N-Q 1 a09-36937_1nq.htm N-Q

 

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

811-7994

 

 

Western Asset Global Partners Income Fund Inc.

(Exact name of registrant as specified in charter)

 

55 Water Street, New York, NY

 

10041

(Address of principal executive offices)

 

(Zip code)

 

Robert I. Frenkel, Esq.

Legg Mason & Co., LLC

100 First Stamford Place

Stamford, CT 06902

(Name and address of agent for service)

 

Registrant’s telephone number, including area code:

(888) 777-0102

 

 

Date of fiscal year end:

August 31

 

 

 

 

Date of reporting period:

November 30, 2009

 

 



 

ITEM 1.                  SCHEDULE OF INVESTMENTS.

 



 

WESTERN ASSET

GLOBAL PARTNERS INCOME FUND INC.

 

FORM N-Q

NOVEMBER 30, 2009

 



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

CORPORATE BONDS & NOTES — 73.1%

 

 

 

CONSUMER DISCRETIONARY — 12.1%

 

 

 

Auto Components — 0.5%

 

 

 

110,000

 

 

 

Affinia Group Inc., Senior Secured Notes, 10.750% due 8/15/16 (a)

 

$

119,900

 

 

 

 

 

Allison Transmission Inc., Senior Notes:

 

 

 

105,000

 

 

 

11.000% due 11/1/15 (a)

 

109,200

 

434,100

 

 

 

11.250% due 11/1/15 (a)(b)

 

447,123

 

245,000

 

 

 

TRW Automotive Inc., Senior Notes, 8.875% due 12/1/17 (a)

 

245,612

 

 

 

 

 

Visteon Corp., Senior Notes:

 

 

 

159,000

 

 

 

8.250% due 8/1/10 (c)

 

51,675

 

297,000

 

 

 

12.250% due 12/31/16 (a)(c)

 

176,715

 

 

 

 

 

Total Auto Components

 

1,150,225

 

Automobiles — 0.3%

 

 

 

 

 

 

 

Motors Liquidation Co.:

 

 

 

1,645,000

 

 

 

Senior Debentures, 8.375% due 7/15/33 (c)

 

370,125

 

930,000

 

 

 

Senior Notes, 7.200% due 1/15/11 (c)

 

202,275

 

 

 

 

 

Total Automobiles

 

572,400

 

Diversified Consumer Services — 0.2%

 

 

 

130,000

 

 

 

Service Corp. International, Senior Notes, 7.500% due 4/1/27

 

115,050

 

415,000

 

 

 

Stonemor Operating LLC/Cornerstone Family Services/Osiris Holdings, Senior Notes, 10.250% due 12/1/17 (a)

 

415,000

 

 

 

 

 

Total Diversified Consumer Services

 

530,050

 

Hotels, Restaurants & Leisure — 4.3%

 

 

 

355,000

 

 

 

Ameristar Casinos Inc., Senior Notes, 9.250% due 6/1/14 (a)

 

363,875

 

 

 

 

 

Boyd Gaming Corp., Senior Subordinated Notes:

 

 

 

90,000

 

 

 

6.750% due 4/15/14

 

79,200

 

100,000

 

 

 

7.125% due 2/1/16

 

82,000

 

605,000

 

 

 

Denny’s Holdings Inc., Senior Notes, 10.000% due 10/1/12

 

620,125

 

480,000

 

 

 

Downstream Development Quapaw, Senior Notes,
12.000% due 10/15/15 (a)

 

388,800

 

 

 

 

 

El Pollo Loco Inc.:

 

 

 

835,000

 

 

 

Senior Notes, 11.750% due 11/15/13

 

755,675

 

185,000

 

 

 

Senior Secured Notes, 11.750% due 12/1/12 (a)

 

191,938

 

 

 

 

 

Harrah’s Operating Co. Inc.:

 

 

 

930,000

 

 

 

Senior Notes, 10.750% due 2/1/16

 

720,750

 

 

 

 

 

Senior Secured Notes:

 

 

 

195,000

 

 

 

10.000% due 12/15/15 (a)

 

155,025

 

420,000

 

 

 

11.250% due 6/1/17 (a)

 

431,550

 

660,000

 

 

 

Harrah’s Operating Escrow LLC/Harrahs Escrow Corp., Senior Secured Notes, 11.250% due 6/1/17 (a)

 

676,500

 

440,000

 

 

 

Indianapolis Downs LLC & Capital Corp., Senior Secured Notes,
11.000% due 11/1/12 (a)

 

270,050

 

1,110,000

 

 

 

Inn of the Mountain Gods Resort & Casino, Senior Notes,
12.000% due 11/15/10 (c)(d)

 

449,550

 

270,000

 

 

 

Landry’s Restaurants Inc., Senior Secured Notes, 11.625% due 12/1/15 (a)

 

275,400

 

 

 

 

 

MGM MIRAGE Inc.:

 

 

 

 

 

 

 

Senior Notes:

 

 

 

20,000

 

 

 

8.500% due 9/15/10

 

19,950

 

595,000

 

 

 

11.375% due 3/1/18 (a)

 

516,162

 

 

 

 

 

Senior Secured Notes:

 

 

 

40,000

 

 

 

10.375% due 5/15/14 (a)

 

42,900

 

95,000

 

 

 

11.125% due 11/15/17 (a)

 

104,500

 

840,000

 

 

 

Senior Subordinated Notes, 8.375% due 2/1/11

 

800,100

 

 

 

 

 

Mohegan Tribal Gaming Authority:

 

 

 

380,000

 

 

 

Senior Secured Notes, 11.500% due 11/1/17 (a)

 

374,300

 

 

See Notes to Schedule of Investments.

 

1



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Hotels, Restaurants & Leisure — 4.3% (continued)

 

 

 

55,000

 

 

 

Senior Subordinated Notes, 6.875% due 2/15/15

 

$

33,825

 

410,000

 

 

 

NCL Corp. Ltd., Senior Secured Notes, 11.750% due 11/15/16 (a)

 

406,412

 

120,000

 

 

 

Penn National Gaming Inc., Senior Subordinated Notes,
8.750% due 8/15/19 (a)

 

120,000

 

440,000

 

 

 

Pinnacle Entertainment Inc., Senior Notes, 8.625% due 8/1/17 (a)

 

440,000

 

695,000

 

 

 

Sbarro Inc., Senior Notes, 10.375% due 2/1/15

 

552,525

 

 

 

 

 

Snoqualmie Entertainment Authority, Senior Secured Notes:

 

 

 

290,000

 

 

 

4.680% due 2/1/14 (a)(e)

 

149,350

 

10,000

 

 

 

9.125% due 2/1/15 (a)

 

5,250

 

 

 

 

 

Station Casinos Inc.:

 

 

 

 

 

 

 

Senior Notes:

 

 

 

735,000

 

 

 

6.000% due 4/1/12 (c)(d)

 

158,025

 

185,000

 

 

 

7.750% due 8/15/16 (c)(d)

 

39,775

 

 

 

 

 

Senior Subordinated Notes:

 

 

 

475,000

 

 

 

6.500% due 2/1/14 (c)(d)

 

7,125

 

50,000

 

 

 

6.625% due 3/15/18 (c)(d)

 

750

 

115,000

 

 

 

Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp., Secured Notes, 7.875% due 11/1/17 (a)

 

115,000

 

 

 

 

 

Total Hotels, Restaurants & Leisure

 

9,346,387

 

Household Durables — 0.5%

 

 

 

 

 

 

 

American Greetings Corp., Senior Notes:

 

 

 

140,000

 

 

 

7.375% due 6/1/16

 

135,800

 

15,000

 

 

 

7.375% due 6/1/16

 

13,800

 

375,000

 

 

 

Norcraft Cos. LP/Norcraft Finance Corp., Senior Subordinated Notes, 9.000% due 11/1/11 (d)

 

376,875

 

695,000

 

 

 

Norcraft Holdings LP/Norcraft Capital Corp., Senior Discount Notes, 9.750% due 9/1/12 (d)

 

663,725

 

 

 

 

 

Total Household Durables

 

1,190,200

 

Leisure Equipment & Products — 0.1%

 

 

 

85,000

 

 

 

Easton-Bell Sports Inc., Senior Secured Notes, 9.750% due 12/1/16 (a)

 

87,019

 

85,000

 

 

 

WMG Acquisition Corp., Senior Secured Notes, 9.500% due 6/15/16 (a)

 

91,800

 

 

 

 

 

Total Leisure Equipment & Products

 

178,819

 

Media — 4.6%

 

 

 

 

 

 

 

Affinion Group Inc.:

 

 

 

370,000

 

 

 

Senior Notes, 10.125% due 10/15/13

 

379,250

 

 

 

 

 

Senior Subordinated Notes:

 

 

 

370,000

 

 

 

10.125% due 10/15/13

 

379,250

 

935,000

 

 

 

11.500% due 10/15/15

 

977,075

 

 

 

 

 

CCH I LLC/CCH I Capital Corp.:

 

 

 

270,000

 

 

 

Senior Notes, 11.000% due 10/1/15 (c)(d)

 

55,688

 

1,989,000

 

 

 

Senior Secured Notes, 11.000% due 10/1/15 (c)(d)

 

420,176

 

27,381

 

 

 

CCH II LLC/CCH II Capital Corp., Senior Notes, 13.500% due 11/30/16

 

32,036

 

 

 

 

 

Cengage Learning Acquisitions Inc.:

 

 

 

70,000

 

 

 

Senior Notes, 10.500% due 1/15/15 (a)

 

65,275

 

450,000

 

 

 

Senior Subordinated Notes, 13.250% due 7/15/15 (a)

 

430,313

 

130,000

 

 

 

Charter Communications Holdings LLC, Senior Discount Notes, 12.125% due 1/15/12 (c)(d)(f)

 

325

 

160,000

 

 

 

Charter Communications Holdings LLC/Charter Communications Holdings Capital Corp., Senior Discount Notes,
11.750% due 5/15/11 (c)(d)

 

1,600

 

1,010,000

 

 

 

Charter Communications Inc., Senior Secured Notes,
10.875% due 9/15/14 (a)

 

1,129,937

 

 

 

 

 

CSC Holdings Inc., Senior Notes:

 

 

 

345,000

 

 

 

6.750% due 4/15/12

 

357,938

 

560,000

 

 

 

8.500% due 6/15/15 (a)

 

591,500

 

 

 

 

 

DISH DBS Corp., Senior Notes:

 

 

 

 

See Notes to Schedule of Investments.

 

2



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Media — 4.6% (continued)

 

 

 

280,000

 

 

 

6.625% due 10/1/14

 

$

275,100

 

825,000

 

 

 

7.875% due 9/1/19

 

835,312

 

520,000

 

 

 

Globo Communicacoes e Participacoes SA, Bonds, 7.250% due 4/26/22 (a)

 

542,100

 

 

 

 

 

Grupo Televisa SA:

 

 

 

950,000

 

 

 

Senior Bonds, 6.625% due 1/15/40 (a)

 

936,937

 

440,000

 

 

 

Senior Notes, 6.625% due 3/18/25

 

444,034

 

1,145,000

 

 

 

Idearc Inc., Senior Notes, 8.000% due 11/15/16 (c)

 

74,425

 

400,000

 

 

 

NET Servicos de Comunicacao SA, Bonds, 7.500% due 1/27/20 (a)

 

402,500

 

150,000

 

 

 

R.H. Donnelley Corp., Senior Notes, 8.875% due 1/15/16 (c)

 

14,250

 

400,000

 

 

 

Sinclair Broadcast Group Inc., Senior Subordinated Notes,
8.000% due 3/15/12

 

385,500

 

320,000

 

 

 

Sun Media Corp., Senior Notes, 7.625% due 2/15/13

 

288,000

 

540,000

 

 

 

Univision Communications Inc., Senior Secured Notes,
12.000% due 7/1/14 (a)

 

589,950

 

180,000

 

 

 

UPC Holding BV, Senior Notes, 9.875% due 4/15/18 (a)

 

188,100

 

 

 

 

 

Virgin Media Finance PLC:

 

 

 

140,000

 

 

 

Senior Bonds, 9.500% due 8/15/16

 

147,700

 

150,000

 

 

 

Senior Notes, 9.125% due 8/15/16

 

154,875

 

 

 

 

 

Total Media

 

10,099,146

 

Multiline Retail — 0.6%

 

 

 

42,000

 

 

 

Dollar General Corp., Senior Notes, 10.625% due 7/15/15

 

45,990

 

 

 

 

 

Neiman Marcus Group Inc.:

 

 

 

1,058,307

 

 

 

Senior Notes, 9.750% due 10/15/15 (b)

 

960,414

 

290,000

 

 

 

Senior Secured Notes, 7.125% due 6/1/28

 

247,950

 

 

 

 

 

Total Multiline Retail

 

1,254,354

 

Specialty Retail — 0.7%

 

 

 

425,000

 

 

 

Blockbuster Inc., Senior Secured Notes, 11.750% due 10/1/14 (a)

 

399,500

 

120,000

 

 

 

Eye Care Centers of America, Senior Subordinated Notes, 10.750% due 2/15/15

 

123,900

 

40,000

 

 

 

Limited Brands Inc., Senior Notes, 8.500% due 6/15/19 (a)

 

42,400

 

865,000

 

 

 

Michaels Stores Inc., Senior Notes, 10.000% due 11/1/14

 

886,625

 

 

 

 

 

Total Specialty Retail

 

1,452,425

 

Textiles, Apparel & Luxury Goods — 0.3%

 

 

 

695,000

 

 

 

Oxford Industries Inc., Senior Secured Notes, 11.375% due 7/15/15

 

761,025

 

 

 

 

 

TOTAL CONSUMER DISCRETIONARY

 

26,535,031

 

CONSUMER STAPLES — 0.9%

 

 

 

Food Products — 0.3%

 

 

 

280,000

 

 

 

Del Monte Corp., Senior Subordinated Notes, 7.500% due 10/15/19 (a)

 

284,200

 

200,000

 

 

 

Dole Food Co. Inc., Senior Secured Notes, 8.000% due 10/1/16 (a)

 

203,000

 

290,000

 

 

 

Smithfield Foods Inc., Senior Secured Notes, 10.000% due 7/15/14 (a)

 

305,225

 

 

 

 

 

Total Food Products

 

792,425

 

Household Products — 0.3%

 

 

 

300,000

 

 

 

American Achievement Corp., Senior Subordinated Notes,
8.250% due 4/1/12 (a)

 

299,250

 

345,000

 

 

 

Reynolds Group DL Escrow Inc./Reynolds Group Escrow LLC, Senior Secured Notes, 7.750% due 10/15/16 (a)

 

350,175

 

 

 

 

 

Total Household Products

 

649,425

 

Personal Products — 0.1%

 

 

 

220,000

 

 

 

Revlon Consumer Products Corp., Senior Secured Notes,
9.750% due 11/15/15 (a)

 

223,575

 

 

See Notes to Schedule of Investments.

 

3



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Tobacco — 0.2%

 

 

 

 

 

 

 

Alliance One International Inc., Senior Notes:

 

 

 

220,000

 

 

 

10.000% due 7/15/16 (a)

 

$

232,100

 

180,000

 

 

 

10.000% due 7/15/16 (a)

 

189,900

 

 

 

 

 

Total Tobacco

 

422,000

 

 

 

 

 

TOTAL CONSUMER STAPLES

 

2,087,425

 

ENERGY — 14.3%

 

 

 

Energy Equipment & Services — 0.8%

 

 

 

380,000

 

 

 

Basic Energy Services Inc., Senior Secured Notes, 11.625% due 8/1/14

 

404,700

 

355,000

 

 

 

Complete Production Services Inc., Senior Notes, 8.000% due 12/15/16

 

349,675

 

260,000

 

 

 

Hercules Offshore LLC, Senior Secured Notes, 10.500% due 10/15/17 (a)

 

263,900

 

425,000

 

 

 

Key Energy Services Inc., Senior Notes, 8.375% due 12/1/14

 

417,031

 

160,000

 

 

 

North American Energy Alliance LLC/North American Energy Alliance Finance Corp., Senior Secured Notes, 10.875% due 6/1/16 (a)

 

167,600

 

70,000

 

 

 

Southern Natural Gas Co., Senior Notes, 8.000% due 3/1/32

 

82,140

 

 

 

 

 

Total Energy Equipment & Services

 

1,685,046

 

Oil, Gas & Consumable Fuels — 13.5%

 

 

 

110,000

 

 

 

Adaro Indonesia PT, Notes, 7.625% due 10/22/19 (a)

 

108,075

 

340,000

 

 

 

Arch Coal Inc., Senior Notes, 8.750% due 8/1/16 (a)

 

351,900

 

490,000

 

 

 

Atlas Pipeline Partners LP, Senior Notes, 8.750% due 6/15/18

 

399,350

 

1,675,000

 

 

 

Belden & Blake Corp., Secured Notes, 8.750% due 7/15/12

 

1,570,312

 

320,000

 

 

 

Berry Petroleum Co., Senior Notes, 10.250% due 6/1/14

 

344,000

 

 

 

 

 

Chesapeake Energy Corp., Senior Notes:

 

 

 

60,000

 

 

 

6.375% due 6/15/15

 

56,100

 

990,000

 

 

 

6.625% due 1/15/16

 

935,550

 

250,000

 

 

 

6.875% due 1/15/16

 

241,250

 

45,000

 

 

 

7.250% due 12/15/18

 

43,538

 

500,000

 

 

 

Compagnie Generale de Geophysique SA, Senior Notes,
7.750% due 5/15/17

 

496,875

 

985,816

 

 

 

Corral Petroleum Holdings AB, Senior Secured Subordinated Bonds, 1.784% due 4/15/10 (a)(b)(e)

 

813,299

 

1,000,000

 

 

 

Ecopetrol SA, Senior Notes, 7.625% due 7/23/19

 

1,133,800

 

 

 

 

 

El Paso Corp.:

 

 

 

860,000

 

 

 

Medium-Term Notes, 7.800% due 8/1/31

 

804,994

 

635,000

 

 

 

Notes, 7.875% due 6/15/12

 

654,050

 

90,000

 

 

 

Encore Acquisition Co., Senior Subordinated Notes, 9.500% due 5/1/16

 

95,400

 

 

 

 

 

Enterprise Products Operating LLP:

 

 

 

350,000

 

 

 

Junior Subordinated Notes, 8.375% due 8/1/66 (e)

 

341,238

 

260,000

 

 

 

Subordinated Notes, 7.034% due 1/15/68 (e)

 

239,233

 

340,000

 

 

 

EXCO Resources Inc., Senior Notes, 7.250% due 1/15/11

 

340,000

 

400,000

 

 

 

Forest Oil Corp., Senior Notes, 8.500% due 2/15/14 (a)

 

411,000

 

795,000

 

 

 

International Coal Group Inc., Senior Notes, 10.250% due 7/15/14

 

775,125

 

1,530,000

 

 

 

KazMunaiGaz Finance Sub B.V., Senior Notes, 8.375% due 7/2/13 (a)

 

1,617,975

 

 

 

 

 

Mariner Energy Inc., Senior Notes:

 

 

 

260,000

 

 

 

7.500% due 4/15/13

 

256,100

 

120,000

 

 

 

8.000% due 5/15/17

 

114,000

 

330,000

 

 

 

MarkWest Energy Partners LP/MarkWest Energy Finance Corp., Senior Notes, 8.750% due 4/15/18

 

334,125

 

490,000

 

 

 

Murray Energy Corp., Senior Secured Notes, 10.250% due 10/15/15 (a)

 

482,650

 

 

 

 

 

OPTI Canada Inc., Senior Secured Notes:

 

 

 

280,000

 

 

 

9.000% due 12/15/12 (a)

 

280,700

 

155,000

 

 

 

7.875% due 12/15/14

 

124,000

 

205,000

 

 

 

8.250% due 12/15/14

 

165,025

 

300,000

 

 

 

Parker Drilling Co., Senior Notes, 9.625% due 10/1/13

 

307,500

 

870,000

 

 

 

Petrobras International Finance Co., Senior Notes, 6.875% due 1/20/40

 

900,167

 

 

See Notes to Schedule of Investments.

 

4



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Oil, Gas & Consumable Fuels — 13.5% (continued)

 

 

 

470,000

 

 

 

Petrohawk Energy Corp., Senior Notes, 9.125% due 7/15/13

 

$

489,975

 

4,280,000

 

 

 

Petroleos Mexicanos, Notes, 8.000% due 5/3/19

 

5,050,400

 

390,000

 

 

 

Petroleum Co. of Trinidad & Tobago Ltd., Senior Notes, 9.750% due 8/14/19 (a)

 

441,675

 

 

 

 

 

Petronas Capital Ltd.:

 

 

 

2,470,000

 

 

 

5.250% due 8/12/19 (a)

 

2,554,963

 

879,000

 

 

 

5.250% due 8/12/19 (a)

 

902,686

 

470,000

 

 

 

Petroplus Finance Ltd., Senior Notes, 6.750% due 5/1/14 (a)

 

444,150

 

 

 

 

 

Plains Exploration & Production Co., Senior Notes:

 

 

 

325,000

 

 

 

10.000% due 3/1/16

 

350,187

 

330,000

 

 

 

8.625% due 10/15/19

 

332,475

 

 

 

 

 

Quicksilver Resources Inc., Senior Notes:

 

 

 

200,000

 

 

 

8.250% due 8/1/15

 

200,000

 

240,000

 

 

 

11.750% due 1/1/16

 

267,900

 

 

 

 

 

Ras Laffan Liquefied Natural Gas Co., Ltd. III, Senior Secured Bonds:

 

 

 

600,000

 

 

 

5.500% due 9/30/14 (a)

 

633,074

 

570,000

 

 

 

6.750% due 9/30/19 (a)

 

630,046

 

 

 

 

 

SandRidge Energy Inc., Senior Notes:

 

 

 

360,000

 

 

 

8.625% due 4/1/15 (b)

 

346,950

 

445,000

 

 

 

8.000% due 6/1/18 (a)

 

421,637

 

1,090,000

 

 

 

SemGroup LP, Senior Notes, 8.750% due 11/15/15 (a)(c)(d)

 

81,750

 

445,000

 

 

 

Teekay Corp., Senior Notes, 8.875% due 7/15/11

 

460,575

 

95,000

 

 

 

Tennessee Gas Pipeline Co., Senior Notes, 8.000% due 2/1/16

 

108,775

 

380,000

 

 

 

VeraSun Energy Corp., Senior Notes, 9.375% due 6/1/17 (c)

 

57,000

 

330,000

 

 

 

W&T Offshore Inc., Senior Notes, 8.250% due 6/15/14 (a)

 

313,500

 

725,000

 

 

 

Whiting Petroleum Corp., Senior Subordinated Notes, 7.000% due 2/1/14

 

728,625

 

 

 

 

 

Total Oil, Gas & Consumable Fuels

 

29,553,674

 

 

 

 

 

TOTAL ENERGY

 

31,238,720

 

FINANCIALS — 10.2%

 

 

 

Capital Markets — 0.0%

 

 

 

385,000

 

 

 

Lehman Brothers Holdings Inc., Medium-Term Notes, Senior Notes, 5.250% due 2/6/12 (c)

 

77,000

 

Commercial Banks — 4.0%

 

 

 

300,000

 

 

 

BAC Capital Trust VI, Capital Securities, Junior Subordinated Notes, 5.625% due 3/8/35

 

212,804

 

550,000

 

 

 

Credit Agricole SA, Subordinated Notes, 8.375% due 10/13/19 (a)(e)(g)

 

579,314

 

 

 

 

 

ICICI Bank Ltd., Subordinated Bonds:

 

 

 

186,000

 

 

 

6.375% due 4/30/22 (a)(e)

 

164,197

 

130,000

 

 

 

6.375% due 4/30/22 (a)(e)

 

114,598

 

390,000

 

 

 

Rabobank Nederland NV, Junior Subordinated Notes, 11.000% due 6/30/19 (a)(e)(g)

 

483,557

 

 

 

 

 

Royal Bank of Scotland Group PLC, Subordinated Notes:

 

 

 

205,000

 

 

 

5.000% due 11/12/13

 

183,772

 

90,000

 

 

 

5.050% due 1/8/15

 

80,861

 

 

 

 

 

RSHB Capital, Loan Participation Notes:

 

 

 

1,920,000

 

 

 

Notes, 9.000% due 6/11/14 (a)

 

2,159,232

 

 

 

 

 

Secured Notes:

 

 

 

731,000

 

 

 

7.175% due 5/16/13 (a)

 

773,471

 

810,000

 

 

 

7.125% due 1/14/14 (a)

 

857,466

 

530,000

 

 

 

7.125% due 1/14/14 (a)

 

552,843

 

100,000

 

 

 

Senior Notes, 6.299% due 5/15/17 (a)

 

99,125

 

 

 

 

 

Senior Secured Notes:

 

 

 

120,000

 

 

 

7.175% due 5/16/13 (a)

 

126,000

 

1,686,000

 

 

 

6.299% due 5/15/17 (a)

 

1,686,843

 

 

See Notes to Schedule of Investments.

 

5



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Commercial Banks — 4.0% (continued)

 

 

 

600,000

 

 

 

Wells Fargo Capital XIII, Medium-Term Notes, 7.700% due 3/26/13 (e)(g)

 

$

549,000

 

170,000

 

 

 

Wells Fargo Capital XV, Junior Subordinated Notes,
9.750% due 9/26/13 (e)(g)

 

181,050

 

 

 

 

 

Total Commercial Banks

 

8,804,133

 

Consumer Finance — 2.8%

 

 

 

770,000

 

 

 

FMG Finance Pty Ltd., Senior Secured Notes, 10.625% due 9/1/16 (a)

 

843,150

 

 

 

 

 

Ford Motor Credit Co.:

 

 

 

295,000

 

 

 

Notes, 7.000% due 10/1/13

 

288,219

 

240,000

 

 

 

Senior Notes, 9.875% due 8/10/11

 

249,169

 

 

 

 

 

Ford Motor Credit Co., LLC, Senior Notes:

 

 

 

325,000

 

 

 

7.500% due 8/1/12

 

322,266

 

2,680,000

 

 

 

12.000% due 5/15/15

 

3,091,852

 

 

 

 

 

GMAC LLC:

 

 

 

1,409,000

 

 

 

Senior Notes, 8.000% due 11/1/31 (a)

 

1,222,308

 

43,000

 

 

 

Subordinated Notes, 8.000% due 12/31/18 (a)

 

36,120

 

 

 

 

 

Total Consumer Finance

 

6,053,084

 

Diversified Financial Services — 2.3%

 

 

 

310,000

 

 

 

Capital One Capital V, Junior Subordinated Notes, Cumulative Trust Preferred Securities, 10.250% due 8/15/39

 

341,850

 

630,000

 

 

 

CCM Merger Inc., Notes, 8.000% due 8/1/13 (a)

 

513,450

 

 

 

 

 

CIT Group Inc., Senior Notes:

 

 

 

140,000

 

 

 

4.125% due 11/3/09 (c)

 

100,100

 

480,000

 

 

 

0.420% due 3/12/10 (c)(e)

 

339,000

 

130,000

 

 

 

Countrywide Capital III, Junior Subordinated Notes, 8.050% due 6/15/27

 

121,498

 

260,000

 

 

 

Galaxy Entertainment Finance Co., Ltd., Senior Notes, 6.218% due 12/15/10 (a)(e)

 

258,700

 

55,000

 

 

 

International Lease Finance Corp., Medium-Term Notes,
Senior Notes, 5.750% due 6/15/11

 

51,129

 

50,000

 

 

 

JPMorgan Chase & Co., Junior Subordinated Notes,
7.900% due 4/30/18 (e)(g)

 

49,048

 

 

 

 

 

Leucadia National Corp., Senior Notes:

 

 

 

380,000

 

 

 

8.125% due 9/15/15

 

386,650

 

140,000

 

 

 

7.125% due 3/15/17

 

132,125

 

 

 

 

 

TNK-BP Finance SA, Senior Notes:

 

 

 

560,000

 

 

 

7.500% due 7/18/16 (a)

 

562,800

 

100,000

 

 

 

7.500% due 7/18/16 (a)

 

101,500

 

1,160,000

 

 

 

7.875% due 3/13/18 (a)

 

1,165,800

 

300,000

 

 

 

UPC Germany GmbH, Senior Secured Bonds, 8.125% due 12/1/17 (a)

 

301,500

 

610,000

 

 

 

Vanguard Health Holdings Co., I LLC, Senior Discount Notes,
11.250% due 10/1/15

 

643,550

 

 

 

 

 

Total Diversified Financial Services

 

5,068,700

 

Insurance — 0.7%

 

 

 

 

 

 

 

American International Group Inc.:

 

 

 

255,000

 

 

 

Junior Subordinated Notes, 8.175% due 5/15/58 (e)

 

147,263

 

 

 

 

 

Medium-Term Notes, Senior Notes:

 

 

 

630,000

 

 

 

5.450% due 5/18/17

 

479,988

 

170,000

 

 

 

5.850% due 1/16/18

 

129,257

 

 

 

 

 

Senior Notes:

 

 

 

100,000

 

 

 

5.600% due 10/18/16

 

77,011

 

450,000

 

 

 

8.250% due 8/15/18

 

389,290

 

250,000

 

 

 

MetLife Capital Trust IV, Junior Subordinated Notes,
7.875% due 12/15/37(a)

 

240,000

 

 

 

 

 

Total Insurance

 

1,462,809

 

 

See Notes to Schedule of Investments.

 

6



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Real Estate Investment Trusts (REITs) — 0.1%

 

 

 

120,000

 

 

 

Host Hotels & Resorts, LP, Senior Notes, 6.375% due 3/15/15

 

$

113,700

 

120,000

 

 

 

Ventas Realty LP/Ventas Capital Corp., Senior Notes, 6.500% due 6/1/16

 

114,000

 

 

 

 

 

Total Real Estate Investment Trusts (REITs)

 

227,700

 

Real Estate Management & Development — 0.3%

 

 

 

174,200

 

 

 

Ashton Woods USA LLC, Ashton Woods Finance Co., Senior Subordinated Notes, step bond to yield 23.715% due 6/30/15 (a)(d)(f)

 

65,325

 

20,000

 

 

 

Forest City Enterprises Inc., Senior Notes, 7.625% due 6/1/15

 

17,100

 

 

 

 

 

Realogy Corp.:

 

 

 

690,000

 

 

 

Senior Notes, 10.500% due 4/15/14

 

558,900

 

58,632

 

 

 

Senior Toggle Notes, 11.750% due 4/15/14 (b)

 

44,854

 

 

 

 

 

Total Real Estate Management & Development

 

686,179

 

 

 

 

 

TOTAL FINANCIALS

 

22,379,605

 

HEALTH CARE — 3.8%

 

 

 

Biotechnology — 0.1%

 

 

 

230,000

 

 

 

Talecris Biotherapeutics Holdings Corp., Senior Notes,
7.750% due 11/15/16 (a)

 

232,300

 

Health Care Equipment & Supplies — 0.3%

 

 

 

 

 

 

 

Biomet Inc.:

 

 

 

190,000

 

 

 

Senior Notes, 10.000% due 10/15/17

 

201,875

 

415,000

 

 

 

Senior Toggle Notes, 10.375% due 10/15/17 (b)

 

447,163

 

 

 

 

 

Total Health Care Equipment & Supplies

 

649,038

 

Health Care Providers & Services — 3.4%

 

 

 

980,000

 

 

 

CRC Health Corp., Senior Subordinated Notes, 10.750% due 2/1/16

 

779,100

 

 

 

 

 

HCA Inc.:

 

 

 

400,000

 

 

 

Debentures, 7.500% due 12/15/23

 

354,000

 

4,000

 

 

 

Senior Notes, 6.250% due 2/15/13

 

3,870

 

 

 

 

 

Senior Secured Notes:

 

 

 

230,000

 

 

 

9.250% due 11/15/16

 

243,800

 

1,375,000

 

 

 

9.625% due 11/15/16 (b)

 

1,469,531

 

975,000

 

 

 

IASIS Healthcare LLC/IASIS Capital Corp., Senior Subordinated Notes, 8.750% due 6/15/14

 

996,938

 

 

 

 

 

Tenet Healthcare Corp.:

 

 

 

 

 

 

 

Senior Notes:

 

 

 

432,000

 

 

 

9.000% due 5/1/15 (a)

 

459,000

 

981,000

 

 

 

10.000% due 5/1/18 (a)

 

1,096,267

 

11,000

 

 

 

Senior Secured Notes, 8.875% due 7/1/19 (a)

 

11,825

 

 

 

 

 

Universal Hospital Services Inc., Senior Secured Notes:

 

 

 

130,000

 

 

 

4.635% due 6/1/15 (e)

 

109,850

 

635,000

 

 

 

8.500% due 6/1/15 (b)

 

628,650

 

999,000

 

 

 

US Oncology Holdings Inc., Senior Notes, 7.178% due 3/15/12 (b)(e)

 

904,095

 

445,000

 

 

 

US Oncology Inc., Senior Secured Notes, 9.125% due 8/15/17 (a)

 

466,138

 

 

 

 

 

Total Health Care Providers & Services

 

7,523,064

 

Pharmaceuticals — 0.0%

 

 

 

1,515,000

 

 

 

Leiner Health Products Inc., Senior Subordinated Notes, 11.000% due 6/1/12 (c)(d)

 

2,045

 

 

 

 

 

TOTAL HEALTH CARE

 

8,406,447

 

INDUSTRIALS — 7.4%

 

 

 

Aerospace & Defense — 0.9%

 

 

 

50,000

 

 

 

Freedom Group Inc., Senior Secured Notes, 10.250% due 8/1/15 (a)

 

53,688

 

1,714,573

 

 

 

Hawker Beechcraft Acquisition Co., Senior Notes, 8.875% due 4/1/15 (b)

 

1,157,337

 

 

See Notes to Schedule of Investments.

 

7



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Aerospace & Defense — 0.9% (continued)

 

 

 

215,000

 

 

 

L-3 Communications Corp., Senior Subordinated Notes,
6.375% due 10/15/15

 

$

212,581

 

480,000

 

 

 

TransDigm Inc., Senior Subordinated Notes, 7.750% due 7/15/14 (a)

 

489,600

 

 

 

 

 

Total Aerospace & Defense

 

1,913,206

 

Airlines — 1.4%

 

 

 

110,000

 

 

 

American Airlines Inc., Senior Secured Notes, 10.500% due 10/15/12 (a)

 

111,650

 

 

 

 

 

Continental Airlines Inc.:

 

 

 

5,000

 

 

 

9.250% due 5/10/17

 

5,063

 

 

 

 

 

Pass-Through Certificates:

 

 

 

142,719

 

 

 

8.312% due 4/2/11

 

132,729

 

230,000

 

 

 

7.339% due 4/19/14

 

205,562

 

1,500,000

 

 

 

DAE Aviation Holdings Inc., Senior Notes, 11.250% due 8/1/15 (a)

 

1,245,000

 

 

 

 

 

Delta Air Lines Inc.:

 

 

 

 

 

 

 

Pass-Through Certificates:

 

 

 

500,000

 

 

 

7.711% due 3/18/13

 

485,000

 

294,455

 

 

 

8.954% due 8/10/14 (f)

 

257,648

 

180,000

 

 

 

Pass-Through Certificates/Subordinated Notes, 9.750% due 12/17/16

 

182,250

 

 

 

 

 

Senior Secured Notes:

 

 

 

185,000

 

 

 

9.500% due 9/15/14 (a)

 

188,700

 

200,000

 

 

 

12.250% due 3/15/15 (a)

 

186,000

 

 

 

 

 

Total Airlines

 

2,999,602

 

Building Products — 1.2%

 

 

 

 

 

 

 

Associated Materials Inc.:

 

 

 

1,350,000

 

 

 

Senior Discount Notes, 11.250% due 3/1/14

 

1,272,375

 

170,000

 

 

 

Senior Subordinated Notes, 9.750% due 4/15/12

 

172,762

 

375,000

 

 

 

Associated Materials LLC/Associated Materials Finance Inc., Senior Secured Notes, 9.875% due 11/15/16 (a)

 

393,750

 

428,000

 

 

 

GTL Trade Finance Inc., Senior Notes, 7.250% due 10/20/17 (a)

 

442,445

 

250,000

 

 

 

Nortek Inc., Senior Secured Notes, 10.000% due 12/1/13 (c)(d)

 

257,500

 

1,020,000

 

 

 

NTK Holdings Inc., Senior Discount Notes, 10.750% due 3/1/14 (c)(d)

 

45,900

 

60,000

 

 

 

USG Corp., Senior Notes, 9.750% due 8/1/14 (a)

 

63,150

 

 

 

 

 

Total Building Products

 

2,647,882

 

Commercial Services & Supplies — 1.2%

 

 

 

330,000

 

 

 

ACCO Brands Corp., Senior Secured Notes, 10.625% due 3/15/15 (a)

 

357,638

 

 

 

 

 

Altegrity Inc., Senior Subordinated Notes:

 

 

 

60,000

 

 

 

10.500% due 11/1/15 (a)

 

51,900

 

750,000

 

 

 

11.750% due 5/1/16 (a)

 

626,250

 

304,000

 

 

 

DynCorp International LLC/DIV Capital Corp., Senior Subordinated Notes, 9.500% due 2/15/13

 

308,560

 

205,000

 

 

 

Geo Group Inc., Senior Notes, 7.750% due 10/15/17 (a)

 

209,100

 

 

 

 

 

RSC Equipment Rental Inc.:

 

 

 

780,000

 

 

 

Senior Notes, 9.500% due 12/1/14

 

767,325

 

240,000

 

 

 

Senior Secured Notes, 10.000% due 7/15/17 (a)

 

259,800

 

 

 

 

 

Total Commercial Services & Supplies

 

2,580,573

 

Construction & Engineering — 0.3%

 

 

 

 

 

 

 

Odebrecht Finance Ltd.:

 

 

 

140,000

 

 

 

7.500% due 10/18/17 (a)

 

142,450

 

550,000

 

 

 

Senior Notes, 7.000% due 4/21/20 (a)

 

537,625

 

 

 

 

 

Total Construction & Engineering

 

680,075

 

Machinery — 0.1%

 

 

 

170,000

 

 

 

American Railcar Industries Inc., Senior Notes, 7.500% due 3/1/14

 

155,550

 

 

See Notes to Schedule of Investments.

 

8



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Marine — 0.2%

 

 

 

490,000

 

 

 

Trico Shipping AS, Senior Secured Notes, 11.875% due 11/1/14 (a)

 

$

499,188

 

Road & Rail — 1.6%

 

 

 

 

 

 

 

Kansas City Southern de Mexico, Senior Notes:

 

 

 

1,095,000

 

 

 

9.375% due 5/1/12

 

1,125,112

 

160,000

 

 

 

7.625% due 12/1/13

 

157,600

 

25,000

 

 

 

7.375% due 6/1/14

 

24,125

 

1,200,000

 

 

 

12.500% due 4/1/16

 

1,374,000

 

75,000

 

 

 

Kansas City Southern Railway, Senior Notes, 13.000% due 12/15/13

 

86,625

 

765,000

 

 

 

RailAmerica Inc., Senior Secured Notes, 9.250% due 7/1/17 (a)

 

803,250

 

 

 

 

 

Total Road & Rail

 

3,570,712

 

Trading Companies & Distributors — 0.5%

 

 

 

175,000

 

 

 

Ashtead Capital Inc., Notes, 9.000% due 8/15/16 (a)

 

172,375

 

175,000

 

 

 

Ashtead Holdings PLC, Senior Secured Notes, 8.625% due 8/1/15 (a)

 

172,375

 

345,000

 

 

 

H&E Equipment Services Inc., Senior Notes, 8.375% due 7/15/16

 

336,375

 

885,000

 

 

 

Penhall International Corp., Senior Secured Notes, 12.000% due 8/1/14 (a)(d)

 

491,175

 

 

 

 

 

Total Trading Companies & Distributors

 

1,172,300

 

Transportation Infrastructure — 0.0%

 

 

 

30,000

 

 

 

Swift Transportation Co., Senior Secured Notes, 8.023% due 5/15/15 (a)(e)

 

21,450

 

 

 

 

 

TOTAL INDUSTRIALS

 

16,240,538

 

INFORMATION TECHNOLOGY — 1.4%

 

 

 

Communications Equipment — 0.3%

 

 

 

880,000

 

 

 

Lucent Technologies Inc., Debentures, 6.450% due 3/15/29

 

682,000

 

IT Services — 0.8%

 

 

 

473,925

 

 

 

Ceridian Corp., Senior Notes, 12.250% due 11/15/15 (b)

 

447,859

 

1,500,000

 

 

 

First Data Corp., 5.625% due 11/1/11

 

1,241,250

 

 

 

 

 

Total IT Services

 

1,689,109

 

Semiconductors & Semiconductor Equipment — 0.3%

 

 

 

100,000

 

 

 

Advanced Micro Devices Inc., Senior Notes, 8.125% due 12/15/17 (a)

 

94,875

 

 

 

 

 

Freescale Semiconductor Inc.:

 

 

 

 

 

 

 

Senior Notes:

 

 

 

320,000

 

 

 

8.875% due 12/15/14

 

273,600

 

83,950

 

 

 

9.125% due 12/15/14 (b)

 

68,419

 

280,000

 

 

 

Senior Subordinated Notes, 10.125% due 12/15/16

 

198,100

 

 

 

 

 

Total Semiconductors & Semiconductor Equipment

 

634,994

 

 

 

 

 

TOTAL INFORMATION TECHNOLOGY

 

3,006,103

 

MATERIALS — 9.1%

 

 

 

Chemicals — 0.8%

 

 

 

345,000

 

 

 

Ashland Inc., Senior Notes, 9.125% due 6/1/17 (a)

 

371,737

 

750,000

 

 

 

FMC Finance III SA, Senior Notes, 6.875% due 7/15/17

 

746,250

 

150,000

 

 

 

Koppers Inc., Senior Notes, 7.875% due 12/1/19 (a)

 

150,750

 

275,000

 

 

 

Solutia Inc., Senior Notes, 8.750% due 11/1/17

 

288,063

 

215,000

 

 

 

Terra Capital Inc., Senior Notes, 7.750% due 11/1/19 (a)

 

228,975

 

 

 

 

 

Total Chemicals

 

1,785,775

 

Construction Materials — 0.1%

 

 

 

185,000

 

 

 

Headwaters Inc., Senior Secured Notes, 11.375% due 11/1/14 (a)

 

190,088

 

Containers & Packaging — 0.5%

 

 

 

225,000

 

 

 

Berry Plastics Escrow LLC/Berry Plastics Escrow Corp., Senior Secured Notes, 8.250% due 11/15/15 (a)

 

222,187

 

 

See Notes to Schedule of Investments.

 

9



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Containers & Packaging — 0.5% (continued)

 

 

 

145,000

 

 

 

BWAY Corp., Senior Subordinated Notes, 10.000% due 4/15/14 (a)

 

$

152,612

 

15,000

 

 

 

Graham Packaging Co. L.P., Senior Notes, 8.500% due 10/15/12

 

15,338

 

325,000

 

 

 

Radnor Holdings Inc., Senior Notes, 11.000% due 3/15/10 (c)(d)(f)

 

0

 

200,000

 

 

 

Rock-Tenn Co., Senior Notes, 9.250% due 3/15/16

 

216,000

 

410,000

 

 

 

Solo Cup Co., Senior Secured Notes, 10.500% due 11/1/13 (a)

 

433,575

 

 

 

 

 

Total Containers & Packaging

 

1,039,712

 

Metals & Mining — 5.0%

 

 

 

 

 

 

 

Evraz Group SA, Notes:

 

 

 

650,000

 

 

 

8.875% due 4/24/13 (a)

 

653,250

 

220,000

 

 

 

8.875% due 4/24/13 (a)

 

219,450

 

270,000

 

 

 

Gerdau Holdings Inc., Senior Notes, 7.000% due 1/20/20 (a)

 

269,190

 

990,000

 

 

 

Metals USA Inc., Senior Secured Notes, 11.125% due 12/1/15

 

971,437

 

612,115

 

 

 

Noranda Aluminium Acquisition Corp., Senior Notes,
5.274% due 5/15/15 (b)(e)

 

446,844

 

 

 

 

 

Novelis Inc., Senior Notes:

 

 

 

745,000

 

 

 

7.250% due 2/15/15

 

676,088

 

190,000

 

 

 

11.500% due 2/15/15 (a)

 

198,550

 

260,000

 

 

 

Rio Tinto Finance USA Ltd., Senior Notes, 9.000% due 5/1/19

 

331,970

 

525,000

 

 

 

Ryerson Inc., Senior Secured Notes, 12.000% due 11/1/15

 

536,813

 

 

 

 

 

Teck Resources Ltd., Senior Secured Notes:

 

 

 

180,000

 

 

 

9.750% due 5/15/14

 

203,175

 

150,000

 

 

 

10.250% due 5/15/16

 

170,250

 

120,000

 

 

 

10.750% due 5/15/19

 

140,700

 

4,527,000

 

 

 

Vale Overseas Ltd., Notes, 6.875% due 11/21/36 (h)

 

4,630,700

 

1,530,000

 

 

 

Vedanta Resources PLC, Senior Notes, 8.750% due 1/15/14 (a)

 

1,541,475

 

 

 

 

 

Total Metals & Mining

 

10,989,892

 

Paper & Forest Products — 2.7%

 

 

 

1,190,000

 

 

 

Abitibi-Consolidated Co. of Canada, Senior Secured Notes, 13.750% due 4/1/11 (a)(c)

 

1,350,650

 

1,232,000

 

 

 

Appleton Papers Inc., Senior Secured Notes, 11.250% due 12/15/15 (a)

 

1,048,740

 

532,000

 

 

 

Celulosa Arauco y Constitucion SA, Senior Notes, 7.250% due 7/29/19

 

588,737

 

590,000

 

 

 

Georgia-Pacific LLC, Senior Notes, 8.250% due 5/1/16 (a)

 

628,350

 

660,000

 

 

 

NewPage Corp., Senior Secured Notes, 11.375% due 12/31/14 (a)

 

653,400

 

770,493

 

 

 

Newpage Holding Corp., Senior Notes, 7.564% due 11/1/13 (b)(e)

 

211,885

 

150,000

 

 

 

PE Paper Escrow GmbH, Senior Secured Notes, 12.000% due 8/1/14 (a)

 

164,921

 

600,000

 

 

 

Smurfit Capital Funding PLC, Debentures, 7.500% due 11/20/25

 

522,750

 

 

 

 

 

Verso Paper Holdings LLC:

 

 

 

290,000

 

 

 

9.125% due 8/1/14

 

268,250

 

385,000

 

 

 

Senior Secured Notes, 11.500% due 7/1/14 (a)

 

421,575

 

 

 

 

 

Total Paper & Forest Products

 

5,859,258

 

 

 

 

 

TOTAL MATERIALS

 

19,864,725

 

TELECOMMUNICATION SERVICES — 8.5%

 

 

 

Diversified Telecommunication Services — 4.5%

 

 

 

 

 

 

 

Axtel SAB de CV, Senior Notes:

 

 

 

1,793,000

 

 

 

7.625% due 2/1/17 (a)

 

1,743,692

 

100,000

 

 

 

7.625% due 2/1/17 (a)

 

97,500

 

250,000

 

 

 

CC Holdings GS V LLC, Senior Secured Notes, 7.750% due 5/1/17 (a)

 

265,625

 

110,000

 

 

 

Cincinnati Bell Telephone Co., Senior Debentures, 6.300% due 12/1/28

 

83,875

 

190,000

 

 

 

Frontier Communications Corp., Senior Notes, 8.125% due 10/1/18

 

191,425

 

405,000

 

 

 

Hawaiian Telcom Communications Inc., Senior Subordinated Notes, 12.500% due 5/1/15 (c)(d)

 

41

 

340,000

 

 

 

Intelsat Bermuda Ltd., Senior Notes, 11.250% due 6/15/16

 

364,650

 

690,000

 

 

 

Intelsat Corp., Senior Notes, 9.250% due 8/15/14

 

698,625

 

 

See Notes to Schedule of Investments.

 

10



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Diversified Telecommunication Services — 4.5% (continued)

 

 

 

685,000

 

 

 

Intelsat Intermediate Holding Co., Ltd., Senior Discount Notes, step bond to yield 10.415% due 2/1/15

 

$

691,850

 

730,000

 

 

 

Intelsat Jackson Holdings Ltd., Senior Notes, 11.500% due 6/15/16

 

775,625

 

 

 

 

 

Level 3 Financing Inc., Senior Notes:

 

 

 

510,000

 

 

 

12.250% due 3/15/13

 

534,863

 

705,000

 

 

 

9.250% due 11/1/14

 

625,687

 

535,000

 

 

 

Nordic Telephone Co. Holdings, Senior Secured Bonds, 8.875% due 5/1/16 (a)

 

564,425

 

380,000

 

 

 

Qwest Communications International Inc., Senior Notes, 7.500% due 2/15/14

 

378,100

 

480,000

 

 

 

UBS Luxembourg SA for OJSC Vimpel Communications, Loan Participation Notes, 8.250% due 5/23/16 (a)

 

486,000

 

520,000

 

 

 

Vimpel Communications, Loan Participation Notes, 8.375% due 4/30/13 (a)

 

542,100

 

248,000

 

 

 

VIP Finance Ireland Ltd. for OJSC Vimpel Communications, Loan Participation Notes, Secured Notes, 8.375% due 4/30/13 (a)

 

259,200

 

 

 

 

 

Wind Acquisition Finance SA:

 

 

 

455,000

 

 

 

Senior Bonds, 10.750% due 12/1/15 (a)

 

489,125

 

360,000

 

 

 

Senior Notes, 11.750% due 7/15/17 (a)

 

401,400

 

580,000

 

 

 

Windstream Corp., Senior Notes, 8.625% due 8/1/16

 

587,250

 

 

 

 

 

Total Diversified Telecommunication Services

 

9,781,058

 

Wireless Telecommunication Services — 4.0%

 

 

 

420,000

 

 

 

ALLTEL Communications Inc., Senior Notes, 10.375% due 12/1/17 (a)(b)(d)

 

516,277

 

1,170,000

 

 

 

America Movil SAB de CV, Senior Notes, 5.625% due 11/15/17 (h)

 

1,258,052

 

1,000,000

 

 

 

Cricket Communications Inc., Senior Secured Notes, 7.750% due 5/15/16 (a)

 

992,500

 

190,000

 

 

 

iPCS Inc., Senior Secured Notes, 2.406% due 5/1/13 (e)

 

168,625

 

 

 

 

 

Sprint Capital Corp., Senior Notes:

 

 

 

590,000

 

 

 

7.625% due 1/30/11

 

598,850

 

720,000

 

 

 

8.375% due 3/15/12

 

739,800

 

1,525,000

 

 

 

8.750% due 3/15/32

 

1,313,406

 

 

 

 

 

True Move Co., Ltd.:

 

 

 

950,000

 

 

 

10.375% due 8/1/14 (a)

 

869,250

 

2,430,000

 

 

 

Notes, 10.750% due 12/16/13 (a)

 

2,272,050

 

 

 

 

 

Total Wireless Telecommunication Services

 

8,728,810

 

 

 

 

 

TOTAL TELECOMMUNICATION SERVICES

 

18,509,868

 

UTILITIES — 5.4%

 

 

 

Electric Utilities — 2.5%

 

 

 

 

 

 

 

Centrais Eletricas Brasileiras SA, Senior Notes:

 

 

 

450,000

 

 

 

6.875% due 7/30/19 (a)

 

480,938

 

400,000

 

 

 

6.875% due 7/30/19 (a)

 

427,500

 

560,000

 

 

 

EEB International Ltd., Senior Bonds, 8.750% due 10/31/14 (a)

 

614,600

 

700,000

 

 

 

Reliant Energy Mid-Atlantic Power Holdings LLC, Senior Notes, 9.681% due 7/2/26

 

719,250

 

4,355,000

 

 

 

Texas Competitive Electric Holdings Co. LLC, Senior Notes, 10.250% due 11/1/15

 

3,113,825

 

 

 

 

 

Total Electric Utilities

 

5,356,113

 

Gas Utilities — 0.1%

 

 

 

270,000

 

 

 

Suburban Propane Partners LP/Suburban Energy Finance Corp., Senior Notes, 6.875% due 12/15/13

 

267,300

 

Independent Power Producers & Energy Traders — 2.7%

 

 

 

 

 

 

 

AES Corp., Senior Notes:

 

 

 

500,000

 

 

 

9.375% due 9/15/10

 

516,250

 

500,000

 

 

 

9.750% due 4/15/16 (a)

 

541,250

 

225,000

 

 

 

8.000% due 6/1/20

 

223,875

 

 

 

 

 

Dynegy Holdings Inc.:

 

 

 

 

See Notes to Schedule of Investments.

 

11



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Independent Power Producers & Energy Traders — 2.7% (continued)

 

 

 

480,000

 

 

 

Senior Debentures, 7.625% due 10/15/26

 

$

314,400

 

590,000

 

 

 

Senior Notes, 7.750% due 6/1/19

 

485,275

 

280,000

 

 

 

Dynegy Inc., Bonds, 7.670% due 11/8/16

 

264,600

 

 

 

 

 

Edison Mission Energy, Senior Notes:

 

 

 

610,000

 

 

 

7.750% due 6/15/16

 

500,200

 

350,000

 

 

 

7.200% due 5/15/19

 

255,500

 

440,000

 

 

 

7.625% due 5/15/27

 

292,600

 

 

 

 

 

Energy Future Holdings Corp., Senior Notes:

 

 

 

780,000

 

 

 

10.875% due 11/1/17

 

551,850

 

21,412

 

 

 

11.250% due 11/1/17 (b)

 

13,275

 

237,050

 

 

 

Mirant Mid Atlantic LLC, Pass-Through Certificates, 9.125% due 6/30/17

 

245,347

 

565,000

 

 

 

Mirant North America LLC, Senior Notes, 7.375% due 12/31/13

 

559,350

 

 

 

 

 

NRG Energy Inc., Senior Notes:

 

 

 

875,000

 

 

 

7.250% due 2/1/14

 

884,844

 

85,000

 

 

 

7.375% due 1/15/17

 

84,575

 

235,000

 

 

 

RRI Energy Inc., Senior Notes, 7.875% due 6/15/17

 

225,012

 

 

 

 

 

Total Independent Power Producers & Energy Traders

 

5,958,203

 

Multi-Utilities — 0.1%

 

 

 

200,000

 

 

 

Empresas Publicas de Medellin ESP, Senior Notes, 7.625% due 7/29/19 (a)

 

226,000

 

 

 

 

 

TOTAL UTILITIES

 

11,807,616

 

 

 

 

 

TOTAL CORPORATE BONDS & NOTES
(Cost — $161,536,583)

 

160,076,078

 

ASSET-BACKED SECURITY — 0.0%

 

 

 

FINANCIAL — 0.0%

 

 

 

Diversified Financial Services — 0.0%

 

 

 

987,700

 

 

 

Airplanes Pass-Through Trust, Subordinated Notes,

10.875% due 3/15/19 (c)(d)(f)
(Cost - $987,700)

 

0

 

COLLATERALIZED SENIOR LOANS — 1.4%

 

 

 

CONSUMER DISCRETIONARY — 0.2%

 

 

 

Auto Components — 0.2%

 

 

 

645,825

 

 

 

Allison Transmission Inc., Term Loan B, 3.059% due 8/7/14 (e)

 

569,402

 

ENERGY — 0.3%

 

 

 

Energy Equipment & Services — 0.3%

 

 

 

811,717

 

 

 

Turbo Beta Ltd., Term Loan, 14.500% due 3/15/18 (d)(e)

 

689,960

 

FINANCIALS — 0.7%

 

 

 

Diversified Financial Services — 0.2%

 

 

 

500,000

 

 

 

CIT Group Inc., Term Loan, 13.000% due 1/18/12 (e)

 

521,500

 

Real Estate Management & Development — 0.5%

 

 

 

1,000,000

 

 

 

Realogy Corp., Term Loan, 13.500% due 10/15/17 (e)

 

1,035,000

 

 

 

 

 

TOTAL FINANCIALS

 

1,556,500

 

INDUSTRIALS — 0.2%

 

 

 

Airlines — 0.2%

 

 

 

496,440

 

 

 

United Airlines Inc., Term Loan B, 2.313% due 1/12/14 (e)

 

386,159

 

 

 

 

 

TOTAL COLLATERALIZED SENIOR LOANS
(Cost — $3,236,295)

 

3,202,021

 

CONVERTIBLE BONDS & NOTES — 0.2%

 

 

 

INDUSTRIALS — 0.2%

 

 

 

Airlines — 0.0%

 

 

 

30,000

 

 

 

AMR Corp., Senior Notes, 6.250% due 10/15/14

 

26,175

 

 

See Notes to Schedule of Investments.

 

12



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Marine — 0.2%

 

 

 

570,000

 

 

 

Horizon Lines Inc., Senior Notes, 4.250% due 8/15/12

 

$

453,150

 

 

 

 

 

TOTAL CONVERTIBLE BONDS & NOTES
(Cost — $517,553)

 

479,325

 

SOVEREIGN BONDS — 24.0%

 

 

 

Argentina — 2.2%

 

 

 

 

 

 

 

Republic of Argentina:

 

 

 

4,199,000

 

 

 

Bonds, 7.000% due 9/12/13

 

3,461,026

 

1,315,833

 

 

 

Discount Notes, 8.280% due 12/31/33 (h)

 

911,214

 

5,670,000

 

 

 

GDP Linked Securities, 1.330% due 12/15/35 (e)

 

493,290

 

 

 

 

 

Total Argentina

 

4,865,530

 

Brazil — 6.1%

 

 

 

7,845,000

 

BRL

 

Brazil Nota do Tesouro Nacional, 9.762% due 1/1/12 (e)

 

4,331,115

 

 

 

 

 

Federative Republic of Brazil:

 

 

 

20,000

 

 

 

7.125% due 1/20/37

 

23,770

 

 

 

 

 

Collective Action Securities:

 

 

 

685,000

 

 

 

8.750% due 2/4/25

 

902,487

 

6,892,555

 

 

 

Notes, 8.000% due 1/15/18 (h)

 

8,081,521

 

 

 

 

 

Total Brazil

 

13,338,893

 

Colombia — 1.3%

 

 

 

 

 

 

 

Republic of Colombia:

 

 

 

2,190,000

 

 

 

7.375% due 9/18/37 (h)

 

2,513,025

 

255,000

 

 

 

Senior Notes, 7.375% due 3/18/19

 

298,605

 

 

 

 

 

Total Colombia

 

2,811,630

 

Gabon — 0.2%

 

 

 

512,000

 

 

 

Gabonese Republic, 8.200% due 12/12/17 (a)

 

523,520

 

Indonesia — 1.4%

 

 

 

 

 

 

 

Republic of Indonesia:

 

 

 

7,931,000,000

 

IDR

 

10.250% due 7/15/22

 

826,082

 

4,954,000,000

 

IDR

 

11.000% due 9/15/25

 

533,395

 

5,058,000,000

 

IDR

 

10.250% due 7/15/27

 

514,267

 

5,998,000,000

 

IDR

 

Bonds, 9.750% due 5/15/37

 

576,442

 

520,000

 

 

 

Senior Bonds, 6.875% due 1/17/18 (a)

 

555,100

 

 

 

 

 

Total Indonesia

 

3,005,286

 

Mexico — 0.1%

 

 

 

160,000

 

 

 

United Mexican States, Medium-Term Notes, 5.625% due 1/15/17

 

171,680

 

Panama — 1.5%

 

 

 

 

 

 

 

Republic of Panama:

 

 

 

1,807,000

 

 

 

7.250% due 3/15/15

 

2,076,243

 

1,039,000

 

 

 

6.700% due 1/26/36 (h)

 

1,142,900

 

 

 

 

 

Total Panama

 

3,219,143

 

Peru — 0.9%

 

 

 

 

 

 

 

Republic of Peru:

 

 

 

381,000

 

 

 

Bonds, 6.550% due 3/14/37

 

410,528

 

 

 

 

 

Global Senior Bonds:

 

 

 

140,000

 

 

 

8.375% due 5/3/16

 

172,200

 

1,200,000

 

 

 

7.350% due 7/21/25 (h)

 

1,425,000

 

 

 

 

 

Total Peru

 

2,007,728

 

 

See Notes to Schedule of Investments.

 

13



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Face
Amount†

 

 

 

Security

 

Value

 

Qatar — 0.1%

 

 

 

250,000

 

 

 

State of Qatar, Senior Notes, 4.000% due 1/20/15 (a)

 

$

251,563

 

Russia — 2.0%

 

 

 

 

 

 

 

Russian Federation:

 

 

 

42,000

 

 

 

12.750% due 6/24/28 (a)

 

72,874

 

3,708,300

 

 

 

7.500% due 3/31/30 (a)(h)

 

4,218,562

 

 

 

 

 

Total Russia

 

4,291,436

 

Turkey — 4.7%

 

 

 

 

 

 

 

Republic of Turkey:

 

 

 

575,000

 

 

 

11.875% due 1/15/30 (h)

 

928,625

 

1,870,000

 

 

 

Collective Action Securities, Notes, 7.375% due 2/5/25

 

2,089,725

 

7,026,000

 

 

 

Notes, 6.875% due 3/17/36 (h)

 

7,184,085

 

 

 

 

 

Total Turkey

 

10,202,435

 

United Arab Emirates — 0.1%

 

 

 

320,000

 

 

 

MDC-GMTN B.V., Senior Notes, 5.750% due 5/6/14 (a)

 

339,949

 

Venezuela — 3.4%

 

 

 

 

 

 

 

Bolivarian Republic of Venezuela:

 

 

 

3,733,000

 

 

 

8.500% due 10/8/14

 

2,958,402

 

4,267,000

 

 

 

5.750% due 2/26/16 (a)

 

2,666,875

 

233,000

 

 

 

7.650% due 4/21/25

 

131,063

 

 

 

 

 

Collective Action Securities:

 

 

 

1,982,000

 

 

 

9.375% due 1/13/34

 

1,352,715

 

391,000

 

 

 

Notes, 10.750% due 9/19/13

 

361,675

 

 

 

 

 

Total Venezuela

 

7,470,730

 

 

 

 

 

TOTAL SOVEREIGN BONDS
(Cost — $53,496,108)

 

52,499,523

 

 

 

 

 

 

 

 

 

Shares

 

 

 

 

 

 

 

COMMON STOCKS — 0.6%

 

 

 

CONSUMER DISCRETIONARY — 0.4%

 

 

 

Media — 0.4%

 

 

 

50,352

 

 

 

Charter Communications Inc. (f)

 

944,100

 

INDUSTRIALS — 0.0%

 

 

 

Machinery — 0.0%

 

 

 

5

 

 

 

Glasstech Inc. (d)(f)*

 

0

 

INFORMATION TECHNOLOGY — 0.0%

 

 

 

Computers & Peripherals — 0.0%

 

 

 

12,166

 

 

 

Axiohm Transaction Solutions Inc. (d)(f)*

 

0

 

MATERIALS — 0.2%

 

 

 

Chemicals — 0.2%

 

 

 

21,196

 

 

 

Georgia Gulf Corp. *

 

309,250

 

 

 

 

 

TOTAL COMMON STOCKS
(Cost — $1,712,120)

 

1,253,350

 

CONVERTIBLE PREFERRED STOCKS — 0.4%

 

 

 

FINANCIALS — 0.4%

 

 

 

Diversified Financial Services — 0.4%

 

 

 

940

 

 

 

Bank of America Corp. *
(Cost - $933,882)

 

801,350

 

 

See Notes to Schedule of Investments.

 

14



 

Western Asset Global Partners Income Fund Inc.

 

Schedule of Investments (unaudited) (continued)

November 30, 2009

 

Shares

 

 

 

Security

 

Value

 

ESCROWED SHARES — 0.0%

 

 

 

CONSUMER DISCRETIONARY — 0.0%

 

 

 

Textiles, Apparel & Luxury Goods — 0.0%

 

 

 

625,000

 

 

 

Pillowtex Corp., 9.000% due 12/15/49 (d)(f)*
(Cost - $0)

 

$

0

 

PREFERRED STOCKS — 0.2%

 

 

 

CONSUMER DISCRETIONARY — 0.0%

 

 

 

Media — 0.0%

 

 

 

1

 

 

 

ION Media Networks Inc., Series B, 12.000% (d)(f)*

 

0

 

FINANCIALS — 0.2%

 

 

 

Consumer Finance — 0.1%

 

 

 

399

 

 

 

GMAC Inc., 7.000% (a)*

 

241,433

 

Diversified Financial Services — 0.1%

 

 

 

6,800

 

 

 

Preferred Plus, Trust, Series FRD-1, 7.400%

 

117,164

 

300

 

 

 

Saturns, Series F 2003-5, 8.125%

 

6,135

 

 

 

 

 

Total Diversified Financial Services

 

123,299

 

Thrifts & Mortgage Finance — 0.0%

 

 

 

11,600

 

 

 

Federal National Mortgage Association (FNMA), 8.250% (e)(i)*

 

8,352

 

 

 

 

 

TOTAL FINANCIALS

 

373,084

 

INDUSTRIALS — 0.0%

 

 

 

Machinery — 0.0%

 

 

 

5

 

 

 

Glasstech Inc., 0.000% (d)(f)*

 

0

 

 

 

 

 

TOTAL PREFERRED STOCKS
(Cost — $531,515)

 

373,084

 

 

 

 

 

 

 

 

 

Warrants

 

 

 

 

 

 

 

WARRANTS — 0.1%

 

 

 

9,125

 

 

 

Bolivarian Republic of Venezuela, Oil-linked payment obligations, Expires 4/15/20(e)

 

241,813

 

498

 

 

 

Buffets Restaurant Holdings, Expires 4/28/14(d)(f)*

 

0

 

1

 

 

 

Turbo Beta Ltd., Expires 11/1/14(d)(f)*

 

0

 

 

 

 

 

TOTAL WARRANTS
(Cost — $0)

 

241,813

 

 

 

 

 

TOTAL INVESTMENTS — 100.0% (Cost — $222,951,756#)

 

$

218,926,544

 

 

*

Non-income producing security.

Face amount denominated in U.S. dollars, unless otherwise noted.

(a)

Security is exempt from registration under Rule 144A of the Securities Act of 1933. This security may be resold in transactions that are exempt from registration, normally to qualified institutional buyers. This security has been deemed liquid pursuant to guidelines approved by the Board of Directors, unless otherwise noted.

(b)

Payment-in-kind security for which part of the income earned may be paid as additional principal.

(c)

The coupon payment on these securities is currently in default as of November 30, 2009.

(d)

Illiquid security.

(e)

Variable rate security. Interest rate disclosed is that which is in effect at November 30, 2009.

(f)

Security is valued in good faith at fair value by or under the direction of the Board of Directors (See Note 1).

(g)

Security has no maturity date. The date shown represents the next call date.

(h)

All or a portion of this security is held by the counterparty as collateral for open reverse repurchase agreements.

(i)

On September 7, 2008, the Federal Housing Finance Agency placed Fannie Mae (FNMA) and Freddie Mac (FHLMC) into conservatorship.

#

Aggregate cost for federal income tax purposes is substantially the same.

 

 

 

Abbreviations used in this schedule:

 

BRL

-

Brazilian Real

 

GDP

-

Gross Domestic Product

 

GMAC

-

General Motors Acceptance Corp.

 

IDR

-

Indonesian Rupiah

 

OJSC

-

Open Joint Stock Company

 

See Notes to Schedule of Investments.

 

15



 

Notes to Schedule of Investments (unaudited)

 

1. Organization and Significant Accounting Policies

 

Western Asset Global Partners Income Fund Inc. (the “Fund”) was incorporated in Maryland on September 3, 1993 and is registered as a non-diversified, closed-end management investment company under the Investment Company Act of 1940, as amended (the “1940 Act”). The Fund’s investment objective seeks to maintain a high level of current income. As a secondary objective, the Fund seeks capital appreciation.

 

The following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (“GAAP”).

 

(a) Investment Valuation. Debt securities are valued at the mean between the last quoted bid and asked prices provided by an independent pricing service, which are based on transactions in debt obligations, quotations from bond dealers, market transactions in comparable securities and various other relationships between securities. Publicly traded foreign government debt securities are typically traded internationally in the over-the-counter market, and are valued at the mean between the bid and asked prices as of the close of business of that market. Equity securities for which market quotations are available are valued at the last reported sales price or official closing price on the primary market or exchange on which they trade.  When prices are not readily available, or are determined not to reflect fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded, but before the Fund calculates its net asset value, the Fund values these securities at fair value as determined in accordance with procedures approved by the Fund’s Board of Directors. Short-term obligations with maturities of 60 days or less are valued at amortized cost, which approximates fair value.

 

The Fund has adopted Financial Accounting Standards Board Codification Topic 820 (formerly, Statement of Financial Accounting Standards No. 157) (“ASC Topic 820”). ASC Topic 820 establishes a single definition of fair value, creates a three-tier hierarchy as a framework for measuring fair value based on inputs used to value the Fund’s investments, and requires additional disclosure about fair value. The hierarchy of inputs is summarized 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 Fund uses valuation techniques to measure fair value that are consistent with the market approach and/or income approach, depending on the type of the security and the particular circumstance. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable securities. The income approach uses valuation techniques to convert future amounts to a single present amount.

 

The following is a summary of the inputs used in valuing the Fund’s assets carried at fair value:

 

 

 

Quoted
Prices

 

Other
Significant
Observable
Inputs

 

Significant
Unobservable
Inputs

 

 

 

Description

 

(Level 1)

 

(Level 2)

 

(Level 3)

 

Total

 

Long-term investments†:

 

 

 

 

 

 

 

 

 

Corporate bonds & notes

 

 

$

160,010,753

 

$

65,325

 

$

160,076,078

 

Asset-backed security

 

 

 

0

 

0

 

Collateralized senior loans

 

 

3,202,021

 

 

3,202,021

 

Convertible bonds & notes

 

 

479,325

 

 

479,325

 

Sovereign bonds

 

 

52,499,523

 

 

52,499,523

 

Common stocks:

 

 

 

 

 

 

 

 

 

Consumer discretionary

 

 

 

944,100

 

944,100

 

Industrials

 

 

 

0

 

0

 

Information technology

 

 

 

0

 

0

 

Materials

 

$

309,250

 

 

 

309,250

 

Convertible preferred stocks

 

801,350

 

 

 

801,350

 

Escrowed shares

 

 

 

0

 

0

 

Preferred stocks:

 

 

 

 

 

 

 

 

 

Consumer discretionary

 

 

 

0

 

0

 

Financials

 

131,651

 

241,433

 

 

373,084

 

Industrials

 

 

 

0

 

0

 

Warrants

 

 

241,813

 

0

 

241,813

 

Total investments

 

$

1,242,251

 

$

216,674,868

 

$

1,009,425

 

$

218,926,544

 

Other financial instruments:

 

 

 

 

 

 

 

 

 

Interest rate swaps‡

 

 

 

(9,112

)

 

 

(9,112

)

Total other financial instruments

 

 

$

(9,112

)

 

$

(9,112

)

Total

 

$

1,242,251

 

$

216,665,756

 

$

1,009,425

 

$

218,917,432

 

 

† See Schedule of Investments for additional detailed categorizations.

‡Values include any premiums paid or received with respect to swap contracts.

 

16



 

Notes to Schedule of Investments (unaudited) (continued)

 

Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:

 

 

 

 

 

 

 

Common Stocks

 

 

 

Preferred Stocks

 

 

 

 

 

 

 

Corporate Bonds

 

Asset-Backed

 

Consumer

 

 

 

Information

 

Escrowed

 

Consumer

 

 

 

 

 

 

 

INVESTMENTS IN SECURITIES

 

& Notes

 

Security

 

Discretionary

 

Industrials

 

Technology

 

Shares

 

Discretionary

 

Industrials

 

Warrants

 

Total

 

Balance as of August 31, 2009

 

$

65,325

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

$

65,325

 

Accrued premiums/discounts

 

4,047

 

 

 

 

 

 

 

 

 

4,047

 

Realized gain/(loss)(1)

 

 

 

(54

)

 

 

 

 

 

 

(54

)

Change in unrealized appreciation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(depreciation)(2)

 

(4,047

)

 

54

 

 

 

 

 

 

 

(3,993

)

Net purchases (sales)

 

 

 

944,100

 

 

 

 

 

 

 

944,100

 

Net transfers in and/or out of Level 3

 

 

 

 

 

 

 

 

 

 

 

Balance as of November 30, 2009

 

$

65,325

 

$

0

 

$

944,100

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

$

1,009,425

 

Net unrealized appreciation (depreciation) for investments in securities still held at November 30, 2009(2)

 

$

(336,280

)

$

(987,700

)

— 

 

— 

 

— 

 

— 

 

$

(11,500

)

— 

 

— 

 

$

(1,335,480

)

 

(1) This amount is included in net realized gain (loss) from investment transactions.

(2) Change in unrealized appreciation (depreciation) includes net unrealized appreciation (depreciation) resulting from changes in investment values during the reporting period and the reversal of previously recorded unrealized appreciation (depreciation) when gains or losses are realized.

 

(b) Repurchase Agreements. The Fund may enter into repurchase agreements with institutions that its investment adviser has determined are creditworthy. Each repurchase agreement is recorded at cost. Under the terms of a typical repurchase agreement, a fund takes possession of an underlying debt obligation subject to an obligation of the seller to repurchase, and of the fund to resell, the obligation at an agreed-upon price and time, thereby determining the yield during a fund’s holding period. When entering into repurchase agreements, it is the Fund’s policy that its custodian or a third party custodian, acting on the Fund’s behalf, take possession of the underlying collateral securities, the market value of which, at all times, at least equals the principal amount of the repurchase transaction, including accrued interest. To the extent that any repurchase transaction maturity exceeds one business day, the value of the collateral is marked to market and measured against the value of the agreement to ensure the adequacy of the collateral. If the counterparty defaults, the Fund generally has the right to use the collateral to satisfy the terms of the repurchase transaction. However, if the market value of the collateral declines during the period in which the Fund seeks to assert its rights or if bankruptcy proceedings are commenced with respect to the seller of the security, realization of the collateral by the Fund may be delayed or limited.

 

(c) Reverse Repurchase Agreements. The Fund may enter into reverse repurchase agreements. Under the terms of a typical reverse repurchase agreement, a Fund sells a security subject to an obligation to repurchase the security from the buyer at an agreed-upon time and price. In the event the buyer of securities under a reverse repurchase agreement files for bankruptcy or becomes insolvent, the fund’s use of the proceeds of the agreement may be restricted pending a determination by the counterparty, or its trustee or receiver, whether to enforce the Fund’s obligation to repurchase the securities. In entering into reverse repurchase agreements, the Fund will maintain cash, U.S. government securities or other liquid debt obligations at least equal in value to its obligations with respect to reverse repurchase agreements or will take other actions permitted by law to cover its obligations.

 

17



 

Notes to Schedule of Investments (unaudited) (continued)

 

(d) Loan Participations. The Fund may invest in loans arranged through private negotiation between one or more financial institutions. The Fund’s investment in any such loan may be in the form of a participation in or an assignment of the loan. In connection with purchasing participations, the Fund generally will have no right to enforce compliance by the borrower with the terms of the loan agreement related to the loan, or any rights of off-set against the borrower and the Fund may not benefit directly from any collateral supporting the loan in which it has purchased the participation.

 

The Fund assumes the credit risk of the borrower, the lender that is selling the participation and any other persons interpositioned between the Fund and the borrower. In the event of the insolvency of the lender selling the participation, the Fund may be treated as a general creditor of the lender and may not benefit from any off-set between the lender and the borrower.

 

(e) Swap Agreements. The Fund may invest in swaps for the purpose of managing its exposure to interest rate, credit or market risk, or for other purposes. The use of swaps involves risks that are different from those associated with ordinary portfolio transactions.

 

Swap contracts are marked to market daily and changes in value are recorded as unrealized appreciation/(depreciation). Gains or losses are realized upon termination of the swap agreement. Collateral, in the form of restricted cash or securities, may be required to be held in segregated accounts with the Fund’s custodian in compliance with the terms of the swap contracts. Securities held as collateral for swap contracts are identified in the Schedule of Investments.

 

Interest Rate Swaps. The Fund may enter into interest rate swap contracts.  Interest rate swaps are agreements between two parties to exchange cash flows based on a notional principal amount. The Fund may elect to pay a fixed rate and receive a floating rate, or, receive a fixed rate and pay a floating rate on a notional principal amount. The net interest received or paid on interest rate swap agreements is accrued daily as interest income. Interest rate swaps are marked to market daily based upon quotations from market makers. When a swap contract is terminated early, the Fund records a realized gain or loss equal to the difference between the original cost and the settlement amount of the closing transaction.

 

The risks of interest rate swaps include changes in market conditions that will affect the value of the contract or changes in the present value of the future cash flow streams and the possible inability of the counterparty to fulfill its obligations under the agreement. The Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the contract’s remaining life, to the extent that that amount is positive. This risk is mitigated by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty.

 

(f) Foreign Currency Translation. Investment securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts based upon prevailing exchange rates on the date of valuation.  Purchases and sales of investment securities and income and expense items denominated in foreign currencies are translated into U.S. dollar amounts based upon prevailing exchange rates on the respective dates of such transactions.

 

The Fund does not isolate that portion of the results of operations resulting from fluctuations in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held.  Such fluctuations are included with the net realized and unrealized gain or loss on investments.

 

Net realized foreign exchange gains or losses arise from sales of foreign currencies, including gains and losses on forward foreign currency contracts, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Fund’s books and the U.S. dollar equivalent of the amounts actually received or paid.  Net unrealized foreign exchange gains and losses arise from changes in the fair values of assets and liabilities, other than investments in securities, on the date of valuation, resulting from changes in exchange rates.

 

Foreign security and currency transactions may involve certain considerations and risks not typically associated with those of U.S. dollar denominated transactions as a result of, among other factors, the possibility of lower levels of governmental supervision and regulation of foreign securities markets and the possibility of political or economic instability.

 

(g) Credit and Market Risk. The Fund invests in high yield and emerging market instruments that are subject to certain credit and market risks. The yields of high yield and emerging market debt obligations reflect, among other things, perceived credit and market risks. The Fund’s investment in securities rated below investment grade typically involve risks not associated with higher rated securities including, among others, greater risk related to timely and

 

18



 

Notes to Schedule of Investments (unaudited) (continued)

 

ultimate payment of interest and principal, greater market price volatility and less liquid secondary market trading. The consequences of political, social, economic or diplomatic changes may have disruptive effects on the market prices of investments held by the Fund. The Fund’s investment in non-U.S. dollar denominated securities may also result in foreign currency losses caused by devaluations and exchange rate fluctuations.

 

(h) Security Transactions.  Security transactions are accounted for on a trade date basis.

 

2.  Investments

 

At November 30, 2009, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows:

 

Gross unrealized appreciation

 

$

16,115,754

 

Gross unrealized depreciation

 

(20,140,966

)

Net unrealized depreciation

 

$

(4,025,212

)

 

Transactions in reverse repurchase agreements for the Fund for the period ended November 30, 2009 were as follows:

 

Average

 

Weighted

 

Maximum

 

Daily

 

Average

 

Amount

 

Balance *

 

Interest Rate*

 

Outstanding

 

$22,883,537

 

0.98%

 

$26,326,407

 

 

* Averages based on the number of days that Fund had reverse repurchase agreements outstanding.

 

Interest rates on reverse repurchase agreements ranged from 0.50% to 1.50% for the period ended November 30, 2009. Interest expense incurred on reverse repurchase agreements totaled $56,389.

 

At November 30, 2009, the Fund had the following open reverse repurchase agreements:

 

Face

 

 

 

 

Amount

 

Security

 

Value

 

 

 

 

 

$

485,730

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/14/09 bearing 1.000% to be repurchased at an amount and date to be determined, collateralized by: $700,000 America Movil SAB de C.V., 5.625% due 11/15/17;

 

 

 

 

Market value (including accrued interest) $754,421

 

$

485,730

 

 

 

 

 

1,136,040

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/21/09 bearing 1.000% to be repurchased at an amount and date to be determined, collateralized by: $1,200,000 Republic of Peru, 7.350% due 7/21/25;

 

 

 

 

Market value (including accrued interest) $1,456,877

 

1,136,040

 

 

 

 

 

1,907,271

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/30/09 bearing 1.000% to be repurchased at an amount and date to be determined, collateralized by: $2,190,000 Republic of Colombia, 7.375% due 9/18/37;

 

 

 

 

Market value (including accrued interest) $2,546,041

 

1,907,271

 

 

 

 

 

831,823

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/30/09 bearing 1.250% to be repurchased at an amount and date to be determined, collateralized by: $1,039,000 Republic of Panama, 6.700% due 1/26/36;

 

 

 

 

Market value (including accrued interest) $1,167,113

 

831,823

 

 

 

 

 

749,513

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/14/09 bearing 1.000% to be repurchased at an amount and date to be determined, collateralized by: $575,000 Republic of Turkey, 11.875% due 1/15/30;

 

 

 

 

Market value (including accrued interest) $954,416

 

749,513

 

 

 

 

 

5,653,120

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/30/09 bearing 1.000% to be repurchased at an amount and date to be determined, collateralized by: $7,026,000 Republic of Turkey, 6.875% due 3/17/36;

 

 

 

 

Market value (including accrued interest) $7,284,162

 

5,653,120

 

19



 

Notes to Schedule of Investments (unaudited) (continued)

 

Face

 

 

 

 

Amount

 

Security

 

Value

 

 

 

 

 

$

3,073,040

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/30/09 bearing 1.000% to be repurchased at an amount and date to be determined, collateralized by: $4,280,000 Vale Overseas Ltd., 6.875% due 11/21/36;

 

 

 

 

Market value (including accrued interest) $4,386,170

 

$

3,073,040

 

 

 

 

 

3,550,500

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/19/09 bearing 0.750% to be repurchased at an amount and date to be determined, collateralized by: $3,708,300 Russian Federation, 7.500% due 3/31/30;

 

 

 

 

Market value (including accrued interest) $4,266,196

 

3,550,500

 

 

 

 

 

6,359,477

 

Reverse Repurchase Agreement with Credit Suisse, dated 10/30/09 bearing 0.500% to be repurchased at an amount and date to be determined, collateralized by: $6,892,555 Federative Republic of Brazil, 8.000% due 1/15/18;

 

 

 

 

Market value (including accrued interest) $8,289,796

 

6,359,477

 

 

 

 

 

989,625

 

Reverse Repurchase Agreement with JPMorgan Chase & Co., dated 11/23/09 bearing 0.750% to be repurchased at an amount and date to be determined, collateralized by: $1,050,000 Republic of Argentina, 8.280% due 12/31/33;

 

 

 

 

Market value (including accrued interest) $763,706

 

989,625

 

 

 

 

 

 

 

Total Reverse Repurchase Agreements

 

 

 

 

(Cost — $24,736,139)

 

$

24,736,139

 

At November 30, 2009, the Fund had the following open swap contracts:

 

SWAP COUNTERPARTY
(REFERENCE ENTITY)

 

NOTIONAL
AMOUNT†

 

TERMINATION
DATE

 

PERIODIC
PAYMENTS
MADE BY
THE FUND‡

 

PERIODIC
PAYMENTS
RECEIVED
BY THE
FUND‡

 

UPFRONT
PREMIUMS
PAID/
(RECEIVED)

 

UNREALIZED
APPRECIATION/
(DEPRECIATION)

 

Interest Rate Swaps:

 

 

 

 

 

 

 

 

 

 

 

 

 

Credit Suisse First Boston Inc.

 

$

912,398

 

1/2/12

 

BRL-CDI

 

10.510

%

 

 

$

(9,112

)

 

  Notional amount denominated in U.S. dollars, unless otherwise noted.

  Percentage shown is an annual percentage rate.

* Security is valued in good faith at fair value by or under the direction of the Board of Directors (See Note 1).

 

As of November 30, 2009, the Brazil CETIP Interbank Deposit (CDI) rate was 8.620%

 

3. Derivative Instruments and Hedging Activities

 

Financial Accounting Standards Board Codification Topic 815 (formerly, Statement of Financial Accounting Standards No. 161) (“ASC Topic 815”), requires enhanced disclosure about an entity’s derivative and hedging activities.

 

The following is a summary of the Fund’s derivative instruments categorized by risk exposure at November 30, 2009.

 

Primary Underlying Risk
Disclosure

 

Swap Contracts,
at value

 

Total

 

Interest Rate Contracts

 

$

(9,112

)

$

(9,112

)

Other Contracts

 

 

 

Total

 

$

(9,112

)

$

(9,112

)

 

The Fund had average notional balances in interest rate swap contracts of $912,398.

 

20



 

Notes to Schedule of Investments (unaudited) (continued)

 

4. Loan

 

At November 30, 2009, the Fund had a $55,000,000 credit line available pursuant to an amended and restated revolving credit and security agreement, dated November 20, 2006, among the Fund, Panterra Funding LLC (the “Lender”) and Citibank N.A. (“Citibank”) as secondary lender, for which Citibank also acts as administrative agent. The loan generally bears interest at a variable rate based on the weighted average interest rates of the commercial paper or LIBOR, plus any applicable margin. In addition, the Fund pays a commitment fee on the total credit line available, whether used or unused. For the period ended November 30, 2009, the Fund incurred a commitment fee in the amount of $175,031. Securities held by the Fund are subject to a lien, granted to the lenders, to the extent of the borrowing outstanding and any additional expenses. For the period ended November 30, 2009, the Fund incurred interest expense on this loan in the amount of $132,507. At November 30, 2009, the Fund had $33,000,000 of borrowings outstanding under this credit agreement.

 

21


 


 

ITEM 2.                                                   CONTROLS AND PROCEDURES.

 

(a)                                  The registrant’s principal executive officer and principal 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 (the “1940 Act”)) are effective as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934.

 

(b)                                 There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are likely to materially affect the registrant’s internal control over financial reporting.

 

ITEM 3.                                                   EXHIBITS.

 

Certifications pursuant to Rule 30a-2(a) under the Investment Company Act of 1940, as amended, 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.

 

Western Asset Global Partners Income Fund Inc.

 

 

 

 

 

By

/s/ R. Jay Gerken

 

R. Jay Gerken

 

Chief Executive Officer

 

 

 

 

 

Date:  January 25, 2010

 

 

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/ R. Jay Gerken

 

R. Jay Gerken

 

Chief Executive Officer

 

 

 

 

 

Date:  January 25, 2010

 

 

 

 

 

By

/s/ Kaprel Ozsolak

 

Kaprel Ozsolak

 

Chief Financial Officer

 

 

 

 

 

Date:   January 25, 2010