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 |
811-21311 |
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PIMCO High Income Fund |
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(Exact name of registrant as specified in charter) |
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1345 Avenue of the Americas, New York, NY |
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10105 |
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(Address of principal executive offices) |
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(Zip code) |
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Lawrence G. Altadonna - 1345 Avenue of the Americas, New York, NY 10105 |
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(Name and address of agent for service) |
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Registrants telephone number, including area code: |
212-739-3371 |
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Date of fiscal year end: |
March 31, 2008 |
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Date of reporting period: |
March 31, 2008 |
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Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (OMB) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
ITEM 1 REPORT TO SHAREHOLDERS
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Contents |
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Letter to Shareholders |
1 |
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Fund Insights/Performance & Statistics |
2 |
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Schedule of Investments |
3-11 |
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Statement of Assets and Liabilities |
12 |
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Statement of Operations |
13 |
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Statement of Changes in Net Assets |
14 |
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Notes to Financial Statements |
15-25 |
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Financial Highlights |
26 |
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Report of Independent Registered Public Accounting Firm |
27 |
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Tax Information/Annual Shareholder Meeting Results |
28 |
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Privacy Policy/Proxy Voting Policies & Procedures |
29 |
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Dividend Reinvestment Plan |
30 |
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Board of Trustees |
31-32 |
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Principal Officers |
33 |
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PIMCO High Income Fund Letter to Shareholders
May 1, 2008
Dear Shareholder:
We are pleased to provide you with the annual report for PIMCO High Income Fund (the Fund) for the fiscal year ended March 31, 2008.
During the reporting period, higher-income U.S. bonds underperformed the broad bond market. The Merrill Lynch High Yield Master II Index returned (3.53)% during the period, compared with the Lehman Brothers Aggregate Bond Index return of 7.67%.
Since February 2008, industry-wide developments in the auction-rate preferred markets have caused auctions for the Funds auction-rate preferred shares (ARPS) to fail, as described in Note 5 in the accompanying notes to Financial Statements. At the time this report is being prepared, it is not possible to predict how and when full or partial liquidity will return, if at all, to the closed-end fund ARPS market. Additional information regarding ARPS, failed auctions and potential solutions to address the unprecedented lack of liquidity of the ARPS due to recent failed auctions can be accessed on our Web site, www.allianzinvestors.com/arps.
For performance and specific information on the Fund please refer to the following pages. If you have any questions regarding the information provided, we encourage you to contact your financial advisor or call the Funds shareholder servicing agent at (800) 331-1710. In addition, a wide range of information and resources is available on our Web site, www.allianzinvestors.com/closedendfunds.
Together with Allianz Global Investors Fund Management LLC, the Funds investment manager, and Pacific Investment Management Company LLC, the Funds sub-adviser, we thank you for investing with us.
We remain dedicated to serving your financial needs.
Sincerely,
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Hans W. Kertess |
Brian S. Shlissel |
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Chairman |
President & Chief Executive Officer |
3.31.08 | PIMCO High Income Fund Annual Report 1
PIMCO High Income Fund Fund Insights/Performance & Statistics
March 31, 2008 (unaudited)
· |
For the fiscal year ended March 31, 2008, the Fund had a net asset value (NAV) return of (9.87)% and a market price return of (10.55)%. |
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Both security selection and a strong emphasis on the healthcare sector, which was among the top-performing industry categories, added to performance. |
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As significant pressure weighed on the home construction and building products sectors, avoiding those industry categories almost entirely during the 12-month period contributed materially to returns. |
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Within the energy sector, a focus on pipeline companies, which outperformed all other sub-categories of the broader sector, was a positive for performance. |
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A relatively strong emphasis on the automotive sector, which fell lower as auto manufacturer and captive finance companies came under pressure, detracted from returns. |
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As metals and mining bonds outperformed the overall high-yield bond market, alongside the surge in commodity prices, a relatively small weighting to the sector hindered performance. |
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An emphasis on B-rated issues within the high-yield market was a negative, as these bonds underperformed BB-rated bonds by approximately 150 basis points. |
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Modest exposure to emerging market sovereign debt helped performance, as these bonds outperformed the BB/B-rated corporate market by approximately 600 basis points. |
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Total Return(1): |
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Market Price |
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Net Asset Value (NAV) |
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1 year |
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(10.55 |
)% |
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(9.87 |
)% |
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3 year |
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8.09 |
% |
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4.34 |
% |
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Commencement of Operations (4/30/03) to 3/31/08 |
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8.17 |
% |
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8.07 |
% |
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Common Share Market Price/NAV Performance: |
Market Price/NAV: |
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Commencement of Operations (4/30/03) to 3/31/08 |
Market Price |
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$11.72 |
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NAV |
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$11.28 |
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Premium to NAV |
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3.90% |
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Market Price Yield(2) |
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12.48% |
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Moodys Rating (as a % of total investments) |
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(1) Past performance is no guarantee of future results. Returns are calculated by determining the percentage change in net asset value or market share price (as applicable) in the period covered. The calculation assumes that all of the Funds income dividends and capital gain distributions have been reinvested. Total return does not reflect broker commissions or sales charges. Total return for a period of more than one year represents the average annual total return.
The Funds performance at market price will differ from its results at NAV. Although market price returns typically reflect investment results over time, during shorter periods returns at market price can also be influenced by factors such as changing views about the Fund, market conditions, supply and demand for the Funds shares, or changes in Fund distributions.
An investment in the Fund involves risk, including the loss of principal. Investment return, price, yield and net asset value will fluctuate with changes in market conditions. This data is provided for information only and is not intended for trading purposes. Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and once issued, shares of closed-end funds are sold in the open market through a stock exchange. Net asset value is equal to total assets applicable to common shareholders less total liabilities divided by the number of common shares outstanding. Holdings are subject to change daily.
(2) Market Price Yield is determined by dividing the annualized current monthly per share dividend to common shareholders by the market price per common share at March 31, 2008.
2 PIMCO High Income Fund Annual Report | 3.31.08
PIMCO High Income Fund Schedule of Investments
March 31, 2008
Principal |
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Credit Rating |
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Value |
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CORPORATE BONDS & NOTES 75.7% |
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Airlines 0.9% |
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$8,760 |
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American Airlines, Inc., 8.608%, 4/1/11 |
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Baa3/BB+ |
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$8,409,600 |
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Continental Airlines, Inc., |
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11,604 |
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6.92%, 4/2/13 (a) (b) (g) |
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NR/NR |
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11,613,661 |
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3,732 |
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7.373%, 12/15/15 |
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Ba1/BB+ |
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3,377,315 |
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138 |
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United Air Lines, Inc., 6.602%, 9/1/13 |
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Ba2/BBB |
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137,555 |
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23,538,131 |
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Automotive 3.6% |
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Allison Transmission (a) (d), |
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12,000 |
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11.00%, 11/1/15 |
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Caa1/B- |
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10,500,000 |
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4,000 |
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11.25%, 11/1/15, PIK |
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Caa1/B- |
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3,380,000 |
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ArvinMeritor, Inc., |
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1,500 |
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8.125%, 9/15/15 |
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B2/B |
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1,230,000 |
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19,525 |
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8.75%, 3/1/12 |
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B2/B |
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17,963,000 |
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1,000 |
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Cooper-Standard Automotive, Inc., 8.375%, 12/15/14 |
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Caa1/CCC+ |
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762,500 |
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Ford Motor Co., |
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19,350 |
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7.45%, 7/16/31 |
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Caa1/CCC+ |
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12,867,750 |
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3,900 |
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7.50%, 8/1/26 |
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NR/NR |
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2,515,500 |
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3,000 |
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9.215%, 9/15/21 |
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Caa1/CCC+ |
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2,377,500 |
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General Motors Corp., |
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4,000 |
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8.10%, 6/15/24 |
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Caa1/B- |
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2,800,000 |
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1,300 |
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8.25%, 7/15/23 |
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Caa1/B- |
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916,500 |
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3,000 |
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8.80%, 3/1/21 |
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Caa1/B- |
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2,287,500 |
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20,000 |
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9.40%, 7/15/21 |
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Caa1/B- |
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15,300,000 |
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5,596 |
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Goodyear Tire & Rubber Co., 9.00%, 7/1/15 |
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Ba3/BB- |
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5,945,750 |
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Tenneco Automotive, Inc., |
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7,025 |
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8.625%, 11/15/14 |
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B3/B |
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6,937,188 |
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7,214 |
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10.25%, 7/15/13 |
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Ba3/BB |
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7,682,910 |
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93,466,098 |
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Building/Construction 0.5% |
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11,985 |
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Ahern Rentals, Inc., 9.25%, 8/15/13 |
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B3/B+ |
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9,558,037 |
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2,000 |
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Grohe Holding GmbH, 8.625%, 10/1/14 |
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B3/CCC+ |
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2,479,821 |
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12,037,858 |
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Chemicals 1.7% |
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ARCO Chemical Co., |
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$3,808 |
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9.80%, 2/1/20 |
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B3/B |
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3,217,760 |
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2,000 |
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10.25%, 11/1/10 |
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B3/B |
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2,040,000 |
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5,500 |
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Great Lakes Chemical Corp., 7.00%, 7/15/09 |
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Ba2/BB+ |
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5,692,500 |
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21,925 |
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Ineos Group Holdings PLC, 8.50%, 2/15/16 (a) (d) |
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B3/B- |
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17,156,312 |
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15,300 |
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Nalco Co., 8.875%, 11/15/13 |
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B3/B- |
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15,797,250 |
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43,903,822 |
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Commercial Products 0.8% |
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21,200 |
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Hertz Corp., 8.875%, 1/1/14 |
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B1/BB- |
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20,193,000 |
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Computer Services 2.2% |
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20,870 |
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First Data Corp., 9.875%, 9/24/15 (a) (d) |
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B3/B |
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17,191,662 |
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SunGard Data Systems, Inc., |
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21,556 |
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9.125%, 8/15/13 |
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Caa1/B+ |
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21,879,340 |
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17,000 |
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10.25%, 8/15/15 |
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Caa1/B- |
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17,170,000 |
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56,241,002 |
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3.31.08 | PIMCO High Income Fund Annual Report 3
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
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Credit Rating |
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Value |
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Consumer Products 0.9% |
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Buhrmann U.S., Inc., |
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$500 |
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7.875%, 3/1/15 |
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B2/B |
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$470,000 |
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6,875 |
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8.25%, 7/1/14 |
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B2/BB- |
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6,496,875 |
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16,400 |
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NPC International, Inc., 9.50%, 5/1/14 |
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Caa1/B- |
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14,924,000 |
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21,890,875 |
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Containers & Packaging 1.0% |
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Berry Plastics Holding Corp., |
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10,750 |
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8.875%, 9/15/14 |
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Caa1/B |
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9,433,125 |
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1,700 |
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10.25%, 3/1/16 |
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Caa2/CCC+ |
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1,317,500 |
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6,263 |
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Jefferson Smurfit Corp., 8.25%, 10/1/12 |
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B3/B- |
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5,675,844 |
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Smurfit-Stone Container, |
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2,475 |
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8.00%, 3/15/17 |
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B3/B- |
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2,091,375 |
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7,000 |
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8.375%, 7/1/12 |
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B3/B- |
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6,370,000 |
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24,887,844 |
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Electronics 1.2% |
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14,150 |
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Sanmina-SCI Corp., 8.125%, 3/1/16 |
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B3/B- |
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12,593,500 |
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20,375 |
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Sensata Technologies BV, 8.00%, 5/1/14 |
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B3/B- |
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18,031,875 |
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30,625,375 |
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Financial Services 14.7% |
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29,370 |
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AES Ironwood LLC, 8.857%, 11/30/25 |
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B1/B+ |
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32,012,900 |
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7,672 |
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AES Red Oak LLC, 8.54%, 11/30/19 |
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B1/BB- |
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7,710,055 |
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20,125 |
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American Express Co., 7.00%, 3/19/18 |
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NR/NR |
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21,180,798 |
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13,000 |
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Bank of America Corp., 8.00%, 1/30/18, FRN (i) |
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Aa3/A+ |
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13,041,860 |
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5,000 |
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Buffalo Thunder Development Authority, 9.375%, 12/15/14 (a) (d) |
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B2/B |
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3,775,000 |
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7,700 |
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Chukchansi Economic Development Authority, 8.00%, 11/15/13 (a) (d) |
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B2/BB- |
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6,968,500 |
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9,977 |
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Consolidated Communications Holdings, Inc., 9.75%, 4/1/12 |
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B1/BB- |
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10,513,264 |
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Ford Motor Credit Co. LCC, |
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10,000 |
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7.127%, 1/13/12, FRN |
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B1/B |
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7,403,430 |
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85,950 |
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8.00%, 12/15/16 |
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B1/B |
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67,417,633 |
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37,305 |
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General Motors Acceptance Corp. LLC, 8.00%, 11/1/31 |
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B1/B+ |
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26,793,160 |
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15,800 |
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Hexion U.S. Finance Corp., 9.75%, 11/15/14 |
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B3/B |
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17,024,500 |
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JET Equipment Trust (a) (d) (f) (g), |
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91 |
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7.63%, 8/15/12 |
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NR/NR |
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30,431 |
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259 |
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10.00%, 6/15/12 |
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NR/NR |
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225,645 |
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18,445 |
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KRATON Polymers LLC, 8.125%, 1/15/14 |
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B3/CCC+ |
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15,401,575 |
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LVB Acquisition Merger Sub., Inc. (a) (d), |
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13,375 |
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10.375%, 10/15/17, PIK |
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B3/B- |
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13,943,438 |
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37,625 |
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11.625%, 10/15/17 |
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Caa1/B- |
|
37,813,125 |
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10,025 |
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Nuveen Investments, Inc., 10.50%, 11/15/15 (a) (d) |
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B3/B- |
|
8,646,562 |
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£2,852 |
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Royal Bank of Scotland PLC, 9.37%, 4/6/11, FRN (g) |
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NR/NR |
|
4,535,386 |
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$21,203 |
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Universal City Development Partners Ltd., 11.75%, 4/1/10 |
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B1/B+ |
|
21,839,090 |
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8,030 |
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Universal City Florida Holding Co., 8.375%, 5/1/10 |
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B3/B- |
|
7,909,550 |
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UPC Holding BV, |
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1,200 |
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7.75%, 1/15/14 |
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B3/B- |
|
1,694,676 |
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10,200 |
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8.625%, 1/15/14 |
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B3/B- |
|
14,687,590 |
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$36,100 |
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Wachovia Corp., 7.98%, 3/15/18, FRN (i) |
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A2/A |
|
35,577,741 |
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6,100 |
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Yankee Acquisition Corp., 9.75%, 2/15/17 |
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Caa1/CCC+ |
|
4,880,000 |
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|
|
381,025,909 |
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4 PIMCO High Income Fund Annual Report | 3.31.08
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
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Credit Rating |
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Value |
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Food 1.7% |
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$5,500 |
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American Stores Co., 8.00%, 6/1/26 |
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NR/NR |
|
$5,594,528 |
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1 |
|
Dole Foods Co., Inc., 8.875%, 3/15/11 |
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Caa1/CCC+ |
|
663 |
|
||
24,925 |
|
Ingles Markets, Inc., 8.875%, 12/1/11 |
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B3/B+ |
|
25,298,875 |
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15,145 |
|
Pilgrims Pride Corp., 8.375%, 5/1/17 |
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B2/B |
|
13,403,325 |
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|
44,297,391 |
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Food Services 0.7% |
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|
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16,850 |
|
ARAMARK Corp., 8.50%, 2/1/15 |
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B3/B |
|
16,976,375 |
|
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Healthcare & Hospitals 5.9% |
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|
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34,950 |
|
Community Health Systems, Inc., 8.875%, 7/15/15 |
|
B3/B- |
|
35,255,812 |
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|
HCA, Inc., |
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|
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19,631 |
|
7.19%, 11/15/15 |
|
Caa1/B- |
|
16,749,837 |
|
||
14,124 |
|
7.50%, 12/15/23 |
|
Caa1/B- |
|
11,162,564 |
|
||
4,130 |
|
7.58%, 9/15/25 |
|
Caa1/B- |
|
3,253,928 |
|
||
2,000 |
|
7.69%, 6/15/25 |
|
Caa1/B- |
|
1,595,362 |
|
||
7,900 |
|
8.36%, 4/15/24 |
|
Caa1/B- |
|
6,598,191 |
|
||
3,994 |
|
8.75%, 9/1/10 |
|
Caa1/B- |
|
4,013,970 |
|
||
22,052 |
|
9.00%, 12/15/14 |
|
Caa1/B- |
|
20,533,786 |
|
||
13,000 |
|
9.25%, 11/15/16 |
|
B2/BB- |
|
13,520,000 |
|
||
14,450 |
|
9.625%, 11/15/16, PIK |
|
B2/BB- |
|
15,028,000 |
|
||
|
|
Tenet Healthcare Corp., |
|
|
|
|
|
||
4,300 |
|
9.25%, 2/1/15 |
|
Caa1/B |
|
4,042,000 |
|
||
20,575 |
|
9.875%, 7/1/14 |
|
Caa1/B |
|
20,009,188 |
|
||
|
|
|
|
|
|
151,762,638 |
|
||
Hotels/Gaming 1.3% |
|
|
|
|
|
||||
16,179 |
|
Harrahs Operating Co., Inc., 10.75%, 2/1/16 (a) (d) |
|
B3/B- |
|
13,711,702 |
|
||
3,325 |
|
Herbst Gaming, Inc., 8.125%, 6/1/12 |
|
Caa2/CC |
|
623,438 |
|
||
13,779 |
|
Mandalay Resort Group, 9.375%, 2/15/10 |
|
B1/B+ |
|
14,261,265 |
|
||
6,525 |
|
Station Casinos, Inc., 7.75%, 8/15/16 |
|
B2/B+ |
|
5,285,250 |
|
||
|
|
|
|
|
|
33,881,655 |
|
||
Machinery 0.3% |
|
|
|
|
|
||||
2,600 |
|
Chart Industries, Inc., 9.125%, 10/15/15 |
|
B3/B |
|
2,561,000 |
|
||
4,025 |
|
Terex Corp., 8.00%, 11/15/17 |
|
Ba3/B+ |
|
4,025,000 |
|
||
|
|
|
|
|
|
6,586,000 |
|
||
Metals & Mining 0.3% |
|
|
|
|
|
||||
8,305 |
|
Freeport-McMoRan Copper & Gold, Inc., 8.375%, 4/1/17 |
|
Ba2/BB |
|
8,834,444 |
|
||
Miscellaneous 2.9% |
|
|
|
|
|
||||
73,824 |
|
Dow Jones CDX U.S. High Yield, 8.375%, 12/29/11 (a) (d) (h) |
|
B3/NR |
|
73,362,898 |
|
||
Multi-Media 4.3% |
|
|
|
|
|
||||
3,000 |
|
Cablemas S.A. de C.V., 9.375%, 11/15/15 (a) (d) |
|
B1/BB- |
|
3,270,000 |
|
||
5,600 |
|
Cablevision Systems Corp., 8.00%, 4/15/12 |
|
B2/B+ |
|
5,474,000 |
|
||
7,700 |
|
CanWest MediaWorks L.P., 9.25%, 8/1/15 (a) (d) |
|
B2/CCC+ |
|
7,122,500 |
|
||
5,925 |
|
CCH I Holdings LLC, 9.92%, 4/1/14 |
|
Caa3/CCC |
|
2,844,000 |
|
||
42,850 |
|
CCO Holdings LLC, 8.75%, 11/15/13 |
|
Caa1/CCC |
|
36,851,000 |
|
||
10,000 |
|
Charter Communications Holdings I LLC, 11.00%, 10/1/15 |
|
Caa3/CCC |
|
7,000,000 |
|
||
11,325 |
|
Charter Communications Operating LLC, |
|
B3/B- |
|
10,249,125 |
|
||
|
|
CSC Holdings, Inc., |
|
|
|
|
|
||
4,800 |
|
7.625%, 7/15/18 |
|
B1/BB |
|
4,404,000 |
|
||
4,485 |
|
7.875%, 2/15/18 |
|
B1/BB |
|
4,171,050 |
|
||
2,000 |
|
8.125%, 7/15/09 |
|
B1/BB |
|
2,025,000 |
|
||
6,045 |
|
Lighthouse International Co. S.A., 8.00%, 4/30/14 (a) (d) |
|
B2/BB- |
|
7,519,205 |
|
||
$7,000 |
|
Nielsen Finance LLC, 10.00%, 8/1/14 |
|
Caa1/B- |
|
7,000,000 |
|
||
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
||
3.31.08 | PIMCO High Income Fund Annual Report 5
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
|
|
|
Credit Rating |
|
Value |
|
||
|
|
|
|
|
|
|
|
||
Multi-Media (continued) |
|
|
|
|
|
||||
$7,895 |
|
Rogers Cable, Inc., 8.75%, 5/1/32 |
|
Baa3/BBB- |
|
$8,771,874 |
|
||
4,750 |
|
Unity Media GmbH, 10.375%, 2/15/15 (a) (d) |
|
Caa2/B- |
|
4,298,750 |
|
||
|
|
|
|
|
|
111,000,504 |
|
||
Oil & Gas 5.7% |
|
|
|
|
|
||||
17,000 |
|
Dynegy Holdings, Inc., 8.375%, 5/1/16 |
|
B2/B |
|
16,915,000 |
|
||
10,325 |
|
Dynergy-Roseton Danskammer, Inc., 7.67%, 11/8/16 |
|
Ba3/B |
|
10,344,411 |
|
||
|
|
El Paso Corp., |
|
|
|
|
|
||
26,000 |
|
7.80%, 8/1/31 |
|
Ba3/BB- |
|
26,830,986 |
|
||
27,850 |
|
8.05%, 10/15/30 |
|
Ba3/BB- |
|
29,234,257 |
|
||
3,000 |
|
Enbridge Energy Partners L.P., 8.05%, 10/1/37, FRN |
|
Baa3/BB+ |
|
2,766,852 |
|
||
|
|
Ferrellgas L.P., |
|
|
|
|
|
||
14,325 |
|
8.75%, 6/15/12 |
|
B2/B- |
|
14,629,406 |
|
||
20,000 |
|
8.87%, 8/1/09 (a) (b) (g) |
|
NR/NR |
|
21,364,154 |
|
||
7,000 |
|
OPTI Canada, Inc., 8.25%, 12/15/14 |
|
NR/NR |
|
6,965,000 |
|
||
17,125 |
|
SemGroup L.P., 8.75%, 11/15/15 (a) (d) |
|
B1/NR |
|
15,755,000 |
|
||
1,099 |
|
Williams Cos., Inc., 7.875%, 9/1/21 |
|
Baa3/BB+ |
|
1,196,536 |
|
||
|
|
|
|
|
|
146,001,602 |
|
||
Paper/Paper Products 2.7% |
|
|
|
|
|
||||
8,750 |
|
Cascades, Inc., 7.25%, 2/15/13 |
|
Ba3/BB- |
|
7,765,625 |
|
||
|
|
Georgia-Pacific Corp., |
|
|
|
|
|
||
27,775 |
|
8.00%, 1/15/24 |
|
B2/B+ |
|
24,580,875 |
|
||
16,585 |
|
8.875%, 5/15/31 |
|
B2/B+ |
|
14,843,575 |
|
||
|
|
Verso Paper Holdings LLC, |
|
|
|
|
|
||
11,800 |
|
9.125%, 8/1/14 |
|
B2/B+ |
|
11,446,000 |
|
||
12,500 |
|
11.375%, 8/1/16 |
|
B3/CCC+ |
|
11,531,250 |
|
||
|
|
|
|
|
|
70,167,325 |
|
||
Printing/Publishing 1.6% |
|
|
|
|
|
||||
1,131 |
|
Dex Media West LLC, 9.875%, 8/15/13 |
|
B1/BB- |
|
986,797 |
|
||
1,000 |
|
Hollinger, Inc., 11.875%, 3/1/11 (a) (b) (d) (f) (g) |
|
NR/NR |
|
202,180 |
|
||
54,925 |
|
RH Donnelley Corp., 8.875%, 1/15/16 |
|
B3/B |
|
35,014,688 |
|
||
6,100 |
|
TL Acquisitions, Inc., 10.50%, 1/15/15 (a) (d) |
|
Caa1/CCC+ |
|
5,276,500 |
|
||
|
|
|
|
|
|
41,480,165 |
|
||
Real Estate 0.3% |
|
|
|
|
|
||||
6,696 |
|
Delhaize America, Inc., 9.00%, 4/15/31 |
|
Baa3/BBB- |
|
8,080,351 |
|
||
Retail 0.8% |
|
|
|
|
|
||||
27,875 |
|
Bon-Ton Stores, Inc., 10.25%, 3/15/14 |
|
Caa1/CCC+ |
|
18,745,937 |
|
||
2,775 |
|
Edcon Proprietary Ltd., 7.856%, 6/15/14, FRN (a) (d) |
|
B2/BB- |
|
2,924,089 |
|
||
|
|
|
|
|
|
21,670,026 |
|
||
Semi-conductors 1.0% |
|
|
|
|
|
||||
|
|
Freescale Semiconductor, Inc., |
|
|
|
|
|
||
$31,675 |
|
8.875%, 12/15/14 |
|
B2/B- |
|
24,944,063 |
|
||
550 |
|
9.125%, 12/15/14, PIK |
|
B2/B- |
|
404,250 |
|
||
1,490 |
|
10.125%, 12/15/16 |
|
B3/B- |
|
1,013,200 |
|
||
|
|
|
|
|
|
26,361,513 |
|
||
Telecommunications 14.8% |
|
|
|
|
|
||||
14,555 |
|
Centennial Communications Corp., 8.125%, 2/1/14 |
|
B2/B |
|
13,827,250 |
|
||
30,550 |
|
Cincinnati Bell, Inc., 8.375%, 1/15/14 |
|
B2/B- |
|
28,793,375 |
|
||
24,425 |
|
Citizens Communications Co., 9.00%, 8/15/31 |
|
Ba2/BB+ |
|
21,494,000 |
|
||
16,550 |
|
Cricket Communications, Inc., 9.375%, 11/1/14 |
|
Caa1/B- |
|
15,763,875 |
|
||
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
||
6 PIMCO High Income Fund Annual Report | 3.31.08
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
|
|
|
Credit Rating |
|
Value |
|
||
|
|
|
|
|
|
|
|
||
Telecommunications (continued) |
|
|
|
|
|
||||
|
|
Digicel Group Ltd. (a) (d), |
|
|
|
|
|
||
$18,175 |
|
8.875%, 1/15/15 |
|
Caa2/NR |
|
$15,221,562 |
|
||
2,717 |
|
9.125%, 1/15/15, PIK |
|
Caa2/NR |
|
2,248,318 |
|
||
|
|
Hawaiian Telcom Communications, Inc., |
|
|
|
|
|
||
12,225 |
|
9.75%, 5/1/13 |
|
B3/CCC |
|
6,662,625 |
|
||
1,250 |
|
10.318%, 5/1/13, FRN |
|
B3/CCC |
|
656,250 |
|
||
|
|
Intelsat Bermuda Ltd., |
|
|
|
|
|
||
20,000 |
|
9.25%, 6/15/16 |
|
B3/BB- |
|
20,250,000 |
|
||
10,000 |
|
11.25%, 6/15/16 |
|
Caa2/CCC+ |
|
10,187,500 |
|
||
16,850 |
|
Intelsat Subsidiary Holding Co., Ltd., 8.625%, 1/15/15 |
|
B3/BB- |
|
17,060,625 |
|
||
25,500 |
|
MetroPCS Wireless, Inc., 9.25%, 11/1/14 |
|
Caa1/B- |
|
23,587,500 |
|
||
|
|
Nordic Telephone Co. Holdings ApS, |
|
|
|
|
|
||
2,300 |
|
8.25%, 5/1/16 (a) (d) |
|
B2/B |
|
3,462,242 |
|
||
5,000 |
|
8.25%, 5/1/16 |
|
B2/B |
|
7,526,613 |
|
||
$12,425 |
|
8.875%, 5/1/16 (a) (d) |
|
B2/B |
|
12,114,375 |
|
||
|
|
Nortel Networks Ltd., |
|
|
|
|
|
||
21,400 |
|
10.125%, 7/15/13 |
|
B3/B- |
|
19,688,000 |
|
||
16,875 |
|
10.75%, 7/15/16 |
|
NR/NR |
|
15,503,906 |
|
||
14,625 |
|
PanAmSat Corp., 6.875%, 1/15/28 |
|
B1/BB- |
|
11,626,875 |
|
||
31,000 |
|
Qwest Capital Funding, Inc., 7.90%, 8/15/10 |
|
B1/B+ |
|
31,155,000 |
|
||
2,079 |
|
Qwest Communications International, Inc., 7.50%, 2/15/14 |
|
Ba3/B+ |
|
1,964,655 |
|
||
10,450 |
|
Qwest Corp., 8.875%, 3/15/12 |
|
Ba1/BBB- |
|
10,711,250 |
|
||
18,020 |
|
Rural Cellular Corp., 9.875%, 2/1/10 |
|
B3/CCC |
|
18,605,650 |
|
||
4,000 |
|
Sprint Capital Corp., 8.75%, 3/15/32 |
|
Baa3/BBB- |
|
3,387,556 |
|
||
12,100 |
|
Superior Essex Communications LLC, 9.00%, 4/15/12 |
|
B3/B+ |
|
11,706,750 |
|
||
4,000 |
|
TelCordia Technologies, Inc., 8.008%, 7/15/12, FRN (a) (d) |
|
B2/B |
|
3,060,000 |
|
||
24,975 |
|
Time Warner Telecom Holdings, Inc., 9.25%, 2/15/14 |
|
B3/CCC+ |
|
25,349,625 |
|
||
|
|
West Corp., |
|
|
|
|
|
||
8,280 |
|
9.50%, 10/15/14 |
|
Caa1/B- |
|
7,452,000 |
|
||
6,500 |
|
11.00%, 10/15/16 |
|
Caa1/B- |
|
5,525,000 |
|
||
13,000 |
|
Wind Acquisition Finance S.A., 10.75%, 12/1/15 (a) (d) |
|
B2/B |
|
13,325,000 |
|
||
2,000 |
|
Windstream Corp., 8.625%, 8/1/16 |
|
Ba3/BB |
|
1,975,000 |
|
||
3,075 |
|
Windstream Regatta Holdings, Inc., 11.00%, 12/1/17 (a) (d) |
|
B2/B |
|
1,891,125 |
|
||
|
|
|
|
|
|
381,783,502 |
|
||
Transportation 0.1% |
|
|
|
|
|
||||
2,400 |
|
Grupo
Transportacion Ferroviaria Mexicana S.A. de C.V., |
|
B2/NR |
|
2,490,000 |
|
||
Utilities 3.8% |
|
|
|
|
|
||||
2,000 |
|
Empresa Energetica de Sergipe and Sociedade Anonima de Eletrificaao da Paraiba, 10.50%, 7/19/13 (a) (d) |
|
Ba3/B+ |
|
2,357,046 |
|
||
16,365 |
|
Energy Future Holdings Corp., 10.875%, 11/1/17 (a) (d) |
|
B3/B- |
|
16,610,475 |
|
||
19,450 |
|
Legrand Holding S.A., 8.50%, 2/15/25 |
|
Baa3/BBB |
|
21,984,257 |
|
||
19,534 |
|
Midwest Generation LLC, 8.56%, 1/2/16 |
|
Baa3/BB+ |
|
21,194,744 |
|
||
21,500 |
|
PSE&G Energy Holdings LLC, 8.50%, 6/15/11 |
|
Ba3/BB- |
|
22,855,166 |
|
||
12,000 |
|
Texas Competitive Electric Holdings Co.
LLC, |
|
B3/CCC |
|
12,015,000 |
|
||
|
|
|
|
|
|
97,016,688 |
|
||
Total Corporate Bonds & Notes (cost-$2,097,007,459) |
|
|
|
1,949,562,991 |
|
||||
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
||
3.31.08 | PIMCO High Income Fund Annual Report 7
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
|
|
|
Credit Rating |
|
Value |
|
||
|
|
|
|
|
|
|
|
||
U.S. GOVERNMENT AGENCY SECURITIES 14.2% |
|
|
|
|
|
||||
|
|
Fannie Mae, MBS, TBA (e), |
|
|
|
|
|
||
$37,000 |
|
5.00% |
|
Aaa/AAA |
|
$36,543,272 |
|
||
133,600 |
|
5.50% |
|
Aaa/AAA |
|
134,873,342 |
|
||
184,300 |
|
6.00% |
|
Aaa/AAA |
|
188,821,063 |
|
||
5,000 |
|
Freddie Mac, 5.50%, MBS, TBA (e) |
|
Aaa/AAA |
|
5,049,220 |
|
||
Total U.S. Government Agency Securities (cost-$359,087,375) |
|
|
|
365,286,897 |
|
||||
|
|
|
|
|
|
||||
SENIOR LOANS (a) (c) 3.7% |
|
|
|
|
|
||||
|
|
|
|
|
|
||||
Chemicals 0.0% |
|
|
|
|
|
||||
|
|
INEOS Group Ltd., Term A (b), |
|
|
|
|
|
||
386 |
|
4.655%, 5/28/08 |
|
|
|
340,126 |
|
||
1,148 |
|
4.635%, 9/28/08 |
|
|
|
1,006,569 |
|
||
|
|
|
|
|
|
1,346,695 |
|
||
Commercial Products 0.2% |
|
|
|
|
|
||||
7,300 |
|
Berry Plastics, 11.646%, 6/5/14 (b) |
|
|
|
6,238,764 |
|
||
Entertainment 0.5% |
|
|
|
|
|
||||
|
|
Tribune Co., |
|
|
|
|
|
||
13,482 |
|
5.542%, 5/30/14, Term B |
|
|
|
9,069,227 |
|
||
3,034 |
|
7.396%, 5/30/09, Term X |
|
|
|
2,728,374 |
|
||
|
|
|
|
|
|
11,797,601 |
|
||
Financial Services 0.6% |
|
|
|
|
|
||||
19,900 |
|
Chrysler Financial Corp., 6.80%, 8/3/12 |
|
|
|
16,552,939 |
|
||
Healthcare & Hospitals 0.1% |
|
|
|
|
|
||||
|
|
HealthSouth Corp., |
|
|
|
|
|
||
19 |
|
5.21%, 2/2/13 |
|
|
|
17,808 |
|
||
3,979 |
|
5.50%, 2/2/13 |
|
|
|
3,686,649 |
|
||
|
|
|
|
|
|
3,704,457 |
|
||
Recreation 0.4% |
|
|
|
|
|
||||
|
|
Amadeus Global Travel (b), |
|
|
|
|
|
||
809 |
|
6.752%, 7/1/14, Term A |
|
|
|
1,122,292 |
|
||
$1,250 |
|
6.846%, 7/1/13, Term B |
|
|
|
1,061,111 |
|
||
1,250 |
|
7.096%, 6/29/12, Term C |
|
|
|
1,078,541 |
|
||
6,948 |
|
Travelport, 4.954%, 8/23/13, Term DD |
|
|
|
6,079,063 |
|
||
|
|
|
|
|
|
9,341,007 |
|
||
Semi-conductors 0.6% |
|
|
|
|
|
||||
10,700 |
|
Sensata Technologies Inc., 9.883%, 10/27/13 |
|
|
|
14,496,256 |
|
||
Telecommunications 0.7% |
|
|
|
|
|
||||
|
|
Integra Telecom, Inc., Term T (b), |
|
|
|
|
|
||
1,627 |
|
6.946%, 8/31/13 |
|
|
|
1,496,894 |
|
||
1,345 |
|
7.335%, 8/31/13 |
|
|
|
1,236,975 |
|
||
1,008 |
|
7.438%, 8/31/13 |
|
|
|
927,731 |
|
||
|
|
Nordic Telephone Co. Holdings ApS, |
|
|
|
|
|
||
1,434 |
|
6.05%, 11/30/14, Term B |
|
|
|
2,139,883 |
|
||
1,485 |
|
6.30%, 11/30/14, Term C |
|
|
|
2,231,979 |
|
||
$1,888 |
|
NTL Investment, 6.055%, 9/3/12, Term B |
|
|
|
1,669,496 |
|
||
|
|
Telesat, |
|
|
|
|
|
||
4,200 |
|
11.50%, 10/31/08 |
|
|
|
4,011,000 |
|
||
1,000 |
|
10.00%, 10/31/08 |
|
|
|
955,000 |
|
||
|
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
||
8 PIMCO High Income Fund Annual Report | 3.31.08
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
|
|
|
Credit Rating |
|
Value |
|
|||
|
|
|
|
|
|
|
|
|||
Telecommunications (continued) |
|
|
|
|
|
|||||
$3,000 |
|
West Corp., 7.00%, 10/24/13, Term B (b) |
|
|
|
$2,607,501 |
|
|||
|
|
|
|
|
|
17,276,459 |
|
|||
Utilities 0.4% |
|
|
|
|
|
|||||
10,600 |
|
Sandridge Energy, Inc., 8.625%, 4/1/15, Term CD |
|
|
|
10,480,750 |
|
|||
Wholesale 0.2% |
|
|
|
|
|
|||||
4,888 |
|
Roundys, Inc., 5.69%, 11/3/11, Term B |
|
|
|
4,582,617 |
|
|||
Total Senior Loans (cost-$106,156,005) |
|
|
|
95,817,545 |
|
|||||
|
|
|
|
|
|
|
|
|||
MUNICIPAL BONDS & NOTES 0.8% |
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|||
California 0.6% |
|
|
|
|
|
|||||
|
|
Los Angeles Community Redev. Agcy. Rev., Ser. H, |
|
|
|
|
|
|||
725 |
|
9.00%, 9/1/12 |
|
NR/NR |
|
778,578 |
|
|||
1,160 |
|
9.75%, 9/1/17 |
|
NR/NR |
|
1,254,343 |
|
|||
1,375 |
|
9.75%, 9/1/22 |
|
NR/NR |
|
1,464,636 |
|
|||
2,170 |
|
9.75%, 9/1/27 |
|
NR/NR |
|
2,293,386 |
|
|||
3,480 |
|
9.75%, 9/1/32 |
|
NR/NR |
|
3,672,618 |
|
|||
|
|
San Diego Redev. Agcy., Tax Allocation, |
|
|
|
|
|
|||
1,785 |
|
6.59%, 11/1/13 |
|
Baa3/NR |
|
1,899,276 |
|
|||
1,435 |
|
7.49%, 11/1/18 |
|
Baa3/NR |
|
1,539,898 |
|
|||
1,885 |
|
7.74%, 11/1/21 |
|
Baa3/NR |
|
2,004,509 |
|
|||
|
|
|
|
|
|
14,907,244 |
|
|||
Pennsylvania 0.2% |
|
|
|
|
|
|||||
|
|
Economic Dev. Financing Auth. Rev., VRN (l), |
|
|
|
|
|
|||
5,300 |
|
6.75%, 12/1/36, Ser. A |
|
NR/NR |
|
5,286,697 |
|
|||
1,000 |
|
6.75%, 12/1/36 |
|
NR/NR |
|
997,490 |
|
|||
|
|
|
|
|
|
6,284,187 |
|
|||
Total Municipal Bonds & Notes (cost-$20,616,961) |
|
|
|
21,191,431 |
|
|||||
|
|
|
|
|
|
|
|
|||
ASSET-BACKED SECURITIES 0.0% |
|
|
|
|
|
|||||
688 |
|
Reliant Energy Mid-Atlantic Power Holdings
LLC, |
|
Ba2/B+ |
|
718,980 |
|
|||
|
|
|
|
|
|
|
|
|||
PREFERRED STOCK 0.0% |
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|||
|
Shares |
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|||
Telecommunications 0.0% |
|
|
|
|
|
|||||
155,565 |
|
Superior Essex Holding Corp., 9.50%, Ser. A (cost-$129,313) |
|
NR/NR |
|
186,678 |
|
|||
|
|
|
|
|
|
|
|
|||
SHORT-TERM INVESTMENTS 5.6% |
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|||
Principal |
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|||
U.S. Treasury Bills (j) 2.8% |
|
|
|
|
|
|||||
$71,500 |
|
1.29%-2.13%, 5/29/08-6/26/08 (cost-$71,327,078) |
|
|
|
71,140,278 |
|
|||
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|||
3.31.08 | PIMCO High Income Fund Annual Report 9
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
Principal |
|
|
|
|
Value |
|
|||
|
|
|
|
||||||
Repurchase Agreements 2.8% |
|
|
|
||||||
$15,258 |
|
State Street Bank & Trust Co., |
|
$15,258,000 |
|
||||
57,100 |
|
Deutsche Bank AG, |
|
57,100,000 |
|
||||
Total Repurchase Agreements (cost-$72,358,000) |
|
72,358,000 |
|
||||||
Total Short-Term Investments (cost-$143,685,078) |
|
143,498,278 |
|
||||||
|
|
|
|
|
|
||||
OPTIONS PURCHASED (k) 0.0% |
|
|
|
||||||
|
|
|
|
|
|
||||
Contracts/ |
|
|
|
|
|
||||
|
|
|
|
||||||
Put Options 0.0% |
|
|
|
||||||
|
|
Financial Future Euro90 day (CME), |
|
|
|
||||
969 |
|
strike price $94.63, expires 9/15/08 (cost-$14,535) |
|
2 |
|
||||
Total Investments before options written (cost-$2,727,420,331) 100.0% |
|
2,576,262,802 |
|
||||||
|
|
|
|
|
|
||||
OPTIONS WRITTEN (k) (0.0)% |
|
|
|
||||||
|
|
|
|
||||||
Call Options (0.0)% |
|
|
|
||||||
|
|
2-Year Interest Rate Swap (OTC), |
|
|
|
||||
|
|
Pay 3-Month USD-LIBOR Floating Rate Index, |
|
|
|
||||
5,300,000 |
|
strike rate 1.50%, expires 9/20/08 |
|
(81,355 |
) |
||||
|
|
2-Year Interest Rate Swap (OTC), |
|
|
|
||||
|
|
Pay 3-Month USD-LIBOR Floating Rate Index, |
|
|
|
||||
1,100,000 |
|
strike rate 1.50%, expires 9/22/08 |
|
(16,885 |
) |
||||
|
|
|
|
(98,240 |
) |
||||
Put Options (0.0)% |
|
|
|
||||||
|
|
2-Year Interest Rate Swap (OTC), |
|
|
|
||||
|
|
Pay 3-Month USD-LIBOR Floating Rate Index, |
|
|
|
||||
5,300,000 |
|
strike rate 1.50%, expires 9/20/08 |
|
(20,900 |
) |
||||
|
|
2-Year Interest Rate Swap (OTC), |
|
|
|
||||
|
|
Pay 3-Month USD-LIBOR Floating Rate Index, |
|
|
|
||||
1,100,000 |
|
strike rate 1.50%, expires 9/22/08 |
|
(101,495 |
) |
||||
|
|
|
|
(122,395 |
) |
||||
Total Options Written (premiums received-$242,140) |
|
(220,635 |
) |
||||||
Total Investments net of options written (cost-$2,727,178,191) 100.0% |
|
$2,576,042,167 |
|
||||||
|
|
|
|
|
|
||||
|
|
|
|
|
|
||||
Notes to Schedule of Investments: |
|
|
|
||||||
* |
Unaudited |
|
|||||||
(a) |
Private PlacementRestricted as to resale and may not have a readily available market. Securities with an aggregate value of $474,423,129, representing 18.42% of total investments. |
|
|||||||
10 PIMCO High Income Fund Annual Report | 3.31.08
PIMCO High Income Fund Schedule of Investments
March 31, 2008 (continued)
|
|
|||
|
|
|
||
(b) |
Illiquid security. |
|
||
(c) |
These securities generally pay interest at rates which are periodically pre-determined by reference to a base lending rate plus a premium. These base lending rates are generally either the lending rate offered by one or more major European banks, such as the LIBOR or the prime rate offered by one or more major United States banks, or the certificate of deposit rate. These securities are generally considered to be restricted as the Fund is ordinarily contractually obligated to receive approval from the agent bank and/or borrower prior to disposition. Remaining maturities of senior loans may be less than the stated maturities shown as a result of contractual or optional payments by the borrower. Such prepayments cannot be predicted with certainty. The interest rate disclosed reflects the rate in effect on March 31, 2008. |
|
||
(d) |
144A SecuritySecurity exempt from registration, under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, typically only to qualified institutional buyers. Unless otherwise indicated, these securities are not considered to be illiquid. |
|
||
(e) |
Delayed-delivery security. To be delivered after March 31, 2008. |
|
||
(f) |
Security in default. |
|
||
(g) |
Securities with an aggregate value of $37,971,457, representing 1.47% of total investments, have been fair-valued using modeling tools or methods as described in Note 1(a) in the Notes to Financial Statements. |
|
||
(h) |
Credit-linked trust certificate. |
|
||
(i) |
Perpetual maturity security. Maturity date shown is the first call date. Interest rate is fixed until the first call date and variable thereafter. |
|
||
(j) |
All or partial amount segregated as collateral for options written, delayed-delivery securities and swaps. |
|
||
(k) |
Non-income producing. |
|
||
(l) |
Subject to Alternative Minimum Tax. |
|
||
|
|
|
||
Glossary: |
|
|||
£ |
- |
British Pound |
|
|
|
- |
Euro |
|
|
CME |
- |
Chicago Mercantile Exchange |
|
|
FRN |
- |
Floating Rate Note. The interest rate disclosed reflects the rate in effect on March 31, 2008. |
|
|
LIBOR |
- |
London Inter-Bank Offered Rate |
|
|
MBS |
- |
Mortgage-Backed Securities |
|
|
NR |
- |
Not Rated |
|
|
OTC |
- |
Over-the-Counter |
|
|
PIK |
- |
Payment-in-Kind |
|
|
TBA |
- |
To Be Announced |
|
|
VRN |
- |
Variable Rate Note. Instruments whose interest rates change on specified date (such as a coupon date or interest payment date) and/or whose interest rates vary with changes in a designated base rate (such as the prime interest rate). The interest rate disclosed reflects the rate in effect on March 31, 2008. |
|
|
|
|
|
|
|
|
|
|
|
|
See accompanying Notes to Financial Statements. | 3.31.08 | PIMCO High Income Fund Annual Report 11
PIMCO High Income Fund Statement of Assets and Liabilities
March 31, 2008
|
|
|
|
|
|
|
|
Assets: |
|
|
|
Investments, at value (cost-$2,727,420,331) |
|
$2,576,262,802 |
|
Cash (including foreign currency of $725,402 with a cost of $720,876) |
|
811,246 |
|
Interest receivable |
|
52,930,281 |
|
Premium for swaps purchased |
|
39,903,284 |
|
Receivable for investments sold |
|
37,333,556 |
|
Unrealized appreciation of swaps |
|
31,242,431 |
|
Unrealized appreciation on forward foreign currency contracts |
|
5,521,940 |
|
Deposits with brokers for futures contracts collateral |
|
2,110,000 |
|
Receivable for variation margin on futures contracts |
|
321,525 |
|
Receivable for terminated swaps |
|
107,930 |
|
Prepaid expenses |
|
97,558 |
|
Total Assets |
|
2,746,642,553 |
|
|
|
|
|
Liabilities: |
|
|
|
Payable for investments purchased |
|
399,396,793 |
|
Unrealized depreciation of swaps |
|
95,644,456 |
|
Dividends payable to common and preferred shareholders |
|
14,633,471 |
|
Unrealized depreciation of forward foreign currency contracts |
|
5,488,990 |
|
Premium for swaps sold |
|
4,961,442 |
|
Payable for terminated swaps |
|
4,902,529 |
|
Investment management fees payable |
|
1,311,597 |
|
Options written, at value (premiums received$242,140) |
|
220,635 |
|
Accrued expenses |
|
356,912 |
|
Total Liabilities |
|
526,916,825 |
|
Preferred shares ($25,000 net asset and
liquidation value per share applicable |
|
900,000,000 |
|
Net Assets Applicable to Common Shareholders |
|
$1,319,725,728 |
|
|
|
|
|
Composition of Net Assets Applicable to Common Shareholders: |
|
|
|
Common Stock: |
|
|
|
Par value ($0.00001 per share, applicable to 117,007,308 shares issued and outstanding) |
|
$1,170 |
|
Paid-in-capital in excess of par |
|
1,663,749,872 |
|
Dividends in excess of net investment income |
|
(7,940,667 |
) |
Accumulated net realized loss |
|
(132,696,454 |
) |
Net unrealized depreciation of investments,
futures contracts, options written, swaps and |
|
(203,388,193 |
) |
Net Assets Applicable to Common Shareholders |
|
$1,319,725,728 |
|
Net Asset Value Per Common Share |
|
$11.28 |
|
12 PIMCO High Income Fund Annual Report | 3.31.08 | See accompanying Notes to Financial Statements.
PIMCO High Income Fund Statement of Operations
For the Year ended March 31, 2008
|
|
|
|
|
|
|
|
Investment Income: |
|
|
|
Interest |
|
$215,510,851 |
|
Facility and other fee income |
|
4,916,584 |
|
Dividends |
|
1,959,904 |
|
Total Investment Income |
|
222,387,339 |
|
|
|
|
|
Expenses: |
|
|
|
Investment management fees |
|
17,405,905 |
|
Interest expense |
|
3,355,825 |
|
Auction agent fees and commissions |
|
2,263,418 |
|
Custodian and accounting agent fees |
|
443,245 |
|
Shareholder communications |
|
324,748 |
|
Trustees fees and expenses |
|
165,472 |
|
Audit and tax services |
|
91,800 |
|
New York Stock Exchange listing fees |
|
89,856 |
|
Insurance expense |
|
45,334 |
|
Legal fees |
|
40,762 |
|
Transfer agent fees |
|
34,260 |
|
Miscellaneous |
|
33,228 |
|
Total expenses |
|
24,293,853 |
|
Less: custody credits earned on cash balances |
|
(118,767 |
) |
Net expenses |
|
24,175,086 |
|
|
|
|
|
Net Investment Income |
|
198,212,253 |
|
|
|
|
|
Realized and Change in Unrealized Gain (Loss): |
|
|
|
Net realized gain (loss) on: |
|
|
|
Investments |
|
(6,942,967 |
) |
Futures contracts |
|
(957,984 |
) |
Options written |
|
252,000 |
|
Swaps |
|
36,899,574 |
|
Foreign currency transactions |
|
(7,728,840 |
) |
Net change in unrealized appreciation/depreciation of: |
|
|
|
Investments |
|
(265,233,113 |
) |
Futures contracts |
|
13,183,512 |
|
Options written |
|
21,505 |
|
Swaps |
|
(76,968,453 |
) |
Foreign currency transactions |
|
274,313 |
|
Net realized and change in unrealized loss
on investments, futures contracts, options written, |
|
(307,200,453 |
) |
Net Decrease in Net Assets Resulting from Investment Operations |
|
(108,988,200 |
) |
|
|
|
|
Dividends and Distributions on Preferred Shares from: |
|
|
|
Net investment income |
|
(41,838,277 |
) |
Net realized gains |
|
(4,379,378 |
) |
Total dividends and distributions on preferred shares |
|
(46,217,655 |
) |
Net Decrease in Net Assets Applicable to
Common Shareholders |
|
$(155,205,855 |
) |
See accompanying Notes to Financial Statements. | 3.31.08 | PIMCO High Income Fund Annual Report 13
PIMCO High Income Fund
Statement of Changes in Net Assets
Applicable to Common Shareholders
|
|
|
|
|
|
|
|
|
Year ended |
|
|
Year ended |
|
Investment Operations: |
|
|
|
|
|
|
Net investment income |
|
$198,212,253 |
|
|
$193,219,352 |
|
Net realized gain on investments, futures
contracts, options written, |
|
21,521,783 |
|
|
17,630,470 |
|
Net change in unrealized
appreciation/depreciation of investments, |
|
(328,722,236 |
) |
|
59,953,003 |
|
Net increase (decrease) in net assets resulting from investment operations |
|
(108,988,200 |
) |
|
270,802,825 |
|
|
|
|
|
|
|
|
Dividends and Distributions on Preferred Shares from: |
|
|
|
|
|
|
Net investment income |
|
(41,838,277 |
) |
|
(41,072,292 |
) |
Net realized gains |
|
(4,379,378 |
) |
|
(3,925,740 |
) |
Total dividends and distributions to preferred shareholders |
|
(46,217,655 |
) |
|
(44,998,032 |
) |
Net increase (decrease) in net assets
applicable to common |
|
(155,205,855 |
) |
|
225,804,793 |
|
|
|
|
|
|
|
|
Dividends and Distributions to Common Shareholders from: |
|
|
|
|
|
|
Net investment income |
|
(169,914,803 |
) |
|
(168,270,342 |
) |
Net realized gains |
|
(129,803,096 |
) |
|
(37,751,236 |
) |
Total dividends and distributions to common shareholders |
|
(299,717,899 |
) |
|
(206,021,578 |
) |
|
|
|
|
|
|
|
Capital Share Transactions: |
|
|
|
|
|
|
Reinvestment of dividends and distributions |
|
18,376,680 |
|
|
16,386,960 |
|
Total increase (decrease) in net assets applicable to common shareholders |
|
(436,547,074 |
) |
|
36,170,175 |
|
|
|
|
|
|
|
|
Net Assets Applicable to Common Shareholders: |
|
|
|
|
|
|
Beginning of year |
|