december 31, 2016 t. rowe price prnex new era fund...

Proof #5

PRNEX

TRNEX

New Era Fund

New Era Fund– I Class

ANNuAlREPORT

December 31, 2017

T. RowE PRICE

The fund invests in companies that own or develop natural resources and other basic commodities.

Proof #5

REPORTS ON THE WEB

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HIGHLIGHTS

• Naturalresourcesstocksrosein2017ashigherpricesforoilandotherkeycommoditiesinthesecondhalfoftheyearmorethanoffsetweaknessinthefirsthalf.

• TheNewEraFundreturned13.27%and10.58%forthe6-and12-monthperiodsendedDecember31,2017,respectively.

• Webelievetheglobalcommoditiescomplexisintheinitialyearsofalong-termdownturnasfallingproductioncostsgraduallycontributetoglobaloversupply.Aswesawin2017,however,cyclicaldisruptionstothislong-termviewwillcreateperiodicpocketsofopportunity.

• Wewillcontinuetobuildandmaintainaportfoliooffundamentallysoundnaturalresourcescompanieswithhealthybalancesheetsandskilledmanagement,lookingforselectcyclicalopportunitieswithinthecontextofalong-termseculardowncycle.

T. Rowe Price New Era Fund

TheviewsandopinionsinthisreportwerecurrentasofDecember31,2017.They are not guarantees of performance or investment results andshouldnotbe takenas investmentadvice. Investmentdecisionsreflectavarietyof factors,and themanagers reserve the right tochange theirviews about individual stocks, sectors, and the markets at any time.As a result, the views expressed should not be relied upon as a fore-castof the fund’s future investment intent.Thereport iscertifiedunderthe Sarbanes-Oxley Act, which requiresmutual funds and other publiccompanies to affirm that, to the best of their knowledge, the informa-tionintheirfinancialreportsisfairlyandaccuratelystatedinallmaterialrespects.

http://www.troweprice.com

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Manager’s Letter

1

Fellow Shareholders

Natural resources stocks rose in 2017 as higher prices for oil and other key

commodities in the second half of the year more than offset weakness in the first half.

The segment declined in the first six months of the year amid modest expectations

for global economic growth and a rapid increase in production by American shale

producers in response to higher oil prices in 2016. As the year progressed, however,

demand expectations improved as global economic growth broadened across most of

the world’s developed and emerging markets. In addition, production limits by the

Organization of the Petroleum Exporting Countries (OPEC), political instability in the

Middle East, and hurricane-related supply disruptions contributed to higher oil prices

in the latter half of 2017.

As shown in the Performance Comparison table, the New Era Fund returned 13.27% and 10.58% for the 6- and 12-month periods ended December 31, 2017, respectively. (Returns for the fund’s I Class varied due to its different fee structure and other factors.) The fund trailed the MSCI World Select Natural Resources

Index for the annual reporting period but outpaced its Lipper peer group average. Our decisions to overweight and underweight various industries helped the fund’s relative performance for the annual reporting period. Stock selection was also beneficial, due largely to our preference for healthy balance sheets and low-cost positions.

TotalReturnPeriodsEnded12/31/17 6Months 12Months

NewEraFund 13.27% 10.58%

NewEraFund–IClass 13.33 10.70

S&P500Index 11.42 21.83

MSCIWorldSelectNaturalResourcesIndex 15.69 12.72

LipperGlobalNaturalResourcesFundsAverage 15.33 8.73

Performance Comparison

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Please note: On April 1, 2017, the MSCI World Select Natural Resources Index replaced the S&P 500 Index as the fund’s official passive benchmark. We believe the MSCI index is a better comparison for our investment strategy than the S&P 500.

MARKET ENVIRONMENT

U.S. stocks posted strong gains in 2017, benefiting from synchronized global economic growth and favorable corporate earnings. For much of the year, equities were supported by optimism about President Trump’s tax reform proposals, reduced regulation, and the potential for increased infrastructure spending. The Federal Reserve raised short-term interest rates three times in 2017, but the moves were widely expected and did not disrupt equity markets. In December, Congress passed legislation that lowered tax rates for corporations and individuals, and most major stock indexes finished the year near record levels amid expectations that lower taxes would boost U.S. economic growth in 2018.

Outside the U.S., developed equity markets outperformed U.S. shares, buoyed by broad-based global economic growth and healthy global trade. Japanese stocks benefited from an ongoing domestic economic

recovery, as well as the reelection of Prime Minister Shinzo Abe, whose fiscal, monetary, and structural reforms should continue to move forward. European equity markets generated excellent returns, lifted by a deepening economic recovery, broadly accommodative monetary policy from the European Central Bank, and political stabilization. Emerging markets equities outperformed developed markets stocks, helped by moderate but stable global economic growth, good global trade, and a better pricing environment for energy and other key commodities.

As measured by Lipper, natural resources stocks advanced roughly 8% in 2017, with a strong second half of the year making up for weakness in the first half. Oil prices stabilized in the low- to mid-$50s per-barrel range early in 2017 and

gradually climbed into the low- to mid-$60s range by the year’s end amid strong global demand, supply concerns in the Middle East, and weather-related disruptions in the U.S. Diversified and specialty

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chemical producers were some of the biggest winners. Metals and mining companies, as well as oil and gas refiners, also posted strong double-digit gains. Oil and gas drillers fell sharply, as did overseas oil and gas exploration and production (E&P) companies.

PORTFOLIO REVIEW AND POSITIONING

Overall, we have a modestly defensive posture with a focus on long-term growth and high quality through healthy balance sheets and low costs. Although our opportunity set has narrowed as commodities prices trend down over time and balance sheets are pressured, we are still finding pockets of opportunity in select areas:

• Majorintegratedoilproducerswithstrongfinancialandoperating leverage;

• Refinerspoisedforhealthymarginsascrudeoilinventoriesgrow and product inventories remain stable;

• Commodities-relatedcompaniesbenefitingfromlowinputcosts and high end market demand, including the specialty chemical and packaging industries;

• Regulatedutilitiesmaintainingdurablegrowthinalow-rate environment, with an emphasis on delivering cheap natural gas;

• Companieswithlimitedfinancialleverageandnohiddencounterparty risk, given the potential for increased bankruptcies in the commodities complex in the future;

• EnergyE&Pcompaniesabletoreducecostsandmaintaingrowth, with select North American shale producers among the prime examples; and

• Specificareasoftheutilities,chemicals,andmetalsindustrieswith exposure to electric vehicles, which should benefit from rising disruption and long growth runways.

Our oil and gas refiners performed very well in absolute terms in 2017, and a modest overweight versus our benchmark helped relative results. We believe this area of the market can benefit from its middle position in the global supply chain, with rising crude oil inventories on one side and stable demand for refined products on the other. Andeavor (U.S.), formerly known as Tesoro Corporation, was among our top 10 contributors. The company operates seven refineries concentrated on the western coast of the U.S., and its retail marketing

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network includes more than 1,500 branded gasoline stations, a significant portion of which are owned by Andeavor. HollyFrontier (U.S.) and Marathon Petroleum (U.S.) were also strong positive contributors. (Please refer to the fund’s portfolio of investments for a complete list of holdings and the amount each represents in the portfolio.)

Our metals and mining stocks posted strong gains as synchronized global economic growth and a modestly weaker U.S. dollar drove metals prices higher. Although an underweight position versus our benchmark index detracted from relative results, we continue to believe that these names will be among the most challenged by a long-term supply/demand imbalance in the global natural resources complex. Names exposed to the copper and steel markets were among our biggest positive contributors. These included Boliden (Sweden), which mines zinc, nickel, and copper and processes finished metals. The company owns low-cost assets in stable mining jurisdictions and offers good free cash flow and a solid balance sheet. It should benefit

over the medium term as falling global inventories put upward pressure on metals prices. Copper producers Antofagasta (Chile) and Southern Copper (Peru) were also strong performers.

The fund’s specialty chemical holdings advanced solidly in absolute terms, and a large overweight position helped results versus our benchmark. The industry benefited from

strong operating leverage as demand stayed strong and input costs, though rising, remained low relative to history. Architectural coatings manufacturer and distributor Sherwin-Williams (U.S.) was our top contributor in the industry. Sherwin-Williams is a best-in-class company that generates strong free cash flow and high returns on invested capital, and its acquisition of industrial coatings provider Valspar offers greater international exposure and should enhance earnings over time. Other strong contributors included industrial

Based on net assets as of 12/31/17.

Industry Diversification

EnergyIndustrials

10%

EnergyServices and

Processors13%

Utilities8%

Chemicals18%

Explorationand Production19%

Other andReserves7%

Metals andMining

10%

Integrateds15%

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5

coatings manufacturer RPM (U.S.), whose brands include Rust-Oleum, DAP, and Day-Glo, and Croda International (UK), which sells a wide range of chemicals to the consumer care and industrial products markets.

Our oil and gas equipment and services names fell sharply for the year in absolute terms, although an underweight position offset some of the damage to our relative performance. Service companies with exposure to the offshore E&P industry weighed heavily on performance as the growing importance of North American shale continues to challenge their growth prospects. The industry accounted for several of our biggest detractors, including Flotek Industries (U.S.), Keane (U.S.), and TechnipFMC (UK).

OUTLOOK

We continue to believe that global commodities are in the initial years of a secular downcycle, driven by a long-term global supply/demand imbalance. That said, we expect periods of cyclical disruption to drive short-term price volatility. In fact, we are now in a period in which synchronized global economic growth and a moderately weaker

U.S. dollar have driven up prices for oil and some other commodities. At the same time, however, we believe the market is beginning to recognize the long-term disruptive impact of U.S. shale production volumes. As a result, our long-term view remains intact: a low-price environment disrupted by relatively brief periods of outperformance within the larger narrative of a secular downcycle.

While some market participants expect a return to higher oil prices, we believe average per-barrel prices will settle in the $40s over the long term, especially after recently witnessing the rapid production response of the U.S. shale industry at relatively benign prices. We note, however, that this ultimately depends on the degree to which technological innovation continues to improve productivity and drive down costs.

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We remain committed to bottom-up stock selection, building a portfolio of fundamentally sound natural resources companies with healthy balance sheets and skilled management. We believe the market will reward our disciplined and consistent investment approach over the long term.

Respectfully submitted,

Shawn DriscollPortfolio manager and chairman of the fund’s Investment Advisory Committee

January 19, 2018

The committee chairman has day-to-day responsibility for managing the portfolio and works with committee members in developing and executing the fund’s investment program.

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Risks of Stock Investing

Thefund’ssharepricecanfallbecauseofweaknessinthestockmarkets,aparticularindustry,orspecificholdings.Stockmarketscandeclineformanyreasons,includingadversepoliticaloreconomicdevelopments,changesininvestorpsychology,orheavyinstitutionalselling.Theprospectsforanindustryorcompanymaydeterioratebecauseofavarietyoffactors,includingdisappointingearningsorchangesinthecompetitiveenvironment.Inaddition,theinvestmentmanager’sassessmentofcompaniesheldinafundmayproveincorrect,resultinginlossesorpoorperformanceeveninrisingmarkets.Fundsthatinvestonlyinspecificindustrieswillexperiencegreatervolatilitythanfundsinvestinginabroadrangeofindustries.Therateofearningsgrowthofnaturalresourcescompaniesmaybeirregularsincethesecompaniesarestronglyaffectedbynaturalforces,globaleconomiccycles,andinternationalpolitics.Forexample,stockpricesofenergycompaniescanfallsharplywhenoilpricesfall.

Glossary

Lipper averages:TheaveragesofavailablemutualfundperformancereturnsforspecifiedtimeperiodsincategoriesdefinedbyLipperInc.

MSCI World Select Natural Resources Index:anunmanagedindexthatmeasurestheperformanceofu.S.andinternationalstocksengagedintheextractionandproductionofnaturalresources.

S&P 500 Index:Anunmanagedindexthattracksthestocksof500primarilylarge-capu.S.companies.

Note:MSCImakesnoexpressorimpliedwarrantiesorrepresentationsandshallhavenoliabilitywhatsoeverwithrespecttoanyMSCIdatacontainedherein.TheMSCIdatamaynotbefurtherredistributedorusedasabasisforotherindicesoranysecuritiesorfinancialproducts.Thisreportisnotapproved,reviewed,orproducedbyMSCI.

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TWENTY-FIVE LARGEST HOLDINGS

Percentof NetAssets 12/31/17

Total 4.3%ExxonMobil 2.9EOGResources 2.9OccidentalPetroleum 2.8AirProducts&Chemicals 2.7

ConchoResources 2.6TransCanada 2.2bP 2.1Andeavor 2.0vulcanMaterials 1.9

AtmosEnergy 1.7DiamondbackEnergy 1.7Sherwin-Williams 1.6DowDuPont 1.5Praxair 1.5

RPM 1.3ball 1.2CFIndustries 1.1NiSource 1.1GalpEnergia 1.0

boliden 1.0koninklijkevopak 1.0bakerhughesAGe 1.0PPGIndustries 1.0Chevron 1.0

Total 45.1%

Note:Theinformationshowndoesnotreflectanyexchange-tradedfunds(ETFs),cashreserves,orcollateralforsecuritieslendingthatmaybeheldintheportfolio.

Portfolio Highlights

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MAJOR PORTFOLIO CHANGESListedindescendingorderofsize.

SixMonthsEnded12/31/17

Largest Purchases Largest Sales

AndeavorTransCanadabhPbillitonLimited*hollyFrontier*AmericanElectricPower*bASF*EversourceEnergyPraxairDelekuSholdings*valeroEnergy***

MarathonPetroleumEdisonInternational**PioneerNaturalResourcesFlowserve**RoyalDutchShell**Linde**NationalGrid**PG&E**valeroEnergy***hollyFrontier*

Portfolio Highlights

*Positionadded. **Positioneliminated.***Positionaddedandeliminated.

Proof #5


Performance and Expenses

10

Growth of $10,000

Thischartshowsthevalueofahypothetical$10,000investmentinthefundoverthepast10fiscalyearperiodsorsinceinception(forfundslacking10-yearrecords).Theresultiscomparedwithbenchmarks,whichmayincludeabroad-basedmarketindexandapeergroupaverageorindex.Marketindexesdonotincludeexpenses,whicharedeductedfromfundreturnsaswellasmutualfundaveragesandindexes.

New Era Fund $9,518

As of 12/31/17

12/07 12/08 12/09 12/10 12/11 12/12 12/13 12/14 12/15 12/16 12/17

N E W E R A F U N D

Lipper Global Natural Resources Funds Average $6,907

MSCI World Select Natural Resources Index $11,451

Note: Performance for the I Class will vary due to its differing fee structure. See returnstable below.

10,000

15,000

20,000

25,000

30,000

$35,000

S&P 500 Index $22,603

Since InceptionPeriodsEnded12/31/17 1year 5years 10years Inception Date

NewEraFund 10.58% 3.67% -0.49% – –

NewEraFund–IClass 10.70 – – 17.75% 12/17/15

Current performance may be higher or lower than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or loss when you sell your shares. For the most recent month-end performance, please visit our website (troweprice.com) or contact a T. Rowe Price representative at 1-800-225-5132 or, for I Class shares, 1-800-638-8790.

Thistableshowshowthefundwouldhaveperformedeachyearifitsactual(orcumulative)returnsfortheperiodsshownhadbeenearnedataconstantrate.Averageannualtotalreturnfiguresincludechangesinprincipalvalue,reinvesteddividends,andcapitalgaindistributions.Returnsdonotreflecttaxesthattheshareholdermaypayonfunddistributionsortheredemptionoffundshares.Whenassessingperformance,investorsshouldconsiderbothshort-andlong-termreturns.

Average Annual Compound Total Return

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NewEraFund 0.67%

NewEraFund–IClass 0.56

Theexpenseratioshownisasofthefund’sfiscalyearended12/31/16.Thisnumbermayvaryfromtheexpenseratioshownelsewhereinthisreportbecauseitisbasedonadifferenttimeperiodand,ifapplicable,includesacquiredfundfeesandexpensesbutdoesnotincludefeeorexpensewaivers.

Expense Ratio

Fund Expense Example

Asamutualfundshareholder,youmayincurtwotypesofcosts:(1)transactioncosts,suchasredemptionfeesorsalesloads,and(2)ongoingcosts,includingmanagementfees,distri-butionandservice(12b-1)fees,andotherfundexpenses.Thefollowingexampleisintendedtohelpyouunderstandyourongoingcosts(indollars)ofinvestinginthefundandtocom-parethesecostswiththeongoingcostsofinvestinginothermutualfunds.Theexampleisbasedonaninvestmentof$1,000investedatthebeginningofthemostrecentsix-monthperiodandheldfortheentireperiod.

Pleasenotethatthefundhastwoshareclasses:Theoriginalshareclass(InvestorClass)chargesnodistributionandservice(12b-1)fee,andtheIClasssharesarealsoavailabletoinstitutionallyorientedclientsandimposeno12b-1oradministrativefeepayment.Eachshareclassispresentedseparatelyinthetable.

Actual ExpensesThefirstlineofthefollowingtable(Actual)providesinformationaboutactualaccountvaluesandexpensesbasedonthefund’sactualreturns.youmayusetheinformationonthisline,togetherwithyouraccountbalance,toestimatetheexpensesthatyoupaidovertheperiod.Simplydivideyouraccountvalueby$1,000(forexample,an$8,600accountvaluedividedby$1,000=8.6),thenmultiplytheresultbythenumberonthefirstlineundertheheading“ExpensesPaidDuringPeriod”toestimatetheexpensesyoupaidonyouraccountduringthisperiod.

Hypothetical Example for Comparison PurposesTheinformationonthesecondlineofthetable(hypothetical)isbasedonhypotheticalaccountvaluesandexpensesderivedfromthefund’sactualexpenseratioandanassumed5%peryearrateofreturnbeforeexpenses(notthefund’sactualreturn).youmaycomparetheongoingcostsofinvestinginthefundwithotherfundsbycontrastingthis5%hypotheti-calexampleandthe5%hypotheticalexamplesthatappearintheshareholderreportsoftheotherfunds.Thehypotheticalaccountvaluesandexpensesmaynotbeusedtoestimatetheactualendingaccountbalanceorexpensesyoupaidfortheperiod.

Proof #5

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Fund Expense Example (continued)

Note:T.RowePricechargesanannualaccountservicefeeof$20,generallyforaccountswithlessthan$10,000.ThefeeiswaivedforanyinvestorwhoseT.RowePricemutualfundaccountstotal$50,000ormore;accountselectingtoreceiveelectronicdeliveryofaccountstatements,transactionconfirmations,prospectuses,andshareholderreports;oraccountsofaninvestorwhoisaT.RowePricePersonalServicesorEnhancedPersonalServicesclient(enrollmentintheseprogramsgenerallyrequiresT.RowePriceassetsofatleast$250,000).Thisfeeisnotincludedintheaccompanyingtable.Ifyouaresubjecttothefee,keepitinmindwhenyouareestimatingtheongoingexpensesofinvestinginthefundandwhencom-paringtheexpensesofthisfundwithotherfunds.

youshouldalsobeawarethattheexpensesshowninthetablehighlightonlyyourongoingcostsanddonotreflectanytransactioncosts,suchasredemptionfeesorsalesloads.Therefore,thesecondlineofthetableisusefulincomparingongoingcostsonlyandwillnothelpyoudeterminetherelativetotalcostsofowningdifferentfunds.Totheextentafundchargestransactioncosts,however,thetotalcostofowningthatfundishigher.

beginning Ending ExpensesPaid Accountvalue Accountvalue DuringPeriod* 7/1/17 12/31/17 7/1/17to12/31/17

Investor ClassActual $1,000.00 $1,132.70 $3.66

hypothetical(assumes5%returnbeforeexpenses) 1,000.00 1,021.78 3.47

I ClassActual 1,000.00 1,133.30 3.01

hypothetical(assumes5%returnbeforeexpenses) 1,000.00 1,022.38 2.85

*Expensesareequaltothefund’sannualizedexpenseratioforthe6-monthperiod,multipliedbytheaverageaccountvalueovertheperiod,multipliedbythenumberofdaysinthemostrecentfiscalhalfyear(184),anddividedbythedaysintheyear(365)toreflectthehalf-yearperiod.TheannualizedexpenseratiooftheInvestorClasswas0.68%,andtheIClasswas0.56%.

New Era Fund

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13


Financial Highlights For a share outstanding throughout each period

The accompanying notes are an integral part of these financial statements.

Investor Class

Year Ended

12/31/17

12/31/16

12/31/15

12/31/14

12/31/13

NET ASSET VALUE

Beginning of period

$ 33.66

$ 27.27

$ 34.45

$ 44.42

$ 41.91

Investment activities

Net investment income(1)

0.74

0.44

0.42

0.41

0.39

Net realized and unrealized gain / loss

2.79

6.38

(6.87)

(4.32)

6.03

Total from investment activities

3.53

6.82

(6.45)

(3.91)

6.42

Distributions

Net investment income

(0.69)

(0.43)

(0.42)

(0.42)

(0.25)

Net realized gain

–

–

(0.31)

(5.64)

(3.66)

Total distributions

(0.69)

(0.43)

(0.73)

(6.06)

(3.91)

NET ASSET VALUE

End of period $ 36.50 $ 33.66 $ 27.27 $ 34.45 $ 44.42

Ratios/Supplemental Data Total return(2) 10.58% 25.01% (18.76)% (7.83)% 15.72%

Ratio of total expenses to average net assets

0.69%

0.67%

0.67%

0.65%

0.66%

Ratio of net investment income to average net assets

2.19%

1.42%

1.28%

0.90%

0.87%

Portfolio turnover rate

60.1%

65.6%

76.7%

61.9%

54.6%

Net assets, end of period (in millions)

$ 2,552

$ 2,842

$ 2,733

$ 3,611

$ 4,338

(1) Per share amounts calculated using average shares outstanding method. (2) Total return reflects the rate that an investor would have earned on an investment in the fund

during each period, assuming reinvestment of all distributions.

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Financial Highlights For a share outstanding throughout each period


I Class

Year Ended

12/31/17

12/31/16

12/17/15(1)

Through

12/31/15

NET ASSET VALUE

Beginning of period

$ 33.66

$ 27.26

$ 27.08

Investment activities

Net investment income(2)

0.79

0.49

0.01

Net realized and unrealized gain / loss

2.78

6.38

0.17

Total from investment activities

3.57

6.87

0.18

Distributions

Net investment income

(0.73)

(0.47)

–

NET ASSET VALUE

End of period $ 36.50 $ 33.66 $ 27.26

Ratios/Supplemental Data Total return(3) 10.70% 25.20% 0.66%

Ratio of total expenses to average net assets

0.56%

0.56%

0.58%(4)

Ratio of net investment income to average net assets

2.33%

1.53%

1.41%(4)

Portfolio turnover rate

60.1%

65.6%

76.7%

Net assets, end of period (in millions)

$ 1,378

$ 784

$ 6

(1) Inception date (2) Per share amounts calculated using average shares outstanding method. (3) Total return reflects the rate that an investor would have earned on an investment in the fund

during each period, assuming reinvestment of all distributions. Total return is not annualized for periods less than one year.

(4) Annualized

Proof #5

T. Rowe Price New Era Fund December 31, 2017

Portfolio of Investments ‡ Shares/Par $ Value

(Cost and value in $000s)

15

COMMON STOCKS 97.1%

AGRICULTURE 3.7%

Fertilizers & Agricultural Chemicals 3.1%

Agrium 265,900 30,578

CF Industries 1,005,583 42,778

Incitec Pivot (AUD) 6,518,695 19,752

Yara International (NOK) 619,542 28,446

121,554

Packaged Foods & Meats 0.6%

Cal-Maine Foods (1) 510,398 22,687

22,687

Total Agriculture 144,241

CHEMICALS 17.4%

Commodity Chemicals 1.0%

Orion Engineered Carbons 396,833 10,159

Valvoline 1,138,901 28,541

38,700

Diversified Chemicals 4.2%

Akzo Nobel (EUR) 381,771 33,499

BASF (EUR) 340,348 37,313

DowDuPont 804,345 57,285

PPG Industries 325,900 38,072

166,169

Industrial Gases 4.1%

Air Products & Chemicals 641,063 105,186

Praxair 370,000 57,231

162,417

Specialty Chemicals 8.1%

Albemarle 72,900 9,323

Proof #5


Shares/Par $ Value


16

Axalta Coating Systems (1) 794,650 25,715

Corbion (EUR) 582,181 18,858

Croda International (GBP) 582,397 34,718

GCP Applied Technologies (1) 385,400 12,294

Johnson Matthey (GBP) 237,298 9,833

Koninklijke DSM (EUR) 315,850 30,171

RPM 964,600 50,564

Sherwin-Williams 149,250 61,199

Symrise (EUR) 298,356 25,581

Umicore (EUR) 383,834 18,174

Victrex (GBP) 588,333 20,949

317,379

Total Chemicals 684,665

ENERGY INDUSTRIALS 10.0%

Construction & Engineering 1.3%

ABB (CHF) 754,212 20,201

Jacobs Engineering Group 229,800 15,158

Siemens Gamesa Renewable Energy (EUR) 561,155 7,684

Vestas Wind Systems (DKK) 110,506 7,636

50,679

Construction & Farm Machinery & Heavy Trucks 0.5%

AGCO 306,500 21,893

21,893

Construction Materials 2.4%

Martin Marietta Materials 92,410 20,427

Vulcan Materials 569,300 73,081

93,508

Electrical Components & Equipment 0.8%

Legrand (EUR) 328,371 25,245

Proof #5


Shares/Par $ Value


17

SGL Carbon (EUR) (1) 415,906 5,663

30,908

Industrial Conglomerates 0.5%

Carlisle Companies 169,700 19,287

19,287

Industrial Machinery 2.9%

Andritz (EUR) 296,909 16,754

Krones (EUR) 145,546 19,921

Mueller Water Products, Class A 951,100 11,917

Pentair 442,500 31,249

Sandvik (SEK) 1,075,233 18,822

Valmont Industries 84,000 13,931

112,594

Metal & Glass Containers 1.6%

Ball 1,217,400 46,078

Vidrala (EUR) 187,256 18,980

65,058

Total Energy Industrials 393,927

ENERGY SERVICES & PROCESSORS 12.6%

Oil & Gas Equipment & Services 4.7%

Baker Hughes 1,228,500 38,870

Dril-Quip (1) 237,400 11,324

Frank's International 940,200 6,252

Halliburton 429,100 20,970

Helix Energy Solutions Group (1) 1,687,798 12,726

Oceaneering International 632,800 13,378

Schlumberger 286,650 19,317

Sentinel Energy Services (1) 949,400 9,466

Subsea 7 (NOK) 667,345 9,998

Tenaris (EUR) 1,827,958 29,013

Proof #5


Shares/Par $ Value


18

US Silica Holdings 393,300 12,806

184,120

Oil & Gas Refining & Marketing 3.9%

Andeavor 683,590 78,162

Delek US Holdings 404,200 14,123

HollyFrontier 601,200 30,793

Marathon Petroleum 476,269 31,424

154,502

Oil & Gas Storage & Transportation 4.0%

Koninklijke Vopak (EUR) 912,665 39,979

Plains GP Holdings, Class A (1) 880,100 19,318

TransCanada 1,760,400 85,626

Venture Global LNG, Series C, Acquisition Date: 5/25/17 - 10/16/17, Cost $10,777 (1)(2)(3) 2,989 11,271

156,194

Total Energy Services & Processors 494,816

EXPLORATION & PRODUCTION 19.3%

Non-U.S. Oil & Gas Exploration & Production 5.9%

Advantage Oil & Gas (CAD) (1) 2,636,443 11,326

ARC Resources (CAD) 2,255,791 26,470

Cairn Energy (GBP) (1) 5,507,237 15,870

Canadian Natural Resources 649,000 23,182

Crew Energy (CAD) (1) 2,258,299 5,659

Encana 2,339,900 31,191

Kelt Exploration (CAD) (1) 2,719,700 15,557

Kosmos Energy (1) 4,043,660 27,699

Lundin Petroleum (SEK) (1) 803,487 18,393

Seven Generations Energy, Class A (CAD) (1) 2,265,453 32,044

Woodside Petroleum (AUD) 931,321 23,961

231,352

Proof #5


Shares/Par $ Value


19

U.S. Oil Exploration & Production 13.4%

Centennial Resource Development, Class A (1) 1,826,620 36,167

Cimarex Energy 180,740 22,052

Concho Resources (1) 685,800 103,021

Continental Resources (1) 619,500 32,815

Devon Energy 495,191 20,501

Diamondback Energy (1) 514,700 64,981

EOG Resources 1,043,772 112,634

Jagged Peak Energy (1) 1,227,200 19,365

Matador Resources (1) 598,053 18,617

Noble Energy 719,900 20,978

Pioneer Natural Resources 191,550 33,109

RSP Permian (1) 889,600 36,189

TPG Pace Energy Holdings, Equity Units (1) 863,800 8,802

529,231

Total Exploration & Production 760,583

INTEGRATEDS 15.0%

Integrated Oil & Gas 15.0%

BP (GBP) 11,870,859 83,278

Chevron 301,000 37,682

ExxonMobil 1,375,759 115,068

Galp Energia (EUR) 2,232,338 41,014

Occidental Petroleum 1,487,874 109,597

Suncor Energy 909,400 33,393

Total (EUR) 3,043,963 168,027

Total, Rights, 1/3/18 (EUR) (1) 3,029,768 —

Total Integrateds 588,059

METALS & MINING 10.1%

Diversified Metals & Mining 7.3%

Antofagasta (GBP) 1,960,119 26,454

BHP Billiton Limited (AUD) 1,145,344 26,310

Proof #5


Shares/Par $ Value


20

Boliden (SEK) 1,175,638 40,204

First Quantum Minerals (CAD) 2,131,500 29,861

Independence (AUD) 9,066,493 33,455

Kaiser Aluminum 123,400 13,185

Lundin Mining (CAD) 3,405,843 22,651

Rio Tinto (GBP) 316,857 16,621

Southern Copper 741,900 35,203

Steel Dynamics 538,900 23,243

Sumitomo Metal Mining (JPY) 405,300 18,543

285,730

Precious Metals & Minerals 2.8%

Centamin (GBP) 5,746,033 12,239

Evolution Mining (AUD) 6,768,654 14,017

Franco-Nevada (CAD) 187,550 14,989

Fresnillo (GBP) 714,058 13,720

New Gold (1) 3,261,000 10,729

Osisko Gold Royalties (CAD) 1,005,100 11,610

Randgold Resources (GBP) 327,161 32,485

109,789

Total Metals & Mining 395,519

OTHER 0.9%

Paper & Forest Products 0.5%

Orora (AUD) 7,535,846 19,851

19,851

Research & Consulting Services 0.4%

ALS Queensland (AUD) 2,701,176 14,676

14,676

Total Other 34,527

Proof #5


Shares/Par $ Value


21

UTILITIES 6.9%

Electric Utilities 2.9%

American Electric Power 477,800 35,152

Eversource Energy 509,400 32,184

NextEra Energy 12,000 1,874

Red Electrica (EUR) 1,425,687 32,003

Westar Energy 281,140 14,844

116,057

Gas Utilities 2.3%

Atmos Energy 770,734 66,198

Italgas (EUR) 4,034,110 24,615

90,813

Multi-Utilities 1.7%

DTE Energy 51,400 5,626

NiSource 1,651,000 42,381

Sempra Energy 165,605 17,707

65,714

Total Utilities 272,584

Total Miscellaneous Common Stocks 1.2% (4) 46,902

Total Common Stocks (Cost $2,982,290) 3,815,823

PREFERRED STOCKS 0.5%

Total Miscellaneous Preferred Stocks 0.5% (4) 18,584

Total Preferred Stocks (Cost $19,837) 18,584

Proof #5


Shares/Par $ Value


22

CONVERTIBLE PREFERRED STOCKS 1.4%

AGRICULTURE 0.3%

Fertilizers & Agricultural Chemicals 0.3%

Farmers Business Network, Series D, Acquisition Date: 11/3/17 Cost $11,372 (1)(2)(3)(5) 615,892 11,372

Total Agriculture 11,372

UTILITIES 1.1%

Electric Utilities 0.7%

NextEra Energy, 6.123%, 8/2/19 530,377 30,210

30,210

Multi-Utilities 0.4%

DTE Energy, 6.50%, 10/1/19 278,500 15,178

15,178

Total Utilities 45,388

Total Convertible Preferred Stocks (Cost $51,716) 56,760

CORPORATE BONDS 0.3%

Felix Energy, VR, 3M USD LIBOR + 6.50%, 7.81%, 8/9/22 Acquisition Date: 8/9/17, Cost $11,650 (2)(3)(7) 11,760,000 11,642

Total Corporate Bonds (Cost $11,650) 11,642

SHORT-TERM INVESTMENTS 0.6%

Money Market Funds 0.6%

T. Rowe Price Government Reserve Fund, 1.24% (5)(6) 23,313,889 23,314

Total Short-Term Investments (Cost $23,314) 23,314

Proof #5



23

$ Value

Total Investments in Securities

99.9% of Net Assets (Cost $3,088,807) $ 3,926,123

‡ Shares/Par are denominated in U.S. dollars unless otherwise noted. (1) Non-income producing (2)

Security cannot be offered for public resale without first being registered under the Securities Act of 1933 and related rules ("restricted security"). Acquisition date represents the day on which an enforceable right to acquire such security is obtained and is presented along with related cost in the security description. The fund has registration rights for certain restricted securities. Any costs related to such registration are borne by the issuer. The aggregate value of restricted securities (excluding 144A holdings) at period-end amounts to $34,285 and represents 0.9% of net assets.

(3) Level 3 in fair value hierarchy. See Note 2. (4)

The identity of certain securities has been concealed to protect the fund while it completes a purchase or selling program for the securities.

(5) Affiliated Company (6) Seven-day yield (7)

A portion of the position represents an unfunded commitment; a liability to fund the commitment has been recognized. The fund’s total unfunded commitment at December 31, 2017, was $3,920 and was valued at $3,881 (0.1% of net assets).

3M USD LIBOR Three month USD LIBOR (London Interbank Offered Rate)

AUD Australian Dollar CAD Canadian Dollar CHF Swiss Franc DKK Danish Krone EUR Euro GBP British Pound JPY Japanese Yen

NOK Norwegian Krone SEK Swedish Krona

VR Variable Rate; rate shown is effective rate at period-end. The rates for certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and based on current market conditions.

Proof #5


24


Affiliated Companies

($000s)

The fund may invest in certain securities that are considered affiliated companies. As defined by the 1940 Act, an affiliated company is one in which the fund owns 5% or more of the outstanding voting securities, or a company that is under common ownership or control. The following securities were considered affiliated companies for all or some portion of the year ended December 31, 2017. Net realized gain (loss), investment income, change in net unrealized gain/loss, and purchase and sales cost reflect all activity for the period then ended.

Affiliate

Net Realized Gain(Loss)

Change in NetUnrealizedGain/Loss

InvestmentIncome

Comstock Resources $ (1,593) $ (38) $ — Farmers Business Network — — — T. Rowe Price Short-Term Fund — — —++ T. Rowe Price Government Reserve Fund — — 299 Totals $ (1,593)# $ (38) $ 299+

Supplementary Investment Schedule Affiliate

Value12/31/16

PurchaseCost

SalesCost

Value12/31/17

Comstock Resources $ 8,170 $ 41 $ 8,173 $ * Farmers Business Network — 11,372 — 11,372 T. Rowe Price Short-Term Fund — ¤ ¤ — T. Rowe Price Government Reserve Fund 40,154 ¤ ¤ 23,314 $ 34,686^

# Capital gain/loss distributions from mutual funds represented $0 of the net realized gain (loss).

++ Excludes earnings on securities lending collateral, which are subject to rebates and fees as described in Note 3.

+ Investment income comprised $299 of dividend income and $0 of interest income. * On the date indicated, issuer was held but not considered an affiliated company. ¤ Purchase and sale information not shown for cash management funds. ^ The cost basis of investments in affiliated companies was $34,686.

Proof #5

25



($000s, except shares and per share amounts)

Statement of Assets and Liabilities

Assets

Investments in securities, at value (cost $3,088,807) $ 3,926,123

Receivable for shares sold 7,106

Dividends and interest receivable 5,855

Receivable for investment securities sold 3,935

Foreign currency (cost $1,557) 1,574

Other assets 2,688

Total assets 3,947,281

Liabilities

Payable for investment securities purchased 8,392

Payable for shares redeemed 5,035

Investment management fees payable 1,752

Due to affiliates 262

Payable to directors 4

Other liabilities 1,943

Total liabilities 17,388

NET ASSETS $ 3,929,893 Net Assets Consist of:

Undistributed net investment income $ 6,511

Accumulated undistributed net realized loss (231,553)

Net unrealized gain 837,403

Paid-in capital applicable to 107,671,194 shares of $1.00 par value capital stock outstanding; 300,000,000 shares authorized 3,317,532

NET ASSETS $ 3,929,893 NET ASSET VALUE PER SHARE

Investor Class ($2,551,782,567 / 69,915,305 shares outstanding) $ 36.50

I Class ($1,378,110,290 / 37,755,889 shares outstanding) $ 36.50

Proof #5


($000s)

Statement of Operations

26


Year Ended

12/31/17Investment Income (Loss)

Income Dividend $ 103,046 Interest 511 Securities lending 12 Other 7

Total income 103,576

Expenses Investment management 19,407 Shareholder servicing

Investor Class $ 3,194 I Class 10 3,204

Prospectus and shareholder reports Investor Class 114 I Class 7 121

Custody and accounting 389 Registration 135 Legal and audit 40 Directors 12 Miscellaneous 43

Total expenses 23,351

Net investment income 80,225

Realized and Unrealized Gain / Loss

Net realized gain (loss) Securities 142,119 Foreign currency transactions 736

Net realized gain 142,855

Change in net unrealized gain / loss

Securities 157,020 Other assets and liabilities denominated in foreign currencies 56

Change in net unrealized gain / loss 157,076

Net realized and unrealized gain / loss 299,931

INCREASE IN NET ASSETS FROM OPERATIONS $ 380,156

Proof #5


($000s)

27

Statement of Changes in Net Assets

Year Ended

12/31/17 12/31/16Increase (Decrease) in Net Assets

Operations Net investment income $ 80,225 $ 46,076 Net realized gain (loss) 142,855 (11,226) Change in net unrealized gain / loss 157,076 667,283 Increase in net assets from operations 380,156 702,133

Distributions to shareholders

Net investment income Investor Class (47,897) (36,191) I Class (26,676) (10,145)

Decrease in net assets from distributions (74,573) (46,336)

Capital share transactions*

Shares sold Investor Class 257,005 488,572 I Class 547,228 760,938

Distributions reinvested Investor Class 45,244 34,024 I Class 25,975 9,576

Shares redeemed Investor Class (792,208) (993,736) I Class (84,607) (69,030)

Increase (decrease) in net assets from capital share transactions (1,363) 230,344

Net Assets

Increase during period 304,220 886,141 Beginning of period 3,625,673 2,739,532

End of period $ 3,929,893 $ 3,625,673

Undistributed net investment income 6,511 859

Proof #5


28


Statement of Changes in Net Assets

(000s)

Year Ended

12/31/17 12/31/16*Share information

Shares sold Investor Class 7,632 15,742 I Class 16,216 24,885

Distributions reinvested Investor Class 1,293 1,009 I Class 743 284

Shares redeemed Investor Class (23,424) (32,581) I Class (2,492) (2,114)

Increase (decrease) in shares outstanding (32) 7,225

Proof #5

29


Notes to Financial Statements

T. Rowe Price New Era Fund, Inc. (the fund) is registered under the Investment Company Act of 1940 (the 1940 Act) as a diversified, open-end management investment company. The fund seeks to provide long-term capital growth primarily through the common stocks of companies that own or develop natural resources and other basic commodities, and also through the stocks of selected nonresource growth companies. The fund has two classes of shares: the New Era Fund (Investor Class) and the New Era Fund–I Class (I Class). I Class shares generally are available only to investors meeting a $1,000,000 minimum investment or certain other criteria. Each class has exclusive voting rights on matters related solely to that class; separate voting rights on matters that relate to both classes; and, in all other respects, the same rights and obligations as the other class.

NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES

Basis of Preparation The fund is an investment company and follows accounting and reporting guidance in the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 (ASC 946). The accompanying financial statements were prepared in accordance with accounting principles generally accepted in the United States of America (GAAP), including, but not limited to, ASC 946. GAAP requires the use of estimates made by management. Management believes that estimates and valuations are appropriate; however, actual results may differ from those estimates, and the valuations reflected in the accompanying financial statements may differ from the value ultimately realized upon sale or maturity.

Investment Transactions, Investment Income, and Distributions Investment transactions are accounted for on the trade date basis. Income and expenses are recorded on the accrual basis. Realized gains and losses are reported on the identified cost basis. Premiums and discounts on debt securities are amortized for financial reporting purposes. Dividends received from mutual fund investments are reflected as dividend income; capital gain distributions are reflected as realized gain/loss. Dividend income and capital gain distributions are recorded on the ex-dividend date. Income tax-related interest and penalties, if incurred, are recorded as income tax expense. Income distributions are declared and paid by each class annually. Distributions to shareholders are recorded on the ex-dividend date. A capital gain distribution may also be declared and paid by the fund annually.

Proof #5

30


Currency Translation Assets, including investments, and liabilities denominated in foreign currencies are translated into U.S. dollar values each day at the prevailing exchange rate, using the mean of the bid and asked prices of such currencies against U.S. dollars as quoted by a major bank. Purchases and sales of securities, income, and expenses are translated into U.S. dollars at the prevailing exchange rate on the respective date of such transaction. The portion of the results of operations attributable to changes in foreign exchange rates on investments is not bifurcated from the portion attributable to changes in market prices. The effect of changes in foreign currency exchange rates on realized and unrealized security gains and losses is reflected as a component of security gains and losses.

Class Accounting Shareholder servicing, prospectus, and shareholder report expenses incurred by each class are charged directly to the class to which they relate. Expenses common to both classes, investment income, and realized and unrealized gains and losses are allocated to the classes based upon the relative daily net assets of each class. To the extent any expenses are waived or reimbursed in accordance with an expense limitation (see Note 5), the waiver or reimbursement is charged to the applicable class or allocated across the classes in the same manner as the related expense.

Rebates Subject to best execution, the fund may direct certain security trades to brokers who have agreed to rebate a portion of the related brokerage commission to the fund in cash. Commission rebates are reflected as realized gain on securities in the accompanying financial statements and totaled $145,000 for the year ended December 31, 2017.

New Accounting Guidance In March 2017, the FASB issued amended guidance to shorten the amortization period for certain callable debt securities, held at a premium. The guidance is effective for fiscal years and interim periods beginning after December 15, 2018. Adoption will have no effect on the fund’s net assets or results of operations.

On August 1, 2017, the fund implemented amendments to Regulation S-X, issued by the Securities and Exchange Commission, which require standardized, enhanced disclosures, particularly related to derivatives, in investment company financial statements. Adoption had no effect on the fund’s net assets or results of operations.

Proof #5

31


Indemnification In the normal course of business, the fund may provide indemnification in connection with its officers and directors, service providers, and/or private company investments. The fund’s maximum exposure under these arrangements is unknown; however, the risk of material loss is currently considered to be remote.

NOTE 2 - VALUATION

The fund’s financial instruments are valued and each class’s net asset value (NAV) per share is computed at the close of the New York Stock Exchange (NYSE), normally 4 p.m. ET, each day the NYSE is open for business. However, the NAV per share may be calculated at a time other than the normal close of the NYSE if trading on the NYSE is restricted, if the NYSE closes earlier, or as may be permitted by the SEC.

Fair Value The fund’s financial instruments are reported at fair value, which GAAP defines as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The T. Rowe Price Valuation Committee (the Valuation Committee) is an internal committee that has been delegated certain responsibilities by the fund’s Board of Directors (the Board) to ensure that financial instruments are appropriately priced at fair value in accordance with GAAP and the 1940 Act. Subject to oversight by the Board, the Valuation Committee develops and oversees pricing-related policies and procedures and approves all fair value determinations. Specifically, the Valuation Committee establishes procedures to value securities; determines pricing techniques, sources, and persons eligible to effect fair value pricing actions; oversees the selection, services, and performance of pricing vendors; oversees valuation-related business continuity practices; and provides guidance on internal controls and valuation-related matters. The Valuation Committee reports to the Board and has representation from legal, portfolio management and trading, operations, risk management, and the fund’s treasurer.

Various valuation techniques and inputs are used to determine the fair value of financial instruments. GAAP establishes the following fair value hierarchy that categorizes the inputs used to measure fair value:

Level 1 – quoted prices (unadjusted) in active markets for identical financial instruments that the fund can access at the reporting date

Proof #5

32


Level 2 – inputs other than Level 1 quoted prices that are observable, either directly or indirectly (including, but not limited to, quoted prices for similar financial instruments in active markets, quoted prices for identical or similar financial instruments in inactive markets, interest rates and yield curves, implied volatilities, and credit spreads)

Level 3 – unobservable inputs

Observable inputs are developed using market data, such as publicly available information about actual events or transactions, and reflect the assumptions that market participants would use to price the financial instrument. Unobservable inputs are those for which market data are not available and are developed using the best information available about the assumptions that market participants would use to price the financial instrument. GAAP requires valuation techniques to maximize the use of relevant observable inputs and minimize the use of unobservable inputs. When multiple inputs are used to derive fair value, the financial instrument is assigned to the level within the fair value hierarchy based on the lowest-level input that is significant to the fair value of the financial instrument. Input levels are not necessarily an indication of the risk or liquidity associated with financial instruments at that level but rather the degree of judgment used in determining those values.

Valuation Techniques Equity securities listed or regularly traded on a securities exchange or in the over-the-counter (OTC) market are valued at the last quoted sale price or, for certain markets, the official closing price at the time the valuations are made. OTC Bulletin Board securities are valued at the mean of the closing bid and asked prices. A security that is listed or traded on more than one exchange is valued at the quotation on the exchange determined to be the primary market for such security. Listed securities not traded on a particular day are valued at the mean of the closing bid and asked prices for domestic securities and the last quoted sale or closing price for international securities.

For valuation purposes, the last quoted prices of non-U.S. equity securities may be adjusted to reflect the fair value of such securities at the close of the NYSE. If the fund determines that developments between the close of a foreign market and the close of the NYSE will affect the value of some or all of its portfolio securities, the fund will adjust the previous quoted prices to reflect what it believes to be the fair value of the securities as of the close of the NYSE. In deciding whether it is necessary to adjust quoted prices to reflect fair value, the fund reviews a variety of factors, including developments in foreign markets, the performance of U.S. securities markets, and the performance of instruments

Proof #5

33


trading in U.S. markets that represent foreign securities and baskets of foreign securities. The fund may also fair value securities in other situations, such as when a particular foreign market is closed but the fund is open. The fund uses outside pricing services to provide it with quoted prices and information to evaluate or adjust those prices. The fund cannot predict how often it will use quoted prices and how often it will determine it necessary to adjust those prices to reflect fair value. As a means of evaluating its security valuation process, the fund routinely compares quoted prices, the next day’s opening prices in the same markets, and adjusted prices.

Actively traded equity securities listed on a domestic exchange generally are categorized in Level 1 of the fair value hierarchy. Non-U.S. equity securities generally are categorized in Level 2 of the fair value hierarchy despite the availability of quoted prices because, as described above, the fund evaluates and determines whether those quoted prices reflect fair value at the close of the NYSE or require adjustment. OTC Bulletin Board securities, certain preferred securities, and equity securities traded in inactive markets generally are categorized in Level 2 of the fair value hierarchy.

Debt securities generally are traded in the OTC market. Securities with remaining maturities of one year or more at the time of acquisition are valued at prices furnished by dealers who make markets in such securities or by an independent pricing service, which considers the yield or price of bonds of comparable quality, coupon, maturity, and type, as well as prices quoted by dealers who make markets in such securities. Generally, debt securities are categorized in Level 2 of the fair value hierarchy; however, to the extent the valuations include significant unobservable inputs, the securities would be categorized in Level 3.

Investments in mutual funds are valued at the mutual fund’s closing NAV per share on the day of valuation and are categorized in Level 1 of the fair value hierarchy. Assets and liabilities other than financial instruments, including short-term receivables and payables, are carried at cost, or estimated realizable value, if less, which approximates fair value.

Thinly traded financial instruments and those for which the above valuation procedures are inappropriate or are deemed not to reflect fair value are stated at fair value as determined in good faith by the Valuation Committee. The objective of any fair value pricing determination is to arrive at a price that could reasonably be expected from a current sale. Financial instruments fair valued by the Valuation Committee are primarily private placements, restricted securities, warrants, rights, and other securities that are not publicly traded.

Proof #5

34


Subject to oversight by the Board, the Valuation Committee regularly makes good faith judgments to establish and adjust the fair valuations of certain securities as events occur and circumstances warrant. For instance, in determining the fair value of an equity investment with limited market activity, such as a private placement or a thinly traded public company stock, the Valuation Committee considers a variety of factors, which may include, but are not limited to, the issuer’s business prospects, its financial standing and performance, recent investment transactions in the issuer, new rounds of financing, negotiated transactions of significant size between other investors in the company, relevant market valuations of peer companies, strategic events affecting the company, market liquidity for the issuer, and general economic conditions and events. In consultation with the investment and pricing teams, the Valuation Committee will determine an appropriate valuation technique based on available information, which may include both observable and unobservable inputs. The Valuation Committee typically will afford greatest weight to actual prices in arm’s length transactions, to the extent they represent orderly transactions between market participants, transaction information can be reliably obtained, and prices are deemed representative of fair value. However, the Valuation Committee may also consider other valuation methods such as market-based valuation multiples; a discount or premium from market value of a similar, freely traded security of the same issuer; or some combination. Fair value determinations are reviewed on a regular basis and updated as information becomes available, including actual purchase and sale transactions of the issue. Because any fair value determination involves a significant amount of judgment, there is a degree of subjectivity inherent in such pricing decisions, and fair value prices determined by the Valuation Committee could differ from those of other market participants. Depending on the relative significance of unobservable inputs, including the valuation technique(s) used, fair valued securities may be categorized in Level 2 or 3 of the fair value hierarchy.

Proof #5

35


Valuation Inputs The following table summarizes the fund’s financial instruments, based on the inputs used to determine their fair values on December 31, 2017:

($000s) Level 1 Level 2 Level 3 Total Value

Quoted Prices

Significant Observable

Inputs

Significant Unobservable

Inputs

InvestmentsinSecurities,except: $ 23,314 $ — $ — $ 23,314

CommonStocks 2,417,572 1,386,980 11,271 3,815,823

PreferredStocks — 18,584 — 18,584

ConvertiblePreferredStocks — 45,388 11,372 56,760

Corporatebonds — — 11,642 11,642

Total $ 2,440,886 $ 1,450,952 $ 34,285 $ 3,926,123

There were no material transfers between Levels 1 and 2 during the year ended December 31, 2017.

Following is a reconciliation of the fund’s Level 3 holdings for the year ended December 31, 2017. Gain (loss) reflects both realized and change in unrealized gain/loss on Level 3 holdings during the period, if any, and is included on the accompanying Statement of Operations. The change in unrealized gain/loss on Level 3 instruments held at December 31, 2017, totaled $495,000 for the year ended December 31, 2017.

($000s) BeginningBalance1/1/17

Gain (Loss) DuringPeriod

TotalPurchases

EndingBalance

12/31/17

InvestmentsinSecurities

CommonStocks $ — $ 495 $ 10,776 $ 11,271

ConvertiblePreferredStocks — — 11,372 11,372

Corporatebonds 0 (8) 11,650 11,642

TotalLevel3 $ — $ 487 $ 33,798 $ 34,285

Proof #5

36


NOTE 3 - OTHER INVESTMENT TRANSACTIONS

Consistent with its investment objective, the fund engages in the following practices to manage exposure to certain risks and/or to enhance perfor-mance. The investment objective, policies, program, and risk factors of the fund are described more fully in the fund’s prospectus and Statement of Additional Information.

Restricted Securities The fund may invest in securities that are subject to legal or contractual restrictions on resale. Prompt sale of such securities at an acceptable price may be difficult and may involve substantial delays and additional costs.

Securities Lending The fund may lend its securities to approved borrowers to earn additional income. Its securities lending activities are administered by a lending agent in accordance with a securities lending agreement. Security loans generally do not have stated maturity dates, and the fund may recall a security at any time. The fund receives collateral in the form of cash or U.S. government securities, valued at 102% to 105% of the value of the securities on loan. Collateral is maintained over the life of the loan in an amount not less than the value of loaned securities; any additional collateral required due to changes in security values is delivered to the fund the next business day. Cash collateral is invested in accordance with investment guidelines approved by fund management. Additionally, the lending agent indemnifies the fund against losses resulting from borrower default. Although risk is mitigated by the collateral and indemnification, the fund could experience a delay in recovering its securities and a possible loss of income or value if the borrower fails to return the securities, collateral investments decline in value, and the lending agent fails to perform. Securities lending revenue consists of earnings on invested collateral and borrowing fees, net of any rebates to the borrower, compensation to the lending agent, and other administrative costs. In accordance with GAAP, investments made with cash collateral are reflected in the accompanying financial statements, but collateral received in the form of securities is not. At December 31, 2017, there were no securities on loan.

Other Purchases and sales of portfolio securities other than short-term securities aggregated $2,186,100,000 and $2,149,372,000, respectively, for the year ended December 31, 2017.

Proof #5

37


NOTE 4 - FEDERAL INCOME TAxES

No provision for federal income taxes is required since the fund intends to continue to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code and distribute to shareholders all of its taxable income and gains. Distributions determined in accordance with federal income tax regulations may differ in amount or character from net investment income and realized gains for financial reporting purposes. Financial reporting records are adjusted for permanent book/tax differences to reflect tax character but are not adjusted for temporary differences.

The fund files U.S. federal, state, and local tax returns as required. The fund’s tax returns are subject to examination by the relevant tax authorities until expiration of the applicable statute of limitations, which is generally three years after the filing of the tax return but which can be extended to six years in certain circumstances. Tax returns for open years have incorporated no uncertain tax positions that require a provision for income taxes.

Distributions during the years ended December 31, 2017 and December 31, 2016, totaled $74,573,000 and $46,336,000, respectively, and were characterized as ordinary income for tax purposes. At December 31, 2017, the tax-basis cost of investments, including derivatives, and components of net assets were as follows:

Costofinvestments $ 3,109,136

unrealizedappreciation $ 896,112

unrealizeddepreciation (79,038)

Netunrealizedappreciation(depreciation) 817,074

undistributedordinaryincome 10,307

Capitallosscarryforwards (215,020)

Paid-incapital 3,317,532

Netassets $ 3,929,893

($000s)

The difference between book-basis and tax-basis net unrealized appreciation (depreciation) is attributable to the deferral of losses from wash sales and the realization of gains/losses on passive foreign investment companies for tax purposes. The fund intends to retain realized gains to the extent

Proof #5

38


of available capital loss carryforwards. Net realized capital losses may be carried forward indefinitely to offset future realized capital gains. During the year ended December 31, 2017, the fund utilized $131,384,000 of capital loss carryforwards.

NOTE 5 - RELATED PARTY TRANSACTIONS

The fund is managed by T. Rowe Price Associates, Inc. (Price Associates), a wholly owned subsidiary of T. Rowe Price Group, Inc. (Price Group). The investment management agreement between the fund and Price Associates provides for an annual investment management fee, which is computed daily and paid monthly. The fee consists of an individual fund fee, equal to 0.25% of the fund’s average daily net assets, and a group fee. The group fee rate is calculated based on the combined net assets of certain mutual funds sponsored by Price Associates (the group) applied to a graduated fee schedule, with rates ranging from 0.48% for the first $1 billion of assets to 0.265% for assets in excess of $650 billion. The fund’s group fee is determined by applying the group fee rate to the fund’s average daily net assets. At December 31, 2017, the effective annual group fee rate was 0.29%.

The I Class is subject to an operating expense limitation (I Class limit) pursuant to which Price Associates is contractually required to pay all operating expenses of the I Class, excluding management fees, interest, expenses related to borrowings, taxes, brokerage, and other non-recurring expenses permitted by the investment management agreement, to the extent such operating expenses, on an annualized basis, exceed 0.05% of average net assets. This agreement will continue until April 30, 2018, and may be renewed, revised, or revoked only with approval of the fund’s Board. The I Class is required to repay Price Associates for expenses previously paid to the extent the class’s net assets grow or expenses decline sufficiently to allow repayment without causing the class’s operating expenses (after the repayment is taken into account) to exceed both: (1) the expense limitation in place at the time such amounts were paid; and (2) the class’s current expense limitation. However, no repayment will be made more than three years after the date of a payment or waiver. For the year ended December 31, 2017, the I Class operated below its expense limitation.

In addition, the fund has entered into service agreements with Price Associates and two wholly owned subsidiaries of Price Associates (collectively, Price). Price Associates provides certain accounting and administrative services to the fund.

Proof #5

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T. Rowe Price Services, Inc. provides shareholder and administrative services in its capacity as the fund’s transfer and dividend-disbursing agent. T. Rowe Price Retirement Plan Services, Inc. provides subaccounting and recordkeeping services for certain retirement accounts invested in the Investor Class and I Class. For the year ended December 31, 2017, expenses incurred pursuant to these service agreements were $86,000 for Price Associates; $1,611,000 for T. Rowe Price Services, Inc.; and $103,000 for T. Rowe Price Retirement Plan Services, Inc. The total amount payable at period-end pursuant to these service agreements is reflected as Due to Affiliates in the accompanying financial statements.

The fund may invest its cash reserves in certain open-end management investment companies managed by Price Associates and considered affiliates of the fund: the T. Rowe Price Government Reserve Fund or the T. Rowe Price Treasury Reserve Fund, organized as money market funds, or the T. Rowe Price Short-Term Fund, a short-term bond fund (collectively, the Price Reserve Funds). The Price Reserve Funds are offered as short-term investment options to mutual funds, trusts, and other accounts managed by Price Associates or its affiliates and are not available for direct purchase by members of the public. Cash collateral from securities lending is invested in the T. Rowe Price Short-Term Fund. The Price Reserve Funds pay no investment management fees.

The fund may participate in securities purchase and sale transactions with other funds or accounts advised by Price Associates (cross trades), in accordance with procedures adopted by the fund’s Board and Securities and Exchange Commission rules, which require, among other things, that such purchase and sale cross trades be effected at the independent current market price of the security. During the year ended December 31, 2017, the aggregate value of purchases and sales cross trades with other funds or accounts advised by Price Associates was less than 1% of the fund’s net assets as of December 31, 2017.

Proof #5

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Report of Independent Registered Public Accounting Firm

To the Board of Directors and Shareholders of T. Rowe Price New Era Fund, Inc.

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities, including the portfolio of investments, of T. Rowe Price New Era Fund, Inc. (the “Fund”) as of December 31, 2017, the related statement of operations for the year ended December 31, 2017, the statement of changes in net assets for each of the two years in the period ended December 31, 2017, including the related notes, and the financial highlights for each of the periods indicated therein (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2017, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period ended December 31, 2017 and the financial highlights for each of the periods indicated therein, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Proof #5

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Report of Independent Registered Public Accounting FirmReport of Independent Registered Public Accounting Firm (continued)

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of December 31, 2017 by correspondence with the custodians, transfer agent and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP Baltimore, Maryland February 15, 2018

We have served as the auditor of one or more investment companies in the T. Rowe Price group of investment companies since 1973.

Proof #5

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Tax Information (Unaudited) for the Tax Year Ended 12/31/17

WeareprovidingthisinformationasrequiredbytheInternalRevenueCode.Theamountsshownmaydifferfromthoseelsewhereinthisreportbecauseofdifferencesbetweentaxandfinancialreportingrequirements.

Fortaxablenon-corporateshareholders,$82,266,000ofthefund’sincomerepresentsqualifieddividendincomesubjecttoalong-termcapitalgainstaxrateofnotgreaterthan20%.

Forcorporateshareholders,$59,458,000ofthefund’sincomequalifiesforthedividends-receiveddeduction.

AdescriptionofthepoliciesandproceduresusedbyT.RowePricefundsandportfoliostodeterminehowtovoteproxiesrelatingtoportfoliosecuritiesisavailableineachfund’sStatementofAdditionalInformation.youmayrequestthisdocumentbycalling1-800-225-5132orbyaccessingtheSEC’swebsite,sec.gov.

Thedescriptionofourproxyvotingpoliciesandproceduresisalsoavailableonourcorporatewebsite.Toaccessit,pleasevisitthefollowingWebpage:

https://www3.troweprice.com/usis/corporate/en/utility/policies.html

Scrolldowntothesectionnearthebottomofthepagethatsays,“ProxyvotingPolicies.”ClickontheProxyvotingPolicieslinkintheshadedbox.

Eachfund’smostrecentannualproxyvotingrecordisavailableonourwebsiteandthroughtheSEC’swebsite.ToaccessitthroughT.RowePrice,visitthewebsitelocationshownabove,andscrolldowntothesectionnearthebottomofthepagethatsays,“ProxyvotingRecords.”ClickontheProxyvotingRecordslinkintheshadedbox.

Information on Proxy Voting Policies, Procedures, and Records

ThefundfilesacompletescheduleofportfolioholdingswiththeSecuritiesandExchangeCommissionforthefirstandthirdquartersofeachfiscalyearonFormN-Q.Thefund’sFormN-QisavailableelectronicallyontheSEC’swebsite(sec.gov);hardcopiesmaybereviewedandcopiedattheSEC’sPublicReferenceRoom,100FSt.N.E.,Washington,DC20549.FormoreinformationonthePublicReferenceRoom,call1-800-SEC-0330.

How to Obtain Quarterly Portfolio Holdings

Proof #5

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About the Fund’s Directors and Officers

yourfundisoverseenbyaboardofDirectors(board)thatmeetsregularlytoreviewawidevarietyofmattersaffectingorpotentiallyaffectingthefund,includingperformance,investmentprograms,compliancematters,advisoryfeesandexpenses,serviceproviders,andbusinessandregulatoryaffairs.Theboardelectsthefund’sofficers,whoarelistedinthefinaltable.Atleast75%oftheboard’smembersareindependentofT.RowePriceAssociates,Inc.(T.RowePrice),anditsaffiliates;“inside”or“interested”directorsareemployeesorofficersofT.RowePrice.Thebusinessaddressofeachdirectorandofficeris100EastPrattStreet,baltimore,Maryland21202.TheStatementofAdditionalInformationincludesadditionalinformationaboutthefunddirectorsandisavailablewithoutchargebycallingaT.RowePricerepresentativeat1-800-638-5660.

Independent Directors

Name(Year of Birth)Year Elected*[Number of T. Rowe PricePortfolios Overseen]

Principal Occupation(s) and Directorships of Public Companies and Other Investment Companies During the Past Five Years

bruceW.Duncan(1951)2013[191]

ChiefExecutiveOfficerandDirector(2009toDecember2016),Chairmanoftheboard(January2016topresent),andPresident(2009toSeptember2016),FirstIndustrialRealtyTrust,anownerandoperatorofindustrialproperties;Chairmanoftheboard(2005toSeptember2016)andDirector(1999toSeptember2016),Starwoodhotels&Resorts,ahotelandleisurecompany;Director,bostonProperties(May2016topresent);Director,MarriottInternational,Inc.(September2016topresent)

RobertJ.Gerrard,Jr.(1952)2012[191]

AdvisoryboardMember,PipelineCrisis/WinningStrategies,acollaborativeworkingtoimproveopportunitiesforyoungAfricanAmericans(1997topresent)

PaulF.Mcbride(1956)2013[191]

AdvisoryboardMember,vizziaTechnologies(2015topresent)

*Eachindependentdirectorservesuntilretirement,resignation,orelectionofasuccessor.

Proof #5

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Independent Directors (continued)

Name(Year of Birth)Year Elected*[Number of T. Rowe PricePortfolios Overseen]


CeciliaE.Rouse,Ph.D.(1963)2012[191]

Dean,WoodrowWilsonSchool(2012topresent);ProfessorandResearcher,Princetonuniversity(1992topresent);MemberofNationalAcademyofEducation(2010topresent);Director,MDRC,anonprofiteducationandsocialpolicyresearchorganization(2011topresent);ResearchAssociateofLaborStudiesProgram(2011to2015)andboardMember(2015topresent),NationalbureauofEconomicResearch(2011topresent);ChairofCommitteeontheStatusofMinorityGroupsintheEconomicProfession(2012topresent);vicePresident(2015topresent),AmericanEconomicAssociation

JohnG.Schreiber(1946)2001[191]

Owner/President,CentaurCapitalPartners,Inc.,arealestateinvestmentcompany(1991topresent);Cofounder,Partner,andCochairmanoftheInvestmentCommittee,blackstoneRealEstateAdvisors,L.P.(1992to2015);Director,GeneralGrowthProperties,Inc.(2010to2013);Director,blackstoneMortgageTrust,arealestatefinancecompany(2012to2016);DirectorandChairmanoftheboard,brixmorPropertyGroup,Inc.(2013topresent);Director,hiltonWorldwide(2013topresent);Director,hudsonPacificProperties(2014to2016)

MarkR.Tercek(1957)2009[191]

PresidentandChiefExecutiveOfficer,TheNatureConservancy(2008topresent)

*Eachindependentdirectorservesuntilretirement,resignation,orelectionofasuccessor.


Proof #5

45

Inside Directors

Name(Year of Birth)Year Elected*[Number of T. Rowe Price Portfolios Overseen]


EdwardC.bernard(1956)2006[191]

DirectorandvicePresident,T.RowePrice;viceChairmanoftheboard,Director,andvicePresident,T.RowePriceGroup,Inc.;Chairmanoftheboard,Director,andvicePresident,T.RowePriceInvestmentServices,Inc.,andT.RowePriceServices,Inc.;ChairmanoftheboardandDirector,T.RowePriceRetirementPlanServices,Inc.;Chairmanoftheboard,ChiefExecutiveOfficer,Director,andPresident,T.RowePriceInternationalandT.RowePriceTrustCompany;Chairmanoftheboard,allfunds

RobertW.Sharps,CFA,CPA**(1971)2017[135]

vicePresident,T.RowePrice,T.RowePriceGroup,Inc.,andT.RowePriceTrustCompany

*Eachinsidedirectorservesuntilretirement,resignation,orelectionofasuccessor.**EffectiveApril1,2017,brianC.RogerswasreplacedbyRobertW.Sharpsasaninsidedirector

ofcertainPriceFunds.

Officers

Name (Year of Birth)Position Held With New Era Fund Principal Occupation(s)

Syedh.Ali(1970)vicePresident

vicePresident,PriceSingaporeandT.RowePriceGroup,Inc.

DarrellN.braman(1963)vicePresidentandSecretary

vicePresident,Pricehongkong,PriceSingapore,T.RowePrice,T.RowePriceGroup,Inc.,T.RowePriceInternational,T.RowePriceInvestmentServices,Inc.,andT.RowePriceServices,Inc.

RyanN.burgess,CFA(1974)vicePresident

vicePresident,T.RowePriceandT.RowePriceGroup,Inc.

RicharddelosReyes(1975)vicePresident


unlessotherwisenoted,officershavebeenemployeesofT.RowePriceorT.RowePriceInternationalforatleast5years.


Proof #5

46

Officers (continued)


ShawnT.Driscoll(1975)President


DonaldJ.Easley,CFA(1971)vicePresident


MarkS.Finn,CFA,CPA(1963)vicePresident


JohnR.Gilner(1961)ChiefComplianceOfficer

ChiefComplianceOfficerandvicePresident,T.RowePrice;vicePresident,T.RowePriceGroup,Inc.,andT.RowePriceInvestmentServices,Inc.

RyanS.hedrick,CFA(1980)vicePresident

vicePresident,T.RowePriceandT.RowePriceGroup,Inc.;formerly,Analyst,DavidsonkempnerCapitalManagement(to2013)

Jonhussey,CFA(1982)vicePresident

vicePresident,T.RowePrice;formerly,student,universityofChicagoboothSchoolofbusiness(to2016);formerly,Analyst,DriehausCapitalManagement(to2014)

Shinwookim(1977)vicePresident


PaulJ.krug,CPA(1964)vicePresident


P.MattMahon(1985)vicePresident

vicePresident,T.RowePrice;formerly,student,TheWhartonSchool,universityofPennsylvania(to2016);formerly,Analyst,WaterStreetCapital(to2014)

RyanMartyn(1979)vicePresident

vicePresident,T.RowePriceGroup,Inc.,andT.RowePriceInternational

CatherineD.Mathews(1963)TreasurerandvicePresident


heatherk.McPherson,CPA(1967)vicePresident




Proof #5

47

Officers (continued)


DavidOestreicher(1967)vicePresident

Director,vicePresident,andSecretary,T.RowePriceInvestmentServices,Inc.,T.RowePriceRetirementPlanServices,Inc.,T.RowePriceServices,Inc.,andT.RowePriceTrustCompany;ChiefLegalOfficer,vicePresident,andSecretary,T.RowePriceGroup,Inc.;vicePresidentandSecretary,T.RowePriceandT.RowePriceInternational;vicePresident,PricehongkongandPriceSingapore

ChristianM.O’Neill(1969)vicePresident

vicePresident,T.RowePriceandT.RowePriceGroup,Inc.;formerly,Analyst,LordAbbett&Company,LLC(to2013)

vivekRajeswaran(1985)vicePresident


JohnW.Ratzesberger(1975)vicePresident

vicePresident,T.RowePrice,T.RowePriceGroup,Inc.,andT.RowePriceTrustCompany;formerly,NorthAmericanheadofListedDerivativesOperation,MorganStanley(to2013)

Shannonh.Rauser(1987)AssistantSecretary

Employee,T.RowePrice

ThomasA.Shelmerdine(1977)vicePresident

vicePresident,T.RowePriceGroup,Inc.,andT.RowePriceInternational

CraigA.Thiese(1975)vicePresident


DavidJ.Wallack(1960)vicePresident


MeganWarren(1968)vicePresident

vicePresident,T.RowePrice,T.RowePriceGroup,Inc.,T.RowePriceRetirementPlanServices,Inc.,T.RowePriceServices,Inc.,andT.RowePriceTrustCompany;formerly,ExecutiveDirector,JPMorganChase(to2017)



Proof #5

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Proof #5

F41-050 2/18

STOCK FUNDSDomestic Blue Chip GrowthCapital Appreciation‡

Capital OpportunityDiversified Mid-Cap GrowthDividend GrowthEquity IncomeEquity Index 500Extended Equity Market IndexFinancial ServicesGrowth & IncomeGrowth StockHealth Sciences‡

Media & TelecommunicationsMid-Cap Growth‡

Mid-Cap Value‡

New America GrowthNew EraNew Horizons‡

QM U.S. Small & Mid-Cap Core EquityQM U.S. Small-Cap Growth EquityQM U.S. Value EquityReal EstateScience & TechnologySmall-Cap Stock‡

Small-Cap ValueTax-Efficient Equity Total Equity Market IndexU.S. Large-Cap CoreValue

ASSET ALLOCATION FUNDSBalanced Global AllocationPersonal Strategy BalancedPersonal Strategy GrowthPersonal Strategy IncomeReal AssetsSpectrum GrowthSpectrum IncomeSpectrum InternationalTarget Date Fundsˆ

BOND FUNDSDomestic TaxableCorporate IncomeCredit OpportunitiesFloating RateGNMA High Yield‡

Inflation Protected BondLimited Duration Inflation

Focused BondNew IncomeShort-Term BondTotal ReturnUltra Short-Term BondU.S. Bond Enhanced IndexU.S. High YieldU.S. Treasury IntermediateU.S. Treasury Long-Term

Domestic Tax-FreeCalifornia Tax-Free BondGeorgia Tax-Free BondIntermediate Tax-Free High YieldMaryland Short-Term Tax-Free BondMaryland Tax-Free BondNew Jersey Tax-Free BondNew York Tax-Free BondSummit Municipal IncomeSummit Municipal IntermediateTax-Free High YieldTax-Free IncomeTax-Free Short-IntermediateVirginia Tax-Free Bond

MONEY MARKET FUNDSTaxableCash Reserves1

Government Money2

U.S. Treasury Money2

MONEY MARKET FUNDS (cont.)Tax-FreeCalifornia Tax-Free Money1

Maryland Tax-Free Money1

New York Tax-Free Money1

Summit Municipal Money Market1

Tax-Exempt Money1

INTERNATIONAL/GLOBAL FUNDSStockAfrica & Middle EastAsia OpportunitiesEmerging EuropeEmerging Markets StockEmerging Markets Value StockEuropean Stock Global ConsumerGlobal Growth StockGlobal IndustrialsGlobal Real EstateGlobal StockGlobal Technology‡

International Concentrated EquityInternational DiscoveryInternational Equity IndexInternational StockInternational Value EquityJapanLatin AmericaNew AsiaOverseas StockQM Global Equity

BondDynamic Global BondEmerging Markets BondEmerging Markets Corporate BondEmerging Markets Local Currency BondGlobal High Income BondGlobal Multi-Sector BondInternational BondInternational Bond (USD Hedged)

T.RowePriceInvestmentServices,Inc.100EastPrattStreetbaltimore,MD21202

Thispagecontainssupplementaryinformationthatisnotpartoftheshareholderreport.

T. Rowe Price Mutual Funds

201802-366017

Call 1-800-225-5132 to request a prospectus or summary prospectus; each includes investment objectives, risks, fees, expenses, and other information that you should read and consider carefully before investing. ‡Subjecttocertainexceptions,thefundiscurrentlyclosedtonewinvestorsandnewaccounts.

ˆTheTargetDateFundsareinclusiveoftheRetirementFunds,theTargetFunds,andtheRetirementbalancedFund.

1 Retail Funds: You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. Beginning October 14, 2016, the Fund may impose a fee upon the sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

2 Government Funds: You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.

december 31, 2016 t. rowe price prnex new era fund...

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