BB&T Funds (the “Trust”) commenced operations on October 5, 1992 and is registered under the Investment Company Act of
1940, as amended (the “1940 Act”), as an open-end investment company established as a Massachusetts business trust. The
Trust consists of twenty-five series of units of beneficial interest (“Shares”) offered to the public, each representing interests in
one of twenty-five separate investment portfolios. These financial statements pertain to the Sterling Capital Small Cap Value
Fund (the “Fund”) only. The financial statements of the remaining series are presented in separate documents. The Fund’s
prospectus provides a description of the Fund’s investment objectives, policies and strategies.
The Fund may offer to the public four classes of Shares: Class A Shares, Class B Shares, Class C Shares and Sterling Shares.
Currently, the Fund only offers Sterling Shares to the public. The Fund is an “open-end” “diversified” management company,
as defined in the 1940 Act.
Each class of Shares has identical rights and privileges except with respect to the voting rights on matters affecting a single
class of shares and the exchange privilege of each class of Shares.
Under the Trust’s organizational documents, its officers and Trustees are indemnified against certain liabilities arising out of the
performance of their duties to the Trust. In addition, in the normal course of business, the Fund may enter into contracts with its
vendors and others that provide for general indemnifications. The Fund’s maximum exposure under these arrangements is
unknown, as this would involve future claims that may be made against the Fund. However, based on experience, the Fund
expects that risk of loss to be remote.
2. Significant Accounting Policies:
The following is a summary of the significant accounting policies followed by the Fund in the preparation of financial
statements. The policies are in conformity with United States generally accepted accounting principles (“GAAP”). The