UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number: 811-6342
Exact name of registrant as specified
in charter: Aberdeen Global Income Fund, Inc.
Address of principal executive offices: 800 Scudders Mill Road,
Plainsboro, New Jersey 08536
Name and address of agent for service: Mr Beverly Hendry,
300 S.E. 2nd Street, Suite #820,
Fort Lauderdale,
Florida 33301
Registrant's telephone number, including area code: 609-282-4600
Date of fiscal year end: 10/31/03
Date of reporting period: 04/30/03
Item 1 - Reports to Stockholders -
[LOGO]
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Aberdeen
Global Income
Fund, Inc.
[GRAPHIC]
Invests primarily in global fixed-income securities
Semi-Annual Report
April 30, 2003
Letter to Shareholders
June 13, 2003
Dear Shareholder,
We present this Semi-Annual Report which covers the activities of Aberdeen
Global Income Fund, Inc. (the "Fund") for the six months ended April 30, 2003.
The Fund's principal investment objective is to provide high current income by
investing primarily in fixed-income securities denominated in Commonwealth
Currencies, that is, the currencies of Australia, Canada, New Zealand and the
United Kingdom. As a secondary investment objective, the Fund seeks capital
appreciation, but only when consistent with its principal investment objective.
High Credit Quality: 78.9% of Securities Rated or Deemed Equivalent to AA/Aa or
Better
The Fund's high credit quality has been maintained. Over 78.9% of assets are
rated AA/Aa or better, or are considered of equivalent quality by the Investment
Manager. An additional 12.4% is held in A rated securities.
Distributions
Cash distributions to common shareholders for the 12 months ended April 30, 2003
totaled 72 cents per share. Based on the share price of $10.79 on April 30,
2003, the cash distribution rate over the 12 months then ended was 6.7%. Since
all distributions are paid after deducting applicable withholding taxes, the
effective distribution rate may be higher for those U.S. investors who are able
to claim a tax credit.
On June 12, 2003 the Board of Directors declared a monthly distribution of 6
cents per share payable on July 11, 2003 to all shareholders of record as of
June 30, 2003.
The Board's policy is to provide investors with a stable monthly distribution
out of current income, supplemented by realized capital gains and, to the extent
necessary, paid-in capital. It is the Board's intention that the monthly
distribution of 6 cents per share be maintained for 12 months, beginning with
the July 2003 distribution payment. This policy is subject to regular review at
the Board's quarterly meetings, unless market conditions require an earlier
evaluation. The next review is scheduled to take place in September 2003.
Net Asset Value Performance: 7.4% Per Annum Return Since Inception
The Fund's total return based on Net Asset Value ("NAV") was 14.2% over the six
months ended April 30, 2003 and 7.4% per annum since inception, assuming the
reinvestment of distributions.
Aberdeen Global Income Fund, Inc. 1
Letter to Shareholders (continued)
Share Price Performance
The Fund's share price rose 15.4% over the six months, from $9.35 on October 31,
2002 to $10.79 on April 30, 2003. The Fund's share price on April 30, 2003
represented a discount of 6.6% to the NAV per share of $11.55 on that date. This
represents a narrowing of the discount to NAV of 10.6% on October 31, 2002.
Global Debt Securities: 12.1% of Total Assets Invested in Global Debt Securities
The Fund may invest up to 35% of its total assets in Global Debt Securities. The
term "Global Debt Securities" includes securities of issuers located in, or
securities denominated in the currency of, countries other than Australia,
Canada, New Zealand or the United Kingdom. As of April 30, 2003, 12.1% of the
Fund's total assets were held in Global Debt Securities. This included 6.9% in
Asian debt securities. At April 30, 2003, 1.0% of the Fund's total assets were
invested in Eastern Europe, 3.4% in Latin America and 0.8% in Western Europe.
Results of Annual Meeting of Shareholders
At the Annual Meeting of Shareholders held on Tuesday April 15, 2003 (the
"Annual Meeting") Messrs. William J. Potter and Peter D. Sacks were elected by
the holders of the Fund's common stock as Class II Directors to serve for a
three-year term expiring at the 2006 Annual Meeting of Shareholders. Mr. John T.
Sheehy and Dr. Anton E. Schrafl were elected by the holders of the Fund's
preferred stock for a one-year term expiring at the 2004 Annual Meeting of
Shareholders. Shareholders also approved the amendment and restatement of the
Fund's charter. The amendments have the effect of changing certain of the terms
of the Fund's series of Auction Market Preferred Stock.
2 Aberdeen Global Income Fund, Inc.
Letter to Shareholders (concluded)
In an effort to provide more timely information to shareholders, the market
review and outlook will now be published separately. For information about the
Fund, including a market review and outlook, weekly updates of share price, NAV,
and details of recent distributions, contact Aberdeen Asset Management, Investor
Relations, by:
o calling toll free on 1-800-522-5465 or 1-212-968-8800 in the United
States,
o emailing to InvestorRelations@aberdeen-asset.com, or
o visiting the website at www.aberdeen-asset.us
For information about the Aberdeen group, visit the Aberdeen website at
www.aberdeen-asset.com
Yours sincerely,
/s/ Martin J. Gilbert
Martin J. Gilbert
Chairman
All amounts are U.S. dollars unless otherwise stated.
Aberdeen Global Income Fund, Inc. 3
--------------------------------------------------------------------------------
Your Board's policy is to provide investors with a stable monthly distribution
out of current income, supplemented by realized capital gains and, to the extent
necessary, paid-in capital.
The Fund is subject to U.S. corporate, tax and securities laws. Under U.S. tax
accounting rules, the amount of distributable income for each fiscal period
depends on the actual exchange rates during the entire year between the U.S.
dollar and the currencies in which Fund assets are denominated and on the
aggregate gains and losses realized by the Fund during the entire year.
Therefore, the exact amount of distributable income for each fiscal year can
only be determined as at the end of the Fund's fiscal year, October 31. However,
under the U.S. Investment Company Act of 1940, the Fund is required to indicate
the source of each distribution to shareholders.
The Fund estimates that distributions for the entire fiscal year commencing
November 1, 2002, including the distribution paid on June 13, 2003, are
comprised of 69% net investment income and 31% return of paid-in capital.
This estimated distribution composition may vary from month to month because it
may be materially impacted by future realized gains and losses on securities and
fluctuations in the value of the currencies in which Fund assets are
denominated.
The amount attributed as return of capital reflects, in part, the realization of
currency losses in the Fund's Australian bond portfolio as a result of
positioning the Fund's investments more towards global debt securities. Fund
assets are marked to market, therefore the realization of such currency losses
does not impact the Fund's net asset value. However, these losses do offset
distributable income, therefore increasing the return of capital component of
the distribution.
In January 2004, a Form 1099 DIV will be sent to shareholders, which will state
the amount and composition of distributions and provide information with respect
to their appropriate tax treatment.
--------------------------------------------------------------------------------
4 Aberdeen Global Income Fund, Inc.
Dividend Reinvestment and Cash Purchase Plan
We invite you to participate in the Fund's Dividend Reinvestment and Cash
Purchase Plan ("the Plan") which allows you to automatically reinvest your
distributions in shares of the Fund's common stock at favorable commission
rates. Distributions made under the Plan are taxable to the same extent as are
cash distributions. The Plan also enables you to make additional cash
investments in shares of at least $100 per month. Under this arrangement
EquiServe Trust Company N.A. (the "Plan Agent") will purchase shares for you on
the stock exchange or otherwise on the open market on or about the 15th of each
month, unless shares of the Fund are trading at a premium, in which case the
Fund will issue additional shares. As a participant in the Plan you will have
the convenience of:
Automatic reinvestment -- the Plan Agent will automatically reinvest your
distributions, allowing you to gradually grow your holdings in the Fund;
Lower costs -- shares purchased on your behalf under the Plan will be at reduced
brokerage rates. Brokerage on share purchases is currently 2 cents per share;
Convenience -- the Plan Agent will hold your shares in non-certificated form and
will provide a detailed record of your holdings at the end of each distribution
period.
To request a brochure containing information on the Plan, together with an
authorization form, please contact the Plan Agent, EquiServe Trust Company N.A.,
P.O. Box 43011, Providence, RI 02490-3011 or call toll free on 1-800-426-5523.
Aberdeen Global Income Fund, Inc. 5
Report of the Investment Manager
Share Price Performance
On April 30, 2003, the Fund's share price was $10.79, which represented a
discount of 6.6% to the NAV of $11.55. At the date of this report, the share
price was $11.93 representing a discount of 6.0% to the NAV of $12.69.
[LINE CHART]
A line graph depicting the Net Asset Value vs Share Price. The values are from
February 1992 through April 2003
Apr-92 Oct-92 Apr-93 Oct-93 Apr-94 Oct-94 Apr-95 Oct-95 Apr-96
Aberdeen Global
Income Fund NAV $13.99 $13.00 $13.55 $13.42 $12.45 $12.08 $12.36 $13.13 $13.01
Oct-96 Apr-97 Oct-97 Apr-98 Oct-98 Apr-99 Oct-99 Apr-00 Oct-00
Aberdeen Global
Income Fund NAV $14.32 $13.72 $13.94 $13.40 $13.07 $13.30 $12.14 $11.36 $10.20
Apr-01 Oct-01 Apr-02 Oct-02 Apr-03
Aberdeen Global
Income Fund NAV $9.86 $9.99 $9.68 $10.46 $11.55
Apr-92 Oct-92 Apr-93 Oct-93 Apr-94 Oct-94 Apr-95 Oct-95 Apr-96
Aberdeen Global
Income Fund
Share Price $14.75 $13.50 $13.25 $12.63 $11.38 $10.38 $10.38 $11.38 $11.00
Oct-96 Apr-97 Oct-97 Apr-98 Oct-98 Apr-99 Oct-99 Apr-00 Oct-00
Aberdeen Global
Income Fund
Share Price $11.88 $11.63 $12.44 $11.19 $10.81 $10.56 $10.38 $9.19 $8.88
Apr-01 Oct-01 Apr-02 Oct-02 Apr-03
Aberdeen Global
Income Fund
Share Price $8.84 $9.00 $8.88 $9.35 $10.79
Auction Market Preferred Stock (AMPS)
The Fund's $30 million of AMPS continued to be well bid at the weekly auctions.
The average interest rate paid was 1.58% over the six months ended April 30,
2003, compared with 1.26% for 30-day U.S. commercial paper over the same period.
The rates declined over the period as U.S. yields, particularly at the short end
of the curve, continued to rally. The rates paid to preferred shareholders have
decreased further since April 30, 2003 to a level of 1.35% as of the date of
this report.
6 Aberdeen Global Income Fund, Inc.
Report of the Investment Manager (concluded)
Over the past year, the impact of AMPS on the Fund has been positive, as the key
currencies of the Fund -- the Australian dollar, British pound, New Zealand
dollar and Canadian dollar -- were all stronger against the U.S. dollar, with
key Asian currencies following a similar trend. The differential between AMPS
funding rates and the yields at which the Fund invests has remained positive, as
U.S. interest rates have remained at historic lows, while bond movements
detracted slightly as ongoing geopolitical risks provided a volatile environment
for global bond yields.
On September 16, 2002, the Fund entered into a two-year interest rate swap
agreement in order to hedge one-third of the Fund's outstanding issue of AMPS.
Under the original terms of the agreement, the Fund received a floating rate of
interest (one month USD-LIBOR BBA rate) based on a notional amount of
US$10,000,000 and paid interest at a fixed rate of 2.46%. The fixed rate
interest payment was re-priced to 2.10% on October 1, 2002, to 1.7175% on
December 24, 2002 and then to 1.37% on February 18, 2003.
The Board of Directors has resolved to amend the Fund's policies with respect to
derivatives to increase the percentage of the Fund's AMPS liabilities which may
be hedged pursuant to interest rate swaps from one-third to up to 100% of the
AMPS liabilities. A significant type of risk associated with interest rate swaps
is the risk that the counterparty may default or file for bankruptcy, in which
case the Fund would bear the risk of loss of the amount expected to be received
under the swap agreement. There can be no assurance that the Fund will have an
interest rate swap in place at any given time nor can there be any assurance
that, if an interest rate swap is in place, it will be successful in hedging the
Fund's interest rate risk with respect to the AMPS. The implementation of this
strategy is at the discretion of the AMPS Pricing Committee of the Board of
Directors.
Aberdeen Global Income Fund, Inc. 7
Portfolio Composition
Geographic Composition
The table below shows the geographic composition of the Fund's total investments
as of April 30, 2003, compared with the previous six months and twelve months:
TABLE 1: ABERDEEN GLOBAL INCOME FUND, INC.--
GEOGRAPHIC ASSET ALLOCATION
================================================================================
April 30, 2003 October 31, 2002 April 30, 2002
% % %
--------------------------------------------------------------------------------
Australia 22.7 21.7 23.3
Canada 17.3 17.4 21.5
New Zealand 13.3 12.1 10.4
United Kingdom 32.3 33.1 30.4
United States* 2.3 3.9 7.4
Asia 6.9 7.7 7.0
Eastern Europe 1.0 1.5 --
Latin America 3.4 0.9 --
Western Europe 0.8 1.7 --
--------------------------------------------------------------------------------
Total Portfolio 100.0 100.0 100.0
================================================================================
* It is a policy of the Investment Manager to maintain a portion of the
Fund's investments in U.S. short-term securities to cover distributions
and expenses.
[BAR CHART]
8 Aberdeen Global Income Fund, Inc.
Portfolio Composition (continued)
Currency Composition
The table below shows the currency composition of the Fund's total investments
as of April 30, 2003, compared with the previous six months and twelve months:
TABLE 2: ABERDEEN GLOBAL INCOME FUND, INC.--
CURRENCY ALLOCATION
================================================================================
April 30, 2003 October 31, 2002 April 30, 2002
% % %
--------------------------------------------------------------------------------
Australian Dollar 22.6 21.6 23.2
Canadian Dollar 17.2 17.1 21.2
New Zealand Dollar 14.5 13.4 11.7
British Pound 31.2 32.1 29.5
United States Dollar* 10.6 9.5 8.1
Asian Currencies 3.9 6.3 6.3
Eastern European Currencies -- -- --
Latin American Currencies -- -- --
Western European Currencies -- -- --
--------------------------------------------------------------------------------
Total Portfolio 100.0 100.0 100.0
================================================================================
* Includes Yankee bond investments.
Maturity Composition
As at April 30, 2003, the average maturity of the Fund's assets was 8.5 years,
compared with 8.7 years on October 31, 2002. The table below shows the maturity
composition of the Fund's investments as of April 30, 2003:
TABLE 3: ABERDEEN GLOBAL INCOME FUND, INC.--
MATURITY ANALYSIS
================================================================================
Less than 1 year 1 to 5 years 5 to 10 years Over 10 years
% % % %
--------------------------------------------------------------------------------
Australia 12.8 37.2 36.3 13.7
Canada 14.5 26.6 10.5 48.4
New Zealand 3.9 79.9 16.2 --
United Kingdom 18.6 14.0 19.4 48.0
United States 100.0 -- -- --
Asia 45.0 28.7 25.1 1.2
Eastern Europe -- -- -- 100.0
Latin America -- -- 21.2 78.8
Western Europe -- 100.0 -- --
--------------------------------------------------------------------------------
Total Portfolio 16.6 31.3 21.0 31.1
================================================================================
Aberdeen Global Income Fund, Inc. 9
Portfolio Composition (continued)
Sectoral Composition
The table below shows the sectoral composition of the Fund's total investments
as of April 30, 2003:
TABLE 4: ABERDEEN GLOBAL INCOME FUND, INC.--
SECTORAL COMPOSITION
================================================================================
Sovereign Provincial/ Utilities/
Gov't. State Supranational Corporate Cash or
Bonds Bonds Bonds Bonds Equivalent
% % % % %
--------------------------------------------------------------------------------
Australia 8.5 10.6 1.0 2.4 0.2
Canada 8.9 5.4 -- 0.5 2.5
New Zealand 2.1 -- -- 10.6 0.6
United Kingdom 21.9 -- 2.1 3.9 4.4
United States -- -- -- -- 2.3
Asia 3.5 0.1 0.1 1.2 2.0
Eastern Europe 1.0 -- -- -- --
Latin America 3.4 -- -- -- --
Western Europe -- -- -- 0.8 --
--------------------------------------------------------------------------------
Total Portfolio 49.3 16.1 3.2 19.4 12.0
================================================================================
[BAR CHART]
10 Aberdeen Global Income Fund, Inc.
Portfolio Composition (concluded)
Quality of Investments
As of April 30, 2003, 78.9% of the Fund's assets were invested in securities
where either the issue or the issuer was rated at least "AA" by Standard &
Poor's Corporation or "Aa" by Moody's Investors Service, Inc. or, if unrated,
were judged to be of equivalent quality by the Investment Manager. The table
below shows the asset quality of the Fund's portfolio as of April 30, 2003:
TABLE 5: ABERDEEN GLOBAL INCOME FUND, INC.--
ASSET QUALITY
================================================================================
AAA/Aaa AA/Aa A BBB/Baa BB/Ba* B*
% % % % % %
--------------------------------------------------------------------------------
Australia 92.4 7.2 0.4 -- -- --
Canada 63.1 20.5 16.4 -- -- --
New Zealand 64.4 1.6 23.0 11 -- --
United Kingdom 75.3 13.5 11.2 -- -- --
United States 100.0 -- -- -- -- --
Asia 28.6 -- 40.7 16.9 13.8 --
Eastern Europe -- -- -- -- 100.0 --
Latin America -- -- -- 46.1 25.0 28.9
Western Europe -- -- -- -- -- 100.0
--------------------------------------------------------------------------------
Total Portfolio 69.1 9.8 12.4 4.1 2.8 1.8
================================================================================
* Below investment grade.
Aberdeen Global Income Fund, Inc. 11
Summary of Key Rates
The following table summarizes the movements of key interest rates and
currencies over the last six and twelve month periods.
================================================================================
April 30, 2003 October 31, 2002 April 30, 2002
--------------------------------------------------------------------------------
Australia
90 day bank bills 4.81% 4.88% 4.63%
10 year bonds 5.28% 5.57% 6.08%
Australian Dollar $ 0.63 $ 0.56 $ 0.54
Canada
90 day bank bills 3.25% 2.72% 2.40%
10 year bonds 4.91% 5.04% 5.62%
Canadian Dollar $ 0.70 $ 0.64 $ 0.64
New Zealand
90 day bank bills 5.52% 5.91% 5.73%
10 year bonds 5.90% 6.32% 6.72%
New Zealand Dollar $ 0.56 $ 0.49 $ 0.45
United Kingdom
90 day bank bills 3.53% 3.80% 4.05%
10 year bonds 4.35% 4.56% 5.19%
British Pound $ 1.60 $ 1.56 $ 1.46
South Korea
90 day T-bills 4.36% 4.78% 4.53%
10 year bonds 4.92% 5.99% 7.23%
South Korean Won* (W)1215.00 (W)1218.50 (W)1294.05
Thailand
90 day deposits 1.50% 1.75% 2.00%
10 year bonds 3.42% 3.79% 5.62%
Thai Baht* (B)42.87 (B)43.28 (B)43.26
Philippines
90 day T-Bills 7.66% 5.80% 4.72%
10 year bonds 12.55% 12.65% 13.38%
Philippines Peso* (P)52.48 (P)53.13 (P)50.63
Malaysia
90 day T-Bills 2.79% 2.71% 2.73%
10 year bonds 3.68% 3.79% 4.70%
Malaysian Ringgit* (R)3.80 (R)3.80 (R)3.80
Singapore
90 day T-Bills 0.55% 0.95% 0.78%
10 year bonds 2.10% 3.04% 3.91%
Singapore Dollar* (S)$1.78 (S)$1.77 (S)$1.81
US$ Yankee Bonds**
South Korea 3.86% 4.10% 5.52%
Malaysia 4.13% 4.97% 6.18%
Philippines 7.06% 7.71% 7.79%
================================================================================
* These currencies are quoted Asian currency per U.S. dollar. The
Australian, Canadian and New Zealand dollars and the British pound are
quoted U.S. dollars per currency.
** Sovereign issues.
Aberdeen Asset Managers (C.I.) Limited
June 2003
12 Aberdeen Global Income Fund, Inc.
Portfolio of Investments
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
LONG-TERM INVESTMENTS--109.1%
AUSTRALIA--27.6%
Government Bonds--9.2%
A$
Commonwealth of Australia,
2,000 9.50%, 8/15/03 ........................................ Aaa AAA 1,267,309
2,000 6.75%, 11/15/06 ....................................... Aaa AAA 1,331,151
1,750 10.00%, 10/15/07 ...................................... NR AAA 1,316,701
2,000 8.75%, 8/15/08 ........................................ Aaa AAA 1,468,071
2,500 7.50%, 9/15/09 ........................................ Aaa AAA 1,766,216
1,000 5.75%, 6/15/11 ........................................ Aaa AAA 647,200
1,000 6.50%, 5/15/13 ........................................ Aaa AAA 683,071
Federal National Mortgage Association, Series EMTN,
2,000 6.375%, 8/15/07 ....................................... Aaa NR 1,311,975
-----------
Total Australian government bonds
(cost US$9,125,395) ................................... 9,791,694
-----------
Semi-Government Bonds--13.1%
New South Wales--3.6%
New South Wales Treasury Corporation,
1,500 7.00%, 4/01/04 ........................................ NR AAA 957,735
4,200 7.00%, 12/01/10 ....................................... Aaa AAA 2,903,178
-----------
3,860,913
-----------
Queensland--3.8%
Queensland Treasury Corporation,
2,000 8.00%, 5/14/03 (Global) ............................... NR NR 1,252,476
1,000 8.00%, 9/14/07 (Global) ............................... Aaa AAA 697,413
2,000 6.00%, 6/14/11 ........................................ Aaa AAA 1,309,310
1,250 6.00%, 6/14/21 ........................................ NR AAA 817,555
-----------
4,076,754
-----------
Victoria--2.0%
State Electricity Commission of Victoria,
535 10.50%, 5/27/03 ....................................... Aaa NR 335,768
Treasury Corporation of Victoria,
1,000 9.00%, 6/27/05 ........................................ Aaa AAA 678,527
1,500 10.25%, 11/15/06 ...................................... NR AAA 1,100,249
-----------
2,114,544
-----------
Aberdeen Global Income Fund, Inc. 13
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
AUSTRALIA (concluded)
Semi-Government Bonds (concluded)
Western Australia--3.7%
A$
Western Australia Treasury Corporation,
2,000 8.00%, 10/15/07 ....................................... Aaa AAA 1,397,140
3,500 8.00%, 6/15/13 ........................................ Aaa AAA 2,611,481
-----------
4,008,621
-----------
Total Australian semi-government bonds
(cost US$12,531,278) .................................. 14,060,832
-----------
Supranational--2.4%
Eurofima,
3,500 9.875%, 1/17/07 ....................................... Aaa AAA 2,543,278
-----------
Total Australian dollar supranational bonds
(cost US$2,068,591) ................................... 2,543,278
-----------
Corporate Non-Banks--2.9%
Brisbane Airport Corporation, Ltd.,
4,000 7.30%, 6/30/10 ........................................ Aaa AAA 2,701,508
GE Capital Australia,
600 6.75%, 9/15/07 ........................................ Aaa AAA 394,992
-----------
Total Australian corporate non-bank bonds
(cost US$2,494,847) ................................... 3,096,500
-----------
Total Australian long-term investments
(cost US$26,220,111) .................................. 29,492,304
-----------
CANADA--16.8%
Government Bonds--10.5%
C$
Canadian Government,
2,500 7.25%, 6/01/07 ........................................ NR AAA 1,942,109
3,000 10.25%, 3/15/14 ....................................... Aaa AAA 2,997,135
4,000 8.00%, 6/01/23 ........................................ Aaa AAA 3,663,628
2,000 9.00%, 6/01/25 ........................................ NR AAA 2,025,192
Canada (Cayman),
750 7.25%, 6/01/08 ........................................ Aaa NR 580,764
-----------
Total Canadian government bonds
(cost US$10,642,326) .................................. 11,208,828
-----------
14 Aberdeen Global Income Fund, Inc.
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
Semi-Government Bonds--5.6%
British Columbia--1.7%
C$
Province of British Columbia,
2,000 9.50%, 1/09/12 ........................................ Aa2 AA- 1,822,208
Ontario--0.4%
Ontario Hydro,
500 8.50%, 5/26/25 ........................................ Aa2 AA 463,610
Quebec--3.5%
Quebec Hydro,
1,500 7.00%, 6/01/04 ........................................ A1 A+ 1,082,698
1,000 3.77%, 1/28/05 (b) .................................... A1 A+ 697,198
2,000 9.625%, 7/15/22 ....................................... A1 A+ 2,015,248
-----------
3,795,144
-----------
Total Canadian semi-government bonds
(cost US$5,583,223) ................................... 6,080,962
-----------
Banking and Finance--0.7%
Credit Local de France,
1,000 6.75%, 3/21/06 ........................................ Aa2 AA 741,271
-----------
Total Canadian banking and finance bonds
(cost US$714,352) ..................................... 741,271
-----------
Total Canadian long-term investments
(cost US$16,939,901) .................................. 18,031,061
-----------
MALAYSIA--0.3%
Government Bonds--0.1%
MYR
Malaysian Government,
450 3.833%, 9/28/11 ....................................... A3 A+ 121,879
-----------
Total Malaysian government bonds
(cost US$117,724) ..................................... 121,879
-----------
Semi-Government Bonds--0.2%
Danamodal Nasional Berhad,
550 0.00%, 10/21/03 ....................................... NR NR 142,788
-----------
Total Malaysian semi-government bonds
(cost US$141,390) ..................................... 142,788
-----------
Total Malaysian long-term investments
(cost US$259,114) ..................................... 264,667
-----------
Aberdeen Global Income Fund, Inc. 15
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
NEW ZEALAND--18.8%
Government Bonds--3.3%
NZ$
Canadian Government,
1,000 6.625%, 10/03/07 ...................................... Aaa AAA 580,859
New Zealand Government,
5,000 6.50%, 4/15/13 ........................................ Aaa AAA 2,918,465
-----------
Total New Zealand government bonds
(cost US$3,002,465) ................................... 3,499,324
-----------
Semi-Government Bonds--1.0%
Province of Ontario,
2,000 5.75%, 3/03/08 ........................................ Aa2 AA 1,116,025
-----------
Total New Zealand semi-government bonds
(cost US$1,108,996) ................................... 1,116,025
-----------
Banking and Finance--12.4%
Bayerische Hypo- und Vereinsbank AG,
2,000 7.00%, 9/14/05 ........................................ A3 A- 1,125,613
Commerzbank AG,
3,500 8.00%, 2/07/05 ........................................ A2 A- 2,031,692
Dexia Municipal Agency
3,000 7.00%, 11/26/07 ....................................... Aaa AAA 1,754,895
GMAC INTL Finance BV,
3,500 8.00%, 3/14/07 ........................................ A2 BBB 1,964,382
Landesbank Baden-Wuerttemberg,
4,200 5.25%, 1/06/05 ........................................ Aaa AAA 2,339,547
Landesbank Hessen-Thueringen Girozentrale,
4,000 7.00%, 12/17/07 ....................................... Aaa AAA 2,340,791
Transpower Finance Ltd.,
500 8.00%, 6/15/05 ........................................ Aa2 AA 289,695
WestPac Trust Securities
2,500 6.00%, 4/28/04 ........................................ Aa3 AA- 1,405,111
-----------
Total New Zealand banking and finance bonds
(cost US$10,869,841) .................................. 13,251,726
-----------
Corporate Non-Banks--0.8%
Housing New Zealand,
1,500 8.00%, 11/15/06 ....................................... Aa2 AA- 899,623
-----------
Total New Zealand corporate non-bank bonds
(cost US$756,741) ..................................... 899,623
-----------
16 Aberdeen Global Income Fund, Inc.
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
NEW ZEALAND (concluded)
Supranational--1.3%
NZ$
European Investment Bank,
2,300 7.00%, 12/17/07 ....................................... Aaa AAA 1,345,955
-----------
Total New Zealand supranational bonds
(cost US$1,139,466) ................................... 1,345,955
-----------
Total New Zealand long-term investments
(cost US$16,877,509) .................................. 20,112,653
-----------
PHILIPPINES--0.3%
Government Bonds--0.3%
PHP
Philippine Government,
7,000 16.50%, 2/25/09 ....................................... Baa3 BBB 158,960
10,000 13.00%, 4/25/12 ....................................... Baa3 NR 197,673
-----------
Total Philippine long-term investments
(cost US$407,973) ..................................... 356,633
-----------
SINGAPORE--0.2%
Utilities--0.2%
SG$
Singapore Power,
250 4.60%, 9/21/07 ........................................ NR AAA 158,156
-----------
Total Singapore long-term investments
(cost US$143,652) ..................................... 158,156
-----------
SOUTH KOREA--3.2%
Government Bonds--3.2%
US$
EMBARC Ltd. Linked Note Series 1-9,
2,000 6.071%, 8/18/03 (b)(c) ................................ NR NR 1,662,720
EMBARC Ltd. Linked Note Series 1-14,
2,100 4.452%, 10/11/07 (b)(d) ............................... NR NR 1,795,290
-----------
Total Korean long-term investments
(cost US$3,780,602) ................................... 3,458,010
-----------
Aberdeen Global Income Fund, Inc. 17
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
THAILAND--0.5%
Government Bonds--0.5%
THB
Thailand Government,
9,500 8.00%, 12/08/06 (e) ................................... Baa1 NR 269,592
4,000 5.375%, 11/30/11 ...................................... Baa1 NR 110,426
3,500 4.125%, 11/01/12 ...................................... Baa1 NR 87,738
2,000 5.50%, 1/18/17 ........................................ Baa1 NR 54,630
-----------
Total Thailand government bonds
(cost US$480,668) ..................................... 522,386
-----------
UNITED KINGDOM--33.1%
Government Bonds--27.1%
(pound)
United Kingdom Treasury,
500 5.00%, 6/07/04 ........................................ Aaa AAA 813,316
1,250 8.50%, 12/07/05 ....................................... Aaa AAA 2,237,813
1,100 7.50%, 12/07/06 ....................................... Aaa AAA 1,974,495
500 5.75%, 12/07/09 ....................................... Aaa AAA 871,127
1,500 8.00%, 9/27/13 ........................................ Aaa AAA 3,121,159
600 8.00%, 12/07/15 ....................................... Aaa AAA 1,283,745
3,000 8.00%, 6/07/21 ........................................ Aaa AAA 6,812,528
4,850 6.00%, 12/07/28 ....................................... NR AAA 9,405,349
Republic of Finland,
1,250 10.125%, 6/22/08 ...................................... Aaa AAA 2,525,902
-----------
Total United Kingdom government bonds
(cost US$27,474,219) .................................. 29,045,434
-----------
Utilities--2.5%
British Gas PLC,
1,400 8.875%, 7/08/08 ....................................... A2 A 2,639,688
-----------
Total United Kingdom utility bonds
(cost US$2,187,920) ................................... 2,639,688
-----------
Banking and Finance--3.5%
Barclays Bank PLC,
1,000 9.875%, 5/29/49 ....................................... Aa2 A+ 1,946,345
Lloyds Bank PLC,
500 7.375%, 3/11/04 ....................................... Aa1 AA- 822,333
Prudential Finance B.V.,
500 9.375%, 6/04/07 ....................................... NR AA- 930,928
-----------
Total United Kingdom banking and finance bonds
(cost US$3,123,278) ................................... 3,699,606
-----------
Total United Kingdom long-term investments
(cost US$32,785,417) .................................. 35,384,728
-----------
18 Aberdeen Global Income Fund, Inc.
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
UNITED STATES--8.3%
Yankee Bonds--8.3%
US$
Australia--0.1%
Corporate Non-Banks--0.1%
Cable & Wireless Optus Finance,
100 8.00%, 6/22/10 ........................................ A2 A+ 117,435
-----------
Brazil--1.2%
Government--1.2%
Federal Republic of Brazil
1,500 11.00%, 8/17/40 ....................................... B2 B+ 1,290,000
-----------
China--0.4%
Banking and Finance--0.1%
CITIC Ka Wah Bank,
50 9.125%, 5/31/12 ....................................... Baa3 NR 55,450
-----------
Corporate Non-Bank--0.2%
PCCW-HKTC Capital Ltd.,
200 7.75%, 11/15/11 ....................................... Baa2 BBB 208,420
-----------
Utilities--0.1%
AES China Generating Company,
100 10.125%, 12/15/06 ..................................... B1 B+ 100,500
CNOOC Finance Ltd.,
50 6.375%, 3/08/12 ....................................... Baa1 BBB 56,245
-----------
156,745
-----------
420,615
-----------
Colombia--0.9%
Government--0.9%
Republic of Colombia,
868 9.75%, 4/09/11 ........................................ Ba2 BB+ 965,833
-----------
Malaysia--0.1%
Utilities--0.1%
Petronas Capital Ltd.,
100 7.00%, 5/22/12 ........................................ Baa1 BBB+ 110,903
-----------
Mexico--1.1%
Government--1.1%
United Mexican States,
1,000 8.30%, 8/15/31 ........................................ Baa2 BBB- 1,118,767
-----------
Netherlands--1.0%
Banking and Finance--1.0%
Kazkommerts INTL BV,
1,000 10.125%, 5/08/07 ...................................... Baa3 BB- 1,097,810
-----------
Aberdeen Global Income Fund, Inc. 19
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
UNITED STATES (concluded)
Yankee Bonds (concluded)
US$
Peru--1.0%
Government--1.0%
Republic of Peru,
1,000 9.875%, 2/06/15 ....................................... Ba3 BB- 1,122,500
-----------
Philippines--1.0%
Government--0.1%
Republic of Philippines,
50 8.375%, 3/12/09 ....................................... Ba1 BB 51,750
50 9.375%, 1/18/17 ....................................... Ba1 BB 52,325
-----------
104,075
-----------
Utilities--0.9%
Philippine Long Distance Telephone Company
1,000 11.375%, 5/15/12 ...................................... Ba3 BB 1,005,000
-----------
1,109,075
-----------
Russia--1.3%
Government--1.3%
Russian Federation,
1,000 11.00%, 7/24/18 ....................................... Ba2 BB 1,337,500
South Korea--0.2%
Banking and Finance--0.2%
Korea Development Bank
200 5.25%, 11/16/06 ....................................... A3 A- 210,939
-----------
Total United States long-term bonds
(cost US$7,552,426) ................................... 8,901,377
-----------
Total long-term investments
(cost US$105,447,373) ................................. 116,681,975
-----------
20 Aberdeen Global Income Fund, Inc.
Portfolio of Investments (continued)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS--15.0%
Australia--1.8%
A$
Banque Nationale de Paris Fixed Deposit,
3,009 4.50%, 5/01/03
(cost US$1,882,167) ................................... NR NR 1,882,168
-----------
Canada--3.2%
C$
State Street Bank and Trust Company Time Deposit,
4,903 2.00%, 5/07/03
(cost US$3,389,444) ................................... NR NR 3,417,677
-----------
New Zealand--0.7%
NZ$
State Street Bank and Trust Company Fixed Deposit
1,258 4.25%, 5/07/03
(cost US$700,454) ..................................... NR NR 703,662
-----------
South Korea--2.0%
US$
HSBC KRW
2,200 0.00%, 7/24/03
(cost US$2,178,746) ................................... NR NR 2,178,616
-----------
United Kingdom--5.5%
(pound)
State Street Bank and Trust Company Fixed Deposit
3,710 3.375%, 5/07/03
(cost US$5,929,511) ................................... NR NR 5,929,511
-----------
Aberdeen Global Income Fund, Inc. 21
Portfolio of Investments (concluded)
As of April 30, 2003 (unaudited)
Principal
Amount
Local
Currency (a) Moody's S&P Value
(000) Description Rating Rating (US$)
---------------------------------------------------------------------------------------------------
SHORT-TERM INVESTMENTS (concluded)
United States--1.8%
US$
1,968 Repurchase Agreement, State Street Bank and Trust Company,
1.05% dated 4/30/03, due 5/01/03 in the amount of
$1,968,057 (collateralized by $1,310,000 U.S. Treasury
Notes, 12.50% due 8/15/14; value $2,014,438)
(cost US$1,968,000) ................................... NR NR 1,968,000
-----------
Total short-term investments
(cost US$16,048,322) .................................. 16,079,634
-----------
---------------------------------------------------------------------------------------------------
Total Investments--124.1% (cost US$121,495,695) 132,761,609
Net unrealized appreciation on forward foreign currency exchange contracts--0.0% (f) 3,381
Other assets in excess of liabilities--3.9% 4,228,220
Liquidation value of preferred stock--(28.0%) (30,000,000)
---------------------------------------------------------------------------------------------------
Net Assets Applicable to Common Shareholders--100.0% $106,993,210
---------------------------------------------------------------------------------------------------
NR--Not rated by Moody's or Standard & Poors.
(a) Portfolio securities are listed based on currency in which they are
traded;
A$--Australian dollar KRW--South Korean won SG$--Singapore dollar
C$--Canadian dollar MYR--Malaysian ringgit THB--Thailand baht
CNY--Chinese yuan NZ$--New Zealand dollar (pound)--British pound
INR--Indian rupee PHP--Philippine peso US$--United States dollar
(b) Coupon changes periodically upon a predetermined schedule. Stated interest
rate in effect at April 30, 2003.
(c) Value of security is linked to the value of Government of Korea 7.70%,
8/16/03 and the movement of the South Korean Won.
(d) Value of security is linked to the value of Government of Korea 5.77%,
10/09/07 and the movement of the South Korean Won.
(e) Securities, or a portion thereof, pledged as collateral for derivative
instruments.
(f) Forward foreign currency exchange contracts entered into as of April 30,
2003 were as follows:
-------------------------------------------------------------------------------------------------
Purchases
Unrealized
Contracts to Receive In exchange for Settlement Date Value Appreciation
-------------------------------------------------------------------------------------------------
INR 9,678,150 US$201,000 5/06/2003 US$204,381 $3,381
See notes to financial statements.
22 Aberdeen Global Income Fund, Inc.
Statement of Assets and Liabilities
April 30, 2003 (unaudited)
Assets
Investments, at value (cost $121,495,695) ........................ $ 132,761,609
Foreign currency, at value (cost $720,626) ....................... 720,298
Cash ............................................................. 1,120,961
Interest receivable .............................................. 2,748,974
Receivable for securities sold ................................... 378,189
Net unrealized appreciation on interest rate swaps ............... 11,640
Net unrealized appreciation on forward foreign exchange contracts 3,381
Prepaid expenses ................................................. 12,700
-------------
Total assets ................................................... 137,757,752
-------------
Liabilities
Dividends payable--common stock .................................. 555,973
Investment management fee payable ................................ 79,353
Administration fee payable ....................................... 24,416
Accrued expenses and other liabilities ........................... 104,800
-------------
Total liabilities .............................................. 764,542
-------------
Preferred stock
$.001 par value per share and $25,000 liquidation value per share 30,000,000
-------------
Net Assets Applicable to Common Shareholders ..................... $ 106,993,210
=============
Composition of Net Assets Applicable to Common Shareholders
Common Stock (par value $.001 per share) ......................... $ 9,266
Paid-in capital in excess of par ................................. 116,420,251
Accumulated investment loss ...................................... (3,664,556)
Accumulated net realized losses on investments transactions ...... (2,615,044)
Net unrealized appreciation on investments ....................... 5,010,610
Accumulated net realized foreign exchange losses ................. (14,509,402)
Net unrealized foreign exchange gains ............................ 6,342,085
-------------
Net Assets Applicable to Common Shareholders ..................... $ 106,993,210
=============
Net asset value per common share based on (9,266,209 shares
issued and outstanding) ........................................ $ 11.55
=============
See notes to financial statements.
Aberdeen Global Income Fund, Inc. 23
Statement of Operations
For the Six Months Ended April 30, 2003 (unaudited)
Net Investment Income
Income
Interest and discount earned (net of foreign withholding taxes of $60,910) $ 3,734,017
------------
Expenses
Investment management fee ................................................. 428,676
Administration fee ........................................................ 131,900
Rights offering expenses .................................................. 108,490
Legal fees and expenses ................................................... 103,921
Directors' fees and expenses .............................................. 83,808
Reports to shareholders ................................................... 82,358
Custodian's fees and expenses ............................................. 69,762
Independent auditors' fees and expenses ................................... 64,583
Investor relations fees and expenses ...................................... 35,711
Auction agent's fees and expenses ......................................... 35,652
Insurance expense ......................................................... 25,191
Registration fees ......................................................... 12,397
Transfer agent's fees and expenses ........................................ 9,738
Miscellaneous ............................................................. 20,464
------------
Total operating expenses ............................................... 1,212,651
------------
Net investment income ....................................................... 2,521,366
------------
Realized and Unrealized Gains (Losses) on Investments and
Foreign Currencies
Net realized gains on investment transactions ............................. 185,120
Net realized foreign exchange gains ....................................... 1,219,152
------------
1,404,272
------------
Net change in unrealized appreciation of investments ...................... 1,756,671
Net change in unrealized foreign exchange gains/losses .................... 7,928,175
------------
9,684,846
------------
Net gain on investments and foreign currencies .............................. 11,089,118
------------
Net increase in Net Assets from Operations .................................. 13,610,484
------------
Dividends to Preferred Shareholders from
Net Investment Income ..................................................... (232,308)
------------
Net Increase in NetAssets Resulting from Operations Applicable to
Common Shareholders ....................................................... $ 13,378,176
============
See notes to financial statements.
24 Aberdeen Global Income Fund, Inc.
Statement of Cash Flows
For the Six Months Ended April 30, 2003 (unaudited)
Increase (Decrease) in Cash
(Including Foreign Currency)
Cash flows provided from (used for) operating activities
Interest received (excluding discount and premium amortization
of $255,396) ................................................. $ 3,916,757
Operating expenses paid ........................................ (1,233,285)
Rights Offering expenses paid .................................. (94,745)
Purchases of short-term portfolio investments, net ............. (2,055,012)
Purchases of long-term portfolio investments ................... (11,991,452)
Proceeds from sales of long-term portfolio investments ......... 11,010,862
Dividends paid to preferred shareholders ....................... (232,308)
Realized loss on interest rate swap transactions ............... (128,058)
Other .......................................................... 27,057
------------
Net cash used for operating activities ......................... (780,184)
------------
Cash flows used for financing activities
Dividends paid to common shareholders .......................... (3,335,473)
------------
Effect of exchange rate on cash .................................. 292,461
------------
Net decrease in cash ............................................. (3,823,196)
Cash at beginning of period .................................... 5,664,455
------------
Cash at end of period .......................................... $ 1,841,259
============
Reconciliation of Net Increase in Net Assets Applicable to
Common Shareholders from Operations to Net Cash
(Including Foreign Currency) Used for Operating Activities
Net increase in net assets applicable to common shareholders
resulting from operations ...................................... $ 13,378,176
------------
Increase in investments ........................................ (1,352,882)
Net realized gains on investments .............................. (185,120)
Net realized foreign exchange gains ............................ (1,219,152)
Net change in unrealized appreciation/depreciation
on investments .............................................. (1,756,671)
Net change in unrealized foreign exchange gains/losses ......... (7,928,175)
Increase in interest receivable ................................ (86,261)
Increase in receivable for securities sold ..................... (378,189)
Net decrease in other assets ................................... 114,047
Increase in payable for investments purchased .................. (1,177,193)
Decrease in accrued expenses and other liabilities ............. (188,764)
------------
Total adjustments .............................................. (14,158,360)
------------
Net cash provided from (used for) operating activities ........... $ (780,184)
============
See Notes to financial statements.
Aberdeen Global Income Fund, Inc. 25
Statements of Changes in Net Assets
Applicable to Common Shareholders
For the Six
Months Ended For the Year
April 30, 2003 Ended
(unaudited) Oct. 31, 2002
--------------------------------------------------------------------------------------------------
Increase (Decrease) in Net Assets Applicable to
Common shareholders
Operations
Net investment income ........................................ $ 2,521,366 $ 4,814,723
Net realized gains (losses) on investment transactions ....... 185,120 (95,694)
Net realized foreign exchange gains (losses) ................. 1,219,152 (2,959,182)
Net change in unrealized appreciation/depreciation
of investments ............................................ 1,756,671 (1,002,482)
Net change in unrealized foreign exchange gains/losses ....... 7,928,175 11,114,486
------------- -------------
Net Increase in Net Assets from Operations ................... 13,610,484 11,871,851
------------- -------------
Dividends to preferred shareholders from net
investment income ............................................ (232,308) (604,200)
------------- -------------
Net Increase in Net Assets Resulting from Operations
Applicable to Common Shareholders ............................ 13,378,176 11,267,651
------------- -------------
Dividends and distributions to common shareholders from
Net investment income ........................................ (3,335,474) (365,846)
Tax return of capital ........................................ -- (6,490,454)
------------- -------------
Net decrease in net assets applicable to common shareholders
resulting from dividends and distributions ................... (3,335,474) (6,856,300)
------------- -------------
Total increase in net assets applicable to common shareholders . 10,042,702 4,411,351
Net Assets Applicable to Common Shareholders
Beginning of period ............................................ 96,950,508 92,539,157
------------- -------------
End of period (including accumulated investment loss of
($3,664,556) and ($2,618,140), respectively) ................. $ 106,993,210 $ 96,950,508
============= =============
See notes to financial statements.
26 Aberdeen Global Income Fund, Inc.
Financial Highlights
For the Six For the Year Ended
Months Ended October 31,
April 30, 2003 ---------------------------
(unaudited) 2002(1) 2001
----------------------------------------------------------------------------------------------------------------
Per Share Operating Performance:
Net asset value per common share, beginning of period ....... $ 10.46 $ 9.99 $ 10.20
----------- ----------- -----------
Net investment income ....................................... 0.27 0.52 0.71
Net realized and unrealized gains (losses) on investments and
foreign currencies ........................................ 1.21 0.76 0.07
Dividends to preferred shareholders:
From net investment income ................................ (0.03) (0.07) (0.15)
From net realized gains on investment transactions ........ -- -- --
----------- ----------- -----------
Total from investment operations applicable to
common shareholders ....................................... 1.45 1.21 0.63
----------- ----------- -----------
Dividends and distributions to common shareholders:
From net investment income ................................ (0.36) (0.04) (0.34)
Tax return of capital ..................................... -- (0.70) (0.50)
From net realized gains on investment transactions ........ -- -- --
----------- ----------- -----------
Total dividends and distributions ........................... (0.36) (0.74) (0.84)
----------- ----------- -----------
Net asset value per common share, end of period ............. $ 11.55 $ 10.46 $ 9.99
=========== =========== ===========
Market value, end of period ................................. $ 10.79 $ 9.35 $ 9.00
=========== =========== ===========
Number of shares of common stock outstanding (000 omitted) .. 9,266 9,266 9,266
Total investment return based on:(2)
Market value .............................................. 19.37% 12.45% 11.20%
Net asset value ........................................... 14.22% 13.30% 7.40%
Ratio to Average Net Assets Applicable to
Common Shareholders(3)/Supplementary Data:
Net assets applicable to common shareholders, end of period
(000 omitted) ............................................. $ 106,993 $ 96,951 $ 92,539
Average net assets applicable to common shareholders
(000 omitted) ............................................. 102,331 92,148 93,987
Operating expenses .......................................... 2.40%(4) 2.17% 2.11%
Net investment income(3) .................................... 4.47%(4) 4.57% 5.46%
Portfolio turnover .......................................... 9% 39% 17%
Senior securities (preferred stock) outstanding (000 omitted) $ 30,000 $ 30,000 $ 30,000
Asset coverage on preferred stock at period end ............. 457% 423% 408%
--------------------------------------------------------------------------------
(1) As required, effective November 1, 2001, the Fund has adopted the
provisions of the AICPA Audit and Accounting Guide, Audits of Investment
Companies, and began amortizing premium on debt securities for financial
statement reporting purposes only. The effect of this change for the year
ended October 31, 2002 was to decrease net investment income per share by
$0.10, decrease net realized and unrealized loss on investments and
foreign exchange losses by $0.10 and decrease the ratio of net investment
income to average net asset from 5.54% to 4.57% based on common
shareholders. Per share ratios and supplemental data for periods prior to
November 1, 2001 have not been restated to reflect this change in
presentation.
(2) Total investment return is calculated assuming a purchase of common stock
on the opening of the first day and a sale on the closing of the last day
of each period reported. Dividends and distributions, if any, are assumed
for the purposes of this calculation to be reinvested at prices obtained
under the Fund's dividend reinvestment plan. Total investment return does
not reflect brokerage commissions.
(3) Ratios are calculated on the basis of income and expenses applicable to
both the common and preferred shares relative to the average net assets of
common shareholders. Ratio of net investment income before preferred stock
dividends to average net assets of common shareholders is 4.93%, 5.22%,
6.98%, 7.12%, 6.76% and 7.50%, respectively.
(4) Annualized.
See notes to financial statements.
Aberdeen Global Income Fund, Inc. 27
Financial Highlights (concluded)
For the Year Ended
October 31,
-------------------------------------------------
2000 1999 1998
------------------------------------------------------------------------------------------------------------------
Per Share Operating Performance:
Net asset value per common share, beginning of period ....... $ 12.14 $ 13.07 $ 13.94
------------- ------------- -------------
Net investment income ....................................... 0.81 0.87 0.99
Net realized and unrealized gains (losses) on investments and
foreign currencies ........................................ (1.68) (0.70) (0.73)
Dividends to preferred shareholders:
From net investment income ................................ (0.16) (0.11) (0.14)
From net realized gains on
investment transactions ................................. (0.04) (0.04) (0.04)
------------- ------------- -------------
Total from investment operations applicable to
common shareholders ....................................... (1.07) 0.02 0.08
------------- ------------- -------------
Dividends and distributions to common shareholders:
From net investment income ................................ (0.71) (0.62) (0.87)
Tax return of capital ..................................... -- -- --
From net realized gains on investment transactions ........ (0.16) (0.33) (0.08)
------------- ------------- -------------
Total dividends and distributions ......................... (0.87) (0.95) (0.95)
============= ============= =============
Net asset value per common share, end of period ............. $ 10.20 $ 12.14 $ 13.07
============= ============= =============
Market value, end of period ................................. $ 8.875 $ 10.375 $ 10.8125
============= ============= =============
Number of shares of common stock outstanding (000 omitted) .. 9,266 9,266 9,266
Total investment return based on:(2)
Market value .............................................. (6.11)% 4.89% (5.59)%
Net asset value ........................................... (7.78)% 1.53% 1.82%
Ratio to Average Net Assets Applicable to
Common Shareholders(3)/Supplementary Data:
Net assets applicable to common shareholders, end of year
(000 omitted) ............................................. $ 94,494 $ 112,504 $ 121,096
Average net assets applicable to common shareholders
(000 omitted) ............................................. 105,657 119,257 122,266
Operating expenses .......................................... 2.02% 1.95% 1.70%
Net investment income(3) .................................... 5.39% 5.53% 6.17%
Portfolio turnover .......................................... 29% 40% 36%
Senior securities (preferred stock) outstanding (000 omitted) $ 30,000 $ 30,000 $ 30,000
Asset coverage on preferred stock at period end ............. 415% 475% 504%
--------------------------------------------------------------------------------
(1) As required, effective November 1, 2001, the Fund has adopted the
provisions of the AICPA Audit and Accounting Guide, Audits of Investment
Companies, and began amortizing premium on debt securities for financial
statement reporting purposes only. The effect of this change for the year
ended October 31, 2002 was to decrease net investment income per share by
$0.10, decrease net realized and unrealized loss on investments and
foreign exchange losses by $0.10 and decrease the ratio of net investment
income to average net asset from 5.54% to 4.57% based on common
shareholders. Per share ratios and supplemental data for periods prior to
November 1, 2001 have not been restated to reflect this change in
presentation.
(2) Total investment return is calculated assuming a purchase of common stock
on the opening of the first day and a sale on the closing of the last day
of each period reported. Dividends and distributions, if any, are assumed
for the purposes of this calculation to be reinvested at prices obtained
under the Fund's dividend reinvestment plan. Total investment return does
not reflect brokerage commissions.
(3) Ratios are calculated on the basis of income and expenses applicable to
both the common and preferred shares relative to the average net assets of
common shareholders. Ratio of net investment income before preferred stock
dividends to average net assets of common shareholders is 4.93%, 5.22%,
6.98%, 7.12%, 6.76% and 7.50%, respectively.
(4) Annualized.
See notes to financial statements.
28 Aberdeen Global Income Fund, Inc.
Notes to Financial Statements
Note 1. Investment Objectives
Aberdeen Global Income Fund, Inc. (the "Fund") was incorporated in Maryland on
June 28, 1991, as a closed-end, non-diversified investment company.
The Fund's principal investment objective is to provide high current income by
investing primarily in fixed-income securities denominated in Commonwealth
Currencies. As a secondary investment objective, the Fund seeks capital
appreciation, but only when consistent with its principal investment objective.
The Fund will seek to achieve its investment objective through investment in
fixed-income securities denominated in the Commonwealth Currencies and in Global
Debt Securities. In order to comply with a rule adopted by the Securities and
Exchange Commission under the Investment Company Act of 1940 regarding fund
names, the Board of Directors has adopted an investment policy that, for as long
as the name of the Fund remains Aberdeen Global Fund, Inc., it shall be the
policy of the Fund normally to invest at least 80% of its net assets plus the
amount of any borrowings for investment purposes, in debt securities. This 80%
investment policy is a non-fundamental policy of the Fund and may be changed by
the Board of Directors upon 60 days prior written notice to shareholders. The
ability of issuers of debt securities held by the Fund to meet their obligations
may be affected by economic developments in a specific industry, country or
region.
Note 2. Accounting Policies
The following is a summary of significant accounting policies followed by the
Fund in the preparation of its financial statements.
Basis of Presentation: The financial statements of the Fund are prepared in
accordance with accounting principles generally accepted in the United States of
America using the United States dollar as both the functional and reporting
currency. However, the Commonwealth Currencies (excluding New Zealand) are
Aberdeen Global Income Fund, Inc. 29
Notes to Financial Statements (continued)
the functional currencies for Federal tax purposes (see Taxes below).
Foreign Currency Translation: Foreign currency amounts are translated into
United States dollars on the following basis:
(i) market value of investment securities, other assets and liabilities -- at
the closing rates of exchange as reported by a major bank;
(ii) purchases and sales of investment securities, income and expenses -- at
the rates of exchange prevailing on the respective dates of such
transactions.
The Fund isolates that portion of the results of operations arising as a result
of changes in the foreign exchange rates from the fluctuations arising from
changes in the market prices of the securities held at fiscal period end.
Similarly, the Fund isolates the effect of changes in foreign exchange rates
from the fluctuations arising from changes in the market prices of portfolio
securities sold during the fiscal year.
Net realized foreign exchange losses includes realized foreign exchange gains
and losses from sales and maturities of portfolio securities, 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
interest, discount and foreign withholding taxes recorded on the Fund's books
and the U.S. dollar equivalent amounts actually received or paid. Net unrealized
foreign exchange gains include changes in the value of portfolio securities and
other assets and liabilities arising as a result of changes in the exchange
rate. Accumulated realized and unrealized foreign exchange gains (losses) shown
in the composition of net assets represent foreign exchange gains (losses) for
book purposes that have not yet been recognized for tax purposes.
30 Aberdeen Global Income Fund, Inc.
Notes to Financial Statements (continued)
Foreign security and currency transactions may involve certain considerations
and risks not typically associated with those of domestic origin, including
unanticipated movements in the value of the foreign currency relative to the
U.S. dollar.
The exchange rates of the Commonwealth Currencies utilized by the Fund at April
30, 2003 were US$0.6256 to A$1.00, US$0.6971 to C$1.00, US$0.5594 to NZ$1.00,
US$1.5983 to (pound)1.00.
Security Valuation: The Fund's Board of Directors has adopted Pricing and
Valuation Procedures (the "Procedures") to be used in determining the value of
the assets held by the Fund. In accordance with the Procedures, investments are
stated at value. Investments for which market quotations are readily available
are valued at the last trade price on the date of determination as obtained from
a pricing source. If no such trade price is available, such investments are
valued at the quoted bid price or the mean between the quoted bid and asked
price on the date of determination as obtained from a pricing source.
Securities purchased with a maturity of less than 60 days are valued at
amortized cost. Securities purchased with a maturity of greater than 60 days are
valued at current market quotations until the 60th day prior to maturity. At
that time, the value of the security on the 61st day prior to maturity is
amortized on a straight-line basis to value the security for the remaining 60
days. Securities for which market quotations are not readily available are
valued at fair value in good faith using methods set forth in the Procedures.
Repurchase Agreements: In connection with transactions in repurchase agreements
with U.S. financial institutions, it is the Fund's policy that its
custodian/counterparty segregates the underlying collateral securities, the
value of which exceeds the principal amount of the repurchase
Aberdeen Global Income Fund, Inc. 31
Notes to Financial Statements (continued)
transaction, including accrued interest. To the extent that any repurchase
transaction exceeds one business day, the collateral is valued on a daily basis
to determine its adequacy. If the seller defaults and the value of the
collateral declines or if bankruptcy proceedings are commenced with respect to
the seller of the security, realization of the collateral by the Fund may be
delayed or limited.
Securities Transactions and Investment Income: Securities transactions are
recorded on the trade date. Realized and unrealized gains and losses from
security and currency transactions are calculated on the identified cost basis.
Interest income is recorded on an accrual basis. Discounts and premiums on
securities purchased are accreted or amortized on an effective yield basis over
the estimated lives of the respective securities. Expenses are accrued on a
daily basis.
Derivative Financial Instruments: The Fund is authorized to use derivatives to
manage both currency and interest rate risk for global debt securities. With
respect to investments denominated in Commonwealth currencies, derivatives can
only be used to manage interest rate risk. Losses may arise due to changes in
the value of the contract if the counterparty does not perform under the
contract.
Interest Rate Swap: The Fund may engage in certain swap transactions, in order
to obtain a desired return at a lower cost than if the Fund invested directly in
the asset that yielded the desired return. An interest rate swap is an agreement
between two parties which involves exchanging floating rate and fixed rate
interest payments for a specified period of time. Interest rate swaps involve
the accrual and exchange of interest payments between the parties.
32 Aberdeen Global Income Fund, Inc.
Notes to Financial Statements (continued)
During the term of the swap, changes in the value of the swap are recognized as
unrealized gains and losses by "marking-to-market" to reflect the market value
of the swap. When the swap is terminated, the Fund will record a realized gain
or loss equal to the difference, if any, between the proceeds from (or cost of)
the closing transaction and the Fund's basis in the contract. The Fund is
exposed to credit risk in the event of non-performance by the other party to the
interest rate swap. However, the Fund does not anticipate non-performance by any
counterparty.
Forward Currency Contracts: A forward currency contract involves an obligation
to purchase and sell a specific currency at a future date, which may be any
fixed number of days from the date of the contract agreed upon by the parties,
at a price set at the time of the contract. The foreign currency contract is
marked-to-market daily and the change in market value is recorded by the Fund as
an unrealized gain or loss. When the forward currency contract is closed, the
Fund records a realized gain or loss equal to the difference between the value
at the time it was opened and the value at the time it was closed.
Financial futures contracts: A futures contract is an agreement between two
parties to buy and sell a security for a set price on a future date. Upon
entering into a contract, the Fund deposits and maintains as collateral such
initial margin as required by the exchange on which the transaction is effected.
Pursuant to the contract, the Fund agrees to receive from or pay to the broker
an amount of cash equal to the daily fluctuation in the value of the contract.
Such receipts or payments are known as variation margin and are recorded by the
Fund as unrealized gains or losses. When the contract is closed, the Fund
records a realized gain or loss equal to the difference between the value
Aberdeen Global Income Fund, Inc. 33
Notes to Financial Statements (continued)
of the contract at the time it was opened and the value at the time it was
closed. As of April 30, 2003, there were no open futures contracts.
Options: When the Fund writes an option, an amount equal to the premium received
by the Fund is reflected as an asset and an equivalent liability. The amount of
the liability is subsequently marked to market to reflect the current market
value of the option written. When a security is purchased or sold through an
exercise of an option, the related premium paid (or received) is added to (or
deducted from) the basis of the security acquired or deducted from (or added to)
the proceeds of the security sold. When an option expires (or the Fund enters
into a closing transaction), the Fund realizes a gain or loss on the option to
the extent of the premiums received or paid (or gain or loss to the extent the
cost of the closing transaction exceeds the premium paid or received). As of
April 30, 2003, there were no open option contracts.
Dividends and distributions: Dividends and distributions to common shareholders
are recorded on the ex-dividend date. These are based upon net investment
income, and capital and currency gains determined in accordance with income tax
regulations which may differ from accounting principles generally accepted in
the United States of America. These differences are primarily due to
amortization of premium and discount and differing treatments for foreign
currencies and loss deferrals. Dividends and distributions to preferred
shareholders are accrued on the record date and are determined as described in
Note 6.
Taxes: For Federal income and excise tax purposes, substantially all of the
Fund's transactions are accounted for using the functional currencies.
Accordingly, only realized currency gains and losses
34 Aberdeen Global Income Fund, Inc.
Notes to Financial Statements (continued)
resulting from the repatriation of any of the Commonwealth Currencies into U.S.
dollars or another Commonwealth Currency and realized currency gains and losses
on non-Commonwealth currencies are recognized for tax purposes.
No provision has been made for United States of America Federal income taxes
because it is the Fund's policy to meet the requirements of the United States of
America Internal Revenue Code applicable to regulated investment companies and
to distribute substantially all of its taxable income to shareholders. Under the
applicable foreign tax law, a withholding tax may be imposed on interest and
discounts earned at various rates.
Cash Flow Information: The Fund invests in securities and distributes dividends
from net investment income and net realized gains on investment and currency
transactions which are paid in cash or are reinvested at the discretion of
shareholders. These activities are reported in the Statements of Changes in Net
Assets Applicable to Common Shareholders and additional information on cash
receipts and cash payments is presented in the Statement of Cash Flows. Cash
includes domestic and foreign currency.
Use of Estimates: The preparation of financial statements in accordance with
accounting principles generally accepted in the United States of America
requires management to make estimates and assumptions that affect the reported
amounts and disclosures in the financial statements. Actual results could differ
from those estimates.
Note 3. Agreements
The Fund has agreements with Aberdeen Asset Managers (C.I.) Limited (the
"Investment Manager"), Aberdeen Asset Management Limited (the "Investment
Adviser"), and Princeton Administrators, L.P. (the "Administrator"). The
Investment
Aberdeen Global Income Fund, Inc. 35
Notes to Financial Statements (continued)
Manager and the Investment Adviser are direct or indirect wholly-owned
subsidiaries of Aberdeen Asset Management Plc. The Investment Manager has
entered into an agreement with CIBC World Markets, Inc. (the "Consultant").
The Investment Manager makes investment decisions on behalf of the Fund on the
basis of recommendations and information furnished to it by the Investment
Adviser and the Consultant, including the selection of and the placement of
orders with brokers and dealers to execute portfolio transactions on behalf of
the Fund.
The management agreement provides the Investment Manager with a fee, computed
weekly and payable monthly, at the following annual rates: 0.65% of the Fund's
average weekly total net assets of both common and preferred shareholders up to
$200 million, 0.60% of such assets between $200 million and $500 million and
0.55% of such assets in excess of $500 million. The administration agreement
provides the Administrator with a fee computed and payable monthly at the annual
rate of 0.20% of the Fund's average weekly total net assets of both common and
preferred shareholders, subject to a minimum annual payment of $150,000 ($12,500
per month). The Investment Manager pays fees to the Investment Adviser and the
Consultant for their services rendered.
The Investment Manager informed the Fund that it paid $169,696 to the Investment
Adviser and $6,000 to the Consultant during the six months ended April 30, 2003.
Under terms of an Investor Relations Services Agreement, Aberdeen Fund Managers,
Inc. ("Aberdeen"), an affiliate of the Fund's Investment Manager and Investment
Adviser, serves as the Fund's investor relations services provider. This
agreement provides Aberdeen with a monthly
36 Aberdeen Global Income Fund, Inc.
Notes to Financial Statements (continued)
retainer of $4,000 plus out-of-pocket expenses. During the six months ended
April 30, 2003, the Fund incurred fees of approximately $5,067 for the services
of Aberdeen. Investor relations fees and expenses in the Statement of Operations
include certain out-of-pocket expenses.
Note 4. Portfolio Securities
Purchases and sales of investment securities, other than short-term investments,
for the six months ended April 30, 2003 aggregated $10,814,219 and $11,353,663,
respectively.
On September 16, 2002, the Fund entered into a two-year interest rate swap
agreement in order to hedge one third of the Fund's outstanding issue of AMPS.
Under the original terms of the agreement, the Fund received a floating rate of
interest (one month USD-LIBOR BBA rate) based on a notional amount of
$10,000,000 and paid interest at a fixed rate of 2.46%. The fixed rate interest
payment has been periodically repriced and the most recent repricing occurred on
February 18, 2003 at a new fixed rate of 1.37%. Net receipts of payments of such
amounts are exchanged every 28 days. At April 30, 2003 the unrealized
appreciation of interest rate swaps was $11,640. The swap is scheduled to
terminate on September 18, 2004.
Net interest loss of $13,605 on interest rate swaps during the period is
included in miscellaneous expenses in the Statement of Operations.
The United States of America federal income tax basis of the Fund's investments
at April 30, 2003 was $123,900,476 and accordingly, net unrealized appreciation
for United States federal income tax purposes was $8,861,133 (gross unrealized
appreciation -- $10,844,074, gross unrealized depreciation -- $1,982,941.) The
Fund estimates that distributions for the entire fiscal year commencing November
1, 2002, including the distribution paid on
Aberdeen Global Income Fund, Inc. 37
Notes to Financial Statements (continued)
June 13, 2003, are comprised of 69% net investment income and 31% return of
paid-in capital.
Note 5. Common Stock
There are 300 million shares of $.001 par value common stock authorized and
9,266,209 shares outstanding at April 30, 2003.
On March 1, 2001, the Board of Directors approved a stock repurchase program.
The stock repurchase program allows the Fund to repurchase up to 10% of its
outstanding common stock in the open market during any 12-month period, if and
when the discount to net asset value is at least 10%. Through April 30, 2003,
there have been no share repurchases through this program.
On January 10, 2003, the Fund announced that it would not proceed with the
proposed rights offering, based upon the determination of the Rights Offering
Committee that market conditions remained unfavorable for the commencement of
the rights offering and that favorable market conditions were not anticipated to
develop in the near term. Expenses incurred in connection with the proposed
rights offering are included in the Statement of Operations.
Note 6. Preferred Stock
There are 100 million shares of $.001 par value of Auction Market Preferred
Stock ("Preferred Stock") authorized. The preferred shares have rights as
determined by the Board of Directors. The 1,200 shares of Preferred Stock
outstanding consist of one series, W-7. The Preferred Stock has a liquidation
value of $25,000 per share plus any accumulated but unpaid dividends whether or
not declared.
Dividends on the Preferred Stock are cumulative at a rate typically reset every
twenty-eight days based on the results of an auction. Dividend rates ranged from
1.35% to 1.95% during the six months ended April 30, 2003. Under the Investment
Company Act of 1940, the Fund
38 Aberdeen Global Income Fund, Inc.
Notes to Financial Statements (concluded)
may not declare dividends or make other distributions on shares of common stock
or purchase any such shares if, at the time of the declaration, distribution or
purchase, asset coverage with respect to the outstanding Preferred Stock would
be less than 200%.
The Preferred Stock is redeemable at the option of the Fund, in whole or in
part, on any dividend payment date at $25,000 per share plus any accumulated but
unpaid dividends. The Preferred Stock is also subject to mandatory redemption at
$25,000 per share plus any accumulated but unpaid dividends, whether or not
declared, if certain requirements relating to the composition of the assets and
liabilities of the Fund as set forth in the Charter are not satisfied.
The holders of Preferred Stock have voting rights equal to the holders of common
stock (one vote per share) and will vote together with holders of shares of
common stock as a single class. However, holders of Preferred Stock are also
entitled to elect two of the Fund's directors.
Note 7. Subsequent Dividends
Subsequent to April 30, 2003, the Board of Directors of the Fund declared
distributions of $0.06 per common share payable on June 13, 2003 to common
shareholders of record on May 30, 2003.
Subsequent to April 30, 2003, dividends and distributions declared and paid on
preferred shares totaled approximately $61,908 for the outstanding preferred
share series through June 12, 2003.
Aberdeen Global Income Fund, Inc. 39
Supplemental Proxy Information (unaudited)
The Annual Meeting of Shareholders of Aberdeen Global Income Fund, Inc. was held
on April 15, 2003 at the offices of Prudential Financial Inc., 751 Broad St.,
Newark, New Jersey. The description of each proposal and number of shares voted
at the meeting are as follows:
---------------------------------------------------------------------------------------
Votes
Votes For Withheld
---------------------------------------------------------------------------------------
1. Election of two directors to serve as Class II
directors for a three-year term expiring in 2006:
William J. Potter 8,020,774 384,501
Peter D. Sacks 8,027,179 378,096
---------------------------------------------------------------------------------------
Votes
Votes For Withheld
---------------------------------------------------------------------------------------
2. Election of two directors to represent the interests
of the holders of the preferred stock for the ensuing year:
Dr. Anton E. Schrafl 1,137 0
John T. Sheehy 1,137 0
---------------------------------------------------------------------------------------
Votes Broker
Votes For Against Abstentions Non-Vote
---------------------------------------------------------------------------------------
3. Reinstatement of the
Fund's Charter: 4,846,570 478,937 145,235 2,935,670
---------------------------------------------------------------------------------------
Directors whose term of office continued beyond this meeting are as follows:
Martin J. Gilbert, David L. Elsum, Laurence S. Freedman, Neville J. Miles, E.
Duff Scott, and Warren C. Smith.
40 Aberdeen Global Income Fund, Inc.
Directors
Martin J. Gilbert, Chairman
David L. Elsum
Laurence S. Freedman
Neville J. Miles
William J. Potter
Peter D. Sacks
Anton E. Schrafl
E. Duff Scott
John T. Sheehy
Warren C. Smith
Officers
Hugh Young, President
James Blair, Vice President
Christian Pittard, Treasurer and Assistant Secretary
Roy M. Randall, Secretary
Alison Briggs, Assistant Vice President
Beverley Hendry, Assistant Treasurer
Timothy Sullivan, Assistant Treasurer
Simon Bignell, Assistant Treasurer
Sander M. Bieber, Assistant Secretary
Notice is hereby given in accordance with Section 23(c) of the Investment
Company Act of 1940 that the Fund may purchase, from time to time, shares of its
common stock in the open market.
The accompanying Financial Statements as of April 30, 2003 were not audited and
accordingly, no opinion is expressed thereon.
[RECYCLED LOGO] Printed on post-consumer recycled paper
Aberdeen Global Income Fund, Inc. 41
Corporate Information
Investment Manager Aberdeen Asset Managers (C.I.) Limited
P.O. Box 578, 17 Bond Street
St. Helier, Jersey JE45XB
Channel Islands
Investment Adviser Aberdeen Asset Management Limited
Level 6, 201 Kent Street
Sydney, NSW 2000, Australia
Consultant CIBC World Markets, Inc.
BCE Place, Canada Trust Tower
P.O. Box 500
Toronto, Ontario, M5J 2S8
Canada
Administrator Princeton Administrators, L.P.
P.O. Box 9095
Princeton, New Jersey 08543-9095
Custodian State Street Bank and Trust Company
1 Heritage Drive
North Quincy, Massachusetts 02171
Transfer Agent EquiServe Trust Company N.A.
P.O. Box 43011
Providence, RI 02940-3011
Auction Agent Deutsche Bank Trust Company Americas
280 Park Avenue, 9th Floor
New York, New York 10018
Independent Auditors PricewaterhouseCoopers LLP
1177 Avenue of the Americas
New York, New York 10036
Legal Counsel Dechert LLP
1775 I Street, N.W.
Washington, DC 20006
The Seidler Law Firm
Level 40 Chifley Tower
2 Chifley Square
Sydney, NSW 2000, Australia
Investor Relations Aberdeen Asset Management
45 Broadway, 31st Floor
New York, New York 10006
1-800-522-5465 or 1-212-968-8800
InvestorRelations@aberdeen-asset.com
[LOGO]
Aberdeen
ASSET MANAGERS
Aberdeen Asset Managers (C.I.) Limited
The common shares of Aberdeen Global Income Fund, Inc. are traded on the New
York Stock Exchange under the symbol "FCO." Information about the Fund's net
asset value and market price is published weekly in Barron's and in the Monday
edition of The Wall Street Journal.
This report, including the financial information herein, is transmitted to the
shareholders of Aberdeen Global Income Fund, Inc. for their general information
only. It does not have regard to the specific investment objectives, financial
situation and the particular needs of any specific person. Past performance is
no guarantee of future returns.
Item 2 - Code of Ethics - Not required in this filing
Item 3 - Audit Committee Financial Expert - Not required in this filing
Item 4 - Principal Accountant Fees and Services - Not required in this filing
Item 5 - Reserved
Item 6 - Reserved
Item 7 - Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies - Not required in this filing
Item 8 - Reserved
Item 9 - Controls and Procedures
(a) It is the conclusion of the registrant's principal executive officer
and principal financial officer that the effectiveness of the
registrant's current disclosure controls and procedures (such
disclosure controls and procedures having been evaluated within 90
days of the date of this filing) provide reasonable assurance that
the information required to be disclosed by the registrant has been
recorded, processed, summarized and reported within the time period
specified in the Commission's rules and forms and that the
information required to be disclosed by the registrant has been
accumulated and communicated to the registrant's principal executive
officer and principal financial officer in order to allow timely
decisions regarding required disclosure.
(b) There have been no significant changes in the registrant's internal
controls or in other factors that could significantly affect these
controls subsequent to the date of their evaluation, including any
corrective actions with regard to significant deficiencies and
material weaknesses.
Item 10 - Exhibits
(a) Code of Ethics - Not required in this filing
(b) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act -
Attached hereto Pursuant to the requirements of the Securities
Exchange Act of 1934 and the Investment Company Act of 1940, the
registrant has duly caused this report to be signed on its behalf by
the undersigned, thereunto duly authorized.
Aberdeen Global Income Fund, Inc.
By: /s/ Hugh Young
----------------------------
Hugh Young,
President of
Aberdeen Global Income Fund, Inc.
Date: July 1, 2003
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed below by
the following persons on behalf of the registrant and in the capacities
and on the dates indicated.
By: /s/ Hugh Young
----------------------------
Hugh Young,
President of
Aberdeen Global Income Fund, Inc.
Date: July 1, 2003
By: /s/ Christian Pittard
----------------------------
Christian Pittard,
Treasurer of
Aberdeen Global Income Fund, Inc.
Date: July 1, 2003
Attached hereto as an exhibit are the certifications pursuant to Section
906 of the Sarbanes-Oxley Act.