6,000       120  
Harvest Natural Resources, Inc. *
     10,200       121  
Mariner Energy, Inc. *
     21,661       525  
McMoRan Exploration Co. *
     6,700       94  
Meridian Resource Corp. *
     23,512       71  
Oilsands Quest, Inc. *
     23,600       58  
Parallel Petroleum Corp. *
     10,300       226  
Parker Drilling Co. *
     29,200       308  
Penn Virginia Corp.
     9,700       390  
Petrohawk Energy Corp. *
     44,200       701  
Petroleum Development Corp. *
     4,302       204  
Petroquest Energy, Inc. *
     11,300       164  
Pioneer Drilling Co. *
     11,400       170  
Rosetta Resources, Inc. *
     13,170       284  
Stone Energy Corp. *
     7,476       256  
Sulphco, Inc. *
     10,300       37  
Swift Energy Co. *
     7,890       337  
Toreador Resources Corp. *
     4,700       71  
TXCO Resources, Inc. *
     8,000       82  
Vaalco Energy, Inc. *
     15,800       76  
Venoco, Inc. *
     3,563       67  
Warren Resources, Inc. *
     14,630       171  
Whiting Petroleum Corp. *
     9,600       389  
 
 
             10,658  
 
Oil & Gas Services - 1.7%
                
Allis-Chalmers Energy, Inc. *
     7,300       168  
Basic Energy Services, Inc. *
     9,800       251  
Cal Dive International, Inc. *
     4,533       75  
CARBO Ceramics, Inc.
     5,200       228  
Complete Production Services, Inc. *
     11,900       308  
Dawson Geophysical Co. *
     2,300       141  
Dril-Quip, Inc. *
     6,500       292  
Flotek Industries, Inc. *
     2,500       150  
Geokinetics, Inc. *
     2,200       68  
Gulf Island Fabrication, Inc.
     3,400       118  
Hanover Compressor Co. *
     23,968       572  
Hercules Offshore, Inc. *
     6,300       204  
Horizon Offshore, Inc. *
     7,800       150  
Hornbeck Offshore Services, Inc. *
     5,900       229  
Input/Output, Inc. *
     18,400       287  
Lufkin Industries, Inc.
     4,000       258  
Markwest Hydrocarbon, Inc.
     1,650       95  
Matrix Service Co. *
     6,900       171  
NATCO Group, Inc., Class A *
     4,100       189  
Newpark Resources, Inc. *
     23,280       180  
Oil States International, Inc. *
     12,800       529  
RPC, Inc. *
     8,841       151  
Superior Offshore International, Inc. *
     2,300       42  
Superior Well Services, Inc. *
     3,300       84  
T-3 Energy Services, Inc. *
     500       17  
Trico Marine Services, Inc. *
     3,300       135  
Union Drilling, Inc. *
     3,800       62  
EQUITY INDEX FUNDS     17     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% — CONTINUED
                
Oil & Gas Services - 1.7% — (continued)
                
Universal Compression Holdings, Inc. *
     7,800     $ 565  
W-H Energy Services, Inc. *
     8,000       495  
Willbros Group, Inc. *
     7,300       217  
 
 
             6,431  
 
Packaging & Containers - 0.3%
                
AEP Industries, Inc. *
     1,800       81  
Chesapeake Corp.
     5,300       67  
Graphic Packaging Corp. *
     21,500       104  
Greif, Inc., Class A
     8,600       513  
Silgan Holdings, Inc.
     6,300       348  
 
 
             1,113  
 
Pharmaceuticals - 3.0%
                
Acadia Pharmaceuticals, Inc. *
     8,800       120  
Adams Respiratory Therapeutics, Inc. *
     8,900       351  
Akorn, Inc. *
     15,000       105  
Alexza Pharmaceuticals, Inc. *
     4,100       34  
Alkermes, Inc. *
     26,100       381  
Allos Therapeutics, Inc. *
     8,300       37  
Alnylam Pharmaceuticals, Inc. *
     9,000       137  
Alpharma, Inc., Class A
     11,450       298  
Altus Pharmaceuticals, Inc. *
     4,400       51  
Amicus Therapeutics, Inc. *
     3,900       45  
Animal Health International, Inc. *
     1,987       29  
Array Biopharma, Inc. *
     10,700       125  
Auxilium Pharmaceuticals, Inc. *
     8,200       131  
Bentley Pharmaceuticals, Inc. *
     5,500       67  
Biodel, Inc. *
     339       7  
Bioenvision, Inc. *
     15,900       92  
BioMarin Pharmaceuticals, Inc. *
     24,400       438  
Bradley Pharmaceuticals, Inc. *
     4,100       89  
Cadence Pharmaceuticals, Inc. *
     3,163       38  
Cubist Pharmaceuticals, Inc. *
     14,400       284  
CV Therapeutics, Inc. *
     14,000       185  
Cypress Bioscience, Inc. *
     9,200       122  
CytRx Corp. *
     25,300       79  
Dendreon Corp. *
     22,900       162  
Discovery Laboratories, Inc. *
     24,900       70  
Durect Corp. *
     16,700       64  
HealthExtras, Inc. *
     7,400       219  
I-Flow Corp. *
     6,400       107  
Idenix Pharmaceuticals, Inc. *
     6,800       40  
Indevus Pharmaceuticals, Inc. *
     17,800       120  
Isis Pharmaceuticals, Inc. *
     20,000       194  
Javelin Pharmaceuticals, Inc. *
     9,600       59  
KV Pharmaceutical Co., Class A *
     10,100       275  
Ligand Pharmaceuticals, Inc., Class B
     21,500       148  
Mannatech, Inc.
     4,700       75  
MannKind Corp. *
     9,800       121  
Medarex, Inc. *
     33,000       472  
Medicines Co. *
     13,500       238  
Medicis Pharmaceutical Corp., Class A
     14,700       449  
MGI Pharma, Inc. *
     21,100       472  
Nabi Biopharmaceuticals *
     16,500       76  
Nastech Pharmaceutical Co., Inc. *
     7,500       82  
Neurocrine Biosciences, Inc. *
     10,400       117  
Neurogen Corp. *
     6,400       42  
Noven Pharmaceuticals, Inc. *
     6,500       152  
Obagi Medical Products, Inc. *
     1,100       19  
Onyx Pharmaceuticals, Inc. *
     12,000       323  
OSI Pharmaceuticals, Inc. *
     15,000       543  
Osiris Therapeutics, Inc. *
     2,600       35  
Pain Therapeutics, Inc. *
     9,700       84  
Par Pharmaceutical Cos., Inc. *
     9,300       263  
Penwest Pharmaceuticals Co. *
     6,900       86  
Perrigo Co.
     21,000       411  
PetMed Express, Inc. *
     6,600       85  
Pharmion Corp. *
     6,700       194  
Pozen, Inc. *
     6,900       125  
Progenics Pharmaceuticals, Inc. *
     6,600       142  
Rigel Pharmaceuticals, Inc. *
     7,100       63  
Salix Pharmaceuticals Ltd. *
     12,700       156  
Santarus, Inc. *
     15,200       79  
Sciele Pharma, Inc. *
     8,500       200  
Sirtris Pharmaceuticals, Inc. *
     142       1  
Somaxon Pharmaceuticals, Inc. *
     3,300       40  
Synta Pharmaceuticals Corp. *
     1,700       14  
Tanox, Inc. *
     6,700       130  
United Therapeutics Corp. *
     5,400       344  
USANA Health Sciences, Inc. *
     2,400       107  
Valeant Pharmaceuticals International
     25,100       419  
Vanda Pharmaceuticals, Inc. *
     7,300       148  
Viropharma, Inc. *
     18,600       257  
Vivus, Inc. *
     12,700       66  
Xenoport, Inc. *
     5,800       258  
NORTHERN FUNDS QUARTERLY REPORT     18     EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
  SCHEDULE OF INVESTMENTS
  SMALL CAP INDEX FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% — CONTINUED
                
Pharmaceuticals - 3.0% — (continued)
                
Zymogenetics, Inc. *
     10,300     $ 150  
 
 
             11,741  
 
Real Estate - 0.2%
                
Affordable Residential Communities *
     11,674       138  
Avatar Holdings, Inc. *
     1,600       123  
Consolidated-Tomoka Land Co. of Florida
     1,600       111  
Grubb & Ellis Co. *
     5,400       63  
HFF, Inc., Class A *
     3,800       59  
Meruelo Maddux Properties, Inc. *
     12,300       100  
Tarragon Corp. *
     3,962       33  
Thomas Properties Group, Inc.
     5,000       80  
 
 
             707  
 
Real Estate Investment Trusts - 6.3%
                
Acadia Realty Trust
     8,685       225  
Agree Realty Corp.
     2,100       66  
Alesco Financial, Inc.
     16,600       135  
Alexander’s, Inc. *
     500       202  
Alexandria Real Estate Equities, Inc.
     7,699       745  
American Campus Communities, Inc.
     6,300       178  
American Financial Realty Trust
     33,800       349  
American Home Mortgage Investment Corp.
     12,005       221  
Anthracite Capital, Inc.
     15,600       183  
Anworth Mortgage Asset Corp.
     12,400       112  
Arbor Realty Trust, Inc.
     4,000       103  
Ashford Hospitality Trust, Inc.
     29,781       350  
Associated Estates Realty Corp.
     2,600       41  
BioMed Realty Trust, Inc.
     17,600       442  
BRT Realty Trust
     900       23  
Capital Lease Funding, Inc.
     9,100       98  
Capital Trust, Inc. of New York, Class A
     2,800       96  
CBRE Realty Finance, Inc.
     6,000       71  
Cedar Shopping Centers, Inc.
     9,000       129  
Corporate Office Properties Trust
     9,917       407  
Cousins Properties, Inc.
     10,300       299  
Crescent Real Estate Equities Co.
     20,500       460  
Crystal River Capital, Inc.
     5,600       136  
DCT Industrial Trust, Inc.
     43,700       470  
Deerfield Triarc Capital Corp.
     13,900       203  
DiamondRock Hospitality Co.
     23,400       446  
Digital Realty Trust, Inc.
     13,100       494  
EastGroup Properties, Inc.
     6,500       285  
Education Realty Trust, Inc.
     8,760       123  
Entertainment Properties Trust
     7,200       387  
Equity Inns, Inc.
     15,000       336  
Equity Lifestyle Properties, Inc.
     5,300       277  
Equity One, Inc.
     10,300       263  
Extra Space Storage, Inc.
     15,700       259  
FelCor Lodging Trust, Inc.
     16,200       422  
First Industrial Realty Trust, Inc.
     11,800       457  
First Potomac Realty Trust
     6,300       147  
Franklin Street Properties Corp.
     15,742       260  
Getty Realty Corp.
     4,800       126  
Glimcher Realty Trust
     10,100       253  
GMH Communities Trust
     10,800       105  
Gramercy Capital Corp. of New York
     5,100       140  
Healthcare Realty Trust, Inc.
     12,400       344  
Hersha Hospitality Trust
     8,400       99  
Highland Hospitality Corp.
     16,300       313  
Highwoods Properties, Inc.
     14,600       548  
Home Properties, Inc.
     8,600       447  
IMPAC Mortgage Holdings, Inc.
     20,900       96  
Inland Real Estate Corp.
     17,600       299  
Innkeepers USA Trust
     11,800       209  
Investors Real Estate Trust
     12,700       131  
JER Investors Trust, Inc.
     7,100       107  
Kite Realty Group Trust
     7,200       137  
LaSalle Hotel Properties
     10,400       452  
Lexington Realty Trust
     17,140       357  
LTC Properties, Inc.
     6,400       146  
Luminent Mortgage Capital, Inc.
     11,300       114  
Maguire Properties, Inc.
     9,700       333  
Medical Properties Trust, Inc.
     11,000       146  
MFA Mortgage Investments, Inc.
     21,700       158  
Mid-America Apartment Communities, Inc.
     6,500       341  
Mission West Properties
     3,400       47  
National Health Investors, Inc.
     6,500       206  
National Retail Properties, Inc.
     17,300       378  
Nationwide Health Properties, Inc.
     22,700       617  
Newcastle Investment Corp.
     12,000       301  
NorthStar Realty Finance Corp.
     17,600       220  
Novastar Financial, Inc.
     10,900       76  
OMEGA Healthcare Investors, Inc.
     15,800       250  
Parkway Properties, Inc. of Maryland
     3,900       187  
Pennsylvania Real Estate Investment Trust
     8,301       368  
EQUITY INDEX FUNDS     19     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS — 97.3% – CONTINUED
                
Real Estate Investment Trusts - 6.3% – (continued)
                
Post Properties, Inc.
     11,300     $ 589  
Potlatch Corp.
     10,160       437  
PS Business Parks, Inc.
     4,300       272  
Quadra Realty Trust, Inc. *
     2,600       33  
RAIT Financial Trust
     16,800       437  
Ramco-Gershenson Properties
     4,600       165  
Realty Income Corp.
     27,000       680  
Redwood Trust, Inc.
     5,300       256  
Republic Property Trust
     7,400       91  
Resource Capital Corp.
     4,400       62  
Saul Centers, Inc.
     3,000       136  
Senior Housing Properties Trust
     20,200       411  
Sovran Self Storage, Inc.
     4,900       236  
Spirit Finance Corp.
     27,940       407  
Strategic Hotels & Resorts, Inc.
     19,262       433  
Sun Communities, Inc.
     4,900       146  
Sunstone Hotel Investors, Inc.
     15,700       446  
Tanger Factory Outlet Centers, Inc.
     8,100       303  
U-Store-It Trust
     12,900       211  
Universal Health Realty Income Trust
     3,300       110  
Urstadt Biddle Properties, Inc., Class A
     5,800       99  
Washington Real Estate Investment Trust
     12,200       415  
Winston Hotels, Inc.
     7,900       119  
Winthrop Realty Trust
     9,200       64  
 
 
             24,509  
 
Retail - 6.0%
                
99 Cents Only Stores *
     12,200       160  
AC Moore Arts & Crafts, Inc. *
     4,400       86  
Aeropostale, Inc. *
     13,400       558  
AFC Enterprises *
     8,200       142  
Applebee’s International, Inc.
     19,400       468  
Asbury Automotive Group, Inc.
     5,800       145  
Bebe Stores, Inc.
     6,500       104  
Benihana, Inc., Class A *
     2,400       48  
Big 5 Sporting Goods Corp.
     6,200       158  
BJ’s Restaurants, Inc. *
     3,800       75  
Blockbuster, Inc., Class A *
     49,800       215  
Bob Evans Farms, Inc.
     9,300       343  
Bon-Ton Stores (The), Inc.
     2,600       104  
Books-A-Million, Inc.
     4,700       80  
Borders Group, Inc.
     15,200       290  
Brown Shoe Co., Inc.
     11,400       277  
Buckle (The), Inc.
     3,900       154  
Buffalo Wild Wings, Inc. *
     4,000       166  
Build-A-Bear Workshop, Inc. *
     4,000       105  
Cabela’s, Inc. *
     8,800       195  
Cache, Inc. *
     3,300       44  
California Pizza Kitchen, Inc. *
     8,100       174  
Carrols Restaurant Group, Inc. *
     1,600       24  
Casey’s General Stores, Inc.
     13,100       357  
Cash America International, Inc.
     7,700       305  
Casual Male Retail Group, Inc. *
     10,800       109  
Cato (The) Corp., Class A
     8,400       184  
CBRL Group, Inc.
     6,400       272  
CEC Entertainment, Inc. *
     7,392       260  
Charlotte Russe Holding, Inc. *
     5,900       159  
Charming Shoppes, Inc. *
     32,100       348  
Children’s Place Retail Stores (The), Inc. *
     5,800       299  
Chipotle Mexican Grill, Inc., Class B *
     8,300       653  
Christopher & Banks Corp.
     9,425       162  
Citi Trends, Inc. *
     4,000       152  
CKE Restaurants, Inc.
     16,300       327  
Conn’s, Inc. *
     2,600       74  
CSK Auto Corp. *
     12,000       221  
DEB Shops, Inc.
     1,400       39  
Denny’s Corp. *
     26,300       117  
Domino’s Pizza, Inc.
     10,400       190  
Dress Barn, Inc. *
     12,400       254  
DSW, Inc., Class A *
     4,400       153  
Eddie Bauer Holdings, Inc. *
     6,900       89  
Ezcorp, Inc., Class A *
     9,800       130  
Finish Line (The), Inc., Class A
     11,700       107  
First Cash Financial Services, Inc. *
     7,500       176  
Fred’s, Inc.
     11,025       147  
Gander Mountain Co. *
     2,300       26  
Genesco, Inc. *
     5,900       309  
Group 1 Automotive, Inc.
     6,300       254  
Guitar Center, Inc. *
     7,700       460  
Haverty Furniture Cos., Inc.
     6,200       72  
Hibbett Sports, Inc. *
     8,743       239  
HOT Topic, Inc. *
     12,125       132  
IHOP Corp.
     5,000       272  
Insight Enterprises, Inc. *
     13,050       294  
J Crew Group, Inc. *
     9,800       530  
NORTHERN FUNDS QUARTERLY REPORT       20       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     SMALL CAP INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Retail - 6.0% – (continued)
                
Jack in the Box, Inc. *
     8,100     $ 575  
Jamba, Inc. *
     15,300       140  
Jo-Ann Stores, Inc. *
     6,610       188  
Jos. A. Bank Clothiers, Inc. *
     4,633       192  
Kenneth Cole Productions, Inc., Class A
     2,542       63  
Krispy Kreme Doughnuts, Inc. *
     15,100       140  
Landry’s Restaurants, Inc.
     4,484       136  
Lithia Motors, Inc., Class A
     4,300       109  
Longs Drug Stores Corp.
     8,600       452  
MarineMax, Inc. *
     4,500       90  
McCormick & Schmick’s Seafood Restaurants, Inc. *
     3,300       86  
Men’s Wearhouse, Inc.
     13,700       700  
Morton’s Restaurant Group, Inc. *
     2,700       49  
Movado Group, Inc.
     4,500       152  
New York & Co., Inc. *
     5,900       65  
Nu Skin Enterprises, Inc., Class A
     14,800       244  
O’Charleys, Inc.
     6,300       127  
P.F. Chang’s China Bistro, Inc. *
     6,700       236  
Pacific Sunwear of California, Inc. *
     18,200       400  
Pantry (The), Inc. *
     5,900       272  
Papa John’s International, Inc. *
     6,550       188  
Payless Shoesource, Inc. *
     16,900       533  
PC Connection, Inc. *
     1,000       13  
Pep Boys — Manny, Moe & Jack
     10,900       220  
Pier 1 Imports, Inc.
     22,900       194  
Pricesmart, Inc.
     2,800       69  
Rare Hospitality International, Inc. *
     7,975       213  
Red Robin Gourmet Burgers, Inc. *
     4,500       182  
Regis Corp.
     11,500       440  
Retail Ventures, Inc. *
     6,200       100  
Ruby Tuesday, Inc.
     14,100       371  
Rush Enterprises, Inc., Class A *
     5,900       128  
Ruth’s Chris Steak House *
     4,800       82  
Sally Beauty Holdings, Inc. *
     22,500       202  
School Specialty, Inc. *
     5,750       204  
Select Comfort Corp. *
     14,250       231  
Shoe Carnival, Inc. *
     2,300       63  
Sonic Automotive, Inc., Class A
     8,100       235  
Sonic Corp. *
     17,300       383  
Stage Stores, Inc.
     11,475       240  
Steak n Shake (The) Co. *
     7,704       129  
Stein Mart, Inc.
     7,100       87  
Syms Corp. *
     1,600       32  
Systemax, Inc.
     2,200       46  
Talbots, Inc.
     6,200       155  
Texas Roadhouse, Inc., Class A *
     14,300       183  
Triarc Cos., Inc., Class B
     16,803       264  
Tuesday Morning Corp.
     8,200       101  
Tween Brands, Inc. *
     7,900       352  
Under Armour, Inc., Class A *
     6,000       274  
West Marine, Inc. *
     4,100       56  
Wet Seal (The), Inc., Class A *
     18,500       111  
World Fuel Services Corp.
     7,500       315  
Zale Corp. *
     12,700       302  
Zumiez, Inc. *
     4,100       155  
 
 
             23,256  
 
Savings & Loans - 1.3%
                
Abington Bancorp, Inc.
     2,400       23  
Anchor BanCorp Wisconsin, Inc.
     5,300       139  
BankAtlantic Bancorp, Inc., Class A
     11,600       100  
BankFinancial Corp.
     6,700       103  
BankUnited Financial Corp., Class A
     8,600       173  
Berkshire Hills Bancorp, Inc.
     2,400       76  
Brookline Bancorp, Inc.
     16,903       195  
Clifton Savings Bancorp, Inc.
     3,400       37  
Dime Community Bancshares
     6,825       90  
Downey Financial Corp.
     5,500       363  
First Financial Holdings, Inc.
     3,300       108  
First Niagara Financial Group, Inc.
     27,919       366  
First Place Financial Corp. of Ohio
     4,800       101  
FirstFed Financial Corp. *
     4,250       241  
Flagstar Bancorp, Inc.
     11,200       135  
Flushing Financial Corp.
     5,425       87  
Franklin Bank Corp. of Houston *
     6,400       95  
Investors Bancorp, Inc. *
     13,200       177  
Kearny Financial Corp.
     5,900       79  
KNBT Bancorp, Inc.
     8,000       118  
MAF Bancorp, Inc.
     8,536       463  
NASB Financial, Inc.
     1,000       34  
NewAlliance Bancshares, Inc.
     29,400       433  
Northwest Bancorp, Inc.
     4,700       123  
Partners Trust Financial Group, Inc.
     12,330       129  
PFF Bancorp, Inc.
     6,190       173  
Provident Financial Services, Inc.
     17,329       273  
EQUITY INDEX FUNDS      21       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Savings & Loans - 1.3% – (continued)
                
Provident New York Bancorp
     11,661     $ 157  
Rockville Financial, Inc.
     2,200       33  
Roma Financial Corp.
     3,000       50  
TierOne Corp.
     4,700       141  
United Community Financial Corp. of Ohio
     7,400       74  
ViewPoint Financial Group
     3,300       57  
Wauwatosa Holdings, Inc. *
     2,900       48  
Westfield Financial, Inc.
     3,937       39  
WSFS Financial Corp.
     1,600       105  
 
 
             5,138  
 
Semiconductors - 3.1%
                
Actel Corp. *
     7,100       99  
Advanced Analogic Technologies, Inc. *
     11,200       109  
AMIS Holdings, Inc. *
     15,500       194  
Amkor Technology, Inc. *
     28,000       441  
Anadigics, Inc. *
     14,300       197  
Applied Micro Circuits Corp. *
     73,500       184  
Asyst Technologies, Inc. *
     13,800       100  
ATMI, Inc. *
     8,900       267  
AuthenTec, Inc. *
     337       3  
Axcelis Technologies, Inc. *
     27,700       180  
Brooks Automation, Inc. *
     19,644       357  
Cabot Microelectronics Corp. *
     6,200       220  
Cavium Networks, Inc. *
     1,196       27  
Cirrus Logic, Inc. *
     22,900       190  
Cohu, Inc.
     6,200       138  
Conexant Systems, Inc. *
     129,900       179  
Credence Systems Corp. *
     27,480       99  
Diodes, Inc. *
     5,425       227  
DSP Group, Inc. *
     7,400       151  
Emulex Corp. *
     22,100       483  
Entegris, Inc. *
     25,787       306  
Exar Corp. *
     8,600       115  
Formfactor, Inc. *
     12,400       475  
Genesis Microchip, Inc. *
     9,700       91  
Hittite Microwave Corp. *
     3,800       162  
IPG Photonics Corp. *
     2,762       55  
IXYS Corp. *
     7,400       62  
Kulicke & Soffa Industries, Inc. *
     15,600       163  
Lattice Semiconductor Corp. *
     29,800       170  
LTX Corp. *
     16,700       93  
Mattson Technology, Inc. *
     14,400       140  
Micrel, Inc.
     14,400       183  
Microsemi Corp. *
     19,100       457  
Microtune, Inc. *
     14,500       76  
MIPS Technologies, Inc. *
     11,900       105  
MKS Instruments, Inc. *
     12,400       344  
Monolithic Power Systems, Inc. *
     6,400       112  
Netlogic Microsystems, Inc. *
     4,400       140  
Omnivision Technologies, Inc. *
     14,600       264  
ON Semiconductor Corp. *
     64,300       689  
Pericom Semiconductor Corp. *
     7,100       79  
Photronics, Inc. *
     10,800       161  
PLX Technology, Inc. *
     6,800       76  
PMC — Sierra, Inc. *
     53,500       414  
Rudolph Technologies, Inc. *
     6,632       110  
Semitool, Inc. *
     6,100       59  
Semtech Corp. *
     18,800       326  
Silicon Image, Inc. *
     22,300       191  
Sirf Technology Holdings, Inc. *
     14,000       290  
Skyworks Solutions, Inc. *
     41,500       305  
Spansion, Inc., Class A *
     22,000       244  
Standard Microsystems Corp. *
     6,100       209  
Supertex, Inc. *
     3,300       103  
Syntax-Brillian Corp. *
     13,000       64  
Techwell, Inc. *
     4,700       62  
Tessera Technologies, Inc. *
     12,700       515  
TriQuint Semiconductor, Inc. *
     38,354       194  
Ultra Clean Holdings *
     5,900       83  
Ultratech, Inc. *
     6,500       87  
Veeco Instruments, Inc. *
     8,300       172  
Volterra Semiconductor Corp. *
     5,300       75  
Zoran Corp. *
     12,865       258  
 
 
             12,124  
 
Software - 3.5%
                
Actuate Corp. *
     15,500       105  
Advent Software, Inc. *
     4,700       153  
Allscripts Healthcare Solutions, Inc. *
     13,800       352  
American Reprographics Co. *
     7,140       220  
Ansys, Inc. *
     19,200       509  
Aspen Technology, Inc. *
     23,700       332  
Avid Technology, Inc. *
     11,400       403  
Blackbaud, Inc.
     11,416       252  
Blackboard, Inc. *
     7,400       312  
NORTHERN FUNDS QUARTERLY REPORT       22       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     SMALL CAP INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Software - 3.5% – (continued)
                
Borland Software Corp. *
     21,400     $ 127  
Bottomline Technologies, Inc. *
     5,600       69  
Commvault Systems, Inc. *
     10,147       175  
Computer Programs & Systems, Inc.
     2,600       81  
Concur Technologies, Inc. *
     8,800       201  
CSG Systems International, Inc. *
     11,300       300  
Digi International, Inc. *
     6,800       100  
DivX, Inc. *
     5,300       80  
Double-Take Software, Inc. *
     3,000       49  
Eclipsys Corp. *
     12,200       242  
eFunds Corp. *
     12,300       434  
Epicor Software Corp. *
     15,600       232  
EPIQ Systems, Inc. *
     6,225       101  
FalconStor Software, Inc. *
     10,500       111  
Glu Mobile, Inc. *
     1,900       26  
Infocrossing, Inc. *
     4,700       87  
Informatica Corp. *
     22,700       335  
infoUSA, Inc.
     9,150       94  
Innerworkings, Inc. *
     4,894       78  
InPhonic, Inc. *
     6,500       30  
Inter-Tel, Inc.
     5,800       139  
Interactive Intelligence, Inc. *
     2,800       58  
INVESTools, Inc. *
     15,000       149  
JDA Software Group, Inc. *
     8,000       157  
Lawson Software, Inc. *
     33,600       332  
Mantech International Corp., Class A *
     4,900       151  
MicroStrategy, Inc., Class A *
     2,500       236  
Midway Games, Inc. *
     9,789       62  
MSC.Software Corp. *
     10,000       135  
Nuance Communications, Inc. *
     35,110       587  
Omnicell, Inc. *
     8,500       177  
Omniture, Inc. *
     7,900       181  
OpenTV Corp., Class A *
     18,700       40  
Packeteer, Inc. *
     9,600       75  
Parametric Technology Corp. *
     30,120       651  
PDF Solutions, Inc. *
     5,800       69  
Pegasystems, Inc.
     3,400       37  
Phase Forward, Inc. *
     11,600       195  
Progress Software Corp. *
     10,600       337  
PROS Holdings, Inc. *
     700       9  
QAD, Inc.
     3,900       32  
Quality Systems, Inc.
     4,500       171  
Quest Software, Inc. *
     18,100       293  
Renaissance Learning, Inc.
     2,300       30  
Schawk, Inc.
     4,400       88  
Seachange International, Inc. *
     5,800       45  
Smith Micro Software, Inc. *
     8,500       128  
Solera Holdings, Inc. *
     5,900       114  
SourceForge, Inc. *
     18,500       78  
SPSS, Inc. *
     4,800       212  
Sybase, Inc. *
     23,700       566  
Synchronoss Technologies, Inc. *
     4,400       129  
SYNNEX Corp. *
     3,400       70  
Take-Two Interactive Software, Inc. *
     18,900       378  
Taleo Corp., Class A *
     4,900       110  
THQ, Inc. *
     17,225       526  
Transaction Systems Architects, Inc. *
     9,600       323  
Trident Microsystems, Inc. *
     14,800       272  
Ultimate Software Group, Inc. *
     6,600       191  
Visual Sciences, Inc. *
     6,000       93  
Wind River Systems, Inc. *
     19,400       213  
 
 
             13,429  
 
Storage/Warehousing - 0.1%
                
Mobile Mini, Inc. *
     9,500       277  
 
Telecommunications - 4.4%
                
3Com Corp. *
     101,000       417  
Acme Packet, Inc. *
     4,700       54  
Adaptec, Inc. *
     31,300       119  
Adtran, Inc.
     15,300       397  
Aeroflex, Inc. *
     19,400       275  
Alaska Communications Systems Group, Inc.
     11,500       182  
Anaren, Inc. *
     4,600       81  
Andrew Corp. *
     40,400       583  
Anixter International, Inc. *
     8,000       602  
Arris Group, Inc. *
     28,300       498  
Atheros Communications, Inc. *
     14,100       435  
Atlantic Tele-Network, Inc.
     1,800       52  
Avanex Corp. *
     56,500       102  
BigBand Networks, Inc. *
     2,383       31  
Black Box Corp.
     4,500       186  
C-COR, Inc. *
     13,200       186  
Cbeyond, Inc. *
     5,700       219  
Centennial Communications Corp. *
     6,200       59  
Cincinnati Bell, Inc. *
     67,500       390  
EQUITY INDEX FUNDS       23       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.3% – CONTINUED
                
Telecommunications - 4.4% – (continued)
                
Comtech Telecommunications Corp. *
     6,025     $ 280  
Consolidated Communications Holdings, Inc.
     5,600       127  
CPI International, Inc. *
     1,900       38  
CT Communications, Inc.
     5,300       162  
Ditech Networks, Inc. *
     8,900       73  
Dobson Communications Corp., Class A *
     37,900       421  
EMS Technologies, Inc. *
     4,300       95  
Eschelon Telecom, Inc. *
     2,600       77  
Extreme Networks *
     32,700       132  
Fairpoint Communications, Inc.
     7,510       133  
FiberTower Corp. *
     27,700       120  
Finisar Corp. *
     66,100       250  
Foundry Networks, Inc. *
     37,800       630  
General Communication, Inc., Class A *
     14,700       188  
GeoEye, Inc. *
     3,800       83  
Global Crossing Ltd. *
     6,800       128  
Globalstar, Inc. *
     5,154       53  
Golden Telecom, Inc.
     4,500       248  
Harmonic, Inc. *
     20,400       181  
Harris Stratex Networks, Inc., Class A *
     6,600       119  
Hughes Communications, Inc. *
     1,300       68  
Hypercom Corp. *
     14,700       87  
ICO Global Communications Holdings Ltd. *
     23,800       83  
IDT Corp., Class B
     12,300       127  
Infinera Corp. *
     666       17  
Interdigital Communications Corp. *
     12,200       392  
Iowa Telecommunications Services, Inc.
     8,600       195  
iPCS, Inc.
     4,600       156  
Ixia *
     11,700       108  
Knology, Inc. *
     5,900       102  
Loral Space & Communications, Inc. *
     3,100       153  
Mastec, Inc. *
     11,000       174  
MRV Communications, Inc. *
     34,334       112  
Netgear, Inc. *
     8,900       323  
Network Equipment Technologies, Inc. *
     5,600       53  
Nextwave Wireless, Inc. *
     5,400       45  
North Pittsburgh Systems, Inc.
     4,100       87  
Novatel Wireless, Inc. *
     8,100       211  
NTELOS Holdings Corp.
     6,500       180  
Oplink Communications, Inc. *
     4,428       66  
OpNext, Inc. *
     5,232       69  
Optium Corp. *
     2,190       28  
Orbcomm, Inc. *
     6,100       100  
PAETEC Holding Corp. *
     19,687       222  
Plantronics, Inc.
     12,700       333  
Polycom, Inc. *
     23,600       793  
Powerwave Technologies, Inc. *
     31,800       213  
Premiere Global Services, Inc. *
     18,400       240  
RCN Corp. *
     8,000       150  
RF Micro Devices, Inc. *
     50,400       314  
Rural Cellular Corp., Class A *
     3,000       131  
SAVVIS, Inc. *
     7,500       371  
Shenandoah Telecom Co.
     2,143       109  
Sirenza Microdevices, Inc. *
     9,100       108  
Sonus Networks, Inc. *
     65,500       558  
Starent Networks Corp. *
     476       7  
SureWest Communications
     4,000       109  
Switch & Data Facilities Co., Inc. *
     3,878       74  
Sycamore Networks, Inc. *
     47,800       192  
Symmetricom, Inc. *
     12,600       106  
Syniverse Holdings, Inc. *
     6,480       83  
Tekelec *
     15,600       225  
Time Warner Telecom, Inc., Class A *
     37,700       758  
USA Mobility, Inc. *
     5,976       160  
UTStarcom, Inc. *
     27,600       155  
Viasat, Inc. *
     6,100       196  
Vonage Holdings Corp. *
     13,200       41  
 
 
             16,990  
 
Textiles - 0.1%
                
G&K Services, Inc., Class A
     5,750       227  
Unifirst Corp. of Massachusetts
     3,200       141  
 
 
             368  
 
Toys, Games & Hobbies - 0.3%
                
Jakks Pacific, Inc. *
     7,550       213  
Leapfrog Enterprises, Inc. *
     9,300       95  
Marvel Entertainment, Inc. *
     13,300       339  
RC2 Corp. *
     5,509       220  
Topps (The) Co.
     9,800       103  
 
 
             970  
 
Transportation - 1.9%
                
ABX Air, Inc. *
     15,800       127  
American Commercial Lines, Inc. *
     16,200       422  
Arkansas Best Corp.
     5,800       226  
Arlington Tankers Ltd.
     2,400       69  
NORTHERN FUNDS QUARTERLY REPORT       24       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     SMALL CAP INDEX FUND ( continued )
                 
    NUMBER     VALUE  
    OF SHARES     (000S)  
COMMON STOCKS - 97.3% – CONTINUED
                
Transportation - 1.9% – (continued)
                
Atlas Air Worldwide Holdings, Inc. *
     3,999     $ 236  
Bristow Group, Inc. *
     5,227       259  
Celadon Group, Inc. *
     6,300       100  
Double Hull Tankers, Inc.
     3,800       59  
Dynamex, Inc. *
     3,010       77  
Eagle Bulk Shipping, Inc.
     9,800       220  
EGL, Inc. *
     8,490       395  
Florida East Coast Industries, Inc.
     9,500       788  
Forward Air Corp.
     8,650       295  
Genco Shipping & Trading Ltd.
     4,100       169  
General Maritime Corp.
     6,700       179  
Genesee & Wyoming, Inc., Class A *
     9,225       275  
Golar LNG Ltd.
     10,100       168  
Gulfmark Offshore, Inc. *
     6,000       307  
Heartland Express, Inc.
     16,370       267  
Horizon Lines, Inc., Class A
     8,100       265  
HUB Group, Inc., Class A *
     10,800       380  
Knight Transportation, Inc.
     14,839       288  
Knightsbridge Tankers Ltd.
     3,700       113  
Marten Transport Ltd. *
     4,150       75  
Nordic American Tanker Shipping
     6,400       261  
Old Dominion Freight Line, Inc. *
     7,725       233  
Pacer International, Inc.
     9,500       224  
Patriot Transportation Holding, Inc. *
     400       35  
PHI, Inc. *
     3,700       110  
Saia, Inc. *
     4,000       109  
Ship Finance International Ltd.
     9,100       270  
TBS International Ltd., Class A *
     1,700       48  
Ultrapetrol Bahamas Ltd. *
     3,300       78  
Universal Truckload Services, Inc. *
     1,700       34  
Werner Enterprises, Inc.
     12,100       244  
 
 
             7,405  
 
Trucking & Leasing - 0.1%
                
AMERCO, Inc. *
     2,800       211  
Greenbrier Cos., Inc.
     3,700       112  
Interpool, Inc.
     3,400       91  
TAL International Group, Inc.
     4,400       131  
 
 
             545  
 
Water - 0.2%
                
American States Water Co.
     4,600       164  
California Water Service Group
     4,900       184  
Consolidated Water Co., Inc.
     2,900       85  
Pico Holdings, Inc. *
     3,500       151  
SJW Corp.
     4,100       136  
Southwest Water Co.
     6,197       79  
 
 
             799  
 
Total Common Stocks
                
 
(Cost $283,341)
             376,211  
 
                
OTHER - 0.0%
                
Escrow Position PetroCorp. *
     1,900       —  
 
Total Other
                
 
(Cost $-)
             —  
 
                
RIGHTS - 0.0%
                
CSF Holdings, Inc. *
     4,212       —  
 
Total Rights
                
 
(Cost $-)
             —  
                 
    NUMBER    
    OF   VALUE
    WARRANTS   (000S)
WARRANTS - 0.0%
                
Imperial Credit Industries, Exp. 1/31/08, Strike $2.15 *
     33       —  
Optical Cable Corp., Exp. 10/24/07, Strike $4.88 *
     147       —  
Optical Cable Corp., Fractional Shares, Exp. 10/24/07, Strike $4.88 *
     52,400       —  
Pegasus Wireless Corp., Exp. 12/18/08, Strike $8.00 *
     1,680       —  
 
Total Warrants
                
 
(Cost $-)
             —  
EQUITY INDEX FUNDS       25       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 2.3%
                
Dexia Bank Belgium, Brussels, Eurodollar Time Deposit, 5.44%, 7/2/07
   $ 8,286     $ 8,286  
U.S. Treasury Bill,(1) 5.01%, 8/9/07
     645       641  
 
Total Short-Term Investments
                
 
(Cost $8,927)
             8,927  
 
                
 
Total Investments - 99.6%
                
 
(Cost $292,268)
             385,138  
Other Assets less Liabilities - 0.4%
             1,406  
 
NET ASSETS - 100.0%
           $ 386,544  
 
(1)   Security pledged as collateral to cover margin requirements for open futures
contracts.
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
At June 30, 2007, the Small Cap Index Fund had open futures contracts as follows:
                                         
            NOTIONAL               UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   GAIN
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
Russell 2000
     128     $ 10,779     Long     9/07     $ 17  
 
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 292,268  
 
Gross tax appreciation of investments
   $ 108,067  
Gross tax depreciation of investments
     (15,197 )
 
Net tax appreciation of investments
   $ 92,870  
 
NORTHERN FUNDS QUARTERLY REPORT       26       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     STOCK INDEX FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1%
                
Advertising - 0.2%
                
Interpublic Group of Cos. (The), Inc. *
     22,435     $ 256  
Omnicom Group, Inc.
     17,400       921  
 
 
             1,177  
 
Aerospace/Defense - 2.2%
                
Boeing (The) Co.
     42,368       4,074  
General Dynamics Corp.
     20,900       1,635  
Goodrich Corp.
     6,200       369  
L-3 Communications Holdings, Inc.
     6,200       604  
Lockheed Martin Corp.
     19,246       1,812  
Northrop Grumman Corp.
     19,098       1,487  
Raytheon Co.
     24,500       1,320  
Rockwell Collins, Inc.
     8,300       586  
United Technologies Corp.
     53,800       3,816  
 
 
             15,703  
 
Agriculture - 1.4%
                
Altria Group, Inc.
     111,700       7,835  
Archer-Daniels-Midland Co.
     34,792       1,151  
Reynolds American, Inc.
     9,500       619  
UST, Inc.
     8,300       446  
 
 
             10,051  
 
Airlines - 0.1%
                
Southwest Airlines Co.
     41,630       621  
 
Apparel - 0.4%
                
Coach, Inc. *
     19,200       910  
Jones Apparel Group, Inc.
     6,800       192  
Liz Claiborne, Inc.
     5,600       209  
NIKE, Inc., Class B
     20,800       1,212  
Polo Ralph Lauren Corp.
     2,900       285  
VF Corp.
     4,628       424  
 
 
             3,232  
 
Auto Manufacturers - 0.3%
                
Ford Motor Co.
     98,075       924  
General Motors Corp.
     29,300       1,107  
 
 
             2,031  
 
Auto Parts & Equipment - 0.2%
                
Goodyear Tire & Rubber (The) Co. *
     10,558       367  
Johnson Controls, Inc.
     10,800       1,250  
 
 
             1,617  
 
Auto &Truck Manufacturers - 0.1%
                
PACCAR, Inc.
     13,552       1,180  
 
Banks - 6.2%
                
Bank of America Corp.
     236,540       11,565  
Bank of New York Co. (The), Inc. *
     39,800       1,649  
BB&T Corp.
     27,600       1,123  
Capital One Financial Corp.
     22,103       1,734  
Comerica, Inc.
     7,550       449  
Commerce Bancorp, Inc. of New Jersey
     10,000       370  
Compass Bancshares, Inc.
     7,600       524  
Fifth Third Bancorp
     30,630       1,218  
First Horizon National Corp.
     7,700       300  
Huntington Bancshares, Inc.
     19,472       443  
KeyCorp
     19,600       673  
M&T Bank Corp.
     3,600       385  
Marshall & Ilsley Corp.
     14,600       695  
Mellon Financial Corp.
     23,100       1,016  
National City Corp.
     30,800       1,026  
Northern Trust Corp. (1)
     8,700       559  
PNC Financial Services Group, Inc.
     19,000       1,360  
Regions Financial Corp.
     37,704       1,248  
State Street Corp.
     21,200       1,450  
SunTrust Banks, Inc.
     19,400       1,663  
Synovus Financial Corp.
     15,750       484  
U.S. Bancorp
     92,777       3,057  
Wachovia Corp.
     101,687       5,212  
Wells Fargo & Co.
     178,114       6,264  
Zions Bancorporation
     6,500       500  
 
 
             44,967  
 
Beverages - 2.0%
                
Anheuser-Busch Cos., Inc.
     41,088       2,143  
Brown-Forman Corp., Class B
     3,700       271  
Coca-Cola (The) Co.
     107,400       5,618  
Coca-Cola Enterprises, Inc.
     13,200       317  
Constellation Brands, Inc., Class A *
     10,600       257  
Molson Coors Brewing Co., Class B
     2,800       259  
Pepsi Bottling Group, Inc.
     6,600       222  
PepsiCo, Inc.
     87,380       5,667  
 
 
             14,754  
 
Biotechnology - 0.9%
                
Amgen, Inc. *
     61,936       3,425  
Biogen Idec, Inc. *
     15,255       816  
Celgene Corp. *
     20,400       1,170  
Genzyme Corp. *
     14,400       927  
EQUITY INDEX FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER VALUE
    OF SHARES (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Biotechnology - 0.9% – (continued)
                
Millipore Corp. *
     2,800     $ 210  
 
 
             6,548  
 
Building Materials - 0.2%
                
American Standard Companies, Inc.
     9,200       542  
Masco Corp.
     21,800       621  
 
 
             1,163  
 
Chemicals - 1.6%
                
Air Products & Chemicals, Inc.
     11,400       916  
Ashland, Inc.
     3,200       205  
Dow Chemical (The) Co.
     50,971       2,254  
du Pont (E.I.) de Nemours & Co.
     49,877       2,536  
Eastman Chemical Co.
     3,975       256  
Ecolab, Inc.
     9,200       393  
Hercules, Inc. *
     4,600       90  
International Flavors & Fragrances, Inc.
     3,400       177  
Monsanto Co.
     29,082       1,964  
PPG Industries, Inc.
     8,900       677  
Praxair, Inc.
     17,700       1,274  
Rohm & Haas Co.
     7,243       396  
Sherwin-Williams (The) Co.
     6,400       426  
Sigma-Aldrich Corp.
     7,200       307  
 
 
             11,871  
 
Coal - 0.2%
                
Consol Energy, Inc.
     10,200       470  
Peabody Energy Corp.
     13,700       663  
 
 
             1,133  
 
Commercial Services - 0.7%
                
Apollo Group, Inc., Class A *
     7,600       444  
Convergys Corp. *
     5,800       141  
Donnelley (R.R.) & Sons Co.
     11,700       509  
Equifax, Inc.
     7,100       315  
H&R Block, Inc.
     17,500       409  
McKesson Corp.
     16,041       957  
Monster Worldwide, Inc. *
     7,200       296  
Moody’s Corp.
     12,204       759  
Robert Half International, Inc.
     8,200       299  
Western Union (The) Co.
     42,123       877  
 
 
             5,006  
 
Computers - 4.2%
                
Affiliated Computer Services, Inc., Class A *
     5,900       335  
Apple, Inc. *
     45,900       5,602  
Cognizant Technology Solutions Corp., Class A *
     7,800       586  
Computer Sciences Corp. *
     8,600       509  
Dell, Inc. *
     122,300       3,492  
Electronic Data Systems Corp.
     28,300       785  
EMC Corp. of Massachusetts *
     110,012       1,991  
Hewlett-Packard Co.
     140,442       6,266  
IBM Corp.
     72,640       7,645  
Lexmark International, Inc., Class A *
     5,500       271  
NCR Corp. *
     8,900       468  
Network Appliance, Inc. *
     20,300       593  
SanDisk Corp. *
     12,400       607  
Sun Microsystems, Inc. *
     193,600       1,018  
Unisys Corp. *
     15,600       142  
 
 
             30,310  
 
Cosmetics/Personal Care - 1.8%
                
Avon Products, Inc.
     22,544       828  
Colgate-Palmolive Co.
     28,000       1,816  
Estee Lauder Cos. (The), Inc., Class A
     6,900       314  
Procter & Gamble Co.
     167,407       10,244  
 
 
             13,202  
 
Distribution/Wholesale - 0.1%
                
Genuine Parts Co.
     8,050       399  
Grainger (W.W.), Inc.
     3,900       363  
 
 
             762  
 
Diversified Financial Services - 7.9%
                
American Express Co.
     64,100       3,922  
Ameriprise Financial, Inc.
     11,960       760  
Bear Stearns Cos. (The), Inc.
     6,131       858  
Charles Schwab (The) Corp.
     56,025       1,150  
Chicago Mercantile Exchange Holdings, Inc., Class A
     1,900       1,015  
CIT Group, Inc.
     10,200       559  
Citigroup, Inc.
     263,061       13,492  
Countrywide Financial Corp.
     31,000       1,127  
E*TRADE Financial Corp. *
     23,800       526  
Fannie Mae
     52,400       3,423  
Federated Investors, Inc., Class B
     3,914       150  
Franklin Resources, Inc.
     9,200       1,219  
Freddie Mac
     36,000       2,185  
Goldman Sachs Group, Inc.
     21,752       4,715  
Janus Capital Group, Inc.
     10,900       303  
JPMorgan Chase & Co.
     182,225       8,829  
NORTHERN FUNDS QUARTERLY REPORT       2       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     STOCK INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Diversified Financial Services - 7.9% – (continued)
                
Legg Mason, Inc.
     6,710     $ 660  
Lehman Brothers Holdings, Inc.
     28,000       2,087  
Merrill Lynch & Co., Inc.
     46,984       3,927  
Morgan Stanley
     56,418       4,732  
Price (T. Rowe) Group, Inc.
     14,200       737  
SLM Corp.
     22,400       1,290  
 
 
             57,666  
 
Electric - 3.1%
                
AES Corp. *
     35,100       768  
Allegheny Energy, Inc. *
     8,200       424  
Ameren Corp.
     11,900       583  
American Electric Power Co., Inc.
     21,940       988  
Centerpoint Energy, Inc.
     15,522       270  
CMS Energy Corp.
     13,700       236  
Consolidated Edison, Inc.
     13,400       605  
Constellation Energy Group, Inc.
     9,700       845  
Dominion Resources, Inc. of Virginia
     19,293       1,665  
DTE Energy Co.
     9,600       463  
Duke Energy Corp.
     68,655       1,256  
Dynegy, Inc., Class A *
     18,807       177  
Edison International
     17,600       988  
Entergy Corp.
     10,600       1,138  
Exelon Corp.
     36,124       2,623  
FirstEnergy Corp.
     17,215       1,114  
FPL Group, Inc.
     21,900       1,243  
Integrys Energy Group, Inc.
     3,600       183  
PG&E Corp.
     17,700       802  
Pinnacle West Capital Corp.
     4,200       167  
PPL Corp.
     19,400       908  
Progress Energy, Inc.
     12,600       574  
Public Service Enterprise Group, Inc.
     13,850       1,216  
Southern (The) Co.
     39,300       1,348  
TECO Energy, Inc.
     10,400       179  
TXU Corp.
     24,168       1,626  
Xcel Energy, Inc.
     20,985       430  
 
 
             22,819  
 
Electrical Components & Equipment - 0.3%
                
Emerson Electric Co.
     43,200       2,022  
Molex, Inc.
     7,775       233  
 
 
             2,255  
 
Electronics - 0.4%
                
Agilent Technologies, Inc. *
     21,156       813  
Applera Corp. — Applied Biosystems Group
     8,800       269  
Jabil Circuit, Inc.
     9,700       214  
PerkinElmer, Inc.
     5,200       136  
Solectron Corp. *
     52,800       194  
Tektronix, Inc.
     3,200       108  
Thermo Fisher Scientific Inc. *
     23,100       1,195  
Waters Corp. *
     5,600       332  
 
 
             3,261  
 
Engineering & Construction - 0.1%
                
Fluor Corp.
     4,400       490  
 
Entertainment - 0.1%
                
International Game Technology
     17,300       687  
 
Environmental Control - 0.2%
                
Allied Waste Industries, Inc. *
     11,400       154  
Waste Management, Inc.
     29,173       1,139  
 
 
             1,293  
 
Food - 1.8%
                
Campbell Soup Co.
     11,100       431  
ConAgra Foods, Inc.
     28,200       757  
Dean Foods Co.
     7,700       245  
General Mills, Inc.
     19,100       1,116  
Heinz (H.J.) Co.
     16,400       778  
Hershey (The) Co.
     8,400       425  
Kellogg Co.
     13,700       710  
Kraft Foods, Inc., Class A
     85,708       3,021  
Kroger (The) Co.
     38,700       1,089  
McCormick & Co., Inc.
     5,700       218  
Safeway, Inc.
     22,800       776  
Sara Lee Corp.
     36,900       642  
SUPERVALU, Inc.
     10,892       505  
Sysco Corp.
     33,600       1,108  
Tyson Foods, Inc., Class A
     14,500       334  
Whole Foods Market, Inc.
     7,600       291  
Wrigley (Wm.) Jr. Co.
     10,925       604  
 
 
             13,050  
 
Forest Products & Paper - 0.3%
                
International Paper Co.
     24,493       957  
MeadWestvaco Corp.
     8,843       312  
Temple-Inland, Inc.
     5,200       320  
Weyerhaeuser Co.
     11,140       879  
 
 
             2,468  
 
EQUITY INDEX FUNDS       3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Gas - 0.2%
                
KeySpan Corp.
     9,200     $ 386  
Nicor, Inc.
     3,000       129  
NiSource, Inc.
     16,600       344  
Sempra Energy
     14,671       869  
 
 
             1,728  
 
Hand/Machine Tools - 0.1%
                
Black & Decker Corp.
     3,900       344  
Snap-On, Inc.
     2,550       129  
Stanley Works (The)
     4,000       243  
 
 
             716  
 
Healthcare — Products - 2.9%
                
Bard (C.R.), Inc.
     5,000       413  
Bausch & Lomb, Inc.
     3,300       229  
Baxter International, Inc.
     35,000       1,972  
Becton, Dickinson & Co.
     12,600       939  
Biomet, Inc.
     13,850       633  
Boston Scientific Corp. *
     62,800       963  
Johnson & Johnson
     153,800       9,477  
Medtronic, Inc.
     61,600       3,195  
Patterson Cos., Inc. *
     7,700       287  
St. Jude Medical, Inc. *
     17,700       734  
Stryker Corp.
     16,200       1,022  
Varian Medical Systems, Inc. *
     6,200       264  
Zimmer Holdings, Inc. *
     12,940       1,099  
 
 
             21,227  
 
Healthcare — Services - 1.4%
                
Aetna, Inc.
     26,992       1,333  
Coventry Health Care, Inc. *
     7,855       453  
Humana, Inc. *
     8,400       512  
Laboratory Corp. of America Holdings *
     6,700       524  
Manor Care, Inc.
     4,050       264  
Quest Diagnostics, Inc.
     8,300       429  
Tenet Healthcare Corp. *
     27,100       176  
UnitedHealth Group, Inc.
     71,500       3,657  
WellPoint, Inc. *
     32,883       2,625  
 
 
             9,973  
 
Home Builders - 0.2%
                
Centex Corp.
     6,800       272  
D.R. Horton, Inc.
     14,100       281  
KB Home
     4,672       184  
Lennar Corp., Class A
     7,600       278  
Pulte Homes, Inc.
     10,100       227  
 
 
             1,242  
 
Home Furnishings - 0.1%
                
Harman International Industries, Inc.
     3,200       374  
Whirlpool Corp.
     4,406       490  
 
 
             864  
 
Household Products/Wares - 0.4%
                
Avery Dennison Corp.
     5,100       339  
Clorox Co.
     8,600       534  
Fortune Brands, Inc.
     7,800       643  
Kimberly-Clark Corp.
     24,936       1,668  
 
 
             3,184  
 
Housewares - 0.1%
                
Newell Rubbermaid, Inc.
     13,608       400  
 
Insurance - 4.8%
                
ACE Ltd.
     16,600       1,038  
Aflac, Inc.
     26,200       1,347  
Allstate (The) Corp.
     32,414       1,994  
AMBAC Financial Group, Inc.
     5,800       506  
American International Group, Inc.
     137,689       9,642  
AON Corp.
     14,975       638  
Assurant, Inc.
     5,000       295  
Chubb Corp.
     21,100       1,142  
CIGNA Corp.
     15,400       804  
Cincinnati Financial Corp.
     8,489       368  
Genworth Financial, Inc., Class A
     23,500       808  
Hartford Financial Services Group, Inc.
     16,900       1,665  
Lincoln National Corp.
     14,332       1,017  
Loews Corp.
     23,000       1,173  
Marsh & McLennan Cos., Inc.
     28,400       877  
MBIA, Inc.
     7,250       451  
Metlife, Inc.
     40,600       2,618  
MGIC Investment Corp.
     4,700       267  
Principal Financial Group, Inc.
     13,500       787  
Progressive (The) Corp.
     40,752       975  
Prudential Financial, Inc.
     25,100       2,441  
SAFECO Corp.
     6,300       392  
Torchmark Corp.
     4,300       288  
Travelers Cos Inc. (The)
     35,013       1,873  
Unum Group
     17,161       448  
XL Capital Ltd., Class A
     10,059       848  
 
 
             34,702  
 
NORTHERN FUNDS QUARTERLY REPORT       4       EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     STOCK INDEX FUND ( continued )
                 
    NUMBER     VALUE  
    OF SHARES     (000S)  
COMMON STOCKS - 98.1% – CONTINUED
                
Internet - 1.8%
                
Amazon.com, Inc. *
     16,639     $ 1,138  
eBay, Inc. *
     60,424       1,944  
Google, Inc., Class A *
     11,645       6,095  
IAC/InterActiveCorp *
     11,600       402  
Symantec Corp. *
     48,024       970  
VeriSign, Inc. *
     13,100       416  
Yahoo!, Inc. *
     64,500       1,750  
 
 
             12,715  
 
Iron/Steel - 0.3%
               
Allegheny Technologies, Inc.
     5,232       549  
Nucor Corp.
     16,400       962  
United States Steel Corp.
     6,300       685  
 
 
             2,196  
 
Leisure Time - 0.3%
                
Brunswick Corp.
     5,200       170  
Carnival Corp.
     24,296       1,185  
Harley-Davidson, Inc.
     14,100       840  
 
 
             2,195  
 
Lodging - 0.5%
                
Harrah’s Entertainment, Inc.
     9,750       831  
Hilton Hotels Corp.
     20,800       696  
Marriott International, Inc., Class A
     17,500       757  
Starwood Hotels & Resorts Worldwide, Inc.
     11,500       772  
Wyndham Worldwide Corp. *
     9,461       343  
 
 
             3,399  
 
Machinery — Construction & Mining - 0.4%
                
Caterpillar, Inc.
     33,700       2,639  
Terex Corp. *
     5,300       431  
 
 
             3,070  
 
Machinery — Diversified - 0.4%
                
Cummins, Inc.
     5,500       557  
Deere & Co.
     12,000       1,449  
Rockwell Automation, Inc.
     8,600       597  
 
 
             2,603  
 
Media - 3.1%
                
CBS Corp., Class B
     40,674       1,355  
Clear Channel Communications, Inc.
     26,100       987  
Comcast Corp., Class A *
     165,981       4,667  
DIRECTV Group (The), Inc. *
     40,200       929  
Disney (Walt) Co.
     107,003       3,653  
Dow Jones & Co., Inc.
     4,100       236  
Gannett Co., Inc.
     12,300       676  
McGraw-Hill Cos. (The), Inc.
     19,100       1,300  
Meredith Corp.
     1,900       117  
New York Times Co., Class A
     8,100       206  
News Corp., Class A
     122,600       2,600  
Scripps (E.W.) Co., Class A
     3,600       165  
Time Warner, Inc.
     200,800       4,225  
Tribune Co.
     4,356       128  
Viacom, Inc., Class B *
     36,174       1,506  
 
 
             22,750  
 
Metal Fabrication/Hardware - 0.1%
                
Precision Castparts Corp.
     7,300       886  
 
Mining - 0.7%
                
Alcoa, Inc.
     46,912       1,901  
Freeport-McMoRan Copper & Gold, Inc., Class B
     19,772       1,638  
Newmont Mining Corp.
     23,377       913  
Vulcan Materials Co.
     5,100       584  
 
 
             5,036  
 
Miscellaneous Manufacturing - 5.2%
                
3M Co.
     38,500       3,341  
Cooper Industries Ltd., Class A
     8,900       508  
Danaher Corp.
     13,300       1,004  
Dover Corp.
     10,100       516  
Eastman Kodak Co.
     14,000       390  
Eaton Corp.
     7,800       725  
General Electric Co.
     547,645       20,964  
Honeywell International, Inc.
     41,612       2,342  
Illinois Tool Works, Inc.
     22,600       1,225  
Ingersoll-Rand Co. Ltd., Class A
     16,800       921  
ITT Corp.
     9,300       635  
Leggett & Platt, Inc.
     9,000       198  
Pall Corp.
     7,066       325  
Parker Hannifin Corp.
     6,525       639  
Textron, Inc.
     6,700       738  
Tyco International Ltd. *
     105,790       3,575  
 
 
             38,046  
 
Office/Business Equipment - 0.2%
                
Pitney Bowes, Inc.
     11,200       524  
Xerox Corp. *
     51,596       954  
 
 
             1,478  
 
Oil & Gas - 8.5%
                
Anadarko Petroleum Corp.
     24,012       1,248  
EQUITY INDEX FUNDS       5       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Oil & Gas - 8.5% – (continued)
                
Apache Corp.
     18,206     $ 1,485  
Chesapeake Energy Corp.
     20,800       720  
Chevron Corp.
     114,132       9,615  
ConocoPhillips
     87,146       6,841  
Devon Energy Corp.
     24,200       1,895  
ENSCO International, Inc.
     8,600       525  
EOG Resources, Inc.
     12,400       906  
Exxon Mobil Corp.
     300,514       25,207  
Hess Corp.
     13,800       814  
Marathon Oil Corp.
     37,218       2,232  
Murphy Oil Corp.
     10,500       624  
Nabors Industries Ltd. *
     15,700       524  
Noble Corp.
     7,500       731  
Occidental Petroleum Corp.
     45,256       2,619  
Rowan Cos., Inc.
     6,600       270  
Sunoco, Inc.
     6,800       542  
Transocean, Inc. *
     15,172       1,608  
Valero Energy Corp.
     29,100       2,149  
XTO Energy, Inc.
     20,100       1,208  
 
 
             61,763  
 
Oil & Gas Services - 1.6%
                
Baker Hughes, Inc.
     16,640       1,400  
BJ Services Co.
     16,500       469  
Halliburton Co.
     48,031       1,657  
National-Oilwell Varco, Inc. *
     9,300       969  
Schlumberger Ltd.
     62,300       5,292  
Smith International, Inc.
     11,300       663  
Weatherford International Ltd. *
     17,694       977  
 
 
             11,427  
 
Packaging & Containers - 0.1%
                
Ball Corp.
     5,900       314  
Bemis Co.
     3,900       129  
Pactiv Corp. *
     7,100       226  
Sealed Air Corp.
     7,506       233  
 
 
             902  
 
Pharmaceuticals - 5.7%
                
Abbott Laboratories
     82,300       4,407  
Allergan, Inc.
     16,868       972  
AmerisourceBergen Corp.
     9,618       476  
Barr Pharmaceuticals, Inc. *
     5,500       276  
Bristol-Myers Squibb Co.
     106,260       3,354  
Cardinal Health, Inc.
     21,124       1,492  
Express Scripts, Inc. *
     15,000       750  
Forest Laboratories, Inc. *
     16,400       749  
Gilead Sciences, Inc. *
     50,488       1,957  
Hospira, Inc. *
     7,680       300  
King Pharmaceuticals, Inc. *
     12,900       264  
Lilly (Eli) & Co.
     52,896       2,956  
Medco Health Solutions, Inc. *
     14,968       1,167  
Merck & Co., Inc.
     115,000       5,727  
Mylan Laboratories, Inc.
     13,700       249  
Pfizer, Inc.
     374,992       9,589  
Schering-Plough Corp.
     79,500       2,420  
Watson Pharmaceuticals, Inc. *
     5,900       192  
Wyeth
     71,800       4,117  
 
 
             41,414  
 
Pipelines - 0.4%
                
El Paso Corp.
     38,747       668  
Questar Corp.
     10,000       528  
Spectra Energy Corp.
     33,577       872  
Williams Cos. (The), Inc.
     32,600       1,031  
 
 
             3,099  
 
Real Estate - 0.0%
                
CB Richard Ellis Group, Inc., Class A *
     9,500       347  
 
Real Estate Investment Trusts - 1.2%
                
Apartment Investment & Management Co., Class A
     5,900       297  
Archstone-Smith Trust
     11,500       680  
AvalonBay Communities, Inc.
     4,400       523  
Boston Properties, Inc.
     6,100       623  
Developers Diversified Realty Corp.
     6,400       337  
Equity Residential
     16,500       753  
General Growth Properties, Inc.
     13,100       694  
Host Hotels & Resorts, Inc.
     27,700       640  
Kimco Realty Corp.
     11,100       423  
Plum Creek Timber Co., Inc.
     8,900       371  
ProLogis
     14,235       810  
Public Storage
     6,046       464  
Simon Property Group, Inc.
     12,200       1,135  
Vornado Realty Trust
     7,300       802  
 
 
             8,552  
 
Retail - 5.5%
                
Abercrombie & Fitch Co., Class A
     4,400       321  
Autonation, Inc. *
     8,185       184  
Autozone, Inc. *
     2,400       328  
NORTHERN FUNDS QUARTERLY REPORT       6      EQUITY INDEX FUNDS

 

Table of Contents

EQUITY INDEX FUNDS
     SCHEDULE OF INVESTMENTS
     STOCK INDEX FUND ( continued )
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Retail - 5.5% – (continued)
                
Bed Bath & Beyond, Inc. *
     15,800     $ 569  
Best Buy Co., Inc.
     20,925       977  
Big Lots, Inc. *
     6,400       188  
Circuit City Stores, Inc.
     7,800       118  
Costco Wholesale Corp.
     23,816       1,394  
CVS Caremark Corp.
     81,669       2,977  
Darden Restaurants, Inc.
     8,250       363  
Dillard’s, Inc., Class A
     3,700       133  
Dollar General Corp.
     16,905       371  
Family Dollar Stores, Inc.
     7,700       264  
Gap (The), Inc.
     28,987       554  
Home Depot (The), Inc.
     105,355       4,146  
Kohl’s Corp. *
     17,000       1,207  
Limited Brands, Inc.
     18,700       513  
Lowe’s Cos., Inc.
     80,300       2,464  
Macy’s, Inc.
     24,482       974  
McDonald’s Corp.
     62,900       3,193  
Nordstrom, Inc.
     12,000       613  
Office Depot, Inc. *
     14,000       424  
OfficeMax, Inc.
     4,033       158  
Penney (J.C.) Co., Inc.
     11,500       832  
RadioShack Corp.
     7,800       258  
Sears Holdings Corp. *
     4,573       775  
Staples, Inc.
     38,175       906  
Starbucks Corp. *
     40,500       1,063  
Target Corp.
     45,500       2,894  
Tiffany & Co.
     6,700       355  
TJX Cos., Inc.
     23,100       635  
Wal-Mart Stores, Inc.
     129,300       6,221  
Walgreen Co.
     53,700       2,338  
Wendy’s International, Inc.
     5,500       202  
Yum! Brands, Inc.
     26,800       877  
 
 
             39,789  
 
Savings & Loans - 0.4%
                
Hudson City Bancorp, Inc.
     29,400       359  
Sovereign Bancorp, Inc.
     18,278       387  
Washington Mutual, Inc.
     48,176       2,054  
 
 
             2,800  
 
Semiconductors - 2.7%
                
Advanced Micro Devices, Inc. *
     29,600       423  
Altera Corp.
     20,100       445  
Analog Devices, Inc.
     16,900       636  
Applied Materials, Inc.
     75,400       1,498  
Broadcom Corp., Class A *
     24,400       714  
Intel Corp.
     308,400       7,328  
Kla-Tencor Corp.
     11,000       604  
Linear Technology Corp.
     13,500       488  
LSI Corp. *
     39,100       294  
Maxim Integrated Products, Inc.
     18,000       601  
MEMC Electronic Materials, Inc. *
     11,900       727  
Micron Technology, Inc. *
     38,500       482  
National Semiconductor Corp.
     14,100       399  
Novellus Systems, Inc. *
     7,000       199  
Nvidia Corp. *
     18,900       781  
QLogic Corp. *
     9,300       155  
Teradyne, Inc. *
     11,400       200  
Texas Instruments, Inc.
     75,600       2,845  
Xilinx, Inc.
     17,100       458  
 
 
             19,277  
 
Software - 3.7%
                
Adobe Systems, Inc. *
     31,400       1,261  
Autodesk, Inc. *
     12,900       607  
Automatic Data Processing, Inc.
     30,000       1,454  
BMC Software, Inc. *
     10,200       309  
CA, Inc.
     20,893       540  
Citrix Systems, Inc. *
     9,600       323  
Compuware Corp. *
     17,900       212  
Electronic Arts, Inc. *
     16,500       781  
Fidelity National Information Services, Inc.
     8,800       478  
First Data Corp.
     39,023       1,275  
Fiserv, Inc. *
     9,800       557  
IMS Health, Inc.
     9,404       302  
Intuit, Inc. *
     18,300       550  
Microsoft Corp.
     449,180       13,237  
Novell, Inc. *
     18,700       146  
Oracle Corp. *
     210,900       4,157  
Paychex, Inc.
     18,900       739  
 
 
             26,928  
 
Telecommunications - 6.3%
                
Alltel Corp.
     18,400       1,243  
AT&T, Inc.
     328,893       13,649  
Avaya, Inc. *
     23,100       389  
CenturyTel, Inc.
     6,650       326  
Ciena Corp. *
     4,857       176  
EQUITY INDEX FUNDS       7      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 98.1% – CONTINUED
                
Telecommunications - 6.3% – (continued)
                
Cisco Systems, Inc. *
     322,800     $ 8,990  
Citizens Communications Co.
     17,500       267  
Corning, Inc. *
     83,200       2,126  
Embarq Corp.
     8,196       519  
JDS Uniphase Corp. *
     11,850       159  
Juniper Networks, Inc. *
     30,900       778  
Motorola, Inc.
     123,465       2,185  
QUALCOMM, Inc.
     88,200       3,827  
Qwest Communications International, Inc. *
     84,755       822  
Sprint Nextel Corp.
     153,336       3,176  
Tellabs, Inc. *
     23,800       256  
Verizon Communications, Inc.
     154,930       6,379  
Windstream Corp.
     23,799       351  
 
 
             45,618  
 
Textiles - 0.0%
                
Cintas Corp.
     7,900       311  
 
Toys, Games & Hobbies - 0.1%
                
Hasbro, Inc.
     8,912       280  
Mattel, Inc.
     21,641       547  
 
 
             827  
 
Transportation - 1.7%
                
Burlington Northern Santa Fe Corp.
     18,528       1,578  
C.H. Robinson Worldwide, Inc.
     9,300       488  
CSX Corp.
     22,448       1,012  
FedEx Corp.
     16,740       1,858  
Norfolk Southern Corp.
     21,600       1,136  
Ryder System, Inc.
     3,200       172  
Union Pacific Corp.
     14,400       1,658  
United Parcel Service, Inc., Class B
     55,800       4,073  
 
 
             11,975  
 
Total Common Stocks
                
 
(Cost $487,938)
             712,756  
                 
    NUMBER    
    OF   VALUE
    WARRANTS   (000S)
WARRANTS - 0.0%
                
Raytheon Co., Exp. 6/16/11, Strike $37.50
     233       4  
 
Total Warrants
                
 
(Cost $-)
             4  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 1.8%
                
Dexia Bank Belgium, Brussels, Eurodollar Time Deposit, 5.44%, 7/2/07
   $ 12,000     $ 12,000  
U.S. Treasury Bill,(2) 5.01%, 8/9/07
     1,210       1,203  
 
Total Short-Term Investments
                
 
(Cost $13,203)
             13,203  
 
                
 
Total Investments - 99.9%
                
 
(Cost $501,141)
             725,963  
Other Assets less Liabilities - 0.1%
             585  
 
NET ASSETS - 100.0%
           $ 726,548  
 
(1)   Investment in affiliate.
 
(2)   Security pledged as collateral to cover margin requirements for open futures contracts.
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
At June 30, 2007, the Stock Index Fund had open futures contracts as follows:
                                         
            NOTIONAL                   UNREALIZED
    NUMBER OF   AMOUNT   CONTRACT   CONTRACT   LOSS
TYPE   CONTRACTS   (000S)   POSITION   EXP.   (000S)
E-Mini S&P
                                        
500
     181     $ 13,714     Long     9/07     $ (33 )
 
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 501,141  
 
Gross tax appreciation of investments
   $ 239,836  
Gross tax depreciation of investments
     (15,014 )
 
Net tax appreciation of investments
   $ 224,822  
 
NORTHERN FUNDS QUARTERLY REPORT       8       EQUITY INDEX FUNDS

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0%
                
California - 100.2%
                
ABAG Finance Authority for Nonprofit Corp. Coros California COPS VRDB,
Series 2000, Episcopal Homes Foundation (Wells Fargo Bank N.A. LOC),
3.66%, 7/10/07
   $ 18,935     $ 18,935  
ABAG Finance Authority for Nonprofit Corp. Coros California Revenue VRDB,
Jewish Home San Francisco (Allied Irish Bank LOC),
3.81%, 7/2/07
     940       940  
ABAG Finance Authority for Nonprofit Corp. Coros California Revenue VRDB,
Series 2002, Jackson Labs (Bank of America N.A. LOC),
3.66%, 7/10/07
     1,140       1,140  
ABAG Finance Authority for Nonprofit Corp. Coros California Revenue VRDB,
Series 2004, Thacher Schools,
3.69%, 7/10/07
     4,700       4,700  
ABAG Finance Authority for Nonprofit Corp. Coros California Revenue VRDB,
Series 2005, Institute for Defense Analyses (AMBAC Insured),
3.74%, 7/10/07
     3,000       3,000  
ABAG Finance Authority for Nonprofit Corp. Multifamily Revenue Refunding VRDB,
Series 2002A, Amber Court Apartments (FNMA Gtd.),
3.69%, 7/10/07
     5,600       5,600  
ABAG Finance Authority for Nonprofit Corp. Multifamily Revenue VRDB,
Series 2000A (AMT), East Ridge Apartments (FNMA LOC),
3.80%, 7/10/07
     2,545       2,545  
ABAG Finance Authority for Nonprofit Corp. Multifamily Revenue VRDB,
Series 2002 (AMT), The Bachenheimer Building Project (FNMA Gtd.),
3.77%, 7/10/07
     7,720       7,720  
ABAG Finance Authority for Nonprofit Corp. Multifamily Revenue VRDB,
Series 2002A (AMT), Darling Florist Building Project (FNMA Gtd.),
3.77%, 7/10/07
     4,710       4,710  
ABAG Finance Authority for Nonprofit Corp. Revenue VRDB,
Series A, Elder Care Alliance (Citibank N.A. LOC),
3.71%, 7/10/07
     7,800       7,800  
Alameda County IDA Revenue VRDB,
Series 1997A (AMT), Tool Family Partnership (Wells Fargo Bank N.A. LOC),
3.75%, 7/10/07
     1,135       1,135  
Alameda County IDA Revenue VRDB,
Series 2001 (AMT), Pacific Paper Tube Project (Wells Fargo Bank N.A. LOC),
3.75%, 7/10/07
     2,285       2,285  
Alameda-Contra Costa Schools Financing Authority COPS,
Series 2002J, Capital Improvement Project (KBC Bank N.V. LOC),
3.66%, 7/10/07
     2,870       2,870  
Alameda-Contra Costa Schools Financing Authority COPS,
Series 2002K, Capital Improvement Project (KBC Bank N.V. LOC),
3.66%, 7/10/07
     3,500       3,500  
Azusa Multifamily Housing Revenue Refunding Bonds,
Series 1994, Pacific Glen Apartments Project (FNMA LOC),
3.68%, 7/10/07
     1,325       1,325  
Bay Area Toll Bridge Revenue VRDB,
Series 2001A, San Francisco Bay Area Toll Authority (AMBAC Insured),
3.55%, 7/10/07
     2,320       2,320  
MONEY MARKET FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
Bay Area Toll Bridge Revenue VRDB,
Series C, San Francisco Bay Area Toll Authority (AMBAC Insured),
3.59%, 7/10/07
   $ 1,100     $ 1,100  
California Economic Development Financing Authority Revenue VRDB,
Series 1996A (AMT), Joseph Schmidt Confections Project (BNP Paribas LOC),
3.75%, 7/10/07
     2,700       2,700  
California Educational Facilities Authority Revenue Bonds, University of Southern
California, Series 2003-45A, Soc Gen Municipal Trust Receipts, (1)
3.73%, 7/10/07
     5,000       5,000  
California Educational Facilities Authority Revenue VRDB,
Series 2005B, Pomona College,
3.65%, 7/10/07
     7,500       7,500  
California Financing Authority PCR Refunding Bonds,
Series 1996E, Pacific Gas and Electricity (JPMorgan Chase Bank LOC),
3.84%, 7/2/07
     3,000       3,000  
California Health Facilities Financing Authority Revenue VRDB,
Series 2002, Adventist Health Systems (Wachovia Bank N.A. LOC),
3.82%, 7/2/07
     1,600       1,600  
California Health Facilities Financing Authority Revenue VRDB,
Series 2004J, Catholic Healthcare West (Bank of America N.A. LOC),
3.69%, 7/10/07
     5,800       5,800  
California Health Facilities Financing Authority Revenue VRDB,
Series 2004K, Catholic Healthcare West (Bank of America N.A. LOC),
3.70%, 7/10/07
     18,750       18,750  
California Infrastructure and Economic Development Bank Revenue VRDB,
J Paul Getty Trust, Series B,
3.82%, 7/2/07
     7,000       7,000  
California Infrastructure and Economic Development Bank Revenue VRDB,
Series 2002, Academy of Motion Pictures Arts and Sciences (AMBAC Insured),
3.72%, 7/10/07
     7,000       7,000  
California Pollution Control Financing Authority Revenue Bonds,
Merrill Lynch P-Floats PA-538R, San Diego Gas and Electric (MBIA Insured), (1)
3.78%, 7/10/07
     24,160       24,160  
California Pollution Control Financing Authority Revenue Bonds,
Merrill Lynch P-Floats PA-633R, San Diego Gas and Electric (MBIA Insured), (1)
3.78%, 7/10/07
     11,850       11,850  
California Pollution Control Financing Authority Revenue Refunding Bonds,
Series 1996C, Pacific Gas and Electric (JPMorgan Chase Bank LOC),
3.88%, 7/2/07
     2,200       2,200  
California School Cash Reserve Program Authority Revenue COPS 2007-2008,
Series A, TRANS,
4.25%, 7/1/08
     28,000       28,168  
California State CP G.O. Bonds,
3.80%, 7/10/07
     7,000       7,000  
California State Department of Water Resources and Power Supply Revenue VRDB,
Series 2002B-1 (Bank of New York LOC),
3.79%, 7/2/07
     4,400       4,400  
California State Department of Water Resources and Power Supply Revenue VRDB,
Series 2002B-2 (BNP Paribas LOC),
3.83%, 7/2/07
     22,900       22,900  
MONEY MARKET FUNDS      2      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
California State Department of Water Resources and Power Supply Revenue VRDB,
Series 2002C-3 (AMBAC Insured),
3.69%, 7/10/07
   $ 6,975     $ 6,975  
California State Department of Water Resources and Power Supply Revenue VRDB,
Series 2002C-5 (Dexia Credit Local LOC),
3.63%, 7/10/07
     3,600       3,600  
California State Department of Water Resources and Power Supply Revenue VRDB,
Series 2002C-7 (FSA Corp. Insured),
3.65%, 7/10/07
     19,350       19,350  
California State Department of Water Resources and Power Supply Revenue VRDB,
Series 2002C-16 (Bank of New York LOC),
3.66%, 7/10/07
     9,750       9,750  
California State Department of Water Resources and Power Supply Revenue VRDB,
Subseries 2005F (Citibank N.A. LOC),
3.83%, 7/2/07
     4,500       4,500  
California State Department of Water Resources and Power Supply Revenue VRDB,
Subseries F-4 (Bank of America N.A. LOC),
3.79%, 7/2/07
     2,000       2,000  
California State Department of Water Resources and Power Supply Revenue VRDB,
Subseries G-3 (FSA Corp. Insured),
3.65%, 7/10/07
     7,045       7,045  
California State Economic Recovery Revenue VRDB,
Series 2004C-2,
3.81%, 7/2/07
     100       100  
Series 2004C-4,
3.81%, 7/2/07
     2,050       2,050  
Series 2004C-16 (FSA Corp. Insured),
3.71%, 7/10/07
     9,700       9,700  
California State G.O., Eagle Trust Series 20000507
(XLCA Insured), (1)
3.75%, 7/10/07
     10,000       10,000  
California State G.O., Kindergarten-University,
Series 2004A-2 (Citibank N.A. LOC),
3.76%, 7/2/07
     3,630       3,630  
Series 2004A-8 (Citibank N.A. LOC),
3.65%, 7/10/07
     6,830       6,830  
Series 2004A-9 (Citibank N.A. LOC),
3.66%, 7/10/07
     22,000       22,000  
California State G.O.,
Merrill Lynch P-Floats Series PT-1257 (XLCA Insured), (1)
3.77%, 7/10/07
     11,475       11,475  
California State G.O.,
P-Floats PA 1357 (Merrill Lynch and Co., Inc. Gtd.), (1)
3.78%, 7/10/07
     4,000       4,000  
California State G.O., Series 2003-1,
ABN AMRO Munitops Certificate Trust (AMBAC Insured), (1)
3.74%, 7/10/07
     6,000       6,000  
California State G.O.,
Series 2003B-4 Floating Rate Certificates (Bank of New York LOC),
3.65%, 7/10/07
     200       200  
MONEY MARKET FUNDS       3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
California State G.O. VRDB, Series A, Subseries A-3
(Bank of America N.A. LOC),
3.67%, 7/10/07
   $ 9,600     $ 9,600  
California State G.O. VRDB, Series B, Subseries 2005 B-6
(KBC Bank N.V. LOC),
3.88%, 7/2/07
     1,540       1,540  
California State G.O. VRDB,
Series N, Macon Trust Certificates (AMBAC Insured), (1)
3.74%, 7/10/07
     15,750       15,750  
California State Public Works Board Revenue Bonds,
Series PT-2915, Merrill Lynch P-Floats (MBIA Insured), (1)
3.75%, 7/10/07
     9,570       9,570  
California Statewide Communities Development Authority COPS,
Series 1995, Covenenat Retirement Communities (LaSalle Bank N.A. LOC),
3.68%, 7/10/07
     10,000       10,000  
California Statewide Communities Development Authority COPS,
Series 1999-176, Morgan Stanley Floating Rate Certificates (FSA Corp. Insured), (1)
3.75%, 7/10/07
     10,595       10,595  
California Statewide Communities Development Authority Multifamily Housing
Revenue Refunding VRDB, Series 2005C, Chateau Project (FNMA Insured),
3.67%, 7/10/07
     100       100  
California Statewide Communities Development Authority Multifamily (AMT),
Merrill Lynch P-Floats Series PT-1863, Arms Apartments Project (Merrill Lynch & Co., Inc. Gtd.), (1)
3.82%, 7/10/07
     3,480       3,480  
California Statewide Communities Development Authority Multifamily Revenue Refunding VRDB,
Series 2002C (AMT), Aegis Moraga Project (FNMA LOC),
3.75%, 7/10/07
     5,000       5,000  
California Statewide Communities Development Authority Multifamily Revenue VRDB,
Series 2002B (AMT), Olen Jones Senior Apartments Project (Citibank N.A. LOC),
3.92%, 7/10/07
     860       860  
California Statewide Communities Development Authority Revenue Bonds,
Citigroup ROCS RR II R-854CE (Citibank N.A. Gtd.), (1)
3.74%, 7/10/07
     21,240       21,240  
California Statewide Communities Development Authority Revenue VRDB,
Series 2001, Gemological Institute (AMBAC Insured),
3.65%, 7/10/07
     8,650       8,650  
California Statewide Communities Development Authority Revenue VRDB,
Series 2001, Senior Living Facility (Bank of New York LOC),
3.68%, 7/10/07
     15,800       15,800  
California Statewide Communities Development Authority Revenue VRDB,
Series 2003, Morgan Hill Country School (Bank of America N.A. LOC),
3.62%, 7/10/07
     1,600       1,600  
California Statewide Communities Development Authority Revenue VRDB,
Series 2003B, Kaiser Permanente Project,
3.75%, 7/10/07
     9,050       9,050  
Series 2004J, Kaiser Permanente Project,
3.75%, 7/10/07
     18,800       18,800  
Series 2004L, Kaiser Permanente Project,
3.75%, 7/10/07
     18,150       18,150  
MONEY MARKET FUNDS      4      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
California Statewide Communities Development Authority Revenue VRDB,
Series 2006, Amern Baptist Homes West (LaSalle Bank N.A. LOC),
3.68%, 7/10/07
   $ 18,300     $ 18,300  
California Statewide Communities Development Authority Revenue VRDB,
Series 2007B, Front Porch Communities (Banco Santander Central Hispano LOC),
3.69%, 7/10/07
     20,000       20,000  
California Statewide Communities Development Authority Revenue VRDB,
Series B, Presbyterian Homes (Bank of America N.A. LOC),
3.68%, 7/10/07
     4,400       4,400  
City of Berkeley Revenue VRDB,
Series 1993, Berkeley YMCA (Wells Fargo Bank N.A. LOC),
3.65%, 7/10/07
     6,025       6,025  
City of Hayward Multifamily Housing Revenue VRDB,
Series 1984A, Shorewood Apartment Project (FNMA Gtd.),
3.68%, 7/10/07
     13,200       13,200  
City of Stockton Revenue VRDB,
Series 2002A, Dameron Hospital Association (U.S. Bank N.A. LOC),
3.88%, 7/2/07
     1,500       1,500  
Contra Costa Water District Revenue Bonds,
Series 750, Morgan Stanley Floating Certificates (FSA Corp. Insured), (1)
3.75%, 7/10/07
     6,330       6,330  
Covina Redevelopment Agency Multifamily Revenue Refunding VRDB,
Series 1994A, Shadowhills Apartments (FNMA LOC),
3.67%, 7/10/07
     700       700  
Elsinore Valley Municipal Water District COPS VRDB,
Series 2000A (FGIC Insured),
3.65%, 7/10/07
     2,900       2,900  
Fremont Revenue VRDB COPS, Series 2001,
Capital Improvement Financing Project (Bank of Nova Scotia LOC),
3.63%, 7/10/07
     10,000       10,000  
Fresno Multifamily Housing Revenue Refunding VRDB, Series 2001A,
Heron Pointe Apartments (FNMA LOC),
3.67%, 7/10/07
     1,575       1,575  
Golden West Schools Financing Authority G.O.,
Series 2005A 12, Wachovia MERLOTS (FGIC Insured), (1) (2)
3.77%, 7/10/07
     5,775       5,775  
Grand Terrace Community Redevelopment Multifamily Revenue Bonds,
Series 1985A, Mount Vernon Villas Project (FNMA LOC),
3.69%, 7/10/07
     12,125       12,125  
Livermore Multifamily Revenue Refunding VRDB,
Series 1990, Diablo Vista Apartments (FNMA LOC),
3.69%, 7/10/07
     3,600       3,600  
Long Beach Housing Authority Multifamily Revenue Refunding VRDB, Series 1998,
Channel Point Apartments (FNMA Gtd.),
3.69%, 7/10/07
     7,900       7,900  
Los Angeles Community Redevelopment Agency Multifamily Housing Revenue Refunding VRDB,
Series 2002, Grand Promenade Project (FHLMC Gtd.),
3.67%, 7/10/07
     13,100       13,100  
MONEY MARKET FUNDS       5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
Los Angeles Community Redevelopment Agency Multifamily Housing Revenue VRDB,
Series A (AMT), Security Building Project (FNMA Insured),
3.75%, 7/10/07
   $ 6,000     $ 6,000  
Los Angeles Convention and Exhibition Center Authority Lease Revenue Refunding VRDB,
Series 2003D (AMBAC Insured),
3.65%, 7/10/07
     17,205       17,205  
Series 2003E (AMBAC Insured),
3.67%, 7/10/07
     23,800       23,800  
Los Angeles COPS,
Series 2004A, Village School, Inc. (Allied Irish Bank LOC),
3.68%, 7/10/07
     6,365       6,365  
Los Angeles County G.O. TRANS, Series 2007,
4.50%, 6/30/08
     32,595       32,870  
Los Angeles Department of Water and Power Waterworks Revenue Bonds,
Series 2001B-1,
3.75%, 7/2/07
     10,250       10,250  
Los Angeles Multifamily Revenue Refunding VRDB,
Series 1991, Mountainback I Apartments Project (FHLMC LOC),
3.69%, 7/10/07
     7,540       7,540  
Los Angeles Unified School District COPS VRDB,
Series 2005B, Administration Building Project III (AMBAC Insured),
3.65%, 7/10/07
     8,600       8,600  
Los Angeles Unified School District G.O., Series 2006, TRANS,
4.25%, 12/3/07
     33,665       33,768  
Los Angeles Wastewater Revenue Refunding VRDB,
Subseries 2001B (FGIC Insured),
3.69%, 7/10/07
     9,900       9,900  
Los Angeles Water & Power Revenue VRDB, Subseries A-8,
3.66%, 7/10/07
     11,100       11,100  
Metropolitan Water District of Southern California Revenue Bonds,
Series 2005-66, ABN AMRO Munitops Certificate Trust (FSA Corp. Insured), (1)
3.74%, 7/10/07
     16,685       16,685  
Metropolitan Water District of Southern California Waterworks Revenue Bonds,
Series 1999B,
3.63%, 7/10/07
     6,200       6,200  
Metropolitan Water District of Southern California Waterworks Revenue Refunding Bonds,
Series 2003C3,
3.67%, 7/10/07
     10,000       10,000  
Metropolitan Water District of Southern California Waterworks Revenue Refunding VRDB,
Series 2003C2,
3.70%, 7/10/07
     2,620       2,620  
Series 2004A2,
3.75%, 7/10/07
     3,985       3,985  
Metropolitan Water District of Southern California Waterworks Revenue VRDB,
Series 2000B-3,
3.82%, 7/2/07
     3,900       3,900  
Series 2005B-2,
3.63%, 7/10/07
     15,500       15,500  
MONEY MARKET FUNDS       6      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
Oakland G.O. Bonds, Series 2003-A,
ABN AMRO Munitops Certificate Trust 2004-22 (MBIA Insured), (1)
3.74%, 7/10/07
   $ 8,935     $ 8,935  
Oakland Revenue Bonds,
MERLOTS Series 2000M (AMBAC Insured), (1)
3.77%, 7/10/07
     3,000       3,000  
Ohlone Community College, Series 2005B,
ABN AMRO Munitops Certificate Trust 2005-43 (FSA Corp. Insured), (1)
3.74%, 7/10/07
     10,000       10,000  
Orange County Development Revenue Refunding VRDB,
Issue G of 1998 Series 3, WLCO LF Partners (FNMA LOC),
3.69%, 7/10/07
     14,800       14,800  
Orange County Development Revenue VRDB,
Series X, Laguna Summit Apartments (FHLMC Gtd.),
3.65%, 7/10/07
     4,200       4,200  
Orange County Development Revenue VRDB,
Series 1985-Z, Bear Brand Apartments Project (FHLMC LOC),
3.68%, 7/10/07
     3,700       3,700  
Orange County Housing Authority Revenue Refunding VRDB,
Series 1998I, Oasis Martinique (FNMA Gtd.),
3.68%, 7/10/07
     9,200       9,200  
Orange County Sanitation District COPS,
3.85%, 7/2/07
     3,750       3,750  
Orange County Water District COPS,
Series 2003A,
3.67%, 7/10/07
     2,700       2,700  
Oxnard Financing Authority Lease Revenue VRDB,
Civic Center Phase 2 Project (AMBAC Insured),
3.65%, 7/10/07
     15,240       15,240  
Oxnard Financing Authority Wastewater Revenue VRDB,
Headworks and Septic System Conversion (AMBAC Insured),
3.65%, 7/10/07
     5,510       5,510  
Palmdale Community Redevelopment Agency SFM Revenue Bonds,
MERLOTS Series 2000-TTT (AMT) (U.S. Treasuries Escrowed), (1)
3.82%, 7/10/07
     5,850       5,851  
Pittsburg Redevelopment Agency Tax Allocation VRDB,
Series 2004A, Los Medanos Community (AMBAC Insured),
3.88%, 7/2/07
     4,700       4,700  
Pleasanton COPS VRDB,
Assisted Living Facilities (Citibank N.A. LOC),
3.70%, 7/10/07
     8,800       8,800  
Riverside County Communication Facilities District Number 88-4 VRDB,
Special Tax Refunding Bonds (Comerica Bank LOC),
3.68%, 7/10/07
     1,950       1,950  
Rohnert Park Multifamily Housing Revenue Refunding Bonds,
Series 1995A, Crossbrook Apartments (FNMA Gtd.),
3.69%, 7/10/07
     7,900       7,900  
MONEY MARKET FUNDS       7      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
Sacramento County Housing Authority Multifamily Revenue Refunding VRDB,
Series 2004C-2, Seasons of Winter (FHLMC Gtd.),
3.65%, 7/10/07
   $ 3,100     $ 3,100  
Sacramento County Multifamily Housing Authority Revenue Refunding VRDB, Series 99,
River C (FNMA LOC),
3.69%, 7/10/07
     5,900       5,900  
Sacramento County Multifamily Housing Revenue Refunding VRDB,
Series 2004B, Woodbridge Apartments (FNMA Gtd.),
3.67%, 7/10/07
     7,200       7,200  
Sacramento County Sanitation District Financing Authority Revenue Bonds,
MERLOTS Series 2000-SSS (Colld. by U.S. Government Securities), (1)
3.77%, 7/10/07
     7,500       7,500  
Sacramento County TRANS,
4.50%, 7/17/07
     47,000       47,013  
Sacramento-Yolo Port District Revenue Refunding VRDB, Series 1997A (AMT),
California Free Trade Zone Project (Wells Fargo Bank N.A. LOC),
3.75%, 7/10/07
     3,500       3,500  
Salinas Economic Development Revenue VRDB,
Series 2007A, Monterey County Public Building (Bank of New York LOC),
3.68%, 7/10/07
     18,655       18,655  
San Bernardino County Multifamily Revenue Refunding VRDB,
Series 2004A, Housing Mortgage Mountain View (FNMA LOC),
3.69%, 7/10/07
     5,150       5,150  
San Diego County and School District TRANS,
Series 2007A,
4.50%, 6/30/08
     19,000       19,163  
San Diego Unified School District G.O.,
Series 2007A, TRANS,
4.50%, 7/22/08
     19,000       19,162  
San Francisco City and County Airports Commission International
Airport (AMT), Merrill P-Floats PA-661R-A (FSA Corp. Insured), (1)
3.79%, 7/10/07
     6,905       6,905  
San Francisco City and County Finance Corp. Lease Revenue Bonds,
Series 2000-1, Moscone Center Expansion Project (AMBAC Insured),
3.69%, 7/10/07
     2,800       2,800  
San Francisco City and County G.O. Revenue VRDB,
Series 2005D, Laguna Honda Hospital (MBIA Insured),
3.63%, 7/10/07
     7,500       7,500  
San Francisco City and County Redevelopment Agency Multifamily Housing Revenue Bonds,
Series 2005A-2 (AMT), Ceatrice Apartments Project (National City Bank Cleveland LOC),
3.82%, 7/10/07
     2,250       2,250  
San Francisco City and County Redevelopment Agency Multifamily Housing Revenue VRDB,
Series 1985A, Bayside Village Project (JPMorgan Chase Bank LOC),
3.69%, 7/10/07
     16,100       16,100  
San Fransicso City and County Redevelopment Agency Multifamily Housing Revenue VRDB,
Series 1985B, Bayside Village Project (JPMorgan Chase Bank LOC),
3.69%, 7/10/07
     7,650       7,650  
MONEY MARKET FUNDS      8      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
California - 100.2% — (continued)
                
San Francisco City and County Redevelopment Agency Multifamily Housing Revenue VRDB,
Series 2001B (AMT), Ocean Beach Apartments Project (Citibank N.A. LOC),
3.88%, 7/10/07
   $ 1,200     $ 1,200  
San Jose Multifamily Housing Revenue Refunding VRDB,
Series A, Kimberly Woods Apartments (FHLMC LOC),
3.69%, 7/10/07
     16,050       16,050  
Santa Clara County Housing Authority Multifamily Revenue VRDB,
Series A, Fountains Project (Citibank N.A. LOC),
3.67%, 7/10/07
     2,990       2,990  
Sequoia Unified High School District G.O. Bonds,
Series 2003-2, ABN AMRO Munitops Certificate Trust (MBIA Insured), (1)
3.73%, 7/10/07
     1,545       1,545  
Simi Valley Unified School District G.O.,
Series 2004-26, ABN AMRO Munitops Certificate Trust (MBIA Insured), (1)
3.74%, 7/10/07
     6,995       6,995  
Tahoe Forest Hospital District Revenue VRDB,
Series 2002, Pacer County Health Facility (U.S. Bank N.A. LOC),
3.88%, 7/2/07
     1,650       1,650  
Tulare County Local Healthcare District Revenue VRDB,
Series 2002 (U.S. Bank N.A. LOC),
3.88%, 7/2/07
     2,000       2,000  
Turlock Health Facility COPS VRDB,
Series B, Emanual Medical Center, Inc. (U.S. Bank N.A. LOC),
3.68%, 7/10/07
     150       150  
Union City Multifamily Housing Revenue Refunding Bonds,
Series A, Green Haven Apartments (FNMA Gtd.),
3.69%, 7/10/07
     8,775       8,775  
Union County Multifamily Housing Revenue Refunding VRDB,
Series 1999A, Mission Sierra (FNMA Colld.),
3.69%, 7/10/07
     100       100  
Watereuse Finance Authority Revenue VRDB
(FSA Corp. Insured),
3.63%, 7/10/07
     6,085       6,085  
Western Placer Unified School District COPS,
Series 2003 (Bank of America N.A. LOC),
3.67%, 7/10/07
     5,150       5,150  
 
 
             1,215,835  
 
Puerto Rico - 7.8%
                
Commonwealth of Puerto Rico, TRANS, Series 2007
(Bank of Nova Scotia LOC),
4.50%, 7/30/07
     57,600       57,644  
Puerto Rico Aqueduct and Sewer Authority Revenue Bonds,
Citigroup ROCS-RR-II-R-1001CE (Citigroup, Inc. Gtd.), (1)
3.79%, 7/10/07
     10,000       10,000  
Puerto Rico Electric Power Authority Revenue Bonds,
Citigroup ROCS-RR-II-R-637CE (Citigroup, Inc., Gtd.), (1)
3.79%, 7/10/07
     15,000       15,000  
MONEY MARKET FUNDS      9       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 108.0% — CONTINUED
                
Puerto Rico - 7.8% — (continued)
                
Puerto Rico Highway and Transportation Authority Revenue Bonds,
Citigroup ROCS-RR-II-R-785CE (Citigroup, Inc., Gtd.), (1)
3.76%, 7/10/07
   $ 12,005     $ 12,005  
 
 
             94,649  
 
 
             1,310,484  
 
 
Total Investments - 108.0% (Cost $1,310,484) (3)
             1,310,484  
 
Liabilities less Other Assets — (8.0)%
             (97,220 )
 
NET ASSETS - 100.0%
           $ 1,213,264  
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933.
 
(2)   Restricted security that has been deemed illiquid. At June 30, 2007, the value of this restricted illiquid security amounted to approximately $5,775,000 or 0.5% of net assets.
Additional information on this restricted illiquid security is as follows:
                 
    ACQUISITION AND   ACQUISITION
    ENFORCEABLE   COST
SECURITY   DATE   (000S)
 
Golden West Schools Financing Authority G.O. (CA),
3.77%, 7/10/07
     7/8/05     $ 5,775  
 
(3)   The cost for federal income tax purposes was $1,310,484.
At June 30, 2007, the industry sectors for the California Municipal Money Market Fund were:
         
INDUSTRY SECTOR   % OF NET ASSETS
 
Administration of Environment and Housing and Real Estate
     7.6 %
Air, Water Services and Solid Waste Management
     10.1 %
Electric Services, Gas and Combined Utilities
     11.0 %
Executive, Legislative and General Government
     36.0 %
Health Services and Residential Care
     11.3 %
Housing Programs
     7.7 %
Urban and Community Development and Social Services
     7.2 %
All other sectors less than 5%
     9.1 %
 
Total
     100.0 %
Percentages shown based on Net Assets.
MONEY MARKET FUNDS       10      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
ABBREVIATIONS AND OTHER INFORMATION
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the net assets.
Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS
ABAG      Association of Bay Area Governments
AMBAC      American Municipal Bond Assurance Corporation
AMT      Alternative Minimum Tax
Colld.      Collateralized
COPS      Certificates of Participation
CP      Commerical Paper
FGIC      Financial Guaranty Insurance Corporation
FHLMC      Freddie Mac
FNMA      Federal National Mortgage Association
FSA      Financial Security Assurance
G.O.      General Obligation
Gtd.      Guaranteed
IDA      Industrial Development Authority
LOC      Letter of Credit
MBIA      Municipal Bond Insurance Association
MERLOTS      Municipal Exempt Receipts Liquidity Optional Tender
PCR      Pollution Control Revenue
P-Floats      Puttable Floating Rate Securities
ROCS      Reset Option Certificates
SFM      Single Family Mortgage
MONEY MARKET FUNDS       11       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
ABBREVIATIONS AND OTHER INFORMATION
CALIFORNIA MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
Soc Gen      Societe Generale
TRANS      Tax and Revenue Anticipation Notes
VRDB       Variable Rate Demand Bonds
XLCA       XL Capital Assurance
MONEY MARKET FUNDS       12       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
ASSET-BACKED NOTES - 5.6%
                
Auto Receivables - 1.2%
                
AmeriCredit Automobile Receivables Trust,
Series 2007-BF, Class A1,
5.32%, 5/6/08
   $ 15,059     $ 15,059  
Capital One Auto Finance Trust,
Series 2007-A, Class A1,
5.32%, 2/15/08
     10,365       10,365  
Ford Credit Auto Owner Trust,
Series 2006-C, Class A1, (1)
5.36%, 12/15/07
     8,473       8,473  
Ford Credit Auto Owner Trust,
Series 2007-A, Class A1, (1)
5.35%, 7/15/08
     60,000       60,000  
USAA Auto Owner Trust, FRN,
Series 2006-4, Class A1,
5.34%, 12/13/07
     4,743       4,743  
Wachovia Auto Loan Owner Trust,
Series 2007-1, Class A1,
5.34%, 6/20/08
     30,000       30,000  
 
 
             128,640  
 
International Receivables - 4.4%
                
Arkle Master Issuer PLC, FRN,
Series 2007-1A, Class 1A,
5.30%, 7/17/07
     40,000       40,000  
Granite Master Issuer PLC, FRN,
Series 2006-3, Class A4,
5.30%, 7/20/07
     78,000       78,000  
Granite Master Issuer PLC, FRN,
Series 2007-2, Class 4A1,
5.30%, 7/17/07
     20,000       20,000  
Holmes Financing PLC, FRN,
Series 10A, Class 1A, (1)
5.29%, 7/16/07
     25,000       25,000  
Holmes Master Issuer PLC, FRN,
Series 2006-1A, Class 1A, (1)
5.30%, 7/16/07
     35,000       35,000  
Holmes Master Issuer PLC, FRN,
Series 2007-1, Class 1A1,
5.30%, 7/16/07
     25,000       25,000  
Interstar Millennium Trust, FRN,
Series 2006-2GA, Class A1, (1)
5.32%, 7/27/07
     38,912       38,912  
Paragon Mortgages PLC, FRN,
Series 12A, Class A1, (1)
5.31%, 7/16/07
     32,931       32,931  
Paragon Mortgages PLC, FRN,
Series 13A, Class A1, (1)
5.31%, 7/16/07
     28,844       28,844  
MONEY MARKET FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
ASSET-BACKED NOTES - 5.6% — CONTINUED
                
International Receivables - 4.4% — (continued)
                
Paragon Mortgages PLC, FRN,
Series 14A, Class A1, (1)
5.32%, 7/16/07
   $ 40,000     $ 40,000  
Permanent Master Issuer PLC, FRN,
Series 2006-1, Class 1A,
5.30%, 7/16/07
     50,000       50,000  
Permanent Master Issuer PLC, FRN,
Series 2007-1, Class 1A,
5.30%, 7/16/07
     20,000       20,000  
Westpac Securitization Trust, FRN,
Series 2007-1G, Class A1, (1)
5.33%, 8/21/07
     32,000       32,000  
 
 
             465,687  
 
Other Receivables - 0.0%
                
CNH Equipment Trust,
Series 2006-B, Class A1,
5.39%, 10/5/07
     4,056       4,056  
 
Total Asset-Backed Notes (Cost $598,383)
             598,383  
 
 
CERTIFICATES OF DEPOSIT - 23.1%
                
Domestic Depository Institutions - 1.3%
                
Citibank, New York,
                
5.30%, 8/14/07
     40,000       40,000  
Comerica Bank, FRCD,
                
5.30%, 7/24/07
     40,000       40,001  
Washington Mutual Bank, FA, Stockton, California,
                
5.75%, 7/5/07
     9,600       9,600  
Washington Mutual Bank, FRCD,
               
5.34%, 9/17/07
     57,000       57,000  
 
 
             146,601  
 
Foreign Depository Institutions - 21.8%
                
ABN AMRO Bank NV Chicago,
                
5.35%, 1/16/08
     35,000       35,000  
ABN AMRO, London Branch,
                
5.32%, 5/27/08
     30,000       30,000  
Allied Irish Bank, London Branch,
                
5.44%, 6/16/08
     40,000       40,000  
Banco Bilbao Vizcaya Argentaria,
                
5.30%, 8/13/07
     40,000       40,000  
Banco Bilbao Vizcaya Argentaria, London,
                
5.31%, 8/16/07
     35,000       35,000  
Bank of Montreal, Chicago Branch,
                
5.39%, 7/1/07, FRCD
     60,000       60,000  
5.30%, 7/27/07
     50,000       50,000  
Bank of Nova Scotia, FRCD,
                
5.27%, 7/31/07
     25,000       24,997  
MONEY MARKET FUNDS       2       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
CERTIFICATES OF DEPOSIT - 23.1% — CONTINUED
                
Foreign Depository Institutions - 21.8% — (continued)
                
Barclays Bank, New York Branch,
                
5.35%, 10/2/07
   $ 30,000     $ 30,000  
5.35%, 1/22/08
     25,000       25,000  
5.35%, 4/14/08
     40,000       40,000  
5.30%, 5/22/08
     25,000       25,000  
BNP Paribas, London Branch,
                
5.30%, 7/10/07
     25,000       25,000  
5.26%, 9/17/07
     40,000       40,000  
5.30%, 9/21/07
     68,000       68,000  
5.31%, 2/22/08
     30,000       30,000  
BNP Paribas, New York Branch,
                
5.28%, 1/11/08
     25,000       25,000  
CALYON New York, FRCD,
                
5.33%, 7/1/07
     25,000       25,000  
5.37%, 7/1/07
     40,000       39,994  
Canadian Imperial Bank of Commerce, New York Branch,
                
5.39%, 7/1/07, FRCD
     70,000       70,000  
5.35%, 7/17/07
     40,000       40,000  
Credit Agricole SA, London Branch,
                
5.30%, 7/10/07
     35,000       35,000  
5.30%, 2/7/08
     40,000       40,000  
Credit Suisse First Boston, New York Branch,
                
5.30%, 1/14/08
     35,000       35,000  
5.33%, 1/16/08
     60,000       60,000  
5.25%, 4/11/08
     30,000       30,000  
Credit Suisse New York,
                
5.36%, 4/10/08
     40,000       40,000  
Deutsche Bank, London Branch,
                
5.41%, 7/1/07, FRCD
     20,000       20,000  
5.36%, 10/19/07
     40,000       40,000  
Deutsche Bank, New York Branch,
                
5.25%, 10/3/07
     35,000       34,993  
DNB NOR Bank, London Branch,
                
5.33%, 9/28/07
     35,000       35,000  
HBOS Treasury Services, London Branch,
                
5.41%, 9/20/07
     65,000       65,000  
HBOS Treasury Services, New York Branch,
                
5.22%, 12/17/07
     43,000       43,000  
5.35%, 6/4/08
     35,000       35,000  
Lloyds Bank, New York Branch,
                
5.30%, 10/9/07
     50,000       50,000  
5.30%, 2/22/08
     30,000       30,000  
National Australia Bank, London Branch,
                
5.40%, 6/12/08
     40,000       40,000  
National Bank of Canada, New York Branch,
                
5.29%, 7/2/07, FRCD
     100,000       99,981  
5.36%, 1/22/08
     35,000       35,000  
MONEY MARKET FUNDS       3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
CERTIFICATES OF DEPOSIT - 23.1% — CONTINUED
                
Foreign Depository Institutions - 21.8% — (continued)
                
Nordea Bank Finland, New York Branch,
                
5.26%, 4/11/08
   $ 28,000     $ 27,999  
5.30%, 5/22/08
     50,000       50,000  
Royal Bank of Canada, New York Branch,
                
5.37%, 10/25/07
     51,000       51,000  
Royal Bank of Scotland, New York Branch,
                
5.26%, 7/9/07, FRCD
     40,000       39,992  
5.28%, 1/11/08
     35,000       35,000  
5.29%, 2/11/08
     60,000       60,000  
Skandinaviska Enskilda Banken,
                
5.31%, 11/7/07
     30,000       30,000  
Skandinaviska Enskilda Banken, New York, FRCD,
                
5.31%, 7/1/07
     25,000       25,000  
Societe Generale, London Branch,
                
5.36%, 7/17/07
     30,000       30,000  
5.26%, 9/17/07
     45,000       45,000  
5.32%, 10/2/07
     40,000       40,000  
5.30%, 1/2/08
     30,000       30,000  
5.30%, 1/3/08
     40,000       39,999  
Societe Generale, New York Branch, FRCD,
                
5.39%, 7/1/07
     45,000       45,001  
Toronto Dominion Bank, New York Branch,
                
5.71%, 7/9/07
     30,000       30,000  
UBS AG, Stamford Branch,
                
5.30%, 8/7/07
     50,000       50,000  
5.25%, 4/10/08
     20,000       20,000  
Unicredito Italiano, London Branch,
                
5.31%, 7/9/07
     35,000       35,000  
5.33%, 7/10/07
     75,000       75,000  
 
 
             2,324,956  
 
Total Certificates of Deposit (Cost $2,471,557)
             2,471,557  
 
 
                
COMMERCIAL PAPER - 27.8%
                
Auto Receivables - 0.7%
                
New Center Asset Trust,
                
5.28%, 7/3/07
     75,000       74,978  
 
Bank Holding Companies - 1.2%
                
Citigroup Funding, Inc.,
                
5.30%, 7/16/07
     50,000       49,890  
5.24%, 7/23/07
     35,000       34,888  
5.32%, 7/27/07
     40,000       39,846  
 
 
             124,624  
 
Collateralized Loan Obligations - 0.6%
                
Simba Funding Corp.,
                
5.25%, 8/28/07
     30,000       29,746  
5.26%, 9/11/07
     40,000       39,579  
 
 
             69,325  
 
MONEY MARKET FUNDS     4     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
COMMERCIAL PAPER - 27.8% — CONTINUED
                
Credit Card Master Trust - 0.5%
                
BA Credit Card Trust, Emerald Certificates, (1)
                
5.29%, 8/16/07
   $ 30,000     $ 29,797  
Capital One Multi Execution Trust, Nova Notes, (1)
                
5.27%, 7/24/07
     27,000       26,909  
 
 
             56,706  
 
Foreign Depository Institutions - 0.3%
                
UBS Finance Delaware, Inc.,
                
5.21%, 7/9/07
     30,000       29,965  
 
Multi-Seller Conduits - 19.5%
                
Alpine Securitization,
                
5.24%, 7/24/07
     25,000       24,916  
Amsterdam Funding,
                
5.30%, 7/16/07
     50,000       49,890  
Apreco,
                
5.29%, 9/7/07
     22,000       21,780  
Cedar Springs Capital Co.,
                
5.27%, 9/20/07
     20,000       19,763  
Chariot Funding LLC,
                
5.27%, 7/10/07 (1)
     10,000       9,987  
5.30%, 7/23/07
     75,000       74,757  
Charta Corp.,
                
5.27%, 7/2/07
     40,000       39,994  
5.26%, 7/18/07
     25,000       24,938  
5.30%, 7/23/07
     50,000       49,838  
5.27%, 7/26/07
     10,000       9,963  
5.27%, 8/2/07
     40,000       39,813  
5.29%, 8/17/07
     40,000       39,724  
Clipper Receivales Corp.,
                
5.37%, 7/2/07
     75,000       74,989  
5.31%, 7/11/07
     50,000       49,926  
Concord Minuteman Capital Co., (1)
                
5.29%, 7/12/07
     60,000       59,903  
5.25%, 7/13/07
     35,000       34,939  
5.29%, 7/19/07
     41,000       40,892  
Crown Point Capital Co.,
                
5.31%, 7/18/07 (1)
     75,000       74,812  
5.24%, 8/17/07 (1)
     40,000       39,727  
5.31%, 9/5/07, FRCP
     50,000       49,996  
5.31%, 9/10/07, FRCP (1)
     60,000       59,992  
Fairway Finance Corp.,
                
5.30%, 7/10/07
     50,000       49,934  
5.28%, 7/12/07, FRCP
     74,000       74,000  
Galleon Capital Corp.,
                
5.37%, 7/2/07
     25,000       24,996  
Gemini Securitization,
                
5.27%, 9/25/07
     25,000       24,685  
MONEY MARKET FUNDS     5     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
COMMERCIAL PAPER - 27.8% — CONTINUED
                
Multi-Seller Conduits - 19.5% — (continued)
                
George Street Finance LLC, (1)
                
5.32%, 7/20/07
   $ 20,000     $ 19,944  
Gotham Funding Corp.,
                
5.28%, 7/2/07 (1)
     50,000       49,993  
5.28%, 7/12/07
     50,000       49,919  
Jupiter Securitization Corp.,
                
5.29%, 7/19/07
     40,000       39,894  
Kitty Hawk Funding Corp.,
                
5.32%, 7/30/07
     70,000       69,700  
Legacy Capital LLC, (1)
               
5.20%, 7/6/07
     60,000       59,957  
5.26%, 7/13/07
     20,000       19,965  
Lexington Parker Capital,
                
5.27%, 7/5/07, FRCP
     175,000       174,997  
5.30%, 7/9/07, FRCP
     75,000       74,992  
5.27%, 7/12/07 (1)
     10,000       9,984  
Park Avenue Receivables, (1)
                
5.30%, 7/16/07
     39,000       38,914  
5.31%, 7/24/07
     40,000       39,864  
Sheffield Receivables Corp.,
                
5.30%, 7/12/07
     40,000       39,935  
5.29%, 7/13/07
     54,000       53,905  
5.30%, 7/16/07
     80,000       79,823  
5.32%, 7/27/07
     45,000       44,827  
Thames Asset Global Securitization Number One, Inc., (1)
                
5.24%, 8/14/07
     35,961       35,731  
5.25%, 8/28/07
     5,000       4,958  
Thunder Bay Funding, Inc., (1)
                
5.28%, 7/5/07
     15,000       14,991  
Versailles,
                
5.27%, 9/24/07
     20,000       19,751  
Victory Receivables Corp.,
                
5.30%, 7/17/07
     25,646       25,585  
5.30%, 7/19/07
     40,000       39,894  
Yorktown Capital LLC,
                
5.28%, 7/12/07
     10,000       9,984  
 
 
             2,081,661  
 
Other Receivables - 1.2%
                
Thornburg Mortgage Capital Resources, (1)
                
5.31%, 7/23/07
     20,000       19,935  
5.32%, 7/24/07
     35,000       34,881  
5.32%, 7/25/07
     70,000       69,752  
 
 
             124,568  
 
Structured Investment Vehicles - 3.8%
                
Aquifer Funding LLC,
                
5.30%, 7/6/07
     30,000       29,978  
MONEY MARKET FUNDS     6     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
COMMERCIAL PAPER - 27.8% — CONTINUED
                
Structured Investment Vehicles - 3.8% — (continued)
                
Cancara Asset Securitization Ltd.,
                
5.28%, 7/12/07
   $ 40,000     $ 39,935  
Deer Valley Funding LLC, (1)
                
5.30%, 7/12/07
     50,000       49,919  
5.35%, 7/20/07
     45,000       44,873  
5.31%, 7/24/07
     25,000       24,915  
5.31%, 7/25/07
     25,000       24,912  
Five Finance Corp., (1)
                
5.25%, 9/4/07
     24,000       23,773  
North Sea Funding LLC,
                
5.24%, 7/25/07
     30,000       29,895  
5.25%, 8/27/07
     35,000       34,709  
Scaldis Capital LLC,
                
5.28%, 7/9/07
     40,000       39,953  
Solitaire Funding LLC, (1)
                
5.26%, 7/16/07
     35,000       34,923  
White Pine Finance LLC, FRCP, (1)
                
5.28%, 7/3/07
     25,000       25,000  
 
 
             402,785  
 
Total Commercial Paper (Cost $2,964,612)
             2,964,612  
 
 
                
CORPORATE NOTES/BONDS - 24.1%
                
Bank Holding Compaines - 0.9%
                
HSBC USA Inc., FRN,
                
5.32%, 7/16/07
     25,000       25,000  
Wachovia Bank, N.A., FRN,
                
5.35%, 9/4/07
     35,000       35,004  
Wachovia Corp., FRN,
                
5.44%, 7/22/07
     36,000       36,002  
 
 
             96,006  
 
Chemicals and Allied Prouducts - 0.4%
                
BASF Finance Europe NV, FRN, (1)
                
5.35%, 10/22/07
     40,000       40,000  
 
Domestic Depository Institutions - 2.4%
                
American Express Bank, FSB, FRN,
                
5.29%, 7/27/07
     49,000       49,000  
American Express Centurion, FRN,
                
5.40%, 7/16/07
     20,000       20,008  
5.32%, 7/18/07
     23,000       23,004  
Bank of America, N.A., FRN,
                
5.28%, 7/2/07
     33,000       33,000  
Marshall & Ilsley Bank, MTN,
                
5.16%, 12/17/07
     100,000       99,931  
Washington Mutual Bank, FRN,
                
5.40%, 8/16/07
     35,000       35,008  
 
 
             259,951  
 
MONEY MARKET FUNDS     7     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
CORPORATE NOTES/BONDS - 24.1% — CONTINUED
                
Foreign Depository Institutions - 5.7%
                
Allied Irish Banks PLC, FRN, (1)
                
5.30%, 7/19/07
   $ 40,000     $ 40,000  
Australia and New Zealand Banking Group, FRN, (1)
                
5.32%, 7/9/07
     25,000       25,000  
5.34%, 7/23/07
     21,000       21,000  
5.34%, 9/5/07
     70,000       70,000  
Credit Agricole, London, FRN, (1)
                
5.33%, 9/24/07
     50,000       50,000  
Danske Bank, FRN, (1)
                
5.29%, 7/20/07
     39,000       38,997  
Nordea Bank Finland, New York, FRN, (1)
                
5.33%, 7/11/07
     65,000       65,000  
Royal Bank of Canada, FRN,
                
5.37%, 7/10/07
     24,000       24,000  
Royal Bank of Scotland PLC, FRN, (1)
                
5.33%, 7/23/07
     55,000       55,000  
UBS AG Stamford,
                
5.29%, 7/16/07, FRN
     40,000       40,000  
5.40%, 11/28/07
     100,000       100,000  
Westpac Banking Corp. FRN,
                
5.42%, 9/11/07
     15,000       15,000  
Westpac Banking Corp., New York, FRN, (1) (2)
                
5.30%, 7/6/07
     60,000       60,000  
 
 
             603,997  
 
Insurance Carriers - 2.0%
                
Allstate Life Global Funding II, FRN, (1)
                
5.41%, 7/16/07
     25,000       25,000  
Genworth Global Funding, FRN, (1)
                
5.31%, 7/11/07
     40,000       40,000  
ING Verzekeringen NV, FRN, (1)
                
5.29%, 7/5/07
     55,000       55,000  
MET Life Global Funding I, FRN, (1)
                
5.41%, 7/16/07
     50,000       50,000  
5.31%, 7/23/07
     40,000       40,000  
 
 
             210,000  
 
Non-Depository Personal Credit - 2.0%
                
American Express Bank FSB, FRN,
                
5.32%, 7/9/07
     20,000       20,003  
5.29%, 7/18/07
     40,000       39,997  
General Electric Capital Corp., FRN,
                
5.45%, 7/9/07
     35,000       35,000  
5.28%, 7/24/07
     65,000       65,000  
HSBC Finance Corp., FRN,
                
5.33%, 7/6/07
     30,000       30,000  
5.37%, 7/24/07
     25,000       25,000  
 
 
             215,000  
 
MONEY MARKET FUNDS     8     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
CORPORATE NOTES/BONDS - 24.1% — CONTINUED
                
Paper and Allied Products - 0.3%
                
Kimberly-Clark, (1)
                
5.26%, 12/19/07
   $ 30,000     $ 30,000  
 
Security and Commodity Brokers - 3.3%
                
Bear Stearns Co., Inc., FRN,
                
5.40%, 7/5/07
     20,000       20,000  
Goldman Sachs, FRN,
                
5.48%, 7/1/07
     25,000       25,000  
5.32%, 7/2/07
     25,000       25,000  
Merrill Lynch & Co., FRN, MTN,
                
5.40%, 7/5/07
     40,000       40,000  
5.57%, 7/11/07
     35,000       35,001  
5.30%, 7/18/07
     50,000       50,000  
5.30%, 7/24/07
     25,000       25,000  
5.29%, 7/27/07
     20,000       20,000  
Morgan Stanley, FRN,
                
5.38%, 7/16/07
     22,000       22,000  
5.41%, 7/27/07
     92,800       92,801  
 
 
             354,802  
 
Structured Investment Vehicles - 7.1%
                
Asscher Finance Corp., FRN, (1) (2)
                
5.33%, 9/25/07
     40,000       40,000  
Beta Finance, Inc., FRN, (1)
                
5.35%, 7/30/07
     20,000       20,004  
CC USA Inc., FRN, (1)
                
5.32%, 7/25/07
     25,000       25,003  
Cullinan Finance Corp., MTN, (1)
                
5.31%, 7/9/07, FRN
     30,000       29,997  
5.28%, 7/30/07, FRN
     60,000       59,993  
5.32%, 9/11/07, FRN
     48,000       47,996  
5.36%, 4/15/08
     50,000       50,000  
5.35%, 5/15/08, FRN
     50,000       50,000  
Dorada Finance, Inc., (1)
                
5.32%, 5/27/08
     20,000       19,999  
Five Finance, Inc., FRN, (1)
                
5.33%, 9/14/07
     35,000       34,999  
Links Finance LLC, FRN, MTN, (1)
                
5.30%, 7/9/07
     17,000       17,000  
5.29%, 7/16/07
     55,000       55,000  
5.32%, 7/18/07
     40,000       39,997  
Sigma Finance, Inc., MTN, (1)
                
5.52%, 7/1/07, FRN
     45,000       44,997  
5.34%, 7/9/07, FRN
     10,000       10,000  
5.31%, 7/16/07, FRN
     40,000       40,003  
5.33%, 9/15/07, FRN
     40,000       39,996  
5.35%, 5/19/08
     40,000       40,000  
5.37%, 6/3/08
     25,000       25,000  
MONEY MARKET FUNDS     9     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
CORPORATE NOTES/BONDS - 24.1% — CONTINUED
                
Structured Investment Vehicles - 7.1% — (continued)
                
White Pine Finance LLC, FRN,
                
5.28%, 7/20/07 (1)
   $ 20,000     $ 19,996  
5.28%, 7/25/07 (1)
     15,000       15,000  
5.32%, 10/19/07 (1) (2)
     35,000       34,994  
 
 
             759,974  
 
Total Corporate Notes/Bonds (Cost $2,569,730)
             2,569,730  
 
 
EURODOLLAR TIME DEPOSITS - 9.5%
                
Domestic Depository Institutions - 0.7%
                
Bank of America, Grand Cayman,
                
5.32%, 9/14/07
     30,000       30,000  
Manufacturers & Traders Trust Co.,
                
5.38%, 7/2/07
     50,000       50,000  
 
 
             80,000  
 
Foreign Depository Institutions - 8.8%
                
Danske Bank, London,
                
5.40%, 7/2/07
     100,000       100,000  
Dexia Bank Belgium, Brussels, Belgium,
                
5.40%, 7/2/07
     100,000       100,000  
Dexia Credit Local de France, Paris,
                
5.40%, 7/2/07
     100,000       100,000  
Fortis Bank, Brussels, Belgium,
                
5.33%, 7/31/07
     35,000       35,000  
HBOS Treasury Services, London,
                
5.42%, 7/2/07
     95,000       95,000  
ING Bank, Amsterdam,
                
5.44%, 7/2/07
     200,000       200,000  
5.30%, 7/3/07
     35,000       35,000  
5.33%, 9/25/07
     40,000       40,000  
Royal Bank of Canada, Toronto, Canada,
                
5.31%, 8/16/07
     35,000       35,000  
UBS AG, Grand Cayman,
                
5.44%, 7/2/07
     200,000       200,000  
 
 
             940,000  
 
Total Eurodollar Time Deposits (Cost $1,020,000)
             1,020,000  
 
 
                
MUNICIPAL INVESTMENTS - 0.8%
                
Administration of Environmental and Housing Programs - 0.3%
                
Florida Housing Financial Corp., Taxable Revenue Bonds,
                
Series 2002A, Affordable Housing (AMBAC Insured),
                
5.32%, 7/10/07
     4,700       4,700  
State of Texas G.O. Taxable,
                
Veterans’ Land Refunding Bonds, Series 2000,
                
5.32%, 7/10/07
     14,960       14,960  
State of Texas G.O. Taxable, VRDB,
                
Veterans’ Land Refunding Bonds, Series 2002,
                
5.32%, 7/10/07
     9,140       9,140  
 
 
             28,800  
 
MONEY MARKET FUNDS     10     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 0.8% — CONTINUED
                
Executive, Legislative and General Government - 0.2%
                
Cook County, Illinois, G.O. Taxable Bonds, Series 2002A,
                
5.34%, 7/10/07
   $ 15,500     $ 15,500  
Cook County, Illinois, G.O. Taxable Bonds, Series 2004D,
                
5.34%, 7/10/07
     10,000       10,000  
 
 
             25,500  
 
Miscellaneous Retail - 0.1%
                
Macon-Bibb County, Georgia, IDR, Taxable Revenue Bonds,
                
Bass Pro Outdoor World LLC (General Electric Capital Corp. LOC), (1)
                
5.32%, 7/10/07
     11,000       11,000  
 
Student Loans - 0.1%
                
Illinois Student Assistance Comission Student Loan
                
VRDB Taxable, Series D (Bank of America N.A. LOC),
                
5.35%, 7/10/07
     11,000       11,000  
 
Water Services - 0.1%
                
Los Angeles, California, Department of Water and
                
Power Waterworks Taxable VRDB, Series B-1,
                
5.34%, 7/10/07
     11,600       11,600  
 
Total Municipal Investments (Cost $87,900)
             87,900  
 
 
                
REPURCHASE AGREEMENTS - 9.2%
                
(Colld. at a minimum of 102%) (3)
                
Joint Repurchase Agreements - 0.2%
                
Morgan Stanley & Co., Inc., dated 6/29/07, repurchase price $8,884
                
4.35%, 7/2/07
     8,881       8,881  
Societe Generale — New York Branch, dated 6/29/07, repurchase price $4,442
                
4.40%, 7/2/07
     4,441       4,441  
UBS Securities LLC, dated 6/29/07, repurchase price $6,663
                
4.40%, 7/2/07
     6,661       6,661  
 
 
             19,983  
 
(Colld. at a minimum of 102%) (4)
                
Repurchase Agreements - 9.0%
                
Bank of America N.A., dated 6/29/07, repurchase price $455,203
                
5.35%, 7/2/07
     455,000       455,000  
Citigroup Global Markets, Inc., dated 6/29/07, repurchase price $395,178
                
5.40%, 7/2/07
     395,000       395,000  
Goldman Sachs & Co., Inc., dated 6/29/07, repurchase price $50,022
                
5.39%, 7/2/07
     50,000       50,000  
Lehman Brothers, Inc., dated 6/29/07, repurchase price $57,772
                
5.39%, 7/2/07
     57,746       57,746  
 
 
             957,746  
 
Total Repurchase Agreements (Cost $977,729)
             977,729  
 
MONEY MARKET FUNDS     11     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
         
Total Investments - 100.1% (Cost $10,689,911) (5)
   $ 10,689,911  
 
Liabilities less Other Assets – (0.1)%
     (8,483 )
 
NET ASSETS - 100.0%
   $ 10,681,428  
 
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933.
 
(2)   Restricted security that has been deemed illiquid. At June 30, 2007, the value of these restricted illiquid securities amounted to approximately $134,994,000 or 1.3% of net assets. Additional information on each restricted illiquid security is as follows:
                 
    ACQUISITION AND   ACQUISITION
    ENFORCEABLE   COST
SECURITY   DATE   (000S)
 
Asscher Finance Corp., FRN,
                
5.33%, 9/25/07
     6/13/07     $ 40,000  
Westpac Banking Corp., New York, FRN,
                
5.30%, 7/6/07
     11/21/06       60,000  
White Pine Finance LLC, FRN,
                
5.32%, 10/19/07
     4/11/07       34,993  
 
 
(3)   The nature and terms of the collateral received for the joint repurchase agreements are as follows:
                 
    COUPON   MATURITY
NAME   RATES   DATES
 
U.S. Treasury Bonds
     2.00% - 7.50 %     11/15/16 - 4/15/29  
U.S. Treasury Notes
     1.88% - 2.50 %     1/15/14 - 1/15/17  
 
(4)   The nature and terms of the collateral received for the repurchase agreements are as follows:
                 
    COUPON   MATURITY
NAME   RATES   DATES
 
FHLMC
     0.00% - 8.00 %     6/1/10 - 7/15/37  
FNMA
     4.00% - 7.50 %     6/1/14 - 6/1/37  
GNMA
     4.50%       4/20/35  
 
(5)   The cost for federal income tax purposes was $10,689,911.
Percentages shown based on Net Assets.
MONEY MARKET FUNDS     12     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
ABBREVIATIONS AND OTHER INFORMATION
MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the net assets.
Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities.
Interest rates are reset daily and interest is payable monthly with respect to all joint repurchase agreements.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS
AMBAC     American Municipal Bond Assurance Corporation
Colld.     Collateralized
FHLMC     Freddie Mac
FNMA     Federal National Mortgage Association
FRCD     Floating Rate Certificates of Deposit
FRCP     Floating Rate Commerical Paper
FRN     Floating Rate Notes
FSB     Federal Savings Bank
GNMA     Government National Mortgage Association
G.O.     General Obligation
IDR     Industrial Development Revenue
LOC     Letter of Credit
MTN     Medium Term Notes
VRDB     Variable Rate Demand Bonds
MONEY MARKET FUNDS     13     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8%
                
Alabama - 1.7%
                
Birmingham Special Care Facilities Authority Revenue Bonds,
                
Series 2003-A, Health Care Medical Center East (AmSouth Bank Birmingham LOC),
                
3.75%, 7/10/07
   $ 2,250     $ 2,250  
Eutaw IDB PCR Refunding Bonds, Green County Project,
                
3.95%, 7/2/07
     6,550       6,550  
Jefferson County Obligation School Warrant Revenue Bonds,
                
Series 2005B (AMBAC Insured),
                
3.76%, 7/10/07
     66,300       66,300  
Taylor-Ryan Improvement District Number 2,
                
Variable Improvement Bonds, Series 2005 (Wachovia Bank N.A. LOC),
                
3.77%, 7/10/07
     8,180       8,180  
University of Alabama at Birmingham Hospital Revenue Bonds,
                
Merrill Lynch P-Floats PA-1413-2006 (Merrill Lynch & Co. Inc. Gtd.), (1)
                
3.79%, 7/10/07
     8,280       8,280  
 
 
             91,560  
 
Alaska - 1.0%
                
Alaska State Housing Finance Corp. Revenue VRDB, Series 2007C-1,
                
Morgan Keegan Municipal Products, Inc. Various States Trust Receipts (Citigroup, Inc. Gtd.), (1)
                
3.78%, 7/10/07
     40,220       40,220  
Anchorage G.O.TANS, Series 2007,
                
4.25%, 12/28/07
     10,000       10,033  
Valdez Marine Terminal Revenue Refunding VRDB, Series 2003B,
                
BP Pipelines, Inc. Project (BP PLC Gtd.),
                
3.92%, 7/2/07
     3,000       3,000  
 
 
             53,253  
 
Arizona - 0.7%
                
Phoenix IDA Multifamily Housing Revenue Refunding Bonds,
                
Series 1995, Paradise Lakes Apartments Project (Bank of America N.A. LOC),
                
3.76%, 7/10/07
     22,000       22,000  
Pima County IDA Multifamily Housing Revenue Refunding VRDB, Series 2001,
                
Eastside Place Apartments (FNMA LOC),
                
3.74%, 7/10/07
     1,290       1,290  
Salt River Project Agricultural Improvement and Power District
                
Revenue Bonds, Citigroup Eagle Series 2006-14, (1)
                
3.80%, 7/10/07
     8,700       8,700  
Salt River Project System Revenue Bonds,
                
Eagle Trust Series 20020301 Class A, (1)
                
3.80%, 7/10/07
     8,000       8,000  
 
 
             39,990  
 
Arkansas - 0.1%
                
Boone County Hospital Revenue VRDB,
                
North Arkansas Regional Medical Center Project (Bank of America N.A. LOC),
                
3.73%, 7/10/07
     6,600       6,600  
 
California - 6.6%
                
ABAG Finance Authority for Nonprofit Corp. Coros California COPS VRDB,
                
Series 2000, Episcopal Homes Foundation (Wells Fargo Bank N.A. LOC),
                
3.66%, 7/10/07
     2,500       2,500  
ABAG Finance Authority for Nonprofit Corp. Coros California Revenue VRDB,
                
Series 2004, Thacher Schools,
                
3.69%, 7/10/07
     1,200       1,200  
MONEY MARKET FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
California - 6.6% — (continued)
                
ABAG Finance Authority for Nonprofit Corp. Revenue VRDB, Series 2004,
                
California Senior Living, Elder Care Alliance (Lloyds TSB Bank LOC),
                
3.71%, 7/10/07
   $ 5,900     $ 5,900  
ABAG Finance Authority for Nonprofit Corp. Revenue VRDB,
                
Series A, Elder Care Alliance (Citibank N.A. LOC),
                
3.71%, 7/10/07
     7,800       7,800  
Affordable Housing Agency Multifamily Revenue VRDB,
                
Series 2003A, Westridge Hilltop (FNMA Insured),
                
3.69%, 7/10/07
     4,845       4,845  
Alameda-Contra Costa Schools COPS VRDB, Series 2002J,
                
Capital Improvement Financing Projects (KBC Bank N.V. LOC),
                
3.66%, 7/10/07
     2,510       2,510  
Bay Area Toll Bridge Revenue VRDB,
                
Series C, San Francisco Bay Area Toll Authority (AMBAC Insured),
                
3.59%, 7/10/07
     13,500       13,500  
California Communities Note Program TRANS,
                
Series 2007 A-1,
                
4.50%, 6/30/08
     20,000       20,165  
California Educational Facilities Authority Revenue VRDB,
                
Series 2005B, Pomona College,
                
3.65%, 7/10/07
     400       400  
California Infrastructure and Economic Development Bank Revenue VRDB,
                
J Paul Getty Trust, Series B,
                
3.82%, 7/2/07
     1,100       1,100  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Series 2002B-1 (Bank of New York LOC),
                
3.79%, 7/2/07
     4,500       4,500  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Series 2002B-2 (BNP Paribas LOC),
                
3.83%, 7/2/07
     35,000       35,000  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Series 2002C-1 (Dexia Credit Local LOC),
                
3.69%, 7/10/07
     13,200       13,200  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Series 2002C-4 (JPMorgan Chase Bank LOC),
                
3.63%, 7/10/07
     40,800       40,800  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Series 2002C-5 (Dexia Credit Local LOC),
                
3.63%, 7/10/07
     11,200       11,200  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Series 2002C-7 (FSA Corp. Insured),
                
3.65%, 7/10/07
     8,450       8,450  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Subseries F-4 (Bank of America N.A. LOC),
                
3.79%, 7/2/07
     5,700       5,700  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Subseries G-1 (Bank of Nova Scotia LOC),
                
3.69%, 7/10/07
     700       700  
California State Department of Water Resources and Power Supply Revenue VRDB,
                
Subseries G-3 (FSA Corp. Insured),
                
3.65%, 7/10/07
     3,700       3,700  
MONEY MARKET FUNDS     2     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
California - 6.6% — (continued)
                
California State Economic Recovery Revenue VRDB,
                
Series 2004C-2,
                
3.81%, 7/2/07
   $ 1,850     $ 1,850  
Series 2004C-16 (FSA Corp. Insured),
                
3.71%, 7/10/07
     465       465  
California State G.O., Kindergarten-University,
                
Series 2004A-8 (Citibank N.A. LOC),
                
3.65%, 7/10/07
     5,400       5,400  
Series 2004A-9 (Citibank N.A. LOC),
                
3.66%, 7/10/07
     300       300  
California State G.O. Puttable Floating Option,
                
Series EC 1068, Merrill P-Floats (AMBAC Insured), (1)
                
3.79%, 7/10/07
     18,550       18,550  
California State G.O.,
                
Series 2003B-4 Floating Rate Certificates (Bank of New York LOC),
                
3.65%, 7/10/07
     24,400       24,400  
California State G.O. VRDB, Series A, Subseries A-3
                
(Bank of America N.A. LOC),
                
3.67%, 7/10/07
     23,850       23,850  
California State G.O. VRDB, Series B, Subseries 2005 B-6
                
(KBC Bank N.V. LOC),
                
3.88%, 7/2/07
     1,400       1,400  
California Statewide Communities Development Authority Multifamily Housing
                
Revenue Refunding VRDB, Series 2005C, Chateau Project (FNMA Insured),
                
3.67%, 7/10/07
     6,100       6,100  
California Statewide Communities Development Authority Revenue VRDB,
                
Series 2001, Gemological Institute (AMBAC Insured),
                
3.65%, 7/10/07
     2,465       2,465  
California Statewide Communities Development Authority Revenue VRDB,
                
Series 2001, Senior Living Facility (Bank of New York LOC),
                
3.68%, 7/10/07
     2,000       2,000  
California Statewide Communities Development Authority Revenue VRDB,
                
Series 2003B, Kaiser Permanente Project,
                
3.75%, 7/10/07
     2,350       2,350  
California Statewide Communities Development Authority Revenue VRDB,
                
Series 2004L, Kaiser Permanente Project,
                
3.75%, 7/10/07
     4,300       4,300  
California Statewide Communities Development Authority Revenue VRDB,
                
Series 2006, Amern Baptist Homes West (LaSalle Bank N.A. LOC),
                
3.68%, 7/10/07
     700       700  
California Statewide Communities Development Authority Revenue VRDB,
                
University of San Diego (BNP Paribas LOC),
                
3.66%, 7/10/07
     3,300       3,300  
City of Stockton Revenue VRDB,
                
Series 2002A, Dameron Hospital Association (U.S. Bank N.A. LOC),
                
3.88%, 7/2/07
     100       100  
Covina Redevelopment Agency Multifamily Revenue Refunding VRDB,
                
Series 1994A, Shadowhills Apartments (FNMA LOC),
                
3.67%, 7/10/07
     200       200  
MONEY MARKET FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
California - 6.6% — (continued)
                
Invine Improvement Board Special Assessment District Number 93-14,
                
Limitied Obligation (Bank of America N.A. LOC),
                
3.80%, 7/2/07
   $ 1,600     $ 1,600  
Los Angeles Convention and Exhibition Center Authority Lease Revenue Refunding VRDB,
                
Series 2003E (AMBAC Insured),
                
3.67%, 7/10/07
     13,200       13,200  
Los Angeles Multifamily Revenue Refunding VRDB,
                
Series 1991, Mountainback I Apartments Project (FHLMC LOC),
                
3.69%, 7/10/07
     300       300  
Los Angeles Unified School District COPS VRDB,
                
Series 2005B, Administration Building Project III (AMBAC Insured),
                
3.65%, 7/10/07
     1,300       1,300  
Metropolitan Water District of Southern California Waterworks Revenue Refunding VRDB,
                
Series 2004A2,
                
3.75%, 7/10/07
     4,980       4,980  
Metropolitan Water District of Southern California Waterworks Revenue VRDB,
                
Series 2005B-2,
                
3.63%, 7/10/07
     1,000       1,000  
Orange County Sanitation District COPS,
                
3.85%, 7/2/07
     12,300       12,300  
Oxnard Financing Authority Lease Revenue VRDB,
                
Civic Center Phase 2 Project (AMBAC Insured),
                
3.65%, 7/10/07
     350       350  
Oxnard Financing Authority Wastewater Revenue VRDB,
                
Headworks and Septic System Conversion (AMBAC Insured),
                
3.65%, 7/10/07
     2,765       2,765  
Pleasanton COPS VRDB,
                
Assisted Living Facilities (Citibank N.A. LOC),
                
3.70%, 7/10/07
     100       100  
Richmond Redevelopment Agency Multifamily Housing Revenue Refunding VRDB, Series A,
                
Summit Hilltop (FNMA Gtd.),
                
3.69%, 7/10/07
     15,080       15,080  
Riverside County Multifamily Housing Authority Revenue Refunding VRDB, Series C,
                
Tyler Springs Apartments (FNMA Gtd.),
                
3.69%, 7/10/07
     8,250       8,250  
Sacramento County Multifamily Housing Authority Revenue Refunding VRDB, Series A,
                
Bent Tree Apartments (FNMA Gtd.),
                
3.67%, 7/10/07
     4,100       4,100  
San Bernadino County Housing Authority Multifamily Revenue Refunding VRDB,
                
Montclair Heritage Project (FHLB of San Francisco LOC),
                
3.70%, 7/10/07
     1,000       1,000  
San Francisco City and County Redevelopment Agency Multifamily Housing
                
Revenue VRDB, Series 1985A, Bayside Village Project (JPMorgan Chase Bank LOC),
                
3.69%, 7/10/07
     2,400       2,400  
Sequoia Unified High School District G.O. Bonds,
                
Series 2003-2, ABN AMRO Munitops Certificate Trust (MBIA Insured), (1)
                
3.73%, 7/10/07
     11,400       11,400  
 
 
             361,025  
 
Colorado - 2.4%
                
Arapahoe County Multifamily Revenue Refunding VRDB, Series 2001,
                
Rent Housing Hunters Run (FHLMC LOC),
                
3.75%, 7/10/07
     9,355       9,355  
MONEY MARKET FUNDS     4     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Colorado - 2.4% — (continued)
                
Colorado Educational and Cultural Facilities Authority Revenue Bonds,
Concordia University Irvine Project (U.S. Bank N.A. LOC),
3.97%, 7/2/07
   $ 4,225     $ 4,225  
Colorado Educational and Cultural Facilities Authority Revenue Bonds,
Series 2006, Pueblo Serra Worship Holdings (Wells Fargo Bank N.A. LOC),
3.77%, 7/10/07
     2,000       2,000  
Colorado Health Facilities Authority Revenue Bonds,
Frasier Meadows Manor Project (JPMorgan Chase Bank LOC),
3.73%, 7/10/07
     19,315       19,315  
Colorado Health Facilities Authority Revenue Bonds, Series C-1,
Christian Living Community (Citibank N.A. LOC),
3.75%, 7/10/07
     7,685       7,685  
Colorado Health Facilities Authority Revenue Refunding VRDB,
Covenant Retirement (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     12,830       12,830  
Colorado Health Facilities Authority Revenue VRDB,
Series 2004B, Adventist Health System Sunbelt (SunTrust Bank LOC),
3.73%, 7/10/07
     16,000       16,000  
Eagle County Metropolitan District Revenue VRDB, Series 1999B,
Eagle Ranch Golf Course Enterprise (Bank of America N.A. LOC),
3.80%, 7/10/07
     6,570       6,570  
Park Creek Metropolitan District Revenue Bonds,
Merrill Lynch P-Floats 157 (Danske Bank Gtd.), (1) (2)
3.68%, 2/14/08
     36,995       36,995  
Summit County Recreational Facilities Revenue Refunding Bonds,
Series 1992, Copper Mountain (Bank of Nova Scotia LOC),
3.84%, 7/10/07
     4,680       4,680  
Westminster EDA Tax Increment Revenue VRDB, Series 2005,
North Huron Urban Renewal Project (Depfa Bank PLC LOC),
3.76%, 7/10/07
     10,000       10,000  
 
 
             129,655  
 
Connecticut - 0.0%
                
Connecticut Health and Educational Facilities Authority,
Series 1997T- 1, Yale University,
3.80%, 7/2/07
     1,700       1,700  
 
District of Columbia - 0.8%
                
District of Columbia Revenue VRDB, Series 1999,
The Washington Home, Inc. (Wachovia Bank N.A. LOC),
3.75%, 7/10/07
     3,620       3,620  
District of Columbia Revenue VRDB, Series 2001,
Henry J. Kaiser Foundation,
3.79%, 7/10/07
     10,100       10,100  
District of Columbia Revenue VRDB,
Series 2005, Georgetown Day School Issue (SunTrust Bank LOC),
3.74%, 7/10/07
     19,000       19,000  
District of Columbia Water and Sewer Authority Revenue Bonds,
Series 1998, Citibank Eagle Trust 985201 (FSA Corp. Insured), (1)
3.80%, 7/10/07
     3,300       3,300  
District of Columbia Water and Sewer Revenue Bonds,
Citicorp Eagle Trust 8121A (FSA Corp. Insured), (1)
3.80%, 7/10/07
     7,590       7,590  
 
 
             43,610  
 

MONEY MARKET FUNDS     5     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Florida - 6.1%
                
Brevard County Healthcare Facilities Revenue Refunding VRDB,
Series 2003, Health First, Inc. Project (SunTrust Bank LOC),
3.89%, 7/2/07
   $ 340     $ 340  
Broward County Revenue VRDB, Series 2007,
Maimonides Shalom Academy (Comerica Bank LOC),
3.85%, 7/10/07
     10,000       10,000  
Charlotte County Utility Revenue Refunding VRDB, Series 2003A
(FSA Corp. Insured),
3.75%, 7/10/07
     10,000       10,000  
Dade County Special Obligation Refunding Bonds,
Morgan Stanley Floating Rate Trust Certificates, Series 2000-415 (AMBAC Insured), (1)
3.79%, 7/10/07
     8,995       8,995  
Florida Board of Education Capital Outlay Revenue Bonds,
Citicorp Eagle Trust, Series 20000902, (1)
3.80%, 7/10/07
     4,550       4,550  
Florida Gas Utility Revenue VRDB, Series 2006,
Gas Supply Project Number 2-A-2,
3.70%, 7/10/07
     5,800       5,800  
Florida Housing Finance Agency Revenue Bonds,
Multifamily XX (FNMA Insured),
3.75%, 7/10/07
     8,100       8,100  
Florida Housing Finance Corp. Multifamily Revenue Refunding VRDB, Series C,
Monterey Lake (FHLMC LOC),
3.75%, 7/10/07
     5,815       5,815  
Florida Housing Finance Corp. Revenue Bonds,
Merrill Lynch P-Floats 305 (Merrill Lynch & Co., Inc. Gtd.), (1)
3.82%, 7/10/07
     17,170       17,170  
Florida State Board of Education G.O.,
Eagle 720050054 - Class A, (1)
3.80%, 7/10/07
     7,000       7,000  
Florida State Board of Education G.O.,
Series EC 1049, Merrill P-Floats, (1)
3.82%, 7/10/07
     21,450       21,450  
Florida State Department of Juvenile Justice Lease Certificates Revenue Bonds,
Wachovia MERLOTS Series 2000-OOO (MBIA Insured), (1)
3.79%, 7/10/07
     5,160       5,160  
Highlands County Health Facilities Authority Revenue Refunding VRDB,
Series B, Adventist Health (FGIC Insured),
3.73%, 7/10/07
     15,000       15,000  
Highlands County Health Facilities Authority Revenue VRDB,
Series 1996A, Adventist/Sunbelt (FGIC Insured),
3.73%, 7/10/07
     18,890       18,890  
Highlands County Health Facilities Authority Revenue VRDB, Series 1996A,
Adventist Health System Sunbelt (SunTrust Bank LOC),
3.73%, 7/10/07
     2,100       2,100  
Highlands County Health Facilities Authority Revenue VRDB,
Series 1997A, Adventist Health System Sunbelt (SunTrust Bank LOC),
3.73%, 7/10/07
     14,480       14,480  
Highlands County Health Facilities Authority Revenue VRDB, Series 2000A,
Adventist Health System Sunbelt (FGIC Insured),
3.73%, 7/10/07
     17,050       17,050  

MONEY MARKET FUNDS     6     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Florida - 6.1% — (continued)
                
Highlands County Health Facilities Authority Revenue VRDB, Series 2003B,
Adventist Health System Sunbelt (SunTrust Bank LOC),
3.74%, 7/10/07
   $ 10,805     $ 10,805  
Lee County IDA Healthcare Facilities Revenue VRDB,
Series 1999B, Shell Point Village Project (Bank of America N.A. LOC),
3.73%, 7/10/07
     4,365       4,365  
Lee County IDA Healthcare Facilities Revenue VRDB, Series 2002A,
Shell Point Village Project (Bank of America N.A. LOC),
3.73%, 7/10/07
     8,405       8,405  
Martin County Health Facilities Authority Hospital Revenue Refunding VRDB, Series 2007A,
Martin Memorial Medical Center (Wachovia Bank N.A. LOC),
3.80%, 11/15/07
     7,930       7,930  
Orange County Health Facilities Authority Revenue VRDB,
Series 2007, Adventist Long Term Care (SunTrust Bank LOC),
3.73%, 7/10/07
     10,000       10,000  
Orlando and Orange County Expressway Authority Revenue VRDB,
Subseries D (AMBAC Insured),
3.70%, 7/10/07
     18,340       18,340  
Orlando and Orange County Expressway Authority Revenue VRDB,
Subseries E (AMBAC Insured),
3.70%, 7/10/07
     8,940       8,940  
Palm Beach County Health Facilities Authority Revenue VRDB, Series 2001,
Bethesda Healthcare Systems Project (SunTrust Bank LOC),
3.89%, 7/2/07
     1,200       1,200  
Palm Beach County Revenue VRDB, Series 2003,
Morse Obligation Group (KeyBank N.A. LOC),
3.75%, 7/10/07
     8,755       8,755  
Palm Beach School Board COPS, Series 2013,
BB&T Municipal Trust Floaters (AMBAC Insured),
3.79%, 7/10/07
     11,185       11,185  
Palm Beach School District Sales Tax Revenue CP Notes
(Bank of America N.A. LOC),
3.72%, 2/14/08
     65,500       65,500  
Pinellas County Health Facility Authority Revenue Refunding VRDB,
Series A, Bayfront Hospital (SunTrust Bank LOC),
3.89%, 7/2/07
     5,000       5,000  
Polk County IDA Revenue Bonds, Series 2004,
Lifepath Hospice Project (SunTrust Bank LOC),
3.74%, 7/10/07
     2,700       2,700  
 
 
             335,025  
 
Georgia - 5.6%
                
Albany-Dougherty County Hospital Authority Revenue Bonds,
Series 96, Phoebe Putney Memorial Hospital (AMBAC Insured),
3.73%, 7/10/07
     18,645       18,645  
Clayton County Development Authority Revenue VRDB, Series 2000A,
Delta Airlines Project (General Electric Capital Corp. LOC), (1)
3.82%, 7/10/07
     40,400       40,400  
Clayton County Housing Authority Revenue Bonds,
Series 1985, Rivers Edge Development (FHLMC Gtd.),
3.75%, 7/10/07
     6,000       6,000  
Cobb County G.O TANS,
4.00%, 12/31/07
     10,000       10,022  

MONEY MARKET FUNDS     7     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Georgia - 5.6% — (continued)
                
DeKalb County Hospital Authority Revenue VRDB, Series 2005, Revenue Anticipation
Certificates, DeKalb Medical Center, Inc. Project (SunTrust Bank LOC),
3.74%, 7/10/07
   $ 8,000     $ 8,000  
DeKalb County Housing Authority Multifamily Revenue Refunding Bonds,
Series 1988, Wood Hills Apartment Project (Bank of America N.A. LOC),
3.77%, 7/10/07
     14,625       14,625  
DeKalb County Housing Authority Multifamily Revenue VRDB,
Post Brook Project (FNMA Gtd.),
3.73%, 7/10/07
     4,300       4,300  
Fulco Hospital Authority Revenue Anticipation Certificates, Series 1999,
Piedmont Hospital Project (SunTrust Bank LOC),
3.73%, 7/10/07
     26,675       26,675  
Fulton County Development Authority Revenue Bonds, Series 2004,
Holy Innocents Episcopal School Project (SunTrust Bank LOC),
3.74%, 7/10/07
     8,900       8,900  
Georgia State G.O. Bonds, (1)
Eagle Trust Series 97C1001,
3.80%, 7/10/07
     15,500       15,500  
Eagle Trust Series 97C1002,
3.80%, 7/10/07
     15,100       15,100  
Eagle Trust Series 99D1002,
3.80%, 7/10/07
     24,280       24,280  
Gordon County Hospital Authority Revenue VRDB, Series 1996-A,
Adventist Health Systems Sunbelt Project (SunTrust Bank LOC),
3.88%, 7/10/07
     730       730  
Gwinnett County Multifamily Housing Revenue VRDB,
Series 1996, Post Corners Project (FNMA Gtd.),
3.73%, 7/10/07
     6,060       6,060  
Gwinnett County Multifamily Housing Revenue VRDB,
Series 1998, Post Court Project (FNMA Gtd.),
3.73%, 7/10/07
     10,000       10,000  
Macon Water and Sewer Authority Revenue Bonds, Series 2004,
3.74%, 7/10/07
     10,020       10,020  
Metropolitan Atlanta Rapid Transit Authority Sales Tax Revenue CP Notes VRDB,
Series B (Dexia Bank Belgium LOC),
3.87%, 7/13/07
     30,000       30,000  
Richmond County Authority Revenue Anticipation Certificates,
Series 2003, University Health Services, Inc. Project (SunTrust Bank LOC),
3.74%, 7/10/07
     8,800       8,800  
Roswell Housing Authority Multifamily Revenue Refunding VRDB, Series 2002,
Chambrel Roswell (FNMA Gtd.),
3.75%, 7/10/07
     10,000       10,000  
Smyrna Housing Authority Multifamily Housing Revenue VRDB,
Series 1995, Hills of Post Village Project (FNMA Gtd.),
3.73%, 7/10/07
     4,000       4,000  
Smyrna Housing Authority Multifamily Housing Revenue VRDB,
Series 1996, Gardens Post Village Project (FNMA Gtd.),
3.73%, 7/10/07
     7,950       7,950  
State of Georgia G.O.,
Merrill Lynch P-Floats-EC 1019, (1)
3.82%, 7/10/07
     19,990       19,990  

MONEY MARKET FUNDS     8     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Georgia - 5.6% — (continued)
                
Thomasville Hospital Authority Revenue Anticipation Certificates,
Series 2003, John D. Archibold Memorial Hospital Project (SunTrust Bank LOC),
3.74%, 7/10/07
   $ 5,300     $ 5,300  
Waleska Downtown Development Authority Revenue VRDB,
Reinhardt College Project (Regions Bank LOC),
3.76%, 7/10/07
     3,600       3,600  
 
 
             308,897  
 
Hawaii - 0.1%
                
Hawaii State G.O. Bonds,
Citicorp Eagle Trust 2000-1101 (FGIC Insured), (1)
3.80%, 7/10/07
     6,000       6,000  
 
Idaho - 0.2%
                
Idaho State G.O. TANS, Series 2007,
4.50%, 6/30/08
     9,000       9,066  
 
Illinois - 14.2%
                
Chicago Board of Education G.O., Series A
PA 616, School Reform Board (FGIC Insured), (1)
3.81%, 7/10/07
     6,705       6,705  
Chicago Board of Education G.O. Variable Rate Certificates,
Series 2000A, School Reform Board (FGIC Insured), (1)
3.79%, 7/10/07
     6,200       6,200  
Chicago Board of Education G.O. VRDB,
Series D (Depfa Bank PLC LOC),
3.76%, 7/10/07
     24,000       24,000  
Chicago G.O. Bonds, Series B 2002,
3.74%, 7/10/07
     6,600       6,600  
Chicago G.O. Project and Refunding Bonds,
Series 1998M, Bank of America Partnership (FGIC Insured), (1)
3.79%, 7/10/07
     15,000       15,000  
Chicago G.O. Refunding Bonds,
Series 1998, Citicorp Eagle Trust 981302 (FSA Corp. Insured), (1)
3.80%, 7/10/07
     11,600       11,600  
Chicago G.O. Revenue Refunding VRDB, Series 2005D,
Refunding Project (FSA Corp. Insured),
3.73%, 7/10/07
     33,000       33,000  
Chicago G.O. Tender Notes, Series 2006
(Bank of America N.A. LOC),
3.52%, 10/11/07
     10,000       10,000  
Chicago Housing Revenue Bonds,
Lehman Municipal Trust Receipts K58 (FSA Corp. Insured), (1)
3.77%, 7/10/07
     23,075       23,075  
Elmhurst Revenue Bonds,
Commission Accreditation of Healthcare Project (JPMorgan Chase Bank LOC),
3.73%, 7/10/07
     9,065       9,065  
Evanston G.O., Series 2002A,
Sherman Plaza,
3.75%, 7/10/07
     18,050       18,050  
Evanston G.O. VRDB, Series 2000A,
Maple Street Project,
3.75%, 7/10/07
     7,600       7,600  
Evanston G.O. VRDB,
Series C, Recreation Center Project,
3.75%, 7/10/07
     3,300       3,300  

MONEY MARKET FUNDS     9     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Illinois - 14.2% — (continued)
                
Hazel Crest Retirement Center Revenue Bonds,
Series 1992A, Waterford Estates Project (Depfa Bank PLC LOC),
3.78%, 7/10/07
   $ 7,765     $ 7,765  
Illinois Development Finance Authority IDR Bonds,
Series 1990B, Tajon Warehouse Project (JPMorgan Chase Bank LOC),
3.88%, 7/10/07
     2,225       2,225  
Illinois Development Finance Authority Revenue Bonds, Series 2001,
YMCA of Metropolitan Chicago Project (Harris N.A. LOC),
3.80%, 7/10/07
     37,100       37,100  
Illinois Development Finance Authority Revenue Bonds,
Series 2003, Carmel High School Project (LaSalle Bank N.A. LOC),
3.76%, 7/10/07
     6,200       6,200  
Illinois Development Finance Authority Revenue Bonds,
Series 2004, Robert Morris College (JPMorgan Chase Bank LOC),
3.83%, 7/10/07
     10,515       10,515  
Illinois Development Finance Authority Revenue VRDB,
Series 1998, American Youth Hostels Project (Harris N.A. LOC),
3.75%, 7/10/07
     6,275       6,275  
Illinois Development Finance Authority Revenue VRDB,
Series 1999D1, AMR Pooled Program (Fifth Third Bank LOC),
3.81%, 7/10/07
     3,300       3,300  
Illinois Development Finance Authority Revenue VRDB,
Series 1999D2, AMR Pooled Program (Fifth Third Bank LOC),
3.81%, 7/10/07
     5,460       5,460  
Illinois Educational Facilities Authority Revenue Bonds, Northwestern University,
Macon Trust Variable Rate Certificates Series D, (1)
3.79%, 7/10/07
     7,005       7,005  
Illinois Educational Facilities Authority Revenue Bonds, Series A,
IIT Student Housing (Harris N.A. LOC),
3.76%, 7/10/07
     20,095       20,095  
Illinois Educational Facilities Authority Revenue Bonds,
Series 2002, Aurora University (Fifth Third Bank LOC),
3.83%, 7/10/07
     3,300       3,300  
Illinois Educational Facilities Authority Revenue VRDB,
Series 2001, Concordia University River Project (U.S. Bank N.A. LOC),
3.97%, 7/2/07
     8,000       8,000  
Illinois Finance Authority Revenue Bonds,
Kohl Childrens Museum (Fifth Third Bank LOC),
3.76%, 7/10/07
     2,280       2,280  
Illinois Finance Authority Revenue Bonds,
Series A, All Saints Catholic (Harris N.A. LOC),
3.75%, 7/10/07
     11,800       11,800  
Illinois Finance Authority Revenue Bonds,
Series 2004, Community Action Partnership (Citibank N.A. LOC),
3.76%, 7/10/07
     5,930       5,930  
Illinois Finance Authority Revenue Refunding VRDB,
Series 2006A, Loyola University Health (JPMorgan Chase Bank LOC),
3.74%, 7/10/07
     50,145       50,145  
Illinois Finance Authority Revenue VRDB,
Landing at Plymouth Place (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     17,500       17,500  
Illinois Finance Authority Revenue VRDB,
Series 2005C, Friendship Village Schaumburg (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     20,050       20,050  

MONEY MARKET FUNDS     10     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Illinois - 14.2% — (continued)
                
Illinois Finance Authority Revenue VRDB,
Series 2006B, Loyola University Health System (Harris N.A. LOC),
3.74%, 7/10/07
   $ 1,400     $ 1,400  
Illinois Finance Authority Revenue VRDB, Series D,
The Clare At Water Tower Project (LaSalle Bank N.A. LOC),
3.74%, 7/10/07
     15,000       15,000  
Illinois Finance Authority Revenue VRDB,
WBEZ Alliance Income Project (LaSalle Bank N.A. LOC),
3.74%, 7/10/07
     3,000       3,000  
Illinois Health Facilities Authority Revenue Bonds,
Advocate Healthcare Network, Series 2003A,
3.85%, 7/6/07
     10,550       10,550  
Illinois Health Facilities Authority Revenue VRDB, Series 2003,
Memorial Health Systems (JPMorgan Chase Bank LOC),
3.96%, 7/2/07
     2,500       2,500  
Illinois Metropolitan Water Reclamation District,
ABN AMRO Munitops Certificate Trust 2006-29, (1)
3.79%, 7/10/07
     10,000       10,000  
Illinois Multifamily Finance Authority Revenue VRDB,
Series 2005 (AMT), Villagebrook Apartments Project (FHLMC LOC),
3.82%, 7/10/07
     5,600       5,600  
Illinois State G.O. Bonds, Series 1630,
Morgan Stanley Floaters, (1)
3.79%, 7/10/07
     12,085       12,085  
Illinois State G.O. Bonds, Series 2002,
Tax-Exempt Eagle Trust 20021301, Illinois First (FGIC Insured), (1)
3.80%, 7/10/07
     5,000       5,000  
Illinois State G.O. VRDB, Series 2003B,
3.73%, 7/10/07
     190,900       190,900  
Illinois State Sales TRB,
Salomon Smith Barney Eagle Trust, (1)
3.80%, 7/10/07
     5,045       5,045  
Illinois State Sales Tax Revenue VRDB,
Bank of America Macon Trust Receipts Series C, (1)
3.79%, 7/10/07
     3,500       3,500  
Illinois State Tollway Highway Revenue Bonds,
Series A2, ABN AMRO Munitops Certificate Trust 2006-44 (FSA Corp. Insured), (1)
3.79%, 7/10/07
     40,000       40,000  
Lisle Multifamily Housing Authority Revenue Bonds,
Ashley of Lisle Project (FHLMC LOC),
3.73%, 7/10/07
     2,800       2,800  
Metropolitan Pier and Exposition Authority Revenue Bonds,
Citicorp Eagle Trust Series 20026001 (MBIA Insured), (1)
3.80%, 7/10/07
     10,000       10,000  
Normal G.O. VRDB, Series 2003,
McLean County Project,
3.78%, 7/10/07
     4,750       4,750  
Quad Cities Regional EDA Revenue Bonds,
Augustana College Project (Harris N.A. LOC),
3.75%, 7/10/07
     14,900       14,900  

MONEY MARKET FUNDS     11     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Illinois - 14.2% — (continued)
                
Regional Transportation Authority Revenue Bonds,
Citicorp Eagle Trust Series 20001303 (MBIA Insured), (1)
3.80%, 7/10/07
   $ 14,510     $ 14,510  
Rockford Revenue Bonds, Series 2002,
Wesley Willows Obligation (Marshall & Ilsley Bank LOC),
3.91%, 7/2/07
     4,985       4,985  
Springfield Election Revenue Bonds, Series 2006-2,
ABN AMRO Munitops Certificate Trust (MBIA Insured), (1) (2)
3.79%, 7/10/07
     14,995       14,995  
University of Illinois Auxiliary Facility Revenue Bonds,
Eagle Trust Series 20001301 (MBIA Insured), (1)
3.80%, 7/10/07
     3,000       3,000  
Warren County Industrial Project Revenue Bonds, Series 2002,
Monmouth College Project (Allied Irish Bank LOC),
3.76%, 7/10/07
     5,430       5,430  
 
 
             779,090  
 
Indiana - 4.3%
                
Dearborn County Industrial Economic Development Revenue VRDB,
Series 2006, Dearborn County Hospital Project (JPMorgan Chase Bank LOC),
3.77%, 7/10/07
     15,000       15,000  
Fort Wayne Economic Development Revenue VRDB,
Series 2004, University of St. Francis (JPMorgan Chase Bank LOC),
3.83%, 7/10/07
     2,700       2,700  
Indiana Bond Bank Revenue Notes, Series 2007A,
Advanced Funding Program Notes,
4.25%, 1/31/08
     35,000       35,119  
Indiana Development Finance Authority Industrial Revenue Bonds, Series 1999,
Youth Opportunity Center Project (JPMorgan Chase Bank LOC),
3.83%, 7/10/07
     1,500       1,500  
Indiana Educational Facilities Authority Revenue VRDB,
Series 2003, Franklin College (JPMorgan Chase Bank LOC),
3.96%, 7/2/07
     2,800       2,800  
Indiana Health and Educational Facilities Financing Authority Revenue Refunding VRDB,
Series 2006A, Hartsfield Community Village (Harris N.A. LOC),
3.73%, 7/10/07
     7,030       7,030  
Indiana Health and Educational Facilities Financing Authority Revenue VRDB,
Community Hospital LaGrange County (National City Bank Cleveland LOC),
3.75%, 7/10/07
     12,465       12,465  
Indiana Health and Educational Facilities Financing Authority Revenue VRDB,
Parkview Health Systems (AMBAC Insured),
Series 2005A,
3.74%, 7/10/07
     28,000       28,000  
Series 2005B,
3.74%, 7/10/07
     37,590       37,590  
Indiana Health and Educational Facilities Financing Authority Revenue VRDB,
Series 2007, Marian College Project (JPMorgan Chase Bank LOC),
3.76%, 7/10/07
     6,000       6,000  
Indiana Health Facility Financing Authority Revenue VRDB, Series 2000,
Senior Living Greencroft Project (LaSalle Bank N.A. LOC),
3.74%, 7/10/07
     10,754       10,754  

MONEY MARKET FUNDS     12     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Indiana - 4.3% — (continued)
                
Indiana Health Facility Financing Authority Revenue VRDB, Series 2004A,
Margaret Mary Community Hospital Project (Fifth Third Bank LOC),
3.96%, 7/2/07
   $ 1,400     $ 1,400  
Indiana Hospital Equipment Financing Revenue VRDB,
Hospital Equipment Program Project (MBIA Insured),
3.78%, 7/10/07
     10,510       10,510  
Marion Economic Development Revenue VRDB,
Wesleyan University Project (Bank of America N.A. LOC),
3.73%, 7/10/07
     9,450       9,450  
Marshall County Industrial Economic Development Revenue VRDB,
Series 2000, Culver Educational Foundation Project (Bank of New York LOC),
3.77%, 7/10/07
     22,700       22,700  
Mt. Vernon Industrial Pollution Control and Solid Waste Disposal Revenue VRDB,
General Electric Co. Project,
3.84%, 7/2/07
     16,800       16,800  
Terre Haute Industrial Economic Development Revenue Bonds,
Series 1985, First Financial Corp. Project (JPMorgan Chase Bank LOC),
3.83%, 7/10/07
     300       300  
Vincennes University Revenue Bonds,
Series 2004G, Student Fees (JPMorgan Chase Bank LOC),
3.75%, 7/10/07
     17,905       17,905  
 
 
             238,023  
 
Iowa - 0.0%
                
Iowa Higher Education Loan Authority Revenue VRDB, Private College,
Series 2003, Des Moines University Project (Allied Irish Bank LOC),
3.96%, 7/2/07
     800       800  
Iowa Higher Education Loan Authority Revenue VRDB,
Series 2003, Graceland College (Bank of America N.A. LOC),
3.78%, 7/10/07
     1,600       1,600  
 
 
             2,400  
 
Kansas - 0.7%
                
Kansas Department of Transportation Highway Revenue Bonds,
Eagle Series 20001601, (1)
3.80%, 7/10/07
     5,975       5,975  
Kansas Development Finance Authority Revenue VRDB,
Series 1998BB, Shalom Village Obligation Group (Citibank N.A. LOC),
3.74%, 7/10/07
     3,325       3,325  
Kansas Development Finance Authority Revenue VRDB, Series 2004C,
Adventist Health System/Sunbelt (SunTrust Bank LOC),
3.74%, 7/10/07
     2,000       2,000  
Olathe Health Facilities Revenue VRDB,
Series 2002A, Olathe Medical Center (AMBAC Insured),
3.91%, 7/2/07
     4,875       4,875  
Olathe Senior Living Facility Revenue VRDB,
Series C-1, Catholic Care Campus (LaSalle Bank N.A. LOC),
3.74%, 7/10/07
     22,000       22,000  
 
 
             38,175  
 
Kentucky - 1.1%
                
Fort Mitchell League of Cities Revenue VRDB, Series 2002A,
Trust Lease Program (U.S. Bank N.A. LOC),
3.79%, 7/10/07
     11,850       11,850  

MONEY MARKET FUNDS     13     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Kentucky - 1.1% — (continued)
                
Henderson County Revenue Refunding Bonds,
Murray-Calloway County Public Hospital Project (Branch Banking & Trust Co. LOC),
3.84%, 7/10/07
   $ 4,970     $ 4,970  
Kentucky Asset Liability Commission General Fund Revenue,
Series 2007-A TRANS,
4.50%, 6/26/08
     34,000       34,254  
Morehead League of Cities Revenue VRDB, Series 2004A,
Trust Lease Program (U.S. Bank N.A. LOC),
3.79%, 7/10/07
     10,784       10,784  
 
 
             61,858  
 
Louisiana - 1.8%
                
Louisiana Environmental Facilities Development Revenue Bonds,
Series 2004, Sacred Heart Project (SunTrust Bank LOC),
3.79%, 7/10/07
     1,000       1,000  
Louisiana Public Facilities Authority Revenue Bonds, Series 1985A,
Hospital Equipment Financing and Refunding (JPMorgan Chase Bank LOC),
3.76%, 7/10/07
     2,800       2,800  
Louisiana Public Facilites Authority Revenue VRDB, Series 2004,
Tiger Athletic Foundation Project (Regions Bank LOC),
3.74%, 7/10/07
     5,885       5,885  
Lousiana State Municipal Natural Gas Purchasing and District Authority Revenue Bonds,
Series 1411Q, Putters (JPMorgan Chase Bank LOC), (1)
3.79%, 7/10/07
     51,695       51,695  
Louisiana State Offshore Terminal Authority Deepwater Revenue Refunding Bonds,
Series 1992A, 1st Stage A-Loop, Inc. (SunTrust Bank LOC),
3.74%, 7/10/07
     25,000       25,000  
Louisiana State Offshore Terminal Authority Deepwater Revenue Refunding Bonds,
Series 2003A, LOOP LLC Project (SunTrust Bank LOC),
3.89%, 7/2/07
     6,350       6,350  
Louisiana State Offshore Terminal Authority Deepwater Revenue Refunding Bonds,
Series 2003B (JPMorgan Chase Bank LOC),
3.77%, 7/10/07
     5,700       5,700  
 
 
             98,430  
 
Maine - 0.1%
                
Maine State Turnpike Authority Revenue Bonds,
Eagle Trust Series 20001901 (FGIC Insured), (1)
3.80%, 7/10/07
     3,000       3,000  
South Berwick Educational Revenue VRDB,
Series 2000, Berwick Academy Issue (Allied Irish Bank LOC),
3.75%, 7/10/07
     3,845       3,845  
 
 
             6,845  
 
Maryland - 1.5%
                
Gaithersburg Economic Development Revenue VRDB, Series B,
Asbury Maryland Obligation (KBC Bank N.V. LOC),
3.75%, 7/10/07
     4,900       4,900  
Maryland Health and Higher Educational Facilities Authority Revenue Bonds,
Series A, Charleston Community (Bank of America N.A. LOC),
3.73%, 7/10/07
     3,700       3,700  
Maryland Health and Higher Educational Facilities Authority Revenue Refunding VRDB,
Series 2005B, Adventist Healthcare (Manufacturers & Traders Trust Co. LOC),
3.75%, 7/10/07
     13,800       13,800  

MONEY MARKET FUNDS     14     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Maryland - 1.5% — (continued)
                
Maryland Health and Higher Educational Facilities Authority Revenue VRDB,
Series 2003B, Adventist Health Care (Manufacturers & Traders Trust Co. LOC),
3.74%, 7/10/07
   $ 18,500     $ 18,500  
Montgomery County Housing Opportunities Commission Multifamily Housing Revenue Bonds,
Series 1991-A, Oakwood Apartments (FHLMC LOC),
3.75%, 7/10/07
     15,320       15,320  
State of Maryland G.O.,
Series 1790 B, JP Morgan Putters, (1)
3.79%, 7/10/07
     24,975       24,975  
 
 
             81,195  
 
Massachusetts - 4.8%
                
Massachusetts State Development Finance Agency Multifamily Revenue Bonds,
Variable Certificates Trust Receipts (Bank of America N.A. LOC), (1)
3.80%, 7/10/07
     10,600       10,600  
Massachusetts State Development Finance Agency Revenue VRDB,
Series 2003, Lesley University (Bank of America N.A. LOC),
3.79%, 7/10/07
     4,700       4,700  
Massachusetts State Development Finance Agency Revenue VRDB,
Series 2004, Groton School,
3.77%, 7/10/07
     7,500       7,500  
Massachusetts State Development Finance Agency Revenue VRDB,
Series 2005, ISO New England, Inc. (KeyBank N.A. LOC),
3.75%, 7/10/07
     4,900       4,900  
Massachusetts State G.O. Refunding VRDB,
Series 2001C,
3.71%, 7/10/07
     50,600       50,600  
Massachusetts State G.O. Refunding VRDB,
Series 2005A,
3.74%, 7/10/07
     103,485       103,485  
Massachusetts State Health and Educational Facilities Authority Revenue VRDB,
Series 2004GG-1, Harvard University,
3.72%, 7/10/07
     83,600       83,600  
 
 
             265,385  
 
Michigan - 4.7%
                
Ann Arbor Michigan Economic Development Corp. Limited Obligaiton Revenue Refunding Bonds,
Series B, Glacier Hills Project (JPMorgan Chase Bank LOC),
3.73%, 7/10/07
     3,450       3,450  
Avondale School District,
Series 2003, Citigroup ROCS RR II R 2047, (1)
3.79%, 7/10/07
     6,375       6,375  
Detroit Sewage Disposal System Senior Lien Revenue Refunding Bonds,
Series 2001E (FGIC Insured),
3.78%, 7/12/07
     37,680       37,680  
Farmington Hills Hospital Finance Authority Revenue Bonds,
Series 1991, Botsford General Hospital (MBIA Insured),
3.96%, 7/2/07
     2,950       2,950  
Grand Rapids Economic Development Corp. Revenue Refunding Bonds,
Series 1991A, Amway Hotel (LaSalle Bank N.A. LOC),
3.74%, 7/10/07
     1,100       1,100  
Grand Rapids Economic Development Corp. Revenue VRDB,
Series 2000, Limited Obligation, Holland Home Health (Fifth Third Bank LOC),
3.73%, 7/10/07
     9,510       9,510  

MONEY MARKET FUNDS     15     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Michigan - 4.7% — (continued)
                
Macomb County Hospital Finance Authority Revenue Refunding VRDB, Series 2003A-2,
Mt. Clemens General (Comerica Bank LOC),
3.91%, 7/2/07
   $ 3,700     $ 3,700  
Michigan Higher Education Facilities Authority Revenue Refunding VRDB,
Series 2006, Albion College (JPMorgan Chase Bank LOC),
3.73%, 7/10/07
     26,385       26,385  
Michigan Municipal Bond Authority Revenue Notes,
Series B-2 (Bank of Nova Scotia LOC),
4.50%, 8/20/07
     56,500       56,561  
Michigan State G.O. Notes, Series A 2006,
4.25%, 9/28/07
     71,275       71,390  
Michigan State Hospital Finance Authority Revenue Refunding VRDB,
Series 2003A, Crittenton Hospital (Comerica Bank LOC),
3.91%, 7/2/07
     100       100  
Michigan State Hospital Finance Authority Revenue VRDB,
Series 1999A, Covenant Retirement (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     430       430  
Michigan State Hospital Finance Authority Revenue VRDB,
Series 2002, Hospice of Michigan (Fifth Third Bank LOC),
3.77%, 7/10/07
     5,960       5,960  
Michigan State Strategic Fund Limited Obligation Revenue Bonds,
Lansing Saint Vincent Home Project (Comerica Bank Insured),
3.75%, 7/10/07
     2,805       2,805  
Michigan State Strategic Fund Limited Obligation Revenue Bonds,
Leader Dogs for the Blind Project (Comerica Bank LOC),
3.80%, 7/10/07
     2,500       2,500  
Michigan State Strategic Fund Limited Obligation Revenue Refunding VRDB,
Series 2005A, Holland Home Group (Fifth Third Bank LOC),
3.73%, 7/10/07
     10,560       10,560  
Wayne Charter County Revenue VRDB, Series 2001, University of Detroit Jesuit Project
(Allied Irish Bank LOC),
3.75%, 7/10/07
     13,825       13,825  
 
 
             255,281  
 
Minnesota - 1.3%
                
Austin Housing and Redevelopment Authority Revenue Bonds,
Series 2004A, Cedars of Austin Project (LaSalle Bank N.A. LOC),
3.88%, 7/10/07
     4,320       4,320  
Duluth EDA Healthcare Facilities Revenue VRDB,
Series 1997, Miller-Dwan Medical Center Project (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     6,150       6,150  
Maple Grove Economic Development Revenue Bonds,
Series 2004, Heritage Christian Academy (U.S. Bank N.A. LOC),
3.73%, 7/10/07
     5,625       5,625  
Minneapolis Multifamily Housing Revenue Refunding VRDB,
Series 2002 (AMT), Second Street Acquisition Project (LaSalle Bank N.A. LOC),
3.88%, 7/10/07
     2,780       2,780  
Minneapolis Revenue VRDB, Series 2000,
People Serving People Project (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     2,025       2,025  
Minnesota Housing Finance Agency Revenue Bonds,
Residential Housing Finance, Series 2007A,
3.65%, 3/4/08
     10,000       10,000  

MONEY MARKET FUNDS     16     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Minnesota - 1.3% — (continued)
                
Minnesota Housing Finance Agency Revenue Bonds,
Residential Housing Finance Series O,
3.53%, 11/29/07
   $ 4,080     $ 4,080  
Minnesota Housing Finance Agency Revenue Bonds,
Residential Housing Finance Series Q,
3.53%, 11/29/07
     4,000       4,000  
Minnesota Water PCR Bonds, Series 2002A,
Wachovia MERLOTS Series 2003-B06, (1)
3.79%, 7/10/07
     9,965       9,965  
Northfield Multifamily Housing Revenue Bonds,
Series 2003A (AMT), Summerfield Investments LLC (LaSalle Bank N.A. LOC),
3.88%, 7/10/07
     3,510       3,510  
St. Paul Housing and Redevelopment Authority Revenue Bonds,
Series A, Science Museum of Minnesota (U.S. Bank N.A. LOC),
3.77%, 7/10/07
     16,700       16,700  
 
 
             69,155  
 
Mississippi - 2.0%
                
Jackson Redevelopment Authority Revenue Bonds,
Jackson Med Mall Foundation Project (JPMorgan Chase Bank LOC),
3.80%, 7/10/07
     3,535       3,535  
Mississippi Business Finance Corp. Revenue VRDB,
Edgewater Retail Partners (JPMorgan Chase Bank LOC),
3.78%, 7/10/07
     17,000       17,000  
Mississippi Business Finance Corp. Revenue VRDB,
Series 600, Concourse Project (Regions Bank LOC),
3.78%, 7/10/07
     2,800       2,800  
Mississippi Development Bank Obligation Bonds,
Series 04, ABN AMRO Munitops Certificate Trust 2004-40 (FSA Corp. Insured), (1)
3.79%, 7/10/07
     19,995       19,995  
Mississippi Development Bank Special Obligation Revenue VRDB,
Series 2005, Gas Authority National Gas Project,
3.73%, 7/10/07
     38,200       38,200  
Mississippi Medical Center Educational Building Corp. Revenue VRDB,
Adult Hospital Project (AMBAC Insured),
3.73%, 7/2/07
     20,085       20,085  
Mississippi Medical Center Educational Building Corp. Revenue VRDB,
Series 2004, Pediatric and Research Facilities Project (AMBAC Insured),
3.75%, 7/10/07
     5,900       5,900  
 
 
             107,515  
 
Missouri - 1.5%
                
Chesterfield IDA Educational Facilities Revenue VRDB, Series 2003,
Gateway Academy, Inc. Project (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     545       545  
Missouri State Development Finance Board Infrastructure Facilities Revenue VRDB,
Series 2000C, St. Louis Convention Center (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     8,200       8,200  
Missouri State Development Finance Board Lease Revenue Bonds,
Series 2003, Missouri Association Municipal Utilities (U.S. Bank N.A. LOC),
3.91%, 7/2/07
     2,430       2,430  

MONEY MARKET FUNDS     17     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Missouri - 1.5% — (continued)
                
Missouri State Health and Educational Facilities Authority Revenue Bonds,
Series 2000, Lutheran Senior Services (U.S. Bank N.A. LOC),
3.73%, 7/10/07
   $ 18,685     $ 18,685  
Missouri State Health and Educational Facilities Authority Revenue VRDB,
Series 2001, Missouri Valley College (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     5,745       5,745  
Missouri State Health and Educational Facilities Authority Revenue VRDB,
Series 2001B, Bethesda Health Group (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     8,310       8,310  
Platte County IDA Multifamily Housing Revenue Refunding Bonds,
Series 1996, Wexford Place Project (FHLMC Gtd.), (1)
3.75%, 7/10/07
     8,055       8,055  
St. Charles County IDA Revenue Refunding VRDB, Series 1993,
Remington Apartments Project (FNMA Gtd.),
3.75%, 7/10/07
     10,400       10,400  
St. Charles County IDA Revenue Refunding VRDB, Series 1995,
Casalon Apartments Project (FNMA Gtd.),
3.75%, 7/10/07
     5,570       5,570  
St. Charles County IDA Revenue VRDB, Series 2006 (AMT),
Trinity Manufacturing Project (Marshall & llsley Bank LOC),
3.82%, 7/10/07
     3,800       3,800  
St. Louis County IDA Revenue Refunding VRDB, Series 1996-B,
Friendship Village South County Project (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     4,725       4,725  
St. Louis County IDA Revenue Refunding VRDB, Series 1996-B,
Friendship Village West (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     3,670       3,670  
 
 
             80,135  
 
Nebraska - 0.6%
                
Omaha Convention Center and Arena,
Citigroup Eagle Trust Series 20040009, (1)
3.80%, 7/10/07
     8,000       8,000  
Omaha Power District Electric Revenue Bonds,
ABN AMRO Munitops Certificate Trust 2007-45 (FGIC Insured), (1) (2)
3.79%, 7/10/07
     27,495       27,495  
 
 
             35,495  
 
Nevada - 1.2%
                
Clark County Economic Development Revenue VRDB,
Bishop Gorman High School Project (Allied Irish Bank LOC),
3.74%, 7/10/07
     14,800       14,800  
Clark County Economic Development Revenue VRDB,
Series 2000, Lutheran Secondary School Association Project (Allied Irish Bank LOC),
3.74%, 7/10/07
     8,300       8,300  
Las Vegas Economic Development Revenue VRDB, Series A,
Keep Memory Alive Project (Bank of New York LOC),
3.74%, 7/10/07
     40,000       40,000  
 
 
             63,100  
 
New Hampshire - 0.3%
                
New Hampshire Business Finance Authority Revenue VRDB,
Cottage Hospital Issue (Allied Irish Bank LOC),
3.73%, 7/10/07
     2,540       2,540  

MONEY MARKET FUNDS     18     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
New Hampshire - 0.3% — (continued)
                
New Hampshire Health and Educational Facilities Authority Revenue Bonds,
Bishop Guertin High School (Allied Irish Bank LOC),
3.78%, 7/10/07
   $ 5,915     $ 5,915  
New Hampshire Health and Educational Facilities Authority Revenue VRDB,
New Hampshire Medical Center (Bank of America N.A. LOC),
3.78%, 7/10/07
     1,475       1,475  
New Hampshire Health and Educational Facilities Authority Revenue VRDB,
Series A, LRG Healthcare (JPMorgan Chase Bank LOC),
3.79%, 7/10/07
     5,850       5,850  
 
 
             15,780  
 
New Jersey - 0.6%
                
New Jersey EDA Revenue Refunding VRDB,
Class A 2006, Cedar Crest Village, Inc. (Bank of New York LOC),
3.71%, 7/10/07
     18,720       18,720  
New Jersey EDA Revenue Refunding VRDB,
Class B 2006, Cedar Crest Village, Inc. (Bank of New York LOC),
3.71%, 7/10/07
     15,900       15,900  
 
 
             34,620  
 
New Mexico - 0.5%
                
State of New Mexico TRANS, Series 2007,
4.50%, 6/30/08
     25,000       25,189  
 
New York - 1.2%
                
Metropolitan Transportation Authority Revenue Bonds, Series C,
CP Notes,
3.65%, 7/10/07
     21,800       21,800  
New York City Capital Resources Corp. Revenue VRDB,
Series A, Loan Enhanced Assistance (Bank of America N.A. LOC),
3.68%, 7/10/07
     2,000       2,000  
New York City Industrial Development Agency Civic Center Revenue VRDB,
Sephardic Community Youth Center (Manufacturers & Traders Trust Co. LOC),
3.78%, 7/10/07
     1,200       1,200  
Suffolk County Industrial Development Agency Civic Facilities Revenue VRDB,
Series 2006, St. Anthonys High School Civic (KBC Bank N.V. LOC),
3.72%, 7/10/07
     10,600       10,600  
Triborough Bridge and Tunnel Authority Revenue VRDB, Series 2003B,
3.72%, 7/10/07
     28,850       28,850  
 
 
             64,450  
 
North Carolina - 1.5%
                
North Carolina Capital Facilities Finance Agency Revenue Bonds, Duke University,
Citigroup Eagle 2006-12, (1)
3.80%, 7/10/07
     12,000       12,000  
North Carolina G.O.,
Merrill P-Floats EC 1063, (1)
3.82%, 7/10/07
     16,500       16,500  
North Carolina Medical Care Commission Healthcare Revenue Refunding Bonds,
Series 2003-C, First Mortgage Well Spring (Allied Irish Bank LOC),
3.76%, 7/10/07
     8,615       8,615  
North Carolina Medical Care Commission Healthcare Revenue VRDB,
Series C, First Mortgage Pennybyrn Project (Bank of America N.A. LOC),
3.73%, 7/10/07
     24,000       24,000  

MONEY MARKET FUNDS     19     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
North Carolina - 1.5% — (continued)
                
University of North Carolina Revenue Bonds,
Citigroup Eagle 720053014 Class 2005A, (1)
3.80%, 7/10/07
   $ 5,800     $ 5,800  
Wake County G.O. VRDB, Series 2003B,
Public Improvement,
3.71%, 7/10/07
     16,300       16,300  
 
 
             83,215  
 
Ohio - 1.6%
                
Akron Income Tax Revenue Bonds, Series 2004A,
ABN AMRO Munitops Certificate Trust 2003-37 (FGIC Insured), (1)
3.78%, 7/10/07
     3,000       3,000  
Cuyahoga County Healthcare Facilities Revenue Bonds,
McGregor AMASA Stone (KeyBank N.A. LOC),
3.76%, 7/10/07
     13,265       13,265  
Franklin County Healthcare Facilities Revenue Refunding Bonds, Series 2005,
Chelsea First Community (KBC Bank N.V. LOC),
3.75%, 7/10/07
     17,400       17,400  
Mahoning County Hospital Facilities Revenue VRDB,
Series 1997B, Forum Health Obligation Group (MBIA Insured),
3.75%, 7/10/07
     200       200  
Middletown Hospital Facilities Revenue Bonds,
Merrill Lynch P-Floats MT-239 (Merrill Lynch & Co., Inc. Gtd.), (1)
3.82%, 7/10/07
     15,495       15,495  
Ohio Housing Finance Agency Multifamily Revenue VRDB, Series 2002F,
Chambrel at Montrose (FNMA LOC),
3.75%, 7/10/07
     8,951       8,951  
Ohio State G.O. Bonds,
Citigroup ROCS Series RR-II-R-4037, (1)
3.79%, 7/10/07
     14,475       14,475  
Parma Hospital Improvement Revenue VRDB, Series 2006C,
Parma Community Hospital (JPMorgan Chase Bank LOC),
3.75%, 7/10/07
     11,300       11,300  
Summit County Port Authority Revenue Bonds,
Series 2005, Lawrence School Project (Fifth Third Bank LOC),
3.73%, 7/10/07
     3,475       3,475  
 
 
             87,561  
 
Oklahoma - 0.6%
                
Garfield County Industrial Authority PCR Refunding Bonds,
Series A, Oklahoma Gas & Electric Co. Project,
3.81%, 7/10/07
     17,200       17,200  
Oklahoma Development Finance Authority Revenue VRDB, Series 2002C,
Continuing Care Community (KBC Bank N.V. LOC),
3.96%, 7/2/07
     285       285  
Tulsa Airports Improvement Variable Rate Certificates
Series B2 (MBIA Insured), (1)
3.79%, 7/10/07
     14,190       14,190  
 
 
             31,675  
 
Oregon - 1.3%
                
Clackamas County Hospital Facility Authority Revenue Refunding VRDB,
Willamette Series A-1 (Bank of New York LOC),
3.73%, 7/10/07
     10,100       10,100  

MONEY MARKET FUNDS     20     NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Oregon - 1.3% — (continued)
                
Oregon Health, Housing, Educational and Cultural Facilities Authority Revenue VRDB,
Series 95A, Evangelical Lutheran Good Samaritan (U.S. Bank N.A. LOC),
3.78%, 7/10/07
   $ 2,800     $ 2,800  
Oregon State Department of Transportation Highway Usertax Revenue VRDB,
Series B-1, Sub Lien,
3.72%, 7/10/07
     20,400       20,400  
Oregon State Department of Transportation Highway Usertax Revenue VRDB,
Series 2007 B-1, Sub Lien,
3.72%, 7/10/07
     35,000       35,000  
Oregon State Facilities Authority Revenue VRDB,
Series 2002A, Hazelden Springbrook Project (Allied Irish Bank LOC),
3.76%, 7/10/07
     3,700       3,700  
 
 
                
 
             72,000  
 
 
                
Pennsylvania - 2.5%
                
Beaver County IDA PCR Refunding VRDB,
First Energy Generation (Barclays Bank PLC LOC),
3.90%, 7/2/07
     19,900       19,900  
Emmaus General Authority Revenue VRDB,
Local Government Revenue Bonds (Depfa Bank PLC LOC),
Subseries 1989-D24,
3.74%, 7/10/07
     10,000       10,000  
Subseries 1989-D25,
3.74%, 7/10/07
     1,600       1,600  
Pennsylvania Economic Development Financing Authority Revenue VRDB,
Gertrude Barber Center Project (National City Bank Cleveland LOC),
3.75%, 7/10/07
     5,630       5,630  
Pennsylvania Intergovernmental Cooperative Authority Special Tax Revenue
Refunding Bonds, Series 2003, Philadelphia Funding Program (AMBAC Insured),
3.75%, 7/10/07
     49,635       49,635  
Philadelphia School District TRANS, Series 2007-A
(Bank of America N.A. LOC),
4.50%, 6/27/08
     20,000       20,147  
University of Pittsburgh Revenue Notes,
Panthers Notes,
4.50%, 8/24/07
     18,500       18,521  
Westmoreland County IDA Revenue VRDB, Series C,
Retirement Redstone (Bank of Nova Scotia LOC),
3.74%, 7/10/07
     13,000       13,000  
 
 
                
 
             138,433  
 
 
                
Puerto Rico - 0.1%
                
Puerto Rico TRANS
(Bank of Nova Scotia LOC),
4.50%, 7/30/07
     6,000       6,005  
 
 
                
South Carolina - 0.7%
                
Charleston Waterworks and Sewer Revenue VRDB, Series B,
Capital Improvements,
3.73%, 7/10/07
     27,200       27,200  
Medical University Hospital Authority Revenue VRDB,
Series 2005A-5, Austin Variable Certificates (MBIA Insured), (1)
3.79%, 7/10/07
     12,230       12,230  
 
 
                
 
             39,430  
 
 
                

MONEY MARKET FUNDS      21      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Tennessee - 5.5%
                
Blount County Public Building Authority Revenue VRDB,
Local Government Public Improvement Bonds (AMBAC Insured),
Series 2004A-9-A,
3.76%, 7/2/07
   $ 6,125     $ 6,125  
Series 2004A-9-B,
3.76%, 7/2/07
     670       670  
Series A-2G,
3.95%, 7/2/07
     1,250       1,250  
Chattanooga IDB Lease Rent Revenue Bonds,
Citicorp Eagle Trust Series 20004202 (AMBAC Insured), (1)
3.80%, 7/10/07
     6,000       6,000  
Clarksville Public Building Authority G.O. VRDB,
Series 2001 (SunTrust Bank LOC),
3.74%, 7/10/07
     5,900       5,900  
Knox County Health Educational and Housing Facilities Board Revenue Bonds,
Series 2000, Volunteer Student Housing LLC Project (Allied Irish Bank LOC),
3.75%, 7/10/07
     13,220       13,220  
Metropolitan Government Nashville and Davidson County Health and Educational Facilities
Revenue Refunding Bonds, Richland Place, Inc. Project (SunTrust Bank LOC),
3.74%, 7/10/07
     1,000       1,000  
Metropolitan Government Nashville and Davidson County Health and Educational Facilities
Revenue VRDB, Series B1, Ascension,
3.72%, 8/3/07
     20,000       20,000  
Metropolitan Government Nashville and Davidson County Health and Educational Facilities
Revenue VRDB, Series 1996A, Adventist Health System (SunTrust Bank LOC),
3.73%, 7/10/07
     1,645       1,645  
Metropolitan Government Nashville and Davidson County Health and Educational Facilities
Revenue VRDB, Series 2002, Ensworth School Project (SunTrust Bank LOC),
3.74%, 7/10/07
     3,880       3,880  
Metropolitan Government Nashville and Davidson County IDB Multifamily Housing Revenue
Refunding VRDB, Series 1989, Graybrook (Societe Generale LOC),
3.78%, 7/10/07
     6,710       6,710  
Metropolitan Government Nashville and Davidson County IDB Revenue
Refunding VRDB, Series 2004, Ridgelake Apartments Project (FHLMC Gtd.),
3.77%, 7/10/07
     1,725       1,725  
Metropolitan Nashville and Davidson County Electric Revenue Bonds,
Citicorp Eagle Trust Series 984201, (1)
3.80%, 7/10/07
     4,205       4,205  
Montgomery County Public Building Authority Pooled Financing
Revenue Bonds, Tennessee County Loan Pool (Bank of America N.A. LOC),
3.88%, 7/2/07
     4,300       4,300  
Municipal Energy Acquisition Corp. Revenue Bonds,
Series 1579-2006, Putters (JPMorgan Chase and Co. LOC), (1)
3.79%, 7/10/07
     48,775       48,775  
Sevier County Public Building Authority,
Local Government Public Improvement Revenue Bonds (FSA Corp. Insured),
Series 2000 IV-B-8,
3.95%, 7/2/07
     390       390  

MONEY MARKET FUNDS      22      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Tennessee - 5.5% — (continued)
                
Sevier County Public Building Authority,
Local Government Public Improvement Revenue Bonds,
Series 2000 IV-F-1 (AMBAC Insured),
3.95%, 7/2/07
   $ 4,325     $ 4,325  
Series 2000 IV-F-2 (AMBAC Insured),
3.95%, 7/2/07
     400       400  
Shelby County Health, Educational and Housing Facilities Board Revenue VRDB,
Memphis University School Project (SunTrust Bank LOC),
3.76%, 7/10/07
     4,400       4,400  
Shelby County Health, Educational and Housing Facilities Board Revenue VRDB,
Series A-1, Gateway Projects (FNMA Gtd.),
3.75%, 7/10/07
     5,575       5,575  
Shelby County Health, Educational and Housing Facilities Board Revenue VRDB,
Series 2001, Youth Villages (Allied Irish Bank LOC),
3.76%, 7/10/07
     1,700       1,700  
Sullivan County Health and Educational and Housing Facilities Board Revenue Bonds,
Wellmont Health Systems Project (Bank of America N.A. LOC),
3.73%, 7/10/07
     27,220       27,220  
Tennergy Corp. Gas Revenue Bonds,
Series 1258Q, Putters (JPMorgan Chase and Co. LOC), (1)
3.79%, 7/10/07
     39,745       39,745  
Tennergy Corp. Gas Revenue Bonds,
STARS Trust Receipts 1260B (BNP Paribas LOC), (1)
3.79%, 7/10/07
     84,280       84,280  
Tennessee Local Development Authority Revenue BANS,
Series 2007A, Student Loan Program,
5.00%, 6/30/08
     8,000       8,107  
 
 
                
 
             301,547  
 
 
                
Texas - 9.1%
                
ABN AMRO Munitops Certificate Trust G.O., Series 2007-21
(PSF of Texas Gtd.), (1) (2)
3.70%, 2/15/08
     16,010       16,010  
Bexar County Health Facilities Development Corp. Revenue VRDB,
Healthcare Chandler Memorial Home (JPMorgan Chase Bank LOC), (1)
3.75%, 7/10/07
     2,890       2,890  
Board of Regents Revenue Financing System CP Notes,
Series 2002 (University of Texas Gtd.),
3.72%, 8/16/07
     5,000       5,000  
Board of Regents Revenue Financing System CP Notes,
Series 2002 (University of Texas Gtd.),
3.75%, 7/6/07
     24,672       24,672  
Conroe Independent School District G.O.,
ABN AMRO Munitops Certificate Trust 2002-1 (PSF of Texas Gtd.), (1)
3.79%, 7/10/07
     9,995       9,995  
Comal Independent School District Revenue VRDB, Series 1999-9,
ABN AMRO Munitops Certificate Trust (PSF of Texas Gtd.), (1)
3.77%, 7/10/07
     1,800       1,800  
Cypress-Fairbanks Independent School District,
Citicorp Eagle Trust, Series 20004304 (PSF of Texas Gtd.), (1)
3.80%, 7/10/07
     7,640       7,640  

MONEY MARKET FUNDS      23      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Texas - 9.1% — (continued)
                
Denton Independent School District Variable Rate Certificates,
Series 2004C, Piper Jaffray Funding LLC (PSF of Texas Gtd.), (1)
3.80%, 7/10/07
   $ 12,705     $ 12,705  
El Paso Housing Finance Corp. Variable Certificates, Series 2001E,
SFM Revenue (GNMA Gtd.), (1)
3.79%, 7/10/07
     7,440       7,440  
Grand Prairie Independent School District G.O. VRDB,
3.82%, 8/1/07
     33,600       33,600  
Harris County Health Facilities Development Corp. Revenue VRDB, Series A,
Methodist Hospital System,
3.85%, 7/2/07
     48,000       48,000  
Harris County Revenue TANS,
4.50%, 2/29/08
     19,000       19,105  
HFDC of Central Texas, Inc. Retirement Facilities Revenue VRDB,
Series 2006 C, Village Gleannloch Farms (Citibank N.A. LOC),
3.74%, 7/10/07
     10,250       10,250  
Houston Independent School District G.O. Revenue VRDB,
Series 2004, Schoolhouse (PSF of Texas Gtd.),
3.75%, 6/16/08
     25,000       25,000  
Irving Independent School District Revenue VRDB,
Series 2004A (PSF of Texas Gtd.),
3.82%, 8/1/07
     15,000       15,000  
Keller Independent School District G.O.,
Series 2001-26, ABN AMRO Munitops Certificate Trust (PSF of Texas Gtd.), (1)
3.77%, 7/10/07
     6,350       6,350  
La Marque Independent School District G.O.,
Series 2003, Smith Barney ROCS 1058 (PSF of Texas Gtd.), (1)
3.79%, 7/10/07
     8,045       8,045  
Leander Independent School District G.O.,
ABN AMRO Munitops Certificate Trust Series 2002-16 (PSF of Texas Gtd.), (1)
3.79%, 7/10/07
     5,500       5,500  
Lower Colorado River Authority CP Notes,
Series A,
3.75%, 8/7/07
     16,300       16,300  
Lufkin Health Facilities Development Corp. Revenue Refunding VRDB,
Memorial Health System East Texas (Wachovia Bank N.A. LOC),
3.95%, 7/2/07
     3,000       3,000  
North Texas Tollway Authority Revenue VRDB,
Series 2005C, Dallas North Tollway System (FGIC Insured),
3.77%, 7/10/07
     12,900       12,900  
Northside Independent School District School Building Bonds,
Series 2002A, ABN AMRO Munitops Certificate Trust 2003-28 (PSF of Texas Gtd.), (1)
3.79%, 7/10/07
     9,870       9,870  
Nueces River Authority Water Supply,
Eagle Trust Series 97430, Corpus Christi Lake Project (FSA Corp. Insured), (1)
3.80%, 7/10/07
     16,600       16,600  
Richmond Higher Education Corp. Revenue VRDB,
Series 2003A, Bayou University Project (AMBAC Insured),
3.76%, 7/10/07
     5,800       5,800  

MONEY MARKET FUNDS      24      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Texas - 9.1% — (continued)
                
Rockwall Independent School District G.O. VRDB,
Series 2006, School Building (PSF of Texas Gtd.),
3.75%, 7/10/07
   $ 16,000     $ 16,000  
San Antonio Independent School District G.O., Series 2001B,
ABN AMRO Munitops Certificate Trust 2001-29 (PSF of Texas Gtd.), (1)
3.79%, 7/10/07
     19,995       19,995  
State of Texas G.O. Bonds,
Series 2006B, Multi-Mode-Mobility,
3.52%, 9/5/07
     48,000       48,000  
State of Texas TRANS, Series 2006,
4.50%, 8/31/07
     20,500       20,531  
Tarrant County Health Facilities Development Corp. Revenue VRDB,
Series 1996-A, Adventist Health System Sunbelt (SunTrust Bank LOC),
3.73%, 7/10/07
     5,215       5,215  
Tarrant County Housing Finance Corp. Revenue Bonds,
Series 2003, Gateway Arlington Apartments Project (FNMA Gtd.),
3.75%, 7/10/07
     8,545       8,545  
Texas City Industrial Development Corp.,
Wachovia MERLOTS Series 2000-A34, Arco Pipeline Project, (1)
3.79%, 7/10/07
     3,865       3,865  
Texas State Department of Housing and Community Affairs Revenue VRDB,
Series 2003, NHP Foundation, Asmara Project (FHLMC LOC),
3.80%, 7/10/07
     3,360       3,360  
Texas State Transportation Commission Revenue Bonds,
Putters Series 1297, (1)
3.79%, 7/10/07
     26,030       26,030  
Texas State Transportation Commission Revenue VRDB,
Series B, First Tier,
3.74%, 7/10/07
     9,400       9,400  
Texas University Revenue Bonds, Series 2003B,
Wachovia MERLOTS Series 2003-B14, (1)
3.79%, 7/10/07
     7,775       7,775  
Texas Water Development Board Revenue Refunding VRDB,
Sub Lien Series 2007-A,
3.89%, 7/2/07
     7,200       7,200  
 
 
                
 
             499,388  
 
 
                
Utah - 1.6%
                
Intermountain Power Agency Supply Revenue Bonds,
Citicorp Eagle Trust CR-331 (FSA Corp. Insured), (1)
3.80%, 7/10/07
     3,300       3,300  
St. George Housing Revenue VRDB, Series A,
OK Foundation Projects (FNMA Gtd.),
3.74%, 7/10/07
     10,490       10,490  
Utah Transit Authority Sales Tax Revenue VRDB,
Subseries B (Fortis Bank LOC),
3.85%, 7/2/07
     12,200       12,200  

MONEY MARKET FUNDS      25      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Utah - 1.6% — (continued)
                
Utah Water Finance Agency Revenue VRDB
(AMBAC Insured),
                
Series A-1,
3.76%, 7/10/07
   $ 10,945     $ 10,945  
Series A-12,
3.76%, 7/10/07
     4,600       4,600  
Series A-20,
3.79%, 7/10/07
     5,000       5,000  
Series 2002A2,
3.79%, 7/10/07
     3,400       3,400  
Series 2002A5,
3.79%, 7/10/07
     7,350       7,350  
Series 2003A7,
3.79%, 7/10/07
     3,300       3,300  
Series 2004A9,
3.79%, 7/10/07
     15,000       15,000  
Series 2005A13,
3.76%, 7/10/07
     10,000       10,000  
 
 
                
 
             85,585  
 
 
                
Virginia - 1.3%
                
Alexandria IDA Revenue Refunding VRDB,
Series 2005, Goodwin House (Wachovia Bank N.A. LOC),
3.86%, 7/2/07
     10,500       10,500  
Alexandria IDA Revenue Refunding VRDB,
Series 2005, Institute of Defense (AMBAC Insured),
3.78%, 7/10/07
     5,000       5,000  
Chesapeake Bay Bridge and Tunnel District Revenue Bonds,
Wachovia MERLOTS Series 2003A39 (MBIA Insured), (1)
3.79%, 7/10/07
     6,045       6,045  
Fairfax County Educational Facilities Revenue Bonds,
Series 2003, The Madeira School (Bank of America N.A. LOC),
3.79%, 7/10/07
     13,200       13,200  
Hampton Redevelopment and Multifamily Housing Authority Revenue Refunding VRDB,
Hampton Center Apartments Project (FHLMC Insured),
3.74%, 7/10/07
     14,510       14,510  
Harrisonburg IDA Revenue Refunding Bonds,
Series B, Mennonite Retirement (Citibank N.A. LOC),
3.74%, 7/10/07
     11,760       11,760  
Newport News Redevelopment and Multifamily Housing Revenue Refunding VRDB,
Series 2001, Springhouse Apartments Project (FHLMC Gtd.),
3.75%, 7/10/07
     13,200       13,200  
 
 
                
 
             74,215  
 
 
                
Washington - 4.4%
                
Bremerton County Revenue Bonds, Series 2003,
Kitsap Regional Conference Center Parking (Bank of America N.A. LOC),
3.75%, 7/10/07
     2,375       2,375  
Energy Northwest Washington Enhanced Return Revenue Bonds,
Merrill P-Floats EC-1007, (1)
3.82%, 7/10/07
     11,145       11,145  
King County G.O. Limited BANS, Series A 2006,
4.00%, 11/1/07
     3,415       3,420  
King County G.O. Limited BANS, Series B 2006,
4.00%, 11/1/07
     7,075       7,085  

MONEY MARKET FUNDS      26      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Washington - 4.4% — (continued)
                
King County Sewer Revenue VRDB,
Junior Lien Series 2006A (MBIA Insured),
3.72%, 7/10/07
   $ 8,400     $ 8,400  
Seattle Light and Power Revenue Refunding Bonds
(FSA Corp. Insured), (1)
Smith Barney ROCS II-R Series 47,
3.79%, 7/10/07
     17,920       17,920  
Smith Barney ROCS II-R Series 48,
3.79%, 7/10/07
     5,995       5,995  
Washington State G.O., Series 1993B,
Smith Barney Soc Gen Trust SGB-13, (1)
3.78%, 7/10/07
     20,600       20,600  
Washington State G.O., Series 2000B,
Eagle Trust Series 20004701, (1)
3.80%, 7/10/07
     10,365       10,365  
Washington State G.O., Series 2004D,
ABN AMRO Munitops Certificate Trust Series 2004-13 (AMBAC Insured), (1)
3.79%, 7/10/07
     15,000       15,000  
Washington State G.O., Wachovia MERLOTS Series 2001-A54, (1)
3.79%, 7/10/07
     4,095       4,095  
Washington State Health & Education,
ABN AMRO Munitops Certificate Trust 2006-90, (1) (2)
3.78%, 7/10/07
     11,050       11,050  
Washington State Healthcare Facilities Authority Revenue VRDB,
Seattle Cancer Care (KeyBank N.A. LOC),
3.76%, 7/10/07
     10,585       10,585  
Washington State Healthcare Facilities Authority Revenue VRDB, Series 2003,
Association of Community and Migrant Health Centers (U.S. Bank N.A. LOC),
3.80%, 7/10/07
     4,255       4,255  
Washington State Higher Education Facilities Authority Revenue Refunding VRDB,
Series 2007, St. Martins University Project (KeyBank N.A. LOC),
3.80%, 7/10/07
     9,000       9,000  
Washington State Higher Education Facilities Authority Revenue VRDB,
Series 2003A, Cornish College of Arts Project (Bank of America N.A. LOC),
3.80%, 7/10/07
     2,100       2,100  
Washington State Housing Finance Commission Nonprofit Housing Revenue
Refunding VRDB, Series 1997, Panorama City Project (KeyBank N.A. LOC),
3.94%, 7/2/07
     8,365       8,365  
Washington State Housing Finance Commission Nonprofit Housing Revenue VRDB,
Series 2000, Living Care Centers Project (Wells Fargo Bank N.A. LOC),
3.75%, 7/10/07
     8,210       8,210  
Washington State Housing Finance Commission Nonprofit Revenue VRDB,
Bertschi School Project (Bank of America N.A. LOC),
3.76%, 7/10/07
     500       500  
Washington State Housing Finance Commission Nonprofit Revenue VRDB,
Series C, Skyline at First Hill Project (Bank of America N.A. LOC),
3.73%, 7/10/07
     41,000       41,000  
Washington State Housing Finance Commission Nonprofit Revenue VRDB,
Series 2000, University Prep Academy Project (Bank of America N.A. LOC),
3.78%, 7/10/07
     4,000       4,000  

MONEY MARKET FUNDS      27      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Washington - 4.4% — (continued)
                
Washington State Housing Finance Commission Nonprofit Revenue VRDB,
Series 2005, Seattle Art Museum Project (Allied Irish Bank LOC),
3.87%, 7/2/07
   $ 21,600     $ 21,600  
Washington State Motor Vehicle Fuel Tax G.O., Series 2005B,
ABN AMRO Munitops Certificate Trust Series 2005-51 (FSA Corp. Insured), (1)
3.79%, 7/10/07
     13,040       13,040  
 
 
                
 
             240,105  
 
 
                
West Virginia - 0.8%
                
Cabell County Revenue VRDB,
Series 2001, Huntington YMCA (JPMorgan Chase Bank LOC),
4.10%, 7/10/07
     3,160       3,160  
Monongalia County Building Commission Revenue Refunding Bonds,
Series 2005B, Monongalia General Hospital Project (JPMorgan Chase Bank LOC),
3.74%, 7/10/07
     13,050       13,050  
West Virginia State Hospital Finance Authority Revenue Refunding VRDB, Series 2003A1,
Pallottine Health Services, Inc. Project (Fifth Third Bank LOC),
3.74%, 7/10/07
     27,480       27,480  
 
 
                
 
             43,690  
 
 
                
Wisconsin - 2.4%
                
Milwaukee School RANS,
4.50%, 8/30/07
     13,000       13,019  
State of Wisconsin Operating Notes, Series 2007,
4.50%, 6/16/08
     21,500       21,651  
Wisconsin Health and Educational Facilities Authority Revenue Bonds, Series 1997,
Froedtert Memorial Lutheran Hospital Trust (Marshall & Ilsley Bank LOC),
3.76%, 7/10/07
     12,277       12,277  
Wisconsin Health and Educational Facilities Authority Revenue Bonds,
Series 2002, Meriter Hospital, Inc. Project (Marshall & Ilsley Bank LOC),
3.96%, 7/2/07
     1,400       1,400  
Wisconsin Health and Educational Facilities Authority Revenue Bonds,
Series 2003, Mequon Jewish Project (JPMorgan Chase Bank LOC),
3.78%, 7/10/07
     3,505       3,505  
Wisconsin Health and Educational Facilities Authority Revenue Bonds,
Series 2004C, EastCastle Place, Inc. (LaSalle Bank N.A. LOC),
3.73%, 7/10/07
     3,020       3,020  
Wisconsin Health and Educational Facilities Authority Revenue Bonds,
Series B, Lindengrove, Inc. (JPMorgan Chase Bank LOC),
3.75%, 7/10/07
     6,835       6,835  
Wisconsin Health and Educational Facilities Authority Revenue Bonds,
St. Joseph Community Hospital Project (Marshall & Ilsley Bank LOC),
3.76%, 7/10/07
     6,590       6,590  
Wisconsin Health and Educational Facilities Authority Revenue VRDB,
Series 2001, Riverview Hospital Association (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     4,625       4,625  
Wisconsin Health and Educational Facilities Authority Revenue VRDB,
Series 2002A, Capital Access Pool, Vernon Memorial Hospital (U.S. Bank N.A. LOC),
3.96%, 7/2/07
     4,665       4,665  
Wisconsin Health and Educational Facilities Authority Revenue VRDB,
Series 2002D, Pooled Financing Program (Marshall & Ilsley Bank LOC),
3.88%, 7/10/07
     665       665  

MONEY MARKET FUNDS      28      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL INVESTMENTS - 101.8% — CONTINUED
                
Wisconsin - 2.4% — (continued)
                
Wisconsin School Districts Cash Flow Management Program COPS,
Series 2006-A1,
4.50%, 9/19/07
   $ 5,000     $ 5,010  
Wisconsin School Districts Cash Flow Management Program COPS,
Series 2006-B,
4.25%, 11/1/07
     10,000       10,062  
Wisconsin State Health and Educational Facilities Authority Revenue Bonds,
Beaver Dam Community Hospital Project (U.S. Bank N.A. LOC),
3.74%, 7/10/07
     10,000       10,000  
Wisconsin State Health and Educational Facilities Authority Revenue Bonds,
Series 2003, Mercy Health Systems (Marshall & Ilsley Bank LOC),
3.75%, 7/10/07
     6,900       6,900  
Wisconsin State Health and Educational Facilities Authority Revenue VRDB,
Series 2005, National Regency New Berlin Project (Marshall & Ilsley Bank LOC),
3.96%, 7/2/07
     6,740       6,740  
Wisconsin State Health and Educational Facilities Authority Revenue VRDB,
Series 2005C, Froedtert and Community Health (AMBAC Insured),
3.73%, 7/10/07
     13,300       13,300  
 
 
                
 
             130,264  
 
 
                
Multiple States Pooled Securities - 0.7%
                
BB&T Municipal Trust Revenue Bonds, Series 1003
(Branch Banking & Trust Co. LOC), (1)
3.82%, 7/10/07
     18,680       18,680  
Lehman Brothers Pooled Municipal Trust Receipts,
Floating Rate Trust Receipts P10 Regulation D (MBIA Insured), (1)
3.77%, 7/10/07
     21,435       21,435  
 
 
                
 
             40,115  
 
 
                
Total Municipal Investments (Cost $5,581,730)
             5,581,730  
 
 
                
                 
    NUMBER OF   VALUE
    SHARES   (000S)
 
INVESTMENT COMPANIES - 0.1%
                
AIM Tax-Free Cash Reserve Portfolio
     3,437,664       3,438  
Dreyfus Tax-Exempt Cash Management Fund
     61,897       62  
Merrill Lynch Institutional Tax-Exempt Fund
     285,000       285  
 
Total Investment Companies (Cost $3,785)
             3,785  
 
 
                
Total Investments - 101.9% (Cost $5,585,515) (3)
             5,585,515  
 
Liabilities less Other Assets — (1.9)%
             (105,273 )
 
NET ASSETS - 100.0%
           $ 5,480,242  
 
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933.
These securities may not be publicly sold without registration under the Securities Act of 1933.

MONEY MARKET FUNDS      29      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
 
(2)   Restricted security that has been deemed illiquid. At June 30, 2007, the value of these restricted illiquid securities amounted to approximately $106,545,000 or 1.9% of net assets. Additional information on these restricted illiquid securities is as follows:
             
    ACQUISITION AND   ACQUISITION
    ENFORCEABLE   COST
SECURITY   DATE   (000S)
 
Park Creek Metropolitan District Revenue Bonds (CO),
3.68%, 2/14/08
   2/15/07   $ 36,995  
Springfield Election Revenue Bonds (IL),
3.79%, 7/10/07
   4/26/07     14,995  
Omaha Power District Electric Revenue Bonds (NE),
3.79%, 7/10/07
   4/19/07     27,495  
ABN AMRO Munitops Certificate Trust G.O. (TX),
3.70%, 2/15/08
   2/27/07 - 3/8/07     16,010  
Washington State Health & Education (WA),
3.78%, 7/10/07
   1/18/07     11,050  
 
 
(3)   The cost for federal income tax purposes was $5,585,515.
At June 30, 2007, the industry sectors for the Municipal Money Market Fund were:
         
INDUSTRY SECTOR   % OF NET ASSETS
 
Air, Water Services & Solid Waste Management
     5.4 %
Educational Services
     15.2 %
Electric Services, Gas and Combined Utilities
     9.3 %
Executive, Legislative & General Government
     28.8 %
General Medical & Surgical, Nursing and Personal Care
     9.3 %
Health Services and Residential Care
     10.7 %
Urban & Community Development, Housing Programs & Social Services
     5.0 %
All other sectors less than 5%
     16.3 %
 
Total
     100.0 %

MONEY MARKET FUNDS      30      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

ABBREVIATIONS AND OTHER INFORMATION
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the net assets.
Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS
ABAG   Association of Bay Area Governments
AMBAC   American Municipal Bond Assurance Corporation
AMT   Alternative Minimum Tax
BANS   Bond Anticipation Notes
COPS   Certificates of Participation
CP   Commercial Paper
EDA   Economic Development Authority
FGIC   Financial Guaranty Insurance Corporation
FHLB   Federal Home Loan Bank
FHLMC   Freddie Mac
FNMA   Federal National Mortgage Association
FSA   Financial Security Assurance
GNMA   Government National Mortgage Association
G.O.   General Obligation
Gtd.   Guaranteed
IDA   Industrial Development Authority
IDB   Industrial Development Board
IDR   Industrial Development Revenue
LOC   Letter of Credit
MBIA   Municipal Bond Insurance Association
MERLOTS   Municipal Exempt Receipts Liquidity Optional Tender
PCR   Pollution Control Revenue
P-Floats   Puttable Floating Rate Securities
PSF   Permanent School Fund

MONEY MARKET FUNDS      31      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

ABBREVIATIONS AND OTHER INFORMATION
MUNICIPAL MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
RANS   Revenue Anticipation Notes
ROCS   Reset Option Certificates
SFM   Single Family Mortgage
SGB   Societe Generale Bank
Soc Gen   Societe Generale
STARS   Short Term Adjustable Rate Securities
TANS   Tax Anticipation Notes
TRANS   Tax and Revenue Anticipation Notes
TRB   Tax Revenue Bonds
TSB   Trustee Savings Bank
VRDB   Variable Rate Demand Bonds

MONEY MARKET FUNDS      32      NORTHERN FUNDS QUARTERLY REPORT

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
U.S. GOVERNMENT MONEY MARKET FUND
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
U.S. GOVERNMENT AGENCIES - 78.8% (1)
                
Fannie Mae - 19.7%
                
FNMA Bonds,
4.25%, 9/28/07
   $ 1,292     $ 1,289  
3.38%, 11/9/07
     10,485       10,417  
3.88%, 2/1/08
     3,205       3,179  
FNMA Notes,
4.75%, 8/3/07
     4,815       4,812  
3.00%, 8/15/07
     12,445       12,411  
4.38%, 8/17/07
     1,000       999  
3.38%, 9/7/07
     1,036       1,032  
5.00%, 9/14/07
     6,950       6,944  
3.70%, 11/1/07
     1,000       995  
4.63%, 1/15/08
     2,420       2,412  
FNMA Discount Notes,
5.19%, 7/2/07
     6,869       6,868  
5.17%, 8/1/07
     11,501       11,450  
5.19%, 8/1/07
     14,473       14,410  
5.20%, 8/1/07
     10,000       9,957  
5.22%, 8/1/07
     5,000       4,978  
5.16%, 9/4/07
     16,564       16,410  
4.89%, 10/26/07
     2,989       2,941  
5.16%, 9/17/07
     9,550       9,443  
5.07%, 12/7/07
     5,000       4,888  
5.11%, 12/28/07
     6,093       5,937  
FNMA FRN,
5.20%, 9/28/07
     5,000       4,999  
 
 
                
 
             136,771  
 
 
                
Federal Farm Credit Bank - 9.7%
                
FFCB Discount Note,
4.83%, 11/2/07
     5,000       4,917  
FFCB FRN,
5.16%, 7/1/07
     12,500       12,495  
5.19%, 7/12/07
     5,000       5,000  
5.20%, 7/19/07
     15,000       14,999  
5.18%, 7/22/07
     5,000       4,999  
5.19%, 7/25/07
     10,000       9,999  
5.19%, 7/27/07
     5,000       5,000  
5.18%, 7/31/07
     5,000       5,000  
5.21%, 8/28/07
     5,000       4,998  
 
 
                
 
             67,407  
 
 
                
Federal Home Loan Bank - 21.0%
                
FHLB Bonds,
4.63%, 7/11/07
     5,000       4,999  
3.13%, 8/15/07
     4,500       4,488  
4.75%, 8/17/07
     5,705       5,701  
5.25%, 9/5/07
     5,000       5,000  
4.63%, 10/24/07
     1,500       1,497  
5.25%, 11/2/07
     5,000       5,000  
5.13%, 2/12/08
     5,000       4,996  
FHLB Discount Note,
4.80%, 7/2/07
     50,000       49,993  
FHLB FRN,
5.18%, 7/2/07
     5,000       5,000  
5.18%, 7/6/07
     15,000       15,000  
5.19%, 7/10/07
     10,000       9,998  
5.20%, 7/24/07
     10,000       9,996  
5.18%, 8/31/07
     9,000       8,996  
FHLB Note,
4.63%, 7/18/07
     14,600       14,596  
 
 
                
 
             145,260  
 
 
                
MONEY MARKET FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
U.S. GOVERNMENT MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
U.S. GOVERNMENT AGENCIES - 78.8% (1) — CONTINUED
                
Freddie Mac - 22.5%
                
FHLMC Discount Notes,
5.07%, 7/23/07
   $ 4,238     $ 4,225  
5.09%, 8/31/07
     5,000       4,957  
5.10%, 9/20/07
     15,000       14,828  
5.09%, 9/21/07
     1,510       1,492  
4.89%, 10/16/07
     7,445       7,337  
5.12%, 12/10/07
     15,000       14,655  
FHLMC FRN,
5.22%, 7/6/07
     24,000       24,000  
5.17%, 7/27/07
     25,000       24,998  
5.22%, 9/17/07
     35,000       34,998  
FHLMC Notes,
4.00%, 8/10/07
     1,300       1,298  
4.35%, 8/15/07
     2,800       2,796  
4.00%, 8/17/07
     3,710       3,704  
4.63%, 10/5/07
     5,000       4,992  
4.71%, 10/11/07
     1,500       1,498  
4.38%, 11/16/07
     10,000       9,966  
 
 
                
 
             155,744  
 
 
                
Overseas Private Investment Corp. - 5.9%
                
Participation Certificates,
                
Series 518-2002-406-IG,
5.35%, 7/4/07
     23,623       23,623  
Series 1995-197,
5.35%, 7/4/07
     17,168       17,168  
 
 
                
 
             40,791  
 
 
                
Total U.S. Government Agencies (Cost $545,973)
             545,973  
 
                
 
 
                
 
                
REPURCHASE AGREEMENTS - 25.5%
                
(Colld. at a minimum of 102%) (2)
                
Joint Repurchase Agreements - 7.2%
                
Morgan Stanley & Co., Inc., dated 6/29/07,
repurchase price $22,247
4.35%, 7/2/07
     22,239       22,239  
Societe Generale — New York Branch, dated 6/29/07,
repurchase price $11,124
4.40%, 7/2/07
     11,120       11,120  
UBS Securiites LLC, dated 6/29/07,
repurchase price $16,685
4.40%, 7/2/07
     16,679       16,679  
 
 
                
 
             50,038  
 
 
                
(Colld. at a minimum of 102%) (3)
                
Repurchase Agreements - 18.3%
                
Citigroup Global Markets, Inc., dated 6/29/07,
repurchase price $25,011
5.40%, 7/2/07
     25,000       25,000  
Deutsche Bank Securities, Inc., dated 6/29/07,
repurchase price $50,022
5.36%, 7/2/07
     50,000       50,000  
Lehman Brothers, Inc., dated 6/29/07,
repurchase price $51,539
5.39%, 7/2/07
     51,516       51,516  
 
 
                
 
             126,516  
 
 
                
Total Repurchase Agreements (Cost $176,554)
             176,554  
 
 
                
 
                
Total Investments - 104.3% (Cost $722,527) (4)
             722,527  
 
 
                
Liabilities less Other Assets — (4.3)%
             (29,437 )
 
 
                
NET ASSETS - 100.0%
           $ 693,090  
 
 
                
MONEY MARKET FUNDS     2     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
U.S. GOVERNMENT MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
 
(1)   The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.
 
(2)   The nature and terms of the collateral received for the joint repurchase agreements are as follows:
                 
    COUPON   MATURITY
NAME   RATES   DATES
 
U.S. Treasury Bonds
     2.00% - 7.50 %     11/15/16 - 4/15/29  
U.S. Treasury Notes
     1.88% - 2.50 %     1/15/14 - 1/15/17  
 
(3)   The nature and terms of the collateral received for the repurchase agreements are as follows:
                 
    COUPON   MATURITY
NAME   RATES   DATES
 
FHLMC
     0.00 %     5/15/37  
FNMA
     5.00% - 7.50 %     4/1/17 - 6/1/37  
 
(4)   The cost for federal income tax purposes was $722,527.
Percentages shown based on Net Assets.
MONEY MARKET FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
ABBREVIATIONS AND OTHER INFORMATION
U.S. GOVERNMENT MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the net assets.
Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities.
Interest rates are reset daily and interest is payable monthly with respect to all joint repurchase agreements.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS
Colld.     Collateralized
FFCB     Federal Farm Credit Bank
FHLB     Federal Home Loan Bank
FHLMC     Freddie Mac
FNMA     Federal National Mortgage Association
FRN     Floating Rate Notes
MONEY MARKET FUNDS     4     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
U.S. GOVERNMENT SELECT MONEY MARKET FUND
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
U.S. GOVERNMENT AGENCIES - 99.9% (1)
                
Federal Farm Credit Bank - 25.7%
                
FFCB Bond,
2.63%, 9/17/07
   $ 4,000     $ 3,978  
FFCB Discount Note,
4.89%, 10/15/07
     13,450       13,256  
FFCB FRN,
5.16%, 7/1/07
     30,000       29,989  
5.18%, 7/1/07
     30,000       30,000  
5.20%, 7/4/07
     10,000       10,000  
5.19%, 7/12/07
     15,000       14,999  
5.20%, 7/19/07
     25,000       24,999  
5.18%, 7/22/07
     20,000       19,997  
5.18%, 7/24/07
     10,000       10,000  
5.19%, 7/25/07
     20,000       19,999  
5.19%, 7/27/07
     10,000       9,999  
5.18%, 7/31/07
     20,000       19,999  
5.21%, 8/28/07
     10,000       9,996  
5.24%, 9/19/07
     25,000       24,999  
 
 
                
 
             242,210  
 
 
                
Federal Home Loan Bank - 73.5%
                
FHLB Bonds,
4.63%, 7/11/07
     10,000       9,998  
4.00%, 7/13/07
     11,000       10,996  
4.63%, 8/8/07
     5,310       5,306  
3.13%, 8/15/07
     19,825       19,774  
6.50%, 8/15/07
     11,170       11,186  
4.75%, 8/17/07
     8,130       8,125  
4.88%, 8/22/07
     9,500       9,494  
5.25%, 9/5/07
     10,000       10,000  
4.25%, 9/14/07
     1,220       1,218  
4.13%, 10/26/07
     20,000       19,928  
5.25%, 11/2/07
     15,000       14,999  
5.25%, 11/5/07
     7,000       6,999  
5.25%, 11/16/07
     25,000       24,998  
3.75%, 12/21/07
     10,000       9,930  
2.50%, 12/28/07
     1,250       1,234  
5.25%, 1/29/08
     10,000       10,000  
5.13%, 2/12/08
     5,000       4,996  
5.13%, 2/28/08
     5,000       4,995  
5.10%, 3/6/08
     6,000       5,994  
2.75%, 3/14/08
     9,235       9,081  
FHLB Discount Notes,
4.80%, 7/2/07
     111,539       111,524  
4.82%, 7/2/07
     50,000       49,993  
5.10%, 7/3/07
     21,494       21,488  
5.08%, 7/5/07
     17,529       17,519  
5.13%, 7/5/07
     11,800       11,793  
5.15%, 7/6/07
     25,236       25,218  
5.15%, 7/9/07
     18,500       18,479  
5.14%, 7/11/07
     6,299       6,290  
5.14%, 7/13/07
     3,704       3,698  
5.15%, 7/13/07
     6,162       6,151  
5.15%, 7/18/07
     18,757       18,711  
5.16%, 7/18/07
     40,300       40,202  
5.16%, 7/25/07
     20,000       19,931  
4.86%, 10/30/07
     3,671       3,611  
5.09%, 12/12/07
     15,000       14,652  
MONEY MARKET FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
SCHEDULE OF INVESTMENTS
U.S. GOVERNMENT SELECT MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
U.S. GOVERNMENT AGENCIES - 99.9% (1) — CONTINUED
                
Federal Home Loan Bank - 73.5% — (continued)
                
FHLB FRN,
5.18%, 7/2/07
   $ 10,000     $ 10,000  
5.18%, 7/6/07
     35,000       35,000  
5.19%, 7/10/07
     25,000       24,994  
5.20%, 7/24/07
     15,000       14,994  
FHLB Notes,
4.63%, 7/18/07
     20,000       19,994  
3.75%, 8/15/07
     1,030       1,028  
3.88%, 9/14/07
     4,210       4,198  
3.25%, 12/17/07
     5,750       5,697  
5.25%, 2/13/08
     10,000       9,995  
 
 
                
 
             694,411  
 
 
                
Tennessee Valley Authority - 0.7%
                
Tennessee Valley Authority Discount Note,
5.15%, 8/16/07
     7,050       7,004  
 
 
                
 
             7,004  
 
 
                
 
 
                
Total U.S. Government Agencies (Cost $943,625)
             943,625  
 
 
                
 
Total Investments - 99.9% (Cost $943,625) (2)
             943,625  
 
 
                
Other Assets less Liabilities - 0.1%
             649  
 
 
                
NET ASSETS - 100.0%
           $ 944,274  
 
 
(1)   The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.
 
(2)   The cost for federal income tax purposes was $943,625.
Percentages shown based on Net Assets.
MONEY MARKET FUNDS     2     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MONEY MARKET FUNDS
ABBREVIATIONS AND OTHER INFORMATION
U.S. GOVERNMENT SELECT MONEY MARKET FUND (continued)
JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the net assets.
Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS
FFCB       Federal Farm Credit Bank
FHLB       Federal Home Loan Bank
FRN      Floating Rate Notes
MONEY MARKET FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
ASSET-BACKED SECURITIES - 5.3%
                
Automotive - 0.4%
                
AmeriCredit Automobile Receivables
Trust, Series 2005-DA, Class A4,
5.02%, 11/6/12
   $ 100     $ 99  
Capital One Prime Auto Receivables
Trust, Series 2006-2, Class A4,
4.94%, 7/15/12
     100       99  
Daimier Chrysler Auto Trust,
Series 2006-C, Class A3,
5.02%, 7/8/10
     250       249  
Ford Credit Auto Owner Trust,
Series 2006-A, Class A4,
5.07%, 12/15/10
     200       199  
Household Automotive Trust,
Series 2005-3, Class A4,
4.94%, 11/19/12
     240       239  
Household Automotive Trust,
Series 2006-3, Class A3,
5.28%, 9/19/11
     100       100  
 
 
                
 
             985  
 
 
                
Commercial Mortgage Services - 4.5%
                
Banc of America Commercial Mortgage,
Inc., Series 2002-2, Class A3,
5.12%, 7/11/43
     190       186  
Banc of America Commercial Mortgage,
Inc., Series 2004-5, Class A3,
4.56%, 11/10/41
     750       721  
Banc of America Commercial Mortgage,
Inc., Series 2007-1, Class A4,
5.45%, 1/15/49
     330       319  
Bear Stearns Commercial Mortgage
Securities, Inc., Series 2003-T10,
Class A2,
4.74%, 3/13/40
     375       358  
Bear Stearns Commercial Mortgage
Securities, Series 2003-PWR2,
Class A4,
5.19%, 5/11/39
     250       243  
Chase Funding Mortgage Loan Asset-
Backed Certificates, Series 2003-6,
Class A7,
4.28%, 9/25/33
     273       259  
Chase Manhattan Bank-First Union
National Bank, Series 1999-1, Class A2,
7.44%, 8/15/31
     330       341  
Citigroup/Deutsche Bank Commercial
Mortgage Trust, Series 2005-CD1,
Class A4,
5.26%, 7/15/44
     500       484  
Commercial Mortgage Acceptance Corp.,
Series 1999-C1, Class A2,
7.03%, 6/15/31
     125       128  
Credit Suisse Mortgage Capital
Certificates, Series 2006-C1, Class A4,
5.61%, 2/15/39
     500       490  
CS First Boston Mortgage Securities
Corp., Series 2002-CKS4, Class A2,
5.18%, 11/15/36
     440       430  
CS First Boston Mortgage Securities
Corp., Series 2003-C3, Class A5,
3.94%, 5/15/38
     300       274  
First Union National Bank Commercial
Mortgage, Series 2002-C1, Class A2,
6.14%, 2/12/34
     500       510  
GE Capital Commercial Mortgage Corp.,
Series 2001-2, Class A4,
6.29%, 8/11/33
     400       409  
GMAC Commercial Mortgage Securities,
Inc., Series 2000-C3, Class A2,
6.96%, 9/15/35
     400       416  
Greenwich Capital Commercial Funding
Corp., Series 2004-GG1, Class A7,
5.32%, 6/10/36
     500       489  
Greenwich Capital Commercial Funding
Corp., Series 2005-GG3, Class A2,
4.31%, 8/10/42
     300       292  
GS Mortgage Securities Corp. II,
Series 2005-GG4, Class A4,
4.76%, 7/10/39
     500       467  
JP Morgan Chase Commercial Mortgage
Securities Corp., Series 2003-C1,
Class A1,
4.28%, 1/12/37
     57       56  
JP Morgan Chase Commercial Mortgage
Securities Corp., Series 2005-LDP1,
Class A2,
4.63%, 3/15/46
     335       328  
JP Morgan Chase Commercial Mortgage
Securities Corp., Series 2005-LDP5,
Class A4,
5.18%, 12/15/44
     500       483  
fixed income funds       1       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
ASSET-BACKED SECURITIES - 5.3% – CONTINUED
                
Commercial Mortgage Services - 4.5% – (continued)
                
JP Morgan Chase Commercial Mortgage
Securities Corp., Series 2006-LDP9,
Class A3,
5.34%, 5/15/47
   $ 500     $ 479  
JP Morgan Chase Commercial Mortgage
Securities Corp., Series 2007-LDPX,
Class A3,
5.42%, 1/15/49
     500       483  
LB-UBS Commercial Mortgage Trust,
Series 2004-C1, Class A4,
4.57%, 1/15/31
     540       506  
LB-UBS Commercial Mortgage Trust,
Series 2006-C7, Class A3,
5.35%, 11/15/38
     500       481  
Merrill Lynch Mortgage Trust,
Series 2004-KEY2, Class A2,
4.17%, 8/12/39
     300       291  
Merrill Lynch/Countrywide Commercial
Mortgage Trust, Series 2007-6,
Class A4,
5.49%, 3/12/51
     500       485  
Morgan Stanley Capital I,
Series 2006-HQ9, Class A4,
5.73%, 7/12/44
     594       588  
Wachovia Bank Commercial Mortgage
Trust, Series 2005-C17, Class A4,
5.08%, 3/15/42
     500       477  
Wachovia Bank Commercial Mortgage
Trust, Series 2006-C28, Class A4,
5.57%, 10/15/48
     500       489  
 
 
                
 
             11,962  
 
 
                
Credit Card - 0.3%
                
Bank One Issuance Trust,
Series 2004-A6, Class A6,
3.94%, 4/16/12
     154       150  
Capital One Multi-Asset Execution Trust,
Series 2005-A3, Class A3,
4.05%, 3/15/13
     200       193  
Chase Issuance Trust, Series 2005-A4,
Class A4,
4.23%, 1/15/13
     100       97  
Citibank Credit Card Issuance Trust,
Series 2003-A10, Class A10,
4.75%, 12/10/15
     130       124  
Citibank Credit Card Issuance Trust,
Series 2006-A4, Class A4,
5.45%, 5/10/13
     100       100  
MBNA Credit Card Master Note Trust,
Series 2006-A1, Class A1,
4.90%, 7/15/11
     100       100  
 
 
                
 
             764  
 
 
                
Utilities - 0.1%
                
Countrywide Asset-Backed Certificates,
Series 2005-11, Class AF3,
4.78%, 2/25/36
     150       147  
Detroit Edison Securitization Funding LLC,
Series 2001-1, Class A5,
6.42%, 3/1/15
     100       104  
 
 
                
 
             251  
 
 
                
Total Asset-Backed Securities
                
 
 
                
(Cost $14,292)
             13,962  
 
CORPORATE BONDS - 15.2%
                
Aerospace/Defense - 0.3%
                
Boeing (The) Co.,
5.13%, 2/15/13
     100       98  
6.13%, 2/15/33
    35       36  
General Dynamics Corp.,
4.25%, 5/15/13
     100       94  
Lockheed Martin Corp.,
8.50%, 12/1/29
    75       95  
6.15%, 9/1/36
    75       75  
Northrop Grumman Corp.,
7.13%, 2/15/11
    100       105  
Raytheon Co.,
5.38%, 4/1/13
     100       99  
United Technologies Corp.,
6.10%, 5/15/12
    100       102  
4.88%, 5/1/15
     150       142  
 
 
                
 
             846  
 
 
                
Agriculture - 0.1%
                
Archer-Daniels-Midland Co.,
5.38%, 9/15/35
     175       154  
northern funds quarterly report       2      fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Agriculture - 0.1% – (continued)
                
Philip Morris,
7.75%, 1/15/27
   $ 25     $ 29  
 
 
                
 
             183  
 
 
                
Auto Manufacturers - 0.2%
                
DaimlerChrysler N.A. Holding Corp.,
7.75%, 1/18/11
     75       80  
6.50%, 11/15/13
     375       387  
8.50%, 1/18/31
     75       95  
 
 
                
 
             562  
 
 
                
Auto Parts & Equipment - 0.0%
                
Johnson Controls, Inc.,
5.25%, 1/15/11
     75       74  
Banks - 1.6%
                
Bank of America Corp.,
5.88%, 2/15/09
     175       176  
6.25%, 4/15/12
     350       361  
5.63%, 10/14/16
     100       98  
Bank of America N.A.,
5.30%, 3/15/17
     425       406  
Bank of New York (The) Co., Inc.,
5.13%, 11/1/11
     50       49  
6.38%, 4/1/12
     100       103  
BB&T Corp.,
5.20%, 12/23/15
     100       95  
Fifth Third Bank,
4.20%, 2/23/10
     100       97  
HSBC Bank USA N.A.,
4.63%, 4/1/14
     125       117  
JPMorgan Chase Bank N.A.,
5.88%, 6/13/16
     200       200  
KeyBank N.A.,
5.45%, 3/3/16
     100       97  
M&I Marshall & Ilsley Bank,
4.85%, 6/16/15
     130       123  
Mellon Funding Corp.,
5.00%, 12/1/14
     100       96  
National City Corp.,
4.90%, 1/15/15
     100       94  
PNC Bank N.A.,
4.88%, 9/21/17
     100       92  
SunTrust Bank,
6.38%, 4/1/11
     175       180  
U.S. Bank N.A./Cincinnati OH,
4.95%, 10/30/14
     250       239  
UBS A.G./Stamford Branch,
5.88%, 7/15/16
     200       203  
Union Planters Corp.,
7.75%, 3/1/11
     150       161  
Wachovia Corp.,
5.30%, 10/15/11
     275       272  
5.63%, 10/15/16
     300       292  
5.75%, 6/15/17
     100       99  
Wells Fargo & Co.,
4.95%, 10/16/13
     200       193  
5.00%, 11/15/14
     100       96  
5.13%, 9/15/16
     250       238  
5.38%, 2/7/35
     50       45  
 
 
                
 
             4,222  
 
 
                
Beverages - 0.2%
                
Anheuser-Busch Cos, Inc.,
4.95%, 1/15/14
     125       119  
Bottling Group LLC,
5.50%, 4/1/16
     100       98  
Coca-Cola Enterprises, Inc.,
8.50%, 2/1/22
     150       183  
6.95%, 11/15/26
     50       54  
PepsiCo, Inc.,
5.15%, 5/15/12
     75       74  
 
 
                
 
             528  
 
                
 
Biotechnology - 0.1%
                
Amgen, Inc., (1)
5.85%, 6/1/17
     75       74  
6.38%, 6/1/37
     50       49  
Genentech, Inc.,
4.75%, 7/15/15
     50       46  
 
 
                
 
             169  
 
 
                
Building Materials - 0.0%
                
CRH America, Inc.,
6.00%, 9/30/16
     100       99  
 
Chemicals - 0.2%
                
Dow Chemical (The) Co.,
6.13%, 2/1/11
    100       101  
EI Du Pont de Nemours & Co.,
5.25%, 12/15/16
     200       190  
fixed income funds       3       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Chemicals - 0.2% – (continued)
                
Monsanto Co.,
5.50%, 8/15/25
   $ 25     $ 23  
Praxair, Inc.,
3.95%, 6/1/13
     75       69  
Rohm & Haas Co.,
7.85%, 7/15/29
     25       29  
 
 
                
 
             412  
 
 
                
Commercial Services - 0.1%
                
McKesson Corp.,
5.70%, 3/1/17
     50       48  
RR Donnelley & Sons Co.,
5.50%, 5/15/15
     75       70  
Western Union (The) Co.,
5.93%, 10/1/16
     75       73  
 
 
                
 
             191  
 
 
                
Computers - 0.1%
                
Hewlett-Packard Co.,
6.50%, 7/1/12
    75       78  
IBM Corp.,
4.75%, 11/29/12
     75       72  
6.50%, 1/15/28
     100       106  
 
 
                
 
             256  
 
 
                
Cosmetics/Personal Care - 0.1%
                
Procter & Gamble Co.,
6.88%, 9/15/09
    100       103  
4.85%, 12/15/15
    83       79  
5.80%, 8/15/34
    100       97  
5.55%, 3/5/37
    50       47  
 
 
                
 
             326  
 
 
                
Diversified Financial Services - 4.2%
                
American Express Co.,
4.88%, 7/15/13
     150       145  
American General Finance Corp.,
4.00%, 3/15/11
    150       142  
5.38%, 10/1/12
    275       271  
5.75%, 9/15/16
    75       74  
Ameriprise Financial, Inc.,
5.35%, 11/15/10
     100       99  
Bear Stearns (The) Cos, Inc.,
4.50%, 10/28/10
    100       97  
5.30%, 10/30/15
     200       190  
Capital One Bank,
5.75%, 9/15/10
     150       151  
Caterpillar Financial Services Corp.,
4.75%, 2/17/15
     275       257  
CIT Group, Inc.,
5.60%, 4/27/11
     325       322  
5.65%, 2/13/17
     100       95  
Citigroup, Inc.,
6.50%, 1/18/11
    400       413  
5.25%, 2/27/12
    150       148  
5.13%, 5/5/14
    200       193  
5.30%, 1/7/16
    200       193  
6.63%, 6/15/32
    100       104  
6.00%, 10/31/33
    100       96  
Countrywide Home Loans, Inc.,
4.00%, 3/22/11
     125       117  
Credit Suisse USA, Inc.,
6.13%, 11/15/11
     325       332  
6.50%, 1/15/12
    100       104  
5.38%, 3/2/16
    75       73  
7.13%, 7/15/32
    50       57  
General Electric Capital Corp.,
3.13%, 4/1/09
    325       313  
4.88%, 10/21/10
    200       197  
6.13%, 2/22/11
     150       153  
6.00%, 6/15/12
    500       509  
5.45%, 1/15/13
    225       223  
4.88%, 3/4/15
    350       331  
6.75%, 3/15/32
    150       163  
Goldman Sachs Group, Inc.,
6.88%, 1/15/11
    300       312  
4.75%, 7/15/13
     350       331  
5.35%, 1/15/16
    100       95  
5.63%, 1/15/17
    200       192  
6.45%, 5/1/36
    100       98  
Household Finance Co.,
4.75%, 5/15/09
    60       59  
8.00%, 7/15/10
    75       80  
6.38%, 10/15/11
    550       565  
International Lease Finance Corp.,
5.45%, 3/24/11
     75       75  
northern funds quarterly report      4      fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND ( continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Diversified Financial Services - 4.2% – (continued)
                
John Deere Capital Corp.,
7.00%, 3/15/12
   $ 100     $ 106  
JP Morgan Chase & Co.,
6.75%, 2/1/11
    450       468  
5.75%, 1/2/13
    150       150  
5.13%, 9/15/14
     125       120  
Lehman Brothers Holdings, Inc.,
6.63%, 1/18/12
     50       52  
4.80%, 3/13/14
     400       377  
Merrill Lynch & Co., Inc.,
4.79%, 8/4/10
    100       98  
5.45%, 7/15/14
    200       196  
6.05%, 5/16/16
    200       198  
5.70%, 5/2/17
     50       48  
Morgan Stanley,
6.75%, 4/15/11
     200       207  
5.63%, 1/9/12
    250       249  
6.60%, 4/1/12
    100       104  
4.75%, 4/1/14
    425       397  
5.38%, 10/15/15
    100       96  
5.45%, 1/9/17
    100       95  
National Rural Utilities Cooperative
Finance Corp.,
7.25%, 3/1/12
     275       293  
Residential Capital Corp.,
6.50%, 4/17/13
     125       121  
SLM Corp.,
5.00%, 10/1/13
     150       128  
Unilever Capital Corp.,
7.13%, 11/1/10
    100       105  
5.90%, 11/15/32
     50       47  
 
 
                
 
             11,024  
 
 
                
Electric - 1.1%
                
AmerenUE,
6.40%, 6/15/17
     100       102  
American Electric Power Co, Inc.,
5.25%, 6/1/15
     150       144  
Carolina Power & Light Co.,
5.13%, 9/15/13
     300       291  
CenterPoint Energy Transition Bond Co.
LLC,
4.97%, 8/1/14
     100       98  
Consolidated Edison Co. of New York,
4.88%, 2/1/13
     150       145  
Constellation Energy Group, Inc.,
4.55%, 6/15/15
     100       91  
Dominion Resources, Inc. (VA),
5.15%, 7/15/15
    50       47  
5.95%, 6/15/35
     100       94  
DTE Energy Co.,
6.38%, 4/15/33
     50       49  
Duke Energy Corp.,
5.30%, 10/1/15
    100       97  
6.45%, 10/15/32
     106       109  
Exelon Corp.,
5.63%, 6/15/35
     75       67  
FirstEnergy Corp.,
6.45%, 11/15/11
     175       179  
Florida Power & Light Co.,
5.65%, 2/1/37
     250       234  
FPL Group Capital, Inc.,
6.65%, 6/15/67
     25       25  
Midamerican Energy Holdings Co.,
5.88%, 10/1/12
    175       177  
6.13%, 4/1/36
     100       97  
Midamerican Funding LLC,
6.93%, 3/1/29
     50       54  
Nisource Finance Corp.,
5.45%, 9/15/20
     100       90  
Pacific Gas & Electric Co.,
4.80%, 3/1/14
     100       95  
PSEG Power LLC,
5.50%, 12/1/15
     175       168  
Public Service Co. of Colorado,
4.88%, 3/1/13
     125       120  
Southern California Edison Co.,
5.00%, 1/15/14
    150       143  
6.65%, 4/1/29
     50       52  
Southern Power Co.,
6.25%, 7/15/12
     100       102  
Virginia Electric and Power Co.,
6.00%, 1/15/36
     50       48  
 
 
                
 
             2,918  
 
 
                
fixed income funds       5      northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Electrical Components & Equipment - 0.0%
                
Emerson Electric Co.,
4.75%, 10/15/15
   $ 100     $ 94  
 
Environmental Control - 0.0%
                
Waste Management, Inc.,
5.00%, 3/15/14
     100       93  
 
Food - 0.3%
                
Campbell Soup Co.,
6.75%, 2/15/11
     100       104  
Conagra Foods, Inc.,
6.75%, 9/15/11
     100       104  
General Mills, Inc.,
6.00%, 2/15/12
     100       101  
Heinz (H.J.) Co.,
6.63%, 7/15/11
     100       103  
Kellogg Co.,
6.60%, 4/1/11
    50       52  
7.45%, 4/1/31
    50       57  
Kraft Foods, Inc.,
6.25%, 6/1/12
     125       127  
6.50%, 11/1/31
     50       48  
Kroger Co.,
5.50%, 2/1/13
     75       73  
Safeway, Inc.,
5.80%, 8/15/12
     75       75  
 
 
                
 
             844  
 
 
                
Forest Products & Paper - 0.1%
                
International Paper Co.,
5.30%, 4/1/15
     100       94  
MeadWestvaco Corp.,
6.85%, 4/1/12
     50       52  
Weyerhaeuser Co.,
7.50%, 3/1/13
    125       133  
7.38%, 3/15/32
     100       102  
 
 
                
 
             381  
 
 
                
Gas - 0.1%
                
Southern California Gas Co.,
5.75%, 11/15/35
     150       143  
Southern Union Co.,
8.25%, 11/15/29
     25       28  
 
 
                
 
             171  
 
 
                
Healthcare — Products - 0.1%
                
Boston Scientific Corp.,
6.40%, 6/15/16
     75       73  
Johnson & Johnson,
6.95%, 9/1/29
     50       57  
 
 
                
 
             130  
 
 
                
Healthcare — Services - 0.2%
                
Aetna, Inc.,
5.75%, 6/15/11
     125       126  
Quest Diagnostics, Inc.,
6.40%, 7/1/17
     100       101  
UnitedHealth Group, Inc.,
5.38%, 3/15/16
     150       144  
WellPoint, Inc.,
5.25%, 1/15/16
     150       142  
5.88%, 6/15/17
     100       99  
 
 
                
 
             612  
 
 
                
Holding Companies — Diversified - 0.0%
                
Capmark Financial Group, Inc., (1)
6.30%, 5/10/17
     25       25  
Household Products/Wares - 0.1%
                
Clorox Co.,
5.00%, 1/15/15
     75       70  
Fortune Brands, Inc.,
5.38%, 1/15/16
     100       93  
Kimberly-Clark Corp.,
5.00%, 8/15/13
     100       96  
 
 
                
 
             259  
 
 
                
Insurance - 0.9%
                
Ace INA Holdings, Inc.,
6.70%, 5/15/36
     50       51  
Allstate Corp.,
6.75%, 5/15/18
    100       106  
5.55%, 5/9/35
    50       45  
6.50%, 5/15/57
    25       24  
American International Group, Inc.,
4.95%, 3/20/12
    375       366  
5.05%, 10/1/15
     100       95  
Berkshire Hathaway Finance Corp.,
4.85%, 1/15/15
     175       166  
Chubb Corp.,
6.00%, 5/11/37
     50       48  
northern funds quarterly report       6       fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Insurance - 0.9% – (continued)
                
GE Global Insurance Holdings Corp.,
6.45%, 3/1/19
   $ 75     $ 77  
Genworth Financial, Inc.,
5.75%, 6/15/14
     100       100  
Hartford Financial Services Group, Inc.,
4.63%, 7/15/13
     75       71  
5.95%, 10/15/36
     75       72  
Lincoln National Corp.,
6.05%, 4/20/67
     100       96  
Marsh & McLennan Cos., Inc.,
5.75%, 9/15/15
     70       66  
Metlife, Inc.,
5.00%, 6/15/15
     175       165  
Principal Life Income Funding Trusts,
5.10%, 4/15/14
     50       48  
Progressive (The) Corp.,
6.38%, 1/15/12
     350       360  
Prudential Financial, Inc.,
4.50%, 7/15/13
     125       117  
5.10%, 9/20/14
     40       38  
5.75%, 7/15/33
     50       46  
Travelers Cos (The) Inc.,
6.25%, 6/15/37
     75       73  
Travelers Property Casualty Corp.,
5.00%, 3/15/13
     100       96  
 
 
                
 
             2,326  
 
 
                
Iron/Steel - 0.0%
                
United States Steel Corp.,
6.05%, 6/1/17
     25       24  
 
Machinery — Construction & Mining - 0.0%
                
Caterpillar, Inc.,
7.30%, 5/1/31
     25       28  
 
Machinery — Diversified - 0.1%
                
Deere & Co.,
6.95%, 4/25/14
     175       188  
 
Media - 0.9%
                
AOL Time Warner, Inc.,
6.88%, 5/1/12
     100       104  
AT&T Broadband,
8.38%, 3/15/13
     100       112  
Comcast Cable Communications,
6.75%, 1/30/11
     75       78  
Comcast Corp.,
5.85%, 11/15/15
     450       442  
6.50%, 1/15/17
     75       76  
COX Communications, Inc.,
7.13%, 10/1/12
    100       106  
4.63%, 6/1/13
     100       94  
Disney (The Walt) Co.,
6.38%, 3/1/12
     150       155  
News America, Inc.,
5.30%, 12/15/14
    100       97  
6.40%, 12/15/35
     125       119  
Time Warner Cable, Inc., (1)
5.85%, 5/1/17
     175       170  
Time Warner Entertainment Co.,
8.38%, 3/15/23
     75       86  
Time Warner, Inc.
5.88%, 11/15/16
     375       365  
Viacom, Inc.,
5.63%, 8/15/12
     150       147  
6.25%, 4/30/16
     150       148  
 
 
                
 
             2,299  
 
 
                
Mining - 0.1%
                
Alcoa, Inc.,
6.00%, 1/15/12
     75       75  
5.55%, 2/1/17
     75       72  
 
 
                
 
             147  
 
 
                
Miscellaneous Manufacturing - 0.2%
                
3M Co.,
5.70%, 3/15/37
     75       72  
General Electric Co.,
5.00%, 2/1/13
     200       194  
Honeywell International, Inc.,
5.70%, 3/15/36
     50       46  
5.70%, 3/15/37
     75       69  
Textron, Inc.,
6.50%, 6/1/12
     100       104  
 
 
                
 
             485  
 
 
                
Office/Business Equipment - 0.1%
                
Pitney Bowes, Inc.,
4.63%, 10/1/12
     100       96  
fixed income funds       7       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Office/Business Equipment - 0.1% – (continued)
                
Xerox Corp.,
5.50%, 5/15/12
   $ 50     $ 49  
6.75%, 2/1/17
     100       102  
 
 
                
 
             247  
 
 
                
Oil & Gas - 0.5%
                
Amerada Hess Corp.,
7.13%, 3/15/33
     50       52  
Anadarko Petroleum Corp.,
5.95%, 9/15/16
     100       98  
Apache Corp.,
5.63%, 1/15/17
     150       146  
Conoco, Inc.,
6.95%, 4/15/29
     150       164  
Devon Financing Corp. ULC,
6.88%, 9/30/11
    150       157  
7.88%, 9/30/31
     25       29  
Enterprise Products Operating LP,
5.60%, 10/15/14
     250       243  
Marathon Oil Corp.,
6.00%, 7/1/12
     75       76  
Pemex Project Funding Master Trust,
7.38%, 12/15/14
     200       217  
Valero Energy Corp.,
7.50%, 4/15/32
    50       55  
6.63%, 6/15/37
     75       75  
XTO Energy, Inc.,
6.25%, 4/15/13
     100       102  
 
 
                
 
             1,414  
 
 
                
Pharmaceuticals - 0.5%
                
Abbott Laboratories,
5.60%, 5/15/11
    100       101  
5.88%, 5/15/16
    75       75  
Bristol-Myers Squibb Co.,
5.25%, 8/15/13
    50       49  
5.88%, 11/15/36
    50       47  
Cardinal Health, Inc., (1)
6.00%, 6/15/17
     75       74  
Eli Lilly & Co.,
5.20%, 3/15/17
     125       120  
GlaxoSmithKline Capital, Inc.
4.38%, 4/15/14
     100       93  
Merck & Co., Inc.,
4.75%, 3/1/15
    75       71  
5.75%, 11/15/36
     50       47  
Pfizer, Inc.,
3.30%, 3/2/09
     100       97  
Pharmacia Corp.,
6.60%, 12/1/28
     25       27  
Schering-Plough Corp.,
5.55%, 12/1/13
     100       100  
Wyeth,
5.50%, 2/1/14
     75       74  
5.50%, 2/15/16
     100       97  
5.95%, 4/1/37
     175       167  
 
 
                
 
             1,239  
 
 
                
Pipelines - 0.2%
                
Energy Transfer Partners LP,
6.13%, 2/15/17
     150       148  
Kinder Morgan Energy Partners LP,
5.13%, 11/15/14
     250       236  
Southern Natural Gas Co.,
7.35%, 2/15/31
     75       79  
 
 
                
 
             463  
 
 
                
Real Estate - 0.0%
                
ERP Operating LP,
6.63%, 3/15/12
     100       104  
Regency Centers LP,
5.88%, 6/15/17
     25       24  
 
 
                
 
             128  
 
 
                
Real Estate Investment Trusts - 0.3%
                
Boston Properties, Inc.,
6.25%, 1/15/13
     100       103  
Brandywine Operating Partnership LP,
5.70%, 5/1/17
     150       145  
Health Care Property Investors, Inc.,
6.00%, 1/30/17
     50       49  
HRPT Properties Trust,
6.25%, 6/15/17
     75       76  
iStar Financial, Inc.,
5.15%, 3/1/12
     120       115  
Simon Property Group LP,
5.10%, 6/15/15
     50       48  
northern funds quarterly report       8       fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Real Estate Investment Trusts - 0.3% – (continued)
                
5.25%, 12/1/16
   $ 200     $ 190  
 
 
                
 
             726  
 
 
                
Retail - 0.7%
                
Costco Wholesale Corp.,
5.50%, 3/15/17
     100       98  
CVS Caremark Corp.,
5.75%, 8/15/11
    100       100  
5.75%, 6/1/17
    75       72  
6.25%, 6/1/27
     50       48  
Home Depot, Inc.,
5.25%, 12/16/13
     75       72  
5.40%, 3/1/16
     200       187  
J.C. Penney Corp., Inc.,
6.38%, 10/15/36
     50       48  
Lowe’s Cos, Inc.,
5.00%, 10/15/15
     150       142  
May Department Stores (The)Co.,
5.75%, 7/15/14
     150       144  
Target Corp.,
5.88%, 3/1/12
     200       203  
5.38%, 5/1/17
     75       72  
Wal-Mart Stores, Inc.,
4.55%, 5/1/13
    250       237  
7.25%, 6/1/13
    175       189  
5.25%, 9/1/35
    125       109  
Yum! Brands, Inc.,
6.25%, 4/15/16
     50       50  
 
 
                
 
             1,771  
 
 
                
Savings & Loans - 0.1%
                
Golden West Financial Corp.,
4.75%, 10/1/12
     75       72  
Washington Mutual Bank Henderson
N.V.,
6.88%, 6/15/11
     200       208  
 
 
                
 
             280  
 
 
                
Software - 0.0%
                
Oracle Corp. and Ozark Holding, Inc.,
5.25%, 1/15/16
     125       120  
 
Telecommunications - 1.1%
                
AT&T, Inc.,
6.80%, 5/15/36
     50       52  
AT&T Wireless,
7.88%, 3/1/11
     100       108  
BellSouth Corp.,
5.20%, 12/15/16
     600       567  
Bellsouth Telecommunications,
6.38%, 6/1/28
     75       73  
Cisco Systems, Inc.,
5.50%, 2/22/16
     175       171  
Embarq Corp.,
7.08%, 6/1/16
     150       151  
Motorola, Inc.,
7.63%, 11/15/10
     100       105  
SBC Communications,
5.88%, 2/1/12
    100       101  
5.10%, 9/15/14
    150       143  
6.15%, 9/15/34
     125       120  
Sprint Capital Corp.,
8.38%, 3/15/12
    150       163  
6.90%, 5/1/19
     100       99  
Sprint Nextel Corp.,
6.00%, 12/1/16
     325       308  
Verizon Communications, Inc.,
5.55%, 2/15/16
     100       97  
Verizon Global Funding Corp.,
6.88%, 6/15/12
    200       211  
7.75%, 12/1/30
     250       280  
Verizon Virginia, Inc.,
4.63%, 3/15/13
     100       94  
 
 
                
 
             2,843  
 
 
                
Textiles - 0.0%
                
Mohawk Industries, Inc.,
6.13%, 1/15/16
     100       99  
 
Transportation - 0.3%
                
Burlington Northern Santa Fe Corp.,
6.75%, 7/15/11
     100       104  
CSX Corp.,
6.00%, 10/1/36
     100       94  
6.15%, 5/1/37
     100       96  
Federal Express Corp.,
9.65%, 6/15/12
     75       87  
fixed income funds       9       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 15.2% – CONTINUED
                
Transportation - 0.3% – (continued)
                
Norfolk Southern Corp.,
5.26%, 9/17/14
   $ 200       $191  
Union Pacific Corp.,
7.00%, 2/1/16
     100       105  
 
 
                
 
             677  
 
 
                
Total Corporate Bonds
                
 
 
                
(Cost $41,007)
             39,923  
 
FOREIGN ISSUER BONDS - 4.4%
                
Banks - 0.8%
                
HSBC Holdings PLC,
5.25%, 12/12/12
     150       148  
Kreditanstalt fuer Wiederaufbau,
4.63%, 1/20/11
     350       344  
4.75%, 5/15/12
     250       245  
4.13%, 10/15/14
    150       140  
4.88%, 1/17/17
     200       193  
Landwirtschaftliche Rentenbank,
5.25%, 7/15/11
    175       175  
5.13%, 2/1/17
    100       98  
Oesterreichische Kontrollbank A.G.,
4.50%, 3/9/15
     250       237  
Royal Bank of Canada,
5.65%, 7/20/11
     250       252  
Royal Bank of Scotland Group PLC,
6.38%, 2/1/11
     100       103  
5.00%, 10/1/14
     200       191  
 
 
                
 
             2,126  
 
 
                
Beverages - 0.1%
                
Diageo Capital PLC,
5.13%, 1/30/12
     25       24  
5.50%, 9/30/16
     150       145  
 
 
                
 
             169  
 
 
                
Building Materials - 0.0%
                
Lafarge S.A.,
6.50%, 7/15/16
     50       51  
Diversified Financial Services - 0.3%
                
ConocoPhillips Canada Funding Co.,
5.63%, 10/15/16
     250       246  
Credit Suisse Guernsey Ltd.,
5.86%, 5/29/49
     75       72  
Eksportfinans A/S
5.50%, 5/25/16
     100       101  
5.50%, 6/26/17
     100       100  
UFJ Finance Aruba AEC,
6.75%, 7/15/13
     200       211  
 
 
                
 
             730  
 
 
                
Electric - 0.1%
                
Hydro-Quebec,
8.00%, 2/1/13
     150       168  
Scottish Power PLC,
5.38%, 3/15/15
     100       97  
 
 
                
 
             265  
 
 
                
Insurance - 0.1%
                
AXA S.A.,
8.60%, 12/15/30
     75       92  
ING Groep N.V.,
5.78%, 12/29/49
     75       72  
XL Capital Ltd.,
6.50%, 12/31/49
     50       47  
 
 
                
 
             211  
 
 
                
Mining - 0.2%
                
Alcan, Inc.,
4.50%, 5/15/13
     100       93  
6.13%, 12/15/33
     50       47  
BHP Billiton Finance Ltd.,
5.40%, 3/29/17
     50       48  
BHP Billiton Finance USA Ltd.,
5.25%, 12/15/15
     100       96  
Vale Overseas Ltd.,
6.25%, 1/23/17
     100       99  
6.88%, 11/21/36
     75       75  
 
 
                
 
             458  
 
 
                
Multi-National - 0.8%
                
Asian Development Bank/Pasig,
4.13%, 9/15/10
    150       146  
5.59%, 7/16/18
     50       50  
European Investment Bank,
4.00%, 3/3/10
    500       487  
4.63%, 5/15/14
    150       144  
4.88%, 1/17/17
    400       385  
5.13%, 5/30/17
     100       98  
northern funds quarterly report       10       fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
FOREIGN ISSUER BONDS - 4.4% – CONTINUED
                
Multi-National - 0.8% – (continued)
                
Inter-American Development Bank,
4.38%, 9/20/12
   $ 200     $ 192  
3.50%, 7/8/13
     200       182  
International Bank for Reconstruction & Development,
5.00%, 4/1/16
     150       147  
4.75%, 2/15/35
     25       22  
International Finance Corp.,
5.13%, 5/2/11
    150       150  
4.75%, 4/25/12
     25       24  
Nordic Investment Bank,
3.88%, 6/15/10
     100       97  
 
 
                
 
             2,124  
 
 
                
Oil & Gas - 0.4%
                
Alberta Energy Co. Ltd.,
7.38%, 11/1/31
     75       82  
Anadarko Finance Co.,
6.75%, 5/1/11
    50       52  
7.50%, 5/1/31
     75       81  
Canadian Natural Resources Ltd.,
5.70%, 5/15/17
     175       169  
Conoco Funding Co.,
6.35%, 10/15/11
     300       309  
Nexen, Inc.,
7.88%, 3/15/32
     75       85  
Norsk Hydro ASA,
7.75%, 6/15/23
     100       118  
Petro-Canada,
4.00%, 7/15/13
     100       91  
Suncor Energy, Inc.,
5.95%, 12/1/34
     50       47  
 
 
                
 
             1,034  
 
 
                
Oil & Gas Services - 0.0%
                
Weatherford International Ltd.,
5.50%, 2/15/16
     50       48  
Pipelines - 0.0%
                
Enbridge, Inc.,
5.80%, 6/15/14
     75       74  
TransCanada Corp.,
5.85%, 3/15/36
     25       24  
 
 
                
 
             98  
 
 
                
Regional - 0.3%
                
Province of British Columbia, Canada,
4.30%, 5/30/13
     100       95  
Province of Nova Scotia, Canada,
5.75%, 2/27/12
     100       101  
Province of Ontario, Canada,
4.38%, 2/15/13
     250       238  
Province of Quebec, Canada,
7.50%, 9/15/29
     200       242  
 
 
                
 
             676  
 
 
                
Sovereign - 0.7%
                
Italy Government International Bond,
6.00%, 2/22/11
     425       435  
5.25%, 9/20/16
    125       123  
5.38%, 6/12/17
     150       148  
5.38%, 6/15/33
     175       165  
Mexico Government International Bond,
6.38%, 1/16/13
     325       336  
6.63%, 3/3/15
    100       105  
8.13%, 12/30/19
    100       119  
6.75%, 9/27/34
    100       107  
Republic of Korea,
4.25%, 6/1/13
     100       93  
Svensk Exportkredit AB,
4.88%, 9/29/11
     225       221  
 
 
                
 
             1,852  
 
 
                
Telecommunications - 0.6%
                
British Telecommunications PLC,
8.63%, 12/15/10
    100       109  
9.13%, 12/15/30
     100       131  
Deutsche Telekom International
Finance BV,
5.25%, 7/22/13
    200       194  
5.75%, 3/23/16
     150       146  
France Telecom S.A.,
7.75%, 3/1/11
     200       214  
Royal KPN N.V.,
8.00%, 10/1/10
     100       107  
Telecom Italia Capital S.A.,
5.25%, 11/15/13
    150       143  
5.25%, 10/1/15
    100       93  
6.38%, 11/15/33
     50       47  
fixed income funds       11       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
FOREIGN ISSUER BONDS - 4.4% – CONTINUED
                
Telecommunications - 0.6% – (continued)
                
Telefonica Emisiones SAU,
6.42%, 6/20/16
     $200       $203  
Vodafone Group PLC,
5.00%, 12/16/13
     250       237  
6.15%, 2/27/37
     100       93  
 
 
                
 
             1,717  
 
 
                
Transportation - 0.0%
                
Canadian National Railway Co.,
4.40%, 3/15/13
     100       93  
Canadian Pacific Railway Co.,
5.95%, 5/15/37
     50       47  
 
 
                
 
             140  
 
 
                
Total Foreign Issuer Bonds
                
 
 
                
(Cost $11,982)
             11,699  
 
U.S. GOVERNMENT AGENCIES - 46.3% (2)
                
Fannie Mae - 22.8%
                
3.25%, 8/15/08
     500       489  
5.25%, 1/15/09
     1,000       1,000  
7.25%, 1/15/10
    500       524  
4.75%, 3/12/10
    3,000       2,966  
6.63%, 11/15/10
     1,000       1,043  
5.50%, 3/15/11
     500       504  
6.00%, 5/15/11
    500       513  
4.63%, 10/15/13
     500       480  
5.00%, 3/15/16
     500       485  
5.00%, 5/11/17
    1,000       964  
6.63%, 11/15/30
     200       225  
Pool #255376,
6.00%, 8/1/19
     296       297  
Pool #255695,
4.50%, 3/1/35
     107       105  
Pool #256675,
5.00%, 4/1/27
     690       655  
Pool #256677,
6.00%, 4/1/27
     489       488  
Pool #357630,
5.00%, 10/1/19
     481       466  
Pool #720049,
5.50%, 7/1/33
     997       966  
Pool #722424,
4.35%, 7/1/33
     186       184  
Pool #725185,
5.00%, 2/1/19
     531       515  
Pool #725425,
5.50%, 4/1/34
     985       955  
Pool #730811,
4.50%, 8/1/33
     980       894  
Pool #735222,
5.00%, 2/1/35
     511       481  
Pool #735358,
5.50%, 2/1/35
     1,505       1,457  
Pool #735502,
6.00%, 4/1/35
     297       295  
Pool #745754,
5.00%, 9/1/34
     3,995       3,764  
Pool #766083,
4.65%, 2/1/34
     94       93  
Pool #773287,
4.37%, 3/1/35
     228       225  
Pool #790406,
6.00%, 9/1/34
     1,089       1,081  
Pool #793666,
5.50%, 9/1/34
     910       881  
Pool #795136,
4.96%, 10/1/34
     144       142  
Pool #799999,
4.75%, 11/1/34
     153       151  
Pool #805043,
3.82%, 12/1/34
     328       321  
Pool #805159,
4.78%, 1/1/35
     193       191  
Pool #807701,
4.50%, 12/1/19
     531       505  
Pool #811944,
4.50%, 1/1/20
     830       788  
Pool #815639,
4.97%, 6/1/35
     115       114  
Pool #820998,
4.00%, 4/1/35
     292       285  
Pool #821912,
4.92%, 6/1/35
     404       399  
northern funds quarterly report       12       fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT AGENCIES - 46.3% (2) – CONTINUED
                
Fannie Mae - 22.8% – (continued)
                
Pool #822455,
4.64%, 4/1/35
   $ 345     $ 341  
Pool #826057,
5.00%, 7/1/35
     842       791  
Pool #831676,
6.50%, 8/1/36
     481       486  
Pool #832628,
5.50%, 9/1/20
     388       382  
Pool #835517,
4.97%, 8/1/35
     184       179  
Pool #840577,
5.00%, 10/1/20
     318       307  
Pool #846600,
5.16%, 1/1/36
     411       408  
Pool #850614,
5.48%, 1/1/36
     352       349  
Pool #866109,
5.14%, 12/1/35
     130       129  
Pool #871135,
6.00%, 1/1/37
     721       713  
Pool #884125,
5.42%, 6/1/36
     68       68  
Pool #884720,
5.46%, 8/1/36
     315       316  
Pool #885866,
6.00%, 6/1/36
     995       985  
Pool #887111,
5.50%, 5/1/20
     282       279  
Pool #888100,
5.50%, 9/1/36
     3,706       3,588  
Pool #888152,
5.00%, 5/1/21
     902       874  
Pool #888205,
6.50%, 2/1/37
     965       974  
Pool #888447,
4.00%, 5/1/21
     496       459  
Pool #892536,
6.50%, 9/1/36
     537       543  
Pool #893363,
5.00%, 6/1/36
     736       692  
Pool #894453,
5.93%, 9/1/36
     175       175  
Pool #897519,
5.99%, 11/1/36
     96       97  
Pool #902188,
5.88%, 11/1/36
     96       97  
Pool #906090,
5.50%, 1/1/37
     2,935       2,832  
Pool #906237,
5.78%, 1/1/37
     93       93  
Pool #906389,
5.36%, 1/1/37
     91       91  
Pool #907818,
5.61%, 1/1/37
     96       95  
Pool #914522,
5.77%, 3/1/37
     95       95  
Pool #915499,
5.00%, 3/1/37
     1,390       1,303  
Pool #919461,
5.73%, 4/1/37
     100       100  
Pool #920457,
4.86%, 8/1/36
     94       92  
Pool #920468,
4.38%, 4/1/34
     87       85  
Pool #920988,
5.88%, 11/1/36
     93       94  
Pool #923023,
6.34%, 1/1/37
     200       201  
Pool #923166,
7.50%, 1/1/37
     467       484  
Pool #928261,
4.50%, 3/1/36
     496       452  
Pool TBA, (3)
4.50%, 7/1/18
    1,300       1,233  
5.50%, 7/1/18
    500       493  
5.00%, 10/22/18
     500       483  
6.00%, 12/1/23
     1,000       988  
6.00%, 7/1/30
    500       502  
6.50%, 7/15/32
     1,000       1,009  
5.50%, 7/15/33
     3,000       2,893  
6.00%, 7/1/37
    4,400       4,352  
5.00%, 12/31/49
    1,700       1,593  
6.50%, 12/31/49
     300       305  
fixed income funds       13       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT AGENCIES - 46.3% (2) – CONTINUED
                
Fannie Mae - 22.8% – (continued)
                
7.00%, 12/31/49
   $ 1,000     $ 1,027  
 
 
                
 
             60,018  
 
 
                
Federal Farm Credit Bank - 0.2%
                
5.25%, 9/13/10
     500       501  
Federal Home Loan Bank - 2.5%
                
3.63%, 11/14/08
     500       489  
5.00%, 2/20/09
     500       498  
4.75%, 4/24/09
     2,000       1,985  
5.38%, 7/17/09
     500       502  
5.00%, 9/18/09
     1,000       997  
5.38%, 8/19/11
     1,000       1,004  
4.88%, 11/18/11
     500       492  
5.38%, 5/18/16
     500       498  
 
 
                
 
             6,465  
 
 
                
Freddie Mac - 8.5%
                
5.13%, 10/15/08
     500       500  
6.63%, 9/15/09
     1,000       1,029  
4.13%, 7/12/10
     500       485  
5.25%, 10/6/11
     1,000       992  
4.75%, 3/5/12
     3,800       3,719  
5.13%, 7/15/12
     1,000       994  
5.25%, 4/18/16
     500       493  
5.00%, 2/16/17
     500       483  
Pool #1B2125,
4.55%, 3/1/35
     56       55  
Pool #1B2130,
4.32%, 3/1/35
     104       102  
Pool #1G0321,
4.85%, 9/1/35
     424       421  
Pool #1G1506,
5.52%, 1/1/37
     196       195  
Pool #1G1623,
5.70%, 4/1/37
     200       198  
Pool #1G1763,
4.88%, 11/1/35
     134       132  
Pool #1G1790,
5.44%, 11/1/35
     164       164  
Pool #1G2620,
6.00%, 11/1/36
     182       183  
Pool #1G2638,
6.28%, 9/1/36
     200       201  
Pool #1G3611,
6.03%, 4/1/37
     200       201  
Pool #1H2569,
5.22%, 9/1/35
     82       81  
Pool #1H2605,
5.66%, 4/1/36
     92       91  
Pool #1J0345,
5.72%, 3/1/37
     99       99  
Pool #1J0355,
5.60%, 3/1/37
     92       91  
Pool #1J1317,
5.73%, 4/1/36
     340       339  
Pool #1J1390,
5.96%, 12/1/36
     185       185  
Pool #1J1646,
5.30%, 4/1/37
     391       389  
Pool #1L0078,
5.12%, 6/1/35
     195       193  
Pool #1L0130,
4.70%, 7/1/35
     99       97  
Pool #1N0243,
6.50%, 8/1/36
     85       86  
Pool #781274,
4.73%, 2/1/34
     108       107  
Pool #782905,
4.90%, 12/1/34
     120       116  
Pool #783081,
4.69%, 4/1/35
     139       138  
Pool #847755,
5.54%, 5/1/37
     499       494  
Pool TBA, (3)
5.00%, 7/1/14
    1,000       966  
4.50%, 7/15/18
     800       759  
6.00%, 1/1/24
     3,100       3,071  
5.50%, 7/1/30
     500       492  
6.50%, 7/1/30
    500       505  
5.00%, 12/31/49
     1,100       1,031  
5.50%, 12/31/49
    2,200       2,122  
6.00%, 12/31/49
    500       495  
 
 
                
 
             22,494  
 
 
                
northern funds quarterly report       14       fixed income funds

 

Table of Contents

fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT AGENCIES - 46.3%(2) – CONTINUED
                
Freddie Mac Gold - 9.1%
                
Pool #A16753,
5.00%, 11/1/33
   $ 496     $ 468  
Pool #A27950,
5.50%, 11/1/34
     4,260       4,125  
Pool #A46224,
5.00%, 7/1/35
     412       387  
Pool #A48104,
5.00%, 1/1/36
     1,047       984  
Pool #A51296,
6.00%, 8/1/36
     877       869  
Pool #A54897,
6.50%, 8/1/36
     524       529  
Pool #A56110,
5.50%, 12/1/36
     1,534       1,480  
Pool #A58690,
6.00%, 3/1/37
     164       163  
Pool #A58718,
5.50%, 3/1/37
     521       503  
Pool #A61573,
5.00%, 9/1/34
     2,967       2,795  
Pool #A61597,
5.50%, 12/1/35
     510       493  
Pool #B10630,
4.50%, 11/1/18
     1,346       1,283  
Pool #B18502,
5.50%, 6/1/20
     234       230  
Pool #C91020,
5.50%, 3/1/27
     688       670  
Pool #D97197,
5.00%, 2/1/27
     472       449  
Pool #G01907,
4.50%, 8/1/34
     570       519  
Pool #G02069,
5.50%, 3/1/36
     594       574  
Pool #G02391,
6.00%, 11/1/36
     294       291  
Pool #G02540,
5.00%, 11/1/34
     1,040       980  
Pool #G02649,
6.00%, 1/1/37
     490       485  
Pool #G02702,
6.50%, 1/1/37
     987       998  
Pool #G02911,
6.00%, 4/1/37
     493       488  
Pool #G08189,
7.00%, 3/1/37
     454       466  
Pool #G11776,
4.50%, 9/1/20
     490       466  
Pool #G12673,
5.00%, 9/1/21
     973       941  
Pool #J00991,
4.00%, 1/1/21
     500       463  
Pool #J02541,
4.00%, 9/1/20
     500       463  
Pool #J03041,
6.00%, 7/1/21
     418       420  
Pool #J03736,
5.50%, 11/1/21
     470       463  
Pool #J06175,
5.00%, 5/1/21
     442       428  
 
 
                
 
             23,873  
 
 
                
Government National Mortgage Association - 0.5%
                
Pool TBA, (3)
6.50%, 7/15/28
     500       508  
6.00%, 7/1/30
    500       497  
5.50%, 12/31/49
     500       485  
 
 
                
 
             1,490  
 
 
                
Government National Mortgage Association I - 1.2%
                
Pool #510835,
5.50%, 2/15/35
     523       508  
Pool #614169,
5.00%, 7/15/33
     498       472  
Pool #641416,
5.50%, 4/15/35
     668       649  
Pool #646341,
6.00%, 11/15/36
     503       501  
Pool #648538,
5.00%, 12/15/35
     682       646  
Pool #661917,
7.00%, 4/15/37
     499       515  
 
 
                
 
             3,291  
 
 
                
fixed income funds       15       northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT AGENCIES - 46.3% (2)– CONTINUED
                
Government National Mortgage Association II - 1.5%
                
Pool #003570,
6.00%, 6/20/34
   $ 537     $ 535  
Pool #003665,
5.50%, 1/20/35
     1,572       1,525  
Pool #654804,
6.00%, 5/20/36
     856       851  
Pool TBA, (3)
5.00%, 12/31/49
    500       470  
6.50%, 12/31/49
     500       509  
 
 
                
 
             3,890  
 
 
                
Total U.S. Government Agencies
                
 
 
                
(Cost $123,405)
             122,022  
 
U.S. GOVERNMENT OBLIGATIONS - 26.3%
                
U.S. Treasury Bonds - 5.1%
                
8.00%, 11/15/21
     1,000       1,280  
7.13%, 2/15/23
     800       960  
6.25%, 8/15/23
     2,050       2,276  
6.00%, 2/15/26
     2,500       2,729  
5.38%, 2/15/31
     1,000       1,027  
4.50%, 2/15/36
     475       430  
4.75%, 2/15/37
     4,990       4,705  
 
 
                
 
             13,407  
 
 
                
U.S. Treasury Notes - 21.2%
                
4.75%, 11/15/08
     1,000       997  
4.75%, 2/28/09
     5,000       4,985  
4.50%, 3/31/09
     3,000       2,978  
4.50%, 4/30/09
     8,500       8,442  
4.88%, 5/31/09
     4,000       3,999  
4.75%, 2/15/10
     5,500       5,480  
4.50%, 5/15/10
     1,000       989  
5.75%, 8/15/10
     1,000       1,024  
4.50%, 11/15/10
     3,000       2,964  
4.50%, 2/28/11
     3,000       2,959  
4.88%, 4/30/11
     5,750       5,741  
4.63%, 10/31/11
     4,500       4,448  
4.25%, 8/15/13
     650       628  
4.00%, 2/15/15
     2,000       1,873  
4.50%, 11/15/15
     2,000       1,929  
4.63%, 2/15/17
     5,000       4,842  
4.50%, 5/15/17
     350       336  
4.63%, 2/29/12
     1,350       1,333  
 
 
                
 
             55,947  
 
 
                
Total U.S. Government Obligations
                
 
 
                
(Cost $70,362)
             69,354  
 
MUNICIPAL BOND - 0.1%
                
Illinois - 0.1%
                
Illinois State Taxable Pension
G.O. Unlimited Bonds,
5.10%, 6/1/33
     225       205  
 
 
                
Total Municipal Bond
                
 
 
                
(Cost$219)
             205  
 
SHORT-TERM INVESTMENTS - 21.9%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
     39,252       39,252  
FHLB Discount Note,
4.87%, 7/2/07
     18,395       18,393  
 
 
                
Total Short-Term Investments
                
 
 
                
(Cost$57,645)
             57,645  
 
 
                
Total Investments - 119.5%
                
 
 
                
(Cost$318,912)
             314,810  
Liabilities less Other Assets — (19.5)%
             (51,426 )
NET ASSETS - 100.0%
           $ 263,384  
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available, in accordance with procedures established by the Trustees of Northern Funds.
 
(2)   The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.
 
(3)   When-Issued Security
Percentages shown are based on Net Assets.
northern funds quarterly report       16       fixed income funds

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
fixed income funds
     SCHEDULE OF INVESTMENTS
     BOND INDEX FUND (continued )
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 318,912  
 
Gross tax appreciation of investments
   $ 79  
Gross tax depreciation of investments
     (4,181 )
 
Net tax depreciation of investments
   $ (4,102 )
 
fixed income funds       17       northern funds quarterly report

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  FIXED INCOME FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
ASSET-BACKED SECURITIES - 16.4%
                
Commercial Mortgage Services - 16.4%
                
Banc of America Commercial
Mortgage, Inc., Series 2004-5,
Class A2,
4.18%, 11/10/41
   $ 4,810     $ 4,691  
Bear Stearns Commercial Mortgage
Securities, Series 2005-PWR9,
Class A2,
4.74%, 9/11/42
     9,545       9,344  
Bear Stearns Commercial Mortgage
Securities, Series 2006-PW13,
Class A4,
5.54%, 9/11/41
     11,460       11,206  
Bear Stearns Commercial Mortgage
Securities, Series 2007-T26,
Class A2,
5.33%, 1/12/45
     5,935       5,855  
Chase Manhattan Bank-First Union
National Bank, Series 1999-1,
Class A2,
7.44%, 8/15/31
     7,194       7,426  
Commercial Mortgage Asset Trust,
Series 1999-C1, Class A3,
6.64%, 1/17/32
     5,171       5,256  
Credit Suisse First Boston Mortgage
Securities Corp., Series 2002-CKN2,
Class A3,
6.13%, 4/15/37
     10,628       10,826  
Credit Suisse First Boston Mortgage
Securities Corp., Series 2004-C5,
Class A2,
4.18%, 11/15/37
     8,415       8,180  
First Union National Bank Commercial
Mortgage, Series 2002-C1, Class A2,
6.14%, 2/12/34
     5,200       5,308  
GMAC Commercial Mortgage
Securities, Inc., Series 2002-C3,
Class A2,
4.93%, 7/10/39
     2,555       2,471  
Greenwich Capital Commercial
Funding Corp., Series 2005-GG3,
Class A2,
4.31%, 8/10/42
     5,940       5,787  
GS Mortgage Securities Corp. II, (1)
Series 2007-GG10, Class A2,
5.78%, 8/10/45
     11,000       11,000  
JP Morgan Chase Commercial
Mortgage Securities Corp.,
Series 2005-LDP1, Class A2,
4.63%, 3/15/46
     5,185       5,081  
LB-UBS Commercial Mortgage Trust,
Series 2005-C3, Class A2,
4.55%, 7/15/30
     8,693       8,493  
LB-UBS Commercial Mortgage Trust,
Series 2005-C5, Class A2,
4.89%, 9/15/30
     9,045       8,914  
LB-UBS Commercial Mortgage Trust,
Series 2006-C6, Class A4,
5.37%, 9/15/39
     11,420       11,028  
Merrill Lynch Mortgage Trust,
Series 2004-BPC1, Class A2,
4.07%, 10/12/41
     5,800       5,634  
Morgan Stanley Capital I,
Series 2003-IQ6, Class A4,
4.97%, 12/15/41
     14,400       13,789  
Morgan Stanley Capital I,
Series 2003-T11, Class A4,
5.15%, 6/13/41
     9,600       9,322  
Morgan Stanley Capital I,
Series 2006-HQ9, Class A4,
5.73%, 7/12/44
     14,450       14,313  
Morgan Stanley Dean Witter Capital I,
Series 2001-TOP1, Class A4,
6.66%, 2/15/33
     8,741       9,012  
Morgan Stanley Dean Witter Capital I,
Series 2001-TOP3, Class A4,
6.39%, 7/15/33
     9,545       9,792  
 
 
                
 
             182,728  
 
 
                
Total Asset-Backed Securities
                
 
 
                
(Cost $186,378)
             182,728  
 
CORPORATE BONDS - 18.3%
                
Aerospace/Defense - 0.6%
                
L-3 Communications Corp.,
7.63%, 6/15/12
     7,120       7,289  
 
Apparel - 0.4%
                
Levi Strauss & Co.,
12.25%, 12/15/12
     4,445       4,812  
 
FIXED INCOME FUNDS       1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 18.3% – CONTINUED
                
Diversified Financial Services - 6.2%
                
ANZ Capital Trust, (2)(3)
4.48%, 1/29/49
   $ 4,500     $ 4,366  
Capital One Capital IV,
6.75%, 2/17/37
     4,600       4,232  
Countrywide Financial Corp.,
5.80%, 6/7/12
     5,835       5,794  
Goldman Sachs Group, Inc.,
5.63%, 1/15/17
     3,045       2,918  
6.45%, 5/1/36
     6,175       6,063  
International Lease Finance Corp.,
5.35%, 3/1/12
     5,815       5,741  
5.65%, 6/1/14
     5,880       5,831  
Lazard Group, (2)
6.85%, 6/15/17
     3,765       3,767  
Lehman Brothers Holdings Capital
Trust VII,
5.86%, 11/29/49
     5,595       5,545  
Lehman Brothers Holdings, Inc.,
6.00%, 5/3/32
     5,670       5,348  
Merrill Lynch & Co., Inc.,
6.11%, 1/29/37
     4,735       4,443  
Power Receivable Finance LLC, (2)(3)
6.29%, 1/1/12
     1,230       1,243  
Residential Capital Corp.,
7.19%, 4/17/09 (2)(3)
     5,460       5,436  
6.38%, 6/30/10
     4,240       4,185  
USB Realty Corp., (2)(3)
6.09%, 12/22/49
     4,700       4,610  
 
                
 
 
             69,522  
 
                
 
Electric - 1.4%
                
AES (The) Corp.,
9.50%, 6/1/09
     5,135       5,366  
Oncor Electric Delivery Co.,
7.25%, 1/15/33
     4,700       5,091  
PSEG Energy Holdings LLC,
10.00%, 10/1/09
     5,215       5,607  
 
                
 
 
             16,064  
 
                
 
Healthcare — Services - 0.3%
                
HCA, Inc., (2)
9.13%, 11/15/14
     3,305       3,474  
Holding Companies — Diversified - 1.1%
                
Capmark Financial Group, Inc., (2)(3)
6.30%, 5/10/17
     7,780       7,656  
Kansas City Southern Railway,
9.50%, 10/1/08
     4,105       4,249  
 
                
 
 
             11,905  
 
                
 
Insurance - 1.2%
                
Allstate (The) Corp.,
6.50%, 5/15/57
     2,930       2,771  
Genworth Financial, Inc.,
6.15%, 11/15/66
     3,600       3,412  
Lincoln National Corp.,
6.05%, 4/20/67
     3,480       3,323  
Metlife, Inc., 6.40%, 12/15/36
     4,325       4,006  
 
                
 
 
             13,512  
 
                
 
Machinery — Diversified - 0.3%
                
Case New Holland, Inc.,
9.25%, 8/1/11
     3,130       3,281  
 
Media - 1.2%
                
Charter Communications Operating
LLC/Charter Communications
Operating Capital, (2)
8.00%, 4/30/12
     4,545       4,602  
Comcast Corp.,
4.95%, 6/15/16
     3,180       2,917  
Time Warner Cable, Inc., (2)(3)
5.85%, 5/1/17
     5,550       5,398  
 
                
 
 
             12,917  
 
                
 
Oil & Gas - 1.1%
                
Apache Corp.,
6.00%, 1/15/37
     2,470       2,355  
Premcor Refining Group (The), Inc.,
9.50%, 2/1/13
     1,950       2,076  
6.75%, 5/1/14
     7,385       7,546  
 
                
 
 
             11,977  
 
                
 
Oil & Gas Producers - 0.3%
                
Chesapeake Energy Corp.,
7.50%, 6/15/14
     3,185       3,225  
 
Oil & Gas Services - 0.7%
                
Dresser-Rand Group, Inc.,
7.38%, 11/1/14
     3,830       3,845  
NORTHERN FUNDS QUARTERLY REPORT       2       FIXED INCOME FUNDS

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  FIXED INCOME FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 18.3% – CONTINUED
                
Oil & Gas Services - 0.7% – (continued)
                
Weatherford International, Inc., (2)
6.80%, 6/15/37
   $ 3,450     $ 3,512  
 
                
 
 
             7,357  
 
                
 
Pipelines - 0.9%
                
Consolidated Natural Gas Co.,
5.00%, 3/1/14
     2,905       2,768  
Kinder Morgan Energy Partners LP,
6.00%, 2/1/17
     4,090       4,003  
Williams Cos., Inc.,
8.13%, 3/15/12
     3,435       3,645  
 
                
 
 
             10,416  
 
                
 
Real Estate Investment Trusts - 0.3%
                
iStar Financial, Inc.,
5.88%, 3/15/16
     3,110       2,994  
 
Retail - 0.8%
                
CVS Caremark Corp.,
5.75%, 6/1/17
     1,965       1,896  
Home Depot, Inc.,
5.88%, 12/16/36
     7,750       6,905  
 
                
 
 
             8,801  
 
                
 
Telecommunications - 1.5%
                
Embarq Corp.,
7.08%, 6/1/16
     3,900       3,922  
Sprint Capital Corp.,
6.90%, 5/1/19
     5,470       5,415  
Verizon Communication Inc.,
5.85%, 9/15/35
     3,220       2,953  
Verizon New Jersey, Inc.,
5.88%, 1/17/12
     2,335       2,344  
Verizon of New England, Inc.,
6.50%, 9/15/11
     1,600       1,642  
 
                
 
 
             16,276  
 
                
 
Total Corporate Bonds
                
 
                
 
(Cost $208,101)
             203,822  
 
FOREIGN ISSUER BONDS - 5.2%
                
Banks - 1.8%
                
BBVA International Preferred S.A.
Unipersonal, (2)
5.92%, 12/31/49
     5,405       5,071  
Banks - 1.8% – (continued)
                
Lloyds TSB Group PLC, (2)
6.27%, 12/31/49
     10,005       9,492  
Shinsei Finance Cayman Ltd., (2)(3)
6.42%, 1/29/49
     5,975       5,809  
 
                
 
 
             20,372  
 
                
 
Diversified Financial Services - 1.5%
                
Credit Suisse Guernsey Ltd.,
5.86%, 5/29/49
     4,570       4,403  
MUFG Capital Finance 1 Ltd.,
6.35%, 7/29/49
     5,795       5,694  
SMFG Preferred Capital 1 Ltd., (2)(3)
6.08%, 1/29/49
     3,365       3,237  
Swiss Re Capital I LP, (2)(3)
6.85%, 5/29/49
     3,000       3,018  
 
                
 
 
             16,352  
 
                
 
Insurance - 1.3%
                
Allied World Assurance Holdings Ltd.
of Bermuda,
7.50%, 8/1/16
     2,620       2,754  
Catlin Insurance Co. Ltd., (2)
7.25%, 12/31/49
     5,600       5,328  
XL Capital Ltd.,
6.50%, 12/31/49
     7,200       6,762  
 
                
 
 
             14,844  
 
                
 
Oil & Gas - 0.5%
                
Nexen, Inc.,
6.40%, 5/15/37
     5,913       5,653  
 
                
 
Total Foreign Issuer Bonds
                
 
                
 
(Cost $59,250)
             57,221  
 
                
U.S. GOVERNMENT AGENCIES - 40.5%(4)
                
Fannie Mae -28.9%
                
Pool #255452,
5.50%, 10/1/19
     6,817       6,732  
Pool #535714,
7.50%, 1/1/31
     212       221  
Pool #535982,
7.50%, 5/1/31
     456       477  
Pool #545003,
8.00%, 5/1/31
     16       17  
FIXED INCOME FUNDS       3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL        
    AMOUNT     VALUE  
    (000S)     (000S)  
U.S. GOVERNMENT AGENCIES - 40.5%(4) – CONTINUED
                
Fannie Mae - 28.9% – (continued)
                
Pool #545437,
7.00%, 2/1/32
   $ 452     $ 468  
Pool #545556,
7.00%, 4/1/32
     306       317  
Pool #545757,
7.00%, 6/1/32
     2,326       2,411  
Pool #555189,
7.00%, 12/1/32
     1,581       1,637  
Pool #581806,
7.00%, 7/1/31
     738       765  
Pool #725424,
5.50%, 4/1/34
     21,634       20,961  
Pool #725787,
5.00%, 9/1/19
     16,692       16,173  
Pool #739433,
5.00%, 10/1/18
     423       411  
Pool #796371,
5.00%, 10/1/19
     273       265  
Pool #796457,
6.00%, 9/1/34
     12,150       12,061  
Pool #797773,
5.00%, 3/1/20
     1,850       1,789  
Pool #814782,
7.00%, 4/1/35
     42       43  
Pool #829125,
5.50%, 10/1/35
     14,679       14,193  
Pool #831810,
6.00%, 9/1/36
     18,834       18,643  
Pool #845182,
5.50%, 11/1/35
     15,380       14,871  
Pool #869217,
5.47%, 2/1/36
     13,130       13,106  
Pool #869801,
5.50%, 4/1/21
     1,692       1,668  
Pool #893082,
5.85%, 9/1/36
     9,492       9,536  
Pool TBA, (1)
6.00%, 7/14/33
     51,065       50,506  
5.50%, 12/31/49
     13,534       13,052  
6.00%, 12/31/49
     63,118       63,394  
6.50%, 12/31/49
     57,171       57,707  
 
                
 
 
             321,424  
 
                
 
Freddie Mac - 6.6%
                
Pool #1J0365,
5.93%, 4/1/37
     8,151       8,163  
Pool TBA, (1)
6.00%, 7/1/28
     2,700       2,675  
5.50%, 7/14/29
     36,621       35,316  
6.50%, 7/1/30
     17,326       17,504  
6.00%, 8/15/32
     6,639       6,571  
5.00%, 12/31/49
     2,695       2,526  
 
                
 
 
             72,755  
 
                
 
Freddie Mac Gold - 4.5%
                
Pool #A46279,
5.00%, 7/1/35
     26,722       25,113  
Pool #C00910,
7.50%, 1/1/30
     748       782  
Pool #C02790,
6.50%, 4/1/37
     10,383       10,491  
Pool #C02838,
5.50%, 5/1/37
     14,495       13,980  
 
                
 
 
             50,366  
 
                
 
Government National Mortgage Association - 0.5%
                
Pool #595091,
6.00%, 10/15/32
     2,015       2,011  
Pool #627123,
5.50%, 3/15/34
     4,135       4,020  
 
                
 
 
             6,031  
 
                
 
Total U.S. Government Agencies
                
 
                
 
(Cost $454,443)
             450,576  
U.S. GOVERNMENT OBLIGATIONS - 17.4%
                
U.S. Treasury Bonds - 0.1%
                
4.50%, 2/15/36
     1,089       986  
U.S. Treasury Inflation Indexed Notes - 2.6%
                
3.00%, 7/15/12
     9,040       10,589  
2.38%, 1/15/17
     18,605       18,609  
 
                
 
 
             29,198  
 
                
 
NORTHERN FUNDS QUARTERLY REPORT       4       FIXED INCOME FUNDS

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  FIXED INCOME FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT OBLIGATIONS - 17.4% – CONTINUED
                
U.S. Treasury Notes - 14.7%
  $ 71,760     $ 70,426  
4.50%, 4/30/12
4.50%, 5/15/17
     96,226       92,256  
 
 
                
 
             162,682  
 
 
                
Total U.S. Government Obligations
                
 
 
                
(Cost $194,620)
             192,866  
                 
    NUMBER   VALUE
    OF WARRANTS   (000S)
WARRANTS - 0.0%
Leap Wireless International,
    Exp. 4/15/10, Strike $96.80 *
     500       —  
 
 
                
Total Warrants
                
 
 
                
(Cost $5)
             —  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 25.3%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 166,076       166,076  
FHLB Discount Note,
4.87%, 7/2/07
     115,637       115,622  
 
 
                
Total Short-Term Investments
                
 
 
                
(Cost $281,698)
             281,698  
 
 
                
Total Investments - 123.1%
                
 
 
                
(Cost $1,384,495)
             1,368,911  
Liabilities less Other Assets — (23.1)%
             (257,178 )
 
 
                
NET ASSETS - 100.0%
           $ 1,111,733  
 
(1)   When-Issued Security
 
(2)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available, in accordance with procedures established by the Trustees of Northern Funds.
 
(3)   Restricted security that has been deemed illiquid. At June 30, 2007, the value of these restricted illiquid securities amounted to approximately $40,773,000 or 3.7% of net assets. Additional information on each restricted illiquid security is as follows:
                 
    ACQUISITION    
    AND   ACQUISITION
    ENFORCEABLE   COST
SECURITY   DATE   (000S)
ANZ Capital Trust,
4.48%, 1/29/49
     9/21/06     $ 4,368  
Capmark Financial Group Inc.,
6.30%, 05/10/17
     5/3/07-6/21/07       7,641  
Power Receivable Finance LLC,
6.29%, 1/1/12
     9/30/03       1,230  
Residential Capital Corp.,
7.19%, 4/17/09
     9/29/06       5,486  
Shinsei Finance Cayman Ltd.,
6.42%, 1/29/49
     2/16/06       6,011  
SMFG Preferred Capital 1 Ltd.,
6.08%, 1/29/49
     12/13/06       3,365  
Swiss Re Capital LP,
6.85%, 5/29/49
     5/4/06       3,000  
Time Warner Cable Inc.,
5.85%, 5/1/17
     4/4/07       5,537  
USB Realty Corp.,
6.09%, 12/22/49
     1/19/07       4,740  
 
(4)   The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 1,384,495  
 
Gross tax appreciation of investments
   $ 1,079  
Gross tax depreciation of investments
     (16,663 )
 
Net tax depreciation of investments
   $ (15,584 )
 
FIXED INCOME FUNDS       5       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

FIXED INCOME FUNDS
   SCHEDULE OF INVESTMENTS
   GLOBAL FIXED INCOME FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)(1)   (000S)
DEBT OBLIGATIONS - 94.1%
                
British Pound - 5.9%
                
Treasury of Great Britain,
5.00%, 3/7/08
     112     $ 224  
5.00%, 9/7/14
     70       136  
4.00%, 9/7/16
     150       270  
4.75%, 3/7/20
     148       281  
5.00%, 3/7/25
     159       313  
4.25%, 3/7/36
     237       433  
 
 
                
 
             1,657  
 
 
                
Canadian Dollar - 4.2%
                
Government of Canada,
5.00%, 6/1/14
     1,230       1,185  
 
Danish Krone - 4.5%
                
Government of Denmark,
4.00%, 8/15/08
     6,920       1,252  
 
Euro - 35.3%
                
Bundesobligation,
3.25%, 4/17/09
     185       245  
Buoni Poliennali Del Tesoro,
4.50%, 5/1/09
     280       379  
5.25%, 11/1/29
     590       826  
Deutschland Bundesrepublik,
4.25%, 1/4/14
     850       1,131  
4.00%, 7/4/16
     420       546  
4.25%, 7/4/17
     120       158  
6.25%, 1/4/24
     450       716  
6.50%, 7/4/27
     990       1,643  
5.50%, 1/4/31
     95       142  
Government of Belgium,
5.00%, 9/28/11
     400       551  
4.25%, 9/28/14
     190       252  
Government of Finland,
5.00%, 7/4/07
     500       677  
3.00%, 7/4/08
     475       634  
Government of France O.A.T.,
4.75%, 10/25/12
     500       683  
Government of France Treasury
Note BTAN,
2.50%, 7/12/10
     413       528  
Government of Ireland,
5.00%, 4/18/13
     100       138  
Government of Spain,
3.25%, 7/30/10
     188       245  
Portugal Obrigacoes do Tesouro OT,
5.15%, 6/15/11
     300       414  
 
 
                
 
             9,908  
 
 
                
Japanese Yen - 19.5%
                
Government of Japan Five Year Bonds,
1.10%, 3/20/11
     80,000       646  
Government of Japan Ten Year Bonds,
1.80%, 9/21/09
     60,000       496  
1.90%, 6/21/10
     75,000       623  
1.40%, 9/20/11
     53,000       431  
1.50%, 3/20/12
     15,000       122  
0.80%, 3/20/13
     160,000       1,247  
1.90%, 6/20/14
     36,500       301  
1.30%, 3/20/15
     20,000       158  
Government of Japan Twenty Year Bonds,
1.90%, 3/22/21
     180,000       1,436  
 
 
                
 
             5,460  
 
 
                
Swedish Krona - 0.9%
                
Kingdom of Sweden,
9.00%, 4/20/09
     1,600       253  
 
United States Dollar - 23.8%
                
Freddie Mac,
5.13%, 7/15/12
     750       746  
U.S. Treasury Bond,
8.75%, 5/15/17
     300       384  
6.63%, 2/15/27
     500       586  
6.38%, 8/15/27
     750       857  
4.50%, 2/15/36
     165       149  
U.S. Treasury Note,
5.00%, 7/31/08
     1,171       1,171  
4.63%, 11/30/08
     300       299  
4.88%, 8/15/09
     780       779  
4.63%, 11/15/09
     300       298  
4.38%, 12/15/10
     300       295  
4.13%, 5/15/15
     650       613  
5.13%, 5/15/16
     485       488  
 
 
                
 
             6,665  
 
 
                
Total Debt Obligations
                
 
 
                
(Cost $24,909)
             26,380  
FIXED INCOME FUNDS       1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 4.1%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 1,144     $ 1,144  
 
 
                
Total Short-Term Investment
                
 
                
 
 
(Cost $1,144)
             1,144  
 
                
 
Total Investments - 98.2%
                
 
                
 
(Cost $26,053)
             27,524  
Other Assets less Liabilities - 1.8%
             507  
 
NET ASSETS - 100.0%
           $ 28,031  
 
(1)   Principal amounts stated in local currencies.
 
    Percentages shown are based on Net Assets.
At June 30, 2007, Global Fixed Income Fund had outstanding forward foreign currency exchange contracts as follows:
                                         
    AMOUNT   IN   AMOUNT            
CONTRACTS   (LOCAL   EXCHANGE   (LOCAL           UNREALIZED
TO DELIVER   CURRENCY)   FOR   CURRENCY)   SETTLEMENT   GAIN/LOSS
CURRENCY   (000S)   CURRENCY   (000S)   DATE   (000S)
Canadian Dollar
     1,075     U.S. Dollar     1,007       7/27/07     $ (3 )
 
                                        
Danish Krone
     34,312     U.S. Dollar     6,216       7/27/07       (30 )
 
                                        
Swedish Krona
     5,397     U.S. Dollar     784       7/27/07       (6 )
 
                                        
U.S. Dollar
     123     Australian Dollar     145       7/27/07       —  
 
                                        
U.S. Dollar
     98     British Pound     49       7/27/07       —  
 
                                        
U.S. Dollar
     520     Canadian Dollar     555       7/27/07       2  
 
                                        
U.S. Dollar
     5,261     Danish Krone     29,050       7/27/07       27  
 
                                        
U.S. Dollar
     1,554     Euro     1,153       7/27/07       8  
 
                                        
U.S. Dollar
     2,902     Japanese Yen     356,210       7/27/07       2  
 
                                        
U.S. Dollar
     898     Swedish Krona     6,175       7/27/07       6  
 
                                        
 
Total
                                   $ 6  
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 26,053  
 
Gross tax appreciation of investments
   $ 2,141  
Gross tax depreciation of investments
     (670 )
 
Net tax appreciation of investments
   $ 1,471  
 
NORTHERN FUNDS QUARTERLY REPORT       2       FIXED INCOME FUNDS

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD FIXED INCOME FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 82.3%
                
Aerospace/Defense - 1.1%
                
L-3 Communications Corp.,
6.38%, 10/15/15
   $ 9,165     $ 8,661  
Moog, Inc.,
6.25%, 1/15/15
     11,565       11,131  
 
 
                
 
             19,792  
 
 
                
Agriculture - 1.0%
                
Alliance One International, Inc., (1)
8.50%, 5/12/12
     13,485       13,788  
Reynolds American, Inc.,
7.88%, 5/15/09
     4,450       4,615  
 
 
                
 
             18,403  
 
 
                
Apparel - 1.0%
                
Levi Strauss & Co.,
12.25%, 12/15/12
     7,450       8,064  
9.75%, 1/15/15
     10,225       10,941  
 
 
                
 
             19,005  
 
 
                
Auto Manufacturers - 2.0%
                
General Motors Corp.,
7.13%, 7/15/13
     39,275       36,869  
 
Auto Parts & Equipment - 0.7%
                
Lear Corp., 8.50%, 12/1/13
     13,325       12,792  
 
Beverages - 0.7%
                
Constellation Brands, Inc.,
7.25%, 9/1/16
     13,825       13,479  
 
Building Materials - 0.3%
                
Ply Gem Industries, Inc.,
9.00%, 2/15/12
     6,750       6,067  
 
Cable Television - 0.4%
                
Mediacom Broadband LLC,
8.50%, 10/15/15
     7,025       7,130  
 
Chemicals - 3.1%
                
Hexion US Finance Corp/Hexion Nova
Scotia Finance ULC,
9.75%, 11/15/14
     10,950       11,333  
Lyondell Chemical Co.,
8.00%, 9/15/14
     12,650       12,998  
Momentive Performance Materials,
Inc., (1)
9.75%, 12/1/14
     7,025       7,095  
11.50%, 12/1/16
     1,900       1,919  
Mosaic (The) Co., (1)
7.38%, 12/1/14
     9,400       9,494  
NewMarket Corp.,
7.13%, 12/15/16
     9,950       9,627  
PolyOne Corp.,
10.63%, 5/15/10
     3,262       3,425  
 
 
                
 
             55,891  
 
 
                
Commercial Services - 4.2%
                
Aramark Corp., (1)
8.86%, 2/1/15
     17,150       17,407  
Corrections Corp. of America,
6.25%, 3/15/13
     8,825       8,472  
Education Management LLC/
Education Management Corp.,
10.25%, 6/1/16
     8,425       8,867  
H&E Equipment Services, Inc.,
8.38%, 7/15/16
     9,875       10,369  
Hertz Corp.,
8.88%, 1/1/14
     10,200       10,634  
NCO Group, Inc., (1)
11.88%, 11/15/14
     8,100       8,363  
Service Corp. International,
7.00%, 6/15/17
     5,650       5,382  
United Rentals North America, Inc.,
6.50%, 2/15/12
     6,575       6,460  
 
 
                
 
             75,954  
 
 
                
Computers - 0.5%
                
Sungard Data Systems, Inc.,
9.13%, 8/15/13
     9,586       9,814  
 
Diversified Financial Services - 3.9%
                
Ford Motor Credit Co.,
7.25%, 10/25/11
     35,650       34,311  
General Motors Acceptance Corp.,
6.75%, 12/1/14
     28,355       27,154  
Residential Capital Corp., (1)(2)
7.19%, 4/17/09
     10,000       9,955  
 
 
                
 
             71,420  
 
 
                
Electric - 7.4%
                
AES (The) Corp.,
9.50%, 6/1/09
     16,290       17,023  
Aquila, Inc.,
14.88%, 7/1/12
     6,925       8,829  
FIXED INCOME FUNDS       1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 82.3%– CONTINUED
                
Electric - 7.4% – (continued)
                
CMS Energy Corp.,
9.88%, 10/15/07
   $ 5,130     $ 5,178  
8.50%, 4/15/11
     1,390       1,478  
Dynegy Holdings, Inc., (1)
7.50%, 6/1/15
     11,050       10,401  
7.75%, 6/1/19
     7,400       6,882  
Edison Mission Energy, (1)
7.50%, 6/15/13
     16,875       16,706  
7.00%, 5/15/17
     9,350       8,812  
NRG Energy, Inc.,
7.38%, 2/1/16
     12,200       12,231  
7.38%, 1/15/17
     5,650       5,671  
PSEG Energy Holdings LLC,
10.00%, 10/1/09
     14,635       15,735  
Reliant Energy, Inc.,
7.63%, 6/15/14
     7,975       7,776  
Sierra Pacific Power Co.,
6.25%, 4/15/12
     1,300       1,311  
Sierra Pacific Resources,
8.63%, 3/15/14
     4,270       4,583  
TECO Energy, Inc.,
6.75%, 5/1/15
     4,925       5,023  
TXU Corp.,
6.50%, 11/15/24
     8,325       6,884  
 
 
                
 
             134,523  
 
 
                
Electrical Components & Equipment - 1.0%
                
Coleman Cable, Inc., (1)
9.88%, 10/1/12
     8,375       8,752  
Superior Essex Communications
LLC/Essex Group, Inc.,
9.00%, 4/15/12
     9,677       9,870  
 
 
                
 
             18,622  
 
 
                
Engineering & Construction - 0.7%
                
Ahern Rentals, Inc.,
9.25%, 8/15/13
     12,600       12,758  
Entertainment - 0.4%
                
 
WMG Acquisition Corp.,
7.38%, 4/15/14
     6,810       6,333  
 
Environmental Control - 1.3%
                
Allied Waste North America, Inc.,
9.25%, 9/1/12
     11,084       11,624  
6.88%, 6/1/17
     12,475       12,070  
 
 
                
 
             23,694  
 
 
                
Food - 0.5%
                
Smithfield Foods, Inc.,
7.00%, 8/1/11
     9,025       8,980  
 
Forest Products & Paper - 2.2%
                
Georgia-Pacific Corp.,
8.13%, 5/15/11
     12,890       13,164  
P.H. Glatfelter,
7.13%, 5/1/16
     10,100       10,176  
Verso Paper Holdings LLC and Verson
Paper, Inc., (1)
11.38%, 8/1/16
     15,060       16,076  
 
 
                
 
             39,416  
 
 
                
Gaming - 5.3%
                
Buffalo Thunder Development
Authority, (1)(2)
9.38%, 12/15/14
     9,500       9,500  
Chukchansi Economic Development
Authority, (1)(2)
8.00%, 11/15/13
     9,005       9,185  
Harrah’s Operating Co., Inc.,
6.50%, 6/1/16
     14,860       12,408  
Isle of Capri Casinos, Inc.,
7.00%, 3/1/14
     10,725       10,149  
MGM Mirage,
8.50%, 9/15/10
     16,575       17,342  
7.50%, 6/1/16
     6,850       6,499  
Pinnacle Entertainment, Inc.,
8.25%, 3/15/12
     6,050       6,231  
River Rock Entertainment Authority,
9.75%, 11/1/11
     8,316       8,732  
Seneca Gaming Corp.,
7.25%, 5/1/12
     7,295       7,395  
Wimar Opco LLC, (1)
9.63%, 12/15/14
     8,900       8,566  
 
 
                
 
             96,007  
 
 
                
Healthcare — Products - 0.5%
                
Accellent, Inc.,
10.50%, 12/1/13
     9,175       9,106  
NORTHERN FUNDS QUARTERLY REPORT       2       FIXED INCOME FUNDS

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD FIXED INCOME FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 82.3%– CONTINUED
                
Healthcare – Services - 3.9%
                
AMR HoldCo Inc./
Emcare HoldCo Inc.,
10.00%, 2/15/15
   $ 4,835     $ 5,222  
Community Health Systems, Inc.,(1)(3)
8.88%, 7/15/15
     9,625       9,757  
HCA, Inc., (1)
9.13%, 11/15/14
     28,550       30,013  
9.25%, 11/15/16
     13,800       14,697  
Tenet Healthcare Corp.,
7.38%, 2/1/13
     4,092       3,698  
6.88%, 11/15/31
     10,775       8,243  
 
 
                
 
             71,630  
 
 
                
Household Products/Wares - 1.3%
                
ACCO Brands Corp.,
7.63%, 8/15/15
     9,210       9,049  
Gregg Appliances, Inc.,
9.00%, 2/1/13
     6,960       7,413  
Visant Holding Corp.,
8.75%, 12/1/13
     7,055       7,337  
 
 
                
 
             23,799  
 
 
                
Insurance - 0.5%
                
Crum & Forster Holdings Corp., (1)
7.75%, 5/1/17
     9,350       9,140  
 
Iron/Steel - 1.1%
                
Gibraltar Industries, Inc.,
8.00%, 12/1/15
     13,805       13,529  
Tube City IMS Corp., (1)
9.75%, 2/1/15
     5,700       5,842  
 
 
                
 
             19,371  
 
 
                
Lodging - 0.5%
                
Host Marriott LP,
6.75%, 6/1/16
     9,575       9,384  
 
Machinery – Diversified - 0.4%
                
Case New Holland, Inc.,
9.25%, 8/1/11
     7,675       8,045  
 
Media - 9.0%
                
American Media Operations, Inc.,
10.25%, 5/1/09
     8,487       8,063  
CCH I Holdings LLC,
13.50%, 1/15/14
     23,775       24,399  
CCH I LLC,
11.00%, 10/1/15
     18,968       19,798  
Media - 9.0% – (continued)
                
CSC Holdings, Inc.,
8.13%, 7/15/09
     14,375       14,663  
6.75%, 4/15/12
     4,315       4,099  
Dex Media East LLC,
12.13%, 11/15/12
     4,850       5,220  
Donnelley (R.H.) Corp.,
8.88%, 1/15/16
     11,200       11,648  
Donnelley (R.H.), Inc.,
10.88%, 12/15/12
     7,263       7,744  
Echostar DBS Corp.,
7.00%, 10/1/13
     22,650       22,310  
Idearc, Inc.,
8.00%, 11/15/16
     13,175       13,307  
TL Acquisitions, Inc., (1)(3)
0.00%, 7/15/15
     12,200       9,405  
Univision Communications, Inc., (1)
9.75%, 3/15/15
     9,100       8,986  
Young Broadcasting, Inc.,
10.00%, 3/1/11
     14,335       14,263  
 
 
                
 
             163,905  
 
 
                
Metal Fabricate/Hardware - 0.5%
                
Mueller Water Products, Inc., (1)(2)
7.38%, 6/1/17
     9,050       8,974  
Mining - 0.8%
                
Freeport-McMoRan
Copper & Gold, Inc.,
8.25%, 4/1/15
     8,350       8,809  
8.56%, 4/1/15
     5,600       5,866  
 
 
                
 
             14,675  
 
 
                
Miscellaneous Manufacturing - 0.7%
                
Park-Ohio Industries, Inc.,
8.38%, 11/15/14
     13,215       12,720  
 
Oil & Gas - 5.0%
                
AmeriGas Partners LP/AmeriGas
Eagle Finance Corp.,
7.13%, 5/20/16
     7,690       7,555  
Denbury Resources, Inc.,
7.50%, 12/15/15
     5,175       5,162  
Encore Acquisition Co.,
7.25%, 12/1/17
     6,400       5,888  
FIXED INCOME FUNDS       3       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 82.3%– CONTINUED
                
Oil & Gas - 5.0% – (continued)
                
Giant Industries, Inc.,
11.00%, 5/15/12
   $ 4,705     $ 4,964  
8.00%, 5/15/14
     1,000       1,082  
Inergy LP/Inergy Finance Corp.,
8.25%, 3/1/16
     8,300       8,528  
Pioneer Natural Resources Co.,
6.88%, 5/1/18
     5,000       4,740  
Plains Exploration & Production Co.,
7.00%, 3/15/17
     11,200       10,612  
Quicksilver Resources, Inc.,
7.13%, 4/1/16
     14,395       13,891  
Stone Energy Corp., (1)
8.11%, 7/15/10
     7,125       7,125  
Swift Energy Co.,
7.13%, 6/1/17
     12,475       11,883  
Whiting Petroleum Corp.,
7.00%, 2/1/14
     9,575       9,001  
 
 
                
 
             90,431  
 
 
                
Oil & Gas Producers - 1.1%
                
Chesapeake Energy Corp.,
7.50%, 6/15/14
     5,800       5,873  
6.88%, 1/15/16
     15,225       14,882  
 
 
                
 
             20,755  
 
 
                
Oil & Gas Services - 0.6%
                
Dresser-Rand Group, Inc.,
7.38%, 11/1/14
     9,927       9,964  
 
Packaging & Containers - 2.5%
                
Ball Corp.,
6.63%, 3/15/18
     11,200       10,752  
Crown Americas LLC/Crown
Americas Capital Corp.,
7.63%, 11/15/13
     8,250       8,333  
Jefferson Smurfit Corp. U.S.,
7.50%, 6/1/13
     11,628       11,279  
Packaging Dynamics Finance
Corp., (1)(2)
10.00%, 5/1/16
     6,000       6,030  
Solo Cup Co.,
8.50%, 2/15/14
     9,350       8,181  
 
 
                
 
             44,575  
 
 
                
Pipelines - 0.8%
                
Williams Cos., Inc.,
8.13%, 3/15/12
     12,405       13,165  
 
Real Estate - 0.3%
                
American Real Estate Partners LP, (1)
7.13%, 2/15/13
     1,450       1,399  
Realogy Corp., (1)(2)
10.50%, 4/15/14
     4,000       3,810  
12.38%, 4/15/15
     1,000       913  
 
 
                
 
             6,122  
 
 
                
Real Estate Investment Trusts - 1.4%
                
American Real Estate Partners LP/
American Real Estate Finance
Corp.,
7.13%, 2/15/13
     15,685       15,136  
Omega Healthcare Investors, Inc.,
7.00%, 4/1/14
     9,565       9,517  
 
 
                
 
             24,653  
 
 
                
Retail - 2.7%
                
Dave & Buster’s, Inc.,
11.25%, 3/15/14
     6,725       6,893  
Neiman-Marcus Group, Inc.,
10.38%, 10/15/15
     10,925       12,017  
Petro Stopping Centers LP/Petro
Financial Corp.,
9.00%, 2/15/12
     10,355       10,925  
Restaurant (The) Co.,
10.00%, 10/1/13
     6,000       5,745  
Rite Aid Corp.,
9.38%, 12/15/15 (1)(2)
     3,800       3,648  
7.50%, 3/1/17
     10,000       9,650  
 
 
                
 
             48,878  
 
 
                
Semiconductors - 0.9%
                
Freescale Semiconductor, Inc., (1)
8.88%, 12/15/14
     17,000       16,235  
 
Software - 0.7%
                
Open Solutions, Inc., (1)
9.75%, 2/1/15
     6,850       6,918  
SS&C Technologies, Inc.,
11.75%, 12/1/13
     5,905       6,614  
 
 
             13,532  
 
NORTHERN FUNDS QUARTERLY REPORT       4      FIXED INCOME FUNDS

 

Table of Contents

FIXED INCOME FUNDS
     SCHEDULE OF INVESTMENTS
     HIGH YIELD FIXED INCOME FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
CORPORATE BONDS - 82.3% – CONTINUED
                
Supermarkets - 0.6%
                
SUPERVALU, Inc.,
7.50%, 5/15/12
   $ 3,825     $ 3,985  
7.50%, 11/15/14
     6,525       6,688  
 
 
                
 
             10,673  
 
 
                
Telecommunications - 7.2%
                
Centennial Cellular Operating Co.,
10.13%, 6/15/13
     3,630       3,893  
Centennial Communications Corp.,
10.00%, 1/1/13
     9,025       9,679  
Cincinnati Bell, Inc.,
8.38%, 1/15/14
     10,750       10,858  
Citizens Communications Co.,
9.00%, 8/15/31
     10,525       10,841  
Hawaiian Telcom Communications,
Inc.,
12.50%, 5/1/15
     9,325       10,584  
MasTec, Inc., (1)
7.63%, 2/1/17
     10,025       10,050  
PAETEC Holding Corp., (1)(3)
9.50%, 7/15/15
     4,000       4,000  
PanAmSat Corp.,
9.00%, 8/15/14
     8,936       9,316  
Qwest Capital Funding, Inc.,
7.90%, 8/15/10
     14,250       14,499  
Qwest Corp.,
8.88%, 3/15/12
     9,200       9,913  
6.50%, 6/1/17 (1)
     6,700       6,382  
U.S. West Communications,
6.88%, 9/15/33
     8,350       7,828  
West Corp.,
11.00%, 10/15/16
     7,345       7,676  
Windstream Corp.,
8.63%, 8/1/16
     9,275       9,808  
7.00%, 3/15/19
     5,600       5,348  
 
 
                
 
             130,675  
 
 
                
Textiles - 0.7%
                
Invista, ((1)(2)
9.25%, 5/1/12
     12,590       13,314  
Transportation - 0.9%
                
Kansas City Southern Railway,
9.50%, 10/1/08
     9,670       10,009  
Overseas Shipholding Group,
8.25%, 3/15/13
     5,655       5,796  
 
 
                
 
             15,805  
 
 
                
Total Corporate Bonds
                
 
 
                
(Cost $1,495,477)
             1,496,475  
 
FOREIGN ISSUER BONDS 10.8%
                
Chemicals - 0.3%
                
Nell AF SARL, (1)(2)
8.38%, 8/15/15
     6,850       6,559  
Electronics - 1.1%
                
NXP BV / NXP Funding LLC,
7.88%, 10/15/14
     9,525       9,382  
9.50%, 10/15/15
     10,525       10,367  
 
 
                
 
             19,749  
 
 
                
Forest Products & Paper - 1.2%
                
Bowater Canada Finance Corp.
7.95%, 11/15/11
     22,550       21,225  
Gaming - 0.7%
                
Galaxy Entertainment Finance
Co. Ltd., (1)(2)
9.88%, 12/15/12
     12,016       12,917  
Housewares - 0.9%
                
Vitro S.A. de CV, (1)
9.13%, 2/1/17
     15,350       15,734  
Insurance - 0.5%
                
Catlin Insurance Co. Ltd., (1)
7.25%, 1/19/17
     10,000       9,515  
Leisure Time - 0.4%
                
NCL Corp.,
10.63%, 7/15/14
     8,370       8,077  
Media - 0.6%
                
Kabel Deutschland GmbH,
10.63%, 7/1/14
     10,740       11,760  
Miscellaneous Manufacturing - 0.6%
                
Bombardier, Inc., (1)
6.75%, 5/1/12
     10,650       10,490  
Oil & Gas - 0.8%
                
Compton Petroleum Finance Corp.,
7.63%, 12/1/13
     9,550       9,431  
FIXED INCOME FUNDS       5       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
FOREIGN ISSUER BONDS - 10.8% – CONTINUED
                
Oil & Gas - 0.8% – (continued)
                
OPTI Canada, Inc., (1)
8.25%, 12/15/14
   $ 4,675     $ 4,745  
 
 
                
 
             14,176  
 
 
                
Semiconductors—1.2%
                
Avago Technologies Finance
Pte/Avago Technologies
U.S./Avago Technologies Wireless,
10.13%, 12/1/13
     12,450       13,259  
MagnaChip Semiconductor
S.A./MagnaChip Semiconductor
Finance Corp.,
8.00%, 12/15/14
     11,550       8,432  
 
 
                
 
             21,691  
 
 
                
Telecommunications—2.1%
                
Intelsat Bermuda Ltd.,
9.25%, 6/15/16
     8,650       9,191  
Intelsat Ltd.,
7.63%, 4/15/12
     7,725       6,894  
Intelsat Subsidiary Holding Co. Ltd.,
8.25%, 1/15/13
     4,110       4,172  
Nortel Networks Ltd., (1)
10.75%, 7/15/16
     16,225       17,929  
 
 
                
 
             38,186  
 
 
                
Transportation—0.4%
                
Kansas City Southern de Mexico S.A.
de CV, (1)
7.63%, 12/1/13
     6,650       6,633  
 
 
                
Total Foreign Issuer Bonds
                
 
 
                
(Cost $197,393)
             196,712  
                 
    NUMBER   VALUE
    OF WARRANTS   (000S)
WARRANTS—0.0%
                
IPCS, Inc., Exp. 7/15/10, Strike $5.50 *
     1,500       —  
Leap Wireless International, Exp. 4/15/10, Strike $96.80 (1) *
     2,500       —  
Leap Wireless International, Exp. 4/15/10, Strike $96.80 (1) *
     2,000       —  
 
 
                
Total Warrants
                
 
 
                
(Cost $10)
             —  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT—5.7%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 103,379     $ 103,379  
 
 
                
Total Short-Term Investment
                
 
 
                
(Cost $103,379)
             103,379  
 
 
                
Total Investments—98.8%
                
 
 
                
(Cost $1,796,259)
             1,796,566  
Other Assets less Liabilities—1.2%
             21,658  
 
 
                
NET ASSETS - 100.0%
           $ 1,818,224  
 
*   Non-Income Producing Security
Percentages shown are based on Net Assets.
NORTHERN FUNDS QUARTERLY REPORT       6       FIXED INCOME FUNDS

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD FIXED INCOME FUND (continued)
     
  JUNE 30, 2007 (UNAUDITED)
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available in accordance with procedures established by the Trustees of Northern Funds.
(2)   Restricted security that has been deemed illiquid. At June 30, 2007, the value of these restricted illiquid securities amounted to approximately $84,805,000 or 4.7% of net assets. Additional information on each restricted illiquid security is as follows:
                 
    ACQUISITION    
    AND   ACQUISITION
    ENFORECEABLE   COST
SECURITY   DATE   (000S)
Buffalo Thunder Development Authority,
9.38%, 12/15/14
     12/8/06-3/20/07     $ 9,688  
Chukchansi Economic Development
Authority, 8.00%, 11/15/13
     12/2/05-4/18/07       9,196  
Galaxy Entertainment Finance Co. Ltd.,
9.88%, 12/15/12
     12/7/05-11/30/06       12,471  
Invista,
9.25%, 5/1/12
     4/23/04-4/18/07       13,284  
Mueller Water Products Inc.,
7.38%, 6/1/17
     5/16/07-5/17/07       9,116  
Nell AF SARL,
8.38%, 8/15/15
     12/1/05-11/30/06       6,801  
Packaging Dynamics Finance Corp.,
10.00%, 5/1/16
     4/13/06-4/12/07       6,105  
Realogy Corp.,
10.50%, 4/15/14
     4/5/07       3,951  
12.38%, 4/15/15
     4/5/07       981  
Residential Capital Corp.,
7.19%, 4/17/09
     9/29/06       10,047  
Rite Aid Corp.,
9.38%, 12/15/15
     6/1/07       3,745  
 
         
(3)When-Issued Security
     Federal Tax Information:
     At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 1,796,259  
 
Gross tax appreciation of investments
   $ 26,753  
Gross tax depreciation of investments
     (26,446 )
 
Net tax appreciation of investments
   $ 307  
 
FIXED INCOME FUNDS       7       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  SHORT-INTERMEDIATE U.S. GOVERNMENT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT AGENCIES - 56.7% (1)
                
Fannie Mae - 30.7%
                
5.63%, 5/19/11
   $ 6,000     $ 6,021  
5.75%, 2/13/17
     4,000       3,971  
Pool #555649,
7.50%, 10/1/32
     202       211  
Pool #869217,
5.47%, 2/1/36
     3,107       3,101  
Pool #893082,
5.85%, 9/1/36
     1,241       1,247  
Pool #913312,
5.50%, 4/1/37
     5,599       5,401  
Pool TBA, (2)
6.50%, 7/15/32
     10,282       10,378  
5.50%, 7/15/33
     4,380       4,224  
6.00%, 7/1/37
     6,544       6,472  
 
 
             41,026  
 
 
                
Federal Home Loan Bank - 4.8%
                
5.00%, 10/16/09
     6,510       6,471  
Freddie Mac - 14.9%
                
5.25%, 10/6/11
     8,175       8,110  
5.30%, 1/9/12
     6,700       6,649  
5.60%, 9/26/13
     775       770  
Pool #1J0365,
5.93%, 4/1/37
     1,988       1,991  
Pool #410092,
7.01%, 11/1/24
     24       25  
Series 2944, Class WD,
5.50%, 11/15/28
     2,365       2,346  
 
 
             19,891  
 
Freddie Mac Gold - 1.4%
                
Pool #E91020,
5.50%, 8/1/17
     1,874       1,853  
Small Business Administration - 4.9%
                
Participation Certificates,
Series 2005-20L, Class 1,
5.39%, 12/1/25
     1,427       1,403  
Participation Certificates,
Series 2006-20B, Class 1,
5.35%, 2/1/26
     1,347       1,325  
Participation Certificates,
Series 2006-20D, Class 1,
5.64%, 4/1/26
     1,962       1,964  
Series 2005-P10B, Class 1,
4.94%, 8/10/15
     1,913       1,859  
 
 
             6,551  
 
Total U.S. Government Agencies
                
 
(Cost $76,359)
             75,792  
 
                
U.S. GOVERNMENT OBLIGATIONS - 9.9%
                
U.S. Treasury Inflation Indexed Notes - 2.2%
                
3.00%, 7/15/12
     2,500       2,928  
U.S. Treasury Notes - 7.7%
                
4.88%, 6/30/09
     9,632       9,631  
4.75%, 5/31/12
     631       626  
 
 
             10,257  
 
Total U.S. Government Obligations
                
 
(Cost $13,192)
             13,185  
 
                
SHORT-TERM INVESTMENT - 51.8%
                
FHLB Discount Note,
4.87%, 7/2/07
     69,329       69,320  
 
Total Short-Term Investment
                
 
(Cost $69,320)
             69,320  
 
                
Total Investments - 118.4%
                
 
(Cost $158,871)
             158,297  
Liabilities less Other Assets - (18.4)%
             (24,585 )
 
NET ASSETS - 100.0%
           $ 133,712  
 
(1)   The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.
 
(2)   When-Issued Security
Percentages shown are based on Net Assets.
FIXED INCOME FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 158,871  
 
Gross tax appreciation of investments
   $ 65  
Gross tax depreciation of investments
     (639 )
 
Net tax depreciation of investments
   $ (574 )
 
NORTHERN FUNDS QUARTERLY REPORT      2       FIXED INCOME FUNDS

 

Table of Contents

FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  U.S. GOVERNMENT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
U.S. GOVERNMENT AGENCIES - 57.2% (1)
                
Fannie Mae - 36.4%
                
6.00%, 8/22/16
   $ 7,200     $ 7,209  
5.75%, 2/13/17
     4,000       3,971  
5.00%, 5/11/17
     6,500       6,266  
Pool #555649,
7.50%, 10/1/32
     330       346  
Pool #869217,
5.47%, 2/1/36
     3,539       3,532  
Pool #893082,
5.85%, 9/1/36
     1,360       1,366  
Pool #913312,
5.50%, 4/1/37
     5,152       4,969  
Pool TBA, (2)
6.50%, 7/15/32
     11,171       11,276  
5.50%, 7/15/33
     5,743       5,538  
6.00%, 7/1/37
     7,121       7,043  
 
 
             51,516  
 
Federal Home Loan Bank - 2.6%
                
5.63%, 6/13/16
     3,675       3,661  
Freddie Mac - 10.9%
                
5.25%, 10/6/11
     2,000       1,984  
5.30%, 1/9/12
     7,200       7,145  
5.60%, 9/26/13
     800       795  
Pool #1J0365,
5.93%, 4/1/37
     2,236       2,240  
Pool #410092,
7.01%, 11/1/24
     101       103  
Series 2944, Class WD,
5.50%, 11/15/28
     3,125       3,100  
 
 
             15,367  
 
Government National Mortgage Association - 0.0%
                
Pool #268360,
10.00%, 4/15/19
     24       27  
Pool #270288,
10.00%, 6/15/19
     26       28  
 
 
             55  
 
Small Business Administration - 7.3%
                
Participation Certificates,
Series 2005-20L, Class 1,
5.39%, 12/1/25
     1,752       1,723  
Participation Certificates,
Series 2006-20B, Class 1,
5.35%, 2/1/26
     1,636       1,609  
Participation Certificates,
Series 2006-20D, Class 1,
5.64%, 4/1/26
     1,775       1,776  
Participation Certificates,
Series 2006-20G, Class 1,
6.07%, 7/1/26
     2,920       2,971  
Series 2005-P10B, Class 1,
4.94%, 8/10/15
     2,343       2,277  
 
 
             10,356  
 
Total U.S. Government Agencies
                
 
(Cost $81,599)
             80,955  
 
                
U.S. GOVERNMENT OBLIGATIONS - 25.6%
                
U.S. Treasury Inflation Indexed Notes - 6.6%
                
3.00%, 7/15/12
     6,500       7,614  
2.38%, 1/15/17
     1,691       1,691  
 
 
             9,305  
 
U.S. Treasury Notes - 19.0%
                
4.88%, 6/30/09
     20,082       20,080  
4.75%, 5/31/12
     6,831       6,778  
 
 
             26,858  
 
Total U.S. Government Obligations
                
 
(Cost $36,150)
             36,163  
FIXED INCOME FUNDS      1       NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 44.5%
                
FHLB Discount Note,
4.87%, 7/2/07
   $ 62,872     $ 62,864  
 
Total Short-Term Investment
                
 
(Cost $62,864)
             62,864  
 
                
Total Investments - 127.3%
                
 
(Cost $180,613)
             179,982  
Liabilities less Other Assets – (27.3)%
             (38,544 )
 
NET ASSETS - 100.0%
           $ 141,438  
 
(1)   The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury.
 
(2)   When-Issued Security
Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 180,613  
 
Gross tax appreciation of investments
   $ 186  
Gross tax depreciation of investments
     (817 )
 
Net tax depreciation of investments
   $ (631 )
 
NORTHERN FUNDS QUARTERLY REPORT      2      FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  ARIZONA TAX-EXEMPT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 93.9%
                
Arizona - 82.6%
                
Arizona State Transportation Board
Highway Revenue Bonds,
5.00%, 7/1/20
   $ 35     $ 37  
Arizona State Transportation Board
Highway Revenue Bonds,
Prerefunded,
5.75%, 7/1/09
     2,040       2,114  
Arizona State University COP,
Research Infrastructure Project
(AMBAC Insured),
5.00%, 9/1/30
     2,000       2,056  
Arizona State University Revenue
Bonds (FGIC Insured), Prerefunded,
5.50%, 7/1/12
     2,160       2,306  
Chandler Water & Sewerage Revenue
Bonds (MBIA Insured),
7.25%, 7/1/09
     240       255  
Downtown Phoenix Hotel Corp.
Revenue Bonds, Series B
(FGIC Insured),
5.00%, 7/1/36
     1,500       1,542  
Glendale G.O. Bonds,
2.00%, 7/1/18
     2,600       2,028  
Glendale IDA Revenue Bonds, Series A,
Midwestern University,
4.75%, 5/15/08
     425       428  
Goodyear G.O. Unlimited Bonds
(MBIA Insured),
5.00%, 7/1/16
     1,300       1,385  
Maricopa County Elementary School
District No. 8 Osborn G.O. Unlimited
Bonds, Series A, School
Improvement — Project 2006
(FSA Insured),
4.50%, 7/1/20
     1,000       1,006  
Maricopa County School District No. 8
Osborn G.O. Refunding Bonds,
Bank Qualified (FGIC Insured),
4.70%, 7/1/14
     1,000       1,043  
Maricopa County Unified School District
No. 80 Chandler Capital Appreciation
G.O. Refunding Bonds (FGIC Insured),
5.25%, 7/1/09
     1,000       924  
Maricopa County Unified School District
No. 89 Dysart G.O. Bonds, Series A,
School Improvement
(FGIC Insured),
4.00%, 7/1/17
     150       147  
4.50%, 7/1/21
     550       549  
Maricopa County Unified School District
No. 89 Dysart G.O. Bonds, Series B,
School Improvement Project of 2002
(FSA Insured),
5.25%, 7/1/15
     1,600       1,710  
Maricopa County Unified School District
No. 97 Deer Valley G.O. Unlimited
Bonds, Series B, School
Improvement Project 2004
(FSA Insured),
4.00%, 7/1/18
     1,250       1,217  
Mesa Utilities System Revenue Bonds
(FGIC Insured), Prerefunded,
5.00%, 7/1/09
     30       31  
Northern Arizona University COP,
Northern Arizona University Resh
Projects (AMBAC Insured),
5.00%, 9/1/26
     400       413  
Phoenix Civic Improvement Corp.
Excise Refunding TRB, Senior Lien,
5.00%, 7/1/13
     1,650       1,736  
Phoenix Civic Improvement Corp. Excise
TRB, Series A, Senior Lien, Municipal
Courthouse Project, Prerefunded,
5.75%, 7/1/09
     1,325       1,386  
Phoenix Civic Improvement Corp.
Municipal Facilities Subordinate
Excise TRB (FGIC Insured),
Prerefunded,
5.75%, 7/1/10
     1,000       1,059  
Phoenix Civic Improvement Corp.
Transit Excise TRB, Light Rail Project
(AMBAC Insured),
5.00%, 7/1/20
     1,000       1,043  
Phoenix Civic Improvement Corp.
Wastewater System Revenue Bonds,
Junior Lien (FGIC Insured),
Prerefunded,
6.25%, 7/1/10
     1,000       1,074  
TAX-EXEMPT FIXED INCOME FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 93.9% – CONTINUED
                
Arizona - 82.6% – (continued)
                
Phoenix Civic Improvement Corp.
Wastewater System Revenue Bonds,
Junior Lien (MBIA Insured),
5.00%, 7/1/28
   $ 1,300     $ 1,342  
5.00%, 7/1/29
     400       412  
Phoenix Civic Improvement Corp. Water
System Revenue Bonds, Junior Lien
(FGIC Insured),
5.50%, 7/1/17
     3,500       3,712  
Phoenix G.O. Bonds,
4.50%, 7/1/22
     1,000       998  
Phoenix G.O. Bonds, Series B,
Various Purpose,
5.38%, 7/1/20
     1,000       1,058  
Phoenix G.O. Refunding Bonds,
Series A,
4.50%, 7/1/15
     1,500       1,512  
Phoenix G.O. Refunding Bonds,
Series B,
4.50%, 7/1/20
     1,100       1,101  
Pima County G.O. Bonds (FSA Insured),
4.00%, 7/1/14
     750       749  
Pima County Unified School District
No. 6 Marana G.O. Refunding Bonds
(FGIC Insured),
5.40%, 7/1/14
     1,300       1,364  
Pima County Unified School District
No. 12 Sunnyside G.O. Bonds
(FGIC Insured), Prerefunded,
5.75%, 7/1/09
     2,000       2,073  
Pinal County Unified School District
No. 43 Apache Junction G.O.
Unlimited Bonds (FSA Insured),
5.00%, 7/1/22
     1,000       1,071  
Salt River Project Agricultural
Improvement & Power District
Electrical Systems Revenue
Refunding Bonds, Series C,
4.90%, 1/1/08
     470       472  
Scottsdale Municipal Property Corp.
Excise Refunding TRB,
5.00%, 7/1/18
     1,000       1,068  
Scottsdale Municipal Property Corp.
Excise TRB,
4.50%, 7/1/25
     500       493  
Scottsdale Preservation Authority
Excise TRB (FGIC Insured),
Prerefunded,
6.00%, 7/1/08
     370       382  
Tempe Excise Refunding TRB,
4.50%, 7/1/21
     1,345       1,342  
Tucson Water Revenue Bonds,
Series 2005-B (FSA Insured),
5.00%, 7/1/25
     1,590       1,663  
Tucson Water Revenue Refunding
Bonds (MBIA Insured),
4.00%, 7/1/18
     1,000       973  
 
 
             47,274  
 
Puerto Rico - 11.3%
                
Puerto Rico Commonwealth
Infrastructure Financing Authority
Special Obligation Bonds, Series A,
Escrowed to Maturity,
5.50%, 10/1/20
     2,500       2,638  
5.50%, 10/1/40
     500       526  
Puerto Rico Commonwealth Highway &
Transportation Authority Revenue
Refunding Bonds, Series CC
(FSA Insured),
5.25%, 7/1/32
     2,000       2,221  
Puerto Rico Electric Power Authority
Revenue Refunding Bonds, Series VV
(FGIC Insured),
5.25%, 7/1/24
     1,000       1,092  
 
 
             6,477  
 
Total Municipal Bonds
                
 
(Cost $52,836)
             53,751  
                 
    NUMBER   VALUE
    OF SHARES   (000S)
INVESTMENT COMPANIES - 3.0%
                
AIM Tax-Free Cash Reserve Portfolio
     1,712,492       1,712  
Dreyfus Tax-Exempt Cash Management Fund
     2,602       3  
 
Total Investment Companies
                
 
(Cost $1,715)
             1,715  
NORTHERN FUNDS QUARTERLY REPORT      2      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  ARIZONA TAX-EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 7.2%
                
Arizona Health Facilities Authority
Revenue VRDB, Series B-2,
The Terraces Project
(Sovereign Bank FSB LOC),
3.73%, 7/5/07
   $ 900     $ 900  
Phoenix IDA Revenue VRDB,
Valley of the Sun YMCA Project (Bank
of America N.A. LOC),
3.91%, 7/2/07
     100       100  
Pima County IDA Revenue VRDB,
Series A, Senior Living Facilities -
La Posada (LaSalle Bank N.A. LOC),
3.73%, 7/5/07
     1,000       1,000  
Scottsdale IDA Hospital Revenue VRDB,
Series C, Scottsdale Healthcare
(FSA Insured),
3.73%, 7/4/07
     2,100       2,100  
 
Total Short-Term Investments
                
 
(Cost $4,100)
             4,100  
 
                
Total Investments - 104.1%
                
 
(Cost $58,651)
             59,566  
Liabilities less Other Assets — (4.1)%
             (2,329 )
 
NET ASSETS — 100.0%
           $ 57,237  
Percentages shown are based on Net Assets.
At June 30, 2007, the industry sectors for the Arizona Tax-Exempt Fund were:
         
INDUSTRY SECTOR   % OF INVESTMENTS
Facilities
     6.7 %
General
     10.2  
General Obligation
     14.8  
Higher Education
     8.7  
Medical
     5.0  
Obligation
     5.3  
School District
     18.7  
Transportation
     7.3  
Utilities
     5.2  
Water
     10.7  
All other sectors less than 5%
     7.4  
 
Total
     100.0 %
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 58,651  
 
Gross tax appreciation of investments
   $ 1,313  
Gross tax depreciation of investments
     (398 )
 
Net tax appreciation of investments
   $ 915  
 
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of total net assets.
Interest rates represent either the stated coupon rate, annualized yield on the date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent the stated date on the security, the next interest reset/ puttable date for floating and variable rate securities or the prerefunded date for these types of securities.
Prerefunding is a procedure in which a bond issuer floats a second bond in order to pay off the first bond at the first call date. The proceeds from the sale of the second bond are safely invested, usually in Treasury securities, that will mature at the first call date of the first bond issue. Those first bonds are said to be prerefunded after this operation has taken place.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:
AMBAC — American Municipal Bond Assurance Corporation
COP — Certificate of Participation
FGIC — Financial Guaranty Insurance Corporation
FSA — Financial Security Assurance
FSB — Federal Savings Bank
G.O. — General Obligation
IDA — Industrial Development Authority
LOC — Letter of Credit
MBIA — Municipal Bond Insurance Association
TRB — Tax Revenue Bonds
VRDB — Variable Rate Demand Bonds
TAX-EXEMPT FIXED INCOME FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 76.4%
                
California - 74.0%
                
Antelope Valley Union High School
District Capital Appreciation G.O.
Bonds, Series B, Election 2002
(MBIA Insured),
0.00%, 8/1/29
   $ 3,500     $ 1,214  
Arcade Water District Revenue COP
(FGIC Insured), Prerefunded,
5.00%, 11/1/07
     1,000       1,024  
Bay Area Governments Association
Infrastructure Financing Authority
Revenue Bonds, Payment Acceleration
Notes (FGIC Insured),
5.00%, 8/1/17
     3,000       3,152  
Beverly Hills PFA Lease Revenue Bonds,
Capital Improvement Project,
4.50%, 6/1/28
     1,000       951  
California Health Facilities Financing
Authority Revenue Bonds, Series A,
Sutter Health,
5.25%, 11/15/46
     2,500       2,575  
California Health Facilities Financing
Authority Revenue Refunding Bonds,
Cedars-Sinai Medical Center,
5.00%, 11/15/13
     1,000       1,041  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Bay Area Toll Bridges -
First Lien (FGIC Insured),
Escrowed to Maturity,
5.00%, 7/1/25
     500       541  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Scripps Research Institute,
5.75%, 7/1/30
     1,000       1,023  
California State G.O. Bonds
(FGIC Insured),
4.75%, 2/1/19
     85       86  
California State G.O. Bonds
(FGIC Insured), Prerefunded,
4.75%, 2/1/09
     915       938  
California State G.O. Bonds,
5.00%, 2/1/20
     710       730  
California State G.O. Bonds, Prerefunded,
5.00%, 2/1/12
     140       146  
California State G.O. Refunding Bonds
(MBIA Insured),
4.00%, 12/1/19
     1,970       1,903  
California State G.O. Refunding Bonds,
4.00%, 12/1/18
     700       676  
5.00%, 9/1/20
     2,055       2,142  
5.00%, 3/1/21
     1,500       1,550  
5.00%, 8/1/22
     920       950  
California State Public Works Board
Lease Revenue Refunding Bonds,
Series A, Department of Corrections
State Prisons (AMBAC Insured),
5.25%, 12/1/13
     1,350       1,422  
California State Public Works Board
Lease Revenue Refunding Bonds,
Series A, Trustees California State
University,
5.25%, 10/1/14
     3,545       3,632  
California State Public Works Board
Lease Revenue Bonds, Series H,
Department of Corrections &
Rehabilitation,
5.00%, 6/1/19
     2,000       2,080  
California State Various Purpose G.O.
Bonds, 5.00%, 12/1/21
     2,000       2,079  
5.25%, 11/1/24
     1,000       1,049  
4.75%, 3/1/34
     1,000       992  
5.00%, 6/1/37
     3,000       3,063  
California Statewide Communities
Development Authority Revenue COP,
John Muir/Mount Diablo Health System
(MBIA Insured),
5.50%, 8/15/12
     4,030       4,206  
California Statewide Communities
Development Authority Student
Housing Revenue Bonds, Series A,
East Campus Apartments LLC
(ACA Insured),
5.00%, 8/1/12
     1,775       1,830  
Contra Costa County Home Mortgage
Revenue Bonds, GNMA Mortgage
Backed Securities Program (Colld. by
GNMA), Escrowed to Maturity,
7.50%, 5/1/14
     1,000       1,204  
Duarte Redevelopment Agency SFM
Revenue Refunding Bonds, Series B,
Mortgage Backed Securities
Program (Colld. by FNMA),
Escrowed to Maturity,
6.88%, 10/1/11
     950       1,058  
TAX-EXEMPT FIXED INCOME FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 76.4% – CONTINUED
                
California - 74.0% – (continued)
                
East Bay Regional Park District
G.O. Refunding Bonds,
5.00%, 9/1/17
   $ 250     $ 254  
Escondido Union School District
G.O. Refunding Bonds, Series B
(FGIC Insured),
4.50%, 8/1/25
     1,000       973  
Fremont-Newark Community College
District G.O. Bonds, Series A
(MBIA Insured),
5.38%, 8/1/18
     1,350       1,429  
5.38%, 8/1/19
     625       662  
Glendale Unified School District G.O.
Bonds, Series D (MBIA Insured),
5.38%, 9/1/18
     1,000       1,051  
Golden State Tobacco Securitization
Corp. Tobacco Settlement Revenue
Bonds, Series A, Enhanced Asset
Backed (AMBAC Insured),
5.00%, 6/1/21
     1,000       1,029  
Golden State Tobacco Securitization
Corp. Tobacco Settlement Revenue
Bonds, Series B, Enhanced Asset
Backed, Escrowed to Maturity,
5.00%, 6/1/10
     2,000       2,060  
Imperial Irrigation District COP,
Electric Systems Project,
6.50%, 11/1/07
     1,030       1,039  
Industry Public Facilities Authority
Tax Allocation Revenue Bonds
(MBIA Insured),
3.75%, 5/1/15
     1,000       980  
4.00%, 5/1/16
     500       497  
4.00%, 5/1/20
     500       480  
Los Angeles Community College District
G.O. Bonds, Series E, 2003 Election
(FSA Insured),
5.00%, 8/1/17
     300       320  
Los Angeles County Metropolitan
Transportation Authority Sales Tax
Revenue Refunding Bonds, Series A,
2nd Senior (FSA Insured),
4.50%, 7/1/30
     750       713  
Los Angeles County Metropolitan
Transportation Authority Sales TRB,
Series B, Property A-First Tier
(FSA Insured),
4.75%, 7/1/15
     1,250       1,276  
Los Angeles County Metropolitan
Transportation Authority Sales TRB,
Series B, Property A-First Tier
(FSA Insured), Prerefunded,
4.75%, 7/1/09
   $ 850     $ 875  
Los Angeles Department of Water &
Power Waterworks Revenue Bonds,
Series C (MBIA Insured),
5.00%, 7/1/29
     1,300       1,341  
Los Angeles Unified School District G.O.
Revenue Refunding Bonds, Series A-2
(FGIC Insured),
4.50%, 7/1/23
     2,000       1,975  
Lucia Mar Unified School District G.O.
Refunding Bonds (FGIC Insured),
5.25%, 8/1/22
     1,300       1,425  
Metropolitan Water District of Southern
California Waterworks Revenue Bonds,
Series A, Prerefunded,
5.50%, 7/1/09
     1,350       1,409  
Modesto Wastewater Revenue Refunding
Bonds, Series A (FSA Insured),
5.25%, 11/1/18
     1,000       1,073  
Newark Unified School District Capital
Appreciation G.O. Bonds, Series D,
Election of 1997 (FSA Insured),
0.00%, 8/1/24
     2,430       1,091  
Orange County Water District COP,
Series B (MBIA Insured),
5.38%, 8/15/18
     1,000       1,061  
Palomar Community College District
G.O. Bonds, Series A, Election of 2006
(FSA Insured),
4.50%, 5/1/25
     1,500       1,475  
Poway Unified School District Public
Financing Authority Special TRB
(AMBAC Insured),
5.00%, 9/15/31
     1,000       1,030  
Ross Elementary School District
G.O. Bonds, Election 2006
(MBIA Insured),
5.25%, 8/1/27
     455       485  
Sacramento County Sanitation District
Financing Authority Revenue Bonds,
Series A,
5.60%, 12/1/16
     915       916  
NORTHERN FUNDS QUARTERLY REPORT      2      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 76.4% – CONTINUED
                
California - 74.0% – (continued)
                
San Francisco City & County Airport
Commission International Airport
Revenue Refunding Bonds, Second
Series Issue 20 (MBIA Insured),
4.75%, 5/1/15
   $ 500     $ 507  
San Francisco City & County Airports
Commission International Airport
Revenue Refunding Bonds, Second
Series Issue 32F (FGIC Insured),
5.00%, 5/1/15
     775       824  
San Francisco City & County G.O. Bonds,
Series A, Educational Facilities
Community College Project,
Prerefunded,
5.75%, 6/15/08
     700       727  
San Gabriel Unified School District G.O.
Bonds, Series A (FSA Insured),
5.38%, 8/1/18
     180       191  
San Joaquin County COP, County
Administration Building (MBIA
Insured),
4.75%, 11/15/33
     1,000       990  
San Jose Airport Revenue Bonds,
Series A (FGIC Insured),
5.25%, 3/1/16
     1,000       1,038  
San Juan Unified School District G.O.
Bonds, Election of 2002 (FGIC Insured),
5.00%, 8/1/25
     925       961  
San Marcos PFA Capital Appreciation
Custom Receipts Revenue Bonds,
Escrowed to Maturity,
0.00%, 7/1/11
     1,000       853  
San Mateo County Community College
District G.O. Bonds, Series A,
Election of 2001 (FGIC Insured),
5.00%, 9/1/21
     1,000       1,039  
San Mateo County Transit District
Revenue Bonds, Series A
(MBIA Insured), Prerefunded,
5.00%, 6/1/10
     575       587  
Santa Rosa Wastewater Revenue
Refunding Bonds, Series A,
Subregional Wastewater Project
(FGIC Insured), Prerefunded,
4.75%, 9/1/07
     1,000       1,007  
Southern California Public Power
Authority Capital Appreciation
Subordinate Revenue Refunding
Bonds, Southtran Transmission
Project,
0.00%, 7/1/14
     1,000       741  
Southern California Public Power
Authority Power Project Revenue
Bonds,
6.75%, 7/1/12
     2,100       2,348  
University of California Regents Medical
Center Revenue Bonds, Series A
(MBIA Insured),
4.50%, 5/15/24
     1,250       1,220  
University of California Revenue Bonds,
Series A, Limited Project
(MBIA Insured),
4.75%, 5/15/26
     1,900       1,912  
University of California Revenue Bonds,
Series B, Limited Project,
4.75%, 5/15/38
     1,750       1,733  
University of California Revenue Bonds,
Series C (MBIA Insured),
4.75%, 5/15/31
     2,000       2,012  
Washington Township Healthcare District
Revenue Bonds,
4.50%, 7/1/07
     1,005       1,005  
5.00%, 7/1/09
     250       255  
 
 
             90,126  
 
Puerto Rico - 1.8%
                
Puerto Rico Commonwealth Highway &
Transportation Authority Revenue
Refunding Bonds, Series CC
(FSA Insured),
5.25%, 7/1/32
     1,000       1,111  
Puerto Rico Electric Power Authority
Revenue Refunding Bonds, Series VV
(FGIC Insured),
5.25%, 7/1/24
     1,000       1,092  
 
 
             2,203  
 
TAX-EXEMPT FIXED INCOME FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 76.4% – CONTINUED
                
Virgin Islands - 0.6%
                
Virgin Islands PFA Revenue Bonds,
Series A, Gross Receipts Tax Lien Note,
5.63%, 10/1/10
   $ 705     $ 717  
 
Total Municipal Bonds
                
 
(Cost $92,186)
             93,046  
 
                
SHORT-TERM INVESTMENTS - 21.9%
                
Bay Area Toll Authority Revenue VRDB,
Series C, San Francisco Bay Area
(AMBAC Insured),
3.59%, 7/5/07
     900       900  
California Health Facilities Financing
Authority Revenue VRDB, Series J,
Health Facilities-Catholic
(Bank of America N.A. LOC),
3.69%, 7/4/07
     100       100  
California Infrastructure & Economic
Development Bank Revenue VRDB,
Series B, J Paul Getty Trust,
3.82%, 7/2/07
     300       300  
California Pollution Control Financing
Authority PCR Refunding VRDB
(Bank One N.A. LOC),
3.84%, 7/2/07
     1,100       1,100  
California Pollution Control Financing
Authority PCR Refunding VRDB,
Series C, Pacific Gas & Electric
(JP Morgan Chase Bank LOC),
3.88%, 7/2/07
     800       800  
California State Department of Water
Resources Power Supply Revenue
VRDB, Series B-1 (Bank Of New York LOC),
3.79%, 7/2/07
     3,000       3,000  
California State Department of Water
Resources Power Supply Revenue
VRDB, Series B-2 (BNP Paribas LOC),
3.83%, 7/2/07
     900       900  
California State Department of Water
Resources Power Supply Revenue
VRDB, Series C-4 (JPMorgan Chase Bank LOC),
3.63%, 7/5/07
     900       900  
California State Department of Water
Resources Power Supply Revenue
VRDB, Subseries G-1 (Bank of Nova Scotia LOC),
3.69%, 7/5/07
     1,000       1,000  
California State Department of Water
Resources Power Supply VRDB,
Series C-7 (FSA Insured),
3.65%, 7/5/07
     6,050       6,050  
California State Economic Recovery
Revenue VRDB, Series C-8
(Lloyds TSB Bank PLC LOC),
3.85%, 7/2/07
     1,600       1,600  
California State Economic Recovery
Revenue VRDB, Series C-16
(FSA ST Gtd.),
3.71%, 7/4/07
     400       400  
California State G.O. VRDB,
Series B-4 (BNP Paribas LOC),
3.65%, 7/4/07
     800       800  
California State G.O. VRDB,
Series B - Subseries B-6
(KBC Bank N.V. LOC),
3.88%, 7/2/07
     200       200  
California Statewide Communities
Development Authority Revenue VRDB,
University of San Diego
(BNP Paribas LOC),
3.66%, 7/4/07
     1,200       1,200  
California Statewide Communities
Development Authority VRDB, Series L,
3.75%, 7/4/07
     2,000       2,000  
Irvine Improvement Act 1915 Limited
Obligation Special Assessment VRDB,
Assessment District No. 93-14
(Bank of America N.A. LOC),
3.80%, 7/2/07
     200       200  
Los Angeles Convention & Exhibit Center
Authority Lease Revenue Refunding
VRDB, Series D (AMBAC Insured),
3.65%, 7/4/07
     200       200  
Los Angeles Department of Water &
Power Waterworks Revenue VRDB,
Subseries B-1,
3.75%, 7/5/07
     3,050       3,050  
Metropolitan Water District of Southern
California Waterworks Revenue
Refunding VRDB, Series C1,
3.62%, 7/5/07
     15       15  
NORTHERN FUNDS QUARTERLY REPORT      4      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  CALIFORNIA INTERMEDIATE TAX-EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 21.9% – CONTINUED
                
Metropolitan Water District of Southern
California Waterworks Revenue VRDB,
Series B, 3.63%, 7/5/07
   $ 200     $ 200  
Metropolitan Water District of Southern
California Waterworks Revenue VRDB,
Series B-3, 3.82%, 7/2/07
     300       300  
Orange County Sanitation District COP VRDB,
3.85%, 7/2/07
     200       200  
San Francisco City & County
Redevelopment Agency Multifamily
Revenue VRDB, Series A,
Bayside Village Project
(Bank One Arizona N.A. LOC),
3.69%, 7/4/07
     200       200  
San Francisco City & County
Redevelopment Agency Multifamily
Revenue VRDB, Series B,
Housing – Bayside Village Project
(Bank One Arizona N.A. LOC),
3.69%, 7/4/07
     1,000       1,000  
 
Total Short-Term Investments
                
 
(Cost $26,615)
             26,615  
 
                
Total Investments - 98.3%
                
 
(Cost $118,801)
             119,661  
Other Assets less Liabilities - 1.7%
             2,098  
 
NET ASSETS - 100.0%
           $ 121,759  
Percentages shown are based on Net Assets.
At June 30, 2007, the industry sectors for the California Intermediate Tax-Exempt Fund were:
         
INDUSTRY SECTOR   % OF INVESTMENTS
General
     6.3 %
General Obligation
     17.9  
Higher Education
     12.8  
Medical
     7.6  
Power
     14.2  
School District
     7.8  
Utilities
     5.3  
Water
     5.9  
All other sectors less than 5%
     22.2  
 
Total
     100.0 %
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 118,801  
 
Gross tax appreciation of investments
   $ 1,847  
Gross tax depreciation of investments
     (987 )
 
Net tax appreciation of investments
   $ 860  
 
TAX-EXEMPT FIXED INCOME FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of total net assets.
Interest rates represent either the stated coupon rate, annualized yield on the date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent the stated date on the security, the next interest reset/puttable date for floating and variable rate securities or the prerefunded date for these types of securities.
Prerefunding is a procedure in which a bond issuer floats a second bond in order to pay off the first bond at the first call date. The proceeds from the sale of the second bond are safely invested, usually in Treasury securities, that will mature at the first call date of the first bond issue. Those first bonds are said to be prerefunded after this operation has taken place.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:
ACA — American Capital Access
AMBAC — American Municipal Bond Assurance Corporation
Colld. — Collateralized
COP — Certificate of Participation
FGIC — Financial Guaranty Insurance Corporation
FNMA — Fannie Mae
FSA — Financial Security Assurance
GNMA — Government National Mortgage Association
G.O. — General Obligation
Gtd. — Guaranteed
LOC — Letter of Credit
MBIA — Municipal Bond Insurance Association
PCR — Pollution Control Revenue
PFA — Public Finance Authority
SFM — Single Family Mortgage
TRB — Tax Revenue Bonds
TSB — Trustee Saving Bank
VRDB — Variable Rate Demand Bonds
NORTHERN FUNDS QUARTERLY REPORT      6      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  CALIFORNIA TAX-EXEMPT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 96.0%
                
California - 86.7%
                
Alameda County Unified School District
Capital Appreciation G.O. Bonds,
Series A (FSA Insured),
0.00%, 8/1/29
   $ 2,000     $ 691  
Alameda County Water District Revenue
Refunding Bonds (MBIA Insured),
4.75%, 6/1/20
     2,000       2,017  
Anaheim PFA Revenue Bonds, Electric
System Distributing Facilities
(MBIA Insured), Prerefunded,
5.00%, 10/1/08
     2,000       2,052  
Anaheim PFA Tax Allocation Revenue
Bonds, Series A, Redevelopment
Project (MBIA Insured),
5.25%, 2/1/18
     250       255  
Anaheim Union High School District Capital
Appreciation G.O. Bonds, Election 2002
(MBIA Insured),
0.00%, 8/1/28
     575       209  
Arcadia Unified School District Capital
Appreciation G.O. Bonds, Series A,
Election 2006 (FSA Insured),
0.00%, 8/1/25
     2,710       1,103  
Aztec Shops Ltd. Auxiliary Organization
Student Housing Revenue Bonds,
San Diego State University,
6.00%, 9/1/31
     2,000       2,095  
Bay Area Governments Association
Infrastructure Financing Authority
Revenue Bonds, Payment Acceleration
Notes (FGIC Insured),
5.00%, 8/1/17
     3,000       3,152  
Beverly Hills PFA Lease Revenue Bonds,
Capital Improvement Project,
4.50%, 6/1/28
     1,000       952  
California Educational Facilities Authority
Capital Appreciation Revenue Bonds,
Loyola Marymount (MBIA Insured), Prerefunded,
0.00%, 10/1/09
     4,435       1,231  
0.00%, 10/1/09
     3,435       837  
California Educational Facilities Authority
Revenue Bonds, University of the Pacific,
5.00%, 11/1/30
     1,500       1,532  
California Health Facilities Finance Authority
Revenue Bonds, Series A, Cedars-Sinai
Medical Center, Prerefunded,
6.13%, 12/1/09
     3,350       3,566  
California Health Facilities Financing
Authority Revenue Bonds, Series A,
Sutter Health,
5.25%, 11/15/46
     2,500       2,575  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Bay Area Toll Bridges — First
Lien (AMBAC Insured), Prerefunded,
5.13%, 7/1/26
     1,000       1,098  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Bay Area Toll Bridges -
First Lien (FGIC Insured),
Escrowed to Maturity,
5.00%, 7/1/25
     1,500       1,623  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Scripps Research Institute,
5.75%, 7/1/30
     250       256  
California State G.O. Bonds,
5.00%, 2/1/20
     840       864  
5.13%, 6/1/24
     25       26  
California State G.O. Bonds, Prerefunded,
5.13%, 6/1/11
     1,975       2,066  
5.00%, 2/1/12
     160       167  
California State G.O. Refunding Bonds (FGIC Insured),
4.75%, 2/1/29
     1,000       1,001  
California State G.O. Refunding Bonds
(MBIA Insured),
4.25%, 8/1/33
     1,000       914  
California State G.O. Refunding Bonds,
4.00%, 10/1/17
     1,000       975  
4.38%, 10/1/17
     1,390       1,392  
4.00%, 12/1/18
     3,700       3,575  
5.00%, 9/1/20
     650       678  
5.00%, 3/1/21
     1,000       1,033  
5.00%, 8/1/22
     500       516  
TAX-EXEMPT FIXED INCOME FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 96.0% – CONTINUED
                
California - 86.7% – (continued)
                
California State Public Works Board Lease
Revenue Refunding Bonds, Series B,
Various Community College Project
(AMBAC Insured),
5.63%, 3/1/16
   $ 1,000     $ 1,012  
California State Public Works Board Lease
Revenue Bonds, Series H, Department of
Corrections & Rehabilitation,
5.00%, 6/1/19
     500       520  
California State University Foundation
Revenue Bonds, Series A, Sacramento
Auxiliary (MBIA Insured), Prerefunded,
5.50%, 10/1/12
     500       538  
5.50%, 10/1/12
     500       538  
California State Various Purpose G.O. Bonds,
4.75%, 3/1/34
     1,000       992  
5.00%, 6/1/37
     4,500       4,595  
California Statewide Communities
Development Authority Student Housing
Revenue Bonds, Series A, East Campus
Apartments LLC (ACA Insured),
5.63%, 8/1/34
     1,000       1,044  
Dry Creek Joint Elementary School
District Capital Appreciation G.O. Bonds,
Series A (FSA Insured),
0.00%, 8/1/09
     400       369  
East Bay Municipal Utilities District Water
System Revenue Bonds (MBIA Insured),
Prerefunded, 5.00%, 6/1/11
     1,000       1,041  
East Bay Regional Park District
G.O. Refunding Bonds,
5.00%, 9/1/17
     2,250       2,282  
Escondido Union School District
G.O. Refunding Bonds, Series B
(FGIC Insured),
4.50%, 8/1/25
     1,000       973  
Folsom G.O. Bonds, Series D, School
Facilities Project (FGIC Insured),
5.70%, 8/1/13
     200       204  
Fremont-Newark Community College
District G.O. Bonds, Series A
(MBIA Insured),
5.38%, 8/1/19
     750       794  
Glendale Unified School District
G.O. Bonds, Series D (MBIA Insured),
5.38%, 9/1/18
     665       699  
Golden State Tobacco Securitization Corp.
Revenue Bonds, Series B, Enhanced
Asset Backed, Prerefunded,
5.38%, 6/1/10
     2,220       2,309  
5.63%, 6/1/13
     2,000       2,172  
Huntington Beach Unified High School
District G.O. Bonds, Election 2004
(FSA Insured),
5.00%, 8/1/29
     1,155       1,192  
Imperial Irrigation District COP,
Electric Systems Project,
6.50%, 11/1/07
     825       832  
Imperial Irrigation District Refunding COP,
Electric Systems Project
(MBIA Insured),
5.20%, 11/1/09
     175       179  
Industry Public Facilities Authority
Tax Allocation Revenue Bonds
(MBIA Insured),
4.00%, 5/1/16
     1,000       993  
Lemoore Union High School District
G.O. Bonds (AMBAC Insured),
6.00%, 1/1/12
     200       217  
Los Angeles County Metropolitan
Transportation Authority Sales Tax
Revenue Refunding Bonds, Series A, 2nd
Senior (FSA Insured),
4.50%, 7/1/30
     1,250       1,189  
Los Angeles County Metropolitan
Transportation Authority Sales TRB,
Series B, Property A-First Tier
(FSA Insured),
4.75%, 7/1/15
     1,750       1,786  
Los Angeles County Metropolitan
Transportation Authority Sales TRB,
Series B, Property A-First Tier
(FSA Insured), Prerefunded,
4.75%, 7/1/09
     1,150       1,184  
NORTHERN FUNDS QUARTERLY REPORT      2      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  CALIFORNIA TAX-EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 96.0% – CONTINUED
                
California - 86.7% – (continued)
                
Los Angeles Department of Water & Power
Waterworks Revenue Bonds, Series C
(MBIA Insured),
5.00%, 7/1/29
   $ 1,500     $ 1,547  
Los Angeles Harbor Department Revenue
Bonds, Escrowed to Maturity,
7.60%, 10/1/18
     35       42  
Los Angeles Unified School District
G.O. Revenue Refunding Bonds,
Series A-2 (FGIC Insured),
4.50%, 7/1/23
     1,000       988  
Lucia Mar Unified School District
G.O. Refunding Bonds (FGIC Insured),
5.25%, 8/1/22
     700       768  
Modesto Irrigation District Refunding COP,
Series B, Capital Improvements Projects,
5.30%, 7/1/22
     1,655       1,656  
Monterey Regional Water Pollution Control
Agency Wastewater Revenue Bonds
(AMBAC Insured),
5.00%, 6/1/24
     1,025       1,072  
Natomas Unified School District
G.O. Bonds, Series B, Election 2002 (FGIC Insured),
5.00%, 9/1/27
     1,000       1,033  
New Haven Unified School District
G.O. Refunding Bonds (FSA Insured),
5.75%, 8/1/20
     320       345  
Palomar Community College District
G.O. Bonds, Series A, Election of 2006
(FSA Insured),
4.50%, 5/1/25
     1,250       1,229  
Perris Unified High School District Capital
Appreciation G.O. Bonds, Series B
(FGIC Insured),
0.00%, 9/1/26
     1,000       410  
Poway Unified School District Public
Financing Authority Special TRB (AMBAC Insured),
5.00%, 9/15/31
     1,000       1,030  
Rio Hondo Community College District
G.O. Bonds, Series A, School Facilities
Construction & Improvement
(MBIA Insured), Prerefunded,
5.25%, 8/1/14
     2,000       2,157  
Ross Elementary School District
G.O. Bonds, Election 2006
(MBIA Insured),
5.25%, 8/1/27
     850       906  
Sacramento County Sanitation District
Financing Authority Revenue Bonds,
Series A,
5.60%, 12/1/16
     305       305  
San Francisco City & County Airport
Commission International Airport
Revenue Refunding Bonds, Second
Series Issue 20 (MBIA Insured),
4.75%, 5/1/15
     1,000       1,015  
San Francisco City & County G.O. Bonds,
Series A, Educational Facilities
Community College Project, Prerefunded,
5.75%, 6/15/08
     1,200       1,246  
San Francisco State Building Authority
Lease Revenue Bonds, Series A,
Department of General Services,
5.00%, 10/1/13
     4,250       4,396  
San Gabriel Unified School District
G.O. Bonds, Series A (FSA Insured),
5.38%, 8/1/19
     200       212  
5.38%, 8/1/20
     225       238  
San Joaquin County COP, County
Administration Building (MBIA Insured),
4.75%, 11/15/33
     1,000       990  
San Jose Airport Revenue Bonds,
Series A (FGIC Insured),
5.25%, 3/1/16
     440       457  
San Jose G.O. Bonds, Libraries & Public Safety Project,
4.25%, 9/1/23
     770       743  
San Jose Unified School District Santa Clara
County G.O. Bonds, Series A
(FSA Insured),
5.38%, 8/1/19
     500       529  
San Juan Unified School District G.O.
Bonds, Election of 2002 (FGIC Insured),
5.00%, 8/1/25
     1,000       1,038  
San Mateo County Transit District Revenue
Bonds, Series A (MBIA Insured), Prerefunded,
4.50%, 6/1/10
     1,225       1,244  
5.00%, 6/1/10
     500       510  
TAX-EXEMPT FIXED INCOME FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 96.0% – CONTINUED
                
California - 86.7% – (continued)
                
Santa Margarita-Dana Point Authority
Revenue Bonds, Series B, California
Improvements Districts 3, 3a, 4, & 4a
(MBIA Insured),
7.25%, 8/1/09
   $ 1,150     $ 1,229  
Santa Rosa Wastewater Revenue Refunding
Bonds, Series A (FGIC Insured),
5.25%, 9/1/16
     35       37  
Santa Rosa Wastewater Revenue Refunding
Bonds, Series A, Subregional
Wastewater Project (FGIC Insured), Prerefunded,
4.75%, 9/1/07
     200       201  
Torrance Hospital Revenue Bonds,
Series A, Torrance Memorial
Medical Center,
6.00%, 6/1/22
     500       532  
University of California Regents Medical
Center Revenue Bonds, Series A
(MBIA Insured),
4.50%, 5/15/24
     1,000       976  
University of California Revenue Bonds,
Series A, Limited Project
(MBIA Insured),
4.75%, 5/15/26
     1,000       1,006  
University of California Revenue Bonds,
Series B, Limited Project,
4.75%, 5/15/38
     2,525       2,501  
University of California Revenue Bonds,
Series C (MBIA Insured),
4.75%, 5/15/31
     1,000       1,006  
University of California Revenue Bonds,
Series J (FSA Insured),
4.50%, 5/15/26
     2,505       2,440  
Vista Unified School District G.O. Bonds,
Series A (FSA Insured),
5.38%, 8/1/16
     100       106  
5.38%, 8/1/17
     190       201  
Walnut Valley Unified School District
G.O. Refunding Bonds, Series A
(MBIA Insured),
7.20%, 2/1/16
     1,000       1,149  
Washington Township Healthcare
District Revenue Bonds,
5.00%, 7/1/09
     405       412  
5.00%, 7/1/11
     500       512  
5.00%, 7/1/12
     1,270       1,297  
West Kern Community College District
Capital Appreciation G.O. Bonds,
Series B, Election 2004 (XLCA Insured),
0.00%, 11/1/21
     1,280       639  
 
 
             106,455  
 
Puerto Rico - 8.4%
                
Puerto Rico Commonwealth Highway &
Transportation Authority Revenue Bonds,
Series B (MBIA Insured), Prerefunded,
5.75%, 7/1/10
     1,600       1,697  
Puerto Rico Commonwealth Highway &
Transportation Authority Revenue
Refunding Bonds, Series CC
(FSA Insured),
5.25%, 7/1/32
     2,000       2,220  
Puerto Rico Commonwealth Infrastructure
Financing Authority Special Obligation
Bonds, Series A, Escrowed to Maturity,
5.50%, 10/1/40
     4,000       4,210  
Puerto Rico Electric Power Authority
Revenue Refunding Bonds,
Series UU (FSA Insured),
5.00%, 7/1/14
     1,000       1,059  
Puerto Rico Electric Power Authority
Revenue Refunding Bonds,
Series VV (FGIC Insured),
5.25%, 7/1/24
     1,000       1,092  
 
 
             10,278  
 
Virgin Islands — 0.9%
                
Virgin Islands PFA Revenue Bonds,
Series A, Gross Receipts Tax Lien Note,
5.63%, 10/1/10
     1,050       1,068  
 
Total Municipal Bonds
                
 
(Cost $115,187)
             117,801  
 
                
SHORT-TERM INVESTMENTS - 2.9%
                
Bay Area Toll Authority Revenue VRDB,
Series C, San Francisco Bay Area
(AMBAC Insured),
3.59%, 7/5/07
     400       400  
California Pollution Control Financing
Authority PCR Refunding VRDB
(Bank One N.A. LOC),
3.84%, 7/2/07
     100       100  
NORTHERN FUNDS QUARTERLY REPORT      4      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  CALIFORNIA TAX-EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 2.9% – CONTINUED
                
California Pollution Control Financing
Authority PCR Refunding VRDB,
Series C, Pacific Gas & Electric
(JP Morgan Chase Bank LOC),
3.88%, 7/2/07
   $ 550     $ 550  
California State Department of Water
Resources Power Supply Revenue VRDB,
Series B-1 (Bank Of New York LOC),
3.79%, 7/2/07
     200       200  
California State Economic Recovery
Revenue VRDB, Series C-4,
3.81%, 7/2/07
     200       200  
California State Economic Recovery
Revenue VRDB, Series C-8
(Lloyds TSB Bank PLC LOC),
3.85%, 7/2/07
     800       800  
Los Angeles Convention & Exhibit Center
Authority Lease Revenue Refunding
VRDB, Series D (AMBAC Insured),
3.65%, 7/4/07
     500       500  
Metropolitan Water District of Southern
California Waterworks Revenue VRDB,
Series B, 3.63%, 7/5/07
     200       200  
Metropolitan Water District of Southern
California Waterworks Revenue VRDB,
Series B-3, 3.82%, 7/2/07
     100       100  
Orange County Sanitation District COP VRDB,
3.85%, 7/2/07
     100       100  
San Francisco City & County
Redevelopment Agency Multifamily
Revenue VRDB, Series B, Housing -
Bayside Village Project (Bank One
Arizona N.A. LOC),
3.69%, 7/4/07
     400       400  
 
Total Short-Term Investments
                
 
(Cost $3,550)
             3,550  
 
                
Total Investments - 98.9%
                
 
(Cost $118,737)
             121,351  
Other Assets less Liabilities - 1.1%
             1,376  
 
NET ASSETS - 100.0%
           $ 122,727  
Percentages shown are based on Net Assets.
At June 30, 2007, the industry sectors for the California Tax-Exempt Fund were:
         
INDUSTRY SECTOR   % OF INVESTMENTS
Facilities
     5.7 %
General
     5.4  
General Obligation
     19.8  
Higher Education
     15.4  
Medical
     7.3  
Power
     5.8  
School District
     11.0  
Transportation
     8.5  
All other sectors less than 5%
     21.1  
 
Total
     100.0 %
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 118,737  
Gross tax appreciation of investments
   $ 3,733  
Gross tax depreciation of investments
     (1,119 )
 
Net tax appreciation of investments
   $ 2,614  
 
TAX-EXEMPT FIXED INCOME FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of total net assets.
Interest rates represent either the stated coupon rate, annualized yield on the date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent the stated date on the security, the next interest reset/puttable date for floating and variable rate securities or the prerefunded date for these types of securities.
Prerefunding is a procedure in which a bond issuer floats a second bond in order to pay off the first bond at the first call date. The proceeds from the sale of the second bond are safely invested, usually in Treasury securities, that will mature at the first call date of the first bond issue. Those first bonds are said to be prerefunded after this operation has taken place.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:
ACA — American Capital Access
AMBAC — American Municipal Bond Assurance Corporation
COP — Certificate of Participation
FGIC — Financial Guaranty Insurance Corporation
FSA — Financial Security Assurance
G.O. — General Obligation
LOC — Letter of Credit
MBIA — Municipal Bond Insurance Association
PCR — Pollution Control Revenue
PFA — Public Finance Authority
TRB — Tax Revenue Bonds
TSB — Trustee Saving Bank
VRDB — Variable Rate Demand Bonds
XLCA — XL Capital Assurance
NORTHERN FUNDS QUARTERLY REPORT      6      TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD MUNICIPAL FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9%
                
Alabama - 0.6%
                
Butler Industrial Development Board
Solid Waste Disposal Revenue
Refunding Bonds (AMT),
Georgia-Pacific Corp. Project,
5.75%, 9/1/28
   $ 1,000     $ 1,022  
Camden Industrial Development Board
Revenue Refunding Bonds, Series A,
Weyerhaeuser Company,
6.13%, 12/1/24
     1,000       1,073  
 
 
             2,095  
 
Alaska - 0.4%
                
Alaska Industrial Development &
Export Authority Community
Provider Revenue Bonds, Boys &
Girls Home and Family Service, Inc.
Project,
5.88%, 12/1/27
     1,500       1,516  
Arizona - 2.7%
                
Arizona Health Facilities Authority
Health Care Facilities Revenue
Bonds, Beatitudes Campus Project,
5.20%, 10/1/37
     2,000       1,964  
Arizona Health Facilities Authority
Hospital System Revenue Bonds,
John C. Lincoln Health Network,
Prerefunded,
6.88%, 12/1/10
     1,000       1,110  
Coconino County PCR Bonds, Series A
(AMT), Tucson Electric Power Co.,
7.13%, 10/1/32
     1,000       1,026  
Glendale IDA Revenue Refunding
Bonds, Midwestern University,
5.00%, 5/15/31
     2,000       2,046  
Navajo County IDA Revenue Bonds
(AMT), Stone Container Corp.
Project,
7.40%, 4/1/26
     2,300       2,333  
Peoria IDA Revenue Refunding Bonds,
Series A, Sierra Winds Life,
6.25%, 8/15/20
     500       514  
Yavapai County IDA Hospital Facilities
Revenue Bonds, Series A, Yavapai
Regional Medical Center,
6.00%, 8/1/33
     500       526  
 
 
             9,519  
 
Arkansas - 1.3%
                
Independence County PCR Refunding
Bonds, Entergy Ark, Inc. Project,
5.00%, 1/1/21
     3,770       3,812  
Little Rock Hotel & Restaurant Gross
Receipts Refunding TRB,
7.38%, 8/1/15
     500       569  
 
 
             4,381  
 
California - 8.0%
                
California Educational Facilities
Authority Revenue Bonds,
Dominican University,
5.00%, 12/1/25
     990       1,003  
5.00%, 12/1/36
     2,000       2,005  
California Health Facilities Financing
Authority Revenue Refunding
Bonds, Cedars-Sinai Medical
Center,
5.00%, 11/15/34
     3,000       3,016  
California Pollution Control Financing
Authority Solid Waste Disposal PCR
Refunding Bonds, Series A (AMT),
USA Waste Services, Inc.,
5.10%, Mandatory Put 6/1/08
     2,300       2,317  
California State Department of Water
Resources Power Supply Revenue
Bonds, Series A,
6.00%, 5/1/14
     500       544  
California State Public Works Board
Lease Revenue Bonds, Series C,
Department of Corrections,
5.50%, 6/1/15
     1,000       1,079  
California Statewide Communities
Development Authority Revenue
Bonds, Series A, California Baptist
University,
5.50%, 11/1/38
     2,000       2,009  
Golden State Tobacco Securitization
Corp. Settlement Revenue Bonds,
Series A-1, Asset-Backed Senior,
5.13%, 6/1/47
     3,000       2,909  
Golden State Tobacco Securitization
Corp. Tobacco Settlement Revenue
Bonds, Series A, Enhanced Asset
Backed,
5.00%, 6/1/45
     2,000       2,018  
TAX-EXEMPT FIXED INCOME FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
California - 8.0% — (continued)
                
Golden State Tobacco Securitization
Corp. Tobacco Settlement Revenue
Bonds, Series A-5, Asset Backed,
Prerefunded,
7.88%, 6/1/13
   $ 500     $ 601  
Golden State Tobacco Securitization
Corp. Tobacco Settlement Revenue
Bonds, Series B, Enhanced Asset
Backed, Prerefunded,
5.50%, 6/1/13
     1,000       1,078  
Irvine Unified School District Financing
Authority Special Tax Bonds,
Series A,
5.13%, 9/1/36
     2,000       1,996  
Laguna Beach Unified School District
G.O. Bonds, Election of 2001
(FSA Insured),
5.00%, 8/1/28
     1,000       1,027  
Northstar Community Services District
No. 1 Special Tax Bonds,
5.55%, 9/1/36
     1,400       1,425  
Northstar Community Services District
Special Tax Bonds,
5.00%, 9/1/37
     3,000       2,940  
Tobacco Securitization Authority of
Southern California Tobacco
Settlement Revenue Bonds,
Series A1-SNR,
5.00%, 6/1/37
     2,000       1,908  
 
 
             27,875  
 
Colorado - 2.1%
                
Colorado Health Facilities Authority
Revenue Bonds, Portercare
Adventist Health Hospital,
Prerefunded,
6.50%, 11/15/11
     500       555  
Copperleaf Metropolitan District
No. 2 G.O. Limited Bonds,
5.85%, 12/1/26
     2,000       2,032  
5.95%, 12/1/36
     2,000       2,030  
Prairie Center Metropolitan District
No. 3 Property Tax Supported
Primary G.O. Limited Bonds,
Series A,
5.40%, 12/15/31
     2,700       2,710  
 
 
             7,327  
 
Connecticut - 0.3%
                
Connecticut State Development
Authority PCR Refunding Bonds,
Series B (AMT), Connecticut Light &
Power,
5.95%, 9/1/28
     1,000       1,035  
District of Columbia - 0.1%
                
District of Columbia Revenue Bonds,
Methodist Home of the District of
Columbia Issue,
6.00%, 1/1/20
     400       406  
Florida - 11.1%
                
Belmont Community Development
District Capital Improvement Special
Assessment Revenue Bonds,
Series B,
5.13%, 11/1/14
     2,000       1,968  
Broward County Airport Exempt
Facility Revenue Bonds (AMT),
Learjet, Inc. Project,
7.50%, 11/1/20
     3,430       3,968  
Capital Projects Finance Authority
Continuing Care Retirement
Community Revenue Bonds,
Series A, The Glenridge on Palmer
Ranch Project, Prerefunded,
8.00%, 6/1/12
     750       878  
Capital Trust Agency Revenue Bonds
(AMT), Fort Lauderdale Project,
5.75%, 1/1/32
     525       544  
Crossings at Fleming Island Community
Development District Special
Assessment Revenue Refunding
Bonds, Series C,
7.05%, 5/1/15
     400       420  
Gateway Services Community
Development District Special
Assessment Bonds, Series B, Sun
City Center — Fort Meyers Project,
5.50%, 5/1/10
     400       401  
Halifax Hospital Medical Center
Refunding & Improvement Revenue
Bonds, Series A,
5.38%, 6/1/46
     2,000       2,037  
Heritage Harbor South Community
Development District Capital
Improvement Special Assessment
Bonds, Series B,
5.40%, 11/1/08
     5       5  
NORTHERN FUNDS QUARTERLY REPORT     2     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD MUNICIPAL FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Florida - 11.1% — (continued)
                
Highlands County Health Facilities
Authority Revenue Bonds, Series A,
Adventist Health System/Sunbelt,
Prerefunded,
6.00%, 11/15/11
   $ 1,250     $ 1,355  
Hillsborough County IDA PCR
Refunding Bonds (AMT), Tampa
Electric Company,
4.25%, Mandatory Put 8/1/07
     1,600       1,600  
Islands at Doral III Community District
Special Assessment Bonds,
Series 2004-A,
5.90%, 5/1/35
     975       997  
Lee County IDA IDR Bonds, Series A,
Lee County Community Charter
Foundation,
5.25%, 6/15/27
     2,000       1,956  
5.38%, 6/15/37
     3,000       2,926  
Miami Beach Health Facilities
Authority Revenue Refunding
Bonds, Mount Sinai Medical Center,
6.75%, 11/15/29
     1,000       1,109  
Midtown Miami Community
Development District Special
Assessment Bonds, Series A,
6.25%, 5/1/37
     1,000       1,066  
Old Palm Community Development
District Special Assessment Bonds,
Series B, Palm Beach Gardens,
5.38%, 5/1/14
     975       972  
Orange County Health Facilities
Authority Revenue Bonds, Orlando
Regional Healthcare,
5.13%, 11/15/39
     1,000       1,009  
Palm Glades Community Development
District Special Assessment Bonds,
Series B,
4.85%, 5/1/11
     1,700       1,658  
Poinciana Community Development
District Special Assessment Bonds,
Series A,
7.13%, 5/1/31
     400       421  
Reunion East Community Development
District Special Assessment Bonds,
5.80%, 5/1/36
     1,000       1,019  
Florida - 11.1% — (continued)
                
Reunion West Community
Development District Special
Assessment Bonds,
6.25%, 5/1/36
     990       1,028  
South Village Community Development
District Capital Improvement
Revenue Bonds, Series A,
5.70%, 5/1/35
     970       977  
Sterling Hill Community Development
District Capital Improvement Special
Assessment Revenue Bonds,
Series B,
5.50%, 11/1/10
     310       311  
Tern Bay Community Development
District Capital Improvement Special
Assessment Revenue Bonds,
Series B,
5.00%, 5/1/15
     2,475       2,417  
Verano Center Community
Development District Special
Assessment Bonds, Series B,
District No. 1 Infrastructure Project,
5.00%, 11/1/12
     2,000       1,971  
Watergrass Community Development
District Special Assessment
Revenue Bonds, Series B,
Watergrass Development,
4.88%, 11/1/10
     1,670       1,650  
Westchester Community Development
District No. 1 Special Assessment
Bonds, Community Infrastructure,
6.00%, 5/1/23
     2,335       2,419  
Winter Garden Village at Fowler
Groves Community Development
District Special Assessment Bonds,
5.65%, 5/1/37
     1,500       1,542  
 
 
             38,624  
 
Georgia - 2.6%
                
Atlanta Tax Allocation Bonds,
Princeton Lakes Project,
5.50%, 1/1/31
     1,235       1,240  
Chatham County Hospital Authority
Revenue Bonds, Series A, Memorial
Health University Medical Center,
Inc.,
5.50%, 1/1/34
     3,000       3,074  
TAX-EXEMPT FIXED INCOME FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Georgia - 2.6% — (continued)
                
Georgia State G.O. Bonds, Series D,
Prerefunded,
5.75%, 10/1/10
   $ 705     $ 745  
Milledgeville-Baldwin County
Development Authority Revenue
Bonds, Georgia College & State
University Foundation, Prerefunded,
6.00%, 9/1/14
     3,500       3,932  
 
 
             8,991  
 
Idaho - 0.9%
                
Madison County Hospital Revenue
COP,
5.25%, 9/1/26
     1,500       1,519  
5.25%, 9/1/30
     1,500       1,514  
 
 
             3,033  
 
Illinois - 6.6%
                
Illinois Development Finance Authority
Revenue Bonds, Series B,
Midwestern University,
Prerefunded,
6.00%, 5/15/11
     500       540  
Illinois Educational Facilities Authority
Student Housing Revenue Bonds,
Educational Advancement Fund
University Center Project,
Prerefunded,
6.25%, 5/1/12
     750       828  
Illinois Finance Authority Revenue
Bonds, Series A, Illinois Institute of
Technology,
5.00%, 4/1/20
     3,000       3,040  
Illinois Finance Authority Revenue
Bonds, Series A, Landing at
Plymouth Place Project,
6.00%, 5/15/37
     1,250       1,294  
Illinois Finance Authority Revenue
Bonds, Series A, Montgomery Place
Project,
5.75%, 5/15/38
     1,600       1,643  
Illinois Finance Authority Revenue
Bonds, Series A, Smith Village
Project,
6.25%, 11/15/35
     3,000       3,137  
Illinois Finance Authority Revenue
Bonds, Series A, Three Crowns Park
Project,
5.88%, 2/15/38
     1,500       1,544  
Illinois Finance Authority Revenue
Refunding Bonds, Chicago Charter
School Project,
5.00%, 12/1/36
   $ 2,500     $ 2,516  
Illinois Finance Authority Student
Housing Revenue Bonds, Series A,
MJH Education Assistance IV,
5.13%, 6/1/35
     2,000       2,029  
Illinois Finance Authority Student
Housing Revenue Refunding Bonds,
Series A, Educational Advancement
Fund,
5.25%, 5/1/34
     4,500       4,551  
Illinois Health Facilities Authority
Revenue Bonds, Riverside Health
System, Prerefunded,
6.00%, 11/15/12
     1,000       1,094  
Illinois Health Facilities Authority
Revenue Bonds, Series A, Lutheran
Senior Ministries Obligation,
Prerefunded,
7.38%, 8/15/11
     500       567  
 
 
             22,783  
 
Indiana - 2.7%
                
Delaware County Hospital Authority
Revenue Bonds, Cardinal Health
Systems Obligation Group,
5.13%, 8/1/29
     2,000       2,001  
Indiana Development Finance
Authority Environmental Revenue
Refunding Bonds, USX Corp.
Project,
5.25%, Mandatory Put 12/2/11
     1,000       1,049  
Indiana Health & Educational Facilities
Financing Authority Hospital
Revenue Bonds, Community
Foundation Northwest Indiana,
5.50%, 3/1/37
     2,000       2,024  
Indiana Health Facility Financing
Authority Hospital Revenue Bonds,
Series A, Community Foundation of
Northwest Indiana,
6.38%, 8/1/31
     500       533  
6.00%, 3/1/34
     1,000       1,057  
North Manchester Revenue Bonds,
Series A, Peabody Retirement
Community Project,
7.25%, 7/1/33
     750       770  
NORTHERN FUNDS QUARTERLY REPORT     4     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD MUNICIPAL FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Indiana - 2.7% — (continued)
                
Petersburg PCR Bonds (AMT),
Indianapolis Power & Light,
6.38%, 11/1/29
   $ 1,000     $ 1,073  
Vigo County Hospital Authority
Revenue Bonds, Union
Hospital, Inc., (1)
5.75%, 9/1/42
     1,000       1,005  
 
 
             9,512  
 
Iowa - 5.0%
                
Bremer County Healthcare &
Residential Facilities Revenue
Bonds, Bartels Lutheran Home
Project, Prerefunded,
7.25%, 11/15/09
     500       542  
Bremer County Retirement Facility
Revenue Bonds, Series A,
Bartels Lutheran Home Project,
5.13%, 11/15/20
     400       400  
5.38%, 11/15/27
     750       754  
Coralville COP, Series D,
5.25%, 6/1/26
     2,200       2,264  
Iowa Finance Authority Senior Housing
Revenue Bonds, Series A, Wedum
Walnut Ridge LLC Project,
5.63%, 12/1/45
     5,000       4,881  
Iowa Higher Education Loan Authority
Revenue Bonds, Series B, Wartburg
Private College Facilities,
5.55%, 10/1/37
     3,000       3,055  
Iowa Higher Education Loan Authority
Revenue Refunding Bonds, Grand
View College Project,
5.10%, 10/1/36
     2,500       2,527  
Washington County Hospital Revenue
Bonds, Washington County Hospital
Project,
5.38%, 7/1/26
     1,525       1,541  
5.50%, 7/1/32
     1,275       1,290  
 
 
             17,254  
 
Kansas - 0.5%
                
Olathe Senior Living Facility Revenue
Bonds, Series A, Aberdeen Village,
Inc., Prerefunded,
8.00%, 5/15/10
     500       562  
Kansas - 0.5% — (continued)
                
Wyandotte County-Kansas City Unified
Government Special Obligation
Revenue Refunding Bonds, Series B,
Sales Tax Second Lien,
5.00%, 12/1/20
     1,000       1,027  
 
 
             1,589  
 
Louisiana - 2.0%
                
Parish of St. John Baptist Revenue
Bonds, Series A, Marathon Oil Corp.,
5.13%, 6/1/37
     5,000       5,040  
Plaquemines Port Harbor & Terminal
District Revenue Refunding Bonds,
Series B, Electro-Coal Tranfer Corp.
Project,
5.00%, 9/1/07
     2,000       2,003  
 
 
             7,043  
 
Maine - 0.3%
                
Maine Finance Authority Solid Waste
Recycling Facilities Revenue Bonds,
(AMT), Great Northern Paper
Project, Bowater Inc.,
7.75%, 10/1/22
     1,000       1,003  
Maryland - 2.6%
                
Annapolis Special Obligation Revenue
Bonds, Series A, Park Place Project,
5.35%, 7/1/34
     1,000       1,015  
Anne Arundel County Special
Obligation Bonds, National Business
Park Project, Prerefunded,
7.38%, 7/1/10
     500       550  
Maryland Industrial Development
Financing Authority Revenue Bonds,
Series A, Our Lady of Good Counsel
School,
6.00%, 5/1/35
     1,000       1,055  
Maryland State Economic
Development Corp. Student Housing
Revenue Bonds, University of
Maryland, College Park Project,
Prerefunded,
5.63%, 6/1/13
     1,000       1,080  
Maryland State Health & Higher
Educational Facilities Authority
Revenue Bonds, Series A, King Farm
Presbyterian Community,
5.30%, 1/1/37
     1,000       1,007  
TAX-EXEMPT FIXED INCOME FUNDS     5     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Maryland - 2.6% — (continued)
                
Maryland State Health & Higher
Educational Facilities Authority
Revenue Bonds, Series A,
Mercy Ridge, Prerefunded,
6.00%, 4/1/13
   $ 1,000     $ 1,105  
Maryland State Health & Higher
Educational Facilities Authority
Revenue Bonds, Washington
Christian Academy,
5.50%, 7/1/38
     1,170       1,168  
Prince Georges County Special
Obligation Bonds, National Harbor
Project,
5.20%, 7/1/34
     1,000       993  
Westminster Educational Facilities
Revenue Bonds, McDaniel College,
Inc.,
5.00%, 11/1/31
     1,000       1,010  
 
 
             8,983  
 
Massachusetts - 2.0%
                
Massachusetts State Development
Finance Agency Revenue Bonds,
Hampshire College,
5.70%, 10/1/34
     1,000       1,041  
Massachusetts State Development
Finance Agency Revenue Bonds,
Series B, Briarwood, Prerefunded,
8.25%, 12/1/10
     500       571  
Massachusetts State Development
Finance Agency Revenue Bonds
(AMT), Waste Management Project,
5.50%, Mandatory Put 5/1/14
     1,000       1,042  
Massachusetts State Health &
Educational Facilities Authority
Revenue Bonds, Series A,
Northern Berkshire Health System,
6.38%, 7/1/34
     1,000       1,051  
Massachusetts State Health &
Educational Facilities Authority
Revenue Bonds, Series B,
Northern Berkshire Health System,
6.38%, 7/1/34
     500       526  
Massachusetts State Health &
Educational Facilities Authority
Revenue Bonds, Series D,
Milton Hospital,
5.25%, 7/1/30
     2,150       2,163  
Massachusetts - 2.0% — (continued)
                
Massachusetts State Health &
Educational Facilities Authority
Revenue Bonds, Series E, Berkshire
Health System (G.O. of Institution),
6.25%, 10/1/31
     500       534  
 
 
             6,928  
 
Michigan - 2.2%
                
Flint Hospital Building Authority
Revenue Refunding Bonds,
Hurley Medical Center,
6.00%, 7/1/20
     1,000       1,039  
Michigan State Strategic Fund Ltd.
Obligation Revenue Refunding
Bonds (AMT), Dow Chemical
Project,
5.50%, Mandatory Put 6/1/13
     3,825       3,997  
Michigan Strategic Fund PCR
Refunding Bonds, General
Motors Corp.,
6.20%, 9/1/20
     2,500       2,532  
 
 
             7,568  
 
Minnesota - 0.8%
                
Duluth Economic Development
Authority Health Care Facilities
Revenue Bonds, St. Luke’s Hospital,
7.25%, 6/15/32
     750       811  
St. Paul Housing & Redevelopment
Authority Revenue Bonds, Series A,
Rossy & Richard Shaller Sholom
Home East Inc.,
5.25%, 10/1/42
     2,000       1,968  
 
 
             2,779  
 
Mississippi - 1.4%
                
Lowndes County Solid Waste
Disposal & PCR Refunding Bonds,
Series B, Weyerhaeuser Co. Project,
6.70%, 4/1/22
     1,000       1,168  
Mississippi Business Finance Corp.
PCR Refunding Bonds, Systems
Energy Resources, Inc. Project,
5.90%, 5/1/22
     630       632  
Mississippi Development Bank Special
Obligation Revenue Bonds, Harrison
County Highway Construction
(FGIC Insured),
5.00%, 1/1/16
     3,000       3,165  
 
 
             4,965  
 
NORTHERN FUNDS QUARTERLY REPORT     6     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD MUNICIPAL FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Nevada - 0.9%
                
Henderson Healthcare Facility
Revenue Bonds, Series B,
Catholic Healthcare West,
5.25%, 7/1/31
   $ 3,000     $ 3,073  
New Hampshire - 0.1%
                
New Hampshire Business Finance
Authority PCR Refunding Bonds,
Series D (AMT), Public Service Co.
of New Hampshire,
6.00%, 5/1/21
     500       517  
New Jersey - 2.2%
                
Middlesex County Improvement
Authority Revenue Bonds,
Series A, George Street Student
Housing Project,
5.00%, 8/15/35
     1,000       1,026  
New Jersey Economic Development
Authority Revenue Bonds,
Cigarette Tax,
5.75%, 6/15/34
     1,000       1,055  
New Jersey Economic Development
Authority Revenue Bonds, Series A,
First Mortgage-Lions Gate Project,
5.88%, 1/1/37
     1,000       1,026  
New Jersey Health Care Facilities
Financing Authority Revenue Bonds,
Series A, Capital Health Systems
Obligation Group,
5.38%, 7/1/33
     1,000       1,026  
New Jersey State Educational
Facilities Authority Revenue Bonds,
Series D, Fairleigh Dickinson
University,
6.00%, 7/1/25
     1,000       1,076  
Tobacco Settlement Financing Corp.
Revenue Bonds, Prerefunded,
6.75%, 6/1/13
     500       571  
Tobacco Settlement Financing Corp.
Revenue Bonds, Series 1A,
4.75%, 6/1/34
     2,000       1,835  
 
 
             7,615  
 
New York - 4.3%
                
Long Island Power Authority Electric
Systems Revenue Bonds, Series B,
5.25%, 12/1/14
     3,000       3,213  
New York - 4.3% — (continued)
                
Metropolitan Transportation Authority
Dedicated Tax Fund Revenue Bonds,
Series A (FGIC Insured),
5.25%, 11/15/14
     1,695       1,824  
Monroe County IDA Civic Facilities
Revenue Refunding Bonds,
Highland Hospital Rochester,
5.00%, 8/1/22
     1,000       1,012  
New York City G.O. Bonds, Series B,
6.50%, 8/15/09
     1,500       1,577  
New York City IDA Special Facilities
Revenue Bonds (AMT), Terminal
One Group Association Project,
5.50%, 1/1/24
     1,000       1,051  
New York City Transitional Finance
Authority Revenue Refunding
Bonds, Series A-1, Future Tax
Secured,
5.00%, 11/1/14
     2,000       2,118  
New York Liberty Development Corp.
Revenue Bonds, Series A,
National Sports Museum Project,
6.50%, 8/15/09
     2,500       2,585  
New York State Mortgage Agency
Revenue Bonds, Series 130 (AMT),
Homeowner Mortgage,
4.80%, 10/1/37
     1,740       1,652  
 
 
             15,032  
 
North Carolina - 1.9%
                
Gaston County Industrial Facilities &
Pollution Control Financing Authority
Revenue Bonds (AMT), Exempt
Facilities-National Gypsum Co.
Project,
5.75%, 8/1/35
     1,500       1,558  
North Carolina Eastern Municipal
Power Agency Power System
Revenue Bonds, Series D,
6.45%, 1/1/14
     385       409  
North Carolina Eastern Municipal
Power Agency Power System
Revenue Refunding Bonds, Series B,
6.13%, 1/1/09
     500       515  
5.70%, 1/1/17
     1,500       1,559  
TAX-EXEMPT FIXED INCOME FUNDS     7     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
North Carolina - 1.9% — (continued)
                
North Carolina Eastern Municipal
Power Agency Power System
Revenue Refunding Bonds, Series F,
5.38%, 1/1/13
   $ 1,000     $ 1,054  
North Carolina Municipal Power
Agency No. 1 Catawba Electric
Revenue Bonds, Series A,
5.50%, 1/1/13
     1,000       1,053  
North Carolina Municipal Power
Agency No. 1 Catawba Electric
Revenue Bonds, Series B,
6.38%, 1/1/13
     500       531  
 
 
             6,679  
 
Ohio - 1.9%
                
Ohio State Higher Educational Facility
Commission Revenue Bonds,
Series A, University Hospitals
Health Systems, Inc.,
5.25%, 1/15/46
     3,500       3,565  
Toledo-Lucas County Port Authority
Revenue Refunding Bonds, CSX
Transportation, Inc. Project,
6.45%, 12/15/21
     2,750       3,194  
 
 
             6,759  
 
Oklahoma - 1.3%
                
Langston Economic Development
Authority Student Housing Revenue
Bonds, Series A, Langston
Community Development Corp.,
Prerefunded,
7.75%, 8/1/10
     500       563  
Norman Regional Hospital Authority
Revenue Bonds,
5.38%, 9/1/36
     2,000       2,037  
Oklahoma Development Finance
Authority Hospital Revenue Bonds,
Great Plains Regional Medical
Center Project,
5.13%, 12/1/36
     2,000       1,995  
 
 
             4,595  
 
Pennsylvania - 7.0%
                
Allegheny County Hospital
Development Authority Health
System Revenue Bonds, Series A,
West Penn Allegheny Health
System,
5.38%, 11/15/40
     5,000       4,972  
Pennsylvania - 7.0% — (continued)
                
Allegheny County Redevelopment
Authority Tax Allocation Revenue
Bonds, Pittsburgh Mills Project,
5.60%, 7/1/23
     2,000       2,102  
Bucks County IDA Retirement
Community Revenue Bonds, Ann’s
Choice Inc., Facility, Series A
6.25%, 1/1/35
     2,600       2,722  
Carbon County IDA Resource
Recovery Refunding Bonds (AMT),
Panther Creek Partners Project,
6.65%, 5/1/10
     1,375       1,411  
Fulton County IDA Hospital Revenue
Bonds, Fulton County Medical
Center Project,
5.90%, 7/1/40
     2,000       2,029  
Montgomery County Higher Education
& Health Authority Revenue Bonds,
Series A, Philadelphia Geriatric
Center, Prerefunded,
7.25%, 12/1/09
     500       547  
Pennsylvania Economic Development
Financing Authority Exempt
Facilities Revenue Bonds, Series A
(AMT), Amtrak Project,
6.13%, 11/1/21
     1,400       1,477  
Pennsylvania Economic Development
Financing Authority Exempt
Facilities Revenue Bonds, Series A
(AMT), National Gypsum Co.,
Shippingport Project,
6.25%, 11/1/27
     1,400       1,464  
Pennsylvania Economic Development
Financing Authority Exempt
Facilities Revenue Bonds, Series A
(AMT), Reliant Energy,
6.75%, 12/1/36
     1,750       1,922  
Pennsylvania State Higher Educational
Facilities Authority Revenue Bonds,
LaSalle University,
5.50%, 5/1/34
     1,000       1,034  
Pennsylvania State Higher Educational
Facilities Authority Revenue Bonds,
Series A, Philadelphia University,
5.25%, 6/1/32
     1,250       1,272  
Pennsylvania State Higher Educational
Facilities Authority Revenue Bonds,
Widener University,
5.40%, 7/15/36
     750       774  
NORTHERN FUNDS QUARTERLY REPORT     8     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD MUNICIPAL FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Pennsylvania - 7.0% — (continued)
                
Pennsylvania State Higher Educational
Facilities Authority Student Housing
Revenue Bonds, Series A, Student
Association, Inc. Project,
6.75%, 9/1/32
   $ 490     $ 525  
Philadelphia School District G.O.
Bonds, Series A (FSA — State Aid
Withholding), Prerefunded,
5.50%, 2/1/12
     1,000       1,063  
Washington County Redevelopment
Authority Revenue Bonds, Series A,
Victory Centre Project — Tanger
Outlet Development,
5.45%, 7/1/35
     1,000       1,005  
 
 
             24,319  
 
Puerto Rico - 0.3%
                
Puerto Rico Highway & Transportation
Authority Transportation Revenue
Bonds,
5.00%, 7/1/09
     1,000       1,013  
South Carolina - 1.3%
                
Georgetown County Environmental
Improvement Revenue Refunding
Bonds, Series A, International Paper
Co. Project,
5.70%, 4/1/14
     2,200       2,322  
Lancaster County Special Assessment
Revenue Bonds, Series B, Edenmoor
Improvement District,
5.38%, 12/1/16
     2,000       2,028  
 
 
             4,350  
 
Tennessee - 1.4%
                
Johnson City Health & Educational
Facilities Board Revenue Bonds,
Series A, First Mortgage-Mountain
States Health,
5.50%, 7/1/36
     2,000       2,076  
Shelby County Health Educational &
Housing Facilities Board Revenue
Bonds, Series A, Trezevant Manor
Project,
5.75%, 9/1/37
     2,700       2,732  
 
 
             4,808  
 
Texas - 8.6%
                
Austin City Convention Center Revenue
Bonds, Series A, Convention
Enterprise, Inc., First Tier,
Prerefunded,
6.70%, 1/1/11
     700       760  
Brazos County Health Facilities
Development Corp. Franciscan
Services Corp. Revenue Bonds,
5.38%, 1/1/32
     2,545       2,622  
Brazos River Authority Refunding PCR
Bonds, Series A (AMT), Texas
Utilities Electric Co. Project,
7.70%, 4/1/33
     1,000       1,125  
Comal County Health Facilities
Development Revenue Bonds,
Series A, McKenna Memorial
Project,
6.13%, 2/1/22
     3,000       3,228  
Corpus Christi G.O. Certificates
(FSA Insured), Prerefunded,
5.75%, 3/1/11
     1,000       1,060  
Dallas County Flood Control District
No. 1 G.O. Unlimited Refunding
Bonds,
7.25%, 4/1/32
     1,000       1,055  
Gulf Coast Waste Disposal Authority
Revenue Bonds (AMT), Valero
Energy Corp. Project,
6.65%, 4/1/32
     1,000       1,076  
Gulf Coast Waste Disposal Authority
Revenue Refunding Bonds, Series A
(AMT), International Paper Co.
Project,
6.10%, 8/1/24
     3,000       3,154  
HFDC of Central Texas, Inc. Retirement
Facilities Revenue Bonds, Series A,
Legacy at Willow Bend Project,
5.75%, 11/1/36
     1,000       1,023  
Houston Industrial Development Corp.
Revenue Bonds (AMT), Air Cargo,
6.38%, 1/1/23
     500       531  
Houston Water & Sewer System Junior
Lien Revenue Bonds, Series A
(FSA Insured), Prerefunded,
5.50%, 12/1/11
     1,535       1,629  
TAX-EXEMPT FIXED INCOME FUNDS     9     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 94.9% — CONTINUED
                
Texas - 8.6% — (continued)
                
Matagorda County Navigation District
No. 1 Collateralized Revenue
Refunding Bonds, Centerpoint
Energy Houston Electric, LLC
Project,
5.60%, 3/1/27
   $ 500     $ 523  
Mission Economic Development Corp.
Solid Waste Disposal Revenue
Bonds, Series A (AMT), Allied Waste
N.A., Inc. Project,
5.20%, 4/1/18
     1,000       990  
Port Corpus Christi Industrial
Development Corp. Environmental
Facilities Revenue Bonds (AMT),
Citgo Petroleum Corp.,
8.25%, 11/1/31
     1,000       1,022  
Sabine River Authority Revenue
Refunding Bonds, Series B,
TXU Energy Co. LLC Project,
6.15%, 8/1/22
     500       528  
Sam Rayburn Municipal Power
Agency Revenue Refunding Bonds,
6.00%, 10/1/21
     500       521  
Tarrant County Cultural Education
Facilities Finance Corp. Retirement
Facilities Revenue Bonds, Series A,
Edgemere Project,
6.00%, 11/15/26
     750       793  
6.00%, 11/15/36
     1,265       1,329  
Tarrant County Cultural Education
Facilities Finance Corp. Retirement
Revenue Bonds, Air Force Village
Obligation Group,
5.13%, 5/15/37
     3,000       3,017  
Texas State Turnpike Authority Central
Texas Turnpike Systems Revenue
Bonds, Series A, First Tier
(AMBAC Insured),
5.50%, 8/15/39
     1,000       1,055  
Travis County Health Facilities
Development Corp. Retirement
Facility Revenue Bonds,
Querencia Barton Creek Project,
5.65%, 11/15/35
     2,750       2,827  
 
 
             29,868  
 
Virgin Islands - 0.2%
                
University of the Virgin Islands General
Improvement Bonds, Series A
(G.O. of University),
5.38%, 6/1/34
     750       775  
Virginia - 4.0%
                
Amherst IDA Revenue Refunding
Bonds, Educational Facilities -
Sweet Briar,
5.00%, 9/1/26
     1,000       1,002  
Charles City & County IDA Solid Waste
Disposal Facilities Revenue Bonds
(AMT), Waste Management, Inc.
Project,
6.25%, Mandatory Put 4/1/12
     500       532  
Chesapeake Hospital Authority
Facilities Revenue Bonds,
Chesapeake General Hospital,
Series A,
5.25%, 7/1/18
     1,500       1,565  
Fairfax County Economic Development
Authority Residential Care Facilities
Mortgage Revenue Bonds,
Goodwin House, Inc.,
5.13%, 10/1/37
     2,000       2,002  
Tobacco Settlement Financing Corp.
Revenue Bonds, Asset Backed,
Prerefunded,
5.63%, 6/1/15
     4,530       4,979  
Tobacco Settlement Financing Corp.
Revenue Bonds, Series B1,
5.00%, 6/1/47
     1,750       1,664  
West Point IDA Solid Waste Disposal
Revenue Bonds, Series A (AMT),
Chesapeake Corp. Project,
6.38%, 3/1/19
     2,000       2,003  
 
 
             13,747  
 
Washington - 0.9%
                
Washington State Housing Finance
Commission Nonprofit Revenue
Bonds, Series A, Skyline at First Hill
Project,
5.25%, 1/1/17
     1,000       995  
5.63%, 1/1/27
     1,000       1,014  
5.63%, 1/1/38
     1,000       1,006  
 
 
             3,015  
 
NORTHERN FUNDS QUARTERLY REPORT     10     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  HIGH YIELD MUNICIPAL FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL BONDS — 94.9%–CONTINUED
                
Wisconsin — 1.8%
                
Wisconsin Health & Educational
Facilities Authority Revenue Bonds,
Series A, Beaver Dam Community
Hospitals,
6.75%, 8/15/34
   $ 1,000     $ 1,082  
Wisconsin Health & Educational
Facilities Authority Revenue Bonds,
Vernon Memorial Healthcare
Project,
5.10%, 3/1/25
     1,000       993  
Wisconsin Health & Educational
Facilities Authority Revenue
Refunding Bonds, Divine Savior
Healthcare,
5.00%, 5/1/32
     3,155       3,128  
Wisconsin Health & Educational
Facilities Authority Revenue
Refunding Bonds, Vernon Memorial
Healthcare Project,
5.25%, 3/1/35
     1,000       1,001  
 
 
             6,204  
 
Wyoming — 0.6%
                
Sweetwater County Solid Waste
Disposal Revenue Refunding Bonds
(AMT), FMC Corp. Project,
5.60%, 12/1/35
     2,000       2,088  
 
Total Municipal Bonds
                
 
(Cost $325,306)
             329,666  
                 
    NUMBER   VALUE
    OF SHARES   (000S)
 
INVESTMENT COMPANY — 2.7%
                
AIM Tax-Free Cash Reserve
Portfolio
     9,464,369       9,464  
 
Total Investment Company
                
 
(Cost $9,464)
             9,464  
                 
 
SHORT-TERM INVESTMENTS—1.6%
                
Clarksville Tennessee Public Building
Authority Revenue VRDB, Pooled
Financing — Tennessee Municipal
Bond Fund (Bank of America LOC),
3.90%, 7/2/07
     965       965  
3.90%, 7/2/07
     400       400  
Connecticut State Health &
Educational Facility Authority
Revenue VRDB, Series T-1,
Yale University,
3.80%, 7/2/07
     600       600  
Connecticut State Health &
Educational Facility Authority
Revenue VRDB, Series Y-2,
Yale University,
3.80%, 7/2/07
     590       590  
Kansas Development Finance
Authority Revenue VRDB, Series BB,
VLG Shalom Obligation Group
(Sovereign Bank FSB LOC),
3.74%, 7/5/07
     1,000       1,000  
Mississippi Medical Center
Educational Building Corp. Revenue
VRDB, Adult Hospital Project
(AMBAC Insured),
3.73%, 7/5/07
     1,100       1,100  
Phoenix IDA Revenue VRDB,
Valley of the Sun YMCA Project
(Bank of America N.A. LOC),
3.91%, 7/2/07
     100       100  
Valdez Marine Term Revenue
Refunding VRDB, Series B,
BP Pipelines Project,
3.92%, 7/2/07
     700       700  
 
Total Short-Term Investments
                
 
(Cost $5,455)
             5,455  
 
Total Investments—99.2%
                
 
(Cost $340,225)
             344,585  
Other Assets less Liabilities—0.8%
             2,624  
 
NET ASSETS - 100.0%
           $ 347,209  
 
(1)   When-Issued Security
Percentages shown are based on Net Assets.
TAX-EXEMPT FIXED INCOME FUNDS     11     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
At June 30, 2007, the industry sectors for the High Yield Municipal Fund were:
         
INDUSTRY SECTOR   % OF INVESTMENTS
Agriculture
     5.1 %
Development
     23.7  
General
     6.9  
Higher Education
     5.5  
Medical
     22.5  
Pollution
     9.3  
All other sectors less than 5%
     27.0  
 
 
Total
     100.0 %
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 340,225  
 
Gross tax appreciation of investments
   $ 7,154  
Gross tax depreciation of investments
     (2,794 )
 
Net tax appreciation of investments
   $ 4,360  
 
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
Interest rates represent either the stated coupon rate, annualized yield on the date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent the stated date on the security, the next interest reset/ puttable date for floating and variable rate securities or the prerefunded date for these types of securities.
Prerefunding is a procedure in which a bond issuer floats a second bond in order to pay off the first bond at the first call date. The proceeds from the sale of the second bond are safely invested, usually in Treasury securities, that will mature at the first call date of the first bond issue. Those first bonds are said to be prerefunded after this operation has taken place.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:
AMBAC — American Municipal Bond Assurance Corporation
AMT — Alternative Minimum Tax
COP — Certificate of Participation
FGIC — Financial Guaranty Insurance Corporation
FSA — Financial Security Assurance
G.O. — General Obligation
IDA — Industrial Development Authority
IDR — Industrial Development Revenue
LOC — Letter of Credit
PCR — Pollution Control Revenue
TRB — Tax Revenue Bonds
VRDB — Variable Rate Demand Bonds
NORTHERN FUNDS QUARTERLY REPORT     12     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
    SCHEDULE OF INVESTMENTS
        INTERMEDIATE TAX — EXEMPT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL BONDS—88.2%
                
Alabama—0.9%
                
Birmingham G.O. Unlimited Refunding
Bonds, Series A, Capital
Improvement (AMBAC Insured),
5.00%, 12/1/24
   $ 5,965     $ 6,229  
Arizona—2.4%
                
Arizona School District COP TAN,
4.50%, 7/30/07
     5,000       5,002  
Phoenix G.O. Limited Refunding Bonds,
Series B,
5.00%, 7/1/20
     10,000       10,598  
 
 
             15,600  
 
California—10.4%
                
Anaheim PFA Revenue Bonds, Electric
System Distributing Facilities
(MBIA Insured), Prerefunded,
5.00%, 10/1/08
     2,000       2,052  
Bay Area Governments Association
Infrastructure Financing Authority
Revenue Bonds, Payment
Acceleration Notes (FGIC Insured),
5.00%, 8/1/17
     5,000       5,210  
Bay Area Governments Association
Infrastructure Financing Authority
Revenue Bonds, Payment
Acceleration Notes (XLCA Insured),
5.00%, 8/1/13
     5,000       5,162  
Beverly Hills PFA Lease Revenue
Bonds, Capital Improvement Project,
4.50%, 6/1/28
     2,500       2,379  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Bay Area Toll Bridges -
First Lien (AMBAC Insured),
Prerefunded,
5.00%, 1/1/28
     4,000       4,322  
California State Economic Recovery
G.O. Unlimited Bonds, Series A
(FGIC-TCRS Insured),
5.00%, 7/1/17
     5,000       5,204  
California State G.O. Bonds
(AMBAC Insured)
5.00%, 10/1/18
     235       238  
California State G.O. Bonds
(AMBAC Insured), Prerefunded,
5.00%, 10/1/07
     2,620       2,654  
5.00%, 10/1/07
     255       258  
California State G.O. Refunding Bonds
(MBIA Insured),
4.25%, 8/1/33
     5,000       4,572  
California State G.O. Unlimited Bonds,
5.75%, 5/1/30
     135       143  
California State G.O. Unlimited Bonds,
Prerefunded,
5.75%, 5/1/10
     390       413  
5.75%, 5/1/10
     50       53  
California State Various Purpose
G.O. Bonds,
5.00%, 6/1/37
     10,000       10,212  
Colton Joint Unified School District
G.O. Unlimited Bonds, Series A
(FGIC Insured),
5.38%, 8/1/26
     2,500       2,663  
Golden State Tobacco Securitization
Corp. Tobacco Settlement Revenue
Bonds, Series A, Enhanced Asset
Backed (AMBAC Insured),
5.00%, 6/1/21
     3,000       3,088  
Industry Public Facilities Authority
Tax Allocation Revenue Bonds
(MBIA Insured),
4.30%, 5/1/21
     4,000       3,872  
Menlo Park G.O. Unlimited Bonds,
5.25%, 8/1/27
     1,000       1,053  
Moreland School District G.O.
Unlimited Bonds, Series C,
Election of 2002 (FGIC Insured),
0.00%, 8/1/29
     3,500       1,102  
Orange County Sanitation District
Refunding COP, Series A
(MBIA Insured),
4.50%, 2/1/29
     5,000       4,767  
4.25%, 2/1/30
     5,000       4,755  
Sacramento Municipal Utility District
Electrical Revenue Bonds, Series R
(MBIA Insured),
5.00%, 8/15/28
     2,620       2,698  
University of California Revenue
Bonds, Multiple Purpose Projects,
Series Q (FSA Insured),
Prerefunded,
5.00%, 9/1/11
     1,000       1,052  
 
 
             67,922  
 
TAX-EXEMPT FIXED INCOME FUNDS     1     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL BONDS—88.2% —CONTINUED
                
Colorado—1.1%
                
Metro Wastewater Reclamation
District Gross Revenue Refunding
Bonds, Sewer Project,
5.45%, 4/1/12
   $ 2,000     $ 2,023  
Regional Transportation District Sales
Tax Revenue Refunding Bonds,
Series A,
5.25%, 11/1/19
     5,000       5,431  
 
 
             7,454  
 
Connecticut—0.5%
                
Connecticut HFA Mortgage Program
Revenue Bonds, Series D,
4.65%, 11/15/27
     2,500       2,481  
Connecticut State Special Obligation
Rate Reduction Revenue Bonds,
Series A,
5.00%, 6/30/09
     1,000       1,023  
 
 
             3,504  
 
Florida—4.5%
                
Crossings at Fleming Island Community
Development District Special
Assessment Revenue Refunding
Bonds, Series C,
7.05%, 5/1/15
     300       315  
Dade County G.O. Unlimited Refunding
Bonds (MBIA Insured),
6.50%, 10/1/10
     400       431  
Florida State Department
Environmental Protection Revenue
Bonds, Series B,
5.25%, 7/1/16
     2,380       2,524  
Gainesville Utility Systems Revenue
Bonds, Series A,
5.25%, 10/1/15
     1,065       1,132  
5.25%, 10/1/16
     1,120       1,190  
JEA St. Johns River Revenue
Refunding Bonds, Series 17-2,
5.25%, 10/1/13
     2,000       2,096  
Lee County Transportation Revenue
Refunding Bonds, Series A
(AMBAC Insured),
5.50%, 10/1/14
     900       952  
Marco Island Utility System Revenue
Bonds (MBIA Insured),
5.25%, 10/1/15
     2,520       2,670  
Miami-Dade County Aviation Revenue
Refunding Bonds, Series D (AMT),
Miami Intl. Airport (MBIA Insured),
5.25%, 10/1/18
   $ 1,645       1,715  
Miami-Dade County Expressway
Authority Toll System Revenue
Bonds, Series B (FGIC Insured),
5.25%, 7/1/25
     2,525       2,674  
Miami-Dade County School District
G.O. Refunding Bonds (FSA Insured),
5.38%, 8/1/14
     1,000       1,079  
Osceola County Infrastructure Sales
Surtax Revenue Bonds
(AMBAC Insured), Prerefunded,
5.38%, 10/1/12
     1,000       1,065  
Palm Beach County Criminal Justice
Facilities Revenue Bonds
(FGIC Insured),
5.75%, 6/1/13
     1,550       1,688  
Palm Beach County G.O. Unlimited
Refunding Bonds, Series B,
6.50%, 7/1/10
     250       268  
Palm Coast Utility System Revenue
Bonds (MBIA Insured),
5.25%, 10/1/21
     1,000       1,056  
Pompano Beach Water & Sewer
Revenue Bonds (FGIC Insured),
Prerefunded,
5.05%, 7/1/07
     1,000       1,010  
South Florida Water Management
District Special Obligation Limited
Acquisition Revenue Refunding
Bonds (AMBAC Insured),
5.25%, 10/1/13
     1,250       1,333  
Sunrise Utility System Revenue
Refunding Bonds, Series A
(AMBAC Insured),
5.50%, 10/1/15
     5,950       6,404  
 
 
             29,602  
 
Georgia—1.2%
                
Fulton County Facilities Corp. COP,
Fulton County Public Purpose
Project (AMBAC Insured),
5.50%, 11/1/18
     6,500       6,840  
NORTHERN FUNDS QUARTERLY REPORT     2     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX-EXEMPT FIXED INCOME FUNDS
SCHEDULE OF INVESTMENTS
  INTERMEDIATE TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL BONDS - 88.2% –CONTINUED
                
Georgia - 1.2% – (continued)
                
Milledgeville-Baldwin County
Development Authority Revenue
Bonds, College & State University
Funding, Prerefunded,
5.50%, 9/1/14
   $ 1,000     $ 1,091  
 
 
             7,931  
 
Illinois - 4.8%
                
Chicago O’Hare International Airport
Revenue Bonds, Series A,
Passenger Facilities Charge
(AMBAC Insured),
5.60%, 1/1/09
     5,000       5,041  
Chicago Wastewater Transmission
Second Lien Revenue Bonds
(MBIA Insured), Prerefunded,
6.00%, 1/1/10
     1,000       1,058  
6.00%, 1/1/10
     1,000       1,058  
Cook County Capital Improvement
G.O. Unlimited Bonds, Series C
(AMBAC Insured),
5.00%, 11/15/25
     2,500       2,565  
Illinois Development Finance Authority
Economic Development Revenue
Bonds, Latin School of Chicago
Project, Prerefunded,
5.60%, 8/1/08
     500       509  
Illinois Development Finance Authority
Revenue Bonds, Series B,
Midwestern University Project,
Prerefunded,
5.75%, 5/15/11
     500       535  
Illinois Educational Facilities Authority
Adjustable Revenue Bonds, Field
Museum of Natural History Project,
4.60%, Mandatory Put 11/1/15
     4,250       4,249  
Illinois Educational Facilities Authority
Student Housing Revenue Bonds,
Educational Advancement Fund
University Center Project,
Prerefunded,
6.00%, 5/1/12
     750       822  
Illinois Finance Authority Revenue
Bonds, University of Chicago,
5.00%, 7/1/46
     5,000       5,107  
Illinois Health Facilities Authority
Revenue Bonds, Riverside Health
System, Prerefunded,
6.00%, 11/15/12
     1,000       1,094  
Illinois State G.O. Unlimited Bonds,
First Series (MBIA Insured),
5.70%, 6/1/19
     4,000       4,179  
Metropolitan Pier & Exposition
Authority Revenue Bonds, Series A,
McCormick Place Expansion
(MBIA Insured),
5.25%, 6/15/42
     5,000       5,218  
 
 
             31,435  
 
Iowa - 0.6%
                
Iowa Finance Authority Hospital
Facility Revenue Bonds, Mercy
Medical Center Project
(FSA Insured), Prerefunded,
6.00%, 8/15/09
     3,610       3,796  
 
Kansas - 1.9%
                
Kansas State Department of
Transportation Highway Revenue
Bonds, Series A, Prerefunded,
5.75%, 9/1/10
     5,000       5,267  
Wichita Hospital Improvement
Facilities Revenue Refunding Bonds,
Series III,
5.25%, 11/15/15
     1,385       1,433  
6.25%, 11/15/18
     1,600       1,724  
Wichita Water & Sewer Utility
Revenue Bonds (FGIC Insured),
5.25%, 10/1/18
     4,000       4,224  
 
 
             12,648  
 
Louisiana - 1.1%
                
Louisiana Public Facilities Authority
Revenue Refunding Bonds,
Series A-1, Tulane University
Project (MBIA Insured),
5.00%, 2/15/30
     1,750       1,810  
Louisiana State Gas & Fuels TRB,
Series A (FSA Insured),
5.00%, 5/1/36
     5,150       5,309  
 
 
             7,119  
 
TAX-EXEMPT FIXED INCOME FUNDS     3     NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
 
MUNICIPAL BONDS - 88.2% – CONTINUED
                
Maryland - 1.9%
                
Maryland State G.O. Unlimited
Refunding Bonds,
5.00%, 2/1/09
   $ 1,000     $ 1,019  
Montgomery Improvement G.O.
Unlimited Bonds, Series A,
Consumer Public Improvement,
5.00%, 5/1/18
     5,700       6,105  
Washington Suburban Sanitation District General Construction G.O.
Unlimited Refunding Bonds,
5.00%, 6/1/09
     5,000       5,115  
 
 
             12,239  
 
Massachusetts - 7.5%
                
Lawrence G.O. Limited Bonds
(AMBAC Insured — State Aid
Withholding), Prerefunded,
5.50%, 2/1/11
     2,625       2,761  
Massachusetts Bay Transportation
Authority Capital Appreciation Sales
TRB, Series A-2,
0.00%, 7/1/35
     5,000       1,224  
Massachusetts Health & Educational
Facilities Authority Revenue Bonds,
Series L, Massachusetts Institute
Technology,
5.00%, 7/1/23
     5,000       5,378  
Massachusetts Health & Educational
Facilities Authority Revenue Bonds,
Series N, Harvard University (G.O. of
Institution Insured),
6.25%, 4/1/20
     11,050       13,232  
Massachusetts School Building
Authority Dedicated Sales TRB,
Series A (AMBAC Insured),
5.00%, 8/15/24
     10,000       10,477  
Massachusetts State G.O.
Limited Bonds, Series D
(FGIC-TCRS Insured),
5.50%, 8/1/19
     7,500       8,334  
Massachusetts State Health &
Educational Facilities Authority
Revenue Bonds, Series B,
Partners Healthcare System,
5.25%, 7/1/12
     3,450       3,554  
Massachusetts State Housing Finance
Agency Revenue Bonds, Series III
(AMT), Single Family,
3.45%, 12/1/09
     1,050       1,037  
Massachusetts State Water
Resources Authority Revenue
Refunding Bonds, Series D
(MBIA Insured G.O. of Authority),
5.00%, 8/1/24
     3,200       3,259  
 
 
             49,256  
 
Michigan - 0.4%
                
Wayne Charter County Airport
Revenue Bonds, Series B
(MBIA Insured),
4.88%, 12/1/23
     2,500       2,522  
Minnesota - 2.6%
                
Minnesota Public Facilities Authority
Water PCR Refunding Bonds,
Series B,
5.00%, 3/1/18
     5,000       5,350  
Minnesota State G.O. Unlimited Bonds,
5.00%, 6/1/11
     10,720       11,141  
Minnesota State Housing Finance
Agency SFM Revenue Bonds,
Series A (MBIA Insured),
5.35%, 7/1/17
     500       510  
 
 
             17,001  
 
Missouri - 0.8%
                
Metro Development Agency District
Revenue Bonds, Series B, Metrolink
Cross Country Project (FSA Insured),
5.25%, 10/1/17
   $ 2,620     $ 2,786  
Missouri Housing Development
Commission SFM Revenue Bonds,
Series C-1 (AMT), Home Ownership
Loan Program (Colld. by
GNMA/FNMA),
5.00%, 9/1/37
     2,500       2,469  
 
 
             5,255  
 
Nevada - 1.5%
                
Clark County Passenger Facilities
Charge Revenue Bonds, Series A-2,
Las Vegas — McCarran International
Airport (AMBAC Insured),
5.00%, 7/1/27
     5,000       5,179  
North Las Vegas G.O. Limited Bonds,
Wastewater Reclamation System
(MBIA Insured),
4.50%, 10/1/36
     5,000       4,765  
 
 
             9,944  
 
NORTHERN FUNDS QUARTERLY REPORT     4     TAX-EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
   SCHEDULE OF INVESTMENTS
   INTERMEDIATE TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 88.2% – CONTINUED
                
New Jersey - 0.8%
                
New Jersey Economic Development
Authority Revenue Bonds,
Cigarette Tax,
5.63%, 6/15/19
   $ 3,985     $ 4,124  
New Jersey Health Care Facilities
Financing Authority Revenue Bonds,
Atlantic City Medical Center,
6.25%, 7/1/17
     555       602  
New Jersey Health Care Facilities
Financing Authority Revenue Bonds,
Atlantic City Medical Center,
Prerefunded,
6.25%, 7/1/12
     445       489  
 
 
                
 
             5,215  
 
 
                
New Mexico - 0.8%
                
Santa Fe City Gross Receipts TRB,
6.00%, 6/1/11
     5,250       5,351  
New York - 14.0%
                
Long Island Power Authority Electrical
Systems Revenue Bonds, Series E
(FGIC Insured),
5.00%, 12/1/22
     5,000       5,237  
Metropolitan Transportation Authority
Dedicated Tax Fund Revenue Bonds,
Series A (FGIC Insured),
Prerefunded,
6.13%, 4/1/10
     3,815       4,039  
New York City G.O. Bonds, Series A,
6.00%, 5/15/19
     30       32  
New York City G.O. Bonds, Series A,
Prerefunded,
6.00%, 5/15/10
     305       325  
New York City Transitional Finance
Authority Building Aid Revenue
Bonds, Series S-2 (FSA State Aid
Withholding Insured),
5.00%, 1/15/18
     5,000       5,312  
New York Liberty Development Corp.
Revenue Bonds, Goldman Sachs
Headquarters,
5.25%, 10/1/35
     5,000       5,419  
New York State Environmental
Facilities Corp. Municipal Water
Finance Authority Revenue Bonds,
Series A, State Clean Water &
Drinking Revolving Funds,
5.00%, 6/15/20
     5,245       5,527  
New York State Environmental
Facilities Corp. Municipal Water
Fianance Authority Revenue Bonds,
Series C, State Clean Water &
Drinking Revolving Funds,
5.00%, 6/15/25
     5,000       5,200  
New York State Environmental
Facilities Corp. Revenue Bonds,
Series A, State Clean Water &
Drinking Revolving Funds,
6.00%, 6/15/16
     1,330       1,384  
New York State Environmental
Facilities Corp. Revenue Bonds,
Series A, State Clean Water &
Drinking Revolving Funds,
Prerefunded,
6.00%, 6/15/09
     170       177  
New York State Local Government
Assistance Corp. Revenue
Refunding Bonds, Series C
(MBIA-IBC G.O. of Corp. Insured),
5.50%, 4/1/17
     2,500       2,747  
New York State Municipal Bond Bank
Agency Revenue Bonds,
Series C (State-Aid Withholding),
5.25%, 6/1/17
     10,000       10,540  
New York State Thruway Authority
Revenue Bonds, Series A, Highway
and Bridge Trust Fund (FSA Insured),
Prerefunded,
6.00%, 4/1/10
     1,000       1,064  
New York State Urban Development
Corp. Subordinate Lien Revenue
Bonds (G.O. of Corp.),
5.50%, 7/1/16
     1,250       1,264  
Sales Tax Asset Receivables Corp.
Revenue Bonds, Series A
(MBIA Insured),
5.25%, 10/15/19
     5,100       5,463  
Tobacco Settlement Financing Corp.
Revenue Bond, Series B-1C,
5.25%, 6/1/13
     5,000       5,053  
5.50%, 6/1/15
     5,000       5,198  
5.50%, 6/1/18
     5,000       5,295  
5.50%, 6/1/19
     2,500       2,675  
5.50%, 6/1/20
     5,000       5,343  
TAX – EXEMPT FIXED INCOME FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 88.2% – CONTINUED
                
New York - 14.0% – (continued)
                
Triborough Bridge & Tunnel Authority
Revenue Bonds, Series A,
5.00%, 11/15/37
   $ 2,500     $ 2,586  
Triborough Bridge & Tunnel Authority
Revenue Bonds, Series Y, General
Purpose (G.O. of Authority),
Escrowed to Maturity,
6.00%, 1/1/12
     2,250       2,381  
Triborough Bridge & Tunnel Authority
Revenue Refunding Bonds
(MBIA Insured),
5.50%, 11/15/19
     8,260       9,245  
 
 
                
 
             91,506  
 
 
                
North Carolina - 1.1%
                
North Carolina Eastern Municipal
Power Agency Power System
Revenue Refunding Bonds, Series A,
5.20%, 1/1/10
     2,505       2,569  
North Carolina State Public
Improvement G.O. Unlimited Bonds,
Series A,
4.25%, 3/1/27
     4,750       4,533  
 
 
                
 
             7,102  
 
 
                
Ohio - 1.2%
                
Akron G.O. Limited Bonds,
Prerefunded,
5.75%, 12/1/10
     1,000       1,067  
Ohio Housing Finance Agency
Mortgage Revenue Bonds,
Series C (AMT), Residential
Mortgage-Backed Securities
(Colld. by GNMA Securities),
5.15%, 3/1/13
     660       672  
River Valley Local School District G.O.
Bonds, School Facilities
Construction & Improvement
(FSA Insured),
5.25%, 11/1/20
     1,235       1,289  
Trotwood-Madison City School District
G.O. Unlimited Refunding Bonds,
School Improvement (FSA Insured),
4.50%, 12/1/30
     5,000       4,831  
 
 
                
 
             7,859  
 
 
                
Oregon - 0.6%
                
Portland City Airport Way Urban
Renewal & Redevelopment Tax
Increment Bonds, Series A
(AMBAC Insured), Prerefunded,
6.00%, 6/15/10
     3,450       3,678  
 
Pennsylvania - 4.1%
                
Pennsylvania Economic Development
Financing Authority Exempt
Facilities Revenue Bonds, Series A
(AMT), Amtrak Project,
6.13%, 11/1/21
     1,200       1,266  
Pennsylvania Housing Finance Agency
SFM Revenue Bonds, Series 72A
(AMT),
4.80%, 4/1/12
     750       761  
Pennsylvania State G.O. Unlimited
Bonds, First Series
(MBIA Insured),
5.25%, 2/1/10
     5,000       5,169  
Pennsylvania State G.O. Unlimited
Bonds, First Series, Prerefunded,
6.00%, 1/15/10
     2,705       2,864  
Pennsylvania State G.O. Unlimited
Bonds, Second Series
(FGIC Insured),
5.00%, 7/1/09
     5,000       5,116  
Pennsylvania State Higher Education
Revenue Bonds, Capital Acquisition
(MBIA Insured – G.O. of Agency),
Prerefunded,
6.00%, 12/15/10
     1,815       1,935  
6.13%, 12/15/10
     1,925       2,060  
Pennsylvania State Higher Educational
Facilities Authority Revenue Bonds,
Series A, UPMC Health System,
6.00%, 1/15/22
     2,000       2,134  
Pennsylvania State Turnpike
Commission Oil Franchise Refunding
TRB, Series A (AMBAC Insured),
5.00%, 12/1/19
     5,075       5,360  
 
 
                
 
             26,665  
 
 
                
NORTHERN FUNDS QUARTERLY REPORT      6      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX - EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  INTERMEDIATE TAX - EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 88.2% – CONTINUED
                
Puerto Rico - 2.6%
                
Puerto Rico Commonwealth Highway
& Transportation Authority Revenue
Bonds (AMBAC-TCRS-BNY
Insured),
5.50%, 7/1/29
   $ 5,000     $ 5,694  
Puerto Rico Commonwealth Highway
& Transportation Authority
Transportation Revenue Bonds,
Series D, Prerefunded,
5.25%, 7/1/12
     10,000       10,567  
Puerto Rico Municipal Financing
Agency G.O. Unlimited Bonds,
Series A (FSA Insured),
Prerefunded,
6.00%, 8/1/09
     1,000       1,053  
 
 
                
 
             17,314  
 
 
                
Rhode Island - 2.0%
                
Rhode Island Health & Educational
Building Corp. Higher Education
Facility Revenue Bonds, Series B,
Rhode Island University
(AMBAC Insured), Prerefunded,
5.70%, 9/15/10
     10,000       10,614  
Rhode Island Housing & Mortgage
Finance Corp. Revenue Bonds,
Series 54 (AMT), Home Ownership
Opportunity,
4.75%, 10/1/31
     2,500       2,399  
 
 
                
 
             13,013  
 
 
                
South Carolina - 0.6%
                
Charleston Educational Excellence
Finance Corp. Revenue Bonds,
Charleston County School District,
5.25%, 12/1/19
     3,500       3,695  
 
Tennessee - 1.1%
                
Memphis General Improvement G.O.
Unlimited Bonds, Prerefunded,
5.25%, 4/1/08
     5,000       5,104  
Memphis-Shelby County Airport
Authority Revenue Bonds, Series D
(AMT), ETC Airport (AMBAC
Insured),
6.25%, 3/1/15
     2,000       2,120  
 
 
                
 
             7,224  
 
 
                
Texas - 9.1%
                
Austin City Utilities System Revenue
Refunding Bonds (FSA Insured),
5.13%, 11/15/17
     3,000       3,014  
Ennis Independent School District
Capital Appreciation G.O. Refunding
Bonds (PSF Gtd.), Prerefunded,
0.00%, 8/15/10
     2,225       694  
Ennis Independent School District
Capital Appreciation G.O. Unlimited
Refunding Bonds (PSF Gtd.),
0.00%, 8/15/26
     1,140       349  
Frisco Independent School District
Building G.O. Unlimited Bonds
(PSF Gtd.),
6.50%, 8/15/14
     1,535       1,706  
Harris County Health Facilities
Development Corp. Revenue Bonds,
Series A, Christus Health
(MBIA Insured),
5.25%, 7/1/07
     435       435  
Harris County Health Facilities
Bonds, Series A, Christus Health
(MBIA Insured), Escrowed to
Maturity,
 5.25%, 7/1/07
     65       65  
Harris County Revenue Refunding
Bonds, Series A, Senior Lien – Toll
Road (FSA Insured), Prerefunded,
5.25%, 8/15/10
     10,000       10,378  
Houston Water & Sewer System
Revenue Refunding Bonds, Series D,
Junior Lien (FGIC Insured),
Prerefunded,
5.00%, 12/1/07
     3,500       3,586  
Lewisville Independent School District
G.O. Unlimited Refunding Bonds
(PSF Gtd.),
5.25%, 8/15/18
     5,000       5,353  
Panhandle Regional Housing Finance
Agency Revenue Bonds, Series A
(GNMA Insured),
6.50%, 7/20/21
     500       537  
Sam Rayburn Municipal Power
Agency Revenue Refunding Bonds,
6.00%, 10/1/16
     1,000       1,048  
6.00%, 10/1/21
     1,250       1,302  
TAX – EXEMPT FIXED INCOME FUNDS      7      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 88.2% – CONTINUED
                
Texas - 9.1% – (continued)
                
San Antonio Electric & Gas Revenue
Refunding Bonds, Series A,
5.25%, 2/1/16
   $ 10,000     $ 10,290  
San Antonio Electric & Gas Revenue
Bonds, Series A, Prerefunded,
5.25%, 2/1/09
     875       902  
Texas Municipal Power Agency
Revenue Refunding Bonds, Sub Lien
(FGIC Insured),
4.40%, 9/1/11
     5,000       5,003  
Texas State TRAN,
4.50%, 8/31/07
     15,000       15,017  
 
 
                
 
             59,679  
 
 
                
Virgin Islands - 0.1%
                
Virgin Islands PFA Revenue Bonds,
Series A, Gross Receipts Tax Lien
Note,
5.63%, 10/1/10
     700       712  
 
Virginia - 2.5%
                
Virginia State Housing Development
Authority Commonwealth Mortgage
Revenue Bonds (AMT), Series C,
4.50%, 7/1/15
     3,000       2,982  
Virginia State Housing Development
Authority Commonwealth Mortgage
Revenue Bonds, Series F -
Subseries F-1 (G.O. of Authority
Insured),
4.00%, 4/1/12
     2,000       2,005  
Virginia State Housing Development
Authority Revenue Bonds,
Subseries E-1 (AMT) (G.O. of
Authority Insured),
4.00%, 4/10/10
     5,100       5,116  
Virginia State Public Building Authority
Public Facilities Revenue Refunding
Bonds, Series A,
5.00%, 8/1/11
     6,240       6,485  
 
 
                
 
             16,588  
 
 
                
Washington - 2.7%
                
King County School District No. 1
Seattle G.O. Limited Bonds, Series A
(School Board Guaranty Insured),
4.00%, 6/1/11
     5,000       5,004  
King County School District No. 407
Riverview G.O. Unlimited Bonds
(MBIA School Board Guaranty
Insured),
5.00%, 12/1/28
     1,085       1,125  
Snohomish County School District
No. 15 Edmonds G.O. Unlimited
Refunding Bonds, Series B
(FSA Insured),
5.00%, 12/1/07
     1,000       1,005  
Washington State G.O. Unlimited
Bonds, Series S-4,
5.75%, 1/1/12
     10,000       10,406  
 
 
                
 
             17,540  
 
 
                
Wisconsin - 0.4%
                
Madison Metropolitan School District
TRAN,
4.00%, 9/7/07
     2,500       2,500  
 
Wyoming - 0.4%
                
Wyoming Community Development
Authority Housing Revenue Bonds,
Series 1 (AMT),
4.70%, 12/1/28
     2,500       2,398  
 
 
                
Total Municipal Bonds
                
 
 
                
(Cost $577,894)
             577,496  
 
                
                 
    NUMBER   VALUE
    OF SHARES   (000S)
INVESTMENT COMPANIES - 0.3%
                
AIM Tax-Free Cash Reserve
Portfolio
     916,222       916  
Dreyfus Tax-Exempt Cash
Management Fund
     1,321,732       1,322  
 
 
                
Total Investment Companies
                
 
 
                
(Cost $2,238)
             2,238  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 9.2%
                
California Statewide Communities
Development Authority Revenue
VRDB, University of San Diego
(BNP Paribas LOC),
3.66%, 7/4/07
   $ 7,700       7,700  
NORTHERN FUNDS QUARTERLY REPORT      8      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  INTERMEDIATE TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 9.2% – CONTINUED
                
Clarksville Public Building Authority
Adjustable Revenue VRDB, Pooled
Financing – Tennesse Municipal
Bond Fund (Bank of America N.A.
LOC),
3.90%, 7/2/07
   $ 1,100     $ 1,100  
Collier County Health Facilities
Authority Revenue VRDB, Cleveland
Health Clinic, Series C-1 (JP Morgan
Chase Bank LOC),
3.86%, 7/2/07
     1,600       1,600  
Connecticut State Health &
Educational Facility Authority
Revenue VRDB, Series T-1,
Yale University,
3.80%, 7/2/07
     1,300       1,300  
Connecticut State Health &
Educational Facility Authority
Revenue VRDB, Series Y-2,
Yale University,
3.80%, 7/2/07
     5,100       5,100  
Harris County Health Facilities
Development Corp. Revenue VRDB,
Class A, Methodist Hospital System,
3.85%, 7/2/07
     5,800       5,800  
Highlands County Health Facilities
Authority Revenue VRDB, Series A,
Adventist/Sunbelt (Suntrust Bank
LOC),
3.73%, 7/5/07
     1,250       1,250  
Jacksonville Health Facilities Authority
Hospital Revenue VRDB, Baptist
Medical Center Project (Wachovia
Bank N.A. LOC),
3.88%, 7/2/07
     600       600  
Lee County Housing Finance Authority
Multifamily Housing Revenue
Refunding VRDB, Series A,
Forestwood Apartments Project
(FNMA Insured),
3.74%, 7/4/07
     300       300  
Louisiana Offshore Terminal Authority
Deepwater Port Revenue VRDB,
Series A, Loop LLC Project
(SunTrust Bank LOC),
3.89%, 7/2/07
     200       200  
Lower Neches Valley Authority
Industrial Development Corp.
Exempt Facilities Revenue
Refunding VRDB, Series A,
Exxonmobil Project,
3.85%, 7/2/07
     700       700  
Massachusetts State Health &
Educational Facilities Authority
Revenue VRDB, Series GG-1,
Harvard University,
3.72%, 7/5/07
     5,000       5,000  
Michigan State Hospital Finance
Authority Revenue Refunding VRDB,
Series A, Crittenton Hospital
(Comerica Bank LOC),
3.91%, 7/2/07
     600       600  
Mississippi Medical Center
Educational Building Corp. Revenue
VRDB, Adult Hospital Project
(AMBAC Insured),
3.73%, 7/5/07
     7,700       7,700  
Missouri Development Finance Board
Cultural Facilities Revenue VRDB,
Series B, Nelson Gallery Foundation
(MBIA Insured),
 3.86%, 7/2/07
     900       900  
Montgomery County Public Building
Authority Pooled Finaning Revenue
VRDB, Tennessee County Loan Pool
(Bank of America N.A. LOC),
3.90%, 7/2/07
     200       200  
Ohio State Air Quality Development
Authority Revenue Refunding VRDB,
Series A, Polution Control -
Firstenergy (Barclays Bank PLC
LOC),
3.74%, 7/4/07
     10,000       10,000  
Palm Beach County Health Facilities
Authority Revenue VRDB, Bethesda
Healthcare Systems Project
(Suntrust Bank LOC),
3.89%, 7/2/07
     4,100       4,100  
University of Kansas Hospital Authority
Health Facilities Revenue VRDB,
Kansas University Health System
(G.O. of Authority Insured) (Harris
Trust & Savings Bank LOC),
3.91%, 7/2/07
     2,200       2,200  
TAX – EXEMPT FIXED INCOME FUNDS      9      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 9.2% – CONTINUED
                
Utah Transit Authority Sales Tax
Revenue VRDB, Subseries B
(Fortis Bank S.A./N.V. LOC),
3.85%, 7/2/07
   $ 1,500     $ 1,500  
Wisconsin State Health & Educational
Facilities Authority Revenue VRDB,
Series C, Froedtert & Community
Health (AMBAC Insured),
3.73%, 7/5/07
     2,100       2,100  
 
 
                
Total Short-Term Investments
                
 
 
                
(Cost $59,950)
             59,950  
 
 
 
                
Total Investments - 97.7%
                
 
 
                
(Cost $640,082)
            639,684  
Other Assets less Liabilities - 2.3%
             15,320  
 
 
                
NET ASSETS - 100.0%
           $ 655,004  
Percentages shown are based on Net Assets.
At June 30, 2007, the industry sectors for the Intermediate Tax-Exempt Fund were:
         
INDUSTRY SECTOR   % OF INVESTMENTS
Education
     5.3 %
General
     6.7  
General Obligation
     23.2  
Higher Education
     8.8  
Medical
     6.5  
Transportation
     9.1  
Utilities
     7.7  
All other sectors less than 5%
     32.7  
 
 
        
Total
     100.0 %
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 640,082  
 
Gross tax appreciation of investments
   $ 5,240  
Gross tax depreciation of investments
     (5,638 )
 
Net tax depreciation of investments
   $ (398 )
 
NORTHERN FUNDS QUARTERLY REPORT      10      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  INTERMEDIATE TAX – EXEMPT FUND (continued)
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
Interest rates represent either the stated coupon rate, annualized yield on the date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent the stated date on the security, the next interest reset/puttable date for floating and variable rate securities or the prerefunded date for these types of securities.
Prerefunding is a procedure in which a bond issuer floats a second bond in order to pay off the first bond at the first call date. The proceeds from the sale of the second bond are safely invested, usually in Treasury securities, that will mature at the first call date of the first bond issue. Those first bonds are said to be prerefunded after this operation has taken place.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:
AMBAC – American Municipal Bond Assurance Corporation
AMT – Alternative Minimum Tax
Colld. – Collateralized
COP – Certificate of Participation
FGIC – Financial Guaranty Insurance Corporation
FNMA – Federal National Mortgage Association
FSA – Financial Security Assurance
GNMA – Government National Mortgage Association
G.O. – General Obligation
Gtd. – Guaranteed
HFA – Housing Finance Authority
LOC – Letter of Credit
MBIA – Municipal Bond Insurance Association
PCR – Pollution Control Revenue
PFA – Public Finance Authority
PSF – Permanent School Fund
SFM – Single Family Mortgage
TAN – Tax Anticipation Notes
TCRS – Transferable Custodial Receipts
TRAN – Tax Revenue Anticipation Notes
TRB – Tax Revenue Bonds
VRDB – Variable Rate Demand Bonds
XLCA – XL Capital Assurance
TAX – EXEMPT FIXED INCOME FUNDS      11      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  TAX – EXEMPT FUND
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6%
                
Arizona - 2.2%
                
Arizona School District COP TAN,
4.50%, 7/30/07
   $ 3,500     $ 3,502  
Arizona Student Loan Acquisition
Authority Revenue Refunding Bonds,
Series A-1 (AMT) (Student Loans
Gtd.),
5.90%, 5/1/24
     1,000       1,049  
Arizona Tourism & Sports Authority
Revenue Bonds, Series A,
Multipurpose Stadium Facility
(MBIA Insured),
5.00%, 7/1/31
     2,250       2,303  
Maricopa County Unified School
District No. 41 Gilbert G.O.
Unlimited Bonds,
6.25%, 7/1/15
     235       240  
Maricopa County Unified School
District No. 41 Gilbert G.O.
Unlimited Bonds, Prerefunded,
6.25%, 7/1/08
     2,765       2,832  
Phoenix Civic Improvement Corp.
District Capital Appreciation
Revenue Bonds, Series B
(FGIC Insured),
0.00%, 7/1/20
     2,045       1,676  
Tucson Water Revenue Bonds, Series C
(FGIC Insured), Prerefunded,
5.25%, 7/1/14
     2,000       2,146  
 
 
                
 
             13,748  
 
 
                
California - 16.0%
                
Anaheim PFA Revenue Bonds,
Electric System Distributing Facilities
(MBIA Insured), Prerefunded,
5.00%, 10/1/08
     2,345       2,405  
Bay Area Governments Association
Infrastructure Financing Authority
Revenue Bonds, Payment
Acceleration Notes (FGIC Insured),
5.00%, 8/1/17
     5,000       5,210  
Bay Area Governments Association
Infrastructure Financing Authority
Revenue Bonds, Payment
Acceleration Notes (XLCA Insured),
5.00%, 8/1/13
     5,000       5,162  
Beverly Hills PFA Lease Revenue Bonds,
Capital Improvement Project,
4.50%, 6/1/28
     2,500       2,379  
California HFA Revenue Bonds,
Series E (AMT), Home Mortgage,
4.75%, 2/1/30
     5,000       4,832  
California HFA Revenue Bonds,
Series E (AMT), Home Mortgage
(FGIC Insured),
5.00%, 2/1/24
     3,245       3,254  
California Infrastructure & Economic
Development Bank Revenue Bonds,
Series A, Bay Area Toll Bridges – First
Lien (AMBAC Insured), Prerefunded,
5.00%, 1/1/28
     4,675       5,051  
California State Department of Water
Resources Power Supply Revenue
Bonds, Series A,
6.00%, 5/1/14
     12,000       13,064  
California State G.O. Refunding Bonds
(MBIA Insured),
4.25%, 8/1/33
     5,000       4,572  
California State G.O. Unlimited Bonds,
Prerefunded,
5.75%, 5/1/10
     400       424  
5.75%, 5/1/10
     50       53  
California State G.O. Unlimited Bonds,
Unrefunded Balance,
5.75%, 5/1/30
     130       138  
California State Various Purpose
G.O. Bonds,
5.00%, 6/1/37
     12,500       12,764  
Chaffey Community College District G.O.
Unlimited Bonds, Series C, Election of
2002 (MBIA Insured),
5.00%, 6/1/32
     5,000       5,201  
Colton Joint Unified School District
Capital Appreciation G.O. Unlimited
Bonds, Series C, Election of 2001
(FGIC Insured),
0.00%, 2/1/32
     5,800       1,617  
Industry Public Facilities Authority
Tax Allocation Revenue Bonds
(MBIA Insured),
4.30%, 5/1/21
     4,000       3,872  
Kern High School District G.O.
Unlimited Refunding Bonds, Series A
(MBIA Insured),
6.60%, 2/1/17
     1,845       2,018  
6.60%, 8/1/17
     1,825       1,997  
TAX – EXEMPT FIXED INCOME FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
California - 16.0% – (continued)
                
Los Angeles Department of Water &
Power Waterworks Revenue Bonds,
Series C (MBIA Insured),
5.00%, 7/1/29
   $ 2,500     $ 2,579  
Menlo Park G.O. Unlimited Bonds,
5.25%, 8/1/27
     1,000       1,053  
Moreland School District G.O. Unlimited
Bonds, Series C, Election of 2002
(FGIC Insured),
0.00%, 8/1/28
     3,000       1,003  
Orange County Sanitation District COP
(FGIC Insured), Prerefunded,
5.25%, 8/1/13
     10,000       10,714  
Orange County Sanitation District
Refunding COP, Series A
(MBIA Insured),
4.50%, 2/1/29
     5,000       4,767  
4.25%, 2/1/30
     5,000       4,755  
Walnut Valley Unified School District
G.O. Unlimited Bonds, Series A
(MBIA Insured), Escrowed to
Maturity,
6.00%, 8/1/13
     1,000       1,112  
 
 
                
 
             99,996  
 
 
                
Colorado - 0.7%
                
Colorado Health Facilities Authority
Revenue Bonds, Portercare Adventist
Health Hospital, Prerefunded,
6.50%, 11/15/11
     1,000       1,110  
Denver City & County Special Facilities
Airport Revenue Bonds, Series A
(AMT), Rental Car Project
(MBIA Insured),
6.00%, 1/1/14
     3,360       3,476  
 
 
                
 
             4,586  
 
 
                
Connecticut - 2.0%
                
Connecticut HFA Mortgage Program
Revenue Bonds, Series D,
4.65%, 11/15/27
     2,500       2,481  
Connecticut State Higher Education
Supplement Loan Authority Revenue
Refunding Bonds, Series A (AMT),
Family Education Loan Program
(MBIA Insured),
4.75%, 11/15/18
     1,000       1,003  
Connecticut State Special Tax Obligation
Revenue Bonds, Series A,
Transportation Infrastructure,
Partially Prerefunded,
7.13%, 6/1/10
     8,625       9,169  
 
 
                
 
             12,653  
 
 
                
Florida - 6.3%
                
Crossings at Fleming Island Community
Development District Special
Assessment Revenue Refunding
Bonds, Series C,
7.05%, 5/1/15
     1,300       1,365  
Florida State Board of Education Capital
Outlay G.O. Unlimited Bonds,
9.13%, 6/1/14
     2,090       2,457  
Florida State Board of Education Capital
Outlay G.O. Unlimited Refunding
Bonds, Escrowed to Maturity,
9.13%, 6/1/14
     325       420  
Florida State Broward County G.O.
Unlimited Bonds, Escrowed to
Maturity,
10.00%, 7/1/14
     15,950       20,063  
Orlando Utilities Commission Water &
Electric Revenue Refunding Bonds,
Series D, Escrowed to Maturity,
6.75%, 10/1/17
     7,700       8,938  
Poinciana Community Development
District Special Assessment Bonds,
Series A,
7.13%, 5/1/31
     900       948  
Sunrise Utility System Revenue
Refunding Bonds, Series A
(AMBAC Insured),
5.50%, 10/1/15
     4,945       5,322  
 
 
                
 
             39,513  
 
 
                
Georgia - 1.7%
                
Forsyth County G.O. Unlimited Bonds,
Prerefunded,
6.00%, 3/1/10
     3,290       3,489  
Gainesville & Hall County Development
Authority Revenue Bonds, Series C,
Senior Living Facilities – Lanier
Village,
7.25%, 11/15/29
     2,000       2,146  
NORTHERN FUNDS QUARTERLY REPORT      2      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
Georgia - 1.7% – (continued)
                
Georgia Municipal Electric Authority
Power Revenue Bonds, Series B
(FGIC-TCRS Insured),
6.38%, 1/1/16
   $ 2,300     $ 2,662  
Georgia State Housing & Finance
Authority Revenue Bonds, Series B
(AMT), SFM (G.O. of Authority
Insured),
5.00%, 12/1/26
     1,500       1,492  
Private Colleges & Universities Authority
Student Housing Revenue Bonds,
Series A, Mercer Housing Corp.
Project,
6.00%, 6/1/21
     1,000       1,059  
 
 
                
 
             10,848  
 
 
                
Illinois - 5.2%
                
Bolingbrook Capital Appreciation G.O.
Unlimited Bonds, Series B
(MBIA Insured),
0.00%, 1/1/33
     1,400       353  
Chicago O’Hare International Airport
Third Lien Revenue Bonds, Series B-2
(AMT) (XLCA Insured),
6.00%, 1/1/29
     11,000       12,091  
Cook County Capital Improvement
G.O. Unlimited Bonds, Series C
(AMBAC Insured),
5.00%, 11/15/25
     2,500       2,565  
Illinois Development Finance Authority
Economic Development Revenue
Bonds, Latin School of Chicago
Project, Prerefunded,
5.60%, 8/1/08
     350       356  
Illinois Educational Facilities Authority
Student Housing Revenue Bonds,
Educational Advancement Fund
University Center Project,
Prerefunded,
6.00%, 5/1/12
     750       821  
Illinois Finance Authority Revenue
Bonds, University of Chicago,
5.00%, 7/1/46
     5,000       5,107  
Illinois Health Facilities Authority
Revenue Bonds, Riverside Health
System, Prerefunded,
6.00%, 11/15/12
     1,000       1,094  
Illinois State G.O. Unlimited Bonds,
First Series,
5.60%, 8/1/21
     5,000       5,208  
Metropolitan Pier & Exposition Authority
Revenue Bonds, Series A, McCormick
Place Expansion (MBIA Insured),
5.25%, 6/15/42
     5,000       5,218  
 
 
                
 
             32,813  
 
 
                
Indiana - 3.9%
                
Franklin Township Independent School
Building Corp. Marion County First
Mortgage Revenue Bonds,
Prerefunded,
6.50%, 7/15/10
     5,000       5,453  
Hamilton County Independent Public
Building Corp. First Mortgage G.O.
Unlimited Bonds,
7.25%, 8/1/13
     4,200       4,840  
Indiana Office Building Commission
Capital Complex Revenue Bonds,
Series B (MBIA Insured),
7.40%, 7/1/15
     5,620       6,708  
Indianapolis Industrial Utilities District
Revenue Refunding Bonds, Series B
(FGIC Insured),
3.50%, 6/1/18
     3,280       3,042  
Indianapolis Industrial Utilities District
Revenue Refunding Bonds, Series B
(FGIC Insured), Escrowed to Maturity,
4.00%, 6/1/08
     2,275       2,280  
Monroe County Hospital Authority
Revenue Bonds, Series B,
Bloomington Hospital Obligation
Group (FSA Insured),
6.00%, 5/1/29
     2,000       2,083  
 
 
                
 
             24,406  
 
 
                
Kansas - 0.7%
                
Kansas State Department of
Transportation Highway Revenue
Bonds, Series A, Prerefunded,
5.75%, 9/1/10
     2,435       2,565  
Wichita Hospital Improvement Facilities
Revenue Refunding Bonds, Series III,
6.25%, 11/15/18
     1,685       1,816  
 
 
                
 
             4,381  
 
 
                
TAX – EXEMPT FIXED INCOME FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
Kentucky - 1.7%
                
Louisville & Jefferson County
Metropolitan Sewer District Sewer &
Drain System Revenue Bonds,
Series A (MBIA Insured),
5.50%, 5/15/34
   $ 10,000     $ 10,610  
Louisiana - 2.0%
                
Louisiana Public Facilities Authority
Revenue Refunding Bonds,
Series A-1, Tulane University Project
(MBIA Insured),
5.00%, 2/15/30
     1,750       1,809  
Louisiana State Gas & Fuels TRB,
Series A (FGIC Insured),
5.00%, 5/1/41
     5,000       5,118  
Louisiana State Gas & Fuels TRB,
Series A (FSA Insured),
5.00%, 5/1/36
     5,160       5,320  
 
 
                
 
             12,247  
 
 
                
Maryland - 2.1%
                
Montgomery Improvement G.O.
Unlimited Bonds, Series A,
Consolidated Public Improvement,
5.00%, 5/1/18
     5,000       5,356  
Prince Georges County G.O. Limited
Bonds, Series B, Consolidated
Public Improvement,
5.00%, 7/15/23
     7,235       7,626  
 
 
                
 
             12,982  
 
 
                
Massachusetts - 5.7%
                
Massachusetts Bay Transportation
Authority Capital Appreciation
Sales TRB, Series A-2,
0.00%, 7/1/35
     5,000       1,224  
Massachusetts Health & Educational
Facilities Authority Revenue Bonds,
Series L, Massachusetts Institute
Technology, 5.00%, 7/1/23
     5,100       5,485  
Massachusetts Health & Educational
Facilities Authority Revenue Bonds,
Series N, Harvard University
(G.O. of Institution Insured),
6.25%, 4/1/20
     10,000       11,975  
Massachusetts State G.O. Limited
Bonds, Series D, Consolidated Loan
(FGIC-TCRS Insured),
5.50%, 8/1/19
     7,500       8,334  
Massachusetts State Water Pollution
Abatement Revenue Bonds, Series A,
MWRA Program,
6.00%, 8/1/19
     3,000       3,486  
Massachusetts State Water Resources
Authority Revenue Refunding Bonds,
Series D (MBIA Insured G.O. of
Authority),
5.00%, 8/1/24
     5,000       5,092  
 
 
                
 
             35,596  
 
 
                
Michigan - 0.6%
                
Wayne Charter County Airport
Revenue Bonds, Series B
(MBIA Insured),
4.88%, 12/1/23
     2,500       2,522  
Wayne Charter County Revenue
Refunding Bonds, Series C
(FGIC Insured),
5.38%, 12/1/15
     1,000       1,056  
 
 
                
 
             3,578  
 
 
                
Minnesota - 2.7%
                
Minnesota Public Facilities Authority
Water PCR Refunding Bonds,
Series B,
5.00%, 3/1/18
     5,000       5,350  
Minnesota State G.O. Unlimited Bonds,
5.00%, 6/1/11
     10,000       10,392  
Minnesota State Housing Finance
Agency SFM Revenue Bonds,
Series A (MBIA Insured),
5.35%, 7/1/17
     500       511  
Minnesota State Housing Finance
Agency SFM Revenue Bonds,
Series F,
5.70%, 1/1/17
     860       865  
 
 
                
 
             17,118  
 
 
                
Missouri - 1.3%
                
Metro Development Agency District
Revenue Bonds, Series B, Metrolink
Cross Country Project (FSA Insured),
5.25%, 10/1/17
     2,500       2,659  
NORTHERN FUNDS QUARTERLY REPORT      4      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
Missouri - 1.3% – (continued)
                
Missouri State Environmental
Improvement & Energy Resources
Authority Water Pollution Revenue
Refunding Bonds, Series A, State
Revolving Funds Project,
5.00%, 7/1/18
   $ 5,210     $ 5,574  
 
 
                
 
             8,233  
 
 
                
Nevada - 1.8%
                
Clark County Passenger Facilities
Charge Revenue Bonds, Series A-2,
Las Vegas – McCarran International
Airport (AMBAC Insured),
5.00%, 7/1/27
     6,500       6,733  
North Las Vegas G.O. Limited Bonds,
Wastewater Reclamation System
(MBIA Insured),
4.50%, 10/1/36
     5,000       4,765  
 
 
                
 
             11,498  
 
 
                
New Jersey - 1.6%
                
New Jersey Economic Development
Authority Revenue Bonds,
Cigarette Tax,
5.75%, 6/15/29
     5,000       5,321  
New Jersey Health Care Facilities
Financing Authority Revenue Bonds,
Atlantic City Medical,
6.25%, 7/1/12
     555       602  
New Jersey Health Care Facilities
Financing Authority Revenue Bonds,
Atlantic City Medical, Prerefunded,
6.25%, 7/1/17
     445       489  
New Jersey State Turnpike Authority
Growth & Income Securities
Revenue Bonds, Series B
(AMBAC Insured),
0.00%, 1/1/35
     5,000       3,529  
 
 
                
 
             9,941  
 
 
                
New York - 8.8%
                
Dutchess County IDA Civic Facilities
Revenue Bonds, Bard College Civic
Facilities, Prerefunded,
5.75%, 8/1/10
     2,000       2,123  
Long Island Power Authority Electrical
Systems Revenue Bonds, Series E
(FGIC Insured),
5.00%, 12/1/22
     5,000       5,237  
New York City G.O. Unlimited Bonds,
Series A,
6.00%, 5/15/30
     50       53  
New York City Municipal Water
Finance Authority Water & Sewer
System Revenue Bonds, Series B,
Prerefunded,
6.00%, 6/15/10
     1,940       2,072  
New York City Municipal Water
Finance Authority Water & Sewer
System Revenue Crossover Refunding
Bonds, Series B,
6.00%, 6/15/33
     1,160       1,233  
New York City Transitional Finance
Authority Revenue Bonds, Series B,
Future Tax Secured, Prerefunded,
6.00%, 5/15/10
     4,000       4,267  
New York City Transitional Finance
Authority Revenue Bonds, Series E,
Future Tax Secured (FGIC Insured),
5.25%, 2/1/17
     5,000       5,290  
New York Liberty Development Corp.
Revenue Bonds, Goldman Sachs
Headquarters,
5.25%, 10/1/35
     5,000       5,419  
New York State Dormitory Authority
Lease Revenue Bonds, Series A,
University Dormitory Facilities,
Prerefunded,
6.25%, 7/1/10
     1,115       1,200  
Port Authority of New York & New
Jersey Revenue Bonds, Series 109
(G.O. of Authority),
5.38%, 1/15/32
     2,000       2,022  
Sales Tax Asset Receivables Corp.
Revenue Bonds, Series A
(MBIA Insured),
5.25%, 10/15/19
     5,000       5,356  
Tobacco Settlement Financing Corp.
Revenue Bonds, Series B-1C,
               
5.50%, 6/1/16
     10,000       10,509  
5.50%, 6/1/18
     5,000       5,295  
5.50%, 6/1/19
     2,500       2,675  
TAX – EXEMPT FIXED INCOME FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
New York - 8.8% – (continued)
                
Triborough Bridge & Tunnel Authority
Revenue Bonds, Series A,
5.00%, 11/15/37
   $ 2,500     $ 2,586  
 
 
                
 
             55,337  
 
 
                
North Carolina - 3.0%
                
North Carolina State Eastern
Municipal Power Agency Power
System Revenue Bonds, Series A,
Escrowed to Maturity,
6.50%, 1/1/18
     2,655       3,169  
North Carolina State Eastern
Municipal Power Agency Power
System Revenue Bonds, Series D,
6.75%, 1/1/26
     1,250       1,328  
North Carolina State Eastern
Municipal Power Agency Power
System Revenue Refunding Bonds,
Series B,
7.00%, 1/1/08
     10,000       10,145  
North Carolina State Public
Improvement G.O. Unlimited Bonds,
Series A,
4.25%, 3/1/27
     4,550       4,343  
 
 
                
 
             18,985  
 
 
                
Ohio - 1.9%
                
Hamilton County Sales Tax Revenue
Refunding Bonds, Series A
(AMBAC Insured),
5.00%, 12/1/26
     5,000       5,206  
Ohio Housing Finance Agency
Mortgage Revenue Bonds, Series C
(AMT), Residential Mortgage-Backed
Securities (Colld. by GNMA
Securities),
5.15%, 3/1/13
     665       677  
Plain Local School District G.O.
Unlimited Bonds (FGIC Insured),
6.00%, 12/1/25
     190       202  
Plain Local School District G.O.
Unlimited Bonds (FGIC Insured),
Prerefunded,
6.00%, 6/1/11
     810       870  
Trotwood-Madison City School District
G.O. Unlimited Refunding Bonds,
School Improvement (FSA Insured),
4.50%, 12/1/30
     5,000       4,831  
 
 
                
 
             11,786  
 
 
                
Oklahoma - 1.4%
                
McGee Creek Authority Water
Revenue Bonds (MBIA Insured),
6.00%, 1/1/13
     6,000       6,319  
Payne County Economic Development
Authority Student Housing Revenue
Bonds, Series A, Collegiate Housing
Foundation, Prerefunded,
6.38%, 6/1/11
     2,000       2,169  
 
 
                
 
             8,488  
 
 
                
Oregon - 0.3%
                
Oregon State Housing & Community
Services Department Mortgage
Revenue Bonds, Series E,
SFM Program (FHA Insured),
6.15%, 7/1/30
     360       367  
Oregon State Housing & Community
Services Department Mortgage
Revenue Bonds, Series F,
SFM Project,
5.55%, 7/1/30
     1,175       1,202  
 
 
                
 
             1,569  
 
 
                
Pennsylvania - 3.1%
                
Montgomery County Higher Education &
Health Authority Revenue Bonds,
Series A, Philadelphia Geriatric
Center, Prerefunded,
7.38%, 12/1/09
     3,000       3,268  
Pennsylvania Housing Finance Agency
SFM Revenue Bonds, Series 72A
(AMT),
4.80%, 4/1/12
     750       761  
Pennsylvania State G.O. Unlimited
Bonds, Second Series (FGIC Insured),
5.00%, 7/1/09
     5,000       5,116  
Pennsylvania State G.O. Unlimited
Refunding Bonds, First Series
(MBIA Insured),
5.25%, 2/1/10
     5,000       5,169  
Pennsylvania State Higher Educational
Facilities Authority Revenue Bonds,
LaSalle University,
5.50%, 5/1/34
     1,330       1,375  
Pennsylvania State Higher Educational
Facilities Authority Revenue Bonds,
Series A, UPMC Health System,
6.00%, 1/15/22
     1,750       1,868  
NORTHERN FUNDS QUARTERLY REPORT      6      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
Pennsylvania - 3.1% – (continued)
                
Pennsylvania State Higher Educational
Facilities Authority Student Housing
Revenue Bonds, Series A, Student
Association, Inc. Project,
6.75%, 9/1/32
   $ 1,475     $ 1,581  
 
 
                
 
             19,138  
 
 
                
Puerto Rico - 3.2%
                
Puerto Rico Commonwealth Highway &
Transportation Authority Revenue
Bonds (AMBAC-TCRS-BNY Insured),
5.50%, 7/1/29
     5,000       5,694  
Puerto Rico Commonwealth Highway &
Transportation Authority
Transportation Revenue Bonds,
Series B, Prerefunded,
6.00%, 7/1/10
     2,000       2,133  
Puerto Rico Commonwealth Highway &
Transportation Authority
Transportation Revenue Bonds,
Series D, Prerefunded,
5.25%, 7/1/12
     11,260       11,898  
 
 
                
 
             19,725  
 
 
                
Rhode Island - 2.1%
                
Rhode Island Housing & Mortgage
Finance Corp. Revenue Bonds,
Series 54 (AMT), Home Ownership
Opportunity,
4.75%, 10/1/31
     2,500       2,399  
Rhode Island State Economic
Development Corp. Airport Revenue
Bonds, Series B (FGIC Insured),
Prerefunded,
6.50%, 7/1/10
     3,000       3,242  
Rhode Island State Health & Educational
Building Corp. Revenue Bonds,
Series B, Higher Educational Facility
Rhode Island University (AMBAC
Insured), Prerefunded,
5.70%, 9/15/10
     7,070       7,504  
 
 
                
 
             13,145  
 
 
                
Texas - 6.9%
                
Birdville Independent School District
Capital Appreciation G.O. Unlimited
Bonds (PSF Gtd.), Prerefunded,
0.00%, 2/15/10
     1,795       893  
Dallas-Fort Worth International Airport
Revenue Bonds, Series A (AMT)
(AMBAC Insured),
5.00%, 11/1/32
     1,110       1,121  
Harris County Health Facilities
Development Corp. Revenue Bonds,
Series A, Christus Health
(MBIA Insured), Escrowed to
Maturity,
5.50%, 7/1/09
     180       185  
Harris County Revenue Refunding
Bonds, Series A, Senior Lien – Toll
Road (FSA Insured), Prerefunded,
5.25%, 8/15/10
     10,000       10,378  
Lewisville Independent School District
G.O. Unlimited Refunding Bonds
(PSF Gtd.),
5.25%, 8/15/18
     5,000       5,353  
Parker County Hospital District Revenue
Bonds, Campbell Health System,
Prerefunded,
6.25%, 8/15/09
     1,000       1,065  
Pflugerville Certificates G.O. Limited
Bonds (AMBAC Insured),
5.00%, 8/1/33
     3,075       3,149  
Sam Rayburn Municipal Power Agency
Revenue Refunding Bonds,
6.00%, 10/1/16
     1,000       1,048  
6.00%, 10/1/21
     1,250       1,302  
Texas State TRAN,
4.50%, 8/31/07
     15,000       15,017  
Texas State Veterans Housing
Assistance G.O. Unlimited Bonds,
Series C (AMT), Fund II,
6.10%, 6/1/21
     3,000       3,122  
Waxahachie Independent School
District Capital Appreciation G.O.
Unlimited Bonds (PSF Gtd.),
0.00%, 8/15/16
     240       142  
0.00%, 8/15/23
     190       70  
0.00%, 8/15/28
     305       80  
0.00%, 8/15/30
     320       73  
 
 
                
 
             42,998  
 
 
                
TAX – EXEMPT FIXED INCOME FUNDS      7      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
MUNICIPAL BONDS - 92.6% – CONTINUED
                
Virginia - 0.8%
                
Virginia State Public Building Authority
Public Facilities Revenue Refunding
Bonds, Series A,
5.00%, 8/1/11
   $ 5,000     $ 5,196  
Washington - 2.1%
                
King County School District No. 1
Seattle G.O. Limited Bonds, Series A
(School Board Guaranty Insured), (1)
4.00%, 6/1/11
     5,000       5,003  
King County School District No. 407
Riverview G.O. Unlimited Bonds
(MBIA School Board Guaranty
Insured),
5.00%, 12/1/29
     1,140       1,181  
Snohomish County School District
No. 15 Edmonds G.O. Unlimited
Refunding Bonds, Series B
(FSA Insured),
5.00%, 12/1/07
     1,000       1,005  
Washington State G.O. Unlimited Bonds,
Series B & AT-7,
6.40%, 6/1/17
     5,200       5,987  
 
 
                
 
             13,176  
 
 
                
Wisconsin - 0.4%
                
Madison Metropolitan School District
TRAN,
4.00%, 9/7/07
     2,500       2,500  
Wyoming - 0.4%
                
Wyoming Community Development
Authority Housing Revenue Bonds,
Series 1 (AMT),
4.70%, 12/1/28
     2,500       2,398  
 
 
                
Total Municipal Bonds
                
 
 
                
(Cost $567,676)
             579,188  
                 
    NUMBER   VALUE
    OF SHARES   (000S)
INVESTMENT COMPANIES - 0.1%
                
AIM Tax-Free Cash Reserve
Portfolio
     791,467       792  
Dreyfus Tax-Exempt Cash
Management Fund
     32,039       32  
 
 
                
Total Investment Companies
                
 
 
                
(Cost $824)
             824  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 6.1%
                
California Statewide Communities
Development Authority Revenue
VRDB, University of San Diego
(BNP Paribas LOC), 3.66%, 7/4/07
   $ 2,000     $ 2,000  
Connecticut State Health & Educational
Facility Authority Revenue VRDB,
Series T-1, Yale University,
3.80%, 7/2/07
     600       600  
Connecticut State Health & Educational
Facility Authority Revenue VRDB,
Series Y-2, Yale University,
3.80%, 7/2/07
     1,200       1,200  
Harris County Health Facilities
Development Corp. Revenue VRDB,
Class A, Methodist Hospital System,
3.85%, 7/2/07
     7,400       7,400  
Louisiana Offshore Terminal Authority
Deepwater Port Revenue VRDB,
Series A, Loop LLC Project
(SunTrust Bank LOC),
3.89%, 7/2/07
     1,000       1,000  
Massachusetts State Health &
Educational Facilities Authority
Revenue VRDB, Series GG-1,
Harvard University, 3.72%, 7/5/07
     5,000       5,000  
Michigan State Hospital Finance
Authority Revenue Refunding VRDB,
Series A, Crittenton Hospital
(Comerica Bank LOC),
3.91%, 7/2/07
     100       100  
Ohio State Air Quality Development
Authority Revenue Refunding VRDB,
Series A, Polution Control –
Firstenergy (Barclays Bank PLC LOC),
3.74%, 7/4/07
     10,000       10,000  
Sunshine State Governmental Financing
Commission Revenue VRDB
(AMBAC Insured),
3.92%, 7/2/07
     2,900       2,900  
Tarrant County Health Facilities
Development Corp. Revenue VRDB,
Series A, Adventist/Sunbelt
(Suntrust Bank LOC),
3.73%, 7/5/07
     400       400  
Texas State Transportation Commission
Revenue VRDB, Series B, First Tier,
3.74%, 7/4/07
     200       200  
NORTHERN FUNDS QUARTERLY REPORT      8      TAX – EXEMPT FIXED INCOME FUNDS

 

Table of Contents

TAX – EXEMPT FIXED INCOME FUNDS
  SCHEDULE OF INVESTMENTS
  TAX – EXEMPT FUND (continued)
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENTS - 6.1% – CONTINUED
                
Valdez Marine Term Revenue Refunding
VRDB, Series B, BP Pipelines Project,
3.92%, 7/2/07
   $ 7,200     $ 7,200  
Washington State Housing Finance
Commission Nonprofit Housing
Revenue Refunding VRDB,
Emerald Heights Project
(Bank of America N.A. LOC),
3.78%, 7/2/07
     100       100  
 
 
                
Total Short-Term Investments
                
 
 
                
(Cost $38,100)
             38,100  
 
                
 
 
                
Total Investments - 98.8%
                
 
 
                
(Cost $606,600)
             618,112  
Other Assets less Liabilities - 1.2%
             7,270  
 
 
                
NET ASSETS - 100.0%
           $ 625,382  
 
(1)   When-Issued Security
Percentages shown are based on Net Assets.
At June 30, 2007, the industry sectors for the Tax-Exempt Fund were:
         
INDUSTRY SECTOR   % OF INVESTMENTS
Development
     6.2 %
General
     8.7  
General Obligation
     22.6  
Higher Education
     8.3  
Power
     6.5  
School District
     5.8  
Transportation
     6.8  
Utilities
     9.1  
All other sectors less than 5%
     26.0  
 
 
        
Total
     100.0 %
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 606,600  
 
Gross tax appreciation of investments
   $ 14,917  
Gross tax depreciation of investments
     (3,405 )
 
Net tax appreciation of investments
   $ 11,512  
 
With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
Interest rates represent either the stated coupon rate, annualized yield on the date of purchase for discounted notes, or, for floating rate securities, the current reset rate.
Maturity dates represent the stated date on the security, the next interest reset/puttable date for floating and variable rate securities or the prerefunded date for these types of securities.
Prerefunding is a procedure in which a bond issuer floats a second bond in order to pay off the first bond at the first call date. The proceeds from the sale of the second bond are safely invested, usually in Treasury securities, that will mature at the first call date of the first bond issue. Those first bonds are said to be prerefunded after this operation has taken place.
EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS:
AMBAC – American Municipal Bond Assurance Corporation
AMT – Alternative Minimum Tax
Colld. – Collateralized
COP – Certificate of Participation
FGIC – Financial Guaranty Insurance Corporation
FHA – Federal Housing Authority
FSA – Financial Security Assurance
GNMA – Government National Mortgage Association
G.O. – General Obligation
Gtd. – Guaranteed
HFA – Housing Finance Authority
IDA – Industrial Development Authority
LOC – Letter of Credit
MBIA – Municipal Bond Insurance Association
PCR – Pollution Control Revenue
PFA – Public Finance Authority
PSF – Permanent School Fund
SFM – Single Family Mortgage
TCRS – Transferable Custodial Receipts
TAN – Tax Anticipation Notes
TRAN – Tax Revenue Anticipation Notes
TRB – Tax Revenue Bonds
VRDB – Variable Rate Demand Bonds
XLCA – XL Capital Assurance
TAX – EXEMPT FIXED INCOME FUNDS      9      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MULTI — MANAGER FUNDS
   SCHEDULE OF INVESTMENTS
   MULTI — MANAGER INTERNATIONAL EQUITY FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
 
COMMON STOCKS - 95.0%
                
Australia - 2.7%
                
Alumina Ltd.
     1,114,100     $ 7,358  
AMP Ltd.
     271,016       2,325  
CSL Ltd.
     57,416       4,284  
Dyno Nobel Ltd.
     2,614,700       5,298  
Incitec Pivot Ltd.
     57,662       3,896  
National Australia Bank Ltd.
     72,460       2,520  
Newcrest Mining Ltd.
     171,350       3,319  
Rio Tinto Ltd.
     58,153       4,871  
 
 
             33,871  
 
Belgium - 1.1%
                
Belgacom S.A.
     132,420       5,888  
Fortis
     77,215       3,296  
InBev N.V.
     35,766       2,848  
KBC Groep N.V.
     3       —  
UCB S.A.
     28,027       1,664  
 
 
             13,696  
 
Bermuda - 0.8%
                
Aquarius Platinum Ltd.
     69,174       2,172  
Credicorp Ltd.
     45,000       2,753  
SeaDrill Ltd. *
     269,000       5,805  
 
 
             10,730  
 
Brazil - 1.0%
                
All America Latina Logistica S.A.
     192,600       2,636  
Centrais Eletricas Brasileiras S.A.
     150,216,000       4,516  
Cia Vale do Rio Doce ADR
     55,400       2,468  
Unibanco — Uniao de Bancos Brasileiros S.A. GDR
     24,000       2,709  
 
 
             12,329  
 
Canada - 4.8%
                
AUR Resources, Inc.
     57,100       1,699  
Barrick Gold Corp.
     572,790       16,651  
HudBay Minerals, Inc. *
     62,700       1,310  
Inmet Mining Corp.
     21,800       1,687  
Ivanhoe Mines Ltd. *
     340,300       4,846  
Magna International, Inc., Class A
     60,070       5,466  
Novagold Resources, Inc. *
     309,400       4,650  
OPTI Canada, Inc. *
     177,400       3,784  
Patheon, Inc. *
     387,000       1,530  
Petro-Canada
     82,900       4,407  
Rogers Communications, Inc., Class B
     129,500       5,522  
Suncor Energy, Inc.
     65,600       5,899  
Teck Cominco Ltd., Class B
     55,500       2,355  
 
 
             59,806  
 
China - 0.7%
                
China Coal Energy Co., H Shares *
     2,092,000       3,136  
China Communications Construction Co. Ltd., H Shares
     1,842,000       3,298  
Foxconn International Holdings Ltd. *
     448,000       1,284  
Synear Food Holdings Ltd.
     1,095,000       1,295  
 
 
             9,013  
 
Denmark - 0.6%
                
FLSmidth & Co. A/S
     67,350       5,316  
Novo Nordisk A/S, Class B
     26,240       2,864  
 
 
             8,180  
 
Egypt - 0.2%
                
Orascom Construction Industries GDR
     21,238       2,779  
 
Finland - 2.2%
                
Nokia OYJ
     327,560       9,227  
Outotec OYJ
     56,798       3,142  
Stora Enso OYJ (Registered)
     541,100       10,239  
Stora Enso OYJ ADR
     165,570       3,101  
Wartsila OYJ, Class B
     35,421       2,345  
 
 
             28,054  
 
France - 9.6%
                
Alcatel-Lucent
     475,943       6,687  
Alcatel-Lucent ADR
     182,600       2,556  
Alstom
     51,304       8,627  
Areva S.A.
     4,200       4,512  
BNP Paribas
     45,336       5,422  
Carrefour S.A.
     74,594       5,265  
Casino Guichard Perrachon S.A.
     16,659       1,691  
Cie Compagnie Generale de Geophysique- Veritas *
     15,340       3,861  
Cie de Saint-Gobain
     33,921       3,828  
France Telecom S.A.
     51,330       1,417  
Gemalto N.V. *
     455,850       10,601  
L’Oreal S.A.
     33,186       3,944  
Neopost S.A. *
     16,691       2,452  
PPR
     19,104       3,350  
Sanofi-Aventis
     71,483       5,815  
Suez S.A.
     109,385       6,291  
Technip S.A.
     45,900       3,809  
Thales S.A.
     175,120       10,743  
MULTI — MANAGER FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 95.0% – CONTINUED
                
France - 9.6% – (continued)
                
Total S.A.
     156,706     $ 12,782  
Total S.A. ADR
     30,500       2,470  
Veolia Environment
     76,019       5,971  
Vivendi
     207,946       8,982  
 
 
             121,076  
 
Germany - 6.9%
                
Allianz S.E. (Registered)
     49,986       11,745  
BASF A.G.
     16,160       2,127  
Bayer A.G.
     48,926       3,715  
Deutsche Bank A.G. (Registered)
     33,841       4,939  
Deutsche Postbank A.G.
     26,016       2,291  
Deutsche Telekom A.G. (Registered)
     153,250       2,840  
Hugo Boss A.G.
     8,247       541  
Infineon Technologies A.G. *
     62,395       1,040  
IVG Immobilien A.G.
     49,187       1,926  
Merck KGaA
     11,275       1,558  
Metro A.G.
     125,368       10,433  
Muenchener Rueckversicherungs A.G. (Registered)
     17,207       3,172  
Premiere A.G. *
     484,100       11,533  
SAP A.G.
     192,497       9,920  
Siemens A.G. (Registered)
     79,925       11,529  
Solarworld A.G.
     56,270       2,604  
Stada Arzneimittel A.G.
     43,075       2,754  
United Internet A.G. (Registered)
     141,807       2,970  
 
 
             87,637  
 
Greece - 0.7%
                
Hellenic Telecommunications Organization S.A.
     111,424       3,454  
National Bank of Greece S.A.
     42,651       2,448  
Piraeus Bank S.A.
     76,625       2,806  
 
 
             8,708  
 
Guernsey - 0.2%
                
Eurocastle Investment Ltd.
     48,860       2,265  
 
Hong Kong - 0.4%
                
Cheung Kong Holdings Ltd.
     180,828       2,369  
Pacific Basin Shipping Ltd.
     2,661,000       2,995  
 
 
             5,364  
 
India - 0.2%
                
Infosys Technologies Ltd. ADR
     42,700       2,151  
Indonesia - 0.0%
                
Bank Mandiri Persero Tbk PT
     1,500       1  
Ireland - 0.4%
                
Kingspan Group PLC
     165,609       4,643  
Italy - 4.9%
                
Alleanza Assicurazioni S.p.A.
     290,590       3,807  
Ansaldo STS S.p.A. *
     277,990       3,695  
Arnoldo Mondadori Editore S.p.A.
     328,100       3,220  
Assicurazioni Generali S.p.A.
     80,370       3,238  
Banco Popolare di Verona e Novara Scrl
     70,370       2,033  
Enel S.p.A.
     285,397       3,081  
ENI S.p.A.
     297,404       10,829  
Mediaset S.p.A.
     516,076       5,347  
Telecom Italia S.p.A. (RNC)
     7,796,990       17,340  
UniCredito Italiano S.p.A. (Milan Exchange)
     974,303       8,744  
 
 
             61,334  
 
Japan - 21.6%
                
Acom Co. Ltd.
     89,200       3,203  
Bank of Yokohama (The) Ltd.
     344,000       2,415  
Bridgestone Corp.
     101,900       2,186  
Canon, Inc.
     40,750       2,394  
Coca-Cola West Holdings Co. Ltd.
     174,800       4,069  
Dai Nippon Printing Co. Ltd.
     645,000       9,637  
Daiichi Sankyo Co Ltd.
     265,900       7,065  
Daiwa House Industry Co. Ltd.
     91,314       1,307  
Daiwa Securities Group, Inc.
     327,492       3,494  
East Japan Railway Co.
     430       3,319  
Fanuc Ltd.
     39,700       4,103  
Fast Retailing Co. Ltd.
     31,500       2,245  
Fuji Television Network, Inc.
     1,720       3,466  
FUJIFILM Holdings Corp.
     237,500       10,632  
Honda Motor Co. Ltd.
     57,100       2,088  
Japan Steel Works Ltd.
     453,000       6,920  
Japan Tobacco, Inc.
     490       2,421  
Joyo Bank (The) Ltd.
     789,380       4,913  
JSR Corp.
     95,000       2,296  
Keyence Corp.
     9,100       1,991  
Kirin Holdings Co. Ltd.
     438,000       6,559  
Komatsu Ltd.
     102,300       2,976  
Kose Corp.
     181,478       5,146  
Marui Co. Ltd.
     107,500       1,358  
Matsushita Electric Industrial Co. Ltd.
     152,000       3,020  
MID REIT, Inc.
     460       2,328  
Millea Holdings, Inc.
     92,300       3,795  
Mitsubishi Corp.
     104,800       2,750  
NORTHERN FUNDS QUARTERLY REPORT      2      MULTI — MANAGER FUNDS

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI — MANAGER INTERNATIONAL EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 95.0% – CONTINUED
                
Japan - 21.6% – (continued)
                
Mitsubishi Electric Corp.
     220,000     $ 2,041  
Mitsubishi Estate Co. Ltd.
     232,000       6,315  
Mitsubishi UFJ Financial Group, Inc.
     496       5,481  
Mitsui Engineering & Shipbuilding Co. Ltd.
     535,000       2,865  
Mitsui-Soko Co. Ltd.
     358,587       2,141  
NEC Electronics Corp. *
     100,000       2,632  
New City Residence Investment Corp.
     283       1,575  
Nippon Commercial Investment Corp.
     497       2,164  
Nippon Electric Glass Co. Ltd.
     90,000       1,590  
Nippon Oil Corp.
     852,000       7,933  
Nippon Residential Investment Corp.
     295       1,714  
Nippon Telegraph & Telephone Corp. ADR
     512,200       11,355  
Nipponkoa Insurance Co. Ltd.
     747,852       6,745  
Nomura Holdings, Inc.
     425,399       8,295  
NTT Data Corp.
     876       4,164  
NTT DoCoMo, Inc.
     1,267       2,007  
ORIX Corp.
     4,280       1,128  
Pioneer Corp.
     161,500       2,201  
Promise Co. Ltd.
     84,650       2,614  
Sankyo Co. Ltd.
     115,500       4,870  
Secom Co. Ltd.
     42,400       2,002  
Sega Sammy Holdings, Inc.
     153,400       2,486  
Sekisui House Ltd.
     87,000       1,163  
Seven & I Holdings Co. Ltd.
     294,001       8,408  
Sharp Corp.
     170,000       3,232  
Shin-Etsu Chemical Co. Ltd.
     32,500       2,326  
Shiseido Co. Ltd.
     234,000       5,000  
Sugi Pharmacy Co. Ltd.
     106,390       2,433  
Sumco Corp.
     53,700       2,701  
Sumitomo Bakelite Co. Ltd.
     498,836       3,498  
Sumitomo Forestry Co. Ltd.
     188,185       1,824  
Sumitomo Heavy Industries Ltd.
     226,000       2,565  
Sumitomo Mitsui Financial Group, Inc.
     502       4,691  
Sumitomo Realty & Development Co. Ltd.
     41,000       1,339  
Sumitomo Trust & Banking (The) Co. Ltd.
     537,427       5,131  
Suzuki Motor Corp.
     111,322       3,166  
T&D Holdings, Inc.
     41,550       2,812  
Takeda Pharmaceutical Co. Ltd.
     64,020       4,140  
Takefuji Corp.
     196,400       6,606  
TDK Corp.
     18,500       1,792  
Tokuyama Corp.
     117,000       1,527  
Tokyu Land Corp.
     288,000       3,072  
Toppan Printing Co. Ltd.
     349,000       3,757  
Toyota Motor Corp.
     36,100       2,288  
Wacoal Holdings Corp.
     276,000       3,409  
West Japan Railway Co.
     622       2,901  
 
 
             272,195  
 
Mexico - 0.3%
                
America Movil S.A.B. de C.V. ADR, Series L
     55,000       3,406  
 
Netherlands - 5.6%
                
Aegon N.V.
     110,581       2,191  
Akzo Nobel N.V.
     38,847       3,363  
Corporate Express
     263,802       4,064  
European Aeronautic Defence & Space Co. N.V.
     47,154       1,539  
Heineken N.V.
     87,060       5,125  
ING Groep N.V. CVA
     180,997       8,033  
Koninklijke BAM Groep N.V.
     95,908       2,724  
Koninklijke Philips Electronics N.V.
     118,928       5,081  
Koninklijke Philips Electronics N.V. (New York Shares)
     61,300       2,594  
Royal Dutch Shell PLC ADR
     147,080       12,259  
Royal Dutch Shell PLC, Class A
     147,891       6,044  
Royal Dutch Shell PLC, Class B
     79,669       3,332  
Royal KPN N.V.
     437,290       7,292  
SBM Offshore N.V.
     66,792       2,559  
Unilever N.V. CVA
     121,470       3,792  
 
 
             69,992  
 
Norway - 1.3%
                
Renewable Energy Corp. A/S *
     182,400       7,115  
Statoil ASA
     217,422       6,766  
Yara International ASA
     81,900       2,472  
 
 
             16,353  
 
Papua New Guinea - 0.2%
                
Lihir Gold Ltd. *
     1,261,150       3,208  
 
Portugal - 0.3%
                
Energias de Portugal S.A.
     311,930       1,727  
Energias de Portugal S.A. ADR
     46,490       2,568  
 
 
             4,295  
 
Russia - 0.2%
                
Evraz Group S.A. GDR (Registered)
     64,728       2,660  
 
MULTI — MANAGER FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 95.0% – CONTINUED
                
Singapore - 0.8%
                
City Developments Ltd.
     292,000     $ 3,301  
DBS Group Holdings Ltd.
     421,725       6,283  
 
 
             9,584  
 
South Africa - 1.5%
                
AngloGold Ashanti Ltd. ADR
     189,550       7,169  
Gold Fields Ltd.
     315,650       4,884  
Impala Platinum Holdings Ltd.
     208,678       6,374  
 
 
             18,427  
 
South Korea - 3.3%
                
Hyundai Motor Co.
     32,750       2,588  
Kookmin Bank ADR
     43,850       3,847  
Korea Electric Power Corp. ADR
     325,010       7,118  
KT Corp. ADR
     460,490       10,803  
Samsung Electronics Co. Ltd. GDR (1)
     360       110  
Samsung Electronics Co. Ltd. GDR (Registered) (1)
     8,620       2,668  
Samsung Heavy Industries Co. Ltd.
     78,590       3,845  
Samsung SDI Co. Ltd. GDR (1)
     271,100       4,401  
SK Telecom Co. Ltd. ADR
     212,450       5,810  
 
 
             41,190  
 
Spain - 0.9%
                
Repsol YPF S.A.
     203,137       8,043  
Telefonica S.A.
     126,324       2,828  
 
 
             10,871  
 
Sweden - 2.1%
                
Assa Abloy AB, Class B
     103,400       2,290  
Nordea Bank AB
     507,003       7,969  
Ssab Svenskt Stal AB, Class A
     97,200       4,015  
Swedbank AB, Class A
     64,700       2,356  
Telefonaktiebolaget LM Ericsson ADR
     31,000       1,237  
Telefonaktiebolaget LM Ericsson, Class B
     2,276,721       9,142  
 
 
             27,009  
 
Switzerland - 3.3%
                
ABB Ltd. (Registered)
     153,261       3,489  
Clariant A.G. (Registered) *
     175,700       2,863  
Credit Suisse Group (Registered)
     52,621       3,764  
Julius Baer Holding A.G. (Registered)
     32,482       2,338  
Nestle S.A. (Registered)
     24,677       9,416  
Novartis A.G. (Registered)
     104,616       5,911  
Roche Holding A.G. (Genusschein)
     36,986       6,584  
Swatch Group A.G. (Registered)
     43,984       2,503  
Swiss Reinsurance (Registered)
     13,636       1,250  
Syngenta A.G. (Registered)
     6,368       1,247  
Zurich Financial Services A.G. (Registered)
     5,985       1,859  
 
 
             41,224  
 
Taiwan - 1.2%
                
Chunghwa Telecom Co. Ltd. ADR
     629,249       11,868  
United Microelectronics Corp.
     2,929,020       1,769  
United Microelectronics Corp. ADR
     307,258       1,051  
 
 
             14,688  
 
Thailand - 0.1%
                
Bangkok Bank PCL (Registered)
     539,146       1,905  
 
United Kingdom - 14.0%
                
Anglo American PLC *
     38,384       2,270  
BAE Systems PLC
     577,974       4,700  
Barclays PLC
     151,687       2,120  
Benfield Group Ltd.
     251,440       1,632  
Berkeley Group Holdings PLC *
     59,411       2,125  
BP PLC
     977,750       11,838  
BP PLC ADR
     67,230       4,850  
BT Group PLC
     833,380       5,564  
Burberry Group PLC
     181,432       2,503  
Cadbury Schweppes PLC
     797,149       10,884  
Carnival PLC
     25,835       1,237  
Dawnay Day Treveria PLC
     1,552,767       2,362  
Diageo PLC
     372,560       7,757  
GlaxoSmithKline PLC
     530,248       13,894  
Imperial Chemical Industries PLC
     323,596       4,041  
International Power PLC
     922,454       7,955  
Kesa Electricals PLC
     64,104       405  
Kingfisher PLC
     1,667,231       7,582  
Land Securities Group PLC
     58,477       2,047  
Lloyds TSB Group PLC
     280,516       3,132  
Lonmin PLC
     48,140       3,886  
Morrison WM Supermarkets PLC
     396,904       2,411  
Prudential PLC
     252,867       3,625  
Reckitt Benckiser PLC
     34,120       1,874  
Rio Tinto PLC
     151,950       11,676  
Rolls-Royce Group PLC *
     270,219       2,922  
Rolls-Royce Group PLC, B Shares
     14,024,835       29  
Royal Bank of Scotland Group PLC
     388,527       4,938  
Sainsbury (J.) PLC
     404,829       4,751  
Scottish & Southern Energy PLC
     82,910       2,412  
Smiths Group PLC
     78,288       1,863  
NORTHERN FUNDS QUARTERLY REPORT      4      MULTI — MANAGER FUNDS

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI — MANAGER INTERNATIONAL EQUITY FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 95.0% – CONTINUED
                
United Kingdom - 14.0% – (continued)
                
Standard Chartered PLC
     100,810     $ 3,299  
Vodafone Group PLC
     3,417,550       11,515  
Vodafone Group PLC ADR
     281,431       9,465  
Whitbread PLC
     94,608       3,360  
Woolworths Group PLC
     1,134,042       609  
WPP Group PLC
     555,400       8,347  
 
 
             175,880  
 
United States - 0.9%
                
Apex Silver Mines Ltd. *
     273,200       5,513  
Newmont Mining Corp.
     155,000       6,054  
 
 
             11,567  
 
Total Common Stocks
                
 
(Cost $1,047,922)
             1,196,091  
 
                
PREFERRED STOCKS - 1.2%
                
Brazil - 0.5%
                
Centrais Eletricas Brasileiras S.A. ADR
     294,000       4,350  
Usinas Siderurgicas de Minas Gerais S.A., Class A
     46,400       2,646  
 
 
             6,996  
 
Germany - 0.6%
                
Henkel KGaA
     97,986       5,185  
Hugo Boss A.G.
     31,022       1,863  
 
 
             7,048  
 
South Korea - 0.1%
                
Samsung SDI Co. Ltd.
     18,390       757  
 
Total Preferred Stocks
                
 
(Cost $12,393)
             14,801  
 
INVESTMENT COMPANY - 2.8%
                
Northern Institutional Funds — Diversified Assets Portfolio(2)
     34,793,221       34,793  
 
Total Investment Company
                
 
(Cost $34,793)
             34,793  
                 
RIGHTS - 0.0%
                
Veolia Environnement *
     76,019     86  
 
Total Rights
                
 
(Cost $-)
             86  
 
                
WARRANTS - 0.2%
                
Reliance Communications Ltd., Call Warrants, Exp. 1/25/11, Strike $0.00 *
     206,704       2,632  
 
Total Warrants
                
 
(Cost $1,739)
             2,632  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 0.2%
                
Dexia Bank Belgium, Brussels, Eurodollar Time Deposit, 5.44%, 7/2/07
   $ 2,589       2,589  
 
Total Short-Term Investment
                
 
(Cost $2,589)
             2,589  
 
Total Investments - 99.4%
                
 
(Cost $1,099,436)
             1,250,992  
Other Assets less Liabilities - 0.6%
             7,339  
 
NET ASSETS - 100.0%
           $ 1,258,331  
 
(1)   Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available, in accordance with procedures established by the Trustees of Northern Funds.
 
(2)   NTI is an investment adviser of the Fund and the adviser of the Northern Institutional Funds.
 
*   Non-Income Producing Security
 
    Percentages shown are based on Net Assets.
MULTI — MANAGER FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
At June 30, 2007, the Multi-Manager International Equity Fund’s investments were denominated in the following currencies:
         
    % OF LONG-TERM
CONCENTRATION BY CURRENCY   INVESTMENTS
Euro
     32.4 %
Japanese Yen
     21.0  
U.S. Dollar
     15.9  
British Pound
     13.6  
All other currencies less than 5%
     17.1  
 
Total
     100.0 %
At June 30, 2007, the Multi-Manager International Equity Fund had outstanding forward foreign currency exchange contracts as follows:
                                         
    AMOUNT   IN   AMOUNT            
CONTRACTS   (LOCAL   EXCHANGE   (LOCAL           UNREALIZED
TO DELIVER   CURRENCY)   FOR   CURRENCY)   SETTLEMENT   GAIN
CURRENCY   (000S)   CURRENCY   (000S)   DATE   (000S)
U.S. Dollar
     421     British Pound     210       7/2/07     $ 1  
U.S. Dollar
     96     Euro     72       7/2/07       1  
Japanese Yen
     6,032     U.S. Dollar     49       7/2/07       —  
Japenese Yen
     12,666     U.S. Dollar     103       7/3/07       —  
U.S. Dollar
     114     Euro     85       7/4/07       —  
 
Total
                                   $ 2  
At June 30, 2007, the industry sectors for the Multi-Manager International Equity Fund were:
         
    % OF LONG-TERM
INDUSTRY SECTOR   INVESTMENTS
Consumer Discretionary
     10.0 %
Consumer Staples
     7.4  
Energy
     8.7  
Financials
     15.3  
Health Care
     3.4  
Industrials
     23.7  
Information Technology
     6.3  
Materials
     12.0  
Telecommunication Services
     9.3  
Utilities
     3.9  
 
Total
     100.0 %
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 1,099,436  
 
Gross tax appreciation of investments
   $ 174,861  
 
Gross tax depreciation of investments
     (23,305 )
 
Net tax appreciation of investments
   $ 151,556  
 
NORTHERN FUNDS QUARTERLY REPORT      6      MULTI — MANAGER FUNDS

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI — MANAGER MID CAP FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.7%
                
Advertising - 0.4%
                
Focus Media Holding Ltd. ADR *
     32,200     $ 1,626  
 
Aerospace/Defense - 1.4%
                
L-3 Communications Holdings, Inc.
     57,135       5,564  
 
Apparel - 1.2%
                
Coach, Inc. *
     70,835       3,357  
Jones Apparel Group, Inc.
     42,900       1,212  
Kellwood Co.
     13,500       379  
 
 
             4,948  
 
Auto Parts & Equipment - 0.8%
                
American Axle & Manufacturing Holdings, Inc.
     33,400       989  
ArvinMeritor, Inc.
     33,600       746  
Goodyear Tire & Rubber (The) Co. *
     20,400       709  
TRW Automotive Holdings Corp. *
     21,300       785  
 
 
             3,229  
 
Banks - 3.5%
                
Associated Banc-Corp
     25,800       844  
BancorpSouth, Inc.
     28,200       690  
Comerica, Inc.
     54,500       3,241  
Commerce Bancorp, Inc. of New Jersey
     66,790       2,470  
East-West Bancorp, Inc.
     32,605       1,268  
First Horizon National Corp.
     15,600       608  
FirstMerit Corp.
     33,300       697  
Huntington Bancshares, Inc. of Ohio
     75,100       1,708  
KeyCorp
     43,200       1,483  
UnionBanCal Corp.
     19,300       1,152  
 
 
             14,161  
 
Beverages - 1.4%
                
Coca-Cola Enterprises, Inc.
     52,600       1,262  
Hansen Natural Corp. *
     39,600       1,702  
Molson Coors Brewing Co., Class B
     9,600       888  
Pepsi Bottling Group, Inc.
     50,100       1,687  
 
 
             5,539  
 
Biotechnology - 0.3%
                
InterMune, Inc. *
     10,400       270  
Vertex Pharmaceuticals, Inc. *
     28,000       800  
 
 
             1,070  
 
Building Materials - 0.7%
                
Lennox International, Inc.
     39,000       1,335  
Masco Corp.
     47,400       1,349  
 
 
             2,684  
 
Chemicals - 3.4%
                
Lubrizol Corp.
     26,900       1,736  
Lyondell Chemical Co.
     45,400       1,685  
Olin Corp.
     87,900       1,846  
PolyOne Corp. *
     60,300       433  
PPG Industries, Inc.
     24,000       1,827  
RPM International, Inc.
     43,800       1,012  
Schulman (A.), Inc.
     30,200       735  
Sensient Technologies Corp.
     55,300       1,404  
Sherwin-Williams (The) Co.
     21,000       1,396  
Spartech Corp.
     30,500       810  
Valspar Corp.
     23,900       679  
 
 
             13,563  
 
Commercial Services - 3.5%
                
Advisory Board (The) Co. *
     24,000       1,333  
Bright Horizons Family Solutions, Inc. *
     12,613       491  
Corporate Executive Board Co.
     24,500       1,590  
Donnelley (R.R.) & Sons Co.
     32,200       1,401  
Manpower, Inc.
     25,830       2,382  
Monster Worldwide, Inc. *
     31,600       1,299  
Resources Connection, Inc. *
     57,900       1,921  
Robert Half International, Inc.
     30,600       1,117  
Strayer Education, Inc.
     12,700       1,673  
TravelCenters of America LLC *
     2,470       100  
United Rentals, Inc. *
     18,800       612  
 
 
             13,919  
 
Computers - 4.2%
                
Brocade Communications Systems, Inc. *
     175,200       1,370  
Cognizant Technology Solutions Corp., Class A *
     68,610       5,152  
Computer Sciences Corp. *
     28,000       1,656  
Data Domain, Inc. *
     7,100       163  
Factset Research Systems, Inc.
     49,715       3,398  
Lexmark International, Inc., Class A *
     42,400       2,091  
Research In Motion Ltd. *
     10,100       2,020  
Seagate Technology
     46,200       1,006  
 
 
             16,856  
 
Cosmetics/Personal Care - 0.4%
                
Bare Escentuals, Inc. *
     43,100       1,472  
 
Distribution/Wholesale - 1.5%
                
Fastenal Co.
     76,735       3,212  
Grainger (W.W.), Inc.
     15,400       1,433  
LKQ Corp. *
     58,455       1,442  
 
 
             6,087  
 
MULTI — MANAGER FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.7% – CONTINUED
                
Diversified Financial Services - 4.9%
                
Affiliated Managers Group, Inc. *
     34,970     $ 4,503  
AmeriCredit Corp. *
     41,200       1,094  
Chicago Mercantile Exchange Holdings, Inc., Class A
     3,927       2,099  
CIT Group, Inc.
     44,500       2,440  
Eaton Vance Corp.
     39,735       1,756  
Edwards (A.G.), Inc.
     7,900       668  
Financial Federal Corp.
     38,800       1,157  
GFI Group, Inc. *
     21,500       1,558  
IntercontinentalExchange, Inc. *
     5,400       798  
Nuveen Investments, Inc., Class A
     42,885       2,665  
Price (T. Rowe) Group, Inc.
     16,500       856  
 
 
             19,594  
 
Electric - 4.3%
                
Alliant Energy Corp.
     39,700       1,542  
American Electric Power Co., Inc.
     40,500       1,824  
Centerpoint Energy, Inc.
     50,400       877  
DTE Energy Co.
     24,200       1,167  
Energy East Corp.
     82,900       2,163  
OGE Energy Corp.
     10,100       370  
Pepco Holdings, Inc.
     84,500       2,383  
Pinnacle West Capital Corp.
     35,100       1,399  
Puget Energy, Inc.
     37,000       895  
TECO Energy, Inc.
     65,900       1,132  
Westar Energy, Inc.
     68,400       1,661  
Xcel Energy, Inc.
     74,800       1,531  
 
 
             16,944  
 
Electrical Components & Equipment - 0.3%
                
Energy Conversion Devices, Inc. *
     34,200       1,054  
 
Electronics - 1.4%
                
Amphenol Corp., Class A
     72,305       2,578  
Kemet Corp. *
     87,500       617  
Sanmina-SCI Corp. *
     58,200       182  
Technitrol, Inc.
     33,600       963  
Vishay Intertechnology, Inc. *
     76,700       1,213  
 
 
             5,553  
 
Engineering & Construction - 0.5%
                
Foster Wheeler Ltd. *
     19,500       2,086  
 
Environmental Control - 0.9%
                
Stericycle, Inc. *
     84,355       3,750  
 
Food - 1.4%
                
Del Monte Foods Co.
     36,900       449  
JM Smucker (The) Co.
     13,800       879  
Seaboard Corp.
     900       2,110  
SUPERVALU, Inc.
     46,200       2,140  
 
 
             5,578  
 
Forest Products & Paper - 0.2%
                
MeadWestvaco Corp.
     24,000       847  
 
Gas - 0.8%
                
AGL Resources, Inc.
     39,800       1,611  
Nicor, Inc.
     21,000       901  
WGL Holdings, Inc.
     21,600       705  
 
 
             3,217  
 
Hand/Machine Tools - 0.9%
                
Black & Decker Corp.
     26,400       2,332  
Lincoln Electric Holdings, Inc.
     18,740       1,391  
 
 
             3,723  
 
Healthcare — Products - 5.5%
                
Bard (C.R.), Inc.
     23,905       1,975  
Datascope Corp.
     19,600       750  
Dentsply International, Inc.
     58,710       2,246  
Hologic, Inc. *
     29,200       1,615  
IDEXX Laboratories, Inc. *
     31,580       2,988  
Intuitive Surgical, Inc. *
     13,400       1,860  
Kyphon, Inc. *
     34,530       1,663  
Palomar Medical Technologies, Inc. *
     17,800       618  
Resmed, Inc. *
     68,310       2,818  
Stryker Corp.
     47,865       3,020  
Varian Medical Systems, Inc. *
     59,060       2,511  
 
 
             22,064  
 
Healthcare — Services - 2.0%
                
Apria Healthcare Group, Inc. *
     5,100       147  
Covance, Inc. *
     45,980       3,152  
Coventry Health Care, Inc. *
     31,490       1,816  
Healthways, Inc. *
     52,190       2,472  
Universal Health Services, Inc., Class B
     3,400       209  
 
 
             7,796  
 
Home Furnishings - 0.8%
                
Ethan Allen Interiors, Inc.
     53,500       1,832  
Whirlpool Corp.
     11,700       1,301  
 
 
             3,133  
 
NORTHERN FUNDS QUARTERLY REPORT      2      MULTI — MANAGER FUNDS

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI — MANAGER MID CAP FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.7% – CONTINUED
                
Household Products/Wares - 0.5%
                
Blyth, Inc.
     32,700     $ 869  
Tupperware Brands Corp.
     45,300       1,302  
 
 
             2,171  
 
Insurance - 6.4%
                
Assurant, Inc.
     16,800       990  
CIGNA Corp.
     20,700       1,081  
Cincinnati Financial Corp.
     19,400       842  
Commerce Group, Inc.
     72,100       2,503  
eHealth, Inc. *
     29,880       570  
Everest Re Group Ltd.
     4,900       532  
LandAmerica Financial Group, Inc.
     20,100       1,940  
Lincoln National Corp.
     13,500       958  
MBIA, Inc.
     26,700       1,661  
MGIC Investment Corp.
     25,800       1,467  
National Interstate Corp.
     51,737       1,349  
Nationwide Financial Services, Inc., Class A
     40,200       2,542  
Ohio Casualty Corp.
     66,500       2,880  
PMI Group (The), Inc.
     17,800       795  
Presidential Life Corp.
     19,600       385  
Radian Group, Inc.
     15,100       815  
SAFECO Corp.
     53,300       3,319  
Security Capital Assurance Ltd.
     25,100       775  
 
 
             25,404  
 
Internet - 2.6%
                
Akamai Technologies, Inc. *
     57,875       2,815  
Baidu.com ADR *
     8,600       1,445  
Cogent Communications Group, Inc. *
     48,702       1,455  
Ctrip.com International Ltd. ADR
     27,900       2,194  
Digital River, Inc. *
     33,175       1,501  
NetFlix, Inc. *
     49,000       950  
 
 
             10,360  
 
Iron/Steel - 1.3%
                
Allegheny Technologies, Inc.
     15,100       1,583  
Steel Dynamics, Inc.
     30,200       1,266  
United States Steel Corp.
     21,600       2,349  
 
 
             5,198  
 
Leisure Time - 0.8%
                
Brunswick Corp.
     21,900       714  
K2, Inc. *
     62,600       951  
Polaris Industries, Inc.
     27,800       1,506  
 
 
             3,171  
 
Lodging - 0.7%
                
Home Inns & Hotels Management, Inc. ADR *
     29,900       963  
Wynn Resorts Ltd.
     18,400       1,650  
 
 
             2,613  
 
Machinery — Construction & Mining - 1.3%
                
Joy Global, Inc.
     86,990       5,074  
 
Machinery — Diversified - 1.0%
                
Albany International Corp., Class A
     10,500       425  
Flowserve Corp.
     16,700       1,196  
IDEX Corp.
     59,375       2,288  
 
 
             3,909  
 
Media - 0.6%
                
Belo Corp., Class A
     43,800       902  
Gannett Co., Inc.
     20,200       1,110  
Tribune Co.
     10,107       297  
 
 
             2,309  
 
Metal Fabrication/Hardware - 0.8%
                
Precision Castparts Corp.
     13,600       1,651  
Timken (The) Co.
     40,800       1,473  
 
 
             3,124  
 
Miscellaneous Manufacturing - 2.2%
                
Donaldson Co., Inc.
     48,140       1,711  
Leggett & Platt, Inc.
     70,200       1,548  
Parker Hannifin Corp.
     25,800       2,526  
Roper Industries, Inc.
     51,585       2,946  
 
 
             8,731  
 
Office Furnishings - 0.4%
                
Steelcase, Inc., Class A
     77,657       1,437  
 
Office/Business Equipment - 0.7%
                
IKON Office Solutions, Inc.
     55,700       870  
Xerox Corp. *
     103,900       1,920  
 
 
             2,790  
 
Oil & Gas - 3.4%
                
Apache Corp.
     19,415       1,584  
Hess Corp.
     23,400       1,380  
Patterson-UTI Energy, Inc.
     94,600       2,479  
Sunoco, Inc.
     33,000       2,629  
Tesoro Corp.
     37,000       2,115  
XTO Energy, Inc.
     58,355       3,507  
 
 
             13,694  
 
Oil & Gas Services - 4.3%
                
BJ Services Co.
     44,275       1,259  
MULTI — MANAGER FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.7% – CONTINUED
                
Oil & Gas Services - 4.3% – (continued)
                
Compagnie Generale de Geophysique-Veritas ADR *
     36,775     $ 1,828  
Core Laboratories N.V. *
     14,500       1,475  
FMC Technologies, Inc. *
     43,845       3,473  
Oceaneering International, Inc. *
     31,000       1,632  
SEACOR Holdings, Inc. *
     15,600       1,457  
Smith International, Inc.
     100,515       5,894  
 
 
             17,018  
 
Packaging & Containers - 0.2%
                
Sonoco Products Co.
     21,700       929  
 
Pharmaceuticals - 0.9%
                
CV Therapeutics, Inc. *
     32,400       428  
King Pharmaceuticals, Inc. *
     100,900       2,065  
Watson Pharmaceuticals, Inc. *
     29,000       943  
 
 
             3,436  
 
Real Estate Investment Trusts - 2.1%
                
American Home Mortgage Investment Corp.
     25,700       472  
Anthracite Capital, Inc.
     52,100       610  
Capital Trust, Inc. of New York, Class A
     17,500       597  
Entertainment Properties Trust
     14,000       753  
Equity Inns, Inc.
     27,700       621  
FelCor Lodging Trust, Inc.
     26,600       692  
Hospitality Properties Trust
     24,700       1,025  
Newcastle Investment Corp.
     25,100       629  
Parkway Properties, Inc. of Maryland
     14,800       711  
Plum Creek Timber Co., Inc.
     20,900       871  
RAIT Financial Trust
     24,700       643  
Ramco-Gershenson Properties
     19,400       697  
 
 
             8,321  
 
Retail - 6.5%
                
Bed Bath & Beyond, Inc. *
     53,215       1,915  
Borders Group, Inc.
     10,300       196  
Chipotle Mexican Grill, Inc., Class A *
     7,200       614  
Chipotle Mexican Grill, Inc., Class B *
     12,800       1,006  
Darden Restaurants, Inc.
     18,100       796  
Dick’s Sporting Goods, Inc. *
     57,555       3,348  
Dillard’s, Inc., Class A
     26,600       956  
Family Dollar Stores, Inc.
     34,300       1,177  
O’Reilly Automotive, Inc. *
     107,600       3,933  
P.F. Chang’s China Bistro, Inc. *
     45,300       1,595  
Panera Bread Co., Class A *
     48,140       2,217  
PetSmart, Inc.
     85,475       2,774  
Ruby Tuesday, Inc.
     71,600       1,885  
Tractor Supply Co. *
     39,020       2,031  
Urban Outfitters, Inc. *
     39,100       940  
Zumiez, Inc. *
     18,700       707  
 
 
             26,090  
 
Savings & Loans - 0.1%
                
Washington Federal, Inc.
     22,000       535  
 
Semiconductors - 2.2%
                
Atmel Corp. *
     55,200       307  
Cavium Networks, Inc. *
     35,500       803  
Hittite Microwave Corp. *
     24,600       1,051  
Linear Technology Corp.
     43,800       1,585  
Marvell Technology Group Ltd. *
     108,200       1,970  
MKS Instruments, Inc. *
     47,754       1,323  
Novellus Systems, Inc. *
     22,100       627  
Photronics, Inc. *
     15,400       229  
Zoran Corp. *
     40,500       812  
 
 
             8,707  
 
Software - 6.6%
                
Adobe Systems, Inc. *
     68,765       2,761  
Ansys, Inc. *
     130,430       3,456  
Cerner Corp. *
     61,110       3,390  
Citrix Systems, Inc. *
     84,080       2,831  
Electronic Arts, Inc. *
     58,875       2,786  
Fiserv, Inc. *
     63,125       3,585  
Global Payments, Inc.
     55,780       2,212  
Intuit, Inc. *
     82,670       2,487  
Salesforce.com, Inc. *
     38,000       1,629  
SEI Investments Co.
     26,200       761  
SYNNEX Corp. *
     28,000       577  
 
 
             26,475  
 
Telecommunications - 1.5%
                
Amdocs Ltd. *
     85,750       3,415  
Clearwire Corp., Class A *
     39,500       965  
Infinera Corp. *
     33,000       822  
RF Micro Devices, Inc. *
     98,100       612  
 
 
             5,814  
 
Toys, Games & Hobbies - 0.8%
                
Hasbro, Inc.
     64,700       2,032  
Mattel, Inc.
     53,100       1,343  
 
 
             3,375  
 
NORTHERN FUNDS QUARTERLY REPORT      4      MULTI — MANAGER FUNDS

 

Table of Contents

     
MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI — MANAGER MID CAP FUND (continued) 		  JUNE 30, 2007 (UNAUDITED)
     
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 97.7% – CONTINUED
                
Transportation - 3.2%
                
C.H. Robinson Worldwide, Inc.
     50,595     $ 2,657  
Con-way, Inc.
     16,700       839  
Expeditors International Washington, Inc.
     62,045       2,563  
Laidlaw International, Inc.
     28,600       988  
Overseas Shipholding Group
     27,200       2,214  
Ryder System, Inc.
     9,500       511  
Tidewater, Inc.
     30,700       2,176  
YRC Worldwide, Inc. *
     21,000       773  
 
 
             12,721  
 
Total Common Stocks
                
 
(Cost $348,846)
             389,463  
 
                
INVESTMENT COMPANY - 2.2%
                
Northern Institutional Funds - Diversified Assets Portfolio (1)
     8,489,623       8,490  
 
Total Investment Company
                
 
(Cost $8,490)
             8,490  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 0.4%
                
Dexia Bank Belgium, Brussels, Eurodollar Time Deposit, 5.44%, 7/2/07
   $ 1,654       1,654  
 
Total Short-Term Investment
                
 
(Cost $1,654)
             1,654  
 
Total Investments - 100.3%
                
 
(Cost $358,990)
             399,607  
Liabilities less Other Assets — (0.3)%
             (1,055 )
 
NET ASSETS - 100.0%
           $ 398,552  
 
(1)   NTI is an investment adviser of the Fund and the adviser of the Northern Institutional Funds.
 
*   Non-Income Producing Security
 
    Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
         
Federal tax cost of investments
   $ 358,990  
 
Gross tax appreciation of investments
   $ 48,432  
 
Gross tax depreciation of investments
     (7,815 )
 
Net tax appreciation of investments
   $ 40,617  
 
MULTI - MANAGER FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI— MANAGER SMALL CAP FUND
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5%
                
Advertising - 0.7%
                
inVentiv Health, Inc. *
     35,130     $ 1,286  
ValueVision Media, Inc., Class A *
     61,250       693  
 
 
             1,979  
 
Aerospace/Defense - 0.0%
                
Aerovironment, Inc. *
     600       12  
 
Agriculture - 0.6%
                
Alliance One International, Inc. *
     37,269       374  
Andersons (The), Inc.
     25,515       1,157  
Universal Corp. of Virginia
     100       6  
 
 
             1,537  
 
Airlines - 0.0%
                
Allegiant Travel Co. *
     1,100       34  
Copa Holdings S.A., Class A
     100       6  
ExpressJet Holdings, Inc. *
     9,500       57  
Pinnacle Airlines Corp. *
     1,500       28  
 
 
             125  
 
Apparel - 2.0%
                
Coach, Inc. *
     20,825       987  
CROCS, Inc. *
     46,920       2,019  
Deckers Outdoor Corp. *
     1,900       192  
G-III Apparel Group Ltd. *
     5,700       90  
Hartmarx Corp. *
     2,300       18  
Iconix Brand Group, Inc. *
     53,780       1,195  
Jones Apparel Group, Inc.
     1,410       40  
Kellwood Co.
     6,920       195  
Perry Ellis International, Inc. *
     17,731       570  
 
 
             5,306  
 
Auto Manufacturers - 0.0%
                
Force Protection, Inc. *
     4,200       87  
 
Auto Parts & Equipment - 1.1%
                
Aftermarket Technology Corp. *
     35,000       1,039  
American Axle & Manufacturing Holdings, Inc.
     1,200       36  
BorgWarner, Inc.
     12,200       1,050  
Cooper Tire & Rubber Co.
     15,800       436  
Lear Corp. *
     2,000       71  
Standard Motor Products, Inc.
     7,200       108  
Visteon Corp. *
     33,700       273  
 
 
             3,013  
 
Banks - 4.1%
                
Bank Mutual Corp.
     11,300       130  
Boston Private Financial Holdings, Inc.
     46,000       1,236  
Cascade Bancorp
     6,705       155  
Cathay General Bancorp
     41,000       1,375  
Central Pacific Financial Corp.
     3,080       102  
Chittenden Corp.
     1,900       66  
City National Corp. of California
     100       8  
CVB Financial Corp.
     108,100       1,202  
East-West Bancorp, Inc.
     900       35  
First Financial Bankshares, Inc.
     100       4  
First Regional Bancorp of California *
     2,122       54  
First South Bancorp, Inc. of North Carolina
     1,029       28  
Greater Bay Bancorp
     1,725       48  
Greene Bankshares, Inc.
     100       3  
Hanmi Financial Corp.
     21,688       370  
Heritage Commerce Corp.
     1,500       35  
Horizon Financial Corp.
     1,761       38  
Independent Bank Corp. of Massachusetts
     100       3  
International Bancshares Corp.
     51,000       1,307  
Intervest Bancshares Corp.
     520       15  
Preferred Bank of California
     6,972       279  
Prosperity Bancshares, Inc.
     30,500       999  
Republic Bancorp, Inc. of Kentucky, Class A
     100       2  
Royal Bancshares of Pennsylvania, Inc., Class A
     100       2  
Signature Bank of New York *
     19,950       680  
South Financial Group (The), Inc.
     1,600       36  
Southwest Bancorp, Inc. of Oklahoma
     1,400       34  
Superior Bancorp *
     72,000       736  
Tompkins Financial Corp.
     100       4  
Trustco Bank Corp. of New York
     41,500       410  
Umpqua Holdings Corp.
     22,600       531  
Vineyard National Bancorp
     4,305       99  
Virginia Commerce Bancorp *
     5,434       92  
W. Holding Co., Inc.
     250,000       660  
Wintrust Financial Corp.
     6,200       272  
 
 
             11,050  
 
Beverages - 0.0%
                
Molson Coors Brewing Co., Class B
     100       9  
National Beverage Corp. *
     852       10  
 
 
             19  
 
Biotechnology - 1.7%
                
Acorda Therapeutics, Inc. *
     2,300       39  
Applera Corp. — Celera Group *
     19,620       243  
Cambrex Corp.
     15,800       210  
MULTI — MANAGER FUNDS      1      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5% – CONTINUED
                
Biotechnology - 1.7% – (continued)
                
Integra LifeSciences Holdings Corp. *
     39,160     $ 1,935  
Kosan Biosciences, Inc. *
     12,800       67  
Lifecell Corp. *
     26,390       806  
Millennium Pharmaceuticals, Inc. *
     39,619       419  
Omrix Biopharmaceuticals, Inc. *
     2,200       69  
Savient Pharmaceuticals, Inc. *
     38,597       480  
SuperGen, Inc. *
     24,800       138  
 
 
             4,406  
 
Chemicals - 2.9%
                
Airgas, Inc.
     29,950       1,435  
Ashland, Inc.
     23       2  
Celanese Corp., Class A
     100       4  
CF Industries Holdings, Inc.
     11,840       709  
Ecolab, Inc.
     24,830       1,060  
Innospec, Inc.
     3,734       221  
Landec Corp. *
     66,300       888  
Metabolix, Inc. *
     2,000       50  
OM Group, Inc. *
     8,268       438  
Rockwood Holdings, Inc. *
     1,900       69  
RPM International, Inc.
     50,000       1,156  
Stepan Co.
     2,450       74  
Terra Industries, Inc. *
     12,430       316  
Tronox, Inc., Class B
     100       1  
UAP Holding Corp.
     39,120       1,179  
 
 
             7,602  
 
Commercial Services - 8.2%
                
ABM Industries, Inc.
     18,700       483  
Albany Molecular Research, Inc. *
     14,807       220  
Alliance Data Systems Corp. *
     25,525       1,972  
Arbitron, Inc.
     3,330       172  
Bowne & Co., Inc.
     10,000       195  
Chemed Corp.
     21,500       1,425  
Coinstar, Inc. *
     49,540       1,559  
Corinthian Colleges, Inc. *
     85,000       1,385  
Cornell Cos., Inc. *
     6,000       147  
Corvel Corp. *
     4,324       113  
CPI Corp.
     5,929       412  
Dollar Thrifty Automotive Group *
     4,485       183  
DynCorp International, Inc., Class A *
     6,200       136  
Euronet Worldwide, Inc. *
     38,810       1,132  
FirstService Corp., Voting Shares *
     41,910       1,510  
FTI Consulting, Inc. *
     13,200       502  
Gartner, Inc. *
     14,800       364  
Geo Group (The), Inc. *
     39,060       1,137  
Great Lakes Dredge & Dock Corp. *
     6,000       57  
Heartland Payment Systems, Inc.
     39,080       1,146  
Huron Consulting Group, Inc. *
     14,490       1,058  
Integrated Electrical Services, Inc. *
     300       10  
ITT Educational Services, Inc. *
     300       35  
Kelly Services, Inc., Class A
     2,300       63  
Kforce, Inc. *
     73,900       1,181  
Navigant Consulting, Inc. *
     84,000       1,559  
On Assignment, Inc. *
     80,780       866  
Parexel International Corp. *
     400       17  
PharmaNet Development Group, Inc. *
     5,600       178  
Pre-Paid Legal Services, Inc. *
     6,500       418  
Sotheby’s
     5,800       267  
Spherion Corp. *
     31,611       297  
Standard Parking Corp. *
     371       13  
TeleTech Holdings, Inc. *
     9,480       308  
Viad Corp.
     900       38  
Volt Information Sciences, Inc. *
     11,466       211  
WNS Holdings Ltd. ADR *
     34,420       980  
 
 
             21,749  
 
Computers - 3.6%
                
Agilysys, Inc.
     23,820       536  
Ansoft Corp. *
     10,431       308  
CACI International, Inc., Class A *
     46,790       2,286  
CIBER, Inc. *
     10,713       88  
Electronics for Imaging, Inc. *
     52,200       1,473  
Immersion Corp. *
     10,100       151  
Komag, Inc. *
     30,900       985  
Manhattan Associates, Inc. *
     6,500       182  
Netscout Systems, Inc. *
     10,633       92  
Radiant Systems, Inc. *
     101,320       1,342  
Silicon Storage Technology, Inc. *
     47,700       178  
Smart Modular Technologies WWH, Inc. *
     3,500       48  
STEC, Inc. *
     9,700       62  
SYKES Enterprises, Inc. *
     110       2  
Synopsys, Inc. *
     14,580       385  
Unisys Corp. *
     150,000       1,371  
 
 
             9,489  
 
NORTHERN FUNDS QUARTERLY REPORT      2      MULTI — MANAGER FUNDS

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI— MANAGER SMALL CAP FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5% – CONTINUED
                
Distribution/Wholesale - 2.3%
                
Beacon Roofing Supply, Inc. *
     55,910     $ 950  
Bell Microproducts, Inc. *
     15,800       103  
Central European Distribution Corp. *
     40,435       1,400  
Houston Wire & Cable Co. *
     27,280       775  
Huttig Building Products, Inc. *
     74,500       564  
Ingram Micro, Inc., Class A *
     8,940       194  
Tech Data Corp. *
     9,897       381  
United Stationers, Inc. *
     28,438       1,895  
 
 
             6,262  
 
Diversified Financial Services - 3.8%
                
Affiliated Managers Group, Inc. *
     13,820       1,779  
AmeriCredit Corp. *
     16,300       433  
Cohen & Steers, Inc.
     1,700       74  
Cowen Group, Inc. *
     2,700       48  
Epoch Holding Corp. *
     3,000       40  
Interactive Brokers Group, Inc. , Class A *
     38,780       1,052  
IntercontinentalExchange, Inc. *
     7,960       1,177  
Janus Capital Group, Inc.
     6,900       192  
Ladenburg Thalmann Financial Services, Inc. *
     9,000       21  
National Financial Partners Corp.
     25,860       1,198  
Penson Worldwide, Inc. *
     38,165       936  
Piper Jaffray Cos. *
     5,320       296  
Portfolio Recovery Associates, Inc.
     22,590       1,356  
World Acceptance Corp. *
     37,669       1,610  
 
 
             10,212  
 
Electric - 1.1%
                
Alliant Energy Corp.
     100       4  
Aquila, Inc. *
     100       —  
Centerpoint Energy, Inc.
     100       2  
Central Vermont Public Service Corp.
     2,550       96  
El Paso Electric Co. *
     4,400       108  
ITC Holdings Corp.
     23,500       955  
Pike Electric Corp. *
     58,200       1,303  
Portland General Electric Co.
     1,330       36  
Reliant Energy, Inc. *
     10,500       283  
Westar Energy, Inc.
     9,035       219  
 
 
             3,006  
 
Electrical Components & Equipment - 0.8%
                
Ametek, Inc.
     24,200       960  
Belden, Inc.
     9,300       515  
General Cable Corp. *
     1,740       132  
Greatbatch, Inc. *
     5,412       175  
Powell Industries, Inc. *
     4,200       134  
Superior Essex, Inc. *
     9,000       336  
 
 
             2,252  
 
Electronics - 3.7%
                
Analogic Corp.
     2,830       208  
Benchmark Electronics, Inc. *
     54,500       1,233  
Coherent, Inc. *
     34,500       1,053  
Flir Systems, Inc. *
     43,170       1,997  
II-VI, Inc. *
     3,400       92  
Methode Electronics, Inc.
     8,500       133  
Mettler-Toledo International, Inc. *
     100       9  
Plexus Corp. *
     61,000       1,402  
Sonic Solutions, Inc. *
     45,010       568  
TTM Technologies, Inc. *
     136,910       1,780  
Varian, Inc. *
     9,300       510  
Watts Water Technologies, Inc., Class A
     24,500       918  
 
 
             9,903  
 
Engineering & Construction - 0.6%
                
Aecom Technology Corp. *
     37,065       920  
EMCOR Group, Inc. *
     6,370       464  
Perini Corp. *
     3,300       203  
Stanley, Inc. *
     3,000       53  
 
 
             1,640  
 
Entertainment - 1.4%
                
Lakes Entertainment, Inc. *
     100       1  
Lions Gate Entertainment Corp. *
     99,750       1,100  
Macrovision Corp. *
     40,600       1,221  
Penn National Gaming, Inc. *
     11,700       703  
Shuffle Master, Inc. *
     38,990       647  
 
 
             3,672  
 
Food - 1.3%
                
American Dairy, Inc. *
     1,000       19  
Chiquita Brands International, Inc. *
     16,200       307  
Flowers Foods, Inc.
     1,200       40  
Fresh Del Monte Produce, Inc.
     1,500       38  
Ingles Markets, Inc., Class A
     11,360       391  
J & J Snack Foods Corp.
     27,700       1,045  
Performance Food Group Co. *
     34,183       1,111  
Sanderson Farms, Inc.
     1,400       63  
Seaboard Corp.
     59       138  
Spartan Stores, Inc.
     5,973       197  
 
 
             3,349  
 
MULTI — MANAGER FUNDS      3      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5% – CONTINUED
                
Forest Products & Paper - 0.6%
                
Domtar Corp. *
     1,200     $ 13  
Neenah Paper, Inc.
     32,500       1,341  
Rock-Tenn Co., Class A
     4,535       144  
Schweitzer-Mauduit International, Inc.
     390       12  
 
 
             1,510  
 
Gas - 0.4%
                
New Jersey Resources Corp.
     18,200       928  
Northwest Natural Gas Co.
     300       14  
 
 
             942  
 
Hand/Machine Tools - 0.1%
                
Baldor Electric Co.
     3,100       153  
 
Healthcare — Products - 7.0%
                
Advanced Medical Optics, Inc. *
     40,500       1,413  
Align Technology, Inc. *
     12,900       312  
American Medical Systems Holdings, Inc. *
     61,700       1,113  
Conmed Corp. *
     8,500       249  
Cooper Cos., Inc.
     27,400       1,461  
Cynosure, Inc. , Class A *
     600       22  
DJO, Inc. *
     51,380       2,120  
ICU Medical, Inc. *
     31,000       1,331  
Immucor, Inc. *
     12,390       346  
Intuitive Surgical, Inc. *
     6,470       898  
Kyphon, Inc. *
     32,770       1,578  
LCA-Vision, Inc.
     20,650       976  
NuVasive, Inc. *
     41,780       1,128  
Patterson Cos., Inc. *
     29,450       1,098  
PSS World Medical, Inc. *
     100       2  
Resmed, Inc. *
     48,385       1,996  
Sonic Innovations, Inc. *
     5,100       45  
SurModics, Inc. *
     23,610       1,180  
West Pharmaceutical Services, Inc.
     27,990       1,320  
Xtent, Inc. *
     1,800       18  
Zoll Medical Corp. *
     6,280       140  
 
 
             18,746  
 
Healthcare — Services - 2.3%
                
Apria Healthcare Group, Inc. *
     15,000       431  
Healthways, Inc. *
     35,420       1,678  
Kindred Healthcare, Inc. *
     16,400       504  
Magellan Health Services, Inc. *
     34,500       1,603  
Matria Healthcare, Inc. *
     11,600       351  
Psychiatric Solutions, Inc. *
     41,440       1,503  
 
 
             6,070  
 
Home Builders - 0.7%
                
Amrep Corp.
     1,845       88  
Thor Industries, Inc.
     26,000       1,174  
Winnebago Industries, Inc.
     18,100       534  
 
 
             1,796  
 
Home Furnishings - 0.4%
                
DTS, Inc. *
     43,490       947  
 
Household Products/Wares - 0.4%
                
American Greetings Corp., Class A
     6,804       193  
Jarden Corp. *
     21,845       939  
 
 
             1,132  
 
Insurance - 2.3%
                
ACA Capital Holdings, Inc. *
     9,500       113  
Alleghany Corp. *
     100       41  
American Physicians Capital, Inc. *
     1,876       76  
Amerisafe, Inc. *
     1,600       31  
Assured Guaranty Ltd.
     7,700       228  
FBL Financial Group, Inc., Class A
     780       31  
IPC Holdings Ltd.
     6,000       194  
Max Capital Group Ltd.
     5,900       167  
Odyssey Re Holdings Corp.
     6,400       274  
Primus Guaranty Ltd. *
     89,240       957  
SeaBright Insurance Holdings, Inc. *
     6,039       106  
Security Capital Assurance Ltd.
     32,250       995  
Selective Insurance Group, Inc.
     40,500       1,089  
StanCorp Financial Group, Inc.
     20,600       1,081  
W.R. Berkley Corp.
     19,435       632  
 
 
             6,015  
 
Internet - 3.3%
                
AsiaInfo Holdings, Inc. *
     21,800       212  
Authorize.Net Holdings, Inc. *
     26,390       472  
Blue Nile, Inc. *
     5,500       332  
Chordiant Software, Inc. *
     11,900       186  
CyberSource Corp. *
     63,850       770  
F5 Networks, Inc. *
     10,090       813  
Imergent, Inc.
     37,370       914  
Infospace, Inc.
     8,293       193  
Interwoven, Inc. *
     27,976       393  
j2 Global Communications, Inc. *
     53,760       1,876  
RealNetworks, Inc. *
     16,060       131  
S1 Corp. *
     28,090       225  
Shutterfly, Inc. *
     10,500       226  
SonicWALL, Inc. *
     21,396       184  
NORTHERN FUNDS QUARTERLY REPORT      4      MULTI — MANAGER FUNDS

 

Table of Contents

MULTI — MANAGER FUNDS
  SCHEDULE OF INVESTMENTS
  MULTI—MANAGER SMALL CAP FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5% – CONTINUED
                
Internet - 3.3% – (continued)
                
United Online, Inc.
     2,300     $ 38  
ValueClick, Inc. *
     49,120       1,447  
Vignette Corp. *
     18,060       346  
 
 
             8,758  
 
Investment Companies - 0.1%
                
Capital Southwest Corp.
     905       141  
 
Iron/Steel - 0.2%
                
Cleveland-Cliffs, Inc.
     800       62  
Olympic Steel, Inc.
     1,339       39  
Ryerson, Inc.
     8,000       301  
Schnitzer Steel Industries, Inc., Class A
     1,800       86  
Wheeling-Pittsburgh Corp. *
     4,110       78  
 
 
             566  
 
Leisure Time - 0.4%
                
K2, Inc. *
     63,000       957  
 
Machinery — Diversified - 0.8%
                
AGCO Corp. *
     5,497       239  
Flow International Corp. *
     112,060       1,412  
Hurco Cos., Inc. *
     2,200       110  
NACCO Industries, Inc., Class A
     2,110       328  
 
 
             2,089  
 
Media - 0.7%
                
Belo Corp., Class A
     14,600       301  
Central European Media Enterprises Ltd., Class A *
     14,900       1,454  
Cox Radio, Inc., Class A *
     16,646       237  
 
 
             1,992  
 
Metal Fabrication/Hardware - 0.2%
                
Ampco-Pittsburgh Corp.
     1,890       76  
Haynes International, Inc. *
     2,400       203  
Mueller Industries, Inc.
     6,100       210  
RBC Bearings, Inc. *
     900       37  
 
 
             526  
 
Mining - 0.3%
                
Brush Engineered Materials, Inc. *
     2,700       113  
Uranium Resources, Inc. *
     2,100       23  
USEC, Inc. *
     31,380       690  
 
 
             826  
 
Miscellaneous Manufacturing - 2.3%
                
Actuant Corp., Class A
     17,940       1,131  
Acuity Brands, Inc.
     1,720       104  
AZZ, Inc. *
     1,300       44  
EnPro Industries, Inc. *
     1,977       84  
Harsco Corp.
     16,000       832  
Hexcel Corp. *
     46,500       980  
LSB Industries, Inc. *
     600       13  
Matthews International Corp., Class A
     41,200       1,797  
Roper Industries, Inc.
     19,000       1,085  
SPX Corp.
     306       27  
Teleflex, Inc.
     100       8  
Tredegar Corp.
     4,149       88  
 
 
             6,193  
 
Office/Business Equipment - 0.1%
                
IKON Office Solutions, Inc.
     25,369       396  
 
Oil & Gas - 1.1%
                
Atlas America, Inc.
     1,500       81  
Holly Corp.
     5,552       412  
Plains Exploration & Production Co. *
     2,000       96  
Quicksilver Resources, Inc. *
     32,000       1,426  
Rosetta Resources, Inc. *
     12,100       261  
Swift Energy Co. *
     8,030       343  
Western Refining, Inc.
     4,600       266  
 
 
             2,885  
 
Oil & Gas Services - 2.0%
                
Lufkin Industries, Inc.
     16,140       1,042  
Matrix Service Co. *
     2,700       67  
Newpark Resources, Inc. *
     13,400       104  
Oceaneering International, Inc. *
     29,600       1,558  
SEACOR Holdings, Inc. *
     500       47  
Tetra Technologies, Inc. *
     78,155       2,204  
Trico Marine Services, Inc. *
     8,093       331  
Universal Compression Holdings, Inc. *
     900       65  
 
 
             5,418  
 
Packaging & Containers - 0.5%
                
AEP Industries, Inc. *
     1,900       85  
Ball Corp.
     24,880       1,323  
 
 
             1,408  
 
Pharmaceuticals - 2.6%
                
Barr Pharmaceuticals, Inc. *
     20,555       1,033  
Bradley Pharmaceuticals, Inc. *
     400       9  
Caraco Pharmaceutical Laboratories Ltd. *
     17,680       268  
Express Scripts, Inc. *
     39,880       1,994  
Javelin Pharmaceuticals, Inc. *
     10,300       64  
MULTI — MANAGER FUNDS      5      NORTHERN FUNDS QUARTERLY REPORT

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5% – CONTINUED
                
Pharmaceuticals - 2.6% – (continued)
                
NBTY, Inc. *
     5,835     $ 252  
Pharmion Corp. *
     11,400       330  
Pozen, Inc. *
     11,900       215  
Santarus, Inc. *
     176,390       912  
Sciele Pharma, Inc. *
     52,000       1,225  
VCA Antech, Inc. *
     20,175       760  
 
 
             7,062  
 
Pipelines - 0.0%
                
Oneok, Inc.
     900       45  
 
Real Estate - 0.1%
                
Avatar Holdings, Inc. *
     303       23  
Jones Lang LaSalle, Inc.
     1,235       140  
 
 
             163  
 
Real Estate Investment Trusts - 1.3%
                
Arbor Realty Trust, Inc.
     15,360       396  
BRT Realty Trust
     1,900       49  
Crystal River Capital, Inc.
     11,000       267  
Entertainment Properties Trust
     8,200       441  
Equity One, Inc.
     12,800       327  
Gramercy Capital Corp. of New York
     3,650       101  
HRPT Properties Trust
     11,600       121  
Medical Properties Trust, Inc.
     17,832       236  
NorthStar Realty Finance Corp.
     9,770       122  
Potlatch Corp.
     8,100       349  
RAIT Financial Trust
     14,100       367  
Redwood Trust, Inc.
     5,115       248  
Resource Capital Corp.
     5,100       71  
Saul Centers, Inc.
     1,900       86  
Senior Housing Properties Trust
     8,143       166  
Winston Hotels, Inc.
     738       11  
 
 
             3,358  
 
Retail - 7.3%
                
Abercrombie & Fitch Co., Class A
     9,800       715  
AC Moore Arts & Crafts, Inc. *
     64,550       1,266  
Aeropostale, Inc. *
     5,300       221  
Asbury Automotive Group, Inc.
     18,057       451  
AutoNation, Inc. *
     3,240       73  
Big Lots, Inc. *
     2,030       60  
Borders Group, Inc.
     80,000       1,525  
Brown Shoe Co., Inc.
     5,160       125  
Buffalo Wild Wings, Inc. *
     4,200       175  
CEC Entertainment, Inc. *
     10,040       353  
Duckwall-ALCO Stores, Inc. *
     14,960       558  
Ezcorp, Inc., Class A *
     14,672       194  
Fred’s, Inc.
     39,000       522  
GameStop Corp., Class A *
     29,030       1,135  
Group 1 Automotive, Inc.
     37,232       1,502  
Jack in the Box, Inc. *
     6,810       483  
Jo-Ann Stores, Inc. *
     6,900       196  
Jos. A. Bank Clothiers, Inc. *
     29,010       1,203  
Landry’s Restaurants, Inc.
     9,600       291  
McCormick & Schmick’s Seafood Restaurants, Inc. *
     31,600       820  
O’Charleys, Inc.
     7,230       146  
Office Depot, Inc. *
     29,870       905  
Payless Shoesource, Inc. *
     4,200       133  
PC Connection, Inc. *
     3,500       46  
Rush Enterprises, Inc., Class A *
     3,960       86  
School Specialty, Inc. *
     47,000       1,666  
Select Comfort Corp. *
     84,000       1,362  
Sonic Automotive, Inc., Class A
     17,370       503  
Systemax, Inc.
     5,500       114  
Tractor Supply Co. *
     24,630       1,282  
World Fuel Services Corp.
     32,790       1,379  
 
 
             19,490  
 
Savings & Loans - 0.4%
                
BankFinancial Corp.
     100       2  
Downey Financial Corp.
     6,300       416  
Partners Trust Financial Group, Inc.
     20,140       211  
PFF Bancorp, Inc.
     838       23  
Provident Financial Services, Inc.
     33,000       520  
TierOne Corp.
     540       16  
 
 
             1,188  
 
Semiconductors - 4.1%
                
Actel Corp. *
     9,174       128  
Applied Micro Circuits Corp. *
     19,000       48  
ARM Holdings PLC ADR
     157,910       1,382  
Atmel Corp. *
     33,236       185  
Diodes, Inc. *
     22,715       949  
Exar Corp. *
     13,382       179  
MEMC Electronic Materials, Inc. *
     14,100       862  
ON Semiconductor Corp. *
     130,545       1,399  
Silicon Laboratories, Inc. *
     29,160       1,009  
Silicon Motion Technology Corp. ADR *
     65,905       1,636  
northern funds quarterly report      6      multi-manager funds

 

Table of Contents

multi-manager funds
     SCHEDULE OF INVESTMENTS
     MULTI-MANAGER SMALL CAP FUND (continued)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
COMMON STOCKS - 94.5% – CONTINUED
                
Semiconductors - 4.1% – (continued)
                
Skyworks Solutions, Inc. *
     45,000     $ 331  
Syntax-Brillian Corp. *
     15,600       77  
Tessera Technologies, Inc. *
     18,890       766  
TriQuint Semiconductor, Inc. *
     25,530       129  
Ultra Clean Holdings *
     65,577       917  
Volterra Semiconductor Corp. *
     66,720       947  
 
 
             10,944  
 
Software - 4.2%
                
Acxiom Corp.
     100       3  
Avid Technology, Inc. *
     49,000       1,732  
Business Objects S.A. ADR *
     36,700       1,425  
Double-Take Software, Inc. *
     9,800       161  
Global Payments, Inc.
     17,070       677  
Innerworkings, Inc. *
     62,350       999  
MicroStrategy, Inc., Class A *
     2,004       189  
MSC.Software Corp. *
     98,000       1,327  
Nuance Communications, Inc. *
     83,370       1,395  
Schawk, Inc.
     36,000       721  
SEI Investments Co.
     84       2  
SYNNEX Corp. *
     7,100       146  
Taleo Corp., Class A *
     4,400       99  
Ultimate Software Group, Inc. *
     76,460       2,212  
 
 
             11,088  
 
Storage/Warehousing - 0.2%
                
Mobile Mini, Inc. *
     22,000       642  
Telecommunications - 4.3%
                
Andrew Corp. *
     24,000       347  
C-COR, Inc. *
     92,720       1,304  
Cbeyond Communications, Inc. *
     700       27  
Citizens Communications Co.
     500       8  
CT Communications, Inc.
     2,000       61  
Ditech Networks, Inc. *
     14,804       121  
Foundry Networks, Inc. *
     51,350       855  
General Communication, Inc., Class A *
     120,000       1,537  
Golden Telecom, Inc.
     6,400       352  
IDT Corp., Class B
     6,600       68  
Loral Space & Communications, Inc. *
     300       15  
NeuStar, Inc., Class A *
     39,785       1,153  
NII Holdings, Inc. *
     19,460       1,571  
Novatel Wireless, Inc. *
     20,300       528  
NTELOS Holdings Corp.
     11,300       312  
PAETEC Holding Corp. *
     12,100       137  
Polycom, Inc. *
     11,040       371  
RF Micro Devices, Inc. *
     38,700       241  
Rural Cellular Corp., Class A *
     1,100       48  
Sirenza Microdevices, Inc. *
     142,392       1,690  
SureWest Communications
     1,200       33  
Switch & Data Facilities Co., Inc. *
     5,800       111  
Tekelec *
     800       12  
USA Mobility, Inc. *
     12,500       335  
UTStarcom, Inc. *
     23,014       129  
 
 
             11,366  
 
Textiles - 0.8%
                
G&K Services, Inc., Class A
     21,000       830  
Unifirst Corp. of Massachusetts
     30,500       1,343  
 
 
             2,173  
 
Toys, Games & Hobbies - 0.3%
                
RC2 Corp. *
     21,000       840  
 
Transportation - 2.8%
                
Atlas Air Worldwide Holdings, Inc. *
     21,365       1,259  
Celadon Group, Inc. *
     69,565       1,106  
Dynamex, Inc. *
     400       10  
General Maritime Corp.
     5,700       153  
Gulfmark Offshore, Inc. *
     3,700       190  
HUB Group, Inc., Class A *
     9,700       341  
Knight Transportation, Inc.
     47,030       912  
Landstar System, Inc.
     20,000       965  
Overseas Shipholding Group
     2,350       191  
P.A.M. Transportation Services, Inc. *
     5,810       106  
Saia, Inc. *
     4,892       133  
Ship Finance International Ltd.
     2,200       65  
Tsakos Energy Navigation Ltd.
     20,200       1,412  
U.S. Xpress Enterprises, Inc., Class A *
     3,123       58  
USA Truck, Inc. *
     31,500       523  
 
 
             7,424  
 
Total Common Stocks
                
 
(Cost $223,080)
             251,919  
multi-manager funds      7      northern funds quarterly report

 

Table of Contents

JUNE 30, 2007 (UNAUDITED)
                 
    NUMBER   VALUE
    OF SHARES   (000S)
INVESTMENT COMPANIES - 4.1%
                
iShares Russell 2000 Index Fund
     4,984     $ 413  
Northern Institutional Funds -
Diversified Assets Portfolio (1)
     10,572,562       10,573  
 
Total Investment Companies
                
 
(Cost $10,971)
             10,986  
                 
    PRINCIPAL    
    AMOUNT   VALUE
    (000S)   (000S)
SHORT-TERM INVESTMENT - 0.3%
                
Dexia Bank Belgium, Brussels,
Eurodollar Time Deposit,
5.44%, 7/2/07
   $ 711       711  
 
Total Short-Term Investment
                
 
(Cost $711)
             711  
 
Total Investments - 98.9%
                
 
(Cost $234,762)
             263,616  
Other Assets less Liabilities - 1.1%
             2,995  
 
NET ASSETS - 100.0%
           $ 266,611  
 
(1)   NTI is an investment adviser of the Fund and the adviser of the Northern Institutional Funds.
 
*   Non-Income Producing Security
 
    Percentages shown are based on Net Assets.
Federal Tax Information:
At June 30, 2007, the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
                 
Federal tax cost of investments
   $ 234,762          
 
Gross tax appreciation of investments
   $ 33,842          
Gross tax depreciation of investments
     (4,988 )        
 
Net tax appreciation of investments
   $ 28,854          
 
northern funds quarterly report      8      multi-manager funds

 

Table of Contents

Item 2. Controls and Procedures.
(a)   The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the 1940 Act) are effective, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended, as of a date within 90 days of the filing date of this report.
(b)   There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 3. Exhibits.
(a)   Separate certifications for the principal executive and principal financial officers of the registrant as required by Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act are attached hereto.

 

Table of Contents

SIGNATURES
     Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
         
(Registrant)
  Northern Funds    
 
        
By:
  /s/ Lloyd A. Wennlund    
 
       
 
  Lloyd A. Wennlund, President    
 
  (Principal Executive Officer)    
 
        
Date:
  August 27, 2007    
     Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
         
(Registrant)
  Northern Funds    
 
        
By:
  /s/ Lloyd A. Wennlund    
 
       
 
  Lloyd A. Wennlund, President    
 
  (Principal Executive Officer)    
 
        
Date:
  August 27, 2007    
 
        
By:
  /s/ Gregory A. Chidsey    
 
       
 
  Gregory A. Chidsey, Treasurer    
 
  (Principal Financial and Accounting Officer)    
 
        
Date:
  August 27, 2007    

 

Dates Referenced Herein   and   Documents Incorporated by Reference

This ‘N-Q’ Filing    Date    Other Filings
Filed on / Effective on:8/27/07497,  497J
For Period End:6/30/07N-PX
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