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UNITED STATES |
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SECURITIES AND EXCHANGE COMMISSION |
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Washington, D.C. 20549 |
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FORM N-CSR
CERTIFIED
SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number |
811-08777 |
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CREDIT SUISSE HIGH YIELD BOND FUND |
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(Exact name of registrant as specified in charter) |
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466 Lexington Avenue, New York, New York |
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10017-3140 |
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(Address of principal executive offices) |
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(Zip code) |
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J. Kevin Gao, Esq. |
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(Name and address of agent for service) |
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Registrants telephone number, including area code: |
(212) 875-3500 |
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Date of fiscal year end: |
October 31 |
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Date of reporting period: |
November 1, 2005 to April 30, 2006 |
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Item 1. Reports to Stockholders.
Credit Suisse High Yield Bond Fund
466 Lexington Avenue
New York, NY 10017
Trustees
Enrique R. Arzac - Chairman of the Board
James Cattano
Lawrence J. Fox
Lawrence Haber
Steven Rappaport
Officers
Steven B. Plump
Chief Executive Officer and President
Martha B. Metcalf
Chief Investment Officer
Emidio Morizio
Chief Compliance Officer
Ajay Mehra
Chief Legal Officer
J. Kevin Gao
Senior Vice President and Secretary
Michael A. Pignataro
Chief Financial Officer and Vice President
Robert Rizza
Treasurer
Investment Adviser
Credit Suisse Asset Management, LLC
466 Lexington Avenue
New York, NY 10017
Administrator
State Street Bank and Trust Co.
225 Franklin Street
Boston, MA 02110
Custodian
Custodial Trust Company
101 Carnegie Center
Princeton, NJ 08540
Shareholder Servicing Agent
Computershare Trust Company, N.A.
P.O. Box 43010
Providence, RI 02940-3010
Legal Counsel
Willkie Farr & Gallagher LLP
787 7th Avenue
New York, NY 10019
Independent Registered Public Accounting Firm
PricewaterhouseCoopers LLP
Two Commerce Square
Philadelphia, Pennsylvania 19103
Credit Suisse
High Yield Bond Fund
SEMIANNUAL REPORT
April 30, 2006
(unaudited)
Credit Suisse High Yield Bond Fund
Semiannual Investment Adviser's Report
April 30, 2006 (unaudited)
June 16, 2006
Dear Shareholder:
Performance Summary
11/01/05 04/30/06
Fund & Benchmarks | Performance | ||||||
Total Return (based on NAV)1 | 7.74 | % | |||||
Total Return (based on market value)1 | (7.61 | )% | |||||
Merrill Lynch US High Yield Master II Constrained Index2 | 5.01 | % | |||||
Citigroup High-Yield Market Index2 | 4.56 | % |
Market Overview
The high yield market has experienced six consecutive months of positive returns, generating returns of 5.01% for the semi-annual period ending April 30, 2006 (according to the Merrill Lynch US High Yield Master II Constrained benchmark). Low-rated securities outperformed the broader market with returns of 9.98% while the more interest rate sensitive BB-rated securities underperformed, returning 3.10%. For the time period, average spreads tightened 68 basis points to 303 versus treasuries.
All sectors within the benchmark posted positive returns for the period with Airlines, Theaters, and Building Materials leading the way. Auto performance was volatile. The sector was the largest detractor from market performance for February 2006 and November 2005, but the largest contributor to performance in January 2006 and March 2006. Sectors that underperformed the index include Utilities and Energy.
Credit fundamentals continue to be supportive of the high yield market. Moody's default rate remains low, drifting from 1.96% in November 2005 to 1.65% for the month of April 2006. In addition, the high yield distressed ratio, a leading indicator for future default rates, remains low at 2.8% for April 2006. The technical environment remains constructive as well. The new issue calendar has remained light for most of the period, and even though it has picked up with several large deals more recently, market technicals remain firm as cash from coupon and bond redemptions has outpaced supply.
Strategic Review
The Fund outperformed in the period, benefiting from an underweight to the more interest rate sensitive BB-rated securities. The Fund's overweight to higher yielding securities also provided positive contribution to return.
Superior security selection, coupled with an overweight in the Buildings Materials, Electronics, Packaging, as well as Support-Services sectors, provided the greatest positive contribution to the Fund's relative performance in the period. Positive security selection in the Gaming, Steel, Telecom-Wireless and Utility sectors also added to relative returns. Security selection in the Autos sector detracted from returns.
Benchmark Review
Structural changes within the high yield universe have necessitated an evaluation of our benchmark. Specifically, the downgrades of General Motors Corp. and Ford Motor Company have created high issuer concentrations in the traditional high yield indices. After extensively studying the various benchmarks available, the fund will switch its reference index to the Merrill Lynch US High Yield Master II Constrained Index. This index caps issuer weights to a maximum of 2% and therefore addresses current and future concentration issues.
Credit Suisse High Yield Bond Fund
Semiannual Investment Adviser's Report (continued)
April 30, 2006 (unaudited)
Outlook and Strategy
We remain cautiously optimistic for high yield returns for the remainder of 2006. Robust economic growth, low defaults, and a below average distressed ratio provide the backdrop for a favorable fundamental outlook in our view. In addition, the new issue calendar has remained light, leading to a strong technical demand. Though yield spreads are still near historic lows, we believe the market conditions support current levels and believe that they could remain range-bound going forward. With yields hovering in the 8% area, coupon income generation alone could potentially provide more than respectable total returns. Strategically, we will look to use the market's strength as an opportunity to exit some less liquid, deteriorating credits.
We appreciate your interest in the Fund and would be pleased to respond to your questions or comments. Any questions regarding net asset value, performance, dividends, portfolio management or allocations should be directed to Credit Suisse Asset Management, LLC at (800) 293-1232. All other inquiries regarding account information, requests for the latest financial information or other reports should be directed to the Fund's Shareholder Servicing Agent at (800) 730-6001.
Martha Metcalf Steven B. Plump
Chief Investment Officer* Chief Executive Officer and President**
High yield bonds are lower-quality bonds that are also known as "junk bonds." Such bonds entail greater risks than those found in higher-rated securities.
In addition to historical information, this report contains forward-looking statements, which may concern, among other things, domestic and foreign markets, industry and economic trends and developments and government regulation and their potential impact on the Fund's investment portfolio. These statements are subject to risks and uncertainties and actual trends, developments and regulations in the future and their impact on the Fund could be materially different from those projected, anticipated or implied. The Fund has no obligation to update or revise forward-looking statements.
We wish to remind shareholders whose shares are registered in their own name that they automatically participate in the Fund's dividend reinvestment program known as the InvestlinkSM Program (the "Program"). The Program can be of value to shareholders in maintaining their proportional ownership interest in the Fund in an easy and convenient way. A shareholder whose shares are held in the name of a broker/dealer or nominee should contact the Fund's Transfer Agent for details about participating in the Program.
* Martha B. Metcalf is a Managing Director of Credit Suisse Asset Management, LLC ("Credit Suisse") and head of the U.S. High Yield Management Team. She has served in these capacities since 2005. As of November 2005, she is primarily responsible for the management of the Fund's assets. From 2000 until 2005, she was a Managing Director and Portfolio Manager of Global High Yield Bonds, and head of a global high yield business with responsibility for total return, as well as structured portfolios at Invesco. Prior to her tenure at Invesco, Ms. Metcalf served for over ten years at JP Morgan Investment Management, where she was Vice President and Portfolio Manager for High Yield Corporate Bonds.
** Steven B. Plump is a Managing Director of Credit Suisse and CEO/President of the Fund. He joined Warburg Pincus Asset Management ("WPAM") in 1995 and came to Credit Suisse in 1999 when it acquired WPAM.
1 Assuming reinvestment of dividends of $0.24 per share.
2 Merrill Lynch US High Yield Master II Constrained Index is an unmanaged index that tracks the performance of below investment-grade U.S. dollar-denominated corporate bonds issued in the U.S. domestic market, where each issuer's allocation is limited to 2% of the index. Investors cannot invest directly in an index. In order to ensure that the index the Fund is benchmarked against is best aligned with the Fund's emphasis on diversification and risk management, effective February 28, 2006, this index replaces the Citigroup High Yield Market Index, a broad-based, unmanaged index of high-yield securities that is compiled by Citigroup Global Markets Inc.
Credit Suisse High Yield Bond Fund
Semiannual Investment Adviser's Report (continued)
April 30, 2006 (unaudited)
Top Ten Holdings
(% of net assets as of 4/30/06)
Security Description
1. |
Ford Motor Credit Co. 6.625% 06/16/08 |
2.24% |
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2. |
General Motors Acceptance Corp. 5.625% 05/15/09 |
1.70% |
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3. |
Allied Waste North America, Inc. 7.375% 04/15/14 |
1.46% |
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4. |
CSC Holdings, Inc. 7.250% 04/15/12 |
1.45% |
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5. |
El Paso Production Holding Co. 7.750% 06/01/13 |
1.25% |
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6. |
Tenet Healthcare Corp. 9.875% 07/01/14 |
1.24% |
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7. |
Charter Communications Holdings LLC 10.250% 09/15/10 |
1.09% |
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8. |
Mediacom Broadband LLC 8.500% 10/15/15 |
1.06% |
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9. |
SunGard Data Systems, Inc. 10.250% 08/15/15 |
0.93% |
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10. |
R.H. Donnelley Corp. 6.875% 01/15/13 |
0.89% |
Credit Quality Breakdown
(% of total investments as of 4/30/06)
S&P Ratings | |||||||
BBB | 0.5 | % | |||||
BB | 14.0 | ||||||
B | 56.4 | ||||||
CCC | 25.5 | ||||||
CC | 0.8 | ||||||
C | 0.1 | ||||||
D | 0.7 | ||||||
NR | 1.8 | ||||||
Subtotal | 99.8 | ||||||
Equities and Other | 0.2 | ||||||
Total | 100.0 | % |
1
Credit Suisse High Yield Bond Fund
Schedule of Investments
April 30, 2006 (unaudited)
Par (000) |
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Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS (132.0%) | |||||||||||||||||||||||
Aerospace (2.1%) | |||||||||||||||||||||||
$ | 1,100 | DRS Technologies, Inc., Company Guaranteed Notes (Callable 02/01/11 @ $103.81) § | (B, B3) | 02/01/18 | 7.625 | $ | 1,134,375 | ||||||||||||||||
725 | DRS Technologies, Inc., Global Senior Subordinated Notes (Callable 11/01/08 @ $103.44) | (B, B3) | 11/01/13 | 6.875 | 722,281 | ||||||||||||||||||
350 | K&F Acquisition, Inc., Global Company Guaranteed Notes (Callable 11/15/09 @ $103.88) | (B-, Caa1) | 11/15/14 | 7.750 | 359,625 | ||||||||||||||||||
2,000 | L-3 Communications Corp., Global Senior Subordinated Notes (Callable 01/15/10 @ $102.94) § | (BB+, Ba3) | 01/15/15 | 5.875 | 1,890,000 | ||||||||||||||||||
750 | Sequa Corp., Series B, Senior Notes | (BB-, B1) | 04/01/08 | 8.875 | 785,625 | ||||||||||||||||||
4,891,906 | |||||||||||||||||||||||
Agriculture (0.6%) | |||||||||||||||||||||||
1,400 | Southern States Cooperative, Inc., Rule 144A, Senior Notes (Callable 11/01/07 @ $108.00) | (B, B3) | 11/01/10 | 10.500 | 1,491,000 | ||||||||||||||||||
Airlines (0.5%) | |||||||||||||||||||||||
1,200 | American Airlines, Inc., Series 01-2, Pass Thru Certificates | (B, B1) | 10/01/06 | 7.800 | 1,203,627 | ||||||||||||||||||
Auto Loans (5.5%) | |||||||||||||||||||||||
1,750 | Ford Motor Credit Co., Global Notes | (BB-, Ba2) | 10/01/13 | 7.000 | 1,541,918 | ||||||||||||||||||
5,525 | Ford Motor Credit Co., Notes | (BB-, Ba2) | 06/16/08 | 6.625 | 5,193,467 | ||||||||||||||||||
4,200 | General Motors Acceptance Corp., Global Notes § | (BB, Ba1) | 05/15/09 | 5.625 | 3,936,853 | ||||||||||||||||||
2,250 | General Motors Acceptance Corp., Global Notes § | (BB, Ba1) | 12/01/14 | 6.750 | 2,053,933 | ||||||||||||||||||
12,726,171 | |||||||||||||||||||||||
Automobile Parts & Equipment (4.3%) | |||||||||||||||||||||||
575 | Accuride Corp., Global Company Guaranteed Notes (Callable 02/01/10 @ $104.25) § | (B-, B3) | 02/01/15 | 8.500 | 570,688 | ||||||||||||||||||
1,000 | Altra Industrial Motion, Inc., Global Secured Notes (Callable 12/01/08 @ $104.50) # | (CCC+, B3) | 12/01/11 | 9.000 | 1,010,000 | ||||||||||||||||||
1,200 | American Tire Distributors Holdings, Inc., Senior Notes (Callable 04/01/09 @ $105.38) | (CCC+, Caa2) | 04/01/13 | 10.750 | 1,128,000 | ||||||||||||||||||
425 | ArvinMeritor, Inc., Notes | (BB, Ba2) | 03/01/12 | 8.750 | 438,281 | ||||||||||||||||||
400 | Cooper-Standard Automotive, Inc., Global Company Guaranteed Notes (Callable 12/15/09 @ $104.19) | (B-, Caa1) | 12/15/14 | 8.375 | 328,000 | ||||||||||||||||||
1,900 | Goodyear Tire & Rubber Co., Global Senior Notes (Callable 07/01/10 @ $104.50) § | (B-, B3) | 07/01/15 | 9.000 | 1,966,500 | ||||||||||||||||||
800 | Insurance Auto Auctions, Inc., Global Company Guaranteed Notes (Callable 04/01/09 @ $105.50) | (CCC+, Caa1) | 04/01/13 | 11.000 | 844,000 | ||||||||||||||||||
500 | Keystone Automotive Operations, Inc., Global Senior Subordinated Notes (Callable 11/01/08 @ $104.88) | (B-, Caa1) | 11/01/13 | 9.750 | 455,000 | ||||||||||||||||||
96 | Meritor Automotive, Inc., Notes | (BB, Ba2) | 02/15/09 | 6.800 | 95,760 | ||||||||||||||||||
900 | Stanadyne Corp., Global Senior Subordinated Notes (Callable 08/15/09 @ $105.00) | (CCC+, Caa1) | 08/15/14 | 10.000 | 832,500 | ||||||||||||||||||
600 | Stoneridge, Inc., Global Company Guaranteed Notes (Callable 05/01/07 @ $105.75) | (B+, B2) | 05/01/12 | 11.500 | 558,000 | ||||||||||||||||||
800 | Tenneco Automotive, Inc., Global Company Guaranteed Notes (Callable 11/15/09 @ $104.31) § | (B, B3) | 11/15/14 | 8.625 | 814,000 | ||||||||||||||||||
1,000 | Visteon Corp., Global Senior Notes | (B-, B3) | 08/01/10 | 8.250 | 902,500 | ||||||||||||||||||
9,943,229 | |||||||||||||||||||||||
Automotive (0.7%) | |||||||||||||||||||||||
1,200 | General Motors Corp., Global Debentures § | (B, B3) | 07/15/33 | 8.375 | 900,000 | ||||||||||||||||||
1,075 | General Motors Corp., Global Senior Notes § | (B, B3) | 07/15/13 | 7.125 | 814,313 | ||||||||||||||||||
1,714,313 | |||||||||||||||||||||||
Beverages (0.3%) | |||||||||||||||||||||||
600 | Le-Natures, Inc., Rule 144A, Senior Subordinated Notes (Callable 06/15/08 @ $104.50) | (CCC+, B3) | 06/15/13 | 10.000 | 627,000 | ||||||||||||||||||
Brokerage (0.5%) | |||||||||||||||||||||||
1,150 | E*TRADE Financial Corp., Global Senior Notes (Callable 06/15/08 @ $104.00) § | (B+, B1) | 06/15/11 | 8.000 | 1,193,125 | ||||||||||||||||||
Building & Construction (2.5%) | |||||||||||||||||||||||
625 | K Hovnanian Enterprises, Global Company Guaranteed Notes | (BB, Ba1) | 01/15/16 | 6.250 | 572,104 | ||||||||||||||||||
975 | KB Home, Senior Subordinated Notes | (BB-, Ba2) | 12/15/08 | 8.625 | 1,034,891 | ||||||||||||||||||
900 | Standard Pacific Corp., Global Senior Notes | (BB, Ba2) | 08/15/15 | 7.000 | 841,500 | ||||||||||||||||||
1,200 | Technical Olympic USA, Inc., Rule 144A, Global Senior Subordinated Notes | (B-, B2) | 01/15/15 | 7.500 | 1,080,000 | ||||||||||||||||||
300 | Technical Olympic USA, Inc., Rule 144A, Senior Notes | (B+, Ba3) | 04/01/11 | 8.250 | 300,375 | ||||||||||||||||||
1,000 | WCI Communities, Inc., Global Company Guaranteed Notes (Callable 05/01/07 @ $104.56) | (B+, Ba3) | 05/01/12 | 9.125 | 1,010,000 | ||||||||||||||||||
1,000 | William Lyon Homes, Inc., Company Guaranteed Notes (Callable 04/01/08 @ $105.38) § | (B, B2) | 04/01/13 | 10.750 | 1,005,000 | ||||||||||||||||||
5,843,870 | |||||||||||||||||||||||
Building Materials (5.4%) | |||||||||||||||||||||||
1,000 | Associated Materials, Inc., Global Senior Discount Notes (Callable 03/01/09 @ $105.62) + | (CCC, Caa3) | 03/01/14 | 0.000 | 615,000 | ||||||||||||||||||
1,300 | Building Materials Corp., Global Secured Notes (Callable 08/01/09 @ $103.88) | (B+, B2) | 08/01/14 | 7.750 | 1,303,250 |
See Accompanying Notes to Financial Statements.
2
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
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Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Building Materials | |||||||||||||||||||||||
$ | 750 | Compression Polymers Holding Corp., Rule 144A, Senior Notes (Callable 07/01/09 @ $105.25) | (B-, B2) | 07/01/13 | 10.500 | $ | 772,500 | ||||||||||||||||
500 | Dayton Superior Corp., Company Guaranteed Notes (Callable 06/15/07 @ $102.17) | (CCC, Caa3) | 06/15/09 | 13.000 | 442,500 | ||||||||||||||||||
750 | Dayton Superior Corp., Global Secured Notes (Callable 06/15/06 @ $105.62) | (B-, Caa1) | 09/15/08 | 10.750 | 781,875 | ||||||||||||||||||
2,000 |
Goodman Global Holding Company, Inc., Global Senior Subordinated Notes (Callable 12/15/08 @ 103.94) § |
(B-, B3) | 12/15/12 | 7.875 | 2,010,000 | ||||||||||||||||||
1,100 | Interface, Inc., Global Senior Subordinated Notes (Callable 02/01/09 @ $104.75) § | (CCC, Caa1) | 02/01/14 | 9.500 | 1,149,500 | ||||||||||||||||||
325 | Norcraft Companies LP, Global Senior Subordinated Notes (Callable 11/01/07 @ $104.50) | (B-, B3) | 11/01/11 | 9.000 | 341,250 | ||||||||||||||||||
750 | Norcraft Holdings LP, Global Senior Discount Notes (Callable 09/01/08 @ $104.88) + | (B-, Caa1) | 09/01/12 | 0.000 | 611,250 | ||||||||||||||||||
1,100 | Nortek, Inc., Global Senior Subordinated Notes (Callable 09/01/09 @ $104.25) | (CCC+, Caa1) | 09/01/14 | 8.500 | 1,133,000 | ||||||||||||||||||
1,000 | NTK Holdings, Inc., Global Senior Discount Notes (Callable 09/01/09 @ $105.38) +§ | (CCC+, Caa2) | 03/01/14 | 0.000 | 766,250 | ||||||||||||||||||
1,000 | Ply Gem Industries, Inc., Global Senior Subordinated Notes (Callable 02/15/08 @ $104.50) | (B-, B3) | 02/15/12 | 9.000 | 967,500 | ||||||||||||||||||
1,000 | RMCC Acquisition Co., Rule 144A, Senior Subordinated Notes (Callable 11/01/08 @ $104.75) | (CCC+, Caa1) | 11/01/12 | 9.500 | 1,050,000 | ||||||||||||||||||
1,275 | Werner Holding Co., Inc., Series A, Company Guaranteed Notes (Callable 06/26/06 @ $100) | (CC, Caa3) | 11/15/07 | 10.000 | 408,000 | ||||||||||||||||||
12,351,875 | |||||||||||||||||||||||
Chemicals (5.7%) | |||||||||||||||||||||||
650 | BCP Crystal Holdings Corp., Global Senior Subordinated Notes (Callable 06/15/09 @ $104.81) | (B, B3) | 06/15/14 | 9.625 | 718,250 | ||||||||||||||||||
876 | Crystal US Holdings, Global Senior Discount Notes (Callable 10/01/09 @ $105.25) + | (B, Caa2) | 10/01/14 | 0.000 | 696,420 | ||||||||||||||||||
1,000 | Equistar Chemicals LP/ Equistar Funding Corp., Global Company Guaranteed Notes | (BB-, B2) | 09/01/08 | 10.125 | 1,076,250 | ||||||||||||||||||
227 | Huntsman Company LLC, Global Company Guaranteed Notes (Callable 10/15/07 @ $105.81) | (BB-, Ba3) | 10/15/10 | 11.625 | 256,510 | ||||||||||||||||||
773 | Huntsman LLC, Global Company Guaranteed Notes (Callable 07/15/08 @ $105.75) # | (B, B2) | 07/15/12 | 11.500 | 888,950 | ||||||||||||||||||
1,100 | IMC Global, Inc., Global Senior Notes (Callable 08/01/08 @ $105.44) | (BB, Ba3) | 08/01/13 | 10.875 | 1,254,000 | ||||||||||||||||||
1,450 | IMC Global, Inc., Series B, Global Company Guaranteed Notes (Callable 06/01/06 @ $105.62) | (BB, Ba3) | 06/01/11 | 11.250 | 1,540,625 | ||||||||||||||||||
1,200 | KI Holdings, Inc., Global Senior Discount Notes (Callable 11/15/09 @ $104.94) + | (B-, Caa1) | 11/15/14 | 0.000 | 894,000 | ||||||||||||||||||
1,000 | Lyondell Chemical Co., Global Company Guaranteed Notes (Callable 06/01/08 @ $105.25) § | (BB-, B1) | 06/01/13 | 10.500 | 1,123,750 | ||||||||||||||||||
1,375 | Millennium America, Inc., Global Company Guaranteed Notes § | (BB-, B1) | 06/15/08 | 9.250 | 1,443,750 | ||||||||||||||||||
750 | Nalco Co., Global Senior Notes (Callable 11/15/07 @ $103.88) | (B-, B2) | 11/15/11 | 7.750 | 757,500 | ||||||||||||||||||
925 | PolyOne Corp., Global Company Guaranteed Notes (Callable 05/15/07 @ $105.31) | (B+, B3) | 05/15/10 | 10.625 | 1,003,625 | ||||||||||||||||||
832 | Terra Capital, Inc., Global Secured Notes (Callable 06/01/07 @ $105.75) | (B-, B2) | 06/01/10 | 11.500 | 923,520 | ||||||||||||||||||
550 | Tronox Worldwide/Finance, Rule 144A, Senior Notes (Callable 12/01/09 @ $104.75) | (B+, B1) | 12/01/12 | 9.500 | 580,250 | ||||||||||||||||||
13,157,400 | |||||||||||||||||||||||
Consumer Products (3.5%) | |||||||||||||||||||||||
850 | AAC Group Holding Corp., Global Senior Discount Notes (Callable 10/01/08 @ $105.13) + | (B-, Caa1) | 10/01/12 | 0.000 | 690,625 | ||||||||||||||||||
1,525 | Amscan Holdings, Inc., Global Senior Subordinated Notes (Callable 05/01/09 @ $104.38) | (CCC+, Caa1) | 05/01/14 | 8.750 | 1,383,937 | ||||||||||||||||||
1,000 | Del Laboratories, Inc., Global Company Guaranteed Notes (Callable 02/01/08 @ $104.00) § | (CCC, Caa2) | 02/01/12 | 8.000 | 785,000 | ||||||||||||||||||
1,250 | Jarden Corp., Global Company Guaranteed Notes (Callable 05/01/07 @ $104.88) § | (B-, B3) | 05/01/12 | 9.750 | 1,306,250 | ||||||||||||||||||
1,300 | Playtex Products, Inc., Global Company Guaranteed Notes (Callable 06/01/06 @ $104.69) § | (CCC+, Caa1) | 06/01/11 | 9.375 | 1,361,750 | ||||||||||||||||||
1,250 | Prestige Brands, Inc., Global Senior Subordinated Notes (Callable 04/15/08 @ $104.63) | (B-, B3) | 04/15/12 | 9.250 | 1,275,000 | ||||||||||||||||||
750 | Revlon Consumer Products Corp., Global Senior Notes (Callable 04/01/08 @ $104.75) | (CCC, Caa2) | 04/01/11 | 9.500 | 738,750 | ||||||||||||||||||
425 | Samsonite Corp., Global Senior Subordinated Notes (Callable 06/01/08 @ $104.44) | (B-, B3) | 06/01/11 | 8.875 | 452,625 | ||||||||||||||||||
7,993,937 | |||||||||||||||||||||||
Diversified Capital Goods (1.9%) | |||||||||||||||||||||||
1,000 | Amsted Industries, Inc., Rule 144A, Senior Notes (Callable 10/15/07 @ $105.12) | (B, B3) | 10/15/11 | 10.250 | 1,095,000 | ||||||||||||||||||
1,000 | Blount, Inc., Senior Subordinated Notes (Callable 08/01/08 @ $104.44) § | (B, B2) | 08/01/12 | 8.875 | 1,045,000 | ||||||||||||||||||
1 | JII Holdings LLC, Global Secured Notes (Callable 01/01/07 @ $103.25) | (CCC-, Caa2) | 04/01/07 | 13.000 | 414 | ||||||||||||||||||
950 | Sensus Metering Systems, Global Senior Subordinated Notes (Callable 12/15/08 @ $104.31) | (B-, Caa1) | 12/15/13 | 8.625 | 928,625 | ||||||||||||||||||
1,350 | TriMas Corp., Global Company Guaranteed Notes (Callable 06/15/07 @ $104.94) | (CCC+, Caa1) | 06/15/12 | 9.875 | 1,272,375 | ||||||||||||||||||
4,341,414 | |||||||||||||||||||||||
Electric - Generation (4.0%) | |||||||||||||||||||||||
1,000 | AES Corp., Rule 144A, Senior Secured Notes (Callable 05/15/08 @ $104.50) | (BB-, Ba3) | 05/15/15 | 9.000 | 1,095,000 | ||||||||||||||||||
1,800 | Calpine Generating Company LLC, Global Secured Notes (Callable 04/01/08 @ $103.50) Ø# | (D, NR) | 04/01/10 | 10.576 | 1,930,500 | ||||||||||||||||||
950 | Dynegy Holdings, Inc., Rule 144A, Senior Unsecured Notes § | (B-, B2) | 05/01/16 | 8.375 | 950,000 |
See Accompanying Notes to Financial Statements.
3
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Electric - Generation | |||||||||||||||||||||||
$ | 250 | Dynegy Holdings, Inc., Rule 144A Senior Notes § | (B-, B2) | 04/01/11 | 6.875 | $ | 241,250 | ||||||||||||||||
350 | Edison Mission Energy, Global Senior Notes | (B+, B1) | 08/15/08 | 10.000 | 378,438 | ||||||||||||||||||
1,300 | Edison Mission Energy, Senior Notes | (B+, B1) | 06/15/09 | 7.730 | 1,337,375 | ||||||||||||||||||
1,000 | Midwest Generation LLC, Global Secured Notes (Callable 05/01/09 @ $104.38) | (B, B1) | 05/01/34 | 8.750 | 1,085,000 | ||||||||||||||||||
625 | NRG Energy, Inc., Company Guaranteed Notes (Callable 02/01/11 @ $103.69) | (B-, B1) | 02/01/16 | 7.375 | 632,031 | ||||||||||||||||||
500 | Reliant Energy, Inc., Secured Notes (Callable 12/15/09 @ $103.38) § | (B, B2) | 12/15/14 | 6.750 | 457,500 | ||||||||||||||||||
1,050 | Reliant Resources, Inc., Global Secured Notes (Callable 07/15/08 @ $104.75) | (B, B2) | 07/15/13 | 9.500 | 1,071,000 | ||||||||||||||||||
9,178,094 | |||||||||||||||||||||||
Electric - Integrated (1.9%) | |||||||||||||||||||||||
800 | Allegheny Energy Supply Company LLC, Global Notes | (BB-, Ba3) | 03/15/11 | 7.800 | 850,000 | ||||||||||||||||||
1,100 | Aquila, Inc., Senior Notes | (B-, B2) | 11/15/09 | 7.625 | 1,134,375 | ||||||||||||||||||
800 | CMS Energy Corp., Global Senior Notes | (B+, B1) | 08/01/10 | 7.750 | 834,000 | ||||||||||||||||||
1,000 | CMS Energy Corp., Senior Notes | (B+, B1) | 07/15/08 | 8.900 | 1,058,750 | ||||||||||||||||||
500 | Sierra Pacific Resources, Global Senior Notes (Callable 03/15/09 @ $104.31) | (B-, B1) | 03/15/14 | 8.625 | 543,929 | ||||||||||||||||||
4,421,054 | |||||||||||||||||||||||
Electronics (3.5%) | |||||||||||||||||||||||
2,050 | Amkor Technology, Inc., Global Senior Notes (Callable 05/15/08 @ $103.88) | (CCC+, Caa1) | 05/15/13 | 7.750 | 1,965,437 | ||||||||||||||||||
180 | Ampex Corp., Secured Notes | (NR, NR) | 08/15/08 | 12.000 | 180,337 | ||||||||||||||||||
750 | Hughes Network Systems, Rule 144A, Senior Notes (Callable 04/15/10 @ $104.75) | (B-, B1) | 04/15/14 | 9.500 | 767,813 | ||||||||||||||||||
900 | Magnachip Semiconductor, Global Senior Subordinated Notes (Callable 12/15/09 @ $104.00) | (B-, B2) | 12/15/14 | 8.000 | 843,750 | ||||||||||||||||||
1,100 | Sanmina-SCI Corp., Senior Subordinated Notes (Callable 03/01/11 @ $104.06) | (B, B1) | 03/01/16 | 8.125 | 1,122,000 | ||||||||||||||||||
1,150 | Spansion LLC, Rule 144A, Senior Notes (Callable 01/15/11 @ $105.63) | (B, Caa1) | 01/15/16 | 11.250 | 1,190,250 | ||||||||||||||||||
1,000 | UCAR Finance, Inc., Global Company Guaranteed Notes (Callable 02/15/07 @ $105.13) | (B-, B2) | 02/15/12 | 10.250 | 1,070,000 | ||||||||||||||||||
1,000 | Viasystems, Inc., Global Senior Subordinated Notes (Callable 01/15/08 @ $105.25) | (CCC+, Caa2) | 01/15/11 | 10.500 | 1,005,000 | ||||||||||||||||||
8,144,587 | |||||||||||||||||||||||
Energy - Exploration & Production (2.6%) | |||||||||||||||||||||||
1,933 | Chesapeake Energy Corp., Senior Notes (Callable 01/15/09 @ $103.44) § | (BB, Ba2) | 01/15/16 | 6.875 | 1,913,670 | ||||||||||||||||||
2,800 | El Paso Production Holding Co., Global Company Guaranteed Notes (Callable 06/01/08 @ $103.02) | (B, B3) | 06/01/13 | 7.750 | 2,901,500 | ||||||||||||||||||
423 | Magnum Hunter Resources, Inc., Global Company Guaranteed Notes (Callable 03/15/07 @ $104.80) | (B+, Ba3) | 03/15/12 | 9.600 | 452,610 | ||||||||||||||||||
200 | Range Resources Corp., Global Company Guaranteed Notes (Callable 03/15/10 @ $103.19) | (B, B2) | 03/15/15 | 6.375 | 194,000 | ||||||||||||||||||
600 | Whiting Petroleum Corp., Global Senior Subordinated Notes (Callable 05/01/08 @ $103.63) | (B-, B2) | 05/01/12 | 7.250 | 603,000 | ||||||||||||||||||
6,064,780 | |||||||||||||||||||||||
Environmental (2.5%) | |||||||||||||||||||||||
1,000 | Aleris International, Inc., Global Company Guaranteed Notes (Callable 11/15/09 @ $104.50) | (B, B3) | 11/15/14 | 9.000 | 1,050,000 | ||||||||||||||||||
3,425 | Allied Waste North America, Inc., Series B, Global Senior Notes (Callable 04/15/09 @ $103.69) § | (B+, Caa1) | 04/15/14 | 7.375 | 3,390,750 | ||||||||||||||||||
1,175 | Waste Services, Inc., Global Senior Subordinated Notes (Callable 04/15/09 @ $104.75) | (CCC, Caa2) | 04/15/14 | 9.500 | 1,222,000 | ||||||||||||||||||
5,662,750 | |||||||||||||||||||||||
Food & Drug Retailers (1.8%) | |||||||||||||||||||||||
1,750 | Duane Reade, Inc., Global Senior Subordinated Notes (Callable 08/01/08 @ $104.88) § | (CC, Caa3) | 08/01/11 | 9.750 | 1,413,125 | ||||||||||||||||||
1,000 | Rite Aid Corp., Global Company Guaranteed Notes (Callable 01/15/10 @ $103.75) § | (B+, B2) | 01/15/15 | 7.500 | 987,500 | ||||||||||||||||||
1,775 | Stater Brothers Holdings, Inc., Global Senior Notes (Callable 06/15/08 @ $104.06) | (BB-, B1) | 06/15/12 | 8.125 | 1,783,875 | ||||||||||||||||||
4,184,500 | |||||||||||||||||||||||
Food - Wholesale (1.1%) | |||||||||||||||||||||||
164 | Birds Eye Foods, Inc., Company Guaranteed Notes (Callable 11/01/06 @ $100.00) | (B-, B3) | 11/01/08 | 11.875 | 168,510 | ||||||||||||||||||
1,000 | National Beef Packing Company LLC, Global Senior Notes (Callable 08/01/07 @ $105.25) | (B-, B3) | 08/01/11 | 10.500 | 1,012,500 | ||||||||||||||||||
500 | Pinnacle Foods Holding Corp., Global Senior Subordinated Notes (Callable 12/01/08 @ $104.13) § | (B-, B3) | 12/01/13 | 8.250 | 503,750 | ||||||||||||||||||
850 | Swift & Co., Global Senior Subordinated Notes (Callable 10/01/06 @ $106.25) | (CCC+, Caa1) | 01/01/10 | 12.500 | 854,250 | ||||||||||||||||||
2,539,010 |
See Accompanying Notes to Financial Statements.
4
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Forestry & Paper (2.8%) | |||||||||||||||||||||||
$ | 800 | Boise Cascade LLC, Global Company Guaranteed Notes (Callable 10/15/09 @ $103.56) § | (B+, B2) | 10/15/14 | 7.125 | $ | 764,000 | ||||||||||||||||
615 | Caraustar Industries, Inc., Global Company Guaranteed Notes (Callable 04/01/07 @ $103.50) | (B-, Caa1) | 04/01/11 | 9.875 | 650,362 | ||||||||||||||||||
1,150 | Cellu Tissue Holdings, Global Secured Notes (Callable 03/15/07 @ $107.31) | (B, B2) | 03/15/10 | 9.750 | 1,155,750 | ||||||||||||||||||
750 | Georgia-Pacific Corp., Global Senior Notes § | (B, B2) | 01/15/24 | 8.000 | 751,875 | ||||||||||||||||||
625 | Newark Group, Inc., Global Senior Subordinated Notes (Callable 03/15/09 @ $104.88) | (B-, Caa1) | 03/15/14 | 9.750 | 592,188 | ||||||||||||||||||
750 | NewPage Corp., Global Secured Notes (Callable 05/01/09 @ $106.00) § | (CCC+, B3) | 05/01/12 | 10.000 | 807,187 | ||||||||||||||||||
1,900 | Smurfit-Stone Container, Global Senior Notes (Callable 07/01/07 @ $104.19) § | (CCC+, B2) | 07/01/12 | 8.375 | 1,862,000 | ||||||||||||||||||
6,583,362 | |||||||||||||||||||||||
Gaming (6.1%) | |||||||||||||||||||||||
1,350 | Aztar Corp., Global Senior Subordinated Notes (Callable 08/15/06 @ $104.50) | (B+, Ba3) | 08/15/11 | 9.000 | 1,427,625 | ||||||||||||||||||
1,425 | CCM Merger, Inc., Rule 144A, Notes (Callable 08/01/09 @ $104.00) | (B-, B3) | 08/01/13 | 8.000 | 1,389,375 | ||||||||||||||||||
250 | Circus & Eldorado, Global First Mortgage Notes (Callable 03/01/07 @ $105.06) | (B, B2) | 03/01/12 | 10.125 | 268,750 | ||||||||||||||||||
725 | Hard Rock Hotel, Inc., Global Notes (Callable 06/01/08 @ $104.44) | (B, B3) | 06/01/13 | 8.875 | 783,000 | ||||||||||||||||||
1,000 | Herbst Gaming, Inc., Global Senior Subordinated Notes (Callable 06/01/08 @ $104.06) | (B-, B3) | 06/01/12 | 8.125 | 1,045,000 | ||||||||||||||||||
1,500 | Inn of the Mountain Gods, Global Senior Notes (Callable 11/15/07 @ $106.00) § | (B, B3) | 11/15/10 | 12.000 | 1,631,250 | ||||||||||||||||||
900 | Isle of Capri Casinos, Inc., Global Senior Subordinated Notes (Callable 03/01/09 @ $103.50) | (B, B2) | 03/01/14 | 7.000 | 888,750 | ||||||||||||||||||
775 | Majestic Star Casino LLC, Company Guaranteed Notes (Callable 10/15/07 @ $104.75) | (BB-, B2) | 10/15/10 | 9.500 | 829,250 | ||||||||||||||||||
1,000 | Majestic Star Casino LLC, Rule 144A, Secured Notes (Callable 10/15/08 @ $104.88) | (B-, B3) | 01/15/11 | 9.750 | 1,030,000 | ||||||||||||||||||
450 | MGM Mirage, Inc., Company Guaranteed Notes § | (BB, Ba2) | 09/15/10 | 8.500 | 479,812 | ||||||||||||||||||
450 | MGM Mirage, Inc., Company Guaranteed Notes | (B+, Ba3) | 02/01/11 | 8.375 | 475,875 | ||||||||||||||||||
250 | MTR Gaming Group, Inc., Series B, Global Company Guaranteed Notes (Callable 04/01/07 @ $104.88) | (B+, B2) | 04/01/10 | 9.750 | 266,875 | ||||||||||||||||||
1,000 | OED Corp., Global Company Guaranteed Notes (Callable 4/15/08 @ $104.38) | (B, B2) | 04/15/12 | 8.750 | 1,005,000 | ||||||||||||||||||
400 |
Resorts International Hotel & Casino, Inc., Global Company Guaranteed Notes (Callable 03/15/07 @ $106.00) § |
(B, B2) | 03/15/09 | 11.500 | 439,000 | ||||||||||||||||||
600 | Trump Entertainment Resorts, Inc. | (B-, Caa1) | 06/01/15 | 8.500 | 594,000 | ||||||||||||||||||
319 | Waterford Gaming LLC, Rule 144A, Senior Notes (Callable 09/15/08 @ $103.55) | (BB-, B1) | 09/15/12 | 8.625 | 336,545 | ||||||||||||||||||
250 | Wheeling Island Gaming, Inc., Global Company Guaranteed Notes (Callable 12/15/06 @ $102.53) | (B+, B3) | 12/15/09 | 10.125 | 262,500 | ||||||||||||||||||
1,000 | Wynn Las Vegas LLC, Global Notes (Callable 12/01/09 @ $103.31) § | (B+, B2) | 12/01/14 | 6.625 | 977,500 | ||||||||||||||||||
14,130,107 | |||||||||||||||||||||||
Gas Distribution (1.5%) | |||||||||||||||||||||||
750 | El Paso Corp., Senior Notes § | (B-, Caa1) | 05/15/11 | 7.000 | 751,875 | ||||||||||||||||||
1,000 | El Paso Natural Gas Co., Global Senior Notes (Callable 08/01/07 @ $103.81) | (B, B1) | 08/01/10 | 7.625 | 1,041,250 | ||||||||||||||||||
825 | Inergy LP/Inergy Finance Corp., Rule 144A, Senior Notes (Callable 03/01/11 @ $104.13) | (B, B1) | 03/01/16 | 8.250 | 851,812 | ||||||||||||||||||
825 | Williams Companies, Inc., Global Senior Unsecured Notes | (B+, B1) | 03/15/12 | 8.125 | 889,969 | ||||||||||||||||||
3,534,906 | |||||||||||||||||||||||
Health Services (7.5%) | |||||||||||||||||||||||
500 | AMR/EmCare Holding Co. Global Senior Subordinated Notes (Callable 2/15/10 @ $105.00) | (B-, Caa1) | 02/15/15 | 10.000 | 537,500 | ||||||||||||||||||
1,800 | CDRV Investors, Inc., Global Senior Discount Notes (Callable 01/01/10 @ $104.81) + | (B-, Caa2) | 01/01/15 | 0.000 | 1,282,500 | ||||||||||||||||||
1,000 | Concentra Operating Corp., Global Company Guaranteed Notes (Callable 08/15/07 @ $104.75) | (B-, B3) | 08/15/10 | 9.500 | 1,047,500 | ||||||||||||||||||
1,000 | Extendicare Health Services, Inc., Global Senior Subordinated Notes (Callable 05/01/09 @ $103.44) | (B, B2) | 05/01/14 | 6.875 | 1,030,000 | ||||||||||||||||||
750 | Fisher Scientific International, Inc., Global Senior Subordinated Notes (Callable 08/15/09 @ $103.38) | (BB+, Ba2) | 08/15/14 | 6.750 | 755,625 | ||||||||||||||||||
500 | Hanger Orthopedic Group, Inc., Global Company Guaranteed Notes (Callable 02/15/07 @ $102.59) § | (CCC+, B3) | 02/15/09 | 10.375 | 520,000 | ||||||||||||||||||
1,150 | HCA, Inc., Notes | (BB+, Ba2) | 10/01/12 | 6.300 | 1,122,183 | ||||||||||||||||||
1,025 | Iasis Healthcare/Capital Corp., Global Senior Subordinated Notes (Callable 06/15/09 @ $104.38) | (B-, B3) | 06/15/14 | 8.750 | 1,040,375 | ||||||||||||||||||
450 | Medquest, Inc., Series B, Global Company Guaranteed Notes (Callable 08/15/07 @ $105.94) | (CCC, Caa1) | 08/15/12 | 11.875 | 373,500 | ||||||||||||||||||
800 | Senior Housing Properties Trust, Senior Notes | (BB+, Ba2) | 01/15/12 | 8.625 | 880,000 | ||||||||||||||||||
750 | Stewart Enterprises, Inc., Rule 144A, Senior Notes (Callable 02/15/09 @ $103.13) § | (B+, B1) | 02/15/13 | 7.750 | 723,750 | ||||||||||||||||||
2,750 | Tenet Healthcare Corp., Global Senior Notes § | (B, B3) | 07/01/14 | 9.875 | 2,866,875 | ||||||||||||||||||
500 | Tenet Healthcare Corp., Rule 144A, Senior Notes § | (B, B3) | 02/01/15 | 9.500 | 511,250 | ||||||||||||||||||
1,665 | Triad Hospitals, Inc., Senior Notes (Callable 05/15/08 @ $103.50) | (BB-, B2) | 05/15/12 | 7.000 | 1,660,837 | ||||||||||||||||||
1,275 | Universal Hospital Services, Inc., Global Senior Notes (Callable 11/01/07 @ $105.06) | (B-, B3) | 11/01/11 | 10.125 | 1,322,813 | ||||||||||||||||||
1,600 | Vanguard Health Holding Co., Global Senior Subordinated Notes (Callable 10/01/09 @ $104.50) | (CCC+, Caa1) | 10/01/14 | 9.000 | 1,660,000 | ||||||||||||||||||
17,334,708 |
See Accompanying Notes to Financial Statements.
5
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Hotels (0.6%) | |||||||||||||||||||||||
$ | 500 | Bluegreen Corp., Series B, Company Guaranteed Notes (Callable 07/17/06 @ $100.00) | (B-, B3) | 04/01/08 | 10.500 | $ | 496,875 | ||||||||||||||||
950 | Host Marriott LP, Rule 144A, Senior Notes (Callable 06/01/11 @ $103.38) | (BB-, Ba2) | 06/01/16 | 6.750 | 942,875 | ||||||||||||||||||
1,439,750 | |||||||||||||||||||||||
Household & Leisure Products (1.7%) | |||||||||||||||||||||||
500 | Ames True Temper, Global Company Guaranteed Notes (Callable 01/15/07 @ $103.00) #§ | (CCC+, Caa1) | 01/15/12 | 9.068 | 485,000 | ||||||||||||||||||
1,400 | Ames True Temper, Global Senior Subordinated Notes (Callable 07/15/08 @ $105.00) | (CCC-, Caa2) | 07/15/12 | 10.000 | 1,179,500 | ||||||||||||||||||
750 | Remington Arms Company, Inc., Global Company Guaranteed Notes (Callable 02/01/07 @ $105.25) | (CCC-, Caa1) | 02/01/11 | 10.500 | 603,750 | ||||||||||||||||||
975 | Sealy Mattress Co., Global Senior Subordinated Notes (Callable 06/15/09 @ $104.13) § | (B-, B3) | 06/15/14 | 8.250 | 1,028,625 | ||||||||||||||||||
600 | Simmons Bedding Co., Global Senior Subordinated Notes (Callable 01/15/09 @ $103.94) | (B-, Caa1) | 01/15/14 | 7.875 | 594,000 | ||||||||||||||||||
3,890,875 | |||||||||||||||||||||||
Industrial (0.5%) | |||||||||||||||||||||||
200 | Coleman Cable, Inc., Global Company Guaranteed Notes (Callable 10/01/08 @ $104.94) § | (B-, B3) | 10/01/12 | 9.875 | 182,500 | ||||||||||||||||||
1,021 |
International Utility Structures, Inc., Yankee Senior Subordinated Notes (Callable 06/05/06 @ $100.00) (Canada) Ø |
(NR, NR) | 02/01/08 | 10.750 | 0 | ||||||||||||||||||
950 | NewPage Corp. (Callable 05/01/09 @ $106.00) | (CCC+, Caa2) | 05/01/13 | 12.000 | 1,035,500 | ||||||||||||||||||
1,218,000 | |||||||||||||||||||||||
Investments & Misc. Financial Services (0.3%) | |||||||||||||||||||||||
750 | Cardtronics, Inc., Rule 144A, Senior Subordinated Notes (Callable 08/15/09 @ $104.63) | (B-, Caa1) | 08/15/13 | 9.250 | 748,125 | ||||||||||||||||||
Leisure (1.0%) | |||||||||||||||||||||||
250 | Bally Total Fitness Holding Corp., Global Senior Notes (Callable 07/15/07 @ $105.25) | (CCC-, Caa1) | 07/15/11 | 10.500 | 262,500 | ||||||||||||||||||
950 | Six Flags, Inc., Global Senior Notes (Callable 02/01/07 @ $102.96) | (CCC, Caa1) | 02/01/10 | 8.875 | 957,125 | ||||||||||||||||||
1,050 | Six Flags, Inc., Global Senior Notes (Callable 06/01/09 @ $104.81) | (CCC, Caa1) | 06/01/14 | 9.625 | 1,068,375 | ||||||||||||||||||
2,288,000 | |||||||||||||||||||||||
Lodging (0.3%) | |||||||||||||||||||||||
650 | Host Marriott Corp., Global Senior Notes (Callable 11/01/08 @ 103.56) | (BB-, Ba2) | 11/01/13 | 7.125 | 663,000 | ||||||||||||||||||
Machinery (0.4%) | |||||||||||||||||||||||
850 | Case New Holland, Inc., Global Company Guaranteed Notes (Callable 08/01/07 @ $104.63) | (BB-, Ba3) | 08/01/11 | 9.250 | 907,375 | ||||||||||||||||||
Media - Broadcast (3.3%) | |||||||||||||||||||||||
1,000 | Allbritton Communications Co., Global Senior Subordinated Notes (Callable 12/15/07 @ $103.88) | (B-, B3) | 12/15/12 | 7.750 | 1,007,500 | ||||||||||||||||||
450 | Fisher Communications, Inc., Global Senior Notes (Callable 09/15/09 @ $104.31) | (B-, B2) | 09/15/14 | 8.625 | 474,750 | ||||||||||||||||||
900 | Nexstar Finance, Inc., Global Senior Subordinated Notes (Callable 01/15/09 @ $103.50) § | (CCC+, B3) | 01/15/14 | 7.000 | 850,500 | ||||||||||||||||||
875 | Paxson Communications Corp., Rule 144A, Secured Notes (Callable 01/15/08 @ $102.00) # | (CCC-, B3) | 01/15/13 | 11.318 | 888,125 | ||||||||||||||||||
725 |
Rainbow National Services LLC, Rule 144A, Senior Subordinated Debentures (Callable 09/01/09 @ $105.19) § |
(B+, B3) | 09/01/14 | 10.375 | 817,438 | ||||||||||||||||||
700 | Sinclair Broadcast Group, Inc., Global Company Guaranteed Notes (Callable 12/15/06 @ $104.38) | (B, B2) | 12/15/11 | 8.750 | 740,250 | ||||||||||||||||||
1,000 | Sirius Satellite Radio, Inc., Global Senior Unsecured Notes (Callable 09/01/09 @ $104.81) § | (CCC, Caa1) | 08/01/13 | 9.625 | 982,500 | ||||||||||||||||||
600 | Xm Satellite Radio, Inc., Rule 144A, Senior Notes (Callable 06/16/06 @ $105.44) # | (CCC, Caa2) | 05/01/13 | 9.649 | 609,000 | ||||||||||||||||||
1,265 | Young Broadcasting, Inc., Global Company Guaranteed Notes (Callable 03/01/07 @ $103.33) § | (CCC-, Caa2) | 03/01/11 | 10.000 | 1,160,637 | ||||||||||||||||||
7,530,700 | |||||||||||||||||||||||
Media - Cable (8.5%) | |||||||||||||||||||||||
1,450 | Atlantic Broadband Finance LLC, Global Company Guaranteed Notes (Callable 01/15/09 @ $104.69) | (CCC+, Caa1) | 01/15/14 | 9.375 | 1,390,187 | ||||||||||||||||||
1,415 | CCH I LLC, Global Secured Notes (Callable 10/01/10 @ $105.50) § | (NR, Caa3) | 10/01/15 | 11.000 | 1,266,425 | ||||||||||||||||||
1,750 | CCO Holdings LLC, Global Senior Notes (Callable 11/15/08 @ $104.38) § | (CCC-, B3) | 11/15/13 | 8.750 | 1,723,750 | ||||||||||||||||||
2,100 | Charter Communications Holdings LLC, Senior Notes (Callable 06/05/06 @ $101.44) § | (CCC-, Ca) | 04/01/09 | 8.625 | 1,690,500 | ||||||||||||||||||
2,500 | Charter Communications Holdings LLC, Senior Notes (Callable 09/15/08 @ $105.12) | (CCC-, Caa1) | 09/15/10 | 10.250 | 2,531,250 | ||||||||||||||||||
3,350 | CSC Holdings, Inc., Rule 144A, Senior Notes # | (B+, B2) | 04/15/12 | 7.250 | 3,350,000 | ||||||||||||||||||
975 | CSC Holdings, Inc., Series B, Senior Notes | (B+, B2) | 04/01/11 | 7.625 | 996,938 | ||||||||||||||||||
1,750 | DIVA Systems Corp., Series B, Senior Discount Notes (Callable 07/17/06 @ $100.00) Ø | (NR, NR) | 03/01/08 | 12.625 | 17,500 | ||||||||||||||||||
1,050 | EchoStar DBS Corp., Global Company Guaranteed Notes | (BB-, Ba3) | 10/01/14 | 6.625 | 1,014,562 | ||||||||||||||||||
1,050 | GCI, Inc., Global Senior Notes (Callable 02/15/09 @ $103.63) § | (B+, B2) | 02/15/14 | 7.250 | 1,039,500 | ||||||||||||||||||
1,400 | Insight Communications Company, Inc., Senior Discount Notes (Callable 02/15/07 @ $104.08) + | (CCC+, Caa1) | 02/15/11 | 12.250 | 1,496,250 |
See Accompanying Notes to Financial Statements.
6
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Media - Cable | |||||||||||||||||||||||
$ | 500 | Insight Midwest/Insight Capital Corp., Global Senior Notes (Callable 11/01/06 @ $103.50) | (B, B2) | 11/01/10 | 10.500 | $ | 528,125 | ||||||||||||||||
200 | Insight Midwest/Insight Capital Corp., Senior Notes (Callable 10/01/06 @ $101.63) | (B, B2) | 10/01/09 | 9.750 | 206,500 | ||||||||||||||||||
2,475 | Mediacom Broadband LLC, Global Senior Notes (Callable 10/15/10 @ $104.25) | (NR, NR) | 10/15/15 | 8.500 | 2,450,250 | ||||||||||||||||||
19,701,737 | |||||||||||||||||||||||
Media - Services (0.3%) | |||||||||||||||||||||||
975 | WMG Holdings Corp., Senior Discount Notes (Callable 12/15/09 @ $104.75) + | (B-, B3) | 12/15/14 | 0.000 | 721,500 | ||||||||||||||||||
Metal & Mining - Excluding Steel (1.2%) | |||||||||||||||||||||||
1,600 | Alpha Natural Resources LLC, Global Company Guaranteed Notes (Callable 06/01/08 @ $105.00) # | (B-, B3) | 06/01/12 | 10.000 | 1,760,000 | ||||||||||||||||||
725 | Southern Copper Corp., Global Senior Notes | (BBB-, Ba1) | 07/27/35 | 7.500 | 705,062 | ||||||||||||||||||
500 | Wise Metals Group LLC, Global Secured Notes (Callable 05/15/08 @ $105.13) | (CCC+, Caa1) | 05/15/12 | 10.250 | 405,000 | ||||||||||||||||||
2,870,062 | |||||||||||||||||||||||
Non-Food & Drug Retailers (6.2%) | |||||||||||||||||||||||
1,429 | Affinity Group, Inc., Global Senior Subordinated Notes (Callable 02/15/08 @ $105.44) | (B-, Caa1) | 02/15/12 | 10.875 | 1,379,052 | ||||||||||||||||||
950 | Asbury Automotive Group, Inc., Global Company Guaranteed Notes (Callable 06/15/07 @ $104.50) § | (B, B3) | 06/15/12 | 9.000 | 985,625 | ||||||||||||||||||
1,250 | Brookstone Company, Inc., Rule 144A, Secured Notes (Callable 10/15/09 @ $106.00) | (B, B3) | 10/15/12 | 12.000 | 1,093,750 | ||||||||||||||||||
1,225 | CSK Auto, Inc., Global Company Guaranteed Notes (Callable 01/15/09 @ $103.50) | (CCC-, B2) | 01/15/14 | 7.000 | 1,188,250 | ||||||||||||||||||
950 | Finlay Fine Jewelry Corp., Global Senior Notes (Callable 06/01/08 @ $104.19) § | (B-, B3) | 06/01/12 | 8.375 | 836,000 | ||||||||||||||||||
600 | General Nutrition Center, Global Company Guaranteed Notes (Callable 01/15/08 @ $104.31) § | (B-, B3) | 01/15/11 | 8.625 | 618,000 | ||||||||||||||||||
575 | General Nutrition Center, Global Senior Subordinated Notes (Callable 12/01/07 @ $104.25) | (CCC+, Caa1) | 12/01/10 | 8.500 | 561,344 | ||||||||||||||||||
525 | Gregg Appliances, Inc., Senior Note (Callable 02/01/09 @ $104.50) | (B, B2) | 02/01/13 | 9.000 | 493,500 | ||||||||||||||||||
1,175 | GSC Holdings Corp., Rule 144A, Company Guaranteed Notes (Callable 10/01/09 @ $104.00) § | (B+, Ba3) | 10/01/12 | 8.000 | 1,182,344 | ||||||||||||||||||
500 | Intcomex, Inc., Rule 144A, Secured Notes (Callable 01/15/07 @ $106.00) | (B-, Caa1) | 01/15/11 | 11.750 | 507,500 | ||||||||||||||||||
490 | Movie Gallery, Inc., Global Senior Unsecured Notes (Callable 05/01/08 @ $105.50) | (CCC-, Caa3) | 05/01/12 | 11.000 | 262,150 | ||||||||||||||||||
500 | Nebraska Book Company, Inc., Global Senior Subordinated Notes (Callable 03/15/08 @ $104.31) | (CCC, Caa1) | 03/15/12 | 8.625 | 458,125 | ||||||||||||||||||
1,365 | Neiman Marcus Group, Inc., Rule 144A, Senior Subordinated Notes (Callable 10/15/10 @ $105.19) § | (B-, B3) | 10/15/15 | 10.375 | 1,467,375 | ||||||||||||||||||
1,000 | PCA LLC, Global Senior Notes | (C, Ca) | 08/01/09 | 11.875 | 220,000 | ||||||||||||||||||
1,275 | Rent-Way, Inc., Global Secured Notes | (B-, B3) | 06/15/10 | 11.875 | 1,333,969 | ||||||||||||||||||
1,000 | Stripes Acquisition LLC, Rule 144A, Senior Notes (Callable 12/15/09 @ $105.31) | (B, B2) | 12/15/13 | 10.625 | 1,067,500 | ||||||||||||||||||
750 | United Auto Group, Inc., Global Company Guaranteed Notes (Callable 03/15/07 @ $104.81) § | (B, B3) | 03/15/12 | 9.625 | 801,562 | ||||||||||||||||||
14,456,046 | |||||||||||||||||||||||
Office Equipment (0.6%) | |||||||||||||||||||||||
1,350 | Xerox Corp., Senior Notes (Callable 06/15/08 @ $103.81) § | (BB+, Ba2) | 06/15/13 | 7.625 | 1,400,625 | ||||||||||||||||||
Oil Refining & Marketing (0.6%) | |||||||||||||||||||||||
743 | Giant Industries, Inc., Global Company Guaranteed Notes (Callable 05/15/07 @ $105.50) | (B-, B3) | 05/15/12 | 11.000 | 819,158 | ||||||||||||||||||
450 | Giant Industries, Inc., Senior Subordinated Notes (Callable 05/15/09 @ $104.00) | (B-, B3) | 05/15/14 | 8.000 | 464,625 | ||||||||||||||||||
1,283,783 | |||||||||||||||||||||||
Packaging (5.7%) | |||||||||||||||||||||||
450 | Amtrol, Inc., Senior Subordinated Notes § | (CCC-, Caa3) | 12/31/06 | 10.625 | 423,000 | ||||||||||||||||||
1,200 | Berry Plastics Corp., Global Company Guaranteed Notes (Callable 07/15/07 @ $105.38) | (B-, B3) | 07/15/12 | 10.750 | 1,314,000 | ||||||||||||||||||
1,650 | Constar International, Inc., Senior Subordinated Notes (Callable 12/01/07 @ $105.50) | (CCC, Caa3) | 12/01/12 | 11.000 | 1,262,250 | ||||||||||||||||||
625 |
Covalence Specialty Materials Corp., Rule 144A, Senior Subordinated Notes (Callable 03/01/11 @ $105.13) |
(CCC+, B3) | 03/01/16 | 10.250 | 646,875 | ||||||||||||||||||
650 | Crown Americas, Rule 144A, Senior Notes (Callable 11/15/10 @ $103.88) | (B, B1) | 11/15/15 | 7.750 | 671,125 | ||||||||||||||||||
250 | Graham Packaging Company, Inc., Global Company Guaranteed Notes (Callable 10/15/08 @ $104.25) | (CCC+, Caa1) | 10/15/12 | 8.500 | 256,250 | ||||||||||||||||||
1,375 | Graham Packaging Company, Inc., Global Subordinated Notes (Callable 10/15/09 @ $104.94) § | (CCC+, Caa2) | 10/15/14 | 9.875 | 1,419,688 | ||||||||||||||||||
1,225 |
Graphic Packaging International Corp., Global Senior Subordinated Notes (Callable 08/15/08 @ 104.75) § |
(B-, B3) | 08/15/13 | 9.500 | 1,194,375 | ||||||||||||||||||
1,000 | Intertape Polymer US, Inc., Global Senior Subordinated Notes (Callable 08/01/09 @ $104.25) | (B-, B3) | 08/01/14 | 8.500 | 1,005,000 | ||||||||||||||||||
675 | Owens-Brockway Glass Containers, Global Company Guaranteed Notes (Callable 02/15/07 @ $102.22) | (BB-, B1) | 02/15/09 | 8.875 | 705,375 | ||||||||||||||||||
850 | Owens-Brockway Glass Containers, Inc., Rule 144A, Senior Notes (Callable 05/15/08 @ $104.13) | (B, B2) | 05/15/13 | 8.250 | 877,625 |
See Accompanying Notes to Financial Statements.
7
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Packaging | |||||||||||||||||||||||
$ | 750 | Plastipak Holdings, Inc., Rule 144A, Senior Notes (Callable 12/15/10 @ $104.25) | (B, B2) | 12/15/15 | 8.500 | $ | 761,250 | ||||||||||||||||
500 | Pliant Corp., Company Guaranteed Notes (Callable 06/01/06 @ $104.33) ا | (D, NR) | 06/01/10 | 13.000 | 237,500 | ||||||||||||||||||
1 | Pliant Corp., Global Secured Notes (Callable 06/15/07 @ $111.62) ا | (D, NR) | 06/15/09 | 11.625 | 589 | ||||||||||||||||||
600 | SGS International, Inc., Rule 144A, Senior Subordinated Notes (Callable 12/15/09 @ $106.00) | (B-, Caa1) | 12/15/13 | 12.000 | 636,000 | ||||||||||||||||||
1,925 | Solo Cup Co., Global Senior Subordinated Notes (Callable 02/15/09 @ $104.25) | (B-, Caa1) | 02/15/14 | 8.500 | 1,838,375 | ||||||||||||||||||
13,249,277 | |||||||||||||||||||||||
Pharmaceuticals (0.3%) | |||||||||||||||||||||||
700 | Athena Neurosciences Finance LLC, Company Guaranteed Notes § | (B, B3) | 02/21/08 | 7.250 | 699,125 | ||||||||||||||||||
Printing & Publishing (6.4%) | |||||||||||||||||||||||
1,225 |
American Media Operations, Inc., Series B, Global Company Guaranteed Notes (Callable 05/01/06 @ $101.71) |
(CCC, Caa1) | 05/01/09 | 10.250 | 1,154,563 | ||||||||||||||||||
1,450 | CBD Media Holdings/Finance, Global Senior Notes (Callable 07/15/08 @ $104.63) | (CCC+, Caa2) | 07/15/12 | 9.250 | 1,486,250 | ||||||||||||||||||
1,725 | Cenveo Corp., Rule 144A, Global Senior Subordinated Notes (Callable 12/01/08 @ $103.94) | (B-, B3) | 12/01/13 | 7.875 | 1,677,562 | ||||||||||||||||||
550 | Dex Media, Inc., Global Discount Notes (Callable 11/15/08 @ $104.50) +§ | (B, B3) | 11/15/13 | 0.000 | 470,250 | ||||||||||||||||||
1,500 | Dex Media, Inc., Global Discount Notes (Callable 11/15/08 @ $104.50) + | (B, B3) | 11/15/13 | 0.000 | 1,282,500 | ||||||||||||||||||
900 | Dex Media, Inc., Global Notes (Callable 11/15/08 @ $104.00) | (B, B3) | 11/15/13 | 8.000 | 928,125 | ||||||||||||||||||
1,150 | Haights Cross Operating Co., Global Company Guaranteed Notes (Callable 08/15/08 @ $105.88) | (CCC, Caa1) | 08/15/11 | 11.750 | 1,204,625 | ||||||||||||||||||
1,475 | Houghton Mifflin Co., Global Senior Discount Notes (Callable 10/15/08 @ $105.75) + | (B-, Caa2) | 10/15/13 | 0.000 | 1,261,125 | ||||||||||||||||||
675 | Houghton Mifflin Co., Global Senior Subordinated Notes (Callable 02/01/08 @ $104.94) | (B-, Caa1) | 02/01/13 | 9.875 | 725,625 | ||||||||||||||||||
2,210 | R. H. Donnelley Corp., Rule 144A, Senior Discount Notes (Callable 01/15/09 @ $103.44) | (B, Caa1) | 01/15/13 | 6.875 | 2,066,350 | ||||||||||||||||||
1,100 | Vertis, Inc., Series B, Global Company Guaranteed Notes (Callable 06/15/06 @ $105.44) § | (CCC, Caa2) | 06/15/09 | 10.875 | 1,056,000 | ||||||||||||||||||
1,450 | WDAC Subsidiary Corp., Rule 144A, Senior Notes (Callable 12/01/09 @ $104.19) § | (CCC+, Caa1) | 12/01/14 | 8.375 | 1,446,375 | ||||||||||||||||||
14,759,350 | |||||||||||||||||||||||
RealEstate Development & Management (0.4%) | |||||||||||||||||||||||
950 | Ashton Woods USA/Finance, Rule 144A, Senior Subordinated Notes (Callable 10/01/10 @ $104.75) | (B-, B3) | 10/01/15 | 9.500 | 906,063 | ||||||||||||||||||
Restaurants (2.8%) | |||||||||||||||||||||||
1,100 | Buffets, Inc., Global Senior Subordinated Notes (Callable 07/15/06 @ $105.63) | (CCC, B3) | 07/15/10 | 11.250 | 1,160,500 | ||||||||||||||||||
1,350 | Denny's Corp., Global Company Guaranteed Notes (Callable 10/01/08 @ $105.00) § | (CCC+, Caa1) | 10/01/12 | 10.000 | 1,414,125 | ||||||||||||||||||
1,000 | Friendly Ice Cream Corp., Global Senior Notes (Callable 06/15/08 @ $104.19) § | (CCC+, B2) | 06/15/12 | 8.375 | 897,500 | ||||||||||||||||||
1,000 | O'Charleys, Inc., Global Senior Subordinated Notes (Callable 11/01/08 @ $104.50) § | (B, Ba3) | 11/01/13 | 9.000 | 1,025,000 | ||||||||||||||||||
1,025 | Sbarro, Inc., Company Guaranteed Notes (Callable 09/15/06 @ $101.83) | (CCC+, Caa2) | 09/15/09 | 11.000 | 1,060,875 | ||||||||||||||||||
1,000 | Uno Restaurant Corp., Rule 144A, Senior Notes (Callable 02/15/08 @ $110.00) | (CCC+, B3) | 02/15/11 | 10.000 | 805,000 | ||||||||||||||||||
6,363,000 | |||||||||||||||||||||||
Software/Services (1.4%) | |||||||||||||||||||||||
380 | Activant Solutions, Inc. Rule 144A, Senior Subordinated Notes (Callable 05/01/11 @ $104.75) | (CCC+, Caa1) | 05/01/16 | 9.500 | 388,550 | ||||||||||||||||||
675 | SunGard Data Systems, Inc., Rule 144A, Senior Notes (Callable 08/15/09 @ $104.56) § | (B-, B3) | 08/15/13 | 9.125 | 723,937 | ||||||||||||||||||
2,000 | SunGard Data Systems, Inc., Rule 144A, Senior Subordinated Notes (Callable 08/15/10 @ $105.13) | (B-, Caa1) | 08/15/15 | 10.250 | 2,160,000 | ||||||||||||||||||
3,272,487 | |||||||||||||||||||||||
Steel Producers/Products (2.1%) | |||||||||||||||||||||||
900 | AK Steel Corp., Global Company Guaranteed Notes (Callable 06/15/07 @ $103.88) § | (B+, B1) | 06/15/12 | 7.750 | 915,750 | ||||||||||||||||||
1,175 | Edgen Acquisition Corp., Global Secured Notes (Callable 02/01/08 @ $104.94) § | (B-, B3) | 02/01/11 | 9.875 | 1,177,937 | ||||||||||||||||||
975 | International Steel Group, Inc., Global Senior Notes § | (BBB-, Ba1) | 04/15/14 | 6.500 | 959,156 | ||||||||||||||||||
975 | Rathgibson, Inc., Rule 144A, Senior Notes (Callable 02/15/10 @ $105.63) | (B-, B2) | 02/15/14 | 11.250 | 1,050,563 | ||||||||||||||||||
750 | WCI Steel, Inc., Series B, Senior Notes Ø | (NR, NR) | 12/01/49 | 10.000 | 693,750 | ||||||||||||||||||
4,797,156 | |||||||||||||||||||||||
Support-Services (5.8%) | |||||||||||||||||||||||
1,250 | Allied Security Escrow, Global Senior Subordinated Notes (Callable 07/15/08 @ $105.69) | (CCC+, Caa1) | 07/15/11 | 11.375 | 1,243,750 | ||||||||||||||||||
500 | Corrections Corporation of America, Senior Notes, (Callable 05/01/07 @ $103.75) | (BB-, Ba3) | 05/01/11 | 7.500 | 508,750 | ||||||||||||||||||
1,000 | DI Finance/Dyncorp Intl., Senior Subordinated Notes (Callable 2/15/09 @ $104.75) | (B-, Caa1) | 02/15/13 | 9.500 | 1,050,000 | ||||||||||||||||||
500 | Hertz Corp., Rule 144A, Senior Notes (Callable 01/01/10 @ $104.44) | (B, B1) | 01/01/14 | 8.875 | 533,750 | ||||||||||||||||||
600 | Hertz Corp., Rule 144A, Senior Subordinated Notes (Callable 01/01/11 @ $105.25) § | (B, B3) | 01/01/16 | 10.500 | 666,750 |
See Accompanying Notes to Financial Statements.
8
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Support-Services | |||||||||||||||||||||||
$ | 1,000 |
HydroChem Industrial Services, Inc., Rule 144A, Senior Subordinated Notes (Callable 02/15/09 @ $104.63) |
(CCC+, Caa1) | 02/15/13 | 9.250 | $ | 997,500 | ||||||||||||||||
1,000 | Integrated Alarm Services Group, Inc., Rule 144A, Secured Notes (Callable 11/15/08 @ $106.00) # | (B-, B3) | 11/15/11 | 12.750 | 1,000,000 | ||||||||||||||||||
750 | Iron Mountain, Inc., Company Guaranteed Notes (Callable 06/26/06 @ $104.31) § | (B, Caa1) | 04/01/13 | 8.625 | 784,688 | ||||||||||||||||||
250 | Iron Mountain, Inc., Company Guaranteed Notes (Callable 07/01/08 @ $103.31) | (B, Caa1) | 01/01/16 | 6.625 | 236,875 | ||||||||||||||||||
1,500 | Johnsondiversey Holdings, Inc., Global Discount Notes (Callable 05/15/07 @ $105.34) + | (CCC+, Caa1) | 05/15/13 | 0.000 | 1,305,000 | ||||||||||||||||||
980 | La Petite Academy, Inc., Series B, Company Guaranteed Notes (Callable 05/15/06 @ $100.00) § | (CC, Ca) | 05/15/08 | 10.000 | 950,600 | ||||||||||||||||||
750 | Language Line, Inc., Global Senior Notes (Callable 06/15/08 @ 105.56) § | (CCC+, Caa1) | 06/15/12 | 11.125 | 716,250 | ||||||||||||||||||
1,000 | Muzak LLC/Muzak Finance, Global Senior Notes (Callable 02/15/07 @ $102.50) | (CCC-, Caa2) | 02/15/09 | 10.000 | 880,000 | ||||||||||||||||||
440 | United Rentals North America, Inc., Global Company Guaranteed Notes (Callable 02/15/08 @ $103.25) | (B+, B3) | 02/15/12 | 6.500 | 433,400 | ||||||||||||||||||
1,275 | United Rentals North America, Inc., Global Senior Subordinated Notes (Callable 02/15/09 @ $103.50) | (B, Caa1) | 02/15/14 | 7.000 | 1,233,562 | ||||||||||||||||||
900 | Williams Scotsman, Inc., Global Company Guaranteed Notes (Callable 10/01/10 @ $104.25) | (B+, B3) | 10/01/15 | 8.500 | 929,250 | ||||||||||||||||||
13,470,125 | |||||||||||||||||||||||
Telecom - Fixed Line (1.9%) | |||||||||||||||||||||||
1,625 | Level 3 Communications | (CCC-, C) | 09/15/09 | 6.000 | 1,383,281 | ||||||||||||||||||
1,482 | Madison River Capital LLC, Senior Notes (Callable 06/26/06 @ $104.42) | (B-, B3) | 03/01/10 | 13.250 | 1,556,100 | ||||||||||||||||||
1,250 | Time Warner Telecom Holdings, Inc., Global Company Guaranteed Notes (Callable 02/15/09 @ $104.63) | (CCC+, B3) | 02/15/14 | 9.250 | 1,337,500 | ||||||||||||||||||
4,276,881 | |||||||||||||||||||||||
Telecom - Integrated/Services (4.4%) | |||||||||||||||||||||||
1,675 | Cincinnati Bell, Inc., Global Senior Subordinated Notes (Callable 01/15/09 @ $104.19) § | (B-, B3) | 01/15/14 | 8.375 | 1,721,062 | ||||||||||||||||||
1,225 |
Hawaiian Telcom Communications, Inc., Rule 144A, Senior Subordinated Notes (Callable 05/01/10 @ $106.25) § |
(CCC+, Caa1) | 05/01/15 | 12.500 | 1,298,500 | ||||||||||||||||||
325 | LCI International, Inc., Senior Notes | (NR, NR) | 06/15/07 | 7.250 | 328,250 | ||||||||||||||||||
650 | Nordic Telephone Co Holdings ApS, Rule 144A, Senior Notes (Callable 05/01/11 @ $104.44) | (B, B2) | 05/01/16 | 8.875 | 676,000 | ||||||||||||||||||
1,250 | PanAmSat Corp., Global Company Guaranteed Notes (Callable 08/15/09 @ $104.50) | (B+, B1) | 08/15/14 | 9.000 | 1,320,313 | ||||||||||||||||||
1,835 | Qwest Capital Funding, Inc., Global Company Guaranteed Notes | (B, B3) | 02/15/11 | 7.250 | 1,851,056 | ||||||||||||||||||
1,625 |
Qwest Communications International, Inc., Global Company Guaranteed Notes (Callable 02/15/08 @ $103.63) |
(B, B2) | 02/15/11 | 7.250 | 1,643,281 | ||||||||||||||||||
1,180 | Qwest Corp., Global Senior Notes | (BB, Ba3) | 06/15/15 | 7.625 | 1,233,100 | ||||||||||||||||||
10,071,562 | |||||||||||||||||||||||
Telecom - Wireless (3.5%) | |||||||||||||||||||||||
75 | AirGate PCS, Inc., Secured Notes (Callable 06/26/06 @ $104.69) | (BBB+, Caa1) | 09/01/09 | 9.375 | 78,844 | ||||||||||||||||||
50 | American Tower Corp., Class A, Global Senior Notes (Callable 10/15/08 @ $103.56) | (BB-, B1) | 10/15/12 | 7.125 | 51,250 | ||||||||||||||||||
750 |
Centennial Cellular Communications Corp., Global Company Guaranteed Notes (Callable 06/15/08 @ $105.06) |
(CCC, B3) | 06/15/13 | 10.125 | 824,062 | ||||||||||||||||||
975 | Centennial Communications Corp., Rule 144A, Global Senior Notes (Callable 01/01/09 @ $107.50) | (CCC, Caa2) | 01/01/13 | 10.000 | 1,018,875 | ||||||||||||||||||
495 | Dobson Cellular Systems, Inc., Global Secured Notes (Callable 11/01/08 @ $104.94) | (CCC, B2) | 11/01/12 | 9.875 | 543,262 | ||||||||||||||||||
1,150 | Dobson Communications Corp., Global Senior Notes (Callable 10/01/08 @ $104.44) § | (CCC, Caa2) | 10/01/13 | 8.875 | 1,181,625 | ||||||||||||||||||
750 | Horizon PCS, Inc., Global Company Guaranteed Notes (Callable 07/15/08 @ $105.69) | (B-, B3) | 07/15/12 | 11.375 | 855,000 | ||||||||||||||||||
850 | iPCS, Inc., Global Senior Notes (Callable 05/01/08 @ $105.75) | (B-, B3) | 05/01/12 | 11.500 | 966,875 | ||||||||||||||||||
500 | Rural Cellular Corp., Global Senior Notes (Callable 08/01/07 @ $104.94) | (CCC, Caa1) | 02/01/10 | 9.875 | 533,750 | ||||||||||||||||||
375 | Rural Cellular Corp., Global Senior Subordinated Notes (Callable 01/15/07 @ $103.25) § | (CCC, Caa2) | 01/15/10 | 9.750 | 388,594 | ||||||||||||||||||
675 | Rural Cellular Corp., Rule 144A, Senior Subordinated Notes (Callable 11/01/07 @ $102.00) §# | (CCC, Caa2) | 11/01/12 | 10.430 | 705,375 | ||||||||||||||||||
1,100 | Triton PCS, Inc., Global Company Guaranteed Notes (Callable 06/01/08 @ $104.25) | (CCC-, Caa2) | 06/01/13 | 8.500 | 1,056,000 | ||||||||||||||||||
8,203,512 | |||||||||||||||||||||||
Textiles & Apparel (1.6%) | |||||||||||||||||||||||
1,000 | Levi Strauss & Co., Global Senior Notes (Callable 01/15/10 @ $104.88) § | (B-, B3) | 01/15/15 | 9.750 | 1,060,000 | ||||||||||||||||||
1,200 | Levi Strauss & Co., Global Senior Notes (Callable 12/15/07 @ $106.13) | (B-, B3) | 12/15/12 | 12.250 | 1,362,000 | ||||||||||||||||||
400 | Phillips-Van Heusen Corp., Global Senior Notes (Callable 02/15/08 @ $103.63) | (BB, B1) | 02/15/11 | 7.250 | 404,000 | ||||||||||||||||||
950 | Propex Fabrics, Inc., Global Company Guaranteed Notes (Callable 12/01/08 @ $105.00) | (B-, B3) | 12/01/12 | 10.000 | 897,750 | ||||||||||||||||||
3,723,750 |
See Accompanying Notes to Financial Statements.
9
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
U.S. CORPORATE BONDS | |||||||||||||||||||||||
Theaters & Entertainment (1.2%) | |||||||||||||||||||||||
$ | 2,000 | AMC Entertainment, Inc., Global Senior Subordinated Notes (Callable 03/01/09 @ $104.00) | (CCC+, B3) | 03/01/14 | 8.000 | $ | 1,892,500 | ||||||||||||||||
1,150 | Cinemark, Inc., Global Senior Discount Notes (Callable 03/15/09 @ $104.88) + | (B-, Caa1) | 03/15/14 | 0.000 | 920,000 | ||||||||||||||||||
2,812,500 | |||||||||||||||||||||||
Transportation - Excluding Air/Rail (0.2%) | |||||||||||||||||||||||
651 | H-Lines Finance Holding Corp., Global Senior Discount Notes (Callable 04/01/08 @ $105.50) + | (CCC+, Caa2) | 04/01/13 | 0.000 | 556,605 | ||||||||||||||||||
TOTAL U.S. CORPORATE BONDS (Cost $303,834,256) | 305,537,696 | ||||||||||||||||||||||
ASSET BACKED SECURITY | (0.4 | %) | |||||||||||||||||||||
900 | Park Place Securities, Inc., Series 2004-WCW2, Class M10 # (Cost $816,461) | (BB+, Ba1) | 10/25/34 | 7.709 | 833,866 | ||||||||||||||||||
MORTGAGE BACKED SECURITY (0.1%) | |||||||||||||||||||||||
325 | Bank of America Large Loan, Inc., Rule 144A, Series 2006-LAQ, Class M # (Cost $325,000) | (BB, Ba2) | 02/09/21 | 6.573 | 325,000 | ||||||||||||||||||
FOREIGN CORPORATE BONDS (10.4%) | |||||||||||||||||||||||
Building Materials (0.3%) | |||||||||||||||||||||||
1,250 | Maax Holdings, Inc., Global Senior Discount Notes (Callable 12/15/08 @ $105.63) (Canada) + | (CCC, Caa3) | 12/15/12 | 0.000 | 593,750 | ||||||||||||||||||
Chemicals (1.1%) | |||||||||||||||||||||||
1,700 | Ineos Group Holdings PLC, Rule 144A, Notes (Callable 02/15/11 @ $104.25) (United Kingdom) | (B-, B2) | 02/15/16 | 8.500 | 1,623,500 | ||||||||||||||||||
875 | Rhodia SA, Global Senior Notes (France) | (CCC+, B3) | 06/01/10 | 10.250 | 982,187 | ||||||||||||||||||
2,605,687 | |||||||||||||||||||||||
Electronics (1.2%) | |||||||||||||||||||||||
650 |
Avago Technologies FIN, Rule 144A, Senior Subordinated Notes (Callable 12/01/10 @ $105.94) (Singapore) |
(CCC+, Caa2) | 12/01/15 | 11.875 | 718,250 | ||||||||||||||||||
1,175 | Celestica, Inc., Senior Subordinated Notes (Callable 07/01/08 @ $103.94) (Canada) § | (B, B2) | 07/01/11 | 7.875 | 1,201,437 | ||||||||||||||||||
1,000 | New Asat, Ltd., Global Company Guaranteed Notes (Callable 02/01/08 @ $104.63) (Cayman Islands) | (B-, B3) | 02/01/11 | 9.250 | 865,000 | ||||||||||||||||||
2,784,687 | |||||||||||||||||||||||
Food & Drug Retailers (0.7%) | |||||||||||||||||||||||
1,775 |
Jean Coutu Group (PJC), Inc., Global Senior Subordinated Notes (Callable 08/01/09 @ $104.25) (Canada) § |
(B-, Caa2) | 08/01/14 | 8.500 | 1,672,938 | ||||||||||||||||||
Forestry & Paper (2.0%) | |||||||||||||||||||||||
650 | Abitibi-Consolidated, Inc., Global Notes (Canada) § | (B+, B1) | 06/15/11 | 7.750 | 646,750 | ||||||||||||||||||
1,050 | Abitibi-Consolidated, Inc., Yankee Senior Notes (Canada) § | (B+, B1) | 04/01/15 | 8.375 | 1,065,750 | ||||||||||||||||||
850 | Bowater Canada Finance Corp., Global Company Guaranteed Notes (Canada) | (B+, B1) | 11/15/11 | 7.950 | 856,375 | ||||||||||||||||||
750 | JSG Funding PLC, Global Senior Notes (Callable 10/01/07 @ $104.81) (Ireland) § | (B-, B3) | 10/01/12 | 9.625 | 795,000 | ||||||||||||||||||
1,000 | JSG Funding PLC, Global Senior Subordinated Notes (Callable 01/31/10 @ $103.88) (Ireland) | (B-, Caa1) | 04/01/15 | 7.750 | 930,000 | ||||||||||||||||||
700 | Tembec Industries, Inc., Yankee Company Guaranteed Notes (Callable 06/30/06 @ $101.44) (Canada) | (CCC-, Ca) | 06/30/09 | 8.625 | 449,750 | ||||||||||||||||||
4,743,625 | |||||||||||||||||||||||
Gaming (0.1%) | |||||||||||||||||||||||
175 | Kerzner International, Ltd., Global Senior Subordinated Notes (Callable 10/01/10 @ $103.38) (Bahamas) § | (B, B2) | 10/01/15 | 6.750 | 182,438 | ||||||||||||||||||
Leisure (0.5%) | |||||||||||||||||||||||
1,250 | NCL Corp., Global Senior Notes (Callable 07/15/09 @ $105.31) (Bermuda) # | (B+, B2) | 07/15/14 | 10.625 | 1,268,750 | ||||||||||||||||||
Media - Cable (0.8%) | |||||||||||||||||||||||
1,050 | Kabel Deutschland GmbH, Rule 144A, Senior Notes (Callable 07/01/09 @ $105.31) (Germany) | (B-, B2) | 07/01/14 | 10.625 | 1,139,250 | ||||||||||||||||||
883 | Telenet Group Holding NV, Rule 144A, Discount Notes (Callable 12/15/08 @ $105.75) (Belgium) + | (CCC+, Caa1) | 06/15/14 | 0.000 | 735,098 | ||||||||||||||||||
1,874,348 | |||||||||||||||||||||||
Media - Diversified (0.1%) | |||||||||||||||||||||||
225 | Quebecor Media, Inc., Rule 144A, Senior Notes (Callable 3/15/11 @ $103.88) (Canada) § | (B, B2) | 03/15/16 | 7.750 | 231,750 | ||||||||||||||||||
Oil Field Equipment & Services (0.2%) | |||||||||||||||||||||||
500 | Titan Petrochemicals Group, Ltd., Rule 144A, Company Guaranteed Notes (Bermuda) | (B+, B1) | 03/18/12 | 8.500 | 457,500 |
See Accompanying Notes to Financial Statements.
10
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Par (000) |
|
Ratings (S&P/Moody's) |
Maturity | Rate% | Value | ||||||||||||||||||
FOREIGN CORPORATE BONDS | |||||||||||||||||||||||
Pharmaceuticals (0.6%) | |||||||||||||||||||||||
$ | 500 | Biovail Corp., Yankee Senior Subordinated Notes (Callable 04/01/07 @ $101.97) (Canada) | (BB-, B2) | 04/01/10 | 7.875 | $ | 507,500 | ||||||||||||||||
800 | Elan Finance PLC, Global Company Guaranteed Notes (Callable 11/15/08 @ $103.88) (Ireland) § | (B, B3) | 11/15/11 | 7.750 | 772,000 | ||||||||||||||||||
1,279,500 | |||||||||||||||||||||||
Support-Services (0.5%) | |||||||||||||||||||||||
1,000 | Ashtead Holdings PLC, Rule 144A, Secured Notes (Callable 08/01/10 @ $104.31) (United Kingdom) | (B, B2) | 08/01/15 | 8.625 | 1,040,000 | ||||||||||||||||||
Telecom - Integrated/Services (0.9%) | |||||||||||||||||||||||
650 |
Global Crossing UK Finance, Company Guaranteed Notes (Callable 12/15/09 @ $105.38) (United Kingdom) |
(B-, Caa1) | 12/15/14 | 10.750 | 684,125 | ||||||||||||||||||
1,525 | Intelsat, Ltd. (Bermuda) | (B, Caa1) | 04/15/12 | 7.625 | 1,315,312 | ||||||||||||||||||
1,999,437 | |||||||||||||||||||||||
Telecom - Wireless (0.6%) | |||||||||||||||||||||||
750 | Millicom International Cellular SA, Global Senior Notes (Callable 12/01/08 @ $105.00) (Luxembourg) # | (B-, B3) | 12/01/13 | 10.000 | 840,000 | ||||||||||||||||||
500 | Rogers Wireless Communications, Inc., Global Secured Notes (Canada) | (BB, Ba2) | 03/15/15 | 7.500 | 528,750 | ||||||||||||||||||
1,368,750 | |||||||||||||||||||||||
Transportation - Excluding Air/Rail (1.1%) | |||||||||||||||||||||||
445 | Sea Containers, Ltd., Series B, Yankee Senior Notes (Bermuda) | (CCC-, B3) | 02/15/08 | 7.875 | 390,488 | ||||||||||||||||||
1,750 | Ship Finance International, Ltd., Global Senior Notes (Callable 12/15/08 @ $104.25) (Bermuda) | (B, B1) | 12/15/13 | 8.500 | 1,649,375 | ||||||||||||||||||
2,039,863 | |||||||||||||||||||||||
TOTAL FOREIGN CORPORATE BONDS (Cost $24,672,050) | 24,143,023 | ||||||||||||||||||||||
Number of Shares |
|
||||||||||||||||||||||
COMMON STOCKS (1.4%) | |||||||||||||||||||||||
Automobile Parts & Equipment (0.0%) | |||||||||||||||||||||||
774,557 | Cambridge Industries Liquidating Trust^* | 0 | |||||||||||||||||||||
Chemicals (0.0%) | |||||||||||||||||||||||
4,893 | Huntsman Corp.* | 96,147 | |||||||||||||||||||||
Electric - Integrated (0.6%) | |||||||||||||||||||||||
58,527 | Mirant Corp.* | 1,437,423 | |||||||||||||||||||||
Food - Wholesale (0.4%) | |||||||||||||||||||||||
845 | Crunch Equity Holding LLC, Class A* | 802,719 | |||||||||||||||||||||
Healthcare Services (0.0%) | |||||||||||||||||||||||
464 | Magellan Health Services, Inc.* | 18,862 | |||||||||||||||||||||
Telecom - Wireless (0.4%) | |||||||||||||||||||||||
99,764 | Dobson Communications Corp., Class A* | 897,876 | |||||||||||||||||||||
TOTAL COMMON STOCKS (Cost $3,556,441) | 3,253,027 | ||||||||||||||||||||||
WARRANTS (0.0%) | |||||||||||||||||||||||
Electronics (0.0%) | |||||||||||||||||||||||
5,000 | Asat Finance LLC, Rule 144A, strike price $18.60, expires 11/01/06 * | 625 | |||||||||||||||||||||
Gaming (0.0%) | |||||||||||||||||||||||
106 | Windsor Woodmont Black Hawk, strike price $0.01, expires 03/15/10 ^* | 0 |
See Accompanying Notes to Financial Statements.
11
Credit Suisse High Yield Bond Fund
Schedule of Investments (continued)
April 30, 2006 (unaudited)
Number of Shares |
|
Value | |||||||||||||||||||||||||
WARRANTS | |||||||||||||||||||||||||||
Media - Cable (0.0%) | |||||||||||||||||||||||||||
5,980 | Ono Finance PLC, expires 05/31/09 * | $ | 60 | ||||||||||||||||||||||||
Media - Diversified (0.0%) | |||||||||||||||||||||||||||
204,293 | Viasystems, Inc., strike price $25.31, expires 01/31/10 ^* | 2,043 | |||||||||||||||||||||||||
Restaurants (0.0%) | |||||||||||||||||||||||||||
336 | New World Restaurant Group, Inc., strike price $13.00, expires 06/20/06* | 0 | |||||||||||||||||||||||||
Telecom - Fixed Line (0.0%) | |||||||||||||||||||||||||||
6,750 | GT Group Telecom, Inc., Rule 144A, strike price $0.00, expires 02/01/10 ^* | 0 | |||||||||||||||||||||||||
3,000 | Versatel Telecom International NV, strike price $2.81, expires 05/15/08 ^* | 7,225 | |||||||||||||||||||||||||
7,225 | |||||||||||||||||||||||||||
TOTAL WARRANTS (Cost $3,938,143) | 9,953 | ||||||||||||||||||||||||||
SHORT-TERM INVESTMENTS (13.0%) | |||||||||||||||||||||||||||
15,000,000 | American Beacon Money Market Fund §§ | 15,000,000 | |||||||||||||||||||||||||
15,000,000 | Reserve Funds Primary Fund Class 8 §§ | 15,000,000 | |||||||||||||||||||||||||
TOTAL SHORT-TERM INVESTMENTS (Cost $30,000,000) | 30,000,000 | ||||||||||||||||||||||||||
Par (000) |
|
|
|
|
|
||||||||||||||||||||||
REPURCHASE AGREEMENTS (13.4%) | |||||||||||||||||||||||||||
$ | 5,560 |
Bear Stearns & Co., 3.6562%, Dated 04/28/06, due 05/01/06, proceeds at maturity $5,562,137, (fully collateralized by U.S. Treasury Strips, due 02/15/20, Market Value of collateral is $5,722,684) §§ |
5,560,443 | ||||||||||||||||||||||||
3,092 |
Bear Stearns & Co., 4.70%, Dated 04/28/06, due 05/01/06, proceeds at maturity $3,093,023, (fully collateralized by U.S. Treasury Strips, due 02/15/20, Market Value of collateral is $3,182,476) §§ |
3,091,813 | |||||||||||||||||||||||||
22,422 |
Bear Stearns & Co., 4.875%, Dated 04/28/06, due 05/01/06, proceeds at maturity $22,431,170, (fully collateralized by U.S. Treasury Strips, due 02/15/20, Market Value of collateral is $23,073,556) §§ |
22,422,061 | |||||||||||||||||||||||||
53 |
Bear Stearns & Co., 4.875%, Dated 04/28/06, due 05/01/06, proceeds at maturity $52,576, (fully collateralized by U.S. Treasury Strips, due 02/15/20, Market Value of collateral is $55,326) §§ |
52,555 | |||||||||||||||||||||||||
TOTAL REPURCHASE AGREEMENTS (Cost $31,126,872) | 31,126,872 | ||||||||||||||||||||||||||
TOTAL INVESTMENTS AT VALUE (170.7%) (Cost $398,269,223) | 395,229,437 | ||||||||||||||||||||||||||
LIABILITIES IN EXCESS OF OTHER ASSETS (-70.7%) | (163,687,765 | ) | |||||||||||||||||||||||||
NET ASSETS (100.0%) | $ | 231,541,672 |
INVESTMENT ABBREVIATIONS
NR = Not Rated
Credit ratings given by the Standard & Poor's Division of the McGraw-Hill Companies, Inc. ("S&P") and Moody's Investors Service, Inc. ("Moody's") are unaudited.
Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At April 30, 2006, these securities amounted to a value of $54,788,888 or 23.7% of net assets.
+ Step Bond The interest stated is as of April 30, 2006 and will reset at a future date.
Ø Bond in default.
* Non-income producing security.
^ Not readily marketable security; security is valued at fair value as determined in good faith by, or under the direction of, the Board of Trustees.
§ Security or portion thereof is out on loan.
§§ Represents security purchased with cash collateral received for securities on loan.
# Variable rate obligations The interest rate shown is the rate as of April 30, 2006.
See Accompanying Notes to Financial Statements.
12
Credit Suisse High Yield Bond Fund
Statement of Assets and Liabilities
April 30, 2006 (unaudited)
Assets | |||||||
Investments in securities at value, including collateral for securities on loan of $61,126,872 (Cost $398,269,223) (Note 2) |
$ | 395,229,4371 | |||||
Cash | 3,416,750 | ||||||
Interest receivable | 7,867,838 | ||||||
Prepaid expenses and other assets | 41,542 | ||||||
Total Assets | 406,555,567 | ||||||
Liabilities | |||||||
Investment advisory fees (Note 3) | 260,662 | ||||||
Administrative fees (Note 3) | 28,524 | ||||||
Loan payable (Note 4) | 110,000,000 | ||||||
Payable upon return of securities loaned (Note 2) | 61,126,872 | ||||||
Payable for investments purchased | 2,943,783 | ||||||
Interest payable | 477,794 | ||||||
Trustees' fees (Note 3) | 7,829 | ||||||
Other accrued expenses payable | 168,431 | ||||||
Total Liabilities | 175,013,895 | ||||||
Net Assets | |||||||
Applicable to 55,210,457 shares outstanding | $ | 231,541,672 | |||||
Net Assets Consist of | |||||||
Capital stock, $0.001 par value (Note 6) | $ | 55,210 | |||||
Paid-in capital (Note 6) | 488,124,493 | ||||||
Distributions in excess of net investment income | (6,445,337 | ) | |||||
Accumulated net realized loss on investments | (247,152,908 | ) | |||||
Net unrealized depreciation from investments | (3,039,786 | ) | |||||
Net Assets | $ | 231,541,672 | |||||
Net Asset Value Per Share ($231,541,672 ÷ 55,210,457) | $ | 4.19 | |||||
Market Price Per Share | $ | 4.16 |
1 Including $55,018,654 of securities on loan.
See Accompanying Notes to Financial Statements.
13
Credit Suisse High Yield Bond Fund
Statement of Operations
For the Six Months Ended April 30, 2006 (unaudited)
Investment Income (Note 2) | |||||||
Interest | $ | 15,591,455 | |||||
Securities lending | 330,378 | ||||||
Total investment income | 15,921,833 | ||||||
Expenses | |||||||
Investment advisory fees (Note 3) | 1,560,436 | ||||||
Administrative fees (Note 3) | 102,577 | ||||||
Interest expense (Note 4) | 2,656,211 | ||||||
Printing fees (Note 3) | 83,191 | ||||||
Legal fees | 40,091 | ||||||
Trustees' fees (Note 3) | 36,146 | ||||||
Custodian fees | 20,518 | ||||||
Audit and tax fees | 18,964 | ||||||
Transfer agent fees | 12,274 | ||||||
Registration fees | 11,596 | ||||||
Insurance expense | 2,687 | ||||||
Miscellaneous expense | 2,785 | ||||||
Total expenses | 4,547,476 | ||||||
Net investment income | 11,374,357 | ||||||
Net Realized and Unrealized Gain (Loss) from Investments and Foreign Currency Related Items | |||||||
Net realized loss from investments | (2,592,306 | ) | |||||
Net change in unrealized appreciation (depreciation) from investments | 8,663,277 | ||||||
Net realized and unrealized gain from investments and foreign currency related items | 6,070,971 | ||||||
Net increase in net assets resulting from operations | $ | 17,445,328 |
See Accompanying Notes to Financial Statements.
14
Credit Suisse High Yield Bond Fund
Statements of Changes in Net Assets
For the Six Months Ended April 30, 2006 (unaudited) |
For the Year Ended October 31, 2005 |
||||||||||
From Operations | |||||||||||
Net investment income | $ | 11,374,357 | $ | 25,711,992 | |||||||
Net realized loss on investments and foreign currency transactions | (2,592,306 | ) | (1,007,347 | ) | |||||||
Net change in unrealized appreciation (depreciation) on investments | 8,663,277 | (18,312,612 | ) | ||||||||
Net increase in net assets resulting from operations | 17,445,328 | 6,392,033 | |||||||||
From Dividends | |||||||||||
Dividends from net investment income | (13,199,107 | ) | (28,945,089 | ) | |||||||
Net decrease in net assets resulting from dividends | (13,199,107 | ) | (28,945,089 | ) | |||||||
From Capital Share Transactions (Note 6) | |||||||||||
Reinvestment of dividends | 1,535,522 | 3,789,959 | |||||||||
Net increase in net assets from capital share transactions | 1,535,522 | 3,789,959 | |||||||||
Net increase (decrease) in net assets | 5,781,743 | (18,763,097 | ) | ||||||||
Net Assets | |||||||||||
Beginning of period | 225,759,929 | 244,523,026 | |||||||||
End of period | $ | 231,541,672 | $ | 225,759,929 | |||||||
Distributions in excess of net investment income | $ | (6,445,337 | ) | $ | (4,620,587 | ) |
See Accompanying Notes to Financial Statements.
15
Credit Suisse High Yield Bond Fund
Statement of Cash Flows
For the Six Months Ended April 30, 2006 (unaudited)
Cash flows from operating activities | |||||||||||
Interest and securities lending income received | $ | 14,329,579 | |||||||||
Operating expenses paid | (4,443,308 | ) | |||||||||
Purchases of long-term securities | (125,043,272 | ) | |||||||||
Proceeds from sales of long-term securities | 117,778,983 | ||||||||||
Net cash provided by operating activities | $ | 2,621,982 | |||||||||
Cash flows from financing activities | |||||||||||
Proceeds from borrowings | 110,000,000 | ||||||||||
Repayment of borrowings | (107,343,789 | ) | |||||||||
Cash dividends paid | (11,663,585 | ) | |||||||||
Net cash used in financing activities | (9,007,374 | ) | |||||||||
Net decrease in cash | (6,385,392 | ) | |||||||||
Cash beginning of period | 9,802,142 | ||||||||||
Cash end of period | $ | 3,416,750 | |||||||||
RECONCILIATION OF NET DECREASE IN NET ASSETS FROM OPERATIONS TO NET CASH USED IN OPERATING ACTIVITIES |
|||||||||||
Net increase in net assets resulting from operations | $ | 17,445,328 | |||||||||
Adjustments to reconcile net decrease in net assets from operations to net cash provided by operating activities |
|||||||||||
Increase in interest receivable | $ | (94,773 | ) | ||||||||
Increase in accrued expenses | 35,659 | ||||||||||
Increase in interest payable | 73,586 | ||||||||||
Increase in prepaid expenses and other assets | 20,136 | ||||||||||
Decrease in advisory fees payable | (7,806 | ) | |||||||||
Net amortization of discount on investments | (1,514,888 | ) | |||||||||
Purchases of long-term securities | (125,043,272 | ) | |||||||||
Proceeds from sales of long-term securities | 117,778,983 | ||||||||||
Net change in unrealized appreciation on investments | (8,663,277 | ) | |||||||||
Net realized loss on investments | 2,592,306 | ||||||||||
Total adjustments | (14,823,346 | ) | |||||||||
Net cash provided by operating activities | $ | 2,621,982 | |||||||||
Non-cash activity: | |||||||||||
Dividend reinvestments | $ | 1,535,522 |
See Accompanying Notes to Financial Statements.
16
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17
Credit Suisse High Yield Bond Fund
Financial Highlights
For the Six Months Ended |
Year Ended | ||||||||||||||||||||||||||||||||||
4/30/2006 | |||||||||||||||||||||||||||||||||||
Per share operating performance | (unaudited) | 10/31/05 | 10/31/04 | 10/31/03 | 10/31/02 | 10/31/01 | 10/31/00 | 10/31/99 | |||||||||||||||||||||||||||
Net asset value, beginning of period | $ | 4.12 | $ | 4.53 | $ | 4.34 | $ | 3.53 | $ | 4.49 | $ | 6.16 | $ | 7.98 | $ | 8.36 | |||||||||||||||||||
INVESTMENT ACTIVITIES | |||||||||||||||||||||||||||||||||||
Net investment income | 0.21 | 0.47 | 0.53 | 0.55 | 0.652 | 0.84 | 0.962 | 0.98 | |||||||||||||||||||||||||||
Net realized and unrealized gain (loss) on investments | 0.10 | (0.35 | ) | 0.24 | 0.87 | (0.80 | ) | (1.63 | ) | (1.80 | ) | (0.38 | ) | ||||||||||||||||||||||
Total from investment activities | 0.31 | 0.12 | 0.77 | 1.42 | (0.15 | ) | (0.79 | ) | (0.84 | ) | 0.60 | ||||||||||||||||||||||||
DISTRIBUTIONS | |||||||||||||||||||||||||||||||||||
Net investment income | (0.24 | ) | (0.51 | ) | (0.58 | ) | (0.61 | ) | (0.71 | ) | (0.86 | ) | (0.98 | ) | (0.98 | ) | |||||||||||||||||||
Return of capital | | (0.02 | ) | | | (0.10 | ) | (0.02 | ) | | | ||||||||||||||||||||||||
Total distributions | (0.24 | ) | (0.53 | ) | (0.58 | ) | (0.61 | ) | (0.81 | ) | (0.88 | ) | (0.98 | ) | (0.98 | ) | |||||||||||||||||||
Offering costs charged to paid-in-capital | | | | | | | | 0.003 | |||||||||||||||||||||||||||
Net asset value, end of period | $ | 4.19 | $ | 4.12 | $ | 4.53 | $ | 4.34 | $ | 3.53 | $ | 4.49 | $ | 6.16 | $ | 7.98 | |||||||||||||||||||
Per share market value, end of period | $ | 4.16 | $ | 4.77 | $ | 5.24 | $ | 4.76 | $ | 4.10 | $ | 5.07 | $ | 6.19 | $ | 8.06 | |||||||||||||||||||
TOTAL RETURN | |||||||||||||||||||||||||||||||||||
(market value)4 | (7.61 | )% | 2.71 | % | 25.49 | % | 35.07 | % | (2.15 | )% | (3.21 | )% | (12.15 | )% | (5.71 | )% | |||||||||||||||||||
RATIOS AND SUPPLEMENTAL DATA |
|||||||||||||||||||||||||||||||||||
Net assets, end of period (000s omitted) | $ | 231,542 | $ | 255,760 | $ | 244,523 | $ | 229,255 | $ | 180,889 | $ | 219,440 | $ | 286,838 | $ | 358,679 | |||||||||||||||||||
Average debt per share | $ | 1.96 | $ | 2.05 | $ | 2.05 | $ | 1.81 | $ | 1.99 | $ | 2.49 | $ | 3.47 | $ | 3.18 | |||||||||||||||||||
Ratio of expenses to average net assets | 4.02 | %5 | 3.27 | % | 2.51 | % | 2.57 | % | 2.91 | % | 4.29 | % | 4.81 | % | 3.62 | % | |||||||||||||||||||
Ratio of expenses to average net assets excluding interest expenses | 1.67 | %5 | 1.68 | % | 1.70 | % | 1.73 | % | 1.78 | % | 1.73 | % | 1.61 | % | 1.53 | % | |||||||||||||||||||
Ratio of net investment income to average net assets | 10.06 | %5 | 10.72 | % | 11.99 | % | 13.85 | % | 15.17 | % | 15.22 | % | 12.90 | % | 11.24 | % | |||||||||||||||||||
Portfolio turnover rate | 28.73 | % | 31.05 | % | 12.10 | % | 15.96 | % | 33.22 | % | 46.11 | % | 31.29 | % | 60.23 | % |
18
Period Ended | |||||||
Per share operating performance | 10/31/19981 | ||||||
Net asset value, beginning of period | $ | 10.00 | |||||
INVESTMENT ACTIVITIES | |||||||
Net investment income | 0.24 | ||||||
Net realized and unrealized gain (loss) on investments | (1.62 | ) | |||||
Total from investment activities | (1.38 | ) | |||||
DISTRIBUTIONS | |||||||
Net investment income | (0.24 | ) | |||||
Return of capital | | ||||||
Total distributions | (0.24 | ) | |||||
Offering costs charged to paid-in-capital | (0.02 | ) | |||||
Net asset value, end of period | $ | 8.36 | |||||
Per share market value, end of period | $ | 9.56 | |||||
TOTAL RETURN | |||||||
(market value)4 | (1.74 | )% | |||||
RATIOS AND SUPPLEMENTAL DATA |
|||||||
Net assets, end of period (000s omitted) | $ | 359,956 | |||||
Average debt per share | $ | 1.02 | |||||
Ratio of expenses to average net assets | 1.81 | %5 | |||||
Ratio of expenses to average net assets excluding interest expenses | 1.16 | %5 | |||||
Ratio of net investment income to average net assets | 10.48 | %5 | |||||
Portfolio turnover rate | 15.26 | % |
1 The fund commenced operations on July 28, 1998.
2 Based on average shares outstanding.
3 Amount rounds to less than $0.01.
4 Total return is based on the change in market price of a share during the period and assumes reinvestment of dividends and
distributions at actual prices pursuant to the Fund's Dividend Reinvestment Plan. Total return based on market value, which can
be significantly greater or lesser than the net asset value, may result in substantially different returns. Total returns for periods
less than one year are not annualized.
5 Annualized.
See Accompanying Notes to Financial Statements.
19
Credit Suisse High Yield Bond Fund
Notes to Financial Statements
April 30, 2006 (unaudited)
Note 1. Organization
Credit Suisse High Yield Bond Fund (the "Fund") is a business trust organized under the laws of the State of Delaware on April 30, 1998. The Fund is registered with the Securities and Exchange Commission under the Investment Company Act of 1940, as amended ("Investment Company Act"), as a non-diversified, closed-end management investment company. The Fund's primary objective is to seek high current income.
The following is a summary of significant accounting policies consistently followed by the Fund in its operations and in connection with the preparation of its financial statements.
Note 2. Significant Accounting Policies
A) SECURITY VALUATION The net asset value of the Fund is determined daily as of the close of regular trading on the New York Stock Exchange, Inc. (the "Exchange") on each day the Exchange is open for business. Debt securities with a remaining maturity greater than 60 days are valued in accordance with the price supplied by a pricing service, which may use a matrix, formula or other objective method that takes into consideration market indices, yield curves and other specific adjustments. Debt obligations that will mature in 60 days or less are valued on the basis of amortized cost, which approximates market value, unless it is determined that using this method would not represent fair value. The Fund's equity investments are valued at market value, which is generally determined using the closing price on the exchange or market on which the security is primarily traded at the time of valuation ("Valuation Time"). If no sales are reported, equity investments are generally valued at the most recent bid quotation as of the Valuation Time or at the lowest asked quotation in the case of a short sale of securities. Securities and other assets for which market quotations are not readily available, or whose values have been materially affected by events occurring before the Fund's Valuation Time but after the close of the securities' primary markets, are valued at fair value as determined in good faith by, or under direction of, the Board of Trustees under procedures established by the Board of Trustees.
B) FOREIGN CURRENCY TRANSACTIONS The books and records of the Fund are maintained in U.S. dollars. Transactions denominated in foreign currencies are recorded at the current prevailing exchange rates. All assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the current exchange rate at the end of the period. Translation gains or losses resulting from changes in the exchange rate during the reporting period and realized gains and losses on the settlement of foreign currency transactions are reported in the results of operations for the current period. The Fund does not isolate that portion of realized gains and losses on investments in equity securities which is due to changes in the foreign exchange rate from that which is due to changes in market prices of equity securities. The Fund isolates that portion of realized gains and losses on investments in debt securities which is due to changes in the foreign exchange rate from that which is due to changes in market prices of debt securities.
C) SECURITY TRANSACTIONS AND INVESTMENT INCOME Security transactions are accounted for on a trade date basis. Interest income is recorded on the accrual basis. Dividends are recorded on the ex-dividend date. The cost of investments sold is determined by use of the specific identification method for both financial reporting and income tax purposes. Accretion of discount and amortization of premium is recognized using the effective interest method.
D) DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS The Fund declares and pays dividends on a monthly basis. Capital gains, if any, net of capital losses, are distributed annually. Income dividends and capital gain distributions are determined in accordance with income tax regulations, which may differ from accounting principles generally accepted in the United States of America ("GAAP"). These differences are primarily due to
20
Credit Suisse High Yield Bond Fund
Notes to Financial Statements (continued)
April 30, 2006 (unaudited)
differing treatments of income and gains on various investment securities held by the Fund, timing differences and differing characterization of distributions made by the Fund.
The Fund's dividend policy is to distribute substantially all of its net investment income to its shareholders on a monthly basis. However, in order to provide shareholders with a more consistent yield to the current trading price of shares of beneficial interest of the Fund, the Fund may at times pay out less than the entire amount of net investment income earned in any particular month and may at times in any month pay out such accumulated but undistributed income in addition to net investment income earned in that month. As a result, the dividends paid by the Fund for any particular month may be more or less than the amount of net investment income earned by the Fund during such month.
E) FEDERAL INCOME TAXES No provision is made for federal taxes as it is the Fund's intention to continue to qualify for and elect the tax treatment applicable to regulated investment companies under the Internal Revenue Code of 1986, as amended, and to make the requisite distributions to its shareholders which will be sufficient to relieve it from federal income and excise taxes.
F) CASH FLOW INFORMATION Cash, as used in the Statement of Cash Flows, is the amount reported in the Statement of Assets and Liabilities. The Fund invests in securities and distributes dividends from net investment income and net realized gains, if any (which are either paid in cash or reinvested at the discretion of shareholders). These activities are reported in the Statement of Changes in Net Assets. Information on cash payments is presented in the Statement of Cash Flows. Accounting practices that do not affect reporting activities on a cash basis include unrealized gain or loss on investment securities and accretion or amortization income recognized on investment securities.
G) USE OF ESTIMATES The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates.
H) SECURITIES LENDING Loans of securities are required at all times to be secured by collateral at least equal to 100% of the market value of domestic securities on loan (including any accrued interest thereon). Cash collateral received by the Fund in connection with securities lending activity is reinvested into either fully collateralized repurchase agreements with Bear, Stearns & Co., Inc. (an affiliate of the custodian, Custodial Trust Company, and the borrower, Bear, Stearns Securities Corp. (the "Borrower")), registered money market mutual funds (subject to regulatory limitations) or some combination thereof. In the event of default or bankruptcy by the Borrower or its affiliates to the agreement, realization and/or retention of the Fund's collateral may be subject to legal proceedings.
The Fund's securities lending arrangement provides that the Fund and the Borrower will share the net income earned from the securities lending activities. During the six months ended April 30, 2006, total earnings from the Fund's investment in cash collateral received in connection with the securities lending arrangement was $1,505,489 of which $1,175,111 was rebated to the Borrower. The Fund retained $330,378 in income from the cash collateral investment. The Fund is entitled to a certain minimum amount of income from its securities lending activities. Securities lending income is accrued as earned.
21
Credit Suisse High Yield Bond Fund
Notes to Financial Statements (continued)
April 30, 2006 (unaudited)
Note 3. Transactions with Affiliates and Related Parties
The Fund has entered into an Investment Advisory Agreement (the "Advisory Agreement") with Credit Suisse Asset Management, LLC ("Credit Suisse"). The Advisory Agreement provides for a fee at the annual rate of 1.00% of the first $250 million of the average weekly value of the Fund's total assets minus the sum of liabilities (other than aggregate indebtedness constituting leverage) and 0.75% of the average weekly value of the Fund's total assets minus the sum of liabilities (other than aggregate indebtedness constituting leverage) greater than $250 million. For the six months ended April 30, 2006, investment advisory fees earned were $1,560,436.
State Street Bank and Trust Company ("SSB") serves as Accounting and Administrative Agent for the Fund. For its administrative services, SSB receives a fee, exclusive of out-of-pocket expenses, calculated in total for all the Credit Suisse funds/portfolios co-administered by SSB and allocated based upon relative average net assets of each fund/portfolio, subject to an annual minimum fee. For the six months ended April 30, 2006, administrative services fees earned by SSB (including out-of-pocket expenses) were $102,577.
The Independent Trustees receive fifty percent (50%) of their annual retainer in the form of shares purchased by the Fund's transfer agent in the open market.
Merrill Corporation ("Merrill"), an affiliate of Credit Suisse, has been engaged by the Fund to provide certain financial printing and fulfillment services. For the six months ended April 30, 2006, Merrill was paid $1,037 for its services to the Fund.
Note 4. Line of Credit
The Fund has a $150 million line of credit provided by Citibank North America, Inc., under a Revolving Credit and Security Agreement (the "Agreement") dated April 12, 2002, as amended from time to time, primarily to leverage its investment portfolio. Under this Agreement, the Fund may borrow the lesser of $150 million or 331/3% of its gross assets. Interest is payable at the Bank's Base Rate plus a commission of 0.05%. The Fund pays a program fee of 0.20% of the average daily amount leveraged, an administration fee of 0.02% of the average daily amount leveraged and a liquidity fee of 0.15% of the maximum borrowing limit (currently $150 million). The Agreement requires, among other provisions, that the percentage obtained by dividing total indebtedness for money borrowed by total assets of the Fund shall not exceed 331/3%. At April 30, 2006 the Fund had loans outstanding under the Agreement of $110,000,000. During the six months ended April 30, 2006, the Fund had borrowings under the Agreement as follows:
Average Daily Loan Balance |
Weighted Average Interest Rate |
Maximum Daily Loan Outstanding |
|||||||||
$ | 108,362,637 | 4.448 | % | $ | 110,000,000 |
Note 5. Purchases and Sales of Securities
For the six months ended April 30, 2006, purchases and sales of investment securities (excluding short-term investments) were $127,987,055 and $93,748,632, respectively.
At April 30, 2006, the identified cost for federal income tax purposes, as well as the gross unrealized appreciation from investments for those securities having an excess of value over cost, gross unrealized depreciation from investments for those securities having an excess of cost over value and the net unrealized depreciation from investments were $398,269,223, $9,969,401, $(13,009,187) and $(3,039,786), respectively.
22
Credit Suisse High Yield Bond Fund
Notes to Financial Statements (continued)
April 30, 2006 (unaudited)
Note 6. Fund Shares
The Fund has one class of shares of beneficial interest, par value $0.001 per share; an unlimited number of shares are authorized. Transactions in shares of beneficial interest were as follows:
For the Six Months Ended April 30, 2006 (unaudited) |
For the Year Ended October 31, 2005 |
||||||||||
Shares issued through reinvestment of dividends | 370,982 | 861,846 |
Note 7. Concentration of Risk
The Fund invests in securities offering high current income, which generally will be in the lower rating categories of recognized ratings agencies (commonly known as "junk bonds").
These securities generally involve more credit risk than securities in the higher rating categories. In addition, the trading market for high yield securities may be relatively less liquid than the market for higher-rated securities. The Fund's use of leverage also increases exposure to capital risk.
Note 8. Contingencies
In the normal course of business, the Fund may provide general indemnifications pursuant to certain contracts and organizational documents. The Fund's maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated; however, based on experience, the risk of loss from such claims is considered remote.
23
Credit Suisse High Yield Bond Fund
Additional Information (unaudited)
DIVIDEND REINVESTMENT PLAN
Referenced below are policies related to the Fund's Automatic Dividend Reinvestment Plan (the "Plan"). These policies apply to shareholders whose shares are registered directly with the Fund in their own name. Shareholders whose shares are purchased through a broker-dealer or nominee should contact such broker-dealer or nominee regarding questions related to the reinvestment of the Fund's dividends.
Pursuant to the Fund's Plan, unless a shareholder otherwise elects, all dividends and capital gain distributions will be automatically reinvested by Computershare as agent for Shareholders in administering the Plan (the "Plan Agent"), in additional shares of the Fund. Shareholders who elect not to participate in the Plan will receive all dividends and other distributions in cash paid by check mailed directly to the shareholder of record (or, if the shares are held in street or other nominee name, then to such nominee) by Computershare as the Dividend Disbursing Agent. Such participants may elect not to participate in the Plan and to receive all dividends and capital gain distributions in cash by sending written instructions to Computershare as the Dividend Disbursing Agent, at the address set forth below. Participation in the Plan is completely voluntary and may be terminated or resumed at any time without penalty by written notice if received by the Plan Agent not less than ten days prior to any dividend record date; otherwise such termination will be effective with respect to any subsequently declared dividend or other distribution.
Whenever the Fund declares an income dividend or a capital gain distribution (collectively referred to as "dividends") payable either in shares or in cash, non-participants in the Plan will receive cash and participants in the Plan will receive the equivalent in shares. The shares will be acquired by the Plan Agent for the participants' accounts, depending upon the circumstances described below, either (i) through receipt of additional unissued but authorized shares from the Fund ("newly issued shares") or (ii) by purchase of outstanding shares on the open market ("open-market purchases") on the AMEX or elsewhere. If on the record date for the dividend, the net asset value per share is equal to or less than the market price per share plus estimated brokerage commissions (such condition being referred to herein as "market premium"), the Plan Agent will invest the dividend amount in newly issued shares on behalf of the participants. The number of newly issued shares to be credited to each participant's account will be determined by dividing the dollar amount of the dividend by the net asset value per share on the date the shares are issued. If on the dividend record date the net asset value per share is greater than the market value (such condition being referred to herein as "market-discount"), the Plan Agent will invest the dividend amount in shares acquired on behalf of the participants in open-market purchases.
In the event of a market discount on the dividend record date, the Plan Agent will have until the last business day before the next date on which the shares trade on an "ex-dividend" basis or in no event more than 30 days after the dividend record date (the "last purchase date") to invest the dividend amount in shares acquired in open-market purchases. It is contemplated that the Fund will pay monthly income dividends. Therefore, the period during which open-market purchases can be made will exist only from the record date of the dividend through the date before the next "ex-dividend" date. If, before the Plan Agent has completed its open-market purchases, the market price of a share exceeds the net asset value per share, the average per share purchase price paid by the Plan Agent may exceed the net asset value of the shares, resulting in the acquisition of fewer shares than if the dividend had been paid in newly issued shares on the dividend record date. Because of the foregoing difficulty with respect to open market purchases, the Plan provides that if the Plan Agent is unable to invest the full dividend amount in open market purchases during the purchase period or if the market discount shifts to a market premium during the purchase period, the Plan Agent may cease making open-market purchases and may invest the uninvested portion of the dividend amount in newly issued shares at the net
24
Credit Suisse High Yield Bond Fund
Additional Information (unaudited) (continued)
asset value per share at the close of business on the last purchase date.
The Plan Agent maintains all shareholders' accounts in the Plan and furnishes written confirmation of all transactions in the accounts, including information needed by shareholders for tax records. Shares in the account of each Plan participant will be held by the Plan Agent on behalf of the Plan participant, and each shareholder proxy will include those shares purchased or received pursuant to the Plan. The Plan Agent will forward all proxy solicitation materials to participants and vote proxies for shares held pursuant to the Plan in accordance with the instructions of the participants. In the case of shareholders such as banks, brokers or nominees that hold shares for others who are the beneficial owners, the Plan Agent will administer the Plan on the basis of the number of shares certified from time to time by the record shareholder and held for the account of beneficial owners who participate in the Plan.
There will be no brokerage charges with respect to shares issued directly by the Fund as a result of dividends or capital gains distributions payable either in shares or in cash. However, each participant will pay a pro rata share of brokerage commissions incurred with respect to the Plan Agent's open-market purchases in connection with the reinvestment of dividends.
The automatic reinvestment of dividends will not relieve participants of any Federal, state or local income tax that may be payable (or required to be withheld) on such dividends.
Shareholders participating in the Plan may receive benefits not available to shareholders not participating in the Plan. If the market price (plus commissions) of the shares is above their net asset value, participants in the Plan will receive shares of the Fund at less than they could otherwise purchase them and will have shares with a cash value greater than the value of any cash distribution they would have received on their shares. If the market price plus commissions is below the net asset value, participants will receive distributions in shares with a net asset value greater than the value of any cash distribution they would have received on their shares. However, there may be insufficient shares available in the market to make distributions in shares at prices below the net asset value. Also, since the Fund does not redeem shares, the price on resale may be more or less than the net asset value.
Experience under the Plan may indicate that changes are desirable. Accordingly, the Fund reserves the right to amend or terminate the Plan. There is no direct service charge to participants in the Plan; however, the Fund reserves the right to amend the Plan to include a service charge payable by the participants.
All correspondence concerning the Plan should be directed to the Plan Agent at P.O. Box 43010, Providence, RI 02940-3010, or call the plan agent at 1-800-730-6001.
LEVERAGE BENEFITS AND RISKS
The use of leverage by the Fund creates an opportunity for increased net income and capital appreciation for the Fund, but, at the same time, creates special risks, and there can be no assurance that a leveraging strategy will be successful during any period in which it is employed. The Fund intends to utilize leverage to provide the Shareholders with a potentially higher return. Leverage creates risks for Shareholders including the likelihood of greater volatility of net asset value and market price of the Fund's shares and the risk that fluctuations in interest rates on borrowings and short-term debt may affect the return to Shareholders. To the extent the income or capital appreciation derived from securities purchased with funds received from leverage exceeds the cost of leverage, the Fund's return will be greater than if leverage had not been used. Conversely, if the income or capital appreciation from the securities purchased with such funds is not sufficient to cover the cost of leverage, the return to the Fund will be less than if leverage had not been used, and therefore the amount available for distribution to Shareholders as dividends and other distributions will be reduced. In the latter case, Credit Suisse in its best judgment nevertheless may determine to maintain the Fund's leveraged position if it deems such action to be appropriate under
25
Credit Suisse High Yield Bond Fund
Additional Information (unaudited) (continued)
the circumstances. During periods in which the Fund is utilizing leverage, the Management Fee will be higher than if the Fund did not utilize a leveraged capital structure because the fee is calculated as a percentage of the Managed Assets including those purchased with leverage. Certain types of borrowings by the Fund may result in the Fund's being subject to covenants in credit agreements, including those relating to asset coverage and portfolio composition requirements. The Fund's lenders may establish guidelines for borrowing which may impose asset coverage or portfolio composition requirements that are more stringent than those imposed by the Investment Company Act. It is not anticipated that these covenants or guidelines will impede Credit Suisse in managing the Fund's portfolio in accordance with the Fund's investment objectives and policies.
26
Credit Suisse High Yield Bond Fund
Board Consideration and Re-Approval of Investment Advisory Agreement (unaudited)
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act") contemplates that the Board of Trustees (the "Board") of Credit Suisse High Yield Bond Fund (the "Fund"), including a majority of the Trustees who have no direct or indirect interest in the investment advisory agreement and are not "interested persons" of the Fund, as defined in the 1940 Act (the "Independent Trustees"), will annually review and re-approve the terms of the Fund's existing investment advisory agreement. In this regard, the Board reviewed and re-approved, during the six months covered by this report an investment advisory agreement (the "Advisory Agreement") with Credit Suisse Asset Management, LLC ("Credit Suisse") for the Fund.
More specifically, at a meeting held on November 16-17, 2005, the Board, including the Independent Trustees advised by their independent legal counsel, considered the factors and reached the conclusions described below relating to the selection of Credit Suisse and the re-approval of the Advisory Agreement.
Nature, Extent and Quality of Services
The Board received and considered various data and information regarding the nature, extent and quality of services provided to the Fund by Credit Suisse under the Advisory Agreement. The most recent investment adviser registration form ("Form ADV") for Credit Suisse was provided to the Board, as were responses of Credit Suisse to requests submitted by the Independent Trustees' independent legal counsel on behalf of such Trustees. The Board reviewed and analyzed these materials, which included, among other things, information about the background and experience of the senior management and the expertise of, and amount of attention devoted to the Fund by investment personnel of Credit Suisse. In this regard, the Board specifically reviewed the qualifications, background and responsibilities of the chief investment officer who is primarily responsible for day-to-day portfolio management services for the Fund.
In addition, the Board received and reviewed information on Securities and Exchange Commission ("SEC") and other regulatory inquiries and examinations relating to the Fund and Credit Suisse. The Board considered the investment and legal compliance programs of the Fund and Credit Suisse, including their implementation of enhanced compliance policies and procedures in response to SEC rule changes and other regulatory initiatives. The Board also considered the Fund's Chief Compliance Officer's report and recommendations.
The Board evaluated the ability of Credit Suisse, based on its resources, reputation and other attributes, to attract and retain highly qualified investment professionals, including research, advisory, and supervisory personnel. In this connection, the Board considered information regarding Credit Suisse's compensation arrangements for its personnel involved in the management of the Fund.
Based on the above factors, together with those referenced below, the Board concluded that it was generally satisfied with the nature, extent and quality of the investment advisory services provided to the Fund by Credit Suisse.
Fund Performance and Expenses
The Board considered performance results for the Fund over a number of years, as well as for recent periods. It also considered these results in comparison to the group of funds consisting of all closed-end leveraged high current yield funds (the "Performance Universe"), as well as to the Fund's benchmark indices, the Lipper Closed-End Leveraged High Yield Bond Funds Index and the Citigroup High Yield Market Index. Lipper Inc. ("Lipper"), an independent provider of investment company data, determined the Performance Universe for the Fund and provided the comparative data. The Board was provided with a description of the methodology used by Lipper to select the closed-end mutual funds in the Fund's Performance Universe. The Board noted that, although the Fund had underperformed the median performance of the funds in its Performance Universe in some periods, it had out- performed the median performance in other periods.
27
Credit Suisse High Yield Bond Fund
Board Consideration and Re-Approval of Investment Advisory Agreement (unaudited) (continued)
The Board received and considered statistical information regarding the Fund's total expense ratio and its various components, including management fees, non-management fees and actual total expenses of the Fund (including and excluding investment-related expenses and taxes). It also considered comparisons of these fees to the expense information of the group of funds that was determined to be the most similar to the Fund (the "Peer Group") and to the median expenses of a broader universe of relevant funds (the "Expense Universe"), which comparative data was provided by Lipper. The Board was provided with a description of the methodology used by Lipper to select the closed-end mutual funds in the Fund's Peer Group and Expense Universe.
The Board noted that the management fee paid by the Fund is appreciably higher that the median management fee of the Fund's Peer Group. However, the Board considered that the overall expense ratio of the Fund is consistent with the median expense ratio of the Fund's Peer Group, both including and excluding investment-related expenses and taxes.
Based on the above-referenced considerations and other factors, the Board concluded that the overall performance and expense results supported the re-approval of the Advisory Agreement for the Fund.
Investment Advisory Fee Rate
The Board reviewed and considered the proposed contractual investment advisory fee rate (the "Advisory Agreement Rate") payable by the Fund to Credit Suisse for investment advisory services.
Additionally, the Board received and considered information comparing the Advisory Agreement Rate (both on a stand-alone basis and on a combined basis with the Fund's administration fee rate) with those of the other funds in its Peer Group. The Board noted that the Fund's administrator is not affiliated with Credit Suisse and that the Fund's administration agreement and corresponding fees were negotiated at arm's-length. In this regard, the Board observed that the Advisory Agreement Rate was appreciably higher than the median rate of funds in its Peer Group. However, the Board considered that the Fund's non-management expenses were significantly lower than the median rate of the Peer Group. The Board concluded that these factors supported the Advisory Agreement Rate.
Profitability
The Board received and considered an estimated profitability analysis of Credit Suisse based on the Advisory Agreement Rate, as well as on any other relationships between the Fund and Credit Suisse and its affiliates. The Board concluded that, in light of the costs of providing investment management and other services to the Fund, the profits and other ancillary benefits that Credit Suisse and its affiliates received with regard to providing these services to the Fund were not unreasonable.
Economies of Scale
The Board received and considered information regarding whether there have been economies of scale with respect to the management of the Fund, whether the Fund has appropriately benefited from any economies of scale, and whether there is potential for realization of any further economies of scale. The Board concluded that any actual or potential economies of scale are, or will be, shared fairly with Fund shareholders, including most particularly through Advisory Agreement Rate breakpoints.
The Board observed that the Advisory Agreement did not initially offer breakpoints. However, the Board noted that as part of its past review and re-approval of the Advisory Agreements it had approved the inclusion of breakpoints in the Advisory Agreement Rate and, as a result, there would be potential for realizing economies of scale.
28
Credit Suisse High Yield Bond Fund
Board Consideration and Re-Approval of Investment Advisory Agreement (unaudited) (continued)
Information about Services to Other Clients
The Board also received and considered information about the nature and extent of services and fee rates offered by Credit Suisse to its other clients, including other registered investment companies and institutional investors and investment companies to which Credit Suisse serves as an unaffiliated sub-adviser. The Board concluded that the Advisory Agreement Rate was reasonable given the nature and extent of services provided and comparison with fee rates offered to other clients. Where rates offered to other clients were appreciably lower, the Board concluded, based on information provided by Credit Suisse, that the costs associated with managing and operating a registered, closed-end, high yield bond fund, compared with other clients and other funds, provided a justification for the higher fee rates charged to the Fund.
Other Factors and Broader Review
As discussed above, the Board reviews detailed materials received from Credit Suisse annually as part of the re-approval process under Section 15(c) of the 1940 Act. The Board also reviews and assesses the quality of the services that the Fund receives throughout the year. In this regard, the Board reviews reports of Credit Suisse at least in each of its quarterly meetings, which include, among other things, a detailed portfolio review, and detailed fund performance reports, and confers with the chief investment officer of the Fund at various times throughout the year.
After considering the above-described factors and based on its deliberations and its evaluation of the information provided to it, the Board concluded that re-approval of the Advisory Agreement for the Fund was in the best interest of the Fund and its remaining shareholders. Accordingly, the Board unanimously re-approved the Advisory Agreement.
29
Credit Suisse High Yield Bond Fund
Privacy Policy Notice (unaudited)
Important Privacy Choices for Consumers
We are committed to maintaining the privacy of every current and prospective customer. We recognize that you entrust important personal information to us, and we wish to assure you that we take seriously our responsibilities in protecting and safeguarding this information.
In connection with making available investment products and services to current and potential customers, we may obtain nonpublic personal information about you. This information may include your name, address, e-mail address, social security number, account number, assets, income, financial situation, transaction history and other personal information.
We may collect nonpublic information about you from the following sources:
Information we receive on applications, forms, questionnaires, web sites, agreements or in the course of establishing or maintaining a customer relationship; and
Information about your transactions with us, our affiliates, or others.
We do not disclose any nonpublic personal information about our customers or former customers to anyone, except with your consent or as otherwise permitted by law.
In cases where we believe that additional products and services may be of interest to you, we may share the information described above with our affiliates.
We may also disclose this information to firms that perform services on our behalf. These agents and service providers are required to treat the information confidentially and use it only for the purpose for which it is provided.
We restrict access to nonpublic personal information about you to those employees, agents or other parties who need to know that information to provide products or services to you or in connection with your investments with or through us. We maintain physical, electronic and procedural safeguards that comply with federal standards to guard your nonpublic personal information.
Note: This Notice is provided to clients and prospective clients of Credit Suisse Asset Management, LLC, ("Credit Suisse"), and Credit Suisse Asset Management Securities, Inc., and shareholders and prospective shareholders in Credit-Suisse-sponsored and-advised investment companies, including Credit Suisse Funds, and other consumers and customers, as applicable. This Notice is not intended to be incorporated in any offering materials but is merely a statement of our current Privacy Policy, and may be amended from time to time upon notice to you. This Notice is dated as of May 18, 2006.
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Credit Suisse High Yield Bond Fund
Proxy Voting and Portfolio Holdings Information
Information regarding how the Fund voted proxies related to its portfolio securities during the 12-month period ended June 30 of each year, as well as the policies and procedures that the Fund uses to determine how to vote proxies relating to its portfolio securities are available:
By calling 1-800-293-1232
On the Fund's website, www.credit-suisse.com/us
On the website of the Securities and Exchange Commission, http://www.sec.gov.
The Fund files a complete schedule of its portfolio holdings for the first and third quarters of its fiscal year with the SEC on Form N-Q. The Fund's Forms N-Q are available on the SEC's website at http://www.sec.gov and may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information on the operation of the SEC's Public Reference Room may be obtained by calling 1-202-551-8090.
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Credit Suisse High Yield Bond Fund
Other Funds Managed By Credit Suisse Asset Management, LLC
CLOSED-END FUNDS
Single Country
The Chile Fund, Inc. (CH)
The First Israel Fund, Inc. (ISL)
The Indonesia Fund, Inc. (IF)
Multiple Country
The Emerging Markets Telecommunications Fund, Inc. (ETF)
The Latin America Equity Fund, Inc. (LAQ)
Fixed Income
Credit Suisse Asset Management Income Fund, Inc. (CIK)
Literature Request Call today for free descriptive information on the closed-end funds listed above at 1-800-293-1232 or visit our website on the Internet: http://www.credit-suisse.com/us.
OPEN-END FUNDS
Credit Suisse Capital Appreciation Fund
Credit Suisse Cash Reserve Fund
Credit Suisse Commodity Return Strategy Fund
Credit Suisse Emerging Markets Fund
Credit Suisse Fixed Income Fund
Credit Suisse Global Fixed Income Fund
Credit Suisse Global Small Cap Fund
Credit Suisse High Income Fund
Credit Suisse International Focus Fund
Credit Suisse Japan Equity Fund
Credit Suisse Large Cap Blend Fund
Credit Suisse Large Cap Value Fund
Credit Suisse Mid-Cap Growth Fund
Credit Suisse New York Municipal Fund
Credit Suisse Short Duration Bond Fund
Credit Suisse Small Cap Growth Fund
Credit Suisse Small Cap Value Fund
Credit Suisse Strategic Allocation Fund
Fund shares are not deposits or other obligations of Credit Suisse Asset Management, LLC or any affiliate, are not FDIC-insured and are not guaranteed by Credit Suisse Asset Management, LLC or any affiliate. Fund investments are subject to investment risks, including loss of your investment. There are special risk considerations associated with international, global, emerging-market, small-company, private equity, high-yield debt, single-industry, single-country and other special, aggressive or concentrated investment strategies. Past performance cannot guarantee future results.
More complete information about a fund, including charges and expenses, is provided in the Prospectus, which should be read carefully before investing. You may obtain copies by calling Credit Suisse Funds at 800-927-2874. For up-to-date performance, please look in the mutual fund section of your newspaper under Credit Suisse.
Credit Suisse Asset Management Securities, Inc., Distributor.
32
Credit Suisse High Yield Bond Fund
Summary of General Information (unaudited)
Credit Suisse High Yield Bond Fund is a closed-end, non-diversified management investment company whose shares trade on the American Stock Exchange, LLC. The Fund's American Stock Exchange trading symbol is DHY. Its investment objective is to seek high current income. Credit Suisse Asset Management, LLC is part of the asset management business of Credit Suisse, one of the world's leading banks. With offices focused on asset management in 18 countries, Credit Suisse's asset management business is operated as a globally integrated network to deliver the bank's best investment ideas and capabilities to clients around the world.
Shareholder Information
The market price is published in: The New York Times (daily) under the designation "CrSuiHiY" and The Wall Street Journal (daily), and Barron's (each Monday) under the designation "CrSuisHighYld". Weekly comparative net asset value (NAV) and market price information about Credit Suisse High Yield Bond Fund's shares are published each Sunday in The New York Times and each Monday in The Wall Street Journal and Barron's, as well as other newspapers, in a table called "Closed-End Funds".
33
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800-293-1232 n www.credit-suisse.com/us
DHY-SAR-0406
Item 2. Code of Ethics.
This item is inapplicable to a semi-annual report on Form N-CSR.
Item 3. Audit Committee Financial Expert.
This item is inapplicable to a semi-annual report on Form N-CSR.
Item 4. Principal Accountant Fees and Services.
This item is inapplicable to a semi-annual report on Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
This item is inapplicable to a semi-annual report on Form N-CSR.
Item 6. Schedule of Investments.
Included as part of the report to shareholders filed under Item 1 of this Form.
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
This item is inapplicable to a semi-annual report on Form N-CSR.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Form N-CSR disclosure requirement not yet effective with respect to the registrant.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
None.
Item 10. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which shareholders may recommend nominees to the registrants board of directors since the registrant last provided disclosure in response to the requirements of Item 7(d)(2)(ii)(g) of Schedule 14A in its definitive proxy statement dated March 6, 2006.
Item 11. Controls and Procedures.
(a) As of a date within 90 days from the filing date of this report, the principal executive officer and principal financial officer concluded that the registrants disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the Act)) were effective based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934.
(b) There were no changes in registrants internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the registrants last fiscal half-year that have materially affected, or are reasonably likely to materially affect, the registrants internal control over financial reporting.
Item 12. Exhibits.
(a)(1) Not applicable.
(a)(2) The certifications of the registrant as required by Rule 30a-2(a) under the Act are exhibits to this report.
(a)(3) Not applicable.
(b) The certifications of the registrant as required by Rule 30a-2(b) under the Act are an exhibit to this report.
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. |
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CREDIT SUISSE HIGH YIELD BOND FUND, INC. |
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/s/Steven B. Plump |
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Name: |
Steven B. Plump |
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Title: |
Chief Executive Officer |
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Date: |
July 5, 2006 |
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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. |
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/s/Steven B. Plump |
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Name: |
Steven B. Plump |
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Title: |
Chief Executive Officer |
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Date: |
July 5, 2006 |
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/s/Michael A. Pignataro |
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Name: |
Michael A. Pignataro |
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Title: |
Chief Financial Officer |
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Date: |
July 5, 2006 |
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