| OMB APPROVAL | ||
OMB Number: 3235-0578
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Expires: April 30, 2010 |
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Estimated average burden
hours per response: 10.5 |
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Investment Company Act File Number:
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811-21189 | |
Registrant Name:
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PIMCO New York Municipal Income Fund III | |
Address of Principal Executive Offices:
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1345 Avenue of the Americas, | |
| New York, NY 10105 | ||
Name and Address of Agent for Service:
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Lawrence G. Altadonna | |
| 1345 Avenue of the Americas, | ||
| New York, NY 10105 | ||
Registrant’s telephone number, including area code:
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212-739-3371 | |
Date of Fiscal Year End:
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September 30, 2009 | |
Date of Reporting Period:
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December 31, 2008 |
| Principal | ||||||||||||
| Amount | Credit Rating | |||||||||||
| (000) | (Moody’s/S&P) | Value* | ||||||||||
| NEW YORK MUNICIPAL BONDS & NOTES—72.3% | ||||||||||||
| $ | 790 | Dutchess Cnty. Industrial Dev. Agcy. Rev., 5.25%, 1/1/37 |
NR/NR | $ | 425,960 | |||||||
| 2,800 | East Rochester Housing Auth. Rev.,
St. Mary’s Residence Project, 5.375%, 12/20/22 (GNMA) |
NR/AAA | 2,763,432 | |||||||||
Liberty Dev. Corp. Rev., Goldman Sachs Headquarters, |
||||||||||||
| 1,060 | 5.25%, 10/1/35 |
A1/A | 806,702 | |||||||||
| 900 | 5.50%, 10/1/37 |
A1/A | 703,584 | |||||||||
| 1,000 | Long Island Power Auth., Electric System Rev., 5.00%, 9/1/27, Ser. C |
Aa3/A- | 908,370 | |||||||||
| 6,220 | Metropolitan Transportation Auth. Rev.,
5.00%, 11/15/32, Ser. A (FGIC) |
A2/AA | 5,294,899 | |||||||||
| 100 | Monroe Tobacco Asset Securitization Corp. Rev.,
6.375%, 6/1/35, (Pre-refunded @ $101, 6/1/10) (b) |
Aaa/AAA | 108,262 | |||||||||
| 2,750 | Mortgage Agcy. Rev., 4.75%, 10/1/27, Ser. 128 |
Aa1/NR | 2,261,160 | |||||||||
| 2,000 | Nassau Cnty. Tobacco Settlement Corp. Rev.,
6.60%, 7/15/39, (Pre-refunded @ $101, 7/15/09) (b) |
Aaa/AAA | 2,080,560 | |||||||||
New York City, GO, Ser. I |
||||||||||||
| 2,695 | 5.00%, 3/1/33 |
Aa3/AA | 2,334,086 | |||||||||
| 235 | 5.375%, 3/1/27 |
Aa3/AAA | 225,899 | |||||||||
| 200 | New York City Industrial Dev. Agcy. Rev.,
Yankee Stadium, 5.00%, 3/1/36 (MBIA) |
Baa1/AA | 137,710 | |||||||||
| 5,000 | New York City Trust for Cultural Res. Rev., 5.00%, 2/1/34 (FGIC) (g) |
Aa3/AA | 4,720,250 | |||||||||
| 1,000 | Niagara Falls Public Water Auth., Water & Sewer System Rev.,
5.00%, 7/15/34, Ser. A (MBIA) |
Baa1/AA | 907,480 | |||||||||
State Dormitory Auth. Rev., |
||||||||||||
| 2,250 | Jewish Board Family & Children, 5.00%, 7/1/33 (AMBAC) |
Baa1/A | 1,807,380 | |||||||||
| 2,000 | Kaleida Health Hospital, 5.05%, 2/15/25 (FHA) |
NR/AAA | 1,785,860 | |||||||||
Long Island Univ., Ser. A (Radian), |
||||||||||||
| 2,040 | 5.00%, 9/1/23 |
A3/BBB+ | 1,888,693 | |||||||||
| 4,000 | 5.00%, 9/1/32 |
A3/BBB+ | 3,384,240 | |||||||||
| 3,000 | Lutheran Medical Hospital, 5.00%, 8/1/31 (FHA-MBIA) |
Baa1/AA | 2,572,620 | |||||||||
| 6,150 | North General Hospital, 5.00%, 2/15/25 |
NR/AA- | 5,496,993 | |||||||||
| 1,000 | School Dist. Financing, 5.00%, 10/1/30, Ser. D (MBIA) |
A2/AA | 938,530 | |||||||||
| 1,250 | Skidmore College, 5.00%, 7/1/28 (FGIC) |
A1/NR | 1,212,150 | |||||||||
| 3,740 | St. Barnabas Hospital, 5.00%, 2/1/31, Ser. A (AMBAC-FHA) |
Baa1/A | 3,212,959 | |||||||||
| 2,500 | Winthrop-Nassau Univ., 5.75%, 7/1/28 |
Baa1/NR | 1,897,200 | |||||||||
| 620 | Winthrop Univ. Hospital Assoc., 5.50%, 7/1/32, Ser. A |
Baa1/NR | 439,847 | |||||||||
| 2,000 | Warren & Washington Cntys. Industrial Dev. Agcy. Rev.,
Glens Falls Hospital, 5.00%, 12/1/35, Ser. A (FSA) |
Aa3/AAA | 1,827,420 | |||||||||
| 1,250 | Westchester Cnty. Industrial Dev. Agcy. Continuing Care Retirement Rev.,
Kendal on Hudson, 6.50%, 1/1/34, (Pre-refunded @ $100, 1/1/13) (b) |
NR/NR | 1,465,000 | |||||||||
Total New York Municipal Bonds & Notes (cost—$57,424,821) |
51,607,246 | |||||||||||
| NEW YORK VARIABLE RATE NOTES (d)—12.0% | ||||||||||||
| 7,000 | State Dormitory Auth. Rev., Rockefeller Univ., 5.00%, 7/1/32, Ser. A1 |
Aaa/AAA | 6,980,750 | |||||||||
| 1,750 | State Urban Dev. Corp. Rev., 8.307%, 3/15/35 (a)(c) |
NR/AAA | 1,550,010 | |||||||||
Total New York Variable Rate Notes (cost—$7,822,033) |
8,530,760 | |||||||||||
| OTHER MUNICIPAL BONDS & NOTES—7.3% | ||||||||||||
California—5.8% |
||||||||||||
| 3,560 | Golden State Tobacco Securitization Corp. Rev.,
6.75%, 6/1/39, Ser. A-1, (Pre-refunded @ $100, 6/1/13) (b) |
NR/AAA | 4,140,138 | |||||||||
District of Columbia—0.1% |
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| 175 | Tobacco Settlement Financing Corp. Rev., 6.50%, 5/15/33 |
Baa3/BBB | 108,481 | |||||||||
| Principal | ||||||||||||
| Amount | Credit Rating | |||||||||||
| (000) | (Moody’s/S&P) | Value* | ||||||||||
Puerto Rico—0.7% |
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| $ | 580 | Children’s Trust Fund Tobacco Settlement Rev., 5.625%, 5/15/43 |
Baa3/BBB | $ | 346,382 | |||||||
| 5,000 | Sales Tax Financing Corp. Rev., zero coupon, 8/1/54, Ser. A (AMBAC) |
A1/A+ | 176,050 | |||||||||
| 522,432 | ||||||||||||
South Carolina—0.6% |
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| 370 | Tobacco Settlement Rev. Management Auth. Rev.,
6.375%, 5/15/30, Ser. B |
Baa3/BBB | 415,306 | |||||||||
Washington—0.1% |
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| 135 | Tobacco Settlement Auth. of Washington Rev., 6.625%, 6/1/32 |
Baa3/BBB | 99,978 | |||||||||
Total Other Municipal Bonds & Notes (cost—$4,888,574) |
5,286,335 | |||||||||||
| CORPORATE BONDS & NOTES—1.3% | ||||||||||||
| 900 | CIT Group, Inc., 5.80%, 7/28/11 (f) |
Baa1/BBB+ | 754,161 | |||||||||
International
Lease Finance Corp., FRN, |
||||||||||||
| 100 | 2.373%, 5/24/10 |
Baa1/A- | 79,709 | |||||||||
| 100 | 5.153%, 1/15/10 |
Baa1/A- | 75,444 | |||||||||
Total Corporate Bonds & Notes (cost—$813,611) |
909,314 | |||||||||||
| SHORT-TERM INVESTMENTS—7.1% | ||||||||||||
| Corporate Bonds & Notes (f)—4.4% | ||||||||||||
American General Finance Corp., |
||||||||||||
| 300 | 4.403%,
10/2/09, FRN |
Baa1/BBB | 230,001 | |||||||||
| 200 | 4.625%, 5/15/09 |
Baa1/BBB | 171,535 | |||||||||
CIT Group, Inc., |
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| 200 | 2.269%,
8/17/09, FRN |
Baa1/BBB+ | 192,228 | |||||||||
| 1,900 | 4.125%, 11/3/09 |
Baa1/BBB+ | 1,788,810 | |||||||||
| 800 | Goldman Sachs Group, Inc., 2.229%, 11/16/09, FRN |
A1/A | 766,272 | |||||||||
Total
Corporate Bonds & Notes (cost—$3,091,218) |
3,148,846 | |||||||||||
| New York Variable Rate Demand Notes (d)(e)—2.7% | ||||||||||||
| 1,000 | New York
City, GO, 1.05%, 1/2/09, Ser. A-7 |
VMIG1/A-1+ | 1,000,000 | |||||||||
| 900 | New York City Municipal Water Finance Auth. Rev.,
0.95%, 1/15/09, Ser. B-3 |
VMIG1/A-1+ | 900,000 | |||||||||
Total New
York Variable Rate Demand Notes (cost—$1,900,000) |
1,900,000 | |||||||||||
Total Short-Term Investments (cost—$4,991,218) |
5,048,846 | |||||||||||
Total Investments (cost—$75,940,257)—100.0% |
$ | 71,382,501 | ||||||||||
| * | Portfolio securities and other financial instruments for which market quotations are readily available are stated at market value. Market value is generally determined on the basis of last reported sales prices, or if no sales are reported, based on quotes obtained from a quotation reporting system, established market makers, or pricing services. | |
| Portfolio securities and other financial instruments for which market quotations are not readily available or if a development/event occurs that may significantly impact the value of a security, are fair-valued, in good faith, pursuant to procedures established by the Board of Trustees, or persons acting at their discretion pursuant to procedures established by the Board of Trustees. The Fund’s investments are valued daily using prices supplied by an independent pricing service or dealer quotations, or by using the last sale price on the exchange that is the primary market for such securities, or the last quoted mean price for those securities for which the over-the-counter market is the primary market or for listed securities in which there were no sales. Prices obtained from independent pricing services use information provided by market makers or estimates of market values obtained from yield data relating to investments or securities with similar characteristics. Short-term securities maturing in 60 days or less are valued at amortized cost, if their original term to maturity was 60 days or less, or by amortizing their value on the 61st day prior to maturity, if the original term to maturity exceeded 60 days. | ||
| The prices used by the Fund to value securities may differ from the value that would be realized if the securities were sold and these differences could be material. The Fund’s net asset value is normally determined daily as of the close of regular trading (normally, 4:00 p.m. Eastern time) on the New York Stock Exchange (“NYSE”) on each day the NYSE is open for business. | ||
| (a) | Private Placement—Restricted as to resale and may not have a readily available market. Securities with an aggregate value of $1,550,010, representing 2.17% of total investments. | |
| (b) | Pre-refunded bonds are collateralized by U.S. Government or other eligible securities which are held in escrow and used to pay principal and interest and retire the bonds at the earliest refunding date (payment date) and/or whose interest rates vary with changes in a designated base rate (such as the prime interest rate). | |
| (c) | 144A Security—Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, typically only to qualified institutional buyers. Unless otherwise indicated, these securities are not considered to be illiquid. | |
| (d) | Variable Rate Notes—Instruments whose interest rates change on specified date (such as a coupon date or interest payment date) and/or whose interest rates vary with changes in a designated base rate (such as the prime interest rate). The interest rate disclosed reflects the rate in effect on December 31, 2008. | |
| (e) | Maturity date shown is date of next put. | |
| (f) | All or partial amount segregated as collateral for reverse repurchase agreements. | |
| (g) | Residual Interest Bonds held in Trust—Securities represent underlying bonds transferred to a separate securitization trust established in a tender option bond transaction in which the Fund acquired the residual interest certificates. These securities serve as collateral in a financing transaction. |
| (1) | Open reverse repurchase agreements at December 31, 2008: |
| Counterparty | Rate | Trade Date | Maturity Date | Principal & Interest | Principal | |||||||||||||||
Barclays Bank |
1.65 | % | 12/24/08 | 1/29/09 | $482,066 | $482,000 | ||||||||||||||
| 1.75 | % | 12/23/08 | 1/26/09 | 1,856,541 | 1,856,000 | |||||||||||||||
| 1.75 | % | 12/23/08 | 1/29/09 | 800,117 | 800,000 | |||||||||||||||
| $3,138,000 | ||||||||||||||||||||
| Market | ||||||||||||||||||||
| Counterparty | Description | Rate | Maturity Date | Principal | Value | |||||||||||||||
| Barclays Bank | American General Finance Corp. |
4.403 | % | 10/2/09 | $300,000 | $230,001 | ||||||||||||||
American General Finance Corp. |
4.625 | % | 5/15/09 | 200,000 | 171,535 | |||||||||||||||
CIT Group, Inc. |
2.269 | % | 8/17/09 | 200,000 | 192,228 | |||||||||||||||
CIT Group, Inc. |
4.125 | % | 11/3/09 | 1,900,000 | 1,788,810 | |||||||||||||||
CIT Group, Inc. |
5.80 | % | 7/28/11 | 900,000 | 754,161 | |||||||||||||||
Goldman Sachs Group, Inc. |
2.229 | % | 11/16/09 | 800,000 | 766,272 | |||||||||||||||
| $ | 3,903,007 | |||||||||||||||||||
| • | Level 1 — quoted prices in active markets for identical investments that the Fund has the ability to access | ||
| • | Level 2 — valuation based on other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.) or quotes from inactive exchanges | ||
| • | Level 3 — valuation based on significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments) |
| Investments in | ||||
| Valuation Inputs | Securities | |||
Level 1 - Quoted Prices |
$— | |||
Level 2 - Other Significant Observable Inputs |
71,382,501 | |||
Level 3 - Significant Unobservable Inputs |
— | |||
Total |
$ | 71,382,501 | ||
By
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/s/ Brian S. Shlissel
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By
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/s/ Lawrence G. Altadonna
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By
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/s/ Brian S. Shlissel
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By
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/s/ Lawrence G. Altadonna
|