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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
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<SEC-DOCUMENT>0000932334-08-000007.txt : 20081107
<SEC-HEADER>0000932334-08-000007.hdr.sgml : 20081107
<ACCEPTANCE-DATETIME>20081107105222
ACCESSION NUMBER:		0000932334-08-000007
CONFORMED SUBMISSION TYPE:	3
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20081031
FILED AS OF DATE:		20081107
DATE AS OF CHANGE:		20081107

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			BELL INDUSTRIES INC /NEW/
		CENTRAL INDEX KEY:			0000945489
		STANDARD INDUSTRIAL CLASSIFICATION:	WHOLESALE-ELECTRONIC PARTS & EQUIPMENT, NEC [5065]
		IRS NUMBER:				952039211
		STATE OF INCORPORATION:			CA
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		1960 E GRAND AVENUE SUITE 560
		CITY:			EL SEGUNDO
		STATE:			CA
		ZIP:			90245
		BUSINESS PHONE:		3105632355

	MAIL ADDRESS:	
		STREET 1:		1960 E GRAND AVENUE SUITE 560
		CITY:			EL SEGUDON
		STATE:			CA
		ZIP:			90245

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	CALIFORNIA BELL INDUSTRIES INC
		DATE OF NAME CHANGE:	19950519

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			BI Holdings, L.P.
		CENTRAL INDEX KEY:			0001449559

	FILING VALUES:
		FORM TYPE:		3
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-11471
		FILM NUMBER:		081169320

	BUSINESS ADDRESS:	
		STREET 1:		200 CRESCENT COURT
		STREET 2:		SUITE 200
		CITY:			DALLAS
		STATE:			TX
		ZIP:			75201
		BUSINESS PHONE:		(214) 661-7473

	MAIL ADDRESS:	
		STREET 1:		200 CRESCENT COURT
		STREET 2:		SUITE 200
		CITY:			DALLAS
		STATE:			TX
		ZIP:			75201
</SEC-HEADER>
<DOCUMENT>
<TYPE>3
<SEQUENCE>1
<FILENAME>primary_doc.xml
<DESCRIPTION>PRIMARY DOCUMENT
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0203</schemaVersion>

    <documentType>3</documentType>

    <periodOfReport>2008-10-31</periodOfReport>

    <noSecuritiesOwned>0</noSecuritiesOwned>

    <issuer>
        <issuerCik>0000945489</issuerCik>
        <issuerName>BELL INDUSTRIES INC /NEW/</issuerName>
        <issuerTradingSymbol>BI</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001449559</rptOwnerCik>
            <rptOwnerName>BI Holdings, L.P.</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>200 CRESCENT COURT</rptOwnerStreet1>
            <rptOwnerStreet2>SUITE 1400</rptOwnerStreet2>
            <rptOwnerCity>DALLAS</rptOwnerCity>
            <rptOwnerState>TX</rptOwnerState>
            <rptOwnerZipCode>75201</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>1</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <derivativeTable>
        <derivativeHolding>
            <securityTitle>
                <value>4% Convertible Promissory Note Due 2017</value>
                <footnoteId id="F1"/>
            </securityTitle>
            <conversionOrExercisePrice>
                <value>0.2</value>
            </conversionOrExercisePrice>
            <exerciseDate>
                <value>2008-06-13</value>
            </exerciseDate>
            <expirationDate>
                <value>2017-01-31</value>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Stock, $.001 par value per share</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>25859676</value>
                    <footnoteId id="F2"/>
                    <footnoteId id="F3"/>
                    <footnoteId id="F4"/>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                    <footnoteId id="F5"/>
                </directOrIndirectOwnership>
            </ownershipNature>
        </derivativeHolding>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">The 4% convertible subordinated pay-in-kind promissory note due January 31, 2017 reported herein (the &quot;Convertible Note&quot;) was contributed in its entirety by Newcastle Partners, L.P. (&quot;NP&quot;) to BI Holdings, L.P. (&quot;BILP&quot;) on October 31, 2008. The Convertible Note was originally issued to NP on January 31, 2007 with an initial principal amount of $10,000,000 and was subsequently amended and restated on March 12, 2007 and on June 13, 2008. On June 13, 2008, the conversion price on the Convertible Note was reduced to $.20 (from $3.81) subject to adjustment, the interest rate was reduced to 4% (from 8%) subject to adjustment, and the principal balance of the Convertible Note was restated at $11,137,321 (consisting of the original principal amount plus paid-in-kind and accrued interest as of June 12, 2008).  The accreted value of the Convertible Note as of October 31, 2008 is $11,361,899.</footnote>
        <footnote id="F2">Represents the number of shares of Common Stock of the Issuer into which the Convertible Note, principal amount $11,361,899 is convertible into subject to the following limitations. The entire principal amount (inclusive of any interest accretion) of the Convertible Note is convertible into shares of Common Stock at the conversion price of $.20 per share, subject to adjustment (the &quot;Conversion Price&quot;); provided that,</footnote>
        <footnote id="F3">(continuation of Footnote 2) until such time as the Issuer's shareholders approve an increase in the Issuer's authorized shares of Common Stock to permit full conversion of the Convertible Note, BILP cannot convert the Convertible Note into more than a number of shares of Common Stock which, when added together with any other outstanding shares of Common Stock and any shares of Common Stock into which derivative securities of Issuer are then convertible or exercisable, equal the maximum number of authorized shares of Common Stock under Issuer's existing Articles of Incorporation.</footnote>
        <footnote id="F4">The Issuer is seeking shareholder approval at its 2008 annual meeting of shareholders for an increase in the authorized shares of Common Stock of the Issuer to permit the conversion of the entire principal balance of the Convertible Note into shares of Common Stock upon conversion of the Convertible Note. Upon such approval, it is expected that the Convertible Note shall be convertible into at least 30,949,819 additional shares (as well as any additional shares in respect of paid in kind interest on the Convertible Note). If such approval is not obtained at the Issuer's 2008 annual meeting of shareholders, this Form 4 will be amended accordingly.</footnote>
        <footnote id="F5">Newcastle Capital Management, L.P. (&quot;NCM&quot;) is the general partner of BILP.  Newcastle Capital Group, L.L.C. (&quot;NCG&quot;) is the general partner of NCM and Mark E. Schwarz is the managing member of NCG. Accordingly, each of NCM, NCG and Mr. Schwarz may be deemed to beneficially own the shares issuable upon conversion of the Convertible Note. Mr. Schwarz, NCM and NCG disclaim beneficial ownership of the shares beneficially owned by BILP, except to the extent of their pecuniary interest therein. Mr. Schwarz is a director of the Issuer.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>BI Holdings, L.P., By: Newcastle Capital Management, L.P., its general partner, By: Newcastle Capital Group, L.L.C. its general partner, by:/s/ Mark E. Schwarz, its managing member</signatureName>
        <signatureDate>2008-11-07</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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