N-Q 1 nqfirstquarter2020.htm

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: 811-6027

 

 

KAVILCO INCORPORATED

(Exact name of registrant as specified in charter)

 

 

1000 Second Avenue, Suite 3320

Seattle, Washington

98104

(Address of principal executive offices) (Zip code)

Registrant's telephone number, including area code: (206)624-6166

Date of reporting period: March 31, 2020

 

 

 

 

          Principal Amount or Shares   Fair Value
INVESTMENTS IN SECURITIES      
U.S. Common Stock - 93.8%      
American Depository Receipts - 2.5%      
  Atlantic Power Corp.                        2,700                          5,778
  Eaton Corp, PLC                        1,400                      108,766
  Enbridge Inc.                      11,193                      325,604
  GW Pharmaceuticals PLC                          300                        26,271
  Invesco Ltd.                        6,300                        57,204
  Obsidian Energy Ltd.                          485                              81
  Royal Dutch Shell, PLC                        4,300                      140,438
  Schlumberger Ltd.                        1,200                        16,188
  Seadrill, Ltd.                              4                                2
  Wheaton Precious Metals Corp.                          700                        19,271
        Total American Depository Receipts                        699,603
Consumer Staples - 1.6%      
  Coca Cola Co.                        3,500                      154,875
  The Kraft Heinz Company                        4,900                      121,226
  Walgreens Boots Alliance Inc.                        3,850                      176,138
        Total Consumer Staples                        452,239
Consumer Discretionary - 1.0%      
  Amazon Com Inc.                            25                        48,743
  Genuine Parts Co.                        3,400                      228,922
  Ryman Hospitality Properties Inc.                          600                        21,510
        Total Consumer Discretionary                        299,175
Energy - 2.7%      
  Chevron Corp.                        1,800                      130,428
  Diamond Offshore Drilling, Inc.                        1,515                          2,772
  Exxon Mobil Corp.                        5,000                      189,850
  Kinder Morgan, Inc.                      19,919                      277,272
  Phillips 66                          500                        26,825
  Plains GP Holdings LP                        1,400                          7,854
  Valero Energy Corp.                        1,170                        53,071
  Williams Cos Inc.                        6,784                        95,994
        Total Energy                        784,067
Financials - 24.6%      
  AvalonBay Communities, Inc.                        1,750                      257,548
  Blackstone Group Inc., The                      11,800                      537,726
  Diversified Healthcare Trust                      10,400                        37,752
  EPR Properties                        2,575                        62,367
  Equity Residential PPTYS                        3,000                      185,130
  HCP, Inc.                          7,000                      151,520
  Healthcare Realty Trust, Inc.                        5,425                      183,645
  Highwoods Properties, Inc.                        1,300                        46,046
  Iron Mountain Inc.                        8,100                      192,780
  Kimco Realty Corp.                        8,400                        81,228
  Lamar Advertising Company                        6,400                      328,192
  LTC Properties, Inc.                      10,330                      319,197
  Macerich Co. Com.                        1,500                          8,445
  Mack Cali Rlty Corp.                        5,600                        85,288
  National Retail Properties, Inc.                        1,470                        47,319
  Omega Healthcare Investors, Inc.                        5,831                      154,755
  Prologis, Inc.                      10,827                      870,166
  Prudential Financial Inc.                        1,260                        65,696
  Public Storage Inc.                        1,000                      198,610
  Realty Income Corp.                      12,255                      611,034
  Redwood Trust, Inc.                        2,600                        13,156
  RMR Group, Inc., The                          274                          7,390
  Sabra Health Care REIT, Inc.                        2,970                        32,432
  Hospitality Properties Trust                      13,400                        72,360
  Simon Property Group, Inc.                        1,240                        68,026
  Spirit Realty Capital, Inc.                        2,500                        65,375
  Stag Industrial, Inc.                      15,410                      347,033
  T Rowe Price Group Inc.                        5,300                      517,545
  Tanger Factory Outlet Ctr.                      10,800                        54,000
  Truist Financial Corp.                        1,480                        45,643
  Ventas, Inc.                      13,200                      353,760
  Vornado Realty Trust                        3,290                      119,131
  Washington REIT                        8,450                      201,702
  Wells Fargo & Co.                        9,540                      273,798
  Welltower, Inc.                        8,810                      403,322
  Weyerhaeuser Co.                        1,900                        32,205
        Total Financials                     7,031,322
Health Care - 4.1%      
  Abbvie, Inc.                        1,680                      127,999
  Amgen, Inc.                        2,380                      482,497
  Five Star Senior Living, Inc.                        6,900                      384,606
  Bristol Myers Squibb                          704                          1,957
  Pfize,r Inc.                        5,000                      163,200
        Total Healthcare                     1,160,260
Industrials - 2.1%      
  General Electric Co.                      24,550                      194,927
  Pitney Bowes, Inc.                        3,000                          6,120
  United Parcel Service                        3,670                      342,851
  Wabtec Corp.                          131                          6,305
  Watsco, Inc.                          300                        47,409
        Total Industrials                        597,612
Information Technology - 3.9%      
  Apple, Inc.                          170                        43,229
  Cisco Systems, Inc.                        4,300                      169,033
  International Business Machines Corp.                        2,370                      262,904
  Paychex, Inc.                        9,925                      624,481
        Total Information Technology                     1,099,647
Master Limited Partnerships - 3.1%      
  Alliancebernstein Holding LP                        1,700                        31,603
  CVR Partners LP                        4,760                          4,903
  Energy Transfer Partners LP                      15,960                        73,416
  Enterprise Products Partners LP                      20,400                      291,720
  Magellan Midstream Partners LP                        7,600                      277,324
  MPLX LP                          2,180                        25,332
  Nustar Energy LP                        4,100                        35,219
  Plains All American Pipeline LP                        3,914                        20,666
  Suburban Propane Partners LP                        3,200                        45,248
  Targa Resources Corp.                        1,160                          8,016
  TC Pipelines LP                        2,300                        63,204
        Total Master Limited Partnerships                        876,650
Materials - 0.2%      
  International Paper Co                        1,900                        59,147
        Total Mutual Funds                          59,147
Mutual Funds - 3.3%      
  Blackrock Floating Rate Income Trust                        3,179                        31,186
  John Hancock Preferred Income Fund                        3,284                        52,774
  iShares Investment Grade Corp. Bonds                          640                        79,046
  iShares US Preferred ETF                        2,516                        80,109
  iShares 1-3 Year Treasury Bond                        7,200                      624,024
  SPDR Bloomberg Barclays High Yield Bond ETF                          866                        82,045
        Total Mutual Funds                        949,185
Telecommunication Services - 8.0%      
  AT & T, Inc.                      29,570                      861,966
  Centurylink, Inc.                        6,900                        65,274
  Consolidated Communications                        9,600                        43,680
  Verizon Communications                      24,540                   1,318,534
        Total Telecommunication Services                     2,289,454
Utilities - 36.7%      
  Alliant Energy Corp.                      14,900                      719,521
  American Electric Power, Inc.                        8,240                      659,035
  Centerpoint Energy, Inc.                      19,800                      305,910
  Consolidated Edison                        8,100                      631,800
  Dominion Energy, Inc.                      10,900                      786,871
  Duke Energy Corp.                        9,095                      735,604
  Entergy Corp.                        4,170                      391,855
  Eversource Energy                      10,481                      819,719
  Exelon Corp.                        6,500                      239,265
  Firstenergy Corp                        7,605                      304,732
  NextEra Energy, Inc.                        3,170                      762,765
  OGE Energy Corp. Co.                      11,200                      344,176
  Oneok Inc. Co.                        1,600                        34,896
  PPL Corporation                      13,945                      344,163
  Public Service Enterprise Group, Inc.                      12,000                      538,920
  Sempra Corp                        1,740                      196,603
  Southern Company                      14,730                      797,482
  UGI Corp. New Com.                        4,611                      122,975
  WEC Energy Group, Inc.                      10,840                      955,329
  Xcel Energy, Inc.                      12,770                      770,031
        Total Utilities                   10,461,652
               
        Total U.S. Common Stock (Cost $31,861,715)      $        26,760,012
Cash Equivalents - 6.2%      
        Total Cash Equivalents (Cost $1,776,938)      $          1,776,938
               
        TOTAL INVESTMENT IN SECURITIES (Cost $33,638,653)      $        28,536,950

 

 

 

 

FINANCIAL ACCOUNTING STANDARDS NO. 157

The Company adopted the provisions of the Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157, Fair Value Measurements (“FAS 157”), effective January 1, 2008. In accordance with FAS 157, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FAS 157 also establishes a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data from sources independent of the Company. Unobservable inputs reflect the Company’s own assumption about the assumptions that market participants would use in pricing the asset or liability developed on the best information available in the circumstance.

The fair value hierarchy is categorized into three levels based on the inputs as follows

Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access.

Level 2 - Observable inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment spreads, credit risk, yield curves, default rates and similar data.

Level 3 - Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Company's own assumptions about the assumption a market participant would use in valuing the asset or liability, and would be based on the best information available.

The following table presents information about the Company’s assets measured at fair market value as of March 31, 2017:

 

Investments in Securities Level 1   Level 2   Level 3 Balance
             
US Corporate Bonds     0     0
US Common Stock 26,760,0212         26,760,012
Cash Equivalents 1,776,938         1,776,938
TOTALS           $28,536,950

 

 

ITEM 2. CONTROLS AND PROCEDURES.

(a) The registrant’s President and Chief Financial Officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective at the reasonable assurance level based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b) There were no changes in the registrant’s internal controls over financial reporting that occurred during the fiscal quarter of the period that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

ITEM 3. EXHIBITS.

The following exhibits are attached to this Form N-Q:

 

     
EXHIBIT NO.   DESCRIPTION OF EXHIBIT
3 (a) (1)   Certification of President
   
3 (a) (2)   Certification of Chief Financial Officer

 

 

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.

 

     
(Registrant): Kavilco Incorporated
   
By:   /s/ Louis L. Jones, Sr.
    Louis L. Jones, Sr.
    President

Date:April 22, 2020

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/ Scott Burns
    Scott Burns
    Chief Financial Officer
 
Date: April 22, 2020