| Name of Bond | End of Year Book Value | End of Year Fair Market Value |
|---|---|---|
| 35M ALLTEL CORP, 7.875%, DUE 2032 | 36,404 | 48,612 |
| 29M AON CORP, 8.205%, DUE 2027 | 30,672 | 36,479 |
| 20M COCA COLA EP US, 6.75%, DUE 2023 | 20,000 | 21,868 |
| 50M DOW CHEMICAL, 7.375%, DUE 2029 | 52,939 | 67,327 |
| 10M ECOPETROL, 7.375%, DUE 2043 | 10,456 | 11,050 |
| 40M FORD, 7.75% DUE 2043 | 43,068 | 53,833 |
| 35M GENERAL ELECTRIC, 6.875%, DUE 2039 | 39,532 | 52,304 |
| 25M ALLY FINANCIAL, 8%, DUE 2031 | 25,274 | 34,395 |
| 5M STATE OF ISRAEL, 7.25%, DUE 2028 | 4,818 | 6,685 |
| 5M KN ENERGY INC, 7.45%, DUE 2098 | 4,843 | 7,222 |
| 50M KN CAPITAL TRUST, 7.63%, DUE 2028 | 49,505 | 57,896 |
| 10M PETROLEOS MEXICANOS, 6.75%, DUE 2047 | 10,786 | 8,875 |
| 5M TOYS-R-US, 7.375%, DUE 2018 | 5,133 | 0 |
| 10M TRANSAMERICA CAP, 7.625%, DUE 2037 | 10,672 | 12,094 |
| 10M UNITED UTILITIES GROUP, 6.875%, DUE 2028 | 9,805 | 12,831 |
| 7M US WEST COMM, 7.25%, DUE 2025 | 6,795 | 8,164 |
| 10M WEYERHAUSER CO, 7.125%, DUE 2023 | 10,099 | 10,893 |