UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF
REGISTERED MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number: 811-00041
--------------------------------------------------------------------------------
GENERAL AMERICAN INVESTORS COMPANY, INC.
--------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
450 Lexington Avenue, Suite 3300, New York, NY 10017-3911
--------------------------------------------------------------------------------
(Address of principal executive offices)(Zip code)
Eugene S. Stark
General American Investors Company, Inc.
450 Lexington Avenue, Suite 3300
New York, NY 10017-3911
(Name and address of agent for service)
Registrant's telephone number, including area code: 212-916-8400
Date of fiscal year end: December 31
Date of reporting period: March 31, 2007
Item 1. SCHEDULE OF INVESTMENTS.
STATEMENT OF INVESTMENTS March 31, 2007 (Unaudited)
--------------------------------------------------------------------------------
General American Investors
Value
Shares COMMON AND PREFERRED STOCKS (note 1a)
------------------------------------------------------------------------------------------------------------------------------------
AEROSPACE/DEFENSE (1.9%
------------------------------------------------------------------------------------------------------------------------------------
250,000 Textron Inc. (COST $24,399,743) $22,450,000
-----------
BUILDING AND REAL ESTATE (6.0%)
------------------------------------------------------------------------------------------------------------------------------------
2,225,862 CEMEX, S.A. de C.V. ADR (COST $29,518,057) 72,896,981
----------
COMMUNICATIONS AND INFORMATION SERVICES (8.2%)
------------------------------------------------------------------------------------------------------------------------------------
100,000 American Tower Corporation (a) 3,895,000
900,000 Cisco Systems, Inc. (a) 22,977,000
324,100 Lamar Advertising Company Class A (a) 20,408,577
700,000 QUALCOMM Incorporated 29,862,000
1,185,000 Sprint Nextel Corporation 22,467,600
----------
(COST $74,880,765) 99,610,177
----------
COMPUTER SOFTWARE AND SYSTEMS (6.1%)
------------------------------------------------------------------------------------------------------------------------------------
700,000 Activision, Inc. (a) 13,258,000
1,051,000 Dell Inc. (a) 24,393,710
720,000 Microsoft Corporation 20,066,400
55,000 Nintendo Co., Ltd. 16,060,550
----------
(COST $68,567,277) 73,778,660
----------
CONSUMER PRODUCTS AND SERVICES (4.9%)
------------------------------------------------------------------------------------------------------------------------------------
350,000 Diageo plc ADR 28,332,500
300,000 Heineken N. V. 15,744,000
235,000 PepsiCo, Inc. 14,936,600
----------
(COST $41,172,775) 59,013,100
----------
ENVIRONMENTAL CONTROL (INCLUDING SERVICES) (4.1%)
------------------------------------------------------------------------------------------------------------------------------------
1,762,500 Republic Services, Inc. (COST $26,227,380) 49,032,750
----------
FINANCE AND INSURANCE (27.1%)
------------------------------------------------------------------------------------------------------------------------------------
BANKING (7.9%)
---------------------------------------------------------------------------------------------------------------------------------
270,000 Bank of America Corporation 13,775,400
300,000 M&T Bank Corporation 34,749,000
160,000 SunTrust Banks, Inc. 13,286,400
614,864 Wachovia Corporation 33,848,263
-----------
(COST $17,145,406) 95,659,063
-----------
INSURANCE (16.8%)
---------------------------------------------------------------------------------------------------------------------------------
285,000 The Allstate Corporation 17,117,100
335,000 American International Group, Inc. 22,518,700
275,000 Annuity and Life Re (Holdings), Ltd. (a) 151,250
335,000 Arch Capital Group Ltd. (a) 22,850,350
400,000 AXIS Capital Holdings Limited 13,544,000
275 Berkshire Hathaway Inc. Class A (a) 29,972,250
470,000 Everest Re Group, Ltd. 45,199,900
275,000 MetLife, Inc. 17,366,250
315,000 PartnerRe Ltd. 21,590,100
205,000 Transatlantic Holdings, Inc. 13,349,600
-----------
(COST $82,979,972) 203,659,500
-----------
OTHER (2.4%)
------------------------------------------------------------------------------------------------------------------------------------
10,000 Epoch Holding Corporation Series A Convertible Preferred 4.6% (d) 22,085,634
925,000 MFA Mortgage Investments, Inc. 7,122,500
-----------
(COST $16,936,916) 29,208,134
-----------
(COST $117,062,294) 328,526,697
-----------
STATEMENT OF INVESTMENTS March 31, 2007 (Unaudited) - continued
--------------------------------------------------------------------------------
General American Investors
Value
Shares COMMON AND PREFERRED STOCKS (continued) (note 1a)
------------------------------------------------------------------------------------------------------------------------------------
HEALTH CARE (8.0%)
------------------------------------------------------------------------------------------------------------------------------------
PHARMACEUTICALS (7.0%)
---------------------------------------------------------------------------------------------------------------------------------
100,000 Alkermes, Inc. (a) $1,544,000
170,000 Biogen Idec Inc. (a) 7,544,600
50,000 Cephalon, Inc. (a) 3,560,500
604,900 Cytokinetics, Incorporated (a) 4,210,104
200,000 Genentech, Inc. (a) 16,424,000
355,000 MedImmune, Inc. (a) 12,918,450
275,000 Novo Nordisk B 25,168,000
528,000 Pfizer Inc 13,337,280
----------
(COST $43,828,096) 84,706,934
----------
MEDICAL INSTRUMENTS AND DEVICES (1.0%)
---------------------------------------------------------------------------------------------------------------------------------
240,000 Medtronic, Inc. (COST $761,084) 11,774,400
----------
(COST $44,589,180) 96,481,334
----------
MACHINERY AND EQUIPMENT (1.6%)
------------------------------------------------------------------------------------------------------------------------------------
1,150,000 ABB Ltd. ADR (COST $12,430,211) 19,757,000
----------
MINING (1.2%)
------------------------------------------------------------------------------------------------------------------------------------
65,000 Rio Tinto plc ADR (COST $13,420,905) 14,807,650
----------
MISCELLANEOUS (4.8%)
------------------------------------------------------------------------------------------------------------------------------------
Other (b) (COST $55,946,999) 58,480,484
----------
OIL & NATURAL GAS (INCLUDING SERVICES) (17.8%)
------------------------------------------------------------------------------------------------------------------------------------
825,000 Apache Corporation 58,327,500
850,000 Halliburton Company 26,979,000
1,000,000 Patterson-UTI Energy, Inc. 22,440,000
3,000,000 Talisman Energy Inc. 52,680,000
1,220,000 Weatherford International Ltd. (a) 55,022,000
-----------
(COST $148,725,073) 215,448,500
-----------
RETAIL TRADE (18.2%)
------------------------------------------------------------------------------------------------------------------------------------
700,000 Costco Wholesale Corporation 37,688,000
1,975,000 Dollar General Corporation 41,771,250
1,570,000 The Home Depot, Inc. (c) 57,681,800
2,100,000 The TJX Companies, Inc. 56,616,000
575,000 Wal-Mart Stores, Inc. 26,996,250
-----------
(COST $77,709,438) 220,753,300
-----------
TECHNOLOGY (3.1%)
------------------------------------------------------------------------------------------------------------------------------------
2,250,000 Xerox Corporation (a) (COST $31,682,709) 38,002,500
-----------
TOTAL COMMON AND PREFERRED STOCKS (113.0%) (COST $766,332,806) 1,369,039,133
-------------
Principal Amount CORPORATE NOTE
------------------------------------------------------------------------------------------------------------------------------------
CONSUMER PRODUCTS AND SERVICES (2.5 %)
------------------------------------------------------------------------------------------------------------------------------------
$30,000,000 General Motors Nova Scotia Finance Company
6.85% Guaranteed Notes due 10/15/08 (COST $28,991,038) 29,700,000
----------
8 STATEMENT OF INVESTMENTS March 31, 2007 (Unaudited) - continued
--------------------------------------------------------------------------------
General American Investors
Value
Shares SHORT-TERM SECURITY AND OTHER ASSETS (note 1a)
-------------------------------------------------------------------------------------------------------------
3,780,151 SSgA Prime Money Market Fund (0.3%) (COST $3,780,151) $3,780,151
----------
TOTAL INVESTMENTS (e) (115.8%) (COST $799,103,995) 1,402,519,284
Cash, receivables and other assets less liabilities (0.7%) 8,688,264
PREFERRED STOCK (-16.5%) (200,000,000)
--------------
NET ASSETS APPLICABLE TO COMMON STOCK (100%) $1,211,207,548
==============
(a) Non-income producing security.
(b) Securities which have been held for less than one year.
(c) 1,000,000 shares held by custodian in a segregated custodian account as collateral for short positions, if any.
(d) Restricted security of an affiliate acquired 11/7/06.
(e) At March 31, 2007: (1) the cost of investments for Federal income tax purposes was the same as the cost for financial
reporting purposes, (2) aggregate gross unrealized appreciation was $609,061,061, (3) aggregate gross unrealized depreciation
was $5,645,772, and (4) net unrealized appreciation was $603,415,289.
(see notes to financial statements)
NOTES TO FINANCIAL STATEMENTS (Unaudited)
--------------------------------------------------------------------------------
General American Investors
General American Investors Company, Inc. (the "Company"), established in 1927,
is registered under the Investment Company Act of 1940 as a closed-end,
diversified management investment company. It is internally managed by its
officers under the direction of the Board of Directors.
1. SECURITY VALUATION
Securities traded on a national securities exchange are valued at the last
reported sales price on the last business day of the period. Securities reported
on the NASDAQ national market are valued at the official closing price on that
day. Listed and NASDAQ securities for which no sales are reported on that day
and other securities traded in the over-the-counter market are valued at the
last bid price on the valuation date. Securities traded primarily in foreign
markets are generally valued at the preceding closing price of such securities
on their respective exchanges or markets. If, after the close of the foreign
market, conditions change significantly, the price of certain foreign securities
may be adjusted to reflect fair value as of the time of the valuation of the
portfolio. Investments in money market funds are valued at their net asset
value. The restricted security is valued at par value (cost), divided by the
conversion price $6.00 multiplied by the last reported sales price of the
publicly traded common stock of the corporation.
ITEM 2. CONTROLS AND PROCEDURES.
Conclusions of principal officers concerning controls and procedures
(a) As of March 31, 2007, an evaluation was performed under the supervision
and with the participation of the officers of General American Investors
Company, Inc. (the "Registrant"), including the principal executive officer
("PEO") and principal financial officer ("PFO"), of the effectiveness of the
Registrant's disclosure controls and procedures. Based on that evaluation,
the Registrant's officers, including the PEO and PFO, concluded that, as of
March 31, 2007, the Registrant's disclosure controls and procedures were
reasonably designed so as to ensure: (1) that information required to be
disclosed by the Registrant on Form N-Q is recorded, processed, summarized and
reported within the time periods specified by the rules and forms of the
Securities and Exchange Commission; and (2) that material information relating
to the Registrant is made known to the PEO and PFO as appropriate to allow
timely decisions regarding required disclosure.
(b) There have been no significant changes in the Registrant's internal control
over financial reporting (as defined in Rule 30a-3(d) under the Investment
Company Act of 1940 (17 CFR 270.30a-3(d)) 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.
The certifications of the principal executive officer and principal
financial officer pursuant to Rule 30a-2(a)under the Investment Company
Act of 1940 are attached hereto as Exhibit 99 CERT.
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.
General American Investors Company, Inc.
By: /s/ Eugene S. Stark
Eugene S. Stark
Vice-President, Administration
Date: April 27, 2007
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.
By: /s/ Spencer Davidson
Spencer Davidson
Chairman of the Board,
President and Chief Executive Officer
(Principal Executive Officer)
Date: April 27, 2007
By: /s/ Eugene S. Stark
Eugene S. Stark
Vice-President, Administration
(Principal Financial Officer)
Date: April 27, 2007