N-Q 1 delinvestglobal_nq.htm QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF
REGISTERED MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number:    811-08246 
 
Exact name of registrant as specified in charter:  Delaware Investments Global Dividend 
  and Income Fund, Inc. 
 
Address of principal executive offices:  2005 Market Street 
  Philadelphia, PA 19103 
 
Name and address of agent for service:  David F. Connor, Esq. 
  2005 Market Street 
  Philadelphia, PA 19103 
 
Registrant’s telephone number, including area code:  (800) 523-1918 
 
Date of fiscal year end:  November 30 
 
Date of reporting period:  August 31, 2008 

Item 1. Schedule of Investments.

Schedule of Investments (Unaudited)

Delaware Investments Global Dividend and Income Fund, Inc.

August 31, 2008

Number of Value
             Shares              (U.S.$)
Common Stock – 80.48%v
Consumer Discretionary – 10.05%
†=@PAvado Brands 272 $ 0
Bayerische Motoren Werke 7,289 300,848
*Don Quijote 18,500 324,730
Gap 28,700 558,215
Kesa Electricals 99,864 294,176
*Lagardere 5,304 296,068
Limited Brands 29,300 609,440
Mattel 25,900 500,647
*NGK Spark Plug 26,000 287,334
*Publicis Groupe 12,198 408,821
*Round One 229 187,786
*Techtronic Industries 361,000 336,078
†Time Warner Cable Class A 2 54
Toyota Motor 7,780 347,147
WPP Group 26,662 259,505
  4,710,849
Consumer Staples – 7.83%
Coca-Cola Amatil 59,143 432,000
Greggs 3,013 195,035
Heinz (H.J.) 13,000 654,159
Kimberly-Clark 8,800 542,784
Kraft Foods Class A 20,200 636,502
Metro 5,919 329,053
Parmalat 128,024 352,256
Safeway 20,000 526,800
  3,668,589
Diversified REITs – 0.49%
Ascendas Real Estate Investment Trust 32,900 52,767
Cousins Properties 1,575 39,359
Digital Realty Trust 1,400 64,219
Liberty Property Trust 1,000 37,760
Vornado Realty Trust 370 36,800
  230,905
Energy – 6.42%
BP 64,403 618,997
Chevron 5,800 500,656
ConocoPhillips 5,800 478,558
Marathon Oil 11,400 513,798
†Petroleum Geo-Services 16,774 360,306
*Total 7,428 533,581
  3,005,896
Financials – 10.01%
Allstate 13,100 591,203
*AXA 13,453 429,236
Dexia 16,273 229,969
Discover Financial Services 36,200 595,490
Hartford Financial Services Group 7,300 460,484
*ING Groep CVA 14,204 442,501
Lehman Brothers Holdings 12,000 193,080
Mitsubishi UFJ Financial Group 42,194 320,734
Morgan Stanley 13,300 543,039


Nordea Bank FDR              28,260              374,448
Standard Chartered 11,768 318,454
*Wachovia 12,000 190,680
  4,689,318
Health Care – 12.17%
AstraZeneca 8,126 396,000
Bristol-Myers Squibb 26,800 571,912
Johnson & Johnson 9,000 633,870
Merck 14,900 531,483
Novartis 7,033 391,798
Novo-Nordisk Class B 6,595 368,145
Ono Pharmaceutical 5,200 272,300
Pfizer 27,000 515,970
Quest Diagnostics 11,400 616,170
*Sanofi-Aventis 4,322 306,616
Terumo 9,100 506,278
Wyeth 13,700 592,936
  5,703,478
Health Care REITs – 0.63%
HCP 2,400 86,928
Health Care REIT 2,575 133,565
Ventas 1,625 73,808
  294,301
Hotel REITs – 0.32%
Hersha Hospitality Trust 6,650 48,146
Host Hotels & Resorts 7,250 103,675
  151,821
Industrial REITs – 0.52%
AMB Property 2,185 99,177
ProLogis 3,360 144,682
  243,859
Industrials – 7.14%
Asahi Glass 30,000 318,496
†Bway Holding 900 11,430
*Cie de Saint-Gobain 4,826 294,839
Donnelley (R.R.) & Sons 19,500 543,660
Grupo Aeroportuario del Centro Norte ADR 1,800 27,162
Koninklijke Philips Electronics 13,067 424,534
†Northwest Airlines 11 108
†=@PPort Townsend 100 1
Teleperformance 10,135 361,950
Tomkins 138,681 375,876
Vallourec 1,345 374,154
Waste Management 17,400 612,131
  3,344,341
Information Technology – 9.27%
Canon 8,200 367,736
†CGI Group Class A 53,210 580,755
Ericsson LM Class B 33,600 383,538
Intel 26,900 615,203
International Business Machines 4,600 559,958
Motorola 61,400 578,388
Nokia 16,535 413,979
Samsung Electronics 684 320,741
Xerox 37,500 522,375
  4,342,673
Mall REITs – 1.70%
*General Growth Properties 6,700 173,731
Macerich 1,500 92,895
Simon Property Group 5,600 531,328
  797,954


Manufactured Housing REITs – 0.10%                          
Sun Communities 2,470 47,696
    47,696
Materials – 2.67%
duPont (E.I.) deNemours 13,800 613,272
*Lafarge 2,478 298,931
Linde 2,708 339,781
  1,251,984
Multifamily REITs – 0.95%
*American Campus Communities 2,420 73,374
*Apartment Investment & Management 4,046 143,390
Camden Property Trust 1,740 84,929
Equity Residential 3,400 143,481
445,174
Office REITs – 0.60%
*Alexandria Real Estate Equities 1,200 129,252
Highwoods Properties 1,000 36,270
Mack-Cali Realty 900 36,378
SL Green Realty 900 77,400
  279,300
Real Estate Operating Companies – 0.11%
*Macquarie Infrastructure 2,500 51,875
  51,875
Self-Storage REITs – 0.18%
Public Storage 950 83,904
  83,904
Shopping Center REITs – 0.50%
Kimco Realty 4,300 159,702
Ramco-Gershenson Properties 3,200 73,984
  233,686
Specialty REITs – 0.47%
Entertainment Properties Trust 3,100 168,237
Plum Creek Timber 520 25,802
Potlatch 530 24,746
  218,785
Telecommunications – 6.20%
AT&T 16,900 540,631
†Century Communications 125,000 0
Chunghwa Telecom ADR 16,045 396,953
France Telecom 11,843 349,179
*Telefonos de Mexico ADR 5,600 137,592
*†Telemex Internacional ADR 13,000 183,430
Telstra 94,477 350,727
Verizon Communications 15,900 558,408
Vodafone Group 152,087 388,792
  2,905,712
Utilities – 2.15%
†Dynegy 1,650 9,834
†Mirant 53 1,568
National Grid 30,708 399,710
Progress Energy 13,700 598,415
  1,009,527
Total Common Stock (cost $38,655,943) 37,711,627
 
Convertible Preferred Stock – 4.04%
Automobiles & Automotive Parts – 0.17%
General Motors 5.25% exercise price $64.90, expiration date 3/6/32 6,750 78,165
  78,165
Banking, Finance & Insurance – 1.91%
Aspen Insurance Holdings 5.625% exercise price $29.28, expiration date 12/31/49 3,400 174,250
Fannie Mae 8.75% exercise price $32.45, expiration date 5/13/11 1,500 25,725
#Morgan Stanley 144A
       11.00% exercise price $94.64, expiration date 1/7/09 1,700 155,202
       35.50% exercise price $100.00, expiration date 10/28/08 800 515,787


XL Capital 7.00% exercise price $80.59, expiration date 2/15/09              3,000              25,230
  896,194
Cable, Media & Publishing – 0.25%
#Interpublic Group 144A 5.25% exercise price $13.66, expiration date 12/31/49 140 118,685
  118,685
Energy – 0.50%
Chesapeake Energy 4.50% exercise price $44.15, expiration date 12/31/49 1,275 159,853
El Paso Energy Capital Trust I 4.75% exercise price $41.59, expiration date 3/31/28 1,950 73,301
  233,154
Health Care & Pharmaceuticals – 0.39%
Mylan 6.50% exercise price $17.08, expiration date 11/15/10 100 90,112
Schering-Plough 6.00% exercise price $33.69, expiration date 8/13/10 500 92,625
  182,737
Telecommunications – 0.19%
Lucent Technologies Capital Trust I 7.75% exercise price $24.80, expiration date 3/15/17 120 88,230
  88,230
Utilities – 0.63%
Entergy 7.625% exercise price $86.81, expiration date 2/17/09 2,500 153,750
NRG Energy 5.75% exercise price $30.23, expiration date 3/16/09 440 139,398
  293,148
Total Convertible Preferred Stock (cost $2,350,003) 1,890,313
 
Preferred Stock – 1.72%
Industrials – 0.01%
=@PPort Townsend 20 4,871
  4,871
Leisure, Lodging & Entertainment – 0.51%
Red Lion Hotels Capital Trust 9.50% 10,226 240,413
  240,413
Real Estate – 1.20%
SL Green Realty 7.625% 22,000 489,060
W2007 Grace Acquisitions 8.75% 10,000 70,000
  559,060
Total Preferred Stock (cost $1,075,450) 804,344
 
Principal
Amount°
Agency Mortgage-Backed Security – 0.28%
Fannie Mae S.F. 30 yr TBA 5.00% 9/1/38 USD   135,000   129,769
Total Agency Mortgage-Backed Security (cost $128,334) 129,769
 
Convertible Bonds – 7.09%
Aerospace & Defense – 0.44%
#AAR 144A 1.75% 2/1/26 exercise price $29.43, expiration date 1/1/26 90,000 75,150
#L-3 Communications Holdings 144A 3.00% 8/1/35 exercise price $101.13, expiration date 8/1/35 110,000 130,213
  205,363
Basic Materials – 0.45%
Rayonier TRS Holdings 3.75% 10/15/12 exercise price $54.82, expiration date 10/15/12 135,000 135,675
#Sino-Forest 144A 5.00% 8/1/13 exercise price $20.29, expiration date 8/1/13 65,000 73,775
 
209,450
Cable, Media & Publishing – 0.27%
#Playboy Enterprises 144A 3.00% 3/15/25 exercise price $17.02, expiration date 3/15/25 160,000 127,200
  127,200
Computers & Technology – 1.31%
Advanced Micro Devices
       6.00% 5/1/15 exercise price $28.08, expiration date 5/1/15 90,000 51,638
     #144A 6.00% 5/1/15 exercise price $28.08, expiration date 5/1/15 165,000 94,668
Euronet Worldwide 3.50% 10/15/25 exercise price $40.48, expiration date 10/15/25 165,000 135,712
Hutchinson Technology 3.25% 1/15/26 exercise price $36.43, expiration date 1/14/26 120,000 89,700
#Intel 144A 2.95% 12/15/35 exercise price $31.53, expiration date 12/15/35 105,000 103,687
Linear Technology 3.125% 5/1/27 exercise price $49.03, expiration date 5/1/27 70,000 68,775
SanDisk 1.00% 5/15/13 exercise price $82.36, expiration date 5/15/13 100,000 67,875
612,055


Electronics & Electrical Equipment – 0.30%                          
Flextronics International 1.00% 8/1/10 exercise price $15.53, expiration date 8/1/10 150,000 140,250
  140,250
Energy – 0.25%
Peabody Energy 4.75% 12/15/41 exercise price 58.45, expiration date 12/15/41 35,000 44,888
Transocean
       1.50% 12/15/37 exercise price $168.61, expiration date 12/15/37 35,000 36,181
       1.65% 12/15/37 exercise price $168.61, expiration date 12/15/37 35,000 36,444
  117,513
Environmental Services – 0.06%
Allied Waste Industries 4.25% 4/15/34 exercise price $20.43, expiration date 4/15/34 31,000 29,954
  29,954
Health Care & Pharmaceuticals – 2.17%
Advanced Medical Optics 3.25% 8/1/26 exercise price $59.61, expiration date 8/1/26 205,000 142,988
#Allergan 144A 1.50% 4/1/26 exercise price $63.33, expiration date 4/1/26 150,000 163,124
Amgen  
       0.375% 2/1/13 exercise price $79.48, expiration date 2/1/13 85,000 83,088
     #144A 0.375% 2/1/13 exercise price $79.48, expiration date 2/1/13 60,000 58,650
·Bristol-Myers Squibb 2.276% 9/15/23 exercise price $41.28, expiration date 9/15/23 100,000 100,400
CV Therapeutics 3.25% 8/16/13 exercise price $27.00, expiration date 8/16/13 45,000 35,100
fHologic 2.00% 12/15/37 exercise price $38.59, expiration date 12/15/37 85,000 69,806
LifePoint Hospitals 3.50% 5/15/14 exercise price $51.79, expiration date 5/14/14 40,000 36,200
Teva Pharmaceutical Finance 0.25% 2/1/26 exercise price $47.06, expiration date 2/1/26 120,000 128,250
 ·Wyeth 2.621% 1/15/24 exercise price $60.09, expiration date 1/15/24 200,000 201,599
  1,019,205
Real Estate – 0.19%
MeriStar Hospitality 9.50% 4/1/10 exercise price 10.18, expiration date 4/1/10 85,000 87,253
 
  87,253
Retail – 0.24%
Pantry 3.00% 11/15/12 exercise price $50.10, expiration date 11/15/12 65,000 51,106
#Saks 144A 2.00% 3/15/24 exercise price $11.97, expiration date 3/15/24 55,000 59,538
110,644
Telecommunications – 0.99%
Level 3 Communications 3.50% 6/15/12 exercise price $5.46, expiration date 6/15/12 110,000 94,325
NII Holdings 3.125% 6/15/12 exercise price $118.32, expiration date 6/15/12 155,000 133,880
#Nortel Networks 144A
       1.75% 4/15/12 exercise price $32.00, expiration date 4/15/12 40,000 28,650
       2.125% 4/15/14 exercise price $32.00, expiration date 4/15/14 40,000 24,800
Qwest Communications International 3.50% 11/15/25 exercise price $5.61, expiration date 11/15/25 70,000 67,288
#Virgin Media 144A 6.50% 11/15/16 exercise price $19.22, expiration date 11/15/16 125,000 115,313
464,256
Transportation – 0.14%
Bristow Group 3.00% 6/15/38 exercise price $77.34, expiration date 6/15/38 70,000 66,850
66,850
Utilities – 0.28%
Dominion Resources 2.125% 12/15/23 exercise price $36.33, expiration date 12/15/23 110,000 132,413
  132,413
Total Convertible Bonds (cost $3,669,032) 3,322,406
 
Corporate Bonds – 24.56%
Banking – 1.20%
·Capital One FSB 2.888% 3/13/09 165,000 164,471
JPMorgan Chase Capital XXV 6.80% 10/1/37 187,000 160,083
@PWM Covered Bond Program 3.875% 9/27/11 EUR 190,000 238,197
  562,751
Basic Industry – 2.55%
California Steel Industries 6.125% 3/15/14 USD 30,000 26,325
Domtar 7.125% 8/15/15 50,000 48,500
#Evraz Group 144A 9.50% 4/24/18 100,000 96,250
Freeport McMoRan Copper & Gold 8.25% 4/1/15 86,000 90,414


Georgia-Pacific                        
       7.70% 6/15/15 40,000 37,500
       8.875% 5/15/31 62,000 59,055
Hexion US Finance 9.75% 11/15/14 35,000 29,313
Innophos 8.875% 8/15/14 45,000 46,350
#Innophos Holding 144A 9.50% 4/15/12 30,000 30,150
#MacDermid 144A 9.50% 4/15/17 63,000 57,960
Momentive Performance Materials 9.75% 12/1/14 82,000 74,415
NewPage
       10.00% 5/1/12 50,000 48,750
     #144A 10.00% 5/1/12 50,000 48,750
·Noranda Aluminum Acquisition 6.828% 5/15/15 40,000 34,400
Norske Skog Canada 8.625% 6/15/11 35,000 28,831
=@P†Port Townsend 12.431% 8/27/12 28,000 27,720
Potlatch 13.00% 12/1/09 88,000 95,926
#Rock-Tenn 144A 9.25% 3/15/16 35,000 36,050
Rockwood Specialties Group 7.50% 11/15/14 50,000 49,375
#Ryerson 144A
     ·10.176% 11/1/14 55,000 52,800
       12.00% 11/1/15 20,000 19,700
#Sappi Papier Holding 144A 6.75% 6/15/12 75,000 63,015
#Steel Dynamics 144A 7.75% 4/15/16 75,000 73,594
·Verso Paper Holdings 6.551% 8/1/14 20,000 17,900
  1,193,043
Brokerage – 0.41%
Goldman Sachs Group 6.75% 10/1/37 185,000 163,250
LaBranche 11.00% 5/15/12 27,000 27,945
  191,195
Capital Goods – 1.88%
Associated Materials 9.75% 4/15/12 50,000 50,125
BWAY 10.00% 10/15/10 70,000 70,000
CPG International I 10.50% 7/1/13 32,000 24,800
DRS Technologies 7.625% 2/1/18 60,000 63,450
Graham Packaging
       8.50% 10/15/12 30,000 28,425
       9.875% 10/15/14 45,000 39,713
Graphic Packaging International 9.50% 8/15/13 75,000 70,875
Greenbrier 8.375% 5/15/15 60,000 55,500
Intertape Polymer 8.50% 8/1/14 26,000 22,393
#Moog 144A 7.25% 6/15/18 30,000 29,550
*NXP BV Funding 9.50% 10/15/15 150,000 101,999
Owens Brockway Glass Container 6.75% 12/1/14 110,000 109,724
*Sally Holdings 10.50% 11/15/16 50,000 50,500
Thermadyne Holdings 10.00% 2/1/14 55,000 52,663
Vitro 11.75% 11/1/13 55,000 51,563
Vought Aircraft Industries 8.00% 7/15/11 65,000 60,288
  881,568
Consumer Cyclical – 2.22%
Centex 4.55% 11/1/10 30,000 26,850
Denny's 10.00% 10/1/12 15,000 14,475
*Dollar General 10.625% 7/15/15 95,000 95,712
DR Horton
       6.00% 4/15/11 5,000 4,525
       7.875% 8/15/11 50,000 47,750
#Expedia 144A 8.50% 7/1/16 25,000 24,438
Ford Motor 7.45% 7/16/31 104,000 54,080
Ford Motor Credit 7.80% 6/1/12 115,000 85,470
General Motors
       7.20% 1/15/11 60,000 38,700
     *8.375% 7/15/33 100,000 50,000
GMAC 6.875% 8/28/12 173,000 101,566
Goodyear Tire & Rubber 9.00% 7/1/15 25,000 25,813


Lear 8.75% 12/1/16               114,000             86,355
Levi Strauss 9.75% 1/15/15 25,000 22,656
*Neiman Marcus Group 10.375% 10/15/15 75,000 73,500
Ryland Group 6.875% 6/15/13 55,000 48,400
Sonic Automotive 8.625% 8/15/13 25,000 19,375
*Tenneco Automotive 8.625% 11/15/14 110,000 94,050
Toll
       8.25% 2/1/11 70,000 67,550
       8.25% 12/1/11 15,000 14,475
Travelport 9.875% 9/1/14 55,000 45,238
    1,040,978
Consumer Non-Cyclical – 1.30%
ACCO Brands 7.625% 8/15/15 30,000 25,350
#AmBev International Finance 144A 9.50% 7/24/17 BRL 250,000 127,684
*Chiquita Brands International 8.875% 12/1/15 USD 55,000 47,163
*Constellation Brands 8.125% 1/15/12 85,000 85,425
Del Monte
     *6.75% 2/15/15 15,000 14,175
       8.625% 12/15/12 10,000 10,150
Iron Mountain
     *6.625% 1/1/16 30,000 28,425
       8.00% 6/15/20 30,000 29,325
*Jarden 7.50% 5/1/17 116,000 103,820
LVB Acquisition 10.00% 10/15/17 50,000 54,250
National Beef Packing 10.50% 8/1/11 32,000 32,160
Tysons Food 7.35% 4/1/16 25,000 23,696
Visant Holding 8.75% 12/1/13 30,000 28,725
  610,348
Energy – 3.28%
AmeriGas Partners 7.125% 5/20/16 57,000 53,295
Chesapeake Energy 6.375% 6/15/15 48,000 44,880
Complete Production Service 8.00% 12/15/16 25,000 24,688
Compton Petroleum Finance 7.625% 12/1/13 83,000 78,330
#Connacher Oil & Gas 144A 10.25% 12/15/15 75,000 77,813
#Copano Energy 144A 7.75% 6/1/18 30,000 28,050
Dynergy Holdings 7.75% 6/1/19 135,000 125,212
El Paso
       6.875% 6/15/14 21,000 20,908
       7.00% 6/15/17 5,000 4,924
#El Paso Performance-Linked Trust 144A 7.75% 7/15/11 46,000 46,736
Energy Partners 9.75% 4/15/14 27,000 24,098
Ferrellgas Finance Escrow 6.75% 5/1/14 45,000 39,375
Geophysique-Veritas
       7.50% 5/15/15 13,000 13,000
       7.75% 5/15/17 36,000 36,000
#Helix Energy Solutions 144A 9.50% 1/15/16 60,000 60,000
#Hilcorp Energy I 144A
       7.75% 11/1/15 37,000 33,670
       9.00% 6/1/16 52,000 50,960
Inergy Finance
       6.875% 12/15/14 52,000 47,060
       8.25% 3/1/16 20,000 18,900
International Coal Group 10.25% 7/15/14 55,000 56,100
#Key Energy Services 144A 8.375% 12/1/14 40,000 40,500
Mariner Energy 8.00% 5/15/17 60,000 55,200
#MarkWest Energy Partners 144A 8.75% 4/15/18 55,000 55,000
Massey Energy 6.875% 12/15/13 62,000 60,915
OPTI Canada
       7.875% 12/15/14 25,000 24,844
       8.25% 12/15/14 73,000 73,274
PetroHawk Energy
       9.125% 7/15/13 57,000 57,000
     #144A 7.875% 6/1/15 15,000 14,063


Petroleum Development 12.00% 2/15/18             30,000             31,500
Plains Exploration & Production
       7.00% 3/15/17 46,000 41,630
       7.625% 6/1/18 15,000 14,213
Range Resources 7.25% 5/1/18 25,000 24,375
Regency Energy Partners 8.375% 12/15/13 48,000 49,200
Whiting Petroleum 7.25% 5/1/13 87,000 83,954
Williams 7.50% 1/15/31 28,000 28,357
  1,538,024
Finance & Investments – 1.52%  
GE Capital UK Funding 4.625% 1/18/16 GBP 114,000 187,080
General Electric Capital
       5.125% 1/28/14 SEK 1,000,000 152,379
     ·6.50% 2/2/11 NOK 1,000,000 182,818
·Hartford Financial Services Group 8.125% 6/15/38 USD 25,000 23,531
·HSBC Financial 3.457% 4/24/10 CAD 101,000 93,394
Leucadia National 8.125% 9/15/15 USD 29,000 29,326
#Nuveen Investments 144A 10.50% 11/15/15 52,000 45,370
  713,898
Media – 1.35%
CCO Holdings Capital 8.75% 11/15/13 45,000 42,638
#Charter Communications Operating 144A 10.875% 9/15/14 145,000 152,974
Clear Channel Communications 5.50% 9/15/14 45,000 22,163
CSC Holdings
       6.75% 4/15/12 20,000 19,600
     #144A 8.50% 6/15/15 40,000 40,400
Dex Media West 9.875% 8/15/13 77,000 59,483
#DirecTV Holdings 144A 7.625% 5/15/16 50,000 50,125
Lamar Media 6.625% 8/15/15 60,000 53,507
#LBI Media 144A 8.50% 8/1/17 25,000 18,281
Quebecor Media 7.75% 3/15/16 67,000 63,314
Univision Communications 7.85% 7/15/11 55,000 49,500
#Videotron 144A 9.125% 4/15/18 55,000 58,094
  630,079
Real Estate – 0.11%
Host Hotels & Resorts 7.125% 11/1/13 55,000 52,113
  52,113
Services Cyclical – 1.91%
ARAMARK Services 8.50% 2/1/15 103,000 104,287
Cardtronics 9.25% 8/15/13 67,000 63,985
Corrections Corporation of America 6.25% 3/15/13 25,000 24,625
FTI Consulting 7.625% 6/15/13 99,000 103,207
Gaylord Entertainment 8.00% 11/15/13 57,000 52,583
Global Cash Access 8.75% 3/15/12 55,000 52,800
Harrah's Operating
       5.50% 7/1/10 65,000 54,925
     #144A 10.75% 2/1/16 35,000 23,713
Hertz 8.875% 1/1/14 29,000 27,296
Kansas City Southern de Mexico 9.375% 5/1/12 103,000 108,149
#Lender Processing Services 144A 8.125% 7/1/16 25,000 25,531
MGM MIRAGE 7.50% 6/1/16 60,000 49,200
‡Northwest Airlines 10.00% 2/1/09 15,000 150
Pinnacle Entertainment 8.75% 10/1/13 40,000 39,700
#Pokagon Gaming Authority 144A 10.375% 6/15/14 71,000 74,373
Seabulk International 9.50% 8/15/13 30,000 31,538
#Seminole Indian Tribe of Florida 144A
       7.804% 10/1/20 40,000 38,697
       8.03% 10/1/20 20,000 19,594
  894,353
Services Non-Cyclical – 1.29%
Advanced Medical Optics 7.50% 5/1/17 55,000 49,500


*#Bausch & Lomb 144A 9.875% 11/1/15             90,000             92,699
Casella Waste Systems 9.75% 2/1/13 68,000 67,660
Community Health Systems 8.875% 7/15/15 75,000 76,125
CRC Health 10.75% 2/1/16 29,000 22,475
HCA
       9.25% 11/15/16 80,000 82,500
       PIK 9.625% 11/15/16 90,000 91,013
·HealthSouth 9.133% 6/15/14 55,000 56,444
Select Medical 7.625% 2/1/15 65,000 56,225
Universal Hospital Services PIK 8.50% 6/1/15 11,000 11,000
  605,641
Technology & Electronics – 1.03%
·Freescale Semiconductor 6.651% 12/15/14 45,000 33,413
International Business Machines 4.00% 11/11/11 EUR 200,000 284,752
Sungard Data Systems
       9.125% 8/15/13 USD 58,000 59,160
       10.25% 8/15/15 101,000 102,263
  479,588
Telecommunications – 3.14%
·Centennial Communications 8.541% 1/1/13 37,000 37,000
Cincinnati Bell 7.00% 2/15/15 25,000 23,125
Citizens Communications 7.125% 3/15/19 185,000 160,950
Cricket Communications 9.375% 11/1/14 107,000 106,599
Hughes Network Systems 9.50% 4/15/14 52,000 52,650
WInmarsat Finance 10.375% 11/15/12   103,000 105,446
Intelsat Jackson Holdings 11.25% 6/15/16 117,000 123,289
#Intelsat Subsidiary Holdings 144A 8.875% 1/15/15 15,000 14,906
Lucent Technologies 6.45% 3/15/29 42,000 29,400
MetroPCS Wireless 9.25% 11/1/14 107,000 106,599
Nortel Networks  
     ·7.041% 7/15/11 62,000 57,815
       10.75% 7/15/16 40,000 37,200
     #144A 10.75% 7/15/16 5,000 4,650
*PAETEC Holding 9.50% 7/15/15 30,000 24,450
Qwest Capital Funding 7.25% 2/15/11 67,000 64,739
Sprint Capital 8.375% 3/15/12 150,000 151,239
Sprint Nextel 6.00% 12/1/16 45,000 41,127
Time Warner Telecom Holdings 9.25% 2/15/14 40,000 40,750
Virgin Media Finance 8.75% 4/15/14 65,000 62,400
Windstream 8.125% 8/1/13 207,000 205,964
#XM Satellite Radio Holdings 144A 13.00% 8/1/13 25,000 22,125
  1,472,423
Utilities – 1.37%
AES
       8.00% 10/15/17 41,000 40,590
     #144A 8.00% 6/1/20 15,000 14,438
     #144A 8.75% 5/15/13 16,000 16,640
Edison Mission Energy 7.625% 5/15/27 25,000 22,688
Elwood Energy 8.159% 7/5/26 92,051 87,293
Midwest Generation 8.30% 7/2/09 35,781 36,228
Mirant North America 7.375% 12/31/13 62,000 61,845
NRG Energy 7.375% 2/1/16 53,000 52,470
Orion Power Holdings 12.00% 5/1/10 50,000 54,250
#Texas Competitive Electric Holdings 144A 10.25% 11/1/15 255,000 255,637
  642,079
Total Corporate Bonds (cost $11,977,541) 11,508,081
 
Foreign Agencies – 2.92%
Germany – 2.92%
KFW
       3.50% 7/4/21 EUR 228,000 295,324
       4.125% 7/4/17 EUR 523,000 742,861
       4.95% 10/14/14 CAD 85,000 85,771
       8.00% 12/21/12 NZD 160,000 116,357


Rentenbank 1.375% 4/25/13 JPY             14,000,000             129,236
Total Foreign Agencies (cost $1,294,285) 1,369,549
 
Regional Agencies – 0.96%
Australia – 0.96%
New South Wales Treasury 6.00% 5/1/12 AUD 377,000 319,944
Queensland Treasury 6.00% 8/14/13 AUD 152,000 129,023
Total Regional Agencies (cost $443,477) 448,967
 
Regional Authority – 0.31%
Canada – 0.31%  
Quebec Province 4.50% 12/1/18 CAD 154,000 146,476
Total Regional Authority (cost $151,416) 146,476
 
«Senior Secured Loans – 0.35%
Ford Motor 5.776% 11/29/13 USD 138,974 108,323
Talecris Biotherapeutics 2nd Lien 9.18% 12/6/14 55,000 54,106
Total Senior Secured Loans (cost $176,974) 162,429
 
Sovereign Agencies – 0.73%
Norway – 0.73%
Kommunalbanken
       4.25% 10/24/11 NOK 940,000 166,190
       8.00% 10/19/10 NZD 250,000 177,735
Total Sovereign Agencies (cost $336,735) 343,925
 
Sovereign Debt – 12.73%
Argentina – 0.05%
Republic of Argentina 8.28% 12/31/33 USD 31,500 23,515
  23,515
Austria – 1.07%
#Republic of Austria 144A 4.00% 9/15/16 EUR 350,000 501,142
  501,142
Canada – 0.29%
Canadian Government 4.25% 6/1/18 CAD 135,000 134,574
  134,574
France – 1.24%
France Government O.A.T.
       4.00% 10/25/38 EUR 30,000 39,250
       4.00% 4/25/55 EUR 420,000 539,763
  579,013
Germany – 1.12%
Deutschland Republic
       4.00% 1/4/18 EUR 105,400 152,731
       5.625% 1/4/28 EUR 226,000 373,015
  525,746
Iceland – 0.27%
Iceland Treasury Notes 8.50% 6/12/09 ISK 10,887,000 125,958
  125,958
Indonesia – 0.45%
Republic of Indonesia
       10.00% 9/17/24 IDR 1,000,000,000 91,199
       10.25% 7/15/22 IDR 625,000,000 58,956
       10.25% 7/15/27 IDR 644,000,000 59,012
  209,167
Japan – 4.31%
Japan Government
       5 yr Bond 1.30% 6/20/13 JPY 71,450,000 666,467
       10 yr Bond 1.70% 3/20/17 JPY 46,600,000 444,187
       20 yr Bond 2.30% 6/20/26 JPY 78,000,000 744,785
       30 yr Bond 2.40% 3/20/37 JPY 17,550,000 164,489
  2,019,928


Malaysia – 0.66%
Malaysian Government 
     3.756% 4/28/11 MYR  535,000              157,157
     7.00% 3/15/09 MYR  509,000 152,606
309,763
Mexico – 0.55%
Mexican Government                          
     7.25% 12/15/16 MXN  1,334,000 120,562
     8.00% 12/17/15 MXN  360,000 34,133
     9.00% 12/20/12 MXN  908,000 90,224
     10.00% 12/5/24 MXN  135,000 14,885
259,804
Poland – 0.67%
Poland Government
     4.75% 4/25/12 PLN  317,000 133,008
     6.25% 10/24/15 PLN  410,000 182,137
315,145
Republic of Korea – 0.38%
Government of South Korea 4.25% 12/7/21 EUR  140,000 178,757
178,757
Sweden – 0.11%
Sweden Government 5.50% 10/8/12 SEK  330,000 53,662
53,662
United Kingdom – 1.56%
U.K. Treasury
     5.00% 3/7/12 GBP  190,300 353,300
     5.00% 3/7/18 GBP  123,300 233,795
     5.25% 6/7/12 GBP  57,000 106,748
     9.00% 7/12/11 GBP  17,000 34,686
728,529
Total Sovereign Debt (cost $5,907,911) 5,964,703
     
Supranational Banks – 3.89%
Asia Development Bank 0.50% 10/9/12 AUD  199,000 134,056
European Bank for Reconstruction & Development 12.50% 3/23/09 ISK  19,600,000 235,362
European Investment Bank
     1.40% 6/20/17 JPY  35,300,000 324,531
     4.25% 12/7/10 GBP  173,000 309,876
     4.75% 10/15/17 EUR  287,000 427,266
Inter-American Development Bank 7.25% 5/24/12 NZD  378,000 267,643
International Bank for Reconstruction & Development 12.25% 8/4/10 BRL  200,000 123,164
Total Supranational Banks (cost $1,831,331)  1,821,898
Number of
Shares
Exchange Traded Fund – 0.09%  
UltraShort Real Estate ProShares 489   41,893
Total Exchange Traded Fund (cost $41,732)  41,893
 
Limited Partnership – 0.15%
*Brookfield Infrastructure Partners 4,000 72,000
Total Limited Partnership (cost $76,018) 72,000
 
Warrants – 0.00%
†=@PPort Townsend 20 0
†#Solutia 144A, exercise price $7.59, expiration date 7/15/09   130 0
Total Warrant (cost $11,539)   0
Principal
Amount°
Repurchase Agreements** – 6.03%
Bank of America 1.97%, dated 8/29/08, to be
repurchased on 9/2/08, repurchase price $450,099
(collateralized by U.S. Government obligations,
4.75% 12/31/08; with market value $459,109) USD  450,000 450,000


BNP Paribas 2.00%, dated 8/29/08, to be            
repurchased on 9/2/08, repurchase price $2,376,528
(collateralized by U.S. Government obligations, 3.875%
5/15/09 - 7/2/09; with market value $2,427,463) 2,376,000   2,376,000  
Total Repurchase Agreements (cost $2,826,000)   2,826,000
 
Total Value of Securities Before Securities Lending Collateral – 146.33%
     (cost $70,953,721)   68,564,380
Number of
Shares  
Securities Lending Collateral*** – 10.37% 
Investment Companies  
     Mellon GSL DBT II Collateral Fund 4,856,568   4,856,568
Total Securities Lending Collateral (cost $4,856,568)   4,856,568
  
Total Value of Securities – 156.70%
     (cost $75,810,289) 73,420,948 ©
Obligation to Return Securities Lending Collateral*** – (10.37%) (4,856,568 )
Borrowing Under Line of Credit – (49.09%)  (23,000,000 )
Receivables and Other Assets Net of Liabilities (See Notes) – 2.76%   1,291,525
Net Assets Applicable to 5,190,559 Shares Outstanding – 100.00% $ 46,855,905  

°Principal amount shown is stated in the currency in which each security is denominated.

AUD – Australian Dollar
BRL – Brazilian Real
CAD – Canadian Dollar
CHF – Swiss Franc
EUR – European Monetary Unit
GBP – British Pound Sterling
IDR – Indonesian Rupiah
ISK – Iceland Krona
JPY – Japanese Yen
MXN – Mexican Peso
MYR – Malaysia Ringgit
NOK – Norwegian Kroner
NZD – New Zealand Dollar
PLN – Polish Zloty
SEK – Swedish Krona
USD – United States Dollar

vSecurities have been classified by type of business.
@Illiquid security. At August 31, 2008, the aggregate amount of illiquid securities was $270,789, which represented 0.58% of the Fund’s net assets. See Note 7 in “Notes.”
=Security is being fair valued in accordance with the Fund’s fair valuation policy. At August 31, 2008, the aggregate amount of fair valued securities was $32,592, which represented 0.07% of the Fund’s net assets. See Note 1 in "Notes."
†Non income producing security.
·Variable rate security. The rate shown is the rate as of August 31, 2008.
#Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At August 31, 2008, the aggregate amount of Rule 144A securities was $4,380,564 which represented 9.35% of the Fund’s net assets. See Note 7 in “Notes.”
fStep coupon bond. Coupon increases periodically based on a predetermined schedule. Stated rate in effect at August 31, 2008.
‡Non income producing security. Security is currently in default.
WStep coupon bond. Indicates security that has a zero coupon that remains in effect until a predetermined date at which time the stated interest rate becomes effective.
«Senior Secured Loans generally pay interest at rates which are periodically redetermined by reference to a base lending rate plus a premium. These base lending rates are generally: (i) the prime rate offered by one or more United States banks, (ii) the lending rate offered by one or more European banks such as the London Inter-Bank Offered Rate (LIBOR), and (iii) the certificate of deposit rate. Senior Secured Loans may be subject to restrictions on resale.
*Fully or partially on loan.
**See Note 1 in “Notes.”
***See Note 6 in “Notes.”
©Includes $4,845,902 of securities loaned.
PRestricted Security. These investments are in securities not registered under the Securities Act of 1933, as amended, and have certain restrictions on resale which may limit their liquidity. At August 31, 2008, the aggregate amount of the restricted securities was $270,789 or 058% of the Fund's net assets. Further details on these holdings appear below and in Note 7 in "Notes."


Date of
Investment             Acquisition           Cost           Value
Avado Brands 4/2/02 $ 30,611 $ 0
Port Townsend 9/12//07     62,400   1
Port Townsend   8/27/07   19,800 4,871
Port Townsend 12.431% 8/27/12   8/27/07     27,720 27,720
Port Townsend   8/27/07   480 0
WM Covered Bond Program 3.875% 9/27/11   11/20/06   250,520     238,197
Total $ 270,789

Summary of Abbreviations:
ADR – American Depositary Receipt
CVA – Dutch Certificate
FDR – Federal Depositary Receipt
O.A.T. – Obligation Assimilable au Tresor (Treasury Obligation)
PIK – Payment-in-kind
REIT – Real Estate Investment Trust
S.F. – Single Family
TBA – To Be Announced
yr – Year

The following foreign currency exchange contracts and foreign cross currency exchange contracts were outstanding at August 31, 2008:

Foreign Currency Exchange Contracts1

Unrealized
Contracts to Appreciation
Receive (Deliver)             In Exchange For             Settlement Date             (Depreciation)
AUD  (809,087 )  USD 690,192 9/30/08 $ (1,867 ) 
BRL  (456,876 )  USD 280,000   9/30/08   (292 ) 
CAD  (138,382 )    USD 132,132 10/31/08 1,916  
CHF  126,418   USD (115,492 )  10/31/08     (613 ) 
EUR  160,464 ISK  (19,747,315 )    10/31/08   1,335
EUR  84,665 NOK (673,784 )  10/31/08 318
EUR  65,000 PLN (213,044 )    9/30/08 1,686
EUR  (181,016 )  USD 282,912     9/30/08 17,802
EUR  (631,822 )  USD 988,739 9/30/08   63,394
EUR  1,822,794 USD (2,848,608 )  9/30/08 (179,007 ) 
EUR  (374,043 )  USD 584,464 9/30/08 36,654
EUR  183,198 USD (286,247 )  9/30/08 (17,941 ) 
GBP  (240,880 )  USD 478,853 9/30/08 40,802
GBP  (292,960 )  USD 582,471 9/30/08 49,710
IDR  (2,189,724,500 )  USD 235,908 9/30/08 (3,389 ) 
JPY  (61,946,037 )  USD 566,778 10/31/08 (4,565 ) 
JPY  106,670,000 USD (979,253 )  10/31/08 4,589
JPY  144,054,722 USD (1,322,914 )  10/31/08 5,736
JPY  92,183,496 USD (842,605 )  10/31/08 7,625
MXN  (2,079,252 )  USD 205,358 9/30/08 4,160
MXN  (516,924 )  USD 50,380 9/30/08 360
MYR  (504,545 )  USD 155,724 9/30/08 6,991
NOK  (341,215 )  USD 66,086 9/30/08 3,358
NZD  163,934 JPY (12,624,984 )  10/31/08 (2,788 ) 
NZD  (340,519 )  USD 253,176 9/30/08 15,978
NZD  (694,759 )  USD 508,564 9/30/08 24,611  
PLN  (257,493 )  USD 114,952 10/31/08 2,266
SEK  853,098 EUR (91,024 )  10/31/08 (1,367 ) 
SEK  (1,370,515 )  USD 215,693 10/31/08   4,085
$ 81,547

The use of foreign currency exchange contracts and foreign cross currency exchange contracts involves elements of market risk and risks in excess of the amounts recognized in the financial statements. The notional values presented above represent the Fund’s (as defined below) total exposure in such contracts, whereas only the net unrealized appreciation (depreciation) is reflected in the Fund’s net assets.

1See Note 4 in “Notes.”

Notes

1. Significant Accounting Policies
The following accounting policies are in accordance with U.S. generally accepted accounting principles and are consistently followed by Delaware Investments Global Dividend and Income Fund, Inc. (Fund).

Security Valuation – Equity securities, except those traded on the Nasdaq Stock Market, Inc. (Nasdaq), are valued at the last quoted sales price as of the time of the regular close of the New York Stock Exchange (NYSE) on the valuation date. Securities traded on the Nasdaq are valued in accordance with the Nasdaq Official Closing Price, which may not be the last sales price. If on a particular day an equity security does not trade, then the mean between the bid and asked prices will be used. Securities listed on a foreign exchange are valued at the last quoted sales price on the valuation date. U.S. government and agency securities are valued at the mean between the bid and asked prices. Other long-term debt securities, credit default swap (CDS) contracts and interest rate swap contracts are valued by an independent pricing service or broker. To the extent current market prices are not available, the pricing service may take into account developments related to the specific security, as well as transactions in comparable securities. Short-term debt securities having less than 60 days to maturity are valued at amortized cost, which approximates market value. Securities lending collateral, which is invested in collective investment vehicle (Collective Trust), is valued at unit value per share. Foreign currency exchange contracts and forward foreign cross currency exchange contracts are valued at the mean between the bid and asked prices. Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available. Generally, index swap contracts and other securities and assets for which market quotations are not readily available are valued at fair value as determined in good faith under the direction of the Fund’s Board of Directors (Board). In determining whether market quotations are readily available or fair valuation will be used, various factors will be taken into consideration, such as market closures, or with respect to foreign securities, aftermarket trading or significant events after local market trading (e.g., government actions or pronouncements, trading volume or volatility on markets, exchanges among dealers, or news events).

Federal Income Taxes – The Fund intends to continue to qualify for federal income tax purposes as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended, and make the requisite distributions to shareholders. Accordingly, no provision for federal income taxes has been made in the financial statements.

Effective May 30, 2008, the Fund adopted FAS Interpretation No. 48 "Accounting for Uncertainty in Income Taxes" (FIN 48). FIN 48 provides guidance for how uncertain tax positions should be recognized, measured, presented, and disclosed in the financial statements. FIN 48 requires the evaluation of tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether the tax positions are "more-likely-than-not" of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold are recorded as a tax benefit or expense in the current year. The adoption of FIN 48 did not result in the recording of any tax benefit or expense in the current period.

Repurchase Agreements – The Fund may invest in a pooled cash account along with members of the Delaware Investments® Family of Funds pursuant to an exemptive order issued by the Securities and Exchange Commission. The aggregate daily balance of the pooled cash account is invested in repurchase agreements secured by obligations of the U.S. government. The respective collateral is held by the Fund’s custodian bank until the maturity of the respective repurchase agreements. Each repurchase agreement is at least 102% collateralized. However, in the event of default or bankruptcy by the counterparty to the agreement, realization of the collateral may be subject to legal proceedings.

Distributions – The Fund has a managed distribution policy. Under the policy, the Fund declares and pays monthly distributions and is managed with a goal of generating as much of the distribution as possible from ordinary income (net investment income and short-term capital gains). The balance of the distribution then comes from long-term capital gains to the extent permitted and, if necessary, a return of capital. The current annualized rate is $0.96 per share ($0.08 monthly). The Fund continues to evaluate its monthly distribution in light of ongoing economic and market conditions and may change the amount of the monthly distributions in the future.

Foreign Currency Transactions – Transactions denominated in foreign currencies are recorded at the prevailing exchange rates on the valuation date. The value of all assets and liabilities denominated in foreign currencies is translated into U.S. dollars at the exchange rate of such currencies against the U.S. dollar daily. Transaction gains or losses resulting from changes in exchange rates during the reporting period or upon settlement of the foreign currency transaction are reported in operations for the current period. The Fund isolates that portion of realized gains and losses on investments in debt securities which are due to changes in foreign exchange rates from that which are due to changes in market prices of debt securities. For foreign equity securities, these changes are included in realized gains (losses) on investments. The Fund reports certain foreign currency related transactions as components of realized gains (losses) for financial reporting purposes, whereas such components are treated as ordinary income (loss) for federal income tax purposes.

Use of Estimates – The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Other – Expenses directly attributable to the Fund are charged directly to the Fund. Other expenses common to various funds within the Delaware Investments® Family of Funds are generally allocated amongst such funds on the basis of average net assets. Management fees and some other expenses are paid monthly. Security transactions are recorded on the date the securities are purchased or sold (trade date) for financial reporting purposes. Costs used in calculating realized gains and losses on the sale of investment securities are those of the specific securities sold. Dividend income is recorded on the ex-dividend date and interest income is recorded on the accrual basis. Discounts and premiums on non-convertible bonds are amortized to interest income over the lives of the respective securities. Realized gains (losses) on paydowns of mortgage- and asset-backed securities are classified as interest income. Foreign dividends are also recorded on the ex-dividend date or as soon after the ex-dividend date that the Fund is aware of such dividends, net of all non-rebatable tax withholdings. Withholding taxes on foreign dividends and interest have been recorded in accordance with the Fund’s understanding of the applicable country’s tax rules and rates. Distributions received from investments in Real Estate Investment Trusts (REITs) are recorded as dividend income on ex-dividend date as an estimate, subject to reclassification upon notice of the character of such distributions by the issuer.

2. Investments
At August 31, 2008, the cost of investments for federal income tax purposes has been estimated since the final tax characteristics cannot be determined until fiscal year end. At August 31, 2008, the cost of investments and unrealized appreciation (depreciation) for the Fund was as follows:

Cost of investments  $ 75,881,609  
Aggregate unrealized appreciation  4,360,141  
Aggregate unrealized depreciation    (6,820,802 )
Net unrealized depreciation  $ (2,460,661 )

Effective December 1, 2007, the Fund adopted Financial Accounting Standards No. 157, Fair Value Measurements (FAS 157). FAS 157 defines fair value as the price that the Fund would receive to sell an asset or pay 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 obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity's own assumptions about the assumptions that market participants would use in pricing the asset or liability developed based on the best information available under the circumstances. The Fund's investment in its entirety is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

Level 1 – inputs are quoted prices in active markets
Level 2 – inputs that are observable, directly or indirectly
Level 3 – inputs are unobservable and reflect assumptions on the part of the reporting entity

The following table summarizes the valuation of the Fund’s investments by the above FAS 157 fair value hierarchy levels as of August 31, 2008:

  Securities       Derivatives
Level 1  $ 29,472,157 $ -
Level 2    42,565,519   81,547
Level 3    1,383,272   -
Total  $ 73,420,948 $ -

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

Securities
Balance as of 11/30/07 $ 834,625
Net realized gain (loss) 3,769
Net change in unrealized
     appreciation/depreciation (570,559 )
Net purchases, sales and settlements 865,437  
Net transfers in and/or out of Level 3   250,000
Balance as of 8/31/08 $ 1,383,272
 
Net change in unrealized
     appreciation/depreciation from
     Investments still held as of 8/31/08 $ (79,765 )

3. Line of Credit
For the period ended August 31, 2008, the Fund borrowed money pursuant to a $25,000,000 Line of Credit Agreement with The Bank of New York Mellon (BNY Mellon). At August 31, 2008, the par value of loans outstanding was $23,000,000 at the Fed Funds rate of 2.24% plus 0.25%. During the period ended August 31, 2008, the average daily balance of loans outstanding was $23,000,000 at a weighted average Fed Funds rate of approximately 2.256% plus 0.25%. The maximum amount of loans outstanding at any time during the period was $23,000,000. Interest on borrowings is based on market rates in effect at the time of borrowing. The commitment fee is computed at a rate of 0.10% per annum on the unused balance. The loan is collateralized by the Fund’s portfolio.

4. Foreign Currency Exchange Contracts
The Fund may enter into foreign currency exchange contracts and foreign cross currency exchange contracts as a way of managing foreign exchange rate risk. The Fund may enter into these contracts to fix the U.S. dollar value of a security that it has agreed to buy or sell for the period between the date the trade was entered into and the date the security is delivered and paid for. The Fund may also use these contracts to hedge the U.S. dollar value of securities it already owns that are denominated in foreign currencies. The change in market value is recorded as an unrealized gain or loss. When the contract is closed, a realized gain or loss is recorded equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed.

The use of foreign currency exchange contracts and foreign cross currency exchange contracts does not eliminate fluctuations in the underlying prices of the securities, but does establish a rate of exchange that can be achieved in the future. Although foreign currency exchange contracts limit the risk of loss due to a decline in the value of the hedged currency, they also limit any potential gain that might result should the value of the currency increase. In addition, the Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts.

5. Swap Contracts
The Fund may enter into interest rate swap contracts, index swap contracts and CDS contracts in accordance with its investment objectives. The Fund may use interest rate swaps to adjust the Fund’s sensitivity to interest rates or to hedge against changes in interest rates. Index swaps may be used to gain exposure to markets that the Fund invests in, such as the corporate bond market. The Fund may also use index swaps as a substitute for futures or options contracts if such contracts are not directly available to the Fund on favorable terms. The Fund may enter into CDS contracts in order to hedge against a credit event, to enhance total return or to gain exposure to certain securities or markets.

An interest rate swap involves payments received by the Fund from another party based on a variable or floating interest rate, in return for making payments based on a fixed interest rate. An interest rate swap can also work in reverse with the Fund’s receiving payments based on a fixed interest rate and making payments based on a variable or floating interest rate. Interest rate swaps may be used to adjust the Fund’s sensitivity to interest rates or to hedge against changes in interest rates. Periodic payments on such contracts are accrued daily and recorded as unrealized appreciation/depreciation on swap contracts. Upon periodic payment/receipt or termination of the contract, such amounts are recorded as realized gains or losses on swap contracts.

Index swaps involve commitments to pay interest in exchange for a market-linked return based on a notional amount. To the extent the total return of the security, instrument or basket of instruments underlying the transaction exceeds the offsetting interest obligation, the Fund will receive a payment from the counterparty. To the extent the total return of the security, instrument or basket of instruments underlying the transaction falls short of the offsetting interest obligation, the Fund will make a payment to the counterparty. The change in value of swap contracts outstanding, if any, is recorded as unrealized appreciation or depreciation daily. A realized gain or loss is recorded on maturity or termination of the swap contract.

A CDS contract is a risk-transfer instrument through which one party (purchaser of protection) transfers to another party (seller of protection) the financial risk of a credit event (as defined in the CDS agreement), as it relates to a particular reference security or basket of securities (such as an index). In exchange for the protection offered by the seller of protection, the purchaser of protection agrees to pay the seller of protection a periodic amount at a stated rate that is applied to the notional amount of the CDS contract. In addition, an upfront payment may be made or received by the Fund in connection with an unwinding or assignment of a CDS contract. Upon the occurrence of a credit event, the seller of protection would pay the par (or other agreed-upon) value of the referenced security (or basket of securities) to the counterparty.

During the period ended August 31, 2008, the Fund did not enter into CDS contracts as a purchaser or seller of protection. Periodic payments (receipts) on such contracts are accrued daily and recorded as unrealized losses (gains) on swap contracts. Upon payment (receipt), such amounts are recorded as realized losses (gains) on swap contracts. Upfront payments made or received in connection with CDS contracts are amortized over the expected life of the CDS contracts as unrealized losses (gains) on swap contracts. The change in value of CDS contracts is recorded as unrealized appreciation or depreciation daily. A realized gain or loss is recorded upon a credit event (as defined in the CDS agreement) or the maturity or termination of the agreement.

CDSs may involve greater risks than if a Fund had invested in the referenced obligation directly. CDSs are subject to general market risk, liquidity risk, counterparty risk and credit risk. If the Fund enter into a CDS contract as a purchaser of protection and no credit event occurs, its exposure is limited to the periodic payments previously made to the counterparty.

Because there is no organized market for swap contracts, the value of open swaps may differ from that which would be realized in the event the Fund terminated its position in the agreement. Risks of entering into these agreements include the potential inability of the counterparty to meet the terms of the contracts. This type of risk is generally limited to the amount of favorable movements in the value of the underlying security, instrument, or basket of instruments, if any, at the day of default. Risks also arise from potential losses from adverse market movements and such losses could exceed the unrealized amounts.

6. Securities Lending
The Fund, along with other funds in the Delaware Investments® Family of Funds, may lend its securities pursuant to a security lending agreement (Lending Agreement) with BNY Mellon. With respect to each loan, if the aggregate market value of the collateral held on any business day is less than the aggregate market value of the securities which are the subject of such loan, the borrower will be notified to provide additional collateral not less than the applicable collateral requirements. Cash collateral received is invested in a Collective Trust established by BNY Mellon for the purpose of investment on behalf of clients participating in its securities lending programs. The Collective Trust invests in fixed income securities, with a weighted average maturity not to exceed 90 days, rated in one of the top three tiers by Standard & Poor's Ratings Group or Moody’s Investors Service, Inc. or repurchase agreements collateralized by such securities. The Fund can also accept U.S. government securities and letters of credit (non-cash collateral) in connection with securities loans. In the event of default or bankruptcy by the lending agent, realization and/or retention of the collateral may be subject to legal proceedings. In the event the borrower fails to return loaned securities and the collateral received is insufficient to cover the value of the loaned securities and provided such collateral shortfall is not the result of investment losses, the lending agent has agreed to pay the amount of the shortfall to the Fund, or at the discretion of the lending agent, replace the loaned securities. The Fund continues to record dividends or interest, as applicable, on the securities loaned and is subject to change in value of the securities loaned that may occur during the term of the loan. The Fund has the right under the Lending Agreement to recover the securities from the borrower on demand. With respect to security loans collateralized by non-cash collateral, the Fund receives loan premiums paid by the borrower. With respect to security loans collateralized by cash collateral, the earnings from the collateral investments are shared among the Fund, the security lending agent and the borrower. The Fund records security lending income net of allocations to the security lending agent and the borrower.

At August 31, 2008, the value of securities on loan was $4,845,902, for which the Fund received collateral, comprised of non-cash collateral valued at $231,715, and cash collateral of $4,856,568. Investments purchased with cash collateral are presented on the schedule of investments under the caption “Securities Lending Collateral.”

7. Credit and Market Risk
Some countries in which the Fund may invest require governmental approval for the repatriation of investment income, capital or the proceeds of sales of securities by foreign investors. In addition, if there is deterioration in a country’s balance of payments or for other reasons, a country may impose temporary restrictions on foreign capital remittances abroad.

The securities exchanges of certain foreign markets are substantially smaller, less liquid and more volatile than the major securities markets in the United States. Consequently, acquisition and disposition of securities by the Fund may be inhibited. In addition, a significant portion of the aggregate market value of equity securities listed on the major securities exchanges in emerging markets are held by a smaller number of investors. This may limit the number of shares available for acquisition or disposition by the Fund.

The Fund invests a portion of its assets in high yield fixed income securities, which carry ratings of BB or lower by Standard & Poor’s Ratings Group and/or Ba or lower by Moody’s Investors Service, Inc. Investments in these higher yielding securities are generally accompanied by a greater degree of credit risk than higher rated securities. Additionally, lower rated securities may be more susceptible to adverse economic and competitive industry conditions than investment grade securities.

The Fund invests in REITs and is subject to some of the risks associated with that industry. If the Fund holds real estate directly as a result of defaults or receives rental income directly from real estate holdings, its tax status as a regulated investment company may be jeopardized. There were no direct real estate holdings during the period ended August 31, 2008. The Fund's REIT holdings are also affected by interest rate changes, particularly if the REITs it holds use floating rate debt to finance their ongoing operations.

The Fund may invest up to 10% of its net assets in illiquid securities, which may include securities with contractual restrictions on resale, securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended, and other securities which may not be readily marketable. The relative illiquidity of these securities may impair the Fund from disposing of them in a timely manner and at a fair price when it is necessary or desirable to do so. While maintaining oversight, the Fund's Board has delegated to Delaware Management Company, a series of Delaware Management Business Trust, the day-to-day functions of determining whether individual securities are liquid for purposes of the Fund's limitation on investments in illiquid assets. Securities eligible for resale pursuant to Rule 144A, which are determined to be liquid, are not subject to the Fund’s 10% limit on investments in illiquid securities. Rule 144A and illiquid securities have been identified on the schedule of investments.

8. Subsequent Events

Lehman Bankruptcy
At August 31, 2008, Delaware Investments Global Dividend and Income Fund, Inc. had direct and indirect exposure to investments with Lehman Brothers Holdings Inc. (“Lehman”) or Lehman’s affiliates, including bonds and derivatives for which Lehman or Lehman’s affiliates was the issuer or counterparty. On September 15, 2008, Lehman filed for Chapter 11 bankruptcy protection.

With respect to direct exposure to Lehman, the Fund held securities valued at approximately 0.41% of net assets as of August 31, 2008. With respect to indirect exposure, the Fund’s exposure through foreign currency exchange contracts where Lehman or Lehman’s affiliate was counterparty was approximately 0.25% of net assets (which represents the net unrealized appreciation/depreciation on the Fund’s books) as of August 31, 2008.

As of September 15, 2008, approximately 0.00% and 0.26% of the Fund’s net assets were subject to direct and indirect exposure of Lehman or Lehman’s affiliates (before collateral), respectively.

Credit Agreement
In October 2008, Delaware Investments Global Dividend and Income Fund, Inc. reduced the amount borrowed pursuant to a Credit Agreement with BNY Mellon to approximately $15 million as of October 27, 2008. The reduction in the amount borrowed was made so that the Fund could meet the asset coverage requirements set forth in the Credit Agreement.

Item 2. Controls and Procedures.

     The registrant’s principal executive officer and principal financial officer have evaluated the registrant’s disclosure controls and procedures within 90 days of the filing of this report and have concluded that they are effective in providing reasonable assurance that the information required to be disclosed by the registrant in its reports or statements filed under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission.

     There were no significant changes in the registrant’s internal control over financial reporting that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3. Exhibits.

     File as exhibits as part of this Form a separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)), exactly as set forth below: