Sequoia Fund Semi Annual Report

With Income Dividends Reinvested and Capital Gains
Distributions Accepted in Shares

The table below covers the period from July 15, 1970 (the date Fund shares were first offered to the public) to June 30, 2007. This period was one of widely fluctuating common stock prices. The results shown should not be considered as a representation of the dividend income or capital gain or loss which may be realized from an investment made in the Fund today.

Value of
Capital Gains
Value of
Value of

July 15, 1970 $10,000 $— $— $10,000
May 31, 1971 11,750 184 11,934
May 31, 1972 12,350 706 451 13,507
May 31, 1973 9,540 1,118 584 11,242
May 31, 1974 7,530 1,696 787 10,013
May 31, 1975 9,490 2,137 1,698 13,325
May 31, 1976 12,030 2,709 2,654 17,393
May 31, 1977 15,400 3,468 3,958 22,826
Dec. 31, 1977 18,420 4,617 5,020 28,057
Dec. 31, 1978 22,270 5,872 6,629 34,771
Dec. 31, 1979 24,300 6,481 8,180 38,961
Dec. 31, 1980 25,040 8,848 10,006 43,894
Dec. 31, 1981 27,170 13,140 13,019 53,329
Dec. 31, 1982 31,960 18,450 19,510 69,920
Dec. 31, 1983 37,110 24,919 26,986 89,015
Dec. 31, 1984 39,260 33,627 32,594 105,481
Dec. 31, 1985 44,010 49,611 41,354 134,975
Dec. 31, 1986 39,290 71,954 41,783 153,027
Dec. 31, 1987 38,430 76,911 49,020 164,361
Dec. 31, 1988 38,810 87,760 55,946 182,516
Dec. 31, 1989 46,860 112,979 73,614 233,453
Dec. 31, 1990 41,940 110,013 72,633 224,586
Dec. 31, 1991 53,310 160,835 100,281 314,426
Dec. 31, 1992 56,660 174,775 112,428 343,863
Dec. 31, 1993 54,840 213,397 112,682 380,919
Dec. 31, 1994 55,590 220,943 117,100 393,633
Dec. 31, 1995 78,130 311,266 167,129 556,525
Dec. 31, 1996 88,440 397,099 191,967 677,506
Dec. 31, 1997 125,630 570,917 273,653 970,200
Dec. 31, 1998 160,700 798,314 353,183 1,312,197
Dec. 31, 1999 127,270 680,866 286,989 1,095,125
Dec. 31, 2000 122,090 903,255 289,505 1,314,850
Dec. 31, 2001 130,240 1,002,955 319,980 1,453,175
Dec. 31, 2002 126,630 976,920 311,226 1,414,776
Dec. 31, 2003 147,610 1,146,523 362,790 1,656,923
Dec. 31, 2004 154,270 1,200,687 379,159 1,734,116
Dec. 31, 2005 155,450 1,331,529 382,059 1,869,038
Dec. 31, 2006 152,750 1,496,788 375,422 2,024,960
June 30, 2007 156,120 1,603,041 383,705 2,142,866

The total amount of capital gains distributions accepted in shares was $1,004,644, the total amount of dividends reinvested was $116,740.

No adjustment has been made for any taxes payable by shareholders on capital gain distributions and dividends reinvested in shares.

To the Shareholders of Sequoia Fund, Inc.

Dear Shareholder:

Sequoia Fund's results for the second quarter of 2007 are shown below with comparable results for the leading market indexes:

To June 30, 2007 Sequoia
Dow Jones
Standard &
Poor's 500

3 Months 5.19% 9.11% 6.28%
6 Months 5.82% 8.76% 6.96%
1 Year 13.76% 23.04% 20.59%
5 Years (Annualized) 8.43% 10.19% 10.70%
10 Years (Annualized) 9.79% 7.84% 7.13%

The performance shown above represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown.

The S&P 500 Index is an unmanaged, capitalization-weighted index of the common stocks of 500 major US corporations. The Dow Jones Industrial Average is an unmanaged, price-weighted index of 30 actively traded blue chip stocks. The performance data quoted represents past performance and assumes reinvestment of dividends. The investment return and principal value of an investment in the Fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Year to date performance as of the most recent month end can be obtained by calling DST Systems, Inc. at (800) 686-6884.

We are providing you with a copy of the transcript of the Ruane, Cunniff & Goldfarb Inc. and Sequoia Fund "Annual Investor Day 2007" meeting which was held on May 18th.

Currently, capital gain distributions will be about $11.35 per share assuming no further gains or losses. The actual capital gains distribution in December may vary from this figure depending on the sales activity during the rest of the year. We will do our best to keep you informed of any material changes to this amount.


Richard T. Cunniff
Vice Chairman
Robert D. Goldfarb
David M. Poppe
Executive Vice President

August 1, 2007


This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.

Shareholder Fees (fees paid directly from your investment)

The Fund does not impose any sales charges, exchange fees or redemption fees.

Annual Fund Operating Expenses (expenses that are deducted from Fund assets)

Annual Fund Operating Expenses

Management Fees  
Other Expenses  

Total Annual Fund Operating Expenses  
Expense Reimbursement*  
Net Expenses  

* Reflects Ruane, Cunniff & Goldfarb Inc.'s ("Ruane, Cunniff & Goldfarb") contractual reimbursement of a portion of the Fund's operating expenses. This reimbursement is a provision of Ruane, Cunniff & Goldfarb's investment advisory agreement with the Fund and the reimbursement will be in effect only so long as that investment advisory agreement is in effect.

Shareholder Expense Example

As a shareholder of the Fund, you incur ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (January 1, 2007 to June 30, 2007).

Actual Expenses

The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and will not help you determine the relative total costs of owning different funds.

January 1, 2007
June 30,
Paid During
January 1, 2007
to June 30,
(5% return per year before expenses)

* Expenses are equal to the Fund's annualized expense ratio of 1.00%, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).

The table below shows the changes of the Fund's major positions for the period ended June 30, 2007:

% of assets
% of assets

Berkshire Hathaway  
Mohawk Industries  
Progressive Corp.  
TJX Companies Inc.  
Bed Bath & Beyond      
Porsche AG  
     Top six positions  

Schedule of Investments
June 30, 2007 (Unaudited)

Shares       Value
(Note 1)

    AUTO PARTS (1.70%)    
1,699,697   O’Reilly Automotive Inc.*   $62,123,925
95,028   Porsche AG (Germany) (a)   170,023,622
    CASUALTY INSURANCE (7.13%)    
10,908,000   Progressive Corporation   261,028,440
8,326   Berkshire Hathaway Inc. Class A*   911,488,850
86   Berkshire Hathaway Inc. Class B*   310,030
    FINANCE (1.71%)    
376,378   MasterCard Inc.   62,429,819
    FOOD – RETAIL (0.95%)    
907,000   Whole Foods Market Inc.   34,738,100
2,997,624   Expeditors International Inc.   123,801,871
4,000,000   Knight Transportation Inc.   77,520,000
4,053,623   Fastenal Company   169,684,659
    INSURANCE BROKERS (1.98%)    
2,888,441   Brown & Brown Inc.   72,615,407
384,088   Danaher Corporation   28,998,644
    RETAILING (21.73%)    
4,999,694   Bed Bath & Beyond Inc.*   179,938,987
39,797   Costco Wholesale Corporation   2,328,920
1,840,388   Lowe's Companies, Inc.   56,481,508
2,212,730   Target Corporation   140,729,628
7,629,153   TJX Companies, Inc.   209,801,707
2,119,715   Walgreen Company   92,292,391
2,359,006   Wal-Mart Stores, Inc.   113,491,779
    TEXTILE – CARPETS (9.01%)    
3,273,926   Mohawk Industries Inc.*   $329,979,002
1,528,744   Idexx Laboratories Inc.*   144,665,045
    TOTAL COMMON STOCKS (COST $1,309,109,408)  

$414,000,000   U.S. Treasury Bills due 7/26/2007 through 8/16/2007   412,213,120
(Cost $412,213,120)
    TOTAL INVESTMENTS (99.88%)††
(Cost $1,721,322,528)
    OTHER ASSETS LESS LIABILITIES (0.12%)   4,501,657
    NET ASSETS (100.00%)   $3,661,187,111

†† The cost for federal income tax purposes is identical.
* Non-income producing.
(a) The Fund is invested in preference shares of Porsche AG which possess the same economic interest as Porsche common stock but have no voting rights.

The accompanying notes form an integral part of these Financial Statements

Statement of Assets and Liabilities
June 30, 2007 (Unaudited)

     Investments in securities, at value (cost $1,721,322,528) (Note 1) $3,656,685,454
     Cash on deposit with custodian 7,954,437
     Receivable for capital stock sold 368,870
     Dividends receivable  67,979
     Other assets 28,344
          Total assets 3,665,105,084
     Payable for capital stock repurchased 789,638
     Accrued investment advisory fee 2,988,164
     Accrued other expenses 140,171
          Total liabilities 3,917,973
Net assets applicable to 23,451,270 shares of capital stock outstanding (Note 4) $3,661,187,111
Net asset value, offering price and redemption price per share $156.12

The accompanying notes form an integral part of these Financial Statements.

 Statement of Operations
Six Months Ended June 30, 2007 (Unaudited)

          Dividends (net of $233,008 foreign tax withheld)  
          Interest   6,808,500
          Other income   35,666
                    Total income   13,123,861
          Investment advisory fee (Note 2)   18,026,150
          Legal and auditing fees   78,278
          Stockholder servicing agent fees   247,308
          Custodian fees   40,000
          Directors fees and expenses (Note 6)   115,575
          Other   78,989
                    Total expenses   18,586,300
     Less expenses reimbursed by Investment Adviser (Note 2)   487,000
                    Net expenses   18,099,300
                    Net investment loss   (4,975,439)
     Realized gain on:    
          Investments   293,046,734
          Foreign currency transactions  
                    Net realized gain on investments and foreign currencies   293,049,028
     Net decrease in unrealized appreciation on:    
          Investments   (81,402,665)
                    Net realized and unrealized gain on investments and foreign currencies   211,646,363
Net increase in net assets from operations   $206,670,924

The accompanying notes form an integral part of these Financial Statements.

Statements of Changes in Net Assets

    Six Months
Ended 6/30/07
  Year Ended
     From operations:        
          Net investment loss   $(4,975,439)   $(16,445,199)
          Net realized gain on investments and foreign currencies   293,049,028   541,619,787
          Net decrease in unrealized appreciation   (81,402,665)   (239,222,412)
               Net increase in net assets from operations   206,670,924   285,952,176
     Distributions to shareholders from:        
          Net investment income   0   0
          Net realized gains   (126,266,574)   (340,945,549)
          Capital share transactions (Note 4)   (19,027,267)   81,492,062
               Total increase   61,377,083   26,498,689
NET ASSETS:        
     Beginning of period   3,599,810,028   3,573,311,339
     End of period   $3,661,187,111   $3,599,810,028
     Capital (par value and paid in surplus)   $1,461,682,412   $1,456,986,196
     Undistributed net realized gains (Note 5)   264,141,773   126,058,241
     Unrealized appreciation   1,935,362,926   2,016,765,591
               Total Net Assets   $3,661,187,111   $3,599,810,028

The accompanying notes form an integral part of these Financial Statements.

Notes to Financial Statements


Sequoia Fund, Inc. (the "Fund") is registered under the Investment Company Act of 1940, as amended, as a non-diversified, open-end management investment company. The investment objective of the Fund is growth of capital from investments primarily in common stocks and securities convertible into or exchangeable for common stock. The following is a summary of significant accounting policies, consistently followed by the Fund in the preparation of its financial statements.


Valuation of investments: Investments are carried at market value or at fair value as determined by the Board of Directors. Securities traded on a national securities exchange or on a foreign exchange are valued at the last reported sales price on the principal exchange on which the security is listed on the last business day of the period; securities traded in the over-the-counter market are valued in accordance with NASDAQ Official Closing Price on the last business day of the period; listed securities and securities traded in the over-the-counter market for which no sale was reported on that date are valued at the mean between the last reported bid and asked prices; U.S. Treasury Bills with remaining maturities of 60 days or less are valued at their amortized cost. U.S. Treasury Bills that when purchased have a remaining maturity in excess of sixty days are stated at their discounted value based upon the mean between the bid and asked discount rates until the sixtieth day prior to maturity, at which point they are valued at amortized cost.


Foreign currencies: Investment securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the date of valuation. Purchases and sales of foreign portfolio securities are translated into U.S. dollars at the rates of exchange prevailing when such securities are acquired or sold. Income and expenses are translated into U.S. dollars at the rates of exchange prevailing when accrued. The Fund does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments. Reported net realized foreign exchange gains or losses arise from the sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the fund's books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the fair values of assets and liabilities, other than investments in securities at fiscal period end, resulting from changes in exchange rates.


Accounting for investments: Investment transactions are accounted for on the trade date and dividend income is recorded on the ex-dividend date. Interest income is accrued as earned. Premiums and discounts on fixed income securities are amortized over the life of the respective security. The net realized gain or loss on security transactions is determined for accounting and tax purposes on the specific identification basis.


Federal income taxes: It is the Fund's policy to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income to its stockholders. Therefore, no federal income tax provision is required.


Use of Estimates: The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.


General: Dividends and distributions are recorded by the Fund on the ex-dividend date.


Indemnification: The Fund's officers, directors and agents are indemnified against certain liabilities that may arise out of performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts that contain a variety of indemnification clauses. The Fund's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. However, the Fund has not had prior claims or losses pursuant to these contracts and expects the risk of loss thereunder to be remote.


The Fund retains Ruane, Cunniff & Goldfarb Inc., as its investment adviser. Ruane, Cunniff & Goldfarb Inc. (the "Investment Adviser") provides the Fund with investment advice, administrative services and facilities.

Under the terms of the Advisory Agreement, the Investment Adviser receives a management fee equal to 1% per annum of the Fund’s average daily net asset values. This percentage will not increase or decrease in relation to increases or decreases in the net asset value of the Fund. Under the Advisory Agreement, the Investment Adviser is obligated to reimburse the Fund for the amount, if any, by which the operating expenses of the Fund (including the investment advisory fee) in any year exceed the sum of 1 1/2% of the average daily net asset values of the Fund during such year up to a maximum of $30,000,000, plus 1% of the average daily net asset values in excess of $30,000,000. The expenses incurred by the Fund exceeded the percentage limitation during the six months ended June 30, 2007 and the Investment Adviser reimbursed the Fund $487,000. Such reimbursement is not subject to recoupment by the Investment Adviser.

For the six months ended June 30, 2007, there were no amounts accrued or paid to interested persons, including officers and directors, other than advisory fees of $18,026,150 to Ruane, Cunniff & Goldfarb Inc. and brokerage commissions of $484,524 to Ruane, Cunniff & Goldfarb LLC, the Fund's distributor. Certain officers of the Fund are also officers of the Investment Adviser and the Fund's distributor. Ruane, Cunniff & Goldfarb LLC received no compensation from the Fund on the sale of the Fund’s capital shares during the six months ended June 30, 2007.


The aggregate cost of purchases and the proceeds from the sales of securities, excluding U.S. government obligations, for the six months ended June 30, 2007 were $37,443,491 and $392,873,872, respectively. Included in proceeds of sales is $32,431,972 representing the value of securities disposed of in payment of redemptions inkind, resulting in realized gains of $28,698,922.

At June 30, 2007 the aggregate gross tax basis unrealized appreciation and depreciation of securities were $1,937,700,649 and $2,337,723, respectively.


At June 30, 2007 there were 100,000,000 shares of $.10 par value capital stock authorized. Transactions in capital stock for the six months ended June 30, 2007 and the year ended December 31, 2006 were as follows:

  2007 2006

  Shares Amount Shares Amount

Shares sold 269,533   $42,214,104 561,045 $88,910,655
Shares issued to stockholders on reinvestment of:          
     Net investment income  
     Net realized gains on Investments 639,342   99,379,342 1,776,306 270,251,108


  908,875   141,593,446 2,337,351 359,161,763
Shares repurchased 1,024,987   160,620,713 1,756,309 277,669,701


Net increase/(decrease) (116,112)   $(19,027,267) 581,042 $81,492,062


Distributions to shareholders are determined in accordance with federal tax regulations and may differ from those determined for financial statement purposes. To the extent these differences are permanent such amounts are reclassified within the capital accounts based on federal tax regulations. During the six months ended June 30, 2007 permanent differences due to a net investment loss not deductible for tax purposes and realized gains on redemptions in kind not recognized for tax purposes resulted in a net decrease in net accumulated investment loss of $4,975,439 and undistributed net realized gains of $28,698,922 with a corresponding increase in paid in surplus of $23,723,483. These reclassifications had no effect on net assets.

The tax character of distributions paid during the six months ended June 30, 2007 and the year ended December 31, 2006 was as follows:

  2007 2006

Distributions paid from:    
Ordinary income $— $—
Long-term capital gains 126,266,574 340,945,549

          Total distributions $126,266,574 $340,945,549

As of June 30, 2007, the components of distributable earnings on a tax basis were as follows:
Undistributed long-term gain  
Unrealized appreciation  


In June 2006, the Financial Accounting Standards Board issued Interpretation No. 48, "Accounting for Uncertainty in Income Taxes — an Interpretation of FASB Statement No. 109" (the "Interpretation"). The Interpretation establishes a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns and requires certain expanded tax disclosures. Management has applied the Interpretation to the Fund during the period ended June 30, 2007. As a result of the application of the Interpretation, there was no material impact on the financial statements.


Directors who are not deemed "interested persons" receive fees of $6,000 per quarter and $2,500 for each meeting attended, and are reimbursed for travel and other out-of-pocket disbursements incurred in connection with attending directors meetings. The total of such fees and expenses paid by the Fund to these directors for the six months ended June 30, 2007 was $115,575.


The interim financial statements have not been examined by the Fund's independent registered public accounting firm and accordingly they do not express an opinion thereon.


In September 2006, Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" (SFAS 157), was issued and is effective for fiscal years beginning after November 15, 2007. SFAS 157 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. Management has not yet determined the impact the adoption of SFAS 157 will have on the Fund’s financial statement disclosures.


Six Months
June 30,
Year Ended December 31,
2007 2006 2005 2004 2003 2002

Per Share Operating Performance (for a share outstanding throughout the period)          
Net asset value, beginning of period $152.75 $155.45 $154.27 $147.61 $126.63 $130.24

Income from investment operations:        
Net investment (loss)  (0.21) (0.70) (0.75) (0.58) (0.62) (0.41)
Net realized and unrealized gains (losses) on investments 9.08 13.60 12.57 7.45 22.21 (3.03)

          Total from investment operations  8.87 12.90 11.82 6.87 21.59 (3.44)

Less distributions:        
Dividends from net investment income (0.00) (0.00) (0.00) (0.00) (0.00) (0.01)
Distributions from net realized gains (5.50) (15.60) (10.64) (0.21) (0.61) (0.16)

          Total distributions (5.50) (15.60) (10.64) (0.21) (0.61) (0.17)

Net asset value, end of period $156.12 $152.75 $155.45 $154.27 $147.61 $126.63

Total Return 5.82%† 8.34% 7.78% 4.66% 17.12% -2.64%
Ratios/Supplemental data        
Net assets, end of period (in millions) $3,661.2 $3,599.8 $3,573.3 $3,772.4 $3,973.6 $3,905.1
Ratio to average net assets:        
     Expenses 1.0%* 1.0% 1.0% 1.0% 1.0% 1.0%
     Net investment income -0.3%* -0.5% -0.5% -0.4% -0.5% -0.3%
Portfolio turnover rate  1%† 14% 8% 6% 3% 8%

  Not annualized

Change in Independent Registered Public Accounting Firm

PricewaterhouseCoopers LLP ("PwC") was previously the Fund's independent registered public accounting firm. On June 11, 2007, PwC's appointment as independent registered public accounting firm was terminated and Briggs, Bunting & Dougherty, LLP ("BBD") was engaged as independent registered public accounting firm. The decision to change independent registered public accounting firms was approved by the Fund’s audit committee and Board of Directors.

PwC's reports on the Fund's financial statements for the Fund's two most recently completed fiscal years ended December 31, 2006 and December 31, 2005 did not contain any adverse opinion or disclaimer of opinion, and were not qualified or modified as to uncertainty, audit scope, or accounting principles. During the Fund's two most recently completed fiscal years ended December 31, 2006 and December 31, 2005 and through June 11, 2007, there were no disagreements between the Fund and PwC on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of PwC, would have caused it to make reference to the subject matter of the disagreements in connection with its reports. During the two years ended December 31, 2006 and 2005 and through June 11, 2007, there were no "reportable events" within the meaning of Item 304, paragraph (a)(1)(v), of Regulation S-K under the Securities Exchange Act of 1934.

Other information

The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Form N-Q is available on the SEC's web site at The Fund's Form N-Q may also be reviewed and copied at the SEC's Public Reference Room in Washington, DC. For information regarding the operation of the SEC's Public Reference Room, call 1-800-SEC-0330. For a complete list of the Fund's portfolio holdings, view the most recent quarterly, semiannual or annual report on Sequoia Fund's web site at

You may obtain a description of the Fund's proxy voting policies and procedures, and information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30, without charge. Visit Sequoia Fund's web site at and use the "Shareholder Information" link to obtain all proxy information. This information may also be obtained from the Securities and Exchange Commission's web site at or by calling DST Systems, Inc. at (800) 686-6884.

767 Fifth Avenue, Suite 4701
New York, New York 10153-4798
(800) 686-6884


Richard T. Cunniff
Robert D. Goldfarb
David M. Poppe
Vinod Ahooja
Roger Lowenstein
Francis P. Matthews
C. William Neuhauser
Sharon Osberg
Robert L. Swiggett, Chairman of the Board


Richard T. Cunniff Vice Chairman
Robert D. Goldfarb President
David M. Poppe Executive Vice President
Joseph Quinones, Jr. Vice President, Secretary, Treasurer & Chief Compliance Officer
Michael Valenti — Assistant Secretary


Ruane, Cunniff & Goldfarb Inc.
767 Fifth Avenue, Suite 4701
New York, New York 10153-4798


Ruane, Cunniff & Goldfarb LLC
767 Fifth Avenue, Suite 4701
New York, New York 10153-4798


The Bank of New York
MF Custody Administration Department
One Wall Street, 25th Floor
New York, New York 10286


DST Systems, Inc.
P.O. Box 219477
Kansas City, Missouri 64121


Seward & Kissel LLP
One Battery Park Plaza
New York, New York 10004

This report has been prepared for the information of shareholders of Sequoia Fund, Inc.