-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, A8sipj7GcUZKbM4jr7fq0Z4vW/CwKR7TbbZ2vteYSHm2PYDgKg3tHh0LZcqLTHGR oiH9wVjyUqDVX+S+09Iy2g== 0001193805-06-003051.txt : 20061227 0001193805-06-003051.hdr.sgml : 20061227 20061227121025 ACCESSION NUMBER: 0001193805-06-003051 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20061031 FILED AS OF DATE: 20061227 DATE AS OF CHANGE: 20061227 EFFECTIVENESS DATE: 20061227 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BLACKROCK FOCUS VALUE FUND, INC. CENTRAL INDEX KEY: 0000701960 IRS NUMBER: 133114958 STATE OF INCORPORATION: NJ FISCAL YEAR END: 0731 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-03450 FILM NUMBER: 061299994 BUSINESS ADDRESS: STREET 1: 800 SCUDDERS MILL RD. CITY: PLAINOBORO STATE: NJ ZIP: 08536 BUSINESS PHONE: 6092823319 MAIL ADDRESS: STREET 1: P.O. BOX 9011 CITY: PRINCETON STATE: NJ ZIP: 08543 FORMER COMPANY: FORMER CONFORMED NAME: MERRILL LYNCH FOCUS VALUE FUND DATE OF NAME CHANGE: 20001006 FORMER COMPANY: FORMER CONFORMED NAME: MERRILL LYNCH PHOENIX FUND INC DATE OF NAME CHANGE: 19920703 0000701960 S000002519 BLACKROCK FOCUS VALUE FUND, INC. C000006947 Investor A C000006948 Investor B C000006949 Investor C C000006950 Institutional C000006951 Class R N-Q 1 e601329_nq-brfocus.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY Investment Company Act File number 811-3450 Name of Fund: BlackRock Focus Value Fund, Inc. Fund Address: P.O. Box 9011 Princeton, NJ 08543-9011 Name and address of agent for service: Robert C. Doll, Jr., Chief Executive Officer, BlackRock Focus Value Fund, Inc., 800 Scudders Mill Road, Plainsboro, NJ 08536. Mailing address: P.O. Box 9011, Princeton, NJ 08543-9011 Registrant's telephone number, including area code: (609) 282-2800 Date of fiscal year end: 07/31/2007 Date of reporting period: 08/01/06 - 10/31/06 Item 1 - Schedule of Investments BlackRock Focus Value Fund, Inc. Schedule of Investments as of October 31, 2006
Shares Industry Held Common Stocks Value - ----------------------------------------------------------------------------------------------------------------------------------- Above-Average Commercial Services & 149,000 Waste Management, Inc. $ 5,584,520 Yield - 9.4% Supplies - 1.6% ------------------------------------------------------------------------------------------------------------ Diversified Telecommunication 311,000 AT&T, Inc. (f) 10,651,750 Services - 3.0% ------------------------------------------------------------------------------------------------------------ Food Products - 1.8% 113,800 General Mills, Inc. 6,466,116 ------------------------------------------------------------------------------------------------------------ Pharmaceuticals - 2.1% 271,200 Pfizer, Inc. 7,227,480 ------------------------------------------------------------------------------------------------------------ Trading Companies & 118,630 UAP Holding Corp. 2,969,309 Distributors - 0.9% ------------------------------------------------------------------------------------------------------------ Total Above-Average Yield 32,899,175 - ----------------------------------------------------------------------------------------------------------------------------------- Discount to Diversified Telecommunication 222,600 Verizon Communications, Inc. (f) 8,236,200 Assets - 5.5% Services - 2.3% ------------------------------------------------------------------------------------------------------------ Energy Equipment & 166,900 GlobalSantaFe Corp. (f) 8,662,110 Services - 2.5% ------------------------------------------------------------------------------------------------------------ IT Services - 0.5% 33,600 Computer Sciences Corp. (b) 1,775,760 ------------------------------------------------------------------------------------------------------------ Oil, Gas & Consumable 17,200 Consol Energy, Inc. 608,708 Fuels - 0.2% ------------------------------------------------------------------------------------------------------------ Total Discount to Assets 19,282,778 - ----------------------------------------------------------------------------------------------------------------------------------- Earnings Aerospace & Defense - 1.8% 92,800 Northrop Grumman Corp. 6,160,992 Turnaround - 38.1% ------------------------------------------------------------------------------------------------------------ Capital Markets - 2.5% 115,900 Morgan Stanley 8,858,237 ------------------------------------------------------------------------------------------------------------ Commercial Banks - 1.5% 91,800 Wachovia Corp. 5,094,900 ------------------------------------------------------------------------------------------------------------ Computers & Peripherals - 99,200 International Business Machines Corp. 9,159,136 3.5% 558,700 Sun Microsystems, Inc. (b) 3,033,741 ------------- 12,192,877 ------------------------------------------------------------------------------------------------------------ Food & Staples Retailing - 402,400 The Kroger Co. 9,049,976 4.9% 923,302 The Topps Co., Inc. 8,060,426 ------------- 17,110,402 ------------------------------------------------------------------------------------------------------------ Food Products - 2.0% 282,500 Unilever NV (a) 6,836,500 ------------------------------------------------------------------------------------------------------------ Health Care Equipment & 140,400 Baxter International, Inc. 6,454,188 Supplies - 1.8% ------------------------------------------------------------------------------------------------------------ Industrial Conglomerates - 192,300 General Electric Co. 6,751,653 1.9% ------------------------------------------------------------------------------------------------------------ Life Sciences Tools & 81,500 PerkinElmer, Inc. 1,740,840 Services - 0.5% ------------------------------------------------------------------------------------------------------------ Metals & Mining - 1.4% 166,900 Alcoa, Inc. 4,825,079 ------------------------------------------------------------------------------------------------------------ Oil, Gas & Consumable 128,800 Exxon Mobil Corp. 9,198,896 Fuels - 3.5% 70,000 Peabody Energy Corp. 2,937,900 ------------- 12,136,796 ------------------------------------------------------------------------------------------------------------ Pharmaceuticals - 1.4% 91,100 GlaxoSmithKline Plc (a) 4,851,075 ------------------------------------------------------------------------------------------------------------ Semiconductors & 218,700 Analog Devices, Inc. 6,959,034 Semiconductor Equipment - 707,200 LSI Logic Corp. (b) 7,107,360 4.0% ------------- 14,066,394 ------------------------------------------------------------------------------------------------------------ Software - 4.9% 1,447,000 Borland Software Corp. (b) 7,987,440 473,800 Parametric Technology Corp. (b) 9,258,052 ------------- 17,245,492 ------------------------------------------------------------------------------------------------------------ Specialty Retail - 2.5% 138,000 Foot Locker, Inc. 3,200,220 270,700 The Gap, Inc. (f) 5,690,114 ------------- 8,890,334 ------------------------------------------------------------------------------------------------------------ Total Earnings Turnaround 133,215,759 - -----------------------------------------------------------------------------------------------------------------------------------
BlackRock Focus Value Fund, Inc. Schedule of Investments as of October 31, 2006
Shares Industry Held Common Stocks Value - ----------------------------------------------------------------------------------------------------------------------------------- Operational Aerospace & Defense - 2.5% 176,100 Raytheon Co. $ 8,796,195 Restructuring - 25.5% ------------------------------------------------------------------------------------------------------------ Capital Markets - 2.6% 262,800 The Bank of New York Co., Inc. 9,032,436 ------------------------------------------------------------------------------------------------------------ Chemicals - 2.2% 167,400 E.I. du Pont de Nemours & Co. (f) 7,666,920 ------------------------------------------------------------------------------------------------------------ Diversified Financial 272,840 JPMorgan Chase & Co. 12,943,530 Services - 3.7% ------------------------------------------------------------------------------------------------------------ IT Services - 2.8% 1,519,000 Unisys Corp. (b) 9,934,260 ------------------------------------------------------------------------------------------------------------ Industrial Conglomerates - 276,600 Tyco International Ltd. 8,140,338 2.3% ------------------------------------------------------------------------------------------------------------ Media - 4.6% 216,200 Comcast Corp. Special Class A (b) 8,751,776 359,100 Time Warner, Inc. 7,185,591 ------------- 15,937,367 ------------------------------------------------------------------------------------------------------------ Office Electronics - 2.4% 490,000 Xerox Corp. (b) 8,330,000 ------------------------------------------------------------------------------------------------------------ Pharmaceuticals - 1.1% 54,600 Johnson & Johnson 3,680,040 ------------------------------------------------------------------------------------------------------------ Wireless Telecommunication 242,900 Sprint Nextel Corp. (f) 4,539,801 Services - 1.3% ------------------------------------------------------------------------------------------------------------ Total Operational Restructuring 89,000,887 - ----------------------------------------------------------------------------------------------------------------------------------- Price-to-Book - 12.6% Diversified Financial 218,000 Citigroup, Inc. 10,934,880 Services - 3.1% ------------------------------------------------------------------------------------------------------------ Health Care Providers & 72,700 LifePoint Hospitals, Inc. (b) 2,580,850 Services - 0.7% ------------------------------------------------------------------------------------------------------------ Insurance - 8.8% 230,900 American International Group, Inc. 15,509,573 145,300 Genworth Financial, Inc. Class A 4,858,832 200,945 The St. Paul Travelers Cos., Inc. 10,274,318 ------------- 30,642,723 ------------------------------------------------------------------------------------------------------------ Total Price-to-Book 44,158,453 - ----------------------------------------------------------------------------------------------------------------------------------- Price-to-Earnings Per Containers & Packaging - 2.3% 354,000 Packaging Corp. of America 8,131,380 Share - 7.9% ------------------------------------------------------------------------------------------------------------ Insurance - 1.5% 73,000 XL Capital Ltd. Class A (f) 5,150,150 ------------------------------------------------------------------------------------------------------------ Media - 1.7% 102,300 Gannett Co., Inc. (f) 6,050,022 ------------------------------------------------------------------------------------------------------------ Oil, Gas & Consumable 125,600 Chevron Corp. 8,440,320 Fuels - 2.4% ------------------------------------------------------------------------------------------------------------ Total Price-to-Earnings Per Share 27,771,872 - ----------------------------------------------------------------------------------------------------------------------------------- Total Common Stocks (Cost - $275,962,294) - 99.0% 346,328,924 - ----------------------------------------------------------------------------------------------------------------------------------- Beneficial Interest Other Interests (c) - ----------------------------------------------------------------------------------------------------------------------------------- Financial Oil, Gas & Consumable $ 1,981,437 WRT Energy Corp. (Litigation Trust Restructuring - 0.0% Fuels - 0.0% Certificates) (g) 0 ------------------------------------------------------------------------------------------------------------ Total Other Interests (Cost - $202,416) - 0.0% 0 - ----------------------------------------------------------------------------------------------------------------------------------- Short-Term Securities - ----------------------------------------------------------------------------------------------------------------------------------- $ 3,213,875 BlackRock Liquidity Series, LLC Cash Sweep Series I, 5.22% (d)($) 3,213,875 31,380,500 BlackRock Liquidity Series, LLC Money Market Series, 5.29% (d)(e)(h) 31,380,500 - ----------------------------------------------------------------------------------------------------------------------------------- Total Short-Term Securities (Cost - $34,594,375) - 9.9% 34,594,375 - ----------------------------------------------------------------------------------------------------------------------------------- Total Investments (Cost - $310,759,085*) - 108.9% 380,923,299 Liabilities in Excess of Other Assets - (8.9%) (31,100,216) ------------- Net Assets - 100.0% $ 349,823,083 =============
BlackRock Focus Value Fund, Inc. Schedule of Investments as of October 31, 2006 * The cost and unrealized appreciation (depreciation) of investments as of October 31, 2006, as computed for federal income tax purposes, were as follows: Aggregate cost $ 312,115,787 ============= Gross unrealized appreciation $ 70,079,894 Gross unrealized depreciation (1,272,382) ------------- Net unrealized appreciation $ 68,807,512 ============= (a) Depositary receipts. (b) Non-income producing security. (c) Other interests represent beneficial interest in liquidation trusts and other reorganization entities and are non-income producing. (d) Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, were as follows:
-------------------------------------------------------------------------------------- Affiliate Net Activity Interest Income -------------------------------------------------------------------------------------- BlackRock Liquidity Series, LLC Cash Sweep Series I $ (1,132,743) $ 129,026 BlackRock Liquidity Series, LLC Money Market Series $(15,829,200) $ 8,362 --------------------------------------------------------------------------------------
(e) Security was purchased with the cash proceeds from securities loans. (f) Security, or a portion of security, is on loan. (g) Restricted security as to resale, representing 0.0% of net assets, were as follows:
--------------------------------------------------------------------------------------------------- Issue Acquisition Date Cost Value --------------------------------------------------------------------------------------------------- WRT Energy Corp. (Litigation Trust Certificates) 7/10/1997 $ 202,416 $ -- ---------------------------------------------------------------------------------------------------
(h) Represents the current yield as of October 31, 2006. o For Fund compliance purposes, the Fund's industry classifications refer to any one or more of the industry sub-classifications used by one or more widely recognized market indexes or ratings group indexes, and/or as defined by Fund management. This definition may not apply for purposes of this report, which may combine industry sub-classifications for reporting ease. Industries are shown as a percent of net assets. Item 2 - Controls and Procedures 2(a) - The registrant's certifying officers have reasonably designed such disclosure controls and procedures to ensure material information relating to the registrant is made known to us by others particularly during the period in which this report is being prepared. The registrant's certifying officers have determined that the registrant's disclosure controls and procedures are effective based on our evaluation of these controls and procedures as of a date within 90 days prior to the filing date of this report. 2(b) - There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the last fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting. Item 3 - Exhibits Certifications - Attached hereto Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. BlackRock Focus Value Fund, Inc. By: /s/ Robert C. Doll, Jr. -------------------------------- Robert C. Doll, Jr. Chief Executive Officer BlackRock Focus Value Fund, Inc. Date: December 20, 2006 Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. By: /s/ Robert C. Doll, Jr. -------------------------------- Robert C. Doll, Jr. Chief Executive Officer BlackRock Focus Value Fund, Inc. Date: December 20, 2006 By: /s/ Donald C. Burke -------------------------------- Donald C. Burke Chief Financial Officer BlackRock Focus Value Fund, Inc. Date: December 20, 2006 EX-99.CERT 2 e601329_ex99-cert.txt CERTIFICATION PURSUANT TO SECTION 302 EX-99. CERT CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 - -------------------------------------------------------------------------------- I, Robert C. Doll, Jr., Chief Executive Officer of BlackRock Focus Value Fund, Inc., certify that: 1. I have reviewed this report on Form N-Q of BlackRock Focus Value Fund, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the schedule of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: December 20, 2006 /s/ Robert C. Doll, Jr. -------------------------------- Robert C. Doll, Jr. Chief Executive Officer BlackRock Focus Value Fund, Inc. EX-99. CERT CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 - -------------------------------------------------------------------------------- I, Donald C. Burke, Chief Financial Officer of BlackRock Focus Value Fund, Inc., certify that: 1. I have reviewed this report on Form N-Q of BlackRock Focus Value Fund, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the schedule of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; c) evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and d) disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: December 20, 2006 /s/ Donald C. Burke -------------------------------- Donald C. Burke Chief Financial Officer BlackRock Focus Value Fund, Inc. -----END PRIVACY-ENHANCED MESSAGE-----