UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
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Investment Company Act file number |
811-8985 |
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LMP Corporate Loan Fund Inc. | ||||||
|
(Exact name of registrant as specified in charter) | ||||||
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55 Water Street, New York, NY |
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10041 | ||||
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(Address of principal executive offices) |
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(Zip code) | ||||
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Robert I. Frenkel, Esq. Legg Mason & Co., LLC 100 First Stamford Place Stamford, CT 06902 | ||||||
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(Name and address of agent for service) | ||||||
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Registrant’s telephone number, including area code: |
(888) 777-0102 |
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Date of fiscal year end: |
September 30 |
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Date of reporting period: |
December 31, 2010 |
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ITEM 1. SCHEDULE OF INVESTMENTS.
LMP CORPORATE LOAN FUND INC.
FORM N-Q
DECEMBER 31, 2010
Schedule of investments (unaudited)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
| ||
|
COLLATERALIZED SENIOR LOANS (a) — 93.3% |
|
|
|
|
|
|
|
|
| ||
|
Aerospace/Defense — 1.1% |
|
|
|
|
|
|
|
|
| ||
|
Transdigm Inc., Term Loan B |
|
5.000% |
|
12/6/16 |
|
$ 1,153,321 |
|
$ 1,166,657 |
| ||
|
Triumph Group Inc., Term Loan B |
|
4.500% |
|
6/16/16 |
|
855,611 |
|
861,386 |
| ||
|
Total Aerospace/Defense |
|
|
|
|
|
|
|
2,028,043 |
| ||
|
Automotive — 2.4% |
|
|
|
|
|
|
|
|
| ||
|
Kar Holdings, Term Loan B |
|
3.020% |
|
10/18/13 |
|
1,354,543 |
|
1,349,124 |
| ||
|
Keystone Automotive Industries Inc., Term Loan B |
3.761% - 5.750% |
|
1/12/12 |
|
508,597 |
|
464,095 |
| |||
|
Metaldyne Company LLC, Term Loan B |
|
7.750% |
|
10/28/16 |
|
762,028 |
|
775,364 |
| ||
|
Remy International Inc., Term Loan B |
|
6.250% |
|
12/16/16 |
|
309,733 |
|
312,637 |
| ||
|
Tire Rack Inc., Term Loan B |
|
2.020% |
|
6/24/12 |
|
803,757 |
|
797,394 |
| ||
|
United Components Inc., Term Loan B |
|
6.250% |
|
3/23/17 |
|
687,861 |
|
695,083 |
| ||
|
Total Automotive |
|
|
|
|
|
|
|
4,393,697 |
| ||
|
Broadcast Radio and Television — 1.6% |
|
|
|
|
|
|
|
|
| ||
|
National Cinemedia Inc., Term Loan B |
|
2.060% |
|
2/13/15 |
|
985,659 |
|
970,698 |
| ||
|
Univision Communications, Extended Term Loan |
|
4.511% |
|
3/31/17 |
|
684,818 |
|
652,289 |
| ||
|
Weather Channel, Replacement Term Loan |
|
5.000% |
|
9/14/15 |
|
1,412,683 |
|
1,423,571 |
| ||
|
Total Broadcast Radio and Television |
|
|
|
|
|
|
|
3,046,558 |
| ||
|
Building and Development — 3.1% |
|
|
|
|
|
|
|
|
| ||
|
Beacon Sales Acquisition Inc., Term Loan B |
2.261% - 4.000% |
|
9/30/13 |
|
1,124,506 |
|
1,071,092 |
| |||
|
Building Materials Holding Corp., First Lien Term Loan |
|
3.063% |
|
2/24/14 |
|
1,076,943 |
|
1,078,065 |
| ||
|
Custom Building Products Inc., Term Loan B |
|
5.750% |
|
3/19/15 |
|
501,520 |
|
505,281 |
| ||
|
Panolam Industries International Inc., |
|
8.250% |
|
12/31/13 |
|
984,881 |
|
907,733 |
| ||
|
Pike Electric Inc., Term Loan B |
|
2.063% |
|
7/2/12 |
|
639,093 |
|
615,127 |
| ||
|
Pike Electric Inc., Term Loan C |
|
2.063% |
|
12/10/12 |
|
755,845 |
|
727,500 |
| ||
|
South Edge LLC, Term Loan C |
|
0.000% |
|
10/31/09 |
|
2,500,000 |
|
893,750 |
(b) | ||
|
Total Building and Development |
|
|
|
|
|
|
|
5,798,548 |
| ||
|
Business Equipment and Services — 10.2% |
|
|
|
|
|
|
|
|
| ||
|
Affinion Group Inc., Term Loan B |
|
5.000% |
|
10/10/16 |
|
1,940,815 |
|
1,935,053 |
| ||
|
Asurion Corp., First Lien Term Loan |
3.262% - 3.286% |
|
7/3/14 |
|
471,529 |
|
448,616 |
| |||
|
Asurion Corp., Second Lien Term Loan |
|
6.762% |
|
7/3/15 |
|
1,422,414 |
|
1,346,848 |
| ||
|
Asurion Corp., Tranche B2 Incremental Term Loan |
|
6.750% |
|
3/31/15 |
|
725,000 |
|
727,913 |
| ||
|
Belfor U.S.A., Term Loan B |
5.750% - 6.000% |
|
12/4/13 |
|
2,249,426 |
|
2,249,426 |
| |||
|
Booz Allen Hamilton Inc., Tranche C Term Loan |
|
6.000% |
|
7/31/15 |
|
958,320 |
|
962,752 |
| ||
|
Bright Horizons Family Solutions, Term Loan B |
|
7.500% |
|
5/28/15 |
|
1,495,434 |
|
1,504,647 |
| ||
|
Deluxe Entertainment Service Group Inc., Letter of Credit |
|
6.250% |
|
5/11/13 |
|
74,486 |
|
71,716 |
| ||
|
Deluxe Entertainment Service Group Inc., |
|
11.000% |
|
11/11/13 |
|
100,000 |
|
96,250 |
| ||
|
Deluxe Entertainment Service Group Inc., |
|
6.250% |
|
5/11/13 |
|
1,191,768 |
|
1,147,450 |
| ||
|
Fidelity National Information Solutions Inc., |
|
5.250% |
|
7/18/16 |
|
1,308,277 |
|
1,326,397 |
| ||
|
First Data Corp., Term Loan B1 |
|
3.011% |
|
9/24/14 |
|
955,687 |
|
883,189 |
| ||
|
InfoGroup Inc., New Term Loan B |
|
6.250% |
|
7/1/16 |
|
852,590 |
|
861,471 |
| ||
|
Interactive Data Corp., Term Loan B Intralinks Inc., |
|
6.750% |
|
1/27/17 |
|
1,087,498 |
|
1,104,486 |
| ||
|
Term Loan |
|
5.750% |
|
6/15/14 |
|
1,282,765 |
|
1,269,938 |
| ||
|
N.E.W Holdings I LLC, Secured Term Loan |
|
6.000% |
|
3/23/16 |
|
1,532,143 |
|
1,525,919 |
| ||
|
U.S. Investigations Services LLC, Term Loan Verifone Inc., |
|
3.304% |
|
2/21/15 |
|
1,080,998 |
|
1,037,758 |
| ||
|
Term Loan |
|
3.020% |
|
10/31/13 |
|
355,541 |
|
356,429 |
| ||
|
Total Business Equipment and Services |
|
|
|
|
|
|
|
18,856,258 |
| ||
See Notes to Schedule of Investments.
Schedule of investments (unaudited) (cont’d)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
| |
|
Cable and Satellite Television — 3.9% |
|
|
|
|
|
|
|
|
| |
|
Bragg Communications Inc., Term Loan B Tranche Two |
|
2.794% |
|
8/31/14 |
|
$ 1,947,132 |
|
$ 1,910,623 |
| |
|
Insight Midwest Holdings LLC, Term Loan B |
2.010% - 2.040% |
|
4/7/14 |
|
1,562,881 |
|
1,524,785 |
| ||
|
Mediacom Illinois LLC, Tranche D Term Loan |
|
5.500% |
|
3/31/17 |
|
1,989,924 |
|
1,978,719 |
| |
|
Telesat Canada, U.S. Term I Loan |
|
3.270% |
|
10/31/14 |
|
1,820,308 |
|
1,815,758 |
| |
|
Total Cable and Satellite Television |
|
|
|
|
|
|
|
7,229,885 |
| |
|
Chemicals/Plastics — 6.3% |
|
|
|
|
|
|
|
|
| |
|
General Chemical Corp., Tranche B Term Loan |
6.750% - 7.250% |
|
10/6/15 |
|
683,900 |
|
690,739 |
| ||
|
Hexion Specialty Chemicals Inc., Extended Term Loan C4 |
|
4.063% |
|
5/5/15 |
|
799,839 |
|
793,841 |
| |
|
Hexion Specialty Chemicals Inc., Term Loan C5 |
|
2.563% |
|
5/6/13 |
|
774,408 |
|
760,856 |
| |
|
Huish Detergents Inc., Second Lien Term Loan |
|
4.520% |
|
10/26/14 |
|
1,675,000 |
|
1,582,875 |
| |
|
Kik Custom Products Inc., Canadian Term Loan |
|
2.560% |
|
6/2/14 |
|
92,575 |
|
79,615 |
| |
|
Kik Custom Products Inc., First Lien Term Loan |
|
2.560% |
|
6/2/14 |
|
540,021 |
|
464,418 |
| |
|
Kik Custom Products Inc., Second Lien Term Loan |
|
5.303% |
|
11/30/14 |
|
1,583,334 |
|
1,089,861 |
| |
|
Nalco Company, Term Loan B1 |
|
4.500% |
|
10/5/17 |
|
1,620,938 |
|
1,637,552 |
| |
|
Omnova Solutions Inc., Term Loan B |
|
5.750% |
|
5/31/17 |
|
149,700 |
|
151,197 |
| |
|
Polypore Inc., Incremental Term Loan |
|
2.270% |
|
7/3/14 |
|
1,074,268 |
|
1,062,182 |
| |
|
Rockwood Specialties Group Inc., Tranche H |
|
6.000% |
|
5/15/14 |
|
936,851 |
|
944,072 |
| |
|
Styron S.A.R.L LLC, Term Loan B |
|
7.500% |
|
6/17/16 |
|
1,029,754 |
|
1,046,810 |
| |
|
Unifrax Corp., Term Loan B |
|
2.563% |
|
5/2/13 |
|
1,411,924 |
|
1,351,917 |
| |
|
Total Chemicals/Plastics |
|
|
|
|
|
|
|
11,655,935 |
| |
|
Conglomerates — 0.7% |
|
|
|
|
|
|
|
|
| |
|
TriMas Corp., Tranche B Extended Term Loan |
|
6.000% |
|
12/15/15 |
|
1,166,953 |
|
1,175,705 |
| |
|
TriMas Corp., Tranche B1 LC Extended Term Loan |
|
6.000% |
|
8/2/11 |
|
93,750 |
|
94,453 |
| |
|
Total Conglomerates |
|
|
|
|
|
|
|
1,270,158 |
| |
|
Containers and Glass Products — 2.4% |
|
|
|
|
|
|
|
|
| |
|
Graphic Packaging International Inc., First Lien Term Loan |
2.288% - 2.303% |
|
5/16/14 |
|
1,893,795 |
|
1,870,952 |
| ||
|
Reynolds Group Holdings Inc., Incremental Term Loan |
|
6.250% |
|
5/5/16 |
|
615,487 |
|
621,257 |
| |
|
Reynolds Group Holdings Inc., Term Loan A |
|
6.250% |
|
8/6/15 |
|
555,000 |
|
557,151 |
| |
|
Reynolds Group Holdings Inc., Term Loan D |
|
6.500% |
|
5/5/16 |
|
1,295,000 |
|
1,309,385 |
| |
|
Total Containers and Glass Products |
|
|
|
|
|
|
|
4,358,745 |
| |
|
Cosmetics/Personal Care — 0.5% |
|
|
|
|
|
|
|
|
| |
|
Vi-Jon, Term Loan B |
|
2.261% |
|
4/24/14 |
|
939,627 |
|
906,740 |
| |
|
Drugs — 1.9% |
|
|
|
|
|
|
|
|
| |
|
Catalent Pharma Solutions, Dollar Term Loan |
|
2.511% |
|
4/10/14 |
|
1,089,755 |
|
1,037,992 |
| |
|
Royalty Pharma Finance Trust, Term Loan |
|
2.553% |
|
4/16/13 |
|
1,543,206 |
|
1,539,820 |
| |
|
Warner Chilcott PLC, Additional Term Loan |
|
6.250% |
|
4/30/15 |
|
137,493 |
|
138,601 |
| |
|
Warner Chilcott PLC, Term Loan A |
|
6.000% |
|
10/30/14 |
|
357,125 |
|
358,353 |
| |
|
Warner Chilcott PLC, Term Loan B1 |
|
6.250% |
|
4/30/15 |
|
176,731 |
|
178,102 |
| |
|
Warner Chilcott PLC, Term Loan B2 |
|
6.250% |
|
4/30/15 |
|
294,289 |
|
296,573 |
| |
|
Total Drugs |
|
|
|
|
|
|
|
3,549,441 |
| |
|
Electronics/Electric — 6.0% |
|
|
|
|
|
|
|
|
| |
|
Applied Systems Inc., First Lien Term Loan |
|
5.500% |
|
12/6/16 |
|
336,251 |
|
337,512 |
| |
|
Applied Systems Inc., Second Lien Term Loan |
|
9.250% |
|
6/7/17 |
|
400,000 |
|
401,833 |
| |
|
Bentley Systems Inc., Term Loan B |
|
5.750% |
|
12/21/16 |
|
605,107 |
|
609,645 |
| |
|
CCC Information Services Inc., New Term Loan B |
|
5.500% |
|
11/11/15 |
|
525,834 |
|
530,264 |
| |
|
Dealer Computer Services, Term Loan B |
|
5.250% |
|
4/21/17 |
|
1,633,604 |
|
1,647,132 |
| |
|
MSCI Inc., New Term Loan Sabre Inc., |
|
4.750% |
|
6/1/16 |
|
988,291 |
|
996,630 |
| |
|
Term Loan B |
2.261% - 2.288% |
|
9/30/14 |
|
1,587,603 |
|
1,482,986 |
| ||
See Notes to Schedule of Investments.
Schedule of investments (unaudited) (cont’d)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
| |
|
Electronics/Electric — continued |
|
|
|
|
|
|
|
|
| |
|
Travelport, Delayed Draw Term Loan |
2.790% - 2.963% |
|
8/23/13 |
|
$ 1,680,156 |
|
$ 1,595,728 |
| ||
|
Vertafore Inc., First Lien Term Loan |
|
6.750% |
|
7/29/16 |
|
1,840,750 |
|
1,852,255 |
| |
|
Vertafore Inc., Second Lien Term Loan |
|
9.750% |
|
10/27/17 |
|
800,000 |
|
808,500 |
| |
|
Vision Solutions Inc., Term Loan B |
|
7.750% |
|
7/23/16 |
|
770,000 |
|
767,113 |
| |
|
Total Electronics/Electric |
|
|
|
|
|
|
|
11,029,598 |
| |
|
Equipment Leasing — 0.4% |
|
|
|
|
|
|
|
|
| |
|
Rent-A-Center Inc., Extended Term Loan B |
|
3.310% |
|
3/31/15 |
|
806,415 |
|
808,431 |
| |
|
Rent-A-Center Inc., Term Loan B |
|
2.060% |
|
6/30/12 |
|
3,364 |
|
3,364 |
| |
|
Total Equipment Leasing |
|
|
|
|
|
|
|
811,795 |
| |
|
Farming/Agriculture — 0.1% |
|
|
|
|
|
|
|
|
| |
|
CF Industries Inc., New Term Loan B |
|
4.250% |
|
4/6/15 |
|
98,359 |
|
98,994 |
| |
|
Finance — 0.6% |
|
|
|
|
|
|
|
|
| |
|
Fifth Third Processing Solutions LLC, Second Lien |
|
8.250% |
|
11/1/17 |
|
257,221 |
|
262,365 |
| |
|
Fifth Third Processing Solutions LLC, Term Loan B |
|
5.500% |
|
11/3/16 |
|
845,154 |
|
853,183 |
| |
|
Total Finance |
|
|
|
|
|
|
|
1,115,548 |
| |
|
Food Products — 4.0% |
|
|
|
|
|
|
|
|
| |
|
American Seafood Group LLC, Term Loan B |
|
5.500% |
|
5/7/15 |
|
914,829 |
|
918,260 |
| |
|
Michael Foods Inc., Term Loan B |
6.250% - 6.750% |
|
6/29/16 |
|
1,925,345 |
|
1,955,829 |
| ||
|
NPC International, Term Loan B |
2.020% - 2.040% |
|
5/3/13 |
|
1,443,719 |
|
1,416,649 |
| ||
|
Pierre Foods Inc., First Lien Term Loan |
|
7.000% |
|
9/30/16 |
|
1,050,000 |
|
1,046,937 |
| |
|
Pinnacle Foods Group Inc., Term Loan D |
|
6.000% |
|
4/2/14 |
|
710,707 |
|
719,887 |
| |
|
Pinnacle Foods Holdings Corp., Tranche B Term Loan |
|
2.761% |
|
4/2/14 |
|
1,333,001 |
|
1,309,985 |
| |
|
Total Food Products |
|
|
|
|
|
|
|
7,367,547 |
| |
|
Food Service — 2.4% |
|
|
|
|
|
|
|
|
| |
|
Advantage Sales & Marketing Inc., Second Lien Term Loan |
|
9.250% |
|
5/17/18 |
|
400,000 |
|
403,400 |
| |
|
Advantage Sales & Marketing Inc., Term Loan B |
|
5.250% |
|
12/18/17 |
|
1,066,858 |
|
1,071,259 |
| |
|
Burger King Corp., New Term Loan B |
|
6.250% |
|
10/19/16 |
|
1,406,593 |
|
1,428,823 |
| |
|
Darling International Inc., Term Loan |
|
5.000% |
|
12/16/16 |
|
259,133 |
|
261,724 |
| |
|
DineEquity Inc., Term Loan B |
|
6.000% |
|
10/19/17 |
|
637,487 |
|
648,540 |
| |
|
Dunkin’ Brands Inc., Term Loan B |
|
5.750% |
|
11/23/17 |
|
593,171 |
|
601,026 |
| |
|
Total Food Service |
|
|
|
|
|
|
|
4,414,772 |
| |
|
Food/Drug Retailers — 1.5% |
|
|
|
|
|
|
|
|
| |
|
General Nutrition Centers, Term Loan B |
2.520% - 2.560% |
|
9/16/13 |
|
1,408,010 |
|
1,400,090 |
| ||
|
Great Atlantic & Pacific Tea Co., DIP Term Loan |
|
8.750% |
|
6/15/12 |
|
418,052 |
|
423,278 |
| |
|
Smart & Final, Delayed Draw Term Loan |
3.253% - 3.284% |
|
5/31/14 |
|
379,255 |
|
369,774 |
| ||
|
Smart & Final, Term Loan B |
3.256% - 3.284% |
|
5/31/14 |
|
533,410 |
|
520,075 |
| ||
|
Total Food/Drug Retailers |
|
|
|
|
|
|
|
2,713,217 |
| |
|
Forest Products — 1.4% |
|
|
|
|
|
|
|
|
| |
|
Cenveo Corp., Term Loan B |
|
6.250% |
|
12/14/16 |
|
1,064,654 |
|
1,074,635 |
| |
|
Clarke American Corp., Term Loan B |
2.761% - 2.803% |
|
6/30/14 |
|
1,591,753 |
|
1,442,526 |
| ||
|
Total Forest Products |
|
|
|
|
|
|
|
2,517,161 |
| |
|
Healthcare — 12.0% |
|
|
|
|
|
|
|
|
| |
|
AMN Healthcare, Term Loan B |
|
7.250% |
|
6/23/15 |
|
1,465,583 |
|
1,456,423 |
| |
|
Ardent Medical Services Inc., First Lien Term Loan |
|
6.500% |
|
9/15/15 |
|
1,158,646 |
|
1,159,128 |
| |
|
Biomet Inc., Term Loan B |
3.261% - 3.303% |
|
3/25/15 |
|
1,850,820 |
|
1,848,175 |
| ||
See Notes to Schedule of Investments.
Schedule of investments (unaudited) (cont’d)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
| |
|
Healthcare — continued |
|
|
|
|
|
|
|
|
| |
|
Carestream Health Inc., Second Lien Term Loan |
|
5.511% |
|
10/30/13 |
|
$ 2,300,000 |
|
$ 2,261,666 |
| |
|
CHG Companies Inc., Second Lien Term Loan |
|
11.250% |
|
4/5/17 |
|
425,000 |
|
420,750 |
| |
|
CHG Companies Inc., Term Loan B |
|
7.250% |
|
10/5/16 |
|
1,313,375 |
|
1,327,329 |
| |
|
Convatec Inc., Term Loan |
|
5.750% |
|
12/22/16 |
|
473,427 |
|
479,783 |
| |
|
DaVita Inc., New Term Loan B |
|
4.500% |
|
10/20/16 |
|
1,058,938 |
|
1,070,379 |
| |
|
DJO Finance LLC, New Term Loan B |
|
3.261% |
|
5/20/14 |
|
1,370,847 |
|
1,351,998 |
| |
|
Fresenius US Finance I Inc., Term Loan C1 |
|
4.500% |
|
9/10/14 |
|
1,231,265 |
|
1,242,616 |
| |
|
Fresenius US Finance I Inc., Term Loan C2 |
|
4.500% |
|
9/10/14 |
|
739,411 |
|
746,227 |
| |
|
Grifols Inc., Term Loan B |
|
— |
|
11/23/16 |
|
1,371,228 |
|
1,388,940 |
(c) | |
|
HCA Inc., Term Loan B |
|
2.553% |
|
11/18/13 |
|
2,000,000 |
|
1,983,000 |
| |
|
MedAssets Inc., New Term Loan |
|
5.250% |
|
11/16/16 |
|
527,989 |
|
531,399 |
| |
|
Multiplan Inc., Term Loan B |
|
6.500% |
|
8/26/17 |
|
1,453,846 |
|
1,470,884 |
| |
|
Universal Health Services Inc., Term Loan B |
|
5.500% |
|
11/15/16 |
|
1,850,000 |
|
1,877,241 |
| |
|
Vanguard Health Holding Co. II LLC, Term Loan B |
|
5.000% |
|
1/29/16 |
|
1,592,010 |
|
1,602,291 |
| |
|
Total Healthcare |
|
|
|
|
|
|
|
22,218,229 |
| |
|
Home Furnishings — 0.2% |
|
|
|
|
|
|
|
|
| |
|
Sleep Innovations Inc., Second Lien Term Loan |
|
11.500% |
|
3/5/15 |
|
463,173 |
|
464,331 |
(d) | |
|
Hotels/Motels/Inns and Casinos — 1.8% |
|
|
|
|
|
|
|
|
| |
|
Ameristar Casinos Inc., Initial Term Loan |
|
3.539% |
|
11/10/12 |
|
1,789,649 |
|
1,792,781 |
| |
|
Seminole Tribe of Florida, Term Loan B1 |
|
1.813% |
|
3/5/14 |
|
82,329 |
|
80,785 |
| |
|
Seminole Tribe of Florida, Term Loan B2 |
|
1.813% |
|
3/5/14 |
|
296,904 |
|
291,337 |
| |
|
Seminole Tribe of Florida, Term Loan B3 |
|
1.813% |
|
3/5/14 |
|
187,377 |
|
183,864 |
| |
|
VML U.S. Finance LLC, Delayed Draw Term Loan B |
|
4.800% |
|
5/25/12 |
|
345,728 |
|
347,240 |
| |
|
VML U.S. Finance LLC, Term Loan B |
|
4.800% |
|
5/27/13 |
|
598,545 |
|
600,104 |
| |
|
Total Hotels/Motels/Inns and Casinos |
|
|
|
|
|
|
|
3,296,111 |
| |
|
Industrial Equipment — 2.6% |
|
|
|
|
|
|
|
|
| |
|
Bucyrus International Inc., Term Loan |
|
4.250% |
|
2/19/16 |
|
1,599,133 |
|
1,607,720 |
| |
|
Goodman Global Holdings Inc., First Lien Term Loan |
|
5.750% |
|
10/28/16 |
|
865,242 |
|
871,114 |
| |
|
Goodman Global Holdings Inc., Second Lien Term Loan |
|
9.000% |
|
10/30/17 |
|
398,264 |
|
411,256 |
| |
|
Manitowoc Co. Inc., Term Loan B |
|
8.000% |
|
11/6/14 |
|
394,191 |
|
398,462 |
| |
|
Veyance Technologies Inc., Delayed Draw Term Loan |
|
2.770% |
|
7/31/14 |
|
212,719 |
|
187,724 |
| |
|
Veyance Technologies Inc., Initial Term Loan |
|
2.770% |
|
7/31/14 |
|
1,485,198 |
|
1,310,687 |
| |
|
Total Industrial Equipment |
|
|
|
|
|
|
|
4,786,963 |
| |
|
Insurance — 1.4% |
|
|
|
|
|
|
|
|
| |
|
AGFS Funding Co., Term Loan B |
|
7.250% |
|
4/21/15 |
|
2,345,156 |
|
2,381,067 |
| |
|
Alliant Holdings I Inc., Term Loan D |
|
— |
|
8/21/14 |
|
137,198 |
|
138,227 |
(c) | |
|
Total Insurance |
|
|
|
|
|
|
|
2,519,294 |
| |
|
Leisure — 5.8% |
|
|
|
|
|
|
|
|
| |
|
AE Europe Holdings LLC, First Lien Term Loan |
|
3.010% |
|
12/1/12 |
|
390,123 |
|
387,197 |
| |
|
AE Europe Holdings LLC, Second Lien Term Loan |
|
6.760% |
|
6/1/13 |
|
1,000,000 |
|
995,000 |
| |
|
Carmike Cinemas Inc., Term Loan B |
|
5.500% |
|
1/27/16 |
|
1,461,761 |
|
1,469,853 |
| |
|
Cedar Fair L.P., Term Loan B |
|
5.500% |
|
12/15/16 |
|
725,669 |
|
734,351 |
| |
|
Lodgenet Entertainment Corp., Term Loan |
|
2.310% |
|
4/4/14 |
|
1,245,313 |
|
1,157,104 |
| |
|
Regal Cinemas Inc., Term Loan |
|
3.803% |
|
11/21/16 |
|
2,098,236 |
|
2,108,727 |
| |
|
Six Flags Theme Parks Inc., Term Loan B |
|
5.500% |
|
6/30/16 |
|
1,897,669 |
|
1,917,832 |
| |
|
Zuffa, Incremental Term Loan |
|
7.500% |
|
6/19/15 |
|
371,903 |
|
383,060 |
| |
|
Zuffa, Term Loan B |
|
2.313% |
|
6/19/15 |
|
1,507,157 |
|
1,484,550 |
| |
|
Total Leisure |
|
|
|
|
|
|
|
10,637,674 |
| |
|
Nonferrous Metals/Materials — 0.5% |
|
|
|
|
|
|
|
|
| |
|
Compass Minerals Group Inc., Extended Term Loan C |
3.020% - 3.060% |
|
1/15/16 |
|
836,677 |
|
838,768 |
| ||
See Notes to Schedule of Investments.
Schedule of investments (unaudited) (cont’d)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
| |
|
Nonferrous Metals/Materials — continued |
|
|
|
|
|
|
|
|
| |
|
Compass Minerals Group Inc., Term Loan |
1.770% - 1.810% |
|
12/22/12 |
|
$ 178,809 |
|
$ 179,033 |
| ||
|
Total Nonferrous Metals/Materials |
|
|
|
|
|
|
|
1,017,801 |
| |
|
Oil & Gas — 3.8% |
|
|
|
|
|
|
|
|
| |
|
Alon USA Energy Inc., Edgington Term Loan |
|
2.544% |
|
8/4/13 |
|
310,406 |
|
239,012 |
| |
|
Alon USA Energy Inc., Paramount Term Loan |
2.250% - 2.506% |
|
8/4/13 |
|
2,483,259 |
|
1,912,109 |
| ||
|
CGGVeritas Services Inc., Term Loan B2 |
|
5.500% |
|
1/12/16 |
|
782,477 |
|
785,900 |
| |
|
Dresser Inc., Term Loan |
|
2.534% |
|
5/4/14 |
|
1,208,376 |
|
1,207,054 |
| |
|
Hercules Offshore Inc., Term Loan B |
|
6.000% |
|
7/11/13 |
|
911,724 |
|
854,905 |
| |
|
Semcrude L.P., Second Lien Term Loan |
|
9.000% |
|
11/30/16 |
|
201,873 |
|
205,196 |
| |
|
Western Refining Co. L.P., Term Loan B |
|
10.750% |
|
5/30/14 |
|
1,731,414 |
|
1,765,610 |
| |
|
Total Oil & Gas |
|
|
|
|
|
|
|
6,969,786 |
| |
|
Publishing — 3.3% |
|
|
|
|
|
|
|
|
| |
|
Cengage Learning Acquisitions Inc., Term Loan |
|
2.550% |
|
7/3/14 |
|
466,295 |
|
439,775 |
| |
|
Cengage Learning Acquisitions Inc., Tranche 1 Incremental |
|
7.500% |
|
7/3/14 |
|
797,954 |
|
808,926 |
| |
|
Getty Images Inc., New Term Loan |
|
5.250% |
|
11/7/16 |
|
1,147,989 |
|
1,159,325 |
| |
|
Lamar Media Corp., Term Loan B |
|
4.250% |
|
12/30/16 |
|
1,511,125 |
|
1,521,505 |
| |
|
Quad/Graphics Inc., Term Loan B |
|
5.500% |
|
4/14/16 |
|
1,357,632 |
|
1,336,124 |
| |
|
Valassis Communications Inc., Delayed Draw Term Loan |
|
2.560% |
|
3/2/14 |
|
198,351 |
|
198,475 |
| |
|
Valassis Communications Inc., Term Loan B |
|
2.560% |
|
3/2/14 |
|
594,089 |
|
594,461 |
| |
|
Total Publishing |
|
|
|
|
|
|
|
6,058,591 |
| |
|
Retailers — 4.6% |
|
|
|
|
|
|
|
|
| |
|
24 Hour Fitness Worldwide Inc., New Term Loan |
|
6.750% |
|
4/22/16 |
|
371,605 |
|
360,179 |
| |
|
Bass Pro Group LLC, Term Loan |
5.000% - 5.750% |
|
4/9/15 |
|
1,239,918 |
|
1,246,885 |
| ||
|
CDW Corp., Term Loan |
|
4.260% |
|
10/10/14 |
|
938,659 |
|
928,294 |
| |
|
Gymboree Corp., Term Loan |
|
5.500% |
|
11/23/17 |
|
847,341 |
|
852,769 |
| |
|
Harbor Freight Tools USA Inc., First Lien Term Loan |
|
6.500% |
|
12/22/17 |
|
447,913 |
|
447,913 |
| |
|
Michaels Stores Inc., Term Loan B |
|
2.563% |
|
10/31/13 |
|
1,437,980 |
|
1,403,015 |
| |
|
Neiman Marcus Group Inc., Term Loan |
|
4.303% |
|
4/6/16 |
|
1,360,586 |
|
1,349,107 |
| |
|
Petco Animal Supplies Inc., Term Loan B1 |
|
6.000% |
|
11/24/17 |
|
1,274,747 |
|
1,285,001 |
| |
|
Pilot Travel Centers LLC, Term Loan B |
|
5.250% |
|
6/30/16 |
|
719,562 |
|
731,435 |
| |
|
Total Retailers |
|
|
|
|
|
|
|
8,604,598 |
| |
|
Steel — 0.4% |
|
|
|
|
|
|
|
|
| |
|
Tube City IMS Corp., Letter of Credit |
|
0.189% |
|
1/25/14 |
|
81,081 |
|
76,520 |
| |
|
Tube City IMS Corp., Term Loan |
|
2.511% |
|
1/25/14 |
|
643,834 |
|
607,619 |
| |
|
Total Steel |
|
|
|
|
|
|
|
684,139 |
| |
|
Telecommunications/Cellular Communications — 4.4% |
|
|
|
|
|
|
|
|
| |
|
Intelsat Jackson Holdings Ltd., New Term Loan |
|
5.250% |
|
4/6/18 |
|
2,500,000 |
|
2,527,670 |
| |
|
Language Line LLC, New Term Loan B |
|
6.250% |
|
7/3/16 |
|
308,695 |
|
311,782 |
| |
|
MetroPCS Wireless Inc., Term Loan B |
|
2.563% |
|
11/4/13 |
|
160,186 |
|
160,436 |
| |
|
MetroPCS Wireless Inc., Term Loan B |
|
3.813% |
|
11/4/16 |
|
1,745,167 |
|
1,754,700 |
| |
|
Ntelos Inc., Term Loan B |
|
5.750% |
|
8/7/15 |
|
2,983,635 |
|
2,999,284 |
| |
|
Syniverse Technologies Inc., Term Loan B |
|
5.250% |
|
12/21/17 |
|
347,180 |
|
351,954 |
| |
|
Total Telecommunications/Cellular Communications |
|
|
|
|
|
|
|
8,105,826 |
| |
|
Utilities — 2.0% |
|
|
|
|
|
|
|
|
| |
|
Astoria Generating Co. Acquisitions LLC, Term Loan B |
|
2.060% |
|
2/23/13 |
|
449,927 |
|
447,228 |
| |
|
Calpine Corp., First Priority Term Loan |
|
3.145% |
|
3/29/14 |
|
509,538 |
|
509,811 |
| |
|
Covanta Holding Corp., Letter of Credit |
|
1.934% |
|
2/10/14 |
|
164,948 |
|
163,024 |
| |
|
Covanta Holding Corp., Term Loan B |
|
1.813% |
|
1/1/00 |
|
322,487 |
|
318,725 |
| |
|
Firstlight Power Resources Inc., Letter of Credit |
|
2.813% |
|
11/1/13 |
|
16,365 |
|
15,956 |
| |
See Notes to Schedule of Investments.
Schedule of investments (unaudited) (cont’d)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
|
|
Utilities — continued |
|
|
|
|
|
|
|
|
|
|
Firstlight Power Resources Inc., Second Lien Term Loan |
|
4.813% |
|
5/1/14 |
|
$ 250,000 |
|
$ 232,500 |
|
|
Firstlight Power Resources Inc., Term Loan B |
|
2.813% |
|
11/1/13 |
|
799,875 |
|
779,878 |
|
|
TPF Generation Holdings LLC, Letter of Credit |
|
2.303% |
|
12/13/13 |
|
154,214 |
|
151,169 |
|
|
TPF Generation Holdings LLC, Revolver |
|
2.303% |
|
12/15/11 |
|
48,343 |
|
47,388 |
|
|
TPF Generation Holdings LLC, Second Lien Term Loan C |
|
4.553% |
|
12/15/14 |
|
830,000 |
|
764,119 |
|
|
TPF Generation Holdings LLC, Term Loan B |
|
2.303% |
|
12/15/13 |
|
352,256 |
|
345,299 |
|
|
Total Utilities |
|
|
|
|
|
|
|
3,775,097 |
|
|
TOTAL COLLATERALIZED SENIOR LOANS (Cost — $172,300,629) |
|
|
|
172,301,080 |
| ||||
|
UNCOLLATERALIZED SENIOR LOANS (a) — 0.7% |
|
|
|
|
| ||||
|
Clothing/Textiles — 0.7% |
|
|
|
|
|
|
|
|
|
|
Levi Strauss & Co., Term Loan (Cost - $1,036,258) |
|
2.511% |
|
3/27/14 |
|
1,398,319 |
|
1,349,378 |
|
|
CORPORATE BONDS & NOTES — 4.6% |
|
|
|
|
|
|
|
|
|
|
CONSUMER DISCRETIONARY — 0.7% |
|
|
|
|
|
|
|
|
|
|
Hotels, Restaurants & Leisure — 0.1% |
|
|
|
|
|
|
|
|
|
|
Scientific Games Corp. |
|
8.125% |
|
9/15/18 |
|
106,000 |
|
107,325 |
(e) |
|
Specialty Retail — 0.6% |
|
|
|
|
|
|
|
|
|
|
General Nutrition Centers |
|
5.750% |
|
3/15/14 |
|
1,175,000 |
|
1,169,125 |
(d)(f) |
|
TOTAL CONSUMER DISCRETIONARY |
|
|
|
|
|
|
|
1,276,450 |
|
|
ENERGY — 1.3% |
|
|
|
|
|
|
|
|
|
|
Energy Equipment & Services — 0.5% |
|
|
|
|
|
|
|
|
|
|
Geokinetics Holdings USA Inc. |
|
9.750% |
|
12/15/14 |
|
1,000,000 |
|
965,000 |
|
|
Oil, Gas & Consumable Fuels — 0.8% |
|
|
|
|
|
|
|
|
|
|
Stallion Oilfield Holdings |
|
10.500% |
|
2/15/15 |
|
1,000,000 |
|
1,055,000 |
(e) |
|
Targa Resources Partners LP / Targa Resources Partners Finance Corp. |
|
7.875% |
|
10/15/18 |
|
392,000 |
|
413,560 |
(e) |
|
Total Oil, Gas & Consumable Fuels |
|
|
|
|
|
|
|
1,468,560 |
|
|
TOTAL ENERGY |
|
|
|
|
|
|
|
2,433,560 |
|
|
HEALTH CARE — 0.1% |
|
|
|
|
|
|
|
|
|
|
DaVita Inc. |
|
6.375% |
|
11/1/18 |
|
220,000 |
|
219,450 |
|
|
INDUSTRIALS — 0.6% |
|
|
|
|
|
|
|
|
|
|
Briggs & Stratton Corp. |
|
6.875% |
|
12/15/20 |
|
1,050,000 |
|
1,076,250 |
|
|
MATERIALS — 0.1% |
|
|
|
|
|
|
|
|
|
|
Omnova Solutions Inc. |
|
7.875% |
|
11/1/18 |
|
188,000 |
|
190,350 |
(e) |
|
TELECOMMUNICATION SERVICES — 1.8% |
|
|
|
|
|
|
|
|
|
|
Diversified Telecommunication Services — 1.8% |
|
|
|
|
|
|
|
|
|
|
Intelsat Jackson Holdings SA, Senior Notes |
|
7.250% |
|
10/15/20 |
|
500,000 |
|
507,500 |
(e) |
|
Qwest Corp., Senior Notes |
|
3.552% |
|
6/15/13 |
|
2,659,000 |
|
2,791,950 |
(f) |
|
TOTAL TELECOMMUNICATION SERVICES |
|
|
|
|
|
|
|
3,299,450 |
|
|
TOTAL CORPORATE BONDS & NOTES (Cost — $7,953,624) |
|
|
|
8,495,510 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SHARES |
|
|
|
|
COMMON STOCKS — 0.5% |
|
|
|
|
|
|
|
|
|
|
CONSUMER DISCRETIONARY — 0.1% |
|
|
|
|
|
|
|
|
|
|
Automobiles — 0.1% |
|
|
|
|
|
|
|
|
|
|
Mark IV LLC - Class A Shares |
|
|
|
|
|
4,912 |
|
238,232 |
(g) |
|
Textiles, Apparel & Luxury Goods — 0.0% |
|
|
|
|
|
|
|
|
|
|
Comfort Co. Inc. |
|
|
|
|
|
3,664 |
|
0 |
(g)(h) |
|
TOTAL CONSUMER DISCRETIONARY |
|
|
|
|
|
|
|
238,232 |
|
|
ENERGY — 0.4% |
|
|
|
|
|
|
|
|
|
|
Oil, Gas & Consumable Fuels — 0.4% |
|
|
|
|
|
|
|
|
|
|
SemGroup Corp., Class A Shares |
|
|
|
|
|
24,938 |
|
677,566 |
|
|
TOTAL COMMON STOCKS (Cost — $687,306) |
|
|
|
|
|
|
|
915,798 |
|
|
TOTAL INVESTMENTS BEFORE SHORT-TERM INVESTMENTS (Cost — $181,977,817) |
|
183,061,766 |
| ||||||
See Notes to Schedule of Investments.
Schedule of investments (unaudited) (cont’d)
December 31, 2010
LMP CORPORATE LOAN FUND INC.
|
SECURITY |
|
RATE |
|
MATURITY |
|
FACE |
|
VALUE |
|
|
SHORT-TERM INVESTMENTS — 0.9% |
|
|
|
|
|
|
|
|
|
|
U.S. Government Agencies — 0.9% |
|
|
|
|
|
|
|
|
|
|
Federal Home Loan Banks (FHLB), Discount Notes |
|
0.001% |
|
1/3/11 |
|
$ 1,712,000 |
|
$ 1,712,000 |
(i) |
|
TOTAL INVESTMENTS — 100.0% (Cost — $183,689,817#) |
|
|
|
184,773,766 |
| ||||
|
(a) |
Interest rates disclosed represent the effective rates on collateralized and uncollateralized senior loans. Ranges in interest rates are attributable to multiple contracts under the same loan. |
|
(b) |
The coupon payment on these loans is currently in default as of December 31, 2010. |
|
(c) |
All or a portion of this loan is unfunded as of December 31, 2010. The interest rate for fully unfunded loans is to be determined. |
|
(d) |
Payment-in-kind security for which part of the income earned may be paid as additional principal. |
|
(e) |
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. |
|
(f) |
Variable rate security. Interest rate disclosed is as of the most recent information available. |
|
(g) |
Security is valued in good faith at fair value in accordance with procedures approved by the Board of Directors (See Note 1). |
|
(h) |
Illiquid security (unaudited). |
|
(i) |
Rate shown represents yield-to-maturity. |
|
# |
Aggregate cost for federal income tax purposes is substantially the same. |
Abbreviations used in this schedule:
|
|
Second Lien |
- Subordinate Lien to First Lien |
|
|
Term |
- Term loan typically with a First Lien on specified assets |
|
|
|
|
See Notes to Schedule of Investments.
Notes to Schedule of Investments (unaudited)
1. Organization and Significant Accounting Policies
LMP Corporate Loan Fund Inc. (the “Fund”) was incorporated in Maryland 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 is to maximize current income consistent with prudent efforts to preserve capital.
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. Senior loans are valued at readily ascertainable market values provided by an independent pricing service. Securities for which market quotations are not available are valued in good faith at fair value by or under the direction of the Board of Directors. In fair valuing a loan, Legg Mason Partners Fund Advisor, LLC (“LMPFA”), with the assistance of Citigroup Alternative Investments LLC (“CAI”), the Fund’s subadviser, will consider among other factors: (1) the creditworthiness of the borrower and any party interpositioned between the Fund and the borrower; (2) the current interest rate, period until next interest rate reset and maturity date of the senior loan; (3) recent market prices for similar loans, if any; and (4) recent prices in the market for instruments with similar quality, rate, period until next interest rate reset, maturity, terms and conditions. LMPFA may also consider prices or quotations, if any, provided by banks, dealers or pricing services which may represent the prices at which secondary market transactions in the senior loans held by the Fund have or could have occurred. U.S. government agency obligations are valued at the mean between the quoted bid and asked prices. Securities traded on national securities markets are valued at the closing price on such markets. Securities traded in the over-the-counter market and listed securities for which no sales prices were reported are valued at the mean between the quoted bid and asked prices. Securities listed on the NASDAQ National Market System for which market quotations are available are valued at the official closing price or, if there is no official closing price on that day, at the last sale price. 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 (“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 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 discount estimated future cash flows to present value.
Notes to Schedule of Investments (unaudited) (continued)
The following is a summary of the inputs used in valuing the Fund’s assets carried at fair value:
|
ASSETS |
| ||||||||||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
QUOTED |
|
OTHER |
|
SIGNIFICANT |
|
|
| ||||
|
DESCRIPTION |
|
(LEVEL 1) |
|
(LEVEL 2) |
|
(LEVEL 3) |
|
TOTAL |
| ||||
|
Long-term investments†: |
|
|
|
|
|
|
|
|
| ||||
|
Collateralized senior loans |
|
— |
|
$ |
172,301,080 |
|
— |
|
$ |
172,301,080 |
| ||
|
Uncollateralized senior loans |
|
— |
|
1,349,378 |
|
— |
|
1,349,378 |
| ||||
|
Corporate bonds & notes |
|
— |
|
8,495,510 |
|
— |
|
8,495,510 |
| ||||
|
Common stocks: |
|
|
|
|
|
|
|
|
| ||||
|
Consumer discretionary |
|
— |
|
— |
|
$ |
238,232 |
|
238,232 |
| |||
|
Energy |
|
$ |
677,566 |
|
— |
|
— |
|
677,566 |
| |||
|
Total long-term investments |
|
$ |
677,566 |
|
$ |
182,145,968 |
|
$ |
238,232 |
|
$ |
183,061,766 |
|
|
Short-term investments† |
|
— |
|
1,712,000 |
|
— |
|
1,712,000 |
| ||||
|
Total investments |
|
$ |
677,566 |
|
$ |
183,857,968 |
|
$ |
238,232 |
|
$ |
184,773,766 |
|
† See Schedule of Investments for additional detailed categorizations.
The following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:
|
|
|
COMMON |
| |
|
INVESTMENTS IN SECURITIES |
|
CONSUMER |
| |
|
Balance as of September 30, 2010 |
|
$ |
189,726 |
|
|
Accrued premiums/discounts |
|
— |
| |
|
Realized gain (loss) |
|
— |
| |
|
Change in unrealized appreciation (depreciation)1 |
|
48,506 |
| |
|
Net purchases (sales) |
|
— |
| |
|
Transfers into Level 3 |
|
— |
| |
|
Transfers out of Level 3 |
|
— |
| |
|
Balance as of December 31, 2010 |
|
$ |
238,232 |
|
|
Net change in unrealized appreciation (depreciation) for investments in securities still held at December 31, 20101 |
|
$ |
48,506 |
|
1 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) Senior loans. Senior Loans generally are arranged through private negotiations between a borrower and several financial institutions (“Lenders”) represented in each case by one or more such Lenders acting as agent of the Lenders. On behalf of the Lenders, the agent will be primarily responsible for negotiating the loan agreement that establishes the relative terms and conditions of the Senior Loan and rights of the borrower and the Lenders. Also, an agent typically administers the terms of the loan agreement and is responsible for the monitoring of collateral and collection of principal and interest and fee payments from the borrower and the apportionment of these payments to the credit of all investors which are parties to the loan agreement. The Fund may act as one of the group of Lenders in a Senior Loan, and purchase assignments and participations in Senior Loans from third parties. Senior Loans are subject to credit risks, including the risk of nonpayment of scheduled interest or loan payments.
(c) Security Transactions. Security transactions are accounted for on a trade date basis.
2. Investments
At December 31, 2010, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows:
|
Gross unrealized appreciation |
|
$ |
4,548,353 |
|
|
Gross unrealized depreciation |
|
(3,464,404 |
) | |
|
Net unrealized appreciation |
|
$ |
1,083,949 |
|
3. Derivative Instruments and Hedging Activities
Financial Accounting Standards Board Codification Topic 815 (“ASC Topic 815”) requires enhanced disclosure about an entity’s derivative and hedging activities.
During the period ended December 31, 2010, the Fund did not invest in any derivative instruments.
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.
LMP Corporate Loan Fund Inc.
|
By |
/s/ R. Jay Gerken |
|
|
|
|
R. Jay Gerken |
|
|
|
|
Chief Executive Officer |
|
|
Date: February 24, 2011
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: February 24, 2011
|
By |
/s/ Kaprel Ozsolak |
|
|
|
|
Kaprel Ozsolak |
|
|
|
|
Chief Financial Officer |
|
|
Date: February 24, 2011