State pension investments didn't lose a dime on stock holdings in Bear Stearns Co., which has suffered a stunning plunge in value since last week, according to West Virginia's investments chief.

"A lot of people saw Bear Stearns coming," said Craig Slaughter, director of the state Investment Management Board. "We have to credit our money managers with recognizing that."

Shares of Bear, the country's fifth-biggest investment bank, traded for as much as $171.51 last year. But the stock's price sank to $30 on Friday, as soured investments brought the bank to the brink of bankruptcy. Over the weekend, investment giant J.P. Morgan Chase & Co. engineered a deal to buy Bear for $2 per share.

The Investment Management Board does hold three small bond investments linked to Bear, but they aren't falling like the stock, said Slaughter.

"They won't respond in the same way the stock will," he said. "Between the three of them, I think we lost a little bit. ... But the total value is relatively small."

The board oversees investments that fund pensions for public employees including teachers, state troopers, sheriff's deputies and Statehouse workers. It also manages money for a miners' pneumoconiosis fund and wildlife endowment fund, among other investments.

Overall, its investments have lost value recently, amid a wave of property foreclosures and other bad mortgage-related investments in that have roiled the financial markets.

"If you own financial stocks, you've definitely seen some deterioration in value in your holdings, and we certainly hold a lot," Slaughter said. "The good news is, we didn't hold Bear Stearns."

State pension investments didn't lose a dime on stock holdings in Bear Stearns Co., which has suffered a stunning plunge in value since last week, according to West Virginia's investments chief.

"A lot of people saw Bear Stearns coming," said Craig Slaughter, director of the state Investment Management Board. "We have to credit our money managers with recognizing that."

Shares of Bear, the country's fifth-biggest investment bank, traded for as much as $171.51 last year. But the stock's price sank to $30 on Friday, as soured investments brought the bank to the brink of bankruptcy. Over the weekend, investment giant J.P. Morgan Chase & Co. engineered a deal to buy Bear for $2 per share.

The Investment Management Board does hold three small bond investments linked to Bear, but they aren't falling like the stock, said Slaughter.

"They won't respond in the same way the stock will," he said. "Between the three of them, I think we lost a little bit. ... But the total value is relatively small."

The board oversees investments that fund pensions for public employees including teachers, state troopers, sheriff's deputies and Statehouse workers. It also manages money for a miners' pneumoconiosis fund and wildlife endowment fund, among other investments.

Overall, its investments have lost value recently, amid a wave of property foreclosures and other bad mortgage-related investments in that have roiled the financial markets.

"If you own financial stocks, you've definitely seen some deterioration in value in your holdings, and we certainly hold a lot," Slaughter said. "The good news is, we didn't hold Bear Stearns."

The state's hired asset managers responsible for steering the portfolio clear of Bear Stearns stock are Enhanced Investment Technologies LLC (known as Intech) and State Street Corp., Slaughter said.

In the five years ending Jan. 31, the state portfolio gained 12 percent, though it inched up just 1.5 percent in the 12 months ending Jan. 31, he said. Its target return is 7.5 percent.

From the beginning of the current fiscal year began, on July 1, until Jan. 31, the portfolio's investments have lost $348 million in value, Slaughter said.

"It's possible we're going to end with a negative return this [fiscal] year," he said. But earlier gains will help balance out long-term returns, he said.

In fiscal year 2007, the investments leapt 17.6 percent, he said.

"We had a 12-month negative return in 2001," Slaughter said. "It's not like this hasn't happened before."

To contact staff writer Joe Morris, use e-mail or call 348-5179.