UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number 811- 21337
Salomon Brothers Global High Income Fund Inc.
(Exact name of registrant as specified in charter)
125 Broad Street, New York, NY 10004
(Address of principal executive offices) (Zip code)
Robert I. Frenkel, Esq.
Legg Mason & Co., LLC
300 First Stamford Place
Stamford, CT 06902
(Name and address of agent for service)
Registrant's telephone number, including area code: 1-800-725-6666
Date of fiscal year end: May 31
Date of reporting period: February 28,
2006
SALOMON BROTHERS GLOBAL HIGH
INCOME FUND INC.
FORM N-Q
FEBRUARY 28, 2006
ITEM 1. | SCHEDULE OF INVESTMENTS |
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) | February 28, 2006 |
FACE | |||||
AMOUNT |
|
VALUE | |||
|
|
|
|
||
CORPORATE BONDS & NOTES 31.9% | |||||
Aerospace & Defense 0.4% | |||||
1,150,000 | DRS Technologies Inc., Senior Subordinated Notes, 6.875% due 11/1/13 | $ | 1,152,875 | ||
650,000 | Moog Inc., Senior Subordinated Notes, 6.250% due 1/15/15 | 646,750 | |||
Sequa Corp.: | |||||
225,000 | Senior Notes, 9.000% due 8/1/09 | 243,562 | |||
1,250,000 | Senior Notes, Series B, 8.875% due 4/1/08 | 1,315,625 | |||
|
|
||||
Total Aerospace & Defense | 3,358,812 | ||||
|
|
||||
Airlines 0.1% | |||||
Continental Airlines Inc., Pass-Through Certificates: | |||||
228,607 | Series 1998-I, Class C, 6.541% due 9/15/08 | 215,089 | |||
214,931 | Series 974C, 6.800% due 7/2/07 | 202,391 | |||
|
|
||||
Total Airlines | 417,480 | ||||
|
|
||||
Auto Component 0.2% | |||||
750,000 | Keystone Automotive Operations Inc., Senior Subordinated Notes, 9.750% | ||||
due 11/1/13 | 658,125 | ||||
75,000 | Tenneco Automotive Inc., Senior Subordinated Notes, 8.625% due 11/15/14 | 75,000 | |||
892,000 | TRW Automotive Inc., Senior Notes, 9.375% due 2/15/13 | 972,280 | |||
|
|
||||
Total Auto Components | 1,705,405 | ||||
|
|
||||
Automobiles 1.2% | |||||
Ford Motor Co.: | |||||
Debentures: | |||||
200,000 | 6.625% due 10/1/28 | 135,000 | |||
275,000 | 8.900% due 1/15/32 | 213,125 | |||
7,550,000 | Notes, 7.450% due 7/16/31 | 5,398,250 | |||
550,000 | Senior Notes, 4.950% due 1/15/08 | 506,894 | |||
General Motors Corp., Senior Debentures: | |||||
300,000 | 8.250% due 7/15/23 | 207,750 | |||
4,175,000 | 8.375% due 7/15/33 | 2,964,250 | |||
|
|
||||
Total Automobiles | 9,425,269 | ||||
|
|
||||
Beverages 0.1% | |||||
1,075,000 | Constellation Brands Inc., Senior Subordinated Notes, Series B, 8.125% due | ||||
1/15/12 | 1,131,438 | ||||
|
|
||||
Building Products 0.1% | |||||
450,000 | Nortek Inc., Senior Subordinated Notes, 8.500% due 9/1/14 | 451,125 | |||
|
|
||||
Capital Markets 0.1% | |||||
715,000 | BCP Crystal U.S. Holdings Corp., Senior Subordinated Notes, 9.625% due | ||||
6/15/14 | 803,481 | ||||
|
|
||||
Chemicals 1.6% | |||||
750,000 | Equistar Chemicals LP, Senior Notes, 10.625% due 5/1/11 | 819,375 | |||
1,375,000 | Ethyl Corp., Senior Notes, 8.875% due 5/1/10 | 1,443,750 | |||
1,200,000 | Hercules Inc., Senior Subordinated Notes, 6.750% due 10/15/29 | 1,182,000 | |||
Huntsman International LLC, Senior Subordinated Notes: | |||||
762,000 | 10.125% due 7/1/09 | 784,860 | |||
350,000 | 7.875% due 1/1/15 (b) | 357,000 | |||
175,000 | IMC Global Inc., Senior Notes, 10.875% due 8/1/13 | 202,125 | |||
1,425,000 | Lyondell Chemical Co., Senior Secured Notes, Series A, 9.625% due 5/1/07 | 1,482,000 | |||
100,000 | Millennium America Inc., Senior Notes, 9.250% due 6/15/08 | 103,250 | |||
1,125,000 | Nalco Co., Senior Subordinated Notes, 8.875% due 11/15/13 | 1,184,063 | |||
990,000 | NOVA Chemicals Corp., Senior Notes, 6.500% due 1/15/12 | 957,825 | |||
1,125,000 | OM Group Inc., Senior Subordinated Notes, 9.250% due 12/15/11 | 1,130,625 | |||
600,000 | PQ Corp., Senior Subordinated Notes, 7.500% due 2/15/13 (b) | 579,000 |
See Notes to Schedule of Investments.
1
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Chemicals (continued) | |||||
750,000 | Resolution Performance Products LLC, Senior Subordinated Notes, 13.500% | ||||
due 11/15/10 | $ | 806,250 | |||
1,235,000 | Rhodia SA, Senior Subordinated Notes, 8.875% due 6/1/11 | 1,287,487 | |||
|
|||||
Total Chemicals | 12,319,610 | ||||
|
|||||
Commercial Services & Supplies 0.7% | |||||
225,000 | Allied Security Escrow Corp., Senior Subordinated Notes, 11.375% due | ||||
7/15/11 | 212,625 | ||||
Allied Waste North America Inc.: | |||||
400,000 | Senior Notes, 7.250% due 3/15/15 | 408,000 | |||
1,083,000 | Senior Secured Debenture Notes, Series B, 9.250% due 9/1/12 | 1,180,470 | |||
900,000 | Senior Secured Notes, Series B, 7.375% due 4/15/14 | 888,750 | |||
Cenveo Corp.: | |||||
425,000 | Senior Notes, 9.625% due 3/15/12 | 459,000 | |||
725,000 | Senior Subordinated Notes, 7.875% due 12/1/13 | 721,375 | |||
600,000 | Corrections Corporation of America, Senior Subordinated Notes, 6.250% due | ||||
3/15/13 | 598,500 | ||||
1,225,000 | DI Finance/DynCorp International LLC, Senior Subordinated Notes, 9.500% | ||||
due 2/15/13 | 1,274,000 | ||||
|
|||||
Total Commercial Services & Supplies | 5,742,720 | ||||
|
|||||
Communications Equipment 0.3% | |||||
3,000,000 | Lucent Technologies Inc., Debentures, 6.450% due 3/15/29 | 2,546,250 | |||
|
|||||
Computers & Peripherals 0.0% | |||||
325,000 | SunGard Data Systems Inc., Senior Notes, 9.125% due 8/15/13 (b) | 347,344 | |||
|
|||||
Containers & Packaging 1.1% | |||||
1,050,000 | Berry Plastics Corp., Senior Subordinated Notes, 10.750% due 7/15/12 | 1,147,125 | |||
Graphic Packaging International Corp.: | |||||
500,000 | Senior Notes, 8.500% due 8/15/11 | 505,000 | |||
625,000 | Senior Subordinated Notes, 9.500% due 8/15/13 | 596,875 | |||
332,000 | Jefferson Smurfit Corp., Senior Notes, 8.250% due 10/1/12 | 326,190 | |||
1,250,000 | JSG Funding PLC, Senior Notes, 9.625% due 10/1/12 | 1,315,625 | |||
1,575,000 | Owens-Illinois Inc., Senior Notes, 7.350% due 5/15/08 | 1,602,562 | |||
Pliant Corp.: | |||||
360,178 | Senior Secured Notes, 11.625% due 6/15/09 (c)(d) | 394,395 | |||
100,000 | Senior Secured Second Lien Notes, 11.125% due 9/1/09 (d) | 92,500 | |||
225,000 | Senior Subordinated Notes, 13.000% due 6/1/10 (d) | 56,250 | |||
575,000 | Radnor Holdings Corp., Senior Notes, 11.000% due 3/15/10 | 439,875 | |||
Smurfit-Stone Container Enterprises Inc., Senior Notes: | |||||
650,000 | 9.750% due 2/1/11 | 668,688 | |||
1,000,000 | 8.375% due 7/1/12 | 985,000 | |||
600,000 | Tekni-Plex Inc., Senior Subordinated Notes, Series B, 12.750% due 6/15/10 | 354,000 | |||
|
|||||
Total Containers & Packaging | 8,484,085 | ||||
|
|||||
Diversified Consumer Services 0.0% | |||||
375,000 | Hertz Corp., Senior Notes, 8.875% due 1/1/14 (b) | 393,750 | |||
|
|||||
Diversified Financial Services 2.8% | |||||
Alamosa Delaware Inc.: | |||||
679,000 | Senior Discount Notes, step bond to yield 11.437% due 7/31/09 | 738,413 | |||
487,000 | Senior Notes, 11.000% due 7/31/10 | 545,440 | |||
675,000 | Basell AF SCA, Senior Notes, 8.375% due 8/15/15 (b) | 681,750 | |||
550,000 | CCM Merger Inc., Notes, 8.000% due 8/1/13 (b) | 550,000 | |||
Ford Motor Credit Co., Notes: | |||||
2,800,000 | 6.625% due 6/16/08 | 2,608,133 | |||
50,000 | 7.875% due 6/15/10 | 46,284 |
See Notes to Schedule of Investments.
2
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Diversified Financial Services (continued) | |||||
5,375,000 | General Motors Acceptance Corp., Bonds, 8.000% due 11/1/31 | $ | 4,921,242 |
||
487,000 | Global Cash Access LLC/Global Cash Finance Corp., Senior Subordinated | ||||
Notes, 8.750% due 3/15/12 | 525,351 | ||||
300,000 | Hexion US Finance Corp./Hexion Nova Scotia Finance ULC, Senior Secured | ||||
Notes, 9.000% due 7/15/14 | 310,125 | ||||
800,000 | Sensus Metering Systems Inc., Senior Subordinated Notes, 8.625% due | ||||
12/15/13 | 770,000 | ||||
9,262,196 | Targeted Return Index Securities (TRAINS), Secured Notes, Series HY-2005- | ||||
1, 7.651% due 6/15/15 (b) | 9,520,741 | ||||
1,475,000 | Vanguard Health Holdings Co. I LLC, Senior Discount Notes, step bond to | ||||
yield 9.882% due 10/1/15 | 1,098,875 | ||||
|
|||||
Total Diversified Financial Services | 22,316,354 | ||||
|
|||||
Diversified Telecommunication Services 1.3% | |||||
900,000 | AT&T Corp., Senior Notes, 9.750% due 11/15/31 | 1,129,559 | |||
1,000,000 | Insight Midwest LP/Insight Capital Inc., Senior Notes, 10.500% due 11/1/10 | 1,058,750 | |||
300,000 | Intelsat Bermuda Ltd., Senior Notes, 9.609% due 1/15/12 (b)(e) | 307,500 | |||
1,200,000 | NTL Cable PLC, Senior Notes, 8.750% due 4/15/14 | 1,230,000 | |||
315,000 | PanAmSat Corp., Senior Notes, 9.000% due 8/15/14 | 333,900 | |||
Qwest Communications International Inc., Senior Notes: | |||||
590,000 | 7.500% due 2/15/14 | 609,175 | |||
1,520,000 | Series B, 7.500% due 2/15/14 | 1,569,400 | |||
Qwest Corp.: | |||||
260,000 | 7.500% due 6/15/23 | 265,200 | |||
2,155,000 | Debentures, 6.875% due 9/15/33 | 2,079,575 | |||
8,000,000 | MXN | Telefonos de Mexico SA de CV, 8.750% due 1/31/16 | 776,709 | ||
900,000 |
Zeus Special, Senior Discount Notes, step bond to yield 9.363% due 2/1/15 (b) | 621,000 | |||
|
|||||
Total Diversified Telecommunication Services | 9,980,768 | ||||
|
|||||
Electric Utilities 0.7% | |||||
Edison Mission Energy, Senior Notes: | |||||
1,525,000 | 10.000% due 8/15/08 | 1,669,875 | |||
175,000 | 9.875% due 4/15/11 | 202,563 | |||
1,400,000 | Inergy L.P./Inergy Finance Corp., Senior Notes, 6.875% due 12/15/14 | 1,340,500 | |||
Reliant Energy Inc., Senior Secured Notes: | |||||
25,000 | 9.250% due 7/15/10 | 25,531 | |||
2,025,000 | 9.500% due 7/15/13 | 2,075,625 | |||
|
|||||
Total Electric Utilities | 5,314,094 | ||||
|
|||||
Electronic Equipment & Instruments 0.2% | |||||
550,000 | Kinetek Inc., Senior Notes, Series D, 10.750% due 11/15/06 | 540,375 | |||
1,375,000 | Muzak LLC/Muzak Finance Corp., Senior Notes, 10.000% due 2/15/09 | 1,204,844 | |||
|
|||||
Total Electronic Equipment & Instruments | 1,745,219 | ||||
|
|||||
Energy Equipment & Services 0.2% | |||||
969,000 | Dresser-Rand Group Inc., Senior Subordinated Notes, 7.625% due 11/1/14 (b) | 1,012,605 | |||
775,000 | Targa Resources Inc., Senior Notes, 8.500% due 11/1/13 (b) | 825,375 | |||
|
|||||
Total Energy Equipment & Services | 1,837,980 | ||||
|
|||||
Food & Staples Retailing 0.2%
|
|||||
375,000 | Jean Coutu Group Inc., Senior Subordinated Notes, 8.500% due 8/1/14 | 360,000 | |||
900,000 | Rite Aid Corp., Senior Secured Notes, 7.500% due 1/15/15 | 871,875 | |||
|
|||||
Total Food & Staples Retailing | 1,231,875 | ||||
|
See Notes to Schedule of Investments.
3
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Food Products 0.6% | |||||
582,261 | Ahold Lease USA Inc. , Pass-Through Certificates, Series 2001 A-1, 7.820% | ||||
due 1/2/20 | $ | 623,383 |
|||
575,000 | Dean Foods Co., Senior Notes, 6.900% due 10/15/17 | 587,937 | |||
675,000 | Doane Pet Care Co., Senior Subordinated Notes, 10.625% due 11/15/15 (b) | 717,187 | |||
Dole Food Co. Inc., Senior Notes: | |||||
575,000 | 7.250% due 6/15/10 | 556,313 | |||
432,000 | 8.875% due 3/15/11 | 437,940 | |||
600,000 | Pinnacle Foods Holding Corp., Senior Subordinated Notes, 8.250% due | ||||
12/1/13 | 591,000 | ||||
250,000 | Swift & Co., Senior Notes, 10.125% due 10/1/09 | 257,813 | |||
1,129,000 | United Agri Products Inc., Senior Notes, 8.250% due 12/15/11 | 1,196,740 | |||
|
|||||
Total Food Products | 4,968,313 | ||||
|
|||||
Health Care Providers & Services 1.7% | |||||
1,100,000 | AmeriPath Inc., Senior Subordinated Notes, 10.500% due 4/1/13 | 1,166,000 | |||
775,000 | Community Health Systems Inc., Senior Subordinated Notes, 6.500% due 12/15/12 | 771,125 |
|||
1,300,000 | DaVita Inc., Senior Subordinated Notes, 7.250% due 3/15/15 | 1,332,500 | |||
750,000 | Extendicare Health Services Inc., Senior Subordinated Notes, 9.500% due 7/1/10 | 795,938 |
|||
1,075,000 | Genesis HealthCare Corp., Senior Subordinated Notes, 8.000% due 10/15/13 | 1,136,813 | |||
HCA Inc.: | |||||
2,025,000 | Debentures, 7.050% due 12/1/27 | 1,946,768 | |||
Notes: | |||||
400,000 | 6.375% due 1/15/15 | 401,372 | |||
75,000 | 7.690% due 6/15/25 | 77,914 | |||
1,675,000 | IASIS Healthcare LLC/IASIS Capital Corp., Senior Subordinated Notes, | ||||
8.750% due 6/15/14 | 1,708,500 | ||||
125,000 | InSight Health Services Corp., Senior Subordinated Notes, Series B, 9.875% due 11/1/11 | 70,000 |
|||
775,000 | National Mentor Inc., Senior Subordinated Notes, 9.625% due 12/1/12 | 829,250 | |||
667,000 | Psychiatric Solutions Inc., Senior Subordinated Notes, 10.625% due 6/15/13 | 752,876 | |||
Tenet Healthcare Corp., Senior Notes: | |||||
125,000 | 7.375% due 2/1/13 | 115,313 | |||
1,050,000 | 9.875% due 7/1/14 | 1,073,625 | |||
1,275,000 | Triad Hospitals Inc., Senior Subordinated Notes, 7.000% due 11/15/13 | 1,292,531 | |||
|
|||||
Total Health Care Providers & Services | 13,470,525 | ||||
|
|||||
Hotels, Restaurants & Leisure 3.4% | |||||
1,100,000 | AMF Bowling Worldwide Inc., Senior Subordinated Notes, 10.000% due | ||||
3/1/10 | 1,133,000 | ||||
675,000 | Boyd Gaming Corp., Senior Subordinated Notes, 6.750% due 4/15/14 | 676,688 | |||
Caesars Entertainment Inc.: | |||||
1,825,000 | Senior Notes, 7.000% due 4/15/13 | 1,933,901 | |||
650,000 | Senior Subordinated Notes, 8.875% due 9/15/08 | 702,813 | |||
575,000 | Choctaw Resort Development Enterprise, Senior Notes, 7.250% due 11/15/19 (b) | 589,375 |
|||
1,600,000 | Cinemark Inc., Senior Discount Notes, step bond to yield 9.686% due 3/15/14 | 1,200,000 | |||
875,000 | Denny's Holdings Inc., Senior Notes, 10.000% due 10/1/12 | 918,750 | |||
1,175,000 | Gaylord Entertainment Co., Senior Notes, 6.750% due 11/15/14 | 1,166,187 | |||
825,000 | Herbst Gaming Inc., Senior Subordinated Notes, 7.000% due 11/15/14 | 829,125 | |||
950,000 | Hilton Hotels Corp., Notes, 7.625% due 12/1/12 | 1,031,571 | |||
850,000 | Inn of the Mountain Gods Resort & Casino, Senior Notes, 12.000% due 11/15/10 | 902,063 |
|||
1,150,000 | Isle of Capri Casinos Inc., Senior Subordinated Notes, 7.000% due 3/1/14 | 1,155,750 | |||
1,000,000 | Kerzner International Ltd., Senior Subordinated Notes, 6.750% due 10/1/15 | 997,500 |
See Notes to Schedule of Investments.
4
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Hotels, Restaurants & Leisure (continued) | |||||
975,000 | Las Vegas Sands Corp., Senior Notes, 6.375% due 2/15/15 |
$
|
950,625 | ||
MGM MIRAGE Inc.: | |||||
Senior Notes: | |||||
1,600,000 | 6.750% due 9/1/12 | 1,634,000 | |||
675,000 | 5.875% due 2/27/14 | 653,906 | |||
400,000 | 6.625% due 7/15/15 | 403,500 | |||
87,000 | Senior Subordinated Notes, 9.375% due 2/15/10 | 95,918 | |||
Mohegan Tribal Gaming Authority, Senior Subordinated Notes: | |||||
675,000 | 7.125% due 8/15/14 | 698,625 | |||
625,000 | 6.875% due 2/15/15 | 635,156 | |||
1,150,000 | Penn National Gaming Inc., Senior Subordinated Notes, 6.750% due 3/1/15 | 1,161,500 | |||
Pinnacle Entertainment Inc., Senior Subordinated Notes: | |||||
450,000 | 8.250% due 3/15/12 | 470,250 | |||
675,000 | 8.750% due 10/1/13 | 725,625 | |||
1,150,000 | Seneca Gaming Corp., Senior Notes, 7.250% due 5/1/12 | 1,173,000 | |||
Six Flags Inc., Senior Notes: | |||||
250,000 | 9.750% due 4/15/13 | 256,875 | |||
475,000 | 9.625% due 6/1/14 | 484,500 | |||
1,225,000 | Starwood Hotels & Resorts Worldwide Inc., Senior Notes, 7.875% due 5/1/12 | 1,350,562 | |||
1,125,000 | Station Casinos Inc., Senior Subordinated Notes, 6.875% due 3/1/16 | 1,150,312 | |||
2,000,000 | Turning Stone Casino Resort Enterprise, Senior Notes, 9.125% due 12/15/10 (b) | 2,090,000 |
|||
Total Hotels, Restaurants & Leisure | 27,171,077 | ||||
|
|||||
Household Durables 0.5% | |||||
77,000 | Applica Inc., Senior Subordinated Notes, 10.000% due 7/31/08 | 75,075 | |||
1,100,000 | Interface Inc., Senior Subordinated Notes, 9.500% due 2/1/14 | 1,133,000 | |||
1,400,000 | Norcraft Cos. LP/Norcraft Finance Corp., Senior Subordinated Notes, 9.000% | ||||
due 11/1/11 | 1,454,250 | ||||
525,000 | Sealy Mattress Co., Senior Subordinated Notes, 8.250% due 6/15/14 | 551,250 | |||
1,061,000 | Tempur-Pedic Inc./Tempur Production USA Inc., Senior Subordinated Notes, | ||||
10.250% due 8/15/10 | 1,140,575 | ||||
|
|||||
Total Household Durables | 4,354,150 | ||||
|
|||||
Household Products 0.0% | |||||
132,317 | Spectrum Brands Inc., Senior Subordinated Notes, 7.375% due 2/1/15 | 114,785 | |||
|
|||||
Independent Power Producers & Energy Traders 1.4% | |||||
AES Corp., Senior Notes: | |||||
525,000 | 9.375% due 9/15/10 | 578,813 | |||
950,000 | 7.750% due 3/1/14 | 1,008,187 | |||
1,700,000 | Calpine Corp., Second Priority Senior Secured Notes, 8.500% due 7/15/10 (b)(d) | 1,589,500 |
|||
625,000 | Calpine Generating Co. LLC, Senior Secured Notes, 13.216% due 4/1/11 (d) | 684,375 | |||
Dynegy Holdings Inc., Second Priority Senior Secured Notes: | |||||
3,000,000 | 11.100% due 7/15/08 (b)(e) | 3,157,500 | |||
350,000 | 10.125% due 7/15/13 (b) | 395,500 | |||
900,000 | Mirant North America LLC, Senior Notes, 7.375% due 12/31/13 (b) | 928,125 | |||
NRG Energy Inc., Senior Notes: | |||||
450,000 | 7.250% due 2/1/14 | 462,375 | |||
2,075,000 | 7.375% due 2/1/16 | 2,142,437 | |||
|
|||||
Total Independent Power Producers & Energy Traders | 10,946,812 | ||||
|
|||||
Industrial Conglomerates 0.2%
|
|||||
1,500,000 | Koppers Inc., Senior Notes, 9.875% due 10/15/13 | 1,627,500 | |||
|
See Notes to Schedule of Investments.
5
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
IT Services 0.3% | |||||
Iron Mountain Inc., Senior Subordinated Notes: | |||||
375,000 | 8.250% due 7/1/11 | $ | 380,775 |
||
750,000 | 8.625% due 4/1/13 | 785,625 | |||
1,225,000 | 7.750% due 1/15/15 | 1,246,437 | |||
|
|||||
Total IT Services | 2,412,837 | ||||
|
|||||
Machinery 0.3% | |||||
550,000 | Case New Holland Inc., Senior Notes, 9.250% due 8/1/11 | 592,625 | |||
275,000 | Mueller Group Inc., Senior Subordinated Notes, 10.000% due 5/1/12 | 302,500 | |||
925,000 | Mueller Holdings Inc., Discount Notes, step bond to yield 11.446% due | ||||
4/15/14 | 753,875 | ||||
91,000 | Terex Corp., Senior Subordinated Notes, 7.375% due 1/15/14 | 94,185 | |||
525,000 | Wolverine Tube Inc., Senior Notes, 10.500% due 4/1/09 | 423,937 | |||
|
|||||
Total Machinery | 2,167,122 | ||||
|
|||||
Media 4.1%
|
|||||
850,000 | AMC Entertainment Inc., Senior Subordinated Notes, 11.000% due 2/1/16 (b) | 859,562 | |||
675,000 | Block Communications Inc., Senior Notes, 8.250% due 12/15/15 (b) | 671,625 | |||
3,487,678 | CanWest Media Inc., Senior Subordinated Notes, 8.000% due 9/15/12 | 3,592,308 | |||
CCH I Holdings LLC: | |||||
739,000 | 10.000% due 5/15/14 (b) | 387,975 | |||
594,000 | Senior Secured Notes, 11.000% due 10/1/15 (b) | 502,673 | |||
2,500,000 | Senior Unsubordinated Notes, step bond to yield 25.145% due 5/15/14 (b) | 1,312,500 | |||
1,650,000 | Charter Communications Operating LLC, Second Lien Senior Notes, 8.375% | ||||
due 4/30/14 (b) | 1,670,625 | ||||
400,000 | Chukchansi Economic Development Authority, Senior Notes, 8.000% due | ||||
11/15/13 (b) | 414,000 | ||||
CSC Holdings Inc.: | |||||
425,000 | Debentures, Series B, 8.125% due 8/15/09 | 440,406 | |||
150,000 | Senior Debentures, 7.625% due 7/15/18 | 146,813 | |||
Senior Notes: | |||||
575,000 | 7.250% due 4/15/12 (b) | 559,188 | |||
Series B: | |||||
550,000 | 8.125% due 7/15/09 | 569,938 | |||
250,000 | 7.625% due 4/1/11 | 253,125 | |||
1,050,000 | Dex Media Inc., Discount Notes, step bond to yield 8.015% due 11/15/13 | 887,250 | |||
1,367,000 | Dex Media West LLC/Dex Media Finance Co., Senior Subordinated Notes, | ||||
Series B, 9.875% due 8/15/13 | 1,520,787 | ||||
DIRECTV Holdings LLC/DIRECTV Financing Co. Inc., Senior Notes: | |||||
1,365,000 | 8.375% due 3/15/13 | 1,470,787 | |||
525,000 | 6.375% due 6/15/15 | 525,656 | |||
EchoStar DBS Corp., Senior Notes: | |||||
1,775,000 | 6.625% due 10/1/14 | 1,735,062 | |||
825,000 | 7.125% due 2/1/16 (b) | 820,875 | |||
1,300,000 | Houghton Mifflin Co., Senior Discount Notes, step bond to yield 20.129% | ||||
due 10/15/13 | 1,085,500 | ||||
475,000 | Interep National Radio Sales Inc., Senior Subordinated Notes, Series B, | ||||
10.000% due 7/1/08 | 406,719 | ||||
1,175,000 | Lamar Media Corp., Senior Subordinated Notes, 6.625% due 8/15/15 | 1,194,094 | |||
1,000,000 | LodgeNet Entertainment Corp., Senior Subordinated Debentures, 9.500% due 6/15/13 | 1,085,000 | |||
500,000 | Mediacom Broadband LLC, Senior Notes, 8.500% due 10/15/15 | 482,500 | |||
525,000 | Mediacom Broadband LLC/Mediacom Broadband Corp., Senior Notes, | ||||
11.000% due 7/15/13 | 564,375 | ||||
275,000 | Mediacom LLC/Mediacom Capital Corp., Senior Notes, 9.500% due 1/15/13 | 276,375 |
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Media (continued) | |||||
R.H. Donnelley Corp.: | |||||
Senior Discount Notes: | |||||
200,000 | Series A-1, 6.875% due 1/15/13 (b) |
$
|
189,000 | ||
325,000 | Series A-2, 6.875% due 1/15/13 (b) | 307,125 | |||
550,000 | Senior Notes, Series A-3, 8.875% due 1/15/16 (b) | 576,813 | |||
1,000,000 | R.H. Donnelley Inc., Senior Subordinated Notes, 10.875% due 12/15/12 | 1,130,000 | |||
1,850,000 | Radio One Inc., Senior Subordinated Notes, 6.375% due 2/15/13 | 1,785,250 | |||
1,100,000 | Rogers Cable Inc., Senior Secured Notes, 7.875% due 5/1/12 | 1,193,500 | |||
1,075,000 | Sinclair Broadcast Group Inc., Senior Subordinated Notes, 8.000% due 3/15/12 | 1,103,219 | |||
1,100,000 | Vertis Inc., Senior Secured Second Lien Notes, 9.750% due 4/1/09 | 1,144,000 | |||
225,000 | Videotron Ltee., Senior Notes, 6.375% due 12/15/15 | 223,875 | |||
1,200,000 | Young Broadcasting Inc., Senior Subordinated Notes, 8.750% due 1/15/14 | 1,014,000 | |||
|
|||||
Total Media | 32,102,500 | ||||
|
|||||
Metals & Mining 0.5% | |||||
750,000 | Aleris International Inc., Senior Secured Notes, 10.375% due 10/15/10 | 828,750 | |||
1,050,000 | Corporacion Nacional del Cobre-Codelco, Notes, 5.500% due 10/15/13 (b) | 1,062,897 | |||
525,000 | IPSCO Inc., Senior Notes, 8.750% due 6/1/13 | 576,187 | |||
1,250,000 | Novelis Inc., Senior Notes, 7.250% due 2/15/15 (b) | 1,218,750 | |||
|
|||||
Total Metals & Mining | 3,686,584 | ||||
|
|||||
Multiline Retail 0.1% | |||||
625,000 | Harry & David Operations, Senior Notes, 9.000% due 3/1/13 | 609,375 | |||
400,000 | Neiman Marcus Group Inc., Senior Subordinated Notes, 10.375% due | ||||
10/15/15 (b) | 423,000 | ||||
|
|||||
Total Multiline Retail | 1,032,375 | ||||
|
|||||
Office Electronics 0.1%
|
|||||
800,000 | Xerox Capital Trust I Exchange Capital Securities, 8.000% due 2/1/27 | 832,000 | |||
|
|||||
Oil, Gas & Consumable Fuels 3.2% | |||||
Chesapeake Energy Corp., Senior Notes: | |||||
1,350,000 | 6.375% due 6/15/15 | 1,356,750 | |||
1,200,000 | 6.625% due 1/15/16 | 1,224,000 | |||
50,000 | 6.875% due 11/15/20 (b) | 51,625 | |||
812,000 | Cimarex Energy Co., Senior Notes, 9.600% due 3/15/12 | 881,020 | |||
El Paso Corp.: | |||||
Medium-Term Notes: | |||||
2,050,000 | 7.375% due 12/15/12 | 2,137,125 | |||
1,400,000 | 7.750% due 1/15/32 | 1,494,500 | |||
125,000 | Notes, 7.875% due 6/15/12 | 133,125 | |||
600,000 | EXCO Resources Inc., Senior Notes, 7.250% due 1/15/11 | 615,000 | |||
800,000 | Hanover Equipment Trust, Secured Notes, 8.750% due 9/1/11 | 848,000 | |||
600,000 | Holly Energy Partners, L.P., Senior Notes, 6.250% due 3/1/15 | 580,500 | |||
1,225,000 | Kerr-McGee Corp., Secured Notes, 6.875% due 9/15/11 | 1,299,116 | |||
Massey Energy Co., Senior Notes: | |||||
625,000 | 6.625% due 11/15/10 | 642,188 | |||
250,000 | 6.875% due 12/15/13 (b) | 250,625 | |||
Pemex Project Funding Master Trust: | |||||
5,000,000 | 8.625% due 12/1/23 | 6,212,500 | |||
800,000 | Guaranteed Bonds, 9.500% due 9/15/27 | 1,094,000 | |||
3,000,000 | Petronas Capital Ltd., 7.875% due 5/22/22 (b) | 3,721,353 | |||
275,000 | Swift Energy Co., Senior Subordinated Notes, 9.375% due 5/1/12 | 297,000 | |||
Williams Cos. Inc.: | |||||
950,000 | Notes, 8.750% due 3/15/32 | 1,154,250 |
See Notes to Schedule of Investments.
7
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Oil, Gas & Consumable Fuels (continued) | |||||
1,000,000 | Senior Notes, 7.625% due 7/15/19 |
$ |
1,105,000 | ||
|
|||||
Total Oil, Gas & Consumable Fuels | 25,097,677 | ||||
|
|||||
Paper & Forest Products 0.7%
|
|||||
Abitibi-Consolidated Inc.: | |||||
660,000 | Debentures, 8.850% due 8/1/30 | 583,275 | |||
425,000 | Notes, 7.750% due 6/15/11 | 403,219 | |||
340,000 | Senior Notes, 8.375% due 4/1/15 | 323,000 | |||
Appleton Papers Inc.: | |||||
375,000 | Senior Notes, 8.125% due 6/15/11 | 377,812 | |||
375,000 | Senior Subordinated Notes, Series B, 9.750% due 6/15/14 | 362,813 |
|||
1,375,000 | Boise Cascade, LLC, Senior Subordinated Notes, Series B, 7.125% due | ||||
10/15/14 | 1,313,125 | ||||
500,000 | Bowater Inc., Debentures, 9.500% due 10/15/12 | 522,500 | |||
1,500,000 | Buckeye Technologies Inc., Senior Subordinated Notes, 8.000% due 10/15/10 | 1,473,750 | |||
|
|||||
Total Paper & Forest Products | 5,359,494 | ||||
|
|||||
Personal Products 0.3% | |||||
1,225,000 | DEL Laboratories Inc., Senior Subordinated Notes, 8.000% due 2/1/12 | 1,015,219 | |||
1,050,000 | Playtex Products Inc., Senior Subordinated Notes, 9.375% due 6/1/11 | 1,105,125 | |||
|
|||||
Total Personal Products | 2,120,344 | ||||
|
|||||
Real Estate 0.6% | |||||
1,200,000 | Felcor Lodging LP, Senior Notes, 9.000% due 6/1/11 | 1,332,000 | |||
2,275,000 | Host Marriott LP, Senior Notes, 7.125% due 11/1/13 | 2,360,312 | |||
1,000,000 | MeriStar Hospitality Operating Partnership LP/MeriStar Hospitality Finance | ||||
Corp., Senior Notes, 10.500% due 6/15/09 | 1,068,750 | ||||
|
|||||
Total Real Estate | 4,761,062 | ||||
|
|||||
Semiconductors & Semiconductor Equipment 0.3% | |||||
Amkor Technology Inc.: | |||||
Senior Notes: | |||||
1,475,000 | 9.250% due 2/15/08 | 1,504,500 | |||
91,000 | 7.750% due 5/15/13 | 86,678 | |||
400,000 | Senior Subordinated Notes, 10.500% due 5/1/09 | 400,000 | |||
|
|||||
Total Semiconductors & Semiconductor Equipment | 1,991,178 | ||||
|
|||||
Specialty Retail 0.7% | |||||
2,000,000 | Buffets Inc., Senior Subordinated Notes, 11.250% due 7/15/10 | 2,090,000 | |||
425,000 | Eye Care Centers of America, Senior Subordinated Notes, 10.750% due 2/15/15 | 417,563 | |||
400,000 | Finlay Fine Jewelry Corp., Senior Notes, 8.375% due 6/1/12 | 358,000 | |||
1,400,000 | Hines Nurseries Inc., Senior Notes, 10.250% due 10/1/11 | 1,405,250 | |||
990,000 | Jafra Cosmetics International Inc., Senior Subordinated Notes, 10.750% due 5/15/11 | 1,082,812 | |||
350,000 | Toys "R" Us Inc., Senior Notes, 7.375% due 10/15/18 | 266,000 | |||
|
|||||
Total Specialty Retail | 5,619,625 | ||||
|
|||||
Textiles, Apparel & Luxury Goods 0.5%
|
|||||
125,000 | Collins & Aikman Floor Covering Inc., Senior Subordinated Notes, Series B, | ||||
9.750% due 2/15/10 | 118,750 | ||||
Levi Strauss & Co., Senior Notes: | |||||
300,000 | 9.280% due 4/1/12 (e) | 311,250 | |||
225,000 | 12.250% due 12/15/12 | 258,187 | |||
1,100,000 | 9.750% due 1/15/15 | 1,177,000 | |||
550,000 | Quiksilver Inc., Senior Notes, 6.875% due 4/15/15 | 533,500 | |||
350,000 | Simmons Bedding Co., Senior Subordinated Notes, 7.875% due 1/15/14 | 337,750 |
See Notes to Schedule of Investments.
8
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Textiles, Apparel & Luxury Goods (continued) | |||||
1,375,000 | Simmons Co., Senior Discount Notes, step bond to yield 12.505% due 12/15/14 | $ | 831,875 | ||
|
|
||||
Total Textiles, Apparel & Luxury Goods | 3,568,312 | ||||
|
|
||||
Wireless Telecommunication Services 1.1% | |||||
Centennial Communications Corp., Senior Notes: | |||||
625,000 | 10.250% due 1/1/13 (b)(e) | 648,437 | |||
375,000 | 10.125% due 6/15/13 | 412,500 | |||
100,000 | Dobson Cellular Systems Inc., Senior Secured Notes, 8.375% due 11/1/11 | 106,500 | |||
3,700,000 | Nextel Communications Inc., Senior Notes, Series D, 7.375% due 8/1/15 | 3,915,962 | |||
1,125,000 | Rogers Wireless Communications Inc., Secured Notes, 7.500% due 3/15/15 | 1,226,250 | |||
SBA Communications Corp.: | |||||
179,000 | Senior Discount Notes, step bond to yield 7.299% due 12/15/11 | 170,498 | |||
585,000 | Senior Notes, 8.500% due 12/1/12 | 646,425 | |||
700,000 | UbiquiTel Operating Co., Senior Notes, 9.875% due 3/1/11 | 773,500 | |||
700,000 | US Unwired Inc., Second Priority Secured Notes, Series B, 10.000% due 6/15/12 | 794,500 | |||
|
|
||||
Total Wireless Telecommunication Services | 8,694,572 | ||||
|
|
||||
TOTAL CORPORATE BONDS & NOTES | |||||
(Cost $251,231,882) | 251,651,903 | ||||
|
|
||||
ASSET-BACKED SECURITIES 0.6% | |||||
Credit Card 0.0% | |||||
33,359 | First Consumers Master Trust, Series 2001-A, Class A, 4.880% due 9/15/08 (e) | 33,338 | |||
|
|
||||
Home Equity 0.6%
|
|||||
80,371 | AQ Finance NIM Trust, Series 2004-RN5, Class A, 5.193% due 6/25/34 (b) | 80,049 | |||
96,693 | Bear Stearns Asset-Backed Securities Inc. NIM Trust, Series 2004-HE5N, | ||||
Class A2, 5.000% due 7/25/34 (b) | 96,624 | ||||
98,284 | Bear Stearns Asset-Backed Securities NIM Trust, Series 2004-HE6N, Class | ||||
A1, 5.250% due 8/25/34 (b) | 98,068 | ||||
240,524 | Countrywide Asset-Backed Certificates, Series 2004-05N, Class N1, 5.500% | ||||
due 10/25/35 (b) | 240,172 | ||||
230,607 | Finance America NIM Trust, Series 2004-01, Class A, 5.250% due 6/27/34 (b) | 230,219 | |||
350,883 | Long Beach Asset Holdings Corp., Series 2004-06, Class N2, 7.500% due | ||||
11/25/34 (b) | 249,127 | ||||
Sail NIM Notes: | |||||
15,210 | Series 2003-6A, Class A, 7.000% due 7/27/33 (b) | 15,211 | |||
49,343 | Series 2003-7A, Class A, 7.000% due 7/27/33 (b) | 48,928 | |||
202,041 | Series 2004-008A, Class A, 5.000% due 9/27/34 (b) | 201,532 | |||
472,050 | Series 2004-AA, Class A, 4.500% due 10/27/34 (b) | 470,220 | |||
1,130,590 | Series 2004-AA, Class B, 7.500% due 10/27/34 (b) | 923,550 | |||
350,922 | Series 2004-BN2A, Class B, 7.000% due 12/27/34 (b) | 321,971 | |||
505,368 | Series 2005-1A, Class B, 7.500% due 2/27/35 (b) | 480,889 | |||
149,510 | Sharp SP I LLC, NIM Trust, Series 2004-HS1N, 5.920% due 2/25/34 (b) | 148,080 | |||
1,500,000 | Structured Asset Investment Loan Trust, Series 2003-BC10, Class M2, | ||||
6.431% due 10/25/33 (e) | 1,508,887 | ||||
|
|
||||
Total Home Equity | 5,113,527 | ||||
|
|
||||
TOTAL ASSET-BACKED SECURITIES | |||||
(Cost $5,445,619) | 5,146,865 | ||||
|
|
||||
COLLATERALIZED MORTGAGE OBLIGATIONS 0.7% | |||||
Federal National Mortgage Association (FNMA) STRIP: | |||||
10,509,856 | Series 329, Class 2, IO, 5.500% due 1/1/33 | 2,364,634 |
See Notes to Schedule of Investments.
9
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
COLLATERALIZED MORTGAGE OBLIGATIONS (continued) | |||||
12,844,908 | Series 338, Class 2, IO, 5.500% due 7/1/33 |
$
|
2,872,236 | ||
|
|
||||
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS | |||||
(Cost $6,401,797) | 5,236,870 | ||||
|
|
||||
MORTGAGE-BACKED SECURITIES(f)(g) 31.8% | |||||
FHLMC 11.1% | |||||
Federal Home Loan Mortgage Corp. (FHLMC), Gold: | |||||
70,000,000 | 5.000% due 3/1/36 | 67,834,340 | |||
10,000,000 | 5.500% due 3/1/36 | 9,915,620 | |||
10,000,000 | 6.000% due 3/1/36 | 10,096,880 | |||
|
|
||||
TOTAL FHLMC | 87,846,840 | ||||
|
|
||||
FNMA 20.7% | |||||
Federal National Mortgage Association (FNMA): | |||||
90,000,000 | 5.000% due 3/1/36 | 87,440,580 | |||
20,000,000 | 5.500% due 3/1/36 | 19,818,760 | |||
55,000,000 | 6.000% due 3/1/36 | 55,515,625 | |||
|
|
||||
TOTAL FNMA | 162,774,965 | ||||
|
|
||||
TOTAL MORTGAGE-BACKED SECURITIES | |||||
(Cost $254,087,503) | 250,621,805 | ||||
|
|
||||
SOVEREIGN BONDS 14.8% | |||||
Argentina 0.7% | |||||
Republic of Argentina: | |||||
1,074,000 | EUR | 9.000% due 6/20/03 (d) | 414,519 | ||
1,100,000 | EUR | 10.250% due 1/26/07 (d) | 442,586 | ||
1,729,117 | EUR | 8.000% due 2/26/08 (d) | 677,674 | ||
2,275,000 | 4.889% due 8/3/12 (e) | 2,122,910 | |||
1,550,000 | DEM | 11.750% due 11/13/26 (d) | 296,425 | ||
2,628,948 | ARS | Discount Bonds, 5.830% due 12/31/33 (e) | 1,061,515 | ||
GDP-Linked Securities: | |||||
1,385,000 | 0.000% due 12/15/35 (e) | 106,991 | |||
1,075,000 | EUR | 0.000% due 12/15/35 (e) | 98,039 | ||
522,000 | EUR | Medium-Term Notes, 10.000% due 2/22/07 (d) | 208,471 | ||
1,385,000 | Par Bonds, step bond to yield 9.183% due 12/31/38 | 558,848 | |||
|
|
||||
Total Argentina | 5,987,978 | ||||
|
|||||
Brazil 3.2% | |||||
Federative Republic of Brazil: | |||||
Collective Action Securities: | |||||
1,810,000 | 8.000% due 1/15/18 | 2,029,915 | |||
2,565,000 | 8.750% due 2/4/25 | 3,116,475 | |||
DCB, Series L: | |||||
13,692,308 | 5.250% due 4/15/12 (e) | 13,695,731 | |||
191,179 | Registered, 5.250% due 4/15/12 (e) | 191,227 | |||
6,057,692 | FLIRB, Series L, 5.188% due 4/15/09 (e) | 6,061,478 | |||
|
|
||||
Total Brazil | 25,094,826 | ||||
|
|
||||
Bulgaria 0.2% | |||||
1,630,000 | Republic of Bulgaria, 8.250% due 1/15/15 (b) | 1,956,000 | |||
|
|
||||
Chile 0.2% | |||||
1,430,000 | Republic of Chile, 5.500% due 1/15/13 | 1,459,712 | |||
|
|
||||
China 0.1% | |||||
655,000 | People's Republic of China, 4.750% due 10/29/13 | 641,537 | |||
|
|
See Notes to Schedule of Investments.
10
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | VALUE | ||||
|
|
|
|
||
Colombia 0.8% | |||||
Republic of Colombia: | |||||
1,150,000 | 8.125% due 5/21/24 | $ |
1,347,225 | ||
2,555,000 | 10.375% due 1/28/33 | 3,730,300 | |||
1,125,000 | Medium-Term Notes, 11.750% due 2/25/20 | 1,684,125 | |||
|
|
|
|
|
|
Total Colombia | 6,761,650 | ||||
|
|
|
|
|
|
Ecuador 0.2% | |||||
1,785,000 | Republic of Ecuador, step bond to yield 8.812% due 8/15/30 (b) | 1,770,720 | |||
|
|
|
|
|
|
El Salvador 0.3% | |||||
Republic of El Salvador: | |||||
1,720,000 | 7.750% due 1/24/23 (b) | 1,950,050 | |||
330,000 | 8.250% due 4/10/32 (b) | 387,750 | |||
|
|
|
|
|
|
Total El Salvador | 2,337,800 | ||||
|
|
|
|
|
|
Mexico 2.2% | |||||
United Mexican States: | |||||
300,000 | 11.375% due 9/15/16 | 441,450 | |||
Medium-Term Notes, Series A: | |||||
8,640,000 | 6.375% due 1/16/13 | 9,115,200 | |||
6,275,000 | 8.000% due 9/24/22 | 7,781,000 | |||
|
|
|
|
|
|
Total Mexico | 17,337,650 | ||||
|
|
|
|
|
|
Panama 0.5% | |||||
Republic of Panama: | |||||
1,275,000 | 9.375% due 4/1/29 | 1,673,438 | |||
2,556,176 | IRB, 5.563% due 7/17/14 (e) | 2,556,176 | |||
|
|
|
|
|
|
Total Panama | 4,229,614 | ||||
|
|
|
|
|
|
Peru 1.0% | |||||
Republic of Peru: | |||||
810,000 | 9.125% due 2/21/12 | 938,385 | |||
425,000 | 9.875% due 2/6/15 | 529,125 | |||
80,000 | 8.750% due 11/21/33 | 97,200 | |||
4,287,500 | FLIRB, 5.000% due 3/7/17 (e) | 4,180,312 | |||
Global Bonds: | |||||
305,000 | 8.375% due 5/3/16 | 353,800 | |||
1,565,000 | 7.350% due 7/21/25 | 1,654,988 | |||
|
|
|
|
|
|
Total Peru | 7,753,810 | ||||
|
|
|
|
|
|
Philippines 0.8% | |||||
Republic of the Philippines: | |||||
1,475,000 | 9.000% due 2/15/13 | 1,661,145 | |||
650,000 | 8.250% due 1/15/14 | 705,250 | |||
400,000 | 8.000% due 1/15/16 | 429,980 | |||
1,725,000 | 9.375% due 1/18/17 | 2,011,695 | |||
1,100,000 | Senior Notes, 9.500% due 2/2/30 | 1,318,625 | |||
|
|
|
|
|
|
Total Philippines | 6,126,695 | ||||
|
|
|
|
|
|
Poland 0.2% | |||||
1,420,000 | Republic of Poland, 5.250% due 1/15/14 | 1,429,763 | |||
|
|
|
|
|
|
Russia 1.7% | |||||
Russian Federation: | |||||
1,400,000 | 8.250% due 3/31/10 (b) | 1,481,375 | |||
1,150,000 | 11.000% due 7/24/18 (b) | 1,702,000 | |||
4,525,000 | 12.750% due 6/24/28 (b) | 8,382,562 |
See Notes to Schedule of Investments.
11
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
|
VALUE | ||||
|
|
|
|
||
Russia (continued) | |||||
1,400,000 | Step bond to yield 2.794% due 3/31/30 (b) | $ |
1,582,000 | ||
|
|
||||
Total Russia | 13,147,937 | ||||
|
|
||||
South Africa 0.3% | |||||
Republic of South Africa: | |||||
1,350,000 | 9.125% due 5/19/09 | 1,505,250 | |||
525,000 | 6.500% due 6/2/14 | 567,656 | |||
|
|
||||
Total South Africa | 2,072,906 | ||||
|
|
||||
Turkey 1.2% | |||||
Republic of Turkey: | |||||
475,000 | 11.750% due 6/15/10 | 581,875 | |||
1,100,000 | 11.000% due 1/14/13 | 1,412,125 | |||
1,475,000 | 7.250% due 3/15/15 | 1,580,094 | |||
2,250,000 | 7.000% due 6/5/20 | 2,337,187 | |||
1,095,000 | 11.875% due 1/15/30 | 1,738,312 | |||
1,525,000 | Collective Action Securities, Notes, 7.375% due 2/5/25 | 1,629,844 | |||
|
|
||||
Total Turkey | 9,279,437 | ||||
|
|
||||
Ukraine 0.2% | |||||
1,310,000 | Republic of Ukraine, 7.650% due 6/11/13 (b) | 1,414,800 | |||
|
|
||||
Uruguay 0.3% | |||||
2,075,000 | Republic of Uruguay, Benchmark Bonds, 7.500% due 3/15/15 | 2,209,875 | |||
|
|
||||
Venezuela 0.7% | |||||
Bolivarian Republic of Venezuela: | |||||
3,245,000 | 5.375% due 8/7/10 (b) | 3,176,044 | |||
1,475,000 | 7.650% due 4/21/25 | 1,609,594 | |||
875,000 | Collective Action Securities, 10.750% due 9/19/13 | 1,106,437 | |||
|
|
||||
Total Venezuela | 5,892,075 | ||||
|
|
||||
TOTAL SOVEREIGN BONDS | |||||
(Cost $105,370,927) | 116,904,785 | ||||
|
|
||||
SHARES |
|
||||
|
|
|
|
||
COMMON STOCKS 0.1% | |||||
CONSUMER DISCRETIONARY 0.1% | |||||
Household Durables 0.1% | |||||
2,085,181 | Home Interiors of Gifts Inc. (h)(i)* | 562,999 | |||
|
|
||||
MATERIALS 0.0% | |||||
Chemicals 0.0% | |||||
30,303 | Applied Extrusion Technologies Inc., Class A Shares * | 265,151 | |||
|
|
||||
TOTAL COMMON STOCKS | |||||
(Cost $1,798,746) | 828,150 | ||||
|
|
||||
WARRANT | |||||
|
|
|
|
||
WARRANTS 0.1% | |||||
2,675 | Bolivarian Republic of Venezuela, Expires 4/15/20* | 85,600 | |||
450 | Mueller Holdings Inc., Expires 4/15/14(h)* | 5 | |||
United Mexican States: | |||||
27,000 | Series XW5, Expires 11/9/06* | 95,850 | |||
21,250 | Series XW10, Expires 10/10/06* | 98,812 | |||
20,000 | Series XW20, Expires 9/1/06* | 160,000 | |||
|
|
||||
TOTAL WARRANTS | |||||
(Cost $284,800) | 440,267 | ||||
|
|
||||
TOTAL INVESTMENTS BEFORE SHORT-TERM INVESTMENTS | |||||
(Cost $624,621,274) | $ |
630,830,645 |
|||
|
See Notes to Schedule of Investments.
12
SALOMON BROTHERS GLOBAL HIGH INCOME FUND INC.
Schedule of Investments (unaudited) (continued) | February 28, 2006 |
FACE | |||||
AMOUNT | SECURITY(a) | VALUE | |||
|
|
|
|
||
SHORT-TERM INVESTMENTS 20.0% | |||||
Repurchase Agreements 20.0% | |||||
$52,438,000 | Interest in $314,378,000 joint tri-party repurchase agreement dated 2/28/06 | ||||
with Banc of America Securities LLC, 4.560% due 3/1/06; Proceeds at | |||||
maturity - $52,444,642; (Fully collateralized by various U.S. government | |||||
agency obligations, 0.000% to 8.430% due 3/17/06 to 4/30/26; Market | |||||
value - $53,486,809) | $ | 52,438,000 |
|||
35,000,000 | Interest in $460,617,000 joint tri-party repurchase agreement dated 2/28/06 | ||||
with Morgan Stanley, 4.560% due 3/1/06; Proceeds at maturity - | |||||
$35,004,433; (Fully collateralized by various U.S. government agency | |||||
obligations, 0.000% to 6.375% due 8/1/11 to 10/15/28; Market value - | |||||
$35,744,086) | 35,000,000 | ||||
35,000,000 | Interest in $597,866,000 joint tri-party repurchase agreement dated 2/28/06 | ||||
with Merrill Lynch, Pierce, Fenner & Smith Inc., 4.550% due 3/1/06; | |||||
Proceeds at maturity - $35,004,424; (Fully collateralized by various U.S. | |||||
Treasury Bills, 0.000% due 4/13/06 to 7/20/06; Market value - | |||||
$35,700,225) | 35,000,000 | ||||
35,000,000 | Interest in $598,216,000 joint tri-party repurchase agreement dated 2/28/06 | ||||
with Deutsche Bank Securities Inc., 4.560% due 3/1/06; Proceeds at | |||||
maturity - $35,004,433; (Fully collateralized by various U.S. government | |||||
agency obligations, 0.000% to 6.875% due 4/21/06 to 12/11/20; Market | |||||
value - $35,700,033) | 35,000,000 | ||||
|
|||||
TOTAL SHORT-TERM INVESTMENTS | |||||
(Cost $157,438,000) | 157,438,000 | ||||
|
|||||
TOTAL INVESTMENTS 100.0% (Cost $782,059,274#) | $ |
788,268,645 | |||
|
* | Non-income producing security. |
| Face amount denominated in U.S. dollars, unless otherwise noted. |
(a) | All securities are segregated as collateral pursuant to a revolving credit facility, mortgage dollar rolls and/or futures contracts. |
(b) | Security is exempt from registration under Rule 144A of the Securities Act of 1933. This security may be resold in transactions that are exempt from registration, normally to qualified institutional buyers. This security has been deemed liquid pursuant to guidelines approved by the Board of Directors, unless otherwise noted. |
(c) | Payment-in-kind security for which part of the income earned may be paid as additional principle. |
(d) | Security is currently in default. |
(e) | Variable rate security. Interest rate disclosed is that which is in effect at February 28, 2006. |
(f) | This security is traded on a to-be-announced ("TBA") basis (See Note 1). |
(g) | All or a portion of this security was acquired under mortgage dollar roll agreement (See Notes 1 and 2 ). |
(h) | Security is valued in good faith at fair value by or under the direction of the Board of Directors (See Note 1). |
(i) | Illiquid security. |
# | Aggregate cost for federal income tax purposes is substantially the same. |
Abbreviations used in this schedule: | |
ARS - Argentine Peso | |
DCB - Debt Conversion Bond | |
DEM - German Mark | |
EUR - Euro | |
FLIRB - Front-Loaded Interest Reduction Bonds | |
GDP - Gross Domestic Product | |
IO - Interest Only | |
IRB - Interest Reduction Bond | |
MXN - Mexican Peso | |
NIM - Net Interest Margin |
See Notes to Schedule of Investments.
13
Notes to Schedule of Investments (unaudited)
1. Organization and Significant Accounting Policies
The Salomon Brothers Global High Income Fund Inc. (the Fund) was incorporated in Maryland and is registered as a non-diversified, closed-end management investment company under the Investment Company Act of 1940, as amended, (the "1940 Act").
The following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (GAAP).
(a) Investment Valuation. Debt securities are valued at the mean between the bid and asked prices provided by an independent pricing service that are based on transactions in debt obligations, quotations from bond dealers, market transactions in comparable securities and various relationships between securities. Equity securities for which market quotations are available are valued at the last sale price or official closing price on the primary market or exchange on which they trade. When prices are not readily available, or are determined not to reflect fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded, but before the Fund calculates its net asset value, the Fund may value these investments at fair value as determined in accordance with the procedures approved by the Funds Board of Directors. Short-term obligations with maturities of 60 days or less are valued at amortized cost, which approximates market value.
(b) Repurchase Agreements. When entering into repurchase agreements, it is the Fund's policy that its custodian or a third party custodian take possession of the underlying collateral securities, the market value of which at least equals the principal amount of the repurchase transaction, including accrued interest. To the extent that any repurchase transaction exceeds one business day, the value of the collateral is marked-to-market to ensure the adequacy of the collateral. If the seller defaults, and the market 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.
(c) Financial Futures Contracts. The Fund may enter into financial futures contracts typically to hedge a portion of the portfolio. Upon entering into a financial futures contract, the Fund is required to deposit cash or securities as initial margin. Additional securities are also segregated up to the current market value of the financial futures contracts. Subsequent payments, known as variation margin, are made or received by the Fund each day, depending on the daily fluctuation in the value of the underlying financial instruments. The Fund recognizes an unrealized gain or loss equal to the daily variation margin. When the financial futures contracts are closed, a realized gain or loss is recognized equal to the difference between the proceeds from (or cost of) the closing transactions and the Funds basis in the contracts.
The risks associated with entering into financial futures contracts include the possibility that a change in the value of the contract may not correlate with the changes in the value of the underlying instruments. In addition, investing in financial futures contracts involves the risk that the Fund could lose more than the original margin deposit and subsequent payments required for a futures transaction. Risks may also arise upon entering into these contracts from the potential inability of the counterparties to meet the terms of their contracts.
(d) Securities Traded on a To-Be-Announced Basis. The Fund may trade securities on a to-be-announced (TBA) basis. In a TBA transaction, the Fund commits to purchasing or selling securities which have not yet been issued by the issuer and for which specific information is not known, such as the face amount and maturity date and the underlying pool of investments in U.S. government agency mortgage pass-through transactions. Securities purchased on a TBA basis are not settled until they are delivered to the Fund, normally 15 to 45 days later. Beginning on the date the Fund enters into a TBA transaction, cash, U.S. government securities or other liquid high-grade debt obligations are segregated in an amount equal in value to the purchase price of the TBA security. These transactions are subject to market fluctuations and their current value is determined in the same manner as for other securities.
(e) Mortgage Dollar Rolls. The Fund enters into dollar rolls in which the Fund sells mortgage-backed securities for delivery in the current month and simultaneously contracts to repurchase substantially similar (same type, coupon and maturity) securities to settle on a specified future date. During the roll period, the Fund forgoes principal and interest paid on the securities. The Fund is compensated by a fee paid by the counterparty, often in the form of a drop in the repurchase price of the securities. Dollar rolls are accounted for as financing arrangements; the fee is accrued into
interest income ratably over the term of the dollar roll and any gain or loss on the roll is deferred and realized upon disposition of the rolled security.
The risk of entering into a mortgage dollar roll is that the market value of the securities the Fund is obligated to repurchase under the agreement may decline below the repurchase price. In the event the buyer of securities under a mortgage dollar roll files for bankruptcy or becomes insolvent, the Funds use of proceeds of the dollar roll may be restricted pending a determination by the other party, or its trustee or receiver, whether to enforce the Funds obligation to repurchase the securities.
(f) Foreign Currency Translation. Investment securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts based upon prevailing exchange rates on the date of valuation. Purchases and sales of investment securities and income and expense items denominated in foreign currencies are translated into U.S. dollar amounts based upon prevailing exchange rates on the respective dates of such transactions.
Foreign security and currency transactions may involve certain considerations and risks not typically associated with those of U.S. dollar denominated transactions as a result of, among other factors, the possibility of lower levels of governmental supervision and regulation of foreign securities markets and the possibility of political or economic instability.
(g) Credit and Market Risk. The Fund invests in high yield and emerging market instruments that are subject to certain credit and market risks. The yields of high yield and emerging market debt obligations reflect, among other things, perceived credit and market risk. The Funds investment in securities rated below investment grade typically involve risks not associated with higher rated securities including, among others, greater risk related to timely and ultimate payment of interest and principal, greater market price volatility and less liquid secondary market trading. The consequences of political, social, economic or diplomatic changes may have disruptive effects on the market prices of investments held by the Fund. The Funds investment in non-dollar denominated securities may also result in foreign currency losses caused by devaluations and exchange rate fluctuations.
(h) Security Transactions. Security transactions are accounted for on a trade date basis.
2. Investments
At February 28, 2006, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows:
Gross unrealized appreciation | $ | 18,336,632 | |
Gross unrealized depreciation | (12,127,261 | ) | |
|
|
|
|
Net unrealized appreciation | $ | 6,209,371 | |
|
|
|
|
Number of | Expiration | Basis | Market | Unrealized | ||||||||
Contracts to Sell: | Contracts | Date | Value | Value | Gain | |||||||
U.S. Treasury 2-Year Note | 42 | 3/06 | $ | 8,607,217 | $ | 8,583,094 | $ | 24,123 | ||||
U.S. Treasury 5-Year Note | 396 | 3/06 | 41,909,539 | 41,672,813 | 236,726 | |||||||
U.S. Treasury 10-Year Note | 1,123 | 3/06 | 121,730,098 | 121,284,000 | 446,098 | |||||||
|
|
|||||||||||
Net Unrealized Gain on Open Futures Contracts |
$ | 706,947 | ||||||||||
At February 28, 2006, the Fund has outstanding mortgage dollar rolls with a total cost of $254,087,503.
3. Loan
At February 28, 2006, the Fund had a $100,000,000 loan available pursuant to a revolving credit and security agreement, of which the Fund had $100,000,000 outstanding with CHARTA, LLC (as successor by assignment to CXC, LLC) (the "Lender''). The loan generally bears interest at a variable rate based on the weighted average interest rates of the commercial paper or LIBOR, plus any applicable margin. Securities held by the Fund are subject to a lien, granted to the Lender, to the extent of the borrowing outstanding and any additional expenses.
ITEM 2. |
CONTROLS AND PROCEDURES. | |
(a) |
The registrants principal executive officer and principal financial officer have concluded that the registrants disclosure controls and procedures (as defined in Rule 30a- 3(c) under the Investment Company Act of 1940, as amended (the 1940 Act)) are effective as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934 | |
(b) |
There were no changes in the registrants internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrants last fiscal quarter that have materially affected, or are likely to materially affect the registrants internal control over financial reporting. | |
ITEM 3. |
EXHIBITS. | |
Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are attached hereto. | ||
attached hereto. | ||
SIGNATURES
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.
Salomon Brothers Global High Income Fund Inc.By: | ||
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Date: |
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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: | ||
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Date: |
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By: | ||
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Date: |
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