0001104659-13-016365.txt : 20130301 0001104659-13-016365.hdr.sgml : 20130301 20130228210530 ACCESSION NUMBER: 0001104659-13-016365 CONFORMED SUBMISSION TYPE: 497 PUBLIC DOCUMENT COUNT: 3 FILED AS OF DATE: 20130301 DATE AS OF CHANGE: 20130228 EFFECTIVENESS DATE: 20130301 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CREDIT SUISSE HIGH YIELD BOND FUND CENTRAL INDEX KEY: 0001061353 IRS NUMBER: 134009166 STATE OF INCORPORATION: DE FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: 497 SEC ACT: 1933 Act SEC FILE NUMBER: 333-183901 FILM NUMBER: 13654530 BUSINESS ADDRESS: STREET 1: ONE MADISON AVENUE CITY: NEW YORK STATE: NY ZIP: 10010 BUSINESS PHONE: 2123252000 MAIL ADDRESS: STREET 1: ONE MADISON AVENUE CITY: NEW YORK STATE: NY ZIP: 10010 FORMER COMPANY: FORMER CONFORMED NAME: DLJ HIGH YIELD BOND FUND DATE OF NAME CHANGE: 19980508 497 1 a13-4463_3497.htm DEFINITIVE MATERIALS

PROSPECTUS SUPPLEMENT

(To Prospectus dated as of October 17, 2012)

CREDIT SUISSE HIGH YIELD BOND FUND

Up to 18,000,000 Common Shares of Beneficial Interest

Credit Suisse High Yield Bond Fund (the "Fund") has entered into a sales agreement (the "sales agreement") with JonesTrading Institutional Services LLC ("JonesTrading") relating to its common shares of beneficial interest ("Common Shares") offered by this Prospectus Supplement and the accompanying Prospectus. In accordance with the terms of the sales agreement, the Fund may offer and sell up to 18,000,000 of its Common Shares, par value $0.001 per share, from time to time through JonesTrading as its agent for the offer and sale of the Common Shares, subject to an aggregate cap under the Fund's shelf registration statement (the "Shelf") of $82,758,654.50, which amount reflects the issuance of $11,019,746.50 of Common Shares under the Shelf to date. As of February 21, 2013, the Fund had offered and sold 19,276,060 Common Shares pursuant to prior sales agreements with JonesTrading. Under the Investment Company Act of 1940, as amended (the "1940 Act"), the Fund may not sell any Common Shares at a price below the current net asset value of such Common Shares, exclusive of any distributing commission or discount. The Fund is a non-diversified, closed-end management investment company with a leveraged capital structure. The Fund's primary investment objective is to seek high current income. The Fund also will seek capital appreciation as a secondary objective to the extent consistent with its objective of seeking high current income. There can be no assurance that the Fund will achieve its investment objectives.

The Fund's currently outstanding Common Shares are, and the Common Shares offered by this Prospectus Supplement and the accompanying Prospectus will be, subject to notice of issuance, listed on the NYSE MKT under the symbol "DHY." The last reported sale price for the Fund's Common Shares on the NYSE MKT on February 21, 2013 was $3.28 per share. The net asset value of the Fund's Common Shares at the close of business on February 21, 2013 was $3.10 per share.

Sales of the Common Shares, if any, under this Prospectus Supplement and the accompanying Prospectus may be made in negotiated transactions or transactions that are deemed to be "at the market" as defined in Rule 415 under the Securities Act of 1933, as amended (the "1933 Act"), including sales made directly on the NYSE MKT or sales made to or through a market maker other than on an exchange.

JonesTrading will be entitled to compensation of between 150 and 300 basis points of the gross sales price per share for any Common Shares sold under the sales agreement, with the exact amount of such compensation to be mutually agreed upon by the Fund and JonesTrading from time to time. In connection with the sale of the Common Shares on the Fund's behalf, JonesTrading may be deemed to be an "underwriter" within the meaning of the 1933 Act and the compensation of JonesTrading may be deemed to be underwriting commissions or discounts.

You should review the information set forth under "Risks and Special Considerations" on page 23 of the accompanying Prospectus before investing in the Fund's Common Shares.

Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved these securities or determined if this Prospectus Supplement or the accompanying Prospectus is truthful or complete. Any representation to the contrary is a criminal offense.

The date of this Prospectus Supplement is March 1, 2013



You should rely only on the information contained in or incorporated by reference into this Prospectus Supplement and the accompanying Prospectus. This Prospectus Supplement and the accompanying Prospectus set forth certain information about the Fund that a prospective investor should carefully consider before deciding whether to invest in the Fund's Common Shares. This Prospectus Supplement, which describes the specific terms of this offering including the method of distribution, also adds to and updates information contained in the accompanying Prospectus and the documents incorporated by reference into the accompanying Prospectus. The accompanying Prospectus gives more general information, some of which may not apply to this offering. If the description of this offering varies between this Prospectus Supplement and the accompanying Prospectus, you should rely on the information contained in this Prospectus Supplement; provided that if any statement in one of these documents is inconsistent with a statement in another document having a later date and incorporated by reference into the accompanying Prospectus or Prospectus Supplement, the statement in the incorporated document having a later date modifies or supersedes the earlier statement. Neither the Fund nor JonesTrading has authorized anyone to provide you with different information. If anyone provides you with different or inconsistent information, you should not rely on it. The Fund is not making an offer to sell these securities in any jurisdiction where the offer or sale is not permitted. The information contained in or incorporated by reference into this Prospectus Supplement and the accompanying Prospectus is accurate only as of the respective dates on their front covers, regardless of the time of delivery of this Prospectus Supplement, the accompanying Prospectus, or the sale of the Common Shares. The Fund's business, financial condition, results of operations and prospects may have changed since those dates.

TABLE OF CONTENTS

Prospectus Supplement

 

Page

 

Prospectus Supplement Summary

 

S-1

 

Distributions

 

S-3

 

Summary of Fund Expenses

 

S-3

 

Use of Proceeds

 

S-4

 

Capitalization

 

S-5

 

Plan of Distribution

 

S-6

 

Legal Matters

 

S-7

 

Additional Information

 

S-7

 

Index to Financial Statements

 

F-1

 

Prospectus

Prospectus Summary

   

1

   

Summary of Fund Expenses

   

12

   

Financial Highlights

   

13

   

Use of Proceeds

   

15

   

The Fund

   

15

   

Investment Objectives

   

16

   

Investment Policies

   

16

   

Investment Restrictions

   

21

   

Use of Leverage

   

22

   

Risks and Special Considerations

   

23

   

Management of the Fund

   

31

   

Expenses

   

32

   

Net Asset Value

   

33

   

Dividends and Distributions; Automatic Dividend Reinvestment Plan

   

33

   

Federal Income Taxation

   

35

   

Repurchase of Shares

   

40

   

Description of Shares

   

41

   

Plan of Distribution

   

42

   

Closed-End Fund Structure

   

43

   

Custodian, Transfer Agent and Dividend-Paying Agent

   

44

   

Legal Proceedings

   

44

   

Reports to Shareholders

   

44

   

Additional Information

   

44

   

Table of Contents of Statement of Additional Information

   

45

   


ii



You should read this Prospectus Supplement and the accompanying Prospectus before deciding whether to invest and retain them for future reference. A Statement of Additional Information, dated October 17, 2012 ("SAI"), as supplemented from time to time, containing additional information about the Fund, has been filed with the Securities and Exchange Commission ("SEC") and is incorporated by reference in its entirety into this Prospectus Supplement. You may request a free copy of the SAI or request other information about the Fund (including the Fund's annual and semi-annual reports to shareholders) or make shareholder inquiries by calling 1-800-293-1232 or by writing to the Fund at c/o Credit Suisse Asset Management, LLC, One Madison Avenue, New York, New York 10010. The Fund's SAI, as well as the annual and semi-annual reports to shareholders, are also available at the Fund's website at www.credit-suisse.com/us. You may also obtain copies of these documents (and other information regarding the Fund) from the SEC's website (http://www.sec.gov).

CAUTIONARY NOTICE REGARDING FORWARD-LOOKING STATEMENTS

This Prospectus Supplement, the accompanying Prospectus and the SAI contain "forward-looking statements." Forward-looking statements can be identified by the words "may," "will," "intend," "expect," "estimate," "continue," "plan," "anticipate," and similar terms and the negative of such terms. By their nature, all forward-looking statements involve risks and uncertainties, and actual results could differ materially from those contemplated by the forward-looking statements. Several factors that could materially affect the Fund's actual results are the performance of the portfolio of securities the Fund holds, the price at which the Fund's shares will trade in the public markets and other factors discussed in the Fund's periodic filings with the SEC.

Although the Fund believes that the expectations expressed in the forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in such forward-looking statements. The Fund's future financial condition and results of operations, as well as any forward-looking statements, are subject to change and are subject to inherent risks and uncertainties, such as those disclosed in the "Risks and Special Considerations" section of the accompanying Prospectus. All forward-looking statements contained in or incorporated by reference into this Prospectus Supplement or the accompanying Prospectus are made as of the date of this Prospectus Supplement or the accompanying Prospectus, as the case may be. Except for the Fund's ongoing obligations under the federal securities laws, it does not intend, and it undertakes no obligation, to update any forward-looking statements. The forward-looking statements contained in this Prospectus Supplement, the accompanying Prospectus and the SAI are excluded from the safe harbor protection provided by Section 27A of the 1933 Act.


iii



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PROSPECTUS SUPPLEMENT SUMMARY

The following information is only a summary. You should consider the more detailed information contained in this Prospectus Supplement, the accompanying Prospectus, dated October 17, 2012, and the SAI, dated October 17, 2012, especially the information under "Risks and Special Considerations" on page 23 of the accompanying Prospectus.

The Fund    The Fund is a non-diversified, closed-end management investment company organized as a trust under the laws of the State of Delaware.

  The Fund's Common Shares are listed for trading on the NYSE MKT under the symbol "DHY." As of February 21, 2013, the net assets of the Fund were $293,769,070 and the Fund had outstanding 94,785,278 Common Shares. As of February 21, 2013, the per share net asset value of the Fund's Common Shares was $3.10 and the per share market price of the Fund's Common Shares was $3.28, representing an 5.81% premium over such net asset value. See "Description of Shares" in the accompanying Prospectus.

  The Fund's principal investment objective is to seek high current income. The Fund also will seek capital appreciation as a secondary objective, to the extent consistent with its objective of seeking high current income.

  Under normal market conditions, the Fund will invest at least 80% of its total assets in fixed income securities of U.S. issuers rated below investment grade quality (lower than Baa by Moody's Investors Services, Inc. ("Moody's") or lower than BBB by Standard & Poor's, a subsidiary of The McGraw-Hill Companies, Inc. ("S&P") or comparably rated by another nationally recognized rating agency), or in unrated income securities that Credit Suisse Asset Management, LLC, the Fund's investment adviser ("Credit Suisse" or the "Investment Adviser"), determines to be of comparable quality. Securities rated lower than Baa by Moody's and lower than BBB by S&P are commonly known as "junk bonds." The Fund will generally not invest in securities rated at the time of investment in the lowest rating categories (Ca or below for Moody's and CC or below for S&P) but may continue to hold securities which are subsequently downgraded. However, it has authority to invest in securities rated as low as C and D by Moody's and S&P, respectively. See "Investment Policies" in the accompanying Prospectus.

Information Regarding the Investment Adviser    Credit Suisse, the Fund's investment adviser, is part of the asset management business of Credit Suisse Group AG, one of the world's leading banks. Credit Suisse serves as the Fund's investment adviser with respect to all investments and is responsible for making all investment decisions. Credit Suisse receives from the Fund, as compensation for its advisory services, an annual fee, payable monthly, in an amount equal to 1% of the first $250 million of the average weekly value of the Fund's total assets minus the sum of liabilities (other than the aggregate indebtedness constituting leverage) (the "Managed Assets") and 0.75% of the average weekly value of the Managed Assets greater than $250 million. Credit Suisse may waive voluntarily a portion of its fees from time to time and temporarily limit the expenses to be borne by the Fund. Effective January 1, 2011, Credit Suisse agreed to waive 0.15% of the fees payable under the Investment Advisory Agreement up to $200 million and 0.25% of the fees payable under the Investment Advisory


S-1



Agreement on the next $50 million. During periods in which the Fund is utilizing leverage, the advisory fee will be higher than if the Fund did not utilize a leveraged capital structure because the fee is calculated as a percentage of the Managed Assets including those purchased with leverage. The Fund is currently utilizing leverage. The Investment Adviser is located at One Madison Avenue, New York, New York 10010. See "Management of the Fund — Investment Adviser."

The Offering    The Fund and the Investment Adviser entered into a sales agreement with JonesTrading relating to the Common Shares offered by this Prospectus Supplement and the accompanying Prospectus. In accordance with the terms of the sales agreement, the Fund may offer and sell up to 18,000,000 of its Common Shares, par value $0.001 per share, from time to time through JonesTrading as its agent for the offer and sale of the Common Shares, subject to an aggregate cap of under the Shelf as of the date hereof of $82,758,654.50. As of February 21, 2013, the Fund had offered and sold 19,276,060 Common Shares pursuant to prior sales agreements with JonesTrading, resulting in proceeds (net of all fees and commissions) of $60,089,071.

  The Fund's Common Shares are listed for trading on the NYSE MKT under the symbol "DHY." The last reported sale price of the Fund's Common Shares, as reported on the NYSE MKT on February 21, 2013, was $3.28 per share.

  Sales of the Fund's Common Shares, if any, under this Prospectus Supplement and the accompanying Prospectus may be made in negotiated transactions or transactions that are deemed to be "at the market" as defined in Rule 415 under the 1933 Act, including sales made directly on the NYSE MKT or sales made to or through a market maker other than on an exchange. See "Plan of Distribution" in this Prospectus Supplement. The Fund's Common Shares may not be sold through agents, underwriters or dealers without delivery or deemed delivery of a prospectus and a prospectus supplement describing the method and terms of the offering of the Fund's securities. Under the 1940 Act, the Fund may not sell any Common Shares at a price below the current net asset value of such Common Shares, exclusive of any distributing commission or discount.

Use of Proceeds    The Fund intends to invest the net proceeds of this offering in accordance with its investment objectives and policies as stated in the accompanying Prospectus. Proceeds will be invested within approximately 30 days of receipt by the Fund. Pending such investment, the Fund anticipates investing the proceeds in short-term securities issued by the U.S. government or its agencies or instrumentalities or in high quality, short-term or long-term debt obligations or money market instruments.

Leverage    The Fund, as of February 21, 2013, is leveraged through borrowings from a credit facility in the amount of $113,000,000 or 27.78% of the Fund's total assets (including proceeds of such leverage). The Fund's asset coverage ratio as of February 21, 2013 was 360%.

Risks and Special Considerations    See "Risks and Special Considerations" beginning on page 23 of the accompanying Prospectus for a discussion of factors you should consider carefully before deciding to invest in the Fund's Common Shares.


S-2




DISTRIBUTIONS

The Fund declares and pays dividends on a monthly basis. Distributions of net realized capital gains, if any, are declared and paid at least annually. The Fund's dividend policy is to distribute substantially all of its net investment income to its shareholders on a monthly basis. However, in order to provide shareholders with a more consistent yield to the current trading price of shares of beneficial interest of the Fund, the Fund may at times pay out less than the entire amount of net investment income earned in any particular month and may at times in any month pay out such accumulated but undistributed income in addition to net investment income earned in that month. As a result, the dividends paid by the Fund for any particular month may be more or less than the amount of net investment income earned by the Fund during such month.

The amounts of the last four monthly dividends paid by the Fund are as set out below:

Payment Date   Dividend per
Common Share
 

November 23, 2012

 

$

0.0265

   

December 24, 2012

 

$

0.0265

   

January 24, 2013

 

$

0.0265

   

February 25, 2013

 

$

0.0265

   

See "Dividends and Distributions; Automatic Dividend Reinvestment Plan" in the accompanying Prospectus.

SUMMARY OF FUND EXPENSES

The following table and example are intended to assist you in understanding the various costs and expenses directly or indirectly associated with investing in Common Shares of the Fund. Some of the percentages indicated in the table below are estimates and may vary.

Shareholder Transaction Expenses

 
Sales Load (as a percentage of offering price)    

1.50

%(1)

 
Offering Expenses (as a percentage of offering price)    

0.22

%(2)

 
Dividend Reinvestment Plan Fees    

None(3)

   
Annual Operating Expenses (as a percentage of average net assets attributable to
the Fund's Common Shares)
 
Management Fee(4)    

1.14

%

 
Interest and Commitment Fees on Borrowed Funds(5)    

0.58

%

 
Other Expenses(6)    

0.22

%

 
Total Annual Operating Expenses    

1.94

%

 

(1)  Represents the estimated commission with respect to the Fund's Common Shares being sold in this offering, which the Fund will pay to JonesTrading in connection with the sales of Common Shares effected by JonesTrading in this offering. While JonesTrading is entitled to a commission of between 1.50% and 3.00% of the gross sales price for Common Shares sold, with the exact amount to be agreed upon by the parties, the Fund has assumed, for purposes of this offering, that JonesTrading will receive a commission of 1.50% of such gross sales price. This is the only sales load to be paid in connection with this offering. There is no guarantee that there will be any sales of the Fund's Common Shares pursuant to this Prospectus Supplement and the accompanying Prospectus. Actual sales of the Fund's Common Shares under this Prospectus Supplement and the accompanying Prospectus, if any, may be less than as set forth under "Capitalization" below. In addition, the price per share of any such sale may be greater or less than the price set forth under "Capitalization" below, depending on market price of the Fund's Common Shares at the time of any such sale.

(2)  Includes the Fund's payment of the reasonable fees and expenses of counsel for JonesTrading in connection with the transactions contemplated by the sales agreement, as described under "Plan of Distribution" below.

(3)  Participants in the Fund's automatic dividend reinvestment plan pay only transaction-based charges. Actual costs will vary for each participant depending on the nature and number of transactions made. See "Dividends and Distributions; Automatic Dividend Reinvestment Plan" in the accompanying Prospectus.

(4)  See "Management of the Fund — Investment Adviser" in the accompanying Prospectus.

(5)  The Fund may use leverage through borrowings. The Fund currently borrows under a credit facility.

(6)  "Other Expenses" have been estimated for the current fiscal year. Includes the Fund's estimated payment of the reasonable fees and expenses of counsel for JonesTrading in connection with the transactions contemplated by the sales agreement, as described under "Plan of Distribution" below.


S-3



Example

An investor would pay the following expenses on a $1,000 investment in the Fund, assuming (1) Total Annual Operating Expenses of 1.94%, (2) a Sales Load (commission) of $15 and estimated offering expenses of $2.20 and (3) a 5% annual return:

One Year

 

Three Years

 

Five Years

 

Ten Years

 
$

37

   

$

77

   

$

120

   

$

240

   

The "Example" assumes that all dividends and other distributions are reinvested at net asset value and that the percentage amounts listed in the table above under Total Annual Operating Expenses remain the same in the years shown. The above table and example and the assumption in the example of a 5% annual return are required by regulations of the SEC that are applicable to all investment companies; the assumed 5% annual return is not a prediction of, and does not represent, the projected or actual performance of the Fund's Common Shares.

The example should not be considered a representation of past or future expenses, and the Fund's actual expenses may be greater than or less than those shown. Moreover, the Fund's actual rate of return may be greater or less than the hypothetical 5% return shown in the example.

USE OF PROCEEDS

Sales of the Fund's Common Shares, if any, under this Prospectus Supplement and the accompanying Prospectus may be made in negotiated transactions or transactions that are deemed to be "at the market" as defined in Rule 415 under the 1933 Act, including sales made directly on the NYSE MKT or sales made to or through a market maker other than on an exchange. There is no guarantee that there will be any sales of the Fund's Common Shares pursuant to this Prospectus Supplement and the accompanying Prospectus. Actual sales, if any, of the Fund's Common Shares under this Prospectus Supplement and the accompanying Prospectus may be less than as set forth in this paragraph. In addition, the price per share of any such sale may be greater or less than the price set forth in this paragraph, depending on the market price of the Fund's Common Shares at the time of any such sale. As a result, the actual net proceeds the Fund receives may be more or less than the amount of net proceeds estimated in this Prospectus Supplement. Assuming the sale of all of the Fund's Common Shares offered under this Prospectus Supplement and the accompanying Prospectus, at the last reported sale price of $3.28 per share for the Fund's Common Shares on the NYSE MKT as of February 21, 2013, the Fund estimates that the net proceeds of this offering will be approximately $58,025,400 after deducting the estimated sales load and the estimated offering expenses payable by the Fund.

The Fund intends to invest the net proceeds of this offering in accordance with its investment objectives and policies as stated in the accompanying Prospectus within approximately 30 days of receipt of such proceeds. Pending such investment, the Fund anticipates investing the proceeds in short-term securities issued by the U.S. government or its agencies or instrumentalities or in high quality, short-term or long-term debt obligations or money market instruments. Following the completion of this offering, the Fund may increase the amount of leverage outstanding.


S-4



CAPITALIZATION

Pursuant to the sales agreement with JonesTrading dated March 1, 2013, the Fund may offer and sell up to 18,000,000 of its Common Shares, par value $0.001 per share, from time to time through JonesTrading as its agent for the offer and sale of the Common Shares under this Prospectus Supplement and the accompanying Prospectus. There is no guarantee that there will be any sales of the Fund's Common Shares pursuant to this Prospectus Supplement and the accompanying Prospectus. The table below assumes that the Fund will sell 18,000,000 Common Shares, at a price of $3.28 per share (the last reported sale price per share of the Fund's Common Shares on the NYSE MKT on February 21, 2013). Actual sales, if any, of the Fund's Common Shares under this Prospectus Supplement and the accompanying Prospectus may be less than as set forth in the table below. In addition, the price per share of any such sale may be greater or less than $3.28, depending on the market price of the Fund's Common Shares at the time of any such sale. To the extent that the market price per share of the Fund's Common Shares on any given day is less than the net asset value per share on such day, the Fund will instruct JonesTrading not to make any sales on such day.

The following table sets forth the capitalization of the Fund (i) on an actual basis as of October 31, 2012 (audited), (ii) on an actual basis as of February 21, 2013 (unaudited) to reflect the sale of Common Shares from November 1, 2012 through February 21, 2013, and the application of the net proceeds from such sale of Common Shares, and (iv) on a pro forma basis as adjusted to reflect the assumed sale of 18,000,000 Common Shares at $3.28 per share (the last reported sale price per share of the Fund's Common Shares on the NYSE MKT on February 21, 2013), in an offering under this Prospectus Supplement and the accompanying Prospectus.

  As of
October 31, 2012
(audited)
  As of
February 21, 2013
  Pro Forma
(unaudited)
 

 

Actual

 

Actual

 

As Adjusted

 

Composition of Net Assets:

 
Common stock, par value $0.001 per share, unlimited
shares authorized (91,579,927 shares issued and
outstanding as of October 31, 2012, 94,785,278 shares
issued and outstanding as of February 21, 2013
and 112,785,278 shares estimated issued and
outstanding as adjusted(1)(2)(3)
 

$

91,580

   

$

94,785

   

$

112,785

   

Paid-in capital in excess of par(2)(3)

 

$

356,463,784

   

$

366,697,601

   

$

424,705,001

   

Accumulated net investment loss

 

$

(721,477

)

 

$

(1,655,990

)

 

$

(1,655,990

)

 
Accumulated net realized loss on investments and
foreign currency transactions
 

$

(81,938,257

)

 

$

(79,703,550

)

 

$

(79,703,550

)

 
Net unrealized appreciation from investments and
foreign currency translations
 

$

2,824,760

   

$

8,336,224

   

$

8,336,224

   

Net Assets

 

$

276,720,390

   

$

293,769,070

   

$

351,794,470

   

(1)  This table does not include any Common Shares issued and sold by the Fund pursuant to a prior sales agreement from February 22, 2013 through February 28, 2013.

(2)  The Fund does not hold any of these outstanding shares for its account.

(3)  As adjusted, additional paid-in capital reflects the issuance of Common Shares offered hereby ($59,040,000), less $0.001 par value per Common Share ($18,000), less the estimated sales load ($885,600) and the offering expenses ($129,000) related to the issuance of shares.


S-5



PLAN OF DISTRIBUTION

Under the sales agreement among the Fund, the Investment Adviser and JonesTrading, upon written instructions from the Fund, JonesTrading will use its commercially reasonable efforts consistent with its normal trading and sales practices to sell, as the Fund's agent, the Common Shares under the terms and subject to the conditions set forth in the sales agreement. JonesTrading's sales efforts will continue until the Fund instructs JonesTrading to suspend sales. The Fund will instruct JonesTrading as to the amount of Common Shares to be sold by JonesTrading. The Fund may instruct JonesTrading not to sell Common Shares if the sales cannot be effected at or above the price designated by the Fund in any instruction. The Fund or JonesTrading may suspend the offering of Common Shares upon proper notice and subject to other conditions.

JonesTrading will provide written confirmation to the Fund no later than the opening of the trading day on the NYSE MKT immediately following the trading day on which Common Shares are sold under the sales agreement. Each confirmation will include the number of shares sold on the preceding day, the net proceeds to the Fund and the compensation payable by the Fund to JonesTrading in connection with the sales.

The Fund will pay JonesTrading commissions for its services in acting as agent in the sale of Common Shares. JonesTrading will be entitled to compensation of between 150 and 300 basis points of the gross sales price per share of any Common Shares sold under the sales agreement, with the exact amount of such compensation to be mutually agreed upon by the Fund and JonesTrading from time to time. The Fund has also agreed to pay the reasonable fees and expenses of counsel for JonesTrading in connection with the transactions contemplated under the sales agreement (provided such fees and expenses (a) shall not exceed $50,000 in connection with (i) the preparation and execution of the sales agreement, (ii) the preparation and filing of this Prospectus Supplement, (iii) the preparation and printing of a "Blue Sky Survey" and (iv) the review by the Financial Industry Regulatory Authority (FINRA) of the terms of the sale of the Common Shares and (b) shall not exceed $25,000 on an annual basis in each annual period following the date of the sales agreement). There is no guarantee that there will be any sales of the Fund's Common Shares pursuant to this Prospectus Supplement and the accompanying Prospectus. Actual sales, if any, of the Fund's Common Shares under this Prospectus Supplement and the accompanying Prospectus may be less than as set forth in this paragraph. In addition, the price per share of any such sale may be greater or less than the price set forth in this paragraph, depending on the market price of the Fund's Common Shares at the time of any such sale. Assuming 18,000,000 of the Fund's Common Shares offered hereby are sold at a market price of $3.28 per share (the last reported sale price for the Fund's Common Shares on the NYSE MKT on February 21, 2013), the Fund estimates that the total expenses for the offering, including reimbursable expenses payable to JonesTrading as described above and excluding compensation payable to JonesTrading under the terms of the sales agreement, would be approximately $129,000.

Settlement for sales of Common Shares will occur on the third business day (or such earlier day as is industry practice for regular-way trading) following the date on which such sales are made, or on some other date that is agreed upon by the Fund and JonesTrading in connection with a particular transaction, in return for payment of the net proceeds to the Fund. There is no arrangement for funds to be received in an escrow, trust or similar arrangement.

In connection with the sale of the Common Shares on the Fund's behalf, JonesTrading may, and will with respect to sales effected in an "at the market offering," be deemed to be an "underwriter" within the meaning of the 1933 Act, and the compensation of JonesTrading may be deemed to be underwriting commissions or discounts. The Fund has agreed to provide indemnification and contribution to JonesTrading against certain civil liabilities, including liabilities under the 1933 Act.

The offering of the Fund's Common Shares pursuant to the sales agreement will terminate upon the earlier of (1) the sale of all Common Shares subject to the sales agreement or (2) termination of the sales agreement. The sales agreement may be terminated by the Fund in its sole discretion at any time by giving notice to JonesTrading. In addition, JonesTrading may terminate the sales agreement under the circumstances specified in the sales


S-6



agreement and in its sole discretion at any time following a period of 12 months from the date of the sales agreement by giving notice to the Fund.

The principal business address of JonesTrading is 780 Third Avenue, 3rd Floor, New York, New York 10017.

LEGAL MATTERS

Certain legal matters will be passed on by Willkie Farr & Gallagher LLP, 787 Seventh Avenue, New York, New York 10019, counsel to the Fund, in connection with the offering of the Common Shares. Willkie Farr & Gallagher LLP will rely as to matters of Delaware law on the opinion of Richards Layton & Finger, P.A., One Rodney Square, 920 North King Street, Wilmington, Delaware 19801.

ADDITIONAL INFORMATION

This Prospectus Supplement and the accompanying Prospectus constitute part of a Registration Statement filed by the Fund with the SEC under the 1933 Act and the 1940 Act. This Prospectus Supplement and the accompanying Prospectus omit certain of the information contained in the Registration Statement, and reference is hereby made to the Registration Statement and related exhibits for further information with respect to the Fund and the Common Shares offered hereby. Any statements contained herein concerning the provisions of any document are not necessarily complete, and, in each instance, reference is made to the copy of such document filed as an exhibit to the Registration Statement or otherwise filed with the SEC. Each such statement is qualified in its entirety by such reference. The complete Registration Statement may be obtained from the SEC upon payment of the fee prescribed by its rules and regulations or free of charge through the SEC's web site (http://www.sec.gov).


S-7




INDEX TO FINANCIAL STATEMENTS

Schedule of Investments

 

F-2

 

Statements of Assets and Liabilities (audited) - October 31, 2012

 

F-15

 

Statement of Operations (audited)-For the Year Ended October 31, 2012

 

F-16

 

Statement of Changes in Net Assets (audited) - For the Years Ended October 31, 2012 and 2011

 

F-17

 

Statement of Cash Flows (audited) - For the Year Ended October 31, 2012

 

F-18

 

Financial Highlights For the Years Ended October 31, 2012, 2011, 2011, 2009 & 2008

 

F-19

 

Notes to Financial Statements

 

F-21

 


F-1



Credit Suisse High Yield Bond Fund

Schedule of Investments

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 
CORPORATE BONDS (118.5%)      
Aerospace & Defense (0.5%)      

$

1,402

    Ducommun, Inc., Global Company Guaranteed Notes
(Callable 07/15/15 @ 104.88)
 

(B-, B3)

 

07/15/18

   

9.750

   

$

1,489,625

   
Auto Parts & Equipment (7.0%)      
  2,990     Affinia Group, Inc., Global Company Guaranteed Notes
(Callable 11/30/12 @ 100.00)
 

(CCC+, B3)

 

11/30/14

   

9.000

     

3,012,455

   
  1,000     Affinia Group, Inc., Rule 144A, Senior Secured Notes
(Callable 12/03/12 @ 108.06) ‡
 

(B+, B1)

 

08/15/16

   

10.750

     

1,085,000

   
  900     IDQ Holdings, Inc., Rule 144A, Senior Secured Notes
(Callable 10/01/14 @ 108.63) ‡
 

(B, B3)

 

04/01/17

   

11.500

     

963,000

   
  675    

Lear Corp., Company Guaranteed Notes (Callable 03/15/15 @ 104.06)

 

(BB, Ba2)

 

03/15/20

   

8.125

     

753,469

   
  1,935     Mark IV USA SCA, Rule 144A, Senior Secured Notes
(Callable 12/15/13 @ 106.66) ‡€
 

(BB-, Ba3)

 

12/15/17

   

8.875

     

2,670,352

   
  850     Meritor, Inc., Company Guaranteed Notes
(Callable 03/15/14 @ 105.31) §
 

(B-, B3)

 

03/15/18

   

10.625

     

861,688

   
  1,000    

Schaeffler Finance BV, Rule 144A, Senior Secured Notes ‡

 

(B+, Ba3)

 

02/15/17

   

7.750

     

1,108,750

   
  2,000     Schaeffler Finance BV, Rule 144A, Senior Secured Notes
(Callable 02/15/15 @ 106.38) ‡§
 

(B+, Ba3)

 

02/15/19

   

8.500

     

2,242,500

   
  2,700     Stoneridge, Inc., Rule 144A, Senior Secured Notes
(Callable 10/15/14 @ 104.75) ‡
 

(BB-, B2)

 

10/15/17

   

9.500

     

2,926,125

   
  3,750     UCI International, Inc., Global Company Guaranteed Notes
(Callable 02/15/15 @ 104.31)
 

(CCC+, B3)

 

02/15/19

   

8.625

     

3,735,937

   
                 

19,359,276

   
Building & Construction (1.5%)      
  741     Ashton Woods Finance Co., Rule 144A, Company Guaranteed Notes
(Callable 02/24/14 @ 105.50) ‡+
 

(NR, NR)

 

06/30/15

   

11.000

     

726,180

   
  2,500     K Hovnanian Enterprises, Inc., Global Senior Secured Notes
(Callable 11/01/12 @ 107.97) §
 

(CCC-, B3)

 

10/15/16

   

10.625

     

2,699,225

   
  600    

K Hovnanian Enterprises, Inc., Rule 144A, Senior Secured Notes ‡

 

(CC, B3)

 

11/01/21

   

2.000

     

426,000

   
  253    

William Lyon Homes, Inc., Global Notes

 

(NR, NR)

 

02/25/17

   

12.000

     

251,889

   
                 

4,103,294

   
Building Materials (3.5%)      
  2,550     Euramax International, Inc., Global Senior Secured Notes
(Callable 04/01/13 @ 107.13)
 

(B-, Caa1)

 

04/01/16

   

9.500

     

2,358,750

   
  1,000     HD Supply, Inc., Rule 144A, Senior Secured Notes
(Callable 04/15/15 @ 106.09) ‡
 

(B+, B2)

 

04/15/19

   

8.125

     

1,102,500

   
  2,250    

Headwaters, Inc., Global Secured Notes (Callable 04/01/15 @ 103.81)

 

(B+, B2)

 

04/01/19

   

7.625

     

2,311,875

   
  1,850     International Wire Group Holdings, Inc., Rule 144A,
Senior Secured Notes (Callable 10/15/15 @ 104.25) ‡
 

(B, B3)

 

10/15/17

   

8.500

     

1,877,750

   
  525     Summit Materials Finance Corp., Rule 144A, Senior Unsecured Notes
(Callable 01/31/16 @ 105.25) ‡
 

(B, B3)

 

01/31/20

   

10.500

     

565,688

   
  1,000     Xefin Lux SCA, Rule 144A, Senior Secured Notes
(Callable 06/01/14 @ 106.00) ‡€
 

(B+, Ba3)

 

06/01/18

   

8.000

     

1,334,674

   
                 

9,551,237

   
Chemicals (5.8%)      
  1,900    

Ferro Corp., Senior Unsecured Notes (Callable 08/15/14 @ 103.94)

 

(B-, B1)

 

08/15/18

   

7.875

     

1,762,250

   
  500     Hexion Nova Scotia Finance ULC, Secured Notes
(Callable 11/15/15 @ 104.50)
 

(CCC+, NR)

 

11/15/20

   

9.000

     

451,250

   
  250     Ineos Finance PLC, Rule 144A, Senior Secured Notes
(Callable 02/15/15 @ 102.00) ‡€#
 

(B+, B1)

 

02/15/19

   

7.250

     

331,239

   
  700     Ineos Finance PLC, Rule 144A, Senior Secured Notes
(Callable 02/15/15 @ 106.28) ‡
 

(B+, B1)

 

02/15/19

   

8.375

     

737,625

   
  400     Ineos Finance PLC, Rule 144A, Senior Secured Notes
(Callable 05/15/13 @ 104.50) ‡
 

(B+, B1)

 

05/15/15

   

9.000

     

426,000

   

See Accompanying Notes to Financial Statements
F-2



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     

Chemicals

     

$

1,675

    Ineos Group Holdings PLC, Rule 144A, Company Guaranteed Notes
(Callable 02/15/13 @ 101.42) ‡§
 

(CCC+, Caa1)

 

02/15/16

   

8.500

   

$

1,624,750

   
  1,000     JM Huber Corp., Rule 144A, Senior Unsecured Notes
(Callable 11/01/15 @ 104.94) ‡
 

(BB-, B2)

 

11/01/19

   

9.875

     

1,115,000

   
  2,000     Momentive Performance Materials, Inc., Global Secured Notes
(Callable 01/15/16 @ 104.50) §
 

(CC, Caa1)

 

01/15/21

   

9.000

     

1,390,000

   
  2,067     OXEA Finance & Cy SCA, Rule 144A, Senior Secured Notes
(Callable 07/15/13 @ 107.13) ‡
 

(B+, B2)

 

07/15/17

   

9.500

     

2,258,197

   
  1,253     Reichhold Industries, Inc., Rule 144A, Company Guaranteed Notes
(Callable 12/03/12 @ 100.00) ‡
 

(CCC+, NR)

 

05/08/17

   

9.000

     

983,978

   
  750     Styrolution GmbH, Rule 144A, Senior Secured Notes
(Callable 05/15/13 @ 105.72) ‡€
 

(B+, B2)

 

05/15/16

   

7.625

     

931,761

   
  2,500     Taminco Global Chemical Corp., Rule 144A, Secured Notes
(Callable 03/31/15 @ 107.31) ‡
 

(B-, Caa1)

 

03/31/20

   

9.750

     

2,725,000

   
  1,100     TPC Group LLC, Global Senior Secured Notes
(Callable 10/01/13 @ 106.19)
 

(B+, B1)

 

10/01/17

   

8.250

     

1,215,500

   
                 

15,952,550

   
Computer Hardware (1.4%)      
  3,750     Spansion LLC, Global Company Guaranteed Notes
(Callable 11/15/13 @ 103.94)
 

(BB-, B3)

 

11/15/17

   

7.875

     

3,768,750

   
Consumer Products (1.7%)      
  2,400     Alphabet Holding Co., Inc., Rule 144A, Senior Unsecured Notes
(Callable 11/01/13 @ 103.00) ‡
 

(B-, Caa1)

 

11/01/17

   

7.750

     

2,427,000

   
  2,000     NBTY, Inc., Global Company Guaranteed Notes
(Callable 10/01/14 @ 104.50)
 

(B, B3)

 

10/01/18

   

9.000

     

2,250,000

   
                 

4,677,000

   
Consumer/Commercial/Lease Financing (2.7%)      
  1,500     Cabot Financial Luxembourg SA, Rule 144A, Senior Secured Notes
(Callable 10/01/15 @ 107.78) ‡£
 

(BB, B1)

 

10/01/19

   

10.375

     

2,549,487

   
  900     CNG Holdings, Inc., Rule 144A, Senior Secured Notes
(Callable 05/15/16 @ 104.69) ‡
 

(B, B3)

 

05/15/20

   

9.375

     

931,500

   
  650     NESCO Holding Corp., Rule 144A, Secured Notes
(Callable 04/15/14 @ 110.00) ‡
 

(B-, Caa1)

 

04/15/17

   

11.750

     

689,000

   
  650     PFG Finance Corp., Rule 144A, Senior Notes
(Callable 02/15/15 @ 105.06) ‡
 

(B, B2)

 

02/15/19

   

10.125

     

679,250

   
  2,300     PFG Finance Corp., Rule 144A, Senior Secured Notes
(Callable 04/15/14 @ 105.13) ‡
 

(BB, Ba3)

 

04/15/17

   

10.250

     

2,527,125

   
                 

7,376,362

   
Discount Stores (0.9%)      
  2,200     99 Cents Only Stores, Rule 144A, Senior Notes
(Callable 12/15/14 @ 108.25) ‡
 

(NR, Caa1)

 

12/15/19

   

11.000

     

2,508,000

   
Diversified Capital Goods (1.8%)      
  1,000    

AM Castle & Co., Global Secured Notes (Callable 12/15/14 @ 106.38)

 

(B+, B3)

 

12/15/16

   

12.750

     

1,150,000

   
  1,925     Coleman Cable, Inc., Global Company Guaranteed Notes
(Callable 02/15/14 @ 104.50)
 

(B, B3)

 

02/15/18

   

9.000

     

2,059,750

   
  1,157    

FCC Holdings, Inc., Rule 144A, Notes (Callable 12/15/12 @ 106.00) ‡

 

(CCC+, Caa3)

 

12/15/15

   

13.000

     

931,488

   
  823     Mueller Water Products, Inc., Global Company Guaranteed Notes
(Callable 09/01/15 @ 104.38)
 

(NR, B2)

 

09/01/20

   

8.750

     

948,508

   
                 

5,089,746

   

See Accompanying Notes to Financial Statements
F-3



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     
Electric - Generation (0.3%)      

$

2,925

    TCEH Finance, Inc., LLC, Series A, Global Company Guaranteed Notes
(Callable 11/01/12 @ 102.56) §
 

(D, Ca)

 

11/01/15

   

10.250

   

$

533,812

   
  1,175     TCEH Finance, Inc., LLC, Series B, Global Company Guaranteed Notes
(Callable 11/01/12 @ 102.56)
 

(D, Ca)

 

11/01/15

   

10.250

     

202,688

   
                 

736,500

   
Electric - Integrated (1.6%)      
  2,375     Prestige Brands, Inc., Global Senior Secured Notes
(Callable 04/01/14 @ 104.13)
 

(BB-, Ba3)

 

04/01/18

   

8.250

     

2,621,406

   
  675    

The AES Corp., Global Senior Unsecured Notes

 

(BB-, Ba3)

 

10/15/17

   

8.000

     

775,406

   
  900     The AES Corp., Global Senior Unsecured Notes
(Callable 06/01/21 @ 100.00)
 

(BB-, Ba3)

 

07/01/21

   

7.375

     

1,010,250

   
                 

4,407,062

   
Electronics (1.7%)      
  1,500     CPI International, Inc., Global Company Guaranteed Notes
(Callable 02/15/15 @ 104.00)
 

(CCC+, B3)

 

02/15/18

   

8.000

     

1,440,000

   
  928     Freescale Semiconductor, Inc., Rule 144A, Senior Secured Notes
(Callable 03/15/14 @ 105.06) ‡
 

(B, B1)

 

03/15/18

   

10.125

     

1,006,880

   
  1,000     MEMC Electronic Materials, Inc., Global Company Guaranteed Notes
(Callable 04/01/14 @ 105.81)
 

(B+, Caa1)

 

04/01/19

   

7.750

     

751,250

   
  1,000     Techem Energy Metering Service GmbH & Co. KG, Rule 144A,
Senior Subordinated Notes (Callable 10/01/16 @ 103.94) ‡€
 

(B-, B1)

 

10/01/20

   

7.875

     

1,375,168

   
                 

4,573,298

   
Energy - Exploration & Production (12.1%)      
  500     Comstock Resources, Inc., Company Guaranteed Notes
(Callable 04/01/15 @ 103.88)
 

(B-, B3)

 

04/01/19

   

7.750

     

510,000

   
  2,350     Comstock Resources, Inc., Company Guaranteed Notes
(Callable 10/15/13 @ 104.19)
 

(B-, B3)

 

10/15/17

   

8.375

     

2,473,375

   
  50     Denbury Resources, Inc., Company Guaranteed Notes
(Callable 03/01/13 @ 104.88)
 

(BB, B1)

 

03/01/16

   

9.750

     

53,500

   
  2,500     Energy Partners Ltd., Global Company Guaranteed Notes
(Callable 02/15/15 @ 104.13)
 

(B-, Caa1)

 

02/15/18

   

8.250

     

2,493,750

   
  950     Energy XXI Gulf Coast, Inc., Company Guaranteed Notes
(Callable 12/15/14 @ 104.63)
 

(B+, B3)

 

12/15/17

   

9.250

     

1,075,875

   
  650     Everest Acquisition Finance, Inc., Rule 144A, Senior Secured Notes
(Callable 05/01/15 @ 103.44) ‡
 

(B+, Ba3)

 

05/01/19

   

6.875

     

705,250

   
  2,600     Everest Acquisition Finance, Inc., Rule 144A, Senior Unsecured Notes
(Callable 05/01/16 @ 104.69) ‡§
 

(B, B2)

 

05/01/20

   

9.375

     

2,886,000

   
  1,575     EXCO Resources, Inc., Company Guaranteed Notes
(Callable 09/15/14 @ 103.75)
 

(CCC+, B3)

 

09/15/18

   

7.500

     

1,488,375

   
  1,000     Halcon Resources Corp., Rule 144A, Company Guaranteed Notes
(Callable 07/15/16 @ 104.88) ‡
 

(CCC+, B3)

 

07/15/20

   

9.750

     

1,060,000

   
  1,000     Halcon Resources Corp., Rule 144A, Senior Unsecured Notes
(Callable 11/15/16 @ 104.44) ‡
 

(CCC+, B3)

 

05/15/21

   

8.875

     

1,016,250

   
  900     Linn Energy Finance Corp., Global Company Guaranteed Notes
(Callable 09/15/15 @ 103.88)
 

(B, B2)

 

02/01/21

   

7.750

     

965,250

   
  1,800     Linn Energy Finance Corp., Rule 144A, Company Guaranteed Notes
(Callable 11/01/15 @ 103.13) ‡
 

(B, B2)

 

11/01/19

   

6.250

     

1,809,000

   
  3,750     McMoRan Exploration Co., Company Guaranteed Notes
(Callable 11/15/12 @ 104.94)
 

(B-, Caa1)

 

11/15/14

   

11.875

     

3,946,875

   
  1,250     Oasis Petroleum, Inc., Global Company Guaranteed Notes
(Callable 02/01/15 @ 103.63)
 

(B, B3)

 

02/01/19

   

7.250

     

1,343,750

   
  1,350     PDC Energy, Inc., Rule 144A, Company Guaranteed Notes
(Callable 10/15/17 @ 103.88) ‡
 

(B-, B3)

 

10/15/22

   

7.750

     

1,380,375

   
  2,250     Shelf Drilling Holdings Ltd., Rule 144A, Senior Secured Notes
(Callable 05/01/15 @ 104.31) ‡
 

(NR, B1)

 

11/01/18

   

8.625

     

2,272,500

   

See Accompanying Notes to Financial Statements
F-4



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     

Energy - Exploration & Production

     

$

2,000

    Sidewinder Drilling, Inc., Rule 144A, Senior Unsecured Notes
(Callable 11/15/16 @ 104.88) ‡
 

(B-, B3)

 

11/15/19

   

9.750

   

$

2,020,000

   
  800     Stone Energy Corp., Company Guaranteed Notes
(Callable 02/01/14 @ 104.31)
 

(B-, B3)

 

02/01/17

   

8.625

     

854,000

   
  1,000     Stone Energy Corp., Global Company Guaranteed Notes
(Callable 11/15/17 @ 103.75)
 

(B-, B3)

 

11/15/22

   

7.500

     

992,500

   
  475     Swift Energy Co., Company Guaranteed Notes
(Callable 12/03/12 @ 103.56)
 

(B+, B3)

 

06/01/17

   

7.125

     

490,437

   
  500     Swift Energy Co., Global Company Guaranteed Notes
(Callable 03/01/17 @ 103.94)
 

(B+, B3)

 

03/01/22

   

7.875

     

522,500

   
  1,000     Swift Energy Co., Rule 144A, Company Guaranteed Notes
(Callable 03/01/17 @ 103.94) ‡
 

(B+, B3)

 

03/01/22

   

7.875

     

1,045,000

   
  1,000     W&T Offshore, Inc., Global Company Guaranteed Notes
(Callable 06/15/15 @ 104.25)
 

(B, B3)

 

06/15/19

   

8.500

     

1,057,500

   
  1,000     W&T Offshore, Inc., Rule 144A, Company Guaranteed Notes
(Callable 06/15/15 @ 104.25) ‡
 

(NR, B3)

 

06/15/19

   

8.500

     

1,057,500

   
                 

33,519,562

   
Environmental (1.8%)      
  900     Darling International, Inc., Global Company Guaranteed Notes
(Callable 12/15/14 @ 104.25)
 

(BB+, Ba2)

 

12/15/18

   

8.500

     

1,027,125

   
  1,800     EnergySolutions LLC, Global Company Guaranteed Notes
(Callable 08/15/14 @ 105.38)
 

(B, Caa3)

 

08/15/18

   

10.750

     

1,678,500

   
  1,750     Heckmann Corp., Global Company Guaranteed Notes
(Callable 04/15/15 @ 104.94)
 

(B-, Caa1)

 

04/15/18

   

9.875

     

1,763,125

   
  500     Rough Rider Escrow, Inc., Rule 144A, Senior Notes
(Callable 04/15/15 @ 104.94) ‡
 

(B, B3)

 

04/15/18

   

9.875

     

501,250

   
                 

4,970,000

   
Food - Wholesale (0.9%)      
  1,075     Del Monte Corp., Global Company Guaranteed Notes
(Callable 02/15/14 @ 103.81)
 

(CCC+, B3)

 

02/15/19

   

7.625

     

1,109,937

   
  1,400     Southern States Cooperative, Inc., Rule 144A, Senior Notes
(Callable 05/15/13 @ 105.63) ‡
 

(B, B3)

 

05/15/15

   

11.250

     

1,468,250

   
                 

2,578,187

   
Forestry & Paper (0.3%)      
  300     Lecta SA, Rule 144A, Senior Secured Notes
(Callable 05/15/15 @ 106.66)‡ €
 

(B+, B1)

 

05/15/19

   

8.875

     

398,458

   
  950    

Stone & Webster, Inc.*

 

(NR, NR)

 

07/02/13

   

0.000

     

21,969

   
  1,400     Verso Paper, Inc., Global Secured Notes
(Callable 02/01/15 @ 104.38)§
 

(CCC+, B3)

 

02/01/19

   

8.750

     

532,000

   
                 

952,427

   
Gaming (6.4%)      
  1,700     Affinity Gaming Finance Corp., Rule 144A, Company Guaranteed
Notes (Callable 05/15/15 @ 104.50) ‡
 

(B, Caa1)

 

05/15/18

   

9.000

     

1,772,250

   
  775     Buffalo Thunder Development Authority, Rule 144A, Senior Secured
Notes (Callable 12/15/12 @ 100.00) ‡Ø
 

(NR, NR)

 

12/15/14

   

9.375

     

279,000

   
  2,217     Chester Downs & Marina LLC, Rule 144A, Senior Secured Notes
(Callable 02/01/16 @ 104.63) ‡
 

(B+, B3)

 

02/01/20

   

9.250

     

2,217,000

   
  1,043     Choctaw Resort Development Enterprise, Rule 144A, Senior Notes
(Callable 11/15/12 @ 102.42) ‡
 

(B, Caa1)

 

11/15/19

   

7.250

     

923,055

   
  1,502     Chukchansi Economic Development Authority, Rule 144A, Secured
Notes (Callable 05/30/16 @ 104.88) ‡
 

(NR, Caa2)

 

05/30/20

   

9.750

     

923,735

   
  1,500     Cirsa Funding Luxembourg SA, Rule 144A, Company Guaranteed
Notes (Callable 05/15/14 @ 104.38) ‡€
 

(B+, B3)

 

05/15/18

   

8.750

     

1,875,671

   
  625     Fontainebleau Las Vegas Holdings LLC, Rule 144A, Second Mortgage
Notes (Callable 12/03/12 @ 102.56) ‡Ø
 

(NR, NR)

 

06/15/15

   

10.250

     

1,172

   

See Accompanying Notes to Financial Statements
F-5



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     

Gaming

     

$

1,000

    Greektown Superholdings, Inc., Series A, Global Secured Notes
(Callable 01/01/13 @ 106.50)
 

(NR, NR)

 

07/01/15

   

13.000

   

$

1,078,750

   
  1,700     Greektown Superholdings, Inc., Series B, Global Secured Notes
(Callable 01/01/13 @ 106.50)
 

(NR, NR)

 

07/01/15

   

13.000

     

1,833,875

   
  319    

Majestic Star Casino LLC, Rule 144A, Senior Notes‡

 

(NR, NR)

 

12/01/16

   

12.500

     

301,045

   
  950     Peninsula Gaming LLC, Global Company Guaranteed Notes
(Callable 08/15/13 @ 105.38)
 

(B, Caa1)

 

08/15/17

   

10.750

     

1,074,687

   
  2,285     Peninsula Gaming LLC, Global Secured Notes
(Callable 12/03/12 @ 104.19)
 

(BB, Ba3)

 

08/15/15

   

8.375

     

2,396,394

   
  1,000     Rivers Pittsburgh Finance Corp., Rule 144A, Senior Secured Notes
(Callable 06/15/15 @ 104.75) ‡
 

(B, B3)

 

06/15/19

   

9.500

     

1,085,000

   
  670     Tropicana Finance Corp., Global Senior Subordinated Notes
(Callable 12/15/12 @ 100.00) ^Ø
 

(NR, NR)

 

12/15/14

   

9.625

     

67

   
  2,085     Tunica-Biloxi Gaming Authority, Rule 144A, Senior Unsecured Notes
(Callable 11/15/12 @ 101.60) ‡
 

(B+, B3)

 

11/15/15

   

9.000

     

1,907,775

   
                 

17,669,476

   
Gas Distribution (1.6%)      
  1,100     Genesis Energy LP, Global Company Guaranteed Notes
(Callable 12/15/14 @ 103.94)
 

(B, B2)

 

12/15/18

   

7.875

     

1,171,500

   
  1,100     Genesis Energy LP, Rule 144A, Senior Unsecured Notes
(Callable 12/15/14 @ 103.94) ‡
 

(NR, B2)

 

12/15/18

   

7.875

     

1,171,500

   
  1,500     Holly Energy Finance Corp., Rule 144A, Company Guaranteed Notes
(Callable 03/01/16 @ 103.25) ‡
 

(BB-, B1)

 

03/01/20

   

6.500

     

1,582,500

   
  600     Targa Resources Partners Finance Corp., Global Company Guaranteed
Notes (Callable 11/09/12 @ 104.13)
 

(BB, Ba3)

 

07/01/16

   

8.250

     

624,750

   
                 

4,550,250

   
Health Facilities (2.0%)      
  545     Bausch & Lomb, Inc., Global Senior Unsecured Notes
(Callable 11/01/12 @ 102.47)
 

(B, Caa1)

 

11/01/15

   

9.875

     

561,350

   
  700     MPT Finance Corp., Global Company Guaranteed Notes
(Callable 05/01/16 @ 103.44)
 

(BB, Ba1)

 

05/01/21

   

6.875

     

759,500

   
  625     Radiation Therapy Services, Inc., Global Company Guaranteed Notes
(Callable 04/15/14 @ 104.94)
 

(CCC+, Caa2)

 

04/15/17

   

9.875

     

443,750

   
  1,950     Symbion, Inc., Global Senior Secured Notes
(Callable 06/15/14 @ 104.00)
 

(B, B2)

 

06/15/16

   

8.000

     

2,018,250

   
  900     Tenet Healthcare Corp., Global Senior Secured Notes
(Callable 07/01/14 @ 104.44)
 

(B+, B1)

 

07/01/19

   

8.875

     

1,010,250

   
  700     United Surgical Partners International, Inc., Global Company
Guaranteed Notes (Callable 04/01/15 @ 106.75)
 

(CCC+, Caa1)

 

04/01/20

   

9.000

     

770,000

   
                 

5,563,100

   
Health Services (2.4%)      
  650     Capsugel FinanceCo SCA, Rule 144A, Company Guaranteed Notes
(Callable 08/01/14 @ 107.41) ‡€
 

(B, Caa1)

 

08/01/19

   

9.875

     

962,294

   
  1,500     Catalent Pharma Solutions, Inc., Rule 144A, Company Guaranteed
Notes (Callable 12/03/12 @ 101.50) ‡
 

(B, Caa1)

 

10/15/18

   

7.875

     

1,522,500

   
  675     inVentiv Health, Inc., Rule 144A, Company Guaranteed Notes
(Callable 08/15/14 @ 105.00) ‡
 

(CCC, Caa2)

 

08/15/18

   

10.000

     

614,250

   
  425    

Service Corp. International, Senior Unsecured Notes

 

(BB-, Ba3)

 

11/15/21

   

8.000

     

523,812

   
  2,440     STHI Holding Corp., Rule 144A, Secured Notes
(Callable 03/15/14 @ 106.00) ‡
 

(B, B2)

 

03/15/18

   

8.000

     

2,623,000

   
  500     Universal Hospital Services, Inc., Rule 144A, Senior Secured Notes
(Callable 08/15/15 @ 105.72) ‡
 

(B+, B3)

 

08/15/20

   

7.625

     

520,000

   
                 

6,765,856

   

See Accompanying Notes to Financial Statements
F-6



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     
Insurance Brokerage (1.9%)      

$

2,150

    Alliant Holdings I, Inc., Rule 144A, Senior Unsecured Notes
(Callable 11/01/13 @ 100.00) ‡
 

(CCC, Caa2)

 

05/01/15

   

11.000

   

$

2,227,400

   
  1,150     Hub International Ltd., Rule 144A, Company Guaranteed Notes
(Callable 10/15/14 @ 104.06) ‡
 

(CCC+, Caa2)

 

10/15/18

   

8.125

     

1,187,375

   
  2,000    

USI Holdings Corp., Rule 144A, Company Guaranteed Notes ‡#

 

(CCC, Caa1)

 

11/15/14

   

4.310

     

1,950,000

   
                 

5,364,775

   
Investments & Misc. Financial Services (0.5%)      
  1,000     Numericable Finance & Co., Rule 144A, Secured Notes
(Callable 02/15/16 @ 106.19) ‡€
 

(B, B2)

 

02/15/19

   

12.375

     

1,499,889

   
Leisure (2.0%)      
  1,650     Magnum Management Corp., Global Company Guaranteed Notes
(Callable 08/01/14 @ 104.56)
 

(B, B2)

 

08/01/18

   

9.125

     

1,874,812

   
  2,000     Palace Entertainment Holdings Corp., Rule 144A, Senior Secured
Notes (Callable 04/15/14 @ 104.44) ‡
 

(B-, B2)

 

04/15/17

   

8.875

     

2,120,000

   
  1,500     Viking Cruises Ltd., Rule 144A, Senior Notes
(Callable 10/15/17 @ 104.25) ‡
 

(B+, B3)

 

10/15/22

   

8.500

     

1,556,250

   
                 

5,551,062

   
Machinery (0.9%)      
  1,620     Dematic SA, Rule 144A, Senior Secured Notes
(Callable 05/01/13 @ 104.38) ‡
 

(B, B1)

 

05/01/16

   

8.750

     

1,727,325

   
  500     Mirror PIK SA, Rule 144A, Senior Notes
(Callable 11/01/13 @ 104.50) ‡
 

(CCC+, Caa1)

 

11/01/16

   

9.000

     

503,750

   
  250     Terex Corp., Senior Subordinated Notes
(Callable 11/15/12 @ 104.00) §
 

(B, Caa1)

 

11/15/17

   

8.000

     

261,563

   
                 

2,492,638

   
Media - Broadcast (2.0%)      
  3,500     Mission Broadcasting, Inc., Global Secured Notes
(Callable 04/15/14 @ 104.44)
 

(B, B3)

 

04/15/17

   

8.875

     

3,832,500

   
  341     Nexstar Broadcasting, Inc., Series 1, Global Company Guaranteed
Notes (Callable 12/03/12 @ 100.00)
 

(B-, NR)

 

01/15/14

   

7.000

     

342,641

   
  500     Starz Finance Corp., Rule 144A, Senior Notes
(Callable 09/15/15 @ 102.50) ‡
 

(BB, Ba2)

 

09/15/19

   

5.000

     

513,750

   
  650     Townsquare Radio, Inc., Rule 144A, Company Guaranteed Notes
(Callable 04/01/15 @ 106.75) ‡
 

(B, B3)

 

04/01/19

   

9.000

     

705,250

   
                 

5,394,141

   
Media - Cable (3.6%)      
  75    

Cablevision Systems Corp., Senior Unsecured Notes

 

(B+, B1)

 

04/15/18

   

7.750

     

83,719

   
  1,150    

Cablevision Systems Corp., Senior Unsecured Notes

 

(B+, B1)

 

04/15/20

   

8.000

     

1,296,625

   
  169     CCH II Capital Corp., Global Senior Notes
(Callable 11/30/12 @ 106.75)
 

(B, B2)

 

11/30/16

   

13.500

     

182,331

   
  1,925     CCO Holdings Capital Corp., Global Company Guaranteed Notes
(Callable 04/30/15 @ 104.06)
 

(BB-, B1)

 

04/30/20

   

8.125

     

2,175,250

   
  1,950     Cequel Capital Corp., Rule 144A, Senior Unsecured Notes
(Callable 11/15/12 @ 106.47) ‡
 

(B-, B3)

 

11/15/17

   

8.625

     

2,096,250

   
  525    

CSC Holdings LLC, Global Senior Unsecured Notes

 

(BB+, Ba3)

 

02/15/19

   

8.625

     

624,750

   
  1,500    

DISH DBS Corp., Global Company Guaranteed Notes

 

(BB-, Ba2)

 

09/01/19

   

7.875

     

1,766,250

   
  1,000     Harron Finance Corp., Rule 144A, Senior Notes
(Callable 04/01/16 @ 104.56) ‡
 

(B-, Caa1)

 

04/01/20

   

9.125

     

1,085,000

   
  600     Unitymedia NRW GmbH, Rule 144A, Senior Secured Notes
(Callable 03/15/15 @ 103.75) ‡
 

(BB-, Ba3)

 

03/15/19

   

7.500

     

663,000

   
                 

9,973,175

   

See Accompanying Notes to Financial Statements
F-7



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     
Media - Diversified (1.5%)      

$

2,800

    Block Communications, Inc., Rule 144A, Senior Unsecured Notes
(Callable 02/01/16 @ 103.63) ‡
 

(B+, Ba3)

 

02/01/20

   

7.250

   

$

2,989,000

   
  600     National CineMedia LLC, Senior Unsecured Notes
(Callable 07/15/16 @ 103.94)
 

(B, B2)

 

07/15/21

   

7.875

     

658,500

   
  600     Quebecor Media, Inc., Global Senior Unsecured Notes
(Callable 03/15/13 @ 101.29)
 

(B+, B2)

 

03/15/16

   

7.750

     

616,998

   
                 

4,264,498

   
Media - Services (1.1%)      
  1,000     Clear Channel Worldwide Holdings, Inc., Global Company Guaranteed
Notes (Callable 03/15/15 @ 105.72)
 

(B, B3)

 

03/15/20

   

7.625

     

957,500

   
  150     Clear Channel Worldwide Holdings, Inc., Global Company Guaranteed
Notes (Callable 12/15/12 @ 106.94)
 

(B, B1)

 

12/15/17

   

9.250

     

161,250

   
  1,500     Clear Channel Worldwide Holdings, Inc., Series B, Global Company
Guaranteed Notes (Callable 12/15/12 @ 106.94)
 

(B, B1)

 

12/15/17

   

9.250

     

1,612,500

   
  400     WMG Acquisition Corp., Global Senior Secured Notes
(Callable 06/15/13 @ 104.75)
 

(BB-, Ba2)

 

06/15/16

   

9.500

     

442,500

   
                 

3,173,750

   
Medical Products (0.7%)      
  1,800     Polymer Group, Inc., Global Senior Secured Notes
(Callable 02/01/15 @ 103.88)
 

(B, B1)

 

02/01/19

   

7.750

     

1,935,000

   
Metals & Mining - Excluding Steel (7.2%)      
  750     Boart Longyear Management Pty, Ltd., Rule 144A, Company
Guaranteed Notes (Callable 04/01/16 @ 103.50) ‡
 

(BB-, Ba2)

 

04/01/21

   

7.000

     

763,125

   
  2,700     Calcipar SA, Rule 144A, Senior Secured Notes
(Callable 05/01/15 @ 103.44) ‡
 

(BB, B1)

 

05/01/18

   

6.875

     

2,720,250

   
  600     FMG Resources August 2006 Pty Ltd., Rule 144A, Senior Notes
(Callable 11/01/15 @ 104.13) ‡§
 

(B+, B1)

 

11/01/19

   

8.250

     

603,000

   
  1,500     Global Brass & Copper, Inc., Rule 144A, Senior Secured Notes
(Callable 06/01/16 @ 104.75) ‡
 

(B, B3)

 

06/01/19

   

9.500

     

1,635,000

   
  2,100     Kaiser Aluminum Corp., Global Company Guaranteed Notes
(Callable 06/01/16 @ 104.13)
 

(BB-, Ba3)

 

06/01/20

   

8.250

     

2,283,750

   
  1,750     Molycorp, Inc., Rule 144A, Company Guaranteed Notes
(Callable 06/01/16 @ 105.00) ‡§
 

(CCC+, B3)

 

06/01/20

   

10.000

     

1,693,125

   
  2,375     Noranda Aluminium Acquisition Corp., Global Company
Guaranteed Notes #
 

(CCC+, B3)

 

05/15/15

   

4.730

     

2,255,779

   
  225     Old AII, Inc., Global Company Guaranteed Notes
(Callable 12/15/12 @ 100.00) ^Ø
 

(NR, NR)

 

12/15/14

   

9.000

     

22

   
  1,100     Old AII, Inc., Global Company Guaranteed Notes
(Callable 12/15/12 @ 103.33) ^Ø
 

(NR, NR)

 

12/15/16

   

10.000

     

110

   
  1,050     Penn Virginia Resource Finance Corp II, Rule 144A, Company
Guaranteed Notes (Callable 06/01/16 @ 104.19) ‡
 

(B, B2)

 

06/01/20

   

8.375

     

1,107,750

   
  3,000     Quadra FNX Mining Ltd., Rule 144A, Company Guaranteed Notes
(Callable 06/15/15 @ 103.88) ‡
 

(BB-, B1)

 

06/15/19

   

7.750

     

3,112,500

   
  2,700     Taseko Mines Ltd., Company Guaranteed Notes
(Callable 04/15/15 @ 103.88)
 

(B, B3)

 

04/15/19

   

7.750

     

2,646,000

   
  1,900     Xinergy Corp., Rule 144A, Senior Secured Notes
(Callable 05/15/15 @ 104.63) ‡§
 

(CCC, Caa3)

 

05/15/19

   

9.250

     

1,092,500

   
                 

19,912,911

   
Oil Field Equipment & Services (4.8%)      
  1,900     Edgen Murray Corp., Rule 144A, Senior Secured Notes
(Callable 11/01/15 @ 106.56) ‡
 

(B+, Caa1)

 

11/01/20

   

8.750

     

1,895,250

   
  2,325     FTS International Bonds, Inc., Rule 144A, Company Guaranteed Notes
(Callable 11/15/14 @ 103.56) ‡
 

(BB-, Ba3)

 

11/15/18

   

8.125

     

2,441,250

   

See Accompanying Notes to Financial Statements
F-8



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     

Oil Field Equipment & Services

     

$

1,271

    Helix Energy Solutions Group, Inc., Rule 144A, Company Guaranteed
Notes (Callable 01/15/13 @ 102.36) ‡
 

(B, B3)

 

01/15/16

   

9.500

   

$

1,317,074

   
  300     Hornbeck Offshore Services, Inc., Global Company Guaranteed Notes
(Callable 09/01/13 @ 104.00)
 

(BB-, Ba3)

 

09/01/17

   

8.000

     

322,500

   
  625     Parker Drilling Co., Global Company Guaranteed Notes
(Callable 04/01/14 @ 104.56)
 

(B+, B1)

 

04/01/18

   

9.125

     

671,875

   
  3,130     Pioneer Energy Services Corp., Global Company Guaranteed Notes
(Callable 03/15/14 @ 104.94)
 

(B+, B2)

 

03/15/18

   

9.875

     

3,403,875

   
  429     Thermon Industries, Inc., Global Secured Notes
(Callable 05/01/14 @ 104.75)
 

(BB-, B1)

 

05/01/17

   

9.500

     

478,335

   
  2,500     Trinidad Drilling, Ltd., Rule 144A, Senior Unsecured Notes
(Callable 01/15/15 @ 103.94) ‡
 

(BB-, B1)

 

01/15/19

   

7.875

     

2,693,750

   
                 

13,223,909

   
Oil Refining & Marketing (2.5%)      
  2,600     Coffeyville Finance, Inc., Rule 144A, Secured Notes
(Callable 04/01/13 @ 108.16) ‡
 

(B+, Ba3)

 

04/01/17

   

10.875

     

2,886,000

   
  1,575     Northern Tier Finance Corp., Global Senior Secured Notes
(Callable 12/01/13 @ 107.88)
 

(BB-, B1)

 

12/01/17

   

10.500

     

1,811,250

   
  2,100     PBF Finance Corp., Rule 144A, Senior Secured Notes
(Callable 02/15/16 @ 104.13) ‡
 

(BB+, Ba3)

 

02/15/20

   

8.250

     

2,215,500

   
                 

6,912,750

   

CORPORATE BONDS

     
Packaging (3.7%)      
  850     Ardagh Glass Finance PLC, Rule 144A, Company Guaranteed Notes
(Callable 06/15/13 @ 102.38) ‡€
 

(CCC+, B3)

 

06/15/17

   

7.125

     

1,115,198

   
  700     Ardagh Packaging Finance PLC, Rule 144A, Company Guaranteed
Notes (Callable 10/15/15 @ 104.63) ‡€
 

(CCC+, B3)

 

10/15/20

   

9.250

     

956,948

   
  450     Ardagh Packaging Finance PLC, Rule 144A, Senior Secured Notes
(Callable 10/15/14 @ 103.69) ‡€
 

(B+, Ba3)

 

10/15/17

   

7.375

     

621,012

   
  525     Berry Plastics Corp., Global Senior Secured Notes
(Callable 11/15/12 @ 104.13)
 

(B, B1)

 

11/15/15

   

8.250

     

549,938

   
  500     BOE Merger Corp., Rule 144A, Senior Unsecured Notes
(Callable 06/15/14 @ 104.75) ‡
 

(NR, Caa1)

 

11/01/17

   

9.500

     

501,250

   
  1,500     BWAY Holding Co., Global Company Guaranteed Notes
(Callable 06/15/14 @ 105.00)
 

(CCC+, B3)

 

06/15/18

   

10.000

     

1,672,500

   
  1,435    

Clondalkin Acquisition BV, Rule 144A, Secured Notes ‡#

 

(B, B2)

 

12/15/13

   

2.389

     

1,370,425

   
  2,475     Reynolds Group Issuer LLC, Global Company Guaranteed Notes
(Callable 10/15/14 @ 104.50)
 

(CCC+, Caa2)

 

04/15/19

   

9.000

     

2,518,312

   
  300     Reynolds Group Issuer LLC, Global Senior Secured Notes
(Callable 10/15/14 @ 103.56)
 

(B+, B1)

 

04/15/19

   

7.125

     

321,000

   
  500     Sealed Air Corp., Rule 144A, Senior Unsecured Notes
(Callable 09/15/16 @ 104.19) ‡
 

(BB-, B1)

 

09/15/21

   

8.375

     

552,500

   
                 

10,179,083

   
Pharmaceuticals (1.4%)      
  1,000     ConvaTec Healthcare E SA, Rule 144A, Senior Unsecured Notes
(Callable 12/15/14 @ 105.25) ‡
 

(B, Caa1)

 

12/15/18

   

10.500

     

1,090,000

   
  1,000     Valeant Pharmaceuticals International, Rule 144A, Company
Guaranteed Notes (Callable 02/15/16 @ 103.38) ‡
 

(BB-, B1)

 

08/15/21

   

6.750

     

1,067,500

   
  1,500     Warner Chilcott Finance LLC, Global Company Guaranteed Notes
(Callable 09/15/14 @ 103.88)
 

(BB-, B3)

 

09/15/18

   

7.750

     

1,590,000

   
                 

3,747,500

   
Printing & Publishing (0.2%)      
  771     The Reader's Digest Association, Inc., Global Senior Secured Notes
(Callable 02/15/13 @ 104.00) #
 

(CC, Caa1)

 

02/15/17

   

9.500

     

445,253

   

See Accompanying Notes to Financial Statements
F-9



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     
Real Estate Development & Management (0.5%)      

$

1,300

   

Icahn Enterprises LP, Rule 144A, Company Guaranteed Notes ‡#

 

(NR, NR)

 

08/15/13

   

4.000

   

$

1,310,400

   
Real Estate Investment Trusts (1.1%)      
  3,050     CNL Lifestyle Properties, Inc., Global Company Guaranteed Notes
(Callable 04/15/15 @ 103.63)
 

(B+, Ba3)

 

04/15/19

   

7.250

     

2,905,125

   
Restaurants (1.4%)      
  1,713     CKE Restaurants, Inc., Global Senior Secured Notes
(Callable 07/15/14 @ 105.69) §
 

(B-, B2)

 

07/15/18

   

11.375

     

1,980,656

   
  2,050     HOA Finance Corp., Rule 144A, Senior Secured Notes
(Callable 04/01/14 @ 105.63) ‡
 

(B-, B3)

 

04/01/17

   

11.250

     

1,914,188

   
                 

3,894,844

   
Software/Services (6.8%)      
  3,000     Epicor Software Corp., Global Company Guaranteed Notes
(Callable 05/01/15 @ 104.31)
 

(CCC+, Caa1)

 

05/01/19

   

8.625

     

3,165,000

   
  2,150     First Data Corp., Rule 144A, Senior Secured Notes
(Callable 06/15/15 @ 103.69) ‡
 

(B+, B1)

 

06/15/19

   

7.375

     

2,236,000

   
  1,500     First Data Corp., Rule 144A, Senior Secured Notes
(Callable 11/01/15 @ 105.06) ‡
 

(B+, B1)

 

11/01/20

   

6.750

     

1,507,500

   
  1,000     Infor US, Inc., Global Company Guaranteed Notes
(Callable 04/01/15 @ 107.50) €
 

(B-, Caa1)

 

04/01/19

   

10.000

     

1,415,662

   
  2,400     MedAssets, Inc., Global Company Guaranteed Notes
(Callable 11/15/14 @ 104.00)
 

(B-, NR)

 

11/15/18

   

8.000

     

2,616,000

   
  2,296     Serena Software, Inc., Global Company Guaranteed Notes
(Callable 03/15/13 @ 101.73)
 

(CCC+, Caa1)

 

03/15/16

   

10.375

     

2,376,360

   
  600     SSI Co-Issuer LLC, Global Company Guaranteed Notes
(Callable 06/01/14 @ 105.56)
 

(CCC+, Caa1)

 

06/01/18

   

11.125

     

675,750

   
  1,600     SunGard Data Systems, Inc., Global Company Guaranteed Notes
(Callable 11/15/13 @ 105.53)
 

(B, Caa1)

 

11/15/18

   

7.375

     

1,730,000

   
  3,000     Syniverse Holdings, Inc., Global Company Guaranteed Notes
(Callable 01/15/15 @ 104.56)
 

(B-, Caa1)

 

01/15/19

   

9.125

     

3,210,000

   
                 

18,932,272

   
Specialty Retail (2.7%)      
  500     Academy Finance Corp., Rule 144A, Company Guaranteed Notes
(Callable 08/01/14 @ 106.94) ‡
 

(CCC+, Caa1)

 

08/01/19

   

9.250

     

550,000

   
  1,800     Brown Shoe Co., Inc., Global Company Guaranteed Notes
(Callable 05/15/14 @ 105.34)
 

(B, B3)

 

05/15/19

   

7.125

     

1,851,750

   
  2,050     Claire's Stores, Inc., Rule 144A, Senior Secured Notes
(Callable 03/15/15 @ 106.75) ‡
 

(B, B2)

 

03/15/19

   

9.000

     

2,149,937

   
  1,250     Ontex IV SA, Rule 144A, Senior Secured Notes
(Callable 04/15/14 @ 103.25) ‡€
 

(B+, B1)

 

04/15/18

   

7.500

     

1,700,738

   
  1,085     Toys R Us Property Co. I LLC, Global Company Guaranteed Notes
(Callable 07/15/13 @ 105.38)
 

(B+, B3)

 

07/15/17

   

10.750

     

1,178,581

   
                 

7,431,006

   
Steel Producers/Products (0.4%)      
  1,150     JMC Steel Group, Rule 144A, Senior Notes
(Callable 03/15/14 @ 106.19) ‡
 

(B, B3)

 

03/15/18

   

8.250

     

1,173,000

   
Support - Services (4.7%)      
  1,850     CoreLogic, Inc., Global Company Guaranteed Notes
(Callable 06/01/16 @ 103.63)
 

(B+, Ba3)

 

06/01/21

   

7.250

     

2,048,875

   
  500     Emdeon, Inc., Global Company Guaranteed Notes
(Callable 12/31/15 @ 105.50)
 

(CCC+, Caa1)

 

12/31/19

   

11.000

     

570,000

   
  1,000    

Europcar Groupe SA, Rule 144A, Secured Notes ‡€

 

(B-, Caa1)

 

05/15/17

   

11.500

     

1,276,363

   

See Accompanying Notes to Financial Statements
F-10



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     

Support - Services

     

$

1,475

    Garda World Security Corp., Rule 144A, Senior Unsecured Notes
(Callable 03/15/14 @ 104.88) ‡
 

(B, B2)

 

03/15/17

   

9.750

   

$

1,572,719

   
  1,100     H&E Equipment Services, Inc., Rule 144A, Company Guaranteed
Notes (Callable 09/01/17 @ 103.50) ‡
 

(B+, B3)

 

09/01/22

   

7.000

     

1,149,500

   
  625     RSC Holdings III LLC, Global Company Guaranteed Notes
(Callable 02/01/16 @ 104.13)
 

(B+, B3)

 

02/01/21

   

8.250

     

693,750

   
  1,800     Sabre, Inc., Rule 144A, Senior Secured Notes
(Callable 05/15/15 @ 106.38) ‡
 

(B, B1)

 

05/15/19

   

8.500

     

1,874,250

   
  625     The Geo Group, Inc., Global Company Guaranteed Notes
(Callable 02/15/16 @ 103.31)
 

(B+, B1)

 

02/15/21

   

6.625

     

676,562

   
  550     The Geo Group, Inc., Global Company Guaranteed Notes
(Callable 10/15/13 @ 103.88)
 

(B+, B1)

 

10/15/17

   

7.750

     

600,188

   
  300     United Rentals North America, Inc., Global Company Guaranteed
Notes (Callable 06/15/13 @ 105.44)
 

(B+, B3)

 

06/15/16

   

10.875

     

334,500

   
  2,100     UR Financing Escrow Corp., Rule 144A, Senior Unsecured Notes
(Callable 05/15/16 @ 103.69) ‡
 

(B+, B3)

 

05/15/20

   

7.375

     

2,281,125

   
                 

13,077,832

   
Telecom - Integrated/Services (2.3%)      
  550     Hellas Telecommunications II SCA, Rule 144A, Subordinated
Notes ‡^#Ø
 

(NR, NR)

 

01/15/15

   

5.750

     

   
  1,800     Intelsat Jackson Holdings SA, Global Company Guaranteed Notes
(Callable 04/01/15 @ 103.63)
 

(B, B3)

 

04/01/19

   

7.250

     

1,939,500

   
  1,250     Intelsat Jackson Holdings SA, Global Company Guaranteed Notes
(Callable 04/01/16 @ 103.75)
 

(B, B3)

 

04/01/21

   

7.500

     

1,346,875

   
  1,500     Intelsat Jackson Holdings SA, Rule 144A, Company Guaranteed Notes
(Callable 12/15/17 @ 103.31) ‡§
 

(CCC+, Caa2)

 

12/15/22

   

6.625

     

1,494,375

   
  1,350     Zayo Capital, Inc., Global Senior Secured Notes
(Callable 07/01/15 @ 104.06)
 

(B, B1)

 

01/01/20

   

8.125

     

1,485,000

   
                 

6,265,750

   
Telecom - Wireless (1.3%)      
  250     Cricket Communications, Inc., Global Senior Secured Notes
(Callable 12/03/12 @ 105.81)
 

(B+, Ba2)

 

05/15/16

   

7.750

     

265,625

   
  800     GeoEye, Inc., Global Senior Secured Notes
(Callable 10/01/13 @ 104.81) §
 

(B, B1)

 

10/01/15

   

9.625

     

894,000

   
  300    

GeoEye, Inc., Senior Secured Notes (Callable 10/01/13 @ 104.31)

 

(CCC, Caa1)

 

10/01/16

   

8.625

     

328,500

   
  1,300     Telesat LLC, Rule 144A, Senior Unsecured Notes
(Callable 05/15/14 @ 103.00) ‡
 

(B-, B3)

 

05/15/17

   

6.000

     

1,361,750

   
  350     Wind Acquisition Finance SA, Rule 144A, Company Guaranteed Notes
(Callable 07/15/13 @ 105.88) ‡
 

(BB-, B3)

 

07/15/17

   

11.750

     

343,000

   
  400     Wind Acquisition Finance SA, Rule 144A, Company Guaranteed Notes
(Callable 07/15/13 @ 105.88) ‡€
 

(BB-, B3)

 

07/15/17

   

11.750

     

505,362

   
                 

3,698,237

   
Telecommunications Equipment (1.6%)      
  1,950     Avaya, Inc., Rule 144A, Senior Secured Notes
(Callable 04/01/15 @ 103.50) ‡
 

(B, B1)

 

04/01/19

   

7.000

     

1,789,125

   
  2,490     Brightstar Corp., Rule 144A, Company Guaranteed Notes
(Callable 12/01/14 @ 104.75) ‡
 

(BB-, B1)

 

12/01/16

   

9.500

     

2,676,750

   
                 

4,465,875

   
Textiles & Apparel (0.0%)      
  75    

IT Holding Finance SA, Rule 144A, Company Guaranteed Notes ‡€Ø

 

(NR, NR)

 

11/15/12

   

9.875

     

996

   

See Accompanying Notes to Financial Statements
F-11



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

CORPORATE BONDS

     
Theaters & Entertainment (2.5%)      

$

2,075

    AMC Entertainment, Inc., Global Company Guaranteed Notes
(Callable 12/01/15 @ 104.88)
 

(CCC+, Caa1)

 

12/01/20

   

9.750

   

$

2,339,562

   
  750     AMC Entertainment, Inc., Global Senior Unsecured Notes
(Callable 06/01/14 @ 104.38)
 

(B-, B2)

 

06/01/19

   

8.750

     

832,500

   
  2,500     Regal Entertainment Group, Company Guaranteed Notes
(Callable 08/15/14 @ 104.56) §
 

(B-, B3)

 

08/15/18

   

9.125

     

2,787,500

   
  950     Wallace Theater Holdings, Inc., Rule 144A, Senior Secured Notes
(Callable 12/15/12 @ 100.00) ‡#
 

(CCC, NR)

 

06/15/13

   

12.500

     

945,250

   
                 

6,904,812

   
Tobacco (0.7%)      
  1,850     Vector Group, Ltd., Global Senior Secured Notes
(Callable 12/03/12 @ 103.68)
 

(NR, B1)

 

08/15/15

   

11.000

     

1,935,563

   
Transportation - Excluding Air/Rail (0.6%)      
  650     Navios Maritime Holdings Finance II US, Inc., Global Company
Guaranteed Notes (Callable 02/15/15 @ 104.06)
 

(B+, Caa1)

 

02/15/19

   

8.125

     

578,500

   
  1,000    

Ship Finance International, Ltd., Global Company Guaranteed Notes

 

(B+, B3)

 

12/15/13

   

8.500

     

1,006,250

   
                 

1,584,750

   
TOTAL CORPORATE BONDS (Cost $324,419,754)                

327,812,354

   
BANK LOANS (16.0%)      
Aerospace & Defense (1.9%)      
  2,500    

Arinc, Inc. #

 

(B, Caa1)

 

10/25/15

   

6.220

     

2,471,875

   
  1,500    

LM US Member LLC #

 

(CCC, Caa2)

 

10/26/20

   

9.500

     

1,515,000

   
  944    

Stork Topco BV €#

 

(B, B1)

 

12/31/19

   

17.000

     

1,187,118

   
                 

5,173,993

   
Chemicals (2.3%)      
  1,990    

Ascend Performance Materials Operations LLC #

 

(NR, NR)

 

04/10/18

   

6.750

     

1,999,950

   
  1,764    

PQ Corp. #

 

(B+, B3)

 

07/30/14

   

3.962

     

1,761,870

   
  2,500    

PQ Corp. #

 

(B-, Caa1)

 

07/30/15

   

0.000

     

2,487,500

   
                 

6,249,320

   
Diversified Capital Goods (0.5%)      
  1,496    

Electrical Components International, Inc. #

 

(B+, B1)

 

02/04/17

   

6.750

     

1,486,841

   
Energy - Exploration & Production (0.7%)      
  1,750    

Delek Benelux BV €#

 

(NR, NR)

 

02/08/17

   

5.235

     

2,023,452

   
Environmental (0.3%)      
  706    

EnviroSolutions Real Property Holdings, Inc. #

 

(CCC-, Caa1)

 

07/29/14

   

8.000

     

704,118

   
Gaming (0.6%)      
  2,000    

CKX Entertainment, Inc. #

 

(B+, B1)

 

06/21/17

   

9.000

     

1,730,000

   
Health Services (0.5%)      
  1,477    

Onex Carestream Finance LP #

 

(BB-, B1)

 

02/25/17

   

5.000

     

1,463,764

   
Investments & Misc. Financial Services (0.9%)      
  2,500    

BNY ConvergEX Group LLC #

 

(B-, B3)

 

12/18/17

   

8.750

     

2,332,300

   
Leisure (1.7%)      
  947    

Deluxe Entertainment Services Group, Inc. #

 

(B, B2)

 

07/03/17

   

8.000

     

938,785

   
  1,987    

Legendary Pictures Funding LLC #

 

(NR, NR)

 

03/29/18

   

9.000

     

1,946,933

   
  511    

Technicolor SA #

 

(B-, NR)

 

03/31/16

   

9.350

     

516,426

   
  1,367    

Technicolor SA #

 

(B, NR)

 

05/26/17

   

9.350

     

1,382,069

   
                 

4,784,213

   

See Accompanying Notes to Financial Statements
F-12



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Par
(000)
 
  Ratings
(S&P/Moody's)
 

Maturity

 

Rate%

 

Value

 

BANK LOANS

     
Machinery (0.8%)      

$

2,250

   

CPM Acquisition Corp. #

 

(NR, B2)

 

03/01/18

   

10.250

   

$

2,278,125

   
Media - Diversified (0.6%)      
 

861

   

Flint Group Holdings Sarl #

 

(B-, B2)

 

06/30/16

   

7.724

     

727,394

   
 

1,141

   

Flint Group Holdings Sarl #

 

(B-, B2)

 

12/31/16

   

7.224

     

881,729

   
                 

1,609,123

   
Oil Field Equipment & Services (0.4%)      
 

1,200

   

Amtrol, Inc. #

 

(NR, NR)

 

12/05/14

   

6.900

     

1,122,000

   
Packaging (0.3%)      
 

829

   

Hilex Poly Co. LLC #

 

(B+, B3)

 

11/19/15

   

11.250

     

846,016

   
Printing & Publishing (0.7%)      
 

1,386

   

Harland Clarke Holdings Corp. #

 

(B+, B1)

 

06/30/17

   

5.462

     

1,275,262

   
 

4,189

   

Yell Group PLC #

 

(B-, B2)

 

07/31/14

   

4.459

     

752,553

   
                 

2,027,815

   
Software/Services (3.4%)      
 

1,855

   

AVG Technologies N.V. #

 

(B+, B1)

 

03/15/16

   

7.500

     

1,857,541

   
 

2,000

   

Decision Insight Information Group #

 

(B, B1)

 

01/04/17

   

7.000

     

1,990,000

   
 

1,500

   

Flexera Software LLC #

 

(CCC+, Caa2)

 

09/30/18

   

11.000

     

1,530,000

   
 

2,000

   

SafeNet, Inc. #

 

(B-, Caa1)

 

04/12/15

   

6.212

     

1,990,000

   
 

2,000

   

Wall Street Systems Delaware, Inc. #

 

(B-, Caa2)

 

10/25/20

   

9.250

     

1,987,500

   
                 

9,355,041

   
Telecommunications Equipment (0.4%)      
 

1,000

   

Mitel US Holdings, Inc. #

 

(NR, Caa1)

 

08/16/15

   

7.000

     

970,000

   
TOTAL BANK LOANS (Cost $43,800,042)                

44,156,121

   
ASSET BACKED SECURITIES (1.9%)      
Collateralized Debt Obligations (1.9%)      
 

1,500

   

Carlyle Global Market Strategies ‡#

 

(BBB, NR)

 

04/20/22

   

4.469

     

1,422,776

   
 

1,500

   

Commercial Industrial Finance Corp. ‡#

 

(BBB, NR)

 

01/19/23

   

3.421

     

1,428,778

   
 

2,000

   

Gale Force CLO Ltd., Rule 144A ‡#

 

(BBB+, Baa2)

 

11/15/17

   

2.285

     

1,780,138

   
 

750

   

Race Point CLO Ltd. ‡#

 

(BB, NR)

 

05/24/23

   

5.931

     

694,748

   
TOTAL ASSET BACKED SECURITIES (Cost $4,713,587)                

5,326,440

   
Number
of Shares
                     
PREFERRED STOCK (0.0%)      
 

688

   

Dayton Superior Corp. (Cost $250,835) ^*

               

   
COMMON STOCKS (0.2%)      
Building & Construction (0.1%)      
 

161,330

   

William Lyon Homes, Inc. *

               

177,463

   
Building Materials (0.0%)      
 

619

   

Dayton Superior Corp. ^ *

               

   
 

437

   

Nortek, Inc. *

               

26,006

   
                 

26,006

   
Chemicals (0.0%)      
 

4,893

   

Huntsman Corp.

               

73,591

   

See Accompanying Notes to Financial Statements
F-13



Credit Suisse High Yield Bond Fund

Schedule of Investments (continued)

October 31, 2012

Number
of Shares
 
             

Value

 

COMMON STOCKS

     
Forestry & Paper (0.1%)      
  11,000    

Resolute Forest Products *§

                         

$

134,200

   
Gaming (0.0%)      
  55,100    

Majestic Holdco LLC

                           

110,200

   
Media - Broadcast (0.0%)      
  43,413    

Cumulus Media, Inc., Class A *

                           

106,796

   
Printing & Publishing (0.0%)      
  1,322    

SuperMedia, Inc. *§

                           

3,371

   
TOTAL COMMON STOCKS (Cost $2,222,638)                

631,627

   
WARRANTS (0.0%)      
Building Materials (0.0%)      
  1,152    

Nortek, Inc., strike price $1.00, expires 12/07/14 *

                           

7,488

   
Printing & Publishing (0.0%)      
  5,735     The Readers Digest Association, Inc., strike price $0.00,
expires 02/19/14 ^*
                           

   
TOTAL WARRANTS (Cost $1,152)                            

7,488

   
SHORT-TERM INVESTMENTS (8.9%)      
  10,008,551    

State Street Navigator Prime Portfolio, 0.31% §§

                           

10,008,551

   
Par
(000)
         

Maturity

 

Rate%

 
 

$

14,764

   

State Street Bank and Trust Co. Euro Time Deposit

         

11/01/12

   

0.010

     

14,764,000

   
TOTAL SHORT-TERM INVESTMENTS (Cost $24,772,551)    

24,772,551

   
TOTAL INVESTMENTS AT VALUE (145.5%) (Cost $400,180,559)    

402,706,581

   
LIABILITIES IN EXCESS OF OTHER ASSETS (-45.5%)    

(125,986,191

)

 
NET ASSETS (100.0%)  

$

276,720,390

   

INVESTMENT ABBREVIATION

NR = Not Rated
PIK = Payment in Kind

†  Credit ratings given by the Standard & Poor's Division of The McGraw-Hill Companies, Inc. ("S&P") and Moody's Investors Service, Inc. ("Moody's") are unaudited.

‡  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At October 31, 2012, these securities amounted to a value of $171,102,461 or 61.8% of net assets.

€  This security is denominated in Euro.

£  This security is denominated in British Pound.

^  Not readily marketable security; security is valued at fair value as determined in good faith by, or under the direction of, the Board of Trustees.

#  Variable rate obligations - The interest rate is the rate as of October 31, 2012.

+  Step Bond - The interest rate is as of October 31, 2012 and will reset at a future date.

Ø  Bond is currently in default.

*  Non-income producing security.

§  Security or portion thereof is out on loan.

§§  Represents security purchased with cash collateral received for securities on loan. The rate shown is the annualized one-day yield at October 31, 2012.

See Accompanying Notes to Financial Statements
F-14




Credit Suisse High Yield Bond Fund

Statement of Assets and Liabilities

October 31, 2012

Assets

 
Investments at value, including collateral for securities on loan of $10,008,551
(Cost $400,180,559) (Note 2)
 

$

402,706,581

(1)

 

Cash

   

208

   

Foreign currency at value (cost $1,445,827)

   

1,437,728

   

Interest receivable

   

7,474,552

   

Receivable for investments sold

   

4,861,997

   

Unrealized appreciation on forward currency contracts (Note 2)

   

296,601

   

Receivable for fund shares sold

   

10

   

Prepaid expenses and other assets

   

17,479

   

Total Assets

   

416,795,156

   

Liabilities

 

Advisory fee payable (Note 3)

   

265,592

   

Administrative services fee payable (Note 3)

   

17,106

   

Loan payable (Note 4)

   

116,000,000

   

Payable for investments purchased

   

13,419,733

   

Payable upon return of securities loaned (Note 2)

   

10,008,551

   

Interest payable

   

113,991

   

Trustees' fee payable

   

41,100

   

Other accrued expenses payable

   

208,693

   

Total Liabilities

   

140,074,766

   

Net Assets

 

Applicable to 91,579,927 shares outstanding

 

$

276,720,390

   

Net Assets

 

Capital stock, $.001 par value (Note 6)

   

91,580

   

Paid-in capital (Note 6)

   

356,463,784

   

Accumulated net investment loss

   

(721,477

)

 

Accumulated net realized loss on investments and foreign currency transactions

   

(81,938,257

)

 

Net unrealized appreciation from investments and foreign currency translations

   

2,824,760

   

Net Assets

 

$

276,720,390

   

Net Asset Value Per Share ($276,720,390 / 91,579,927)

 

$

3.02

   

Market Price Per Share

 

$

3.16

   

(1)  Including $9,765,223 of securities on loan.

See Accompanying Notes to Financial Statements
F-15



Credit Suisse High Yield Bond Fund

Statement of Operations

For the Year Ended October 31, 2012

Investment Income (Note 2)  

Interest

 

$

29,915,461

   

Dividends

   

20,416

   

Securities lending

   

59,468

   

Total investment income

   

29,995,345

   

Expenses

 

Investment advisory fees (Note 3)

   

3,176,626

   

Administrative services fees (Note 3)

   

66,622

   

Interest expense (Note 4)

   

1,286,330

   

Trustees' fees

   

123,165

   

Legal fees

   

110,673

   

Commitment fees

   

94,262

   

Printing fees (Note 3)

   

73,275

   

Audit and tax fees

   

41,600

   

Stock exchange listing fees

   

30,061

   

Custodian fees

   

29,130

   

Transfer agent fees

   

25,313

   

Insurance expense

   

7,826

   

Miscellaneous expense

   

5,054

   

Total expenses

   

5,069,937

   

Less: fees waived (Note 3)

   

(424,999

)

 

Net expenses

   

4,644,938

   

Net investment income

   

25,350,407

   

Net Realized and Unrealized Gain from Investments and Foreign Currency Related Items

 

Net realized gain from investments

   

997,841

   

Net realized gain from foreign currency transactions

   

1,158,985

   

Net change in unrealized appreciation (depreciation) from investments

   

11,982,368

   

Net change in unrealized appreciation (depreciation) from foreign currency translations

   

1,003,781

   

Net realized and unrealized gain from investments and foreign currency related items

   

15,142,975

   

Net increase in net assets resulting from operations

 

$

40,493,382

   

See Accompanying Notes to Financial Statements
F-16



Credit Suisse High Yield Bond Fund

Statement of Changes in Net Assets

    For the Year
Ended
October 31, 2012
  For the Year
Ended
October 31, 2011
 

From Operations

 

Net investment income

 

$

25,350,407

   

$

23,679,158

   
Net realized gain from investments and foreign currency
transactions
   

2,156,826

     

5,232,435

   
Net change in unrealized appreciation (depreciation) from
investments and foreign currency translations
   

12,986,149

     

(13,844,599

)

 

Net increase in net assets resulting from operations

   

40,493,382

     

15,066,994

   

From Dividends

 

Dividends from net investment income

   

(26,226,410

)

   

(23,874,498

)

 
From Capital Share Transactions (Note 6)  
Issuance of 18,468 shares and 16,879 shares through the trustees
compensation plan (Note 3)
   

52,667

     

50,035

   

Net proceeds from at-the-market offerings (Note 8)

   

49,803,158

     

   

Offering costs (Note 7)

   

     

(62,923

)

 

At-the-market offering costs

   

(338,000

)

   

   

Reinvestment of dividends

   

811,171

     

797,400

   

Net increase in net assets from capital share transactions

   

50,328,996

     

784,512

   

Net increase (decrease) in net assets

   

64,595,968

     

(8,022,992

)

 

Net Assets

 

Beginning of year

   

212,124,422

     

220,147,414

   

End of year

 

$

276,720,390

   

$

212,124,422

   

Accumulated net investment loss

 

$

(721,477

)

 

$

(1,041,808

)

 

See Accompanying Notes to Financial Statements
F-17



Credit Suisse High Yield Bond Fund

Statement of Cash Flows

For the Year Ended October 31, 2012

Cash flows from operating activities

 

Investment income received

 

$

28,015,423

           

Operating expenses paid

   

(3,176,251

)

         

Interest expenses paid

   

(1,332,279

)

         

Purchases of long-term securities

   

(334,922,783

)

         

Proceeds from sales of long-term securities

   

267,648,311

           

Purchases of short-term securities, net

   

(10,255,000

)

         

Net cash used in operating activities

         

$

(54,022,579

)

 

Cash flows from financing activities

 

Increase in loan payable

   

27,000,000

           

Proceeds from issuance of shares through trustee compensation

   

52,667

           

Net proceeds from at-the-market offerings

   

49,803,148

           

At-the-market offering costs

   

(338,000

)

         

Cash dividends paid

   

(25,415,239

)

         

Net cash provided by financing activities

           

51,102,576

   

Effect of exchange rate on cash

           

1,163,725

   

Net decrease in cash

           

(1,756,278

)

 

Cash — beginning of year

           

3,194,214

   

Cash — end of year

         

$

1,437,936

   
RECONCILIATION OF NET INCREASE IN NET ASSETS
FROM OPERATIONS TO NET CASH USED IN
OPERATING ACTIVITIES
 

Net increase in net assets resulting from operations

         

$

40,493,382

   
Adjustments to reconcile net increase in net assets from
operations to net cash used in operating activities
 

Increase in interest receivable

 

$

(971,428

)

         

Increase in accrued expenses

   

124,213

           

Decrease in interest payable

   

(45,949

)

         

Increase in prepaid expenses and other assets

   

(4,773

)

         

Increase in advisory fees payable

   

62,917

           

Net amortization of discount on investments

   

(1,008,494

)

         

Purchases of long-term securities

   

(334,922,783

)

         

Proceeds from sales of long-term securities

   

267,648,311

           

Purchases of short-term securities, net

   

(10,255,000

)

         
Net change in unrealized appreciation from investments and foreign currency
translations
   

(12,986,149

)

         

Net realized gain from investments and foreign currency transactions

   

(2,156,826

)

         

Total adjustments

           

(94,515,961

)

 

Net cash used in operating activities

         

$

(54,022,579

)

 

Non-cash activity:

 

Issuance of shares through dividend reinvestments

         

$

811,171

   

See Accompanying Notes to Financial Statements
F-18



Credit Suisse High Yield Bond Fund

Financial Highlights

   

For the Year Ended

 

Per share operating performance

 

10/31/12

 

10/31/11

 

10/31/10

 

10/31/09

 

10/31/08

 

Net asset value, beginning of year

 

$

2.82

   

$

2.94

   

$

2.71

   

$

2.09

   

$

4.10

   

INVESTMENT OPERATIONS

 

Net investment income

   

0.31

     

0.32

     

0.30

     

0.28

     

0.401

   
Net gain (loss) on investments, swap contracts and
foreign currency related items
(both realized and unrealized)
   

0.19

     

(0.12

)

   

0.32

     

0.68

     

(2.00

)

 

Total from investment activities

   

0.50

     

0.20

     

0.62

     

0.96

     

(1.60

)

 

LESS DIVIDENDS AND DISTRIBUTIONS

 

Dividends from net investment income

   

(0.32

)

   

(0.32

)

   

(0.31

)

   

(0.33

)

   

(0.41

)

 

Return of capital

   

     

     

(0.01

)

   

(0.01

)

   

   

Total dividends and distributions

   

(0.32

)

   

(0.32

)

   

(0.32

)

   

(0.34

)

   

(0.41

)

 

CAPITAL SHARE TRANSACTIONS

 
Decrease to Net Asset Value due to Shares Issued
through Rights Offering
   

     

     

(0.07

)

   

     

   
Increase to Net Asset Value due to Shares Issued
through at-the-market offerings
   

0.02

     

     

                   

Net asset value, end of year

 

$

3.02

   

$

2.82

   

$

2.94

   

$

2.71

   

$

2.09

   

Per share market value, end of year

 

$

3.16

   

$

2.95

   

$

2.92

   

$

2.62

   

$

1.97

   

TOTAL INVESTMENT RETURN2

 

Net asset value

   

19.44

%

   

6.84

%

   

21.32

%

   

53.12

%

   

(42.45

)%

 

Market value

   

19.46

%

   

12.51

%

   

24.11

%

   

59.92

%

   

(38.20

)%

 

RATIOS AND SUPPLEMENTAL DATA

 

Net assets, end of year (000s omitted)

 

$

276,720

   

$

212,124

   

$

220,147

   

$

151,546

   

$

116,492

   

Average debt per share

 

$

1.22

   

$

1.22

   

$

0.69

   

$

0.58

   

$

1.69

   

Ratio of expenses to average net assets

   

1.94

%

   

2.00

%

   

2.05

%

   

2.67

%

   

3.76

%

 
Ratio of expenses to average net assets excluding
interest expense
   

1.40

%

   

1.46

%

   

1.52

%

   

1.80

%

   

1.50

%

 

Ratio of net investment income to average net assets

   

10.56

%

   

10.70

%

   

10.40

%

   

13.32

%

   

11.68

%

 
Decrease reflected in above operating expense ratios
due to waivers/reimbursements
   

0.18

%

   

0.19

%

   

0.15

%

   

0.15

%

   

0.15

%

 

Portfolio turnover rate

   

58.00

%

   

66.00

%

   

62.00

%

   

49.00

%

   

32.01

%

 

1  Per share information is calculated using the average shares outstanding method.

2  Total investment return at net asset value is based on changes in the net asset value of fund shares and assumes reinvestment of dividends and distributions, if any. Total investment return at market value is based on changes in the market price at which the fund's shares traded on the stock exchange during the period and assumes reinvestment of dividends and distributions, if any, at actual prices pursuant to the fund's dividend reinvestment program. Because the fund's shares trade in the stock market based on investor demand, the fund may trade at a price higher or lower than its NAV. Therefore, returns are calculated based on share price and NAV.

3  Unaudited.

See Accompanying Notes to Financial Statements
F-19



Credit Suisse High Yield Bond Fund

Financial Highlights

   

For the Year Ended

 

Per share operating performance

 

10/31/07

 

10/31/06

 

10/31/05

 

10/31/04

 

10/31/03

 

Net asset value, beginning of year

 

$

4.18

   

$

4.12

   

$

4.53

   

$

4.34

   

$

3.53

   

INVESTMENT OPERATIONS

 

Net investment income

   

0.401

     

0.40

     

0.47

     

0.53

     

0.55

   
Net gain (loss) on investments, swap contracts and
foreign currency related items
(both realized and unrealized)
   

(0.08

)

   

0.11

     

(0.35

)

   

0.24

     

0.87

   

Total from investment activities

   

0.32

     

0.51

     

0.12

     

0.77

     

1.42

   

LESS DIVIDENDS AND DISTRIBUTIONS

 

Dividends from net investment income

   

(0.40

)

   

(0.42

)

   

(0.51

)

   

(0.58

)

   

(0.61

)

 

Return of capital

   

     

(0.03

)

   

(0.02

)

   

     

   

Total dividends and distributions

   

(0.40

)

   

(0.45

)

   

(0.53

)

   

(0.58

)

   

(0.61

)

 

CAPITAL SHARE TRANSACTIONS

 
Decrease to Net Asset Value due to Shares Issued
through Rights Offering
   

     

     

     

     

   
Increase to Net Asset Value due to Shares Issued
through at-the-market offerings
                                         

Net asset value, end of year

 

$

4.10

   

$

4.18

   

$

4.12

   

$

4.53

   

$

4.34

   

Per share market value, end of year

 

$

3.65

   

$

4.50

   

$

4.77

   

$

5.24

   

$

4.76

   

TOTAL INVESTMENT RETURN2

 

Net asset value

   

7.65

%

   

13.13

%

   

2.62

%

   

18.98

%3

   

43.04

%3

 

Market value

   

(10.72

)%

   

5.23

%

   

2.71

%

   

25.49

%

   

35.07

%

 

RATIOS AND SUPPLEMENTAL DATA

 

Net assets, end of year (000s omitted)

 

$

228,724

   

$

231,765

   

$

255,760

   

$

244,523

   

$

229,255

   

Average debt per share

 

$

1.98

   

$

1.96

   

$

2.05

   

$

2.05

   

$

1.81

   

Ratio of expenses to average net assets

   

4.11

%

   

4.20

%

   

3.27

%

   

2.51

%

   

2.57

%

 
Ratio of expenses to average net assets excluding
interest expense
   

1.37

%

   

1.65

%

   

1.68

%

   

1.70

%

   

1.73

%

 

Ratio of net investment income to average net assets

   

9.48

%

   

9.67

%

   

10.72

%

   

11.99

%

   

13.85

%

 
Decrease reflected in above operating expense ratios
due to waivers/reimbursements
   

0.15

%

   

%

   

%

   

%

   

%

 

Portfolio turnover rate

   

49.18

%

   

61.91

%

   

31.05

%

   

12.10

%

   

15.96

%

 

1  Per share information is calculated using the average shares outstanding method.

2  Total investment return at net asset value is based on changes in the net asset value of fund shares and assumes reinvestment of dividends and distributions, if any. Total investment return at market value is based on changes in the market price at which the fund's shares traded on the stock exchange during the period and assumes reinvestment of dividends and distributions, if any, at actual prices pursuant to the fund's dividend reinvestment program. Because the fund's shares trade in the stock market based on investor demand, the fund may trade at a price higher or lower than its NAV. Therefore, returns are calculated based on share price and NAV.

3  Unaudited.

See Accompanying Notes to Financial Statements
F-20




Credit Suisse High Yield Bond Fund

Notes to Financial Statements

October 31, 2012

Note 1. Organization

Credit Suisse High Yield Bond Fund (the "Fund") is a business trust organized under the laws of the State of Delaware on April 30, 1998. The Fund is registered with the Securities and Exchange Commission under the Investment Company Act of 1940, as amended (the "1940 Act"), as a non-diversified, closed-end management investment company. The Fund's primary objective is to seek high current income.

Note 2. Significant Accounting Policies

A) SECURITY VALUATION — The net asset value of the Fund is determined daily as of the close of regular trading on the New York Stock Exchange, Inc. (the "Exchange") on each day the Exchange is open for business. Debt securities with a remaining maturity greater than 60 days are valued in accordance with the price supplied by a pricing service, which may use a matrix, formula or other objective method that takes into consideration market indices, yield curves and other specific adjustments. Debt obligations that will mature in 60 days or less are valued on the basis of amortized cost, which approximates market value, unless it is determined that using this method would not represent fair value. Debt securities are generally categorized as Level 2. Equity investments are valued at market value, which is generally determined using the closing price on the exchange or market on which the security is primarily traded at the time of valuation (the "Valuation Time"). If no sales are reported, equity investments are generally valued at the most recent bid quotation as of the Valuation Time or at the lowest asked quotation in the case of a short sale of securities. Equity investments are generally categorized as Level 1. Investments in open-end investment companies are valued at their net asset value each business day and are generally categorized as Level 1. Forward currency contracts are valued at the prevailing forward exchange rate of the underlying currencies and are generally categorized as Level 2. Securities and other assets for which market quotations are not readily available, or whose values have been materially affected by events occurring before the Fund's Valuation Time but after the close of the securities' primary markets, are valued at fair value as determined in good faith by, or under the direction of, the Board of Trustees under procedures established by the Board of Trustees and are generally categorized as Level 3. At October 31, 2012, the Fund held less than 0.01% of its net assets in securities valued at fair value as determined in good faith under procedures established by the Board of Trustees with an aggregate cost of $3,041,641 and fair value of $199. The Fund's estimate of fair value assumes a willing buyer and a willing seller neither acting under the compulsion to buy or sell. Although these securities may be resold in privately negotiated transactions, the prices realized on such sales could differ from the prices originally paid by the Fund or the current carrying values, and the difference could be material.

In accordance with the authoritative guidance on fair value measurements and disclosures under accounting principles generally accepted in the United States of America ("GAAP"), the Fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. In accordance with GAAP, fair value is defined as the price that the Fund would receive upon selling an investment in a timely transaction to an independent buyer in the principal or most advantageous market of the investment. GAAP established a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, for example, the risk inherent in a particular valuation technique used to measure fair value including such a pricing model and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable. Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In accordance with the Fund's valuation procedures, factors used in determining value may include, but are not limited to, the type of the security, the size of the holding, the initial cost of the security, the existence of any contractual restrictions on the security's disposition, the price and extent of public trading in similar securities of the issuer or of comparable companies, quotations or evaluated prices from broker-dealers and/or pricing services, information obtained from the issuer, analysts, and/or the appropriate


F-21



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

stock exchange (for exchange-traded securities), an analysis of the company's or issuer's financial statements, an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold and with respect to debt securities, the maturity, coupon, creditworthiness, currency denomination, and the movement of the market in which the security is normally traded. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.

• Level 1 — quoted prices in active markets for identical investments

• Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

• Level 3 — significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used as of October 31, 2012 in valuing the Fund's investments carried at value:

   

Level 1

 

Level 2

 

Level 3

 

Total

 

Investments in Securities

 

Corporate Bonds

 

$

   

$

327,812,155

   

$

199

   

$

327,812,354

   

Bank Loans

   

     

44,156,121

     

     

44,156,121

   

Asset Backed Securities

   

     

5,326,440

     

     

5,326,440

   

Preferred Stock

   

     

     

     

   

Common Stocks

   

343,964

     

287,663

     

     

631,627

   

Warrants

   

7,488

     

     

     

7,488

   

Short-Term Investments

   

10,008,551

     

14,764,000

     

     

24,772,551

   

Other Financial Instruments*

 

Forward Foreign Currency Contracts

   

     

296,601

     

     

296,601

   
   

$

10,360,003

   

$

392,642,980

   

$

199

   

$

403,003,182

   

*  Other financial instruments include forwards foreign currency contracts.

The following is a reconciliation of investments as of October 31, 2012 in which significant unobservable inputs (Level 3) were used in determining value. Transfers in or out of Level 3 represent the beginning value of any security or instrument where a change in the level has occurred from the beginning to the end of the period.

   

Investments

 

Balance as of October 31, 2011

 

$

118,590

   

Accrued discounts/premiums

   

   

Purchases

   

   

Sales

   

(39

)

 

Realized Gain/(Loss)

   

   

Change in Unrealized Appreciation/(Depreciation)

   

(118,485

)

 

Transfers Into Level 3

   

133

   

Transfers Out of Level 3

   

   

Balance as of October 31, 2012

 

$

199

   

Net change in unrealized Appreciation/(Depreciation) from investments still held as of October 31, 2012

 

$

(118,485

)

 

The Fund adopted FASB amendments to authoritative guidance which require the Fund to disclose details of transfers in and out of Level 1 and Level 2 measurements and Level 2 and Level 3 measurements and the reasons for the transfers. For the year ended October 31, 2012, there were no significant transfers in and out of Level 1, Level 2 and Level 3.

B) DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES — The Fund adopted amendments to authoritative guidance on disclosures about derivative instruments and hedging activities which require that the Fund disclose (a) how and why an entity uses derivative instruments, (b) how derivative instruments and hedging


F-22



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

activities are accounted for, and (c) how derivative instruments and related hedging activities affect a fund's financial position, financial performance, and cash flows.

Fair Values of Derivative Instruments as of October 31, 2012

   

Asset Derivatives

 

Liability Derivatives

 
    Balance Sheet
Location
 
Fair Value
  Balance Sheet
Location
 
Fair Value
 
    Unrealized
appreciation/
depreciation
on forward
currency
      Unrealized
appreciation/
depreciation
on forward
currency
     

Currency Contracts

 

contracts

 

$

296,601

*

 

contracts

 

$

   

*  Includes cumulative appreciation/depreciation of forward foreign currency contracts as reported in the Statement of Assets and Liabilities and Notes to Financial Statements.

Effect of Derivative Instruments on the Statement of Operations

   

Location

  Realized
Gain/Loss
 

Location

  Unrealized
Appreciation/
Depreciation
 
    Net realized
gain from
foreign currency
      Net change in
unrealized
appreciation
(depreciation)
from foreign
currency
     

Currency Contracts

 

transactions

 

$

1,113,807

   

translations

 

$

999,041

   

The notional amount of forward foreign currency contracts at year end are reflected in the Notes to Financial Statements. The notional amounts of forward foreign currency contracts at each month end throughout the reporting period averaged approximately 9.65% of net assets of the Fund.

C) FOREIGN CURRENCY TRANSACTIONS — The books and records of the Fund are maintained in U.S. dollars. Transactions denominated in foreign currencies are recorded at the current prevailing exchange rates. All assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the current exchange rate at the end of the period. Translation gains or losses resulting from changes in the exchange rate during the reporting period and realized gains and losses on the settlement of foreign currency transactions are reported in the results of operations for the current period. The Fund does not isolate that portion of realized gains and losses on investments in equity securities which is due to changes in the foreign exchange rate from that which is due to changes in market prices of equity securities. The Fund isolates that portion of realized gains and losses on investments in debt securities which is due to changes in the foreign exchange rate from that which is due to changes in market prices of debt securities.

D) SECURITY TRANSACTIONS AND INVESTMENT INCOME — Security transactions are accounted for on a trade date basis. Interest income is recorded on the accrual basis. The Fund amortizes premiums and accretes discounts using the effective interest method. Dividends are recorded on the ex-dividend date. The cost of investments sold is determined by use of the specific identification method for both financial reporting and income tax purposes.

E) DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS — The Fund declares and pays dividends on a monthly basis and records them on ex-date. Distributions of net realized capital gains, if any, are declared and paid at least annually. However, to the extent that a net realized capital gain can be reduced by a capital loss carryforward, such gain will not be distributed. Income and capital gain distributions are determined in accordance with federal income tax regulations, which may differ from GAAP.


F-23



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

The Fund's dividend policy is to distribute substantially all of its net investment income to its shareholders on a monthly basis. However, in order to provide shareholders with a more consistent yield to the current trading price of shares of beneficial interest of the Fund, the Fund may at times pay out less than the entire amount of net investment income earned in any particular month and may at times in any month pay out such accumulated but undistributed income in addition to net investment income earned in that month. As a result, the dividends paid by the Fund for any particular month may be more or less than the amount of net investment income earned by the Fund during such month.

F) FEDERAL INCOME TAXES — No provision is made for federal taxes as it is the Fund's intention to continue to qualify for and elect the tax treatment applicable to regulated investment companies ("RIC") under the Internal Revenue Code of 1986, as amended (the "Code"), and to make the requisite distributions to its shareholders, which will be sufficient to relieve it from federal income and excise taxes.

In order to qualify as a RIC under the Code, the Fund must meet certain requirements regarding the source of its income, the diversification of its assets and the distribution of its income. One of these requirements is that the Fund derive at least 90% of its gross income for each taxable year from dividends, interest, payments with respect to certain securities loans, gains from the sale or other disposition of stock, securities or foreign currencies, other income derived with respect to its business of investing in such stock, securities or currencies or net income derived from interests in certain publicly traded partnerships ("Qualifying Income").

The Fund adopted the authoritative guidance for uncertainty in income taxes and recognizes a tax benefit or liability from an uncertain position only if it is more likely than not that the position is sustainable based solely on its technical merits and consideration of the relevant taxing authority's widely understood administrative practices and procedures. The Fund has reviewed its current tax positions and has determined that no provision for income tax is required in the Fund's financial statements. The Fund's federal tax returns for the prior three fiscal years remain subject to examination by the Internal Revenue Service.

G) USE OF ESTIMATES — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from these estimates.

H) SHORT-TERM INVESTMENTS — The Fund, together with other funds/portfolios advised by Credit Suisse Asset Management, LLC ("Credit Suisse"), an indirect, wholly-owned subsidiary of Credit Suisse Group AG, pools available cash into a short-term variable rate time deposit issued by State Street Bank and Trust Company ("SSB"), the Fund's custodian. The short-term time deposit issued by SSB is a variable rate account classified as a short-term investment.

I) CASH FLOW INFORMATION — Cash, as used in the Statement of Cash Flows, is the amount reported in the Statement of Assets and Liabilities, including domestic and foreign currencies. The Fund invests in securities and distributes dividends from net investment income and net realized gains, if any (which are either paid in cash or reinvested at the discretion of shareholders). These activities are reported in the Statement of Changes in Net Assets. Information on cash payments is presented in the Statement of Cash Flows. Accounting practices that do not affect reporting activities on a cash basis include unrealized gain or loss on investment securities and accretion or amortization income recognized on investment securities.

J) FORWARD FOREIGN CURRENCY CONTRACTS — The Fund may enter into forward foreign currency contracts for the purchase or sale of a specific foreign currency at a fixed price on a future date. Risks may arise upon entering into these contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of a foreign currency. The Fund will enter into forward foreign currency contracts primarily for hedging foreign currency risk. Forward foreign currency contracts are adjusted by the daily forward exchange rate of the underlying currency and any gains or losses are recorded for


F-24



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

financial statement purposes as unrealized until the contract settlement date or an offsetting position is entered into. At October 31, 2012, the Fund had the following open forward foreign currency contracts:

Forward Foreign
Currency to be
Purchased (Local)
  Forward Foreign
Currency to be
Sold (Local)
  Expiration
Date
 

Counterparties

  Value on
Settlement Date
  Current
Value
  Unrealized
Appreciation/
(Depreciation)
 

USD

22,351,343

   

EUR

17,027,000

   

1/18/13

 

Morgan Stanley

 

$

(22,351,343

)

 

$

(22,080,939

)

 

$

270,404

   

USD

2,020,640

   

EUR

1,538,000

   

1/18/13

 

Morgan Stanley

   

(2,020,640

)

   

(1,994,508

)

   

26,132

   

USD

2,512,692

   

GBP

1,560,000

   

1/18/13

 

Morgan Stanley

   

(2,512,692

)

   

(2,512,627

)

   

65

   
                           

$

296,601

   

Currency Abbreviations:

EUR = Euro

GBP = British Pound

USD = United States Dollar

K) SECURITIES LENDING — Loans of securities are required at all times to be secured by collateral at least equal to 102% of the market value of domestic securities on loan (including any accrued interest thereon) and 105% of the market value of foreign securities on loan (including any accrued interest thereon). Cash collateral received by the Fund in connection with securities lending activity may be pooled together with cash collateral for other funds/portfolios advised by Credit Suisse and may be invested in a variety of investments, including funds advised by SSB, the Fund's securities lending agent, or money market instruments. However, in the event of default or bankruptcy by the other party to the agreement, realization and/or retention of the collateral may be subject to legal proceedings.

SSB has been engaged by the Fund to act as the Fund's securities lending agent. The Fund's securities lending arrangement provides that the Fund and SSB will share the net income earned from securities lending activities. During the year ended October 31, 2012, total earnings from the Fund's investment in cash collateral received in connection with securities lending arrangements was $69,962, of which $0 was rebated to borrowers (brokers). The Fund retained $59,468 in income from the cash collateral investment, and SSB, as lending agent, was paid $10,494. Securities lending income is accrued as earned.

L) OTHER — Lower-rated debt securities (commonly known as "junk bonds") possess speculative characteristics and are subject to greater market fluctuations and risk of lost income and principal than higher-rated debt securities for a variety of reasons. Also, during an economic downturn or substantial period of rising interest rates, highly leveraged issuers may experience financial stress which would adversely affect their ability to service their principal and interest payment obligations, to meet projected business goals and to obtain additional financing.

In addition, periods of economic uncertainty and changes can be expected to result in increased volatility of market prices of lower-rated debt securities and the Fund's net asset value.

M) SUBSEQUENT EVENTS — In preparing the financial statements as of October 31, 2012, management considered the impact of subsequent events for potential recognition or disclosure in these financial statements through the date of release of this report. No such events requiring recognition or disclosure were identified through the date of the release of this report.

Note 3. Transactions with Affiliates and Related Parties

The Fund has entered into an Investment Advisory Agreement (the "Advisory Agreement") with Credit Suisse. The Advisory Agreement provides for a fee at the annual rate of 1.00% of the first $250 million of the average weekly value of the Fund's total assets minus the sum of liabilities (other than aggregate indebtedness constituting leverage) and 0.75% of the average weekly value of the Fund's total assets minus the sum of liabilities (other than aggregate indebtedness constituting leverage) greater than $250 million. Effective January 1, 2011, Credit Suisse has agreed to waive 0.15% of the fees payable under the Advisory Agreement up


F-25



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

to $200 million and 0.25% of the fees payable under the Advisory Agreement on the next $50 million. For the year ended October 31, 2012, investment advisory fees earned and voluntary waived were $3,176,626 and $424,999, respectively. Credit Suisse will not recapture from the Fund any fees it waived during the year ended October 31, 2012. Fee waivers and expense reimbursements are voluntary and may be discontinued by Credit Suisse at any time.

SSB serves as Accounting and Administrative Agent for the fund. For its administrative services, SSB receives a fee, exclusive of out-of-pocket expenses, calculated in total for all the Credit Suisse funds/portfolios co-administered by SSB and allocated based upon the relative average net assets of each fund/portfolio, subject to an annual minimum fee. For the year ended October 31, 2012, administrative services fees earned by SSB (including out-of-pocket expenses) were $66,622.

The Independent Trustees receive fifty percent (50%) of their annual retainer in the form of shares. Since 2008, the Independent Trustees have been able to elect to receive up to 100% of their annual retainer in shares of the Fund. During the year ended October 31, 2012, 18,468 shares were issued through the trustees compensation plan. Trustees as a group own less than 1% of the Fund's outstanding shares.

Merrill Corporation ("Merrill"), an affiliate of Credit Suisse, has been engaged by the Fund to provide certain financial printing services. For the year ended October 31, 2012, Merrill was paid $52,634 for its services by the Fund.

Note 4. Line of Credit

The Fund has a line of credit provided by SSB primarily to leverage its investment portfolio (the "SSB Agreement"). Effective December 9, 2011, under the SSB Agreement, the Fund may borrow the least of: a) $140,000,000; b) an amount that is no greater than 33 1/3% of the Fund's total assets minus the sum of liabilities (other than aggregate indebtedness constituting leverage); and c) the Borrowing Base as defined in the SSB Agreement. Effective December 7, 2012, the Fund may borrow the least of: a) $170,000,000; b) an amount that is no greater than 33 1/3% of the Fund's total assets minus the sum of liabilities (other than aggregate indebtedness constituting leverage); and c) the Borrowing Base as defined in the SSB Agreement. At October 31, 2012, the Fund had loans outstanding under the Agreement of $116,000,000. At October 31, 2012 and during the year ended October 31, 2012, the Fund had borrowings under the Agreement as follows:

Average Daily
Loan Balance
  Weighted Average
Interest Rate %
  Maximum Daily
Loan Outstanding
 

$

100,221,311

     

1.284

%

 

$

116,000,000

   

The use of leverage by the Fund creates an opportunity for increased net income and capital appreciation for the Fund, but, at the same time, creates special risks, and there can be no assurance that a leveraging strategy will be successful during any period in which it is employed. The Fund intends to utilize leverage to provide the shareholders with a potentially higher return. Leverage creates risks for shareholders including the likelihood of greater volatility of net asset value and market price of the Fund's shares and the risk that fluctuations in interest rates on borrowings and short-term debt may affect the return to shareholders. To the extent the income or capital appreciation derived from securities purchased with funds received from leverage exceeds the cost of leverage, the Fund's return will be greater than if leverage had not been used. Conversely, if the income or capital appreciation from the securities purchased with such funds is not sufficient to cover the cost of leverage, the return to the Fund will be less than if leverage had not been used, and therefore the amount available for distribution to shareholders as dividends and other distributions will be reduced. In the latter case, Credit Suisse in its best judgment nevertheless may determine to maintain the Fund's leveraged position if it deems such action to be appropriate under the circumstances. During periods in which the Fund is utilizing leverage, the management fee will be higher than if the Fund did not utilize a leveraged capital structure because the fee is calculated as a percentage of the managed assets including those purchased with leverage.


F-26



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

Certain types of borrowings by the Fund may result in the Fund's being subject to covenants in credit agreements, including those relating to asset coverage and portfolio composition requirements. The Fund's lenders may establish guidelines for borrowing which may impose asset coverage or portfolio composition requirements that are more stringent than those imposed by the 1940 Act. There is no guarantee that the Fund's borrowing arrangements or other arrangements for obtaining leverage will continue to be available, or if available, will be available on terms and conditions acceptable to the Fund. Expiration or termination of available financing for leveraged positions can result in adverse effects to its access to liquidity and its ability to maintain leverage positions, and may cause the Fund to incur losses. Unfavorable economic conditions also could increase funding costs, limit access to the capital markets or result in a decision by lenders not to extend credit to the Fund. In addition, a decline in market value of the Fund's assets may have particular adverse consequences in instances where they have borrowed money based on the market value of those assets. A decrease in market value of those assets may result in the lender requiring the Fund to sell assets at a time when it may not be in the Fund's best interest to do so.

Note 5. Purchases and Sales of Securities

For the year ended October 31, 2012, purchases and sales of investment securities (excluding short-term investments) were $265,230,277 and $191,867,466, respectively.

Note 6. Fund Shares

The Fund has one class of shares of beneficial interest, par value $.001 per share; an unlimited number of shares are authorized. Transactions in shares of beneficial interest of the Fund were as follows:

    For the Year Ended
October 31, 2012
  For the Year Ended
October 31, 2011
 

Shares issued through the trustees compensation plan

   

18,468

     

16,879

   

Shares issued through at-the-market offerings

   

16,058,741

     

   

Shares issued through reinvestment of dividends

   

274,683

     

269,290

   

Net increase

   

16,351,892

     

286,169

   

Note 7. Rights Offering

On August 25, 2010, the Board of Trustees of the Fund announced the approval of a transferable rights offering for the Fund. Rights offering costs of $62,923 were charged to capital during the year ended October 31, 2011.

Note 8. Shelf Offering

On December 8, 2011, the Fund filed a "shelf" registration statement with the SEC, which permitted the Fund to issue up to $50 million in shares of beneficial interest through one or more public offerings. On October 16, 2012, the Fund filed "shelf" registration statement with the SEC which permit the Fund to issue up to $90 million in shares of beneficial interest through one or more public offerings. Under the shelf registration statements, the Fund sold and may sell the Fund's shares of beneficial interest in one or more at-the market offering when market conditions are considered favorable. Such shares were and would only be issued when the premium to net asset value is greater than the costs associated with the transaction. Any proceeds raised are used for investment purposes. As of October 31, 2012, the Fund had offered and sold 16,058,741 shares of beneficial interest pursuant to sales agreements, resulting in proceeds (net of all fees and commissions) of $49,803,158.

Note 9. Federal Income Taxes

Income and capital gain distributions are determined in accordance with federal income tax regulations, which may differ from GAAP.


F-27



Credit Suisse High Yield Bond Fund

Notes to Financial Statements (continued)

October 31, 2012

The tax characteristics of dividends and distributions paid during the years ended October 31, 2012 and 2011, respectively, by the Fund were as follows:

   

Ordinary Income

 
   

2012

 

2011

 
   

$

26,226,410

   

$

23,874,498

   

The tax basis components of distributable earnings differ from the amounts reflected in the Statement of Assets and Liabilities by temporary book/tax differences. These differences are primarily due to losses deferred on wash sales, income from defaulted bonds, partnership basis adjustments and mark to market of forward contracts. At October 31, 2012, the components of distributable earnings on a tax basis for the Funds were as follows:

Accumulated realized loss

 

$

(81,647,267

)

 

Unrealized depreciation

   

1,812,293

   
   

$

(79,834,974

)

 

At October 31, 2012, the Funds had capital loss carryforwards available to offset possible future capital gains as follows:

Expires October 31,

 
2013  

2014

 

2016

 

2017

 

2018

 
$

1,583,878

   

$

8,944,708

   

$

24,144,149

   

$

40,767,194

   

$

6,207,338

   

During the tax year ended October 31, 2012, the Fund utilized $3,135,234 of the capital loss carryforwards.

Under the Regulated Investment Company Modernization Act of 2010, the Fund will be permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period. However, any losses incurred during those future taxable years will be required to be utilized prior to the losses incurred in pre-enactment taxable years. As a result of this ordering rule, pre-enactment capital loss carryforwards may be more likely to expire unused. Additionally, post-enactment capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term as under previous law. It is uncertain whether the Fund will be able to realize the full benefits of the capital loss carryforwards before they expire.

At October 31, 2012, the cost of investments (excluding foreign currency related transactions) and net unrealized appreciation (depreciation) for income tax purposes were as follows:

Cost of Investments

 

$

400,896,425

   

Unrealized appreciation

   

17,425,157

   

Unrealized depreciation

   

(15,615,001

)

 

Net unrealized appreciation (depreciation)

 

$

1,810,156

   

At October 31, 2012, the Fund reclassified $1,196,334 to net investment loss and $2,948,419 to accumulated net realized loss from investments from paid in capital, to adjust for current period permanent book/tax differences which arose principally from differing book/tax treatment of foreign currency gain/(loss), partnership basis adjustments, defaulted bonds, distributions in excess of current earnings and expiration of capital loss carryforwards. Net assets were not affected by these reclassifications.

Note 10. Contingencies

In the normal course of business, the Fund may provide general indemnifications pursuant to certain contracts and organizational documents. The Fund's maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated; however, based on experience, the risk of loss from such claims is considered remote.


F-28



Credit Suisse High Yield Bond Fund

Report of Independent Registered Public Accounting Firm

To the Board of Trustees and Shareholders of
Credit Suisse High Yield Bond Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Credit Suisse High Yield Bond Fund (the "Fund"), at October 31, 2012, the results of its operations for the year then ended and the changes in its net assets and the financial highlights for the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at October 31, 2012 by correspondence with the custodian, brokers, agent banks, and the application of alternative auditing procedures where securities purchased confirmations had not been received, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

Boston, Massachusetts
December 28, 2012


F-29



(This page has been left blank intentionally.)




18,000,000 Common Shares of Beneficial Interest

CREDIT SUISSE HIGH YIELD BOND FUND

PROSPECTUS SUPPLEMENT

March 1, 2013

Until March 26, 2013 (25 days after the date of this Prospectus Supplement), all dealers that buy, sell or trade the Common Shares, whether or not participating in this offering, may be required to deliver a prospectus. This is in addition to the dealers' obligation to deliver a prospectus when acting as underwriters.



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