UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-02351
Name of Fund:
Pacific American Income Shares, Inc.
Fund Address:
385 East Colorado Boulevard
Pasadena, CA 91101
Name and address of agent for service:
Richard M. Wachterman, Esq.
Legg Mason Wood Walker, Incorporated
100 Light Street
Baltimore, MD 21202
Registrant’s telephone number, including area code: (626) 844 9400
Date of fiscal year end: 12/31/2005
Date of reporting period: 3/31/2005
Item 1 – Schedule of Investments
Portfolio of Investments
March 31, 2005 (Unaudited)
(Amounts in Thousands)
Pacific American Income Shares
Rate | Maturity Date |
Par/ Shares |
Value | |||||||||
Long-Term Securities — 97.6% |
||||||||||||
Corporate Bonds and Notes — 66.1% |
||||||||||||
Aerospace/Defense — 1.2% |
||||||||||||
L-3 Communications Corp. |
7.625 | % | 6/15/12 | $ | 275 | $ | 292 | |||||
Raytheon Company |
5.375 | % | 4/1/13 | 905 | 918 | A | ||||||
Systems 2001 Asset Trust |
6.664 | % | 9/15/13 | 468 | 508 | B | ||||||
1,718 | ||||||||||||
Auto Parts and Equipment — 0.2% |
||||||||||||
American Axle & Manufacturing Inc. |
5.250 | % | 2/11/14 | 300 | 268 | A | ||||||
Automotive — 1.1% |
||||||||||||
Ford Motor Company |
7.450 | % | 7/16/31 | 600 | 543 | A | ||||||
Ford Motor Company |
8.900 | % | 1/15/32 | 260 | 263 | |||||||
General Motors Corporation |
8.250 | % | 7/15/23 | 190 | 164 | |||||||
General Motors Corporation |
8.375 | % | 7/15/33 | 760 | 650 | A | ||||||
1,620 | ||||||||||||
Banking and Finance — 8.7% |
||||||||||||
AIFUL Corporation |
4.450 | % | 2/16/10 | 155 | 151 | B | ||||||
Boeing Capital Corporation |
5.800 | % | 1/15/13 | 500 | 523 | A | ||||||
Ford Motor Credit Company |
6.500 | % | 1/25/07 | 2,540 | 2,566 | |||||||
Ford Motor Credit Company |
7.375 | % | 10/28/09 | 1,425 | 1,431 | |||||||
Ford Motor Credit Company |
7.375 | % | 2/1/11 | 510 | 506 | |||||||
Ford Motor Credit Company |
7.250 | % | 10/25/11 | 1,615 | 1,594 | |||||||
Ford Motor Credit Company |
7.000 | % | 10/1/13 | 70 | 68 | A | ||||||
Mizuho Co., Ltd. |
9.870 | % | 12/31/49 | 620 | 707 | B | ||||||
General Motors Acceptance Corporation |
6.125 | % | 8/28/07 | 2,550 | 2,487 | A | ||||||
General Motors Acceptance Corporation |
5.625 | % | 5/15/09 | 510 | 465 | A | ||||||
HSBC Finance Corporation |
4.125 | % | 11/16/09 | 1,790 | 1,741 | |||||||
SB Treasury Company LLC |
9.400 | % | 12/29/49 | 600 | 675 | A,B | ||||||
12,914 | ||||||||||||
Banks — 1.5% |
||||||||||||
Bank of America Corporation |
3.375 | % | 2/17/09 | 1,075 | 1,031 | |||||||
Bank of America Corporation |
7.800 | % | 9/15/16 | 250 | 300 | |||||||
BankAmerica Capital III |
3.230 | % | 1/15/27 | 215 | 210 | C | ||||||
Chase Capital II |
3.243 | % | 2/1/27 | 725 | 684 | C | ||||||
2,225 | ||||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
Building Materials — 0.5% |
||||||||||
American Standard, Inc. |
8.250 | % | 6/1/09 | 500 | 564 | |||||
Nortek, Inc. |
8.500 | % | 9/1/14 | 225 | 217 | |||||
781 | ||||||||||
Cable — 1.4% |
||||||||||
Comcast Corporation |
7.050 | % | 3/15/33 | 160 | 179 | A | ||||
Cox Communications, Inc. |
4.625 | % | 1/15/10 | 510 | 496 | B | ||||
CSC Holdings Inc. |
7.250 | % | 7/15/08 | 700 | 717 | |||||
TCI Communications, Inc. |
8.750 | % | 8/1/15 | 160 | 200 | |||||
Tele-Communications, Inc. |
9.800 | % | 2/1/12 | 375 | 470 | |||||
2,062 | ||||||||||
Casino Resorts — 0.4% |
||||||||||
Caesars Entertainment Inc. |
8.125 | % | 5/15/11 | 250 | 277 | |||||
Harrah’s Operating Company, Inc. |
5.500 | % | 7/1/10 | 340 | 346 | |||||
623 | ||||||||||
Chemicals — 0.9% |
||||||||||
FMC Corporation |
10.250 | % | 11/1/09 | 265 | 295 | |||||
The Dow Chemical Company |
7.375 | % | 11/1/29 | 800 | 975 | |||||
1,270 | ||||||||||
Computer Services and Systems — 0.7% |
||||||||||
Electronic Data Systems Corporation |
7.125 | % | 10/15/09 | 600 | 645 | A | ||||
Electronic Data Systems Corporation |
7.450 | % | 10/15/29 | 420 | 449 | |||||
1,094 | ||||||||||
Containers and Packaging — 0.2% |
||||||||||
Graphic Packaging International Corp. |
9.500 | % | 8/15/13 | 200 | 212 | |||||
Diversified Financial Services — 1.0% |
||||||||||
Beaver Valley Funding Corp. |
9.000 | % | 6/1/17 | 300 | 350 | |||||
Capital One Financial Corporation |
8.750 | % | 2/1/07 | 350 | 377 | A | ||||
Capital One Financial Corporation |
7.125 | % | 8/1/08 | 90 | 96 | A | ||||
CIT Group Inc. |
3.875 | % | 11/3/08 | 5 | 5 | A | ||||
General Electric Capital Corporation |
6.750 | % | 3/15/32 | 225 | 260 |
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
iStar Financial Inc. |
6.000 | % | 12/15/10 | 230 | 237 | |||||
Mizuho Preferred Capital Corp. LLC |
8.790 | % | 12/29/49 | 110 | 122 | B | ||||
1,447 | ||||||||||
Electric — 2.0% |
||||||||||
AEP Texas Central Company |
5.500 | % | 2/15/13 | 420 | 428 | |||||
American Electric Power Company, Inc. |
5.250 | % | 6/1/15 | 490 | 486 | |||||
Dominion Resources, Inc. |
5.125 | % | 12/15/09 | 210 | 213 | |||||
FirstEnergy Corp. |
6.450 | % | 11/15/11 | 60 | 63 | |||||
FirstEnergy Corp. |
7.375 | % | 11/15/31 | 710 | 804 | |||||
Southern California Edison Company |
8.000 | % | 2/15/07 | 123 | 131 | |||||
System Energy Resources, Inc. |
4.875 | % | 10/1/07 | 380 | 382 | |||||
Tampa Electric Company |
6.375 | % | 8/15/12 | 145 | 157 | |||||
The AES Corporation |
9.500 | % | 6/1/09 | 39 | 43 | |||||
The Cleveland Electric Illuminating Company |
5.650 | % | 12/15/13 | 300 | 305 | |||||
3,012 | ||||||||||
Energy — 6.5% |
||||||||||
Alabama Power Company |
3.125 | % | 5/1/08 | 360 | 347 | |||||
Calpine Generating Company, LLC |
11.169 | % | 4/1/11 | 45 | 43 | C | ||||
Calpine Generating Company, LLC |
11.500 | % | 4/1/11 | 35 | 33 | |||||
CenterPoint Energy, Inc. |
6.850 | % | 6/1/15 | 1,150 | 1,256 | A | ||||
DTE Energy Company |
6.375 | % | 4/15/33 | 330 | 343 | A | ||||
Exelon Corporation |
6.750 | % | 5/1/11 | 1,500 | 1,632 | |||||
MidAmerican Energy Holdings Company |
5.875 | % | 10/1/12 | 500 | 519 | |||||
Pacific Gas and Electric Company |
6.050 | % | 3/1/34 | 1,695 | 1,740 | |||||
Peabody Energy Corporation |
6.875 | % | 3/15/13 | 285 | 294 | |||||
Sempra Energy |
3.318 | % | 5/21/08 | 635 | 637 | C | ||||
TXU Corp. |
6.375 | % | 6/15/06 | 750 | 767 | |||||
TXU Corp. |
6.550 | % | 11/15/34 | 580 | 550 | B | ||||
TXU Energy Co. |
3.420 | % | 1/17/06 | 135 | 135 | B,C | ||||
TXU Energy Co. |
6.125 | % | 3/15/08 | 500 | 518 | |||||
TXU Energy Co. |
7.000 | % | 3/15/13 | 370 | 405 | |||||
Xcel Energy, Inc. |
7.000 | % | 12/1/10 | 350 | 385 | |||||
9,604 | ||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
Environmental Services — 0.3% |
| |||||||||
Waste Management, Inc. |
7.375 | % | 5/15/29 | 415 | 483 | |||||
Food, Beverage and Tobacco — 2.5% |
| |||||||||
Altria Group, Inc. |
7.000 | % | 11/4/13 | 305 | 327 | |||||
Altria Group, Inc. |
7.750 | % | 1/15/27 | 340 | 388 | |||||
Domino’s, Inc. |
8.250 | % | 7/1/11 | 200 | 209 | |||||
Kraft Foods Inc. |
6.250 | % | 6/1/12 | 75 | 81 | |||||
Nabisco Incorporated |
7.550 | % | 6/15/15 | 650 | 767 | |||||
R.J. Reynolds Tobacco Holdings, Inc. |
7.250 | % | 6/1/12 | 1,360 | 1,394 | |||||
Tyson Foods, Inc. |
7.000 | % | 1/15/28 | 500 | 544 | A | ||||
3,710 | ||||||||||
Gas and Pipeline Utilities — 2.3% |
| |||||||||
Dynegy Holdings Inc. |
6.875 | % | 4/1/11 | 1,300 | 1,154 | A | ||||
Dynegy Holdings Inc. |
8.750 | % | 2/15/12 | 735 | 704 | A | ||||
The Williams Companies, Inc. |
7.500 | % | 1/15/31 | 102 | 107 | |||||
The Williams Companies, Inc. |
8.750 | % | 3/15/32 | 1,250 | 1,484 | |||||
3,449 | ||||||||||
Health Care — 1.1% |
| |||||||||
Tenet Healthcare Corporation |
6.375 | % | 12/1/11 | 1,465 | 1,351 | |||||
Tenet Healthcare Corporation |
6.875 | % | 11/15/31 | 250 | 200 | |||||
1,551 | ||||||||||
Homebuilding — 0.4% |
| |||||||||
D.R. Horton, Inc. |
5.250 | % | 2/15/15 | 410 | 375 | |||||
Pulte Homes, Inc. |
6.250 | % | 2/15/13 | 145 | 149 | |||||
524 | ||||||||||
Investment Banking/Brokerage — 2.5% |
| |||||||||
J.P. Morgan Capital Trust II |
7.950 | % | 2/1/27 | 150 | 161 | A | ||||
J.P. Morgan Chase & Co. |
5.125 | % | 9/15/14 | 2,100 | 2,067 | |||||
Merrill Lynch & Co., Inc. |
5.000 | % | 1/15/15 | 760 | 736 | |||||
The Goldman Sachs Group, Inc. |
6.345 | % | 2/15/34 | 755 | 774 | |||||
3,738 | ||||||||||
Lodging/Hotels — 0.4% |
| |||||||||
Hilton Hotels Corporation |
7.625 | % | 12/1/12 | 450 | 514 | |||||
Machinery — 0.3% |
| |||||||||
Case New Holland Incorporated |
9.250 | % | 8/1/11 | 275 | 293 | B | ||||
Case New Holland Incorporated |
9.250 | % | 8/1/11 | 200 | 213 | B | ||||
506 | ||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
Media — 3.5% |
| |||||||||
AMFM Inc. |
8.000 | % | 11/1/08 | 210 | 226 | |||||
Liberty Media Corporation |
4.510 | % | 9/17/06 | 1,035 | 1,049 | C | ||||
Liberty Media Corporation |
8.500 | % | 7/15/29 | 130 | 134 | A | ||||
Liberty Media Corporation |
8.250 | % | 2/1/30 | 65 | 66 | A | ||||
News America, Inc. |
6.550 | % | 3/15/33 | 375 | 391 | A | ||||
Readers Digest Association, Inc. |
6.500 | % | 3/1/11 | 300 | 299 | |||||
Sinclair Broadcast Group, Inc. |
8.750 | % | 12/15/11 | 210 | 221 | |||||
Time Warner Entertainment Company, L.P. |
8.375 | % | 7/15/33 | 680 | 855 | |||||
Time Warner Inc. |
6.150 | % | 5/1/07 | 390 | 403 | |||||
Time Warner Inc. |
6.875 | % | 5/1/12 | 270 | 295 | |||||
Time Warner Inc. |
7.700 | % | 5/1/32 | 590 | 700 | |||||
Viacom Inc. |
5.625 | % | 8/15/12 | 520 | 526 | |||||
5,165 | ||||||||||
Medical Care Facilities — 1.6% |
| |||||||||
Coventry Health Care, Inc. |
5.875 | % | 1/15/12 | 400 | 400 | B | ||||
HCA Inc. |
5.250 | % | 11/6/08 | 105 | 105 | |||||
HCA, Inc. |
7.875 | % | 2/1/11 | 250 | 270 | |||||
HCA, Inc. |
6.300 | % | 10/1/12 | 180 | 180 | |||||
HCA, Inc. |
5.750 | % | 3/15/14 | 995 | 950 | A | ||||
Health Care REIT, Inc. |
8.000 | % | 9/12/12 | 370 | 424 | |||||
2,329 | ||||||||||
Oil and Gas — 5.5% |
| |||||||||
Amerada Hess Corporation |
7.300 | % | 8/15/31 | 1,440 | 1,624 | A | ||||
Conoco Inc. |
6.950 | % | 4/15/29 | 90 | 107 | |||||
ConocoPhillips |
4.750 | % | 10/15/12 | 250 | 248 | A | ||||
Devon Energy Corporation |
7.950 | % | 4/15/32 | 550 | 694 | |||||
El Paso Corporation |
7.800 | % | 8/1/31 | 2,000 | 1,880 | |||||
Kerr-McGee Corporation |
7.875 | % | 9/15/31 | 475 | 536 | A | ||||
Occidental Petroleum Corporation |
6.750 | % | 1/15/12 | 1,000 | 1,106 | A | ||||
Ocean Energy Inc. |
4.375 | % | 10/1/07 | 430 | 429 | |||||
Panhandle Eastern Pipe Line Company |
4.800 | % | 8/15/08 | 445 | 445 | |||||
Valero Energy Corporation |
6.875 | % | 4/15/12 | 215 | 239 | |||||
Vintage Petroleum, Inc. |
7.875 | % | 5/15/11 | 250 | 265 | A | ||||
XTO Energy, Inc. |
6.250 | % | 4/15/13 | 560 | 602 | |||||
8,175 | ||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
Paper and Forest Products — 1.8% |
| |||||||||
Georgia Pacific Corp |
8.000 | % | 1/15/24 | 250 | 279 | |||||
Georgia-Pacific Corp. |
9.500 | % | 12/1/11 | 325 | 383 | A | ||||
International Paper Company |
5.500 | % | 1/15/14 | 490 | 498 | |||||
Weyerhaeuser Company |
6.750 | % | 3/15/12 | 995 | 1,093 | |||||
Weyerhaeuser Company |
7.375 | % | 3/15/32 | 390 | 456 | |||||
2,709 | ||||||||||
Photo Equipment and Supplies — 0.5% |
| |||||||||
Eastman Kodak Company |
3.625 | % | 5/15/08 | 375 | 358 | A | ||||
Eastman Kodak Company |
7.250 | % | 11/15/13 | 345 | 361 | |||||
719 | ||||||||||
Real Estate — 0.2% |
| |||||||||
Forest City Enterprises, Inc. |
7.625 | % | 6/1/15 | 225 | 240 | A | ||||
Socgen Real Estate Co. LLC |
1.000 | % | 12/29/49 | 80 | 86 | B | ||||
326 | ||||||||||
Retail — 0.2% |
| |||||||||
Toys “R” Us, Inc. |
6.875 | % | 8/1/06 | 350 | 356 | A | ||||
Special Purpose — 13.2% |
| |||||||||
Ahold Finance USA, Inc. |
8.250 | % | 7/15/10 | 355 | 390 | |||||
Conoco Funding Company |
6.350 | % | 10/15/11 | 420 | 458 | |||||
DaimlerChrysler NA Holding Corporation |
3.450 | % | 9/10/07 | 1,570 | 1,572 | C | ||||
DaimlerChrysler NA Holding Corporation |
7.300 | % | 1/15/12 | 415 | 453 | |||||
DaimlerChrysler NA Holding Corporation |
6.500 | % | 11/15/13 | 160 | 166 | |||||
Duke Capital Corporation |
6.250 | % | 2/15/13 | 1,200 | 1,266 | A | ||||
NiSource Finance Corp. |
3.200 | % | 11/1/06 | 375 | 367 | |||||
PNPP II Funding Corporation |
9.120 | % | 5/30/16 | 2,429 | 2,849 | A | ||||
Qwest Capital Funding, Inc. |
7.250 | % | 2/15/11 | 2,000 | 1,865 | A | ||||
Rabobank Capital Funding Trust III |
5.254 | % | 12/29/49 | 905 | 896 | B | ||||
Sithe Independence Funding Corporation |
9.000 | % | 12/30/13 | 1,500 | 1,675 | |||||
Sprint Capital Corporation |
4.780 | % | 8/17/06 | 470 | 473 | D | ||||
Sprint Capital Corporation |
8.750 | % | 3/15/32 | 1,420 | 1,842 | |||||
TCI Communications Financing III |
9.650 | % | 3/31/27 | 3,000 | 3,392 | |||||
The Williams Companies, Inc. Credit Certificate Trust |
6.750 | % | 4/15/09 | 1,740 | 1,770 | B | ||||
19,434 | ||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
Telecommunications — 1.2% |
| |||||||||
BellSouth Corporation |
4.750 | % | 11/15/12 | 320 | 312 | |||||
Emmis Operating Company |
6.875 | % | 5/15/12 | 250 | 245 | |||||
Qwest Corporation |
6.875 | % | 9/15/33 | 1,000 | 862 | A | ||||
Verizon New York Inc. |
6.875 | % | 4/1/12 | 340 | 371 | |||||
1,790 | ||||||||||
Telecommunications (Cellular/Wireless) — 1.4% |
| |||||||||
AT&T Wireless Services Inc. |
7.500 | % | 5/1/07 | 500 | 531 | |||||
AT&T Wireless Services Inc. |
8.125 | % | 5/1/12 | 95 | 111 | |||||
AT&T Wireless Services Inc. |
8.750 | % | 3/1/31 | 475 | 627 | |||||
Motorola, Inc. |
7.625 | % | 11/15/10 | 350 | 393 | |||||
Nextel Communications, Inc. |
5.950 | % | 3/15/14 | 88 | 88 | |||||
Nextel Communications, Inc. |
7.375 | % | 8/1/15 | 285 | 301 | |||||
2,051 | ||||||||||
Transportation — 0.9% |
| |||||||||
Continental Airlines, Inc. |
6.545 | % | 2/2/19 | 82 | 80 | |||||
Continental Airlines, Inc. |
7.256 | % | 3/15/20 | 242 | 243 | |||||
Delta Air Lines, Inc. |
7.570 | % | 5/18/12 | 160 | 149 | |||||
Delta Air Lines, Inc. |
6.417 | % | 7/2/12 | 400 | 416 | |||||
Delta Air Lines, Inc. |
6.718 | % | 7/2/24 | 282 | 294 | |||||
Northwest Airlines Corporation |
7.575 | % | 3/1/19 | 84 | 85 | |||||
United Airlines, Inc. |
7.783 | % | 1/1/14 | 102 | 93 | |||||
1,360 | ||||||||||
Total Corporate Bonds and Notes (Identified Cost — $94,558) |
97,739 | |||||||||
Mortgage-Backed Securities — 0.8% |
| |||||||||
Fixed Rate Securities — 0.8% |
| |||||||||
Glendale Federal Savings Bank 1978-A |
9.125 | % | 1/25/08 | 9 | 9 | |||||
Nomura Asset Securities Corporation 1996-MD5 |
7.120 | % | 4/13/39 | 1,170 | 1,206 | |||||
Total Mortgage-Backed Securities (Identified Cost — $1,179) |
1,215 | |||||||||
U.S. Government and Agency Obligations — 8.1% |
| |||||||||
Fixed Rate Securities — 5.9% |
| |||||||||
United States Treasury Notes |
3.500 | % | 2/15/10 | 8,940 | 8,677 | A |
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
United States Treasury Notes |
4.000 | % | 2/15/15 | 5 | 5 | A | ||||
8,682 | ||||||||||
Indexed Securities — 2.2% |
| |||||||||
United States Treasury |
0.875 | % | 4/15/10 | 3,291 | 3,220 | A,E | ||||
Total U.S. Government and Agency Obligations (Identified Cost — $11,970) |
11,902 | |||||||||
U.S. Government Agency Mortgage-Backed Securities — 0.1% |
| |||||||||
Fixed Rate Securities — 0.1% |
| |||||||||
Fannie Mae |
8.000 | % | 4/25/06 | 28 | 28 | |||||
Fannie Mae |
11.500 | % | 11/1/17 | 25 | 27 | |||||
Fannie Mae |
14.000 | % | 2/1/18 | 45 | 53 | |||||
Freddie Mac |
10.250 | % | 5/1/09 | 28 | 30 | |||||
138 | ||||||||||
Total U.S. Government Agency Mortgage-Backed Securities (Identified Cost — $129) |
138 | |||||||||
Yankee BondsF — 22.5% |
| |||||||||
Banking and Finance — 1.7% |
| |||||||||
Corporacion Andina de Fomento |
3.050 | % | 1/26/07 | 470 | 470 | C | ||||
HBOS Capital Funding LP |
6.071 | % | 6/30/49 | 560 | 586 | B | ||||
HBOS Treasury Services plc |
4.000 | % | 9/15/09 | 420 | 409 | A,B | ||||
Mizuho Financial Group, Inc. |
5.790 | % | 4/15/14 | 1,100 | 1,115 | B | ||||
2,580 | ||||||||||
Banks — 0.7% |
| |||||||||
Korea Exchange Bank |
13.750 | % | 6/30/10 | 1,000 | 1,020 | B,D | ||||
Cable — 0.2% |
| |||||||||
British Sky Broadcasting Group plc |
6.875 | % | 2/23/09 | 330 | 354 | |||||
Diversified Financial Services — 0.5% |
| |||||||||
Encana Holdings Finance Corp |
5.800 | % | 5/1/14 | 770 | 804 | |||||
Electric — 0.5% |
| |||||||||
Empresa Nacional de Electricidad S.A. |
8.500 | % | 4/1/09 | 670 | 732 | A | ||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||
Foreign Governments — 10.0% |
| |||||||||
Federative Republic of Brazil |
14.500 | % | 10/15/09 | 180 | 226 | A | ||||
Federative Republic of Brazil |
12.000 | % | 4/15/10 | 210 | 246 | A | ||||
Federative Republic of Brazil |
3.125 | % | 4/15/12 | 159 | 149 | C | ||||
Federative Republic of Brazil |
3.125 | % | 4/15/12 | 247 | 232 | C | ||||
Federative Republic of Brazil |
8.000 | % | 4/15/14 | 2,518 | 2,493 | A | ||||
Federative Republic of Brazil |
11.000 | % | 8/17/40 | 340 | 378 | A | ||||
Quebec Province |
7.220 | % | 7/22/36 | 650 | 913 | D | ||||
Republic of Bulgaria |
8.250 | % | 1/15/15 | 20 | 24 | B | ||||
Republic of Bulgaria |
8.250 | % | 1/15/15 | 508 | 615 | B | ||||
Republic of Chile |
3.110 | % | 1/28/08 | 150 | 151 | C | ||||
Republic of Colombia |
10.500 | % | 7/9/10 | 200 | 220 | |||||
Republic of Colombia |
11.750 | % | 2/25/20 | 260 | 309 | A | ||||
Republic of Panama |
9.625 | % | 2/8/11 | 170 | 192 | |||||
Republic of Panama |
10.750 | % | 5/15/20 | 200 | 248 | A | ||||
Republic of Panama |
9.375 | % | 1/16/23 | 110 | 123 | A | ||||
Republic of Peru |
5.000 | % | 3/7/17 | 447 | 418 | D | ||||
Republic of Peru |
8.750 | % | 11/21/33 | 90 | 94 | |||||
Republic of South Africa |
7.375 | % | 4/25/12 | 250 | 275 | |||||
Republic of South Africa |
6.500 | % | 6/2/14 | 260 | 273 | A | ||||
Russian Federation |
5.000 | % | 3/31/30 | 1,950 | 1,998 | D | ||||
Russian Ministry of Finance |
3.000 | % | 5/14/06 | 80 | 78 | |||||
United Mexican States |
8.375 | % | 1/14/11 | 1,290 | 1,468 | |||||
United Mexican States |
11.500 | % | 5/15/26 | 960 | 1,452 | A | ||||
United Mexican States |
7.500 | % | 4/8/33 | 2,030 | 2,152 | |||||
14,727 | ||||||||||
Insurance — 1.0% |
| |||||||||
Axa |
8.600 | % | 12/15/30 | 550 | 722 | |||||
Oil Insurance Ltd |
5.150 | % | 8/15/33 | 220 | 221 | B | ||||
XL Capital Ltd. |
5.250 | % | 9/15/14 | 500 | 493 | |||||
1,436 | ||||||||||
Manufacturing (Diversified) — 1.1% |
| |||||||||
Tyco International Group SA |
6.375 | % | 10/15/11 | 1,450 | 1,548 | |||||
Oil and Gas — 1.3% |
| |||||||||
Gazprom |
9.625 | % | 3/1/13 | 50 | 57 | B | ||||
Gazprom |
9.625 | % | 3/1/13 | 20 | 23 | |||||
Petrobras International Finance Company (PIFCO) |
9.750 | % | 7/6/11 | 345 | 394 | |||||
Petroliam Nasional Berhad |
7.625 | % | 10/15/26 | 1,260 | 1,486 | B | ||||
1,960 | ||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | |||||||||
Special Purpose — 2.7% |
||||||||||||
Deutsche Telekom International Finance BV |
8.750 | % | 6/15/30 | 500 | 654 | |||||||
Petrozuata Finance, Inc. |
8.220 | % | 4/1/17 | 3,205 | 3,013 | B | ||||||
UFJ Finance Aruba AEC |
6.750 | % | 7/15/13 | 355 | 382 | |||||||
4,049 | ||||||||||||
Telecommunications — 2.2% |
||||||||||||
British Telecommunications plc |
8.875 | % | 12/15/30 | 330 | 440 | |||||||
France Telecom SA |
8.750 | % | 3/1/31 | 560 | 737 | |||||||
Tele Norte Leste Participacoes S.A. |
8.000 | % | 12/18/13 | 410 | 408 | |||||||
Telecom Italia Capital S.p.A. |
5.250 | % | 11/15/13 | 750 | 741 | |||||||
Telecom Italia Capital S.p.A. |
4.950 | % | 9/30/14 | 695 | 665 | B | ||||||
Telus Corporation |
7.500 | % | 6/1/07 | 250 | 266 | |||||||
3,257 | ||||||||||||
Telecommunications (Cellular/Wireless) — 0.2% |
||||||||||||
Rogers Wireless Communications Inc. |
6.375 | % | 3/1/14 | 300 | 291 | |||||||
Utilities — 0.4% |
||||||||||||
United Utilities plc |
5.375 | % | 2/1/19 | 580 | 560 | |||||||
Total Yankee Bonds (Identified Cost — $31,253) |
33,318 | |||||||||||
Total Long-Term Securities (Identified Cost — $139,089) |
144,312 | |||||||||||
Investment of Collateral from Securities Lending — 25.6% |
37,812 | shs | 37,812 | |||||||||
Total Investment of Collateral From Securities Lending (Identified Cost - $37,812) |
37,812 | |||||||||||
Short-Term Securities — 1.3% |
||||||||||||
Repurchase Agreements — 1.3% |
||||||||||||
Goldman, Sachs & Company 2.8%, dated 3/31/05, to be repurchased at $1,931 on 4/1/05 (Collateral: $1,960 Federal Home Loan Bank bonds, 1.2%, due 4/1/05, value $1,984) |
1,931 | 1,931 | ||||||||||
Total Short-Term Securities (Identified Cost — $1,931) |
1,931 | |||||||||||
Total Investments — (Identified Cost — $178,832) 124.5% |
184,055 | |||||||||||
Obligation to Return Collateral for Securities Loaned - (25.6%) |
(37,812 | ) | ||||||||||
Other Assets Less Liabilities — 1.1% |
1,630 | |||||||||||
Portfolio of Investments - Continued
Pacific American Income Shares - Continued
Rate | Maturity Date |
Par/ Shares |
Value | ||||||
Net Assets — 100.0% |
$ | 147,873 | |||||||
A | All or a portion of this security is on loan. |
B | Rule 144a Security – A security purchased pursuant to Rule 144a under the Securities Act of 1933 which may not be resold subject to that rule except to qualified institutional buyers. These securities represent 5.2% of net assets. |
C | Indexed Security – The rates of interest earned on these securities are tied to the London Interbank Offered Rate (“LIBOR”), or the one-year Treasury Bill rate. The coupon rates are the rates as of March 31, 2005. |
D | Stepped coupon security – A security with a predetermined schedule of interest or dividend rate changes. |
E | Inflation-Protected Security – Security whose principal value is adjusted daily or monthly in accordance with changes to the Consumer Price Index for all Urban Consumers. Interest is calculated on the basis of the current adjusted principal value. |
F | Yankee Bond – A dollar-denominated bond issued in the U.S. by foreign entities. |
Security Valuation
In valuing portfolio securities, securities listed or traded on a national securities exchange are valued at the last sales price. Each security traded in the over-the-counter market, including listed debt securities whose primary market is believed to be over-the-counter, is generally valued at the mean of the bid and asked prices at the time of computation. Prices are obtained from at least two dealers regularly marking a market in the security, unless such prices can be obtained from only a single market maker. The difference between cost and market value is reflected separately as unrealized appreciation or depreciation of investments. Short-term securities are generally stated at cost plus interest earned, which approximates market value.
Securities Lending
The Company lends its securities to approved brokers to earn additional income and receives cash and U.S. government securities as collateral against the loans. Cash collateral received is invested in a money market pooled account by the Company’s lending agent. Collateral is maintained over the life of the loan in an amount not less than 100% of the value of loaned securities. At March 31, 2005, the market value of the securities on loan to broker-dealers was 37,046, for which the Company received collateral of $37,812 in cash. Such collateral is in the possession of the Company’s custodian. The cash was invested in the State Street Navigator Securities Lending Prime Portfolio and is included in the Company’s schedule of investments. As with other extensions of credit, the Company may bear the risk of delay in recovery or even loss of rights to the collateral should the borrower of the securities fail financially.
Other information regarding the Company is available in the Company’s most recent Report to Shareholders. This information is available on the Securities and Exchange Commission’s website (www.sec.gov).
Item 2 – Controls and Procedures
(a) | The principal executive and principal financial officers of Pacific American Income Shares, Inc. (the “Registrant”) have concluded, based on their evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant’s disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-Q is recorded, processed, summarized and reported within the required time periods in the Securities and Exchange Commission’s rules and forms and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-Q is accumulated and communicated to the Registrant’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure. |
(b) | There were no changes in the Registrant’s internal control over financial reporting during the Registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the internal control over financial reporting. |
Item 3 – Exhibits
Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 are attached hereto.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Pacific American Income Shares, Inc. | ||
By: | /s/ James W. Hirschmann | |
James W. Hirschmann | ||
President, Pacific American Income Shares, Inc. | ||
Date: | May 27, 2005 |
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/ James W. Hirschmann | |
James W. Hirschmann | ||
President, Pacific American Income Shares, Inc. | ||
Date: | May 27, 2005 |
By: | /s/ Marie K. Karpinski | |
Marie K. Karpinski | ||
Treasurer and Principal Financial and Accounting Officer, | ||
Pacific American Income Shares, Inc. | ||
Date: | May 27, 2005 |