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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number 811-4915
DNP Select Income Fund Inc.
(Exact name of registrant as specified in charter)
55 East Monroe Street, Chicago, Illinois 60603
(Address of principal executive offices) (Zip code)
Nathan I. Partain John R. Sagan
DNP Select Income Fund Inc. Mayer, Brown, Rowe & Maw LLP
55 East Monroe Street 190 South LaSalle Street
Chicago, Illinois 60603 Chicago, Illinois 60603
(Name and address of agents for service)
Registrant's telephone number, including area code: (312) 368-5510
Date of fiscal year end: December 31
Date of reporting period: March 31, 2005
Form N-Q is to be used by management investment companies, other than small
business investment companies registered on Form N-5 (S)(S) 239.24 and 274.5 of
this chapter), to file reports with the Commission, not later than 60 days after
the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under
the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use
the information provided on Form N-Q in its regulatory, disclosure review,
inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-Q,
and the Commission will make this information public. A registrant is not
required to respond to the collection of information contained in Form N-Q
unless the Form displays a currently valid Office of Management and Budget
("OMB") control number. Please direct comments concerning the accuracy of the
information collection burden estimate and any suggestions for reducing the
burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW,
Washington, DC 20549-0609. The OMB has reviewed this collection of information
under the clearance requirements of 44 U.S.C. (S) 3507.
ITEM 1. SCHEDULE OF INVESTMENTS.
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS
(UNAUDITED)
March 31, 2005
COMMON STOCKS--92.8%
Market
Value
Shares Company (Note 1)
--------- ------- ---------------
[_] ELECTRIC--56.7%
1,201,000 Ameren Corp.................................... $ 58,861,010
1,710,244 Cinergy Corp................................... 69,299,087
800,000 Consolidated Edison Inc........................ 33,744,000
1,163,650 Dominion Resources Inc......................... 86,610,470
1,000,000 DTE Energy Co.................................. 45,480,000
1,100,000 Energy East Corp............................... 28,842,000
1,750,000 Exelon Corp.................................... 80,307,500
1,700,000 FirstEnergy Corp............................... 71,315,000
1,965,000 FPL Group Inc.................................. 78,894,750
1,080,000 Iberdrola S.A. (Spain)......................... 28,325,089
215,000 National Grid Transco PLC ADR.................. 10,051,250
770,000 National Grid Transco PLC (United Kingdom)..... 7,133,092
1,200,000 NiSource Inc................................... 27,348,000
1,118,600 NSTAR.......................................... 60,739,980
1,000,000 OGE Energy Corp................................ 26,950,000
990,000 Pinnacle West Capital Corp..................... 42,084,900
600,000 PPL Corp....................................... 32,394,000
1,375,000 Progress Energy Inc............................ 57,681,250
1,000,000 Scottish & Southern Energy ADR................. 16,656,900
850,000 Scottish & Southern Energy PLC (United Kingdom) 14,174,349
368,700 Scottish Power PLC ADR......................... 11,503,440
2,000,000 Southern Co.................................... 63,660,000
1,500,000 Vectren Corp................................... 39,960,000
581,000 WPS Resources Corp............................. 30,746,520
2,999,304 Xcel Energy Inc................................ 51,528,043
---------------
1,074,290,630
[_] GAS--9.1%
1,076,000 AGL Resources Inc.............................. 37,584,680
1,000,000 Atmos Energy Corp.............................. 27,000,000
1,000,000 Keyspan Corp................................... 38,970,000
The accompanying notes are an integral part of the financial statement.
6
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Value
Shares Company (Note 1)
--------- ------- ---------------
900,000 Peoples Energy Corp................. $ 37,728,000
1,000,000 WGL Holdings Inc.................... 30,960,000
---------------
172,242,680
[_] TELECOMMUNICATION--16.7%
1,600,000 BCE Inc............................. 39,984,000
246,114 Belgacom S.A........................ 10,203,599
565,000 BT Group PLC ADR.................... 22,001,100
1,529,200 BellSouth Corp...................... 40,202,668
1,250,000 Chunghwa Telecom Co. Ltd............ 26,487,500
2,000,000 Citizens Communications Co.......... 25,880,000
1,392,230 SBC Communications, Inc............. 32,981,929
700,000 TDC A/S............................. 14,693,000
856,250 Telecom Corp of New Zealand Ltd. ADR 29,686,187
1,068,400 Telstra Corp. Ltd. ADR.............. 21,026,112
1,519,000 Verizon Communications Inc.......... 53,924,500
---------------
317,070,595
[_] NON-UTILITY--10.3%
48,704 Alexandria Real Estate Equities Inc. 3,135,564
60,158 AMB Property Corp................... 2,273,972
242,322 Archstone Smith Trust............... 8,265,604
63,414 Arden Realty Inc.................... 2,146,564
15,111 AvalonBay Communities Inc........... 1,010,775
158,338 Boston Properties Inc............... 9,536,698
64,913 Camden Property Trust............... 3,052,858
71,743 CBL & Associates Properties Inc..... 5,130,342
272,600 CenterPoint Properties Trust........ 11,176,600
249,869 Corporate Office Properties Trust... 6,616,531
217,639 Developers Diversified Realty Corp.. 8,651,150
69,404 Equity Office Properties Trust...... 2,091,143
236,780 Equity Residential.................. 7,626,684
51,194 Essex Property Trust Inc............ 3,537,505
42,800 Extra Space Storage Inc............. 577,800
290,312 General Growth Properties Inc....... 9,899,639
The accompanying notes are an integral part of the financial statement.
7
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Value
Shares Company (Note 1)
--------- ------- ---------------
5,320 Health Care Property Investors Inc........ $ 124,860
61,220 Health Care REIT Inc...................... 1,959,040
51,016 Healthcare Realty Trust Inc............... 1,859,023
49,493 Home Properties Inc....................... 1,920,328
66,018 Hospitality Properties Trust.............. 2,665,807
165,000 Host Marriott Corp........................ 2,732,400
75,274 Kilroy Realty Corp........................ 3,079,459
88,518 Kimco Realty Corp......................... 4,771,120
91,260 LaSalle Hotel Properties.................. 2,651,103
147,356 The Macerich Co........................... 7,851,128
40,000 Maguire Properties Inc.................... 955,200
108,227 Pan Pacific Retail Properties Inc......... 6,141,882
237,632 ProLogis.................................. 8,816,147
74,128 Public Storage, Inc....................... 4,220,848
88,302 Realty Income Corp........................ 2,020,350
141,335 Reckson Associates Realty Corp............ 4,338,985
99,011 Regency Centers Corp...................... 4,715,894
52,600 Shurgard Storage Centers Inc. Class A..... 2,155,548
241,021 Simon Property Group Inc.................. 14,601,052
149,051 SL Green Realty Corp...................... 8,379,647
112,720 Starwood Hotels & Resorts Worldwide, Inc.. 6,766,582
152,033 Sunstone Hotel Investors Inc.............. 3,261,108
106,715 United Dominion Realty Trust Inc.......... 2,227,142
143,599 Vornado Realty Trust...................... 9,947,103
102,077 Weingarten Realty Investors............... 3,522,677
---------------
196,413,862
---------------
Total Common Stocks (Cost--$1,530,159,902) 1,760,017,767
---------------
PREFERRED STOCKS--12.9%
[_] UTILITY--12.9%
200,000 Alltel Corp. 7 3/4% due 5/17/05........... 10,098,000
750,000 Ameren Corp. 9 3/4% due 5/15/05........... 20,115,000
1,200,000 Centurytel Inc. 6 7/8% due 5/15/05........ 30,180,000
The accompanying notes are an integral part of the financial statement.
8
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Value
Shares Company (Note 1)
--------- ------- ---------------
986,700 DTE Energy Co. 8 3/4% due 8/16/05.......... $ 25,062,180
1,200,000 Great Plains Energy Inc. 8% due 2/16/07.... 32,616,000
412,000 Keyspan Corp. 8 3/4% due 5/16/05........... 20,843,080
775,000 Oneok Inc. 8 1/2% due 2/16/06.............. 29,225,250
500,000 Sempra Energy 8 1/2% due 5/17/05........... 16,530,000
172,700 Southern Union Co. 5 3/4% due 8/16/06...... 12,879,966
400,000 TXU Corp. 8 3/4% due 11/16/05.............. 14,752,000
500,000 TXU Corp. 8 1/8% due 5/16/06............... 32,800,000
---------------
Total Preferred Stocks (Cost--$211,563,249) 245,101,476
---------------
BONDS--33.8%
Ratings
--------------------------
Standard Market
and Value
Par Value Fitch Moody's Poor's (Note 1)
----------- - --------- ------- -------- -----------
[_] ELECTRIC--11.8%
$18,050,000 Comed Financing II
8 1/2%, due 1/15/27............. Not Rated Baa2 BBB $19,781,248
7,500,000 Commonwealth Edison Co.
9 7/8%, due 6/15/20............. A- A3 A- 7,758,330
24,000,000 Dominion Resources Capital Trust
7.83%, due 12/01/27............. BBB Baa2 BBB- 26,211,672
14,900,000 El Paso Electric Co.
8.90%, due 2/01/06.............. Not Rated Baa2 BBB 15,479,476
5,000,000 El Paso Electric Co., Series E
9.40%, due 5/01/11.............. Not Rated Baa2 BBB 5,440,230
9,431,000 FPL Group Capital Inc.
7 5/8%, due 9/15/06............. A- A2 A- 9,902,069
17,500,000 Illinois Power Co.
7 1/2%, due 8/15/09............. BBB Baa1 A- 19,378,380
15,825,000 Niagara Mohawk Power Corp.
8 7/8%, due 5/15/07............. Not Rated Baa1 A- 17,256,925
The accompanying notes are an integral part of the financial statement.
9
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Ratings
--------------------------
Standard
and Market Value
Par Value Fitch Moody's Poor's (Note 1)
----------- - --------- ------- -------- ---------------
$ 9,000,000 PSEG Power LLC
8 5/8%, due 4/15/31........... BBB Baa1 BBB $ 11,987,595
22,750,000 Puget Capital Trust
8.231%, due 6/01/27........... Not Rated Ba1 BB 22,248,226
12,915,000 Sempra Energy
7.95%, due 3/1/10............. A Baa1 BBB+ 14,552,841
9,353,000 Southern California Edison Co.
8%, due 2/15/07............... BBB+ A3 BBB 9,963,480
13,000,000 Southern Co. Capital Trust II
8.14%, due 2/15/27............ Not Rated Baa1 BBB+ 13,825,942
11,750,000 Virginia Electric & Power Co.
8 5/8%, due 10/01/24.......... A- A2 A- 12,240,128
17,700,000 Virginia Electric & Power Co.
8 1/4%, due 3/01/25........... A- A2 A- 18,366,440
---------------
224,392,982
[_] GAS--3.8%
5,000,000 KN Energy Inc.
7 1/4%, due 3/01/28........... BBB Baa2 BBB 5,676,605
7,000,000 Keyspan Corp.
7 5/8%, due 11/15/10.......... A- A3 A 7,998,732
10,000,000 Northern Border Partners LP
8 7/8%, due 6/15/10........... BBB+ Baa2 BBB 11,707,650
6,488,000 Southern Union Co.
7.60%, due 2/01/24............ BBB Baa3 BBB 7,656,015
8,850,000 Southern Union Co.
8 1/4%, due 11/15/29.......... BBB Baa3 BBB 11,269,546
10,000,000 TE Products Pipeline Co.
7.51%, due 1/15/28............ Not Rated Baa3 BBB 10,604,110
15,500,000 Trans-Canada Pipeline
9 1/8%, due 4/20/06........... Not Rated A3 BBB+ 16,287,291
---------------
71,199,949
The accompanying notes are an integral part of the financial statement.
10
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Ratings
----------------------
Standard
and Market Value
Par Value Fitch Moody's Poor's (Note 1)
----------- - ----- ------- -------- ---------------
[_] TELECOMMUNICATION--12.3%
$ 6,724,000 Alltel Corp.
7 1/2% due 3/01/06............... A A2 A $ 6,948,111
15,200,000 AT&T Wireless Services Inc.
7 1/2%, due 5/01/07.............. A Baa2 A 16,169,942
5,098,000 BellSouth Corp.
7 3/4%, due 2/15/10.............. A A2 A 5,744,839
22,000,000 British Telecom PLC
8 3/8%, due 12/15/10............. A Baa1 A- 25,589,102
15,000,000 Centurytel Inc.
8 3/8%, due 10/15/10............. BBB+ Baa2 BBB+ 17,030,565
10,000,000 Centurytel Inc.
6 7/8%, due 1/15/28.............. BBB+ Baa2 BBB+ 10,343,150
5,645,000 Comcast Cable Communications Inc.
8 3/8%, due 5/01/07.............. BBB Baa3 BBB 6,083,566
7,361,000 Continental Cablevision Inc.
9.50%, due 8/01/13............... BBB Baa3 BBB 7,840,253
10,000,000 France Telecom SA
7.20%, due 3/01/06............... A- Baa1 A- 10,311,690
10,000,000 France Telecom SA
7 3/4%, due 3/01/11.............. A- Baa1 A- 11,456,040
17,625,000 GTE Corp.
7.90%, due 2/01/27............... A+ A3 A+ 18,979,622
5,000,000 GTE North Inc., Series C
7 5/8%, due 5/15/26.............. A+ A1 A+ 5,296,825
10,000,000 Koninklijke KPN NV
8.00%, due 10/01/10.............. BBB+ Baa1 A- 11,434,300
10,000,000 Sprint Capital Corp.
8 3/8%, due 3/05/12.............. BBB Baa3 BBB- 11,702,750
10,000,000 TCI Communications Inc.
8 3/4%, due 8/01/15.............. BBB Baa3 BBB 12,528,090
11,500,000 Telefonica Europe BV
7 3/4%, due 9/15/10.............. A A3 A 13,060,355
The accompanying notes are an integral part of the financial statement.
11
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Ratings
--------------------------
Standard
and Market Value
Par Value Fitch Moody's Poor's (Note 1)
------------ - --------- ------- -------- ---------------
$ 10,500,000 Verizon Global Funding Corp.
7 3/4%, due 12/01/30.......... A+ A2 A+ $ 12,729,381
20,000,000 Vodaphone Group PLC
7 3/4%, due 2/15/10........... A A2 A 22,611,600
5,000,000 Vodaphone Group PLC
7 7/8%, due 2/15/30........... A A2 A 6,402,965
---------------
232,263,146
[_] NON-UTILITY--3.6%
#25,000,000 Countrywide Home Loans Inc.
3.133%, Series M, due 6/23/05. A A3 A 25,002,350
8,000,000 Dayton Hudson Corp.
9 7/8%, due 7/01/20........... A+ A2 A+ 11,743,200
10,000,000 EOP Operating LP
7 3/4%, due 11/15/07.......... BBB+ Baa2 BBB+ 10,767,290
#20,000,000 Stanfield Victoria Funding LLC
2.955%, due 6/01/05........... Not Rated Aaa AAA 20,002,340
---------------
67,515,180
---------------
Total Bonds (Cost--$593,683,542)......................... 595,371,257
---------------
The accompanying notes are an integral part of the financial statement.
12
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Par Value/ Value
Shares (Note 1)
------------ ----------------
U.S. TREASURY OBLIGATION--0.1%
$ 2,000,000 U.S. Treasury Bond
10 3/4%, due 8/15/05.................................................... $ 2,058,752
----------------
Total U.S. Treasury Obligation (Cost--$2,394,375)....................... 2,058,752
----------------
MONEY MARKET INSTRUMENTS--25.0%
# 39,103 AIM STIC Liquid Assets Portfolio........................................ 39,103
#50,000,000 Bear Stearns Inc. Master Note
3.025%, due 4/01/05..................................................... 50,000,000
#15,000,000 Chesham Finance LLC
2.90%, due 4/01/05...................................................... 15,000,000
#25,000,000 Chesham Finance LLC
2.805%, due 8/31/05..................................................... 25,000,000
#10,000,000 Credit Suisse First Boston LLC Repurchase Agreement
2.925%, dated 3/31/05, due 4/01/05, with a repurchase price of
$10,000,813 and collateralized by
$3,097,439 Continental Airlines Inc. 7 7/8% ABS due 7/02/18;
$160,075 Continental Airlines Inc. 6.795% ABS due 8/02/18;
$1,237,697 Continental Airlines Inc. 8.307% ABS due 4/02/18;
$3,448,323 RAMP 2002-RS1 MII3 5.05% ABS due 1/25/32;
$1,178,017 RASC 2001-KS2 MI3 7.798% ABS due 6/25/31;
and $1,081,257 RASC 2001-KS3 MI3 7.01% ABS due 9/25/31.................. 10,000,000
#50,000,000 Dresdner Kleinwort Wasserstein Securities LLC Repurchase Agreement
2.925%, dated 3/31/05, due 4/01/05, with a repurchase price of
$50,004,063 and collateralized by
$24,613,865 Bank One Capital IV 4.41% Floating Rate Note due 9/01/30 and
$26,386,305 Credit Suisse First Boston Inc. 5 3/4% Fixed Rate Note due
4/15/07................................................................. 50,000,000
#50,000,000 Goldman Sachs & Co. Repurchase Agreement,
2.945%, dated 3/31/05, due 4/01/05, with a repurchase price of
$50,004,090 and collateralized by
$51,000,001 MLMT 2004-KEY2 A4 4.864% CMO due 8/12/39.................... 50,000,000
The accompanying notes are an integral part of the financial statement.
13
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Par Value/ Value
Shares (Note 1)
------------- ----------------
#$ 50,000,000 Greenwich Capital Markets Inc. Repurchase Agreement,
2.955%, dated 3/31/05, due 4/01/05, with a repurchase price of
$50,004,104 and collateralized by
$24,346,351 ARSI 2004-W11 M4 3.70% ABS due 11/25/34;
$6,020,459 FFML 2005-FF1 M1 3.34% ABS due 12/25/34;
$4,633,069 MARM 2005-1 B1 5.206% CMO due 3/25/35;
$5,032,626 SAIL 2003-BC2 M1 3.77% ABS due 4/25/33;
$7,981,291 SAIL 2004-7 M2 3.60% CMO due 8/25/34;
$2,965,274 TMST 2003-4 M1 3 1/2% CMO due 9/25/43;
and $24,305 WAMU 2004-AR3 B1 4.191% CMO due 6/25/34........... $ 50,000,000
#18,481,701 Janus Institutional Cash Reserves Fund........................ 18,481,701
#10,000,000 Lehman Brothers Inc. Repurchase Agreement,
2.925%, dated 3/31/05, due 4/01/05, with a repurchase price of
$10,00,813 and collateralized by
$567,641 Continental Airlines Inc. 7.707% ABS due 4/02/21;
$784,205 Continental Airlines Inc. 6.703% ABS due 6/15/21;
$5,787 LBUBS 2002-C4 A1 3.268% CMO due 9/15/26;
$3,861,536 LABMH 2001-B M1 6.63% ABS due 3/15/28;
$4,080,969 MSAC 2004-HE2 B3 6.35% ABS due 3/25/34;
and $898,856 PHMS 1993-23 A9 6 1/2% CMO due 7/25/08........... 10,000,000
The accompanying notes are an integral part of the financial statement.
14
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Par Value/ Value
Shares (Note 1)
------------- ----------------
#$ 50,000,000 Merrill Lynch Government Securities Inc. Repurchase Agreement,
2.955%, dated 3/31/05, due 4/01/05, with a repurchase price of
$50,004,104 and collateralized by
$2,149,576 ARMT 2004-5 CB4 5.063% CMO due 4/25/35;
$1,927,937 BSCMS 2004-PWR6 G 5.476% 144A CMO due 11/11/41;
$5,016,514 CWL 2005-1 MV7 4.10% ABS due 7/25/35;
$2,903,783 CGCMT 2004-C2 F 5.211% 144A CMO due 10/15/41;
$2,500,989 FMIC 2005-1 M7 4.10% ABS due 3/25/35;
$2,537,902 HEAT 2004-8 B3 5.95% ABS due 3/25/35;
$3,010,695 HEAT 2005-1 B2 5.10% ABS due 5/25/35;
$3,985,597 IXIS 2005-HE1 B2 4.18% ABS due due 6/25/35;
$687,586 IMM 2004-4 2B 5.35% CMO due 9/25/34;
$4,173,007 INDX 2005-AR4 B3 4.55% CMO due 3/25/35;
$5,007,311 JPMCC 2004-CB9 F 5.473% 144A CMO due 6/12/41;
$2,044,478 LBMLT 2004-4 M11 5.85% ABS due 10/25/34;
$80,785 MSC 1998-HF1 E 7.025% CMO due 3/15/30;
$3,339,986 MSC 2004-IQ7 E 5.434% 144A CMO due 6/15/38;
$4,431,377 MSM 2004-11AR 1B3 4.75% CMO due 1/25/35;
$500,313 RAMP 2004-RZ3 MII4 4.70% ABS due 9/25/34;
$1,171,230 SARM 2004-18 B7 5.60% CMO due 12/25/34;
$2,196,689 SASC 2005-S1 M8 4.80% CMO due 3/25/35; and
$4,836,301 SAMI 2004-AR6 B3 4.35% CMO due 2/19/35............. $ 50,000,000
#46,000,000 Morgan Stanley & Co., Inc. Repurchase Agreement,
2.925%, dated 3/31/05, due 4/01/05, with a repurchase price of
$46,003,738 and collateralized by
$5,224,589 AQNIM 2003-N9A NOTE 7.385% 144A ABS due 10/25/33;
$1,319,766 ARNIM 2003-N5 A 6.65% 144A ABS due 2/25/34;
$2,399,292 ARNIM 2004-WN8 B 6.00% 144A ABS due 7/25/34;
$88,004 BSCMS 2004-BA5A A1 2.94% 144A CMO due 9/15/19;
$28,404,840 COMT 2000-3 C 7.90% 144A ABS due 10/15/10;
$1,319,971 ABSN 2004-HE2 A1 6.75% 144A ABS due 4/25/34;
$4,368,908 LBMLT 2002-2 M4A 5.10% CMO due 7/25/32;
$896,427 MSAC 2001-WF1 B1 5.20% ABS due 9/25/31;
and $2,898,204 SHARP 2003-6HEN N 7.25% 144A ABS due 11/25/33.. 46,000,000
The accompanying notes are an integral part of the financial statement.
15
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
Market
Par Value/ Value
Shares (Note 1)
------------------ ----------------
#$ 50,000,000 Nomura Securities International Inc. Repurchase Agreement,
2.925%, dated 3/31/05, due 4/01/05, with a repurchase price of
$50,004,063 and collateralized by
$2,463,018 CWHL 2003-J3 1A2 4.60% CMO due 5/25/33;
$2,114,146 CCMSC 1997-1 C 7.37% CMO due 6/19/29;
$4,117,158 CMAT 1999-C1 B 7.23% CMO due 1/17/32;
$4,237,988 GSMPS 2004-4 1AS 3.484% 144A CMO due 6/25/34;
$4,047,703 RAST 2003-A7 A3 0.65% CMO due 7/25/33;
$1,932,911 LBUBS 2000-C5 A1 6.41% CMO due 12/15/19;
$1,314,997 MASTR 2003-7 4A36 4.25% CMO due 9/25/33;
$2,755,785 MASTR 2003-7 4A46 4.70% CMO due 9/25/33;
$2,286,860 MSSTR 2003-1 3A3 5.25% CMO due 2/25/33;
$3,095,843 RALI 2002-QS19 A3 5.15% CMO due 12/25/32;
$2,236,555 RALI 2003-QS15 A5 5 1/2% CMO due 8/25/33;
$4,292,423 RFMSI 2003-S12 1A2 6.00% CMO due 12/25/32;
$4,524,289 RFMSI 2003-S19 A11 4.15% CMO due 10/25/33;
$2,597,419 RFMSI 2004-S9 1A2 4.35% CMO due 12/25/34;
$2,627,848 SBM7 2003-UP2 PO2 0.00% CMO due 6/25/33;
$2,555,919 SASC 2003-8 2A13 4.65% CMO due 4/25/33;
and $3,699,138 WAMU 2003-S4 2A4 5 1/2% CMO due 6/25/33............ $ 50,000,000
#5,000,000 Pitney Bowes Inc.
2.85%, due 4/01/05................................................ 5,000,000
#25,000,000 Sigma Finance Inc.
2.88%, due 5/03/05................................................ 25,000,000
#20,000,000 Tango Finance Corp.
2.805%, due 5/06/05............................................... 20,000,000
----------------
Total Money Market Instruments (Amortized Cost--$474,520,804)..... 474,520,804
----------------
Total Investments (Cost--$2,812,321,872).......................... $ 3,077,070,056
----------------
CASH AND OTHER ASSETS LESS LIABILITIES (36.0%)......................................... (681,468,862)
----------------
REMARKETED PREFERRED STOCK
($.001 par value per share; 100,000,000 shares authorized and 5,000 shares issued and
outstanding; liquidation preference $100,000 per share).............................. (500,000,000)
----------------
NET ASSETS APPLICABLE TO COMMON STOCK
(equivalent to $8.54 per share of common stock based on 221,966,221 shares of common
stock outstanding; authorized 250,000,000 shares).................................... $ 1,895,601,194
================
The accompanying notes are an integral part of the financial statement.
16
DNP SELECT INCOME FUND INC.
STATEMENT OF NET ASSETS--(Continued)
(UNAUDITED)
March 31, 2005
# This security was purchased with the cash proceeds from securities loans.
The percentage shown for each investment category is the total value of that
category as a percentage of the net assets applicable to common shares of the
Fund.
--------
(1)The market values for securities are determined as follows: Equity
securities traded on a national securities exchange or traded
over-the-counter and quoted on the NASDAQ System are valued at last sales
prices. Fixed income securities and any other securities for which it is
determined that market prices are unavailable or inappropriate are valued at
a fair value using a procedure determined in good faith by the Board of
Directors which includes the use of a pricing service. Each money market
instrument having a maturity of 60 days or less is valued on an amortized
cost basis, which approximates market value.
(2)At December 31, 2004, the Fund's most recent fiscal tax year end, based on a
tax cost of investments of $2,776,340,015, the Fund had gross unrealized
appreciation of $365,962,302 and unrealized depreciation of $32,560,868.
17
ITEM 2. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive officer and principal
financial officer have concluded that the registrant's disclosure controls
and procedures (as defined in Rule 30a-3(c) under the Investment Company
Act of 1940 (the "1940 Act")) are effective, based on an evaluation of
those controls and procedures made as of a date within 90 days of the
filing date of this report as required by Rule 30a-3(b) under the 1940 Act
and Rule 13a-15(b) under the Exchange Act.
(b) There has been no change in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the 1940 Act that
occurred during the registrant's last fiscal quarter that has materially
affected, or is reasonably likely to materially affect, the registrant's
internal control over financial reporting.
ITEM 3. EXHIBITS.
Exhibit 99. CERT Certifications pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002
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.
(Registrant) DNP SELECT INCOME FUND INC.
By (Signature and Title) /s/ Nathan I. Partain
-----------------------------------------
Nathan I. Partain
President and Chief Executive Officer
Date May 31, 2005
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By (Signature and Title) /s/ Nathan I. Partain
-----------------------------------------
Nathan I. Partain
President and Chief Executive Officer
Date May 31, 2005
By (Signature and Title) /s/ Joseph C. Curry, Jr.
-----------------------------------------
Joseph C. Curry, Jr.
Vice President and Treasurer
Date May 31, 2005