OMB APPROVAL

OMB Number: 3235-0578
 
Expires: May 31, 2007
 
Estimated average burden hours per response: 21.09

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q/A

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT

INVESTMENT COMPANY

Investment Company Act file number 811-21507

Evergreen Utilities and High Income Fund

(Exact name of registrant as specified in charter)

200 Berkeley Street

Boston, Massachusetts 02116

(Address of principal executive offices) (Zip code)

Michael H. Koonce, Esq.

200 Berkeley Street

Boston, Massachusetts 02116

(Name and address of agent for service)

Registrant’s telephone number, including area code: (617) 210-3200

Date of fiscal year end:

Registrant is making a quarterly filing for one of its series, Evergreen Utilities and High Income Fund, for the quarter ended November 30, 2009. These series have August 31 fiscal year end.

Date of reporting period: November 30, 2009

 


Item 1 – Schedule of Investments

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    29.4%

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY    3.9%

 

 

 

 

 

 

 

Auto Components    0.4%

 

 

 

 

 

 

 

Cooper Tire & Rubber Co., 7.625%, 03/15/2027

 

$

240,000

 

$

205,500

 

Goodyear Tire & Rubber Co.:

 

 

 

 

 

 

 

7.86%, 08/15/2011

 

 

140,000

 

 

144,200

 

8.625%, 12/01/2011

 

 

25,000

 

 

25,719

 

9.00%, 07/01/2015

 

 

25,000

 

 

25,687

 

10.50%, 05/15/2016

 

 

60,000

 

 

64,800

 

 

 

 

 

 

 

465,906

 

Diversified Consumer Services    0.5%

 

 

 

 

 

 

 

Carriage Services, Inc., 7.875%, 01/15/2015

 

 

140,000

 

 

132,300

 

Service Corporation International:

 

 

 

 

 

 

 

6.75%, 04/01/2015

 

 

10,000

 

 

9,700

 

7.50%, 04/01/2027

 

 

70,000

 

 

61,950

 

8.00%, 11/15/2021

 

 

40,000

 

 

39,400

 

StoneMor Partners, LP, 10.25%, 12/01/2017 144A

 

 

255,000

 

 

253,725

 

 

 

 

 

 

 

497,075

 

Hotels, Restaurants & Leisure    0.7%

 

 

 

 

 

 

 

Boyd Gaming Corp.:

 

 

 

 

 

 

 

7.125%, 02/01/2016

 

 

45,000

 

 

36,900

 

7.75%, 12/15/2012

 

 

15,000

 

 

15,000

 

Caesars Entertainment, Inc., 7.875%, 03/15/2010

 

 

95,000

 

 

95,000

 

Hyatt Hotels Corp., 6.875%, 08/15/2019 144A

 

 

125,000

 

 

129,454

 

Inn of the Mountain Gods Resort & Casino, 12.00%, 11/15/2010 + •

 

 

110,000

 

 

44,550

 

Landry’s Restaurants, Inc., 11.625%, 12/01/2015 144A

 

 

75,000

 

 

76,687

 

MGM MIRAGE, 11.125%, 11/15/2017 144A

 

 

35,000

 

 

38,500

 

Pokagon Gaming Authority, 10.375%, 06/15/2014 144A

 

 

7,000

 

 

7,333

 

Scientific Games Corp., 9.25%, 06/15/2019 144A

 

 

35,000

 

 

36,531

 

Seneca Gaming Corp., 7.25%, 05/01/2012

 

 

15,000

 

 

14,775

 

Shingle Springs Tribal Gaming Authority, 9.375%, 06/15/2015 144A

 

 

130,000

 

 

94,900

 

Speedway Motorsports, Inc., 8.75%, 06/01/2016

 

 

120,000

 

 

127,200

 

Wynn Resorts, Ltd., 7.875%, 11/01/2017 144A

 

 

5,000

 

 

5,000

 

 

 

 

 

 

 

721,830

 

Household Durables    0.7%

 

 

 

 

 

 

 

D.R. Horton, Inc., 9.75%, 09/15/2010

 

 

290,000

 

 

303,050

 

Lennar Corp.:

 

 

 

 

 

 

 

5.125%, 10/01/2010

 

 

95,000

 

 

95,475

 

12.25%, 06/01/2017

 

 

5,000

 

 

6,000

 

Libbey, Inc., FRN, 8.26%, 06/01/2011

 

 

75,000

 

 

72,656

 

Meritage Homes Corp., 7.00%, 05/01/2014

 

 

50,000

 

 

47,750

 

Newell Rubbermaid, Inc., 10.60%, 04/15/2019

 

 

125,000

 

 

159,299

 

Sealy Corp., 10.875%, 04/15/2016 144A

 

 

10,000

 

 

11,050

 

 

 

 

 

 

 

695,280

 

Internet & Catalog Retail    0.2%

 

 

 

 

 

 

 

Netflix, Inc., 8.50%, 11/15/2017 144A

 

 

10,000

 

 

10,300

 

QVC, Inc., 7.50%, 10/01/2019 144A

 

 

140,000

 

 

140,700

 

Ticketmaster Entertainment, Inc., 10.75%, 08/01/2016

 

 

60,000

 

 

62,400

 

 

 

 

 

 

 

213,400

 

Media    0.8%

 

 

 

 

 

 

 

Belo Corp., Ser. A, 8.00%, 11/15/2016

 

 

10,000

 

 

10,113

 

Cablevision Systems Corp., 8.625%, 09/15/2017 144A

 

 

15,000

 

 

15,450

 

CBS Corp., 8.875%, 05/15/2019

 

 

5,000

 

 

5,819

 

Charter Communications, Inc., Step Bond:

 

 

 

 

 

 

 

10.00%, 04/30/2012 144A ††

 

 

90,000

 

 

92,025

 

10.875%, 09/15/2014 144A ††

 

 

375,000

 

 

419,531

 

 

 

 

1

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY    continued

 

 

 

 

 

 

 

Media    continued

 

 

 

 

 

 

 

DirectTV Holdings, LLC, 7.625%, 05/15/2016

 

$

10,000

 

$

10,789

 

Dish Network Corp., 7.875%, 09/01/2019 144A

 

 

135,000

 

 

136,687

 

Lamar Media Corp.:

 

 

 

 

 

 

 

6.625%, 08/15/2015

 

 

10,000

 

 

9,550

 

7.25%, 01/01/2013

 

 

35,000

 

 

34,562

 

9.75%, 04/01/2014

 

 

5,000

 

 

5,475

 

Salem Communications Corp., 9.625%, 12/15/2016 144A

 

 

90,000

 

 

92,475

 

UPC Germany GmbH, 8.125%, 12/01/2017 144A

 

 

25,000

 

 

25,105

 

WMG Acquisition Corp., 9.50%, 06/15/2016 144A

 

 

5,000

 

 

5,400

 

 

 

 

 

 

 

862,981

 

Multiline Retail    0.1%

 

 

 

 

 

 

 

Macy’s, Inc.:

 

 

 

 

 

 

 

5.90%, 12/01/2016

 

 

5,000

 

 

4,750

 

8.875%, 07/15/2015

 

 

75,000

 

 

80,063

 

 

 

 

 

 

 

84,813

 

Specialty Retail    0.2%

 

 

 

 

 

 

 

American Achievement Corp., 8.25%, 04/01/2012 144A

 

 

240,000

 

 

239,400

 

Colt Defense, Inc., 8.75%, 11/15/2017 144A

 

 

20,000

 

 

20,200

 

 

 

 

 

 

 

259,600

 

Textiles, Apparel & Luxury Goods    0.3%

 

 

 

 

 

 

 

Oxford Industries, Inc., 11.375%, 07/15/2015

 

 

195,000

 

 

213,525

 

Visant Corp., 7.625%, 10/01/2012

 

 

135,000

 

 

136,350

 

 

 

 

 

 

 

349,875

 

CONSUMER STAPLES    0.9%

 

 

 

 

 

 

 

Food Products    0.6%

 

 

 

 

 

 

 

Del Monte Foods Co.:

 

 

 

 

 

 

 

6.75%, 02/15/2015

 

 

5,000

 

 

5,050

 

7.50%, 10/15/2019 144A

 

 

175,000

 

 

177,625

 

Dole Food Company, Inc.:

 

 

 

 

 

 

 

8.00%, 10/01/2016 144A

 

 

55,000

 

 

55,825

 

13.875%, 03/15/2014 144A

 

 

166,000

 

 

195,880

 

Smithfield Foods, Inc., 7.00%, 08/01/2011

 

 

115,000

 

 

113,562

 

Tyson Foods, Inc.:

 

 

 

 

 

 

 

7.85%, 04/01/2016

 

 

40,000

 

 

40,700

 

10.50%, 03/01/2014

 

 

5,000

 

 

5,675

 

 

 

 

 

 

 

594,317

 

Tobacco    0.3%

 

 

 

 

 

 

 

Altria Group, Inc., 10.20%, 02/06/2039

 

 

235,000

 

 

309,851

 

ENERGY    5.2%

 

 

 

 

 

 

 

Energy Equipment & Services    1.5%

 

 

 

 

 

 

 

Bristow Group, Inc.:

 

 

 

 

 

 

 

6.125%, 06/15/2013

 

 

10,000

 

 

9,725

 

7.50%, 09/15/2017

 

 

240,000

 

 

233,280

 

Forbes Energy Services, Ltd., 11.00%, 02/15/2015

 

 

190,000

 

 

167,200

 

GulfMark Offshore, Inc., 7.75%, 07/15/2014

 

 

225,000

 

 

223,875

 

Hercules Offshore, Inc., 10.50%, 10/15/2017 144A

 

 

55,000

 

 

55,756

 

Hornbeck Offshore Services, Inc.:

 

 

 

 

 

 

 

8.00%, 09/01/2017 144A

 

 

185,000

 

 

184,075

 

Ser. B, 6.125%, 12/01/2014

 

 

250,000

 

 

234,688

 

Parker Drilling Co., 9.625%, 10/01/2013

 

 

104,000

 

 

106,600

 

PHI, Inc., 7.125%, 04/15/2013

 

 

235,000

 

 

226,481

 

Pride International, Inc., 8.50%, 06/15/2019

 

 

100,000

 

 

111,250

 

SEACOR Holdings, Inc., 7.375%, 10/01/2019

 

 

55,000

 

 

57,616

 

 

 

 

 

 

 

1,610,546

 

 

 

2

 

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

ENERGY    continued

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels    3.7%

 

 

 

 

 

 

 

Alon Refining Krotz Springs, Inc., 13.50%, 10/15/2014 144A

 

$

95,000

 

$

90,250

 

Arch Coal, Inc., 8.75%, 08/01/2016 144A

 

 

5,000

 

 

5,175

 

Chesapeake Energy Corp.:

 

 

 

 

 

 

 

6.875%, 01/15/2016

 

 

569,000

 

 

549,085

 

9.50%, 02/15/2015

 

 

145,000

 

 

152,612

 

Cloud Peak Enrgy, Inc., 8.25%, 12/15/2017 144A

 

 

5,000

 

 

5,075

 

El Paso Corp.:

 

 

 

 

 

 

 

7.42%, 02/15/2037

 

 

240,000

 

 

213,830

 

12.00%, 12/12/2013

 

 

45,000

 

 

51,637

 

Exco Resources, Inc., 7.25%, 01/15/2011

 

 

315,000

 

 

315,000

 

Ferrellgas Partners, LP:

 

 

 

 

 

 

 

8.75%, 06/15/2012

 

 

50,000

 

 

50,375

 

9.125%, 10/01/2017 144A

 

 

40,000

 

 

41,800

 

Forest Oil Corp.:

 

 

 

 

 

 

 

7.25%, 06/15/2019

 

 

120,000

 

 

114,300

 

8.50%, 02/15/2014 144A

 

 

75,000

 

 

77,062

 

Frontier Oil Corp., 6.625%, 10/01/2011

 

 

160,000

 

 

160,800

 

Holly Corp., 9.875%, 06/15/2017 144A

 

 

200,000

 

 

208,500

 

Newfield Exploration Co., 6.625%, 04/15/2016

 

 

15,000

 

 

14,850

 

North American Energy Alliance, LLC, 10.875%, 06/01/2016 144A

 

 

5,000

 

 

5,238

 

Nustar Logistics, LP, 7.65%, 04/15/2018

 

 

60,000

 

 

67,588

 

Peabody Energy Corp.:

 

 

 

 

 

 

 

5.875%, 04/15/2016

 

 

130,000

 

 

126,750

 

7.875%, 11/01/2026

 

 

370,000

 

 

366,300

 

Penn Virginia Corp., 10.375%, 06/15/2016

 

 

10,000

 

 

10,825

 

Petrohawk Energy Corp.:

 

 

 

 

 

 

 

7.875%, 06/01/2015

 

 

130,000

 

 

130,325

 

10.50%, 08/01/2014

 

 

60,000

 

 

65,250

 

Pioneer Natural Resources Co., 7.50%, 01/15/2020

 

 

100,000

 

 

98,750

 

Plains Exploration & Production Co., 8.625%, 10/15/2019

 

 

335,000

 

 

337,512

 

Range Resources Corp., 8.00%, 05/15/2019

 

 

5,000

 

 

5,250

 

Sabine Pass LNG, LP:

 

 

 

 

 

 

 

7.25%, 11/30/2013

 

 

180,000

 

 

160,650

 

7.50%, 11/30/2016

 

 

110,000

 

 

91,850

 

SandRidge Energy, Inc., 8.00%, 06/01/2018 144A

 

 

5,000

 

 

4,738

 

Southwestern Energy Co., 7.50%, 02/01/2018

 

 

140,000

 

 

145,250

 

Tesoro Corp.:

 

 

 

 

 

 

 

6.50%, 06/01/2017

 

 

55,000

 

 

49,638

 

7.50%, 07/17/2012

 

 

70,000

 

 

65,250

 

9.75%, 06/01/2019

 

 

95,000

 

 

96,900

 

Williams Cos.:

 

 

 

 

 

 

 

8.125%, 03/15/2012

 

 

60,000

 

 

66,136

 

8.75%, 01/15/2020

 

 

10,000

 

 

11,708

 

 

 

 

 

 

 

3,956,259

 

FINANCIALS    4.5%

 

 

 

 

 

 

 

Capital Markets    0.1%

 

 

 

 

 

 

 

E*TRADE Financial Corp., 12.50%, 11/30/2017

 

 

64,000

 

 

72,320

 

Commercial Banks    0.2%

 

 

 

 

 

 

 

CapitalSource, Inc., 12.75%, 07/15/2014 144A

 

 

170,000

 

 

179,562

 

Discover Bank, 8.70%, 11/18/2019

 

 

25,000

 

 

26,389

 

Zions Bancorp, 7.75%, 09/23/2014

 

 

20,000

 

 

17,817

 

 

 

 

 

 

 

223,768

 

 

 

 

3

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

FINANCIALS    continued

 

 

 

 

 

 

 

Consumer Finance    2.8%

 

 

 

 

 

 

 

Calpine Construction Finance Corp., 8.00%, 06/01/2016 144A

 

$

5,000

 

$

5,050

 

Discover Financial Services, 10.25%, 07/15/2019

 

 

105,000

 

 

123,520

 

Ford Motor Credit Co., LLC:

 

 

 

 

 

 

 

9.75%, 09/15/2010

 

 

155,000

 

 

159,322

 

9.875%, 08/10/2011

 

 

235,000

 

 

243,978

 

GMAC, LLC:

 

 

 

 

 

 

 

6.75%, 12/01/2014 144A

 

 

36,000

 

 

32,580

 

6.875%, 09/15/2011 144A

 

 

76,000

 

 

73,910

 

6.875%, 08/28/2012 144A

 

 

351,000

 

 

336,082

 

8.00%, 12/31/2018 144A

 

 

101,000

 

 

84,840

 

8.00%, 11/01/2031 144A

 

 

275,000

 

 

238,563

 

International Lease Finance Corp.:

 

 

 

 

 

 

 

4.75%, 01/13/2012

 

 

70,000

 

 

59,737

 

5.125%, 11/01/2010

 

 

60,000

 

 

57,735

 

JBS USA Finance, Inc., 11.625%, 05/01/2014 144A

 

 

375,000

 

 

418,594

 

NiSource Finance Corp., 10.75%, 03/15/2016

 

 

410,000

 

 

496,521

 

Sprint Capital Corp.:

 

 

 

 

 

 

 

6.875%, 11/15/2028

 

 

645,000

 

 

486,975

 

7.625%, 01/30/2011

 

 

160,000

 

 

162,400

 

 

 

 

 

 

 

2,979,807

 

Diversified Financial Services    0.7%

 

 

 

 

 

 

 

CEDC Financial Corporation International, Inc., 9.125%, 12/01/2016 144A

 

 

100,000

 

 

100,500

 

Citigroup, Inc., 8.50%, 05/22/2019

 

 

30,000

 

 

33,938

 

Leucadia National Corp.:

 

 

 

 

 

 

 

7.00%, 08/15/2013

 

 

65,000

 

 

65,569

 

7.125%, 03/15/2017

 

 

230,000

 

 

217,063

 

8.125%, 09/15/2015

 

 

313,000

 

 

318,477

 

 

 

 

 

 

 

735,547

 

Real Estate Investment Trusts (REITs)    0.6%

 

 

 

 

 

 

 

Host Marriott Corp.:

 

 

 

 

 

 

 

7.125%, 11/01/2013

 

 

95,000

 

 

94,762

 

9.00%, 05/15/2017 144A

 

 

30,000

 

 

31,725

 

Omega Healthcare Investors, Inc., 7.00%, 04/01/2014

 

 

195,000

 

 

190,125

 

Potlatch Corp., 7.50%, 11/01/2019 144A

 

 

85,000

 

 

86,275

 

Ventas, Inc.:

 

 

 

 

 

 

 

6.75%, 04/01/2017

 

 

67,000

 

 

63,985

 

7.125%, 06/01/2015

 

 

196,000

 

 

194,040

 

9.00%, 05/01/2012

 

 

65,000

 

 

68,494

 

 

 

 

 

 

 

729,406

 

Thrifts & Mortgage Finance    0.1%

 

 

 

 

 

 

 

Residential Capital, LLC, 8.50%, 05/15/2010

 

 

90,000

 

 

79,650

 

HEALTH CARE    1.3%

 

 

 

 

 

 

 

Biotechnology    0.1%

 

 

 

 

 

 

 

Talecris Biotherapeutics Holdings Corp., 7.75%, 11/15/2016 144A

 

 

55,000

 

 

56,375

 

Health Care Equipment & Supplies    0.0%

 

 

 

 

 

 

 

Biomet, Inc., 10.375%, 10/15/2017

 

 

30,000

 

 

32,325

 

Universal Hospital Services, Inc., 8.50%, 06/01/2015

 

 

12,000

 

 

11,880

 

 

 

 

 

 

 

44,205

 

Health Care Providers & Services    1.0%

 

 

 

 

 

 

 

Apria Healthcare Group:

 

 

 

 

 

 

 

11.25%, 11/01/2014 144A

 

 

65,000

 

 

71,500

 

12.375%, 11/01/2014 144A

 

 

15,000

 

 

16,463

 

 

 

4

 

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

HEALTH CARE    continued

 

 

 

 

 

 

 

Health Care Providers & Services    continued

 

 

 

 

 

 

 

HCA, Inc.:

 

 

 

 

 

 

 

8.50%, 04/15/2019 144A

 

$

250,000

 

$

265,000

 

9.25%, 11/15/2016

 

 

400,000

 

 

424,000

 

9.625%, 11/15/2016

 

 

129,000

 

 

137,869

 

Omnicare, Inc., 6.125%, 06/01/2013

 

 

165,000

 

 

158,812

 

 

 

 

 

 

 

1,073,644

 

Life Sciences Tools & Services    0.2%

 

 

 

 

 

 

 

Bio-Rad Laboratories, Inc.:

 

 

 

 

 

 

 

7.50%, 08/15/2013

 

 

15,000

 

 

15,375

 

8.00%, 09/15/2016 144A

 

 

145,000

 

 

151,525

 

 

 

 

 

 

 

166,900

 

INDUSTRIALS    3.2%

 

 

 

 

 

 

 

Aerospace & Defense    1.8%

 

 

 

 

 

 

 

Alliant Techsystems, Inc., 6.75%, 04/01/2016

 

 

215,000

 

 

213,387

 

GeoEye, Inc., 9.625%, 10/01/2015 144A

 

 

20,000

 

 

20,850

 

Hexcel Corp., 6.75%, 02/01/2015

 

 

190,000

 

 

181,925

 

L-3 Communications Holdings, Inc.:

 

 

 

 

 

 

 

5.20%, 10/15/2019 144A

 

 

5,000

 

 

5,094

 

5.875%, 01/15/2015

 

 

1,071,000

 

 

1,054,935

 

6.375%, 10/15/2015

 

 

315,000

 

 

311,456

 

Spirit AeroSystems Holdings, Inc., 7.50%, 10/01/2017 144A

 

 

35,000

 

 

34,475

 

TransDigm Group, Inc., 7.75%, 07/15/2014 144A

 

 

35,000

 

 

35,350

 

Triumph Group, Inc., 8.00%, 11/15/2017 144A

 

 

35,000

 

 

35,175

 

 

 

 

 

 

 

1,892,647

 

Airlines    0.1%

 

 

 

 

 

 

 

Delta Air Lines, Inc., 9.50%, 09/15/2014 144A

 

 

70,000

 

 

71,400

 

United Airlines, Inc., 10.40%, 05/01/2018

 

 

85,000

 

 

88,666

 

 

 

 

 

 

 

160,066

 

Commercial Services & Supplies    0.7%

 

 

 

 

 

 

 

Allied Waste North America, Inc., 6.875%, 06/01/2017

 

 

5,000

 

 

5,302

 

Browning-Ferris Industries, Inc., 9.25%, 05/01/2021

 

 

185,000

 

 

230,199

 

Cornell Companies, Inc., 10.75%, 07/01/2012

 

 

15,000

 

 

15,375

 

Corrections Corporation of America:

 

 

 

 

 

 

 

6.25%, 03/15/2013

 

 

60,000

 

 

60,375

 

6.75%, 01/31/2014

 

 

35,000

 

 

35,087

 

7.75%, 06/01/2017

 

 

225,000

 

 

235,125

 

DigitalGlobe, Inc., 10.50%, 05/01/2014 144A

 

 

25,000

 

 

26,875

 

Geo Group, Inc., 7.75%, 10/15/2017 144A

 

 

90,000

 

 

91,800

 

SGS International, Inc., Sr. Note, 12.00%, 12/15/2013

 

 

70,000

 

 

71,400

 

 

 

 

 

 

 

771,538

 

Machinery    0.5%

 

 

 

 

 

 

 

Commercial Vehicle Group, Inc., 11.00%, 02/15/2013 144A +

 

 

340,000

 

 

298,350

 

CPM Holdings, Inc., 10.625%, 09/01/2014 144A

 

 

105,000

 

 

110,250

 

Navistar International Corp., 8.25%, 11/01/2021

 

 

15,000

 

 

14,813

 

Viasystem Group, Inc., 12.00%, 01/15/2015 144A

 

 

115,000

 

 

117,587

 

 

 

 

 

 

 

541,000

 

Trading Companies & Distributors    0.1%

 

 

 

 

 

 

 

United Rentals North America, Inc.:

 

 

 

 

 

 

 

6.50%, 02/15/2012

 

 

50,000

 

 

49,687

 

10.875%, 06/15/2016 144A

 

 

5,000

 

 

5,338

 

 

 

 

 

 

 

55,025

 

 

 

 

5

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY    1.3%

 

 

 

 

 

 

 

Communications Equipment    0.1%

 

 

 

 

 

 

 

EchoStar Corp.:

 

 

 

 

 

 

 

6.625%, 10/01/2014

 

$

15,000

 

$

14,737

 

7.75%, 05/31/2015

 

 

40,000

 

 

40,800

 

 

 

 

 

 

 

55,537

 

Electronic Equipment, Instruments & Components    1.1%

 

 

 

 

 

 

 

Anixter International, Inc., 10.00%, 03/15/2014

 

 

190,000

 

 

208,525

 

Da-Lite Screen Co., Inc., 9.50%, 05/15/2011

 

 

165,000

 

 

162,937

 

Jabil Circuit, Inc., 8.25%, 03/15/2018

 

 

675,000

 

 

716,344

 

Sanmina-SCI Corp., 8.125%, 03/01/2016

 

 

50,000

 

 

48,875

 

 

 

 

 

 

 

1,136,681

 

Internet Software & Services    0.1%

 

 

 

 

 

 

 

Terremark Worldwide, Inc., 12.00%, 06/15/2017 144A

 

 

115,000

 

 

126,069

 

Semiconductors & Semiconductor Equipment    0.0%

 

 

 

 

 

 

 

National Semiconductor Corp., 6.60%, 06/15/2017

 

 

5,000

 

 

5,103

 

MATERIALS    1.9%

 

 

 

 

 

 

 

Chemicals    0.7%

 

 

 

 

 

 

 

Dow Chemical Co., 8.55%, 05/15/2019

 

 

105,000

 

 

124,303

 

Huntsman International, LLC:

 

 

 

 

 

 

 

5.50%, 06/30/2016 144A

 

 

75,000

 

 

65,437

 

7.375%, 01/01/2015

 

 

10,000

 

 

9,350

 

Koppers Holdings, Inc.:

 

 

 

 

 

 

 

7.875%, 12/01/2019 144A

 

 

30,000

 

 

30,150

 

Sr. Disc. Note, Step Bond, 9.875%, 11/15/2014 †

 

 

265,000

 

 

278,250

 

Mosaic Co.:

 

 

 

 

 

 

 

7.30%, 01/15/2028

 

 

155,000

 

 

162,750

 

7.625%, 12/01/2016 144A

 

 

58,000

 

 

62,242

 

Nalco Holding Co., 8.25%, 05/15/2017 144A

 

 

5,000

 

 

5,238

 

SOLUTIA, Inc., 8.75%, 11/01/2017

 

 

5,000

 

 

5,225

 

 

 

 

 

 

 

742,945

 

Construction Materials    0.3%

 

 

 

 

 

 

 

CPG International, Inc.:

 

 

 

 

 

 

 

10.50%, 07/01/2013

 

 

140,000

 

 

127,750

 

FRN, 7.87%, 07/01/2012

 

 

40,000

 

 

36,500

 

Headwaters, Inc., 11.375%, 11/01/2014 144A

 

 

60,000

 

 

61,650

 

Texas Industries, Inc., 7.25%, 07/15/2013

 

 

65,000

 

 

63,212

 

 

 

 

 

 

 

289,112

 

Containers & Packaging    0.2%

 

 

 

 

 

 

 

Ball Corp., 7.125%, 09/01/2016

 

 

15,000

 

 

15,450

 

Exopack Holding Corp., 11.25%, 02/01/2014

 

 

215,000

 

 

220,913

 

Silgan Holdings, Inc., 7.25%, 08/15/2016

 

 

40,000

 

 

40,650

 

 

 

 

 

 

 

277,013

 

Metals & Mining    0.3%

 

 

 

 

 

 

 

AK Steel Corp., 7.75%, 06/15/2012

 

 

45,000

 

 

45,450

 

Freeport-McMoRan Copper & Gold, Inc.:

 

 

 

 

 

 

 

8.25%, 04/01/2015

 

 

40,000

 

 

42,946

 

8.375%, 04/01/2017

 

 

185,000

 

 

199,844

 

 

 

 

 

 

 

288,240

 

Paper & Forest Products    0.4%

 

 

 

 

 

 

 

Clearwater Paper Corp., 10.625%, 06/15/2016 144A

 

 

70,000

 

 

77,350

 

Georgia Pacific Corp.:

 

 

 

 

 

 

 

8.125%, 05/15/2011

 

 

120,000

 

 

126,900

 

8.25%, 05/01/2016 144A

 

 

5,000

 

 

5,325

 

8.875%, 05/15/2031

 

 

25,000

 

 

26,625

 

 

 

6

 

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

MATERIALS    continued

 

 

 

 

 

 

 

Paper & Forest Products    continued

 

 

 

 

 

 

 

International Paper Co.:

 

 

 

 

 

 

 

7.30%, 11/15/2039

 

$

40,000

 

$

39,896

 

9.375%, 05/15/2019

 

 

130,000

 

 

161,558

 

 

 

 

 

 

 

437,654

 

TELECOMMUNICATION SERVICES    3.3%

 

 

 

 

 

 

 

Diversified Telecommunication Services    1.7%

 

 

 

 

 

 

 

Cincinnati Bell, Inc., 8.25%, 10/15/2017

 

 

120,000

 

 

119,700

 

Citizens Communications Co., 7.875%, 01/15/2027

 

 

220,000

 

 

200,200

 

Clearwire Corp., Class A, 12.00%, 12/01/2015 144A

 

 

130,000

 

 

128,050

 

FairPoint Communications, Inc., 13.125%, 04/01/2018

 

 

55,000

 

 

8,250

 

Frontier Communications Corp.:

 

 

 

 

 

 

 

8.125%, 10/01/2018

 

 

145,000

 

 

146,087

 

8.25%, 05/01/2014

 

 

140,000

 

 

144,550

 

Global Crossing, Ltd., 12.00%, 09/15/2015 144A

 

 

5,000

 

 

5,350

 

Qwest Corp.:

 

 

 

 

 

 

 

7.125%, 11/15/2043

 

 

120,000

 

 

92,400

 

7.25%, 09/15/2025

 

 

25,000

 

 

22,125

 

7.50%, 06/15/2023

 

 

180,000

 

 

165,600

 

8.875%, 03/15/2012

 

 

615,000

 

 

655,744

 

Sprint Capital Corp., 8.375%, 03/15/2012

 

 

65,000

 

 

66,788

 

Windstream Corp., 7.875%, 11/01/2017 144A

 

 

95,000

 

 

95,000

 

 

 

 

 

 

 

1,849,844

 

Wireless Telecommunication Services    1.6%

 

 

 

 

 

 

 

CC Holdings GS V, LLC, 7.75%, 05/01/2017 144A

 

 

5,000

 

 

5,313

 

Centennial Communications Corp., 8.125%, 02/01/2014

 

 

440,000

 

 

458,700

 

Cricket Communications, Inc.:

 

 

 

 

 

 

 

7.75%, 05/15/2016 144A

 

 

105,000

 

 

104,212

 

9.375%, 11/01/2014

 

 

80,000

 

 

77,400

 

Crown Castle International Corp., 7.125%, 11/01/2019

 

 

10,000

 

 

9,975

 

MetroPCS Communications, Inc., 9.25%, 11/01/2014

 

 

190,000

 

 

191,425

 

Sprint Nextel Corp.:

 

 

 

 

 

 

 

6.90%, 05/01/2019

 

 

80,000

 

 

70,200

 

Ser. D, 7.375%, 08/01/2015

 

 

455,000

 

 

423,150

 

Ser. F, 5.95%, 03/15/2014

 

 

335,000

 

 

304,850

 

 

 

 

 

 

 

1,645,225

 

UTILITIES    3.9%

 

 

 

 

 

 

 

Electric Utilities    2.3%

 

 

 

 

 

 

 

Aquila, Inc., Step Bond, 11.875%, 07/01/2012 ††

 

 

794,000

 

 

923,839

 

CMS Energy Corp.:

 

 

 

 

 

 

 

8.50%, 04/15/2011

 

 

65,000

 

 

68,098

 

8.75%, 06/15/2019

 

 

20,000

 

 

22,100

 

Energy Future Holdings Corp., 11.25%, 11/01/2017

 

 

215,710

 

 

133,740

 

Mirant Americas Generation, LLC, 8.50%, 10/01/2021

 

 

10,000

 

 

9,100

 

Mirant Mid-Atlantic, LLC, Ser. C, 10.06%, 12/30/2028

 

 

438,432

 

 

451,037

 

Mirant North America, LLC, 7.375%, 12/31/2013

 

 

170,000

 

 

168,300

 

NRG Energy, Inc.:

 

 

 

 

 

 

 

7.375%, 02/01/2016

 

 

110,000

 

 

109,725

 

8.50%, 06/15/2019

 

 

75,000

 

 

76,125

 

Orion Power Holdings, Inc., 12.00%, 05/01/2010

 

 

397,000

 

 

409,903

 

Public Service Company of New Mexico, 7.95%, 04/01/2015

 

 

15,000

 

 

15,725

 

Reliant Energy Mid-Atlantic Power Holdings, LLC, 9.24%, 07/02/2017

 

 

115,679

 

 

118,571

 

 

 

 

 

 

 

2,506,263

 

 

 

 

7

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

CORPORATE BONDS    continued

 

 

 

 

 

 

 

UTILITIES    continued

 

 

 

 

 

 

 

Gas Utilities    0.3%

 

 

 

 

 

 

 

National Fuel Gas Co., 8.75%, 05/01/2019

 

$

235,000

 

$

284,358

 

Independent Power Producers & Energy Traders    0.9%

 

 

 

 

 

 

 

AES Corp.:

 

 

 

 

 

 

 

8.00%, 06/01/2020

 

 

5,000

 

 

4,975

 

8.875%, 02/15/2011

 

 

95,000

 

 

98,563

 

Dynegy Holdings, Inc.:

 

 

 

 

 

 

 

6.875%, 04/01/2011

 

 

120,000

 

 

122,100

 

7.125%, 05/15/2018

 

 

25,000

 

 

18,875

 

7.625%, 10/15/2026

 

 

225,000

 

 

147,375

 

RRI Energy, Inc.:

 

 

 

 

 

 

 

6.75%, 12/15/2014

 

 

426,000

 

 

434,520

 

7.625%, 06/15/2014

 

 

145,000

 

 

141,375

 

7.875%, 06/15/2017

 

 

30,000

 

 

28,725

 

 

 

 

 

 

 

996,508

 

Multi-Utilities    0.4%

 

 

 

 

 

 

 

PNM Resources, Inc., 9.25%, 05/15/2015

 

 

60,000

 

 

62,400

 

Texas-New Mexico Power Co., 9.50%, 04/01/2019 144A

 

 

270,000

 

 

335,052

 

 

 

 

 

 

 

397,452

 

Total Corporate Bonds    (cost $29,465,264)

 

 

 

 

 

31,241,635

 

YANKEE OBLIGATIONS – CORPORATE    2.7%

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY    0.0%

 

 

 

 

 

 

 

Hotels, Restaurants & Leisure    0.0%

 

 

 

 

 

 

 

Norwegian Cruise Line, Ltd., 11.75%, 11/15/2016 144A

 

 

15,000

 

 

14,869

 

Media    0.0%

 

 

 

 

 

 

 

MDC Partners, Inc., 11.00%, 11/01/2016 144A

 

 

5,000

 

 

5,012

 

Videotron, Ltd.:

 

 

 

 

 

 

 

9.125%, 04/15/2018 144A

 

 

5,000

 

 

5,375

 

9.125%, 04/15/2018

 

 

15,000

 

 

16,125

 

 

 

 

 

 

 

26,512

 

ENERGY    0.3%

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels    0.3%

 

 

 

 

 

 

 

Connacher Oil & Gas, Ltd.:

 

 

 

 

 

 

 

10.25%, 12/15/2015 144A

 

 

55,000

 

 

47,850

 

11.75%, 07/15/2014 144A

 

 

20,000

 

 

21,900

 

Griffin Coal Mining Co., Ltd., 9.50%, 12/01/2016 144A

 

 

281,000

 

 

148,930

 

OPTI Canada, Inc., 7.875%, 12/15/2014

 

 

100,000

 

 

80,000

 

 

 

 

 

 

 

298,680

 

FINANCIALS    0.4%

 

 

 

 

 

 

 

Consumer Finance    0.1%

 

 

 

 

 

 

 

Petroplus Finance, Ltd., 6.75%, 05/01/2014 144A

 

 

5,000

 

 

4,725

 

Wind Acquisition Finance SA, 11.75%, 07/15/2017 144A

 

 

110,000

 

 

122,650

 

 

 

 

 

 

 

127,375

 

Diversified Financial Services    0.3%

 

 

 

 

 

 

 

Dexus Property Group, Ltd., 7.125%, 10/15/2014 144A

 

 

35,000

 

 

35,547

 

FMG Finance Property, Ltd.:

 

 

 

 

 

 

 

10.625%, 09/01/2016 144A

 

 

175,000

 

 

191,625

 

FRN, 4.67%, 09/01/2011 144A

 

 

15,000

 

 

14,663

 

Ship Finance International, Ltd., 8.50%, 12/15/2013

 

 

70,000

 

 

65,712

 

 

 

 

 

 

 

307,547

 

 

 

8

 

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 

Principal
Amount

 

Value

 

YANKEE OBLIGATIONS – CORPORATE    continued

 

 

 

 

 

 

 

INDUSTRIALS    0.8%

 

 

 

 

 

 

 

Road & Rail    0.8%

 

 

 

 

 

 

 

Kansas City Southern de Mexico:

 

 

 

 

 

 

 

7.375%, 06/01/2014

 

$

685,000

 

$

661,025

 

12.50%, 04/01/2016 144A

 

 

100,000

 

 

114,500

 

TFM de CV, 9.375%, 05/01/2012

 

 

80,000

 

 

82,200

 

 

 

 

 

 

 

857,725

 

Transportation Infrastructure    0.0%

 

 

 

 

 

 

 

Navios Maritime Holdings, Inc., 8.875%, 11/01/2017 144A

 

 

5,000

 

 

5,150

 

MATERIALS    0.6%

 

 

 

 

 

 

 

Chemicals    0.0%

 

 

 

 

 

 

 

NOVA Chemicals Corp.:

 

 

 

 

 

 

 

8.375%, 11/01/2016 144A

 

 

15,000

 

 

15,150

 

8.625%, 11/01/2019 144A

 

 

15,000

 

 

15,207

 

 

 

 

 

 

 

30,357

 

Metals & Mining    0.5%

 

 

 

 

 

 

 

ArcelorMittal SA, 9.85%, 06/01/2019

 

 

30,000

 

 

37,023

 

Evraz Group SA:

 

 

 

 

 

 

 

8.875%, 04/24/2013

 

 

100,000

 

 

99,750

 

8.875%, 04/24/2013 144A

 

 

100,000

 

 

100,500

 

Novelis, Inc., 7.25%, 02/15/2015

 

 

79,000

 

 

71,692

 

Teck Resources, Ltd.:

 

 

 

 

 

 

 

9.75%, 05/15/2014

 

 

25,000

 

 

28,219

 

10.75%, 05/15/2019

 

 

55,000

 

 

64,488

 

Vedanta Resources plc, 9.50%, 07/18/2018 144A

 

 

70,000

 

 

69,825

 

 

 

 

 

 

 

471,497

 

Paper & Forest Products    0.1%

 

 

 

 

 

 

 

Cascades, Inc.:

 

 

 

 

 

 

 

7.25%, 02/15/2013

 

 

30,000

 

 

30,675

 

7.75%, 12/15/2017 144A

 

 

10,000

 

 

9,975

 

Sappi, Ltd.:

 

 

 

 

 

 

 

6.75%, 06/15/2012 144A

 

 

40,000

 

 

37,242

 

7.50%, 06/15/2032 144A

 

 

100,000

 

 

62,752

 

 

 

 

 

 

 

140,644

 

TELECOMMUNICATION SERVICES    0.6%

 

 

 

 

 

 

 

Wireless Telecommunication Services    0.6%

 

 

 

 

 

 

 

Digicel Group, Ltd., 8.25%, 09/01/2017 144A

 

 

35,000

 

 

34,396

 

Inmarsat, plc, Sr. Disc. Note, Step Bond, 10.375%, 11/15/2012 †

 

 

70,000

 

 

72,625

 

Intelsat, Ltd.:

 

 

 

 

 

 

 

8.50%, 01/15/2013

 

 

375,000

 

 

378,281

 

8.875%, 01/15/2015 144A

 

 

10,000

 

 

10,150

 

Vimpel Communications:

 

 

 

 

 

 

 

8.375%, 04/30/2013 144A

 

 

5,000

 

 

5,213

 

9.125%, 04/30/2018 144A

 

 

70,000

 

 

73,850

 

 

 

 

 

 

 

574,515

 

UTILITIES    0.0%

 

 

 

 

 

 

 

Electric Utilities    0.0%

 

 

 

 

 

 

 

InterGen NV, 9.00%, 06/30/2017 144A

 

 

30,000

 

 

31,275

 

Total Yankee Obligations – Corporate    (cost $2,600,714)

 

 

 

 

 

2,886,146

 

CONVERTIBLE DEBENTURES    0.1%

 

 

 

 

 

 

 

INFORMATION TECHNOLOGY    0.1%

 

 

 

 

 

 

 

Communications Equipment    0.1%

 

 

 

 

 

 

 

Lucent Technologies, Inc., 2.875%, 06/15/2025    (cost $33,562)

 

 

70,000

 

 

58,800

 

 

 

 

9

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 


Shares

 

Value

 

COMMON STOCKS    64.6%

 

 

 

 

 

 

 

ENERGY    4.7%

 

 

 

 

 

 

 

Oil, Gas & Consumable Fuels    4.7%

 

 

 

 

 

 

 

El Paso Corp.

 

 

75,000

 

$

717,000

 

Southwestern Energy Co. *

 

 

30,000

 

 

1,318,800

 

Spectra Energy Corp.

 

 

100,000

 

 

1,941,000

 

Williams Cos.

 

 

50,000

 

 

994,500

 

 

 

 

 

 

 

4,971,300

 

TELECOMMUNICATION SERVICES    10.5%

 

 

 

 

 

 

 

Diversified Telecommunication Services    8.6%

 

 

 

 

 

 

 

BCE, Inc.

 

 

16,000

 

 

424,000

 

Cbeyond, Inc.

 

 

17,400

 

 

224,634

 

France Telecom

 

 

50,000

 

 

1,300,719

 

Shenandoah Telecommunications Co. +

 

 

54,951

 

 

923,177

 

Tele2 AB, Ser. B

 

 

100,034

 

 

1,532,461

 

Telstra Corp., Ltd.

 

 

1,200,000

 

 

3,747,864

 

Windstream Corp.

 

 

100,000

 

 

992,000

 

 

 

 

 

 

 

9,144,855

 

Wireless Telecommunication Services    1.9%

 

 

 

 

 

 

 

NTELOS Holdings Corp.

 

 

73,400

 

 

1,233,854

 

U.S. Cellular Corp. *

 

 

7,500

 

 

279,450

 

Vivo Participacoes SA, ADR

 

 

14,500

 

 

442,250

 

 

 

 

 

 

 

1,955,554

 

UTILITIES    49.4%

 

 

 

 

 

 

 

Electric Utilities    35.3%

 

 

 

 

 

 

 

DPL, Inc.

 

 

125,000

 

 

3,357,500

 

Enel SpA

 

 

450,000

 

 

2,692,657

 

Exelon Corp.

 

 

70,000

 

 

3,372,600

 

FirstEnergy Corp.

 

 

25,000

 

 

1,077,000

 

Fortum Oyj

 

 

75,000

 

 

1,902,090

 

FPL Group, Inc.

 

 

50,000

 

 

2,598,500

 

Great Plains Energy, Inc.

 

 

350,000

 

 

6,230,000

 

Hera SpA

 

 

475,000

 

 

1,144,032

 

ITC Holdings Corp.

 

 

36,000

 

 

1,600,920

 

Maine & Maritimes Corp.

 

 

1,135

 

 

42,562

 

Northeast Utilities

 

 

200,000

 

 

4,822,000

 

Portland General Electric Co.

 

 

75,000

 

 

1,470,750

 

Red Electrica Corp. SA

 

 

20,000

 

 

1,093,129

 

Scottish & Southern Energy plc

 

 

190,000

 

 

3,491,394

 

Southern Co.

 

 

60,000

 

 

1,925,400

 

TERNA SpA

 

 

175,000

 

 

727,220

 

 

 

 

 

 

 

37,547,754

 

Independent Power Producers & Energy Traders    3.0%

 

 

 

 

 

 

 

Constellation Energy Group, Inc.

 

 

100,000

 

 

3,182,000

 

Multi-Utilities    4.7%

 

 

 

 

 

 

 

National Grid plc

 

 

250,000

 

 

2,716,471

 

Public Service Enterprise Group, Inc.

 

 

50,000

 

 

1,568,000

 

Suez Environnement SA *

 

 

30,000

 

 

667,364

 

Wisconsin Energy Corp.

 

 

1,500

 

 

67,650

 

 

 

 

 

 

 

5,019,485

 

Water Utilities    6.4%

 

 

 

 

 

 

 

American Water Works Co.

 

 

50,000

 

 

1,112,000

 

Pennichuck Corp. +

 

 

140,000

 

 

3,232,600

 

Pennon Group plc

 

 

300,000

 

 

2,454,817

 

 

 

 

 

 

 

6,799,417

 

Total Common Stocks    (cost $63,568,329)

 

 

 

 

 

68,620,365

 

 

 

10

 

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 


Shares

 

Value

 

PREFERRED STOCKS    3.8%

 

 

 

 

 

 

 

UTILITIES    3.8%

 

 

 

 

 

 

 

Electric Utilities    3.8%

 

 

 

 

 

 

 

Dominion Resources Inc., Ser. A, 8.375%

 

 

55,000

 

$

1,485,460

 

Scana Corp., Ser. A, 7.70%

 

 

100,000

 

 

2,583,751

 

Total Preferred Stocks    (cost $3,890,000)

 

 

 

 

 

4,069,211

 

ESCROW SHARES    0.0%

 

 

 

 

 

 

 

Mirant Corp. Escrow * + o    (cost $0)

 

 

5,000,000

 

 

0

 

CLOSED END MUTUAL FUND SHARES    0.2%

 

 

 

 

 

 

 

Dreyfus High Yield Strategies Fund, Inc.

 

 

20,689

 

 

74,067

 

Eaton Vance Limited Duration Income Trust

 

 

1,739

 

 

25,476

 

ING Prime Rate Trust

 

 

1,133

 

 

5,824

 

LMP Corporate Loan Fund, Inc.

 

 

1,677

 

 

16,116

 

New America High Income Fund, Inc.

 

 

9,121

 

 

78,349

 

Total Closed End Mutual Fund Shares    (cost $121,004)

 

 

 

 

 

199,832

 

 

 

 

Principal
Amount

 

Value

 

LOANS    2.2%

 

 

 

 

 

 

 

CONSUMER DISCRETIONARY    0.7%

 

 

 

 

 

 

 

Ford Motor Co., FRN, 3.24%-3.29%, 12/15/2013

 

$

62,739

 

 

55,430

 

MGM Mirage, N/A, 10/03/2011 <

 

 

38,438

 

 

35,444

 

Newsday, LLC, 10.50%, 08/01/2013

 

 

365,000

 

 

383,290

 

Sugarhouse HSP Gaming Properties, LP, FRN, 11.25%, 09/23/2014

 

 

95,000

 

 

93,886

 

Universal City Development, Ltd., N/A, 11/06/2014 <

 

 

150,000

 

 

149,563

 

 

 

 

 

 

 

717,613

 

CONSUMER STAPLES    0.2%

 

 

 

 

 

 

 

Merisant Co., FRN, 3.74%, 01/11/2010

 

 

303,787

 

 

268,852

 

ENERGY    0.3%

 

 

 

 

 

 

 

Saint Acquisition Corp., FRN, 3.36%, 05/10/2014 <

 

 

155,000

 

 

136,978

 

Semgroup Energy Partners, FRN, 8.25%, 06/30/2011

 

 

155,000

 

 

151,339

 

 

 

 

 

 

 

288,317

 

FINANCIALS    0.1%

 

 

 

 

 

 

 

Realogy Corp., FRN:

 

 

 

 

 

 

 

3.25%, 10/10/2013

 

 

36,653

 

 

31,477

 

3.29%, 10/10/2013

 

 

136,138

 

 

116,914

 

 

 

 

 

 

 

148,391

 

HEALTH CARE    0.1%

 

 

 

 

 

 

 

HCA, Inc., FRN, 1.78%, 11/17/2012

 

 

105,765

 

 

98,509

 

INDUSTRIALS    0.3%

 

 

 

 

 

 

 

Commercial Vehicle Group, Inc., 15.00%, 11/01/2012

 

 

182,112

 

 

172,810

 

Neff Corp., FRN, 3.78%, 11/30/2014

 

 

705,000

 

 

142,762

 

 

 

 

 

 

 

315,572

 

MATERIALS    0.5%

 

 

 

 

 

 

 

LyondellBasell, FRN:

 

 

 

 

 

 

 

3.74%, 12/20/2013

 

 

17,159

 

 

12,560

 

3.99%, 12/20/2014

 

 

10,416

 

 

7,611

 

5.79%-6.56%, 06/03/2010 <

 

 

240,609

 

 

237,000

 

7.00%, 12/20/2014

 

 

45,201

 

 

33,030

 

13.00%, 06/03/2010

 

 

240,966

 

 

250,604

 

 

 

 

 

 

 

540,805

 

Total Loans    (cost $2,730,126)

 

 

 

 

 

2,378,059

 

 

 

 

11

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

 

 


Shares

 

Value

 

SHORT-TERM INVESTMENTS    17.9%

 

 

 

 

 

 

 

MUTUAL FUND SHARES    17.9%

 

 

 

 

 

 

 

Evergreen Institutional Money Market Fund, Class I, 0.05% q ø ##    
(cost $19,075,301)

 

 

19,075,301

 

$

19,075,301

 

Total Investments    (cost $121,484,300)    120.9%

 

 

 

 

 

128,529,349

 

Other Assets and Liabilities    (20.9%)

 

 

 

 

 

(22,232,570

)

Net Assets    100.0%

 

 

 

 

$

106,296,779

 

 

144A

Security that may be sold to qualified institutional buyers under Rule 144A of the Securities Act of 1933, as amended. This security has been determined to be liquid under guidelines established by the Board of Trustees, unless otherwise noted.

+

Security is deemed illiquid.

Security which has defaulted on payment of interest and/or principal. The Fund has stopped accruing interest on this security.

††

The rate shown is the stated rate at the current period end.

Security initially issued in zero coupon form which converts to coupon form at a specified rate and date. An effective interest rate is applied to recognize interest income daily for the bond. This rate is based on total expected interest to be earned over the life of the bond which consists of the aggregate coupon-interest payments and discount at acquisition. The rate shown is the stated rate at the current period end.

*

Non-income producing security

o

Security is valued at fair value as determined by the investment advisor in good faith, according to procedures approved by the Board of Trustees.

<

All or a portion of the position represents an unfunded loan commitment.

q

Rate shown is the 7-day annualized yield at period end.

ø

Evergreen Investment Management Company, LLC is the investment advisor to both the Fund and the money market fund.

##

All or a portion of this security has been segregated for when-issued, delayed delivery securities and/or unfunded loans.

 

Summary of Abbreviations

ADR

American Depository Receipt

FRN

Floating Rate Note

The following table shows the percent of total bonds by geographic location as of November 30, 2009:

 

United States

75.3%

United Kingdom

8.0%

Italy

4.2%

Australia

3.6%

France

1.8%

Finland

1.7%

Sweden

1.4%

Spain

1.0%

Mexico

0.8%

Canada

0.7%

Bermuda

0.5%

Brazil

0.4%

Luxembourg

0.3%

Austria

0.1%

Ireland

0.1%

Netherlands

0.1%

 

100.0%

At November 30, 2009, the Fund had the following credit default swap contracts outstanding:

Credit default swaps on debt obligations – Buy protection

 

Expiration

 

Counterparty

 

Reference
Debt
Obligation

 

Rating of
Reference
Debt
Obligation*

 

Notional
Amount

 

Fixed
Payments
Made by
the Fund

 

Frequency
of
Payments
Made

 

Market
Value

 

Upfront
Premiums
Paid/
(Received)

 

Unrealized
Gain (Loss)

06/20/2014

 

UBS

 

Expedia, 7.46%
08/15/2018#

 

BBB-

 

$160,000

 

5.00%

 

Quarterly

 

$(27,325)

 

$(4,455)

 

$(22,870)

 

*

Reflects the ratings of a nationally recognized ratings agency at period end. A rating of D would most likely indicate a trigger event of default has occurred although circumstances including bankruptcy, failure to pay, obligation default, obligation acceleration, repudiation/moratorium and restructuring may also cause a credit event to take place.

#

The Fund entered into the swap contract for speculative purposes.

 

 

12

 

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

The total notional amount of credit default swaps in the tables above are representative of the volume of derivative activity during period ended November 30, 2009.

On November 30, 2009, the aggregate fair value of all derivative instruments with net asset contingent features that were in a liability position amounted to $27,325.

On November 30, 2009, the aggregate cost of securities for federal income tax purposes was $123,182,833. The gross unrealized appreciation and depreciation on securities based on tax cost was $8,524,947 and $3,178,431, respectively, with a net unrealized appreciation of $5,346,516.

Valuation of investments

Listed equity securities are usually valued at the last sales price or official closing price on the national securities exchange where the securities are principally traded. If there has been no sale, the securities are valued at the mean between bid and asked prices.

Foreign securities traded on an established exchange are valued at the last sales price on the exchange where the security is primarily traded. If there has been no sale, the securities are valued at the mean between bid and asked prices. Foreign securities may be valued at fair value according to procedures approved by the Board of Trustees if the closing price is not reflective of current market values due to trading or events occurring in the foreign markets between the close of the established exchange and the valuation time of the Fund. In addition, substantial changes in values in the U.S. markets subsequent to the close of a foreign market may also affect the values of securities traded in the foreign market. The value of foreign securities may be adjusted if such movements in the U.S. market exceed a specified threshold.

Portfolio debt securities acquired with more than 60 days to maturity are fair valued using matrix pricing methods determined by an independent pricing service which takes into consideration such factors as similar security prices, yields, maturities, liquidity and ratings. Securities for which valuations are not readily available from an independent pricing service may be valued by brokers which use prices provided by market makers or estimates of fair market value obtained from yield data relating to investments or securities with similar characteristics.

Short-term securities of sufficient credit quality with remaining maturities of 60 days or less at the time of purchase are valued at amortized cost, which approximates fair value.

Investments in open-end mutual funds are valued at net asset value. Securities for which market quotations are not readily available or not reflective of current fair value are valued at fair value as determined by the investment advisor in good faith, according to procedures approved by the Board of Trustees.

The valuation techniques used by the Fund to measure fair value are consistent with the market approach, income approach and/or cost approach, where applicable, for each security type.

Foreign currency translation

All assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the date of valuation. Purchases and sales of portfolio securities and income items denominated in foreign currencies are translated into U.S. dollar amounts on the respective dates of such transactions. The Fund does not separately account for that portion of the results of operations resulting from changes in foreign exchange rates on investments and the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gains or losses on investments.

When-issued and delayed delivery transactions

The Fund records when-issued or delayed delivery securities as of trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked-to-market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under the contract.

Loans

The Fund may purchase loans through an agent, by assignment from another holder of the loan or as a participation interest in another holder’s portion of the loan. Loans are purchased on a when-issued or delayed delivery basis. Interest income is accrued based on the terms of the securities. Fees earned on loan purchasing activities are recorded as income when earned. Loans involve interest rate risk, liquidity risk and credit risk, including the potential default or insolvency of the borrower.

As of November 30, 2009, the Fund had unfunded loan commitments of $158,225.

Credit default swaps

The Fund is subject to credit risk in the normal course of pursuing its investment objectives. The Fund may enter into credit default swap contracts for hedging or speculative purposes to provide or receive a measure of protection against default on a referenced entity, obligation or index. Credit default swaps involve an exchange of a stream of payments for protection against the loss in value of an underlying security or index. Under the terms of the swap, one party acts as a guarantor (referred to as the seller of protection) and receives a periodic stream of payments, provided that there is no credit event, from another party (referred to as the buyer of protection) that is a fixed percentage applied to a notional principal amount over the term of the swap. An index credit default swap references all the names in the index, and if a credit event is triggered, the credit event is settled based on that name’s weight in the index. A credit event includes bankruptcy, failure to pay, obligation default, obligation acceleration, repudiation/moratorium, and restructuring. The Fund may enter into credit default swaps as either the seller of protection or the buyer of protection. As the seller of protection, the Fund is subject to investment exposure on the notional amount of the swap and has assumed the risk of default of the underlying security or index. As the buyer of protection, the Fund could be exposed to risks if the seller of the protection defaults on its obligation to perform, or if there are unfavorable changes in the fluctuation of interest rates or in the price of the underlying security or index. The maximum potential amount of future payments (undiscounted) that the Fund as the seller of protection could be required to make under the credit default swap contract would be an amount equal to the notional amount of the swap contract. The Fund’s maximum risk of loss from counterparty risk, either as the protection seller or as the protection buyer, is the fair value of the contract. This risk is mitigated by having a master netting arrangement between the Fund and the counterparty and by having the counterparty post collateral to cover the Fund’s exposure to the counterparty.

If the Fund is the seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will pay to the buyer of protection the notional amount of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced index. If the Fund is the buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will receive from the seller of protection the notional amount of the swap and deliver the referenced obligation or underlying securities comprising the referenced index.

 

 

 

13

 


EVERGREEN UTILITIES AND HIGH INCOME FUND
SCHEDULE OF INVESTMENTS continued

November 30, 2009 (unaudited)

Any premiums paid or received on the transactions are recorded as an asset or liability on the Statement of Assets and Liabilities and amortized. The value of the swap contract is marked-to-market daily based on quotations from an independent pricing service or market makers and any change in value is recorded as an unrealized gain or loss. Periodic payments made or received are recorded as realized gains or losses. In addition, payments received or made as a result of a credit event or termination of the contract are recognized as realized gains or losses.

Certain credit default swap contracts entered into by the Fund provide for conditions that result in events of default or termination that enable the counterparty to the agreement to cause an early termination of the transactions under those agreements. Any election by the counterparty to terminate early may impact the amounts reported on the financial statements.

Valuation hierarchy

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. These inputs are summarized into three broad levels as follows:

Level 1 – quoted prices in active markets for identical securities

Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment   speeds, credit risk, etc.)

Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of   investments)

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

As of November 30, 2009, the inputs used in valuing the Fund’s assets, which are carried at fair value, were as follows:

 

 

Investments in Securities

 

Quoted Prices
(Level 1)

 

Significant
Other Observable
Inputs
(Level 2)

 

Significant
Unobservable
Inputs
(Level 3)

 

Total

 

 

Equity securities

 

                             

 

Common stocks

 

$

68,620,365

 

 

 

$

0

 

 

$

0

 

$

68,620,365

 

 

Preferred stocks

 

 

0

 

 

 

 

4,069,211

 

 

 

0

 

 

4,069,211

 

 

Closed end mutual fund shares

 

 

199,832

 

 

 

 

0

 

 

 

0

 

 

199,832

 

 

Corporate debt securities

 

 

0

 

 

 

 

34,186,581

 

 

 

0

 

 

34,186,581

 

 

Loans

 

 

0

 

 

 

 

1,635,495

 

 

 

742,564

 

 

2,378,059

 

 

Short-term investments

 

 

19,075,301

 

 

 

 

0

 

 

 

0

 

 

19,075,301

 

   

 

$

87,895,498

 

 

 

$

39,891,287

 

 

$

742,564

 

$

128,529,349

 

As of November 30, 2009, the inputs used in valuing the Fund’s other financial instruments, which are carried at fair value, were as follows:

 

 

 

 

Quoted Prices
(Level 1)

 

Significant
Other Observable
Inputs
(Level 2)

 

Significant
Unobservable
Inputs
(Level 3)

 

Total

 

 

Other financial instruments*

 

$0

 

$(22,870)

 

$0

 

$(22,870)

 

*

Other financial instruments include swap contracts.

The following is a reconciliation of assets in which significant unobservable inputs (Level 3) were used in determining fair value:

 

 

 

Warrants

 

Loans

 

Total

 

Balance as of September 1, 2009

 

$

45,615

 

$

0

 

$

45,615

 

Realized gains or losses

 

 

(6,520

)

 

0

 

 

(6,520

)

Change in unrealized gains or losses

 

 

21,520

 

 

0

 

 

21,520

 

Amortization/Accretion

 

 

0

 

 

0

 

 

0

 

Net purchases (sales)

 

 

(60,615

)

 

0

 

 

(60,615

)

Transfers in and/or out of Level 3

 

 

0

 

 

742,564

 

 

742,564

 

Balance as of November 30, 2009

 

$

0

 

$

742,564

 

$

742,564

 

Change in unrealized gains or losses included in earnings relating to securities still held at November 30, 2009

 

$

0

 

$

0

 

$

0

 

 

 

14

 

 


Item 2 – Controls and Procedures

 

(a)

The registrant’s principal executive officer and principal financial officer have evaluated the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) within 90 days of this filing and have concluded that the registrant’s disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-Q was recorded, processed, summarized, and reported timely.

 

(b)

There has been no change in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonable likely to materially affect, the registrant’s internal control over financial reporting.

Item 3 – Exhibits

File the exhibits listed below as part of this Form. Letter or number the exhibits in the sequence indicated.

 

(a)

Separate certifications for the registrant’s principal executive officer and principal financial officer, as required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached as EX-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.

 

Evergreen Utilities and High Income Fund

 

 

 

 

 

By: 


/s/ W. Douglas Munn

 

 

 

 

W. Douglas Munn

 

 

 

 

Principal Executive Officer

 

 

 

Date: April 19, 2010

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/ W. Douglas Munn

 

 

 

 

W. Douglas Munn

 

 

 

 

Principal Executive Officer

 

 

 

Date: April 19, 2010

 

By: 


/s/ Kasey Phillips

 

 

 

 

Kasey Phillips

 

 

 

 

Principal Financial Officer

 

 

 

Date: April 19, 2010